The Worcester spy. [volume] (Worcester, Mass.) 1898-1904, 1899-07-20
SMALL STOCKHOLDERS.

The wide distribution of the stock Of
the larger corporations of the country
whether railroad or industrial, is a fact
that the public has been slow to appre.
| c1ate One reason for this is the rapid
increase in the number of shareholders
within five or six years. 1t is a com.
mon notion that large blocks of stock
constituting "a controlling interest
are held by q single person or combina.
ton in every important corporation
but while there of course are such in.
dividual holdings. the total number OF
owners is surprisingly large. President
Havemeyer of the American Sugar Re-
fining company told the industrial com.
mission that there were between IL ,0OI
and 1900 holders Of sugar stock, and
the New York Times says the books
corroborate his assertion. Similar re-
cords may be cited for other corpora
lions.
The Springfield Republican states that
the number of Boston and Albany
stockholders increased from ALSO in 1871
to S647 in 1897. In the meantime the
total number of shares had been raised
from 100000 to 250,OOO, but the average
individual holdings declined from 46S
to 2S.9 From other sources it is learned
that there are more than 5000 holders
of New York Central stock, though the
Vanderbilts are popularity supposed to
own the road. The Central is the largest
stakeholder in the Lake Shore and
Michigan Southern, but there are 1850
other stockholders to participate in the
dividends. Atchison is divided among
$1,000 individual holders, scattered
through this country and Europe. The
number Of Pennsylvania stockholders
has increased 1000 within five years. and
is now about 10000, and dividends
amounting to Sc, 1861 900 are annually dis
tributed throughout the United States
| and Europe. The Western Union Tele-
graph company has record of 13,43;
stockholders, counting all it's leased
lines. There are 8135 shareholders in the
New YerlS..New Haven and Hartford
with an individual average of g. shares
apiece, and it is common knowledge
that many Connecticut people depend
upon the stock for their one means OF
| income.
| Large holdings of stock are constant.
ly being divided and sub-divided by be.
quests, but it is also a fact that som,
far-sighted managers have sympa
thized heartily with William H. Van
derbilt, who once put millions of New
York Central stock upon the market
saying that it was good policy to hav,
1t distributed as widely as possible. Blu
more influential than either of thes,
motives for distribution is that of or
binary business prudence, which for
bids investors to risk any large proper
ton of their capital in single ventur,
but dictates its division among
number of different properties.
The great lesson to be drawn from
these facts is that when public agita
tors rail at corporations, denounce then
as plunderers and demand that they b
either crippled or destroyed, the hare
prained shouters are actually strikin,
at tens of thousands of people of small
means who have invested their saving
IN taese very companies. Savings banks
WIDOWS, orphans and trust funds ar
numbered among the stockholders, an,
they would be the severest sufferer
from any depreciation of property o
cessation of dividends. On the othe
hand, the responsibility and moral OBJ
hgationsof the managers are more thai
increased in proportion to the numbe
of stockholders.