Television digest with electronic reports (Jan-Dec 1959)

18 JULY 27, 1959 New Philips Combine: Formation of a new electronics electrical-pharmaceutical firm with sales totaling more than $90 million annually and a net worth of $50 million — composed largely of Philips companies in the U.S. — was started last week (Vol. 15:15). The new company would be called Consolidated Electronics Industries Corp., and would be made up of the present Consolidated Electronics, Philips Industries Inc., Central Public Utility Corp. and Advance Transformer Co. It would seek N.Y. Stock Exchange listing, replacing the old Consolidated Electronics stock. A subsidiary. Philips Electronics & Pharmaceutical Industries Inc., would be formed from Philips Electronics, Anchor Serum Co., Islands Gas & Electric Co. and Philips Roxane Inc. Listing for subsidiary would be sought on American Exchange. Directors of Consolidated Electronics, Philips Industries and Central Public Utility approved the merger last week. Pieter van den Berg is expected to become pres, of the new combine — the same post he now occupies with the present Consolidated. The new company would be one of the 400 biggest in the U.S. and one of the 30 biggest firms in the electronics field. The Philips companies are virtually independent of Philips’ Lamp Works (Netherlands). Admiral vs. Russia: Display of a Russian TV set called “Admiral” at the current Soviet exhibition in the N.Y. Coliseum (Vol. 15:27) has resulted in a caustic protest by pres. Ross Siragusa of Admiral Corp. — U.S. Admiral Corp., that is. In a letter to exhibit gen. mgr. Alex N. Manzhulo, Siragusa claimed infringement of his firm’s proprietary trade mark — registered at the U.S. Patent Office and in most countries. “We have no intention of starting an international incident,” he wrote, “but we definitely want to safeguard our trademark.” He asked the Russians to remove the set from the show and to refrain from selling any TV or radio set using the Admiral name. Moving deeper into sound & hi-fi fields, CBS Electronics last week announced a licensing & distribution agreement with Ronette of Amsterdam, Holland. CBS will hold distribution & licensing rights in U.S. & territories for Ronette phono cartridges, microphones, pickup arms and other products. Ronette will be licensed to make & sell the Columbia CD phono cartridge in the European market. Ronette products have had wide distribution in the U.S. to phono makers & parts distributors by Ronette Acoustical Corp., N.Y., now succeeded by CBS Electronics. Another CBS department, Columbia Phonographs, is also in the import business, distributing transistor radios made by Columbia’s Japanese affiliate. Hazeltine has acquired Wheeler Labs, missile electronics engineering firm, as a wholly-owned subsidiary, Hazeltine chairman-pres. W. A. MacDonald & Wheeler pres. H. A. Wheeler announced last week. Wheeler will continue as pres, of the 12-year-old firm, which operates facilities in Great Neck & Smithtown, N.Y. Sylvania Electro-Specialties is a new organization formed by Sylvania to market closed-circuit TV equipment. It will concentrate initially on Sylvania’s new lowcost TV camera, now in pilot production. Bernard 0. Holsinger, former Sylvania sales prom, dir., is dir. of marketing of the new department. Two or more sets are owned by 25% of metropolitan Detroit families, according to a survey by U. of Michigan’s Detroit Area Study. Other area TV facts: About 5% of homes have 3 or more sets, 2% have color sets. Nearly 30% of families with children have 2 or more sets. FTC’s Jingling Jungle: A short expedition into “the strange little world of FTC Chairman Earl W. Kintner” is undertaken by NARDA News in its July 13 issue. It returns with the conviction that FTC, in effect, is fair to unfair competition. In an analysis of “The FTC & the Jungle Theory of Marketing,” the publication makes the points that FTC sees no unfair competition in manufacturers selling to their own retail outlets at prices lower than they charge wholesalers who supply independent dealers; that FTC is opposed to pending Congressional “territorial security” bills which would permit manufacturers to allot definite sales territories to franchised dealers; that FTC disapproves of proposed legislation that would give wholesalers a “functional discount” on prices given by manufacturers to chain retailers who buy directly. The discount would enable the wholesaler to supply small, independent retailers at prices which would permit them to compete with the chains. Editorialized NARDA News to its dealer readers: “Somehow, you just don’t fit into that strange little world of Mr. Kintner. You keep cutting paths through his jungle, disturbing its natural state and defying its lion-eat-deer natural laws.” Trade Personals: John L. Bums, RCA pres., left by air July 21 for Europe, where he’ll visit U.S. Exhibition in Moscow as well as Rome, Berlin & Paris . . . Thompson H. Mitchell, RCA Communications pres., is serving as special communications advisor on the Vice Presidential party’s tour of the Soviet Union. Larry L. Malin promoted from Admiral regional sales mgr., Cleveland, to new post of field merchandising supervisor . . . Ben Goldner named mfg. v.p.. Dynamic Electronics-N.Y. Inc. . . . Zeus Soucek, ex-Du Mont & Bendix, one-time pres, of Philharmonic Radio, promoted from General Mills mechanical div. general mgr. to v.p. & head of new Washington office (Solar Bldg., 16th & K Sts., N.W.). Thomas E. McCarthy named PR mgr., Sylvania Electronic Systems, headquartering in Waltham, Mass.; Robert S. Mason, ex-sales engineer, eastern region, named entertainment equipment sales mgr. for eastern seaboard, headquartering in Teterboro, N.J.; Eugene M. Sorensen promoted from sales engineer to industrial equipment sales mgr., midwestern region . . . Sid Weiss, exAmerican Electronics, named district mgr. of Orr Industries’ new southern Cal. sales office (1715 E. Walnut St., Pasadena). Emmet Cameron named exec, v.p., Varian Associates, continuing as gen.-mgr. . . . Richard L. Lawrence, ex-Giannini, named adv. & sales promotion mgr., Hughes semiconductor div.; Alexander F. Brewer promoted from head of missile electronics section to technical dir., Hughes products group . . . Fred E. Burnham named Litton Industries’ Md. div. mgr. of antenna & Microwave section. David D. Coffin promoted from v.p.-mgr. of Raytheon missile systems div. to group v.p.-govt., succeeded as mgr. by T. C. Wisenbaker, former asst, mgr.; Homer R. Oldfield elected v.p., continuing as govt, equipment div. mgr.; E. Nevin Kather promoted from asst. mgr. to mgr., microwave & power tube div. Control of Cornell-Dubilier Electric Corp. has been acquired by 4 top officials of Federal Pacific Electric Co., Newark, N.J., producer of electrical distribution & control equipment. Federal Pacific pres. Thomas M. Cole, chairman Louis W. Cole, exec. v.p. Frank H. Roby, and sec.-treas. Edward Bierma obtained 25% of Cornell-Dubilier stock, were elected to the firm’s 7-member board.