IBEC and Superfeller
Cantor, Susan
To Americans of both continents the International Basic Economy Corporation (IBEC) means almost nothing. But in terms of assets it is roughly the same size as the United Fruit Co. which everyone...
...Today, IBEC has a 66.49 percent interest in Sementes Agroceres, S.A...
...The supermarket division employs three thousand people in 47 supermarkets in Peru, Argentina and Venezuela...
...PROCAFE), which produces 3.3 million pounds of coffee a year...
...Soon after its initia-19 tion in 1949, this operation failed because of an inadequate distribution system...
...what distinguished IBEC from other bigger and and, in many instances, more diversified multinational organizations is that it was founded two decades ago with basic objectives and in accordance with principles that are just now beginning to influence the long term planning and operational procedures of major corporations seeking a role -and accompanying profits -- in the economic advancement of emerging countries...
...F) Finandelta S.A...
...Annual Report 1970, p. 20...
...F-H) Agroceres Comercial S.A...
...Second, it creates further ties to a dependent bourgeoisie, giving middle sector elements a vested interest in maintaining imperialism...
...This year, as a significant constituency within LASA, we will be there to remind these professionals that they can never again speak for us...
...Through licensing agreements with members of puppet bourgeoisies, the company maintains a low profile, makes profit without risk, creates a new dependent, and, in certain cases, can encircle the licensee with Rolibec insurance, mutual fund investments, and purchase or distribution of its products...
...F-H) Empresa Constructora Eldorado Ltda...
...In Peru, IBEC's supermarkets (called "TODOS") are all in Lima and are currently leased by a 64 per- cent-owned subsidiary, the Compania Propietaria de Establecimientos, S.A...
...F)* Nor-Tyre S.A...
...The funds which the Banco de Investimento manages total $89 million...
...The 1968 purchase of the H.F...
...F-H) Commonwealth Improvement Corp...
...S) Helper S.A...
...The division fits neatly into IBEC's horizontal and vertical integration pattern...
...By 1970 CRECINCO had over 26 000 investors and some $110 million in total assets...
...bourgeoisie and mentioned by Nelson Rockefeller in the report already named: an international division of labor between heavy and light industry...
...Housing Division...
...F)* Industrias Ingegradas S.A...
...9. Ann Walker, "IBEC Works Hard to Make Americans Grow," Investment Dealer's Digest (June 23, 1970...
...F-H)* Pesca-Mar, S.A...
...S)* Granja Proacha C.A...
...At the time IBEC took over the company, Arbor operated in 17 domestic locations and in 14 foreign countries...
...This, in turn, had the effect of pres- suring the tiny family-owned retail grocers ("ma and pa" stores) which traditionally sold food products in Venezuela as elsewhere in Latin America...
...This subsidiary manufactures eavy construction components including prestressed/pre-cast concrete items such as columns, beams, roof slabs, electrical poles and prefabricated grills and walls...
...Cox Company extended the range of IBEC's product line in electric-electronics.18 Come to Austin, December 3-5 Sisters and Brothers, On December 3-5, academic and professional Latin America watchers will gather in Austin, Texas, for another convention of the Latin American Studies Association (LASA...
...Historically, the emergence of IBEC rests on the Rockefellers' world monopoly over oil...
...CONCLUSION A key feature of IBEC and of all highly integrated international conglomerates is found in the complementarity of their many parts...
...F-H)* Panama Stanton Corporation (F-H) Arbor Acres International, S.A...
...Third, the division is a study in vertical and horizontal integration...
...The industrial group comprises the V.D...
...After all, all is fair in love, war and IBEC...
...IBEC's GLOBAL SPREAD Groups and Divisions* F-H S P I F T North America Canada United States X X X X X X X Caribbean Cen...
...IBEC's President, Rodman Rockefeller, is known in the business world as an advocate of business sensitivity to nationalist "aspirations" in the underdeveloped countries...
...The insurance of businesses is important in imperialism's overall strategy, decreasing risk and therefore promoting investment...
...Anderson Division and the Bellows-Valvair Division...
...They wanted to use this capital first to protect their most valuable source of wealth and power -oil -- while at the same time they wanted to generate new capital...
...The Venezuelan supermarkets for a time bene- fitted from an organization called Industrias Inte- gradas, S.A...
