Staunton vindicator. [volume] (Staunton, Va.) 1860-1896, 1890-08-08

His, the speakers, individual 'financia
interest in the Shoe Factory company wa
small, but he felt a very great interest il
seeing that the factory was not stopped
The situation is not such here as woult
justify us in any such step. AS to the los
that has been sustained, that is not move
in new enterprises and should not be dis
couraging. The very starting of an indus
try necessarily entails a certain amount O
loss. The friction at first, the finding
and establishing market causes money tt
be spent without immediate return. Th'
majority plan makes our case no wors'
than it is now. 1t simply postpones tn
present stockholders in favor of the pre-
ferred stockholders who put in the $25, 900
1t is certainly borrowing money on mos
liberal terms. 1 don't know of a bank OF
individual that would loan $1,000 Oh ever
$500 on such terms.
Mr.. Scheffer-We owe $4,000 on the
building and $4,000 to Northern creditors
That is about $4,000. Why couldn't VIZ
borrow that amount on the plant.
Capt. Bumgardner-Ih heard that suggest
ed at another meeting and it was agreed
that it could not be done. 1t was discussed
and dropped.
Mr.. Teabo-Why can't the proposed pre-
ferred creditors come in on the common
stock basis; they are as much interested il
the welfare of Staunton as we are!
Capt. Bumgardner-Ah if they would
but they won't.
Mr.. Teabo-No; they want it all.
IMPERATIVE REASONS FOR NOT SELL
ING.
Capt. Bumgardner-We don't know thai
anybody "wants it ALP OF that anybody
wants it at all. I would accept the present
proposition even if selling out were ter
times as profitable to the stockholders. Tt
sell would advertise to the world that
Staunton had not the ability, the enterprise
Oh the courage to carry on the work, an(
that would put an end to any manufacture
ing enterprises being planted here hereafter
1 would suggest that the report be amend
ed SO that after one year we should have
the right to call in the stock if we are ablt
OF if we can get money at a lower rate o.
interest then.
Mr.. B. F. Hughes said if the concer1
proved profitable the preferred stockhol
ders by getting their per cent. first, and
then dividing the remainder with the com
mon stockholders, would get 9 per cent. on
their money.
Mr.. M. F. Peterfsh said many stock
holders would rather get from IS to 80 pc
cent. on their stock by selling, than to TAX
the preferred plan where they might get
per cent. Oh probably nothing. There wer
poor stockholders who needed this money
Some of the stock was held by widows ant
orphans who wanted their money.
MI. w. H.H. Lynn advocated the major
ity report.
Mr.. Teabo-We put in our money with
out interest, why cannot the new stock
holders do the same?
MI. J. E. Graham urged the adoption o
the majority report. 1t was the best plan
As for this talk about the widows and OF
phans, the only people making fuss that h
had heard were the men here tonight, no
the widows and orphans.
MI. B. +. Hughes opposed the majorit
report. He wanted the factory put up AM
sold. If we lose money under the new ar
rangement the preferred stockholders com
in ahead of us and take all the assets. LIE
the Staumton Development Co. if it want
to come in, come in on the same basis tina
we did.
MI Braxton addressed the meeting full
and earnestly setting forth the situation
Some Of the stockholders present we're talk
ing, he said, as if any number Of peopl
were waiting and anxious to buy the plant
Wait and see! If the plant were sold, afte
it's debts were paid stockholders wouldn'
get fifty cents on the dollar. The preferre
stockholders cannot swallow the plant. Th
proposition is for the preferred stockhold
ers to come in with their money on whic
they get not cent Of interest unless the,
money in any other way and you will Sc
your creditors come upon you and get thei
interest out Of you amyhoaU. If you tax
the new plan you pay the preferred stock
holders no dividends unless they max
them.
THE FACTORY NOT TO BE MOVED FROl
ITS PRESENT SITE.
Mr.. Scheffer-One clause of the repor
proposes to remove the factory from thi!
building. When we were getting subscrip
tions to the enterprise one argument tina
we used with every business man was tina
the factory would be located in the bushes
part of the city and that they would have
chance for the trade of the employees. Tn
business men want it here and it shoul
not be moved.
Capt. Bumgardner-I agree with MI
Scheffer that the factory ought to continu
in it's present location.
MI. Braxton-When we were looking TO
place for the factory we examined the oil
Valley Hotel, a warehouse on Middlebroo
Avenue, and other properties remote from
this and no objection was urged to any 0
them by business men OF others.
Mr.. Hughes-Many of us have hear
that this majority report is based on al
offer by the Staunton Developments Co. w
would like to know if that company wi
furnish the $25, 900 spoken of,
Mr.. Lynn-I have heard that too, an
would like to know.
Mr.. Scheffer-Here is Mr.. Miller, til
President, 1 ask him if that is so.
MI. Miller-The Staunton Development
Co. has no proposition to make to tn
meeting.
MI. Hughes moved to appoint commi
tee to find out what the plant can DO sol
for.