Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1885-01-16
BUSINESS DISASTER.
ne great iron Firm of Oliver Bros. Il
Phillips of Pittsburg, Pa. Com.
PEELED to Suspend Payment.

PITTsBURG. Pa, Jan. Is.
ms afternoon Oliver Bros Phillips and
Oliver Roberts Wire Co, limited, issued
the following card to creditors:
we are today compelled to suspend paw
"ents' and purpose calling Immediately a
meeting OF those interested, to whom we be-
iieve we can show assets amply sufficient,
win some indulgence, to pay every dollar of
our liabilities
- Ihe report of the embarrassment of Oliver
BROS. Phillips, the greatest iron firm in the
citv' new Ike wildfire. and created great ex-
citement. Such an event was recognized as
a catastrophe unequalled by any previous
1aiiure. and the great popularity of the ind-
vldual members of the firm made it all the
more to be deplored.
II is believed that dull times, an immense
pay roll and other necessary expenses have
compelled the firm to make an extension
somewhat similar to that given to Graf, Ben
nett q Co., who failed two years ago.
Ihere are many stories afoat as to the i'm
mediate cause of trouble, but in the banks
and on ali sides it seemed to be the general
OPINION that an extention would be asked for
and granted by the creditors.
1t is impossible to guess at the liabilities of
the hrm. They are reported to be from So
100000 to S4,000,000. Local bankers say
that there is about 81 900, 900 or 81, SOC. 900
OF paper held here. with good collateral for
almost all of it. Large blocks of paper are
held in the eastern States, as far east as
Massachusetts. while very large sums are
carried in New York and Philadelphia
The firm has made large investments in
real estate and has an immense amount of
collateral Of various kinds. 1t is thought
that there is not the slightest doubt that the
extension will be granted and the firm will
paw.
Banks have the greatest confidence in the
management of heads of the firm and will be
AS liberal as possible in their arrangements.
1t is said that the banks were willing to
continue the carry Of papers, but owing to
hard times and scarcity of money, the firm
were unable - raise money to meet the inter
est and pay their employees. The pay roll
amounted to $3.50 900 a month, and it is said
that this was too much for them to meet any
longer.
The history of the rise of this firm is one
of the mos remarkable in the annals of this
country. Seventeen years ago, Ii. w. Oliver
Jr, Jno. NJ. Phillips and VIM. J. Lewis en-
tered into co-partnership for the manufacture
of iron.
divers business career up to 1867, had
embraced the performance of duties of ship
ping clerk for Graft Bennett & Co., and the
fitting of clerkship in the employ of Penna
railroad company.
Phillips was brick layer and Lewis was a
practical iron worker.
They built a miniature mill at the south
side, end of Tenth street bridge, in which
Oliver kept books, while Lewis and Phillis
looked after the practical part of the work.
Their outfit consisted of two pudding and
L.,N 4,,.,, 81,
wheeled away on barrows. From the humble
beginning has grown the great firm of Oliver
Bros. & Phillips, which now employs over
1000 men. The firm has been unitormally
successful and the profits have aggregated
millions. Three years ago. Leads retired
from the firm with fortune of several mil
lions.
The suspension created no surprise as sew
eral of the manufacturers had an inkling that
something was going to happen. The gen.
eral opinion prevails, however. that the firm
will resume business very soon after having
made arrangements with creditors. 1t is the
general impression that the liabilities will
reach S5,OOO,O00 with the assets about
81 900, 900 more.
The news of the suspension almost caused
panic among the employees, but when
it was stated that an extension would
probably be granted and the mills continue
in operation the men set about to devise
means to aid the firm. A meeting of the
workmen of Woods Ren mill was held to-
night and it was unanimously decided to re-
turn to work at a reduction, which they re-
fused last week. Tomorrow meeting will be
held at several of the south side mills con-
trolled by the firm, and it is thought that sim
liar action will be taken.
II. w. Oliver said tonight: 1--WE have
ample assets to pay every dollar we owe,
which we will certainly do. We have enough
and the public need have no fears about our
meeting every obligation in FULL