The Birmingham age-herald., 1913-03-18
Assets Said to Exceed Its
Liabilities by Some
S4,OOO,OOO
CREDITORS OF THE
COMPANY TO MEET
Condition Claimed to Be Due to Civil
Case Against Company-One of
the Most Potent Trusts in
the United States

Savannah, Gas. March 17.-With assets
said to exceed its liabilities by sloooo0o,
the American Naval Stores company to-
day announced that it has suspended
business. In d statement given out by
c. J. Deloach. secretary of the COM
pany, he asserts that the fight the gov
ernment has made upon the company and
its officers has practically destroyed the
eompany's credit and has made it wise
to discontinue operations.
A meeting of the creditors of the COM
pany has been called for Friday of this
week at local hotel. The creditors are
mostly banks, numbering over 90. The
loans to the Savannah banks Are secured
by ample collateral.
1t is believed by leading creditors that
means will be, devised by which the busi-
ness of the company will be carried on
without loss of more than a few days.
News that the company would suspend
came without forewarning, as there had
not been an intimation in the trade that
such course was impending.
Situation Carefully Canvassed
A meeting of the Savannah bankers in
terested in the affairs or the American
Naval Stores company was held here to-
night and the situation was carefully
canvassed. Afterward it was stated that
all of the loans were fully secured as
explained in the statement issued By
Secretary Deloach.
The companys assets consist largely OF
immense stocks of naval stores at vari-
GUS points in this country and abroad.
The company engages exclusively in sell
ing and exporting naval stores
Both on the civil and criminal side OF
the United States court the American
Naval Stores company, or it's officers,
now has interests waiting to be adjudi-
Gated.
In Washington before the United States
supreme court Judge Samuel B. Adams
will tomorrow argue an appeal from the
lower courts in the case where two oil
the officers of the American Naval stores
company were sentenced to jail for six
months and fined $1,000 each for violation
of the Sherman antitrust law.
Seek to Dissolve Company
The civil case, which was filed last
summer, seeks to dissolve the American
Naval Stores company on the theory that
it is trust" The case was filed here,
and later was transferred so as to be
heard by Judge Pardee in Atlanta Only
recently the defendants answer was filed
in this case
court week ago the company reiterated
the claim it has often made that it had
not done anything contrary to the laws of
the nation.
The suspension of operations and the
liquidation of the company's assets will.
1t is asserted, make it unnecessary for
the government to press this cause fur
ther.
The American Naval Stores company
was chartered December l, 1906 Merged
into this corporation We're the interests
of several naval stores concerns, namely
the S. p. Shotter Co., the Patterson
Downing Co, and the Antwerp Naval
Stores company. The company is now
capitalized at $3,00o.000 Its chief officers
are S. p Shotter. chairman of the board
of directors; f. II. Nash, president; J. f.
c. Myers, vice president, and C. j. De-
Loach, secretary.
This concern ranks as one of the most
potent and influential corporations in the
United States.
An officer of one of the Savannah
banks interested tonight expressed the be-
lief that the statement given out by the
American Naval Stores company repre-
sents with substantial correctness the
conditions of its affairs, and that the as
sets very largely exceed the liabilities.
'The local banks holding the paper
of the company are amply protected .
he said, land there is no reason to doubt
that every creditor will be paid in full.
AS the company will be able to show the
creditors at the meeting Friday that it is
entirely solvent there is every reason to
expect that an arrangement will be made
to enable the company to go on and real
ize on it's assets and pay its debts.''