PARTNERS CALL GENCORP <GY> RESPONSE UNPRODUCTIVE
General Acquisition Co said it was
disappointed by Gencorp's response to its tender offer and
asked how the company might give better value to shareholders.
    Gencorp had earlier urged shareholders to reject a 100 dlr
per share tender offer from General Acquisition, an affiliate
of Wagner and Brown and AFG Industries Inc, and said it was
studying financially superior alternatives.
    The General Acquisition partnership called the response
inflammatory and unproductive, particularly since it had tried
to discuss the offer with Gencorp.
    The partnership said Gencorp failed to say how it would
provide a "superior value yet they continue their attempt to
prevent a satisfactory offer by failing to redeem their poison
pill." Poison pills are shareholder rights plans that make
takeovers more expensive.
    Gencorp said in its statement earlier that it planned to
put off the date its rights will trade separately from the
common stock to April 6 from April 3. It said the extension was
subject to further extensions by the board and is conditional
on no person acquiring beneficial ownership of 20 pct or more
of Gencorp before April 6.
    General Acquisition said it is confident its offer can be
completed in a timely manner using its financial arrangements.
    The partnership in its statement again urged Gencorp
management to work with it to facilitate a transaction.
 REUTER
