The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1895-10-09
TESTIMONY OF MEN WHO OUGHT TO KNo,


AS this article is intended to present the
Southern view of the cotton manufacturing
interests of this section, IL may be well to em.
phasize the advantages for this Industry by
the statement OF few leading bankers. In
reply TO request from the Manufacturers
Record, a number of Southern bankers re-
Gently gave their experience as TO the profita
bleness Of cotton manufacturing in the South
and as to the wisdom OF advising investments
in Southern mills. In view OF the conServa.
! tive character Of bankers in giving advice
upon Investments, their testimony ought 10
pe OF value. The following extracts from
these letters show what they think on this
subject:
W.. Witham, OF Atlanta, who is President
of Twelve banks in Georgia and Alabama
"The average net earnings of several cotton
mills am acquainted with will run 10 about
AZ ner cent y 1 believe a cotton mill
with fair working capital, well managed,
will make from 25 10 IS per cent l know OIL
one which earned 46 per cent. In 1871 We ad-
vance money on cotton mill stock, cotton
goods in storage, at less rate than on any
other collateral"
A. J.. James President of the Bank OF Lau-
rnburg. Laurinburg, n: T.: There are eight
mills in this county. The profit during this
ear in the cotton mill business has been, and
is still, very large thatis 1t is from 10 TO IS per
cent. 1 know OF nothing else in our section
that pays so large profit"
Thomas NJ. Swift, President of the Loan and
Savings Bank, and also OF the Swift Cotton
Mills at Elberton, Ca: Investments In cot
ton-mils have been profitable. 1 regard the
investment of capital in well organized South.
ern cotton mill enterprises as judicious
movement"
T. e. Blanchard, President Fourth National
Bank, Columbus, Ca: The mills mere are all
where in the South in cotton manufacturing,
properly managed, according TO my views,
cannot be otherwise than profitable
j. A. Brock, President OF the Bank or An
derson, $. c.: "I think there are no more safe
and remuneratlve investments than well
managed cotton mills in the South"
Joseph Walker, President Merchants and
Farmers Bank, Spartanburg, s. c.: The cot
ton mills in this section are all proving
prof liable, and their average profits are prob.
ably twice as large as the average profits OF
other industries in this state. ! regard the
investment OF capital in we'll organized
southern cotton mills as judicious."
r. f. Maddox, President Maddox-Rucker
Banking Co.. Atlanta, Ga: cotton manuiac-
turing in this section Is nnquestlonaoly pro-
titable. A cotton-mill failure is almost an
unheard-of circumstance IN this section
VIM. A. Nicholson Son, Bankers, Union,
;. c.: Where managed with Ordinary busi-
ness intelligence ana care 1 Inc Is pfon.sS nus ns an
most emphatically regard investments In
them as judcious."
j. G. Rhea, Cashier City National Bank,
Griffin Ga ,ss Tne ratd Sfin ner cent diVdspd
In 1888. 10 per cent, and has steadily pald III
per cent. dividends ever since, and still car
ries a surplus of over SO per cent. added TO 1ts
capital out of its earnings. In 1859 the Kim
caid mill was organized and put In operation.
In 1891 IL paid per cent; in 1892 per cent.
in 1898, per cent. in 1894, 10 per cent, and in
1895 it has so tar paid ~ per cent"
W. C. & l.. LAME, Bankers, West Point. Ga,
who also control cotton mills with an aggre.
gate investment Of about 81, 900. 900: The ca p.
ital stock of our mills aggregate sl,0O0 ,oOo.
Our pay rolls aggregate sE50'0O9, and about ,at
SlOO,O00 are paid out TO stock holders, besides
laying up q surplus for extensions.
l. G. Hayne, President National Bank OF
Augusta, Augusta, Ga: COTTON manuiactur-
ing in the South has always proven satisfac-
tory as paying industry; and from the es'
tabishmenL of the first cotton factory to the
present time the mills have not only proven
the wisdom of investors, but nave Demon
strated the inevitable conclusion that no
character Of investment is safer, and lew, II
any, are more profitable"
Bright Williamson, President Bank OF
Darlington, Darlington, 5. C.: "Ihe writer
So Inscribed to the stock OF cotton mill
| in this State, the stock OF which Is now worth
on the market Sl40 per share, besides having
| received an average OF ~ per cent. per annum
dividends"
c. A. johnson, President First State Bank,
Columbus, Miss. Tine Tombigbee Cotton
Mill commenced operation In 1889 with an IN
vestment of $4,000, including 1O,OOO put into
the construction Of the building. Out OF the
! earnings the entire machinery equipments
| has been doubled. The total value OF the
property, allowing twenty per cent. rednG' nc
! tion for wear and tear, Is now over sZ2o,ooV,
and in addition to that, the company mas
working capital of S50.0OO. This makes total
! of 800, 100 on an investment of SliO,OOO, or a
net profit OF $lG0,0O0 since lsS9."
The testimony of many New England cot
ton mill people could be adduced TO empha-
size the position taken by these bankers. but
it is only necessary to give the statement OF
one. Mr.. D. NJ. Thompson, now President OF
The Corliss Engine Company, of Providence,
r. l., and for twelve years General Manager ol
The T. r. d Il. knight Mills, which run over
100 600 spindles, the largest mill company In
America in a recent letter says:
ut is not surprising that Southern mills
have been successful with clear margin OF
difference, varying according TO the character
of the product, from II TO Is per cent. over
New England mills. There ure some South
ern mills which have shown greater differ
ence than this"