i Page 6 THE BATTALION MONDAY, MARCH 17, 1980 age 6 THE BATTV MONDAY, MARC business Shareholders Corporate developments spur questions Majority of provinctW owns company stod United Press International NEW YORK — New shareholder questions about deceptively low ex ecutive expense accounts, inflation- adjusted financial results and re jected takeover proposals await cor porate directors in this year’s round of annual meetings. Corporate policy toward South Africa remains the most common topic of shareholder resolutions and companies involved in nuclear ener gy will be peppered with safety ques tions stemming from the Three Mile Island disaster. But several develop ments since last year’s annual meet ings have sparked questions for this spring’s company get-togethers. Publication of John DeLorean’s recollections of life at General Motors Corp., for example, verified an open secret of the corporate suite —• executive expense accounts can be manipulated to near nothing. DeLorean, the former CM execu tive now heading his own auto com pany, recounted that GM’s top man agers “went through all sorts of finan cial gymnastics to avoid expenses. “They always let underlings pay their bills and then approved the underlings’ expenses; used company planes when a commercial flight would have done the job; or let sup pliers pick up the tab,” said DeLo rean in “On a Clear Day You Can See General Motors,” written by J. Pat rick Wright. “I guess a small figure gave the semblance of a lean, well- controlled corporation, and provided a shock ingly low figure for the chairman to give shareholders if the question of executive expense was raised at the annual meeting. ” The expense question already has been raised at this year’s early annual meetings attended by stockholder activist John Gilbert, who is citing DeLorean’s description of expense dodging. No company yet has dis closed it engages in tbe practice. Another likely topic for question ers is the inflation-adjusted financial data being published in annual re ports for tbe first time. With inflation taken into account, corporate results frequently are much less rosy than reported under standard accounting methods. Many companies opposed the re quirement to compute the inflation- adjusted numbers on grounds they will confuse shareholders. The accounting firm of Deloitte Haskins & Sells said directors can expect a battery of questions on what the new numbers mean and how useful they voice, especially when a generous tender offer is involved. A case in point is the rejection last year by McGraw-Hill Inc. directors of a takeover offer from American Express Co. Guy P. Wyser-Pratte, who heads arbitrage trading for the Bache Halsey Stuart Shields broker age, fought the decision and hoped to raise the issue again at McGraw- Hill annual meeting this spring. McGraw-Hill blocked the prop osed resolution and was upheld by the Securities and Exchange Com mission. But despite McGraw- Hill’s victory, Wyser-Pratte says he plans more resolutions to force direc tors to convey attractive takeover offers to shareholders. He believes raising the issue at annual meetings will produce better results than court actions, which fre quently have failed. “There is a groundswell among stockholders against having their fate decided against their wishes, WyserPratte says. “You can’t leave these decisions to the directors who have vested interests. NSP requests Tenneco aid Directors who have turned down takeover bids without putting the matter to a shareholder vote face questions on their decision. While many stockholders are content to let directors decide such matters, others think they should have a United Press International EAU CLAIRE, Wis. — The Mid western Gas Transmission Co., serv ing Northern States Power Co. in Wisconsin, Minnesota and North Dakota, is too dependent on costly Canadian natural gas, according to an NSP official. Edwin Theisen, Wisconsin NSP president, said the utility has asked the U.S. Department of Energy to order the Houston firm, a subsidiary of Tenneco Inc., to decrease its de pendence on natural gas from Canada. Canada increased the price to U.S. pipeline companies by 30 per cent to $4.47 per thousand cubic feet Feb. 17. NSP distributes the gas to 38,000 customers in the three states including 14,000 in Eau Claire, Chippewa