Document 8O5b0Rg3pQOrQ3gLYMz4bO6qe

3 The Olidde. n Company Corporate and Financial Communication Advertising 1957 -- 1958 GLD011565 V* % Two yews ago you embarked on A comprehensive,, coordinated Investor communications program,, which included the resume* tion of corporate advertisingo The prim objective of the corporate advertisings as yon detailed it to us than, was to lay a foundation under your various Investor cotmtunloation activities and to help establish Olldden asooo A stable,, d&MKSittffli company A growth company A ooqpwy utilising chemistry in all of its activities A company with heavy J33UjhSSinJ?0UDS9MCSh. against existing and new products We vers also told that000 Olldden was not well known except for paint Previous premature announcements of new products and activities had done the company harm with the investment trade Olldden advertising should "promise" nothing and that Olldden had to let performanos speak for itself Instead of "news" of developments, the advertising must be conservative and directed toward acquainting investors and the investment trade with Olldden and its current activitieso In September, 1955* against these targets which we have just outlined,, we reoomfpended that your advertising feature evidence, facts, news and information ** directed toward KfiH& and filshL&fcCo We said that we believed the advertising should establish Olldden in your readers* minds as a diversified and stable Industrial teamf one with growth opportunities because of your mafljr associations with products for industries which are in growth fields o GLD011566 <1 312 Now, it should bo said hors that such associations,, alone9 do not. automatically make a eooipwy a growth coapanyo Butf at the time, ve could not cite other evidence of your right to tho growth label* Today, however, we have real facts to lrpartf the evidence of growth character which is needed* Those, ve will discuss a J.itile later* Wo i\u*iho>* re**o*merirtcd for you** .first year's financial paper advertising a series,- predicated on the belief that! O.) * Thevo was much that these men did not know about (Hidden,, Ah* divisions, and its growth through oh sailstry o (?) That the}v JatS'iMtSS. A* to keep informed} end that thsy vpuld read advertisements that pointedly Said,, "Here is Information about 0\Addbn,,c. At this point- w< would like to &tj that when it is the bpslncgg of people to w<d nnd keep informed,, copy can be direct, there ie no need to be ccy or to try to intrigue readers with "bait" headlines* MljewAfie, o o j k ' can be lengthy, if necessary, so lon.rj s it rewards the reader with information of the type he la ssokltigc. It is the of adrortising to pave tho way for personal calls, whether aelUpg industrial fIni abet, bulk olXsoooOr Therefore, if tho advertising 3 s Ahfe8Ml*fc and JSQtstiJOfJJ}?,. if it presents needed {&]!%, the door of ary project ie p p a pM , And the doors of security analysts are PSCftJa,ftlitMcfio Witness our own experiences over the years as we have called on analysts to keep pur fingers on the fails* of financial thinking * it usually takes only a te'ivphbns call to gain at* eppoAnt-ment even Pith top men such r.3 Paul Cabot and Keith Fimaton* So, It vos on tire premise that information about G&Adden, its divisions and growth was peadeAooo On the premise that analysis mjfttj read to keep Infomedcoo thit our initial adifertisenants were designed to tell, division by division,, er-nc-t?^ that eaoh division J.s, What it makes, atki what its grwsth possibilities arso GLD0l25e7 * A 313 We also said that subsequent advertisements could tell how Qlidden serves specific industries} discuss new or growing products} keep the financial trade abreast of Qlidden progrosso In the calendar year 1956# separate advertisements appeared on these subjects* How Qlidden grows with the horieons of chemistry Why the outlook, is growth for the Qlidden Chnicals>Plgnieht8'4{etal8 Division How specialised research is speeding the growth of OliddomPurkee Foods VJhat is the SfeejraiB&k future of the Qlidden Faint Division? How tho Oiledan "Naval Stores Division" has become a now flhewtf sai industry that is the G13.dd.en (H Division? Tills yoar* advertising is continuing to appear which points up how the various Qlidden Divisions combine to serve numerous "growth" industries and hew Qlidden is growing with the growth industries it serves In a meeting on November 1# 3-956* Mr Maxsgr stated that he recowaonded contitniing thle copy approach for the balance of the year,, but asked that we devise a series with more "growti punch" for succeeding years0 Separate advertisements have appeared this year* or will appear* covering Qlidden service to those growth