Twice-a-week plain dealer. (Cresco, Howard County, Iowa) 1895-1913, 1896-08-07
COME TO THEIR AID.
Bankers Decide on Leniency with
the Moore Brothers
POOL FORMED TO PROTECT STOCK.

POOL FORMED TO PROTECT STOCK.
Banks Are Fully Protected In Their
Claims Against the Daring Spectators
Failure Amounts to Between
07,OOO,OoO and e8,OOO,0OO.
Chicago, Aug. b.-Members OF the
Chicago stock exchange advance the
opinion that the shares Of Diamond
Match and New York Biscuit will not
be materially affected by the failure Of
the Moore Bros, as both concerns are
known to be in frst-class condition. w.
v. Baker, of A. o. Slaughter & Co.,
states that Diamond Match Is earning
between 10 and 20 per cent. and paying
ten, whilst New York Biscuit pays ELK
and earns cosiderably more.
At the office of Moore Brothers all in-
formation regarding the failure was de-
MED to callers. Manager Coffeen said
that statement to the public would
probably be made later.
Stock Exchange Nervous.
Brokers about the stock exchange
Tuesday morning felt as II they were
.trending on volcano. Never in the
history Of the exchange has there been
such suppressed excitement. The fall
ure of the Moore Brothers and the col
lapse of Diamond Match YVES the talk
of everybody, and took precedence over
every other question. How many Others
on the exchange besides the Moore
Brothers would be affected in the big
smash up or to what extent, no one
dared to say. All felt the peril Of the
hour.
VIII Aggregate Seven or Eight Millions.
1t is thought that the Moore failure
will aggregate between $7,0O0,000 and
S., 900, 900. Such is the sum mentioned
by bank president, who has been es-
pecially close to the spectators during
their daring and dazzling reign.
According to this authority James
II. Moore and William II. Moore, his
brother, held nil told, $5,500,OO0 worth
of Diamond Match stock. A portion Of
this amount was owned in fee before
the speculative era in the stock began.
Much, however, was bought at prices
ranging between $50 and 240. The
Moore holdings were majority of the
total stock issued. 1t 80 happens, how
ever, that the balance of the stock has
been held by great many stockholders.
Soon after the stock began its wonder
full aerial fight these minority stock
holders began unloading, and in each
case the persons who bought his pur-
chasable stock were James Moore and
his brother.
Most of these purchases were not
cash purchases, but on account, some OF
them running 80, some so days. Mar
gins of five per cent were given, and in
this way at .east 100000 worth Of
stock was bought.
Unable to Deposit More Margins.
Two banks in Connecticut, one OF
Bridgeport and the other in Hartford
were the holders of the stock as trus-
tees. AS the stock huctuated in value
or the time limit for purchase account
expired more margins had to be de.
posted. In this way not less than &C
per cent. on par value of the stocl
was paid. All this the Moores pait
:
; the stock became, Notwithstanding it
, extraordinary intrinsic value, fright
fully heavy load to carry. AT last thu
two brokers were substantially the only
props to the big enterprise. The result
was inevitable and the crash followed
And thus 1t happens that Tuesday
! while the Moores, the financial genii o
this colossal enterprise, are losers t
= the tune of $7,OOOO0O or Ss,oO0,0O0, tn
numerous minority stockholders ar
the winners. For they have been TIL
!. ,benefciaries of the margins paid, an
;. their stock is still theirs, although he'll
: lin trust.
= Pool to Protect the Stock.
:, Mr.. ]. j. Mitchell, president of tn
Illinois trust and savings bank, say
: that there is little doubt that poe
> will be formed to take care of the Dia
! lnond Match stock. h
'. Bankers Will Be Lenient.
q Chicago Banks and Bankers, VIII
% held approximately $4,000,O00 worth c
Diamond Match stock as collateral fo
money loaned, will not press the BOZ
l. rowers for settlement. To do S
> would be unwise, and might precipitat
II panic. This the banks are bound I
re avert at all hazards just now.
re Another thing the banks have decide
d to do, and it is to accept the stock {
'e Diamond Match owned by the Moor
Bros. at cash value of ITO.
y Such was the basis of settlemer
agreed upon at the meeting of banker
held late Monday evening.
a Brokefs Lose Heavily.
IN Probably the heaviest losers in II
id collapse Of Moore Bros. next to II
IN brothers themselves are the broke
It. who had been doing business for the
as on the exchange. Very few, indeed, e.
as the brokers, too, who did not do blu:
tie ness in that line. Those most affect
are Breeese & Cummings. Baldwin
= Farum, Z. L. Brewster & Company al
o. Wrenn e. Company.
~ Moore Brothers Not Worried.
Ia Diamond Match and New York B
cult are still good properties" said j.
Moore at noon Monday to report'
- just after subcommittee of the sto
exchange had called on him.
,- II am not prepared to make stateme
~ either of liabilities or assets. because
don't know what they are myself, "
say this: Moore Bros are not broke; tn
are simply temporarily embarrassed a
II. will pull through all right. The banke
NJ and the stock exchange will protect US. a
n. we will come out all right
ie Diamond Match Is good property, a
is worth more than we claim for 1t. Its cal
If. ing capacity has not nearly been reach
-, We shall make a statement just as so
~ l,o, ,a1