On September 10, 1907, the firm of Matthews & Appling mortgaged with J. N. Cooke, a cashier for a bank, for a sawmill, a log wagon, a span of mules, and a 12-inch by 15-inch Ames steam engine, for $1,600. Thirteen days later they mortgaged the Ames steam engine to Geo M. Dilley & Son. The firm placed its sawmill plant on lands leased from C. C. and Mattie Respess. A document dated December 18, 1907, reveals that the location was five miles northeast of Carthage on the left hand side of the public road leading to Iron Bridge on Sabine River and on the west side of Roberts Creek, about 250 yards west of the Respess house. On July 11, 1908, J. N. Matthews mortgaged to J. N. Cooke, a cashier for a local bank, a sawmill operation for $5,018.90. The equipment included a sawmill, a boiler, an engine, eight mules, twenty-one yoke of oxen, and four log wagons.