New-York tribune., 1922-10-12
N. ]. Standard
Oil Votes 4OOM
Stock Dividend
capitalization To Be In
creased to @625. .OOO,-
900; 1000, GOO Shares
Will Be Held in Treasury
No Increase in Payments
Noldings of Rockefeller I'm
I tcrests Will Be Worth
S23l, ,O8l ,28OUrder Plan

The most luscious Of the Standard or
melon" cuttings thus far this year was
announced yesterday by the STANDARD
Oil Company of New Jersey in a res.
olution proposing til declaration Of .
400 per cent comr1ea stock dividend
This will involve an increase in the
amount authorixeQ from s11o,0o0,000 to
S625, 900 eco.
The stock diwdsnd, according to a
circular to shareholders signed by A. c.
Bedford, chairnes. Of the board, will be
on the basis af faur new shares of SIS
par value for zach such common share
outstanding. This will have the effect
Of increasing the issued common stock
70 approximately $500,oo0,o00, slightly
less than the outstanding common stock
Of the United States Steel Corporation
The balance Of the proposed increase,
according to Mr. Bedford, about 4,800,-
600 shares, will be held in the New
Jersey company's treasury to "meet
such needs of the company as may
arise in the future
No Increase in Rate
Mr.. Bedford said that ain view of
the requirements of the company for
capital investment the directors have
no purpose to increase the aggregate
amount of dividend disbursements at
the present time" Dividends at the
rate Of 20 per cent. or SIS share, are
now being paid, which means that the
rate on the increased amount Of stock
will be 81 q share, OK per cent an
nually.
According to q recent compilation
John D. Rockefeller owned only 1000
shares of the common in his own name
and none of the preferred stock. Own
ership Of 978,S40 common shares and
225,S69 shares OF the preferred were
credited as belonging to members of
She Rockefeller family or educational
institutions founded by Mr.. Rookie
Teller. Under the stock dividend plan
the common holdings will be increased
tc 3,913,92o shares, with market
value at yesterdays closing quotation
of 1921 ,081 ,280.
Announcement of a 400 per cent
stock dividend by Standard Oil of New
Jersey is the fourth stock dividend
declaration by members Of the Stand
ard Oil group this year. Others are
expected to follow later.
The first was by the Standard Oil
Company of Kentucky, which declared
SO 1-3 per cent stock dividend, offered
SO 1-3 additional stock to shareh olders
at par, and split up the whole into
shares of S25 par. Then followed the
proposed declaration of 100 per cent
stock dividend by the Standard Oil
Gently the 200 per cent stock dividend
by Standard Oil of New York, with
the provision that the par value shall
be from 500 to $50, the effect being
to give each shareholder twelve new
shares for each share held.
To Meet November s
Standard Oil of New Jersey stock.
holders are asked to meet on Noven-
ber to act on the resolution to de-
clare the 400 per cent stock dividend
In his statement to stockholders Mr.
Bedford said, in part:
with the exception Of an amount
of Sl,056,625 par value of common stock
issued to trustees for the employees
OF the company under the stock ac'
QUESTION plan, there has been no in.
crease in the issued common stock OF
the company since 1899. In the years
1919 and 1920 there was created tc
meet new capital requirements $780,.
100000 par value Of preferred stock.
Throughout the twenty-three years
since 1899, it has been the policy OF
the company to reinvest in it's bust.
ness all earnings remaining after the
disbursement of dividends, and since
the year 1911 there has been no change
IN the regular rate OF dividend then
established.
During this whole period the sub.
stantial growth of the company's busi-
ness, in line with the growth of the
petroleum industry generally, has re.
suited in very considerable augmen,
tation of it's assets, largely by reason
of the profitable employment of such
surplus earnings. The situation which
has ensued has been one OF steadil!
increasing disproportion between the
company's issued capital and it's ne
assets. The directors, therefore, pro
pose the increase in capital above out
lined, and in the event Of such in
crease being authorized by the share
holders stock dividend on the basi
of four new common shares of $25 pa
value for each such common share out
standing"
Holders Of common stock of recor
at the close of business on October 2
viii be entitled to vote on the pro
posed stock increase.
Standard Oil of New Jersey commo