Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1916-05-04
MINORITY INTERESTS
PROTEST AGAINST SALE
OF PEINNA. STEEL
Stockholders Demand to Know
Why Sale to Bethlehem
Should Be Made at
Discount
CALL PLAN UNJUsT1FrED

The meeting Of the stockholders Of the
Pennsylvania Steel Company Of New Jer.
sey in Camden today. 10 vote on the dis.
solution Of the company and sale Of the
company with all Of its subsidiaries and
assets TO the Bethlehem Steel Corpora
ton, was a stormy affair Throughout
the meeting. which was attended by about
80 Of the stockholders. there were con-
stant interruption. President Edgar G.
FELTON, being prodded with questions. Mr..
FELTON, did not show a disposition TO an
swer all of the questions, and some OF
them he let go by without answering yes
or no.
resolution offered by william g.
Thomas, of baltimore. who said he repre-
scented 100 shares of the company's pre-
ferred stock, that the proposition made by
the Bethlehem steel Corporation for the
purchase of the Pennsylvania Steel Com
panv he not accepted by the stockholders.
was declared out OF order by Charles 70.
1ngersoll, who presided.
Mr. Thomas made very vigorous pro-
test against the sale Of the company on
the part Of the minority stockholders
He said that the directors Of the company
had lost sight of the interests Of the
minority shareholders, He said that the
steel industry was now enjoying prosper
ity, and that he could not. therefore, see
why the company should be sold
Immediately following the ruling out OF
the resolution that the proposition OF
Bethlehem be not accepted, William II.
Donner. former president of the Cambria
steel Company and also chairman Of the
board of directors of the Pennsylvania
steel Company, arose and demanded a
vote on the original resOlution--that is.
the question of the dissolution of the COM
pany.
Joseph II. Brandt, owner Of 139 shares
tl,a mo- f,rnfarrp1
secured an order from Judge Rellstab in
Trenton on Tuesday temporarily restrain
ing contamination of the plan under which
Bethlehem takes over the property, was
chief in prodding Mr.. FELTON, with ques-
tionS.
Mr.. Brandt asked Mr. FELTON, II It was
true that the common stock of the com
pany was issued as a bonus and II any
money had been paid into the company for
1t. Mr.. FELTON, replied that such was the
case. Mr. Brandt said that he wanted to
know where the company was coming
from with Bethlehem Steel Offering $75 a
share i'm cash for the common stock. Mr..
FELTON, said that he did not know.
Mr.. Brandt wanted to know why the
Of n going corporations equity
should he placed at S9 per cent. Of the
FELTON, replied that no value had fe"n ar
rived at. Mr.. Brandt said that the last
annual report OF the company show. d an
equity OF S26, 900. 600 and net receipts OF
sea, 900 900. why should the company
be sold ot a discount" he aske l. Mr..
FELTON, refused to answer this question.
Attention was called by Mr.. Brandt to
the surplus of $7.OOO,0OO OF the Pennsyl-
lania Steel Company Of New Jersey. He
said that with this the common stock
would be worth about 500 share.
Charles f.. Robinson, an attorney, rep
william II. Nenner. stock
holder read letter from Mr.. Venner to
the stockholders, in which he said that
the proposed resolution for the purpose
IF carrying out an illegal sale OF all prop
critics by the said company Is a fraud
upon the company and its stockholders
Ballotlng on the proposed dissolution
of the company finally took place which
asted up until o'clock, when the votes
we're counted. II was thought that the |
proposal would be carried through with
about a two-thirds vote.