Article Text
The failure of a big lumber company forced the suspension of the Bank of Waynesboro.
11178. Bank of Waynesboro (Waynesboro, MS)
Bank Information
- Episode Type
- Suspension → Run → Closure
- Bank Type
- state
- Start Date
- June 1, 1908*
- Location
- Waynesboro, Mississippi (31.675, -88.646)
Metadata
- Model
- gpt-5-mini
- Short Digest
eccf3ded
Response Measures
Full suspension
Description
Bank suspended in June 1908 after a large exposure to the West-King lumber mill; the bank issued time certificates of deposit while its capital was tied up in the mill. Later (by December 1908) a second run occurred and the bank closed permanently. Classification: suspension followed by a run that produced permanent closure. I infer 'state' bank from naming convention (no 'National' or 'Trust' present).
Events (4)
1.
June 1, 1908*
Suspension
- Cause
- Local Shock
- Cause Details
- Failure of the West-King lumber mill, which held a large account with the bank and tied up the bank's capital.
- Newspaper Excerpt
- The failure of a big lumber company forced the suspension of the Bank of Waynesboro.
- Source
- newspapers
2.
October 5, 1908
Other
- Newspaper Excerpt
- But until it is sold the entire capital and surplus of the Bank of Waynesboro, or nearly all, is tied up in the property, and as the bank has issued time certificates of deposit to those having balances with it at the time of suspension, predicated largely upon the sale of the property, until it is sold it seems that those holding certificates are to go without their money.
- Source
- newspapers
3.
December 1, 1908*
Run
- Cause
- Bank Specific Adverse Info
- Cause Details
- A second run precipitated by the bank's continued inability to realize on the large debt (about $75,000) owed by the West-King mill and tied-up assets; depositors lost confidence.
- Measures
- Issued time certificates of deposit to depositors (predicated upon sale of the West-King property).
- Newspaper Excerpt
- the bank later closing permanently as the result of second run being made upon it;
- Source
- newspapers
4.
February 1, 1909
Other
- Newspaper Excerpt
- decree was entered empowering F Ballard, receiver of the West-King Lumber company, advertise and sell the property for the benefit of creditors, and an inventory of the property now being taken and the sale will take place the first Monday in February
- Source
- newspapers
Newspaper Articles (3)
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Article Text
Northern Capitalists May Buy Big Waynesboro Mill. Waynesboro, Miss., October 5.-The West-King mill, whose large account with the Bank of Waynesboro caused its suspension in June last, but not until the mill itself had gone into the hands of a receiver, will probably be sold to northern capitalists shortly, together with its large holdings of timber lands. Six timber estimators, sent by these northern capitalists, are now on the grounds estimating the timber supply, which work will require about thirty days, after which their estimates will be submitted to those in interest for their action. The mill is a gigantic piece of property and would cost a young fortune to remove. Therefore, those who would care to buy it want first to know the extent of supply of timber before turning loose their $75,000 or $100,000 for it. But until it is sold the entire capital and surplus of the Bank of Waynesboro, or nearly all, is tied up in the property, and as the bank has issued time certificates of deposit to those having balances with it at the time of suspension, predicated largely upon the sale of the property, until it is sold it seems that those holding certificates are to go without their money.