...Second, utilizing the Rockefellers' already vast connections, IBEC obtained tax concessions in Venezuela and has involved both local and international finan- cial institutions in supporting its operations...
...IBEC contributed 50 percent interest in Hispanibec, the subsidiary which manages CRECINCO...
...industrial corporations...
...4. Ibid., pp...
...imperialism, we have an important role to play in this struggle...
...An international company, it sells 50 percent of its production outside the United States...
...F-H)* Mexico Bellows-Valvair de Mexico, S.A...
...F-H) Forty-Seven Development Corp...
...The joint venture (IRIS) was designed to be the world's largest mutual fund operator.10 Today it concentrates on tapping European capital, but it has plans to branch out to other continents...
...Administracao e Servicios, S.A...
...S) Desarrollo Avicola C.A...
...One of the major assets of the industrial group is its control of valuable patents...
...5 As early as 1957 it had opened a mutual fund in Brazil, CRESINCO, the first open ended fund in Latin America.* In 1968, one of IBEC's mutual funds merged with the Banco de Investimento do Brazil (BIB) to form "the largest private diversified non-commercial banking and financial institutions in South America...
...F-H)* C.A...
...F)* Servicios Mecanicos S.A...
...Prospectus, p. 16...
...The Bellows-Valvair Division incorporates various companies...
...Patent monopoly is an integral part of imperialist domination over underdeveloped countries as well...
...P) Compania Peruana de Sabores y Esencias S.A...
...F-H) Parkville Development Corp...
...The resources of the funds are used in Brazil to coordinate and finance IBEC's Brazilian empire and tie new individuals and industries to North American capital...
...Inc...
...7. Loc...
...Ibid., p. 18...
...IBEC acquired the base of its industrial group in the mid-1950's "in order to put together a stable, domestic earnings source that could offset higher risk ventures abroad...
...In the United States the division markets 42 percent of all machines used in the rendering of meat wastes...
...With net assets of $193 million in 1970 it ranked well within the Fortune 500 list of largest U.S...
...6. IBEC Annual Report 1970, p. 20...
...This type of monopolistic integration reflects also a popular theme of the internationalist sector of the U.S...
...3 His wife Happy also owns a significant block of shares...
...F-H)* Relbec Corp...
...The other major shareholder in the bank is Deltec International, another U.S...
...1 3 The earliest stores proved unprofitable, and IBEC learned that size was the key to profits in supermarkets...
...This component of the IBEC empire consists of tuna processing plants, frozen seafood operations and the manufacture of soluble (instant) coffee...
...In analysing IBEC's international strategy it is important to understand the role which Latin America plays...
...1 8 Agribusiness Division...
...other: Aside from relating to LASA, we need this opportunity to get together and discuss with each - what should be the new directions for U.S...
...In 1967, IBEC and Toledo Scale Company joined together in 45 percent control of the ToledoBellows Equipamentos Pneumaticos, S.A., which manufactures and sells fluid power equipment in Brazil...
...Thomson Rivet Corp...
...consumeristic life-styles, values and aspirations, which in turn would (b) tie a larger sector of the Latin American elite to U.S...
...S) Empaque Pacifico S.A...
...In the past ten years, IBEC has built on its own land some 10,000 units of housing -- approximately ten percent of all housing constructed on the island during that period...
...Perhaps, then, he will not be surprised when the struggle of the Puerto Rican people takes over his firm's highly integrated housing operations and his Uncle Laurance's hotel ventures in that country...
...Through another subsidiary IBEC produces all the cement used in its Puerto Rican construction activity...
...27-34...
...IBEC's recent acquisition of David Lilienthal's Resources and Development Corporation (R&D) will facilitate IBEC's ability to practice this "symbiotic marketing" or complementarity...
...SASA), the leading Brazilian producer of tropically-adapted hybrid cornseed...
...Today, IBEC is the largest poultry producer in the world, with operations in 23 foreign countries...
...As part of IBEC's attempt to build a progressive image, the company seeks good community relations and claims to use minority labor in its varied operations...
...Another interesting "minority"-oriented project is housing construction for Indians in Oklahoma and North Carolina...
...IBEC's first Latin American venture was a largescale fish-processing plant belonging to the company's Venezuelan Basic Economy Corp...
...while on the other hand the company faces the hard-nosed need for a high rate of return on its investments...
