The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1875-07-28
FURRY In WALL STREET.
Suspension Of Duncan, Sherman
& Co.
CONFIDENCE RESTORED AT
THE CLOSE OF THE DAY.

FIRST DEsPATCH
New YORK, July q, noon.-Duncan, Sher-
man & Co. suspended this morning, causing
great excitement.
SECOND DESPATCH.
Gold has been up to 1164, owing to the failure
of Duncan, Sherman & Co., and reported
trouble in other firms, but receded to ia again.
There is still some excitement on the street, but
it is subsiding.
THIRD DESPATCH.
A traishtfOrward Card from Duncan,
Sherman Il Co.
New YORK. July 27.-The following an
nouncement is just made by Duncan, Sherman
& Co.:
A careful examination of our business and
affairs shows us most Unexpectedly that
through losses and misfortunes our available
as sets are so reduced that we are compelled to
go into liquidation. We reached this CON
clusi0n with the deepest regret, but for the fact
that up to the latest moment our uneXampled
credit having remained unimpaired, would
have compelled us if we continued business to
hazard new obligations and receive new. con-
fidences, which we were unwilling to assume.
For the protection of all our creditors without
distinction or preference, we have this day
made general assignment to William D.
Shipman of this city, whose address for all
matters connected with our affairs will be at
(Signed) DUNCAN, SHERMAN & Co.
Causes of the Failure
1t is stated that only day or two ago Dun
can, Sherman q Co. were offered ST, 900 900 for
four months for four per cent on its own
paper, while their bills on London sold within
one. fourth per cent of the very lest on the
market A multiplicity of causes led to the
suspension. The firm has lost heavily through
extensive operations in cotton, losses by breach
of confidence and the bad debts of agents and
others during the past two years. Their liabili-
ties are estimated outside at five to six millions
of dollars and are scattered throughout the
United States and Europe. The firm has al
ways done large business in letters of credit,
and unless these are protected many Americans
travelling in Europe will be embarrassed. The
firm, or at least some of its members, have
been prominently identified with unfortunate
railway enterprises, such as Erie, Atlantic and
Great Western ami others of a similar charac-
ter. AS to the assets of the concern no esti-
mates can be made at present.
FOURTH DEsPATcH.1
The Failure and its Efect-ConGdence
Restored ut the Close of the Day.
The day closes in Wall street quiet,
with confidence very generally restored,
and with the belief that the sus-
pension of Duncan, Sherman & Co. will
have less effect than was at first thought. 1t is
safe to conclude that there will be no other
failures as the result of this the losses falling
ment. The house few years ago had a very
large domestic business in deposit accounts,
but it is believed that during the past year this
has been considerably reduced. In the foreign
exchange market the best opinion is that not
more than $4,000 in bills Of the house are out
standing and unaccepted. it being the dull
season with them, good part of their ex-
change business having been made on cotton.
As TO assets, it is feared a large part of them
will be found to consist of Southern securities,
as well as railroads. like the Atlantic and
Great Western, which have doubtful value in
the market. OF the liabilities already reported
at between five and six million dollars, one-half
was on the Union Bank of London and the
Bank of the State of New York. both of which
are said to be fully protected. The immediate
cause of the suspension is said to be the large
advances on cotton made from time to time,
and that yesterday Barring Bros. of London,
ascertaning that the firm was embarrassed,
refused to receive their bills.
Judge Shipman has been hard at work ali
day, and it has transpired that the bills of the
concern will amount to over 6120,000 There
are very few exchange bills of Duncan, Sher-
man q Co. on the street, and these, it is said,
are held by L. Van Hoffman & Co., who are
also rep orted to have engaged 100000 in gold
coin for shipment on Thursday The house is
said to hold a large amount of cotton in Liver
psol. Most of their cotton contracts in this
city were settled however, before the failure,
and thu depression caused here was due to dis
counting the probable depression in Liverpool
The quotations for the August crop opened
this morning at 14f, but news of the failure &C.
casioned decline to 13a. The feeling is now
better and there has been an advance to 1871.
About three-fifths of the debts of the firm are
held abroad, while the remainder are held in
this country. The Erie Railway is in no way
affected by the failure, as its account with
Duncan. Sherman & Co. was closed six months
ago. The Commercial Advertiser says the
Union Bank of London, the largest joint bank
ing firm in that city, failed to-day. The pri-
vate telegram announcing the failure assigned
no reason for it. The failure of Duncan Sher-
man & Co !, caused the most intense excitement
on the street, and stocks dropped to per
cent within half an hour after it became gene
rally known on the Stock Exchange. The re-
covery was almost as rapid as the decline, ex-
cept that the recovery did not get up to the de-
cline by per cent. The features of the davis |
Mail and Western stocks Towards the close,
confidence having been almost entirely restor- |
ed. the whole list was strong. Transactions
aggregated 267 800 shares, including $4,000 Wes-
during the excitement simultaneously in the |
room at % and 70; 5000 Lake Shore at 613, So,
59a SO; 10000 Pacific Mail at 3Sa, 80, "a. 3S44
81; 1880 Northwestern at 41s, 361, 49, 39f;
10,94O do preferred at 554, 52a sig; $1,000 St. |
Paul at 36a "a, 3544, 35s $500 do preferred at
59a 81, So; $500 Oh!os at 23a 22B 22s 224; 61OO
Erie at al, 14aa, IA; 1000 Union Pacific at 74I.
SO, 72a, II, 7235, p; 5000 New York Central at |
1O4 1O2 103, 102, 1887; 5000 Rock Island at |
1851, 1904, 1044 1885, 1900 Wabash at 81, 81, 63,
6, Ct: 100 Indian Central at 81, Al; 1000 Pana-
ma at 131, 1872, 133
Excitement ON State Street.
Boston, July 27.-State street has not wit.
messed sIhce the war such degree of excite
ment as prevailed there this forenoon, conse- |
quent upon the reported failure of Duncan,
Sherman & Co.. of New York. The gold mar |
ket opened at 112a, and when the news was re-
ceived was selling at 111a. Within the short |
space of fifteen minutes the quotations bound |
ed up to 116s and receded to 113a. The effect |
of these pulsations was to entirely demoralize |
the market. The highest transaction reported |
was at 115a. The stock market was also effect |
ed, and stocks declined from to percent,
followed by slight rallyings.
The Effect in Chicago.
CHICAGO, July 27.-The failure of the New |
York firm of Duncan, Sherman & Co. bad |
little effect here. The only two banks con-
nected with that house are involved to but a |
small extent. Duncan, Sherman & Co, were |
the financial agents of this city in New York, |
but it is believed that the last payment on the |
city bonds for which money had been for |
warded to them, has been made already, and |
that the city will suffer no inconvenience In |
the Board of Trade the feeling was not more |
unsettled than it has been daily for the past ten
days, and fluctuations of prices was less severe |
than usual.