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...ready to strike his first blow. March called on Heineman in Madrid and warned that he had better let him take over Barcelona Traction, in return for a minority interest, or suffer the consequences. Heineman refused...

Author: /time Magazine | Title: HIGH FINANCE: Second Battle of the Ebro | 10/3/1949 | See Source »

Unable to strike at CHADE, March turned his attention again to Barcelona Traction. In February 1948, an obliging judge in the small Catalonian town of Reus declared that, since Barcelona Traction had not paid the interest on its bonds, it was bankrupt. Franco's authorities moved in, evicted Barcelona Traction's officers from their Barcelona headquarters, and ushered in Juan March...

Author: /time Magazine | Title: HIGH FINANCE: Second Battle of the Ebro | 10/3/1949 | See Source »

Blocked Profits. Ebro is the principal source of electricity for Spain's chief industrial region, the whole of Catalonia and the Ebro valley where the Spanish Loyalists made one of their last great stands. Since 1910, Ebro had dutifully paid out profits to its owner, the Canadian-incorporated Barcelona Traction, Light & Power Co., Ltd., a subsidiary of SIDRO, in turn a subsidiary of Dannie Heineman's Sofina...

Author: /time Magazine | Title: HIGH FINANCE: Second Battle of the Ebro | 10/3/1949 | See Source »

...civil war blocked all currency exchange, and at war's end Franco refused to unblock Ebro's profits. With Barcelona Traction helpless to get at them, it fell far Dehind in interest payments on its sterling bonds. The bond prices tumbled, and Juan March started buying them up at bargain rates...

Author: /time Magazine | Title: HIGH FINANCE: Second Battle of the Ebro | 10/3/1949 | See Source »

Three years later, March sent an emissary to Heineman in Manhattan with a new ultimatum: if he would not yield Barcelona, he could expect blows at CHADE, another SOFINA subsidiary in Spain. CHADE, though it owned no interests in Spain, used a Madrid office to collect the profits from the huge power interests it owned in Argentina (CADE). Heineman hastily moved CHADE to Luxembourg, where it transformed itself into SODEC (an identity it had used in a previous move to save its financial skin during Spain's civil...

Author: /time Magazine | Title: HIGH FINANCE: Second Battle of the Ebro | 10/3/1949 | See Source »

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