The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1917-09-04
HALF M|LL|0NPAID
|. FORPLANTAT|ONDY .
|. HAMAKUA MILL Co.
Kukaiau Properties On Hawaii
Are Purchased and One Min
win Grind For Both
ARRANGEMENT IS MAZE
IN INTEREST OF ECONOMY
New Arrangements For Trans
portation Makes Desirable Of
Purchase Long Planned

Kukaiau Plantation. llapakua, Ha.
waii, has been sold for a round half
million dollars. CONFIRMATION Of the re
port Of thir, the most receut big deal in
the sugar industry, was obtained yes.
terdry al the ohices Of the agents OF
the company, Theo. II. Davies & Co.
The Hamaltua Mill Company, of which
Davies & Co. are also agents, is The pur.
chaser, and the two plantations are adj
accent The sale was eonsummated sew.
.erai days ago, but no news Of the deal
was published in the Big Island papers,
and II was the latter part Of last week
before news Of Il reached others than
those directly Interested in Honolulu.
Then confirmation was readily obtained
at the agency.
Amalgamation in Nature
Transfer Of Kukaiau Plantation il
perhaps as much in the nature of an
..nlaIg amatIon as n sale. The owners OF
stock in the company are paid for the
property, share for share, in new stock
uf the llama kua Mill Company. The
two properties will be conducted, agri
enlturaliy, us If separate and apart
and under the old plantation manage
ment, It is said, but the grinding VIII
all be done at the Hamnkua Mn and
the shipping Of the product will also be
from there.
This big deal has been pending FOL
some time, il Is learned, and it was
partly in preparation for it that biz
improvements were made at Hamaku'
Mill more than year ago. The Ku
kaiau property was formerly known a
the Horner property, owned by Horne
interests and Theo. III. Davies inter
ests, but the latter bought out tn,
Homer Interests. fIamakua Mill is ais
owned by Davies interests.
crop worth Half Million
Kukaiau Plantation has an estimate,
crop this year Of 1000 tons, and up /
August ] had shipped 3225 tons 0
sugar. Last year its output was Sl3
tons and in 1915 il was 1872 tons. IN
value OF this year y crop is in tn
neighborhood OF $50g,000. BY year
since 1905 the crops have been; 1901
1889 tons; 1907, 1905; l90s, 1865; 1870!
370S; 1910, l72S; 1871 4436; l9l.
1865; 1919 3463; 1914, 1925. II there
| fore appears that 1915 was the banne
year and the present crop is the tbir
| best. The capital stock of the con
pa1y was 100000, divided in 500
shares Of a par value of 800 each, an
was not listed on the Honolulu Stoe
and Bond Exchange and was elosel
4 held.
New Transportation System rs
i Until the present time Kukaiau ho
been Handicapped in the matter Of can
transportation. The character of I'll
topography was such that to constru,
| railways'would have been at a cost thu
i was practically prohibitive. It was CT
by ridges of varying width and woul
have required very heavy expend
ture 10 construct the necessary roadbe
and bridges. For this reason an oye
head gravity system was employe,
About year ago an arrangement W;
made with the railroad company b
which the plantation company was
use the roadbed and bridges of Il
former where needed. Marrow gaul
tracks were laid between the standal
gauge tracks Of the railroad. Fro
this track other tracks were run Oft I
and along the ridges and a gravity G
BILE arranged to run the ears down
i the main track and thence TO the mi
Purchase Long Contemplated o
II Ii is understood that the Hamakr
Mill Company had the purchase Of Il
KukaiGu Company in mind when
made the engagements and iinprov
ments to its mill that have been me
! toned. 1t awaited the result of Il
deal with the railroad company and Il
proving of the success of the new caI
! Transportation method before compile
ling the deal. ..
VIII Promote Economy
The sale or amalgamation is in d
!, interest of economy and efficiency,
is learned. While cane culture will
on as before II will now be possible
close down the Kukaiuu mill, which
, not the equal Of the Hamakua mill, II
!. improved Hamakua mill lis capable
handling the entire crop Of both plant
tions. In other words, il is similar,
ways, TO the arrangement between II
nokaa and Pacific Mill, wherein the L
ter grinds the cane Of both of tho
companies.
Hamakua Mill Company had ear
, talization Of million, so that its M
| capitalization viii be a million and
half dollars, It's crop this year Is cs
mated ~ II 900 tons, the second large
lin its history, and il has already shi
al D. . \ . r r