Document oDOnK8VdNbYVByejgJKMKE53

MOODY'S INDUSTRIAL MANUAL PLAINTIFF' EXHIBIT K-1771 AMERICAN and FOREIGN FRANK J. ST. CLAIR, Editor.m-Ckief Editorial Board Lloyd C. Sweet George H. Parsons Arthur W. Herrmann Robert C. Riehle David M. Day Albert C. Esokait Richard Olney A. E. Combader William Strauss June 1965 Robert H. Messner, Publisher MOODY'S INVESTORS SERVICE, INC. 99 CHURCH STREET, NEW YORK 7, N. Y. PHILADELPHIA BOSTON CHICAGO LOS ANGELES WASHINGTON SAN FRANCISCO Suburbia Station Bldg. 73 Federal St. 133 So. La Salle St 310 W. 6th St. Woodward Bldg. Ruu Bldg, LONDON: MOODY'S INVESTORS SERVICE, LTD. King William Street Home, London E-C. 4 Copyright, 1965 by Moody's Investors Service, Inc., New York--All rights reserved 592 MOODY'S INDUSTRIAL MANUAL Financial and Operating Ratio* Current uwti + current liabilities-- % caih & leeuritle* to currant auati % Inventory to current asset*____ -- % net current assets to net worth___ % property depreciated_________-- % annual depr. to gross property----- Capitalization: % long term debt....................... ...... ~ preierred stock_______________ common stk. 6c surplus_____ __ ss -r- Inventory ... .... _________ Sales + receivables_____ -__ _____ -- % sales to net property________ ____ % sale* to total assets______ ___ __ % net Income to total asaets__ __ __ % net Income to net worth_________ Ptd, divs. time* earned________ __ _ lalysit of Operations Sales, less discount, etc---------- ----- ---- Cost of goods sold_____________ ___ roes profit from sales_________ ____ Cost-plus-fixed fee contract fees__ -- Gross profit------------------ -- ------- Sell., gen. 6c admin, exp-------------------- Operating profit___________ Other income____________ Total Income_____________ ____ -- Income deductions_______________ -- Net income before Inc. taxes, etc____ Income taxes_______________________ Special depredation_______________ Net income__________ -- 1964 534 3236 32.48 33.98 48.99 4.46 8.77 3.46 89.77 7.19 6.76 132.20 7.14 8.16 48.84 % 100.00 70.33 29.67 29.67 13.13 16.54 0.81 1735 0.83 1633 6.79 1.19 835 1963 6.45 37.04 31.02 35.89 4738 4.64 7.82 333 88.65 738 7.07 13433 8338 7.49 8.63 50.00 % 100.00 69.02 30.98 30.98 1295 18.03 0.77 18.80 1.12 17.68 7.75 0.94 899 1962 6.68 36.92 33.69 3335 44.74 4.79 8.59 S.63 87.78 6.94 7.95 123.47 79.42 7.45 8.60 48.12 % 100.00 67.48 8234 32.54 13.67 18.87 0.74 19.61 0.88 18.73 8.18 1.17 938 1961 5.94 36.29 24.42 31.86 41.44 491 9.91 3.70 86.39 6.80 7.98 115.60 76.25 7.38 8.S8 46.94 10090 07.82 3238 12.99 19.45 0.70 20.15 0.89 19.28 938 938 1960 6.41 84.18 38.89 31.33 38.81 494 11.25 3.78 84.97 7.07 9.02 120.83 81.58 8.44 10.01 5231 % 100.00 66.94 33.06 33.06 12.30 20.76 0.90 21.66 1.17 20.49 10.13 10.34 ua 3!7. S.8 31.01 3S*..2nS U.04 4.21 *1.72 *60 10.10 132-OS *. io.is J2.01 86.80 % 100.00 33.66 "83.66 11.44 22.23 0.01 203..9173 22.10 10a "iljo gjFlu* 2% In stock. ___ based on shares: 1964, 6359.494; 1963, not) are unpaid in whole or in part, the num ber of members of the Board of Directors shall VOTING RIGHTS--One vote per . "Voting Rights" under $430 prtlmw 6.714.028; 1962, 6375326; 1961, 6.442.472; I960. oe Increased by one-half and the additional above. 6397,705; 1959. 5303.013; 1958. 4394.602; in cluding stock dividend paid on ensuing Jan. 8 earned per share would be 1964, $3.14; 1963, $338; 1962. $3.22; 1961, $331; 1960, $3.66; 1959. $436; 1958, $333. directors shall be elected by the holders of the preferred stock, as a class. Such rights shall terminate when dividends In arrears have been paid. The company shall not, without the consent or vote of holders of two-thirds of PREEMPTIVE RIGHTS--Nona. LISTED--On New York and Amsterta Exchanges, unlisted trading on Pink Cincinnati, Boston and Midwest Urn changes. CDBaaed on shares outstanding after pay ment of stock dividend in following January. [EActual, before January following stock dividend. LONG TERM DEBT Term Loans: (1) Outstanding. Dec. 31, 1964. $18325.000, evidenced by 3%% notes, payable $1,425,000 annually, July 1 to 1977. the outstanding shares, change the provisions of the stock of this series. Restrictions are provided against the issuance of stock having priority to or a parity with this Issue, against the disposition of substantially all of the as sets, creating funded debt or mortgaging prop erties, except as provided, the issuance of stock by subsidiaries, etc., without the con sent of holders of two-thirds of the preferred TRANSFER AND DIVIDEND__ _ AGENT--Banker* Trust Co, Mew let REGISTRAR--Marin* Midland Tnw Ck York. ISSUED--Originally Issued under i zatlon plan approved Mar. 23. 1917 d 4 shares for each class A share tad I for each class B share. Proceeds tree (2) $1300.000 iu% note payable $200,000 an nually from 1964 to 1988 and $100300 from 1968 stock. LIQUIDATION RIGHTS--In any liquidation 275,000 share* In 1946 for increased capital, and a program of exptnsua to 1977. entitled to preference over common to the a new gypsum plant at Baltimore m At Dec. 31. 1964. $33345365 of retained earn extent of redemption price if liquidation is lime plant at Kimballton. V*. 3> ings were not restricted as to payment of voluntary or $100 per snare if involuntary to Issued In 1947 as final payment os. cash dividends. gether with accrued and unpaid dividends in paper mill purchased in 1946. ,, Subsidiary Debt: Outstanding. Dec. 31, 1984, $997,733 4.6% notes of American Encaustic Tiling Co., Inc. payable monthly to Dec. 1, 1971. Secured by first mortgage on Lansdale, Pa., plant. Baltimore Pier Leon: On May 15, 1946, city of Baltimore. Md., sold 5650,000 1)4% harbor serial bonds, dated Jan. 1, 1946 and due July 1. 1947-76, incl. An initial issue of $850,000 ltyq. harbor serial bonds, dated July 1, 1944 with like maturities, was sold In October, 1944. At Dec. 31, 1964, above bonds were out standing In amount of $254,000 and $346,000, respectively. Proceeds applied to cost of constructing a pier for company. Loan agreement provides that company will pay interest on the bonds, plus an annual payment of 3ft%, or $50,000, on principal of the loan beginning 1947. Pier remains property of city. each case. ___ PREEMPTIVE RIGHTS--None. CONVERTIBLE--Privilege expired Nov. $0. 1945. CALLABLE--On any dividend payment date, in whole or In part, by lot, on 30 days' no tice, at $103 per snare, with accrued dividends. LISTED--On New York Stock Exchange. TRANSFER AND DIVIDEND DISBURSING AGENT--Marina Midland Trust Co., New York. REGISTRAR--Manufacturers Hanover Trust Co.. New York. ISSUED--(60,000 shares In Nov. 1938) to retire 7% first preierred and 5% second preferred, for additions to New York City plant and for working capital. Issued (12300 shares in Oct. 1945) and (4,770 shares in March. 1946); proceeds of both offer- ings used to Increase working capital, etc. OFFERED--(60,000) at $100 per share on No (68,652 shares) issued In Msy.I change for entire capital stock Ittm w shares) of National Mortar MW Pittsburgh. (118,341 shares) issued In Apr-. I* * change for entire capital stock shares) of Wesco Waterpalnts, lae. CaL (238,000 shares) Issued In Jto-. change for entire capital stock m > (2$907 shares) Issued In Msr, ll****^ of Smith Asbestos Products. lM (292,101 shares) Issued between J and Mar. 13. 1959. In exdisnf** shares (99.5%) of American lactam Co, Inc. stock. _ . if&t (45,000 shares) issued Feb. * change for entire capital *<* * Co(1,.0In1c43. 00 shares) issued to MV- OAPITAL 8TOOK vember 28, 1938 by a syndicate headed by W. change for entire capital stock E. Hutton 6c Co.. New York. land Cement Co. , , .^j i L National Gypsum Co, HR cwmelattve Offered (I2300 shares In Oct., 1945; 4.770 (583,170 shares) Issued to lwj. preferred; no peri shares In March, 1946, and 6,600 shares in May, 535 shares (99.8%) capital * AUTHORIZED--All series, 100,000 shares: Is 1947) all at $100 per share by W. E. Hutton 6c Portland Cement Co. sued. this series. 