Weekly television digest (Jan-Dec 1963)

10— TELEVISION DIGEST JANUARY 7, 1963 AT&T posted record earnings of $1,384,252,000 on peak sales of $8,941,594,000 in 12 months to Nov. 30. In year earlier period, AT&T earned $1,271,086,000 on $8,368, 960.000 sales. Sharp sales & profit gains were recorded in quarter to Nov. 30. Sales climbed to $2,269,349,000 from $2,150,421,000 in Sept.-Nov. 1961. Earnings rose to $347, 352.000 from $329,657,000. Chmn. Frederick R. Kappel said earnings were not increased by tax credits on equipment purchases as authorized by Revenue Act of 1962. “In our opinion, this credit should be accounted for as a reduction of the cost of the construction that gives rise to it,” he said, “and not as an increase in profit in the year when the new equipment is acquired.” GTE showed record sales & earnings in 1962, Chmn. Donald C. Power notified stockholders, adding: “Despite the somewhat unsettled nature of economic conditions, we believe that our revenue, sales & earnings will continue moving ahead to new records” in 1963. Sales & revenues climbed some 8% to more than $1.3 billion from 1961’s $1,227 billion. Profits, he estimated, rose about 15% to more than $85 million from $73.8 million. Manufacturing sales also set record. Assets increased to more than $2.5 billion from $2.4 billion at 1961’s end. ITT netted record income in 1962 as sales rose 15% and topped $1 billion for first time. Pres. Harold S. Geneen predicted profit’s “upward trend” would continue in 1963. He estimated 1962 sales at $1,066 billion — up from 1961’s record $930.5 million. Backlog at year’s end was 6% ahead of year-earlier’s $731 million. Geneen said ITT’s 1963 R&D spending will top $157 million, noted company will continue “its active program of acquisitions.” Transitron Electronic will establish $5 million fund to settle lawsuits filed by several mutual funds & other stockholders if U.S. District Court in Boston approves at Jan. 28 hearing. Suits charge Transitron with “false & misleading” statements filed with SEC in connection with public stock offerings in 1959 & 1960. Chmn. Leo Bakalar & Pres. David Bakalar will furnish $5 million for distribution to qualified claimants, but “deny any liability.” They said “our prospectuses were honestly & carefully prepared, but we want to dispose of the lawsuits so that we can build up the company in the future without being distracted by litigation.” GE has made gift of its $1.9 million Anniston, Ala. plant & 116-acre tract to Anniston City Commission. GE announced plans in Nov. to close vacuum tube production plant (Vol. 2:47 p9), has been unable to sell or rent it. Requirement that Anniston use plant for “a public purpose” & not sell it for 5 years may indicate GE plan to deduct book value of property as charitable contribution for tax purposes. Citroen Electronics, Los Angeles tape recorder manufacturer, has been re-named Freeman Electronics, reported Chmn.-Pres. Eugene Freeman. Company will continue Citroen brand. EIA has defined 134 terms used in design & manufacture of closed-circuit TV. Copies of bulletin are available at $2 each from EIA Engineering Dept., 11 W. 42nd St., N.Y. 36. Commercial nuvistor tube — RCA’s 12th — has been added for use as RF amplifier tube in multiple antenna systems & antenna-system booster-amplifiers. New antenna designed for color, the “Color Guard,” has been introduced by TACO at $17.95 list. Factory transistor sales in Oct. & year to date continued familiar pattern: ahead in units from year earlier, down in dollar value. EIA reported Oct. gain in unit sales to 20,905,793 from Oct.-1961’s 18,232,530. Dollar value sagged to $24,001,640 from $24,018,037. Jan.-Oct. sales soared to 200,303,304 units vs. 154,407,230 in 1961’s first 10 months. Dollar value slumped to $242,573,551 from $250,620,519. Here are EIA’s figures: 1962 1961 Units Dollars Units Dollars January 17,238,376 $ 21,469,698 12,183,931 $ 22,965,167 February 20,239,880 24,161,166 13,270,428 25,699,625 March 22,932,665 28,202,422 16,129,273 29,815,291 April 19,621,048 26,097,960 16,072,064 27,388,278 May 21,217,919 24,961,738 16,128,181 25,113,042 June 21,776,037 26,374,366 17,899,005 26,148,746 July 15,434,206 19,476,017 11,227,388 17,506,011 August 20,369,281 24,128,668 17,193,860 25,155,627 September 20,668,110 24,729,997 19,386,202 27,220,248 October 20,905,793 24,001,640 18,232,530 24,018,037 Totals 200,303,304 $242,573,551 154,407,230 $250,620,519 Reports & Comments: Taft Bcstg, report, Goodbody & Co., 115 Broadway, N.Y. 6. • Hallicrafters, review. Sincere & Co., 231 S. La Salle St., Chicago 4 • Thompson Ramo Wooldridge, brief, Cohen, Simonson & Co., 25 Broad St., N.Y. 4. Ampex expects fiscal-1963 sales to jump more than 10% over $84.1 million volume of fiscal 1962, ended April 30. Pres. William E. Roberts also forecast “substantially greater increase” in profits. “All divisions are showing excellent increases in sales & earnings,” he said. Ampex has introduced 15 new products since start of new fiscal year, will add 10 more by April. More than $9 million have been earmarked for R&D activities in fiscal 1963. Texas Instruments has slated special stockholders meeting Jan. 21 to seek authorization to grant new stock options for those outstanding. Internal Revenue Code permits new options on current market prices if monthly stock price over 12-month period averaged less than 80% of option’s initial price. Pre-Publication Orders for Factbook No. 33 Orders are now being taken for the 1962-63 Television Factbook. Beginning with this new upcoming issue, based on last year’s greatly expanded format, the book will be published once a year only — not Spring and Fall as in past years. The new Television Factbook will again provide station area coverage at a glance — contour maps of all commercial stations as filed with the FCC, showing Grade A & Grade B coverage. On the same page for the station will be published American Research Bureau’s: (1) Total net weekly circulation. (2) County-by-county total households, TV households and percentages of TV-set penetration. These figures, presented in tabular form, will also be shown graphically in tone on each map. In addition, extensive space will be devoted to the other regular features that have made this comprehensive book since 1945 the industry’s leading marketing and reference work. Pre-publication copy price is $12.50; 5 or more, $10.50. Regular price after publication, $15.00; 5 or more $12.50. To take advantage of pre-publication savings, write: Dept. 12, Television Digest, 911-13th St., N.W., Washington 5, D. C.