The Owosso times. (Owosso, Mich.) 1897-1926, 1911-12-08

(old) radtusted capital. $4,000, 900:
the Liggett and Meyers Tobacco COM
pany new capital. $4,000. 900; the
p Lorillard company (new) capital,
SAT 100000. and the r. ]. Reynolds
Tobacco company (old) capital. ST.
$4,000. are chiefly engaged in the
manufacture and sale Of chewing and
smoking tobacco and cigars. The
former one tin-foil company is d.
vided into two. one of $s25.000 cap
ital and the other Of 100000. The
one snuff company is divided into
three companies, one with a capital
of $15,000,000; another with a cap
ital Of 100000; and third with q
capital of 100000. The licorice
companies are two. one with a cap
ital of $5.758,00 and another with a
capital of 100000. There Is. also.
the British-American Tobacco COM
pany. British corporation. doing
business. abroad with a capital Of
$26.0OO.000. the Porto Rican Tobac-
CO company with capital Of
$1.S00.000. and the corporation Of
United Cigar Stores. with a capital
OF 100000. Under this arrange
ment each of the different kinds Of
business will be distributed between
two or more companies, with d.
vision OF the prominent brands in the
same tobacco products. SO as to make
competition not only possible but
necessary. Thus the smoking tobac-
CO business of the country Is divided
so that the present independent COM
panies have 21.39 per cent, while the
american Tobacco company will have
33.0S per cent. the Liggett and
Meyers zoos per cent, the Lorillard
company 22.S2 per cent. and the
Reynolds company 2.66 per cent. The
stock of the other thirteen companies,
Doth preferred and common, has been
taken from the defendant American
Tobacco company and has been dis
tributed among it's stockholders. All
covenants restricting competition have
Deen declared null and further per-
romance Of them has been enjoined.
Inc preferred stock Of the. different
companies has now been given vot-
Ing power which was denied 1t under
the old organization. The ratio of
the preferred stock to the common
was as 7S to 40. This constitutes a
very decided change in the character
Oh the ownership and control Of
each company.
In the original suit there were twen-
ty-nine defendants who were charged
with being the conspirators through
whom the illegal combination acquired
and exercised its unlawful dominion.
Under the decree these defendants
will hold amounts of stock In the va
rious distributee companies ranging
from Al per cent. as a maximum to
28k per cent. as a minimum, except
In the case Of one small company, the
Porto Rican Tobacco company. In
which they will hold As per cent. The
twenty-nine Individual defendants are
enjoined fof three years from buying
any stock except from each other,
and the group is thus prevented from
extending its control during that Pc
riod. All parties to the suit, and the
new companies who are made, parties.
are enjoined perpetually from in any
way effecting any combination be-
tween any of the companies in viola
ton of the statute by way of resump-
ton of the old trust. Each of the
fourteen companies Is enjoined from
acquiring stock in any of the others.
All these companies are enjoined from
having common directors or officers.
or common buying or selling agents.
or common Offices, or lending money
to each other.
Size of NeW Conpanjes