industries* How Qlidden is growing with the 8-1/2-billlon-dollBr paper industry How Qlidden is growing with the spectacular rise in food sales Hov Qlidden is growing with the big demand for rubber products How Qlidden is growing with the rite in building materials sales andopo GLD011588 How QIAdden Is grotring with the 63-blUion-dollar sales of appliances* Our media recommendations two years ago more the direct result of a study of iJivestor advertising which ve had conducted over a period of 4 years* This study has been seen by Mr* Mnucey and Mr*. Augsburger, members of the corporate advertising committee, and ty Mr* Lighter* The study is constantly being brought up to date ae new facts emerge* but ve ore proud to know that not only are ve the only agency in Cleveland to have made such a study but probably one of the few in the United States* We ware told recently by executives of the New York Stock JSxohange that it was the only ore of its kind they had ever seen* Prepared primarily to serve our clients better* this study has caused so much corraf nt that v have had requests and have ehron it to invest sient counselors and to companies such as Chesapeake and Ohio Railroad, the 33J,umln*tlng Company, Detroit F4i.eonff Clovite Corporation* The Hoover Company in Canton, H0 J* Heine and Midland steel* Ihoidontally, we are currently preparing corporate and investor advertising for Midland Steel (Which came to us for Just such advertising) as well as (Hidden, Ropublio Steel, and otherso Probably, in addition to the completeness of the study, its moot unique. aspect to most advertisers is that it has been propsre:l by an agency other than one specialising in financial advertising* We have always believed that an advertising agency should tti*ve its aidants in the marketing of all of its products, so.wiceo and facilities* hs it became apparent acme 4 years ego that our clients would need more and more help in marketing their soRuritiee, we set out, on our own, to equip ourselves to give then as complete and up*todate advice as possible* We might interpolate that, apparently, our interest in and faMliarlty With investor eorammioations is at variance with that of the average advertising agency* Now, an 1 *ld a moment ago, our study guided us in recommend'* lng this list of financial trade papers to reach the investment trade* GLD011589 ' 15 1 !* i i 315 Trusts and Estates Forbes Megaaine Barron's Analysts Journal Wall Street Journal Journal of Commeree Financial World It was obvious that Glidden needed to toll its story continuously to the vast investment trad market and. that these publications were carefully selected as the vehiclesD In addition, we recommended that (Ridden toll its story regularly to* A KM SEGMENT OF THE INVESTING PUBLIC W did not recommend publications of broad, general ironlatlon to reach small investors but, rather, publications that would b read ligr Investors with substantial funds and which would also be read by the same professionals we were reaching in the financial trade press, and thus Olidden would benefit from double exposure0 The publications in which your advertising is appea>.*lng are* Fortune Newsweek Uo S0 Eew3 & World Report Tour advertising in these magazines, in addition to reaching key individual investors, also Impresses the investment trade and those responsible for large funds with the fact that (Ridden is making itself better known to the investing public and, therefore, making its securities more marketable Now, from our Investor Study* we had learned that 2 kinds of advertising are requiredos 10 Advertising, as factual as possible, in the financial trade press 2* Treatment of the eats subject in a different manner in more general publications GLD01X590 .i 316 Our study, wblflh several of you have 8eon, I believe, hue led us to wmolude that proper investor ooswanioRtions re quires two advert! sing campaigns* One campaign in written to appeal to the professional buyers of common etooko These men we have referred to as our "inner target"v The second campaign must bs written to appeal to non-professional buyers of common stock* These acre the members of the 8l/2 million people who own commons* Tilts campaign also applies to* and is directed at* the professional sellers of eotmon stocks* For the last two years your advertising has been divided into two campaigns to meet these qualifications* The oanpaign which we can roughly refer to an "the black and white campaign" is characterised principally by the assumption that the reader is interested In your corporate n*ra*0 The primary readers are Security Analysts* Trust Officers* and officers of pension and institutional, portfolios* Tour Message directed to those