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No. 27,6X2 

Monday July 17 1978 


— - 

Wn CESr AUSTRIA Sdi IS; BELGIUM . Fr 2 5 ; DENMARK Kr J.S; FRANCE Fi> 3 Jr GERMANY DM 7 - 0 ; ITALY L 500 ; NETHERLANDS F| 2 -Qj NORWAY Kr 3 . 5 ; PORTUGAL be 20 ; SPAI N Po < 0 ; SWEDEN Kr 3 J 5 ; SWITZERLAND Fr 2 . 0 ; BRE TSp 

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Leamington Spo. 




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a- *’* - : V~- j:;;_ ' '' : v 

v m 

V> .Vj 'ML 

<££*-&** - 


TUC wiU 
avoid fight 
over pay 


TUC RESISTANCE to the Prime exemption for self-financing prn- 
Minister's plans for Phase Four ductivity deals — this lime tn- 

________ . _ _ of the incomes policy is likely eluding hours deals as well— and 

l/Jl VM- iv • NIGERIA 7s introducing heavy ^ M l B “ fl to evaporate this week in the the 12-month rule will reappear. 

— «?- a „* s-ssss r ar-reach in ff measure ot 

tosalynn have promised the «i*J M ffl B M CL fl S fa AbS X Mr. James Callaghan and other want to establish what the re- 

ife of jailed Russian dissident re !^ ue ™ O Ministers meet the TUC general action would be to continued 

viiatoly Shchaninsky ?™ P i mes *** dJfiCOUraBU3S council tomorrow to explain the use of sanctions against firms 

ossible public and nrivatc T . A % A • A contents of the White Paper on which exceed the norm. Ministers 

ej D p u Nigeria has run into balance - ^ /v-ma /VIMW" ^ /%#■ mtLf% -m pay and the economy. Inspite still have to decide bow posi- 

Th’ P Carter Arimini.t ■ ? r Wnments diifiailties this year *■ B y M.m£ 1 |T| g_Jh Hi fA V B I ■■■ RhI g W of protests last week at the hard lively to write that part of the 

™ rnSSnoo u ^ raUon , ls due 10 faQing 011 revenues aDd dM if 1 tv Kir 1 I | tvB B H . dm I line taken against their central document, 

aw ron«dering banning sales has banned some unports. Britain W w JUS- JL JL B/ M MIX II M. W' demand— for a cut in the work- The TUC can claim lo have had 

anther Si itv iJ «K?. U ? ,a ' e ? port * d “ ore than flJbn worth * •- ing week to create jobs-union nothing to do with the Govcrn- 

S” ‘s that two of goods to Nigeria, last year. leaders seem resigned to the ment's strategy. At the same 

hn* face* - dnraM* l ^- e The tax on the two types of BY FINANCIAL TIMES REPORTERS: Bonn, July 16 inevitable. time, union leaders vesterdav 

e U.S., might be swanued fnr 6et at 2° per cent Tomorrow's meeting, like that ^“Snised that the die. is cast 

r. Shcharansky. nL.^tv, TTIE SEVEN Government leaders sion of the talks tomorrow. Secretary of the Treasury, said now known that senior officials on the following day with the ?” d r :\T. at 1S re “ dy 

Meanwhile, Switzerland sav s it « Tn attending the Western economic There were also reports that that the President's statement are working on several' models Confederation of British In- £ h k such * 

prepared to grant asylum to all iSrk PaS “* summit here were tonight claim- Prime Minister Mr. Takeo seemed to satisfy his colleagues, for consideration by the Cabinet dustyy, could influence the finaJ an r v e 

Facing the same way— Mr. Roy Jenkins (EEC), Mr. Takeo Fnkodda (Japan), Sig. GuIIio Andreotti (Italy'). President Carter 
(UA), Herr Helmut Schmidt (West Germany), President G is card d’Estaing (France), Mr. James Callaghan (UR) and Mr. 

Pierre Trudeau (Canada). 


