Newspaper Page Text
THE MAUI NEWS, FRIDAY, AUGUST 9, 1918.
American Factors, Limited
Passed by the Capital Issues Committee as not incompatible
with the National interest, but without approval of legality,
validity, worth or security.
Capital Stock $5,000,000
Board of Directors
(TO i;k AXXOUXCKI) LATKR)
I X ACCORDANCE with the reorganization plan proposed by
the Alien Property Custodian and adopted by the Stockhold
ers of H. Hack fold & Company, Limited, a corporation lias been
organized under the laws of the Territory of Hawaii known
American Factors, Limited
having a capital stock of live million dollars ($5,000,000). fully
paid, divided into 50.(KX) shares of the pat' value of 8100 each,
lor the purpose of taking over the entire business and property
of H. llaekfcld !v. Company, Limited, including rights, contracts,
agencies, franchises, credits, accounts and other interests of
every kind, subject to outstanding obligations.
All of the 50.(XK) shares will be transferred to seven trutcc,
namely: George Sherman, R. A. Cooke, F. C. Atherton, C. K.
llenienway, Richard II. Trent, A. W. T. P.otlomley and G. P.
Wilcox, all of Honolulu, under a trust agreement to continue
during the present war with Germany and thereafter for a period
of three additional years, under which agreement stock trust
certilicates will be issued by the Trustees in lieu of the 50,000
shares of stock, which trust certilicates will entitle the holders
to all of the benefits of stockholders, except the privilege of vot
ing, which will be exercised by the Trustees, and except that
sales or pledges may be made only with the approval of the
Trustees. Holders of trust certilicates will receive payments
equal to the dividends, if any, collected by the Trustees upon a
like number of shares.
The form of the trust certificates will Le. as follows ''"
AMERICAN FACTOR'S, LIMITED.
. - '-"' " STOCK TR I' ST CERTIFICATE. ' "
This is to certify that on the expiration of three (3) years af
ter thp date of termination of the present war between .the. IiiMt--
eel States and Germany , . r ..."
will bp entitled, upon the su'frender herof, to receive a certificate
or Certificates for paid-up shares of the
capital stock of American Factors, Limited, of the par value of
one hundred dollars ($100) each; and, until then, from time to
time to receive payments equal to the dividends, if any, collected
by the undersigned Trustees herein named, or their successors,
upon a like number of shares standing in the names of Iho
This certificate is issued under and subject to all of the terms,
conditions and limitations expressed in a certain trust agreement
made between H. Ilackfeld & Company, Limited, and George Sher
man, R. A. Cooke, F. C. Atherton, C. R. Hemenway, Richard H.
Trent, A. W. T. Bottomley and G. V. Wilcox, as-Trustees; dated
k . . 1 1918; . and each
successive holder of this certificate, by acceptance hereof.-hereby
expressly assents to and agrees to be bound by all of the provi
sions of said trust agreement, as though herein fully set forth and
signed by each such holder hereof. ,;).,
No assignment or transfer of this certificate, 'or any Interest
herein or in the shares represented, shall be Valid or effective for
any purposes unless and until such-transfer shall be approved by
the Trustees and the transfer thereof actually made on the books
of the Trustees upon the presentation, and surrender of this cer
tificate, and as required by the Trustees; and until o transferred
the Trustees shall, treat the record holder as the owner thereof
for all purposes; PROVIDED, HOWEVER, that during the contin
uance of said trust agreement the same shall not in any manner
be sold, assigned, -transferred to or held by any person or persons,
in pledge or otherwise, except in accordance with the terms of
said trust agreement. - Every other attempted transfer shall be
mill, and void.
This certificate will not be valid unless signed on behalf of said
Trustees by the Trent Trust Company, Limited, as their agent
IN WITNESS WHEREOF, the Trustees have caused this cer
tificate to be issued and signed by their said Agent and Registrar
this day of , 191
GEO ROE SHERMAN
U. A. COOKE
F. C. ATHERTON
C. R. HEMENWAY V Trustees.
RICHARD II. TRENT
A. W. T. HOTTOM LEY
G. 1'. WILCOX
By TRENT TRUST COMPANY, LIMITED,
Their Agent hereunder;
L'pon the termination of the trust agreement the trust cer
tificates will be exchanged for shares of slock of American Fac
All legal matters pertaining lo the entire reorganization plan
and issue of the stock and trust certificates of American Factors,
Limited, have been approved by Messrs. Smith, Warren & Whit
ney, and Robertson & Olson. Copies of their opinions and also
of the trust agreement may be seen at the office of Trent Trust
The American Factors, Limited, will ,condttct a pcneral
agency business, representing plantations, fertilizer works," in
surance companies, and manufacturers, and will have agency
contracts with the follow ing sugar plantation's: '" " -.