people has bean as detailed and as newsy as we have been able to make Ito By contrast* the message directed at the broader public and, incidental ly, at the brokerage readers has been dramatized* principally because it is written with the con^ vlctlon that the reader is not interested in the corporate name* He has to be lured o The detailed differences between these two campaigns has been dictated by that' vs know of the detailed differences in reader interest botween these two groups The two campaigns ar intr~reltd through the consideration of WIPER MARKET INTEREST* The rarAn purpose ef the campaign to the non* professional buyer is the creation of this WISER MARKET INTEREST* At this point* I think we Ought to face the time di-iewaa which confronts ell professional investment people* Every analyst or trust officer hopes to plok up a wonderful stock with a lot of growth potential* but not known* Then ho hopes Jfl.w9tU.J3itely after he has bought his shares -- that it benors widely known* This is important to him because ho places a great deal of value upon WIDER MARKET INTEREST* Ho wants to be able to soil if he hv$ to* He hopes that the price will go up* He vents the log*'! protection* which the wider reputation gives him* in case he is sued by a client! GLDO 1159i 7 j i 317 and he wants the prestige of a well-known name In hie portfolio In ease his selections are subject to scrutiny by the financial oomittee or board of trusteeso Creating WIDER MARKET INTEREST Is a very slow process* Therefore, It Is our reocrawendation that advertisers tdu> are Interested in the financial ocaasunity audience should under take it as soon as they ean<> But, they must undertake communications to the inner circle simultaneously* This, we believe, is the best solution to the time dilemma which is latent in the matter of WIDER MARKET XKFERESTo So this is what you have been doing now for two years* You have been presenting the stripped-down news of your company, with as much detail as was available last year and the year before, to the limer-cirol men* At the same time, you have been keeping the corporate name in front of the higher income group of prospective buyers and in front of the brokerage house wen . which is extremely important to anyone who wants to crack institutional, portfoliose It might be interesting to compare your communications to the inner-circle professionals with other advertising run in their trade journals3 You will note that these ads vary from the inane to the quite goodc, About the only thing they aU have -- or, rather, most of them have in common, is long body copy* This, undoubtedly, comes from the feet that when you are talking to investors you must tell a worth-while message and take as many words as the message requires to complete the job. Furthermore, we know that long copy -- provided that it has something to y does heighten rea&erahipo I think, if you compare your oosimunlcatlons with these, you will fed that you rtaok up very wells Take this Oatxtyear advertisement, for exampler It's completely uidnfomative and even shows its inanity by its uninteresting Illustration of a tire* Of all things to tell analysts about the Goodyear Company, why would you show them a picture cf a tire? On the other bund, here is a Sinclair advertisement that is quite good., viewed from the qualifications of an in=> vestor ado The subject here is "management training''* This is good because we know that one of the characteristics being scrutinised by analysts now is depth of management* They are not only looking for aggressive. Intelligent but cautious management; they are cheeking the ages of second-level managements GLD011592 318 It Is reoognir.ed that no yardstick can bo placed upon the performance of inventor or corporate advertising Too many factors are Involved and* certainly* one-and-a-half years of (Hidden experience with the current program should not be expected to produo very' demonstrable results* let, let's see if wo can determine something about,,* THE mCK RECORD Prior to the start of the program in I5EWSWEEK, this publication asked some questions of a orosn-seotion of its readers One year later it asked the sane questions of another cross* seotion To establish compsry recog nition anrl product identification before (Hidden advertising campaign in Rewnweek* To measure recognition charges ramilting from advertising Zmtis&xa* Questionnaire mailed to 3,000 Newsweek subscribers for each phase hkotyfc of 1956 mail-out returned* ytf> of 1957 mail-out returned* (Tabulations bv.esd on 2,364 completed questionnaires) Question fit "Do you roeognlte this company name -- (Hidden?" TES m m answer TOTAL* J3u mUL JL JL 777 626 20B 16? JiSl JMkZ 1,242 lOOcO JfoMttJBL JL 922 82.2 195 17e4 . . .