Document VJ9LK9v503OKVOp1oKGz3b9yw

FILE NAME: Philip Carey (PC) DATE: 1947 DOC#: PC059 DOCUMENT DESCRIPTION: Entry in Moody's Industrial Manual MOODY'S MANUAL OF INVESTMENTS AMERICAN AND FOREIGN INDUSTRIAL SECURITIES JOHN SHERMAN PORTER, Editor-in-Chief Editorial Board Frank J. St . Clair Arthur W. Herrmann C. W esley Lee George I. Blair D avid M. Ellinwood Max Brupbacher 1947 COPYRIGHT, 1947, BY M oody's I nvestors S ervice, N ew Y ork ALL BIGHTS RESERVED MOODY'S INVESTORS SERVICE 6 5 BROADWAY, NEW Y OR K 6, N. Y. P H IL A D E L PH IA BOSTON CHICAGO LOS ANGELES PITTSBURGH SAN FRANCISCO Stock Exchange Bldg. 75 Federal S t 105 W. Adams St. Hollingsworth Bldg. Union Trust Bldg. Russ Bldg. LONDON: MOODY'S INVESTORS SERVICE, LTD. ggr'i i I 1-W6 MOODY'S MANUAL OF INF ASTM EN VS negotiated excessive profits and prior years' income taxes `T ! U 6: Includes renegoM iticn refund for 1943, 1944 and 1945 (Including 9877,348 profits tax credits), $383 369; additional p rior years' incom e taxes, $304,387; p rio r years Interest, $58,863; total, $07,118. general (a) Since Ja n u a ry 1, 1924 it has been th e ac counting oolicy oi the corporation to capital ize development costs (so-called intangible iril'lng co-ti) of nil and r~ ftiz* -,uch "mra ,n i vj the num ber of barrels of recoverable tad re covered oil. For tax purposes, these co^ts are claimed as deductions from taxable income in year in which incurred. to) Total taxes onid: K4G, $:0,31S.r:t 1945, $14,035,634; 1944, $12,018,247; 1913, $13 '-72.930; .1942, $13,794.472: 1941, 812,467,601. Of these Amounts, the following represent taxes on sale of products; 1946, $12,669,103; 1045, $10,1:9.315; ' ml \7 - v M'M. ' " `l i : 1 1 .1 ! ,~ ,ll O aring 1646 settlem ent of income tax? m-i<3 i-hro'mh 1742 resulted in dv'cirmo m eat of 54' 1.:09 In 1041 company - v f .rcom e f - \ `s f'm 'N2Z rhrm tfh .fM an a , ottled for 2009 Jirough lo.>5 resulting in refunds to :omnany. 3617,781. ( c . ) In 1918 renegotiation p concluded for 10.13 1944 and 10 45, re 'u !\ n et refund of SC'a.SCS. Record of Earnings, years ended Dee. Cost and Year N et Sales Expenses 1935.............. $34,277.667 $31,938,774 1933.............. 40,357,937 34,814.605 1937 __ 41,975,771 36,483,881 1938 ................ 38,413.24937,140,800 . 1939 ---- 38,253,786 35,802,698 32: O perating Profit $2,338,893 5,543,332 5.491,890 1,272,449 2,456,088 Oth. Ine. & Ded. (Net) $368,058 d 442,261 498,036 d 149.767 302.695 Inc. Bef. Taxes $2,708,951 5.101,071 5,989,926 1,122 682 2,758,783 Income Taxes $2"3.778 323.493 6*5,049 77.890 103 281 Net Income $2,417,175 4,777.578 5,304,877 1,043.792 2,650.502 Common Dividends $737,243 2,129,111 2,788,198 1,119,855 1,119,071 Com, Shs. 1m Outstand. Co 1.837.912 5' 1.857.912 1.857.912 1.857.912 1.857.912 BALANCE SHEETS COMPARATIVE CONSOLIDATED BALANCE SHEET, AS OF DEC. 31 ASSETS 1946 1945 1944 1943 1942 SJReflned and c ru d e p ro d u c ts__________ $11,204.810 $9,527.136 $9.243,426 $8,653,717 $9,204.319 ^ M ate ria ls and suopliea____________ 2,538.803 1,876,714 1,831,979 2,888,716 2,897.766 Notes a n d accts. receiv. (n e t)_______ 5.122.457 3,671.388 4.448.170 4,528.736 4,127.574 C a s h ..............- ................................. ................ 23.938,161 18,779.149 21.315.837 20.266.677 15,652,081 U . S. T reasu ry obligations (cost)___ 6.984.000 9.032.309 6,911,000 5,230,463 5,151,463 1941 $9,877.451 2.237.006 3,222.961 10.400,908 4.451,063 ' V`.A tt.TV i 1 ,2 ` rt , 27 . 6r? 3.252 Total current a s s e ts - ..,_______ _ Oil res., undevel. lshlds. & intangibles Less: D epredation & depletion res.-- 49,788,236 60,720,050 36.688,575 $42.886.695 57,920.483 34,400,792 $43.750,412 53,083,950 33,262,463 $41.568.309 51,327.462 32,450,359 $37.033.202 50,020,240 31,833.446 $30.189.389 49.871.221 30,596.117 $25,0^2 k- | 50.4M 30.io: ? N e t oil reserves, etc. __________ Refineries, building, equipment, etc.. Less: D epreciation re se rv e _____ . . . . . N et refineries, etc. ___ . . . . ____ -- In v e stm e n ts ( c o s t ) ------------------------------. . . . D e fe rred d e b it i t e m s . . . --------------------------- T o t a l _________________________ LIABILITIES A ccounts p a y a b l e ___ _______ . . . . . . . . . . A c c ru e d t a x e s ------- --- -------------------------------D ividends p a y a b le ..__ ____ Total current lia b ilitie s _____________ C om m on sto ck ( p a r $10) A-------------------------R es. fo r contingencies, e t c . . . . . . . ______ M inority interest -- -- -- OQCapital s u r p l u s _______ . . . . . . . . . . . -- S u rp lu s from o p e r a t i o n s . . . . . . . . . . -------- 24.031.474 48.956.108 28,823.631 20.132,477 590.067 275,859 $94,818.114 $6,809.344 5,967.931 464,303 13,241.579 18,579.120 1,408.485 10.400 15,372.858 46.205.672 $23.519.691 46,560.324 28.484.923 18,075.401 654.471 120.289 $85.256.547 5,274,487 2,782.557 $8.057,044 18,579.120 2.028,208 10.400 16,218,937 40.362.839 $19.821,487 45.250,066 27,869.660 17,380,407 1,066,390 183.674 $82,202,369 $4.648,385 3,281,951 $7,930.336 18.579,120 1,340.660 10.400 17,065.015 37,276,838 $18.877,103 46.780,286 29.206,616 17.573,670 1,229,054 249,840 $79,497,976 $4.314,350 4,524,338 S8.838.688 18,579.120 1,485.634 11,185 17,911,094 32.672,256 18,136,794 46,177,333 28,871,050 17,306,283 1,127,394 233,433 *73,837,107 $2,872.818 3.557,076 $6,429.894 18,579,120 1,351.514 11,185 18.757,173 28.708.222 19.275.104 44.927,364 28,167.304 16,760.060 3.272.578 319.729 S69.816.860 *3.358.608, 1.720.131 $5.078.739 18.579.120 1.254.502 11.185 19,603.251 25.290.063 20.? 13 44 5^2 27.7? 