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18890326_1_cause_of_collapse - 4 .u.r. or the Camptnj'l Itntn. One of the...
4 .u.r. or the Camptnj'l Itntn. One of the creditors of the company eaid : "The company hus paid unearned dividends and pat large Bums in other ways. A dividend was paid on the preferred preferred stock as late us last fall. The - nanagers have given other evidences of ' lr - vaganco. Instead of allowing busi - ness - wh.Th could only he taken at nnre - mnnerative to pass, tbey have accepted it. Tn.'. PlaT l ' extent, forced epos l, - The Company was a heavy borrower fjr a lo. Ume, auu the Directors thought that a 8u8u3io,n of work in any of tne department would excite suspicion and precipitate a collapse. Therefore they continued to accept accept unremunerative bnaines., and bv that means postponed the inevitable. When the crash came, however, it was all the more disastrous. Extravagant management, management, low prices, and high rates of interest for money, were the causes of the Company's Company's ruin. The Reading Railroad Company is quite as anxious an any of the creditors to settle this lutttor. The Reading, Reading, of course wants the works to continue, on account of the tonnage the railroad gets, and at the same time is averse to putting any more money in. The Reading bas use, and very good nse, too, f r all the money it can get, and Mr. Cor bin doein't cira to invest it in ir)n plants at present. The railroad company once owned the iron works, having a mortgage for nearly the entirj value of the plant, and it don't want to get into that position again."

Clipped from Reading Times26 Mar 1889, TuePage 1

Reading Times (Reading, Pennsylvania)26 Mar 1889, TuePage 1
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  • 18890326_1_cause_of_collapse

    email209 – 29 Dec 2013

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