100300 shores; outstanding. Co, New York who offered these shares to pJ2 100.000 shares; no par. not more than 25 persons for investment. PREFERENCES--Has preference for assets tad dvldcndi DIVIDEND RIGHTS--Entitled to cumulative dividends of $430 per share annually, payable quarterly Mar. 1. etc, to stock of record about Feb. 1$. etc DIVIDEND RECORD--Regular dividends paid. DIVIDEND LIMITATIONS--See term loans, above ___ DIVIDEND RESTRICTIONS--Company will not pay dividends on or purchase common stock except from consolidated net earned since Dec. 31. 1938, plus $1,000,000, or that would reduce consolidated current assets to less than three times consolidated current liabilities, or reduce consolidated net tangible assets to less than 150% and consolidated working capital to less than 50% of aggre- jfate^involuntary liquidation price of pre- 11350 shares were sold on June 1, 1950 to W. . Hutton at $95.75 per share and resold for $96.75 per share. 2. National Gypsum Co. common; par $1: AUTHORIZED--10,000.000 shares; outstanding. Mar. 31. 1965, 6360389 share*; reserved for options, 145342 shares; par $L DIVIDEND RECORD- 1939__ $035 1940-41 $0.40 1942-45 $035 1946____ 030 1947___ 0.75 _ 1948 1.00 1949__ 135 1950______L50 mi51-52 1.40 1953 __ 1.05 CD1054____ 130 0&1955-64 230 0)1965- 0)1-00 CDAlso paid 2% in stock in 1951, 1952 and 1954 to 1964, incl.; Jan. 2. 1965, 2%. B)To April 3; also' 2% in stock. No dividends paid on former Claes A or Class B stock except initial dividend of $230 per share in 5% second preferred stock paid New York. Subscription Bights: Commj*^ of record May 10, 1948 had nff ^ 422.467 common shares at 00-1 basis of one share for Rights expired May 24.^*4m^L saCleomofmsohnaresstoacdkhdoelddetorswoo:rtjJ--JsgM* *r- 1955, bad right to subscribe shares at $40 a ahare on each 6 shares held. Rights exPJJJi Common stockholder "1 1956, had right to subscribe^ * t shares at $47 a shareon"KJ for each 8 shares held. Blf" 25, 1956. Stock Options held br **2, Dec. 21. 1986. Dec. 31, 1964 on 1183" VOTING RIGHTS--None. When six or more DIVIDEND LIMITATIONS--See tens loans prices from $29.44 to $5*-*1 quarterly dividends (whether consecutive or and preferred stock, above. to 1973. OWENS-CORN1NG FIBERGLAS CORPORATION OAPITAL STftUCTURK LONG TERM DEBT Issue L Term loan __________ CAPITAL STOCK Bating ID-- Par sine * Ootstaadlaf SSO.OOOgOOO ftHAtfmifSofuilnllttIB $.711390 Time* Charges Earned 1964 1963 2034 1834 Earned per Bl 1964 ----- Interest CaD Dates Price Divs. perffh. Can 1984 1963 Price ~ M39 ------- 1* ffl- 0*25V Company's products can be classified into laws Oct. 31, r.DrUtssrCo. and Corn- development of the following five groups; (1) Fiberglas "wool" products, used for thermal insulation and acoustical applications; (2) Fiberglas tex tile products, consisting of strands, yarns and cords, used by other companies in manu facture of electrical insulation and decorative and industrial fabrics, as reinforcements for plastics, papers, twines and rubber goods and lSnru>n`- for other industrial purposes; (3) Fiberglas Aerocor. an extremely light weight wool Flbra-Glass S. A., product used as an insulating and sound con ' Xar Owens-Corning Fi- trol materials; (4) Fiberglas filter products `rJ/rion England; OwensS. A., Brussels. used in heating, air conditioning and ventilat ing systems and in industrial processes; and Fiberglas (Italy) (5) Fiberglas mat products, consisting of por __ owens-Coming Fiberglas ous thin sheets used principally in manufac ^Tp^Scss. Venzuela. ture of storage batteries and- as protective wrapping for underground pipes. fJ^uAL DIVISION Increasing use of products is being made in lT1,SrglM international. N. Y. automotive industry, including automobile bodies. Fiberglas is also used for boat hulls. * moisted with Owens-Illinois `*r!r,VGlass Works, see gen^^itock ownership (see com- PLANT8 A PROPERTIES Company owns plants at Newark, O. Kan sas City, Kan., Santa Clara, Cal., Barrington and Berlin, N. J., Anderson and Aiken, S. C,, lri2nited. Toronto, Canada '^SSsJTUof Guelph, Pa{ndd->:EPdImanotnstoant, Ashton, R. I., Huntington, Pa. and Waxahachie, Tex. also research center at Granville, O. In addition 4 product and research laborslories are connected with the Anderson, Ash CUM Company. Ltd.. Tokyo, ton, Granville and Santa Clara plants. Toledo office and sales offices in principal is*' i 5UnMueexxliccoo ^Hy (40%); plant cities are leased. Affiliate Plants; See Affiliates above. Glass Pty. Ltd.. Sydney -| Mm r" Melbourne and Sydney. TrT S2 rihfe Glass Ltd. (wholly-owned W*r^4^ fibre Glass). Auckland: plant Company has 38 supply and contracting lo cations and 69 sales offices throughout the U. S. Capital Expenditures: 1964, $8,576,000; 1963, $25,500,000. J ***,?v^,p,,laAnfr"ic"a SPptryi.ngLstd(.n. eJaorhJaonhnaens-- MANAGEMENT Officers: E. J. Detgen, Vice-Pres. (Home Bldg. Prod.) W. H. Curtiss, Jr., Vice-Pres. & Gen. Mgr., Pacific Coast Division T. V. Fowler, Vice-Pres. (Tramp., equip. & appliance materials) J. H. Thomas. Vice-Pres. (Research and Dev.) B. F. Leaman, Jr., Vice-Pres. (Advertis.) J. A. McKay, Vice-Pres. (Natl. Accts.) Fowler Blauvelt, Vice-Pres. (Fiberglas Ind. Mats.) R. E. Brown, Vice-Pres. (Mid-Continent Sales) R. K. Biggers, Vice-Pres. (Aerospace St Defense) G. O. Mabry, Vice-Pres. (Sales branch oper.) R. P. Mulligan, Vice-Pres. (Eastn. Reg. Sales) F. L. Purtill, Vice-Pres. (Pacific Coast Div. Sales) D. W. Ladd. Jr. Vice-Pres. (Ind. Sc comm'1. Const. Mat.) Roger van den Perre, Vice-Pres. (OCF IntT.) W. M. Keller, Vice-President I- W. Saxby, Vice-Pres. (Supply St contracting) W. E. Munsey, Vice-Pres. (Engr. to Sup ply, Pac. Coast Div.) C. G. Staelin, Secretary C. F. Scarbrough, Treasurer H. M. Cranston, Compt. St Asst. Treaa. Directors: Harold Boeschenstein J. E. Blerwirth L. W. Cabot J. M. Kemper D. W. Malott H. J. Morgens H. C. Nolen Gen. Lauris Norstad S^ - ou,fiber AB. Vasteraa, Sweden tt Folkenberg. <-.V g PRODUCTS ensnged in development and *,/ifbFous glass products, dlsfti itTown sales organization which - _ ,,ire, located in cities throughrsTwi States. Harold' Boeschenstein, Chairman H. R. Winkle H. R. Winkle, Vice-Chairman Gen. Lauris Norstad, President J. M. Briley, Vice-President B. S. Wright, Vice-Pres. (Purch. Trans. St W. J. Murray (Honorary) Auditors: Arthur Andersen & Co. Annual Meeting: Third Thursday In Apr. No. of Stockholders: Dec. 31, 1964, 8,202. No. of Employees: 1964 average, 12,100. General Offices: National Bank Bldg., To W. W. Boeschenstein, Vice-Pres. (Uktg.) ledo 1, O. B. E. Boyd, Vice-Pres. (Mfg.) New York Office: 717 Fifth Ave. MOUNTS I * *** ... 4vel. expenses -pun i g eamln. expenses .. COMPARATIVE INCOME 1964 1963 $299,812,261 $274,227,443 224,145,496 207,974.506 6,882,801 7366.847 22,171.590 21,547,693 11,852,730 10,569,473 1962 $253,258,218 187,338341 6,627,501 19312,419 10,084,171 DEC. 31 1901 1960 $226,940,262 $218 178.030 165.643.964 156,747.513 5,827,158 5,382,177 16,954,972 16,348,336 9,674,417 9.419,304 1959 $211,335,854 149.688,870 4,186,720 16,299.530 8,066.278 1958 $176,171,484 128,915,39? 3,866,474 14,024,298 6,482,618 f|a^nag prnftt. (net) 34,759,644 1,924,595 drl,425,024 26,568,924 2,639,968 dr 1,494,208 29,995,886 2,816,769 dr 1,428,869 28,839,731 2,353,863 dr 1,372,694 30,279,900 2,432.248 dr 819.256 33.094.356 1.991,366 dr 1,014,791 23,482,397 1,475,601 dr 800,875 &I borrowed M UX funds . 35.259.215 1,716,167 16379,000 27,714,684 1,494,598 13,740,000 31,383,786 1,342,192 15,670,000 29,820.920 1,455,000 14.087,000 31,892 392 1,233,090 16,025,300 34.070.931 780,000 17,120,000 24.157.123 780,000 12,350,000 * I hftlgl, J_t_n._X__. ________ a 4jvidndt 17.164.048 06,633,679 6,717,021 12,480,086 90,866,669 6,713,076 14,371,594 83,201,4o7 6,706,382 14.278.920 75.619.149 6.696.012 14.634,332 67.645 r.f7 6,661,220 16,170,931 57.098.341 5,623,705 11.027.123 51,328.288 5,257,070 surplus, Dec. 31____ $107,080,706 $96,633,679 $90,866,669 $83,201,457 $75,619,149 $67,645,567 P. & L. DATA pniitaftre dt repairs___ ...._... E5 depl. & amort. uther than income M royalties ..........