The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1902-02-24
Especial to the Advertiser.)

Especial to the AdVertlSer.)
SAN FRANCISCO, Feb. 15.-The New
York Commercial publishes the follow
ing from San Francisco: While sugar
! is uppermost in business talk, it is
interesting to look into the astonish-
| ing decline in the value of Hawaiian
sugar stocks. Prices today are only
from one-half to two-thirds of what
| they We're a year ago, and even then
| the retrograde movement was well I'M
der way. The principal causes of de-
probation We're two-fold-the increas-
! ed cost of labor, and the falling in the
price of raw sugar.
Before Hawaii was annexed to the
United States labor cost about s12 per
month. This labor was mostly Japan
! csc. Ihe Japanese were under con-
tracts Now this same labor costs from
S25 to $50 a month, and laborers are
scarce.
! Raw sugar, which was cents, is now
only 8 cents, with a prospect of going
, still lower, as Cuban sugar becomes
more plentiful. This means a differ
ence in the gross returns of the crop
of about $40 ton, with labor costing
over 100 per cent more than formerly.
With the depreciation in the value of
raw sugar large profits have been WHIP
ed out and dividends have gone glim-
mering.
FAIL TO MAKE PROFITS.
Many new plantations have been
started in the last few years. Some
of these have not earned anything, and
immense sums have been spent for ma
chinery and exploitation.
The man who may most be blamed
for the present condition of sugar
stocks is Edward POLITE of POLITE 6,
Co, brokers, in San Francisco. POLITE
began to manipulate sugar stocks
three years ago, and created a craze in
San Francisco that exceeded almost
any similar excitement. The stock Of
the Hawaiian Commercial and Sugar
Company, and the Hutchinson Sugar
Comp&ny-practically the only two
stocks listed then-rushed up at a ter
rife pace. Hawaiian Commercial went
up to $12S a share, and Hutchinson
went over hundred The new stocks, |.
such as Makaweli. Onomea, Honokaa, T
We're listed, and these, too, be- !,
gan to swell /
STOCKS BEGAN TO DECLINE
Then the market took a turn, and
stocks began to drop, not suddenly, but
stea Oily and consistently. Now Ha-
vaiian sugar stocks are bid as follows
here: Hawaiian Commercial $35;
$14; Honokaa. $1,000; XII
auea. 50. so; Makaweli, $25. so: Onomea,
"a; Paauhau, SO. %; Hama, S2Es
This is the present situation, but the
acts in Hawaii do not warrant it. 1t
s a reaction from the POLITE boom. I
The fact that most of the sugar COM ,
'anies have been compelled to with {
RAW dividends has made investment
money forsake those stocks. They are
'ound to come up, although it may be {
year or two. AS they stand today l
hey look like an excellent investment :
or one who is willing to wait
The Hawaiian government is stable, l
reights are being lowered, plantation J
utputs are growing. and unless Gu {
an sugar is admitted at more than /
~ PEI cent uIStOuil II Olil US pres q
MT tariff, Hawaiian sugar can COM !
etc easily.
ROOSEVELT ON SUGAR i
The New York Commercial says edi-
orally: f
1t is stated authoritatively by a re- I
ent caller at the White House, who =
ad a serious talk with President [
oosevelt on the proposed reduction of c
ne duty on Cuban sugar, that the I
lief executive defined his own position +
nd that of the administration as
riefiy and substantially this: L
Whatever concession is made must II
? purely and wholly in the interest u
the Cubans-not for the benefit of s.
ny persons or interests in the United 1
-ates. And it must be made in that -
ay-whatever it may be discovered to %
which Will inf7ict the very smallest HI
easure of injury upon any American =,
terest and impose the least burden 81
embarrassment possible upon any
nerican citizen. in
w alVinS now the questions as to i
neither or not we are under anv obli- -
ltion to Cuba and whether or not AZ
ion a radical change from a time or
hored policy is economically defensi- te
E IN It's relation to our home indus
les OF cane and beet sugar growing. mr.