FAIRCHILD <FEN> SEEKS OKAY FOR REINCORPOATION
Fairchild Industries Inc said it
will ask stockholders at its April 22 annual meeting to approve
its reincorporation in Delaware to allow more flexibility to
revise its capital structure, among other things. Fairchild is
now a Maryland corporation.
    Fairchild also cited Delaware's recently enacted statutory
provisions relating to directors' liability, allowing companies
to place limits on liability and expand their ablility to
protect corporate officers.
    William E. Fulwider, company spokesman, said Fairchild has
no specific plans to alter its capital structure.
    Fairchild said that if stockholders approve the
reincorporation, it would merge into a Delaware corporation and
its common and preferred would be automatically converted to 
the new corporation's shares, without any exchange of stock,
along with other assets and liabilities.
    Fairchild also said the new corporation would retain its
fair price charter provision.
    Earlier this month, Fairchild announced that it reached an
agreement with the Air Force to stop production on the T-46A
trainer jet.
    As a result, Fairchild said, it will close its Farmingdale,
N.Y., plant this year and layoff most of the plant's 2,800
employees, about a quarter of its entire workforce.
    Fairchild reported a 73.6 mln dlr fourth quarter loss
mainly due to charges for the plant closing and ending of the
trainer jet program. For the year, it reported a 10 mln dlr
loss, compared with a loss of 167.1 mln dlrs in 1985.
 Reuter
