Document Z4Rmo3LKVpwyaVyNBLdYGm6MZ

, A REGULAR MEETING OP THE BOARD OP DIRECTORS OP JOHNS-MANVILLE CORPORATION was held in the offices of the Corporation on the 11th floor at No. 22 East 4-Oth street. New York City, on Wednesday, the 18th day of April, 1951, at 9*30 in the forenoon. The following Directors were present, constituting a quorum: Messrs. Walter H. Aldridge Henry C. Alexander I. C. Raymond Atkin Alvin Brown L. M. Cassidy A. R. Fisher H. E. Manville, Jr. C. P. Rassweiler E. M. Voorhees Mr. L. M. Cassidy, Chairman of the Board, acted as Chairman of the meeting and presided thereat and, in the absence of the Secretary, Mr. Irving J. Pedly, Assistant Secretary of the Corporation, aoted as Secretary of the meeting and kept the minutes thereof. A notice of the meeting and affidavit of mailing the same to all the Directors of the Corporation were presented to the meeting and, on motion, duly made, seconded and unanimously carried, were ordered filed with the minutes of the meeting. In his Monthly Report, the Chairman advised that Mr. George K. Foster, head of the Asbestos Fibre Exploration Unit, had recently visited and investigated oertain asbestos deposits in Rhodesia. These investigations had indicated the presence of substantial quantities of ore and negotiations were in progress with Anglo-Huronian, Ltd. (an English company having its main office in Toronto) regarding the possibility of a Joint arrangement for the acquisition of these deposits. Consideration was being given to a proposal that a new company be formed to ac quire, develop and operate the properties, in which company Johns- Manville would have an interest of not less than 30% It was pro posed that Anglo-Huronian, Ltd., have an interest of approximately 30%, that 3Q be owned by British Metals Company, and that the re maining 10)1 be divided between certain French and Italian interests. The present owners of three of the deposits had Indicated a willing ness to sell for about 1450,000 and, accordingly, the officers of the Corporation were recommending that they be authorised to in vest up to #150,000 for the acquisition of a 30% interest. After diaoussion, it was the consensus that the pro posal be approved and that the officers of the Corporation be authorized to expend up to #150,000 for the acquisition of a 30% interest in the Rhodesian properties, with the understanding that MTC 001585 f/SS) no additional commitments or investment would be made until a more detailed program bad been presented to and approved by the Directors* Hie meeting was also advised by the Chairman that the officers of Johns-Manvllle Products Corporation proposed to expend $1,406,500 (of which $61,646 represented expense) for the purchase and installation of a wet machine, with auxiliary equip ment, to manufacture standard Flexboard products and Corrugated Translte at the Pittsburg, California, Plant. It was pointed out that demand for these produots exceeded capacity and esti mated additional volume of sales indicated a satisfactory return on investment. After discussion, it was the consensus that the pro posed expenditure was Justified and it was recommended that the officers of the subsidiary proeeed in accordance with their plans. The Chairman briefly summarized a report on the sta tus of the Capital Expenditure Programs as of April, 1951* which formed a part of the agenda. He likewise called attention to the data on Division Operations and to some additional appraisals of investment return on completed projects under the Capital Expendi ture Programs which were included in the agenda booklets. Hie President then read his Monthly Report, whioh presented latest operating results and a review of current develop ments. Both sales and operating earnings for March were the high est in the Corporation's history. Hie Chairman then presented a proposed press re lease with respect to earnings for the first quarter, which was approved by the Board in the form submitted. At the request of the Chairman, Mr. Alvin Brown then submitted a report, dated March 21, 1951 entitled "Use of LIFO in Tax Returns". Hie report outlined the basis upon which it was proposed the Corporation should adopt the LIFO method of accounting for tax purposes for the year 1950 and subsequent years. It indicated the method of inventory-keeping that would be adopted and explained the reasons for the choice* After discussion, it was the consensus that the basio decisions as outlined in the report be approved and that the officers be authorized to adopt the LIFO basis of account ing f or income tax purposes* At the request of the Chairman, Mr. C. F. Rassweiler reported on the construction of the new building at the Reaearoh Center* A Certificate of Necessity had been secured tdilch per- MTC 001586 JJ-/ V-- C /