Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1899-06-28
DAN c|TYS. BIC DEAL,
The SyndIcating Of the Tobacco
Warehouses,
THE COMMOT|ON SUBSIDIES.
No Particular Protest Is to b
Expected
If THE PLEDGES ARE KEPT
II Not, the Farmer Will he Hsara
From, and Capital VIII Responds
The Hackers of tho Comhinasisu
Still Unknown.
If THE PLEDGES ARE KEPT

DANVILLE. VA, June E.-(Special.)-,
The commotion caused In the tobacco
trade by the announcement OK the SYM
dicating of the warehouses has In large
measure subsidized. The Wild rumors Of
wholesale dismissal OF saIaried en-
ployees. and OF hardshlps In store for
farmers, have given place to q growing
sense OF security for tho coming tobacco
year, at least.
The authoritative declaration OF pur-
poses and policies published this morning
had the effect of reassuring the trade.
Comment on the floors to-day and thu
opinions Of tobacco-growers tend to tho
conclusion that no very great profess
may be expected. At the same time fall
ure to observe the liberal terms an
nounced in advance would quite likely
result in a widespread effort 10 obtain
relief through the medium OF opposition
warehouses Independently conducted. In
word, whatever conditions may arise
will be dealt with by the man behind
the plough on the basis of purely mer.
cenary calculation. Sentiment, while de.
cidedly adverse TO whatever savors of a
combination or trust regarded as an ab-
stract proposition. will cut minority
caper in any event.
The determination not 20 disturb thu
relations at present existing between
Warehouseman and farmer, To retain IN
large measure the prcsenc proprietary
and clerical forces. and TO make advances
on growing crops 10 worthy farmers Will,
it is the belief of those who nave calcu-
lated the probable effect of the move
ment, disarm criticism and insure tho
maintenance Of the present status.
MUST KEEP FAITH.
The prediction OF future harmony be-
tween the warehouse company and tho
farmers is conditioned upon adherence on
the part of the syndicate to the policies
as semi-ohcially announced. Should tho
corporation turn on the screws the
farmers would squoal. aud the vocal de-
monstratiOn would doubtless end In a
demand for independent warehouses. A
general cry for such warehouses would
undoubtedly reach the ears OF men with
surplus dollars seeking investment. and
the building of one or more new houses
would, IT is more than probable, result.
The attitude Of the farmers and buyers
both is one of expectancy. The new COM
pany, i'm the event of its formation. which
seems settled will be given a trial. IL
the farmer thinks his best interests are
being served by the syndicate his tobacco
will go TO syndicate warehouses ard ba
sold II independent warehouses are be-
Heyed. after a fair trial OF the corpo-
rated warehouses. TO hold promise OF bet
ter prices to the farmer, they will be es-
tablshed b.
AN UNSETTLED QUESTION.
While It is vigorously denied that the
American Tobacco Company Is Interested
i'm the warehouse syndicate, IL is signifi-
cant that none of the warshousenen
venture to state who compose tho cor
pOration. There is an undercurrent or
belief in the public mind that the Ameri-
can Tobacco Company Is back of tne
movement several bankers and conser-
vative businessmen express the hope
that such is the case, and say that with
that company in control the local mar
ket would quickly build up nj the ex-
pense largely OF smaller markets in tho
bright tobacco sections OF the Carolinas.
from which the big corporation would
take its buyers. Such course, they
argue. would make the smaller markets
feeders to the one large central market
of Danville. Armstrong x CO., OF New
York, the brokers through whom inc ceai
was negotiated. have statement ana
prospectus for publication In to-morrows
Register. in which announcement Is made
that subscription books will be open ct
their Office and at the Commercial Bank
of this city until July sth. In the state
ment the result OF an experts examina-
ton of the local warehouse business Is
given. showing net profit the past year
OF 500. 40 for the eight warehouses en-
braced in the deal. The expert figures
that by economical administration ny
corporation the net profits can be IN
creased TO S127, J07.4j annually.