146 



THE INDIA RUBBER WORLD 



[February i, 1902. 



Crude Rubber Co." The International gets nothing from the 

 transaction but i per cent, brokerage, the rest of the proceeds 

 going to the bankers who hold the rubber as collateral, and, in 

 the case there is anything over, to the other creditors of the 

 Crude Rubber Co. Attorney Cromwell stated to the press 

 that the fact that the bill of complaint in the application for a 

 receiver set forth that the Crude Rubber Co. owned $2,000,000 

 worth of rubber, whereas, as a matter of fact, the International 

 Crude Rubber Co. has purchased that same rubber during the 

 day, was not a conflict of statements in reality, and that no dis- 

 crepancy was involved. 



The International Crude Rubber Co. was incorporated in 

 New Jersey, December 24, 1900, with an authorized capital of 

 $30,000,000, as a means to carrying out a plan for a general 

 consolidation of the crude rubber trade. The signatures to the 

 incorporation papers gave little indication of the parties in 

 interest, but a prospective list of directors was given out, in- 

 cluding representatives of important rubber importing inter- 

 ests, the United States Rubber Co., and the Standard Oil Co., 

 followed by published announcements that all of these, except 

 such as were controlled by Mr. Flint, had withdrawn. Subse- 

 quently nothing was heard of the International company for 

 about a year, when it was announced that it would become ac- 

 tive, succeeding the Crude Rubber Co. as its first step. Charles 

 R. Flint is president of the International. In addition to buy- 

 ing the stock of rubber held by the Crude Rubber Co.. the 

 International has also purchased its shares, so that the receiver 

 will have nothing to do but wind up the former compan^^'s 

 affairs. There is no possibility of a reorganization to be con- 

 sidered. 



The appointment of a receiver as above outlined was tem- 

 porary. On January 24 motion was made before Judge 

 Lacombe to continue W. W. Ladd as permanent receiver, 

 when an argument was made by counsel representing creditors 

 of the Crude Rubber Co., holding claims aggregating upwards 

 of $700,000, for the appointment of a second receiver, repre- 

 senting the creditors, to act with Mr. Ladd. Included in this 

 amount was a claim of $550,000 by George Watkinson & Co., 

 of Philadelphia, and claims of certain Philadelphia banks. 

 Counsel expressed satisfaction with Mr. Ladd's appointment, 

 but said that, as he represented the stockholders, they thought 

 the creditors should also be represented. Judge Lacombe en- 

 tertained the same view, and directed that papers be drawn for 

 the appointment as second receiver of Arthur H. Masten, an 

 attorney of New York, and submitted to him on January 31. 



Meanwhile no statement of the Crude Rubber Co.'s affairs 

 has been made public by the receiver. 



According to an interview printed in the New York Sun, 

 Mr. Flint said that one reason for choosing the present time to 

 apply for a receiver for the Crude Rubber Co. was that so good 

 a receiver as Mr. W. W. Ladd was available. Mr. Flint said that 

 he believed th^t all but five of the creditors of the company 

 would be paid in full, and that these five were not worrying, 

 but that he failed to see how the stockholders were to get any- 

 thing. Mr. Flint said that no notes of his were concerned in 

 anyway, and that the company itself had issued no notes. Two 

 open winters and a falling market Mr. Flint gave as the cause 

 of the collapse, which was precipitated by the Watkinson failure. 

 The large stock had been accumulated to prevent a corner in 

 rubber, which had been attempted some little time ago, he 



said. 



• • • 



Charles R. Flint and Wallace B. Flint have resigned as 

 directors and also as vice president and secretary, respectively, 

 of the Export Lumber Ce.. organized by Mr. Flint in 1878. 



They are succeeded by W. A. Taft, of Boston, as vice presi- 

 dent, and Frank J. Saxe, as secretary. 



The Messrs. Flint are understood to have disposed of a part 

 of their holdings in Flint, Eddy and American Trading Co., to 

 Trenor L. Park and others, besides which the latter have 

 bought $600,000 of treasury stock, thus increasing the working 

 capital of the company and securing control of its business. 

 Mr. Park was identified with the American Trading Co. and 

 that name is now to be resumed by the corporation. Mr. Flint 

 remains a director. 



L. H. Lapham, vice president of the United States Leather 

 Co., has purchased of Wallace B. Flint the latter's stock in the 

 American-Hawaiian Steamship Co., and succeeded to the of- 

 fices lately resigned by Mr. Flint. The firm of Flint, Dearborn 

 & Co., merchants and shipping agents, has been dissolved, and 

 is succeeded by Dearborn & Lapham, with a capital of $2,500,- 

 000. And Mr. Dearborn lately resigned the presidency of the 

 Crude Rubber Co. 



Articles of incorporation were filed with the secretary of 

 of state at Trenton, New Jersey, on January 22, for Flint & Co., 

 to have $5,000,000 capital. The papers were signed by August 

 Belmont, Robert M. Gallaway, Robert Y. Hebden, George R. 

 Sheldon, Valentine P. Snyder, Charles R. Flint and Wallace B. 

 Flint. The object is understood to be the liquidation of cer- 

 tain interests with which the old firm of Flint & Co. will no 

 longer be prominently identified, as well as to consolidate and 

 develop certain new commercial interests. 



REPORT ON THE AMAZON RIVER CABLE. 



THE Amazon Telegraph Co., Limited, operating the Am 

 azon river cable between Pard and Manaos, had a gross 

 income during the year ended June 30, 1901, of ^^40,109 ys. gd., 

 and total expenses of ^36,468 js. lod. But after allowing for 

 debenture interest and sinking fund, the net result of the year's 

 business was to increase the company,s debit balance, now 

 amounting to ;£69,i73 is. t^d. A favorable circumstance is that 

 both traffic receipts and the payments on public subsidy in- 

 creased during the year. The net loss on working was only 

 £5404, whereas during the preceding year it reached ^34,468. 

 The growth of business had been as follows : 



In 1 899 .... 15 ,000 messages of 1 66,000 words. 



In igco 20,000 " " 212,000 " 



In 1901 41,600 " "440,000 " 



It is believed that traffic will exist whenever the company 

 can deal with it by giving continuous communication, and the 

 hope still prevails that this will become possible. The landline 

 opened by the Mandos government was helpful during the year 

 in maintaining communication during cable interruptions. A 

 cable repair steamer was ordered built in England, at a cost of 

 ;^ 39,200, which was expected to be ready to proceed up the 

 Amazon during the past month to make repairs. During the 

 business year under review, ;£ 150,000 of debentures were cre- 

 ated, ranking in priority to existing debentures, by means of 

 which a loan was cancelled and the company's finances other- 

 wise put in better shape. 



The Canadian Rubber Co. of Montreal have a fire brigade 

 of 24 men, with a hose reel and engine, which was inspected 

 recently by the chief officials of the city fire department and 

 highly commended. The firemen had a stream of water on 

 within 15 seconds after the alarm was given. 



The rate for Caoutchouc over the Congo railway is 409 francs 

 per metric ton — practically 3>i cents per pound. 



