Chicle Fight

The present management of the American Chicle Co. comes up for reelection at its annual stockholders' meeting on March 4 next, but a number of prominent stockholders have made up their minds to make this function rather more stirring than such meetings usually prove. They have organized a stockholders' protective committee, and are out to obtain proxies for a majority of the 155,000 outstanding shares; already they have proxies for 65,000. They propose to have the scalp of H. T. Blodgett, President of the Company, and to effect several reforms, in their opinion demanded by the business.

Mr. Blodgett's main defect, as the committee views it, in his enthusiasm for more salary. He was, it is claimed, placed in the Presidency by bankers who had control of the Company, although he was quite innocent of any knowledge of the chewing-gum industry. Blodgett, however, apparently knew a trick worth two of that. His salary was increased from $20,000 to $50,000; and the increase was made retroactive for the previous year and a quarter. In the opinion of the committee the business did not warrant this munificence.

The insurgent stockholders' committee also criticise the financial affairs of the Company, which has outstanding $2,000,000 in bank loans and $1,500,000 in serial notes. It is claimed that no effort has been made to retire these obligations, and their continued existence compels a control of the Company's affairs by the creditor bankers, which is injurious to the, stockholders' interests.