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Article Text
LUMBER TRADE TAKES HOLIDAY In Usual Season Quiet Prevails Timber Field J E. DEFEBAUGH TALKS Greatly Improved Canditions Are Expected After the Beginning of Another Year-Lumbermen Hopeful for Future. By A. C. AYLESWORTH. Laurel, Miss., December 6.-(Special Lumber manufacturers and buyers ing in to this center during the past few days from the mills of the surround ing country report that there has been perceptible slackening of business dur ing a the week or two before the Christmas holidays, accompanied by corresponding easing of market quotations. This relaxation of the trade does not at all partake of the nature of a slump. but is merely one of the ordinary swings the easy -going pendulum that marks the ebb and flow of business. The holidays are at hand and it was to be expected that there would be some cessation of activity on that account The natural effect of the season is accentuated by the further fact that the export market has shown some decline of late; and it is true that since the late resumption of lumber activity after year of idleness the mills of this territory have found in the export trade larger avenue for the disposal of their stocks than ever before, and the fluctuations of the export market are more influential with the mills than in former times E. Defebaugh, editor of the American Lumberman, who has been in the south recently and who makes it his business to keep his finger on the pulse of the lumber trade throughout the south and west, has this to say concerning conditions generally as he has observed them "The lumber trade this time is some what of holiday character It not of large volume, but is fairly satisfactory in view of the near approach of the hol1days. There has been considerable increase in the production of yellow pine lumber during the past few weeks, but the growing trade during that period has lead to proportionately greater decrease of stocks at the mills. With the improved conditions in the money market and the general tendency to resume operations by the manufacturing industries, I thing can safely prophesy an enlarged volume of lumber business throughout the country for the next 12 months and a considerable increase of trade with the southern countries, as well as with England and the continent." The expectations of Mr. Defebaugh with respect to improve a condition after the first of the year are fully shared by those connected with the trade in this part of the country The town of Richton, on the Mobile Jackson and Kansas City road just south of Laurel promises to soon come to the front as one of the centers of the lumber trade of this part of the country It already has four five mills of no small capacity all cutting on full time, and traveling men rank Richton right up with the magic city of Bogalusa, La. as an mple of the commercial potentialities of the lumber business when concentrated at one point with the difference in favor of Richton that while Bogalusa to has but one large mill upon which for has sevsustenance, Richton depend eral independent esta blishments that insure the prosperity of the place long time come. But now Richton is to have another big mill that will rank along with the largest in this part of the world. will be put in by Bentley and Emery who come from Pennsylvania, the home of many of the most lumber operators of the south. They are experienced in the sawmilling business and have been successful werever they have operated. Their Richton plant will day have capacity of 150,000 feet per and will employ some 250 hands. At the December sitting of the chancery court at Waynesboro, Miss. decree was entered empowering F Ballard, receiver of the West- King Lumber company, advertise and sell the property for the benefit of creditors, and an inventory of the property now being taken and the sale will take place the first Monday in February The mill owes the old bank of Waynesboro about $75.000. and it was this debt that caused the suspension of the bank last June, and necessitated the bank, in order to reopen, to issue certificates of deposit depositors for their balances due, based upon collecting this West-Key debt, the bank later closing permanently as the result of second run being made upon it; and since then matters have been tangle of litigation, the last court having now come to the rescue by ordering the sale of the bill property The total debt hanging over the mill is is something like $375,000. but it claimed that the value of the property is something like million dollars. The outstanding cert ificates of deposit of the defunct bank amount to about the mill's total indeb tedness to that institution, and are about the only deposits the bank has. Depositors hope that sale for sum near the real value of the plant will be made. Intense interest is felt in this part of the country in the merger of the Edward Hines and Weirhauser properties as reported in the press from up north. The Weirhausers have never been extensive buyers of pine stumpage in Mississippi, though they own sev. real tracts in this state But Edward Hines an extensive holder of Mississippi pine lands, the development which promises to create something of revolution in the railr oad and commercial conditions in the southern part of the pine belt. The Hines tracts extend, with interruptions, all the way from the gulf coast on up to Poplarville and Lamar county and on west to where the Goodyear holding begin Something over a year ago the Hines company made ar rangements for the construction of a railroad that was to tap all their timber and furnish new commercial line into Gulfport and on over to Columbia and perhaps to the Mississippi river, maybe at Natchez; and Capt. T. Jones, the Gulfport magnate, fairly divided the harbor facilities of his port with the Hines road, granting them access the harbor and the privi lege of building another pier out to the anchorage basin, the effect of which would have been to double the accommodations of Gulfport and its importance a lumber hipping point. But the financial slump came on and the Hines project was shelved for the time. It is not known how extensive may be the merger of the Hines and Weir-