The herald and news. [volume] (Newberry S.C.) 1903-1937, 1905-10-20
UNION AND BUFFALO MILLS
Reorganization Committee Issues an
Address to the Creditors.

( Columbia, October I6.-The Union
and Buffalo Cotton mills situation is
beginning to take some shape. The
reorganization committee has been
appointed and has begun its most dif-
ficult and troublesome !ask Today
the following Introductory circular
1ssued:
Reorganization Committee, Union
Cotton Mills, Buffalo Cotton Mills,
Robert F. Herrick, chairman; Fran
els K. Carey, R. Goodwin Rhett.
New York, October 16, 1905.
To the Creditors of the Union and
Buffalo Mills.-Gentlemen: At the
request of New York, Richmond, BIS
ton, Baltimore, Providence and Char
lesion creditors of the Union and Buf-
falo Cotton Mills, whose claims are
estimated to represent about three
fourths of the entire indebtedness of
the mills, and with the approval of the
new presidents and executive commit
tees Of the two corporations, the I'M
dersigned have consented to act as a
reorganization committee for the pur-
pose of protecting the interests of the
creditors and for the purpose Of en-
deavoring to bring about, with or
without the aid Of the courts, fair
and wise readjustment of the. business
affairs of the two corporations, which
will enable Them to protect their la
Dor organizations, continue their man
ufacturlng operations and preserve
and increase their admitted great
earning power.
This method has been adopted to Sc
cure mutual confidence and coopera-
ton among the creditors IN order to
save the valuable assets of the two
corporations from the waste which
would result from the prolonged and
acrimonious litigation now threatened,
if the creditors insist upon separate
efforts to assert their rights.
The reorganization committee now
selected realize fully the difficulty of
the task which they have undertaken,
and require and ask for the hearty
and unanimous support and conf
dence of the creditors and their at
torneys. as conditions precedent to
the successful handling Of the sltua-
tion
The members of the committee,
who were only appointed on Satur-
day last have not yet proceeded far
enough with their study OF the b;1si-
ness and legal conditions to be in a
position to advise the creditors in
regard to the best course to be pur-
sued; but if after careful review OF
the matter they become satisfied that
| It is no: feasible 20 protect the in
terests of the creditors without IL
quidation in the courts, they will
promptly advise the creditors Of their
conclusion, and in announcing it will
endeavor to present q plan. based
| upon liquidation, which will, as far
as possible, promote united action and
lessen in every possible way the ex-
| pense, delays and dangers of legal
proceedings and give the greatest
measure of protection possible to all
creditors, large and small, who are
willing to cooperate with the commit
tee.
The reorganization committee in
vlte, therefore, the unanimous sup
| pors of creditors of both companies.
In many important particulars the
creditors Of the two corporations
must fbe treated from different busi-
ness and legal standpoints, and their
interests will be kept entirely separate
by the reorganization committee. The
two corporations have, however, been
so closely allied and their affairs have,
through mismanagement, become so
entangled THAT it has been decided to
follow the same policy which was sue
cessfully adopted in the reorganiza-
ton of the Olympia, CRANKY and