New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1873-10-31
A. & W. sPRAGuE,s PROSPECTS.


TIE SITUATION AT PRov1DENcE-THE COMBINATION
OF BANKS TO SUPPORT TIE "sPRAGUE" BANKS
A SUSPENSION OF HE FIRM DdAfNENT-NoNEY
MUST BE RAISED AT ONCE, OR TIIEIR PAPER
WILL GO TO PROTEsT-ANoTHER MEETING OF
BANK OFFICERS TO BE HELD TO-DAY-THE GEN
ERAL TRANSPORTATION OF TIE sPRAGUE
INTERESTS.
lBY TELEGRAPH TO TIRE TRTBUNEl
PROVIDENCE, Oct 9O.-The excitement in regard
to the house Of A. & W. Sprague 81 Co., which has
existed here during the week eliminated this fore
noon when the telegraph gave news from New York
that the suspension Of HOyt Sprague's d Co had
been announced there. Up to that time there was
decided Improvement in the feeling, and the general
Impression was that the house would be sustained.
The well informed still declare that the firms assets
largely exceed its liabilities and If its affairs can be
kept out of the meshes of the law, that eventually
full payment of all demands can be made. There is
large amount of Sprague" paper held by banks
throughout this State hut State officials assert with
authority that one Of them, except the three So
called "Sprague banks" the Globe, First National,
and Second National has much as to cripple il OF
even TO cause il to pass dividend IN case of the
suspension of A. g. w. Sprague. These three banks
are backed by a combination Of the national banks
of the city Whose united capital is $l50O0,000, who
pledge per cent of their capital to secure the
$4,000 due from those banks TO depOsitOrs.
Yesterday four banks only remained outside the
combination, and Bank Examiner Mygatt stated
this evening that three of those to-day came
Into the arrangement, making up the Sl5,OOO,OOO
capital necessary so that the Globe First National,
and Second National are now safe. Bankers say
that much of the "Sprague" paper is held outside
Of the State. The suspension of the NewYork house
isappaTenty an unexpected blow to A. q w. Sprague.
1t must inevitably ruin them, unless Providence
banks and capitalists furnish the million dollars
asked and now it seems probable that much
larger amount will be needed TO keep off the crash
No notes Of A. & w. Sprague fall due to-day. Some
are expected to tall due tomorrow, and it is not
now believed they will be met The bank officers
met again to-day at II o'clock, but adjourned
without action, as the Committee OF -Four
which was appointed yesterday to report II
The sl.OO0OOO asked for would suffice to carry
A. g. w. Sprague through, and to decide
ON the acceptability of the securities profered,
and 70 take legal advice on the validity of the
mortgages. desired further time. Another meeting
will be held to-day, when-so the Committee and
The firm state-a complete statement of the position
OLA. g. w Sprague will be made, and thorough
Milan of relief suggested At noon to-day the firm
stated that they had not suspended pay
rent notwithstanding the news OF the
failnre of the New-York house. They declared
that the Committee of -Four appointed by
the bank officers will be ready tomorrow
with report which will certainly be highly salts
factory 10 the creditors Of both A. d w. Sprague,
and Hoyt, Spragues g. Co. The surplus OF available
property over all outstanding liabilities including
liabilities upon acceptanceSof Hoyt. Spragues q Co.,
will not be less than S1l 100000. plan will be pro-
posed at the meeting. accompanied with detailed
report of the situation of the firm. which WILL If
carried ont II ia believed render the embarrassment
of A. & w. sprague, and Hoyt, Spragues q Co. Of
Temporary duration.
This evening Benjamin r. 1burstOn, counsel of
A. g. w Sprague was much less hopeful. He de-
eared 10 your correspondent that the relations Of
The two irms-Hoyt, Spragues a. Co., and A. d. w.
Sprague-are 40 interviewer and dependent that the
failure Of one must follow the failure Of the other
As notes had come in to-day, he said, payments
had not been refused, bat unless the banks
nj Tomorrow meeting should pledge the 900 600
asked for the paper Of A. * w. Sprague will go TO
protest in the afternoon. II is not impossible be
confessed. that payment may be suspended In the
morning The failure Of Hoyt. Spragues d Co
is q great blow. When asked how "A. and w.
Sprague can claim a favorable exhibit OF
assets and liabilities if suspension Is i'm
pcndipg. he said that their assets are
Immensely valuable and over $l4,OOO.OOo as as
serted. but they cannot turn their resources into
.asb and are At the end Of their credit They will
not 20 INTO bankruptcy If they can heip IT, pu' WIZ
se their property 20 pay their debts fast a. posi-
bic. They are anxious 70 pursue the coune
which shall most benefit their creditors.
What tbey strenuously desire is to raise
money enough on their unimpcacbable securities TO
continue business when they are conbden. q" ae
usnds would finally he paid in full But the Oh"