The Portland daily press., 1900-05-25
Debts Are Nearly All
Secured.
Two Members of the Firm Are
Absent in Europe.

New York, May 94.-Price, Mccormick
g. Co., one of the largest brokerage houses
in the city, failed today with liabilities
estimated at $13, 0OO, 900. The firm Is a
member of the stock, cotton and produce
exchanges and Of the Chicago stock ex-
change 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
referred all inquirers to William J. Curtis
and William n. Cromwell, assignees. Mr..
Cromwell said late this afternoon that it
was impossible to make any statement at
this hour concerning the conditions of
the firm; that its business is very ex-
tended and covers several branch agencies.
The total liabilities, he said are about
$l3, 000, 900, nearly all of which are se-
cured. He added that statement would
be submitted to creditors at the earliest
possible date.
The firm is composed Of Theodore Fl.
Price, William G. Mccormick, r. G. NJ.
Stewart Wortley ard Walter W. Price,
with George Croker of San Francisco,
as special partner ON an investment Of
500. 000 Mr. Mccormick is of the well
known Chicago family of agricultural
implement fame and MIR. Stewart Wortley
is a son-in- law of Rear Admiral Schley.
The firm was organized January 2,
1897.
OF the partners Mr.. Croker is now in
Europe and Mr. Stewart Wortley is on
his way back from Europe.
Early in the day rumors We're current
that 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 house referred to. Prior
to the formal announcement the cotton
market had broken over twenty points
under terrific selling for both accounts
from all directions. The firm has long
been regarded as the leading supporter of
the market and at one time it was said
they We're going to put up August cotton
to ten cents. The decline of the past
month, however, was against them and
despite their efforts they could not hold
the market up. Consequently today
developments did not come as a total sur
prise though they had sufficient force to
temporarily demoralize the trade.
The firms bullish attitude was sur
missed in the cotton market and it is
thought to have stimulated the recent
activities of cotton bears. Following the
announcement of the failure, the cotton
market became panic stricken and broke
ten to thirteen points The extent OF
the decline from the highest price when
the bull movement eliminated has been
N
market became more quiet, but continued
to show "a weak undertone on the general
ly very favorable crop accounts. The
market at 40 =, M, showed u net loss
of ten TO IA points, having recovered from
the extreme depression.
Early in the day rumors We're current
ON the stock exchange that there was
some outside trouble and by the time the
failure was formally announced from the
rostrum of the stock exchange, the room
and the street We're prepared for the
news. Nevertheless it hade its effect.
There was a rush to sell that carried
prices down sharply. There was decline
of about one per cent in the standard
railway shares and from two to two and
"A half per cent in the remainder of the
list.
While the firm was also member of
the produce exchange the effect of the
failure there was almost wholly senti-
mental. According to the rule of the ex-
change the announcement of the failure
was followed by the closing out of the
suspended firms outstanding contracts
on the floor of the change. Up to the
close of the exchange, the dealings for
the firms account footed up 10, $50
shares
Price, Mccormick & Co. s operations
in cotton were so extensive that at the
cotton exchange 1t was said nothing more
than an approximate idea of their stand
ing will be obtainable until after an
other twenty-four hours. The firm dealt
In cotton both ways but their long inter
est is believed to be at least 100, 600 bales
greater than their shortage,
Price, Mccormick q Co., are believed
to have been long of the Liverpool mar
ket but as this was a holiday over there,
operators had no means of protecting
contracts.
Assignees W. J. Curtis and William
Nelson Cromwell made the following
announcement regarding the failure:
10 the creditors of Price, Mccormick
& Co.;
Price, Mccormick s. Co., have been
compelled to temporarily suspend pay
ment. We ask and advise that cred ftors
holding stocks bonds and other collateral
TO loans, and already we'll margined,
hold the loans until reasonable opportun-
ity be afforded the assignees to deal with
the same, that unnecessary loss thereby
may be avoided"
Price, Mccormick & Co., had an ex-
tensive wire service and at times was