ÿþItaly was not immune to poor crops, due to adverse weather conditions in 1927, and in common with other agricultural nations suffered proportionately. But the situation is rapidly improving, and the increased demand for fertilizers indicates a better crop this year.
Among other favorable aspects of the general situation are an increase of 14% in the yield from taxes on sales; largely increased tonnage carriedby the railroads, . 8% greater consumption in electric energy during the first quarter of 1928 than in the corresponding part of the preceding year, and a great decrease in part-time work. 'The Italian bank rate, which not long ago was 7%, was reduced later to 6ýÿ% and recently to 6%. A further reduction is probable, but under existing circumstances the present rate is considered satisfactory.
The capital invested in water power has now reached $600,000,000, including $80,000,000 placed abroad, principally in the United States. So sound is the confidence of American bankers and investors in Italian miscellaneous securities that there has be en an average advance in values of about 10%, or at the rate of $100 per $1,000 par value, in bonds so placed. One of the best indications of this confidence is the willingness of American bankers to accept membership in the directorates of these
industrial corporations. . '
A further pertinent factor is that the amount of capital employed by eight hundred Italian banks has increased approximately 45% during the last three years, that is, from about 3 1/3 billion Lire at the close of 1924 to about 4ýÿ billion Lire at the present time.
. Since J anuary 1, 1928, a number of corporations have' increased their capital and dividend rates, and quotations are now in many cases higher. These revised figures will be furnished to any one desiring them, together with any other information at
hand. . ,
With these comments this brochure is offered with our campliments, and in the belief that it will graphically íllustrate the condition of Italian industries and banking institutions during the year 1927.
.june 15, 1928.
J. A. SISTO & CO.