-u& 1,222 100*0 GLD011593 f 1 Question $2 t "Please eheok the products you are CERTAIN are manu factured by Tlse (Hidden Conpanyo" titanium dioxide polyester resins paint soybean oil and meal oadrAua white lead varnish pine oil s coconut, products lithopcme metal j>owdere bakers*' shortening terpene ehemleale Purkeo margarine ensmolB frying oils soy a flours solvents paper coatings product finishes Phase 1 JL A 108 eo m 95 115 337 588 102 30 33 60 48 82 93 513 63 53 231 74 128 8.7 6.4 74.5 7.6 9.2 27.2 4?o4 8.2 2.5 2.7 408 3.8 6.6 7.5 41.3 5.1 4.3 18.6 6.0 10.3 Phase XI AS 100 73 846 88 124 310 508 84 27 31 44 4? 70 102 472 49 46 180 66 324 8.9 6.5 75.4 7.8 3JU1 Sty 06 45.3 7.5 2.4 2.8 3.9 4.2 6.2 9o! 42.1 4.4 4a 16.0 5.9 11.1 an*t know 298 24.0 54 ( Based on all respondents ) 4,8 A few rdnutss ago ve said that ws have been calling on financial professionals over the years. Here Is a list of some of the men with whom we have talked. (names of man Interviewed ) Recently* four of these men dropped marks that pertain soiwmbat to your track reeord. Thy are idle straws In the wind, hut they may Indicate that your over-all investor coconunioat iono progress* of which advertising la only a part, is beginning to pay elf. GLD01J 594 SHERMAN BADGER Vice President in Chg* of Investments, New England Mutual (increasing interest in commons in last 10 years) "Glidden has come to our attention more recently than in the past'*. Question! "How recent is "recent" - would you say 2-years or 10years?" Answer! "Oh, I would say it is more nearly 2-years<>" Question! "Why do you think it has cane tojour attention?" Answert "I would say that the brokers have been pushing it* I just have an impression that it has oome to my attention*" R. T. DAVIDSON Vice President in Ohg. of Investments, Boston Insurance Company Said he knew The Glidden Companyt. Has the "impression that Glidden is better than it used to be*" Said he didn't know Where he got the Impression but that he "just had it". Says he reads everything "he can get his hands on" ... FORTUNE, NEW YORKER, U. S* NEWS, NEWSWEEK, LIFE, POST, BUSINESS WEEK, NEW YORK TIMES - all three Boston papers ROBERT FISHER Securities Specialist, Pearl Assurance Co*, New York "*** more aware of Glidden in recent pastj for a year or two* Have the impression they have been progressing but this is vague, they are a difficult company to compare*" GLD011595 321 PAUL CABOT Treasurer, Harvard University $2#> million in cownons President, State Street Investment Trust $170 million in commons Member of Board and Investment Committee, J. Morgan & Co* "Not impressed by Glidden" Then added ... "Probably thinking of Olldden more as they had been than as they are recently". ... So much for the last 2-years ... WHAT ABOUT THE TEAR AHEAD ... And those to follow? While you did not indicate much interest in the small, average individual investor tiro years ago, we were 3ust told quite recently that your interest now is (MS in large investment funds -- universities, fire insurance companies, cocmon stock funds, employee pension trusts. And we wore asked to explore the advisability of putting all of your advertising dollars into publications directed to the men controlling these large funds -- in other words, the financial trade press as opposed to doing corporate advertising in publications of more general circulation. While, as I paid earlier, we have constantly maintained our study of the changing investor market, we decided to talk with some of the men especially about institutional portfolios. We wanted to explore in particular ... What a corporation should say in advertising, to interest those concerned with institutional portfolios. Vfhioh media, and which type of advertising would most influence them. GL DOU 596 w 1 <1 3 22 v. J Granted, thla was a large order but as with moot studies, a pattern soon became established Actually, both questions apply to any company0 And as we look at seme of the things the men said, we hare to bear in mind that not all of what they want to know can be answered in advertising --*> much has to be handled personally o But, much of their comment is background against which an advertising program can be build JOSEPH BICKFORD Bankers Trust Company, Net! York City Looks for able management and depth in managementj examines products, acceptance and future markets * Interested in basic research not just product research0 Public knowledge of company, important -- to defend stocks being in portfolio -- also for sale of stock in the future CHARLES CALEY Aetna Fire Insurance Co, Hartford, Connecticut* Interested in management * Top officers, directors their connections, background