From Printer to Literary Publisher
HAVING COMPLETED THE refurbishing that transformed his home into a printing establishment, Paula Brito focused on building a “large store” with two fronts, one facing Praça da Constituição and the other fronting onto Rua da Lampadosa, where Dous de Dezembro’s lithography and engraving workshops would be installed.1 Not that these projects went without a hitch—on the contrary. In mid-1852, Manuel Francisco da Silveira Freitas, “the owner of a home situated on Rua da Lampadosa, no. 35,” obtained a court order to stop construction from the Municipal Judge of the First Court of Rio de Janeiro. Paula Brito’s neighbor claimed that, “to the detriment of his property and in violation of his right of ownership,” the building would “pour water” into his back yard. As a result, a bailiff ordered the bricklayer José Tavares de Souza, the carpenter Manuel Joaquim da Costa Júnior, and all the other craftsmen working on Paula Brito’s construction project to put down their tools. However, the publisher was in a hurry to get the building done. He quickly reached an understanding with Silveira Freitas, after which he sent a petition to the judge stating that he wanted to “continue with his project without causing problems” and “undertook to demolish anything that might cause any harm to his neighbor’s property, having agreed this with [that neighbor].”2 The problem was solved and work continued. Soon, the building would house the machinery Paula Brito had imported from Europe.
Two months later, the publisher announced on the first page of Marmota fluminense that he was distributing “Júlia,” a waltz for the flute, the first lithographic work produced by the workshops of the Empresa Tipográfica Dous de Dezembro. “In addition to the printing press, set up on a large scale, we now have—Lithography, Engraving, and a Bookbinding Workshop,” the businessman announced with great satisfaction. The advertisement also stated that part of the company’s equipment was on its way, while another part was being cleared through customs. Furthermore, the steamship Tay was taking new orders from the publisher to Europe.3 In late 1852, Paula Brito promised his shareholders that in four to six months, Dous de Dezembro’s workshops would be completely installed.4
It is hard to determine how many printing presses Dous de Dezembro owned in the course of its existence. In 1856, the newspaper Courrier du Brésil reported that the company “owned different rooms, where there is a printing workshop with thirteen presses, from manual to more complex [ones].”5 However, lawsuits brought against the publisher in the Business Tribunal suggest that, between 1854 and 1856, Dous de Dezembro’s workshops were equipped with at least three lithographic presses and two Stanhope presses. We do not have detailed information about the lithographic presses, but the printing press invented by Lord Stanhope in the late eighteenth century, which bore his name, may have been manual but was made entirely of iron. This innovation had a considerable impact on productivity.6 In any event, a leaflet for Dous de Dezembro possibly printed between 1853 and 1855 demonstrates the magnitude of the growth that Paula Brito’s business achieved during that period. In it, we can see that in addition to numbers 64 and 68 on Praça da Constituição, the company had also come to occupy 31 and 33 Rua da Lampadosa, while the shop, with a vast range of articles on sale, was located at 78 Praça da Constituição, on the corner with Rua de São Jorge. The leaflet shows the printer of the Imperial House alongside his most illustrious clients, such as the Imperial Academy of Medicine, the Auxiliary Society for Brazilian Industry, the Colégio Marinho secondary school, the Baron of Mauá’s companies, and “other Scientific, Literary and Industrial Associations.” The company’s workshops are described as follows:
with the proportions [required] to print quickly, neatly, tastefully and at affordable prices, all works, no matter how difficult they may be.
Lithography
for business cards, trade labels, labels for apothecaries, wine and liquor, circulars, maps, and
many more
engraved, written, or autographed, always clear and to modern tastes.
Engraving Workshop
for records of the various official documents and anything else that is engraved.
Large Bookbinding Workshop
which prepares, both in paperback and hardcover, all works, even the most delicate, songs, etc., and in which one will always find
complete assortment
of
blank books for
retailers
government offices
and
private writing
in folio, quarto, octavo, the best one could desire, both fully bound, partly bound, in soft cover, etc.7
If it were not for the difficulties the publisher was beginning to face at that time, one could even believe that the company was doing extremely well. Of course, advertising brochures can be biased and should be interpreted carefully. However, the leaflet indicates that the construction of the warehouse, begun in 1852, as well as the importation of new equipment, had definitely been completed.
Soon, Paula Brito began issuing shares at a lower price. As we saw in the previous chapter, the company’s shares were originally valued at 400,000 réis, with an annual return of 6 percent paid in two installments. In October 1853, however, an advertisement published in the Supplement to Marmota fluminense referred for the first time to shares valued at 100,000 réis. The return on those shares was still 6 percent. The difference was that, instead of receiving all of Paula Brito’s publications, shareholders opting for these shares would only receive a free subscription to Marmota fluminense.8 However, in addition to increasing the number of shareholders, the distribution of shares at a lower price was probably due to the transformation of Dous de Dezembro from a printing firm into a literary publishing house. Implemented over the course of 1854 and officially begun the following year, this transformation went beyond changing the company’s name. The publisher was fully confident and ready to take the most ambitious step in his career. Accordingly, Paula Brito began the process of seeking approval of the articles of association of a new company through a petition sent to the Interior Ministry of the Empire in April 1855:
Sir.
