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Royal Bank of Canada Presents Strong Statement CASH ASSETS 164 MILL ION DOLLARS "Canada has main tained her c redit unimpaired" | Sir Herbert Holt deals vigorouHly with Railway and other na- tional problems â€" Kinphasizes need for (Government fccon- „ i.»np.i»l I Inference â€" Canadian Business (ondi- >-»-»-««♦»«â- >-•-»â- â€¢â- â€¢â™¦â- *â- Â«â- â€¢â€¢Â«â- < Gems of Peril Bu HAZEL ROSS UAILEY. â-ºÂ«-♦-♦-»♦••-•-»â- â€¢â€¢Â«â- â€¢â- â™¦â- < Mr. OBiy â€" Imperial Conference tions â€" Inlernutional Outlook. M. W. Wilson reports on satisfactory year's operations- Central Itenk diseuRsed recovery. The Sixty-fourth Annuul Metting of the Royal Bank of Canada niarkeJ the close of a very successful year. The Statement submitted showed the Bank to be in a very strong liquid IK>sition. Of the ToUl Assets of |766,5i:,920 the Liquid Assets amounted to as much as $355,929,915, and were equal to 52.86';<. of all Lia- bilities to the Public. An outstand- ing feature of the Liquid Assets, was the large holding of caah assets, ml.ich reached a total of Ont Hunl- rcd and Sixty-Four Millions. The Annual Meeting brought to- gether a large number of sharehold- ers, and was marked by interesting and instructive addresses by S'r Herbert Holt, the President and Mor- ris W. Wilson, Vice-President and .ieneral Manager. Vigorous comment and suggestions as regards several of the outstanding domestic proble; is of Canada, and an able summary of the world eco- nomic sltuaton and the prospects abe«d; a strong plea for the amalga- mation of the two Canadiar. rail- roads, as the only manner in which the grave Canadian railway situa- tion can be solved; intervention by the provincial governments to con- serve Canadia 1 natural resources, and to prevent the collapse of the vitally important newsprint industry, if the present strong efforts being made to secure co-operation are not success- ful, and a condemnation of excessive gcernmental expenditure, featured the address of the president. Sir Herbert said in part: The power of the resistance which this country has shown during tho third year of the depression is cause for congratulation. With no financial assistance from other countries other than a small amount of re-financing, which was arranged on a strictly business basis, with currency depre- ciation in terms of gold limited to a very moderate percentage, and with fione of the restrictions on foreign exchange or international trade which have been found inevitable it so many cases, Canada has lived up to the letter of her contract'- and iTi-intaincd her credit unimpaired. In doing so she has followed the tradi- tion of the British Kmpire a: a whole. It is no exaggeration to say that tho stability and soundness of the Em- pire's banking institutions have play- ed an important part in the creation of this good record. RAILWAY PROBLEM. In referring to the report of the Koyal Commission on Transporta- tion. Sir Herbert expressud the opin- Jon that co-operation betwewi the two railroad .systems to eflTecl mutual economies will not prcc drastic enough to cut down in any adequate degree the annual deficits of the gov- «rnment railways, and expressed the fonviction that the solution lay in complete amalgamation. n(; felt fears of a monopoly were groundless and that under proper safeguards unification would result in a co-or- dinated transportation system ade- quate to the needs of the country and condu<;ted at a minimum of ex- Measures needed for business yense. GOVERNMENT EXPENSF;S. "For many years, Governmental expenditure has been on an excessive •cale. Extravagance has charactcr- Jzed th< budgets of national, provin- cial and municipal government.". Throughout the country there is a genera! demand that budgets be bal- anced and every efl'ort made to light- en ths heavy burden imposed upon the people by reducing tho unduly heavy taxation. "There is a noteworthy duplica- tion of Government in Canada which leads to excessive cost of administra- tion. We must seriou.sly consider -whether this country can afford to maintain as many as nine Provincial Governments, together with the Fed- eral G<ivernmcnt, each with an flec- torat« organization. The whole popu- UUon of Great Drltaln Is governed ky • single Parliament which finds time to legislate f*jt only for all in- ternal matters, but also for those which concern tho Empire as a whole. Reviewing the Impurral Confercn'-'e •t Ottawa, Rlr Herbert said that the material achievements attained were a triumph for .Mr. Bennett and his Qovernment. Anesthetizing Oyster* The pa«po!