Alkem Scale Models

Model based on the 1882 Woolen Mill building by Alkem Scale Models

Old stockholders debated the wisdom of the move. Some argued that the value of the old stock would surely suffer. Others pointed out that only a four percent profit on the total capitalization of $250,000 was needed to pay the interest on the mortgage and the preferred stock. This, they said, could be easily done.
Meanwhile, the board accepted the joint proposal of Brennan and Company and the Peoples National Bank to handle the new issue on commission. Unfortunately, the source of this new capital cannot be determined. Since no significant changes in the board followed, despite the voting power of the preferred stock, it is very probable that most of the money came from the holders of common stock. --Harry Poindexter