...F)* El Salvador Compania Inverionista CADA Para America Central (S) Automercado de Centro America, S.A...
...The truth of the matter is that although he does not hold shares outright, as of 1970 he held 11 percent of the common stock through Chase Manhattan Bank of which his brother David is board chairman...
...And who in the corporate world has been most interested in Latin America?--the Rockefellers...
...P)* Distribuidora de Productos Lacteos C.A...
...Relbec Corporation...
...Susan Cantor 1. "IBEC: Capitalist Missionary to the World," Business Abroad (April 28, 1968), pp...
...IBEC pioneered the idea of selling mutual funds in underdeveloped countries...
...de C.V...
...This has served as a protection against nationalizations...
...First, through government connections IBEC could get low-cost, official loans when needed...
...The purchase in 1965 of Hydro-Kinetics, Inc., expanded the division's role in hydraulics...
...Business Abroad, in 1968 wrote...
...The company has come to dominate the world chicken business...
...Anderson's research and development department is plotting a move into the promising new field of making equipment for pollution control in industry and the design of new systems for processing plastic polymers...
...Industrial Group...
...F-H)* Ciudad Interamericana, Inc...
...what should be our response to U,S...
...F-H) Constructora de Salamanca, S.A...
...Through Rolibec, business insurance operations are carried out in 28 foreign countries including Latin America and the Near East.ll *Open ended funds are those in which the investor buys stock in the company which in turn owns stock in other companies...
...F)* Agro-Transportes S.A...
...ASSAI) and Agrobras Comercial e Industrial, S.A...
...The first is Indusquima, S.A., jointly owned with General Mills...
...The firm's strength in the chicken feed, breeder chicken and egg business (pasteurized, dried, frozen) dates from its acquisition in 1964 of 83.3 percent control of Arbor Acres Farms, one of the largest In a CADA supermarket in Venezuela.20 poultry breeders in the world...
...3. Ibid., p. 23...
...Complementarity converts a firm which controls only a limited portion of the total market into an entity which with the same percentage can now exercise a strong influence or "leverage...
...16-17, 25...
...In part, this drop has resulted from food processing operations established in Latin America by U.S...
...F-H) International Charter Mortgage Corp...
...The supermarket division illustrates a number of the features characteristic of a multi-national conglomerate and the benefits of interest-group con- trol...
...Todos (S) Procafe de Venezuela, C.A...
...F-H)* First Caparra Investment Corp...
...Tapping available capital from this market has several advantages for IBEC...
...This is another example of the company's integration in the Rockefeller family interests and its use of linkages with the U.S...
...Once they had driven the competition out of the market, they then raised the prices higher than they had been previously...
...Another affiliate, International Charter Mortgage (31 percent-owned with Metropolitan Life and The Charter Company as other principal stockholders), "acts as a mortgage banker and loan servicer...
...In terms of influence and control over many diversified sectors of the economies of most Latin American countries, IBEC is currently more important than the United Fruit Company...
...At home it provides over 50 percent of the chicken breeder stock used for meat production.l 6 The poultry industry requires a large amount of funds for research to develop chicken varieties which will adapt easily to various climates, resist specific diseases, and generally breed more profusely...
...In Brazil, the first inroads were made into the food industry with the establishment of specialized services to large farmers designed to upgrade their productivity...
...The supermarket, with high volume, fewer employees, modern advertising techniques and, of course, greater available capital, could lower its prices sufficiently to make shopping attractive...
...P)* Peru IBECASA Del Peru, S.A...
...7 it is not, however, Brazilian-controlled...
...The former includes the V.D...
...firms or with U.S...
...imperialism in Latih America...
...F-H) Lomas Verdes Building Supply Corp...
...F) Sociedad Financiera y de Administracion IBEC Chilena (F) Chilean Branch (M) Colombia Metalibec Limitada (I) Rolibec, Ltda...
...or Latin American oppressors...
...9 In that same year IBEC took another step in its global capital-raising strategy, by forming a partnership with N.M...
...In the former case, IBEC convinced the tribal chiefs to cooperate in a "self-help" type project...
...S) Promotora Publicitaria S.A...
...F) Rolibec S.A.-Corretagem de Seguros e Participacoes (F) Arbor Acres, S.A...
...government loan in lira acquired through the sale in Italy of surplus North- American agricultural goods...
