Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1872-11-14
NO FINANCIAL PANIC

no FINANCIAL PANIC.
With the first reports ofthe burning
bo.ton there naturally went abroad up
prehen sions of a financial panic In conse- I
o.ence OF the calamity. The condition OF
the banks in the burnt district was In
aoubt. 1t was feared that many Of the In.
suTrance companies would be unable to
meet their losses, and that the failures OF
business firms and the sharp demand OF
needy. creditors would create wide
spread bankruptcy. The shock was ieit
In Wall street very perceptibly, and in
proportionate degree in the smaller busi-
ness and moneyed centres in the Eastern
and Middle States.
But as time passes confidence returns
and better feeling prevails. 1t is found
that the insurance companies with the ex-
ception of those located Immediately in !
Boston will in almost all eases be able to
paw their losses in full. This is not only
a vast relief to Boston, bu. lifts great
weight of uncertainty and anxiety from
the country at large. The payment Of
the sums due from the insurance compa-
mics will individuals and companies to
get upon their feet again, to adjust their
balances. to be less pressing upon their
creditors, and render the money market
easier. 1t is one of the most favoring iea-
lures In such calamity that the insurance
companies are proving so we'll able to en-
dure it.
The banks likewise are in q better con-
dition than seemed possible at first. With
one or two exceptions they have resumed
business again. The loss BY them Isl
small, though they cannot be otherwise
than crippled and embarrassed just at
present by the circumstances in which
they are placed. The fire did not succeed
in fastening itself upon the money centre
of the city, but was baffled and beaten be-
fore it had well passed the threshold.
The business interests which suffered
severely were the dry goods, the boot.
shoe and leather. and the wool trades.
Although these seemed at the first glance
to be annihilated by the blow, it is .ascer-
tanned that their condition is not beyond
repair, nor so calamitous as it might have
been.
Had the fire coma q month earlier II
would have found the boot and shoe stores
crowded, but at this season their stocks
were reduced. Then there were large
portions of many stocks saved. Indeed
it is believed that nearly every firm on
Pearl street will be able TO continue bust
ness and not suspend payment and that
in very short time they will be able to
meet their customers with quite as good
stocks as ever
The condition ei the wool and dry goods
trade is not so favorable as that of the
boot and shoe trade. The loss in wool /,
heavy, but it was we'll insured, and por
ton of it was owned elsewhere The
owners are hopeful, and preparing to star
again as soon they can conveniently Dc
so. In the dry goods business the fire
swept away almost everything. There
was,' says the Advertiser, shut one pure
~ jobbing house in the city untouched.
Nearly all the wholesale houses, and the
houses closely connected with them in
the wholesale clothing business, without
any exception, have been swept away.
The warehouses too were rather fuller than
usual at this time of the year. There
was an immense amount of insurance on
the property destroyed, but ofcourse only
fraction Of it will be paid over. The
merchants in the dry goods trade have no,
yet completed their arrangements, no,
even ascertained how they are likely tt
stand. They are compelled to wait fo
each other, to look over their books, t.
learn what per centage of their insurance
policies will be paid, and test the tempe
of the market. But even while they arr
uncertain what will be their future, they
are one and all plucky and determined
Very many of them will certainly stant
the shock without wavering; many NOR,
will come out of the difficulty safely, bu
seriously crippled. Some perhaps, vii
not be able TO Withstand the shock"
Thus while there is heavy loss there il
the financial ability still left upon which
TO take a new start, and what is equal,
important. the will and energy to do. n,
stringency of money is looked for. but OF
the contrary 1t is believed that money vii
be plenty in Boston. This consideration
should not prevent those who are debtors
to the sufferers remit,ing their dues al
soon as possible. They will receive al
thankfully, and they will know better how
they stand and what they can do in the iu
,ure if they meet with generous remit.
tances. But there is no probability Of
any financial panic on account of the fire
The worst is over, and, in few weeks,
the wheels Of business will again be NOV.
ing briskly.