1 rr? 16.730 c f 3.25 'M 459 C.f $65.992,4S $2,802.611 650.421 ** $3.453 18,579 123 1,156 5f4 76 <4 20.448 22,179 46T T o tal _________________________ $94,818,114 $85.256.547 $82.202,369 679,497.976 $73.837,107 $69.816 860 $65.892 *41 N et c u rre n t assets . . . . . . . -----. . . . . . . . $36.546.657 $34.829.654 $35.820.076 $32,729.621 $30.603,30$ $25.110.650 21,549 5* E A fte r surplus adjustm en ts,'In cluding deb m ark et); other in v en to ries a t average cost, (b) Capital assets include intangibles: 19U. itin g am ortization of intangibles: 1946-42, n ot in excess of narket. none; 1945, S846.079; 1944, $1,692,157; 1943, $846 079; 1941-39, $846,019. ft rat Notes 538,236; 1942. $3,384,314. ERefined products at fixed costs (lower than Notes: (a) Accounts certified by Haskins & Sells. STATISTICAL RECORD 1946 1945 1944 194$ 1942 1941 1946 E arned p e r share--com m on ... $5.43 $4.34 $3.74 $3.53 23.29 $2.62 m so D ividends p e r share--common $2.00 $1.75 $1.40 $1.40 $1.40 $1.15 tO 98 P rice range--common ____.... 45%-31 ft 3645% 28ft-23ft 8009-1849 1949-12)9 17T9-13 17*9-U 4 N et tangible assets per share , $43.14 $40.45 $39.25 $37.28 $35.55 $34 16 mu N um ber of s h a r e s ___ ____ . . . . 1,857,912 1.857,912 1,857,912 1.857,912 1.857,912 1,857,912 1.851 911 CAPITAL STOCK I. Mid-Continent Petroleum Corp. capital stock: par $16: AUTHORIZED--3,000,000 shares: Issued and outstanding 1,857,912 shares; p a r $10 (changed from p a r $5 to no p a r Feb. 14. 1920, 1 no p ar share issued fo r each five $5 shares: changed from no p a r to p a r $10 May 2, 1934, share for share) Dividend Record (In 9) (P a r $5 shares) 1917__ 0.30 0)1918__ 0.12ft 001919__ 0.80 3)1920- 0.12ft (No p ar shares) 1920__ 1.87ft 19t2i-- 2`.5"0 1922__ 2.87ft 1923__ 2.00 1924-26 nil 1927__ 1.30 1928__ n il 1929-30 2.00 1931__ 0.50 1932-34 nil (P ar $10 shares) 1934-- 0.50 1935__ 0.40 1936__ 1.15 1937--- 1.50 1938-39 0.60 1940__ 0.50 1941__ 1.15 1942-44 1.40 1945__ 1.75 1946-- 2.00 E11947- 1.25 m pius 12ft% stock. SIPlus 2ft% stock. JlJTo Ju n e 2. Dividends in recent years payable semi annually J&D 1 to stock of record about M&N PREEMPTIVE RIGHTS--Certificate of In corporation contains no provision with re spect to preemptive rights. LISTED--N ew Y ork Stock Exchange. TRANSFER AGENTS--Chem ical Bank A T ru st Co.. N ew York, and E quitable Trust C ol, B altim ore. REGISTRARS--Chase N ational Bank. New York, and E quitable Securities Co., Baltimore. PRICE RANGE-- 1046 1945 1944 Stock............. 45% -3lft 36-25ft 28*9-23ft Subscription Rights: P referred and commoe stockholders of record Jan. 10,1929. had debt to Jan. 30.1939, Incl., to purchase 447,912 shares additional common a t 131 p e r share on b u is of 4 shares fo r each 10 shares of preferred held and 3 shares for each 10 shares of commoo held THE CELOTEX CORPORATION CAPITAL STRUCTURE Times FUNDED DEBT Amount Charges Earned Interest Call Price Range Issue Rating Outstanding 1946 1945 Dates Price 1946 1932-46 1. 3 ft % d ebentures, 1960 -- ------ -------- Baa $4.832,000 41.63 10.25 F&A 1 01104 105ft-101ft Tl051Sr-10l, b CAPITA!. STOCK Par Amount Earned p er Sh. (SDlvs. p e r Sh. Call Price Range Issue Value O utstanding 1946 1943 1946 1945 P rice 1946 1932-4 1. 5% cum . p r e f e r r e d --------- --- . . . . . $20 256,862 shs. $14.89 $2.36 81.00 $1.00 20 23 -20 *123 -16ft 2. Common . . . . . . . . -----. . . . . . . . . . . . -- No p a r 855.472 shs. 4.17 0.57 1.00 0.50 38ft-22ft f?38ft- 5 E__F_i_s_c_a_l_y_e_a_r_s. _Range slncel9_3_8. a fte r. 100% s_t_o_c_k d. ividend. B efore 100% stock dividend, 1935-38 ra n g e 48ft-12ft. EJTo Ju ly 31,194$. Incl.; th e re a fte r a t 103ft to J u ly 31,1949, incl. w hen price again changes. Call fo r sinking fu n d a t 104 to Ju ly 31. 1948, incl.: see t e x t (DRange since 1945. (DRange sin ce 1943 fo r $2Q p a r shares. R ange fo r $100 p a r sh ares from 1935 an d to th e 5-for-l sp lit in 1943, 93-46. HISTORY Inco rp o rated In D elaw are Ju n e 29. 1935, as successor in reorganization to th e Celotex CO. (Del.). L atter company was incorporated In D elaw are in 1920 as **Louislana C elotex Co." On J u n e 16, 1932, th e la tte r com pany was ?laced in receivership. On Feb. 8, 1935, tru s ses w ere appointed u n d e r Section 77-B of the U. S. B ankruptcy Act. A reorganization plan was subm itted u n d er d ate of May 1,1934* (sub seq u en tly m odified), and on Nov. 1, 1935, th e business and assets of the predecessor com pany were transferred to the present com pany. Details of reorganization appear in M oody's 1935 In d u strial M anual. In 1937, organized E nglish Company, Celotex, Ltd. In 1937 acquired a n in te re st in A m erican G ypsum Co., P o rt C linton. Ohio, an d in 1939 c oImnp l1_e9_t3e7d-38a c qauc qi sui tiiroend of company. Gulf Gypsum Co. of Houston dated Tex.; in J u n e 1943 la tte r w as liq u i- to 1938 co n stru cted a* p la n t a t London. England. In 1939, acquired th e P ottsco Corp. (HI.), name subsequently changed to Expanded Products Corp., ow ner of a patent covering concrete. In 1941, liquidated English subsidiary hold% company. Tevcel, Ltd. loenlx Securities Corp., form er holder of approxim ately 27% of com pany's common stock, distributed practically all such stock to its own stockholders on Nov. 24. 1941. In Mar.. 1945. acquired properties and busi ness of T exas Cem ent P la ste r Co. located at Plae.tercA and Longworth. Tex.; m anufacturers of full line of gypsum plaster and board products. On Aug. 30, 1946. acquired 83 1/3% In terest In El Rey P roducts Co. Acquired properties in Ohio of W eaver-Hall Co. in Aug., 1946. SUBSIDIARIES This is principally an operating company. At Oct. 31, 1945,100% of th e voting pow er w as owned in the following companies: Name, place of incorporation and business: American Gypsum Co., Ohio, Inactive. A t Oct. 31, 1946, owned less than 100% of voting power in following company, E l R ey P roducts Co., California owns and operates a roofing plant and felt mill at Los Angeles (83 1/3%). Celotex, Ltd., England, manufactures sad sells Celotex products in British Empire (80%) CD. CDA rticles of Association of Celotex, Ltd. provide th a t unless and until num ber shall be changed as provided th e ie ln , num ber of di rectors shall not be less than 2 nor more than 5. H olders of first preference shares are en titled to appoint 1 such director. By virtue of its ow nership of 100% of deferred sharia. Celotex Corp. fs entitled to elect remaining directors. A t Oct. 31, 1945 th ere were 5 direc tors. N ote: At Oct. 31, 1948, company owned 205.328 common shares of South Coast Corp. (#* general index) constituting approximately 48% of voting pow er of a ll outstanding stock of that company. Moody's m a n u a l of investments 1487 3>N3S A PRODUCTS e >o fT,r 'a ,'v n 'a a u f jc times bulIrtiT'g a n d tn -.ting p ro d u c ts, c o n sistin g fo r th e m o st : products m arketed under the trade '-# HC<?!nh_`x** T hee p ro d u c ts a r e mnmi* .'