___ _ Not stated 14,111,600 $18,806,143 12,835,457 5,948,676 4,509,300 $16,149,793 12,519,962 5.427.600 3955.506 $12,954,807 12,784.903 4,593,527 3,901,159 $13,094,339 10,217,963 4,607,093 4,293.^96 $11,589,875 8,207,741 3,902,049 3,459,595 fegl- bayroll taxes (1963, $3,301,279). [3 under balance sheet. Disposition of Funds; ^ income and franchise taxes (b) Gross investment credit against Income Capital expend. . $14,300,881 A?-6.3' **89.475; 1962, $892,312). tax for 1962 was about $350,000 which was Incr. in rec._____ 6,841,700 a M 31i I**, 580,355,035 restricted as ^..^^tywnenta under provisions of l*?ta t?** frln8e beneflt (U- S. treated as reduction in cost of assets and had no substantial effect on income. Source & Disposition of Funds: . Sources of Funds; 1964 1963 Net income______ $17,164,048 $12,480,086 Depreciation, etc.. 15,456.333 14,413,731 Dividends paid _ Addit. inv. in fgn. cos._____ Purch. of treaa. stock ______ 6,717,824 869,964 514,309 ' 1960------- 68.400,000 Addit. to lg.-t. debt 10,000,000 5.000.000 5`TM00 1959_____ 64,000,000 Incr. in accts. : 1938------ 53.9oo.ooo pay., etc.____ Sale of stock____ 3,667,683 316,96a 1,768,612 211,406 Total $29,244,678 a Other (net)_____ equity in net earnings 594,184 (310,315) Cash and securities at end of year.. $29,710,357 Eluded above, see footnote Total $47,199,210 $33,563,520 Cash Increase __ 17,954,532 $57,098,341 $7,774,935 7,687,546 2,907,726 1,883,019 $23,703,897 8,842,030 6,711,285 657,117 $39,914,329 $11,755,825 d6.350.809 * Urnln8*. years ended Dee. 31 (in $): Net Sales 4*25,,975415,,006945 .*44,89 51.112 231 **.494,203 .*228.4,34233,,405825 "J.730,483 113,400,920 "1361.476449..655272 }81 2M 9J1 ,123.064.737 163.327,463 176.771,484 Cost and Expenses 39,854,741 31,862,554 39,573,802 45,289.248 44,396,838 62,679,324 77,134,634 88,882,543 100,486.426 115.913 980 118.653,065 137.070.799 150,317,199 144,388,339 153,289,087 Operating Profit 6,096.323 882.541 1,070,697 5,822,983 4,097,365 15,643,761 20,314,818 12,847.940 12,914,494 15,830,677 17,816,457 24.289 732 22.747.538 18,939.124 23,482,397 Oth. Inc. St [DEm. Per Inc. Bef. Ded. (Net) Taxes Taxes d21.180 6.075.143 4,558,742 d 111,222 771,319 329,112 d 300,539 770,158 395.063 d 335,740 5,487,243 2.118172 d 398,984 3,698.381 1,419 840 632,764 16,276,525 8.375.000 749,932 21,064,750 15.009.000 d 441,217 12.406,723 7.200.000 d 658,997 12,255,497 7.172,725 d 871.643 14,959.034 9,603,100 d 476.227 17,340.230 8.928.000 51.814 24.334.946 13.390.000 .d 347,828 22399,710 11.952.000 288,530 19.227,654 10 220.000 d 105,274 23,377,123 12,350,000 [BIncome Income I,516.401 442,307 375,095 $.369,071 2,278.541 7,301.525 6,064,750 5,206,723 5,082,772 5,355.934 8,412.230 10.944.946 10,447,710 9,007.654 II,027,123 Net Dividends 814,075 826,471 1.852.155 1.852.155 1,856.023 3,100.634 3.112.405 4,525,919 5348.609 5357,070 Common Outstand. 2.699,364 3,146.964 3.146.964 3.140.964 3,138.584 3,141.994 6396.358 6,601.623 6,602388 Com. Shi Com. Sh. 0.60 0.17 0.15 1.30 0.88 2.93 235 1.65 1.61 1.70 2.68 3.48 1.66 136 1.67 l-'oxr-srpc^olitmropnaa^nDy:e; cb, a2s8e. d19o5ni. number of common shares outstanding at end of each period adjusted for 4-for-l stock split la r onl Negotiation refunds (leas credit for applicable Federal Income taxes) $192,433. S3Consolidated. !! 1744 MOODY'S INDUSTRIAL MANUAL Sale*-^Inventory___ ________ Salea-rreceivable* --------------- Laalea to net property____ sale* to total asset*------ - 1964 6.51 9.41 207.39 163.17 8.47 14.51 1963 647 10.05 346.11 157.48 9.23 15.51 1961 6.47 10.38 893.51 159.51 9.18 18.07 1961 8.07 9.45 387.24 1)57.57 8.99 14.72 1960 645 10.98 342.38 157.08 8.87 15.98 1858 6.47 11.52 351.38 159.58 7.33 12.82 net Income to total assets net Income to net worth______ __ sferred dividend, times earned _ Analysis * Operatlefas Met sales ____________________ _____ 100.00 70.89 1849 1.81 % 100.00 88.00 17.95 2.5$ ioS'.oo 68.04 17.22 246 M?.00 69.42 16.24 2.41 % 100.00 89.88 15.25 2.44 % 100.00 70.98 14.90 2.28 Coat of good* sold-------------------------- Selling, general and other expenses.. Depreciation _________________ _____ Taxes excluding Income --___ ---- Operating profit___ ___ _____ _____ Other Income Total Income-- Income deductions -- 9.40 0.77 10.17 0.05 2042 4.59 6.82 11.47 041 11.98 0.05 11.9$ 8.08 6.87 12.18 0.48 12.67 148 11.39 5.82 5.77 11.51 0.60 12.52 1.05 11.47 5.76 5.71 12.45 0.55 13.00 1.35 11.62 6.10 548 0.90 10.98 0.08 11.02 1.08 10.58 5.88 4.90 Net income before Income taxea_____ Income taxes St minority Interact _ Met Income ____________________ -- A8CDMILN9HUOoA7CAT*,rTNT>7onTEX7HErGUdR8nIPOD.nuRErce--RPoTSIlTudrE2IOTZo9YduR8cdEec----1tuM1t.sDscO--1tA2Rs,cD2$&t1e.4C0E9ROf055i1oBn4a8..l6i.ptTni14snsa9g,u8tgi8d03b--CC.0oo;oAhr.dneoismnuh|2atiacs5treatealdpsn.BaddraXiennAbsgkte.fotnNce$tku3er9rwb2e,-e-ffocPooomtImc(oNShrofrfUO-aeaaDnlCRddynjsEdoeesBo3gearcbNpbreOn-inlyeftelatToSiyfntroUoP;rEgetm-urofrrR--blaorpofe6oeEcdsIdr6fsusdeiuop%insftecrisluMfcei%epbtottesi.ad.eepOrd,nnr9oaRCiDdueto9fleuDeia%nIdnxrFddfRcdeigc-uenhI7esefCeebio4t7nrptpeA.r%rmgteamnrTdenaItae$CIundfyOs1erSrtog0eer.pNe0rrepsraepeae.rrpytqdots--.taaeutvr3brrasii0drpmlhIepte,neaea.sr1ddyre,9teoem,rf5i.uefnn8ewsr.t$rnuet1ieeQttr7x)hDdee5,810s11t99poXfXS58afclI91PPAPrk....l.lilsuuush..sAossau2r1512eg5%%./os0%.2;05.2IiIonn0CnoT,ldfosss1rttts|?n9ooo23ccc5s6Pkkk.hrpLaJoIpanprud.aeraul,iyOdrco9ctIfsi0JttS.,%aACn21-ol90F.ls.i2.eo2411ud5.-9#,W34MamI tjiu". w. *** 8York Trust Co.. New York. TRUSTEE--Morgan Guaranty Trust Co., New York. DENOMINATION--Coupon, 2500 and 81.000: registerable as to principal; also coupon, $100 in bearer form only; fully registered, $1,000 and multiples thereof. CStR and denomina tions, interchangeable (except that denom inations of $500 or more may not be ex changed for denominations of $100). CALLABLE--As a whole or in part at any time on or after Oct. 1, 1978, on at least 30 days' notice to Sept. 30 ind. as follows: 1979, 100*4; 1980 100`4; 1981. 100%; thereafter, 100. PURCHASE FUND--Requires company to pay, within 3 business days preceding each interest date cash (or debentures) equal to $350,000, for purchase of debentures at not exceeding par and Interest; sums not so ap- lied within 60 days to revert to company. lebenturea acquired to be cancelled. SECURITY--Not secured; subordinated to LISTED--On New York Stock Exchange. Other Lone Term Debt: Outstanding Dec. 31, 1964, $19,298,269 miscellaneous debt CAPITAL STOCK 1. Corn Products Co. common; par SO eents: AUTHORIZED--30,000.000 shares; outstanding, Dec. 31. 1964, 22447,296 shares; reserved for options, 1.000,000 shares; per 50 cants. Par changed from $1 to 50 cents May 2, 1961 by 2-for-l split. Dividend Record (In 51 Corn Products Refining Co. 1908-19 Nil 1920-22 6.00 1023__ 1145 1924__' 4.75 ($25 par shares) 0)1924- 1.00 1925__ 2.00 1925-- 2.25 1927__ 3.00 1928__ 3.25 1929-., 4.00 1930__ 445 1931__ 4.00 5)193*35 3.00 511936. 3.75 1937-41 3.00 1942__ 2.90 1943-16 2.60 1947__ 3.00 3)1948-53 8.60 1984 1.50 HU96S... 0.75 14 IETo April 24. Dividends payable quarterly, Jan. n to stock of record about Jan. 5. etc VOTING RIGHTS--One vote per share PREEMPTIVE RIGHTS--None. LISTED -- New York, Midwest and Padfa Coast Stock Exchanges. Unlisted tradlarw Boston. Cincinnati and Philadelphla-Btln. more-Washington Stock Exchanges. Also m European Stock Exchanges; Amsterdam Paris, Basle, Geneva, Lausanne and Zurich TRANSFER AND D1VID6ND OlSBUHiSO AGENT--Chemical Bank New York Trust Ce New York. Co-transfer Agents; Harris Tnai & Savings Bank, Chicago; and Bank of Am> ica N. T7 St S. A., San Francisco. REGISTRAR--Registrar Si Transfer Co N Church St,, New York 7; Northern Truit 0*. Chicago; and Crocker-Cltlzens National Bast San Francisco. prior payment of senior debt representing 1954__ 345 1955__ 2.05 Stock Options held by key personnel st Dm borrowed money or renewals thereof. ($10 par fharei) 3L 1984 on 201,320 shares at $1086 to SO.TI t RIGHTS ON DEFAULT--In event of default 1955__ 0.55 1958-57 140 1858__ 1.75 share expire to 1974. OAPITAL STRUCTURE LONG TERM DEBT Issue 2. income debenture 3%s, due 2008 _ CAPITAL STOCK Issue 1. 