corporation. The public mind was in a receptive mood to accept such
compromise settlements and such action would have resulted in extreme
financial advantage to the stockholders at the time when the resolution
was passed. No one at that time believed that the California would
discharge its obligations on a parity with the largest and strongest
insurance companies in the world. Indeed the public announcement that
the company would pay in full was regarded as ridiculous and
unbelievable and was generally considered in the light of an extremely
sagacious bluff.

The directors of the company were not bluffers; they were made of
different stuff. They did not hesitate. They were in deadly earnest and
absolutely meant to live up to their spoken word and the world knows how
they redeemed their promises.

My original estimate of $1,500,000 fell far short of the final net
payment which amounted to $1,840,000, but long before this had developed
the stockholders were too deeply involved to think of turning back even
had they desired to do so. Staunchly and loyally they stayed and paid to
the end, building a monument to their good name that turned the sneers
of welshing competitors into envy and admiration.



Second Meeting of the Board of Directors



In the advance of the company, the next historical date of importance
was May 11, 1906, when the succeeding meeting of the Board of Directors