Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1899-06-27
BIG TOBACCO DEAL.
THE DANvILLE WAREHOUSE SYN.
DICTATE MOVEMENT SUCCESSFUL.
The TRANSFER HAS BEEN MADE.
The Title of the New Corporations
The High-Water Mark of Sales
Aimed At.-KeDt n secret-Chnrter
Granted.
Granted.

DANVILLE, VA, June 2G.-(Special.)-
by the Dispatch representative to-day re-
lative TO the transfer OF ownership OF
| the Danville tobacco warehouse business
to a northern syndicate. The deal was
practically concluded in New York the
last three days Of the past week, the
Danville conferrees returning Sunday to
this city. According to a statement made
to-day by one of the gentlemen returned
| from New York, the deal is already vir-
tually an accomplished fact. The north
erners have accepted the options of sale
and lease in all the warehouses, except
one, subject to a favorable investigation
Of titles to the property transferred. BY
| the close Of to-day (Monday 1t Is an
nounced a charter will have been obtain
ed in Delaware.
The title Of the new corporation will
be "The Danville Va-) Leaf-Tobacco
Warehouse Company OF Danvilie, va.
The stock will be Sl,000,W0. divided into
TO- 900 shares of 800 each. Mr.. Il. F. AGREE
has been chosen as president or the com
pany, and the Danville directory Will IN
| MeSSTS. T..
Coleman, ~. D. Noel, w. II. Guerrant,
and ]. A. Reagan. The first stockholders
meeting will be held in New York early
in July: subsequent meetings of the com
pany will be held in Danville. The pur-
pose of the company will be 70 conduct
a warehouse business In this city, though
the charter will be exceedingly broad.
I'VE may said the gentlemen inter-
viewed by the Dispatch man, "engage IN
almost any business except that or bank
ing"
BY concerted action and aggressiveness
the company proposes 10 Increase the an
nual sales here TO 100000 pounus' Inc
higb-water mark heretofore has been
little less than 100000. The increase, 1t
is stated, will come from the bright to-
bacco territory in North Carolina and
South Carolina, in which a corps of
drummers will be placed. Smaller mar
kets Il is conceded, will be made tribu-
tary to Danvile in a greater degree than
formerly
The policy Of the company will be to
make as few innovations as possible.
The syndicate, with this idea In view,
proposes that the Danville directory,
named above, have entire control OF the
warehouses A liberal policy WILL IL is
stated. be pursured with reference to both
farmers and buyers. For the ensuing
year. at least, there will be few changes
in working forces of the respective ware
houses. The former proprietors VIII re-
main in charge, and but few OF the en-
ployees will be dispensed with.
The deal was engineered by Mr.. James
A. Henderson, of this city, who nego-
tiated for several months with Z. b.
Armstrong & Co.. brokers and promoters,
of New York. Before tackling the Dan
Vile WarehOusemen. about one month
ago. options on the sale, or lease. OF
every warehouse in this city were OBJ
tanned. With one exception, the options
were accepted. Liberty warehouse re-
mains an Independent concern. or the
capital Of sl,0O0.0O0, one quarter 1t Is
stated, will be taken by Danville ware
housemen in the deal.
The sentimental effect Of the syndicat-
ing of the business will be watched
with interest. The farmer. as a rule,
is violently opposed TO anything in the
nature of trust Already, il is freely
predicted that several independent ware
houses will be started, and that they will
have the sympathy and material support
of a large part of the farming element.
The personnel OF the purchasing syndicate
is kept a secret. one Of the gentlemen
who went to New York states that none
Of the Danville men know positively who
Armstrong & Co., represent in the deal.
He was, in fact. inclined to think, how
ever. that the American Tobacco Com
pany is not behind the transfer. His own
belief was that a certain old established
bank of New York was making the in
Yestment.
CHARTER OBTAINED.
DOVER, DEL. June "a certificate OF
incorporation was filed to-day with the
Secretary of State by the Danville Va)
Tobacco Warehouse Company. Of Brook
Ign, n. Y. Capital, 100000.