816% cumulative pfd., 1948 series .. 2 3%% cumulative pfd., 1947 series .. 2. Common ______ GDPrivately held. CORNING GLASS WORKS Rating ffi-- Par Value $1001 1007 8 Timas Amount Charge* Earned Outstanding 1984 1963 $8,300,000 $4247 35.44 Amount Earned per Sh. Outstanding 1964 1963 34,980 she. $1,00141 $792.16 8421,127 aha. 5.12 4.62 Interest Dates A&O 1 Call Price See text Diva, per Sh. Call 1964 1963 Price ($3.50 $3.50 101 1 3.50 3.50 102% 2.50 2.50 ------- Pries Rani* 1964 I* - U..ese Mcaftttf* 1964 93 - 01% J1W- F 100 - 96 B *L 241%-194 lUit-F* HISTORY operates plant at Port Alleghany, Pa., Sedalla, Coming, Nederlandoe Fabriekn, N- Incorporated in New York Dee. 24. 1958, as a consolidation of a New York company of same name originally incorporated in 1875 and Macbeth-Evans Glass Co. incorporated in Pennsylvania in 1889. Business established in 1851 and 1868. On Sept. 12. 1945. merged Coming Realty Co., a wholly-owned subsidiary owning Corn ing Building at Fifth Ave. and 56th SL. New York and certain realty st Coming. N Y In Aug. 1958 purchased remaining 50% in terest in Corning Fibre Box Corp., which was operated as a subsidiary until 1963 when it was merged: now operaetd as a division un der name of Corning Packaging Co. On Nov. 28. 1958, merged Steuben Glass Inc., a subsidiary, now a division. 8UB8IDIARIE8 A AFFILIATES Mo. and Tyler, Tex. for manufacture of hollow glass building blocks, also cellular glass prod ucts sold under trade name of Foamglass used in refrigeration chambers and as a flotation material Owens-Coming Flberglae Corp. (31.04% owned/: See general index. Dow Corning Corp. (30% owned): Incorpo rated in Michigan in 1943 In association with Dow Chemical Co. Operates plant at Midland. Mich, for manufacture of electrical insulating resins, greases, fluids and elastomers re sembling natural or artificial rubber, all gen erally known at silicones. Dow Coming AG (50% owned): Incor porated in Switzerland in 1960 in associate with Dow Chemical Co., to finance and man ege certain interests outside U. S. Industrial Reactor Laboratories, Inc.: g&nized in 1963 to produce glass-ceramic: ware for Continent and United cubv--Plant at Groningen, The Netherlands Electrosil, Ltd., Buckinghamshire. Established in 1963 to manufacture l*""' coOmtphoenrenatsss.ociated companies are cniop* rias Rlgolleau, S. A. (Buenos Aires), drana Santa Marina, S. A. (esc Crlstalerias de Chile, S. A. (JantUfCl J" tro Refractalre and Sovcor Electronj9"*^, (Paris) and Borosil Glass Works bay). BU8INE88 A PRODUCTS visiun auu ibuiu uuiwi, leap ^ nenta; tree ornaments, tumblers. Corhart Refractories Ce, Inc. (wholly- Formed Jointly with nine ither companies neys. tubing, vacuum bottle liner*. owned): Organized in Delaware in 1927. Owns and operates refractories plant at Louisville, Ky. and Buckhannon, W. Va. On Dec. 27, 1958, acquired refractories business of parent. Corning Glass Wortcs of Canada, Ltd. (wholly-owned): Organized in 1945. Owns 105,- S800 sq. ft. plant at Leaslde, Ont. Corning ware for the Canadian market is processed at Leaaide; and plant Is used as a warehouse and distributing point tor Canadian market. earning Glass International, 9-A. (wholly owned); Incorporated in Panama In 1959 with offices at Panama, R.P., Zurich, Switzerland, 717 Fifth Ave., New York and Corning, N. Y. to coordinate export of all Corning and carhart products in all countries outside of the U. S. and Canada. Vidros Corning Brasil, 8. A. (wholly-owned): Organized in Brazil in 1944. Owns 31% of to provide facilities for atomic energy re search programs of constituent companies Began operation early in 1959. Corning Mexicana S. A. twholly owned). Organized in Mexico in 1951 (Inactive). James A. Jobllng Co. Ltd. (England) (40% owned): Stock interest acauired by company in 1954 from Pilkington Brothers. Ltd. Manu factures Pyrex brand ovenware, tableware chemical ware, and industrial specialties in a plant at Sunderland, England. Societo det Verrerie* industrialist Reunie* du Loing "Sovirel" (France) (formerly La Pyrex, S. A.) (30.8% owned): Manufacturers Pyrex brand ovenware, television bulbs, chemical ware and other products at plants at Bagneaux-arur-Loing and Aniche. France Signetics Corp., Sunnyvale, Calif. Majority interest acquired in 1962. Operates plant at and lighting ware, Steuben line m ^ and an glass, cooking ware, 1ah(? ..j* ' insulators, lantern globes, optic*1 .JpgFJ fractory products for chemical. jn*L y ^ and electronics industries etc. ^ a- st any's products are sold under rnlng, Pyrex, Pyroceram and vErfJ Sales offices at coming. N. 5 Chicago, Dallas. Pittsburgh, lanta, Washington, D. C,, Cleveln- F Ontario, Louisville, Ky., Penndei, leigh, N. C., Sunnyvale, Millbrae Cal., Bradford, Pa.. Towson, Australia and Zurich, Switzerland PLANT AND PROPERTIES ,, ^4 Main Plant: Coming, N Y.: Ry5<| rine and aviation signal ware; J and other tubing: coffee maker*: ordinary shares and 18% of preferred shares of Cia vldraria Santa Marina, which operates a glass plant at Sao Paulo, Brazil. Sunnyvale, Calif. Manufactures microelec tronic Integrated circuits for the computer and communications Industry. clal Industrial glassware; optics'^, technical glass filters, ovenware H cooklng utensils. Pilot Plant No- ly S Pittsburgh Co--rni,n--g-.C<,,ar<p,,. (59%tnoawsnseodci)a: tiOonr- Corning Glass International S. A.; Conducts sale of company products outside U. 8. and in this plant. Floor space. 1,Mh.tr Pretsware Plant: Corning. N-** # bulbs. Floor space, 331400 aa. *> Pries 1 4 ij.sjJ r86 .jjrJ 84 - ** ntakaa, I United thsrli , amshtrs, 1 ifsctun I lies srt'' os Alrwl.1 A. l*ao.' (Sent! Elect , Works 1 xja. u xiniyu ah w ^vjli lant: Corning. N. Y.: Machlne- Danville, Ky. Plant: Manufactures bulbs and William H. Armlstead, V.-P. (Tech Staff) rand mall bulbs. Floor space. tubing. Floor area. 270,400 sq. ft. Paul T. Clark, Vlce-Prea. (Lighting Prod.) Harrodtburg. Ky. Plant: Manufacturers Allen W. Dawson. V.-P. (TechProd.) S 0- y. js corning, N. Y.: To study optical and ophthalmic glass. Floor area. 103.- F. P. Hunt, Vice-Pfes. (Ind. Bel.) ,, ftsf*.r!iing methods under produc- 000 sq. ft Malcolm H. Hunt, V.-P. (Electron, Prod.) n*"1*. Floor space. 55.800 so. (t Greenville, O.: Pyrex ware plant. Floor Arthur W. Weber, V.-P. (Mfg. Svces.) coming. N. Y.: Employee's area, 265,000 sq. ft. Thomas S. Wood, Jr., V.-P. (Purchases) and Hall of Science and Raleigh, N. C. Plant: Manufactures elec Oakes Ames. V-P. (T.v. Prod. Dlv.) 0J*?. space. 57,500 sq. ft. tronic components. Floor area, 120,000 sq. ft. J. H. Blerer, V.-P. (Consumer Prod. DlvJ 1^0 ^?gnglnearing Building: Coming. Martinsburg, W. Va. Plant: Manufactures Frederick H. Knight. Secretary machine shop and machine de- Corning Ware skillets, percolators, teamak- Thomas Waaland, Treasurer y C*"uj.^srtmenU. Floor space. 57.700 ers Floor space, 244.000 sq. ft. Robert W. Foster, Controller Bluffton, Ind. Plant: Manufactures glass Henry H. Sayles. Assistant Secretary Coming, N. Y. Includes In for color television bulbs. Floor space, 250,000 William W. Sutcialre, Assistant Secretary hi^sse *!* uell plant and Corning Glass sq. ft. C. H Kruidenler. Assistant Treasurer ^ministration building, 114,100 sq. Paden City, W. Va. Plant: Manufactures Charles S. La Follette, Asst. Tress. Gf*8`^laboratory. 60,100 sq. It.; de- Centura tableware. Floor space, 205,800 sq. ft. J. L. Flynn, Asst. Controller rissn* ""hop, 68,200 sq. ft. Greencastle, Pa. Plant: Final assembly and Honorary Officers co- (Division): Corning, distribution of all consumer items. Floor Harry M. Hosier. Honorary Vlce-Prea. CaSs* Floor space, 170400 sq. ft. space, 600,000 sq. ft. Jesse T. Littleton, Honorary Vlce-Prea Kttc^pecklng plants at Frederick, New York Office: Office building and Steu G. D Macbeth, Honorary Vies-Pres. ben retail shop. Company and associates oc Directors: sfV***uY Plant Chemical and labora- cupy about 33)4% balance leased. Floor space, W. C. Decker, Corning, N. Y. ^ fiso. 7 d other miscellaneous ln- 345,000 sq. It. Amory Houghton, Corning, N. T. r^ware Floor space, 152,000 sq. ft. Danville, Va. Plant: Manufactures Vycor Amory Houghton, Jr,, Corning, N. Y. 2ri I plant: Machine-made bulbs: brand glass and other high quality specialty Arthur A. Houghton, Jr,, New York ornaments. Floor space. 