TRUCKS BUSES RAIL CARS FIRE APPARATUS GAS ELECTRIC LOCOMOTIVES -

Awzzza~ Report and

Consoh?hfedBa/ance SJeet of

/ MACK. TRlJCI4S, INC,

andSu6sidiivy Cony a&es

/

Awzua/ Report and

Conso/r’datedBa/ance Sleet of

MACK, TRLI CKS / INC,

and Su6sidhy- Companies

MACK MODEL AB-DUAL REDUCTION DRIVE EQUIPPED WITH MACK SCREW

HOIST AND STANDARD DUMP BODY FOR ROAD BUILDING

MACK MODEL AC-CHAIN DRIVE WITH RACK TYPE BODY

MACK MODEL BB-WITH ALL STEEL PACKERS BODY

MACK MODEL BJ-6 CYLINDER EQUIPPED WITH VAN BODY

MACK MODEL AK-DUAL REDUCTION DRIVE EQUIPPED WITH TANK BODY

MACK MODEL BK--F CYTJNDER 29 OR 33 PASSENGER PARLOR CAR BUS

MACK MODEL A&-4 CYLINDER 25 OR 29 PASSENGER CITY TYPE BUS

(GAS OR GAS ELECTRIC)

TO THE STOCKHOLDERS OF

MACK TRUCKS, INC.

Your Directors submit herewith consolidated balance sheet and profit and loss statement of Mack Trucks, Inc., and subsidiary companies, certified to by Arthur Young and Company, showing the condition of your Company as of December 31, 1928, compared with December 31, 1927.

Sales for the year 1928 were $55,850,860.69.

The combined net earnings for the year were $5,915,301.30 or $7.83 per share on the outstanding 755,625 shares of common stock.

During the year the regular quarterly dividends of $1.50 each were paid on the Common Stock, amounting to $4,443,987.58.

The bank loans of $7,000,000, incurred to furnish part of the cash necessary to retire preferred stock, on December 31, 1927, have been reduced to $4,000,000.

The plants have been fully maintained and the maintenance cost charged to operating expense, and following our usual practice the cost of experimental and development work has been charged off. The Reserve for Depreciation has been in- creased by $1,845,504.73. The inventory has been priced at cost or market which- ever was lower. Reserves have been provided for materials considered obso- lete. All new trucks and buses are priced at cost. Used trucks and buses in inventory are marked down to lower values than current re-sale prices. Substan- tial reserves for contingencies have been provided.

Your Company has continued its efforts to correct the abuses in the truck industry, as set forth in the last two Annual Reports, and your Directors are pleased to report that the credit policy adopted two years ago by your C:ompany has demonstrated its soundness.

The heavy commercial motor vehicle business improved somewhat during 1928 and your Company was able to secure an increased portion of the desirable business, which was available, and at the same time improve its financial and physical condition.

Orders on hand and the prospects for business during the year justify your officers in forecasting a volume of business somewhat larger than last year. If the anticipated volume is secured, net profits should show a substantial increase.

The President takes this opportunity to express his appreciation of the loyal efforts of the employees and the splendid spirit of cooperation which is being mani- fested.

FOR THE DIRECTORS,

A. J. BROSSEAU,

President

New York City

February 21, 1929

ABACK TRUCKS, INC.

CURRENT ASSETS :

ASSETS

Cash ..............................................

Accounts and Notes Receivable ......................

Inventories . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Total Current Assets . . . . . . . . . . . . . . . . . . . . . . _ .

BALANCE RECEIVABLE FROM EMPLOYEES

UNDER STOCK ALLOTMENT. . . . . . . . . . . . . . . . . . . .

FIXED ASSETS :

Real Estate ........................................

Buildings and Building Equipment ....................

Machinery and all other Equipment ..................

Less : Reserve for Depreciation ..................

Total Fixed Assets .........................

