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WESTINGHOUSE CONCERNS IN DIFFICULTY RECEIVERS NAMED FOR PITTSBURG INDUSTRIALS Inability to Meet Maturing Loans Cause Assigned for Failure of Apparently Prosperous Companies. [By Morning Journal Special Leased Wire.] Pittsburg Oct. 23.-A flurry in 10cal circles, caused by the embarrassment of four concerns of the Westinghouse interests was quickly ended here today by the prompt action of the Pittsburg Clearing House association and the Pittsburg stock exchange. Tonight the Westinghouse Electric and Manufacturing company, the Westinghouse Machine company and the Security Investment company, a holding company for the Westinghouse company. are in the hands of a receiver appointed by Judge Ewing, of the United States circuit court. A fourth concern, the Nernst Lamp company, will be turned over to receivers in the morning. The Pittsburg stock exchange, which was closed promptly this morning when informed of the situation by the Pittsburg Clearing House association. will likely remain closed tomorrow. This action is taken for the purpose of preventing an unnecessary sacrifice of values by a heavy liquidation of stocks. The stringency of the money market is alone responsible for the Westinghouse difficulties. The solvency of the embarrassed companies is not questioned. The concerns at present are enjoying the largest amount of business known in their careers. The inability to secure funds to pay off maturing loans caused the embarrassment That the local banks are in good condition was shown today when it became public that the Diamond Na tional bank had sent yesterday $100. 000 in gold to New York institutions. Several other local banks took similar action. The following statement was given to the Associated Press by George Westinghouse late today: When the Pittsburg Clearing House committee, after full investigation and conference with me. cont cluded that, although the Westinghouse Electric and Manufacturing company and the Westinghouse Ma. chine company, were solvent, receiverships were advisable as the best means of protecting the interests of all concerned, it was clearly our duty to follow their friendly advice. "The necessity for the receiverships a is due solely to the acute financial stringency and consequent inability to renew our maturing paper. Both the electric company and the t machine company are solvent. and are U doing the Targest and most satisfactory o business in their history, and each t is liberal dividends on and has substantially to t company its stock equal earning its quick liabilities. believe assets confidently that creditor of each will be in full, and wise under every "I paid most the that company direction with the appointed management receiver restored by the to court the of the properties will be stockholders. The loans to the Security Investand are by of the mentscompany Manufacturing the stocks companies, myself Westinghouse secured chiefly Electric and the sudden y of which on d stock companies, of the decline Machine Mond in the it of this week for us to our a and impossible market Tuesday value margin stockholders has made loa I advise all e to hold their the d I am in 8. such strongly loans of which. confident. collateral. will of sufficient to pay f of the The value time sacrifice be collateral market the in loans can the condition of the b no one. A policy d is what a benefit present and forbearance the of situation patience requires.