.r^d n rm c ip a llv fro m fci^aiv'e, th e "I b e r ain in g a f te r th e io 'ce h a s b e e n e x tr a c te d .1 su g a r can e a n d a re u~ed am o n g o th e r gs. for e x te r io r he.afchirg, p la s te r b ase, rto r and in te r io r finish. fo r in<njiatlr*g s. a r d as in s u la tio n in th e n v in u fa c tu re of seho'd re frig e ra to rs , ra ilw a y r e f r ig e r a to r . cold rto^qge plan ts and oth er produc+s. 'e co m p an y also m a n u fa c tu re s an d .ells iucts for correction of acoustical condis in office buildings, auditorium s, th eaters, dcastirg studios' and other places in 2h aco u stical tr e a tm e n t is d e sire d , in e lu d products m arketed under the trad e nam es ousti-C elctex" and "MufFVtone " i t com pany also is engaged in th e handling sale of other types of insulating and buildm aterial products, including loose and forrr.3 of ro ck wool, roofing p ro d u cts, srvp- plaster, lath and w allboards, and also ous Item s used as accessories In th e apatlon of products sold. ne c o m p a n y o p e ra te s u n d e r p a te n ts a n d mt rights both of the U nited States and ign c o u n trie s , c o v e rin g v a rio u s p ro d u c ts , 3*e^ses a n d m achines.. In c lu d in g a s e rie seo f ? n c , i i X !bTM 4 h Si 1^ ^ TM tIonseti rdlacmmacgnea Kbty. /dirnyr ir>oAtt, ffiuinncgrfi, ftaerrmmItintec*s a n d if sim ilar h o a rd s. arkets for Celotex produc+s include gen building. to w hich are sold various prodtin both the residential and non-residential in urban districts, and for farm hom es Other farm buildings in the ru ra l d istricts: acoustical marfcet, w hich em brace, a larg e yrtasucshchoaosl*offcicheusr,c hree ss ta u r a n tsw, hienrdeu sittr ia1l ?*hle to a rre st n o i s e S d to co rrect aco u s ! ddi?fftficicuuitUieise.7 ^a nn dd tthh ee itna dd uu ss tMriaalr fflleeltdd. ww nh ee rr ee &tex o ro d u c ts a r e w id e ly u s e d in th e Ulfacture of various tynes of re frig e ratin g foment, in incubators, a ir ducts, radio sets, insulating brick sidings, etc. Hotex aiso sells p ro d u cts m ade b y o th e r iufacturers. such as h ard boards, w hich cut. i-u l h a n u 'd lik e lu m b e r i m d e by U t'-onltc O ^ro > and are ued for p aneling of ail sorts, for decoration, halving, etc. C c lo c re te 'm a d e b y v a rio u s feel e o r r n a r 'es). a lig h t w eig h t c o n c re te a g g re g a te . ts m an e of exprjn'-'cd n b la - t fu rn a c e *visb. nnd Is used v .th P ortland cem ent to m anufacture p re c a st co n crefe. The Celotex Corp m aintains o ffic e through out the w ^rld nnd has brnnch offices in H cities located in various p arts of the U nited sj-tnti In clu d in g Paciflc Cnact PRINCIPAL PLANTS * PR O PER TIES The m ain m anufacturing plant U located at M arrero, in Jefferson Parish. La , close to the Citv of New Orleans. It com prises approxi m a te ly 143 acrs of lan d , u p o n w h ich a re 24 principal buildings The com pany obtains bagasse, the principal raw m aterial, from a num ber of sugar mills in Louisiana. A plant at M etuchen, N J.. Is located on a p p r o x im a tely 12 acres o f la n d , and co n ta in s a b o u t 210.000 s a u a re fe e t o f flo o r space, an d Is used fo r th e m a n u fa c tu re of asbestos cem ent board products, insulating siding and asphalt im pregnated and coated products, A p lan t at P o rt Clinton, Ohio and a p lan t n ear Ham lin, Tex. are used in m anufacture of gypsum products fAl ppilda*,,'tl nllCecallr LL aamg ru0.. I*nnud.. da nnud aa ou liaa mn t iiini Dj-fec.- tro ll. Mich., a rs used fo r production of rock wool insulation products. P la n t of El K ey P ro d u cts Co., a su b sid iary . is located at Los A ngeles fo r m a n u factu re of roofing m aterials. Cleveland, and A very, O. a n d M adison, 111. ea? 2 |natt s t o n i h r i d e V M V ^ d o n * B u h d ln e s md eclmu daiinn gg oofrfiiiec?ea bDuuiuladtinngg, ' Metc., n a vn e ai Sco m ?,,in d ? o o r aJ f a f a p p ro x im a te ly 141.000 sq. rf at wEclmuial?temr?ianl,t alnncdJ uf.dae.bsrifca(a'|tinitgle5e qf urippmreepnatrifnogr preparing finished board. MANAGEMENT O fficer! B ror DahTber*. P resident Carl G. M uench, V ice-Pres. & Chief Eng. O S .siam eli, V ic e -P rr" id ^ n t H W. C oT i-s V tce-P r^M '*nt C L. C hr'^ten-en, V ice-P-esIdect H. O P ^ H b rc o k . V*ce- P re sid e n t F, A. T rvire A^st. W e -P re sid e r t A. J. S ch im p f, rcaur'*r C W. J^ h n s , S e c re ta ry W. D. B ecker, Asst. S ecretary R. H. Thom pson. Jr., A^st. S ecretary H. W. Conway, Asst. S ecretary J. M. F rw kson. Asst. T rea su re r A. F. O Pfeiffer, Asst. T reasu rer J. W. F ranklin, P urchasing Agent G ates Ferguson. A dvertising M anager G. C. S n v d e r. E x p o rt M an ag er M arvin Greenwood, Sales M anager D irectors C. L. C h risten en . C hicago W W Colnitt^. N ew York B ror D ahlberg, Chicago A. J. D nlM ream . Chicago P H. Davis. Chicago P arrish Fuller. O akdale, La. E B W ilber. New York John Irw in. Chicago O. S M ansell. Chicago Carl O M uench. Chicago A. C. Sim m onds, Jr., N ew Y ork C enerai Counsel: Pam . H urd & Reichm ann. C h icag o . Annual M eeting: T hird Tuesday in Eebruary. N u m b e r of S to c k h o ld e rs: O ct. 31, 1916,12,300. N u m b e r of E m p lo y ees: D ec. 31,1945, 3.600 (of w h ic h 2,050 a r e em p lo y e d in th e p la n t a t M arrero, La.). G e n e ra l O ffice: 120 So. L a S a lle S t, C hicago jll. M a? a s e m e n l C o m p e n sa tio n P la n : ITor fiscal dy aetaerdb onneut sepaaryn min ge ns ts(aasredbeafisneedd)oninth eexccoensssoloi-f S750 ooo a n d a r e lim ite d in case of (i) B ro r Mn a0h labnedr g(tHo $c5e0r.0t0a0in. (oiltlh Ce r. Gem. Mp luoeynecehs ttoo $3148%.of c o m b in ed a n n u a l c o m p e n sa tio n r a te o f*su ch em ployees, such am o u n t to be distributed in accordance w ith th eir respective salaries w ith such m odifications as are designated by the president. $M E ACCOUNTS C O M PA R A TIV E C O N SO LID A TED INCOM E ACCOUNT. Y EA R S EN D ED OCT. 31 1946 1945 1944 1943 1942 a l e - ..................................................... $33,090,464 $22.185.651 $20.693.859 $22 598.269 $23.510.364 of - 1e* a n d ex p en se ............ .. 25,425.359 20,041.957 19,099.196 20,017.438 19,110.688 ' ec.. !epletion & am o rtizatio n -- 557.250 770,782 616,481 12,724 534.526 1941 $19.977.155 16.361.701 447.498 1940 $13.817.501 12,360.204 443.692 >erating profit . M in c o m e -------- T. 7,107 856 459,661 1,372.912 244,357 978.182 194,410 1,968.107 166.73 3.865.150 115.787 3,167.957 158.853 1,008.605 151,496 tb ta l i n e o m e ___________ ----------te s t on fu n d e d d e b t _____ ___ ____ a t i n t e r e s t .................. ..................... --. ^'discount a n d e x p e n s e ________ ^expense w r itte n o f f __________ d e d u c tio n s _______________ * incom e t a x e s _______________ profits t a x -------------------- : ------Uwar c re d it--e x c e s s p ro fits t a x __ ^ r e tire m e n t c r e d i t _____________ Inc. taxes & conting. ta x re s-- 7,567,517 160,225 8,135 10,139 100.524 2,476,186 952,300 35,682 1,617.269 114,459 13,580 304.296 4 CO 920 157,220 21,268 1,172.592 111.391 3.394 15,057 176.299 320.500 6.200 SIcr 48,120 25,604 2,134.846 135.072 18.485 37.664 225 254 49 627 367 363 834.077 e r 20 588 e r 63 40n 21.092 3.980.937 143 543 8.890 51.232 37 36 349 289 1.972.100 c r 30,000 124.547 3,326.810 151.615 3.172 51.232 123.903 604 823 473.000 169.967 l,l6.10t 162.654 25.120 .232 64.169 69400 rnrnmmm It p r o f i t _____ _ ed d iv id e n d s m dividends . $3,824.324 256 862 830,513 605 525 170,752 377,772 562.276 156 863 377.759 530.199 148.863 325.293 311,123.967 147.112 471.901 1.749.09 145 363 706.138 . 747.823 145,363 ^S urplus fo r y e a r ----- ------------------ $2.736,949 $57.000 1 $27.654 $56.043 $504.954 $897,598 $602.265 ills includes am ortization on accelerated ($268.910 a f te r d e d u c tin g $150,486 a p - wle taxes). (845: B efore d e b itin g $120.321 c o sts a n d e x - relativ e to s a le o f 100.000 a d d itio n a l red shares. it! Before c re d itin g $85.596 n e t a d iu s tm e n t fptfsion fo r depreciation for p rio r y ears * n d $56,786 re s to ra tio n o f p ro v isio n m a d e a t O ct 31. 1938 f o r p a y m e n t of firs t p re fe re n c e dividends of Celotex, Ltd. RiAfter renegotiation refu n d subject to final a p p ro v a l n e t o ro fit wa $931,187. ^ I n c lu d e s $47.500 c re d it d u e to c a r r y b a c k to prior year of unused excess profits credit of current year. e x n e n se on d e b e n tu re 3s,is re d e e m e d d u rin g 1945: In c lu d e s $175.226 w rite -o ff of re d e m p tion prem ium and unam ortized discount ana year. G eneral Notes A bove rep o rt excludes Celotex, Ltd. N et p ro fit of t h a t c o m p a n y f o r y e a rs e n d e d O ct. 31: 1946, $7,906: 1945, $59,343; 1944, $55,628; 1943, $44,103; 1942, $42,774. M ecrtf of E arnings, y e a rs en d ed OcL 31: Cost and O perating N et Sales Expenses P ro fit $7,589.955 $6.724.665 $865.290 10.574,242 9,280,992 1,293.250 9,126,489 8.471,885 654.604 12,317,936 11,242,829 1,075,107 __ . O th. Inc. 8t Ded. (Net) ' d $99,856 37.203 126.246 d 254,351 T _, Inc. Bef. Taxes $765,434 1,330,453 528.358 820,756 , Incom e Taxes $29.419 63.700 10.000 79,000 N et Incom e $736,015 1,266.753 518.358 741,756 Common D ividends $322,422 312,429 Com. Shs. O utstand. 268.685 268.685 312,429 629,960 Earn. P er Com. Sh. $2.20 4.17 1.19 0.95 ICE S H E E T S C O M PA R A T IV E CO N SO LID A TED B A LA N C E SH EET. AS O P OCT. 31 IETS: 1946 1945 1944 1943 1942 $2.453.820 $1,853.639 $2.256.657 $2,863.085 $1.190,786 re rn m e n t s e c u r itie s --___ -- 4.550,951 6,025.651 850.000 150.000 and accounts receivable, net- 3.609,718 2,305.393 2477,526 2,669.788 3479437 ta x r e f u n d c la im s . . . . ______ 266.730 * f o rte s _______________________ 3,546,482 2,305,964 2.221,552 2,133.070 2,583474 1941 ,142,711 , 3,154.463 2.037.791 1940 ,059,958 3445,147 1480,51 currant assets ig p r o p e r t i e s ____ ____ _ d ep letio n & a m o r t i s a t i o n __ o p eratin g p r o p e r t y __ ______ `ra tin g p r o p e r ty ( n e t ) _______ rid r i g h t * _____________ ____ Coast C orp. in v e s tm e n t_____ len t In C elo tex , L td . . . . _-- lent in E l R e y P r o d . C o ...___ C ertain-teed P rod. Corp. . ta x r e f u n d ____ --_____ I t s e t s .................. ......... ........... .. }. d e b t d is c o u n t & e x p e n s e ch arg es _____________ . . . . $14,160,971 19.130.942 8.591,957 10,538.985 1 438.541 711 0 7 2,181,790 6355.130 220,143 92,204 357,018 $12,757,376 13,183.159 8,094 104 5,089.054 120.197 1 438 341 718,913 195.106 102.671 207,579 37,605,735 11.570.263 7.317.421 4.252.842 177,523 1 438.541 726,086 1.137.540 83 753 345.669 107.769 148.678 S7.615.943 11.421.344 0.867,265 4*554.060 115.665 t 436.541 733,260 1.137,540 50 588 158.924 122.R27 126,820 $6.953.497 11.218 640 6.318.695 4.899.945 144,814 t 58.502 740,434 1.270 29 30.000 91.720 217.735 111.054 $6.334 964 10.876.443 6.080 646 4,795.797 252.933 1 1 747.617 1470.929 125 504 268.966 70 531 $4.665.621 10.696,168 6.031.317 4466.851* 376,203 1 760.101 1J70.929 " 122*637 320,198 139,087 1488 MOODY'S MANUAL OF 1NFESTMENTS BALANCE SH E E T S f c o n t'd ) LIABILITIES N otes cavahle ___ . __ _ __ .. .. A ccounts pay ab le _____________ A ccrued e x p e n s e s ______________. . . . A ccrued i n t e r e s t _________________ _ Due to Celotesr L td.. . . . . P ro v for mise, t a x e s ____________ . . . Sinking fund requirem ent Prov. fo r incom e t a x e s _______ __ 1946 $1,300,000 2,310.542 812.733 1 43.458 93.509 250.000 0830,898 1945 $1.359.294 593,155 40.802 73.781 175,000 2)257,810 1944 $986.057 458.639 35.987 94.301 0682.272 1943 $1.427.303 788.496 43,254 109,011 0821,277 1942 $1.497.242 641.4*7 40.3'W 173.9*19 0 574.576 1941 $1.488.031 702 652 40.078 12.316 102,565 0485,091 T0<* $206 : A 689 507 ; 44 x " 87.788 121 K 1 Total c u rre n t lia b ilitie s ____ ____ D ebentures _______. ___________ ....... Notes payable . . . . . . . _________ . . . . . . Liab under license a g re e m e n t______ P ay m en t ree. on stock sales ___ . . . . 