...It is clear that Thomson will be a valuable supply agent for IBECBland's heavy construction in Puerto Rico...
...Bermuda Curacao El Salvador Jamaica Mexico Panama Puerto Rico Virgin Islands X X X X X X X X X X X X South America Argentina Brazil Chile Colombia Ecuador Peru Venezuela X X X X X X X X XX XX X X X X X X X X X X Europe France Italy Netherlands Spain Sweden Switzerland United Kingdom West Germany Africa Angola Mozambique Rhodesia Zambia X X X X X X X X X X X X X X X X X X X Asia Hong Kong India Japan Lebanon Pakistan Philippines South Korea Thailand * See key to X X X X X X X X X X X abbreviations on preceding page.23 (continued from page 22) The Rockefeller group realized early in the game that it had to invest some capital to develop a supportive social infrastructure in Latin America...
...S) Inversora de Torrefaccion, C.A...
...F-H)* Jamaica Structures Ltd...
...F-H)* IBEC-Bland Construction Corp...
...Distribuidora de Alimentos (CADA) (S) Automercado, C.A...
...From this dual strategy arises IBEC's apparent schizoid image: On the one hand IBEC has a concern for "social welfare" and "development," not just profits...
...8. Prospectus, p. 16...
...ExportImport Bank and the Venezuelan government, INSA im- ported parts for a wide range of commercial and house- hold equipment including "white goods" such as stoves, refrigerators and -- imagine this -- refrigerated dis- play cases for supermarkets...
...The reorganized supermarket chain proved profitable, indeed, as the Venezuelan stores' profit margins were higher than their North American counterparts...
...We can organize ourselves in Austin...
...No doubt, among its customers are many of its sister IBEC subsidiaries, e.g...
...tuna sales under private label.1 9 The instant coffee operations, located in El Salvador, are carried on by Productos de Cafe, S.A...
...The important point is that the family's control of the class 10 shares alone, of which 428,960 are in their power (representing 4.3 million votes) allows them to control the company regardless of the distribution of common stock, since they can outvote the 3.7 million common shares which have but one vote each...
...which everyone has heard of...
...See also Prospectus, p. 11...
...Through its long-term production and market research, RD will be able to tell IBEC which combinations of investments will maximize their leverage over the market...
...I)* Banco de Investimento do Brasil S.A...
...Wayne G. Broehl, Jr., The International Basic Economy Corporation (National Planning Association, 1968), p. 88...
...P) Argentina Branch (M) Brazil Indusquima S.A...
...The third division in this group is "Investment," which at present is involved in three major projects...
...Financed by IBEC with the help of the U.S...
...Ms)* Venezulean Branch (M) KEY TO ABBREVIATIONS The letters in parentheses indicate IBEC's 1971 classification for each company according to the following groups and divisions: (F-H) (S) (P) (I) (F) (T) (M) (s) - Food and Household Group - Supermarket Division - Poultry Group - Industrial Group - Financial Services Division - Textile Group - Management Services - Miscellaneous An asterisk signifies a joint venture...
...The Venezuelan operation turned out to be the key to the development of the division and is illustrative of many of IBEC's opera- ting features...
...F)* Chile Concretos Ready Mix S.A...
...Supermarkets...
...The first Venezuelan supermarkets were relatively small stores, managed by what eventually became the Compania Anonima Distribuidora de Alimentos (CADA), which is 51 percent-owned by IBEC with the remainder still held apparently by a Venezuelan family in Maricaibo...
...It has investments in 33 countries operating through six major groupings and divisions: financial services, industrial, poultry, food and housing, supermarkets and textiles...
...In 1966 IBEC founded a mutual fund in Spain called CRECINCO...
...S) San Felix de Inversiones, C.A...
...F-H) SOUTH AMERICA Argentina Bellows-Valvair Argentina S.R.L...
...The parent company in this case is Rolibec, Inc., in which IBEC has a 51 percent interest, the rest belonging to Rollins Burdick Hunter Company of Chicago...
...The following table shows the geographic distribution of IBEC's assets and income...
...formerly IBEC Administraciones y Mandatos S.A...
...The Rockefellers own all outstanding shares of common class 10 stock which has 10 votes per share and 65.2 percent of all common stock which has one vote per share...