" " Tons of Sugar
Oahu Sugar Co., Ltd. ...... 37,211
Pioneer Mill Co., Ltd 33,279
. 9,206 . v ,
- 3,836 v-. i
Lilnie Plantation Co., Ltd.
Kekaha Sugar Co., Ltd
Makec Sugar Co
Koloa Sugar Co., The
Grove Farm Plantation . I
Waimea Sugar Mill Co., The 1
Kipahulu Sugar , Co.
. , - -
Total 139,044 Tons
also with the Pacific Guano & Fertilizer Co., Ltd.
General Merchandise Business
The American Factors, Limited, will continue the general
merchandise business which has been conducted so successfully
by its predecessor for many years, with branch establishments
at Hilo and Kailua, Hawaii. The entire business of the big re
tail house heretofore conducted as "B. F. Ehlers & Company,"
of Honolulu, will be continued by the American Factors, Limit
ed, under the name of "The Liberty House." The several de
partments have contributed materially to the earnings of the
business in the past.
Shares 50,000; Par Value $100 each
(TO BE ANNOUNCED LATER)
The corporation will continue the San Francisco and New
York branches for convenience in the general conduct of its
business. These branches also contribute to the earnings.
Assets and Liabilities:
As indicative of the financial status of the business, a con
densed statement of the balance sheet of II. Ilackfeld & Com
pany, Limited, as of December 31, 1917, follows, certified lo by
the Audit Company of Hawaii, Ltd., as being in accordance with
the accounts of II. Ilackfeld & Company, Limited, as of that
Cash in Bank and on Hand $1,410,873.69
Bonds and Stocks 5,235,373.97
Real Estate and Property Investments ,ctc... 1,612,400.58
Merchandise Inventories 1,232,488.52
Loans Receivable 722,61 0.42
Notes Receivable . 14o,040.77
Agency and Personal Accounts Receivable and
Trade Debtors 2,121,716.05
--jOtlux Assets.. ,JJ, 28,049.99
Preferred $ 300,000.00
Common 3,700,000.00 $4,000,000.00
Undivided Profits and Reserves 3,924,993.7S
Agency and Personal Accounts and Trade
Creditors 4,5i ,000.51
Sundry Credit Balances , . ; r. . . . . y . .
.id. rr .i,; ;;.-t :v$i2,509?559.99
56 899.70" -
: Statement of Earnings and Dividends
The following is a summarized statement of the earnings
of H. Ilackfeld & Co., Ltd., for the past eight years:
For the Year
ended Dec. 31. Net Earnings. Dividends Paid.
1910 $ 718,063.68 $511,000.00
1911 792,819.65 585,000.00
1912 864,893.96 548,000.00
1913 519,104.68 215,000.00
1914 590,978.89 326,000.00
1915 840,305.92 474,000.00
1916 1,491,779.56 770,000.00
1917 1,661,624.22 955,000.00
Average net earnings, eight years $934,945.00
Average annual dividends paid eight years . . . .$548,000.00
crintions are now invited
FORM OF OATH FOR INDIVIDUALS.
United States of America, )
Territory of Hawaii. j
of do solemnly swear that
I am a citizen
(natural born or naturalized)
of the United Slates of America; that I will support and de
fend iIih Constitution and laws of the United Stall's against
all enemies, foreign and domestic; that I will bear full and
true faith, allegiance and loyally to thu Government of the
United States paramount to every other nation or country;
and do hereby particularly disclaim all connection with and
declare uiter reiKidiation of the Empire of Germany and all of
ils Allies, and the German Emperor, and all oilier enemy na
tions, powers nnl rulers, and all enemy activities, influences
and propaganda, within and without the United Stales; and
do furl her denounce and condemn all supporters, adherents
and sympathizers of or with Germany and its Allies; that I
take ibis oath freely, absolutely, comprehensively, in full ac
cord with the spirit hereof, and without any qualification,
mental reservation or purpose of evasion whatsoever.
