Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1891-05-21
WILL NOT STOP WORK
THE DAVIS SHOE COMPANY TO CON-
TlNUE OPERATIONS AS USUAL.
what an Officer OF tho Corporation Says
About the Trouble and Its Causes
Proceedings Here.


Proceedings Here.
The special telegram from Boston pub
lished in yesterdays DISPATCH contained
the first intimation received here, except
perhaps by the representatives OF the con-
cern, of the financial embarrassment of
the Davis Shoe Company which, in addi-
tion TO two branches in the North, ope-
rates an extensive plant at the Virginia
penitentiary.
The news Of the company's assignment
caused great surprise and was the leading
topic of discussion yesterday in financial
circles. The concern did q very large and
II was generally believed good-paying
business.
The suit instituted here late Tuesday
evening on behalf of George A. Clarke Il
Co., of Newark, N. j.. and in which an at
tachment was placed on all the company's
property, was followed later in the night
by the assignment of the Richmond branch
and yesterday morning by the DIsPATcH's
special telling of the failure in Massacbu-
setts OF the corporation and of its head,
Hon. Joseph Davis, who was looked upon
| as several times millionaire.
Mr.. Davis is well known in Richmond.
He has been here frequently and has min
gled with our people considerably. lie
impressed all with his stirring, business
qualities and frank, open manner. He is
| held in the highest esteem here and
throughout the State where known.
THE yIcE-pBLNDEsT HERE.
Mr.. W. II. Keen, vice-president Of the
| company, arrived in the city on the early
| train yesterday from Boston and spent the
day with Colonel Shepherd, looking after
the affairs Of the penitentiary branch.
| In conversation with DISPATCH reporter
| he said that he expected the assets of the
| company would more than cover tho liza
bilities and that they did not anticipate
| a forced sale. When asked the cause of
| the assignment he said that the Potter
| Lowell failure was not the sole reason, as
| had been reported. but that several cir
| oumstanceS combined to produce 1t. For
| instance, the fire which occurred at the
| penitentiary here in 1888 crippled the CON-
! pany considerably, as the delay in business
caused great loss. Moreover, MIR. Davis
met with reveTses in other lines, such as
banking at Boston.
LOST NO GROUND.
Mr.. Keen denied the statement that the
| company had lost any ground in the South
as far as their actual trade was concerned.
| He said the total output of shoes by the
| three factories amounted TO about Sl,50O,-
| 900 per annum, and something like 1000
| pair Of shoes were manufactured every
| day.
The firm has factories in three cities
| Richmond. Lynn, Mass, and Kennebunk,
Me.-and employs in all about l coo hands.
| The Richmond branch employs something
! over coo of this number, nearly all of
whom are conyicts. There are few fore
men, cutters. and skilled hands, besides
! the clerical assistants.
OF the conyicts engaged, about $50, only
so are females. The company has operated
he penitentiary-fa for eight years.
WHAT THE STATE GETS.
The Davis Company pays the State OF
Virginia for the hire of prisoners from
| Sc, 100 TO $500 per month. These are re-
quired to do each n prescribed amount of
work every day, and it generally takes
them about six hours to complete their
task. Sometimes they overtime, for
which they are paid extra. At the end Of
some months the money paid out for over
time has amounted to as much as 81, 100.
OPERATIONS NOT SUSPENDED.
Work was not stopped in the shops at
| the penitentiary yesterday, and Mr.. Keen
said that they intended going on as usual.
| He further stated that the company ex-
pected to reorganiZe very shortly and 90
ahead with their business as If nothing
had happened. An inventory is now being
| taken.
The Davis Shoe Company makes nearly
| all grades of shoes, but ut the penitentiary
nearly altogether ladies' shoes are made,
| and these are of styles that do not CON-
mand high prices.
Assignment of the Richmond Branch.
All of the company's property in Vir-
| ginia except such as NAV be exempt by
| law was conveyed by deed of assignment
Yesterday TO Benjamin +. Spinney and
| Moses Williams, of Massachusetts, rs trus-
| tees.
The deed was filed tor record little be-
| fore A. NJ. IL was Just ten minutes past
midnight when Major Robert Stiles, Rich
| mond counsel for the concern, drove upto
| the house of Mr.. Charles W. Goddln, clerk
of the Chancery Court, and that obliging
| official readily consented to go down TO
his Office with him and file the paper.
The deed is one of unusual length, but
| il had been copied and the original return
| ed to Major Stiles before L. Nj.
PROVISIONS OF THE DEED.
| II is provided in the document recorded
that the property shall he sold either pub.
| licly or privately as soon as possible, but II
the trustees think proper they can con-
tinue the business here as long as IN their
| Judgment will be advantageous to the
| creditors. r..
After providing for the payment of the
expenses of executing and a reasonable
commission 20 the trustees, the deed says
| the trustees, ont of the collections and
sales of property conveyed, shall make
| navments that would have preference or
| be entitled to be paid in full IN
case OF proceedings in insolvency accord
| ing to law, and IN the next place, dis
tribute the residue of the SAID money
unto any such creditors of the debtors as
shall have executed these presents IN IKE
manner as the same would be distributed
in proceedings in insolvency In Massa-
chtisetts. wherein the first publication OF
! notice was made on the day or tho GATE
hereof. and shall pay the ultimate surplus,
| If any, TO the debtors" ,,
None Of the creditors are named IN the
| deed. ,,o,
are placed at Sl25,OOO.
ANOTHER ATTACHMENT.
Messrs Cannon and Collins, as counsel
| for the firm of Hardwicke * Mitchell, OF
| this CITY. Yesterday instituted SUIT against
| the defunct company for S6.l0!l3. Inc
claim is for pine boxes (packlng-c,a 9, cases. ",,
! furnished. An attachment was sued OUT
and levied on the shoe plant at tho pen
| itentiary.
Further News from Boston.
Late last night the DIsPATcHr received the
| following from its Boston correspondent
Joseph Davis, whose assignment was an
rounced this morning, is connected with
the New York Dyewood, Extract and
Chemical Company, which has an Of ONCE :; at dt
| 970 Atlantic avenue, this city, aud IS an
oyrner i'm the Boston Woven Hose Com
many. the Chicago Rubber Company. the
| HIoeanum Agricultural Company OF Con-
necsticut, nee two Virginia development CON com,
National % Bank of this city. Mr.: Davis, IN
speaRine Of the failure said regard;
the the enterprises have become seif-sus, sulo
tanning by my assistance. and some
i;npidsted' The Higganum Agricultu-:
Iai i Company of Connecticut was one OF OF
tb, the weak concerns which | was Obliged to
assist, but it is now Just about ut ssliS1P SdyS
Per I was Obliged to become a large Dor-
rover but not until few months ago was