The San Francisco call., 1898-05-18
ROLLING MILLS
 TO BE CLOSED
The Big Concern Had No Practical Head as
 Manager.
Doubtful Whether It Will Redeem It's Obligations to the
 Bondholders.

The Pacific Rolling Mills, which at one time were the pride of San Francisco. are about to close their gates as one Of the industries of this coast.
 Bad management is said to be the cause of the failure rather than lack of patronage. gentleman in close tOuch with the kind of work turned out at the mlllS gave it as his opinion that there Is room for flrst-class rolling mill plant in this city provided it was properly con- ducted by practical men who have a knowledge of the work to be turned out. He said:
 'The great trouble with the present management of the mills was that the directors overloaded their superintendent by heaping upon his shoulders the work of three men. Previous to the late James G. Fair assuming control of the mills there was a first-class salesman connect ed with them, but he was discharged, as were others who thoroughly understood their business, and incompetent hands taken on, whose only interest was the wages they drew for their labors. Be- sides this, contracts were taken for the building of street railroads in this city and Los Angeles, and bonds were taken in payment for the same. When those roads went under the mills suffered as a consequence, and the bonds fell short or realizing what they called for In addi- tion to this, spirit of competition en- tered into the management against the very men from whom 1t derived its pa tronage and support This, as a conse-
 
 that by right would be given to the home mill. Through all of this 1t failed to keep in line with the progressive spirit of the age, both in machinery and method; It had capital. but it lacked brainS''
 In consequence of its neglected condi- ton it is doubtful whether it will redeem its obligations. There are sets of mort gage bonds out. The first bear interest at the rate of s per cent and aggregate $213. .OOO There are also outstanding $500,- 900 worth of second mortgage bonds with interest at per cent. The principal hold CT of the coupons is the Fair estate which carries Sl0,000 worth. D. Q: Mills amount. These, with other bondholders and other creditors, have claims against the Pacific Rolling Mills aggregating $S00, 900.
 The principal stockholders in the con- cern are the Fair estate, with 100000 shares; George Whittell, 1900 shares; Ed ward Coleman, 1000 shares; Farrott estate 1000 shares; J. c. Wilmerding estate, 1000; Louis Monteagle, 800 shares; Calvin Paige, 500 shares. The Luning estate also holds there are numerous other small share holders.
 President Charles Neal attributes the closing of the mills to Eastern competi- tion, high wages and high price for fuel in San Francisco. It was thought not long ago that the Scotts would purchase the place and add it to their ship-building plant, but this was not done. They would not. take it as a gift in it's present condi- tion as it would cost more to fit 1t up as a first class rolling-miu than new place. Since the building of the Charleston no work to speak of has been done in the mills for the Government vessels: All or the heavy casting for the battle-ship Wis parties. The local mills had not even quoted figures for any of the work.