Falls, Menomonie and Altoona. “We have requested a formal hearing because the steadily rising export price of Canadian natural gas has imposed substantial economic hardships on our customers, Theisen said. Theisen said NSP has expressed concern since 1975 over Midwest ern’s exclusive reliance on gas from Canada. Midwestern won the right to serve NSP under a franchise the federal government established in 1960. Lunch C. K. Krumbottz serves of sandwiches, burgers, s super salad bar Join u 2 p.m. Mon. through Fri. Our super I spread of n and get V* i NOTICE TO ENGINEERS May and Summer Graduates MASON & HANGER - SILAS MASON CO., INC. Engineers & Contractors since 1827 May have the career for you. Department of Energy in nuclear weapon He said NSP customers in La Crosse, Onalaska and Hudson re ceive gas at half the price. The gas distributed in La Crosse, Onalaska and Hudson is American natural gas piped by the Northern Natural Gas Co. of Omaha, Neb. United Press International NEW YORK — When the British Columbia Investment Corp. holds its first annual meeting this spring in Vancouver Coliseum it will have to limit admission to holders of 100 shares or more. That’s because most of the Cana dian province’s two million popula tion own at least five shares of the company. Although its revenues totaled a modest $360 million last year, the company’s shareholder family is two- thirds the size of American Tele phone & Telegraph Co., and it has nearly one-third as many shares out standing as the giant General Motors Corp. British Columbia Finance Minis ter Hugh A. Curtis, visiting New York to address a select group of Wall Street executives, explained the uni que corporate setup. “When British Columbia was ruled by a socialist government for three years prior to the election of the present moderately conservative regime in 1975, a lot of enterprises were acquired by the provincial gov ernment that simply don t lend themselves to state operation, ” Cur tis said. Last year all these were grouped in one corporation, he said. Every citizen over the age of 16 in the pro vince was given five shares free, a total of 10 million shares to 1.9 mil lion persons. In addition, a general offering of the stock was made to Canadian investors at $6 a share. More than 80 million shares were sold. Many of these shares, of course, were bought by persons who also had received free shares. Curtis said the provincial govern ment made the distribution because it believed the people were entitled to the shares and because it wanted VISA 815 Harvey Roac GS. A prime contractor for the manufacture and assembly. BS/MS, EE, IE, ChE and Arch. Interviewing on campus March 21, 1980. Sign up at Placement Office today. An Equal Opportunity Employer M/F Save miPIIIETT §IH€W Rudder Auditorium March 22, 1980 8p.m. Tickets MSG Box Office (MSC DUNCIl PECJECTS LAST CHANCE Filing for the following offices closes today at 5:30 p.m.: The Cow The Biggest Burger Bargains in B-CS! GIANT 1/3 LB. HOMEMADE BURGER served with a pita of real Franch Frias or salad. Orass It yoursaif at our salad bar. Lots of extras too Mushrooms 25c extra ChHI 20c axtra Bacon 30c axtra Jalaps nos 5c axtra 35 BBQ SANDWICH 1/3 lb. of delicious hickory-smoked BBQ on a bun, served with a pile of French Fries 45 NACHOS 3/4 lb. plate of homemade chips, real Cheddar & Monterrey Jack cheese & lots of Jalapenos. 35 y 2 BBQ CHICKEN 1/2 a giant chicken served with a terrific sauce & pile of French Fries 75 SIRLOIN STEAK 8 oz. with French Fries and Texas Toast (after 2 p.m.) CHEF SALAD Unbelievable 1 lb. salad plate with 6 delicious ingredients and dresalng of your choice 25 CHICKEN-FRIED STEAK SANDWICH Our newest item, served on a bun with a pile of French Fries & gravy if you like Sodas — Teas (30-45C) — Beer (50c 70 Open 10:30-9:00 Everyday 846-1588 317 UNIVERSITY DR. (NORTHGATE) Student Body President Yell Leaders Student Senate Vice President of Academic Affairs Vice President of Rules and Regulations Vice President of Student Services Vice President of Finance drive 'fAeqdly' Texas Office of Traffic Safety Vice President of External Affairs Residence Hall Association Off Campus Aggies Class Officers Graduate Student Council If you're worried about cancer, remember this. Wherever you are, if you want to talk to us about cancer, call us. Were here to help