Evening journal., 1917-04-13

from Pierre concerning tho sale of the
stock, wrote him the day after Alfred
had asked f5r the correspondence in re-
lation thereto, as follows:
Rochester, Mimi,
February 10, 1915.
Mr.. p. $. DUPONT, Wilmington, Del
Dear Pierre: ] got a little too gay
last week and have been on the blink
for five or SIX days, but am getting
along all right now.
The more ] have thought of the stock
question the more ] believe with what
little information I have that the COM
mon stock should reach $50 and may
reach 300. If this is true, the men
who are now at the helm and actually
doing things should make the profit as
between today's figure and that figure
it. will be by far the best thing that can
happen TO the company So clear / am
that this is the right time 20 get them
interested that ] ann willing, figuring as
surely as ! can that this stock will 90
much higher 30 let 60 for the benefit
Of the men who arc working, which, Of
course, means the benefit Of the company
10000. 10000 or even 10000 shares at
today's market, which assume Is about
20o. As TO the details Of working this
out ! am entirely willing to lcav this
to YOU and Lew.
"lf much time is desired the price
should be higher. If the arrangement
for cash payment is made through banks
there should be no increased price In
order TO get time when we purchased the
company originally what we gave to he
allowed time amounted TO, I believe. over
one hundred per cent. increased price
this bcause the element of chance must
necessarily come in.
"Of course ] am only using my best
judgment in this matter, but I am will.
ing and strongly urge that the heads Of
departments and younger members Of the
family become most interested in the
common stock
ssssssHs
"Your affectionate cousin
COLEMAN duPONT."
It appears from Pierre's letter TO Al.
fred and William of February IL that
Coleman was not in a position to tax,
advantage Of offers to loan money MOI
did he care to deposit the stock at that
time. His offer to sell 10000. 10000 OIL
even 10000 shares at about 900 may b,
read in connection with what he had pre-
viously said in his letters about arrang
ing means through the sale OF his stock
to raise money which otherwise n,
would be obliged TO arrange with bank
ers in New York.
Coleman being still without informa
ton as to the attitude of the Financ,
Committee concerning the sale of his
stock now comes forward with an offel
to sell the major part Of his holdings
at 5000 per share. Alfred and William
were never informed by Pierre of the Of
fer contained in Coleman's letter of Feb
ruary l3 nor knew of its existence unit
the letter was produced at the trial. al
fred being in ignorance of Coleman
| opinion Of the value of his stock ant
Coleman being in ignorance of Alfred
and Williams attitude towards his offe
in December, Alfred wrote to Coleman
as follows;
February l6, 1918.
''Nir. 7. G. dupont,
Rochester, MINI.
"Dear Sir-At a meeting of the Fl
nance Committee, held some time in Dc
cember, Mr.. p. S. dupont brought {
. the attention of the committee YOU
=
shares of common stock of the Powd,
Company at Sl60 per share with the SUI
, gestion that same be re-dstributed upo
some liberal basis among the more in
portant of the companys employees.
"The committee were in accord wit
your general idea; viz, the purcha'
from you of 10000 shares of stock, an
believe were also a unit on the poii
Of redistribution of az least a porto
of this stock to the company's employee
, upon some plan to be subsequently d.
fined.
THE one point, on which there seen
ed to be a difference of opinion. was Il
! question of price. The position which
: took on this point, and which I belle,
was similar to the one maintained /
= Mr.. William DUPONT, was that in pu
chasing this stock at the price suggest,
by you, which would involve the q
!, lpenditure of 100000 of the stockhol
6 ers funds, an investment Of this size |
= the Finance Committee could not be d
- Tended on a return of less than appro,
. mately 6i5 per cent. or at least b,
:, ter than g per cent. and for thB 70
= son, the price Of 1925 or an investme
. on a basis Of, roughly, 6R per cent. W
- suggested. II is my opinion that Il
principle should be the guiding one
any investment of the company's 81
plus funds, in lieu of a distribution
: same.
: Again, In Offering this stock for su
scription 10 our employees. il should
= made on an attractive basis, which,
= my opinion, should not be less than {
: per cent, and, as the company cam
f afford TO lose ON a transaction of q
: kind. it was manifestly impossible
l. it to purchase stock at one figure a
4 offer it TO the employees at lower o
4 believe IL an excellent time to ma
a an offer Of this character TO the emplo,
y at as low a figure as is consistent W
Il tho company's interests. in order Il
I. the employees may benefit by any inc
Or ment in value, which the present con
/. tions would seem to Indicate as Qu
e. probable, and I furthermore believe q
v il the company can purchase this st'
- from any outside source, IL would
/ better to acquire Il IN this mann
ID rather than issue its treasury stock
m the above mentioned purpose.
v am setting my position before p,
e. clearly. for the reason that I have la
1t w ascertained from Mr.. =. S. dup
that he did not understand my post
as had intended 10 present IT, and
this reason, feared that he had M
tentionally conveyed to You a wrong
D. preston as TO my reasons for advocat
IN the Finance Committees decision in
- matter.
IT, Yours truly,
e. Alfred 7. DUPONT.
H. Vice Presidel
III On the same dav that this letter :
= written a copy of il was sent TO Pi,