Waterbury evening Democrat., 1907-10-22
ON HAND EARLY
Bankers and Brokers Awaiting Further Developments in
 the Financial Situation.

New York, Oct 22-Bankers, bro kers and business men generally came down to their offices early to-day to prepare for whatever further develop ments there might be in the financial situation. The feeling of relief and satisfaction with which these men began the transaction of business yes terday was succeeded by considerable nervousness to-day as result of the developments concerning the Knicker- booker Trust company. The news made public last night and printed ill the newspapers to-day that the Na- tional Bank of Commerce yesterday gave notice that it would decline to act as clearing house agent any longer for the Knickerbocker Trust cOm- pany and the resignation of Charles T. Barney of the presidency of the institution, served to unsettle senti- ment more than the Morse- Henze de- velopments of last week. The mag nitude of the business transacted by the Knickerbocker Trust company, with it's deposits amounting to more than $60,O00,000 gave a much more serious aspect to the changes made in it's management that did the changes in the relatively smaller Morse-Hcinze concern.
 The announcement of Mir Barney's resignation was followed by a series of conferences of financial men at Sherrys which lasted until nearly ? o'clock this morning. Among those present were !. Pierpont Morgan and his partners. George w Perkins and Charles Steele. Mir Morgan taking leading part in the discussion looking to the improvement of the situation. Three separate meetings were held, one of the directors of the knicker- booker Trust company. a second of the Trust Companies association, and a third of bankers and financiers gen erally, to consider what was best to be done. When the meetings broke up this statement was given out by q committee of the directors of the knickerbocker Trust company:
 'In view of the fact that MT Bar ney's outside interests had become greatly extended, and in view of his personal position in the directorate of certain institutions recently under criticism in particular because of his position with MT Morse and some of Mir Morse's companies, he has de- IA1 loA int of hn company would be served by his re- signation, although he had no loans with the KnickerbOcker Trust con- pany and will resign as a director. He will also resign as a director of the National Bank of Commerce, which was the clearing house agent of the Knickerbocker Trust company. H. view of the fact that the Knicker- booker will hereafter clear by itself was deemed advisable to obtain guar antees of additional cash should it he needed These guarantees have been obtained and the KnickerbOcker will be amply prepared to meet any cXi- gencies that may grow out of change in the method of clearing. The Knickerbocker has in it's own vaults $&000,000 in cash. If more cash is needed it will he immediately forth coming under the guarantee. The meeting of the trust company preSi- dents was largely for the purpose of outlining a plan for a clearing house of trust companies, similar to tue clearing house of banks. This will enable all trust companies to stand together as the banks are standing to- gether"
 In brokers offices the London quo tations on American shares were anX- iousIy awaited. When they were rn- ceived they showed sharp declines from yesterdays New York prices At 1 ?. m. in London. American stocks showed the following declines: Amalgamated Copper. 112; Atchinson. 2 3-S: Baltimore X Ohio. 11S St Paul. 2 5-S: Southern Pacific. 3a,. Union Pacific. 2 3-S and T.. $. Steel 115.