298,- glasses. Charles D. LaFollette, Corning, N. Y. Corning Glass Works of Canada, Ltd.: Lea- George D. Macbeth, Corning, N. Y. Sn n. .. K |, plant: Machine-made side. Ont.: Housewares; warehouse and dis George Muraane, New York j t7id vacuum bottle liners. Floor tributing point Floor space. 105.800 sq ft. Robert D. Murphy, New York IS*Pa. ftpiant: Housewares, table- Corhart Refractories Co* Refractories. Plants at Louisville, Ky., 142.500 sq. ft. and Ware, miscellaneous products. we M**11#.- iQA Bq, ft, mtplant: Electronic components. H'Ti 142 560 sq. ft. 9ff w Vs. Plant: Machine-made Buckhannon, W. Va., 88,000 sq. ft. Livsrpool, Australia: Small plant for manu facture of bulbs for television tubes. Floor space, 50,000 sq. ft. Howard C. Sheperd. New York John R. Kimberly, Neenah, Wise. John B. Coburn, Cambridge. Mass. R. Lee Waterman, Corning, N. Y. William H. Armlstead, Corning, N. Y. Paul T. Clark, Coming, N. Y. Roswell L. Gllpatric, New York ''Tlmlcal and apparatus ware; gauge MANAGEMENT Auditors: Pnce Waterhouse St Co. r<e c5Scelianeous Industrial ware and Rr-ftomSpace. 272,600 sq. ft. Officers: Amory Houghton, Jr,, Chinn, andi Chief Corporate Counsel: Frederick H. Knight. Annual Mttiint Second Tuesday in Aor. r* V??r dkla,, Plant: Laboratory and Exec. Officer Number of Stockholders! Dec. 31, 1864: Pfd.. tl?*-kTnS ware. Floor space 268,600 sq. ft. William C. Decker, Chmn. of Exoc. Comm, 313; common, 14,356. ** Mich. Plsnt: Manufactures tele*5%t,r Floor space. 530.300 sq. ft. R. Lee Waterman, President L. A. Amylon, Staff Vice-Pres. Number of Employees: Dec. 31, 1864, 18,000. Main Offico: Corning, N. Y, fgpdl ACCOUNT COMPARATIVE CONSOLIDATED INCOME ACCOUNT, YEARS ENDED Jan. 3,'65 Dec. 29,'6 Dec. 30,'62 Dec. 31,'61 Jan. 1,'61 <327,612.307 <289417.438 <262,199.886 <229.568.819 <214,871,286 228,432,187 183,784.809 171.154.450 150.058,528 148,931,976 ns. 6c adminls. exps.-------It development expenses. 44,525,631 40,012,758 16,425,935 35,087,885 12,945,628 28.972.485 10,714,483 25,538,706 9,360,782 Jan.3/60 <204,887,424 133.887.424 25,379.686 8.132,645 Dec. 28/58 <159,137,729 108,092,338 18,791.054 8,903.224 CwrtUng proilt------ ---------m 'Atoms ------------------------------trial Income -----------fwsrt. sit. ---------------Uni income tax -------pen Income tax--------- 53,654,489 10,093,354 63,747.843 1,504.534 27,221.000 40.993.938 10,554.273 . 60.548.211 1.708.u90 27464.000 43,011.923 9,592,588 52,504.512 1,407.903 23,100,000 39.823.324 8.835,473 48.658.797 731,897 21.490.000 511,000 31,039,822 10,159,769 41,199,591 710,650 18.026.000 408.000 37,861,411 8,071,216 45.932.627 875,728 20,300.01)0 421,000 27,351,115 6,162.427 23.513.542 749,999 15,600,000 sstlacams . pHCil charge----------------------------- 25,022.308 31475421 28,096,609 25,925,900 22,054,741 2.334,924 24,335,899 17,163,543 in iscomt less special charge Sim turpius. Jan. 1 MWTsd dividends S*oos dividends_____________ -- 35.022,309 128,531,551 128,285 17,041.395 31,575,521 112.126.448 164.848 17.005.570 28,096,609 97.789.264 179,346 13,580,079 25,925,900 85,617.225 191,133 13,559,728 19,719.817 79,627,130 201,252 13,528,470 24,335,899 66,470.956 216,582 10.963.143 17,163,543 59,612.267 228451 10,076,503 temed surplus. Dec. 31______ <144,384.180 <126,531,551 <112.126.448 <97,789464 <85,817425 <79,627,130 <66.470456 Oft-CIENTARY P. St L. DATA fsutentocs St repairs___________ wiosUan, depl. 8c amort._____ z.ias. other than Income_______ Hsu----------------------------------------- <22,692,601 14.871,260 8,310,784 3,972,753 <20,113,272 13.692497 8,833.491 3409.765 <20,093,621 13,054.664 7467,011 2,983,178 <16.406.029 10,853,435 8,711,882 2.515,043 $19,703,401 9,478,793 6.515.625 3,401.836 <17.052,335 8,427,873 5.396.080 1,550,156 <12,611,204 7,984.072 4,183.082 851.851 tlwiudsa related portions of items shown 'Supplementary p. 8c 1. data" shown mgs of Its wholly owned foreign associates and subsidiary companies. not cons- a erf charged to income as additional dspraciatlon for the year. *Is*l,`Ih8ouurnst not separately shown. was; 1964, $943,341 1963, $532,275; 1962, $696,412; Sources and Disposition of Funds (in $1,000): 1961, $1,043,964; 1960, $1,028,099; 1939, $1.436419; Sources of Funds: 1064 1963 6*/^ 1. 1961: Loss on disposition of invest- 1958, $3114480. Net Income _____ <35.022 1*1476 domestic associated companies. |*>dsd with Interest, etc. In 1957-64. "*** Payroll taxes (1964, <4.925431). (c) Commencing Jan. 1, 1954, parent com pany adopted the sum-of-the-years-dlglt* method ol computing depredation of fixed Depr. 8c amort. .. Sale of com. atk__ Other, net_______ 14,873 2484 700 13,691 1412 726 l) Company's equity In undtscJS. ssmlngs of its major domestic companies (Dow Corning Corp.. assets as permitted by the Internal Revenue Code of 1964. The effect of this change on In come for 1954 waa not material Total ________ Dlepoeltlon of Funds: Dividends ___ ! <52,877 <17,169 $47408 $17471 -- Frilobrreeggilas Corp., Pittsburgh (d) In accordance with the Investment tax Capital expend. .. Corp. and from 1957, Sylvania-Com- credit provisions of the Revenue Act of 1962, Pfd. shares ret. -- U.i'VpPrp.) was: 1964. <5,134.800; 1963. IWL1 **. *3.626.438; 1961. <3443,105; 1960, T*UreMny**-3s7h2,a7r3e0;In19u58n,d<is24tr2i7b,u78te8d. earn- the company has taken a credit in the amount L. t. debt red......... of 5529422 against income tax payable for the Invest In sub. cos. year 1962. This credit la to be reflected in in come over the life of the related- property and Total ............... the a__m_o_unt of th tax reduction has been Work. cap. lncr. .. 38,429 463 200 1,819 <58,074 d<5,197 16441 9to6o9 $82 <36,164 f Earnings, years ndd about Dec. 31 (In <) Net Sales Cost and Expenses Operating Oth. Inc. Sc Profit Ded. (Net) Inc. Bef. Income Taxes Taxes Net Common Com. Shs. Earn. Per Income Dividends Outstand. Com. Sh. 48402,201 44.141.289 4,060.912 (1383.885 3.677,027 1492.080 2484,947 1.317.654 2,834.708 0.88 Si.851.710 50,572.664 5479.046 817.701 4,461.345 1.660.700 2.800.645 L311454 2.634.308 1.00 81.295,727 57.145.718 4,150.009 < 549.100 3.600.909 1482.500 2.218.409 1417.154 2.634.208 0.73 67,866,101 60.609.294 7456.807 <1,161.264 6.095.543 2,447.290 3.648453 1.317.154 2.634.30a 145 ,73 i97 782 61.618.194 11.579.588 236.848 11,816,436 4,738.052 7,078.384 2,634.308 2.634.308 248 116.473.981 81.573,689 34.900.292 770.495 35,670,787 18.058.432 17,612.355 5487.366 2,649.533 6.53 115.750.172 93.052.059 22.698.113 1,164.551 23,862.664 13.72i.500 10.141,164 5,318,016 2.659.008 3.70 126.455,784 98.811.014 27.644.770 871.386 28.516.156 18.193.000 10,323.156 5.318.016 2.659.008 3.77 149.294.036 116.779.398 32.514.640 1,524.755 34.039.395 21.358.000 12,681,395 5.318.016 2.659.008 4.66 147,938.842 113.839.904 34.098.938 1.892453 35,991.191 18.501.000 17.490.191 7,977,024 2,659.008 8.48 IS7.663.837 121.559.461 163,053,554 128,446417 38.104.376 34.607,337 2,792.295 38.896.671 20470.000 18.626.671 3,125.418 37.732,753 19.300.000 18,432,753 9.980.655 9.991,530 6,660.020 6.681403 2.76 1.73 JS9.069.721 132.854407 28.215.514 4.817.890 31.033.404 14.500.000 16.533.404 10 052.653 6,707.252 2.43 1S9.137.729 101,786,614 SB/"** *7451,115 6.412.428 32.763.54S 15.600.000 17463443 10.076,503 CONSOLIDATED BALANCE SHEET, AS OF 6.722.052' 242 Jan. 3/65 Dec. 29/63 Dec. 30/62 Dec. 31/61 Jan. 1/61 Jan.3/60 Dec. 28/58 $17414.651 $21,127,183 $15,488,837 $13.329486 $12,845,580 <15.017.508 <16.289,418 curtttwT (it'cost) 21.137.375 30.643.f08 25.506.663 25.971.004 18.562.832 30417,606 28.004.996 35,899454 28.874,060 26.044436 22.483.754 20.143.562 21.435.936 15.802.082 43453.639 40.991.020 35,678,226 33,396.041 35.374.930 28.169,480 21.149.611 524421 740,798 712.869 638.765 738.384 898.988 1.116 145 assets <118429440 $122478449 <103.630481 <95418.850 <87,665488 <95,739416 <82462452 Cash (or debentures) to re- OAPITAL 8TOOK 2% of par of such series thereto!ora outstand I"/:flowing amounts of debentures ^ /SsuOoT 1W3-66; 1375,OOU, 1967-70; MF ^7*455,000, 1977-84; plus optional minimum requirements. *T*iumated eufllciem to retire -rjTt,, maturity. Jg--^ secured. See debenture 3.40s J^nr-Xer details of security. fpwr,,, ADDITIONAL DEBT--Same <ia2*Sbenturis 4%s due 1981. J51* RESTRICTIONS--Company may VctfD .