1 Totals may not add due to rounding. *Trustee of Employees' Stock Purchase Plan. 'Don & Co. was nominee of Old Colony Trust Co. of Boston which merged in 1972 with First National Bank of Boston. 'As nominee for American Natural Gas System Employees' Savings Plan. Voting stock consists of common stock and preference common stock. Shares shown are the total of both as calculated on a fully diluted basis with each preference common share equal to 1.44 shares of common. Preference common has preference over common in regards to dividends and the right, in case of default of 4 quarterly dividends, to elect a majority of directors. American Electric Power Company The top 30 stockholders accounted for 25.5 percent of the company's common stock. Only three had 2 percent or more of the stock each: •Trustee of Transcontinental Gas Pipe Line Corporation's Employees Thrift Plan. Includes 154,687 shares held by Merrill Lynch, Pierce, Fenner and Smith and 70,140 shares held by Abraham and Co. that are registered in the name of Cede & Co." Excludes 154,687 shares registered in the name of Cede & Co. Excludes 70,140 shares registered in the name of Cede & Co. 10 Includes preferred stock with voting privileges. 11 Rank in 1970; not among top 50 in 1971. Virginia Electric and Power Company The top 30 stockholders accounted for 29.9 percent of the company's common stock. Four companies had more than 2 percent of the company's outstanding common stock each, three of them being New York banks and the fourth a brokerage firm: (through four nominees) First National City... stock. (through four nominees) Merrill Lynch, Pierce, Fenner & Smith Inc.... Manufacturers Hanover.. Percent 5. 6 3.7 3. 1 3. 1 Eight New York banks combined held 16.1 percent Pennzoil Company of the common stock. Texas Eastern Transmission Corporation The top 30 shareholders held 26.9 percent of this company's common stock. Only three of these shareholders held as much as 2 percent of the stock: Bank of New York.. (through two nominees) Chemical Bank, New York.... (through four nominees) First National Bank of Shreveport, Louisiana... (acting as trustee of the Employee's Stock Purchase Plan) The Pennzoil Company, until June 1, 1972, Pennzoil United, Inc., was formed through merger of the former Pennzoil Company and United Gas Corporation. As such it is a major public utility in the natural gas transmission field, a producer of motor oil and related products, and active in mining and oil and gas exploration. It is 2.6 included here under public utilities since Fortune in 1972 classified it among the 50 largest public utilities, although Moody's Investors Service includes it in its Industrial Manual for 1972 rather than in its Utilities Manual. Peroent 2. 4 2.2 Six New York banks combined held a total of 9.8 percent of the company's common stock. Texas Utilities Company The top 30 stockholders accounted for 25.8 percent of the company's common stock. The only holders of 2 or more percent of the common stock are one Chicago and three New York banks as follows: Chase Manhattan....... (through two nominees) First National of Chicago. (through three nominees) First National City of New York...... (through three nominees) Morgan Guaranty.. (through two nominees) The top 30 stockholders accounted for 40.9 percent of the voting stock (common and preference common) of the company, nearly half of this amount, 18.6 percent, consisting of holdings of 10 New York banks. Two of these and three other holders had 2 percent or more of the voting stock each as follows: First National City... Commerce Bank of Kansas City... Merrill Lynch, Pierce, Fenner & Smith Inc.. Brown Brothers, Harriman and Company. Percent 2.9 2.7 Baltimore Gas and Electric Company 2.4 Percent 7.5 3.7 3.0 2.8 2.4 The top 30 stockholders accounted for 24.6 percent of the company's common stock, about the average concentration among reporting utilities. Only three holders ac Seven New York banks combined held 11.0 percent of counted for 2 percent of the stock: Four New York banks combined held a total of 2.5 percent of the company's common stock. Pennsylvania Power and Light Company Concentration of stock ownership in this company is relatively low among utilities, the top 30 holders accounting for 18.6 percent of total shares of common stock outstanding. Aside from Cede and Company, the nominee of the New York Stock Exchange, with 3.8 percent of the total, all of the holders with 1 or more percent of the shares are Philadelphia banks, led by Girard Trust with 2.1 percent and First Pennsylvania with 2.0 percent. Six Philadelphia banks combined held 7.8 percent, and seven other Pennsylvania banks an additional 2.7 percent. Five New York banks combined held a total of 2.1 percent of this company's common stock. Long Island Lighting Company This company appears quite typical of the concentration pattern among electric and gas utility stock ownership, with somewhat greater emphasis on participation of New York banks, which its geographical location would suggest in any case. Holding 2 or more percent of Long Island Lighting's common stock are only three New York banks and Cede and Company: Chase Manhattan.. (through two nominees) Eight New York banks combined held 14.3 percent of the common stock of Long Island Lighting, with the top three, as noted above, holding 11.5 percent. Potomac Electric Power Company Only 14.8 percent of the common stock of Potomac Electric Power is held by the 30 largest stockholders. Cede and Company, the nominee of the New York Stock Exchange, accounted for 6.1 percent. No other holder was reported to be holding as much as 1 percent of the stocks. Three New York banks combined held 1.2 percent of the stock and four Washington banks 2.4 percent. Pacific Power and Light Company Among utilities, except for AT&T, Pacific Power and Light ranked lowest in concentration of voting stock among reporting utility companies, the top 30 stockholders holding only 10.0 percent of such stock. Only one holder held as much as 2 percent; Merrill Lynch, Pierce, Fenner and Smith with 2.5 percent. Two New York banks combined held 0.4 percent of the company's voting stock. Cleveland Electric Illuminating Company The top 30 stockholders accounted for 24.1 percent of the company's common stock. Only two holders had 2 or more percent of such stock: Cede and Company. Percent 5. 