New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1896-07-18
rvurRED By RAINES LAW.
,r RAyARIAN STAR BREWING COM
PANY REORGANIZING.
,,,nrn DEBT OF ooo-sUIT BY THE
->,rpAr. TRUST COMPANY TO FoHECrOsE
x,opTcAGr BONDS OF $4,000

s eoNDED DEBT OF si"""o-sOii By IfiE
>rpA1 TRUST COMPANY TO FonEcrosE
MORTGAGE BONDS OF $4,000.
.n,caedings were taken yesterday against
ear,an Star Brewing Company. of No. 24o West
.n1,asnth-st by the Central Trust Company, as
nee 10 forec.ose a first mortgage on the COM
- rroperty given 10 secure an issue OF bonds OF
- coo The mortgage was made on April 80, lSS1. by
vr,ckerh booker Brewing Company. the predeces-
' =, the present company. and was assumed by the
-. Default made on the interest of the
-. duA MAY l. amounting 70 $4,000, and also on a
's mortgage to secure bonds OF 5000 900. amount
- sso0 A lis pendens was filed on the company 5
~s..-.v in Seventeenth and Eighteenth SITS. be
80, seventh and Eighth ayes. covering about
.uenty-three city lots
~. business was started many years ago. and was
,nsrlv the Burr Brewing Company. which was re
..a,ized in 1891 as the Bavarian Brewing Company.
80 hater then obtaining the pant and property Of
no Knickerbocker Brewing Company. In Novem-
~ 1862 the Bavaran Brewing Company and the
S. Brewing Company were consolidated into the
p.vzr.an Star Brewing Company. with capital
..t ~ 8 100 Geo which has since continued the bust
...s julius Stapff. OF Newark, was president.
rr.-ss Heidenhemer Tce-presi1ent and Valentine
. s,vda- treasurer. The company made lager beer,
md dd large and increasing business until the pas
sar. Of the Raines law. which has affected it con-
sseraby.
Samuel Cnte-myer, Of Guggenheimer. Unterrnyer
l. Marshall attorneys for the Bavaran Star Brew
ing Company in reply TO questions about the fore
ci,sure suit said: The foreclosure is unex-
,.c;ed There have been negotiations under way
.o- some months between the company and its Sc
cur,y-hodtrs looking TO reorganization of its af
ga Il first mortgage bonded debt of s5Vc 600.
second OF 100000 and third OF 100000.
the business has largely increased In the last fve
Years and was very prosperous until the enactment
=; ne Raines BILL which has seriously crippled it.
The company. In common with almost all brewers.
has had 20 advance enormous sums OF money 10 It's
customers for their new certificates. Besides
ais Il has sustained severe losses In the closing Of
sabons which in its Judgment were unable to main
fain themselves under the new conditions. These
additional burdens have made II impossible for the
company 10 continue interes; payments on its large
bonded debt OF 81. 500 900.
It's boudholie-s have appreciated the situation,
and the majority 81 them have agreed TO reorgan n
;zsti0n. which is about being accomplished and
which VII in no way affect the continuance Of bust
ness The liquid assets many times more than
sufficient 20 pay the merchandise creditors and other
floating debts. all OF which are being met as they
mature
It Is little premature 70 speak Of the details or
the reorganization plan. which IN its main features
has already the support Of than 10 per cent of
the bordhoders There Is question that the rest
% the bondhoders. most OF them who have not
yet been rea ched Will Join In the plan when II has
been formula led and presented 70 them.
The company has no intention OF failing OF de-
.auling upon rs trade obligations The whole
transaction amounts simply 10 readjustment Of the
funded debt"