The Wichita daily eagle., 1896-06-05
DAWN rs BREAKING
WHAT A FINANCIAL FIRM PRE-
pICTs OF WIOHITA'S FUTURE

Splitter & Co., send Man to Wichita to
Make Thorough Examination and
Upon the Report the Well Known FL
napciaI Agents Agree to Take All
Wichita's Bonds-They Predict That
within Two Years the City VIII be
Filled With Immigrants and a New Era
of Prosperity VIII Dawn Upon the City.
For several weeks this spring Wich-
ita was visited by an extremely inquisi-
tive persons, and one known to have
large financial backing. This man was
Mr. W. A Barnett OF Toledo. Ohio. He
examined everything about the city and
county. He inspected not only the bus
mess houses but the residences Of the
city. He was invariably present at the
meeting of the city council and the
school board. He called upon Fire
Chief Walden 10 explain TO him the mys-
teries of the electric fire alarms and
visited each fire department. He called
Upon the real estate dealers and asked
them TO show him the property on their
Hist for sale and examiner the property.
title, etc. Many supposed that Mr.. Bar
nett was in the city representing some
large syndicate and that he would un-
douStedly make several investments.
All of a sudden Mr.. Barnett took his
departure and many quiries were made
as to the object of his visit. It now
turns out that Mr. Barnett was in
Wichita as the representative Of Splitter
& Co., one of the largest bond dealing
firms in the United States, and upon
his report TO the firm and in answer to
the letter of City Clerk Smith inquir-
ing as 70 whether the firm would be
bidders for the new refunding bonds at
a reduced rate of interest, the follow
ing letter will be seif-explaining. The
letter was written by Ceilan NJ. Splitter.
the senior member of the firm, and is as
follows:
Toledo, O., May 81, 1896.
c. s. Smith, City Clerk, Wichita Kan.
Dear Sir-Your letter of the 23d has
been received giving us a description of
the bonds and coupons which you want
taken up IN New York on June 1st. We
will have our New York correspondent,
the American Exchange National bank,
take UP these bonds and coupons at the
fiscal agency, and send them on TO US
without being cancelled, as we under
stand you have instructed the fiscal
agent not to cancel them. We note that
your mayor and city council appreciates
our taking up the bonds and coupons;
we wish to return the compliment; we
appreciate the desire Of the mayor and
city council to meet their bonds and
coupons when they mature. We have
now been doing business with your city
just longe enough to have confidence IN
you may do, and your coun-
Gil has acted wisely IN dealing with our
firm, as we propose from now on, to
help take care of your indebtedness. In
case your city is not able TO take up
bonds when they mature, and you will
notify US in time, we will take pleasure
in helping you out, unless it happens to
be a time when it is impossible for US
to do so. OF course the city might,
through its officers, do something TO
make US lose confidence in their way of
handling the city business so we should
not want to assist them, but the way
your matters are being handled now, |
we feel that the city is on a sound basis |
and intends to pay its debts. In fact
there is considerable talk about IL,
among investors and business men gen
orally who are acquainted with Wich-
tia, that the city is managed by able,
industrious and energetic business
men, and men who are looking out for
the best interests of the city. We hear
that retrenchment is IN order in every
department and that the officials have |
been cutting down expenses quite large |
ly in the past few years, and are not |
issuing any new bonds and do not in |
tend to until a large portion of the old
ones are paid off. On the other hand
we have never heard one word from the
officials at Wichita about reputation. |
This is going back TO you in many ways.
II is like casting bread upon the waters.
New people do not like to go to a town
that has the name Of repudiating. We
believe the future Of Wichita is first
class. and within a year or two you VIII
find immigration coming in there, all
on account of the way the city has man
q ged its affairs. BY the way. our Mr..
W. A. Barnett says that the tax payers
have selected wise and able officers;
men who have the city's interest at
heart and are doing everything in their
power for retrenchment. Mr.. Barnett
writes us that the council and officers Of
the town are some OF the best business
men and they all pull together for one
common interest. and all say that they
propose TO see that the city of Wichita
pays its honest debts and also reduce
the city indebtedness as fast as posi-
BILE OF course 1t would be unwise to
try 10 pay the debt off too fast as the
tax payers naturally feel little poor
after the past few years of hard times;
but we give your city officers the great
est credit for not getting into debt fur
Their by mourning new Indebtedness. AS
long as your city is being managed as Il
is now your mayor and city officials
may depend upon receiving aid from
Splitter & Co, at any time that money
is wanted for legitimate purposes in the
way of refunding loans maturing and
taking up bonds in the same manner
that you have asked us to do ii this
time. OF course the city wants 10 pro-
vide for the sale of the bonds first. IN
case they have not the money 10 pay
them when due. which they have done.
and we believe within n few years Kan
sas securities Will look up and munich
palities will be able 20 borrow money al
more advanta geous rates. As we IN
derstani II, you have provided for the
payment of your interest on other bonds
which will mature June 1st You know
II IS our desire, and you naturally can
not blame Us. to have the city pay rs
promptly when due. both
principal and interest. and IL they can
not do Il with cash, TO sell refunding
bonds 10 meet It.
Yours truly, SPITZER & co.
SEIZE life where you will. It is interest
ing.-GOethe.