The morning call., 1893-03-14
HINTS OF DISHONOR.
Failure of a Great Mercantile
Company of Maine.
Peculiar Methods Adopted to Induce
Country Merchants to Take Stock
in the Concern.
Special to THE MORNING CALI.

BosToN. March 13.-The Atkinson House.
furnishing Company with fourteen branches
in other New England cities has made an
assignment. President Atkinson says the
liabilities are 81, 100000, assets So, ,000 600.
The failure was caused by tight money and
the inability to meet a eall-lOan Saturday.
The firm will probably pay its debts in full.
The headquarters of the firm are Port
land, Me. The assignor has already taken
possession of the property in the several
States. Presieent Atkinson made a per-
sonai assignment of property valued at
S250,000. 1t is now thought that the state
ment that the liabilities are 81, 100000 ia
far under the fact and that they may be
double that. Most Of the Indebtedness is to
Boston people, though some is due in New
York. Philadelphia and Chicago.
President Atkinson was seen this after
noon and said: "0f course, it is a big
failure, but have reason to believe that
the assets win more than cover the liabili-
ties. A stringent money market was the
cause of all this"
''Do you think you have overestimated or
underestimated your liabilities when you
assert that they are but 1,5O0O0O?" he was
asked.
81 don't think 1 have underestimated
them, certainly not" Atkinson replied. IN
fact, | believe they will fall short of
81, 900, Co.,"
When the corporation was formed it as
sumed the liabilities as well as the assets of
b. A. Atkinson &c Co. The original incor.
porstor company began business at Port
land in August, 1887, the business up to
that date being a branch of b. A. Atkinson's
Boston store and under the management of
Isaac &. Atkinson. B. A. Atkinson re-
ceived from the new corporation one-fifth
of $1,000 shares of stock as bonus for his
interest, at which the stock on hand and
accounts amounted to S197, ,O00 The whole
OF this property was turned over to the new
company. Shortly after this the capital
stock was increased from S500.000 to ST.
O00.000. and some people in the furniture
trade who hold stock of the old Atkinson
House-furnishing Conn any and OF the B.
A. Atkinson Co report that they have re-
celyed semi-annual dividends OF per cent.
Since the combination was formed and
the consolidated company removed its
headquarters to Boston. the writer is in
formed that many manufacturers of New
England who have been selling goods to
b. A. Atkinson & Co. and the present cor
p0ration have been requested 10 take blocks
OF STOCK ranging from $1,000 TO $4,000,
traders being reminded if they could stay
in the corporation they would be likely 20
receive the bulk OF the trade in their lines
but that the company reserved the right to
buy goods where 1t pleased, the prices be-
tween stockholders and non-stOckbolders
being equal. This possibility was that the
former would receive the company's busi-
ness. The financial men of Boston and
New England looked upon the scheme with
more or less criticism and doubt, as it was
rumOred that very many of the leases of the
concern were pledged to money lenders in
New England for loans at high rates of in-
terest.