New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-01-03
RUM0RS DENIED
Committee to Decide on the
1918 Distribution This Month.

Continued reports that the 10000 bags
OF valorization coffee stored In the ware
houses of the New York Dock Company
are soon TO be thrown on the market
meet persistent denials in certain quar-
ers OF the coffee trade. Hermann Sleek
OIL. the chief representative Of the val
orization committee. viii sail tomorrow
for London TO attend the meeting of the
bopdholders on or about January is. VINO
Will determine the amount Of coffee 10 be
sold during 1913 IN this and European
ports. This fact, II is said, has been used
by the bears on the Coffee Exchange TO
force down the current price OF coffee so
that they can meet their commitments at
a profit. 1t is also denied that any ne
Sotiations are under way between the
Brazilian government and the United
States authorities 10 bring about any
liquidation Of the local stock Of valorized
coffee.
The terms OF the contract entered into
by the State of Sac Paulo. Brazil. with
the committee at the time Of the placing
of the n5.0o00o0 loan four years ago, for
which approximately 100000 bags of cor
Zee were given as collateral, expressly
stated that the manner of It's distribution
shall rest entirely in the hands Of the
bondholders. The Tribune has been able
To secure a copy of this agreement, whicn
reads, In part. as follows:
The government Of Sac Paulo hereby
undertakes TO offer the said cOitees LOT
aale through the medium or salu COIL
mittee. either by public aucuOn or ~
sealed tenders. al the price of the day
distributing them preferenualiy over tHe
last six months Of the conee peIlousw
that is 10 say. 10000 bags from January VARY
70 June 30, In 1863 10: CJJOD bags IN WV
Il, 10000 bags in 19ll-'l2. etc.
The government grants full lrreVocapie
powers 20 the committee 10 determine tne
6erms Of the sales of the above oDlsatoIy
minimum quantities and the markets, anu
70 carry them out on behalf OF the gov
srnment. control them and generally 10
40 everything needful. The quantities
required by the trade In addllon 10 .neSS
minimum quantities, and even oeIow
them, at any time. even before the pesn.
ming of the obligatory sales, shaII De ~
is disposal at a price not less thdn -
Francs for superior Havre. These addl-
Sonal quantities may equal FOR each !eai
The obligatory quantity. e.
II the quantity is still not sufficient 1or
The requirements of the trade the COM
nnlttee shall also decide. in agreement
with the government as to the price 10
be asked for the balance: II IN conSe-
duence of the foregoing clause the SAFES
j.
Annually provided for in Paragraph the
committee may postpone the future mini
mum sales If the condition Of the marKe
and the statistical position seem TO ue-
hand IT, but only to the extent OF the
anticipated sales previously reallZeu.
Last year the committee met on Janu-
airy % and decided TO sell only 10000 bags
of valorized coffee during the year, Of
which 100000 bags came to this country
and 100000 bags went 10 Europe. SO far
as the suit brought by the American
authorities is concerned. the opinion Of
those seen in the trade yesterday was
that Il will die natural death before the
present administration goes out Of office
II would be logical to suppose that tire
interested parties in the valorization
agreement would not want 10 see the
market decline before they could unload
II any such plan is In the air
1t was reported from Washington yes
terday that the United States and Brazil
had practically reached an agreement for
a satisfactory settlement Of the suit filed
By Attorney General Wickersham against
the coffee valorization scheme. The
scheme. If ultimately signed, It was said.
provided for the sale Of the 10000 bags
OF coffee stored in New York.
Iondon. Jan. 2-The coffee valorization
committee did not meet in London to-day.
as was reported TO he its intention. 1t ia
announced that a meeting VIII be held
on January 16, when final action respect
ing the valorizaton scheme Will be con-