Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1921-08-16
GENERAL MOTORS
EARNS BIG MONEY
Report Shows $14,551,516 for
Quarter Which Ended
June 80
BIG GAIN IN THREE MONTHS

New York. Aug. 16.-The GeneraI
Motors Corporation reporting yesterday
to New York Stock Exchange for the
six months ended June 30 through
Pierre s. du Pont, president, shows
earnings equivalent to 80 cents share
on 2O, ,52S, 100 shares of $40 par value,
a working capital position in excess OF
S120. .000. 900. of which nearly 500 O.Ooo.-
600 is cash, and a striking gain III
earnings in the second quarter of tins
year as compared with the first.
This corporation went through pc
riod Of extreme depression from Sep
tember / 1920. to March of this yenrr,
justment. Discussing the liquidation
period, Pierre $. du Pont told Of in
ventories mounting to n peak of ST.
00S, 800 last October with a great bur-
den Of commitments for materials un-
necessary in view Of the company's re-
stricted output, gradual amclioration
Of inventory to the present figure OF
S147 500, ,OSG. and n reduction of SI4,-
506, ,710, Of which S25,17G,112 was &C.
compished through writeoffs. lie told
also of accounts payable of $40, 1856
127 at the peak since reduced to S10,-
S52.5S1 and Of notes payable. which
aggregated SS7 SOC. O7G at the maximum
since reduced to S62. sos. 250.
Figures Show Improvement
The significant improvement achieved
in the second quarter Of 1921 is shown
in the following tabulation of salient
items:
First Second
Net earning. .....;sS,7o7o44 s14,55i,5lo
trade scceptances 1.5ol215 l.42e.1lO
Net tsxeI prof's smpIoyss oTs!
funds, provisions,
! but before refunds
TO customers 600. l675,493 l2,533'alO
In addition to total surplus of
S117.j1O.0 900, the company has set UP
reserve aggregating $3S.7T3. 100. Mr..
du POnt describes In the report the
condition of the company as healthy
and declares that the company il vel
prepared TO take advantage of increased
volume of business in any line pertain
ing to the automobile industry, calling
attention to improvement in the manu-
featuring part Of the business as vel
as in financial position.
Valued Plant at S254 1893 1853
General Motors Corporation June q
valued its real estate. plants and equip
ment at S2J4 1853 ,G53, a figure whicl
the trade has regarded as conservative
CorroboratiOn of this belief was OBJ
: tanned by J. J. Raskob, chairman of tn
Finance Committee of the corporation
who after William G.. Durant ceased t
be factor in the Comnany's affair
asked the Manufacturers AppraisH
Company, of Philadelphia, to make
, careful reappraisal of the corporation
, physical properties.
, The appraisers found the fair vau
alton of the properties to be about $50,
600 900 in excess of that shown by I'll
, corporations books, basing the ap
praisal on reproductive costs as Of june
1921. less depreciation accrued. Thj
valuation, however, did not include nm
allowance on account Of the reapprais,
5 of tools, dies. jgs. etc. carried on Il
corporations 5 books at a very low has
of valuation due to the system Of charg
d ing off to operations each year the COZ
| of all such implements. That system
e the appraisers regarded as ultra con
servativc." Were the permanent in
| vestment account increased by $50,
600, 900. the corporation total asset
would exceed 5000. 900. 900.