Transamerica's Pool

Calm, dignified but surprising was an announcement made by the $1,162,000,000-in-assets Transamerica Corp. last week. It said that Transamerica's shares had been unduly depressed,/- that a group of executives had formed a $20,000,000 syndicate to support the stock, that all shareholders were invited to participate in this syndicate.

Unusual as was the inclusion of small stockholders in a big official pool, yet more unusual was the explanatory interview given by Amadeo Peter Giannini, founder of Bank of Italy whence sprang Transamerica. He said, startlingly, that the syndicate should give protection ". . . against such drives ... as have been experienced since the middle of the year 1928, at which time and since a certain California competitor has been a most active participant in the group conducting the market operations. . . . May I urge . . . stockholders to put up a united front against the enemy."

More than one potent California banker bridled angrily, sure that he was the "certain competitor" accused by Mr. Giannini. But well-informed observers paid little heed. Mr. Giannini, 60 and retired, is no longer official spokesman for Transamerica, having been succeeded a year ago by astute Elisha Walker of New York. And while it is true that there has been a large professional short interest in Transamerica stock, Wall Street has not been conscious of any great golden California bear in its menagerie. Embarrassing as it might have been for Transamerica's active management, the Giannini outburst -- made be neath Florida's sun, not California's -- was soon discounted as a merely characteristically florid sales talk by the ageing mas ter of finance. Meantime, many thousands of Trans america's 200,000 stockholders wrote and traveled to the company's 400 branches to join in this rare game where Little Shots could play pool-partners with Big Shot?.

* 1930 high: $47 3/8 last fortnight's low: 10 3/8.

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