Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1891-01-25

tributors to the late $500, 600 guarantee fund
have it in their power to keep the business
in Pittsburg, and set the whole concern
upon solid and Immediately profitable
basis, if they choose TO do it. "iSo spoke last
night q prominent banker, who has given
attention to the inside workings from the
start, and who is thoroughly posted.
When asked for particulars the informant
said that Mr.. Westinghouse had by his
efforts secured from 81, 250, 600 to 81, SOC, 900
of the S20Oo,0O0 OF stock subscriptions
necessary TO put the company on its feet.
This he had done almost wholly in the East.
These subscriptions were conditioned that a
total of s., 600, 900 would be subscribed. The
gentlemen whose names were signed to the
$500. 900 local guarantee have now only to
come forward, and the whole arrangement
will be in fair way to be perfected, The
company can thus be placed practically
upon cash basis; many of the creditors will
take an interest In the business; and both
the new investors in the preferred stock and
the holders of the common will be sharing
in results, which at the present rate Of
orders, expenses and receipts, it is repre-
serted will yield clear profit of at least $780,
600 per year. This is the estimate which the
best Informed put upon the business. Mr..
Bannlster, the new Superintendent. very
cautious man, it is understood, thinks the
lower figures safe and moderate.
but how about the action of the Advis-
ory Committee" asked the reporter to whom
the information was impaired.
How the Situation Was Changed.
"That cannot-at least, should not-inter-
fere," was the answer. 1.-THE Advisory Com
mittee simply decided that the $500, 900
guarantee would not in itself carry the COM
panv over, nor would it. But the success of
Mr. Westinghouse in the Fast changed the
situation entirely. He brings from 81 $780,
600 to 81, 500, 600 additional to the company,
of which the ADVISORY Committee had no
assurance or expectation. This, if an abso-
lutte and unconditioned investment, would
of itself put the company immediately
where it needs to be. But it is conditioned
upon the total investment IN the preferred
stock being, raised to 100000. While,
therefore, the Advisory Committee could do
nothing with the $500, 900 by itself, the sub
scribers to the guarantee iund have now the
power to make an immediate and complete
success OF the negotiations by clinching
with this same $500, 600 subscription the
other S., 250, 900, making total OF nearly
81, ,000 900. The only difference is they
must take that share iu the industry in
place of making a loan But that is not
much to ask if Eastern people are glad to
put in three times the amount upon the
prospect of large returns"
us any hesitation expected?"
"There should be none. 1t is difficult to
conceive-in fact, would be very Tar from
creditable-lf any were shown. Many of
the subscribers professed themselves disap-
pointed, and some ofthem indignant, when
their checks were returned"
Friends of MIR. Westinghouse.
tThcy were friends and business associates
of Mr., Westinghouse, had shared in his
success, were proud of his enterprise when
all seemed smooth sailing, and did not like
being put in the seeming attitude of aban-
donment at the first adverse breeZs. Some
OF them know claimed to be very much
hurt at intimatlons to this effect in certain
quarters. This class from which good
part OF the $500, 900 guarantee came will
doubtless be glad to take advantage of the
opportunity now bv direct subscription to
make the negotiations successful. As for
the banks which subscribed, they are in
teresled in some cases as creditors; but all
of them in great degree also in seeing this
important industry made prosperous and a
source of business to the city in place Of
putting it IN jeopardy of being taken by
adverse interests and the business removed
elsewhere"
'Then You think it likely that most Of
those who voluntarily offered to pledge the
$500, ,O0G will come to the front at the present
favorable junctare?' a, 4
Bound to Pull Through i'm Any Event.
81 cannot think otherwise. The matter is
being discussed among them now, and other
locally and spread out subscriptions to u
considerable amount are offered Mr.. West
lnghouse and the Electric Company will
pull through in some shape In any event.
IL is due to the former to say that almost at
any time since the company was formed he
could have negotiated on, terms highly
profitable to himself, with adverse electric
interests, to turn over the controlling in
terest to them, but he is man who never
sacrificed friend, and so long as his friends
were interested he stood faithfully by them.
Some time is still to elapse before those par
ties who entered suit can get judgment.
They will gain nothing. in any event, as if
they persist and the plan for the benefit Of
the company is not per ected before their
judgments are entered, care will be taken
that they shall achieve no preference. But
by the subscribers to the guarantee fund
stepping to the front the simple and obvious
solution would be at once at hand. For
many of them it should and doubsless will
he grateful opportunity in place of bur-
den, especially il the company can be
placed on practically cash basis and go
right on with profitable business, in place
OF plating tedious recovery, which
was the best that was in prospect when the
$500. 900 subscriptions were rendered"
Negotiating for the Guarantee Fund.
From other sources it was also learned
lhat this plan of finishing the negotiations
was in contemplation. There has been a
good deal OF criticism in the East and at
home about the action of the Advisory Conn.,
mIttee, but Mr.. Westinghouse has had no
| complaint on that score. He thinks the COM
| mittee did right under the circumstances,
but regretted that the announcement of its
action was not delayed until he had time to
perfect his efforts in the East, the success OF
! which now makes the protfered local sub
scription as vital and important as before ii
might have been inadequate.
AT all events the situation, as it now
stands, seems to be that, if the subscribers
! 10 the guarantee fund and other Pittsburgers
interested in making the Electric Company
all right or willing to share in its future, raise
the sum mentioned against the double OF
that amount stated to have been pledged in
the East, all the difficulties can be arranged.
The creditors very generally are represented
as willing to take preferred stock. Such OF
them as have been holding back would, it is
claimed, be encouraged effectually to do SO,
if the Pittsburg subscriptions are forthcom-