For the consideration of Your Imperial Majesty, Francisco de Paula Brito hereby submits the articles of association of the “Empresa Literária Dous de Dezembro,” and relying on the favor of the powers of the State, due to the services that he has rendered to the nation through his art, and hopes to render on a larger scale, if [this petition] is well received and in any event sponsored by Your Imperial Majesty:
I humbly request that Your Imperial Majesty approve or deny [this petition] as your imperial will shall see fit.
Expecting to Receive Mercy
Rio de Janeiro, April 17, 1855
Francisco de Paula Brito9
Although it was sent to the Imperial Minister and Secretary of State for Business, who was then Luís Pedreira do Couto Ferraz, it was standard practice to address the petition directly to Pedro II. In another document, the publisher also asked the emperor to become a patron of the venture. It should be noted that, to convince “the powers of the State,” Paula Brito based his argument on “the services [he had] rendered to the nation through his art,” as well as those which he hoped to “render on a larger scale.” Indeed, the articles of association of the Empresa Literária Dous de Dezembro literary publishing house show that it was set up on a much larger scale than that which was proposed for the printing firm. Paula Brito’s request got through the Empire’s red tape without any serious setbacks in late April 1855. On the twenty-fourth of that month, the application reached the Crown, Sovereignty, and National Treasury Councilor, who in early May expressed a slight reservation about the duration of the company. That minor matter was soon dealt with, and, in a matter of weeks, the government issued Decree no. 1.610 of May 23, 1855, authorizing the incorporation and approving the articles of association of the Empresa Literária Dous de Dezembro.10
TABLE 9 Corporations registered with the Business Tribunal of Rio de Janeiro in 1855
Source: “Mapa das companhias e sociedades anônimas registradas no Tribunal do Comércio da Corte do Império, desde a execução do Código comercial até dezembro do corrente ano,” José Thomaz Nabuco de Araújo, Relatório do Ministério da Justiça, 1866.
The articles of association were divided into fifteen provisions. After briefly describing the company, the first article set out the amount of the company’s equity capital, as well as the number and nominal value of its shares:
The company—Dous de Dezembro—made up of large-scale press [including] printing, lithography, stamping, and bookbinding, hereby becomes an association with the above name, which will have equity capital of 500,000,000 réis in 2,500 shares of 200,000 réis apiece.
If the share prices seem reasonable, the new company’s capital is impressive. Compared with the minor sum of 60,000,000 réis required to set up the press, in 1850, Paula Brito’s literary publishing house needed a capital of no less than 500,000,000 réis, divided into 2,500 shares of 20,000 réis each. The fifteenth and final article of the articles of association stipulated that the literary publisher would have a duration “at least twenty years,” until 1875. As we will see, Paula Brito did not live to see that year, much less his company. However, as Table 9 demonstrates, twenty years was the average duration for other corporations registered with the Business Tribunal in 1855. Table 9 also shows that the literary publisher’s capital of 500,000,000 réis was indeed massive. Even so, it was nothing compared to the 10,000,000,000 réis of the Companhia Farol Agrícola e Industrial, an agricultural and industrial firm.
The new Dous de Dezembro company had more equity capital than six of the new companies registered. As for the literary publisher’s shares, in addition to the situation of the former shareholders of the Dous de Dezembro printing firm, whether they owned shares with a nominal value of 400,000 or 100,000 réis, the articles of association stipulated that the shareholders who owned the 400,000-réis shares had the advantage, as they automatically owned two shares of 200,000 réis. The holders of 100,000-réis shares could either pay the difference or redeem their shares and no longer own stock in the company (articles 11 and 12). By giving up his business establishments and property to the company, Paula Brito became the owner of five hundred shares (article 12), which represented, in imperial currency, the considerable sum of 100,000,000 réis. In this regard, the articles of association also stated that Paula Brito would continue to run the company as “the administrator of the association, if it deems that to be appropriate.” To this end, he would receive an income or a share in the company’s annual income (article 8). There were even guidelines regarding the possibility that Paula Brito might travel to Europe, “for the benefit of the association” (article 10). However, in addition to having a share in the profits and the possibility of foreign travel, Paula Brito could also be rewarded for the expansion and diversification of the business:
Art. 9. For every new speculation, or new branch of the company, that the administrator has in view, such as type casting, making business cards, playing cards, printing domestic and foreign books, their sale, orders from Europe, as well as the legislation of this country, by order of the Government, and some others, the board may award him a bonus or give him a percentage, which will only occur when the advantages of any of these ventures have been determined.
It was up to the company’s directors to decide how much Paula Brito would receive “for each new speculation, or new branch” into which the literary publisher ventured. In its turn, the board was responsible for “managing all businesses, cash, and the respective bookkeeping” (article 7). The appointment of the company’s directors and their roles, including in the event of Paula Brito’s death, were covered by articles 13 and 14:
Art. 13. The board will sit for two years and can continue to serve at the end of that period if reelected; the order of its members will be regulated by votes, as usual. The hiring and firing of the treasurer and employees will be done freely by [the board]; that of heads of workshops and workers [will be done] by the administrator, by his orders, or as agreed.
