The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1857-08-28


Troy Union Rairnaa Company, ten thousand dollars Of
which arc advertised Ia DO sold Hartford the first OF
sepe mber to pay two notes OF the Hartford Providenoe
and Fhos Railroad Company, r % 600 eaoh, endorsed
by A. d w. spsasus, or Providence and unier pro
test.
The grea and rapid decline which has been realized ia
the stock CT the Pennsylvania Coai COMPANY iz have
taken these interested completely by surprise Tho fa
has thus far been seos thirty Per osnt ana the prooa5
lily tina. much lower prices s rule before The aps,
many weeks The financial report Of sis company, puo
iisned few weeks slnce showed nominal balance o.
s2S9 saS 20, which Il IN assd capai and IL. OF COURSE
unavailable for dvld nd purposes Tho floating debt Of
the company ha' incrs'ea sH5ss2 ST. who its n,so.s
show iroreas Of only si23 $50 98 making deficiency
OF ST. 45o AZ compared with tho financial exhibit or May
1866. The company have been e therefore without The
means or psying the nrasi seni dividend i.aou
pursSitg he usual course borrowing money. Is well
known that for SEINE as past dividend has been paid
without making mes loan Tho company has boon
paying larger dividends than lis actual net earnings would
jutify By doing, both lie funded and lie floating deb
have BEEN DcUssed The business AMI earnings Of the
company are subjcc to too many cou,ing to lsfy
such a rolcy as the nanagofucn. have been pur.
euiug. IrseM OF providing surplus to mes!
such cansrg nces yetucsd prices and reduced reoee
the company hsx declared dividends which required
new and decreased indebtedness pay and got tho
nspsgers Of this have for long tine bseu con
sdered among the sbrcvdess business In the city
The result Of their operations shows heie utter ncapaoy
for the positions they occupy. The stockholders in thai
veil 10 all ether iscorpo; rated psaio In
10 lame for the delinquency wbioh ia to fol-
ow The payment Or uEeareei dividends. They not,
general 'hag, tasse, WITH being odd th. Inc profits
h'vc gon9 lao conrruccn recount TO give greater fsoi
,iss frT rrcatcr hus'ncss but they claim every cent
rttpv
resusr dividend days TIL, craving the part Of stock
bold, rs is for hs management, aud canaot
ercapc /: ia their duty to know whether the
ccur gercios OF The years bJsuess III impair capital
not and they shou DO neli answersbs, II not respon
rbe for neglect Tho stockholders of the Pennrylvs
nis Coal Company received no inimaton until the
vcJy last n ouort nat tie August dividend would be
pn,ltd. /: came uron ;hem Ike thunierboi from
clear Ely. When doubts ani Suspicious that there
neshng wrong In the companys nnsaccs first appeared
the scck eavered for moment and then fell cG per
cent Confidence In this had become 40 firmly
established that Interested would for moment
believe possible that tho company usd psssed s dig
dend. The fact, when officially aauouncoa, must have
created great deal Of distress ia many domestic c.rse
and deprived many widow ard orphan Of their only re
scarce We understand bat tie stock OF tbs company IL
more ssne,ally datrieuea amorg women and children
AID generally invested In BY uus;ees Of es.aee than
any oher In the city country in proportion TO IL capital.