CONSOLIDATED BALANCE SHEET AT D

1928

$ 2,311,703.56

22,966,200.34

18,533,204.68

$43,811,108.58

$ 835,815.10 $ 1,435,032.69

$ 1,487,713.85

12,724,082.54

$ 1,483,625.99

12,710,756.00

17,428,544.85 16,456,720.06

$31,640,341.24 $30,651,102.05

11,105,884.17 9,260,379.44

$20,534,457.07 $21,390,722.61

SUNDRY INVESTMENTS AT COST . . . . . . . . . . . . . . . . . $ 509,802.27 $ 523,313.95

DEFERRED CHARGES . . . . . . . . . . . . . . . . . . ..I......... $ 367,916.12 $ 455,221.56

LICENSES, PATENTS, PATENT RIGHTS AND GOODWILL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2.438.364.94 $ 2,438,364.94

$68,497,464.08

1927

$ 2,992,637.00

22,855,472.66

17,214,622.16

$43,062,731.82

$69,305,387.57 .!

CERTIFICAT

We haw audited the books and records of MACK TRUCKS, INC., AND SL the above Consolidated Balance Sheet and accompanying Statement of Earnings prepared thej iaries at December 31, 1928, and the consolidated result of operations for the year ended the;

New York, February 11, 1929.

AND SUBSIDIARIES

CEMBER 31, 1928, AND DECEMBER 31, 1927

1927

$ 7,000,000.00 1,427,459.14 1,339,883.78

92989.67

$ 9.860.332.59

LIABILITIES & CAPITAL

CURRENT LIABILITIES : 1928

Notes Payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . , . . . . . . . . $ 4,000,OOO.OO Accounts Payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,291,034.55

Accrued Accounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,499,099.98 Customers’ Deposits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 109,111.50

Total Current Liabilities . . . . . . . . . . . . . . . . . . . . . . . . $ 7,899,246.03

RESERVES :

For Current Year’s Federal Income Taxes. . . . . . . . . . . . . . $ 810,OOO.OO $ 820,OOO.OO For Contingencies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,000,259.44 1,012,850.57

Total Reserves . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9; 1,810,259.44 $ 1,832,850.57

SECURED 6% NOTES SERIES “A” 1929-1940: Mack Trucks Real Estate, Inc. . . . . . . .*. . . . . . . . . . . . . . . $ 2,400,OOO.OO $ 2.600.000.00

EQUITY OF MINORITY STOCKHOLDERS IN SUBSIDIARIES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

CAPITAL STOCK

COMMON

Authorized -

Issued - Allotted un- der subscrip- tion contract-

1,000,OOO shares of no par value

755,625 shares of no par value

24,829 shares

780,454 shares stated at

$ 4,735.96 $ 2.915.48

SURPLUS :

Capital Surplus, being excess consideration on Common Stock issued and allotted above value of $5 per share included in Stated Capital . . . . . . . . . . . . . . . . . . . . . . . . .

Earned Surplus . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Total Surplus . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

$ 3,902,270.00 $ 3,907,640.00

OF AUDITORS

;TBSIDIARIES for the year ended December 31, 1928, and we hereby certify that, in refrom correctly set forth the consolidated financial position of Mack Trucks, Inc., at date.

ARTHUR YOUNG @ COMPANY

$29,478,831.81 23,002,120.84

$52,480,952.65

$68,497,464.08 $69,305,387.57

our opinion, and Subsid-

$29,570,841.81 21.530.807.12

$51,101,648.93

. MACK TRUCKS, INC., AND SUESIDIARIES

CONSOLIDATED STATEMENT OF EARNINGS

FOR THE YEAR ENDED DECEMBER 31, 1928

Net Profit for year after providing for Depreciation but before providing for Reserve for Federal Income Taxes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Deduct :

Reserve for Federal Income Taxes. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

CONSOLIDATED STATEMENT OF SURPLUS

AT DECEMBER 31, 1928

SURPLUS AT DECEMBER 31, 1927, per Certified Accounts . . . . . . . . . . . . . . .

Add :

Net Profit for 1928 per accom- panying Statement of Earnings. .

Deduct :

Cash Dividends on Common Stock from January 1, 1928 to Decem- ber 31, 1928

Cancellation of Common Stock allotted . . . . . . . . . . . . . . . . . . , . .

SURPLUS AT DECEMBER 31, 1928

Total

$51,101,648.93

5,915,301.30

Capital

$29,570,841.81

. .

. .

