The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1899-10-28

was therefore especially injured by the |
continuance of the litigation by being
| obliged 10 carry the company without
| assistance from the Dillingham; shares.
THE PAID UP STOCK.
The injury to the paid up stock was
one which was general and applied TO
| all the stock of the company. viz:
That so long as the litigation lasted
| the company could not secure funds
with which to develop the plantation
| and carry on its business.
PROBABLE DURATION OF LITIGA-
| TON.
If this compromise were not made
and the appeal went on the situation
! would be as follows:
The Supreme Court term has lust
| closed. 1t would not sit again for two
] months. 1t would then remain i'm ses-
sion for a month hearing cases. Its Gus
tom is TO dispose of simple cases. re-
serving the complicated ones to the
| last.
| This was one of the most complicated
| cases, both as to law and fact. ever
| tried before this court
| There would be no probability OF Sc
| curing a decision within less than six
months and a decision might not be
obtained for year. The first stage OF
| the litigation had already lasted eleven
| months.
| During all this time the inability of
the company to collect its assessments
| would continue.
IF THE APPEAL IS SUSTAINED.
| If the appeal of Dillingham; and the
company is sustained then there is
nothing to prevent the other thirty-two
! suits already filed, with several more
which could be filed, beginning all over
again in the Circuit Court and contin-
uing for an unknown length of time.
| the injunctiOnS in each case preventing
| the company from issuing the stock
! and, so far as any ability to collect as
sessments is concerned, leaving it in
| the same position that it now is.
ADDITIONAL CAPITAL NEEDED
| ANYWAY.
| The speaker understood that full de-
velOpment of the plantation would in
any event need another 10000 of
| capital which would have to be pro-
| vided shortly.
| From the standpoint of the depre-
| citation of the stock by the issuance of
additional capital, it would make no
| difference whether that capital were
issued now or a year from now.
| Irrespective of theMact that an issue
would end the entire litigation and re-
| lieve the company from it's financial
embarrassment it would be OF benefit
to both the Dillingham; stockholders
| and the aSSeSSable stock not i'm litiga-
ton, in that it would provide 10000
shares on which to call for the payment
| of expenses, instead OF only 10000, the
| present number. This would require
the present assessable stockholders to
pay in only two-thirds of the amount
4 of ccrp1a nj inl, hn, 4,
erwise have to pay within a given time.
1t has been suggested that the issu-
| ance of an additional 10000 shares
would depreciate the stock.
| This did not seem probable in view
of the fact that the stock was to be
paid for in cash to the amount Of 81.
| COO 600. and that it would relieve the
| company entirely from the embarrass-
| ment which under existing circum-
| stances could not but be injurious To- it,
Mr.. ENA OBJECTS.
Hon. John Ena stated that Mr.
| Thurston had said that the San Fran
| cisco subscribers approved of this
compromise. He wanted to say that he
| was a San Francisco subscriber and he
| did not approve of it and had told his
| attorney, Mr.. McClanahan, that he
| would not consent to ii.
| MANAGER GOODALE PRESENTS
| SOME FIGURES.
w. w. Goodale, the manager OF the
| company, presented the following
| facts in relation to the financial status
| of the company:
He stated that all the assessments
levied, amounting to over $500, 900, had
| been spent; that Castle & Cooke had
| advanced 1925, 900 in addition, which
i dtn
| them; that the mill which had been
ordered and would have to be paid for
within a year from now would cost not
| less than $5OO,O0O; that within the year
| ensuing expenditures for additional
pumps and railroad equipment would
have to be made to the amount of
$27O,O and also the expense of run
ming the plantation until the crop of
| 1901 began to come in, would have to
| be provided for.
MIR. TENNEY WANTS TO HEAR
| Mr.. Tenney. of Castle & Cooke, stated
that number of stockholders had been
to Castle G. Cooke and objected to the
proposed issue of stock, and that there
had been a great deal Of talk on the
streets and elsewhere against the
proposition, the suggestion even being
made that the proposition was a sinful
one. He thought that now was the
time for anyone Directing to the meas
ure to state his reasons therefor, and
give the assembled stockholders the
benefit of those reasons, so that the
objections to the measure. as vel. as
the arguments in behalf of it, could be
| considered.
MR.. MAGOON'S OBJECTIONS.
Mr.. j. A. Magoon stated that the
reasons presented by Mr.. Thurston did
| not convince him; that it seemed to
him that the controversy was one
with which the company had nothing
to do; that it was simply a question
between one set Of people who wanted
to be stockholders and another set of
/ l0ANla WIN 70 hn