Evening bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1895-1912, 1898-08-20
FOR HAWAIIAN COMMERCIAL
Scheme to Increase Capital Stock
Is On Foot.
Increased ACreas, and Also Plan 10 Put In
Refining Plant-NeW Pumping Plant
For Irrigation.

Hawaiian Commercial and its
latest development furnished the
business community yesterday
with plenty to think and talk
about says the Chronicle Of the
18th. At their meeting in the
forenoon the directors of the COM
pany decided to call the stockhold.
ers together and propose an add
ton of $4,000 shares or s5,0OO,OOO
to the capital stock of 100000
shares, or $40, 100000 determi-
nation which was formally an
nounced Oh the Stock and Bond
Exchange by Director M. r..
Hecht at the close of the morning
session.
The plan Of the company direc-
tors is to bring under cultivation
10000 acres of land which lies
higher than the present plauta
tons. This land is virgin soil,
and is at an altitude of from 200
to 40C feet above the sea. 1t
stretches along the southern boun.
daries of the present cultivated
belt aud promises to be most pro-
ductive. 1t lies outside the in
fuence of the present pumping
plants of the company. though the
officers say there is sufficient water
in the wells now open to furnish
water for irrigating all the terrific
ry to be developed. To do this,
however, there must be construct
ed new pumping plant which
will cost not less than S450,000.
I his plant, if built according to
the plans matured by the directors,
will be of the highest efficiency,
and probably will be constructed
on this Coast. When it is in ope
ration there will be a flow of water
to the 400-foot level which will
enable the managers to have $500
acres producing sugar each season,
thereby doubling the capacity of
the plantations. This will not be
too much for the mills of the com.
pany at Spreckelsville. There is
now sufficient machinery to take
care of the cane and reduce it to
brown sugar and part of it to the
white grade. To produce grsnu-
lated refined sugar it is proposed
to add to the equipment at least
$4,000 worth of centrifugals and
vacuum pans, which will make the
refinery one Of the best-equipped
establishments in the country.
1t is estimated by the directors
that to bring the higher levels into
production and to pay the added
of cultivation and care
will cost not less than $500, 900.
These sums make q total of ST.
which it proposed to
spend at once, 30 that there will
be no delay in getting the planta-
ton in shape to take advantage of
the wider market afforded when
the United States has taken in the
islands to the extent of allowing
free interchange Of products. The
output of the plantation in 1897
was over 12,50S tons, and with the
new land in bearing the total of
production will be about $4,000
tons. There is expected to be more
profit in the exporting to this
country of the refined product as
there will be no freight to pay on
the heavy molasses now held in
the sugar, which is necessary to
bring it into the country.
There is much speculation as to
the motive of springing this plan
just now. The explanation of the
directors is that it is the only way
to bring about the speedy improve.
ment of the plantation, and at the
same time to pay a dividend to the
stockholders. Under the old sys-
tenn of turning the profits into
betterments it would be many
years yet before there would be
any dividends. The value of the
sugar now on hand exceeds the
debts, exclusive of bonds, by about
100000, which would be available
for dividends in case of an increase
in the capital stock for the purpose
Of improvements.
1t requires two thirds vote to
increase the stock of the company,
but there is a belief among the
directors that there will be a sub