Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1895-06-22
FOR THE SECOND TIME.
The Coast Carriage Works At corsalfia
Assigns.

VOn TX 06NOND b"es
The Coast Carriage Works At Corvallis
A Corvallis, Ore. paper contains
further information concerning the
failure of the Coast Carriage and
Wagon company there, as follows:
'.For a second time the plant and
other property Of the Coast Carriage
and Wagon company are in the
hands of an assignee. The deed Of
assignment was filed early Friday
morning by the company's attorneys.
Messrs. Bryson. Yates & Yates. since
which time operations OF the concern
have ceased. Among those at all
familiar with the affairs of the COM
pany the assignment was not mat
ter of surprise. At the time of the
suicide of the late William Uhlmann.
it was whispered that the company
was in need of cash with which to
meet current demands. and that the
worry over financial affairs of the
corporation, in which Mr.. Uhlmann
was a large stakeholder. was I'M
doubtedly the cause of his rash act.
Immediately prior to his death a
deal was partially consummated
whereby the company was to secure
large loan, that would have en-
abled it to tide over the prescott
trouble without difficulty or loss,
but unfortunately the deal fell
through, and, unable to secure an
extension of time on bills falling due,
an assignment was made to avoid
threatened attachment proceedings.
The business was originally organ
lied dur. ng the summer of 1891 with
capital stock Of $50, 900. subscribed
by local stockholders. Two years
ago, on June 4, it passed into the
hands of an assignee, where it re-
NAMED until the following March,
when it was sold to c. L. Brace, as
trustee for q syndicate of creditors.
Under his management the concern
remained until last fall, when the
present management assumed con-
troll. Since then the present proprie-
tors have added to the already COM
plete plant the necessary machinery
for the manufacture of farm wagons.
BY this increase to the plant a con-
siderable outlay was necessary, ant
up to the time of closing, no returns
from this branch of the business had
been received, as the wagons were
not yet ready to place on the market.
However, prospects were favorable
for the building up of large trade
in this line. which. it was expected
by fall. would yield paying returns
on the investment.
No. Mismana.ed.
The failure Of the concern is no
evidence that the business was either
mismanaged or that it is not a pay
ing industry. The embarrassment
was due wholly to lack of cash with
which to carry on the bus ness.
When the plant was purchased last
fall for about $35, 900, its real value
was estimated at $65,000. At this
latter amount the new company
fixed its capital stock and took the
plant from the purchasers. all of
whom became stockholders in the
new company. The purchase in
cluded some $l1 900 of accounts Gre
ated under the Brace management.
upon which Col. Burgh claims the
purchasers were assured of being
able to speedily realize at least sl3.-
0O0 in cash. After assuming control
of the business. however, these ac-
counts were found to be largely
mythical. as they represented
amounts due on consignment
and not on actual sales. Con-
sequently only a very small
portion OF the $1,000 was con-
vertible into cash; thus reducing
their working capital about $40, 900
from the original estimate. Col.
Burgh states that another matter en-
tering into the company's embarrass-
ment was its inability to perfect such
favorable banking arrangements as
the purchasers were assured Of being
able to make. He claims that they
were given to understand that n
credit of from $4,000 to $4,000
could be arranged with q certain
bank in Portland should the same be
found necessary to the carrying on
VI ShC OuSiuCSo' w uCu WV lAtCs
however, it was learned that this
credit existed only in contemplation
Of mind, and that no financial aid
from that quarter could be obtained.
LAT the time Of closing there were
600 wagons on hand in various stages
Of completion. These, when com.
pleted, would be worth So each; sc
that in this one itDm there is q value
represented far in excess of all liza
bilities. and there was every indica.
ton that they would meet with read :
sale.
Among the claims against the
company. the aggregate liabilitie:
being $29, 796.l4, are these of local
interest,":
NJ. B. Burgh. $500; William
Uhlman. $1,000; J. F. Robinson,
81, 0O0 Thomas F. jenkins, $1,000;
Mitchell & Lynde, $4,000.
The assets are placed by the com
pany at $79,051.79. and are recapitu