5% p referred s to c k ..____________ . . . fflCommon stock _______________ ... P aid-in surplus . . . ________ ______ E arned s u r p l u s ______________. . . . . . . T o t a l.......................................................... ITReacqtiired rnmmnn stock N et e q u i t y __________________ ____ _ $5'.641.140 4.582.000 0X55,130 05,137,250 855,472 5.793.659 6,691,140 18.477,521 18,477,521 $2,499,842 4.825.000 3)5,137,250 755.472 2.457.684 3.954.191 12,304,597 12.304.597 $2.257.257 2.879,000 * 23,849 (S3,137,250 755,472 1.953,797 4,017,512 9,864.031 9,864.031 $3,189,341 3.000,000 36,941 02,977,250 696.933 1.363.845 3,989.857 9.027.885 9,027.885 $2.327.673 3.158.500 51.802 02,977,250 638.410 706.843 4.126.503 8.449.007 63.441 ' 8.380.656 $2,830.762 3,207,500 66,487 2,907.250 638.410 706.843 3,621.640 7.874.143 111.651 7,762,492 1.718 3.539 001 30 on 81 $,907 25.1 638 410 706 84.1 2,531 653 6,834 K3 n i.fi: 6,722 51. T otal _________________________ N et current assets . . . ___________ . . . . $28,755,790$8,519.831 $19.629.438 $10.257.534 $15.024.^38 $5,348,478 $15.254,168 $4.626.602 514.518.631 S4.025.824 $13,867.24? $3.504.202 $12,141 t'?5 $3/167 11 GJAt low er of cost o r m ark et: Haw m aterials (including, a t cost, $663,912 basic raw m aterials for which th e corporation is the only substan tia l m ark et). $2,019,896: goods in process, $280,743: finished ,goods, $248,340: o perating and m ain ten an ce supolies, $997,593: total, $3,546,482. (7)1946: Comprises: $1,577,260 d eb enture 5s (subordinated) 1973 and 84,428 shares of com m on stock carried a t nom inal v alu e of $1. O ther 120,900 shares of common stock purchased in 1942 and 1943 carried a t cost of $438,539. M arket v alue Oct. 31, 1946, $1,577,280 de b e n tu re 5s (subordinated), 1973, $1,309,126; 205,328 com m on shares, $1,231,968: total, $2,541,094. CSInvestment a t cost (less $49,094 reserve in 1946) in securities Celotex, Ltd. (English sub sidiary--n o t consolidated). EJInvestment in Certain-teed shares at w rit te n down v alue ($829,743) a fte r charge of $1,049,856 tp paid-in surplus d u rin g 1938 fiscal year and reflecting subsequent purchases and sales a t cost. A t Oct. 31, 1944, com prised 147,260 com m on shares, $1,137,540 (quoted m arket value, $1,086,043). Investm ent sold in 1945. (UNO o a r shares: 1946. 855.472; 1945-44,755,472; 1943. 696,933; 1942-40, 638,410. At cost: 1942, 6,342 shares; 1940-41, 10,734 shares. 0 A fte r deducting investm ent in U. S. T reasury notes, ta x series, at cost: 1946, $3,190,000; 1945, 51,000,000; 1944, 5390.000; 1943, $1,320,000; 1942, $2,303,000; 1941, $801,320. ISIncludes provision for renegotiation in 1942, 1943 and 1944. tUPar value: 1946-43, $20; 1942 and p rio r years, $100. Principal paid-in surplus changes follow: 1946: A fte r c r e d itin g $3,575,000 e x c e s s of a m o u n t r e c e iv e d fro m sa le a t 36% o f 100.000 additional comm on shares over stated value o f $1 p er share; le s s $239,024 c o st an d e x p e n se s relative to sale of stock. 1945: A fter crediting $503,886 excess of n e t proceeds of sale of portion of investm ent in C ertain-teed p ro d u c ts. co rp . common stock over 1938 w ritten-dow n value thereof. 1944: A fter crediting $514,953 n e t excess of consideration received from sale a t $10.50 per sh are of 58,539 additional common shares, no p ar value over $1 stated value and S75.000 book value assigned to assets received in exchange for $125,000 principal am ount of South Coast Corp. 5% income debentures (subordinated) w hich w ere carried on books pt $1. 1943: A fter crediting $529,410 excess from issuance of 58.523 additional common shares no p a r value over $1 stated value and $132,519 excess from sale of 5,696 preferred of Certain* teed Products Corp. over w ritten-dow n value, and a fte r deducting $4,928 loss on sale of 6.342 reacquired common shares. A m ount received from employees on stock sales agreement. A fter reserves (1945. $390,126). 1945: Includes $817,327 em ergency facilities covered in full by reserve. It is anticipated th at these facilities will continue in use. Accounts certified by A rth u r young 3r Co STATISTICAL RECORD. FISCAL 1 E arned p er share--p r e f e r r e d ---------- - --common _____ _ D ividends p e r sh are--p re fe rre d ,_____ --c o m m o n ______ EJPrice range--p r e f e r r e d ___________ --c o m m o n . . . . -- Met tan g ib le assets p e r sh.--p re fe rre d --com m on- Fixed charges earned: Bef. inc. tax es, deprec. & depl.------- Bef. inc. tax es Sc aft. decree. St depl. A fte r tnc. tax ., deprec. Sc d e p t-----... Tim es charges St pfd. div. e a rn e d ___ P rice ra n g e --4%s, 1947---- -------------- --3%s,1955______________ --3%s, 1960______________ Met tan g ib le assets $1,000 fun d , d eb t-- N et c u rr. assets c e r $1,000 fu n d d e b t-- Tim es p re fe rre d dividends earn ed ----- N um ber of shares--p re fe rre d ----- -- --com m on -- 1RS 1946 $4.89 $4.17 $1.00 $1.00 23-20 38%-22% $71.93 $15.59 44.75 41.63 22.42 9.19 1A<I.TOt& $5.033 $1.859 14.89 0256.863 855,472 1945 $2.36 $0.57 $1.00 $0.50 21%-18% 25%-14?s $47.90 $9.49 16.27 10.25 5.73 2.46 103%-I02 $3,550 $2.126 3.55 0256.862% 755.472 1944 $3.58 $0.53 $1.00 $0.50 19%-lT 15%-11 $62 88 $8.90 12.42 7.67 5.33 2.41 105V4t101V4 $4,426 $1.858 3.58 0156.862% 755.472 1943 $3.56 $0.54 0S3.OO $0.50 021-16% 14%-8% $60.64 $8.68 12.93 9.78 3.77 2.12 102%-100% $4.009 $1.542 3.56 0148.863 696,933 1942 *37 75 $1.54 $5.00 $0.75 75%-66 81/9- 6% $281 49 $8.55 21.98 19.36 6 52 3.78 100-93% $3.653 $1.275 7 64 029.773 632.068 1941 $60.16 $2.55 $5.00 1M2% : 5-65 10tC-5% $267.00 $7.74 17.72 15.55 9.49 5.56 97%-88 $3.420 $1.092 12.03 29.073 627.676 1940 25 72 0M $5 06 Nil T2-4S 12%-i 23123 6 0 lb 4 56 4 13 V 57 *0%-73% 2.853 873 514 29.077 27 676 CDC alendar years. m A fter 100% stock dividend: ran g e n rio r th ereto 30%-12%. P a r value: 1946-43, $20; 1942 and p rio r years, $100. 