Proposed Merger of Stanley Rule and Level Company with
the Stanley Works
At a joint meeting of the directors
of both corporations in New Britain, Connecticut, held March 4,
1920, a proposal for the purchase of the Stanley Rule and Level
Company by the Stanley Works was presented.
It was decided to submit the matter
to the stock holders without delay. The semi-official statement
from the Stanley Rule and Level Company concerning the proposed
merger is as follows:
"The directors of the Stanley Rule
and Level Company and the Stanley Works have agreed to submit to
their respective stockholders at stockholders' meetings to be
called within the next two weeks a proposition looking towards
the 9ale of the manufacturing business of the Stanley Rule and
Level Company to the Stanley Works, in exchange for 7 per cent
cumulative dividend non-voting preferred stock of the Stanley
"The project will bear the
favorable recommendation of all directors and officers of both
companies and, if favorably received by the stockholders, will
result in the merger of the Stanley Rule and Level manufacturing
business into the Stanley Works.
"The price to be received by the
stockholders of the Stanley Rule and Level Company cannot at
this time be definitely stated, because of various questions of
tax payments and reserves; but it is expected that ultimately on
the dissolution of "the Stanley Rule and Level Company the
amount received by their stock holders from this sale, together
with the assets reserved from sale, will amount to a substantial
advance over the present market price of the Stanley Rule and
"The fact that the Stanley Works
and the Stanley Rule and Level Company are engaged in a similar,
but not competing, line of manufacture and that the combined
manufacturing and selling forces of the two companies will be of
mutual assistance and benefit to each other have been a material
consideration in influencing the directors to recommend the
"The manufacturing and selling
forces of the Stanley Rule and Level Company will continue
substantially as heretofore and the operation of the two
companies will go along with very little change.
"The transfer books of both
companies are closed as of 12
March 4, 1920, and until after the date of the stockholders'
A statement, practically the same
as the foregoing, was issued to the stockholders of the Stanley
Works, and also contained the announcement that the transfer
books of the company are closed. The following is a copy of the
"A meeting of the stockholders of
this company will be called within a few days, at which matters
of great importance and possible advantage to the stock holders
will be submitted.
"In view of these circumstances,
the directors have voted to close the stock books of this
company as of 12 o'clock noon, March 4, 1920, and until after
said stockholders' meeting.
"An announcement and notice of this
stockholders' meeting will be sent to all stockholders within
two weeks. The Stanley Works,
by E. W. Christ, Secretary.
March 4, 1920."