New Britain herald., 1929-02-12

manufacture and sales OF screw
products. hardware. and shop furni-
ture will be handled by The New
Britain Machine Co. The separate
arrangements will be able to special
Ire on the operating and sales prob
lens that are distinctively their own
and which vary 70 much one from
the other.
THE New Britain Machine Co.
will remain an operating company
to the extent Of operating it, screw
products. Ito shop furniture. and
hardware divisions and become q
holding company to the extent Of a
controlling interest In the company
which will own tho machine building
facilities. patents. etc. of the New
Britain Machine Co. and Of the
Gridley Machine Co.
Financial Arraagen,cnts
ITO accomplish this purpose. the
corporate structure Of the Gridley
Machine Co. will be expanded to
ono hundred thousand (lO0,OOO)
shares OF ten dollars (t1O) par each.
and the name changed to the New
Britain-Gradley Machine Co. The
following net assets of the New Brit.
ain Machine Co.. n of January list,
1893. to the extent of their depreci-
ated book value less reserves OF ST.
124.3s5.06 will be exchanged for
eighty thousand O.000) shares of
this stock.
inventories. less reserves $6lS,e2O.93
Real estate. buildings, ma
chinery and equipment
deprecated book value
less reserves) ...... 61l,794.l5
Prepaid Insurance, etc.. 25,0ll.6l
s1.l5s.s:s.ss
Less Accounts Payable al,24l.sl
s1.l74.ss5,os
AN the assets of the Gridley Ma
chine Co. will be represented by five
thousand $4,000 shares. and fifteen
thousand u5,000) shares will be re-
served for such corporate purpoles
as may be deemed for the best in
terest Of the corporation by the
directors. five thousand $4,000
shares of which are subject to pur-
chase by the Gridley interests dur
Ing the next five years.
Pledge Shares for Preferred stock
"All OF the shares Of stock of the
company owned by The New Britain
Machine Company will be pledged
with the Phoenix State Bank &
Trust Co.. as collateral security for
the performance Of its obligations to
the preferred stockholders and will
remain SO pledged SO long az any of
said preferred stock remains out
standing.
Some Of the largest holders of
preferred stock have been consulted
and have signif1ed their approval of
the above plan and their decision to
vote their stock in favor of its adop-
ton.
1.-THE automatic machines of both
companies are favorably known and
those OF The New Britain Machine
Co. are widely known and extensive
ly used In the metal working indus
tries of this country and abroad.
The Gridley Machine Co. has. in its
two years of existence, successfully
developed a single spindle chucking
machine and q multiple spindle
machine of unusual merit.
The engineering staff of The Gridley
Machine Co. 10 made up Of men of
long experience In the field OF auto
matte screw machines. &. o. Gridley
was at one time president OF the
Windsor Machine Co., and several
thousand automatic screw machines
bearing his name were built by that
company and are now in use. His
name. as designer of screw ma
chimes, is most widely and favora bly,
known. Mr.. Montgomery and Mr..
who. as well as Mr.. Grid
ley. will be connected with the COM
pany. have had experience of a
great many years in this field. and |
have demonstrated that they will be |
very valuable additions to the very
capable engineering and designing |
organization. headed by Robert g.
Brown. that has made possible the
SUCCESS of the New Britain designs.
I'VE feel that the continued sue
cess OF your business is dependent |
On continued improvement In design,
keeping pace with the continually |
changing conditions and the incrcas-
I'd demands that are being made by
users Of automatics. Your directors
ire of the opinion that the amalga-