The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1899-07-21
THE WAREHOUSE DEAL.
The Trust is Now Practically Fixed
How Danville Regards 1t.


How Danville Regards It,
Danville, Va, July 19.-The Danville
Leaf Tobacco Warehouse Company. that
mlch-talked-of trust. is now practically
fixed. There were rnmors of a hitch in
some of tire arrangements that might
make the attempt to consolidate all the
leaf tobacco warehouses of Danville I'M
der one management a failure. These
fears on the part of two or three of tine
Danville men interested grew out of some
minor complication in the situation of
the affairs of one of the houses pro-
posed to be taken into the company.
This complication has now been straight
ened out AMI the deeds to the purchased
property ami the contracts for the leased
houses were forwarded today to the
Produce Exchange Trust Company, i'm
New York, which will hold the same until
the stockh ,dcrs shall comply with the
terms Of the agreement, that is, pay in
the one million dollars.
Now that The whole matter is settled
beyond any possibility Of failure, ex-
cept by the intcIposition of miracle. the
company is making known by degrees its
plans and purposes and the more they
make known OF them the more. popular
the trust becomes in Danville and the
immediate surrounding country, and all
the talk about the establishment of OPP
position warehouses has blown over or
at least given place to a sentiment to give
the big company fair showing, and if it
keeps its promises to tote fair" with
the farmers, with Danville and with the
tobacco buyers. then it need not fear
any building and operating of indepen-
dent warehouses. The company declares
NOW it's purposes to be to make Danville
the largest leaf market in the world, by
concentrating all the bright leaf tobacco
raised in Virginia and the Carolinas here.
Where the leaf is for sale the buyers will
come and hence the trust expects to have
every large factory in the world that
consumes the bright leaf represented on
this market. If this scheme or this part
of it, works ont successfully, it naturally
follows that Danville's greatness as a
leaf market will far exceed it's present
mammoth proportions.
The next important paragraph in the
colnpany's announced plan of operations
concerns the farmer directly. For him
they propose to greatly improve the pres
ent excellent system of handling and sell
ing his tobacco, affording him better fa-
cilities and more advantages than he has
heretofore enjoyed. The biggest item to
the farmee. however. is the reasonable
hope held out to him Of obtaining in the
main better prices for his product than
he has been recently getting. And another
item has removed all the wrath the far
mer felt against the trust and that is the
company proposes to lend him money OF
secure it for him at a smaller rate OF
interest ttlan he has been paying. Like
cotton producers. tobacco raisers some
times have toborrow money to make their
crops and they have been in the habit
from time immemorial of paying 8 per
cent. for this accommodation. The com
pany promises to see to it that they
hereafter pay not over 5 per cent. posi-
bly, not more than A. These announce
ments have removed pretty much all OF
the opposition to the trust, and it is a
fact that number Of weH-to-do farmers
who few weeks ago We're clamOring
for independent warehouses to fight the
trust have taken stock in the big com
pany.