$ 6,725,301.30

810,000.00

$ 5,915,301.30

Earned

$21,530,807.12

5,915,301.30

$57,016,950.23 $29,570,841.81 $27,446,108.42 ~

$ 4,443,987.58

92,010.00

$ .4,443,987.58

92,OlO.OO

$ 4,535,997.58

$52,480,9.52.65

$ 92,OlO.OO

$29,478,83 1.81

$ 4,443,987.58

$23,002,120.&c

BOARD OF DIRECTORS

A. J. Brosseau, Chairman I

R. E. Fulton

Charles Hayden

R. F. Hoyt

W. E. Reid

J. E. Savacool

W. Hinckle Smith

Andrew V. Stout

Albert H. Wiggin

F. B. Adams

J. A. Bower

W. A. Bradford

T. L. Chadbourne

Wm. E. Corey

H. W. Croft

W. R. Edson

E:. C. Fink

EXECUTIVE COMMITTEE

A. J. Brosseau, Chairman

Wm. E. Corey

Charles Hayden

Albert H. Wiggin

J. A. Bower

W. A. Bradford

T. L. Chadbourne

TRANSFER AGENT OF STOCK

Guaranty Trust Company of New York, New York City

REGISTRAR OF STOCK

Bankers Trust Company, New York City

A. J. Brosseau, .

OFFICERS

R. E. Fulton, .

E. C. Fink, ,

A. F. Masury, .

W. R. Edson, .

J. E. Savacool, .

C. W. Haseltine, .

T. V. Homan, .

R. G. Castleman, .

F. R. Harrison, .

I. G. Hopkins, .

H. S. Conklin, .

. .

. .

. .

. .

. .

. .

. .

. .

. .

. . ., . .

. .

President

Vice President

Vice President

Vice President

Vice President

Vice Pres. Sr Covnjh?roller

Secretary-Treasurer

Asst. Sec. & Asst. Treas.

Asst. Treasurer

Asst. Secretary

Asst. Treasurer

Auditor

MACK TYPE 90-750 GALLON ROTARY PUMPER

MACK TYPE’ 79-1000 GALLON CENTRIFUGAL PUMPER

MACK TYPE 15-MECHANICAL HOIST AERIAL HOOK & LADDER TRUCK

k

MACK GAS-ELECTRIC LOCOMOTIVE

MACK GAS-ELECTRIC RAIL CAR

BRAN

AKRON, 0. DENVER. COLO. Mack-International Motor Truck Corp. Maek-International Motor Truck Corri. 832-834 Coburn Street 565 So. Broadway

ALBANY. N. Y. Mack-International Motor Truck Corp.

DETROIT, MICH.

1062 Broadway Mack-International Motor Truck Corp. 5133 Grand River Avenue

ALLENTOWN, PA. Mack-International Motor Truck Corp.

ALTOONA, PA. Mack-International Motor Truck Cork 2322 Union Avenue

ATLANTA. GA. Meek-International Motor Truck Corp. 464 Spring Street, N. W.

ATLANTIC CITY, N. J. Meek-International Motor Truck Corp. New York & Reading Avenues

BALTIMORE, MD. Meek-International Motor Truck Core. 1210-28 E. 20th Street

BIRMINGHAM, ALA. Mack-International Motor Truck Corp. 2501 A”e”“e F

BOSTON (Allstonl MASS. Mack Motor Truck Co. 15 N. Beacon Street

BRIDGEPORT, CONN. Mack Motor Truck Co. 3240 Fairfield Avenue

BRIDGEPORT, PA. Mwk-International Motor Truck COrP. 25, West Fourth Street

BRONX, N. Y. Mack-International Motor Truck Corp. Leggett Ave. & Barry Street

BROOKLYN, N. Y. Mock-International Motor Truck Corp. 73 Empire Boulevard

BUFFALO, N. Y. Mack-International Motor Truck Corp. 1732-1’740 Jefferson Avenue

BUTTE. MONT. Msck-International Motor Truck Corp. 636 W. Galena Street

CAMDEN. N. J. Msck-International Motor Truck COrP. Jefferson Avenue & Sixth Street

CHARLOTTE, N. C. Me&k-International Motor Truck Corp. 1300-06 Mint Street

OBATTANOOGA. TENN. Meek-International Motor Truck Corp. 1129 Fort street

CHICAGO, ILL. Meek-International Motor Truck COrP. 33rd Street & Wentworth Avenue

CINCINNATI, 0. Mitck-International Motor Truck Corp. 1223 West 8th Street

CLEVELAND, 0. Meek-International Motor Truck Corp. 7001 Carnegie Avenue

COLUMBUS, 0. Meek-International Motor Truck Corp. 517 N. Park Street

DALLAS. TEX. Mack-International Motor Truck Cow. 1900 S. Ervay Street

DAVENPORT. IOWA Mach-lnternational Motor Truck Corp. Front & Brown Streets

DAYTON,O. Meek-International Motor Truck COrP. 124 Van Buren Street

DULUTH, MINN. Mack-Internstional Motor Truck Corp. 215 East First Street

MINNEAPOLIS (Twin City) MINN. Mack-International Motor Truck Core.

