Daily Davenport Democrat. [volume] (Davenport, Iowa) 1864-1874, 1867-03-07

Orricg AMERICAN ExrREss CoxrANY,)
Nos. 1872 & 1874 BROADWAY. N. Y, :
February Is. 1867.

February 10, 1907.
DEAR SIR:-Ths mausgers Of the Amor.
can Express Company have deemed II pru.
dent and for the best interest Of the stock>
holders to omit the usual quarterly dividend
payable on this date, - that the entire earn
ines Of the company may b used In carry<
ing on to successful result, the competi-
ton formed te black mail this and other
established express companies. Neither self.
respect nor the permanent financial advan
tage Of the ockholders will permit any
compromise with the already staggering
company known % "rho Merchants Union
Express"
In making this explanation Of the reasons
for passing the dividend, 1t 10 due TO those
who hold the stock Of this company - an
investment, to caution them against parting
with it at present market prices, which are
much below its real value. It 10 evident
tnat competing express companies cannot
long continue to operate upon the same
lines, and it is clearly tie policy for this
company to sxpend every dollar Of its cus>
rent and surplus e1rnings. and, II necessary,
TO assess its 8, ,ockholders, to insure complete
and lasting victory, rather than TO abandon
a struggle which can have but one result
The circular Of the managers of the "Mer-
chants Union sent out as apologies for fresh
assessments, and the advertisements pu0>
lishei to bolster up their sinking fortunes,
contain positive proof Of their ialsisy.-
The extravagance Of their expenditures,
the recklessness Of their management. the
desperate expedients to which they resort
to secure business done at positive loss,
and to deprive other companies Of the ser
vice Of their agents and employees, by treb-
ling the salaries paid them, oil attest the fact
that they are losing faith in an enterprise
undertaken to be abandoned whenever its
projectors could command their price.
Under these circumstances, the managers
| OF this company are 30 confident Of ulti
mate success that they refuse to para with
their stock and il will be gratifying for
them to know that their partners, who have
shared hitherto in tho profits Of . paying
business, also decline to sacrifice their
stock. which cannot fail ~ become - valua-
BILE a. ever, and that they continue to use
their influence to promote and protect the
interests Of the company.
Respectfully yours,
HsNRY Wills, President.
JANIS CsGARGo, Assistant Treasurer.
To NoRnis wissLow, WatertOwn, N. Y.
MEscuAxrs' BANK, !
Wa.srtOwn, Feb. 18th, 1867. (
Henry Wells. Esq. Fresident American Er.
press Company:
DsAH III an in receipt of your cir
cular bearing date Feb. 10Th, 1867, saying,
"Tho managers Of the American Express
Company have deemed il psudeut and for
the best interests Of the stockholders, to
omit the usual quarterly dividend, payable
on this date, SO that the entire earnings Of
the company may be used in carrying or, to
. successful result, tho competition with An
organization formed to black mail this and
other established express companies. etc..
etc.
must confess had much rather receive
| notice that you were able to declare your
usual quarterly dividend. than that you had
foolishly spent oil of the earnings Of the
company for the past quarter, in carrying
on war (waged BY you) against the "Mer
chants Union Express Company" and that
you propose to carry on the strife until you
expcnd every dollar Of the current and sur
plus earnings, and, il necessary, to assess its
stockholders.
Ny stock in the American Express Com
pany has already fallen In masket from el..
30 to less than co cents on the dollar, and
| am now requested to hold until the offs
GERS have spent ''erery dollar trying to do
what they must see will only result in the
| destruction Of tho company. The generous
support given from oil quarters to the Acr
chants Union Express Company is conclu>
sve that the American people have no sym
pathy with . company that publicly say
they will destroy legitimate competition, Or
''die in the attempt''
If such q course will cause my stock TO
''again become as valuable A. ever" it will
be contrary to all past experiences in the
management Of corporations.
On the contrary, il you divide among the
stockholders the vast amounts paid for
publishing articles signed "Padlock," !"
Stakeholder" and other larger and more
foolish expenditures, and give the same At
ten;ion to the legitimate business Of the
company, my stock would much sooner
command respectable price in market than
it will under the present management.
Your obedient servant,
NoRBis WlXsLow.