Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1891-01-18

on the subject. The resolution was adopted
without a dissenting vote. and everybody
seemed perfectly satisfied with the action.
Several gentlemen said that they could not
sign the agreement without first consulting
with other members of the firm, but expect
to take the stock.
A Statement From the Inside.
H. Mel. Harding, who is in charge of
the railroad department. was present and
addressed the meeting in regard to the af-
fairs of the conpauv and the electrical busi-
ness IN general ''This is question that is
hardly understood said Mr.. Harding.
There is an immense profit in the electric
business. and there are only three companies
in the United States-the Westinghouse,
Thompson Houston and Edison. These
companies cannot produce work fast enough.
The Pittsburg shops can be worked night
and day aud not keep ahead of orders. At
preseat we have a contract for 81 dynamos
for a Boston company, and there are
s., ,000, 900 worth of other contracts that we
are bidding for.
"It is impossible to calculate the i'm
mensity of this business, and with proper
care and management it will become a
good paying investment Mining is OPEN
ing vast field tor work by electricity, and
from every direction orders are coming for
1ulDEON6u mdCHlHtIy. IL
has been charged that the business was
poorly managed and that machinery was
sold on long time to irresponsible parties.
Everything is sold on short time, and the
street car companies, who are the main pur-
chasers, are composed of good, substa initial
men.
Smaller Concerns Have Been Swallowed.
"One cause of the present embarrassment, |"
continued Mr.. Harding, "was the swallow
ing up of the small companies. When
company was absorbed the officers would
remain with it, causing big expense. Mr..
Westinghouse later on investigated this
matter, and when he saw how it was being
done demanded Il wholesale list of resigna-
tions. BY this and other economic measures
the expenses of the company have been re-
duced at tie rate OF $500, 900 annually.
The other big electric COMPANIES, the
Thompson Houston and Edison, had this
same trouble. The only difference was that
they saw it ahead and issued preferred
stock. About a year ago the Edison took
this measure of tiding over ard the other COM
panv deferred action until about four
months ago. The one issued S. 000, 0C0 and
the other about S3. 00G 600 of preferred stock.
The former company has just begun to call
in its paper. Had the Westinghouse Com
pauy seen ahead and issued its preferred
stock before the crisis came, all the trouble
would have been avoided and no one would
would have known how hard it was to get
money and come out all right. But every
thing is looking better, and l believe that
when the financial men understand the ex-
act state of affairs, they will gladly come
forward with the money needed"
Large Amount of Stock Subscribed.
At the conclusion of Mr.. HardIng's re-
remarks those present were given an oppor-
tunity TO sign the paner accepting the pre-
ierred stock. The majority did SO, and those
who did not said that they would be COM
PEELED to consult other members of the firms
theyrepresented. The stock taken amounted
has promises for about S25, 600 more.
Tomorrow the creditors committee will
visit all the creditors who could not attend
Yesterdays meeting and make an effort to
have all the local Indebtedness taken in pre-
ferred stock Another meeting will prob
ABLY be called next week, after the commit
tee has finished its labors, but no meeting
will be necessary if the full amount of stock
is ts ken.
While the stock was being subscribed, the
action OF the meeting was extensively dis
oussed. The feeling was that the unanimous
action of the local creditors will have a
tendency to restore confidence among the
financial men both East and West. and it is
expected that it will now be much easier to
secure fhe sale of the necessary amount of
preferred stock to float the company over the
shoals