Document 9kVG5q1gE9zxYEXmxxBZXM3R

FILE NAME: Allied Signal Bendix (ASB) DATE: 1973 DOC#: ASB038 DOCUMENT DESCRIPTION: Moody's Entry t'-V l MOODY'S I NDUSTRI AL MANUAL 1397 s Other Debt; O u tsta n d in g . D ec. 31, 1978 (exd elu d in g c u r r e n t p o rtio n ), $82,024,000 a s fo l- &l0'ws: (1) $11,868.000 7V% I ta lia n L ir a n o te , d u e 1976; (2) $18.492,000 8V*% D u tc h G u ild e r n o tes, d u e 1975; <3) $15,624.000 5Va% S w iss C apital Stock: G en eral E lectric O verseas F ra n c b o n d s, d u e 1983; (4) $13.020,000 6 l,a% C apital Corp. com m on ; n o par: S w iss F ra n c n o te, d u e 1974; (5) $13,020,000 Auth. and outatg., 1,000 shs.; no par. A ll 674% S w is s wF r a n c b a n k lo an , d u e " 1976;' "(6) i o w n e d b y G e n e r a l' E le c tric Co. H a o n a $i0,000,000 73^ % U. S. d o lla r n o te s, d u e 1976. I v o te p e r sb . GENERAL MOTORS CORPORATION CAPITAL s t r u c t u r a Tim es gLONG TERM DEBT A m ount Charges E arned " Issue R ating O utstanding 1972 1971 1. D e b e n tu r e 3%*, 1 9 7 9 ______ --- ------2. M o rtg a g e d e b t ____ ______________ *31,562,0001 86,389,140V 57.33 64.18 3. S u b s id ia ry d e b t ________________ - 696.292.400) CAPITAL STOCK Par Am ount E arned per Sh. Issue ' V alue O u ts ta n d in g 1972 1971 1. $5 s e rie s c u m u la tiv e p r e f e r r e d ------- N o p a r 1,835,644 shs.I $762.72 $682.63 2. $3.75 s e rie s c u m u la tiv e p r e f e r r e d -- N o p a r 1,000.000 sh s./ 3. C....o..m....m....o..n......................................................... t 1_% 0_28.5,9. 22,900 shs. 07.51 06.72 E S u b j e c t to c h a n g e " " s e e " te x t (Excludes 1,693,625 s h a re s i n t r e a s u r y f o r b o n u s a n d In te re s t D ates JJ& J I C a ll P ric e m 100.20 Divs. p er Sh. 1972 1971 $5.00 3.75 3.40 C a ll P ric e 120 QjlOO option plans. A verage shares Price Range 1972 1971 84%- 79 83 - 75 Price Range 1972 1971 82'/a- 74 >4 84 - 73% 613,4- 54% 62y,- 53% 84% - 71% 91 % - 73% o u ts ta n d in g . 288,099,648 ares. E B ased on average num ber of shares outstanding. I8TORY In c o rp o r a te d in Delaware, October 13. 1916, a c q u ir e sto c k o f th e G e n e ra l Motors Com- ny (a N e w J e r s e y c o rp o ra tio n ) on the basis hot 1 1/3 s h a re s o f its 6% p r e f e r r e d for each Share o f G e n e ra l M o to rs C o m p a n y 7% pre f e rr e d a n d 5 s h a re s o f its co m m o n for each W sh a re of G e n e ra l M o to rs Co. common. As of W; A u g u st 1, 1917. a c q u ire d a s se ts of General M otors Co. w h ic h w a s d iss o lv e d a s of the same -tj&date- N u m e ro u s o th e r a c q u is itio n s ware made gin s u b s e q u e n t y e a rs o f w h ic h th e more lm - >rtant a re h e re re fe rre d to. . M ay 2, 1918, a c q u ire d a s se ts and business of /C h e v ro le t M o to r Co. (D el.) fo r a consideration of 282.684 s h a re s of co m m o n sto c k . D ec. 31. 1918, a c q u ire d a sse ts a n d business of ^ U n ited M otors Corp. for a consideration of 198.692 s h a re s of d e b e n tu r e s to c k and 99.504 sh a re s o f com m o n ; also cash equal to accrued dividends on each. if; I n 1919, a c q u ire d a m ajority interest in '& fish er Body Corp. at a cost of $27,600.000. T; In 1925, a c q u ir e d f o r c a s h a ll o r d in a r y shares of V auxhall M otors, Ltd., of E ngland re m a in in g i n t e r e s t a c q u ir e d In D ec. 1969. r'W In S e p t , 1925, s o la its tr u c k d iv isio n (known as G en eral M otors T ru ck Co.) to Y ellow T ruck Sc C oach M a n u fa c tu r in g Co. f o r 800.000 shares v (entire outstanding issue) of th e latter's com m on stock. O n J u n e 30, 1926, a c q u ir e d a s se ts a n d b u s i ; ness of F isher Body Corp. on the basis of y one share of common for one and a half jF? s h a re s o f F is h e r B o d y C o rp. sto c k . - In M a rc h , 1929, a c q u ire d a n 80% stock ln- b te re s t in A d am O pel A. G. at a cost of around % $26,000,000 a n d In 1931 acquired the remaining m inority interest. In April, 1929, purchased 500,000 shares of Sfe Bendix Aviation Corp. (a 25% Interest) for *$15,000,000 cash, assets of Delco Aviation Corp. 1and licenses to various patents. Holdings *reduced to 399,990 shares by sales In 1939 and liW O. Remaining Interest sold In 194$. V In May. 1929, acquired entire Interest in A llison Engineering Co. k. In 1929, purchased a 40% interest in stock S p t Fokker A ircraft Corn, of America, a manu >lecturer of airplanes, whose name was changed to General A viation Corp. in 1930. In 1833. moat K.of General Aviation Corp. assets w ere trans- hiterred to North American A viation. Inc., in "exchange for stock in the latter. General Motors Corp. received part of these shares when General Aviation Corp. distributed them ?-to its shareholders and voted to diasolve In -.1934. In 1933 General Motors Corp. also pur- .1 chased additional stock of North Amartcan M Aviation, Inc. in the amount of 300,311 shares. E. In 1935, company received stock in Trsns- ^-continental Sc Western Air, Inc. (w hich it sub- E 'iequently sold) as a dividend on its holdings fcm North American A viation. North American K.Aviation holdings ware sold in 1948. For for- fiber historical details concerning General ^Motors Interest In aviation enterprises, see gefoody's 1939 Industrial Manual, In October, 1929, purchased assets and taat- chess of North East E lectric Co. for 40.000 shares r.nf 7% preferred and 106,687 shares o f common titock . s ' In June. 1930, acquired stock o f Wharton En- figlne Co. for 126.667 shares of common and 1 reorganized company in 19S7 as Cleveland K D iesel Engine D ivision. April 1. 1933, purchased the assets and busl- ness of Sunlight Electrical M anufacturing Co., K Warren, O.. for 8665,000. The latter's business -w as making sm all electric motors. fei.In 1935, organized as a subsidiary the Klsctro- E-Jtotive Corp. for the purpose of developing a bTOlesel electric locom otive business. . " In 1940 company acquired the assets of .Engineering Projects, Inc. of Dayton; O., en> y iie d in the developm ent of airplane pro* .-pellera.' On Sent. 30,1943, the assets o f Y ellow Track Coach Mfg. Co. were acquired b y General ^Motors, and business form erly conducted bar PShat organization la being carried on by the CMC Truck Sc Coach Division of theeorporariton. For details of merger see Moody's 1948 Industrial Manual. .. In Dec., 1949 company fold 48% Interest in t. Klnetlo Chemicals, Inc. to E. L dtt Pont de Nemours Sc Co., to r 39,713,667. . O n A ug. 31. 1953 so ld I n te r e s t In H e rtz D rivurseu com panies. Including S terrett Op erating Service, to O m nibus Corp. O n S e p t. 30, 1953 a c q u ir e d E u c lid R o a d M achinery Co. w hich becam e th e E uclid D ivi sio n . C o m p a n y is s u e d 305,137 c o m m o n s h a re s to E uclid shareholders. , I n O ct., 1956 c o m p a n y so ld lta o n e - th ir d In terest in In ternational Freighting Corp. to E. I d u P o n t de N em ours Co. I n N ov. 1962 sold Its 50% in t e r e s t In E th y l Corp. to A lbem arle P ap er Co. (now E thyl C o rp .). . ,,, I n m id 1971, fo rm e d a n e w su b s id ia ry G en eral M otors O verseas F in a n c e N.V. I n S ept. 1971, C o m p an y a c q u ir e d a 34.2% In terest in Isuzu M otors Ltd., a Japanese truck and auto m anufacturer. I n la te 1971. a c q u ire d b u s in e s s a n d fa c ili ties of C apital M otors A ssem bly Corp.. M a laysia. C apital M otors, nam e changed to G eneral M otors M alaysia S endlrian B erhad, h a s a n a sse m b ly c a p a c ity o f a b o u t 2,000 v e h ic le s a n n u a lly a n d em p lo y s a b o u t 180 persons. Com pany w ill continue assem bly be g u n In 1968 of v e h ic le s im p o rte d fro m W est G erm an m anufacturing subsidiary, Adam O pel A.G. _ I n N ov. 1971, GM Z a ire S.A .R .L. w a s es tablished a t K inshasa Z aire to assem ble pas senger cars and com m ercial vehicles. Plans call for construction of an assem bly plant c o v e rin g a n a r e a o f 128,000 sq. ft. w ith a n a n n u a l c a p a c ity of 4,000 v e h ic le s o n o n e -s h ift o p e ra tio n a n d 8,000 v e h ic le s on a tw o -sh ift basis. P ro d u ctio n is exp ected to begin w ithin approxim ately tw o years. O n D ec. 31. 