The Pensacola journal. (Pensacola, Fla.) 1898-1985, 1913-03-18
SAVANNAH BANKS
HOLD A MEETING
Situation is Canvassed at
Night Session and it is ApS
nounced That All Lodns
Are Fully Secured-e ecre-
tary of Company Saws
Prosecution HaaDestrov-
ed Credit aid Money
Could Nstr be Secured.
~ AssocrArEp pREss.

Savannah, Ca, March 17-with its
assets exceeding its liabilities by $4.-
900, 900 the American Naval Stores
Company announced today that It had
suspended business. A statement was
given out by the secretary OF the COM
pany in which he stated that the fight
being made upon the company by the
government has practically destroyed
the credit OF the concern and made It
necessary to discontinue operations.
A meeting of creditors has been
called for next Friday at the Savannah
hotel. The creditors are mostly bank
erg Among them are eight Savannah
banks, the loans by which are secured
by ample collateral. No single bank Is
carrying an excessive amount of paper.
Slxty-ome banks in all are interested.
It Is believed by leading creditors that
q plan will be devised by which the
bs1giness of the company will be car
ried on with the loss OF not more than
a few days. The convertible assets
being so large, and the interests IN
voived having financial backing that
- 30 great, the belief is expressed that
the funds needed win be promptly
forthcoming and the situation re-
lieved.
The meeting OF creditors has been
called for the purpose Of devising
means Hor speedily protecting az of
the interests involved A plea il
made for conservatism In the handling
OF sile situation, which is one OF enor-
snols proportions. II this il done as
surance is given that a reaction will
set In and unnecessary losses and sac
r11ces win be averted.
NEWS CAUSED CONFUSION.
The news that the company had sus-
-
warning. There had not been an in
course was impending. The first news
naturally came as a shock as it's full
import was not understood In the
confusion Of the early reports the I'm
preston prevailed that the company
had failed because OF insolvency.
Later reports were FeaSsuring, how
ever, as the company had prepared
copies OF it's formal statement and dis
tribUbed them among the banks and
others directly concerned.
SAVANNAH BANKERS MEET.
A meeting of the Savannah bankers
interested was held tonight, the sittia-
tion carefully canvassed and II was
announced all loans were fully secured.
The coznpany's assets consist largely
OF an immense stock Of naval stores
In various parts OF the country and
abroad 1t Is said the company has
been heavy seller AMI buyer. In the
meantime the market has been falling
and large sums have been obtained
from various banks.
Both civil and criminal suits are
pending against the company and Its
officers. The company was chartered
in 1905 in a merger OF several Of sew
eral naval stores compa MES. 1t ranked
as one Of the most potent corporations
IN the United States. 1t Is now cap
Stalixed at three MILLIONS.
STATEMENT 1Y COMPANY.
In the absence Of President Nash.
VINO Is in Europe. the secretary OF the
company presented the following state
uaer1f:
''Ts1e American Naval Stores Com
psny has been forced 20 suspend. Tho
company has not lost dol and its
assets. at conservative present values.