Deals & Developments

In India. Poona, where St. Gandhi was incarcerated from May until February (TIME, May 12, Feb. 9), is a city of 200,000. In Summer it is filled with vacationing Bombayans.

There are only 40,000 people in Broach, 200 miles north of Bombay. But Broach, in the heart of the cotton district, hums with spinning and weaving mills, gins, oil presses.

Karachi is a seaport on the Arabian Sea. It is the terminus of the London-India air mail and many industries are sprouting there.

Recently United Eastern Agencies, Ltd. acquired the managing agency of the three companies supplying Poona, Broach and Karachi with power & light. Last week the majority of United Eastern Agencies' stock went to American & Foreign Power Co. Inc. The minority holders are largely the same prominent Indians who share with American & Foreign Power control of Tata Hydro-Electric Agencies, Ltd., managing agent for several big power companies in the Bombay district.

Michigan Central. In 1921 a shrewd investor could have bought Michigan Central Railroad for $75 a share. By last week he would have received $419 a share in dividends. But by last week only a few shareholders were interested in Michigan Central, for all but 1,283 shares have been bought by New York Central, and these remaining shares are now being bought for $1,550 each.

Only a committee of arbitration was able to settle the value of Michigan Central. Last week, in announcing the price, they told how it was reached. Between 1925 and 1929 the stocks of high-grade controlled railroads sold at 15.07 times earnings. During this time earnings of Michigan Central averaged $104; hence, said the arbitrators, $1,550 represents a fair price.

Mail Order Insurance. Exciting to the insurance trade was news last week that 13 officials of Sears. Roebuck & Co. had acted as incorporators of a new insurance company. Called All-State Insurance Co., the firm will write accident, health, burglary and theft insurance as well as com- plete automobile coverage. Carl L. Odell, Chicago insurance broker, is reported to be the chief sponsor of the new company. He said last week that, first of all, automobile insurance will be solicited from Sears, Roebuck employes. But no imagination was required to see Sears, Roebuck adding insurance to its big mail-order trade.

War in Warren. Active in the organization of Calumet & Arizona Mining Co. (1901) was Gordon R. Campbell who became secretary of the company, was made president in 1921. Under his management the company has gone its way quietly. Yet last week war clouds hung over Calumet. When shareholders gather by proxy in Warren, Ariz, on April 20, they will cast ballots on what amounts to a vote of confidence in the management. Should his proxies be outnumbered, President Campbell has made it clear that he will resign.

The issue on which the war will be fought is a proposal to move the com- pany's offices from Calumet, Mich., to Manhattan. Loudly does President Campbell oppose this. He warns shareholders that the move would hasten the long-rumored Calumet-Phelps-Dodge merger, which he strenuously decried last week.

Mr, Hill's Bonus, When stockholders of American Tobacco Co. meet April i they will be glad to hear President George Washington Hill report that last year their company's profits jumped from $30,000,000 to $43,000,000. They will also hear a speech from Richard Reid Rogers, one-time chief counsel of Interborough Rapid Transit Co. Stockholder Rogers has bitterly opposed American Tobacco's bonus- for-the-management plan. Last week he wrote to other stockholders calling attention to the fact that President Hill's 1930 compensation included $1.008,000 in salary and cash bonuses, $1,275,000 in stock.

C, P, R. in B, C,? In Northern Alberta much fine grain is grown, especially in the Peace River district. This is shipped to Edmonton by Northern Alberta Railways, jointly controlled by Canadian Pacific and Canadian National. About half the grain is shipped from Edmonton to the Pacific Coast over the C. N. R. to Prince Rupert, the rest via the C. P. R. south to Calgary, thence to Vancouver. But last week it was rumored that C. P. R. will buy Pacific Great Eastern Railway, now owned by British Columbia. P. G. E. runs from Squamish, 40 miles north of Vancouver, to Quesnel, on the Fraser River. If C. P. R. buys it, the road will probably be extended 60 miles north to Prince George on the C. N. R. Hence grain from Edmonton could be shipped by C. N. R. to Prince George, then down to Vancouver over P. G. E. Best reasons for thinking the deal is not far off: C. P. R. last month voted $50,000,000 increase in capital stock; C. P. R. directors will soon receive a $250,000 survey of P. G. E.

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