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Show II STORES CO. CESSESJIWIOIS Secretary of the Concern Is-' Is-' sues Statement Blaming the Government. SUITS RUINED CREDIT Two of the Executive Officers Awaiting Action of Supreme Court on Their Cases. SAVANNAH. Ga.. March 17. Announcement An-nouncement was made hero today that the American Naval Stores company has suspended operations. The company Is being prosecuted by the government for alleged violations of tho Sherman law. The company issued a statemont claiming claim-ing Its credit was impaired by prosocu-tions prosocu-tions in the United States courts ns a naval stores "trust." Secretary's Statement. The secretary of the stores gave out the following statement: Tho American Naval Stores company com-pany has been forced to suspend. Tho company ha not lost a dollar, and Its assets, nt conservative present pres-ent values, exceed Us liabilities by about $-1,000,000, but the credit of the company slowly has becomo contracted con-tracted because of the persistent and continued assaults made upon the construction and conractual relatloim of the corporation by tho government In Its suits under the nntl-trust laws. "With two of Its executive officers now awaiUng tho final determination of their case by tho United States supremo court and the government pressing a civil suit for tho dissolution disso-lution of tho company and tho destruction de-struction of its business. It goes without with-out saying that the company is In no position to solicit new capital and must depend entirely upon its present pres-ent resources. Resources Insufficient. These resources, although largo and variable, with the company's credit contracted, with the marketing of the new crop of naval stores almost at hand, are Insufficient to meet Its (lnanciat requirements. This situation recently has become still more acuto by reason of tho present financial stringency throughout through-out Hhc entire world, thus closing to us almost at the last moment avenues ave-nues for relief which ordinarily would have been at our disposal. Under these circumstances, and realizing real-izing that there was nothing we could do to avert ultimate suspension, the management decided that the best, wisest and fairest course for the company com-pany to pursue would bo to stop operations op-erations at once and advise our creditors cred-itors of our condition. This has been done and we havo called a meeting of our creditors to be held In Savannah Savan-nah on March 21. Loans Secured. The loans of the American with seven or eight Savannah banks always al-ways have been and now are secured se-cured by ample collateral, which 1b well margined and no one bank has any excessive amount of paper. Thoro Is. therefore, no possibility of any loss. Our largest Indebtedness Is In New York and the cast. The American and the naval stores Industry are among tho first victims vic-tims of an Insensate crusade against the big business of tho country. Tho Amorican has been out of the naval stores market for tho pant wock. There have beon no sales of consequence during thu past four or five days, caused by the withdrawal. |