New-York tribune., 1905-08-15
CORN PRODUCTS REPLY
President of Concern AnszCers Sc
curity Holders Questions.

C. H. Matthiessen, president of the Corn Prod
ucts Company, yesterday afternoon made public
his reply to the question recently propounded
TO him by number OF security holders relative
to existing conditions in the company's affairs
Mr.. Matthiessen's statement which is addressed
to August Heckscher chairman Of the security
holders meeting held last week takes up one
by one the twelve questions put. A list of manu-
featuring plants controlled by the company Is
given, with reports from superintendents as to
the respective capacity Of those plants and
whether they are at present active or idle
The stockholders committee had announced
that only three plants at present in opera
ton, but Mr. Matthiessens list names six with a
seventh. the Oswego plant. wrecked by fire in
January, 10 be reopened soon repairs shall
have been completed The list also gives the
names of six abandoned plants Of which one
has been sold and one leased two are about to
be sold and one, the Glen Cove plant would be
sold if the trustees consent could be obtained
and the names of thirteen old starch factories
in condition unfit for operation in 1902, when
the Corn Products Company became interested
therein. these factories having been abandoned
by the former management OF the National
Starch Company before 1902.
Answering further questions President Mat
| thiessen says in part:
Whether il is profitable to operate one rather
tnan another plant is dependent upon VARYING
conoiuons' such as the temporary advantage
which one section of the country has over an
other IN cost of corn fuel. wages freight rates
ability TO have output absorbed In neighborhood
oI Plaht etc' mat the question when certain
p4ahts snail be temporarily imperative must OF
necessity be determined by the executive officers
from time TO time. TO meet shifting trade condi-
tions and exigencies
Carrying and maintenance charges of plants
while idle, as compared with carrying and main
tenance charges while operative have never
m hula %for,
would, in the end. represent only the opinion of
the person making such tabulation as 20 the
sactors OF such charges which in the opinion of
ness activity.
There is no way OF prorating the bonds or
otner Indebtedness Of the subsidiary companies
between the different plants OF such companies
or between plants idle and operative Ever,,
nondnolder OF every subsidiary company is Sc
cured equally and ratably by all the property of
such company, and no statement has been or can
De MADE showing what part OF the Indebtedness
OF any subsidiary company is charReable against
particular plant Of such company.
AT the last meeting Of the stockholders it was
oetern1lned that statement of the company's
operations should be made semi-annually. as Of
March l and September l; and under this d.
rection Of the stockholders the management
Goes not feel authorized to give out the informa-
tlon asked in the fifth item OF your request un-
stockholders
The expense of management and other ex-
penses for the last fiscal year, as shown by the
annual report were SIG. 123 16 details of which
are SHOWN on the books of the company and are
always open to the inspection of any legitimate
stockholder at any reasonable time. pro-
vided by statute.
The details of the purchase of sundry shares
OF stocks for the aggregate sum Of S9966 II
appear on the books OF the company and are
always open TO the inspection Of any legitimate
stockholder at any reasonable time as provided
by statute
NO estimate has been made and accepted by
the management OF the amount necessary to put
IN operation the idle plants. of how much
the putting in operation OF idle plants will de-
crease the cost Of manufacturing.
No estimate has been made and accepted by
the management OF What the expense will be
OF increasing the capacity of deficient depart
ments TO each plant in order to take care OF the
product of the highest possible grind and of
placing plant on balanced basis of highest efH-
ciency.' What is the balanced basis of high
est efficiency Of plant is question which
practical manufac cturers would differ; but. in so
far as the data on which to base an opinion ap-
pear in the books OF the company, the same are
always open to the inspection of any legitimate
stockholder at any reasonable time provided
~ statute