NEW YORK (Jan. 31)
The board of directors of the Palestine Economic Corporation on has declared its regular quarterly dividend of $1 per share of stock and was voted a four-for-one split in its common stock, it was announced today by Henry Korgenthau, Jr., who was recently named chairman of the board of the P.E.C. Including the current action, the total dividend paid for 1948 amounted to $4 per share.
Reporting on the action of the board, Mr. Morgenthau declared that the four-for-one split in the stock was intended “to bring about the widest possible participation on the part of the American public in the great opportunities for economic activity resulting from the establishment of the state of Israel.” At the same time, he made public a report on the earnings and profit of the Palestine Economic Corporation during 1948. The net profits, after deductions for expenditures and taxes, amounted to $297,813.73, as compared with a net profit in 1947 of $268,786.52.
The board of directors also established a committee of its members to draw up a blueprint for a number of hotels in key Israeli cities. The board named Harold J. Goldenberg, of Minneapolis, as vice-president of the Corporation. Mr. Goldenberg is planning to leave soon for Israel.