6 Far-reaching measure of 
agreement’ at summit 


prepared to grant asylum to all summit here were tonight claim- Prime Minister Mr. Takeo seemed 1 

students in the Soviet Union U3tenm me3Sure ‘ Back ing a “ far. reaching measure of Fukuda of Japan was In touch But he 

rrently standing trial or • GOVERNMENT may shelve its agreement ” on the central issues by telephone with members of satisfied, 
ready sentenced. Page 2 plans for a £5bn North Sea gas economic growth, energy and his Cabinet in Tokyo. Fraldi 

will anger 
comes to the 

plans for a £5bn North Sea gas ? f economic growth, energy and his Cabinet in Tokyo. President Carter told the meet- Pbasis, tax reforms, subsidies for Such negotiations as there has Mr - Ca ”ashan made his tactics 

gathering pipeline network, Nation. An understanding appears to ing that he intended to tighten industrial research and develop- been, in private meetings of the £, ea J* w “? n , he addressed 

Chancellor Helmut Schmidt of have emereed between Chancel- fiacal- nnliev rn reduce inflation raent and modest increases in “ Neddv Siv" Tiir. leaders with Vurnara miners gala on Satur- 

^ _ _ gaiuenng pipeline ueiwurK, 

an-ATriCan Tore© following an adverse industry 
mbia’s President Kaunda report to I be published his week, 
mu n fonuation of 7 nan- ln ! tead ’, ^rgy Depart- 

riran far.« in » it p n ' roent is likely to sanefion a more of specific statements here over the past two days. This m— uvw-i . ■■ - , 

f J u ge African modest scheme for linkine fields about the future economic policy is intended to ease the recent s __ it ^ « in any detail and therefore the £ a -Y.\ as a succe5S for the whole 

ity and defend the continent S DioSS at a of «ch individual country. friction between the two Govern- Summit notebook. Page 2 ^ncessionTwhicb Japan is pr^ ^ British people, he said. 

a««Mnt£ ^is was being presented to- meats over a wide range of Editorial Comment, Page 10 pared to make remain uncertain. Olllv “During recent weeks the 

hoped ^ meht as ^ a «3° n programme issues. However, other Governments' • WUI J 0/0 1 Jeremiahs on the Tory front 

IT™, ijf African Unity •TRADE SECRETARY Mr. without targets.” .It would in- In particular, President Carter , startina in responses will undoubtedly be ^ ^ r ^ M .... bench have been at it again, 

nmit would declare Us support Edmund Dell is to meet .a deputa- dude explicit commitments and bas not been pressed by any of oSrtw „ d “even mOTelfgiuS critically influenced by the extent fffj predicting another explosion. 

the Zimbabwe Patriotic tion of MPs protesting at the would not be just a general state- his fellow leaders to give any in i#nS? 8 of Japan’s precise undertakings concerned^ at the weekend that The British people tan prove 

)Dt - announcement by the Japanese ment of aims of the kind pub- major Dew commitments over ’ . , on the reduction of its enrrent ?? r ‘ Callaghan would weaken on them wrong for the third time.” 

• . - „ , _ Colt Cars companv that it is to lished after the last world sum- energy policy. The precise nature of the account surplus. the TUC s demand for a shorter „ would mppt th* Tin- 

IghtS delayed strei.gU.en its UK dealer net- "i.t in London just over i year They are said .M have been Contributions wtart other disolaved ^.^'WwKW; eeneral 0^00!^“ to evrhjoee 

T sc A,,l »" mndpst ■sphpmp for linkine fields aooui me iuiure economic policy is mtenaea ro ease tne recent k« a l- d o in any detail and therefore the 

tty and defend the continent t n oioSn^ at a of each individual country. friction between the two Govern- Summit notebook. Page 2 ^ncessionTwhicb Japan ism _ 

i, The j Pr ^ i ' cost of nearer^lbiL Ra^ Page .This was being presented to- meats over a wide range of Editorial Comment, Page 10 pared to make remain uncertain. OfllV 5% 

at also said he hoped the ^ ° 8 night as an “action programme issues. However, other Governments' • ^ 

the TUC’s demand for a shorter 

He would meet the TL’jC 

^ ; position which his Government 

• TURKEY plans .to raise a should adopt in the closing ses- 
SlOOm loan from international 

