Evening star. [volume] (Washington, D.C.) 1854-1972, 1891-09-22
WENT LONG ON CORN
Assignment of S. Y. White & Co. Of
New York.
A HEAVY FALL IN The PRICE
The Stock Market Not Affected
Other Firms Unhut.
IN THE STOCK MARKET TO-DAY
s. v. WHITE & co. ASSIGN.
Recent Heavy Decline I'm Corn Brought About
the Failure.

Go. Of New York and Chicago WAS
made on the stock exchange at 1890
O'Clock this morning. Mr.. White says
the failure is due to long specula-
ton in corn and not in stocks. The liabilities
of the firm are very large. but only a few hun
dred shares of stock are outstanding on con-
tract. The climax of todays catastrophe has
been approaching elimination for the last two
weeks. The news, which has been carefully
guarded, leaked out yesterday afternoon after
the closing of the stock exchange.
The fact that big Wall street house would
fail today predicted by morning paper,
but the story WAS not admitted before the open
ing of the exchange. When a reporter saw Mr..
White at . o clock be was surrounded bya num-
ber of people in his office and it evident
that all not well. He, however. met the
reporter blandly aud said there was no truth IN
the report.
The paper. however. containing the story of
the impending crash was widely circulated
around town, and when the exchange opened
everybody was in feyerish state. The first
signs of the crash was when Ontario and West
ern opened at 22l and immediately declined
TO 2O>4. ST. Paul opened at 755. and declined
to 80. Delaware and Lackawanna opened at
lii$4. declined TO IA. Then followed a gen
eral depression, and right the heels of il
came the announcement from ). v White &
Co. of their assignment. The reason given
was that there was corner in the corn deal
and their Interest in the stock market was yery
limited.
LOST HEAVILY ON CORN.
As matter of fact the firm was long on
IL 100000 bushels of September corn. which
Chicago operators pulled down from 6sjs to So
in ten days
The story was that there was another firm
mixed up and that S. V. White & Co. were
carrying some of their paper. This. however.
was denied by the firm in question.
The excitement Is intense and the widest
sort Of rumors are flying thick and fast.
1t is Just fifteen years ago since Deacon"
White failed before.
Mr.. Edmund Clarence Stedman. the banker
poet came down to Mr.. Whites Immediately.
on the ground of his great friendship, and
made the following statement 20 the reporters:
AsTATEMEST OF THE TROUBLE.
This trouble is due entirely to the great de-
cline in corn. For two or three months past
the firm has been very long of corn contracts
in the September option. The good weather
has produced such heavy crops that there was
more corn in the country than was probably
known. No assignment has yet been made.
but one is in process of making. | do not
know who the assignee will be. The
habilites or the assets are not known, the
whole thing has come SO suddenly public. The
failure will affect no other house or houses in
the slightes: degree whatever. Knowing Of
their difficulty s. V. White q Co. have not
taken any large contracts of late. They have
acted with the greatest honor all through.
The stock operations of the firm have of
late been very small. They have not more
than few hundred shares outstanding on the
board. They have confined themselves of
late entirely to corn, in which late deliveries
have been very poor.
ANY one who knows S. V. White knows that
he will resume You can't down him. There
is one in Wall street who does not sympa-
thize with Mr. White. he has helped more
men than anybody else on the street
If everybody on the street whom he has
helped should give him S5 he would again be a
rich man. He has acted in absolute honor.
and, have no doubt. will be all right in the
end. l am much distressed"
THE DECISION To ASSIGN.
The volume of business in railroad stocks
during the last three days has diverted to some
extent attention from speculation and invest
ments in breadstuffs. Members of the embar-
rassed firm have been able TO conceal the real
state of their actual condition without the
slightest difficulty. and 20 far the general
operators on the street are concerned no ques-
tion as TO solyency has been even thought Of
1t was only after thoughtful considerations
and very complete review of the situation
that it was decided to make an assignment TOR
the benefit of creditors.
There were no contracts outstanding on the
floor of the stock exchange and no excitement
"A' ~ Ae "ien'
- 'le " "ni'e' 90
io"b "oteN ioi .H' su'eee' anu ooiuhese VI his
speculative deals, Is estimated at S2,OOO.OOO.
number OF hrms who were borrowing
STOCKS from >. V, "hlte 20. received notice
IRON the nrIn before the opening OF business
today TO sell THESE shares and the market took
the STOCK with scarcel! tremor. Put and call
holders who held privileges from s. V. White,
chiefly calls, and who went short against their
options. now nnd themselves In the predica-
ment OF having to cover.
lhe failure caused but little excitement at
the produce exchange, for the reason that but
few OF the members were interested In the
deal.
1t is stated that the failure will affect Chicago
principally.
The price Of corn on the produce exchange
fell y cents at the news Of the failure
The liabilities will be very large but Mr.
Stedman SAYS he can give no estimate Of the
amount as vet
The announcement Of the failure was made
In chicago simultaneously with the announce
ment mere; Inc members OF the New York
TSe 1bic.ao hrancb a,o nans;s,n S' HURkins
F. W. HOPKINS. A. w. Allen and Arthur Wbite
The firms corn contracts have been made in
Chicago. They have ordered all their trades
on the Chicago board of trade closed.
No sr.rrxrxr NV rur r,p,x
r. a. =. a.. a.
Inc onoe VI lie M" ai.er 'ne announcement