and other business connections Seeks news of new products Sows very good companies are not well known,, The future marketability of a stock would be less for a company not well known and well liked "lie might not buy on a broad basis, but we might want to sell that way." Growth is number one Return is important Looks for increases in earnings and dividends over the long pull. Said that the price of growth is hi$i - it is costly for a company to continually build in every way necessary for growth. GLDO 1259? V* 13 323 -y GORDON W. SHAND Hartford Eire Insurance Co, Hartford, Connecticut Looks for growth -- "Better than average growth and stability" Thinks cowardes should advertise the ways they serve various industries such as paper, construction particularly road building, etc0 Earnings record is important, but this is a "historical minor",, Wants to know what companies forecast for Hiemselves and their reasoning Has purchased stock as the result of interest stimulated by direct mail0 GEORGE A BOYD America Fore Insurance Group, New York City Potential growth, profit performance, dividend record are all considered Also, a conservative balance sheet Sound and factual indication of potential growth is the key decision-making factor America Fore welcomes personal interviews with management *> preceded by a mailing of complete, up-to-the-minute reportso Feels that advertising indicates established leadership in a field Public recognition and acceptance are a definite factor in his considerations Regularly reads FORTUNE, TIME, BUSINESS WEEK and WALL STREET JOURNAL GLD011598 WILLIAM MORRIS M4ISR Treasurer, Haverford College, Philadelphia, Pa, Portfolio handled entirely by Finance Committee without professional advice 0 "We have done qui te veU"o "The industry is important as veil as the position of the company witliin the industry; vs tend, to seek those which produce goods or services which we believe will be in increasing demand and. where the profit margin is as little vulnerable as possible to surprise reduction" "I think the tendency of any large fund such as ours is to favor investments in the large and better^known corpora- tions, with the feeling that there is somewhat more security, historically and actually, in such investments". ROBKRT H0 BUSS Obcrlin College, Oberlin, Ohio* Past growth and expectancy of growth0 most importanto Siv,9 of company within en industry and quality of management vital to decision. Some companies are so widely diversified, it is hard to determine from where growth may come. Wants candid facts; Complained about companies sending representatives not prepared to answer all questions0 It, GORDON GRIFFITH Investment Officer - -> University of Michigan All investments are long-term,. Never buys anything but "blue chips", looks for' alert, modern management growth t I don't want old stable* usual, income companies. We are looking for a corporation in an industry that is going to go 3omswhere"o GLD011599 PAUL CABOT Management with honesty pud integrity,, Is firatc Record of stability and growth,, Per cont of gross going into labor will more and mol's affect possibilities for profit0 "I look for a stock I can sell makes a mistake sometime because everybody ROBERT FISHER Securities Specialist0 Pearl Assurance Co0fl Hew York City "Companies must find ways to measure their own standing with poraparablB companies and stocks* Moat companies fail to do this and say there is no comparable company -- it may take hard work to find a good comparisonp but it can bo done*" SHEIIMAH BADGER Hear England Mutual Life,, 3oston0 Massachusetts Growth aggressive management research,. intelligently directed Depth of management ~~> sine of company try and 0,,o is It a growth industry? type of indus Labor "We tend to go toward those with a low labor factor," Ownership of natural resources,, "We favor companies that have a great deal of care for their stockholderso* Our portfolio needs to look well* We are influenced by reputation* "It is a damn sight easier to buy DuPont than some unknown company,," GLD011600 3j 6o 3 26 Now, you mi$it be interested in some other ccnmente that are something of directional signalsc "Very s table 9 low rlsk0 Very safe and very dull to the investor who is after 9kick* as well as yield o" "The fact that their stock lias stayed up as well as it has indicates that an excellent has been done by (Hidden financial people" o "That's what 1 call a npn'classifiable company<, It isn't paint, or foci, or chomicals it's all of those"o "They should show exactly how each division ties into one another"0 As we said earlier, these interviews, and others wo made, fell into essentially the same pattern,, Security analysts are