To the Editor of the "Nomru-Cuina Darky New Si—I have recently noticed several sales of Cheng Rubber shares [soorded at 40 cents, Doubiless, like myself, the ore many people who bought these tone of our slat performers, and some Jor these people may have been sreatly discouraged at the apparently poor showing disclosed by the recent ba-Tone sheet.
For the benefit of those holders not Jconvérsant. with financial ailairs. would like to suggest that unless they urgently "require the "money. they [should not part with their Ju June'and consequently experienced the worst quota it was possible to get, hence their cost of production [pears colossally high compared with nce estates but with the quota for the present year the production cos jean be anticipated to go back. tu [normal again, Furthermore the price at which rubber has stood since the balance sheet was published should have ensured that the stock of unsold rubber then on hand, when realized, more than offset the fon the year's work 'A conservative estimate of earnings per share under today's conditions is Jabout 26 cents local currency, so thal fon a 10 per cent. of earnings basis the sheres might be worth $1.60 and should also be borne in mind that very soon this particular company will have completed a hall-year's working.
Local investors do not yet seem to have realized the cheapness of most Shanghai rubber shares, several of which stand at prices "lower than they did in 1937 when exchange and the quota and price of rubber were not very different from today whilst it should not be overlooked {thot " earnings of Shanghai-owned rubber companies are in foreign eur= Foneles, cither guilders or Straits Shanghai, Nov. 1.
Text read from the printed page and cleaned; old type leaves the occasional error.