Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1880-05-22
Financial Crash.

hiranv!ai ora;ca 70 irhiiade!phia were :hrosa
into somc'tl,s almost appr jaohiog panic yos
ttrdny aticrocol ny tho rumor. which was
shortly Afterwards confirmed tbst the Readice
Railroad sud Coal and Iron Company had sui-
pended. TIE greatest excitement at ouco pre-
vailed, both Oh Third and o. Walnut streets,
the c 'ai nien 5'iog as much ALARMED ct tho COL
arso Is these directly i1t:ri s.cd 10 Reading
stock. A: Gus O'clock tho annourcmsrt was
made that tho PHILADELPHIA and Rsading Coal
AID Iron Company had suspended payments,
beng uasbc to meet its obligations. 1t was
inst said that srmo OF tho notes CT tho compsny
had gone 10 protest; but, foay. as far as ary
auihcnlic iblornati;n could bo obtained, it was
generally repeated that tho checks Of the Road
iug Goal and lroo Company oo one of the city
bllks had been returned dishonored. Tho en-.
tire street WAS la terment, aud out of the door
CT Ito Stock Board. clerks end brokers aad
u'st1c specu's:tr' were oors aat!y bursting and
rusilaS 10 their Offices 10 tho txsouton of b,r.
gains. When tho rumor was orc, !i,pcd il
did not n, Cd Wiog lips to holp il on its mis-
SLOT; aad before half 90 hour it took q dcz,n
different shapes and assumed magnitude
which, Ii It were accepted es o f0c:, portended
the complete bankruptcy OF tho Keadiue Rail.
road itscll. And suoh. indeed, proved to BIO tho
tacf, Tor shortly alter two clock President
Gowau made tho following official announcements
Tho Philadelphia and Reading Rail- oad e. .
psny and Philadelphia and Reading Coal aud
Iron Company have boon compelled TO 81 S pend
payments. Tho managers will tako immediate
| measures 10 protect intact the property Of both
companIes and continue tho business for this pur.
| pose. The daily roVenue will be applied SO far
! :.s required, to tho payment of wages and SUP
plies By order OF the board Of managers.
(S'gAed) FRANKLIN b. GowEN, President
Iho board OF directors authorized tho aboyc
statement, and IN regard to which they further
| explained thGt measures would ba taken to pro-
ttcs lotaot tic property of both companies and
that they would continue their business. Tor
tho latter purpose the daily rcvoDuos will bo op.
pl;t, 50 far aH rtiuirod, to payment of wages
AID tor supplies. 1t was also agreed to ask for
TITO appointment ct receiver. Ono director
sald tha: the wao,c trouble grew cut Of the
| noaslcg indebtedness, that the obligations cauc
| 10 too fast 70 be met This debt is nearly &c.
| OU0, OOO. Il was ST, 500, coo, and but recently
0 large sum was wiped out. The interes. on tho
| debenturo bonds is about coming due. Tho
company had M exteution of Eve years 90 these
| bonds. BESIDES thcsa. the interest on the CON-
soldatIon bocds 1913 000.000) was to he met
JUICE LIST. and measures wcro being taken to
provide therefor.
PHILADELPHIA, May 90 Tho statement il
madu by tho officials of tho PHILADELPHIA and
Heading R,iroad and Coal AMI Iron Companies
that operations will bo conducted al usual AID
that there will bo 70 Interruption of bpsi-
| ness. A. tho c,erios work will DO recon-.
mcrc4d on Monday and continue until We'd
nesday night. A reocivcrship will bo applicd
Tor and Mr. Gowaa or Edward NJ. Lewis.
president OF tho Farmers and M(chsnic,' Bank
will ho named Tor tho position.