Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1916-05-25
CAPITAL OF s5O,0OO,OOO
FOR NEW YORK CONCERN
Associated Dry Goods Company Sc
cures Virginia Charter From
Corporation Commission.
SUCCEEDS CLAFLIN Ho
HOUSE
Incorporation Marks Reorganization
OF Interests Which Failed Two
Years Ago---E. S. Bolen, of Rich
mond, Is Named as President.


The State Corporation Commission
| Yesterday granted a charter to the AS
, sociated Dry Goods Company, with an
authorized capital OF $4,000. 600 the in
! corporation of which marks the re-
organization of the II. Il. Claiin inter
ests of New York. The failure of the
/ parent concern. the H. Il. Clafin Com
| pany. about two years ago. was one
OF the largest i'll the history OF the dry
! goods business in America
| Since that time. however, there has
| been steady decentralization of til.
| concern. and the II. Il. Clatlin Corpora
! ton was later formed
The charter was obtained through
| the law firm of Munford. Hunton Will
l,ams & Anderson. and maximum fec
Of $500 was paid the State by the cor
poration in obtaining it's charter rights.
In addition. the state will receive an
annual tax of S5.l2a on the franchise
The following officers, who also com :
pose the board of directors were
named: +. = Bolen, president. Rich
| mond; W. y. strata, vice president.
Richmond. ana Mason H. Btcelow, sec
rotary and treasurer. Of New York.
NEW YORK MEN
PERFECT REORGANIZATION
The Associated Dry Goods Company
is reorcanizatiou of the Associated
Merchants Company and the United
Dry Goods Companies, which were
large stockholders in the H. r.
| ciahin Co. and took over the affairs
OF the Cha lin Co. when il went into
receivers hands The work Of rcor-
Ganization was carried out by a COM
mittee consisting OF Cornelius y. bliss.
.'r., Louis Stewart. Samuel w. Rey-
burn. Gates w. McGarrah. Thomas
n n r.
New York. These men also composed
the reorganization committee.
The capital suggested for the new
organization was $50 600 OO0-S2O ooo-
400 TO be per cent first preferred.
sloooo.ooo per cent second preferred,
and $20.oo0,000 common.
The plan of reorganization is az fol-
lows:
In the exchange, holders Of first
preferred stock Of the Associated Mer-
chants Company are to receive
sloS.l2 i-2 in par value OF the new cor
7orations shares for each share turned
In. this representing payment for both
the old stock and dividends thereon
AZ the rate of per cent from April
Is. 1914. 10 December /. 1915. The
owners of Associated Merchants sec
ond preferred are to receive 500 In
par value OF new sccond-preferred
stock FOR each share exchanged. and
s9.15 OF new first preferred. accrued
from April I. 1914 The exchange of
common stocks to be share for share.
The new stock, both common and pre-
te-red. will have a par value of 500
per share.
ENPEC'r TO soon
RESUME DIVIDENDS
United Dry Goods stock owners are
20 receive $3.50 in par value of ncw
first preferred and $40 in new second
a. hn
common stocks will be exchanged par
for par. The United Dry Goods Com
pany had outstanding sl0.S44,0OO pre-
ferred and S15.427.500 common stock
OF the Associated Merchants Company's
S4.4?l,500 first preferred and S7,O6i, 500
common was held in the lattcrs treas
ury. All of the Associated Merchants
common shares. except S551,50o were
held by the controlling organization.
and the second preferred owned was
slightly more than half the total out
standing.
The balance sheet Of the Associated
Merchants Company showed the net
value "f tangible assets Of the sub
sidiary concerns 10 have been. on De-
cemher II, 1919. $6.6SS,257, TO which
were added cash and other items to
an aggregate total Of SI,43S,265. From
this, Indebtedness amounting to ST.
o,l.1ll was deducted, leaving n net ball
Of the United Dry Goods organization
We're valued at SS.56T.1S4. Additional
items on the asset side Of the sheet
including the S2,2Gl.059 investment In
stock or Lord IL Taylor 1900, 900 of
real estate on Thirty-fourth Street,
New York, occupied by James McCreery
Co, brought the total for United Dry
Goods UP TO slf.4l5.74I. The amount Of
assets Of both concerns. after reserves
and all Indebtedness had been account
ed for. WAS 20.26l OBS. which was only
/ S2S2,e"o less than the amount of pre-
fcrred stock TO be issued under the
law.
stockholders were Informed by the
REORGANIZATION committee that divi-
bends ought to be resumed soon, all
'housh The uncertainty as to the dura-
ZION Of the war. with it's possible eff
ie"t on business made il seem n mat
ter OF business prudence that divi-
dens on tho preferred stocks should
not h" made cumulative until after
! December /. 1917
MRS. BARKSDALE SPEAKER