0*2.50 on $100 p a r stock a n d 50 cents on $20 p a r stock. 0$2O p a r shares; old $100 p a r shares, 93-76%. FUNDED DEBT trustee shall pay accrued interest and com missions on debentures purchased or re 1, C elotex Corp. d e b e n tu re 3%s, d u e 1960: R a tin g --B a a A deemed. Any balance in sinking fund on any Aug. 1 sufficient to redeem a t least $25,000 (or AUTHORIZED--$5,000,000; o u tstanding, Oct. less if requested by com pany) to be used to 31. 1946, $4.832,000. redeem debentures by lot on or before next DATED--Aug. 1,1945. succeeding Oct. 1, and any m oneys n o t so used M A TO TITY ^A ug. 1. I960 Shall be a id e d "to S e rtT lA k in i % n d paVroeit. ^ T E R E S T --F& A 1 a t o f l j ^ of ^ ^ s t e e or a t A nv am ounts n o t so used a fte r Oct. 1, 1959, C ity N ational B ank Sc T ru st Co.. Chicago. shall be appiie(j to paym ent a t m a tu rity or P rin cip al an d in te re st payable in U. S. legal aarjier redem ption of debentures. Deoen- tender. _ _ . ,_ TRUSTEE AND REGISTRAR--C hem ical B ank tures purchased or redeemed to be cancelled. Callable fo r sinking fu n d a t 104 to Ju ly 31, Se T ru s t Co., N ew York. 1948. inch, and th ereafter a t above call prices. DENOMINATION--Coupon, $1,000: reg ister- SECURITY--N ot secured b y an y lien. able as to principal. CREATION OF ADDITIONAL DEBT, ETC.-- CALLABLE--As a w hnolie o r in p a rt on a t least com pany w ill not, directly or indirectly, cre- 30 d ays published no tice a t an y tim e to J u ly a^e o r assume, o r p erm it any subsidiary to cre- 31, m cl., as follows: _ 1946-- 105 1947__ 104% 194$__ 104 ate o--r a--s-s--u-m---e, -a-n--y---m---o-r-t*--ga--ge, pled--ge, --o r --en cumbrance on property or assets now owned 1949__ 103% 1950 103 1951__ 102% or h ereafter acquired, or on incom e o r nroflts 1952__ 102 1953 101% 1954__ 101 therefrom , unless debentures are equally and 1959__ 100% 01959- 100 ratably secured thereby, except (1) purchase [flAfter JuJTi;y 31, 1959. ^ ^ money or existing liens on property hereafter Also callable fo r sinking fund, which see. acquired not to exceed tw o-thirds of purchase SINKING FUND--A nnually day of fifth calendar on or before f. i r.s t. .p r i c e , .o. r ren. e. w al, refunding, o r itesximtenilsairolyn close o f each fiscal y e a r beginning 1945, 15% o f secured; (2) by a subsidiary fo r refunding, sinking fund earnings (as defined), b u t not to renewal or extension of any pledge, lien or ex ceed $250,000. Sinking fu n d pay m ents shall encum brance existing a t tim e sam e becam e a average a t least $1757000, w h e th e r o r n ot subsidiary, in like am ount and sim ilarly se- e arn ea, fo r each fiscal y e a r a fte r Oct. 31, 1944. cured; (3) mechanics* liens, deposits In con- Debentures m ay be tendered In lieu of cash a t nection w ith tenders or leases of real estate, greater of cost or sinking fund redem ption bids, contracts (other than for payment* of S rice o n n e x t Aug. 1; a n y excess o f deben- m oney), surety, stay o r appeal bonds; fo r ires (acquired otherw ise than by redem p- taxes, etc.; (4) security required by law or uon) so tendered shall be credited a t not to governmental regulations for license or privi- enxecxet esaucscineekdiningg-f-u--n--d rede*m p"tion* p rice aga. in.st. lege to tran sact business; to m aintain self- be used a t direc w company; .--... exceed sin k in g fu n d red em p tio n p rice o r to p an y 'sn a--n ot d- ispose o_r p_a rt w it_h control of redeem debentureai^om pany on request of any such debt (except to debtor subsidiary) or* (6) fo r taxes pro tected by adequate re serves. Except as expressly perm itted, company w ill not, nor perm it any subsidiary to, guar antee paym ent of dividend, debt, or other obligation of another entity, except (a) per form ance of contract by company or a sub sidiary; (b) customers' notes, trade accept ances and other contracts o r obligations in ord in ary course of business, or (c) renewal nr extension of guarantee by a subsidiary ot debt or obligation of such subsidiary existing at date of indenture or at tim e same became a subsidiary, in not to exceed like amount. Company will not (except to a subsidiary), or perm it any subsidiary (except to company or another subsidiary), assign, sell, or trans fe r stock of a subsidiary if thereby same w ould ^cease to b e a subsidiary, unless all owned stock of such subsidiary is simultane ously disposed of. Company w ill not (a) perm it any subsidiary to issue preferred (except to company), nor (b) p a rt w ith control of any preferred stock of a subsidiary, except to issuing subsidiary. Company will not (A) pay or declare any cash dividend on. common, or acquire for value any capital stock (except by issuance or ap?ilication of proceeds of additional shares), or B) m ake any investm ent in excess of $50.000 in capital stock or obligations of or loans to any company not then or immediately there after by reason thereof to become a subsidiary (except through issue or proceeds of sale or disposition of such investm ent or capital'Stock of company) if such dividends, acquisitions of stock, or am ount of such investm ents or loans exceed the sum of (a) consolidated net earn ings (as defined) since Oct. 31, 1944, plus ib) SI.000,009 and (c) proceeds of sale or disposi tio n a fte r date of in d en tu re of any such in vestm ent o r capitel stock not applied as re ferred to In (d ) and (B) above after deducting MOODY'S MANUAL OF