New-York tribune., 1912-02-08
NO DIVIDEND ON COMMON
American Tobacco Co. Will Lose
James B. Duke as President.
TO RETIRE SOON, HE SAYS
Will Be Chairman of British
American Co.-Explains Large
Payments of Cash.

James B. Duke. It was announced yes
terday at the offices Of the American To-
hacco Company. is soon 10 retire as presi-
ntnt OF that company. His successor will
he Percival s. Hill. long a vice-president
Of tie corporation. Earlier in the day the
directors declared the regular quarterly
dividend of IL per cent on the preferred
stock, hut omitted dividend action on the
common. In November, 1910, there We're
outstanding AO2i2, 400 in common stock and
100 In preferred
Mr.. Duke is 70 resign the presidency Of
the American Tobacco Company TO be
come chairman of the board Of the British
American Tobacco Company, the head Of
fee Of which is in London. and will devote
himself to the extension of the business
Of the latter company. which is now prin-
cipally in China. India Australia, Canada,
South America and Continental Europe.
Mr.. Duke said he felt that larger held
Of activity and usefulness awaited him In
the British-American Tobacco COMPANY
He also said that all the companies formed
out Of the American Tobacco Company and
the other companies which were disinte-
grated under the decree of the Circuit
Court were fully organized and equipped
with competent officers and assistants ana
fully embarked on their separate careers
Asked why the American Tobacco Com
pany had not declared a dividend on It's
common stock, he said that he had al
vised that in view Of the large payments
in cash which the company had recently
been compelled to make I'm the retirement
cf its bonds and for other purposes re-
would
wise to pav no dividend on its common
stock at present. and that the olreS'"''
had concurred in this opinion.
Mr. Duke. who was formerly "A MEMBER
Of the firm Of Duke Brothers & Co, "t
Durham, y. G.. manufacturers Of SMOKING
tobaCcos, became president OF the W"
American Tobacco Company soon att"I
that corporation absorbed his firm In lA'o'
and has ever since then continued In thal
post. and has been one of the most I'M
portant factors I'm the remarkable develop
ment Of the business Of tn" tobacco trust
He is a director Of several financial IN
stitutions. as we'll as OF various t"'a''"
companies When the British American
Tobacco Company was formed, I'm 1877 a.
a result Of the visit 10 England In "hl'h
Thomas F. Ryan settled the trad" war be
tween the American Tobacco Company an"
the Imperial Tobacco Company. Of Eng
land, the two latter corporations agreeing
n respect each others domestic trade.
while the British American company was
10 compete FOR the trade of all tho rest oi
tho world. Mr. Duke was elected director
Of the Imperial company, and both he ana
Mr. HiII were elected 10 the board Of IN"
Rritish-American company, ~ which Mr.
Duke is now 10 become chairman Of the
board
II was reported three years ago ihat ut.
Duke was 10 resign as president "f the
American Tobacco Company, hecdus" "i
alleged disagreement with IN" Ryan
Widener- Elkins interests in the corpora
lion. but he characterized the rumor as
pure nonsense.
Now. however with the conditions greatly
changed by the courts action and the
American Tobacco Company's field nuch
restricted. It is not a real surprise 10 Wall
street to learn that he has decided to
withdraw from the office which he has s."
long and ably fled That intention has
beep rumorcd recently. and the rum"rs
have agreed that the new president ~ IN"
American company would be Mr. HilI