^dividends or acquire capital V~0i ***! voting second preferred) or <8. mated debt. In excess of con- income after Apr. 30, 1959 plus eLje after Apr. 30, 1960 of stock or __ neOt; or If any default has ocp^uconunulng. DEFAULT--Trustee or 25% of ^3 j: mtiy declare principal due and day*' graoe or payment of ln- MODIFICATION -- Indenture rfrt*^5ied. except as provided, with sPfdW&fc f debentures. ^c, proceeds to pay 310,000.000 short Of^iTioans and for expansion of manu^ 'isiiciliUes and distribution system. S*" --. 1125,000,000) at 100 (proceeds to on Apr. 13, 1960 by Eastman 0^'J^a:Securities 6c Co., New York, and rssnsj (1) Outstanding. Apr. 80, 1964, -io4 9i% notea payable each Aug. 1: $850,000, 1972-76; 5925,000. 1977B^iooo 1932-87; balance due 1988; such taunts to be made at prices from 100.27 190 02 in 1987. Proceeds for expanadditional working capital. - -___may not pay cash dividends or "ipimi stock or purchase aubordlSssbt In excess of consolidated net lnimsr Aor. 30.1963 plus 38.000,000 and net from sale after that date of capital zTTxi subordinated debt, or if any default Jacvrrsd or is continuing. 2. United States Plywood Con. 284% enmolative preferred series A: par $100: AUTHORIZED--60,000 shares; Issued, 36,654 shares; outstanding, 32,454 shares; In treasury, 2,774 shares; par $100. PREFERENCES--Has preference with pre ferred for assets and dividends. DIVIDEND RIGHTS--Entitled to cumulative dividends of $3.75 per share annually payable quarterly Jan. 1, etc., to holders of record about Dec 20. etc. DIVIDEND RECORD--Initial dividend of 93% cents paid Oct. 1, 1946; regular dividends paid quarterly thereafter. DIVIDEND RESTRICTIONS--Company shall not pay any dividend (except In junior shares) or make any distribution on or redeem or pur chase directly or through a subsidiary any Junior stock, except to extent that, after Apr. 30, 1946, the sum of (1) consolidated net in come, (2) $1,000,000, and (S) net proceeds from issue and sale of (a) Junior stock and (b) any funded debt or preferred or stock prior or equal thereto converted Into Junior shares, shall exceed the sum of all dividends and dis tributions on and acquisition of Junior stock. DIVIDEND LIMITATION--See debentures above. VOTING RIGHTS--Has no voting power un less six quarterly dividends sue In arrears when preferred series A voting separately as a class, is entitled to elect one-third 01 directors. Consent of 66%% of series A preferred necessary to (1) amend preferred provisions adversely or (2) increase authorized preferred or authorize any prior or equal stock provided thereafter consolidated net tangible assets equal at least twice consolidated funded debt and Involuntary liquidation value of all pre ferred plus capital and surplus applicable to unowned common of subsidiaries. Consent of 66%% of series A preferred is necessary to (1) create funded debt except as provided, including purchase money liens for not In excess of 66 2/3% of lesser of cost or par value of property acquired or (2) issue pre ferred in excess of 60.000 shares unless (a) consolidated net income for 12 consecutive months within 15 months next preceding and annual average consolidated net Income for ing, series A sinking fund requirements will be proportionately adjusted. Callable for sinking fund at $103.75 par share and dividends. ADDITIONAL PREFERRED--May be Issued In senes of equal rank with dividend rate, re demption and Uauldatlon prices and other provisions as fixed by directors subject to pre scribed limitations. LISTED--On New York Stock Exchange. TRANSFER AND DIVIDEND DISBURSING AGENT--Chase Manhattan Bank, New York. REGISTRAR--Morgan Guaranty Trust Co.. New York. PURPOSE--Proceeds were used to retire 4%% series A and 4%% aeries B preferred stocks; balance was added to cash funds. OFERED--(60,000 shares) at $102.75 per share (proceeds to company $100.50 per share) on Aug. 14. 1946 by a syndicate headed by East man, Dillon St Co., New York. 2. United States Plywood Corp. common) par St: AUTHORIZED--10,000,000 shares; outstand ing, Jan. 31, 1965, 6,193,026 shares; July 7,1984: In treasury. 40,262 shares; reserved for options, 505,984 share; par $x shares; par $1. $1 par shares split 2-for-l In May, 1948 in Dec., 1946 and In May 1964. DIVIDEND RECORD (In S> (Calendar years) 1937__ 0.80 1938-- 0.12% 18S9u_ Nil 1040-44 1.20 1945___ 0.60 (After 2 for 1 split in 1945) 1945__ 0.40 1946___ 0.80 (After 2 for 1 split In 1946) 1947__ 0.80 1948___ 1.50 0)1949_ 1.00 1950-- 1.20 0)1951-- 1.40 1952-54 1.40 1955-- 1.70 1956___ 2.20 1957_ 2.00 1958-- 1.62% 1959-- L25 1960-68 LOO 1964__ 1.10 After 2-for-l split: 1964__ 0.60 3)1965__ 0.60 SAlao stock dividends: 1949, t%; 1951, 10%. To Apr. 11. DIVIDEND LIMITATIONS--Ses debentures above. VOTING RIGHTS--Has one vote per share. PREEMPTIVE RIGHTS--None. OFFERED--(53475 shares) at $17 per share la July, 1937, by Bond & Goodwin, Inc., Boston and C. B. Ewart, Inc., New York. SAL funded t; (2) I y mortal tn aied red by ereof a-nd chase l_ndsf iOlldated lasla () i le assets, iropert 250% of debt) preferred i y-owned auta :bt leaa daM l ied; and ,v> 1 fiscal qu erage of c ompleted I rmeeqeubreiereesntm<le--reefnqi'tuiaI I | Outstanding, Apr. 30, 1964, 319,750,000 1st sots* due quarterly; $250,000, Mar. 20, l|T Ose. 20, 1965; $375,000 thereafter to lag 1966; $625,000 thereafter to Dec. 20, IS plus specified mandatory prepayments I Dec. 20. beginning 1964, based on thouj tostd feet of timber cut or sold In ex19 itated amounts. In the event the cum in amount of timber cut or sold from L H, 1963 to Aug. 31 referred to In certl mowing total timber cut or sold ex1 160,000 thousand board feet, company lispey unpaid amount of the note on Sept, i succeeding date of delivery of certlfiby deed of trust covering timber ) acquired from McCloud River r Co.; chattel mortgage on certain ma! and equipment In the mill located on I saber properties and pledge of $825,511 fee Sept. 1, 1980 of McCloud River it.R. i Nyeble: Oustandlng, Apr. 30. 1964, # 1% to 6% notes payable. Detail* not n. three years next preceding plus funded debt interest equals at least three times consoli dated funded debt Interest and all preferred dividend requirements; and (b) thereafter consolidated net tangible assets equal at least twice consolidated funded debt and involun tary liquidation value of all preferred plus capital and surplus applicabe to unowned common stock of domestic subsidiaries. LIQUIDATION RIGHTS--In liquidation, en titled to $100 per share If Involuntary and to redemption price if voluntary, plus accrued dividends in either case. PREEMPTIVE RIGHTS--None. CALLABLE--As a whole or in part on at least 30 days' mailed notice at any time at $102.75 per share and dividends. Not less than ail preferred may be redeemed and none purchased (except for sinking or purchase fund) while any dividends are in arrears. Preferred redeemed may not be re issued. Also callable for sinking fund, which see. SINKING FUND--Annually In each fiscal year, a sum equal to 2% of par value of great est number of shares of series A preferred Offered (50,000 shares) Sept. 13, 1940, at $25.75 per share by a syndicate headed by Eastman, Dillon 6c Co., New York. 20,000 were sold for account of certain stockholders and 30,000 represented company financing. Offered (50,000 shares) July 14, 1043 at $41.75 per share (proceeds to company, $39.25 per share) by a syndicate headed by Eastman, Dillon 6c Co., flew York. Offered (100,000 shares) May 9, 1945 at 128.50 per share (proceeds to company, $27.10 per share) by a syndicate headed by Eastman. Dillon 6c Co., flew York. Offered (140,000 shares) In Mar., 1955, aa secondary offering by Eastman, Dillon 6c Co., New York, at $38,625 a share. LISTED--On New York, Pacific Coast and Vancouver Stock Exchanges; unlisted trad ing on Philadelphia - Baltimore - Washington Stock Exchanges. TRANSFER AND DIVIDEND DISBURSING AGENT--Chase Manhattan Bank, New York and Canada Trust Co., Vancouver. REGISTRAR--Morgan Guaranty Trust Co., New York. Stock Options held by officers and employ .