INVESTMENTS 1489 th e re fro m (1) ail c a sh d iv id en d s paid or de RIGHTS ON DEFAULT--In ev en t of d efau lt LIQUIDATION RIGHTS--Has p referen ce over c lared a fte r Oct. 31, 1944, a n d co st of all stock (30 d ay grace p erio d for p ay m en t of in terest, eom m om to p a r p lu i accrued and unpaid divi acq u ired , in each case as in clause (A) above, 60 days for sinking fu n d in stallm en t), tru s dends a n a <li) a ll in v e stm e n ts o r lo an s a s in clause te e or 25% of d eb en tu res m ay declare p rin PREEM PTIVE RIGHTS--None (B) above, after date of Indenture. cipal due and payable immediately. CALLABLE--On any qu arterly dividend date, If on consolidation or m erger, or on sale or conveyance of substantially all assets, any INDENTURE MODIFICATION -- Indenture may be modified except as provided w ith con in w hole or in p a rt (by lot), on "0 day*' notice a t $20 per sh a re plus accru ed dividends. property or assets would become subject to any m ortgage, pledge, or encum brance (ex sent of 66 2/3% of d ebentures. PU RPO SE--N et proceeds u sed to red eem d e LISTED--O n New York Stock E xchange TRANSFER A G EN T-C hase National Bank. cept a s in clauses (3) a n d (4) above, if such b e n tu re 394s, d u e 1955, a n d fo r ad d itio n al New York. merged corporation at tim e of such creation w orking capital. TAX STATUS--C om pany refunds personal REGISTRAR--C hem ical B an k & T ru st Comnanv New York. or assum ption had been a subsidiary), prior to such transaction company w ill secure out property taxes In Pennsylvania not to exceed OFFERED--(100,000 shares) a t $20 p e r sh are standing debentures equally and ratably w ith any ocher indebtedness entitled thereto by a 4 mills and fn K entucky not to exceed 5 mills on taxable value, and income taxes in Massa (proceeds to com pany $19 p e r sh are) on Sept. 6,1945 by a syndicate headed by P au l H. Davis direct prior lien on all such property and as sets. No consolidation, m erger, sale or con ch u se tts u p to 6% a n d in M aryland u p to 5% per annum. & Co.. Chicago. PRICE RANGE-- 1946 1945 1944 veyance m a y b e effected u n less im m ed iately LISTED--On N ew Y ork S tock E xchange P re fe rre d _______ 23-20 21ft-18ft 19ft-17 thereafter consolidated n et tangible assets (as defined) of com pany or resulting corporation OFFERED--($5,000,0001 a t 102& (proceeds to com pany 99) on Sept. 6, 1945 b y a sy ndicate 2. T he C eotex Corp* com m on; no p ar. AUTHORIZED--1,500,000 shares; outstanding. or p u rc h a s e r a re a t le a st 2% tim e s consolidated h ea d e d b y P a u l H. D avis St Co., Chicago. Oct. 31, 1946, 355,472 shares; r o par. funded debt (as defined). PRICE RANGE--1946, 105ft-101ft; 1945, 103ft102. D ividend Record (in $) (Calendar years) C onsent o f 66 2/3% of d e b e n tu re s n ecessary to create, assume, or issue, directly or indirect CAPITAL STOCK 1935-36 n il 1937-- 1.20 1938... 0J ly. or perm it any subsidiary so to do, any ad 1939-40 n il 1. The C ilo ttx Corp. S% cum ulative pre 1943^5 0.50 1941... 1.12ft 1942-- 1946... 1.00 01947-- 0.75 0.50 ditional fu n d e d d eb t, e x c e p t (a) fo r refu n d in g , ferred stock; par $20. renew al o r e x te n sio n of n o t to exceed like AUTHORIZED--500.000 shares (in creased fro m EUPaid 100% in stock Nov. 4, 1933. 0 T o May 2 amount thereof, or (b) funded debt (as de fined) of a subsidiary to com pany: provided, 100,000 shares. J u ly 12, 1943); outstan d in g , Oct. 31, 1946, 256,862ft shares; p a r $20 (changed DIVIDEND LIMITATIONS -- See "Dividend R estrictio n " u n d e r d eb e n tu re 3fts, 1960. that com pany shall not dispose or p art w ith control thereof (except to such subsidiary), from $100 p a r J u n e 18, 1943, five $20 p a r sh ares issued fo r each $100 p a r sh are). , VOTING RIGHTS--One vote p er share. Cumu lative voting perm itted for election of direc unless im m ediately th ereafter (1) average an nual consolidated n et earnings available for DIVIDEND RIGHTS--H as preference over tors. See "V oting R ights" u n d e r 5% p re fe rre d in terest (as defined) on funded d eb t for tw o common to cum ulative dividends of 5% p e r an stock, above. fiscal y ears im m ediately preceding equal a t num , payable quarterly. PREEM PTIVE RIGHTS--None. least 4 tim e s to ta l a n n u a l in te re s t , re q u ire DIVIDEND RECORD--No d ividends p a id on LISTED--On N ew York S tock E xchange. m ents on consolidated funded debt: (2) excess of current assets (as defined) over current $100 p a r shares to Nov. 10. 1936 w h en 5% w as paid clearing up arrears. Thereafter, regular TRANSFER New York. A G E N T --C h a s e N atio n al Bank, liab ilities a t le a st e q u a l o u tsta n d in g fu n d ed dividends p aid q u a rte rly F e b ru a ry 1, etc., to REGISTRAR--C hem ical B ank & T ru st Com debt, e x c e p t fu n d e d d e b t se c u re d b y liens as M ay 4, 1943, incl. pany. New York p erm itted , a n d (3) conso lid ated n e t tan g ib le In itia l div id en d of 25 cen ts p e r sh a re paid OFFERED--(100,000 sh ares) a t 36% b y P a u l H. assets (as defined) a t le a st e q u a l 2 ft tim es con on $20 p a r sh ares Aug. 9, 1943; re g u la r divi D avis & Co., Chicago a n d U nion S ecurities solidated funded debt. dends paid quarterly thereafter. Corp , New York. DIVIDEND RESTRICTION--N o d iv id en d (ex DIVIDEND LIMITATIONS -- See "D ividend PRICE RANGE-- 1946 Com m on.......... 38ft-22ft 1945 25ft-14% 1944 15ft-ll cept sto ck div id en d s) shall be d e c la re d o r p aid R estrictio n " u n d e r d e b e n tu re 3 fts, 1960. Subscription Rights: Common stockholders on capital stock if thereupon current assets would be less than tw ice current liabilities. VOTING RIGHTS--N one, e x cep t th a t if a t any tim e cum ulative dividends have accrued to the of re c o rd Oct. 22, 1943 h a d rig h t to su b scrib e, a t $10.50 p e r sh a re , fo r sh ares of com m on stock, See also clauses (A) and (B) above. e x te n t of $2 p e r sh are, h o ld ers of p re fe rre d o n th e basis of one sh are fo r each te n shares stock shall have one vote p er share. then held. THE CLEVELAND GRAPHITE BRONZE COMPANY CAPITAL STRUCTURE CAPITAL STOCK Par . Amount Issue Value i Outstanding 1. 