Il drcac TO contemplate the distress which tas naa
cha smbaYrass nc5ts OF this MAJ: produce Ia
sany houishol Tho future Affords hope coasola
ton .ho,e depending upon this investment. for support,
an the only ncnt counsel In the mat Is 10
realize and pace the proceeds where they will DO
lees productive ct least where they win be beyond the
humorous contingencies which surround all coal
co nrAncx. Trustees Of estates representing women
and children have no right 10 endanger The trusts
contded 70 tnem by such Investments. II the
msrsgcrs OF the PsnnsylvsDia Coal Company
10 and eel upon The principle put forth 10 the s,,
aeneni there be dividend for several yesrs, at
The beet and they cannot help acting upon the principle
referred TO. No more money can be borrowed to gay
dividends. aud any attempt to do would sink the
rany deeper ard deeper In is cmbsrraseus and irsol
vency Tho oans and funded debt viii absorb for years
the ne, sArpngs with uninterrupted prosperity and the
absence o. all adverse From tne extent OF mo
immediate Indebtedness, and the maturity Of the
Funded debt, 1t DO easily that tho probabilities
a dividend TOR many yesrs poor indeed We have
DESIRE NJ The present monen to go deeper into the pos
lion and prospects Of This coal company, for
lous that those little able TO bear further depreciation In
the value Of the stock know many holders TO DO,
.houid realize and 70, clear Of the wreck while Is yet
time to save the bnlk of heinvcstmen. II spectators
viii buy al anything like prcscn, prices much
"
ritz with the hope Improvement In prices return
10 lae pay men OF dividends for Just improbable
~ tho ether and neither the other be realized
for years, perhaps never. dividend paying ccsi
siock arrears u.s. usi be sbcul bal nyes.ment
az can we'll be inrngiacd.
The circular Of Meszr Dapee, Perkins saYies, dated
bcs,or Augua 20 1857 contains the following udlcious
remarks In relation 10 manufacturing rapanies generally
and hc manufacturing .scrcs Of New England in pAril
lar
The few sacs recently made q. lower rrurcs lhAn
the quotations Of Jny H. crisis in tho co,,on msnufao
turing interest seems 10 have arisen, not unko that which
took place IN 1912 and 1873, and The esgenccs VI the
sort limo seem 10 require similar course Of policy With
ont ccapinaing all the causes Tor The depreon 10 sta
IA the rapid accumulation Of manufactured fabrics
showed plainly that there we're too many sndes IN
ration 10 proportion 10 the regular CONSUMPTION Ia 1873
our wsely resolved reduce the speed CT
The mills twenty per cent From this followed redoo-
lion q coat Of Aoer ~ q ne 70 speed Of inc ascnnesy
than n the former very hsh srctd the beneficial re-
sults, aided by the general mmoven.nt In ousioos
the crrarent o. the production Tho valre OF uianufsc
turing stocks appreciated largely, IS v &c seen by tho
table below they btcsme avoTite Investments for capt
tss- me large diviacn-s were rcinvcs'eo 10 mills
until in less than eight years rom he dae OF universal
nasly ,ho actual demand for homo con,umpon OF the
coon fabrics In far greater ratio than tho In
cTee q population aud during tne lat thirteen years
IN, expor trade hs. become most iu''rsn, cutie, Tor
our snrplrs production. In tho ordinary cour,e n
commercial Affairs u great addition 20 or spades might
been maze without FERROUS denent 10 tho proaG ~
IN. mills, B.i cSb,eGsiBF with dec OF
exror,r ESPECIALLY 10 China with the proe NJ the
srts doubled l54 with dear prcsds;gs Tor raj
successive years lerstbrg the ability Of The 10
ray for moro than the absoiso ncccxsar;es OF hio Aad
more han ell With nc anomaly az lover pTioeG for al
abtc relatively than Tor any ether oivs Of nerchandrc
whatsoever.
ADDED oil thcsc ticul,cs tho market vsuo on
racOrnE during the Jea~s has bsen greatly
epfecsed below their merits owlrg the gro sing pre-
uc-r arsne. the OF bufncss corporations
tdvcng active capital from the market Taue OF the
cotton mills IN the , on the r-- rage Of this crcuiar II
will be found that ia the Aggregate they worth lcss
thar efty per Of the a,ai originally inverted. Hut
acs redginf the superiority OF cvidra corporate
management 80 lors ss nsoessi'y hiss existed and 10
grta extent, ,t ernn, for associated capital viii DO
found hai inc manufacturing corporations II New In gAnd
have been managed with fer ability and integrity,
inc excepted than obor cass OF Joint stock
cor MOI Tor years past have the dividends
compared upsvosaby tho banks exoepsd with any ether
class Of public Investments
Ths remedy FOR tho present depression n 9, hand.