Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1908-09-11
FEEL HARD TIMES
A. Booth & Co., Big Oyster and
Fish House, in Hands of
a Receiver.
CAPITAL OF FIRM SIP, 600, 900
Too Great Expansion OF Business Fol-
lowed by Money Squeeze Claimed
to Be Responsible.

Chicago, Sept. 11.-A. Booth & Co.,
the $12,000,O00 fish, game and sea food
corporation, with branches extending
from coast to coast, passed into the
hands of receiver late yesterday af-
ternoon.
On petition of Alfred E. Booth and
the Linen Thread company of New
York, Judge S. H. Bethea in the United
States circuit court named William j.
Chalmers, who took charge of the COM
pany's general offices in the Tribune
building last evening.
The general assets are placed at $S,-
100000, exclusive of the company's
good will valued at $4,000,000, and the
liabilities, according to the bill, ap-
proximate s5,500,0O0. Mr.. Chalmers
gave bond for $4,000
Causes of Receiversaip.
Too great an expansion of the COM
pany's business and a large amount of
outstanding short time notes are the
reasons given for the corporations pre-
dicament.-- The receivership had been
under contemplation for several days,
but the action was hurried yesterday
because of an attachment suit begun
in the state courts by the Girard Ma
tional bank of Philadelphia, which
holds claim of $4,000.
This action was begun almost stimuli
taneously with the receivership pro-
ceedings, but the Philadelphia bank,
according to the receiver, was too
late. When a deputy sheriff, armed
with the writ issued by the circuit
court, appeared at the Booth COM
pany's Offices he found Mr.. Chalmers
installed as receiver
Claims of Petitioners.
The Thread company says its claim
against the fish concern amounts to
s7,6S3, and Alfred E. Booth, brother
of w. Vernon Booth, president of the
involved corporation, says he owns
one-fourth of the preferred stock and
one-fifth of the common stock
The short time notes outstanding
against the company are held by var
ious banks throughout the country,
four Chicago institutions-the First
National, the Corn Exchange, the Con
tinental and the Commercial National
being holders of the bulk of this
paper. Prior to the receivership a
meeting was called at the offices of
the company and a creditors commit
tee of seven was formed to assist the
receiver.
Inadequacy of Capital.
The troubles of the company as set
forth in the petition are due in a great
measure to an inadequacy of capital
coupled with the financial depression
of last year, which have been reflect
ed in the sales of Booth stock on the
Chicago Stock Exchange. Since last
from $40 to S43 share and was at the
latter figure yesterday morning.
Receiver Chalmers is sanguine as to
future prospects. With the aid of the
creditors committee he hopes to have
the corporation on a safe financial
basis within few months. w. Yer
non Booth is also hopeful. In a state
ment last night he said:
Was Unable to Renew.
"A. Booth & Co, with the approval
of the Chicago banks which hold its
paper, has been placed in the hands
of a receiver. This has been rendered
necessary because instead of mortgag
ing its property the company has re-
lied upon the sale of it's short time
commercial paper for it's actual cash
requirements and it is unable to re
new some of the paper. The assets OF
the company are conservatively est
mated in excess of $S,000,000, exclu
sive of its extremely valuable good
will. while its Indebtedness is about
! $5,500,000 The receiver has been or
dered to continue business, and the
management is confident that the EN-
barrassment will be but temporary. \