Greener Gicmnini Pastures

California's fabulous, far-flung banking Gianninis last week went farther into the U.S. war production than any other bankers. The Gianninis, never orthodox bankers, were all set to buy up-&-coming Ade Precision Products Corp. (Burbank, Calif.), specialist in aviation hydraulic and de-icing equipment. Actual purchase will be made by Giannini's $140,000,000 Transamerica Corp., which will swap about $1,700,000 worth of its Bank of America stock for 95% of outstanding Adel shares.

When finally bought, Adel will be the third war plant picked up by the Gianninis since mid-September. The other two: San Francisco's Enterprise Engine & Foundry Co. (estimated price: $450,000); Los Angeles' aircraft-parts maker Aerco Corp. (approximate price: $350,000).

The Gianninis--never known to throw away a dollar--drove good bargains on all three deals. Reason: like many war babies, the companies were short on working capital and long on excess-profits taxes. But in the Transamerica fold they have millions of working capital at their corporate fingertips, and the tax shield of Transamerica's hefty excess-profits tax exemption. Profits from the Adel plant may triple because the tax rate will be slashed from Adel's 80% to Transamerica's 40%.

The Gianninis have plunged into civilian production, too--notably tobacco. Last year they planked down $1,000,000 cash, bought control of Axton-Fisher Tobacco Co. (Spuds and Twenty Grand). Since then they have put in new management, new machinery, new inventory. Now pepped-up Axton-Fisher is out with a new cigaret--Fleetwood Imperials, a king-sized smoke done up in a tan-and-gold package, designed to lure U.S. citizens away from the Big Four (Lucky Strikes, Camels, Chesterfields, Philip Morris).

Promoter of these deals is swart, shrewd, analytical Lawrence Mario Giannini, 48--son of famed father Amadeo Peter--who knows plenty about banking, has a vivid industrial imagination to boot. Mario, all but reared in a teller's cage, probably figures that the real future of bankers lies not in shuffling currency and checks but in production--which is not banking at all.

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