Subscribed and sworn lo before me this
day of August, 1918.
(N. I!. This oath must be signed mul sworn lo before a
(Form of oath for individuals and corporations may lie
obtained at the ollice of the Trent Trust Co., Lid.)
Subscriptions from persons, firms and corporations for the stock trust cer-1
tihcates representing shares of American Factors, Limited, subject to the trust
- : : . 1 ... .. . i . e i, . . j r.r. . I :
agjeemem, ate now invited uion tne following' terms ana conditions: i ..,
Government prior to August W,
1918; and if such offer of bond la i
Subscription price, $150 per share.
Subscriptions will he received be
ginning August Oth, and will close
at 5 p. m. on August 2Uth, 1918, at
the ollice of the Trent Trust Com
pany, Limited, Honolulu, Hawaii.
(3) Subscriptions will be received for
any number of shares from 1 up to (G)
2500. A deposit of 20 of the
amount subscribed may be requir
ed before allotment.
(I) Subscriptions will be payable on al
loimeiu, but in any case on or be
fore August 30, 1918. (Arrange
ments may be made for payment at
the Chase National Rank in New
York, and the Mercantile National
Rank in San Francisco.)
(5) Any subscriber may offer part pay- (8)
menl in United States Libery Bonds
to a limited amount, at par, with
accrued interest to (fate of allot
ment, provided he shall have pur-
not accepted, he will be so notified
prior to allotment, and may thva
elect whether to pay cash In lieu'ol
any bonds not accepted or reduo-v
or withdraw his subscription. v.
Applicants must be loyal citizens of
the United States and will be req
uired to subscribe to an oath of al
No person., firm or corporation will
be permitted to acquire or hold
trust certificates representing more
than 2500 shares of stock of the'
American Factors, Limited, except
by unanimous consent of the
The right is reserved to the Alien
Property Custodian to reject any or
all subscriptions or to allot such
proportion of the amount of sub
scriptions as in his Judgment shall
chased the same directly from the
Subscriptions will be recorded daily as received, and when closed will be
tabulated and submitted to the Alien Property Custodian for his approval, mo
dification or rejection.
The services of the Trent Trust Company, Limited, will be rendered with
out charge of any commission or bonus, and no commissions or bonuses will be
allowed to others.
All statements and statistics are derived from authentic sources, or those
which we regard as reliable. We do not guarantee, but believe them to be
FORM OF SUBSCRIPTION FOR TRUST CERTIFICATES
FOR SHARES OF AMERICAN FACTORS, LIMITED.
TRENT TRUST COMPANY, LIMITED,
Honolulu, T. H.
I hereby subscribe for and offer to purchase stock trust
certificates representing and entitling me to receive
shares of the capital stock of AMERICAN FACTORS, LIM
ITED, a Hawaiian corporation, or any less number of shares
that may be allotted to me, under the terms of the trust
agreement between H. Hackfeld & Company, Limited, of the
first part, and George Sherman, R. A. Cooke, t C. Atherton,
C. R. Hemenway, Richard H. Trent, A. W. T. Bottomley and
G. P. Wilcox, as Trustees, of the second part (authorized by
resolution of the stockholders of H. Hackfeld & Company,
limited, on July 19, 1918), at the price of one hundred fifty
dollars ($150.) for each share represented, which I agree to
pay- on allotment, but in any case on or before August 30,
J918, and agree to be bound by all of the terms and conditions
of said trust agreement to the same extent as though the
same were actually signed by me.
. !., As part payment I offer United States Liberty Bondf, at
pa, -amounting to ; the above subscrip
tion being mado upon the understanding that tf such bonus
are not accepted 1 will be so notified prior to allotment and
tuny then elect whether to pay cash in lieu of any bonds not
accepted or reduce or withdraw this subscription.
i It is understood that any subscription may be rejected in
whole or In part.
My address is:
(Subscription forms for individuals and corporations may be
. ..obtained at the oUlce of the Trent Trust Co., Ltd.)
Subscription blanks obtainable at the above or front any bank, trust company, or incniWr of the Honolulu Stock & Bond Exchange,
ON THE OTHER ISLANDS .', "'V..
Frcin any bank or trust company.