The Detroit times., 1916-09-28
Cash In Treasury In
creases By Nearly S.
100000 In Year
Afford RETIRES
AS CONTROLLER
Announcement NJ a d G
Of REIMBURSEMENT of
Capitalization

Coincident with the announcement
from New York Of the plan 10 be
effected I'm the readiustment Of the
capitalization Of the General Motors
company the annual report Of the
fiscal years business ending July 81,
1916. was released Wednesday. show
ing an increase in cash on hand az
ter all dividends and notes were
. paid, Of $3.50 45072 over July. 1915
Another important announcement
/ was that concerning tho resignation
of W II. Afford. of Detroit. as comp
/ 'roiicr VI l.. Prenskor, former audi
tor OF the concern, IL 10 succeed him.
. Mr. Afford leaves 20 join g. W. Nash.
former president OF the General Mo
tors company and now head Of the
Nash Motors company, which recent.
/ ~ took over the Thomas p Jeffery
Motor company OF KenosLa, Wis.
Mr. Pren-kor Is Deroiter.
The net profits cf The General Mo.
tors company after deducting ex-
peuee- of manufacture, including
maintenance, selling and administra-
. ton as we'll as taxes, Insurance and
depreciation. were $29.l46lO75l in
/ 1916. as against Sl4y26,3222S for
. 1918 After deductiug the seven per
cent preferred dividends for the II
months and interest on 9rst lien
notes the undivided profits for the
period amount 10 $27740. 59641, as
compared with $I2.41S- SD, : ? IN
-ly4lJrr---
The capital stock in the hands Of
The public July 81, 1915. was as fol.
luWt Preferred seven per cent Gu
mu.9flyo, 81 HS5.2O0. common, Sl6,-
81 49,. 4-tt.t' represents IN tn
crease during the year Of $4,000
common stock
THE company has no funded in
debfedUe-s its first Hen notes.
amounting 20 S2.22s.0oo having been
PAID af maturity with interest ~ six
per cent This was i'm July. 1915.
Tie only indebtedness of the com.
pauY Ie 'ur merchandise and con
sls's OF current accounts payable Of
st-5l 1870. ard 50 500 $50 07 Nabiu.
tics acrrtni Hut NOT due for payrolls,
taxes and o'h,r Items
The current accounts PAYABLE on
JuH 81 1916, We're $5.ks3535. rs
greater than on July 81. 1915. This
increase is due % The largeA amount
OF business being carried on
The meeting 10 readiust the cant
tsl which followed sensational ac-
tNty in the stock on The New York
Stock exchange, Was held i'm New
NorH Tuesday. Action taken calls
Ior ,hr formation OF q corporation
under the laws ~ Delaware 10 be
known as The General Motors corpo-
ration The stock is to- nnei-t-o of
4 --t4---tt-tt shares OF 500 par value. Of
which 2un. 600 shares will be six per
cent cumulative. nou-voting prefer
red stock redeemable on and after
Sept ]. 1918, az the option Of the
company At $40 a share and accrued
dividends
Basis Of exchange Is as follows
For each share OF present preferred
stock one and one-third shares OF
preferred stock OF the Delaware
company. For each share Of present
common stock, five shares OF com
mon stock of the Delaware COM
pauv.
This plan is 10 become effective
as uf Nov 1. 1916. SO as 60 entitle
shareholders OF General Motors com
pany OF record oct. IA TO receive
dividend declared Tuesday. payable
Nov, l. stock 20 be exchanged may
be deposited with Guaranty Trust
company. on and after oct 16, and
not later than Dec 10
Holders Of more than SIS per cent
OF the stock OF the General Motors
company have already signified their
approval Of the plan.