The progressive farmer. [volume] (Winston, N.C.) 1886-1904, 1894-03-27
THE APP HILL STORE.
A Statement Of the Facts Concerning the
Recent Sale.

NCSSAS SSASs
CHAPEL HILL, N. G.
Mr.. EDITOR:-Wn you be 30 kind as
to allow me space in the columns of
your highly esteemed paper to make a
plain, honest statement in regard to the
Chapel Hill Alliance store. with to
do this for the benefit Of the stock
holders, the public and myself. In
February, 1890, the store was opened
with a capital of 1896 During the lat
ter part of 1890 the stock was increased
to about 800. Owing to the uncom-
monty large patronage and the small
amount of stock invested, we cleared
% per cent. and declared a dividend Of
20 per cent. which became stock
money. In 1891 the stock continued
to increase aud at the end of the year
the capital being larger the dividend
was smaller. However a dividend of
IL per cent. was declared and paid in
cash or added to the stock book. In
1892 our cash trade was not so good,
and the heavy losses sustained in con.
verting barter into cash reduced the
dividend, but 10 per cent. was paid and
added as stock. Unfortunately at the
opening of 1893 several of the stock
holders began to withdraw their stock,
and at that time we began to lose
ground, but part of the stockholders
rallied to the front and raised part of
the withdrawn stock, which enabled
me to continue the fight. In 1898 we
are all fully aware Of what struck us
in the ruinous form of a financial
panic. The sturdy volume of trade
was cut off, except barter, which was
sold in almost every instance at a loss.
This state of affairs was telling on US,
and to make matters worse a large
number of the stockholders were forced
to withdraw their stock and others
withdrew OF account of various
reasons. and at the close of 1898 we
were minus the dividends. I saw that
it must become an Incorporated COM
pany or I could not hold the stock. To
my surprise at least $500 of the stock
declined to submit to incorporation,
while on the other side a large major
ity of the most responsible stockholders
said they would withdraw unless we
did incorporate. Now any man with
a thimblefull of brains can see that I
could not continue to do business on
GT1nh q C%u1n CV1hnOSEAnS 49, 5000
situation to the Executive Committee
for advice and they agreed that they
did not see how I could run the store
in its present shape. We clearly saw
that unless we did incorporate that we
were going to pieces, and vice versa,
if we did incorporate we were going to
split, and in view of the poor prospects
we decided to sell the stock. An offer
vas made Of rs per cent. Of the paid
stock; it was submitted to the stock
holders in a called meeting in which SO
per cent. of the stock was represented
al d unanimously accepted. The trade
was made in good faith, while we all
knew that Mr.. Lloyd, the purchaser,
was getting a wide margin. Yet at
the same time we saw it was the best
the best thing we could do. 1t seemed
to be perfectly satisfactory to all pres
ent, but since then there has arisen a
great confusion and hard talk over it,
People seem to think that it was a
makeup business between myself srd
and Mr.. Lloyd.
To all such I affirm on my honor as
gentleman, as an Allianceman and