>e<l ndminist ration of an aaCMhetic to oysters, befo>re opening Ihittn, is not for the purpose of spar- ing tiie oyster pain, as newspaper hu- TwrisUi are asauming, but for making tlMn easier to open. Says The Indus- M*l Bulletin of Arthur 1» Little, Inc. (Cawlridgo, Ma«B.) : "The strength and BkitI reqiwxed for tbe prx>per 'shucking* of oyatert hara mated a serious labor proMsm. ISSUE No. 4â€" '33 In concludlug. Sir Herbert said that Canada was fully capable of meeting any further tests which might be Imposed, but felt that prefl- etit indications pointed to the initia- tion of a recovery in 1933 if a rea- sonable degree of international com- mon sense and co-operation could be .'.ecured. GEN. MANAGER"'S ADDRESS. Mr. M. W. Wilson, Vice-President aiiu General Manager, in referring to the position of the bank, said that an outstanding feature of the Statement was that cash and cash balances to- talled 1164,630,000, or over 24'r« jf public liabilities, total liquid assets being equal to over SZ.SCV, of public liabilities. He mentioned the notable improvement in the market for gov- ernment bonds which took place dur- ing the year, and said: "Canada again proved its capacity to provide the funds required by our public bod- ies. During the year the average yield on Dominion Government long- term bonds declined fron S.COTo to about 4.83%. This represents a dli- tinct and very satisfactory improv;- ment which in due course should be carried farther as additional capital seeks Investment In gilt-edged secui-- ities." Pointing out that the bai.king sys- tem of Canada adequately serves the needs of the country, he said that a Central Bank could perform few ser- vices not available under the present system, and would not in any sense do away with the necessity of re- quiring adequate security tor bank- ing accommodation, nor permit banks to undertake long-term transactions instead of short-term advances for reproductive purposes. Recognizing that the question of central banking is not one to be disposed of summar- ily, he said: "I should hope that if Parliament is called upon to deal with the matter, the Government will first have the project examined thor- oughly by a body of experts, includ- ing several from older coj'itries who have hid experience in the practical working of a central bank. I con- fess to a reluctance to tinker with our financial machinery '.n a time like this." PRICE RESTORATION. "On previous occasions we have sticssed the importarce of risloring the world price structure to approxi- mately 1924-28 levels,. I remarked last year that such action was essen- tial tf the present deflation Is to be liquidated in r.n orderly manner, pointing out that deflation had been carried to extremes and that anti- deflation measures were urgently re- r^uired. Unfortunately, price levels continued to fall until the end of .fune. and the rise which commenced at that time has since been cancelled. The decline for the year, as ii.dicateJ by the United States Bureau of La- bor Index will be, apparently, about 7 per cent., which compares with Vi per cent, in 1931 and 17 per cent, in 1930. The best that can be said is that the rate of fall was apprcciaWV less than in previous year^. "The vital necessity for increasing prices is now commonly recognized, but the difficulty of countering de- flation increa.scs as the depression cohtinues. We must hope that the f(.rthcoming World Economic Con- ference will point the wa;- to con- structive action in this respect. "There is little inclination to in- di Ige in prophecy as to the future. As Sir Herbert stat6<l, there aro In- clinations of a gradual Incrpaso in stability throuehout the world. This is particularly true in Eurtpc, where tonditions were anything but favor- able a year ago. In the United States, the financial crisis Is apparently over, and a return of greater confidence i: in evidence. Many problems of busi- ntss readjustment remain to be met, both abroad and in Canada, but real progress toward recovery has been niade, and the prospect of further im- provement in the coming year is much more hopeful than it wa-^ a year ago, "1 have full confidence in the ihur- acter