New-York tribune., 1885-01-17
RESULTS OF 1884.

The failures of Oliver Brothers and j. j.
Cisco g. Son ought to excite no. alarm. Ihey
do not change the condition OF business. Un-
happily pressure will result for some who had
immediate relations with the suspended firms,
but it does not appear that either failure Will
involve important industrial or financial cOnse-
onences. The prolonged depression in the price
of iron, and of iron products, the great shrink
age in the demand for the especial products to
which the works of Oliver Brothers were mainly
devoted, and the large expansion in the bus
ness and the investments of that firm. made
with rare enterprise and courage at time when
the outlook seemed gloomy to all observers.
sufficiently account for an embarrassment
which, according to all reports from Pittsburg,
is likely to be only temporary. 1t Is not sup
posed that the suspension will result III the
stoppage of the works, though it may embarrass
the important experiments which the hrm has
been making iii new processes of manufacture,
particularly in the production of steel.
The failure of Cisco g. Son has not been unex-
peced While no excuse can be given for the
outrageous reports which have doubtless done
much to precipitate this failure, 1t is nevcrthe-
less a fact that the prolonged and serious de-
cline in the prices of securities III which the
house was supposed to have large interests,
directly or in connection with its customers,
has unayoidably led TO some doubt as to its
prOsperity In January of last year, Houston
and Texas Central sold at 81, and within the
past week at % In January Louisville and
Nashville sold at 49l2, and on Thursday. the
day of the suspension. at 21l4. The losses IN
volved by large operations in such securities
would probably have been of little effect had
not the resources of the firm been largely tied
up under the provisions of the Will OF the late
senior partner. Under such circumstances
malicious attack upon the credit of the house
was not unsuccessful, though 1T is believed
that in this case, as in the case OF Oliver
Brothers judicious management OF assets will
result in the full payment of creditors.
These failures are the consequences of state
of things which no longer exists. Within the
past few weeks better feeling has appeared in
most branches of industry and in financial
circles, though it has not yet resulted IN a
materlalincrease in business or change IN prices.
There is hope. not wholly without reason IN
the conditions of trade. that the worst point oi
depression has been pass ed, and that the period
of recovery. though it may yet bc delayed, Is
not far Oft. This feeling will do much To pre-
vent unfortunate results from two failures
which, as the circumstances show, are clearly
due to the prolonged depression during the year
1884. The decline in the prices of iron and OF
IRON products was arrested, apparently, some
weeks ago. and though prices have remained
substantially without change, trade reports in
dcate that the supply no longer exceeds the
demand. The downward movement in secnri
ties, which eliminated in May OF last year, has
| left the market ragged, uncertain and diStrust-
full, but there has nevertheless been some re-
covery in The prices of securities, nOtwithstand-
| ing the continued and increasing depression III
| manufactures and trade during the latter part
| of the year. IL Congress were out OF the way,
| or if it would do one or two sensible things,
| there would be good reason to believe that busi-
| ness would generally revive, slowly, but steadily
and surely Under such circumstances, the
failures of Thursday should excite sympathy
rather than alarm