1971, m e rg e d GM S h a re s In c. I n 1972 a c q u ire d a 49% in t e r e s t in B a n g - chan G en eral A ssem bly Co. L td., B angkok, T hailand. B angchan assem bles vehicles for distribution by w holly-ow ned subsidiary, G eneral M otors T hailand Ltd. ANTI-TRU8T 8UIT8 Du P o n t C aso: O n J u n e 30, 1949, U. S. G o v ernm ent instituted In th e U. S. D istrict Court at Chicago, a civil su it ag ain st corporation, E. I. d u P o n t d e N em o u rs & Co., U. S. R ubber Co. a n d o th ers ch arg in g th em w ith violations of th e an ti-tru st laws. ___ A fter protracted litigation, a divestiture order w as entered w hich becam e effective M ay i: 1962. F o r d e ta ils o f o r d e r, s e e u n d e r E. I. d u P o n t de N em ours & Co. (see gen eral Index). B us C asa: O n J u ly 8. 1956 t h e U? S. G o v e rn m ent instituted a civil an titru st suit In the F ed eral D istrict C ourt a t D etroit, Mich.. charging corporation w ith m onopolizing m anufacture and sale of transit and Inter city buses. _ ... _ t o 1965, J u s tic e D e p t, a n d Co. f ile d a con sent decree In F ederal C ourt a t D etroit w h ic h b e c a m e e ffe c tiv e D ec. 31, 1965, th u s settling case. x .... T he decree seek to prom ote com petition by req u irin g GM to sell Its buses to all cus tom ers w ithout discrim ination; m ake avail able fo r sale to o th e r bus m ak ers all of Its engines, transm issions, and bus parts; open its fin an cin g facilities to bus b u y ers even If those buyers use GM financing to buy com p e tito rs'b u ses; and p erm it other bus .m akers to u s e a ll o f G M 's b u s p a te n ts o w n e d a t the tim e the decree was entered and w ithout paym ent of royalties. T h e d e c r e e w ill b e to e f fe c t f o r 25 y e a r s from date of signing, except for a reopener provision and requirem ent th at GM furnish bus p arts oth er th an engines, w hich ru n th r o u g h 1975. ___ __ , T he p aten t clause requires GM to m ake available to com petitors all new bus patents i t d e v e lo p s o v e r n e x t 10 y e a r s ; f o r 1st 5 of th o s e 10 y e a rs , p a te n ts m u s t b e o ffe re d f r e e of royalty. ... _ . D ecree preserves fo r th e Ju stice D ept, right to reopen case and seek divestiture o f p a r t o f G M 's b u s o p e ra tio n s ``a t su c h tim e as m arket conditions m ake divestiture m ore econom ically feasible than it w ould he in present very lim ited bus m ark et" subject to ground rules In the decree. The reopen er clause w ill becom e effective 3 years after F ederal Judge form ally signed th e de- cree on Dec. 3>1>, -1965 and w ill extend for 7 y e a n , or through 1975. E uclid C ase: O n O ct. 16. 1959, t h e U. S. G o v ernm ent com m enced a civil an titru st suit in the U. S. D istrict C ourt, N ew Y ork charging th at acquisition of stock of E uclid Road M a c h in e r y Co. In 1953 w a s a n u n la w f u l a c q u is i tion. O n A ug. 2. 1967, G M a n n o u n c e d t h a t a n agreem ent In principle on consent decree settlem ent term s had been w orked out w ith the Justice D ept, and th at It w as now re opening negotiations for proposed sale of certain assets. A form al purchase and sale agreem ent w as signed effective as of Jan. 31, 1968 w ith W h ite M o to r C orp. a n d th e t r a n s f e r to o k p la c e J u l y 1, 1968. GM sold tw o E uclid, Ohio, p lan ts and certain equipm ent and assets w hich have been used in th e m anufacture of off-highw ay dum p trucks. GM retain ed th e H udson, Ohio plant, in w hich it continues to m anufacture craw lers, front-end loaders and scrapers. GM also has agreed