...Each new homeowner, as a result, had to work at least 500 hours constructing a house, while IBEC, in an unprecedented show of generosity gave him a credit of $1,500 as a downpayment on the property...
...4 HOW IBEC IS STRUCTURED Financial Services The financial services division carries on three types of operations: mutual funds, insurance companies, and investing...
...Today this is the largest and oldest milk pasteurizing company in Venezuela, selling 50,000 gallons of milk daily...
...Anderson-IBEC, acquired in 1955, is a major producer of heavy machinery for the processing of food and chemicals, and also designs plants in which this machinery can be used...
...F) Arbor Acres del Peru S.C.R.L...
...INSA -- "integrated industries...
...role there...
...F-H) Servicios de Salamanca, S.A...
...Finally, by hiding its corporate identity behind many different, unrelated names, IBEC has usually been able to keep a "low profile" and to avoid nationalist confrontations...
...From this position they were able to accumulate vast capital reserves which opened up further worldwide "opportunities...
...Some of the interlocking components of IBEC's Puerto Rican construction interests are the following: IBEC-Bland Construction Company...
...5. Wayne G. Broehl, Jr., "The Company with a Cause," Columbia Journal of World Business (July-August 1968), pp...
...We will begin with a get-together on Thursday night, December 2 -- place to be posted at LASA registration area...
...The IBEC Packing Company is located in Mayaguez, Puerto Rico, where it cans at least 80 to 110 tons of tuna daily...
...Eighty percent of its sales are in the United States, 15 percent in Europe and the remaining five percent in Latin America and Japan...
...An Italian division (no longer owned by IBEC) set up supermarket operations with the help of a $1 million U.S...
...Former Board Chairman Don Meads called the process of trading off within the conglomerate "symbiotic marketing...
...In the business meetings we will pass resolutions on the important policy and structural issues and insure their implemenatation...
...interests and (c) promote some semblance of capitalist development to prevent revolutionary change...
...Wall Street Journal (July 18, 1960), p. 1. 16...
...Industria Lactea de Carabobo (INLACA) (F-H)* Rolibec Consultores de Seguros C.A...
...In addition, Anderson-IBEC sells 25 percent of all machinery bought in the "free world" for the production of vegetable and seed products, to say nothing of 45 percent of all the drying machines used in the manufacture of synthetic rubber...
...Therefore it set up IBEC, not so much to make direct profits -- though profits ultimately became a key consideration -- but primarily to (a) promote U.S...
...P) Fondos de Comercio C.A...
...Especially now, when liberation movements throughout Latin America are increasingly forcing the hand of U.S...
...Centro Comercial Judibana (S) C.A...
...F-H)* Wells Overseas Limited (F)* Compania de Transportes a Granel S.A...
...F-H) Compania Mexicana de Desarrollo y Fomento (F-H) Arbor Acres de Mexico, S.A...
...The Puerto Rican operations embrace at least four company subsidiaries and interlocking activities in the following areas: private home construction, hotel building, mortgage financing, shopping centers and the manufacture of high-rise construction components and general building materials...
...As a result of our presence at the 1970 LASA meeting -- where we organized the Union of Radical Latin-Americanists (URLA) -- LASA professionals could no longer ignore the real issues of underdevelopment and U.S...
...The two financial houses combined part of their assets to form a mutual fund called IRIS N.V., worth $32 million...
...Complementarity exists when one part of a corporation supplies r is supplied by another branch of the same firm...
...These have eliminated the need to import such products from the United States...
...Unlike most large public U.S...
...Currently under way is its $16.5 million dollar resort hotel to complement Laurance Rockefeller's fabulous Dorado Beach operation...
...Relbec produces housing components on the assembly line which are adaptable to all kinds of housing and construction, including high-rise...
...There will be free floor space in Austin for those who bring sleeping bags...
...Concentrating in the early years on low- and middle-income housing, IBEC has more recently become interested in housing for the upper classes...
...This company manufactures chemical products in Brazil which are then used in the production of paints, detergents, etc., drawing on chemical machinery produced by IBEC's Anderson Division in Cleveland, Ohio...
...Two years later, three stores were operating with yearly sales totalling $10 million...
...This 80 percentowned firm was formed to undertake general construction work in the high-rise field -- luxury hotels and apartment houses in particular...
...a plane...
...Ms)* Ecuador Ecuador Farms S.A...