interested in* GROWTH COMPANY IB CRttrOl INDUSTRY ABIE, ALERT, AGGRESSIVE MANAGEMENT IN DEPTH COMPARISON WITH OTHER COMPANIES IN SAME FIEII) BASIC RESEARCH LOW LABOR COST FACTOR SIZE OF COMPANY OWNERSHIP OF NATURAL RESOURCES HOW COMPANY SERVES INDUSTRY COMPANIES THAT ARE STOCKHOLDER CONSCIOUS PLANNED DIVERSIFICATION PUBLIC AND INVESTOR RECOGNITION AND ACCEPTANCE FOR FUTURE MARKETABILITY (F SECURITIES FACTS GLDO11601 V* .i "Complicated company} .confusing! doesn't fit any one industry* Hard to tie together*" "Feel better about (Hidden but still don't think much of it,, Favor a wider reputation* Would not buy (Hidden because It is neither a "blue chip" nor a "pale blue chip*" Must be come a "blue ehi.p" or have a reasonably good promise of fast profits or compote with others producing very good inooae* Thi s thinking is reflected in our recomisndatione for next year0 which Bob Lechner will now take up with you* On the basis of these latest interviews * we submit tliat our ad vertising last year and this year has been right on the target* We haves "INTRODUCED" GLIDDEN AS A COMPANY FEATURED EACH DIVISION SEPARATELY TIED THE DIVISIONS TOGETHER ASSOCIATED GLIDDEN* AS A WHOLE, WITH QRCWTH INIXBTRIES EMPHASIZED BASIC RESEARCH FEATURED PLANNED DIVERSIFICATION PORTRAYED ALERT0 AGGRESSIVE MANAGEMENT THROUGH EXPOSITION OF THE COMPANY'S ACTIVITIES ADVERTISED WITH CORPORATE MESSAGES IN GENERAL PUBLICATIONS, IN ADDITION TO FINANCIAL COMMUNICATION ADVERTISING IN THE TRADE PRESS, TO BUILD BROAD ACCEPT ANCE AND MARKETABILITY FOR QUDIEN SECURITIES* Fully aware that the beet advertising 1b the advertising that in most specific - whether it be a produot or a security (and securities are products) - we are pleased that we can now be come wore specific* And we feel that the timing is exactly right* 0011602 We needed to Introduce and explain Qllddens we needed to associate Olldden with grmth industries g we needed to build a "foundations" if you wiHp on top of which you oould announce specific steps you were taking for growth and increased yield* This we have done* During the period that this advertising has been appearing p you have made Investments against future earnings and growth and have taken other stops that lend themselves well to more pjpecjfio advertising containing the facts that the professionals want con advertising with the "punch" or impact we both desire0 Ton recognised this in your disclosures to the Analysts when they met with you in Cleveland0 These same facts merit broader circulation to the entire invest ment trade and to key investors throughout the countrya Some of the subjects that we believe are ideal for wide investor communications are* Capital expenditures for (1) new Titanium Dioxide plant* (2) new grain elevators]! (3) new branch paint stores; (b) new terpene chemical and tall oil refineries* (5) Durkee dispositions,, concentrations and relocations and others0 With careful presentation; without promises; bub giving the PURPOSE behind each action^ we believe your investor advertising can do much to answer some of the questions in the minds of men such as those to whom we talked* You might term it 000 CORRECTIVE advertisingn GLD011603 ! i, j 329 There is nothing new about corrective advertising 0 Many companion have the need for itnrtoincluding some of our clients who are doing exactly that now* It is easy for false impressions to be built up and these are usually because of the lack of informations) If you know what these false impressions are => arri we think we do *= t!n the correction of these impresnione is relatively simpler,noJ-f you can present the corrective fac$s,,ftftnnd,. fortunately* you have the facta to present On this premie,, for next year* we are recommending advsrtisoinents to the financial trade of this type0 (Advertisements) These advertisements are packed with news and facts ; they have news~type headlines; they employ the proved attentiongetting device of generous use of photographs and charts; they look Informative; we are confident they will have high readership* And because (Hidden needs maximum impact now - and has the facts that warrant it - we are recommending that 2-page spreads be used instead of the former pages - with a similar doubling of the space unit in the Wall Stroet Journal* Row wo said earlier that we felt we bad been right in recommend ing corporate advertising,, in more general publicationsD In addition to investor advertising in the financial txade press,. We still believe so * and that you should continuev. Every man to whom we talked stressed the importance of fiSCkSt^>il4ty of the securities in hie portfolio<.00 the Importance"of wi.de investor knowledge of a companyp coupled w3.th