New-York tribune., 1919-05-30
Vote to Liquidate
|. WI. NJ. When
Assets Are Sold
Directors Favor Disposing
of U. S. Ships if Stock
holders Approve Deal
With British Interests

international Mercantile Marine di-
rectors, in resolution adopted yes
terday, voted to liquidate the company
If the proposed sale of the British fleet
and other assets of the Fnolisb con,-
panles is approved by the shareholders
In the distribution of the assets the
board further voted that:
"Such distribution should be effected
by distribution in kind of the stock
and share lien certificates of the Inter
national Navigation Company. Ltd
(Which represent the British assets)
and by sale of the American assets
and distribution of the proceeds
thereof" That part of the resolution
relating to the proposed dissolution
said:
That it is the sense of the board
that IN case the proposed sale of the
BRITISH assets should be approved bv
the stockholders and the sale carried
out, the international Mercantile Ma
rlne Company should be dissolved and
its assets distributed among the stock
holders"
The International Navigation Com
pany, Ltd, through which the Amer
can holding company controlled 7O3. 500
tons of British shipping, under the dis
solution plan would become the holder
of the cash resulting from the sale of
those ships and the other assets in
volved in the deal, all of which amount
to approximately 27,OO0,OO0. AS the
holders of the International Navigation
stock and share lien certificates the
international Mercantile Marine share
holders Will be in position to deter
mlne what disposition shall be made
OF the British companys assets
The S39,061 900 International Mer-
camille Marine first mortgage collateral
trust per cent bonds under the disso-
luton arrangement will have to be re-
tired at l10 and interest. This would
require approximately $40, 2,967 900 of
the assets remaining after liquidation,
which may reach q total in excess of
$l44.OOO, 900, figuring the American and
Belgian shipping tonnage at $1OO a
ton and allowing for the current de-
preclatlon of the English pound ster-
ling, which would make the sgt 900 900
British assets worth about 1926, 600 900
Retirement of the $51,725 900 pre-
ferred stock, with the accumulated divi-
dends Of 81 per cent, would require an
additional $S1 ,2O9, ,035, leaving S3s,242..
O35 for the common stock holders or
Whatever other disposition the COM
pany votes to make of the remaining
assets
Stockholders of the International
Mercantile Marine are scheduled to
meet on June 16 to vote on the recon-
mendation of the directors for selling
the British fleet P. A. S. Franklin.
president, said yesterday that if that
plan is approved another shareholders
meeting will then have to be called to
vote on the dissolution proposal.
The announcement of the company
yesterday after the close Of the stock
market was preceded on the Stock Ex-
change by wave of liquidation in the
Marine shares in the face of great
strength in the rest of the list. The
preferred stock, which went as high
as 1863, later dropped to 1905, and
closed at 112A, with net loss of 2A
points. The common at its closing sale
of ASS was off / * points.
Reports were current in Wall Street
throughout the day that the selling
came from holders who had big profits
and did not care to wait until it had
been determined what action shall be
taken regarding the f27 100000 held by
the international Navigation Company.
Ltd. In other quarters reports were
heard that considerable opposition
might develop against the liquidation
plan at the annual meeting scheduled |
to take place next Monday.