-"fit fobsldlary Debt: Outetandlng, theretofore outstanding; provided, that if sink ees at Apr. 30, 1964 on 225,350 shares (giving eferred) 01 ` debt, to*?? m 33.342,820 6% series A and Bfirst ^ bonds. ing fund tor any other series of preferred Is established requiring an amount In excess of effect to 2-for-l split In May, 1964), atprtcaa from $14.08 to $81.90 a shara expire to 1972. : toerr sAupbt-ordBBJ"^l ,ooo of *]r TAi STRUOTURI OWENS-ILLINOIS, INC. nation -rl ept a* JtOtt debenture*- or expansion i dlstributi^ ntie a6t. 1W9O56_ rk, anu ywood d* g--Baa 0,000; outi 1985. ,. office of' luaranty Coupon; fully /eg >les. C * rvlce chart-] whole or f aa .. 1f0o4l9io8 **'!1 -- 10415 110023-40 1__ 10166 l... 10083 5-- 10000 not be cato money* bof . sinking funfij 1TXRM DEBT .__ Issue 1ISalssory notes_______________________ Jrtmturs 3%s, due 1988 --------------roggn subs, debt, 1965-77 ------------ Rating It Value Amount Outstanding $44,000,0001 46,000.000) 3.322,222] Times Charges Earned 1964 1963 21.39 15.60 Outstanding Earned per Sh. interest Dates Call Price 3)104.40 Diva, par Sh. "Call Price Range 1964 1961 %- 90% if'Vjj Price Range Issue .;* STOCK ) cum. preferred i,.. I------ Par 8100 3.12% Amount 1964 1963 574,954 sha. -974.20 $44.94 3)14.722,100 Msh4a.i U00U2B.7.I2S%7] |33))2S.(147l % 1964 $4.00 62i.5w0V 1963 Price 1964 $4.00 3)103.50 101%- 97 2e.5>0vv > 410w8%;|-- w8w5%7* 196$ 105 - 96 8a9*%)|-- 72% *t*ly held. [^Reflects...2.-..fo..r.-.l.. split In Apr., 1965. GQAdjustod for 2-for-l split In Apr., 1965. fflSubject to change--text 'low ^Knuted in Ohio, Dee. 16, 1907 aa The On Sept. 16, 1953, acquired 50% interest In Plax Corporation (Del.), from Emhart Manu Brush Machine Co. (Ohio), former subsidi aries. Also formed Bristol Paper Products leulT-*orMpoacrahtilnoen Cofotrhpe., ssaumcceenssaomret,oInaspt. 3, 1903. Charter is perpetual. facturing Co. at a coat of $8,000,000 (aold in 1957). On Oct. 4, 1956, merged National Container Corp. (Pa.) (liquidated Dec. 1961) and North eastern Container Corp. (now Forest Products Corn.) (Pa.), as wholly-owned subsidiaries. U... j--"4 to The Owens Bottle Co Apr. Owena-DUnoii Glass Co. Apr. 17, title adopted May 1.1965. e<] l2J?Iunednut satrciqaul Misiatinounasl,s. see Moody's isl.'SPPsny purchased Samertc, Inc., C. /. manufacturer of thermo` -- .*d closures for glass and metal wl plastic articles. i,V "52 company sold American j division to Robert Gair Co.. Corp. (Del.); reincorporated In Ohio and op erated aa a subsidiary. Under the plan each common share was exchanged for one-fifth share of $100 4% preferred and one-fourth common share and each preferred share for 352/1000 of a preferred share and 44/100 of a common share. Exchange required 322,991 pre ferred shares and 1,028739 common shares. Company's Kaylo Division, manufacturing a fireproof Insulating hydrous calcium sili cate material, was sold to Owens-Coming On Nov. 2, 1959, acquired entire capital stock of Keystone Brass works (Pa.) for 19,459 com mon shares; renamed Llbbey Plastics, Inc., a wholly-owned subsidiary. In 1961 company Jointly with National Dis tillers and Chemical Corp. formed National Petro Chemicals Corp. New Company built a plant at Houston for manufacture of hlghdenalty polyethylene. 8UB8IDIARIE8 ^UO.701 and 400,000 shares of Gair Flfaerglas Corp. in May, 1958. Company la primarily an operating com 1 Mi,0*- Transaction Involved paper- In Sept., 1959, properties and Inventories of pany. *4 oSrWfJ: fcfchart, Ind.. and Middletown, Owens-Illinois Plywood, Inc. (Vt.) were sold On Dec. 31, 1964, hold 100% voting power in at Elkhart. Chicago and to Roddls Plywood Corp. and subsidiary the following subsidiaries: ' Dm , j Mien. liquidated. Also in 1959, company liquidated Name, place of Incorporation and business: L>- ' ** 1962, formed Owens-Illinois Glasco Products Co. (HI), National Container Owens Inc. (Ohio) formerly Closing Vrhlnsc Carp., wholly-owned. Corp. of Mich. (Mich.), and Toledo Automatic Inc. 1792 MOODY'S INDUSTRIAL MANUAL Cristalerla Peldar, S.A. Owens-Illinois (Ventaa) S.A. glassware, KIMAX borosllicate glassware, glass pipe, glass tubing and rod and products Eighteen fa_cto__ri_e_ of foreign co, in which com_p_a__n_y__h_oilddss aa 5500%%"--or } Owens-Illinois Inter-America Carp. (Ohio)-- made from them--such as ampuls, vials and terest. are located as follows: , $231,262,000; 1959, .. Disposition of mi Bells company products in Western Hemis syringe cartridges; Llbbey Products-glass Colombia (3). two each in Belgium of Funds: 1964 phere outside of the U. S. Marinette, Tomahawk A Western R.R. Co. tumblers, stemware, and tableware, and mel and Venezuela and one each in Can amine dlnnerware; Industrial and Electronic Italy. gt-------- $42,660, ,rt-, etc- 28,227, (Wise)--(see Moody's Transportation Man ual). forest Products Corp. (formerly Northeast ern Container Corp.) (Pa.) O-I Services. Inc. (Ohio) 0-1 Timber Corp. (Wise.) Valdosta Southern R.B. Co. (Fla.) Sao Raimundo, Participacoes e Representacoes, Llmltada (Brazil) Owens-Illlnoia de Venezuela, C.A. (Venezuela) Owens-Illinois of Canada Ltd. (Canada) Owens-Illinois of tne Bahamas. Ltd. (Ba hamas) Durobor SA. (Belgium) Owens-Illinois International S.A. (Switzer land and Panama) Gerro Xarton, GmbH (Germany) (25%) Manufacturera de Vldrlos Pianos, C. A. (96%) Other Investments: As of Dec. 31, 1964, Owens-Illinois Glass Co. owned 2,099,927 common shares (about 31%) of Owens-Coming Flberglas Com. (see general index). Amount includes 574,954 shares reserved for exchange Products-glass television bulbs (black and white and color), special purpose bulbs and other glass parts for industrial and mili tary uses, special property glasses for fibre optics and electronic components, glass block, line Insulators, and miscellaneous pressed ware. Plastic Products Division: blown and pres sed plastic containers and other plastic pro ducts. International Operations: glass containers, glass block, metal and plastic closures, plas tic containers, glass television bulbs, vacuum bottles, glass stemware, tumblers, cast glass, glass tubing, and window and other glass products. PRINOIPAL PLANT8 * PROPERTIES Operating facilities are located as follows: Alton. HI. Atlanta, Ga. Baltimore, Md. Kansas City, Mo. Lake City, Pa. Lakeland, Fla. MANAGEMENT Officers J. P Levis, Chmn. of Bd. & R. H. Muliard, President H. C. Laughlin, Exec. Vlce-Preslu S. L. Ralrdon, Exec. Vice-Presidm H. E Graham. Exec. Vice-Pres)SSS1 E. C. Jones, Exec. Vice-President E. D. Dodd. Exec. Vice-President A. M. Turner, Exec. Vice-President G. S. Babcock. Vice-President ^ K. K. Hepp, Vice-President R. F. Miller, Vice-President J. W. Hackett, Vice-President H S Wade. Vice-President W. J. Stewart, Vice-President P. W. Hancock, Vice-Pres. 8c TV.., M- G. Belshllne. Vice-President 7. M. Canter, Vice-President S. F. Davis, Vice-President W. B. Owen, Vice-President E R Owens. Vice-President l. Inc. .ce re- 4432 of Earnings, year Net Sales 174.584.341 168.671.142 196.259.500 231,310,180 224,396.075 223.82b.827 282,042,898 309,774.611 293 181,523 333,024,055 336,708,809 370.347,666 435.974,236 510,486,850 508,459431 _ 8HEET8 see 4% preferred, below. Big Island. Va. Also owned 80,000 shares of Container Bradford. Pa. Los Angeles. CaL Madison, 111. C. F. Babbs, Vice-Pres., Sec. A Asst' r: Counsel Corp. of America (see general index), 102,000 Bridgeton, N. J. shares of Monsanto Co. (see general index) Bristol, Pa. and 74,428 shares of Pennsylvania Glass Sand Brockport, N. Y. CoCropm. (psaene--ygm ealnseorahlaisndmeax)jo. rity Interest in Ac- Charlotte, Mich. Charlotte, N. C. tlesn-Gesellsichaft der Gerresshhieimer Glashut- Chicago 111. Clrdevllle, O. Chicago Heights. DL ___ ____ Dispel ____ Cincinnati. O. minority interest Nippon Electric Glass Co., City of Industry, CaL Ltd. (Japan). Clarion, Pa. BU8INE88 AND PRODUCTS Columbus, O. Corona, Cal. The general organization is composed of an administrative division and five operating divisions. Glass Container Division: glass containers, corrugated and wood shipping containers, for Company products, molds, machines, ma chine parts, Inks, dies, sand, blown plastic containers, metal and plastic closures, and plastic fitments for glass containers. Detroit. Mich. Durham. N. C. Fairmont. W. Va. Flint, Mich. Gas City. Ind. Glassboro. N. J. Godfrey, 111. Huntington. W. Va. lone, CaL Jaite. O. Memphis. Tenn. Miami, Fla. Minneapolis, Minn. Muncie. Ind. New Orleans, La. Newark, N. J. Newberry, 8. C. Newburyport, Mass. North Bergen, N. J. Orlando, Fla. Pacific Grove, CaL Portland, Ore. St Charles. 