Evening star. [volume] (Washington, D.C.) 1854-1972, 1897-07-08
WILL GO OUT OF BUSINESS
National Bank Of the Republic to Go Into
Liquidation.
A Meeting Of Stockholders Called tn
Meet August 1O-Comment
Among Bankers,

The National Bank of the Republic, which
has long been an important element in the
business world of Washington, will soon
be thing of the past. The old bank build.
ing at the southwest corner Of 7th and d
streets, which has for years been a famil-
lar landmark will before long be used for
other purposes. @'
A special meeting of the stockholders has
been called for August 10 to consider the
question OF winding up the affairs of the
bank and going out of business. AS the
little group of men that recently purchased
the controlling interest in the bank secured
enough of the stock to enable them to 90
irto voluntary liquidation, in accordance
with the national banking laws, It is a
foregone conclusion that when the question
Is put 1t will be carried by a large ma
1crity AS the bank owns its building, that
Will have to be disposed of along with the
other assets when the time comes to close
up the transaction.
Liquidation Predicted.
When Messrs s. W. Woodward and E.
Southard Parker secured the control of
the Bank cf the Republic a couple of
months ago there were a good many people
who thought that liquidation would be a
thing OF the near future, and it is practi-
cally admitted now that it was for that
purpose the bank was bought. Those who
are in the deal will probably make tidy
sum nut OF 1t, though exactly how much
may never be known.
The controlling interest in the bank was
secured at $22l a share. A conservative
estimate was made by other parties IN this
city who thought of purchasing, and they
decided that the institution could be liqui-
dated so as to bring about S231 a share
Even at that figure 1T would leave a COM
Portable margin of profit for Mr.. Wood
w rl op,1 f1@.1 ID
MIN, but there Is reason to believe that the
contents of the banks vaults have proved
even more valuable than was at first sup
posed.
High-Grnde securftfes.
1t is generally admitted among local
bankers that there is no institution which
carries higher grade Of gilt-edged secu-
rites than the Bank of the Republic Many
of these when they were bought were way
above par, and as many of them pay as
high as and per cert, they have prob
ably gone up considerably In value since
then. Only short time ago the bank de-
clared dividend of $50 share, in additi. n
to the regular per ceRt dividend. The
statement was made then that this extra
dividend was from the accrued prof
it's on the bonds which were found to
placed upon them in thu estimate. If this
is the case, the profits will he larger than
they otherwise would be.
Has Caused Comment.
One feature of the whole transaction has
caused good deal of ccfnfhent among To-
cal banking people, and that was the high
price that was paid for the bank. The on
ly other bid that was made for it was al
$3.50 share, and the people who made tina,
had fixed for themselves limit of 500
beyond which they would not have gone
and 1t Is generally believed that a bid OF
$2O1 would have secured the bank as readily
as one of $221 AS the owners cf the Bank
of the Republic also control the Metropoii-
tan Bank, they hope to be able to transfer
much of the business Of the former to the
latter institution.
Will Work Hardship.
The liquidation Of the Bank of the Re-
public will tring some hardship to It's en-
ployes. Many of them have grown up in
the bank, and doubtless looked forward to
years of uninterrupted employment, and it
will come hard on them to be unceremo-
nlously dropped right In the middle of sum-
mer. when 1t is no easy thing to secure new
positions.