The globe-independent. (Hagerstown, Md.) 1943-19??, 1949-07-14

formed two months ago by Sher-
man M. Fairchild, founder and larg-
est stakeholder of the Airplane Com
pany.
Proxies representing $1,000 stock
holders were voted upon July in
favor of the slate of directors pro-
posed by the stockholders committee.
The vote of the stockholders auto
matically replaces the board of di-
rectors headed by j. Carlton Ward,
Jr., with the slate proposed some
weeks ago by the stockholders COM
mittee.
The new slate, in addition to Sher-
man M. Fairchild, consists of Rich
ard S. Boutelle, a vice president and
a corporation director, and Arthur
F. Flood, comptroller of the Air
craft Division, who were relieved
when they agreed to serve as direc-
tors on the proposed stockholders
o1dtS, JdlllcS "a. ANS, NlCG-pI6SluenJ
of the Grace National Bank, New
York City; Grover Looming, aircraft
manufacturer and leading consult
ant on aircraft industrial problems,
New York and Washington, D. c.;
E. Ainsworth Eyre, personal invest
ment manager, New York City; Earn
shaw Cook independent consulting
engineer and atomic energy special
ist, New York City; L. M. w. Bolton,
industrial consultant, Washington,
D. c.; William D. Mcintyre, executive
vice president of Monroe Auto
Equipment Corp, Monroe, Michigan;
Frank R. Nichols, president of
Nichols Wire and Aluminium Co
Davenport, Iowa; and Charles H.
Colvin, vice-president of G. M. Clan
mini and Co., New Jersey.
/ Control of the corporation has
been contested by the stockholders
group since Sherman Fairchild
brought his charges against the Ward
management to the attention of the
stockholders April 27. Mr.. Fair
child twice succeeded in forcing the
/ postponement of stockholders meet
ings and the balloting through lack
of quorum The two postponed
meetings were scheduled for April
u and May IL. At the las: meet
mfg, held on May II, he agreed
with the management to hold meet
ing on July 6 and insure sufficient
/ proxies for a quorum.
Immediately after the counting of
the proxies revealed the result OF
the contest, Mr.. Fairchild made the
following statement:
The outcome of this contest must
be made a victory for all of ou1
stockholders, rather than for one
slate of Directors against another
or one group of stockholders against
another
! Stockholders, whether they votec
for us or for former management
did so in the honest belief that they
were supporting the group most
capable of Strengthening and enIarg
ing the company. We have now
been chosen by a majority of the
! stockholders to assume responsibility
We must set about doing what al
If the stockholders fundamentally
werted4
! i an deeply grateful to thos5
stockholders who backed us. I am
& however, just as responsible to those
4 vho opposed us II both, | goljc
like to say that l sincerely regret
the nuisance and inconvenience thai
the contest has caused them. There
/ should be better way of settling
major issues than by constant state.
ments and answers. Unfortunate
lys although small private group
we have had to keep pace with ;
management that has felt free t.
i spend corporate funds.
As just one of the eleven Direc
tors. 1 do not pretend to speak fol
the whole new Board. I do no
hesitate, however, to state few per
4 sonel beliefs.
/ believe that we should establish
Finance Committee to undertak,
long-range financial planning and tt
investigate ways to make the com
pany's operations more economical
/ believe we should make a careful
unhurried study of the possibilit,
of new products that are well fittec
to our Organization and facilities
| | believe that we should conside
formation of group or cimmitte'
responsible for stockholders rela
/ tons. / think this contest has dem
onstrated that our Corporation
should make a far better effort I,
secure. consider and answer the