New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-06-22
THE CORDAGE REORGANIZATION PLAN.
REPORT CT THE COMMITTEE IsSuED-AssETs
SAID TO EXCEED GREATLY THE

LIABILITIES.
The report Of the Reorganization Committee OF 'he
National Cordagc Company was made pioIo N's''
day This committee consists Of George C. Masouh
OF Barring Magoun Il Co. Ernst Thalmann, OF Laden
burg, Thalmann a Co.. and Gustave H. G">'ier' vi
q. Amsinck & Co. Tho members of the committee
declare that the assets of the company viii greatly
exceed the liabilities but they say that. should IL De-
come necessary to nqudatc the affairs of the company
once II would be impossible 10 express even an ap
rroXmatc opinion OF the result. The committees sH'e
ment shows that the book values OF the assets are 80
732.5I7 So and the liabilities FL ,9S64l1 Il. The
assets ncludc twenty mills and plants OF when
eight are held under lease. The report says tha'
prior TO October 1901 certain speculative operations
were gone into which resulted In loss 10 the com
pany. These operations were in hemp. 1t Is de
carcd that this sort of speculation Is not likely 10
occur again. The statement adds on this point that
the losses were made up by the directors WHO were
responsible for the spcculaons.
The committee reports further that under careful
and prudent management and with an additional
working capital the company can be made to pro
duce good results.
The plan of reorganization is in part as follows
The National Cordage Company successor cor
poratonl will issue collateral trust first moreag" bonds
having thirty years run secured by mortgage on all th
morga gcabc property Of the National CordaHe Company
(og ts corporation) including Ito lease from
the security tOilolat!ol, 10 III dHouhb NV 'N''''~
e6.OO0.OO0 bearing per cent Interest with SINKING
fund Of per cent per after ls9~ One million
dollar value. much be- nec'-~ir" o thrs"
boi- will be retained by the trustee. subject to The
order Of the BOari Of Directors evidenced by vol" oil
az least twohrie numbr Of the Eoad, for the pun
poe. amcne things, q paying oil existing prior
liens the Unln Mills. Five million dollars Tar value
OF these lond,. o. much thereof may BE- deemed
Necessary BY the committee will he sold and the po'
ceods used other thing In paying 81 the ~
listing debts the company viii he delivered IN
present creditors Of tn company IN satisfaction Of ho'e
full part Tho bonds VIII BE- 20 sold or p'a
tn, Price Of 81 pr cent a. many a. possible
OF these OCD 0CO ts value Of bonds Will h. under
writer by guaranty syndicate - per cont. for =
corai>si o. Itr ~en;. Iforc reinC tpc' for san
A-evhere the cfcdi'lss Iyment Of debts. the
wn1. Ct tput, vii lc ole "A he ST., holders for
subscription a: - pe' CEN:
Second-For the purpose Of delivery To contributing
tokhoder the preferred stock the National Corage
c mpsny. amounting 70 - 10000 viii te In
creased 5000 0c0. Each preferred stockhodcr VIII
pay to REORGANIZATION Committee. or it, nominee.
sum Of money equal 20 pr crntpm Of the par
value Of their holding, OF preferred stock. and Will
receive in exchange Tor such PAYMENT pet rrfd stock
Of the company at par. Each Umon -trckholder VIII
pay Reorganization Committee or its nominee.
sum Of money equal 10 pr '"ntun' Of hi- holidays
of OF the Company. and will receive in
exchange FOR payments preferred stock Of the com
Iany at par.
Third. II stockholders do not unanimously consent
the foregoing plan. then the Keoganlzation Committee
will such measures. either by increasing the debt Of
the present company. hy winding up N" affairs OF
the present company, selling II, assets and orrsnl
ing anotcr company FOR the purchase - these a--s and
continuance u busne, Of the National Cordage
Company otherwise. they think advisable. The
kho lc- such plan and become parties
to such reorganization agreement. however Will occupy
substantially tho relative position. and VIII have a
CORES pondng Interest u The fcorpanyed company or in
company s. herein proposed but tho stoes
sI.FBa r.-
,erro1 or common. assent such pan and
become parties such REORGANIZATION agreement viii not
represented In and Will not have any right or Interest
In such rcOrsanzc1 new company.