Mr. Michael Blumenthal. UJ3. In the case of Germany, it is Continued on Back Page 

avifi Cun SlOOm loan from international 

^ banks, guaranteed by. the Libyan 

lain completed a 3—2 win Arab Foreign Bank. The loan 
r France in their Davis Cup will be for five years it 3 and \ 
in Pans. Buster Moltrain of a point over inter »nk rate. 
I Eric Deblicker but John Back Page, Enromarki s Page 36 
rd lost to Yannick Noah. 

ru Page S • CONTINENTAL O L and its 

North Sea partners ha»Vdpferred 
,urth Channel any decision to devekfa Hutton 

Field, disappointing offshore 
Governments White Paper equipment supplier* who were 
broadcasting is likely to waiting for a resurgence of 
mi mend that the proposed orders from field developers, 
•ih television channel should Page 4 
•un by an Open Broadcasting 

Israeli Cabinet decays a decision 
on new Egyptian peace plans 


TEL AVIV, July 16. 

1Br ta«l£rt rftart m FI’ROPFAN Ontions Ex- 7112 ISRAELI Cabinet today Mr. Cyrus Vance, U.S. Seq-etaiy accentuated by President Sadat's Cabinet decision left him no representations about dividends. 
' and'lTV lS» 4 JhanJewbichthis yearopened deferred .a decision on new of State. : clear preference for negotiating choice but to go and prepare have been told that the Govem- 

b Eurooe's first venture in rraded E&'Ptiaon peace proposals until However. Mr. Begin said that w !^ “ r - Weizman rather than the army for the next war. ment “will push through legis- 

- - — K - »f*o^ *>.- montinn in Rntjm this 5 _.. -■ wirh th» Prime winistor I n a c i ear attempt to prevent lation if it can ” 

A decision bos not been mode “ r aims and 

yet what earnings target to put asp, ™ s ' 
in the White Paper. Mr. Callag- Ministers will try to couch 
ban is thinking of as little as th at part of the While Paper 
5 per cent, half the Phase Three dealing with the shorter work- 
figure. but it is not clear whether ing week in terms which do ant 
this would give scope for treat- entirely demolish the TUC’s 
roent of anomalies, to which the case. But. the underlying niess- 
Wbite Paper is expected to refer. a§ e is that no addition to unit 
Likewise, a decision has not ^J^,!^ a ?? a r ? t ed ; ft an t d I hat 
been made whether To legislate j! °i n* vl^L! 

for further dividend control. ™ n ^ * 

even though the Government J* 5 £ii»iSL n SG dea ’ DOt 
might be able to cotfnt on 311 addition to it. 

Liberal support Union leaders, 
who have made no great public 

Oil plans 

ess solution 

share options, is planning to in- 1 atte £ the, meeting _ in_ Britain this new instructions were not gfcen die Prime Minister 

, - frr.T V ■ -hi crease its busineM by the int^- week ^ of the Egypuan and. israeh t o Mr . us compound 

■ — -w World i.hcss L.haropir»nship Auction of pul trading in October. Foreign Mmisters. e dea.^ - 

\.'he Philippines was salvaged JL rk ani j 31 appears to have stemmed partly 

1" . v V night b> a decision that both a 5 from a row among Ministers over T AAr l c r^Q C f|n 

champiun Anatoly Karpov last week's meeting in Austria JUCCUd V'dSUC 

Russian defector Viktor |*flr DO between Mr. Ezer Weizman. 

, tlbhnoi must play for the title VVipuiaiv Defence Minister, and President 00111117116(1 

v i i lout disnlavine the traditional v . _v A i_ Anwar Sadat of Egypt tumumtu 

will push through legis- The “ understanding " with the 

TUC for which the Government 

■■ |out displaying the traditional 

inal flags. Korchnoi wanted 


Leeds Castle 

Mr. Begin complained this President Sadat dictating which Although officially ignorant of hoped — while all along admitting 

evening that “a worldwide cam- Israeli Ministers he wigfaeft’ to any pay target, the TUC will be that there would nor be a formal 

paign is being waged for my the Cabinet ruled that all grateful if the target is pre- deal — does not seem to have 

resignation. I am being described contacts must be at a reciprocal sented as one figure and not split materialised out of the private 
as an obstacle to peace.” He told that each Minister should into s per cent for wages gener- exchanges, 

a meeting of his Herat Party mee t with his Egyptian counter- ally and y per cent for treatment But both sides ean fa|I bat . k 

that he was indeed an obstacle, P^- of anomalies. Such division 0D ^ TUC-Labour Partv liaison 

but said that he was “ an obstacle In response to unconfirmed re- could involve the Goveniment committee’s document, into the 
against capitulation." ports that President Sadat an? unions in formal bodies to Eighties: an Agreement, which 

