Evening journal. [volume] (Wilmington, Del.) 1888-1932, 1917-03-19
WILMINGTONIAN Head
OF GRAPHOPHONE CO.
lContlnned From Pago Onol

Continued From Page One)
in the personnel OF the officers is.
looked for.
The Wall Street Journal today says:
Tho business of the American
GraphophOnc Company has been eX-
panding rapidly in recent years, and
the company has not been able to keep
/ up with the demand for Its output To
take care OF the requ red expansion liz
production and to supply additional
working capital, the directors have
decided to issue S2,563,S95 in new
common stock and offer il az par, 500
share, TO both common and prefer
red stockholders, on the basis OF one
share Of new common for every two
shares of common or preferred now
owned stockholders of record March
"a will have the right TO subscribe.
payments 10 be made 20 per cent. on
or before April 4. aud the remainder
on or before April Is.
"A syndicate headed by Laird and
Company. Of Wilmington, Del. Mont
gomery, Clothier & Tyler and Bertron,
Griscom & Company. Of Now rk,
and Bioren d Company. OF Philadcl-
B phia. has been formed TO underwrite
the offering
"Tho fiscal year ended Dec 81 last
proved TO he the largest in the history
Of the company. gross business having
/ been moro than S15.0000O0. an in
crease OF about 80 per cent over 1915.
( Net earnings in 1916. after interest
charges. we're 81 1908 500. equivalent TO
S3712 a share on all the common and
preferred stocks outstanding Bust
-. aafa 90 10
running at the rate of 40 per cent
greater than the first three months OF
/ 1916 The new East Plant at Bridge
port will be ready for operation in
month or so, and il will double the
company's output OF records.
THE showing in 1916 is considered
remarkable. in view OF the shortage
OF labor, which was particularly
acute in Bridgeport, due TO the re-
: quirements OF the big munitions COM
panies located in that city. Materials
were also higher, and railroad facili-
ties congested The improvement in
earnings is explained by the fact that
the company has installed. at great
expense, the most modern machinery
available. which has permitted a big
increase in production without a cor
responding increase in manufacturing
cost. In 1916 the company spent about
$4,000 600 in plant additions and ma
chinery."
Included with the above is a fnan-
cial statement Of the company
The income account and balance sheet for
1916 follow.
Earnings from an sources ..... s2176475
Interest on funded and floating
oebt ....- ....'....--.-.--.- 2t2,sto
Net after interest charges .sl.oos 500
General inventory reserve ...... 100000
ceiyable 80. ........... 10000
Balape. .... -....... si,7oa,5 500
1915 49,. -. i59o.asI
Total SURPLUS . 81. DOB a5o
, Deduct Dividends on preferred
and common ....... ... S4AqqO
General depreciation ........ .... $50. 900
Depreciation on patents fran.
ehises good will, etc ........ 51Ls12
surpius January I. 1917 .... 60 .o47t47
Equal 20 s2i.t2 a share on total preferred
? and common stocks outstanding.
Patents franchises. good will etc 81 600 600
Real estate. buildings. machinery
! and equipment ........... A11A16S
Accounts and notes receivable sSis.si5
counts $500. 10000
risls ........ ............ i.4ss.4se
? Goods IN process ..-........ I26s.677
. Finished goods .............. 2.s35.S67
Less general reserve ......... 100000
= Deferred charges -......... 1I6.2i4
Total ......,,.,,,,.,-,.... siA75o.s72
Preferred stock. per cent. non
: cumulative ..... ......... SO 500 ono
, Common (authorised $500 ooOJ
outstanding ....... ...:... a.e27. 100
81 First mortgage per cent bonds Iq36s00
per cent serial notes, 1919
, 1925 .---:.- ..-.'.-.. ..-.t. 100000
Accounts and notes payable and
accruals ..--... -.-..-..... 3,13q, 225
Surplus ...-.'-' ...''......- 2,oA7147
/ Tho balance sheet as of December b
last shows a big improvement over tn,
previous year. Net working capital al
the end Of 1916 was S4,l33,4 33, compare,
, with 81 .54S. SS3 at the beginning OF tn,
, year. The biggest improvement in sur
rent assets are cash Of S664.0ll, com
pared with 1897 GA raw material. 81,
49, 496, compared with 1854 ESQ; &C
; counts and notes receivable, S3.5l6 SIP
compared with s.. 495 26s; and fnishe,
goods and goods in progress. S4,l0+244
compared with 81 .575 ass. Current Tia
. bihties. composed Of hills payable, in
! creased from Sl.447.l7S 10 $3.50 235