not to m an u factu re o r sell fo r d eliv ery in th e U. S., off-highw ay dum p trucks for a period of four years e n d in g in th e m id d le o f 1972. I t is G M 's intention, how ever, to continue research, en gineering and experim ental w ork in this field w ith a view to offering new advanced and im proved products. W hite M otor Corp. has agreed Initially to franchise off-highw ay dum p tru ck s to Euclid Div. d ealers in th e U. S. T h ro u g h Its sub sidiaries in C anada and Scotland, GM w ill continue to m anufacture and sell rear dum p trucks and o th er products In C anada and overseas. W hite w ill also be licensed un d er GM patents to produce those m odels of tw oaxle scrapers w hich are being produced by E uclid Div. O n J u l y 18, 1968 Co. a n n o u n c e d t h a t th e E uclid division w as renam ed th e E arthm oving E quipm ent division. R enam ing the division follow ed en try of consent judgm ent o n J u ly 1, 1968, w h ic h r e q u ir e d Co. to se ll to W hite M otor Corp. th e nam e "E uclid" and certain equipm ent and assets used in m an ufacture of off-highw ay dum p trucks. W hite M otor has announced it plans to operate, these facilities as a w holly ow ned subsidiary, E uclid, Inc. A ssets w ere sold to W hite M otor C o rp . f o r $19,964,985 ca sh . E ffe c tiv e J u ly 1, 1970, E a rth m o v in g E q u ip m e n t d iv isio n w as renam ed TEREX D ivision, w hich coincides w ith tr a d e n a m e f o r a n u m b e r o f D iv isio n 's products. T he sam e general ground rules in the d ecree fo r co n test b etw een G ovt, an d GM If G ovt, should a t som e later d ate decide to try to force GM to divest p art of Its bus m aking operation. If the bus m arket expands "substantially'' during stated tim e period--after 3 years but w ithin n ext OO--end no substantial additional oompetititon baa entered the business, or if a major competitor in field disappears and lm n o t replaced, Govt, could then seek a court order requiring GM to sell, at a fair price, any separate bus-making plant tt owns. If GM ban only one bus-manufacturing plant at the tim e, court could order It to build a new plant end sell it. GM could oppose such a divestiture m ove In court, according to decree, only on ground that after such new entry .either new pur chaser or any present bus manufacturer could not operate as viable com petition, or that GM no longer had largest share of bus m arket. If GM did sell a bus-manufacturing plant. In effect creating a competitor. It could still be required to r such tim e as the court deems appropriate to abide by a ll o th e r pro visions of decree except for building or selling another plant. Locom o tiv e C atoi In Apr., 1961, Federal grand jury In New York returned an Indict ment against company charging monopoliza tion of production and sale of diesel railroad locom otives to violation of Section 2 of Sher man Act. In 1964 Justice Dept, dropped Its 1961 crim inal anti-trust suit against company dua to lack of evidence that company had ac-  l s i -f .e - e , , , : ; , ' - 1- ' : c o . N e w B a n k & T r c r I 1' - n e -r'-Wl I I I : D JpJO M IN A T lO V ' ,H 'e a * o . n a tio n a l cachnhndamnig*me.paKbroIlev ee-dnvitrri:iiKdJlii.icpp)i,ee-n*f ut,hl >e-r eroegf r ' i ' V , Si li .0u000' C . \ U . , \ a i ,E . 1" 1 ch!>r** o f s5 o ? * H i n t e r tim e on i vvhole n - r c*e e n t u r e 31. M c f a s - ^ 5': riays- n u c e 1972 H f-o so 1978 TH1 ne ' 3 - 1W.80 -96-- 7* { g i-'-' J * " ? J!:;:? -? any to eh J u l~y u - i i - - - J 01 65 S, *yt) ^ J e - v v.^ , : R i G H T s J" ? i i ) t S's m f i c a m - " " s .'- .? , shares; T E S * * ,. " U ' u S i R m & w i W H o w e C e r .'n o t 32??*,-r 0 00 to AUfge 1 , M - , TM T b e ^ i a M O D I F T C A T S N i & ? > .n .? _ 1. ,1-.967 >ng fo n d i w w h " , l k e n o t ic e a t *00 ? " 4 60% jc.Co'nf~s!Ae nTt o f wfivfi?3-<rno O r eHxnckep._t a s hD-*~ -- . 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