; ""--.-ffimal flags. Korchnoi wanted lUjdlUl Some . Ministers— angered by THE TWO-DAY meeting of against capitulation." ports that President Sadat and unions in formal bodies to Eighties- an Agreement which 

V ***^tay M ndor . a S Y l ^ S ’If 5 , hi m TRADING medical insurance 5 r * Bid 5 nt Salt’s refusal to meet the Israeli, Egyptian and UB. „ . * . planned to invite leaders of the adjudicate on anomalies, as well deals on ] y cursorily with pay but 

. ; Russians insisted that he % -LEADING . medical 1 su e Mr M ena hem Begin, Prime Foreign Ministers which -„?* < L, President Opposition Labour Party to as inspire every group of setfi oUt broad economic obiec- 

.. Id play under a Hag stamped agencies tone * mbSship Ministewaid that Mr. Weizman beg mitomoiTow b to be held f^.L [ n T Egypt the Cabinet ruled that workers, to jusUfy its own case lives, for instance on the ”real- 

> - j 'leies.s. ? cco ^ ia ^ st S mldES should not have gone to Salzburg jLeeE&Ste Die - - f n i e r ^l«” ase,es L L ?J np ^ 8T I only the Government could hold for special treatment. men t of North Sea oil revenue 

• -\Tr-2 fieurcs — the use of medical fn _ thp Mr Weizman at i<eeas Lasue. Kent, tne 0 f defamation " against him. But m mfiati«n« uHth T.n..r« A^h other etementc frr.m the e revenue. 

^ lid play 

n^urcs — in© usu ui meetine Mr Weizman \ or aeiamauon against nun. I5ur n ©EotiatJoii5 

Ck to Steam ^reported later' to have *e Prime MinMer said he would neighbours. 

.. - . employees is increasing. While hie nf jealonsv. confirmed last night. The not respond, lest his remarks be, 

negotiations with Israel’s Arab 

, employees is increasing. W'SSJBratiSww confirmed last night The 
sta Rail is building its first individual ‘ membership figures • . meeting was to have been 

izc steam locomotive for a conl in ue d decline, group . Details of the new Egyptian fa ]d ^ London hotel but 

y 20 years. It is a full-size mein bership of the three leading proposals were not made public. “ u h ^ Wn made fael 

:a of Sans Pareil whieh was ^ encies i ncreaSe d by over 27,000 But, according \0 earlier reports. «e switch has oeen made be- 

150 years a«n. Apprentices ^ thc firSt ^ of year . Back the Defence Minister was given cause of fears for security in 

mildine the replica as part p„ the impression by President view- of the number of Arab 

eir training Sadat ttiat Egypt would adopt a terrorists believed to be in 

Other elements from the 
Phase Three policy, such as the 

tives, for instance on the ireal- 
ment of North Sea oil revenue. 

CBI statement. Page 4 

meeting was to have been used as an excuse to cancel the 
held in a London hotel but Foreign Ministers' meeting, 
the switch has been made be- air. Weizman, apparently still 
cause of fears for security in angry over the attack on him in 

the impression by President view- of the number of Arab Cabinet, this afternoon refused 

Sadat ttiat Egypt would adopt a terrorists believed to be in to report on his Salzburg meet- 

more flexible position in' n ego- the capitaL The grounds of ing to the Knesset foreign affairs 

efiy . - - Piohtc TAr tiations over the West Bank than the castle have been dosed and defence committee. He told* 

& Reulemann. Ferrari, won « ! o uia apparent from the sLx-point plan to fl, e pnblic and udII the committee that if it wanted 

$78 British Grand Prix. Niki il iJ. made pubUc two weeks ago. dosed mrtil Thursday. gS™S£L" l h , ou , ld “ k ^ 

