[LB048116], Letter from Alfred Ord Tate to Phillips B Shaw, March 5th, 1891
https://edisondigital.rutgers.edu/document/LB048116
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Title
[LB048116], Letter from Alfred Ord Tate to Phillips B Shaw, March 5th, 1891
Author
Recipient
Date
1891-03-05
Type
Folder/Volume ID
LB048-F
Microfilm ID
142:41
Document ID
LB048116
Publisher
Thomas A. Edison Papers, School of Arts and Sciences, Rutgers University
Has Version
Item sets
Transcription
March 5,1891
P.B. Shaw, Esq.,
Williamsport, PA
My dear Sir:-
Referring to your letters regarding the Sunbury plant, I beg to say that Mr. Edison cannot afford to pay another assessment on the stock of that company. The shares which he originally held (41) were taken by him in part payment for the construction of the Sunbury plant and represent an expenditure of $4,100. In order to assist the Sunbury Company Mr. Edison consented later on to a 50% reduction of his holding, so that he has now 20 ½ shares. If the life of these shares is dependent upon Mr. Edison investing some twelve hundred dollars more in the Sunbury plant, he will be obliged to allow them to expire. I understood from your first letter on the subject that Mr. Edison was to receive stock in the new company without being taxed for the same, and it certainly seems to me that such an arrangement and no other would be fair. If the new stock be placed outside 20 ½ shares are quite a large premium and perhaps an unnecessary one on eleven for a Company anticipating 10% dividends. The money which Mr. Edison invented for the Sunbury Company is no less a debt by reason reason of the recent proceedings in Court.
Yours very truly,
(Signed A. O. Tate)
Private Secretary
P.B. Shaw, Esq.,
Williamsport, PA
My dear Sir:-
Referring to your letters regarding the Sunbury plant, I beg to say that Mr. Edison cannot afford to pay another assessment on the stock of that company. The shares which he originally held (41) were taken by him in part payment for the construction of the Sunbury plant and represent an expenditure of $4,100. In order to assist the Sunbury Company Mr. Edison consented later on to a 50% reduction of his holding, so that he has now 20 ½ shares. If the life of these shares is dependent upon Mr. Edison investing some twelve hundred dollars more in the Sunbury plant, he will be obliged to allow them to expire. I understood from your first letter on the subject that Mr. Edison was to receive stock in the new company without being taxed for the same, and it certainly seems to me that such an arrangement and no other would be fair. If the new stock be placed outside 20 ½ shares are quite a large premium and perhaps an unnecessary one on eleven for a Company anticipating 10% dividends. The money which Mr. Edison invented for the Sunbury Company is no less a debt by reason reason of the recent proceedings in Court.
Yours very truly,
(Signed A. O. Tate)
Private Secretary