of our people and of our insti- tutions, and without minimizing the impurti.nce of the problems that must be dealt with, I look to the fu ture with increasing optimism." J ..1 jnaa- I '^ ' "Experimenters of the Bureau of I'lsheries have found it possible to ane^tkatixe an oyster, without subse- quent damage to it as an oyster, or to its flavor on eating, so that its shell will gape wide open, making removal of the anima] a simple matter. "Aiv^atheeia, in this case, is iml iced by imn-icrsion of the oyster in very diluta ack), which, if desired, can be a 'food* add such aa citric, tartaric, or laetfc add. Kot only doea the ra- taxation do no harm to th« sbudied oysters, bnt the trace of aciditj- maltea them kieep be<*<.T." .sv.Norsis. Mury lIurkiiOBH plots to ensnare: The Kly, whom she believes •â- framed" her brother. FJddle, with il-* murder of old .Mrs. Jupiter, and later ran Eddie down and hilled lilin. She la aided by Bowen, reixirter of The .Star. Hiuc-e Jupiter, long absent, returns from Kurope with a woman friend, ths Countess Louise. I>lrk Kuyther. Mary's llanoee forbids h» r to see Howen or con- tinue the Investlaatlon. He says if she goes to Miami on the Jupiter yacht he will believe Urure Jupiter's charnes, that she Is a "gold-dlaaer." Mary «"«» be- cause The Kly Is racing his horse at tllaleah. Mary Is Introduced to Count l)e T.oma. who la listed as the owner of The Flv's horse. She sees De I,oma and fV.untess I.oulse In secret conversation. .She also learns that Mr. Jupiter has a car of the same niake which killed Eddie. Mr. Jupiter explains the car was bought for experimental purposes In hia busl- nes.s as car manufacturer. Enjoy This Finer Quality "SALAM CHAPTER XXXIII. What had happened at Hilltop Inn, as Bowen told it. was this: After waitr ing in vain for Mary to telephone him, he had hired a car and driven out the Dixie Highway to the Inn to see for himself what had happened to her. He found the place empty except for the proprietor, and went inside the frame shack to telephone the Ambassador and ask if she was there. While standing at the wall tele- phone he heard a party arrive and seat themselves at a porch table. They were quiet enough at first, ordering soft drinks over which the woman cooed with interest, but presently their voices rose excitedly. But if I loved you twice aa much, I still shouldn't put up with your lies." "You don't believe me?" "No, my dear Ix)uise. I do not. " At this point dear lx)uiso quit^" lost her head, and hurled a volley of gutter French at her erstwhile lover, who sat calmly sucking at the »tra / of hi* lemon soda until her outburst was over. Not too lost to reason to be crafty, the Countess abandoned her tirade as suddenly as she began it and sank into her chair, trembling and tearfn'. "Well, then, 1 will tell you," she sujd. "I promised to say nothing to anyone. But since you are such a pig, I break that promise. When we get back to the hotel, I show her to you." "Her-â€" who?" "The one I loan money toâ€" the one whose bracelet it is!" "All right, who was it?" he snap- ped. "Well, then -if I must tell you â€" Miss Harkness! But please â€" do not let her know I say this â€" " Bruce digested this a moment. "What would Mary Harkness be do- ing with a bracelet like that? That'? worth $5,000 if it's worth a cent I And why should she borrow money from you when she could pawn it? And why should she need money anyway?" The Countess shrugged. "How do I know where she gets the bracelet? Perhaps some man gives it to her "FresK from the Gardens" The argument seemed to be over al. . . perhaps your father?" diamond bracelet which fell out of the woman's handbag when she took out powder and lipstick to refresh her jaded complexion, according to the man at the counter, who enjoyed a full view of the fracas. "Who gave it to you? Who gave it t . you?" the woman's companion de- manded repeatedly, grasping her wrist. "But it is not what you think!" the woman protested. "It was given to me to hold as security for a loan of money. When the money is paid back, I give back the bracelet!" The quiet this statement induced in the infuriated lover was more ominous than his rage, however. "You â€" loaned â€" my â€" money ? To whom? De Loma?" "Your money?" the Countess retoi-t- ed with spirit and perhaps with jus- tice, for Bruce's allowance was far from princely these days. "When do Bruce snapped: "You're crazy!" But his laugh did not carry conviction. "She does not wish to pawn it be- cause of . . . the sentiment," the Counte.ss continued. "She'd pawn it before she'd let you have it," he decided. "She hates you, you know, becau.se she thinks I'm go- ing to marry you." He realized liis error in bringing up the subject of marriage. "And . . ?" the Countess purred. "We'll not talk about that," Bruce cut her off. "We've talked it all out before a dozen times. I owJ some- thing to my father's wishes. And be- sides, as I've told you, for me to do that would simply mean that he would cut me off without a penny. Life in a Paris garret holds no charms for me, and as for you, my dear Louise â€" " he threw back his head and laughed bois- terously. "Pah! You make always the ex- I ever see your money? No, it was|cuse," I^ouise replied coldly. "But I no longer believe that. Le papa is not an ogre such as you paint him^ â€" ^he is a sweet enfant, that papa of yours! He is not bad like you say !" "No? Call him father and ..ee what a sweet infant he is. Let the wedding bells tinkle ever .«o little, and you'd the money I won on the horserace. And I loaned it to a woman â€" not a man. You aro mad if you say I â€" " "You gave it to De iToma." Bruce repeated calmly. "It was a woman, I t«ll you! Stupid, what would a man be doing with a bracelet like that?" "I am wondering," Bruce replied. Bowen, who had now possessed him- seli" of a knothole view of the proceed- ings, wa.s convinced by the unyielding hardne.'iS of Bruce Jupiter's expression that tho incident had opened up a new Vein of thought to the young man â€" and one which might prove fruitful. The Counttss, obviously frightened, re.sorted to tears, recriminations, p^>uts and sob.s. There were wails of "You arc a beast. You >'o lot love me!" "Oh, yes. 1 love you. my dear Louise. see!" "If we marry first and tell him when it is done- â€" " l/ouise persisted. "No, I tell you!" "Very well, then. Suppose I tell you it was De Loma?" Her tone changed to a shrill fishwife scream. "Why should I not help him when ho is in trouble. Is it nothing that once we well- lovers? Ila, you did not know that, did you? I tell you this now â€" 1 loveti hirn more than over I have loved weren't feeling wtll,"' Mary stam- mered. The Countess averted her telltale eyes. She walked about the room rest- lessly, stopping to shake an empty packet of cigarels. She tossed it away angrily. "Come just as you are," Mary urg- ed. "There's no one about" Perhaps Louise surprised herself as well as Mary, but she came, wrap- ping her robe more securely about her. Perhaps her tiff with Jruce had made her welcome female company for a change. "Tea?" she exclaimed scornfully. "In this weather? Horrible idea!" "Iced tea. The American version. It's really very good. Try it" With a pronounced sneer on her lips, Louise stretched out a white bare arm and accepted a glass gingerly. Midway of the soft round forearm flashed a bea itiful diamond bracelet. "Oh, what a divine bracelet!" Mary exclaimed. "Have I secTi it before?" At the same moment that the words came from her lips, the realization came to her that she had seen )4 be- fore â€" on the arm of Mrs. Jupiter! Of course, that was what happened. The Fly, unable to dispose of the loot be- cause of the tremei'dous publicity given the case, together with a minute description of the jewels, was reduced to the expedient of borrowing on it from his ertswhile love. He must have been hard pressed for rnonay, and probably risi'eJ letting it out of hi^ posse.>«ion only on that hard-headed business woman's insistence. But chance had foiled their inten- tion of secrecy. Or had the Countess let the beautiful bauble be seen de- liberately? Bruce's affections needed whippir.g up. if Mary was any judge. And a little discreet jealousy would do the trick! The Countess stood withoui; reply- ing. She had no idea how De Loma had come by the bracelet and the thought that Mary might be speaking seriously dis<iuieted her. This was only for a moment. "Do you like it?" she said negli- gently. "It was a present from my â€" from my former husband." .Mary felt a choking .sense of e.xcite- inent. She must get that bracelet! It would be damning evidence against The Fly! As she stood turning the circlet in her fingers, thei-e came a loud rap at the dwor. Both women jumped. (To be continued.) In Defense of