you. WE’RE LO POWER F MONTH FC HAVE DEC YOU CAN WRITE: There are still several positions open. Now is your chance to get involved in the future of A&M. To file for election come by room 216E of the MSC from 9:00 AM to 5:30 PM. Election Days April 1, 2 Runoff Election April 8 WE’LL I NOT INTE GINEERIt A U.S. N/s Polling Places: 1) MSC 2) HECC 3) Zachry 4) Rudder Bus Stop 5) Kleberg 6) Guard Room 7) Vet School 8) Commons 9) Sbisa American Cancer Society 2,000,000 people fighting cancer. to interest more British Columbians in the virtues of capitalist stock own ership. The conservative administration of Premier W.R. Bennett was re elected last November. Curtis said the province came back from "near bankruptcy” reached under the so cialist regime and had a surplus of $303.9 million in the first nine months of last year. Its inflation rate is only 7.7 percent, less than half that of the United States and well below half that of the general Canadian in flation rate. The government’s interest in the spun-off company has been reduced below 5 percent, which is not enough to give it any further voice in management or policies, Curtis said. The company did well in its first year as a capitalist enterprise, earn ing $40.8 million on the $360 million revenues. The profit came from the yield on $517 million in short-term investments and earnings from large forest products holdings. Its stock re united p NEW YOR one of the fev mercial jets, j cently has sold around S8 so on we will 1 The first-year performant* all-woman coc spite a strike at the Priminne will even pulp mill and some ofc “Actually, pected setbacks. already has o< The socialist regime lefi member of a vincial government will which everyor dozen other Crown corpm sons. “I don’t state-owned businessenteip-fbut 1 know I re called in Canada. CurtisM Jones, 35, i are no plans to spin offorselitipushing for mo private enterprise since the: pit! She looks they engage in generally jr standpoint of s suited to public manage- ao( sex. perusal of the province’sfiac As a pilot, port showed that last yea: :han 6,500 flyi from these companies biowo fly multi-e more than one-third as i .nstrument am venue as taxes. Curtis predicted BritishCji will have another big suiplsf year because of the prop§i| dant natural resources! re-election of the modeBtejd ment has reinforced the [aii:|, dustrs in British Columbnij^E * confidence of the people, r - ® M m m Up • MIL Enzyme studk benefit gasoho United Press International NEW YORK — If alcohol fuel mixtures yield exceptionally big oil savings, it probably will be the result of breakthroughs in enzyme che mistry. Using enzymes to convert to sugar the starch in grains and such crops as manioc (tapioca) has made the pre sent gasohol mixtures commericaliy feasible, says William Carasik, a re search scientist for Novo Laborator ies of Wilton, Conn., American sub sidiary of Novo Industries of De nmark. The Novo laboratories is re garded as one of the world’s leading in enzyme study. Although enzyme chemistry is a century old. Dr. Kendall E. Pye, a University of Pennsylvania biochem ist, said practical developments now put it about where the electronics industry was 20 years ago. Stressing that there are no early breakthroughs in sight, Carasik raised the possibility that chemists might develop enzymes that, com bined with other technology, would convert starchek or dellulose directly into Alcohol, ‘"by-pasSing the enCtgy- greedy step of distillation. ” It is the fuel required to distill alcohol that runs up the cost. Pye said elimination of distillation might be accomplished by means of . United Pi WASHING! “Waste Not, be nation, Cor pi to set up ient use of t iroducts as ene ther uses rest molecular sieving, membrajt! F° r ye ars b ation or solvent extraction i- utting trees, tiou to better enzymecheiE-haitdid not me matter how good the enz»;| ou 8h ,: to bav then can’t get the water out i Now rest-arc fermented mash. Oergy source: Even if distillation wen rom timber h minated, better enzYmesJ^ireof forcsl greatly increase the alcohol P Produce me from a given tonnage offerref 6 * ~~ an d °d mash and a gisen (|uai]tih legislation a burned in distillation. he House agric At present about the only n forests won! economize on fuel in mahini am ' Emphasis is to find a source of waste ber^. was,