...Since IBEC does not overlook profits, the company liquidated the small stores and estab- lished CADA in its present form...
...Food and Housing Group...
...2 Most of the remaining shares of common were sold to safe educational and religious institutions with the same pitch that IBEC was a development-oriented company...
...Rothschild and Sons of London...
...Thomson Rivet, acquired by IBEC in 1967, manufactures rivets, electrical contacts and rivet setting machines...
...Interstruct Corporation...
...corproations, IBEC has a very small number of stockholders...
...F) ASSAI-Administracao e Servicos S.A...
...government...
...Begun in 1960 at the invitation of then-President Arturo Frondizi, who promised substantial tax exemptions, eased regulations on the importation of equipment and other concessions...
...t's Guperfeller...
...what should be our relations to other anti-imperialist organizations...
...While other overseas operations are not so integrated as those in Puerto Rico, IBEC does own construction companies in Chile and Peru, and has established realty firms to push housing sales...
...S) Sabores Globe del Peru S.A...
...Food Products Division...
...F-H) Rolibec Inc...
...This bank administers a trust of which Nelson is the life beneficiary...
...Similar supermarket operations exist in Argentina (nine markets) and Peru (six markets...
...F-H) Compania Propietaria de Establecimientos S.A.(TODOS)(I Peru (continued) Edificadora de Mercados, S.A...
...giant...
...The supermarkets provide a cru- cial outlet for a number of food-processing and pro- ducing operations which in all probability employ machinery and parts manufactured by IBEC's industrial division...
...P) Puerto Rico IBEC Housing Company, Inc...
...In late 1954, IBEC expanded into a new type of endeavor, opening their 51 percent-owned AUTOMERCADO, a huge complex consisting of a supermarket, a shopping center and small stores...
...PLEASE NOTE: - Send all resolutions to be considered at the LASA business meeting to Joel Edelstein, College of Community Sciences, University of Wisconsin at Green Bay, Green Bay, Wisconsin 54302...
...F) IBEC Rollins Burdick Hunter S.A...
...IBEC is a conglomerate based entirely on a postwar model, while UFC is an old monopoly searching for new ways to survive and expand...
...In its first two months of business, sales amounted to almost $2 million, with profits of over $69,000...
...The company moved directly into the distribution business and thereupon the super- market division was born...
...It originally started as a part of the Venezuelan Basic Economy Corporation, which was IBEC's first project...
...S) Dival Compania Distribuidora de Valores, S.A...
...C.P.A...
...Insurance is another division of the financial services group...
...This part of the IBEC organization engages in the processing and pasteurization of milk and fruit juices in Venezuela, the breeding and cultivation of hybrid cornseed in Brazil, and has recently entered the manufacturing of synthetic flavors, pharmaceutical products and cosmetics through a 56 percent-owned subsidiary in Peru...
...For example, they licensed an English manufacturer to use a patent for components in the production of tire presses, thus enabling the licensee to gain control over a major part of the tire industry in Great Britain and West Germany...
...F-H) Sementes Horticeres S.A...
...S) C.A...
...These mutual funds are sold under the names of Contabilidade Mecanizada e Participacoes (COMEPA, S.A...
...It still owns two others in Chile, acquired since 1961 (Compania de Inversiones y Distribuidora de Valores Limitada and Sociedad Financiera y de Administracion IBEC Chilena, S.A...
...Rothschild and Sons contributed their interest in a Netherlands Antilles mtual fund...
...As these stores got forced out of business, competition would decrease allowing the supermarkets to raise their prices...
...2. IBEC Stock Prospectus (January 30, 1970) pp, 2224...
...F-H)* Urbanizacion La Ponce, Inc...
...de C.V...
...IBEC is a 49 percent-owner of four shopping centers (with Massachusetts Mutual Life holding the remainder), full owner of two more, and manages all of them...
...S ) Inversiones Angostura C.A...
...MINRMA) (S) Argentina (continued) Estudios y Consultas S.A...
...SASA produces 45 percent of all hybrid seed planted in Brazil...
...IBEC'sequity in this manufacturing concern is 45 percent...
...Many of these houses were sold to the Urban Renewal and Housing Agency, while others were bought by individual purchasers...
...1 2 Since that time, however, these divisions have increasingly found their stability in exports, licensing contracts, the establishment of foreign branches, subsidiaries or affiliates, and...