Art. 14. In the event of the death of the administrator, or any inconvenience that hinders the progress of the association, the board shall take the necessary steps to continue or cease [operations], observing what is decided at the general meeting.
The articles of association of the Empresa Literária Dous de Dezembro were more complex and detailed than the business plan for the printing firm. Once created, the literary publisher would be much larger than its predecessor. However, putting the articles of association into practice would not be an easy task. Paula Brito knew this and relied on the government’s protection to incorporate the company:
Art. 5. The board itself, together with the administrator Francisco de Paula Brito, or he alone, will request from the State powers any assistance deemed appropriate, giving all the necessary reasons for such measures.
Art. 6. For the assistance that has been provided to the association, the Government is entitled to have any work it deems appropriate done at its establishments, without paying any more for it than the prices set by the National Press, or any other government workshops identical to those of the association.
In the event of government aid being provided, the articles of association offered the state the right to print whatever it wanted at the company’s workshops. However, regardless of the enactment of Decree no. 1.610, the incorporation of the Dous de Dezembro literary publisher depended on the largesse of the “State powers.” Article 5 stated that the government could offer any “assistance deemed appropriate,” but Paula Brito had a clear idea about how the state could help him. He explained this in an application to the Interior Ministry, which in turn referred it to the Chamber of Deputies, as we can see in the report of proceedings on August 6, 1855:
From the Minister of the Empire referring the request in which Francisco de Paula Brito asks the imperial government to take four hundred shares, without dividends for five years, from a company that intends to be founded with the title—Literary Publisher—to the committee on Commerce, Industry, and the Arts.11
Doing the math, the publisher expected the government to invest 80,000,000 réis in Dous de Dezembro through the purchase of four hundred shares with a nominal value of 200,000 réis apiece. Paula Brito also wanted the shares acquired by the government to have no entitlement to interest for five years. In the Chamber of Deputies, the publisher’s request was referred to the Committee on Trade, Industry, and the Arts, which, a few days later, at its August 10 session, issued the following opinion:
In order to be able to give its opinion on the inclusion of Francisco de Paula Brito, the industry and arts committee requires that the government, through the ministries of the Interior and the Treasury, be asked for information about the company’s advantages, the possibility of tendering, and the subsidy to be paid, and their opinion on such points.12
The Interior Ministry’s assessment of the advantages of the literary publishing firm, following the request of the Chamber of Deputies Committee on Trade, Industry, and the Arts, would be addressed during the September 4 session.13 However, while the petitions came and went between the ministries and the Chamber, Paula Brito explained why he needed government funding to readers of Marmota fluminense. The grant would be used for the “prompt payment of partial creditors” of the printing firm.14 Thus, the merger of the two companies was linked to the payment of debts. And, as we will see, at this point some of Paula Brito’s creditors were already suing him in the Rio de Janeiro Business Tribunal.
Enriched by customs tariffs, the Treasury held most of the nation’s money. As a result, any commercial, industrial, or banking venture depended on the generosity of the State.15 Thus Paula Brito was not alone in applying for such aid. For example, in 1856, the Imperial Companhia Seropédica, a silk manufacturer, obtained a grant of 120,000,000 réis from the provincial government of Rio de Janeiro divided into four yearly installments. Those funds were to be invested in its silk mill, the purchase of land and equipment, hiring free workers and setting up silkworm nurseries.16 In 1855, Paula Brito himself had obtained an important government concession, confirmed by Decree no. 1717 of January 23, 1856, which gave the publisher the right to produce chromolithographed playing cards for five years at the Dous de Dezembro company’s workshops, using a sophisticated ten-color printing method.17 Paula Brito spared no efforts and used the columns of Marmota fluminense to try to convince the public of the benefits his literary publishing firm would bring to the country. The improvements to the art of printing being made in France, under the aegis of Napoleon III, served the Rio de Janeiro publisher very well to remind not only his subscribers and readers, but also honorable deputies and ministers, of his company’s importance:
A person of the art, well informed, assures us that last year the French government spent 200,000 francs (70,000 réis) on the printing of the—Imperial Typography Specimen—for the Paris exhibition. They say it is a done in very good taste, with only one hundred copies printed.
France, like the United Kingdom, Germany, Belgium, and the United States, knows the value of the printing press, and the resources that are drawn from it; as for us! . . . we had better keep quiet so that we are not regarded with suspicion.
To our correspondents, we will take charge of the purchase of this work, which should be a printing monument, which will do honor to the reign of Napoleon III. The pages of books make kings eternal.18
Whereas European governments recognized the importance of printing, and therefore of the press, things were very different in Brazil. However, the year 1856 was beginning and an advertisement for shares in the literary publishing firm that appeared in Marmota fluminense on January 1 suggests that the subsidy required from the government was still not guaranteed.19 We will see later on that, instead of subscribing for shares in Dous de Dezembro, the government eventually approved a loan of 80,000,000 réis. However, it came too late and, lacking timely government aid, the company was forced to file for bankruptcy protection.