New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-09-29
TOBACCO TO GO 5 WAYS
Scheme for Dissolution of Trust
So Arranged, 1t Is Said.
DETAILS OF PLAN LACKING
Relieved That American Com
pany Will Be One of Success
sors CT Combination.

The plan agreed upon in principle AT the
last conference between the Judges Of the
Emitted states Circuit Court IN this city
Attorney General Wickersham and repre-
sentstives OF tho American Tobacco
company for dissolviug tho Ameri-
r,1 Tobacco Company and recreating out
of the elements composing 81 "a new con
d,flon in honest harmony With the law IS
understood 20 have rs its leading feature
&c REPLACING Of the present combination
tv three companies, of which the American
rolncco Company itself is 20 he ono, Just
!, the Standard OIL Company Of New Jer-
ssv Is Itself not TO be wholly done away
with. eut is 10 continue as a manufacturing
Company. although shorn OF the control Of
r,any corporations over which IL has hith-
40 exercised control
There is still 81 great deal of work TO be
done upon details. and IL is expected 10 be
week or more before tho completed plan
can b. formally laid before the Circuit
Court for IT'S consideration AMI gSbrovaL
rrle definite information regarding it has
come ont, and IL Is understood that thc re
organizers themselves have not yet finally
decided upon such details as tho names Of
ihf three successor companies.
his reported that tho 2. Loriliard Com
,arv and the LigCett & Myers Tobacco
company. two Of tho present subsidiaries
hotb of which were taken over by the OLD
continental Tobacco COMPANY ten or q
dozen wears ago, have been selected TO fig
urs I'm the new plan with the American
Tobacco Company. and that their capital
cation will be increased TO she amount
which may be necessary
The ucorice interests held by the Amcri-
can Tobacco Company, which constitute
practically a monopoly Of a product neces-
ssfv for the use Of all manufacturers OF
tobacco. are likely 20 be sold. it IS said,
and perhaps also the combination may di-
r.sl itseIf Of it's interest in The United
clear stores Company and few other
s5-,sidi1r,es.
The proposed capitalization of the new
s5wuames has not yet been disclosed, nor
ths alignment of the subsidiaries which are
ii, he controlled respectively by the report
cd three corporations Ii was said yester-
6sv that holders Of the American Tobacco
Compauy's per cent bonds would receive
- icy cent In a per cent bond Of one OF
toe three successor companies and 90 per
cent IN G per cent bond, and that the
holders 1. the q per cents would get 80
Der cent in a . per cent bond and 20 per
cent In "a per cent bond. while the hold
e~s of the per cent cumulative preferred
stock were to receive one-third in a Z per
cen stock and two-thirds III per cent
STOCK.
The common stock holders. it is reported
viU get I'm exchange for their holdings
sock 5f each Of the three companies. with d
bonus OF some sort. which MAY be repre-
scn,cd by the proceeds Of the sale OF the
L,orlce and other subsidiaries.
the time for the deposit of 8 and per
cent bonds Of the Tobacco Company eX
pirea Yesterday afternoon, and was not eX-
tended although the number of bonds OF
tae4 class deposited was not made public.
the period tor deposit of the preferred
stock with the stockholders committee en-
pred on september a.