5% c u m u la tiv e pr e f e r r e d-- $100 - , 24,320 shs. 2. C om m on ............ *.........-- -- -- 1 ' ^ 0643,840 shs. E R a n g e since 1941. A fter 2 -fo r-l s p lit o f M ay 8, 1947. Earned per Sh. 1940 1945 $101.52 $51.75 7.28 3.65 Divs. p er Sh. 1946 1945 $5.00 $5.00 3.00 2.00 Call P ric e 105 Price Range 1946 1932-46 108ft-106 GJllOft-95% 77 - 52 77 -15 f t HISTORY BUSINESS A PRODUCTS MANAGEMENT In c o rp o ra te d in Ohio, M arch 22, 1919. P rin cip al business of th e com pany is th e Officers As of A p ril 1, 1919, a c q u ire d th e assets and m a n u fa c tu re a n d sale o f lin e d b e a rin g s (used Ben F Hopkins. President N assumed certain liabilities of The Dann Prod in engines as main, connecting rod and cam J. J. M cIntyre, Senior V ice-President ucts C6., issuing com m on stock as th e con shaft bearings) an d bronze bushings (both Jam es L. Myers, Exec. Vice-President sideration. plain and graphited). Sales of bearings com Carl W. Johnson, V ice-President (Sales) In 1939 so ld to D e tro it G a sk e t & Mfg. Co. m enced in 1937 a n d h av e since g ro w n in im - G. O. Sm ith, Secretary the spring Insert business, and related equip Sortance to the point w here they constitute J. W. D ixon, T re a su re r Sc C om ptroller m ent, w h ich b u sin ess com p rised less th a n 1% le com pany's m a jo r pro d u ct. 'C a rl Dautel, Asst. Treasurer of co m p an y 's 1939 d o lla r sales. Com pany's products are used m ainly in F. H. Standley, Asst. Treasurer. N. D. B aker, III, Asst. Secretary In 1939 a n d 1940 u n d e rto o k ex p an sio n of th e autom obile in d u stry . In 1940 b e g a n m an u facilities w ith ultim ate objective of concen facture of lined bearings for use in airplane L. W. C hristenson. Sales Mgr. trating operations on owned property in engines. W. G. Laffer, W orks Mgr. H. W. L uetkem eyer, Chief Engineer Cleveland. O., such expansion being p artly Am ong th e p rin cip al custom ers are Ford, financed b y sale o f 30,000 sh ares of 5% p re G eneral M otors, P r a tt Sc W hitney, In te rn a M. A. Young, Personnel Director ferred stock approved by stockholders Feb. tional H arvester, M onmouth Products, Nash, D irectors T. J. Conway, Cleveland 24, 1941 a n d sold F eb . 26, 1941. Chrysler and Studebaker. On N ov. 4. 1941, a c q u ire d e n tire com m on C om pany h as g ra n te d licenses to F o rd M otor F. C. C raw ford, C leveland F. J. Griffiths, Massillon, Ohio stock (54% of v o tin g pow er) of T h e P ro p e rtie s Co.. F o rd M otor Co. of C anada, L td., and G en Co. ow ning co m p an y 's E a st 72nd St. plant. e ra l M otors Corp. fo r c e rta in of its products. Ben. F. H opkins, Cleveland Carl W. Johnson, Cleveland SUBSIDIARIES PRINCIPAL PLANT8 A PROPERTIES A. W. L ueke. C leveland Jam es L. M yers, Cleveland Company owns voting stock of a n 18.85% In te re st in the M onm outh P ro d u c ts Co., In 1941, com pany com pleted co n stru ctio n of new p la n t a t 17000 St. C lair Ave., C leveland, J. C. M cH annan, C leveland J. J. M cIntyre, Cleveland m anufacturer and d istributor of autom obile w hich is owned in fee and has a floor space John Sherw in, Cleveland service p a rts . F o u r of com pany's d irecto rs o f 659,000 sq. ft. G. A. V andervell, London, England own an a g g reg ate o f 35.9%- of th e v o tin g stock In 1944, co m pany p u rch ased a p la n t a t A nnual M eeting: F irst M onday in A pril. of M onm outh P ro d u c ts Co. b u t as th e re is B ridgeport, O. w ith estim ated engine b earin g N um ber of S tockholders: M ar. 3, 1947: P re no a g re e m e n t o r u n d e rsta n d in g b etw e e n com cap acity of 1.500,000 to 2.000,000 a m onth. fe rre d , 669; com m on, 2,322. pany a n d su c h d ire c to rs w ith re sp e c t to v oting In M ay, 1946 p u rch ased a p la n t a t F o rt N um ber of Em ployes: Dec. 31, 1946, 4,545. such stock, M o n m o u th is n o t co n sid ered to b e W ayne, Xnd. w ith 42,500 sq. ft. fo r p ro d u ctio n G en eral Office: 17000 St. C lair Ave., Cleve an affiliate of the company. of bearings. la n d 10, O. INCOME ACCOUNTS N et sales ^___________________ HJCost o f g o o d s ------------ --------Q]Selling a n d g e n e ra l e x p e n se . COMPARATIVE INCOME ACCOUNT, YEARS ENDED DEC. 31 1946 1945 1944 1943 1942 $28,230,417 G0$37,941,486 IB$47.275.713 (S$41,916.977 ES$24.987,786 24.628,689 30,731,666 39,274,011 33,037.320 19.441.328 1 3,415,922 2.740,125 1,644.373 1.049.435 1941 $14.867.071 11.054.729 856,253 1940 910.582.219 7.924.792 659.111 O perating p ro fit. . . . . . . . . . . Other incom e . . . . . . . . . . . . . . . . . R oyalty i n c o m e ----- 1------------- 3,601,728 507,148 3.793.898 290.128 5.261.577 359,177 7,235,284 265.049 4.497.023 (76.422 (74,350 2.956.090 56.102 43.365 1,998.316 40.074 31,551 Total income . . . . . . . . . . . . . . Miscellaneous expenses . . . . . . . Employees vacations . . . . . . . . . . Employees dividends QOSocial s e c u rity t a x ........ ... Loss disposal of fixed a s s e ts ... Federal income ta x e s .......... S u rtax ______ _____ . . . . . . . . . . . Excess p ro fits t a x ......................... P o st-w ar ta x r e f u n d _________ P rovision fo r c o n tin g e n c ie s __ 4,108,877 4,084,026 225,635 5*620,754 144,983 7,500,333 143,163 4.647.795 66.334 t ,640,000 760.000 : r r n i i- i 1,794,000 704,000 3,358,000 CT 340,000 760,000 5,000,000 e r 500,000 300.000 762.906 2.564,064 Cf 256,406 3,055.557 24.152 138 616 57 ^84 7.336 1515,766 1150,182 660,861 2.069.941 41.587 116.282 48,246 5.937 4,365 442962 88*303 N e t i n c o m e ______ Preferred dividends ... ISCom m on d iv id en d s . 2,468,877 126,025 965,760 1*304,391 130,738 643.840 1*755,770 136,711 643,840 1*797,169 141,609 644,320 191*510,897 146,540 644.320 1,501,359 124,200 644.320 1J22.258 644.320