SAN FRANCISCO, CAL.

2505 University Ave., Midway (St. Paul) Msck-International Motor Truck Corp. Eleventh & Howard Streets

ERIE, PA. Mack-International Motor Truck Corp. 1921-23 State Street

NASHVILLE, TENN. Mack-International Motor Truck Corp.

SCHENECTADY, N. Y.

801 Lea Avenue Mack-Internatronal Motor Truck Corp. 103 weaver street

NEWARK, N. J.

FALL RIVER, MASS. Meek Motor Truck Co. 231 Bedford Street

FORT WORTH, TEX. Mack-International Motor Truck Corp. 505 W. Weatherford Street

FRANKFORD. PA. Mack-Ipternstional Motor Truck Corp. Erie & Caster Avenues

FRESNO. CALIF. Mack-International Motor Truck Cow. 1652 “II” Street

HARRISBURG, PA. Mack-International Motor Truck Cork. 124-728 South Cameron Street

HARTFORD, CONN. M&k Motor Truck Co. ‘709 Windsor Street

HOUSTON. TEX. Maek-International Motor Truck Corp. 1809 Travis Street

INDIANAPOLIS, IND. Mack-International Motor Truck Corp. 729 North Capitol Avenue

JACKSONVILLE, FLA. Mack-International Motor Truck Cork. 114-124 Park Street

JERSEY CITY, N. J. Maek-International Motor Truck Cow. West Side Avenue at Newark Avenue

KANSAS CITY, MO. Mach-International Motor Truck Cow. 2605 Warwick Boulevard

KNOXVILLE. TENN. Mack-International Motor Truck Cow. 213 West Depot Avenue

LITTLE ROCK. ARK. Meek-International Motor Truck Corp. 315 West 12th Street

LONG ISLAND CITY. N. Y. Meek-Internstional Motor Truck Corp. Anable Avenue & 34th Street

LOS ANGELES. CAL. Meek-International Motor Truck CORD. 20th & Alameda Streets

LOUISVILLE. KY. Mack-International Motor Truck COLD. 2311-2319 So. Brook Street

LOWELL, MASS. Mack Motor Truck Co. 39 First Street

MANCHESTER, N. H. Mack Motor Truck Co. 664 Chestnut Street

MEMPHIS. TENN. Meek-International Motor Truck Cor!~. 980 Jefferson Street

MIAMI, FLA. Mack-International Motor Truck Cow 2101 N. Miami Ave.

NEW HAVEN, CONN.

, Mack-International Motor Truck Corp.

Mack Motor Truck Co. 151 Orange Avenue

NEW ORLEANS, LA.

1232 Broad Street

Mack-International Motor Truck Corp. 1100 So. Jefferson Davis Parkway

NEW YORK, N. Y. Mack-International Motor Truck Corp. 84th Street and West End Avenue

NORFOLK, VA. Mack-International Motor Truck Carp 204 w. 24th street

NORWICH. CONN. Mack Motor Truck Co. 115 N. Main Street

OAKLAND. CAL. Meek-International Motor Truck Corp. 1902 East 12th Street

OKLAHOMA CITY, OKLA. Mack-International Motor Truck Corp. 3 East Tenth Street

OMAHA. NEBR. Mack-International Motor Truck Corp. 2152 Farnam Street

PATERSON, N. J. Mack-International Motor Truck Corp. 931 E. 24th Street

PHILADELPHIA, PA. Mack-International Motor Truck Corp. 42nd Street & Woodland Avenue

PHOENIX, ARIZ. Mach-International Motor Truck Corp. 523 West Washington Street

PITTSBURGH, PA. Mack-International Motor Truck Corp. Liberty Ave. & Gross street

PORTLAND, ME. Mack Motor Truck Co. 4 York Street

PORTLAND, ORE. Mock-International Motor Truck Corp. 285 Oregon Street

PROVIDENCE, R. I. Mack Motor Truck Co. 1124 N. Main Street

.j READING, PA. Mack-International Motor Truck Corn. 1212 Moss Street

RICHMOND, VA. Mack-International Motor Truck Cart). Boulevard L Leigh Street

ROCHESTER, N. Y. Mach-International Motor Truck Core. 1357 University Avenue

SACRAMENTO, CAL. Mack-International Motor Truck Cow. 3180 “M” Street

ST. LOUIS, MO. Msck-International Motor Truck Corp. 2800 Pine Street

CHES

MILWAUKEE, WIS. Mack-International Motor Truck Corp.

