Every evening, Wilmington daily commercial., 1918-03-16
FIGHT FOR PROXIES ON
IN ATNA CO. SHAKE-UP
]. g. w. Seligman Send Out Re
quests in Name of Clients; 3
Committees Get Busy.

New York. March i6.-The fight for
proxies for the annual stockholders
meeting of the A'tna Explosives Com
pan Inc. to be held March 10, was
cnlivcned further Yesterday when the
banking firm of j. & W SeIigman d Co,
who are recognizing the propert7, issued
a circular letter asking for proxies IN the
name of Henri ScligInan, Frederick
Strauss and William T. Philips, Seligman
K Co. state their appeal for proxies is
entircl- independent of the request Tor
the deposit of stock under the readjust
mcnt plan, which Is being prepared b. the
readjustn cnt managers, j. d W Seiig-
. man N Co There arc now three com
mittecs asking for proxies for the annual
meeting. so that the gathering promises to
he a lIvel'' one
The formal rcadiustmcnt plan for the
Etna Explosives was made public late
FRIDAY. The plan does not call for an rs
srsslncnt of any king on the securities.
II is proposed to exchange new bonds
for old ones, new preferred for old on
the basis Of share for share and new
common IN the ratio of one share OF new
for one of old The new bonds will run
for ten chrs from the date of lssnc in
stead of thirty Years rs stipulated IN the
old bonds
PAY ARREARS N sCRfP.
The rcadjustmcnt managers state
that the surplus account shows lnsui
hcicnt moncl to meet the arrears 0i
dividends and back sinking fund p0y
mcnts on the old preferred stock, but
| that tho back dividends of l0ii per
cent will be paid IN new preferred stock
at par .Ihey reserve the right. how
| ever, to pay these arrears IN scrip or
| cash
It IL proposed 70 organize new cor
! poration under the laws Of Ncw York
| State, or such State as shall be selected
| The managers declare that unless all
/ outstanding bonds are deposited under
| the plan within such date as shall br
| limited hv them, the managers ~ thcr
! discretion NAV cause the new compau.
to acquire the properties subject {" the
| mortgage from the Etna Explosives
! Company. Inc 10 the Guaranty Trust
| Company
The new preferred stock Is 10 hc re
dccmahlc II par and accrued duldands
| IN whole ~ IN part AZ th, option et
! the company
One provision i that 80 per cent oi
| the surplus earnings Of the new com
pam shall he paid - trustee {" b. used
! III retiring now bonds Ntt"r they ara
All retired tho sinking fund will be used
| to redeem the preferred stock pan the
retirement al All the bonds and preferred
! stock surplus money held hN the trustee
| ~ IN be turned hacA to the company Il
Is provided III the plan that = no time
VIII the new company hc obligated to
mako any cash payment to thu trustee
| which will reduce the cash available
working capital 70 below 81 .0oo0oo
sroch IN 5-YE.R rRi'~1
The new common stock Will not have
! par value and viii bc placed IN y vc
! wear voting trust There arc - be seven
voting trustees Ii the preferred stock
i retired in less than Ne vars III,
| voting trust max be dissolved Imnc-
diatclv unless the trustees shall vote {,
the contrary.
The compensation tn hc given the re-
adjustment managers for their woth
shall be fixed by the presidents oi TN
Chase National Bank ot New Aorll ING
the Bankers Trust Company ot New
York. such compensation not - exceed
IN amount equal ra ~ cents q share iol
each share ot new common and ] pet
cent 81 the par value oi the new pre-
ferred stock and bonds to be issued
Federal Judge Juri~ NJ Mayer yes
tcrdav authorized Benjamin Is odell an'
George G. Holt, rec ivcrs for the I.tn.
| Explosives Corporation 10 pay 4 divi
dcnd of 50 pr cent on allowed claum
aggragating Sl,3l6Si2 The total Q
claims on le against the company mos
If which are disputed Is $ III 80.
The receivers state that AZ the clos
Of business February 20 they had a ca
balance of 81 230S 063, and II is ont 9
thIs that Tho d!vIiend IS - be pad