Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1919-05-27
THE BIG COTTON CORPORATION
Outline of the Plans of the Promoters
in Raising the Capital Stock.


Columbia, May 20.-South Carolina
farmers, merchants and business men
generally will shortly be called upon
to take their pro rata share Of the
stock Of the big $100,000,000 cotton
exporting, marketing and financing
corporation, plans for which were ap-
proved at the big cotton convention
held at New Orleans last week. This
corporation, cotton men declare, will
solve the cotton problem Of the south
and will enable the cotton producers
Of the south to sell their cotton each
year at a reasonable profit.
A campaign for the sale Of stock in
the new corporation will be waged by
the South Carolina Cotton association
and first efforts will be made to sell the
stock to the cotton growers them
selves. In fact, plans for the corpora
ton provide that the majority Of the
stock must always be in the hands Of
the cotton planters. The banks and
business men Of the state and Of the
cotton belt generally will, Of course, be
expected to assist in the formation Of
the corporation. but thS eptton people
themselves will always 0Pntrol it.
To prevent the cor pOtation from
coming under control Of outside inter
ests the constitution provides that "the
sale of stock shall be limited to bona
fide resident individuals, firms or cor
porations Of cotton growing states"
Stock $50 a Share.
The corporation under its constitu-
ton will not engage in buying and SELL
ing cotton on its own account. The par
value. of the capital stock will be
$50 and it may be bought with Liberty
bonds. 1t is figured that many farmers
will trade all Of their Liberty bonds
for stock in the corporation. The bonds
will be bought at par.
The authorized capital stock OF the
corporation is fixed at 500, 100000, all
in common stock. The corporation,
however, is authorized to begin busi-
ness when the amount of capital stock
subscribed reaches $50,O00,000, and
when s25, 900, 900 shall have been paid
in.
The powers Of the corporation are
far-reaching. They include:
Powers of Corporation.
To purchase and sell or discount and
negotiate or pledge notes, drafts
checks, bills Of exchange, hcceptances.
To purchase sell or pledge other ev-
licences Of debt
To purchase, sell, pledge or other
wise deal in bonds, notes and certih-
Gates of the United States and Of for
eign government, obligations issued by
foreign banks and syndicates and to
makes loans on the security Of such
foreign obligations.
To accept bills or drafts drawn up
on it.
To borrow money in aid Of its BUS
mess, with or without security.
To lend money upon the security OF
shipping documents or upon the secu-
rity of warehouse receipts conveying
security title in cases where the COM
,nodities represented by such recelpts
are beng assembled for the purpose OF
export.
The charter also gives the corpora
ton power to act in any state, terri
tory or possession of the United states
or any foreign country as agent trus-
tee, broker or consignee Of others IN
buying, warehousing, selling and pro-
curing insurance upon and otherwise
dealing in cotton of all grades ana
many goods manufactured from cotton
and cotton seed, including oils, COTTON
yarns, and cotton goods, where such
goods are being exported or assembled
for export.
Stock Be Profitable.
It is the opinion of many OF the pest
business men in the south that the
stock of the corporation will be worth
more than par shortly after the cor
poration begins business.