ST. PAUL (Twin City) MINN. Mock-International Motor Truck Core.

4321-4331 Wisconsin Avenue MINEOLA, LONG ISLAND. N. Y.

2505 University Ave., Midway (Mimi.1

Mack-International Motor Truck Corp. SALT LAKE CITY, UTAH

393 Jericho Turnpike Mack-International Motor Truck Corp. 163 Motor A”en”e

SEATTLE, WASH. Mach-International Motor Truck Corp.

SCRANTON, PA.

Ninth Avenue & Roy street

SHREVEPORT, LA,

Mack-International Motor Truck Cow

Muck-International Motor Truck Corp. 2060 Texas Avenue

Wash. Avenue & Walnut Street

SIOUX CITY, IOWA Mack-International Motor Truck Corp. 625 Pierce Street

SPRINGFIELD, MASS, Mock Motor Truck Co. 1236-40 State Street

SYRACUSE, N. Y. Mach-International Motor Truck Corp. 923 W. Genesee Street

TACOMA, WASH. Mack-International Motor Truck Corp. 309 Puyallup Ayenue

TAMPA, FLA. Mack-International Motor Truck Corp. Plett Street Cu Peckwood Avenue

TOLEDO. OHIO Mack-International Motor Truck Corp. 2221 Detroit Avenue

TULSA, OKLA. Mack-International Motor Truck Corp. 105 North Boulder Avenue

UTICA, N. Y. Mack-International Motor 65 North Genesee Street

WASHINGTON. D. C. Mack-International Motor 57-59 “L” Street SE.

WATERBURY, CONN. Mack Motor Truck Co. 1188 S. Main Street

Truck Corp.

Truck Corp.

WHITE PLAINS N. Y. Ma&-1nternat;oonal Motor Truck Corp. 111 S. Kensico Avenue

WILKES-BARRE, PA. Mach-International Motor Truck Corp. 264 Carey Avenue

WORCESTER. MASS. Mack Motor Truck Co. 308 Belmont Street

CANADA

MONTREAL, QUEBEC Mack Trucks of Canada, Ltd. 1501 St. James Street, West

TORONTO, ONTARIO Mach Trucks of Canada, Ltd. 1941 Yonge street

VANCOUVER, B. C. Mack Trucks of Canada, Ltd. 1146 Georgia St., W.

CUBA

HAVANA Meek Trucks of Cuba. S.A. Avemda de la Republica 190 y 192

ARGENTINE

Buenos Aires

Tomes & Cia

BRITISH WEST INDIES

Kingston. Jamaica

Atlantic Fruit & Sugar Co.

COLOMBIA

Bogota

G. Pradilla & Ci&

Medellin

R. E. Restrepo & CO”iPahY

Cali

A. Ariztizabal & Cia

FOREIGN

EUROPE (ALL1

The European Distributors of

Mack Trucks

25 Broadway, New York. N. Y.

HAWAII

HO”Ol”lU

YO” Hi-mu” Young Co., Ltd

JAPAN

Tokio

Kongo Shokwai

NEWFOUNDLAND

St. Johns

Marshall’s Garage

DEALERS

NICARAGUA

Me”%f”e

Hebard & Kilhauer

PERU

Cella

Vulcan Iron Works

PORT0 RICO

5%” Juan

Suers. de L. Villamil Y Cie

VENEZUELA

O”%C”S

Maracaibo

C. Adrianze & Alberto-Reyna & Co.

W. T. STEVENS, INC. 50 CHURCH STREET, NEW YORK CITY, N. Y.

Handling following countries:

Africa

Australia

Borneo

Burllie

Ceylon

Federated Malav States

India

J&Y&

New Zealand

Si&i

Strait Settlements

Sumatra