The morning news. [volume] (Savannah, Ga.) 1887-1900, 1900-05-25
BIG BROKERAGE FIRM FAILS.
PRICE, MCCORMICK & CO.'S LIABILI-
TIES ARE s13,OOO,OOO.

NearIy All of the Creditors Are Sc
Cotton Market, and the Recent
Henvy Drop in Futures Was More
Than 1t Could Stand-MarlSet BE-
came Panic Stricken But Recover
ed Partially Before the Close.
New York, May 24.-Price, Mccormick &
Co., one of the largest brokerage houses
m the city, failed to-day, with liabilities
ESTIMATED at $lSCO0,Oc0.
The firm is a member of the Stock, Cot
ION and Produce exchanges and of the
Chicago Stock Exchange, and has branch
offices in about thirty cities throughout
the United States.
The failure is ascribed to the fact that
the firm was long of cotton in the face
Of fast falling market A notice on the
| doors of the Offices of the company re-
! ferred all inquiries to William j. Curtis
and William NJ Cromwell, assignees.
Mr.Cromwell said late this afternoon that
1t was impossible to make any statement
at this hour concerning the condition of
the firm; that it's business is very extend
ed and covers several branch agencies.
The total liabilities, he said, are about
g3OOO,OO0 nearly all of which are secured.
He added that a statement would be SUBJ
mitted to the creditors at the earliest
possible date.
The firm is composed Of Theodore H.
Price, William G. Mccormick. R. G. NJ.
stewart-Wortley and Walter w. Price,
with George Crocker of San Francisco a
special partner, on an investment of $-O),-
Co., Mr. Mccormick is of the we'll known
Chicaso family of agricultural implement
fame, and Mr.. Stewart Wortley is a SON
in-law of Rear Admiral Schley. The firm
was organized Jan. 2, 1897. OF the part
ners Mr. Crocker is now in Europe, and
M Stewart Wortley is on his way back
from Europe.
Caused BY the Decline.
EARLY in the day rumors were current
that a prominent firm was in trouble, and
shortly before the official announcement
of the suspension was made, it was gen.
orally understood that Price, Mccormick
& Co was the firm referred to. Prior to
the formal announce cement the cotton mar
ket had broken over twenty points under
terrific selling for both accounts from all
directions. The firm has long been re-
earded as the leading supporter of the
market, and at one time it was said they
were goirg to put August cotton up to 10
cents. The decline of the past month,
wcver, was against them, and despite
their effcrts they could not hold the mar
ket up. Consequently to-day's develop
msnt d not ccme as a total surprise,
though they had sufficient force to tenn
porarily demcrallze the trade.
The firms bullish attitude was surmised
in the cotton market and it is thought to
have stimulated the recent activities of
cotton bears.
Following the announcement of the fall
ure, the cotton market became panic
stricken, and broke 10 to 13 points The ex-
tent of the decline from the highest price
when the bull movement eliminated has
been 122 points.
Later in the session the market be-
came more quiet and recovered from the
extreme depression. Nevertheless, it had
its effect There was a rush to sell that
carried prices down sharply. There was
decline OF about l per cent In the Stand
ard Railway shares and from 2 90 21s
per cent in the balance of the list.
While the firm was also a member of
the Produce Exchange. the effect of the
failure there was almost wholly senti-
mental.
According to the rules of the Exchange
the announcement of the failure was fol-
lowed by the closing out of the suspended
firms outstanding contracts on the floor
OF the Exchange. Up to the close of the
Exchange the dealings for the firms ac-
count footed up SO, $50 shares.
Statement by Assignees.
Assignees William ]. Curtis and Will
lam Nelson Cromwell made the following
announcement regarding the failure:
TO the creditors of Price, Mccormick &
Co.: Price, Mccormick & Co., have been
compelled to temporarily suspend pay
No cL nd oIt baf
holding stocks, bonds and other collateral
to loans, and already we'll margined. hold
the loans until reasonable opportunity be
Afforded the assignees TO deal with the
same that unnecessary loss thereby may
be avoided"
Price, Mccormick & Co.. had an extend
ed wire service, and at times were cred
tied with doing fully es large a business
as any firm on the exchange. Their rep
LesthtatiVes on the exchange were r. NJ.
o'ewart-Wortley, w. G.. Mccormick and
George Crocker. the special partner.
Much of the business of the firm was in
tne Cotton Exchange at first, and Its
senior member and organizer was formerly
ol the firm of Hubbard. Price & Co. At
ena' time the older firm had a large
nOuthern business. The present firm con-
uohed much of this Southern stock busi-
ness and has been very active at times in
SOCKS favored by Southern operators, al
- us lines or trade nave Deen lar
80 IN volume than its regular commits
aoh business obtained through its wire
service to outside cities.
branches i'm New England.
boston, May A.-Price Mccormick G. Co.
ndVe several branches in New England.
~ ~ one time they had a wire agency in
vis city, but of late the local business
has been transacted through various
%%ohers houses, including the firms of
Seotge A. Fernald & Co., Hayden, Sloan
90 Towle & Fitzgerald, Lee, Higgin-
son * Co, and others. The Fernald firm
stated this afternoon that Price. McCor-
small. s