111. Salisbury. N. C. San Jose. Cal. St. Louis, Mo. Streator, 111. Toledo. O. Tomahawk, Wise. Tracy, Cal. Valdosta. Ga. Vineland, N. J. Waco. Tex. K. E. Tigges, Comptroller Directors E. C. Arbuckle, Stanford, Cant SH. E. Collin. Toledo . A. Costanzo, New York R. K. Graham, Toledo BA. J. Hettinger, Jr., New York J. A. Hill, Hartford, Conn. C- E. Janssen, Brussels, Belgium H. C. Laughlin. Toledo tUJ. P. Levis, Toledo R. H. Levis, n. Alton, I1L H. McIntosh, Toledo gjR. H. Mulford, Toledo S. L. Ralrdon, Toledo E)J. T. Rohr, Toledo R. L. Snideman, Pebble Beach, Calif A. M. Turner, Toledo [DMember oi Executive Committee. Directors Emeritus W. H. Boshart, W. W. Knight. Auditors: Arthur Young A Co. ,,id A demand di ,, A short-term se laible securities icc ifc accounts recelva ies cons. & other huterials Inventory kin process A fin. f (aspenses-----------/current assets... ^security lnvestmei i A adv. to fgn. su) Lin other fgn. com A non cur. receive 1m natural gas pre plant & equip depL A a: r y account _nt A expense derred charges repair parts Forest Products Division: contalnerboard No. Kansas City, Mo. Warsaw Ind. General Counsel: Fred E. Fuller. (knit and linerboard, semi-chemical corru gating medium, and lightweight chip), cor rugated and solid fiber shipping containers, multiwall paper bags, plastic shipping sacks, composite fibre cans, and products of tall oil fractionation. Oakland. Cal. Jersey City, N. J. Wayne, N. J. Worcester, Mass. Company has, in West Virginia, an undivi ded half interest in 170,977 owned or leased acres of gas rights on which there are 793 wells supplying its Charleston and Hunting- Annual Meeting: Third Wednesday la Al at Toledo, O. J No. of Stockholders: Dec. 11. IN*: " ferred. 5,100; common, 23,145. No. of Employees; Dec. 31, 1964. (Md, . payable, etc. .. interest----------salaries and wa general taxes .. ssL Fed. A fgn. Consumer and Technical Products Division: ton plants and Charleston plant of Llbbey- General Office: Owens-Illinois Bldg, Kimble Products-scientific and laboratory Owene-Ford Glass Co. son Ave., Toledo 1, O. INCOME ACCOUNTS COMPARATIVE CONSOLIDATED INCOME ACCOUNT. YEARS ENDED DEC, II (Taken fro_m_ reports filed with Securitiesjmd Exchange Commission^ 1964 1963 1962 (D1961 J1990 Net sales A other operating rev-----HUE Cost of sales, royalties paid, etc-- A adm. expenses. $693,560,200 560.464,315 64,758.587 $654,083,586 532.744,843 61,778,237 $627,766,444 511,513,887 59,778,902 $596,424,618 480,474,567 58.892.022 $561,042,319 447,018,037 56,514,281 1959 <552,676.933 420,919,431 53,425,878 carrent llabllll debt.............. some taxes . rebuilding fv illities........... (par $100 (par $645 Operating profit____ _-- Dividends received___ ________ ____ Interest received _______________ -- Miscellaneous other income 68.337.298 3.944,168 1,517,540 4,725,286 59,560,486 3,671.616 916,641 2,563450 56,473,655 3,770,729 1,017,820 2,505,811 57,058.027 3,641.048 1,895,775 3,697.073 57,510,001 3,663,415 2,166,035 1,672,971 78.331.624 2.938.575 1.974.545 1414.553 LUS s Total ______________ ____ _-- Provision for bad debts Interest expense_______________ ___ Sundry expenses A losses (net)------- 78.524.292 1,166,944 3,622,184 4125,337 66,701.993 505.207 3.557,855 22,684 63,768.015 882496 3,865.797 i 40,350 66.291.923 278,126 3,733.975 420,911 65,012,422 81,754 3,474,236 169,327 84,759,297 42.508 3,561.940 1.103.495 Total income before taxes______ -- XProvision for Federal Income tax.. Net IncomeUSpeclal item____________ Net Income to surplus Earned surplus beginning of year__ Preferred dividends Common dividends XEarned surplus, end of year... 73.860.501 31,200,000 42,660,501 42.660401 228,005,645 2,522,855 18,379,153 $249,764,138 62,616.247 27,500.000 35.U6.247 cr 4,411,456 39.527.703 209,996.616 3,214,243 18404,491 $228,005,645 59,060,172 25.900.000 33,160,172 33,160.172 108,387,434 3,278,184 18472,808 $209,996,816 81.858.9U /27.500,000 94,358.911 94.358.911 184,517.247 1,047.088 3,291,724 18,244,088 $198,387,434 61.287,105 28,100,000 33,187,105 dr 3,747,122 29,439,983 176,577,590 3,291,964 18,208,462 $184,517447 80.031.354 39,200,000 40.831.354 40.831.354' 156.936.517 s'isTiii 17.89S.317 $176477490 SUPPLEMENTARY P. A L. DATA Deprec., depl. A amortization____ _ XMolds charged to expense Maintenance A repairs____________ XTaxes (other than Income) XRents Royalties $28,159,998 12,462,785 37,931,761 19,044,134 9,760,568 519,582 $26,788,310 11,170,272 35,036,433 18,680,171 8,155.131 469,525 $25,986,949 11,173,897 33,068.088 17,484.388 4,208,112 486426 $22,725,692 10.297.399 31,092412 15,498,155 3,886,325 592,472 $19.490467 11,402,208 31,463,059 14,409,221 3,682,040 1,221.046 $17,889,494 9.244.310 27.477.081 12.891.09* 3.528.131 i.i48ja [TIncludes foreign subsidiaries not previ ously consolidated. XAdjusted to include foreign subsidiaries: Net sales. $569,395,656; net Income. $33,793,411; retained earnings, $185,564,335. TIncludes payroll taxes (1964, $10,467,009). SICost of sales and other operating expenses (Including depreciation, depletion and amor tization: 1964, $26,425,673. 1963. $25,123,336; 1962, $24,471,829; 1961, $21,302,449; 1960, $18,213,882; *959, $16,941444; 1958, $17,611,936; and research and engineering expenses: 1964, $31,534,639; 1963, $19,170,282; 1962, $16,179,716; 1961, $13,118470; 1960, $13, 165.747; 1959, $12,321,631; 1958, $11,747,430. XIncludes related portiona of items shown under "Supplementary P. A L. Data" below statement QQAt Dec) 31. 1964, $77,800,000 of earned sur plus was restricted as to cash dividends on common stock. HI1964: Includes machinery and equipment rentals of $4,955,935. BD1964-62: See under Depreciation policy below. 1961: Includes $1490,000 prior years adjust ments. XDomestic companies provide no deprecia tion on molds. The amount at which molds are carried in the accounts represents (a) the value therof at Dec. 31, 1930 as inventoried by independent appraisal, plus (b) certain additions for molds acquired from companies whose assets were purchased and (c) addi tions for molds for new products, minus (d) molds specifically allocs*-*! to plants sold In their entirety. All other new or replace ment molds are charged to expense. In general, foreign iuo>~'-- ., molds to property accounts sm costs over the lives of the "Jr (er-- 551961: Retained earnings sidlaries not previously con*"-:, gjg 511963: Gain on sale of Hocz Can, Inc. less applicable Feo" ($1,^65,664). ab1le96s0:anLdosIsnveonntoCrieubs.anlJJJJJZJr ie*m * in^irovlslon for federal inew- ca1b9le58:FeGdaeirnal oinncomaeletaxe*^ of Continental Can cgj'o.llT; of Kaylo Division. $2."-^ Oenr, Total ealariM, wage 1963, $272499,000; ** -- -- ACCT---AN St cost----- or sales _ctions ---RESERVE--A " charged to <ewala char: Itions------icttona____ Includes 196 k `ML 864,06' Owens-Ci Note X b` optional Capital value : 428.822 194 1 comn :hai vom - shares BA. " ties C