1 Percent Morgan Guaranty... 3.9 3.3 (through six nominees) First National City.. (through three nominees) Cede and Company. 4.6 (the nominee of the New York Stock Exchange) Four New York banks combined held 3.2 percent of the company's common stock. (the nominee of the New York Stock Exchange) A. A. Welch and Co..... Chapter VII RETAIL TRADE The response to Senator Metcalf's letter of May 8, 1972, to the 50 largest retailing companies in 1970, ranked by sales, was less complete than for any other category of firms contacted, except for insurance. In fact 18, or over a third, failed to respond at all. Of the 32 who did answer the letter, 12 refused to give any information on stockholders, largely on the grounds of confidentiality, 10 provided only limited information, and two indicated they were subsidiaries of other companies. Only eight companies complied fully with Senator Metcalf's request; and of these only one, Safeway Stores, the third ranking company, was among the top 15 retail companies. PARTIAL RESPONSES The gist of the 10 partial responses can be indicated as follows: Sears Roebuck, the largest retailer, indicated only that the largest block of its stock, 31,228,627 shares, or 20 percent of the total outstanding, was held by the Savings and Profit Sharing Pension Fund of Sears, Roebuck and Company employees. The next 29 shareholders held 22,857,441 common shares or 14.7 percent of the total shares outstanding. No further detail of these 29 shareholders was offered. J. C. Penney answered in a similar vein and indicated that the single largest stockholder is the trustee under the Company's Savings and Profit Sharing Plan, with about 3.6 million shares or about 6.4 percent of the total outstanding. S. S. Kresge Company also provided only the name of the largest stockholder, the Kresge Foundation holding 3,403,900 shares of common stock, or about 9.3 percent of the total outstanding. Marcor, the parent company of Montgomery Ward and Container Corporation of America, indicated the amount of shares in each of the 30 largest shareholdings, but designated only the kinds of holders. Thus the three largest holders were each a bank nominee, with 4.1, 4.0, and 4.0 percent of the outstanding stock, respectively, with the fourth largest being Ward's Profit Sharing Plan with 3.7 percent of the total. The largest accounts can be summarized as follows: Percent Thus the 30 largest holders accounted for 41.8 percent of the outstanding common stock, and banks and bank nominees (among the top 30 holders) accounted for 33.0 percent. Lucky Stores, Dublin, California, indicated only that the largest holder of its stock is an individual with just over 6 percent of the total outstanding shares, and that of the 30 largest, 11 are individuals and not institutions. Forty-four percent of the voting stock of the DaytonHudson Corporation is held by five members of the Dayton family, all of whom are directors of the company, and members of their families. No other single shareholder is believed to account for as much as 5 percent of the stock. Arlen Realty and Development Corporation referred to the proxy statement it enclosed which indicated that Arthur Cohen, chairman of the board, directly and through family trusts, owned beneficially about 29.3 percent of the voting securities of the company. And Arthur N. Levien, chairman of the operations committee of the company, directly and through family trusts, owned beneficially about 14.3 percent of the voting securities of the company. No other officer or director held as much as 2 percent of the voting securities of the company. No other holdings were disclosed. Associated Dry Goods Corporation only listed the number of shares in each of the 30 largest shareholdings. It gave no indication of the name or even of the kind of holder (e.g. bank nominee, corporation, individual). The 30 largest shareholders accounted for 36.9 percent of the common stock of Associated Dry Goods; the top six holders ranged from 3.5 to 2.1 percent of the stock each, with a total of 15.4 percent between them. First National Stores, Somerville, Massachusetts, disclosed only that the Madison Fund owned about 20 percent of its stock and that no other stockholder owned 10 percent or more. Thus it did no more than fulfill the regulation of the Securities and Exchange Commission for disclosure of names of persons owning 10 percent or more of a corporation's stock. Borman's, Inc., reported that the Borman family owned beneficially over 600,000 shares (or over 20 peroutstanding cent) of the 2,965,048 shares of the common stock outstanding. 30. 5 2.5 Ward's profit sharing plan 1, 008, 756 682, 109 1 broker.. 407, 840 1.5 State governmental retirement fund.. The two respondents that indicated they were subsidiaries of other companies were National Tea Company, 4,186,016 or 55.2 percent of its total of 7,583,693 common shares outstanding being held by the Canadian firm, Lob1.1 law Groceterias, Co., Limited, through two wholly owned subsidiaries, and City Products Corporation, a wholly owned subsidiary of Household Finance Corporation. .6 |