^r. Brabham, was second CErClIlOlflCrS In the light of this, it had Pnn,e Min ister for a briefing. 

r nhn Walson, Brabham, was expected that the Cabinet . .. _ . . ., , . The Defence Minister was at 

• ACCESS and Barclaycard wotiid issue new guidelines to the surpnse at the Cab met slack ce ntre of a row in Cabinet 

K» u-ccklv nremium bond holders may gain new sratutary ^ Moshe Dayan. Foreign « decision over the new Egyp- onj5 a feW weeks over its 
won hv Ln P don holder of g °^f Master, before he left for the turn proposals. S£ly 10 AmeSaf qSSfionl 

B.TS 95MS95 under the terms of Jr meeting in Britain with Mr. All this reflected the bitter about tne future of the West 

„ ^ ‘ ,, ,_s s .. Lonsiunw Credit Act “ u^l Mohammed Ibrahim Kamel, the power struggles within the Bank and Gaza Strip. He was 

,^”mcnt°?akei' liowor in oflS T?aS B«* E OTtian__Fo re iga Minuter and Government wbinh Have been later reported to have said tie 

lari no today. Page. : 

.5 sK3K=s White Paper will ignore Carter 

off Vancouver isiana. of fade's industrial adviser for . . 

orkers are being discrinii- tbe next two or three years. -w A 1 • j 

v3 , 5 - Proposals to split Post Office 

s labour MP for Newport, income by 19 per cent last year - 

1 . r ■ ' . nnh to £7B5m, and sent f4.S5m over- BY |OHN LLOYD 

• people attended a boo charity organisation’s 

concert at Blackbusbe, „_i accounts showed that it THE GOVERNMENTS White half-way through its first year. Martin, to oversee and speed up 
\ k e pt ahead of innation for the Paper on the Post Office. It is understood, however, that System X development 

lends and a brunette have first time for ■ several years expected to be published on the Carter committee has • Internal efficiency audits. A 

d thc Los Angeles Rams i ara ely due to its operation of a Friday, will disregard the two managed to have some of its major point made by Carter 
1 team of sex discrimina- na ti 0 nal shop network. Page 4 major proposals made a year less-dramatic proposals accepted, was the lack of internal efficiency 
Hie three men were turned - ago in the report of the Post a numoer of these have already indicators which could give man* 

for thc team's chorus of milPANIE^ Office Review Committee. been incorporated into Post agemenr and staff a more precise 

traders. w The Carter Committee, which Office practice. impression of Its own produo- 

workmen have un- • ERNEST JONES (Jewellers) sat Tor IS mouths, recommended These are thought to include: tivity. 

1 whit may be ruins of is to make a £L73m issue of that ttie Post Office should be ffi A more devolved managerial A committee has been set up, 
mm fMni which Julius 1.5m ordinary lOp shares priced Spttt into two autonomous cor- structure. The Carter committee which includes .the two board 1 
mv .dJd Britain in 55BC. at 115p. Page 32 poratious, one for telecommu- criticised the Post Office for over- members representing the cdd- 

1,1 aca DT 13 nications and one for posts. centralisation and recommended turner interest — Mrs. Janice 

^ ^ mmm " 11 also proposed that an advi- that more power and initiative Walsh and Lord Winstanley— 

^ sary council on posts and be given to regional and area- and Mr. Michael Posner, the 

I'rtMTFNlS OF TODAY'S ISSUE telecommunications affairs be level management. Cambridge economist and former 

1 E.IV 1 ^ established to act as a buffer under the chairmanship of Sir Government adviser who is a 

^ras nous 2 Arts page ... v * .Mtween Government and the William Barlow, who took over Part-time ooanl member, to act 

A iVadr news 3 Leader page corporations. from Sir William Ryland hx as an eiBrtencr mDlli tor. 

r ' T, e ws— ccnorol 4 UK. companies tl Jhe latter recommendation, November last year, this has • More competitive pricing. The 

—labour 4 International companies ... «hi<m was in line with a pro* largely happened. Carter report criticised the rigid 

leal page 6 Foreign Exchanges g made by the National Earlier this year, head w*t- P ricin S fi rstem adopted by the 

eraent pace 7 Mining Notebook Economic Development Office masters were given 44 ODDor- Office^ recommended 