Mountains I wish the poets wouldn't cry That hills are hunched against the s'.ij To me .1 hill Is proud a-id straight And would not bow t.i any fate. What Itsson could a hunched hi' teath? What l>*sson could the Psalmist pi-»-?.c About a mountain bow^d with feais. Or weighed down by tho world's â- â€¢;> years? A mounUin holds her proud head ii!;-' To clear or darkly lov.cring sky; And even when bttrm clouds ronii her race She lifts to heaven a. trusting fart Mountains have learned the patlpne of time. The wisdom of silence and faith «>il lime; And ever and always my glad he.ir thrills As I lift mine eyes unto thi. hills. â€" Mary Kalherlne Newton, la "Rippb; From I.ake Charaplain." «â-º Rocking 'Osses For Officers Washington.â€" Officers of the arm air corps will in the future have t ride to their planes in motor vehicles Appropriation for 97 riding horsei now used at various flying fields fo exercise and pleasure have been cu from the army supply bill. This action was taken after Briji. Gen. B. D. Foulois admitted to th' committee that flying officers couU get their exercise more effectively b: riding gymnasium horses than the lin type of four-footed animals. â- ^- Bicycle Tax Imposed in Austria Llnz( pper Austria.â€" A bicycle rux of 70 cents a year as a last resource to overcome financial diflicultles, has been adopted in a portion of this Au« trian province. you ! At least he is a man of his Janet Qaynor's holiday in Hswall evidently Is agreeing with hsr. But be careful, Janet, Holly- wood frowns on too much pound- age! Just a warning word and that is more than you are, Monsieur Bruce Jupiter, the artist!" Thrusting the bracelet defiantly on her white arm, the thoroughly heated young woman flounced off in high dud- geon. .\fter a brief interval there sounded from the road tho low chuckle and roar of the Ix)rimor's engine starting up and tho diminishing sound of it,s passage into the distance. Bruce continued to smoke in silence. If Iy<iui.se's taunt had jarred him he <lid not show it. Bowen slipiK-d out a back door to his own car. Howen had a notion this would be an excellent time to secure a snapshot of the lady â€" while her cavalier was far .iway, an<l in no moo<l for smash- irg cameras or reporters' noses. "She got away from me, though;" Bowen conclude*! sadly. "But I'm laying for her just Ihe same. Borrowed a graflex (vmn one of tho picture men on the News, and I'll be hanging around tho front do<^)r of the .Anibas.sador. Listen, cha.ie her out to me, can't you? It's a swell chance. Tho sun's right, everything's O.K. I've got a hunch I can dig up some dirt on her if tho boys in tho police morgue get a good look at her." "I won't promfse anything," Mav\ said. "I can try, hut that's all." "O.K." Mary replaced the receivi"i on tho hook th n-ghtfully. .-Vfter a mon.ent .-he took it down agoin and asked the clerk if the Countes.«i had come in yet. Told that she had, she asked for room service an<l ordered sandwiches and ice<l drink.s sent to her own room. Then she wont down the hall and tapped on the other woman's door. "Who is it?" came in muffled tones after a moment's pause. "It's I," Mary said gently, trying to soften the blow. Louise must have hoped to hear Bruce"? voice, contrite and pleading. "What do you .vant?" I'he door was jerketl open. The Count***' eye* bore the trace* of recent tears. 'I've sent for some tea â€" I thought | I you'd like some- I didn't know you 2 PlanU Draw Much Water Two chaparral plants found grow- ing In California at an altitude of about a mile draw from the soil and transpire Into the air some twelve gallons of water a season for every foot of leaf area of the plant. » LITTLE THINGS It is largely the little things whicn make a masterpiece of art; It Is the little things which make men and women truly fine.â€" Edgar A. Guest Gei Rta of That SORE THROAT! Any little sorenes-s In the throat grows rapidly wor:« if neglei^led. Crush some tablets of Aspirm ia some water, and gargle at once. This gives you instai»t relief, and reduces danger from infection. One good gargle and you can feci saffl^If all soreness is not gone promptlj', repeat. There's usually a cold with the sore throat, so take two tablets to throw off your cold, headache, stiffness or other cold sjTnptoms. Aspirin relieves neuralgia, neuiitis, too. Use it freely; it does not hurt the heart. ASPIRIN TWADt-MABK BBO. IN CANADA