Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-03-31
R. c. A. INDICATES
GIGANTIC GROWTH
Company Has Plunged Into
Manifold Allied
Activities.
BY MARTIN CODEL.

Gigantic proportions attained by the
Pablo Corporation of America in the
space of slightly more than decade
since it was formed as a communications
company. only to plunge into manitoba
other fields to which radio was adapta-
BILE. are revealed in the annual report of
the corporation which will be submitted
today by Mai Gen. jams G. Hartford,
chairman, and David Sarnof, president
The revelations of the report are par
ticularlv significant at this time when,
largely stimulated by the Senate COM
mittee which recently investigated
radio trust" charges. the Department
of Justice is investigating the corpora
ton to determine whether its tremen-
dous aggregation of patents and its
trade practices justify the allegations OF
monopoly often levelled against it.
A total gross income of 1882, 1877 39
and a net income of $15,892, 562 are re-
ported for the year 1929. Total current
assets at the end of 1929 were 500, s09,-
$50. and total current liabilities $685.
1877. 535, a ratio of nearly "a to /. Pat
ents patent rights, contracts and good
will are listed, as in previous years, at
only 81.
Gross Income Increased; Net Declined.
The report reveals that gross income
SUBSTANTIALLY
though net income declined. However,
total assets increased greatly over cur
rent liabilities. The 1928 gross income
was $101 ,851 500 with net income that
year S23. 661 ,969. Total current assets in
1923, aside from plant and equipment,
were $55,577, $50 and total current la
bilitieS $16,073,015.
Figures for preceding years are con-
siderably lower, indicating that the cor
poration has strengthened its position
year by year. In 1925, for example, gross
income amounted to $46,25l 1875 and net
income to So, 794.614 Significant also In
the 1929 report is the fact that figures
for the Victor organization. which was
merged last year with the r. c. A., are
included.
Moreover, production in the set and
tube fields, the most prolific sources OF
income, has been integrated in r. G. A.
Victor. Inc, and r. G. A. Radiotron,
Inc, the first of which is 80 per cent
owned by the General Electric Co. and
20 per cent owned by the Westinghouse
located to General Electric and WeSting-
house, whose patents are used by r.
@. A.
The ramifications of the r. c. A. hold
ings and operations are manifold. Be-
sides the set and tube subsidiaries, 1t
owns or has large stock holdings in r.
G. A. Communications, Inc. operating
a transoceanic radio system; Radioma-
rine Corporation of America, ship radio;
r. G. A. Photophone, Inc, sound pic
lures: Radio-Keith- Orpheum Corpora
ton, theaters and vaudeville: r. G. A.
Institutes, Inc, radio schools, and e. T.
Cunningham, Inc, vacuum tubes.
Owns so Per Cent of N. B. C. Stock.
In addition, it owns so per cent of the
stock of the National Broadcasting Co.,
in which General Electric has 80 per
cent and Westinghouse 20 per cent. The
N. B. C.. now has a subsidiary musical
copyright company, known as the
Radio Music Co."
1t also owns so per cent of the newly
formed General Motors Radio Corpora
ton, and has a $2,000,0 900 loan interest
in National Union Radio Corporation,
tube producing concern.
In the radio set and tube fields the
r. c. A. collects royalties by its patents
from about IS set manufacturers and IL
tube manufacturers licensed to make
those products.