acceptance atxi liking, for a company,, TW.s sort of acceptance cannot be created by your consumer product advertising alone,, This advertising is offering your products for pale it does not and cannot tell ths story of the complete G13.dden Company; its philosophy of operation; its plans for the future; its growth potential; the invest ment opportunities in its securities GLD01160A .Vi* 330 Further,, corporate advertising,, as differentiated from in vestor advertising in financial papers,, is used by many companies0 including some of our clients,, for a combined variety of purposes* These objectives0 we believe, parallel those of (Hidden0 lv For wider market interest in common shares 2, To help establish possible loan value 3o To create prestige a* for Divisions benefit' b,, for customer respect c for possible international business effect d0 for faster acceptance of new products 40 To help sales to industry 5o To help discover new markets Now# this requires a different sort of advertising from that in the trade press0 As our study las shown, and we pointed out earlier,, a different tcchnitue is needed to create maximum readershipD * We think we liws had that sort of technique the last two years ,, . with our unusual color photographs# headlines and interesting subjectso We are racommccicUng that the sane physical technique be continued but using a different type of subject matter* As was pointed out,, during the last two years we have taken tie same subjects featured in financial papers and prepared 4 -color corporate advertisements around them* Now, just as you have specific Igj&jBLJSffiwtft.to communicate to the investment trade in financial, publications -- you have news of new products to feature in your broader corporate advertising* GL0011605 V* 331 a These new products have great reader interest value? they are proof of Qlidden planned research* they demonstrate, just as much as your investments hew Qlidden is charting its future growth.i and they permit advertising keyed to the several objectives we have Just discussedo (Corporate advertisements) FinallyB in October,, 1955P we reconmended a complete merchan dising program for your corporate advertisingo This included merchandising to the Financial Trade Audiences Qlidden customer audiences Qlidden employee audience0 We urge that this merchandising he accelerated* As we said in 1955d merchandising is often a mis-used word* Broadly,, it means the use of the advertising0 over and above the appearance of the advertising0 Our contacts with investment professionals confirm that the mail ing of reprints and othsr materials 4, effective* that the mate rial 4s. reads and that* on occasion* direct action has resulted from some mailing piecesD The cost is low? the potential benefits are great0 DIRECT MAIL MERCHANDELSBiQ sb Fortune covers with letter Black and white ad reprints with letter Quarterly and annual reports Special mailing 6 5 $ 5 Total 21 We are ready to help you formulate and implement a merchandising program00= just as we do for our other clients 0 GL 0011606 4 332 a In summary,, we are recommending: Continuation of both Investor advertising and corporate advertising Two interlocked programs* (1) To the investment trade and professional investors (2) To a key segment of the investing public as well as management in business and industry^ Featuring: (1) News of growth investments in the financial press (2) News of new products In the corporate publications Supported by* (1) Intensive extra-use .-,o merchandising ooo of the advertising (Discussion of media recommoralationrj and budget) 0LD0U60? 44* ts J /*&F Pn/p*%*f- 333 THB OLIDDEN COMPANY CORPORATE AND FINANCIAL COMMUNICATIONS ADVERTISING 195? - 1958 CL0011608 <1 Publication FORTUUK 287,186 NEWSWEEK 1,100,000 U.S* UK'S & WORLD REPORT 900,000 334 1HK QUPDKH COMPANY Corporate Advertising 1957 - 58 Space 6-1 Page, 4 Colors Rate Cost 8 5,555.00 8 33,330.00 6-1 Page, 4 Colors 8,625.00 51,750.00 6-1 Page, 4 Colors 3 6,625.00 3 e 7,600.00 42,675.00 Cost of Space 8 127,755.00 Estimated Art & Ifechanical Preparation 19,600,00 TOTAL COST $ 147,355.00 6/10/57 db GLD011f>09 335 THE QLlODEfi COMPANY Financial CoraaunicatdonB wsr ~ Publication ANALYSIS JOURNAL 7,385 BARRON'S 73,706 FORBES 225,000 TRUSTS ft ESTATES 7,772 JOURNAL OF COMMERCE 38,891* NALL STREET JOURNAL 1|98#I56 Space 5-2 Pages, BSSI Rate $ 600.00 Cost * 3,000.00 8-2 Rages, BSST l,70b,00 13,632.00 8-2 Fages, BSN 6-2 Rages, BMT 2 6 3,780.00 6 L,l58.00 1*20.00 32,508.00 2,520.00 8-8 Col.x 150 Lines (1200 Lines) 68U.OO 5,U72.99 15-6 Col.Jtli*8 Uses ( 888 Lines) 3,738.1*8 56,077.20 Cost of Space 113,210.19 Estlnated Art ft Ifeehanioal Preparation 7,000*00 TOTAL GOST $ 120,210.19 ^10/57 