Television digest with electronics reports (Jan-Dec 1957)

14 Financial & Trade Notes: Officers & directors stock transactions reported to SEC for Nov.: Admiral — Ross D. Siragusa bought 6500 personally, 1000 thru trusts, holds 260,867 personally, 70,808 in trust; John B. Huarisa bought 2000, holds 101,731. American Bosch Arma — Wm. S. Wasserman sold 924 through trust, holds 17,100 personally, 4734 in trust. American Electronics — Clifton W. Reed sold 200, holds 5500. AT&T — James F. Bell bought 112, holds 1237. Emerson Radio — Max Abrams bought 1500, holds 83,209 personally, 6655 in trust, 63,801 in foundations; Harold Goldberg bought 200 Emerson Radio, holds 500. General Dynamics — Joseph T. McNarney sold 3000, holds 513. GE — James M. Crawford bought 2736, sold 600, holds 6370 personally, 300 for wife; Wm. F. Herod bought 292, holds 8789; John D. Lockton bought 3000 GE, holds 5019. Hoffman Electronics — C. E. Underwood bought 1000, holds 3500. Lear Inc. — Albert C. Keske sold 500, holds 907; Albert A. Rorison bought 300, holds 563. Minneapolis-Honeywell — T. McDonald bought 500, holds 4000; A. M. Wilson bought 1000, holds 4407 personally, 300 in trust; J. J. Wilson sold 400, holds 85,680. Paramount Pictures — Y. Frank Freeman bought 500, holds 5200. Philco — Wm. Fulton Kurtz bought 300 thru trust, holds 500 in trust. Skiatron — John H. Laub bought 1500, holds 2800; Arthur Levey bought 10,000, sold 190; holds 454,581. Sylvania — Howard L. Richardson bought 198, holds 773. Tung-Sol — George W. Keown bought 200, holds 850; Jean E. Witbeck bought 100, holds 3751. Whirlpool-Seeger — Donald D. Alexander sold 1200, holds 10,800. Group Securities Inc., mutual fund offering shares in various groupings, reports that its Electronics & Electrical Equipment Share Group had net assets of $2,919,335 market value as of Nov. 30, 1956 compared with $2,641,545 year earlier. Holdings in that category, with market values as of closing Nov. 30, 1956 (1955 comparisons in parentheses) : 5600 Admiral, $75,600 (4800 & $106,200) ; 3400 Allis-Chalmers, $104,550 (1700 & $114,750); 4500 Bendix Aviation, $253,125 (2400 & $136,200) ; 6600 CBS “A,” $193,875 (5100 & $130,687) ; 5500 Comell-Dubilier, $137,500 (3500 & $126,875) ; 3000 Cutler-Hammer, $187,875 (1500 & $116,625) ; 5500 General Electric, $325,875 (2500 & $134,375) ; 7000 IT&T, $207,375 (5000 & $141,250); 1000 McGraw Electric, $69,625 (1500 & $74,625) ; 4000 Motorola, $158,000 (4000 & $191,000) ; 10,000 Norden-Ketay, $76,250 (10,000 & $126,250); 6060 Philco, $100,748 (5500 & $178,750); 4000 RCA, $144,000 (2500 & $114,687) ; 7000 Sperry Rand, $154,000 (6500 & $165,750) ; 4400 Square D, $127,050 (3000 & $153,375) ; 4500 Sylvania, $209,812 (3500 & $157,062) ; 1500 Westinghouse, $76,875 (2000 & $118,500); 2500 Zenith, $263,125 (1700 & $225,250); other assets, $54,075 ($65,507). Dropped during year: 3700 Raytheon, $63,825 as of Nov. 30, 1955. AT&T had net income of $617,200,000 ($10.75 per share on 57,423,000 common shares outstanding) in 1956, compared with $546,045,367 ($10.77 on 50,705,669 shares) in 1955. For quarter ended Dec. 31, net income was $163, 520.000 ($2.60) vs. $143,772,730 ($2.79) in same ’55 period. Kay Lab’s 1956 sales exceeded $3,000,000, more than double 1955 volume, and outlook for 1957 is so encouraging that $250,000 addition to San Diego plant is being constructed, with occupancy set for April, reports pres. LaMotte T. Cohu. Decca Records sales in 1956 approximated $26,000,000, compared with $22,610,809 in 1955, stated pres. Milton R. Rackmil. Earnings were equivalent to about $2.75 per share, as against $2.37 in 1955, he said. Trav-Ler Radio had not loss of $42,000 on sales of $5, 960.000 in 6 months ended Oct. 31, comi)ared with net loss of $7000 on $7,826,000 in corresponding 1955 period. Signs of the TV times: “The experience gained from your company’s initial activity in the TV field warrants substantial expansion,” writes Warner Bros, pi’es. Jack L. Warner in annual report received by stockholders this week. “The series of Cheyenne and Conflict pictures produced for weekly showing over the ABC-TV network have achieved high ratings among the nation’s network shows. They will be continued, and additional series now are in the planning stage.” PRM Inc. (Lou Chesler, Eliot Hyman, et al) paid Warner Bros. $21,000,000 for over 700 pre-Dec. 31, 1949 features for TV release (Vol. 12:9), on which profit after taxes and expenses amounted to $15, 295,000 ($6.16 per share) ; pictures were carried on the books at nominal values, Warner reported, and Commissioner of Internal Revenue ruled profit is taxable on capital gains basis. PRM Inc. note for $5,000,000 was negotiated with First National Bank of Boston, New York Trust Co., Guarantee Trust Co. of N. Y. Warner Bros, net profit for year ended Aug. 31, 1956, followed trends recently noted in motion picture industry generally (Vol. 12:52): On income that went up slightly to $77,419,000 from $76,991,000 in preceding fiscal year, net profit from operations, exclusive of the $15,295,000 profit from sale of old films, fell to $2,098,000 (84if per share on 2,482,247 shares) from $4,002,000 ($1.61 on 2,474,271 shares) in preceding year. Note: New TV film studio offices, including 26 editing rooms and 26 suites accomodating producer, director, unit mgr., writer & secy., will be provided by Warner Bros, in 2-story $600,000 building on Burbank, Cal. lot. Construction of expanded facilities starts in Feb. Walt Disney Productions’ income from TV rose to $6,996,890 in fiscal year ended Sept. 29, compared with $4,444,378 in preceding fiscal year, it’s revealed in annual report showing consolidated over-all earnings of $2,623,541 ($2.01 per share on 1,305,680 common shares outstanding) on gross income of $27,565,394. They compare with net profit of $1,352,576 ($1.04) on gross income of $24,638,652 in preceding fiscal year. Film rentals declined to $15,054,742 from $17,670,083, publications, character merchandising, music and other activities, $5,513,762 vs. $1,097,705. Disneyland Park had accumulated retained earnings of $617,929 after deducting $887,692 pre-operating expense, $2,304,029 depreciation, $649,400 provision for income tax. Cornell-Dubilier sales for fiscal year ended Sept. 30, 1956 were $33,107,016 and net income was $1,085,047 ($2.01 on 512,390 shares of common outstanding) vs. $34,955,172 & $1,809,002 ($3.41) for preceding fiscal year. Unexpectedly slow growth of color TV sets, which use 3 times as many capacitors as black-&-white, was one of reasons cited by pres. Octave Blake in annual report as retarding factor in sales & earnings, plus recession in automotive industry, but he stated recent component price increases should have “beneficial effect” in next year. Among recent developments are automation machines for making capacitors, increased production of printed wiring panels, new tantalum electrolytic capacitor which contains no electrolyte, new line of subminiature aluminum electrolytic capacitors. Proxy statement for Jan. 23 annual meeting discloses $106,039 as fiscal year’s remuneration to pres. Blake, holder of 37,512 shares of common, which includes half the 7139 shares held by estate of I. 0. Blake in which Octave Blake has half interest; first v.p. Wm. Dubilier holds 222 shares, exec. v.p. Haim Beyer 2060, exec, v.p. Paul McK. Deeley 61. Television-Electronics Fund reports net assets of $138,209,373 as of Dec. 31, equal to $11.79 per share (on 11,724,172 shares outstanding) after giving effect to 55.74 per share capital gains distribution Nov. 30. Net assets Dec. 31, 1955 were $116,730,597 ($11.55 on 10,107,667 shares) .