The Providence news. (Providence [R.I.]) 1891-1906, 1897-05-24
HOPEFUL.
The Outlook for
Two Mills.
Report of Receivers of
Bennett and Columbia.
Have No Intention of Running
Plants Steadily.
They Hope, However, to Turn Them
Over in Good Condition.
They Hope, However, to Turn Them
Over in Good Condition.
What They Have Done TO Care for the
Property Of the Corporation.

New Bedford, Mass, May 24.-The re-
ceiyers of the Bennett and Columbia mill
corporations today sent out the first re-
port to the stockholders and creditors.
showing what they had accomplished
since their appointment on April 10.
The purpose Of the receivers has been
TO ascertain the financial condition of the
company as accurately as possible. No
error OF any consequence has been found
and the receivers are satisfied that in this
respect the books accurately stated the
indebtedness of the company A careful
examination has been made of all the fin
ished products at the mill Tor the purpose
of getting at statement of this asset.
The amount of goods in the hands of
selling agents has been taken from the
detailed statement furnished by them and
the receivers have no reason To doubt the
accuracy of the statements furnished by
the agents.
A general revaluation has been made
and large reduction was necessarily
made from the book value of the real es-
tate, building and machinery account
which was stated by the accountant 10
the creditors.
When the receivers took control of the
property entrusted their charge their
first purpose was TO preserve its value AS
far as possible and IL was decided TO keep
the mill running, If it could be done.
They found that there were two weeks
pay due 10 the operatives; that there was
no cotton available for Immediate use by
the mill, which could be used without
additional funds; that practically all the
cash on hand was so tied up by offsets
and attachments that Ii could not be used,
and that attachments made in New York
and Boston interfered with the collection
of the amounts due from the sell ing
agents. When the mill was started on
Tuesday, April 20, tho receivers were
doubtful whether the next day would see
IL in operation, but satisfactory arrange
ments followed and the receivers have
finally succeeded in getting the mill into
Il condition where operation for the present
is practically assured.
Investigation has satisfied the receivers
that IL Is advantageous for the property
TO complete contracts previously made by
the company fer the manufacturing and
delivery Of yarn, and they have, therefore,
with the leave OF tho court entered into
agreements TO complete these contracts
In order TO complete these arrangements
it was found necessary 20 petition the
court for authority 10 take orders and
make contracts for future deliveries. 1t
was supposed by somo that the receivers
contemplated continuing to operate the
plant themselves until the first of Ianu-
airy. 1898 The receivers have no such in
tention. and are earnestly desirous of
turning over the property in re-organiza-
tion with the plant in full operation, with
n line of profitable contracts and n steady
business assured. This would have been
impossible il the receivers had not OBJ
tained authority.
When the receivers were first appointed
they found that the company had large
quantities of unfinished products In war;
ious places outside of the state OF Massa-
chusetts. principally In New York, Phila-
delphia and Chicago. This property was
all subject TO attachment at any time and
the receivers at once devoted themselves
TO the task Of collecting it and of remov
ing it to Massachusetts Over 1000 cases
have been brought back TO New Bedford
from places outside OF Massachusetts.
The receivers have taken steps to preserve
as far, as possible whatever rights the
creditors may have under the statutes of
the commonwealth against the directors
of the company. An examination has
been made and Is now being made with
as much care as possible into the past
management of the company for the pur-
pose Of asccrtaining the possible rights
Of the company for the benefit OF Its cred
itors and stockholders, and the causes Of
its present financial condition.
TIE receivers are deyising plan for re-
organization of the properly. such a
plan has already been discussed by
them, and they expect To submit it 10 the
creditors within short time