The Montgomery advertiser., 1907-08-12
DAILY STATE
 IS INSOLVENT Petition in Bankruptcy
 Against Paper. WILL ASK FOR RECEIVER Has Been Published in Montgomery
 Since May. Dodson Printers Supply Company, ve- suvius Lumber Company and A.
 G. Forbes as Agent Bring Affairs Into Federal Court.

A petition in involuntary bankruptcy was filed late Sunday night by eredi- tors of The Daily State, Montgomery,s youngest newspaper publication and to- day Judge Thomas G. Jones of the United States Court will hear motion for the appointment of receiver for the property.
 The petition was filed by the Dodson Printers Supply CO, Atlanta, the vesu- vius Lumber Company, Montgomery, and A. c. Forbes, agent, Montgomery
 The petitioners allege that The Daily State Is insolvent and has committed acts of bankruptcy.
 The Daily State began publication in May with Alva Fitzpatrick as editor and F. D. Reig as business manager. The President of the Company is o. O. Nelson.
 In reference to the filing of the pe- tition The State of Sunday publishes the following editorial:
 The success that has attended the publication of The Daily State since its beginning in May has been far beyond the expectation of it's publishers.
 ''The paper was planned in A spirit of confidence that field and a mission was ordained for it, in the minds of those whom it has served, but its meas ure of triumph has been broader than the efforts behind it had designed, and as a consequence it's growth has ex- ceeded its present capacity to direct and control It.
 With a capitalization, invested al- most entirely in It's splendid plant. The Daily State began business in May. Its commencement had been designed many months previous but costly de- lays in machinery shipments and from other causes incident to a newspapers In a Hafarrad ffu haOfnnfner tn a proverbially dull season of the year. In the several months interim between the date of an intended and an actual beginning of It's career, The State maintained the expense of preserving intact It's large staff of writers which had been engaged in anticipation of an earlier start. This, on it's threshold. forged a large draft upon the papers treasury. impaired it's resources, and contracted its margin of operating capital. The strenuous condition of the money market made an increase of its capital stock impracticable, and the inactivity of the present business sea- son restricted the volume of advertis- ing patronage necessary to support a paper of The States pretenslons.
 "The inevitable result of this combi- nation of circumstances has made 1t impossible for The State to- promptly
  Der of It's creditors, becoming impa- tient at the delay expressed in the con- ditions described, on yesterday filed a petition in the local Federal Court for the appointment of a receiver of the property. Upon the showing made in the petition the application will doubt less be granted, and until further mo- tice The State will be issued under the terms of the courts decree. The State recognizes the legal rights in- volved in the petition and will make no effort to resist It's creditors in thier appeal to the court. Upon the contrary 1t will heartily unite in the effort di- rected to a reorganization of the paper and continuance of it as servitor of the people of this city and those of Alabama.
 The expense of starting the paper has, on account of the unfavorable con- ditions mentioned, exceeded it's income. A brave advance towards a firm estab- lishment of The State has been regis tered within it's few months of history. In that short period 1t has found It's way and made it's place in more homes than any other evening newspaper, and the equal of any morning paper In Montgomery; it has gained the conf1- dence of the business world, and attests this fact in It's solid volume of adver- Using contracts; lastiy-and modestly it lives in the hearts of the people who will be glad to note that in the temporary trouble that has knocked at its door, The State smiles through its tears in token of its perfect confidence of rising above every difficulty that for awhile bristles in its way"