Profits: Battle of Behemoths

With corporate profits consistently and spectacularly on the rise for the last ten quarters, a seesaw, record-smashing battle of behemoths is going on. Last year General Motors reported earnings of $1.459 billion on sales of $14.6 billion, more than any corporation anywhere had ever earned in a single year. Last week, however, an old champion regained the crown. Reporting on the twelve months that ended Nov. 30, A.T. & T. Chairman Frederick R. Kappel informed his 2,250,000 shareholders that the telephone company and its sprawl of subsidiaries had net income of $1.522 billion on operating revenues of $9.5 billion. "The Bell System," said Kappel with ringing understatement, "has had a good year." But still to be heard from is another Frederic who has also had a good year. A month from now, G.M.'s Chairman Frederic Donner will issue his report on a year that was the best in Detroit's history. On the basis of projections from its record-breaking $1.08 billion net for the first three quarters, G.M. may well take back the title.