New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1912-07-25
UNITED CIGAR STORES
Incorporated To-day at Trenton
Capital $35,OOO,OOO.

incorporation articles VIII be filed al
Trenton to-day for tho United Cigar
Stores Company under the new financing
plan. The official announcement OF the
company, in part, Is as follows:
The United Cigar Stores Company Of
America Will be organized under the laws
OF the state of New Jersey for the pur
poses OF extending and carrying on the
business OF handling and selling az retail
tobacco products, cigars. cigarettes ana
kindred articles, and also for the dcvel-
opment and acquiring OF real estate,
leaschoids etc. Its authorized capital
stock will be SS5 10000; per cent cumu-
lativs preferred stock 5000 900; common
stock S3O,cco,000
This company proposes TO acquire the
outstanding hfty-year S per cent gold
bonds of the Corporation Of United Cigar
Stores. organized under the laws Of the
state Of New York, as we'll as the out
standing capital stock Of that company
arrangements have been perfected
whereby the holders of the outstanding
bonds Of the Corporation OF United Cigar
Stores, which amount to $3,60O0o0. have
agreed TO sell the same TO this company
at par with accumulated interest trom
June 20, 1912, To obtain the money to e.
feet this purchase. the company has au-
thori5ed the issuance of its preferred
stock at par. OF the moneys received
from the sale OF preferred stock, 100000,
IN addition 10 the accumulated interest on
the bonds since June 80. 1912, will be used
20 acquire these bonds, while the bal
aHce Of tho moneys received upon such
sale will be used for the further develop
ment of tho business OF the company.
In order 10 assure the acquisition or
tho sum OF money presently necessary for
this purpose. a committee has agreed 10
enter into an arrangement with this COM
pany whereby tho members Of the COM
mittce Will subscribe for the necessary
amount Of preferred stock in this COM
pany, and will pay therefor at the rate OF
500 share in cash.
at has been decided, however, that an
opportunity shall be given 10 the holders
of record Of the stock of the Corporation
of United Cigar Stores TO acquire pre-
feTrod stock Of this company without any
expense or premium 10 such stockholders
or the company, the committee Having
Undcrwritten the preferred stock at par
and having agreed that It might be Of
fered TO said stockholders at par by the
company. The underwriting OF this pre-
ferrcd stock IS without expense 10 this
company or 10 the stockholders Of the
Corporation OF the United Cigar stores,
and without profit or commission 10 the
committee.
Any OF the above preferred stock not
- -. I,TI - H.
stock Of the Corporation OF United Cigar
Stores in accordance with the company's
proposal TO said stockholders will be
taken up and paid for at par by the COM
nlttee who will subscribe for the same.
The company will make a proposition
TO the holders of the common stock OF
the Corporation of United Cigar Stores
subsequently as follows:
"On or before the 25th day OF August,
1912, to purchase from each of the holders
Of said stock Of the Corporation Of United
Cigar Stores all of the shares OF stock OF
that company owned by and standing OF
record in the name Of each Of said hold
ers respectively, and to pay therefor by
Issuing and delivering three shares Of the
common stock OF this company, fully paid
and n-assessable. for each share. Of the
stock Of the Corporation of United Cigar
Stores"
The announcement goes at some length
into further details affecting the sur
render of certificates, and states that the
largest holders OF record have signified
their willingness to accept the plan. The
statement also says that the new United
Cigar Stores Company Of America Will
establish a large manufacturing depart
rnent. All rights TO subscribe will expire
k,,o11aY