db CLD011610 V* 336 THE OUDDBN CQMPANT Financial Statement Advertisement W57 - W Publication Space Rate Cost INVESTMENT DEALERS' DIGEST 1-2 rages, B&W 5,181) (tippsd-in) $ kk0*00 I 2)1)0.00 MAGAZINE OF WALL STREET 20,135 1-1 P&ge, B&W 500.00 500.00 TRUSTS & ESTATES 7,772 1-1 Rage, B&W 210.00 210.00 U.S. INVESTOR 16,580 1-1 Page, B&W 205.00 205.00 BARRON'S 73,706 1-1 Page, B&W 652.00 852.00 FINANCIAL WORLD 1)5,020 1-1 Page, B&W 620.00 620.00 FORBES 225,000 1-1 Page, B&W 1,1)2)0.00 1,1)2)0.00 JOURNAL OF CO'SERGE 30,051) 1 - 552 Lines, B&W 337.1A 337.1)1) WALL STREET JOURNAL 1)80,156 1 - 1M lines, B&W 1,065.21) 1,665.21) Cost of Space # 6,553.60 Estimated Art & Mechanical Reparation 1,200.00 TOTAL COST 0 7,753.68 GLD011611 A 337 THF. QUDDP.N COMPANY 1957 - 58 GUHMARI CORPORATE AWERHSIMO Coat of Space $ 127,755.00 FINANCIAL CO^KICATIONS 113,210.19 FINANCIAL STATEMENT AMF.RriSEWENT TOTALS 6,553.68 # 247,518.8? Preparation $ 19,600.00 7,000.00 1,200.00 # 27,800.00 Total Coat * 11*7,355.00 120,210.19 7,753.68 f 275,338.87 * 6/10/5? db Included In tills figure are rate increases in the amount of #25,160.03 (See next page). 6LD0I161? V* JL 338 THE GLIDUEH COMPANY Publication Rato Xnoi-Qases Publication Corporate Advertising FORTUNE NEWSWEEK U.S. NEWS & WORLD REPORT Space 1956-57 Cost 6-1 Page,!* Color $33,020.00 6-1 Page,/i Color l*7,/*30,00 6-1 Page,lf Color 36,825,00 1957-50 Cost Rate Inci'eas $ 33,330.00 51,750.00 !*2,,675.00 $ 310.00 {*,320.00 5,85o.oo $ 10,1*80.00 Financial Communications ANALYSIS JOURNAL 5-2 Pages,MW 2,500.00 FORBES 8-2 Pages, B&W 28,12!*,,20 JOURNAL OF COMMERCE. 8-8 Col,,xl50 Lines 5,088,00 WALL STRF.FT JOURNAL 15 - 6 Col.xlWJ Idnosl*7,286oOO Financial Statement Advertisement INVESTMENT DEALERS" DIOFST 1-2 Pages, E^iS U.S. INVESTOR 1 - 1 rage, MW FINANCIAL WORLD 1-1 Page, B&W FORBES 1-1 iVige. MW JOURNAL OF COMMERCE 1 - 592 Lines, MW WALL STREET JOURNAL 1 - Wilt 3Ano$,MW 380.00 258.00 5?o,oo 1,263,60 313,76 1,576.20 3,000.00 32,508.00 5.U72.99 56,077.20 5oooo 1*,383*72 38l*.99 8,791.20 $ 3U,059.91 WlO.OO 60.00 285*00 620.00 i,iii*o0oo 33?*ii4 1,869.2!* 27.00 - 30.00 176.!*0 23.68 293.01* $ 620,12 6/10/5? db TOTAL RATE INCREASE $ 25,160.03 GLD011613 339 3.9?6 - ?7 Advertising Schodu3/38 end Costs era shown on the follordng pagqsi GLD01161A X Publication FORTUNE 205,000 NKTSWEEK 1,050,000 U.S,, NEWS & WORLD REPORT 625,000 6/10/57 db 34f THE GUDDEN COMPANY Corporate Advertising 1956 - 57 Space Rate Cost 6-1 Page, U Colors 1 9 5,21*5.00 $ 33,020.00 5 @ 5,555.00 6-1 Page, h Colors 3 7,565.00 3 S 8,21*5.00 1*7,1*30.00 6-1 Page, h Colors 3 $ 5,650.00 3 6,625.00 36,650.00 Cost of Space # 117,275.00 Estimated Art & Mechanical Preparation 17,600.00 TOTAL COST $ 13U,875.00 GLD011615 < . 341 THE QUDDBU COMPANY Financial Comainloatlons Publication ANALYSTS JOURNAL 7*385 HARROWS 73,706 FINANCIAL WORLD 15,820 FORBES 173,196 TRUSTS & ESTATES 7,61*2 JOURNAL OF GO- 25ERCE 38,124 WAIL SUffiET JOURNAL 1*05,000 6/10/57 db Space 5-1 Pag, B&W Rate 8 250.00 Cost 8 1,250.00 12-1 Page, B!Wf 852.00 10,22l*00 7-1 Pag, Bfflff 590.00 1**130.00 11-1 Page, Bm 8-1 Page, B&W 3 C 1,537.38 6 @ 1,690.00 21*0.00 19,734.14 1,920.00 10 - 592 Lines, B&W 3U9.28 3,1*92.28 15 - 444 Unes,B&W 13 S 1,61*2.82 2 $ 1,91*9.16 25,254.72 Cost of Space 8 66,003.66 Estimated Art & U-jchartLcsl Preparation 8,000.00 TOTAL COST 8 74,003.66 pLD0ll616 \ * i 342 MR OLIDDSH COMPANY Financial Statement Advertisement * it Publication Space INVESTMENT DEALERS* DIGEST 1-2 Pages, B&ff 5,2BU (tipped-in) MAGAZINE 0I>' WALL STREET 20,135 1-1 Page, BMf TRUSTS & ESTATES 7*61*2 1-1 Page, BW U.S. INVESTOR 16,588 1-1 Page, BW BARRON'S 72,437 1-1 Page, BSW FINANCIAL WORLD 45*820 1 1 Ps0| BSW FORBES 178,196 1-1 Page, B5tW JOURNAL OF CttfJFROB 38,124 1 - 592 Linee,BSW WALL STREET JOURNAL 405,000 1 - 444 Lines, BKf Rate * 380.00 5oo.oo Dost $ 380.00 500.00 240.00 240.00 258.00 258.00 852.00 852.00 590.00 590.00 1,263.60 1*263.60 349.28 349.28 1,642.80 1,642.80 Cost of Spaoe 16,075.68 Estimated Art & llsohanioal Preparation 1,540.00 Tom COST $ 7*6X5.68 6/10/57 db GLDOllfcl? * S1 J 343 TilF. OHDUBH COMPANY 1956 ~ 57 SUMMARY CORPORATE ADVERTISIN'! Coat of Spaco $ 3.17,275.00 FINANCIAL COXtUNICATjEONS 66,003.65 FINANCIAL STATEMENT ADVERTISEMENT TOTALS 6,075.68 $ 3,89,354,34 lYeparation 17,600.00 8,000.00 1,540.00 $ 27,140,00 Total Cost 134,875.00 74,003.66 7,615.68 8 216,494.34 f 6/10/57 db GLD011618 PAINT DIVISION ADVERTISING BUDGET GLD011619 Trade Sales National Other National Local Budget Canadian National TOTALS 1957 BUDGET 19 5 7 ESTIMATED EXPENSE 1958 BUDGET $1,102,000 250,000 1,745,000 $1,056,604 223,040 1,611,600 120,000 $1,387,818 230,340 1,721,000 140,000 $3,097,000 $l*011i2^ $3,479,158 GLD011620