Evening journal., 1903-09-18
MADE
IN WHITE CASE
DU POINTS WILL
CONTROL POWDER
International Company Of
This City Will Consolidate
With Local Concern.
CAPITAi WILL Be S5,l0l,Ol0

Philadelphia, Sept. 1s.-Plans have been
virtually completed for the formation oil
a corporation which viii control the man
ufacture of smokelcss powder in this
country. and make the DuPonts supreme
In the industry.
Tho scheme viii be accomplished
through the consolidation Of the E. 1.
Dupont dc Nemours Company. OF Wil-
mington. and fhe International Smoke
less Powder and Chemical Company Of
this city under the name Of the DUPONT
international Powder Company. The new
concern will have a capital Of s5,ooooo
an per cent. non-cumulative preferred
stock, and will Issue si,Oo0,oo0 collateral
s per cent. bonds.
All the new securities will b. given inl
exchange for the stocks Of the corpora
lions which are 10 be merged and none
sold Tor cash.
The deal. which has been under way
for seven months, provides for the union
OF the international company's plant at
Pariin. ~ j. and the Delaware works OF
the DuPonts. the former. however, 20
keep As present business management.
IThe international Company as now en-
gagged ON government work. and has a
pont Company manufactures 6oOO pounds
a dag.
w. W. Gibbs. organizer Of the lnterna-
lfionai Company. and a director of thc cor
poratlon IN speaking OF the advantages
OF the consolidation. yesterday said. tnat
lin the event OF a ieasened demand for
powder from the government, which IS
now the largest consumer, one plant
could be placed on the manufacture Of
powder for the government. and the other
r on commercial work.
r He stated that the international Conn
pany had been advancing rapidly. and
that the Dupont name. backed aH 81 &
ny a history Of l0l years Of success II
e 1.-The business win contribute materially q
n the value Of the comparatively new com
y petitor.
r New money IS 10 be put into the Part
e property by the DuPonts. who are 10 b
p assured OF control by a unique stock ar
{ rangement $1,000 shares OF par value O
d only 81 each, and non-dividend bearing
r to be issued to them. though the par o
{ an the rest OF the stock Is to be 500.
The present capital Of the Internationa
q Company Is S9.oo0,oo0 common stock and
100000 preferred. It\is controlled by th'
4 AIarsdcn Comnay. The DUPONT Compan,
+ has 5000 shares put in at a valuation OF
$500 a share. or Si500,0o0. The Original
plan provided for the issue Of $4,000, O0
stock. half common and half preferred
but the novel scheme TO insure control
materially lessons the capitalization.
1t Is announced that the following IS
TO be the basis OF exchange: For each SO
share OF International Powder( common
SIS in new preferred stock for each So
anI &
per cent. bonds and $3.50 80 new pre-.
ferred. The DUPONT de Nemours Com.
! pany gets Ss0.o00 in bonds and 5000
shares Of preferred stock with a PAL
Z value Of 81. This leaves 100000 preferred
4 for the DuPonts.
. The Marsden Company gets for IT'S In
teres- IN the Powder Company $3.50 90
preferred stock and $4,000 bonds. II pro
poses 70 wipe out its issue Of preferre,
stock upon which six years OF dividend
have accumulated by an issue Of pc
cent. collateral trust bonds amounting q
= $3.50, 900. the exchange to be made ON th
. basis OF $500 In bonds for $1,000 In stock
II the new preferred stock paid divi
dend the Marsden Company would re
ccive an income Of siS3,500. - would have
= Ito pay $4,000 Interest on its bonds and $50
COO a year into a sinking fund.
George S. Graham. former District At
torney. is preparing the papers for th'
new company and the directors Of the In
ternationai Company win be called {,
meet Tuesday next to take final actor
on the plan.
. Would Not Discuss Story.
I. The above story was taken to the Of
+ fees OF the Du Pont Company in the
!. Equitable Building this morning. The
y reporter was told that p. S. Du Pont
4 was the only person who could give
q any information regarding the matter
e and that he was out Of the city.