...F-H) Interstruct Corp...
...In late 1960 the Italian operation was sold out to stockholders in that country at a profit to IBEC of $2,7 million -capital which the company needed at the time to finance other ventures...
...But nowhere has IBEC yet developed the highly-integrated infrastructure of a construction monopoly like that which it owns in Puerto Rico...
...The tax-exempt Rockefeller Foundation, forming part of the family interest group, has paid for much research of this type which IBEC has subsequently turned into profits...
...This was the beginning of experimentation with hybrid seeds, helicopter crop dusting and retailing of various machines for farming...
...Through the merger of the two companies IBEC directly acquired 18;5 percent of the stock of BIB.8 In addition, on the Board of Directors of IBEC is a Brazilian named Walther Moreira Salles, who through two subsidiaries ownes 25 percent of the bank's stock...
...One of the National Guardsmen stationed at CADA warehouse in Venezuela.21 IBEC Companies in Latin America @ 2 MEXICO, CENTRAL AMERICA AND THE CARIBBEAN Bermuda Curacao IRIS Management (F)* IRIS N.V...
...Bellows-Valvair, based in Akron, Ohio, itself designs and manufactures electric-alectronic control systems and fluid power equipment, supplying 15 percent of the U.S...
...By 1955 the combined Venezuelan operation had total sales of over $10.6 million and $800,000 in profits, the two AUTOMERCADOS (a second was opened shortly after the first) providing over 60 percent of the total.l 4 Just as size was the key to profitability in each store, so size proved the key to successful competition with other stores...
...pressures against Chile, the recent coup in Bolivia, rightist terror in Guatemala, the Dominican Republic, Brazil, etc...
...Nelson Rockefeller has repeatedly stated in public that he owns no stock in the company...
...I) DACSA Distribuidora Argentina de Comestibles, S.A...
...Many criticized CADA because so high a percentage of its foods were of foreign origin...
...Prospectus, p. 15...
...INLACA (producing milk and cheese in Venezuela), IBEC Packing Company (canning tuna in Puerto Rico) and Sabores Globe del Peru (which manufactures synthetic flavors...
...IBEC really doesn't care which came first, the chicken or the egg: IBEC has both...
...FONDECA" (S)* Centro Comercial San Bernardino, C.A...
...Ibid., p. 14...
...P) Granja Avicola Experimental, S.A...
...We will work for a rechanneling of LASA resources to projects which benefit the people of Latin America rather than their U.S...
...1 7 The company (IBEC) stresses that its housing construction is dependent on governmental financing both in the United States and abroad...
...F-H) Promotora de Casas, S.A...
...EDIMSA) (S) Panificadora Alfonso Ugarte S.A...
...Prospectus, p. 12...
...Industria e Comercio (I) Sementes Agroceres S.A...
...de C.V...
...The International Basic Economy Corporation epitomizes the most "advanced" of the multinational corporations...
...Waltham, Massachusetts...
...I) Casas y Urbanizaciones de Mexico, S.A...
...Long IBEC's most profitable division, the supermarkets are slated for rapid expansion with Central America as the next target...
...P) Sociedad Comercial Constructora de Monterrey, S.A...
...Broehl, op...
...F) Agrobras Comercial E Industrial S.A...
...groups fighting against imperialism...
...The Argentine markets operate through IBEC's subsidiary Distribui- dora Argentina de Comestibles, S.A...
...DACSA) and call themselves "MINIMAX...
...government grants...
...Like its other funds, CRECINCO stated that its aim was to include as many small and medium-sized investors as possible...
...In the LASA panels and in an URLA-sponsored panel on "Imperialism and Underdevelopment," we will challenge prevailing Establishment ideology and present serious analyses of Latin America's problems and the U.S...
...One of the fastest growing divisions, this part of IBEC's operation is engaged in acquiring capital, not only to invest in local projects but also17 to generate funds for the integrated world operations...
...F) IBEC Arbor Acres Argentina, S.A...
...At $3 an hour for construction labor, IBEC got a far better bargain than it would have at the prevailing $6 per hour construction wage...
...F-H) Plaza-Carolina, Inc...
...Asesores de Seguros (F) Avicola Colombiana, Ltda...
...Ms)* Inversiones y Servicios Integradas, S.A, (Ms)* Corporacion de Metales y Esmaltes, C.A...
