New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1915-05-07
AMALGAMATED
LIQUIDATION PLAN
1t Provides for $4,616,637
Cash Distribution to
Stockholders.
SALE OF ANACONDA
TO FURNISH FUNDS
Shareholders Can Buy This at
SIS a Share-Heinze Suit
Recalled.

John y. Ryan, president OF the Anal
gamsted Copper Company. WhlcE was
organized in 1899 by the Rockefeller
interests 70 acquire stocks Of mining
and affiliated companies in Montana,
Is sending 20 stockholders to-day the
directors plan for dissolving the com
pany which Wall Street has been ex-
pectiUg with great interest for several
weeks The announcement that the
company would soon liQuidate recalled
the suit brought by Otto Heinze under
the sherman law. dismissed by Judge
Lacomoc M December 1914, in which
Heinze contcnjcd that the defendant
corporation was exercising a monopoly
in the copper industry.
Nj Ryan attributes the decision 10
wind un the company's affairs TO the
repeal by the New Jersey Legislature
in 1918 Of its right 20 add to invest
mentS 10y the acquisition Of stocks
other than those already held.
The plan of dissolution provides for
the sale Of enough Anaconda stock by
the Amalgamated 20 reduce its holdings
IN the former company so that the
distribution on the basis Of the present
issue Of Anaconda shares may be made
al the rate Of two shares Of Anaconda
for one Of Amalgamated. To accom-
plish this the Amalgamated directors
will offer 20 the company's sharchold-
ers oe record May II the privilege OF
buying one share OF Anaconda stock
at so par for each six shares of
Amalcama:ed stock held by them.
"The proceeds Of sale Of the shares
last mentioned (Anaconda)," says MI.
Ryan will provide a sufficient amount
Of money to insure the discharge Of all
outstanding obligations of the com
pany and 10 leave approximately So
share in cash for distribution among
the stockholders on completion OF the
liquidation Of the company
AS the owner of about 3,2S6,266
shares out of a total of 4,662,oOO
shares Of Anaconda stock, the Amalga-
mated should, therefore, distribute 70
its shareholders, in the ratio OF two TO
one. 1929. 7S6 shares of Anaconda, as
one-sixth of the 1.53S,S79 Amalgamated
shares outstanding amounts to 2o6,4op
shares. which are to be sold TO stock
holders at S25 a share.
In addition to a possible profit from
the sale of such Anaconda shares IN
the omen market. the Amalgamated
stockholders will also get total cash
distribution OF S4,616,637. the equiv
alent of SO a share on the 1,536,o'9
shares --tStandlng.
Fractional shares of Anaconda stock
will not be sold under this privilege"
saws the announcement, but rights for
at least one full share of Anaconda
stock must be presented at the time of
subscription and payment. Conse-
ouentlv. rights 70 fractional shares
must be combined, so as TO make up at
least q full share. in order to be avail
IN tho Of the
European shareholders, fractional war
rants must be converted into full war
rants on or before June 2, 1915, and
will be Of no value whatever after that
date"
The right to purchase Anaconda
stock must be exercised by the Anal
gamated company's stockholders on or
before June 3 and by registered stock
holders in Europe on or before June 10.
Shareholders of the Anaconda, at the
annual meeting on May l9, VIII act on
q proposal 10 change the par value
of the shares from S25 TO $50, without
changing the total capitalization Of the
company When this change Is made
the distribution of Anaconda stock OF
The new par value Of $50 TO Amalga-
mated shareholders will be at the ratio
OF one share for each share OF Anal
gamated. At yesterdays closing price
on the Stock Exchange two shares of
Anaconda were worth 70R, compared
with 74B for one share of Anal
gamated
MIR. RYAN states that the dissolution
Of the Amalgamated will be Of benefit
to the shareholders, as with the com
many holding only Anaconda stock and
merely receiving and distributing the
dividends therefrom, the double taxes
will amount. on the basis Of the aver
age earnings for the last three years,
10 over 100000 a year, which amount,
in addition to the cost Of organization,
can be saved 10 the shareholders by
liquidation.