Evening star., 1939-10-25
Trust Holdings
In Gas Company
Cut 10 15Pct.
Only 66,499 Shares
Of Common Remuin
To Be Sold
By DON S, WARREN,

ny OOlN .. w ANN
Control over the Washington Gas
Light Co. by the Massachusetts,
common-law trust, the Washington
& Suburban Cos-exercised for
about 10 years through its holdings
in common stock of the operating
firm-has been reduced from IS per
cent to slightly more than Is per
cent, according to report filed to-
day with the Public Utilities Com
mission.
Robert c. Overs, vice president
and treasurer of the Washington
company, reported the recent stock
dividend payments showed the trust
had sold to the public all but 66 499
of the 1862 ,588 shares of common it
had held in the Washington COM
pany. At a price to the public Of
$29 so, the gross received by the
trust would be $8,734,62550, not
counting underwriting costs.
The stock was placed on the mar
ket in August, in keeping with the
announced plan of the trust to sell
out its holdings and to dissolve. Mr..
Overs said the rebound in this
country of the war had put tenn
porary blight on the stock sale, as
to the remaining sc, ,499 shares. but
voiced belief the trust later would
be able to dispose of the remainder,
and then dissolve.
Control Not Yet Disclosed.
Just who is to obtain practical
control of the Washington operating
concern is not disclosed conclusively
as yet, in the opinion of observers.
The test would come, it was said, in
some subsequent election of men,
bers of the board of directors, who
elect the officers. Some time may
elapse before the situation becomes
clear, some observers said.
However. the Overs statement
emphasized there has been consid-
cradle increase in the holdings of
the stock by investors in and near
Washington. The number of such
shareholders has been increased
from 308 to 1,484. Approximately
49, 800 shares now are owned in
the Washington area, or some q
per cent of the total common
stock outstanding, he said. This is
In addition to $500 shares of pre-
ferred stock which Mr.. Overs said
were held mostly by local investors.
Mr.. Overs emphasized also that
the stock sold was taken mostly in
small blocks. He figured the av-
erage holding, exclusive of the block
remaining in the hands of the trust,
to be about 80 shares per stock
holder.
1886 Shareholders.
The stockholders list as of the
record date, October IA, shows a
total Of 1886 shareholders, in con-
trast to 5O7 reported at the end
of the last year.
About 80 per cent of the common
stock is now held by New York and
New England investors, the remain
der being widely distributed" 80
States being represented in the list,
Mr.. Overs said.
Among the larger stockholders
were said to be the president and
fellows of Harvard College, with
5000 shares; the New England Mu-
tual Life Insurance Co., 5000 shares;
the Home Insurance Co., 1000 shares,
and the Hardware Mutual Insurance
Co. of Minnesota, 1850 shares. Ex-
cept for the block remaining in the
hands of the trust, the largest single
holding is approximately per cent
of the total voting stock outstand-
ing, Mr.. Overs said.
Insurance companies have pur-
chased l4,150 shares of the COM
mon stock, while educational, relig-
ious and social service institutions
hold 1924 shares. There are 124
holdings by trustees and administra-
tors of estates, comprising 25,l82
shares.
Smaller Percentage Sufficient.
Theoretically it is said by some
that holding of more than so per
cent of the stock is required to
maintain absolute control over a
corporation, but that particularly in
cases where the stock is widely dis
tributed a much smaller percentage
Is sufficient for practical control
This may come about through the
use of proxies in the election of oS1-
rectors. Some observers say that
a holding of as little as per cent of
stock, in case of wide distribution
OF holdings, could be sufficient.
Mr.. Overs presented an analysis
OF the geographical distribution of
present stock ownership, as follows
Number of
Location. stockholders. Shares
Washington and
vicinity ty---- 1.484 ll5.65e
Northeastern States 1,7O4 246,465
Middle Western