...The other ventures are the 100 percent-owned Concretos Ready-Mix and Sociedad Minera Nueva Cerrillos, Ltda., a Chilean operation which supplies concrete for construction...
...F-H) IBEC Realty International, Inc...
...1 WHAT IS IBEC...
...This little operation supplies 25 percent of the total U.S...
...Its success came as a result of its ability to mix fresh milk with U.S.-produced powdered milk, thereby undercutting all local competitors...
...F)* Peruvian Branch (M) Venezuela C.A...
...sponsorship...
...Soon there were 17, but in 1969, when Governor Nelson Rockefeller visited Argentina as President Nixon's personal representative (prior to preparing his infamous report on the "Quality of Life in the Americas"), Argentines celebrated the occasion by burning down 13 of the MINIMAX stores, causing a reported loss of $1.3 million...
...6 IBEC claims that this is now a "majority Brazilian-owned" bank...
...We will continue the struggle to democratize decision-making within LASA...
...IBEC: Geographic Distribution of Assets Income, 1970 Percent of Percent of Area Assets Income United States, Canada Puerto Rico 58.0% 36.6% Latin America 30.3 60.0 Western Europe 7.0 1.7 Africa Asia 4.1 1.7 Source: IBEC Annual Report, 1970, p. 2. Though IBEC only has 30 percent of its investments in Latin America, 60 percent of its corporate income comes from that region...
...market in pneumatic products...
...Recently the Rockefeller family has sold some of their holdings in common stock, but still retain 51.66 percent of the common with Nelson's share at 8 or 9 percent...
...Poultry Division...
...cit., p. 91...
...F-H) IBEC Packing Co...
...F-H) Sociedad Minera Nueva Cerrillos Ltda (F-H) Compania de Inversiones y Distribuidora de Valores Ltda...
...Donald E. Meads, Presentation Before the New York Society of Security Analysts, an IBEC pamphlet dated September 25, 1970...
...Avicultura (P) Toledo-Bellows Equipamentos Pneumaticos S.A...
...He must have them by November 10...
...F-H)* Virgin Islands IBEC Housing Co, (V.I...
...P) Colombian Branch (M) Cristaleria Peldar, S.A...
...F-H) Contabilidade Mecanizada e Participacoes (COMEPA) S.A...
...J I22 IBEC's most successful agribusiness venture was its Venezuelan milk company (INLACA), in which IBEC has a 35 percent interest...
...At present it controls 11 percent of the domestic market for rivets and 17 percent of the market for rivet setting machines...
...IBEC's housing division began in Puerto Rico in 1957 in the construction of low and middle-income housing, and has since expanded to include operations in the Virgin Islands, Jamaica, Mexico, Peru, Chile, Iran, Iraq and the United States...
...The company has undertaken "minority" housing ventures in the South, constructing "planned communities" complete with swimming pools, playgrounds and community centers, but resulting in a segregated housing project...
...The research for these projects was carried out in projects of the Rockefeller Foundation, often in cunjunction with U.S...
...This year, as in 1970, it is important that radical Latin Americanists attend the LASA meeting...
...in supplying other operations owned by IBEC around the world...
...S) Productos de Cafe S.A...
...First, it allows the company to use local capital which otherwise would be unavailable...
...for FHA, VA and conventional residential and commercial loans primarily in connection with homes constructed by the Housing Division...
...This operation obviously complements IBEC's construction and housing operations in Chile...
...This maximization is more necessary today than ever because of the increased restrictions placed on foreign investments throughout Latin America and the rest of the underdeveloped world...
...Anderson Company (Cleveland) and the J.L...
...In fact, Nelson was listed last year with the Securities and Exchange Commission (SEC) as principal stock holder because he owned over 10 percent of the stock...
...The fleet of six ships belonging to IBEC's subsidiary, Transocean Fishing Corp., provides the raw material for the tuna packing and the frozen seafood operations...
...F) Compania de Inversiones y Distribuidora de Valores Ltda...
...IBEC had set up other mutual funds in Latin America, one in Colombia in 1959 and another in Argentina in 1960, both of which have since been sold...
...23-24...
...But more recently the company has claimed that the percentage of foreign goods has dropped from 80 to 30 percent...
...P)* Ecuador Feed S.A...
Vol. 5 • October 1971 • No. 6