* — m a no nfltinnallKpH in- A. I a 11 ^ _ v ^r° l tkd -arinnnon nl »k. 


pas ncus 

\ iradr news 

Arts page ... v 

leal Pago ® ear emu on aans« -- Earlier this year, head rasf- auoptea oy the 

-pment pace " Mining Notebook Economic Development Office masters were given “ODDor- ^ >os * Office,, and recommended 

' ^ are P° rt . nationalised in- tmjjty budgets,” sums of money ^ adoption of short-run 

ccr ATf tore H®. pubhshed m 1976, has W faich they could spend as they mar ^ Ti:i1 r CQ ^J?? cin 8 fDr a 

FEATURES favour ne i? e « wlt jL- the wished on ■ improving theix ninnber °1 ,***** Md parcel 

_ .. . . _ n0 * Government nor the Post Office, services with the sole remiirp- services. This would mean that 

jets: The logjam < ^552S!ffta!U^ f-- 7 T0 V°**l to *P ht ment of showing a «aSbS regional and area management 

k.s 10 8 wiuch “ supported b ? return on the capiS Sey P^res based largely 

Week tit ttte courts Post Office senior management amniMui * J nn vha extra . mimin.i 

: spice to Dutch 
ns 31 


nu * Letters 

iHtt S Lex ........... 

•n's 01*r* 3 Lomtard 

iTemttr* 4S.& Hce **d Matte 

! S Parliament Dlw 

mt Cttlda V Slim Waraut 

Man S Sport . 

. Ttto^.Evn* 

Week ut the conns.. - Post Office senior management enjoyed! " on^ ttT ««■ nSalS 

FT SURVEY ana by^the Post Office EnBinee^ p The strengthening of the iflcnrred by offering extra 

Japan 11 tug Union, bas been strenuously System X management team services. 

1 2£? 0W A b ,y Union of Post System X. the all-electronic To a large extent, the corpora- 

si tv awf 4 v*»ce Workers. exchange scheduled for general tlon has brought in this principle, 

® ® ^ *«s been-appaTent for some use by the early 19S0s, has and was dotog whiIe 

LO wwmm Paso 


. . ; , we-r^t 



For latest Share Index ’phone 0I-2JS S0S6 

interest of the corporation, development. ate on pricing between regions. 

wpeciaUy as it would conflict In April the Post Office estab- and has in Practice remained 

■wta. .the two-year experiment lished an Integrated Systems cautious, of *t. .least discreet. 

■ iu industrial democracy now Department, headed bylfrvjahn about its n err sebemea. 

Get your office 
moving up the MI 

Actually we told Mr Bloggs he didn't need to bring the office with him. 
Since 1970 1 million sq ft of office development has been added to the 1 .25 
million sq ft previously occupied in Northampton's town centre, and a further 
1.5 million sq ft is still being developed. Campus sites are also available on the 
major industrial development at Moulton Park. 

As well as Northampton's central location, affording ease of access and 
distnbution to all parts of the country, there are substantial savings to be made. 
Office concerns relocating from Central London can save up to 70% of their 
expenditure on rent and rates alone. 

Northampton has tremendous advantages to offer firms wishing to relocate 
their offices. The expansion of this historic county town means excellent homes . 
for your staff to rent or buy, new shops, new schools and new opportunities for 
growth and success. Its labour relations record is amongst the best in the 

For further details phone 0604 34734 or write to : 

L Austin-Crowe, Chief Estate Surveyor. 

Northampton Development Corporation, 

. 2-3 Market Square. Northampton NN1 2EN. 

Financial Times Monday July 17 'l«8. 


