New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1904-03-06
BIG DRYG00DS MERGER.
TAXES IN THREE FIRMS.
Henry Siegel Corporation To Be
CAPITALIZED at $40. 10000.

Following the news Of proposition 20 In
crease the working capital of the simpson
Crawford Company and to classify the stock into
common and preferred comes Information that
Henry Siegel. Frank E Nogel and their asso-
ciates are organizing a corporation capi-
talized at Sl0.7J0oo0 TO acquire the capital
stock OF Siegel Cooper & Co. Of Chicago. the
simpson-Crawford Company. Of this city and
the new Fourteenth Street Store. The new or
ganization Is 20 be known the Henry slsgel
Corporation
The corporation designs TO Issue certain OF its
proposed stocks In payment Tor the shares Of
stocks OF companies which Il Is proposed TO
combine. The Fourteenth Street Store. on the
old Macy site. win be open for business In a
few weeks. Later IL IL proposed to organize a
company to conduct similar department store
business IN Boston.
In a circular issued TO the bond and stock
holders Of the Simpson-Crawford Company,
Henry Siegel the president says:
By the control and Joint operation Of these vari-
Gus businesses, In all OF which Messrs Henry
interested it is expected that ;here viii be very
substantial increase In the earnings available for
fected not alone by the BENEFITS be derived from
also from the enSnoe P1Te5 S 80 % Ss sected
more particularly IN the purchasing, advertising
and their associates desirous OF purchasing the
issue OF per cent preferred stock of ne
ing that the Henry SIegei CORPORATION Is 10 pur-
from the Henry Siegel Corporation on account OF
the sale to Il Of such preferred 800 par value
common stock for each sl9l par vaIne OF the said
pany
The present earnings OF siegel. Cooper & co. 20,
dividends on the entire issue OF the preferred stock
earnings Of the other three stores applicable TO
S,i SGiyil6enGs on the common stock AMI the accumu;
believe that dividends o. the common stock OF the
hhenry siegel Corporation AZ the rate Of MT less
ton ton and that during the first five years OF the
from 10 per cert 10 is per cent ger anaum
Each bond and stock holder OF the Simpson
Crawford Company is to have an opportunity.
In proportion to his holdings. 10 subscribe for
his respective proportion OF the per cent pre-
ferred stock. with the understanding. as in the
case Of Messrs. Siegel. vogeI and their asso-
ciates. that such stock subscribed for is to
be acquired by the Henry Siegel Corporation at
the rate OF 800 par value I'm preferred and 500
par value In common stock Of that corporation
for each 500 par value Of the preferred stock
OF the Simpson Crawford Company acquired.
1t is stated that about three-quarters of the
stock OF the SImpssn-Crawford Company has
asseuted to the proposed increase in and class
ihcation of Simpson Crawford stock on the un-
derstanding that the plan of combination de-
scribed is carried out.
The Henry Siegel Corporation will be incor-
porated with a capitalization of S4.2J0.Oo0 per
cent cumulative preferred stock and S6.500.OO0
common stock a total of SO, O,7J0.oO0. The basis
on which the stock OF the several companies Is
TO be acquired by the Henry Siegel Corporation
is as follows:
Stockholders OF siegel. Cooper g. Cd to receive
500 I'm preferred stock and $3.50 in common stock %
the corporation FOR each slcO par value OF their
present stock
receive slo0 in preferred and 800 In common stock
OF the corporation each 800 OF the pre-
ferred stock OF the company, and also $50 I'm COM
mon stock Of the corporation for each 500 OF the
80 900 090 OF common stock Of the company.
Stockholders OF the Fourteenth Street Store to
receive sl00 preferred and 800 I'm common stock
OF the corporation for each 500 OF their present
stock.
The distribution OF ,he capital OF the Henry
Siegel Corporation this basis Will be as follows:
Preferred Common
To siegel Cooper co...-...-. s1.oOOOcO 81 100000
Simpson Crawford Company. 100000 lI600OO
Fourteea;h street store. 100000 1250O
Total Issue organization S325Oc COO S5.5O0OO0
nesaryed In treasury for acquisition
- company 10 conduct
foston store and already subscribed
sna thew assooistes LcoOcoo 100000
Total lssu. BY corporation. .. 10000 $GSoo.OOo