Every evening, Wilmington daily commercial. (Wilmington, Del.) 1878-1928, 1922-03-07

ness of your company and the liquidn-
ton OF surplus inventories.
The increase in securities held Tor
permanent Investment In due largely
to an increase In your equity In Gen.
oral Motors Corporation common
stock. due to tho acquisition OF all OF
tho outstanding securities OF the du
Pont Securities Co.. which company.
as outlined In report for the year 1920,
was formed for the purpose OF pur-
chasing certain General Motors Cor
poration common stock from w. G.
Durant.
| The permanent Investment In man
ufacturc has been reduced by writing
on against reserve for depreciation
such parts OF plant as have been con-
sidered permanently obsolete or out
OF uso.
The reduction In notes and accounts
payable is due largely to the liquida-
ton OF all OF your company's bank
loans.
The decrease in the reserve for con-
tingencics IL due principally to the
charge made against 1t on account oil
reduction In inventory prices. as al
ready explained.
Subsidiary companies and stock
holdings Securities held FOR permanent
investment consist principally OF your
lcompRny's investment directly or
through subsidiary companies In the
General Motors Corporation. but IN
cludo also it's interest in various allied
Industries. These securities are carried
on the books OF Il. l. du Pont dc Ne
mours 4 CO.. at cost, and income there
from "a included In Its income account
only when received I'm the form OF In
terest or dividends. The amount 80 re-
ceived during 1921 was $l2.ls6,43s.
The net asset value represented by
the securities based on the accounts
OF the various companies. Is approx
mately &24,900.000 in excess of their
a cost. This excess is materially less than
, the corresponding figure at the close
OF 1920, principally by reason of the
=. readjustment OF inventory and plant
values made by the General Motors
Corporation December 81, 1921, as
shown by It's preliminary statement
for the year 1921, copy of which
accompanies this report. This state
ment shows surplus for the no par
value common stock over and above
$40 per share of s55 ,sl4,1 the pro-
( portion applicable TO the holdings tdi-
j rect and indirectly of your company
g being approximately s20,600.000.
a The change in tho line OF ownership
D Of certain OF your company's invest
Z ments, made apparent by a compari-
] son of the chart In this report with
that OF last year, calls for the follow
G ing comments:
. All assets of du Pont American In
dustries, Inc. excepting an equity
. equivalent to 100000 shares General
Motors Corporation common stock.
have been transferred to the parent
company or to other subsidiaries own
cd entirely by the parent company.
This was done in connection with the
:. company's bond issue. referred to in
y letter to the stockholders Of May 81
1921.
: TIE du Pont-Nobc Co. has been oy-
Ianized for the purpose If holding
+, SO, 900 shares OF common stock of the
- Canadian Explosives Ltd. also 100000
shares General Motors Corporation
II common stock. which were previously
e carried by the Canadian Company fol-
IS the Joint account OF Nobel's Explosive:
n Co, Ltd and your company.
= The CompaniA Do Explosives d.
. Chile was formed for the purpose o.
. constructing . high explosives plan
in Chile to servo that oountry's needs
Id as we'll as certain other trade on tn,
E. West Coast Of South America. You
rs company subscribed TO a substantial
interest therein. and the du Pont En-
er gineering Co. was awarded the con
tract for building the plant near Cal
GO anna. Chile.
% The Delaware Surety Company wa
CO organized ON June Is, 1915, under tn
e Laws Of Delaware, with an authorize,
% capital of 10000 shares. all of whicl
CO were subscribed for by the du Pom
9s Co. at $3.50 per share. The compan.
&c was organized for the purpose of writ
e ing surety bonds for the faithful per
q Torrance by your company Of its con
G, tract 10 furnish military explosives
g. The contracts having been completed
g. the continuation Of this company wa
e. no longer required and Il was accord
q ingly dissolved on June 80. 1921. 1t
q assets We're turned over 10 the d
q Pont Co., It's sole stockholder.
G. Death Of Alexis ]. du Pont-It /
~. with deep regret that you are in
e. formed Of the death of Alexis /. d
.o Pont. for many years secretary OF you
a. company. His engaging personalit!
o1 fine character and sterling qualitie
80 endeared him 10 all his associates. O
eS leaving college he started with III
10 du Pont Co. and his entire bushes
;" career was with 1t. BY his death you
10 company lost one of its most loys
&c and devoted members.
- Financial Report.
al Appended 10 the presidents report
= the following financial statement:
y BALANCE SHEET.
SSETS.
1920 1921
.............. 1347g, 36ir3 ~ oss oO6 4