Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1912-10-04
KQNA TOBACCO
t tR0PblRNs UP
Continued from Page y

same building with the fermenting
crop. We cannot tell just the extent
CT the damage. however. until the ar
rival of particulars by the Mauna
keas mail TOMORROW morning"
H. Haekfeld & Co. came to the aid
Of the Kona Tobacco GO. with financial
backing little over fourteen months
ago. As was said at the time, the adj
vent of the powerful corporation to
tie industry, by such support, assured
every facility needed in demonstrate
that the finest tobacco in the wor::c for
certain purposes can be grown here
to perfection.
Advanced $4,000.
By the terms of the transaction H
Hackfeld & Co., Ltd, advanced $780,
200 to the tobacco company with
which to Increase its acreage in the
Kana district, erect new curing and
fermenting houses and, generally, de-
velop the industry to its highest posi-
bilities. The loan was for four years
at six per cent interest, the Kona To
bacco Go. agreeing to repay the money
az the rate of $4,000 a year out of the
proceeds of the crops.
In return for this accommodation,
the Haekfeld company obtained the
sole right for ten years to act as the
selling and financial agent for the
Kona Tobacco. Co... it's commission for
the first year being 2 1-2 per cent and
for the rest of the term 5 per cent
At the time of the agreement the
Kona Tobacco Co. had $50 acres of
land suitable for tobacco, but only
about 100 acres under cultivation. 1t
was proposed to plant $50 acres the
following year, and increase the plant
ing for the. 1913 crop to 200 acres. :
Loss Based on Grades. -. -
When the agreement was made the
services Of j. L. Daniels, an acknowl-
edged tobacco expert, had been Sc
cured, and the company anticipated
that, under his direction, the proper
ton of wrapper leaf to filler tobacco
would be increased to eighty per. cent
wrapper and twenty per cent filler,
where before the proportion was pre-
cisely the reverse. Wrapper then was
quoted at $1.25 to $3.50 a. pound,
against about % cents pound for
filler tobacco. II will therefore be
understood why the Haekfeld people
are not prepared to state precisely
what the loss from the fire is, not
Knowing the proportions of the differ
ent grades on hand when the disaster
occurred. - Il.
II was originally intended to start a
cigar factory for working up the COM
pany,s tobacco in Honolulu, but with
in the past year the plan was charged
so as to have the cigars made Oh the
plantation. Some small lots OF the
cigars were put on the local market
few months agp, winning Inuea favor
from the snfokiAg fraternity
What the. ldss On the building is
can not be stated with certainty, but
as It contained a good deal of lumber,
which comes high landed in Kona and
hauled to the site over a rough coun-
try, it will be a considerable item.
fortunately, the other houses OF the
outfit were built at safe distances from
the fermenting house and from each
other, else the loss in buildings might
have been very great. There were
something like fifteen curing barns on
the place. &t @A@a .. .e~'-5&'se. -
The loss, it IS stated, falls on the
Kona Tobacco Company.
Particulars Of Insurance.
There was $4,000 insurance on the
1911 crop an an equal amount on the
1912 crop. In giving latest directions
for placing the insurance, the man.
agement stipulated for $8050 on the
part of the 1911 crop in the ferment-
ing house. B. Won Damn, of Hack
fields insurance department, said this
afternoon that it was impossible to
say how much of the 1911 crop was
in the fermenting. house at the time
of the fire. Insurance on all of the
buildings amounted to $4,000.
, Manager Daniels is still on the main
land, where he went to market the
1912 crop. His son is in charge of
the plantation as assistant manager.