Nigeria to abolish state 
military governors 

Carter trip 8UMM,T NOTEBOOK 
hailed I7nll mai 


LAGOS, July 16. 

by West 

Full membership for Jenkins 

THE NIGERIAN Government is Each administrator will be the military commissioners By Jonathan Carr thepoli deal's descf Europe 4s 

to abolish the post of state assisted by a civilian deputy operating on a federal level BONN, July the acceptance of Boy Jenkins as 

militarv Governor under a oro- chairman who will be expected T.?, uld o^ 50 *. b S redeployed from THE VISIT by President a proper member of the Snnunvt 

gramme of measures announced not to .2^ ,C 5SJe 1 v2fftte 1)0 ^ Uca1 ' offices not by BrSsete Btt cSiSSk>? t Mr* 

this weekend to disengage The the period ■««* tto JmA into purely tripVw^TB&Ui being Jenkins is entitled to play a fuU 

ONE OF the events in Bonn 
which is unlikely to capture any 
headlines but which nonetheless 
reflects a significant change in 
the political tides of Europe 4s 
the acceptance of Boy Jenkins as 
a proper member of the Summit 
“ dub.” But as President of the 

: e ” of the existing civil and military civilian rule. " This adminlstra- “ J , s °een 

1 The envemnrs — whose posi- commissioners: but any of these tion," he said, "is committed to "ffim S® Bl l gant lodgings at Schloss 

tions be aboSd SSth who wish to participate in the bringing about elected J* J£* *,*£.' “SE Gytmuch, the fmall palace near 

effect from Julv 24— will be coming civilian government will government in 1979 through a JJgf* reserved for vaating 

redeployed to military duties. be allowed to quit their jobs. peaceful process of free and fair ThSiS^iS m £S d ^ ltules - 

The governors' functions will. Lt.-Gen. Obasanjo declared elections, and we will not " known ., 0aJ 7 £“* over a i' ear **»■ 

however, remain in military that bis administration had no tolerate from any person or d J2“ betw*L. »h* two Mr -. Jenkins had to fight hard 

however, remain m military inai ois dumwauauuii «»<* luierme uuiu «»uj> differparj^: .u- two vcuzuna aaa io «huv 

hands. They will be taken over interest in partisan politics and group any act that is i capable of sides 0 o ecS£™i£y -***. E ^ nch . aDtl 

br brigade and garrison com- would not tolerate anyone using diverting us from this goal. , ““ c P 011 * 7, , opposition to gain access to the 

manders who will be designated its members’ names to canvass The current ban on politics, he . * ie *§L*L js suggests last Western summit in London, 
military administrators. LL-Gen. for political support, or thwart said, would be lifted as soon as «“ *• .Jffi Even then, he was systemieally 

military admin lstraiors, ll-ucd. xor puim*-** *“’*•»*” „_,7. “ «.. . - . ,.i b . u»u, 

OlusHun Obasanjo, Nigeria’s the timetable for a return to the ruling Supreme Military including hi* bilateral talks excluded from those parts of the 
bead of state announced in a political rule. Council endorses the new constf- with Chancellor Helmut discussions which fell outside 

special broadcast. * Tbc Head of State said that tudons. gSSSLJV, Junsdjction and gm long 

Schmidt, has Improved the ^EC jurisdiction and spent long 
atmosphere for the start here hours kicking his heels in his 

of tbe seven-nation I hotel room. At a closing press 

Western economic summit 

conference, he was permitted to 

Lebanon outlook still uncertain ■gpl&SSE 

than existed between them in microphone. 

« j • the first strained months a her Within the past few months. 

as Sarkis drons resignation JMssitt 

^ ^ v Carter’s visit was his trip to proved immeasurably and be 

the first strained months after 
Mr. Carter took office. 

Within the past few months, 
however. Mr. Jenkins's standing 

British Chancellor of the Exchequer Denis Healey takes a quick snapshot of (from left to 
right) Prime Minister Takeo Fokuda of Japan. President Jimmy Carter. Chancellor 
Helmut Schmidt. Mr. James Callaghan, and M. Jean Chretien, the Canadian Finance Minister. 

The high point of Mr. on the European scene has im- 

Carter’s visit was his trip to proved immeasurably and he •• Bonn is just a federal capital." Government press office. nr a deal coma well mean that 

Berlin, where he renewed now enjoys close relations with This assertion is backed op by The first draft of an excellent new German action on growth 

America’s pledge to defend the both President Giscard d’Estalng a veritable avalanche oE facts, information booklet it produced will be minimal. Herr Mai- 


LEBANON breathed in comfort 

BEIRUT. July 16. 

LEBANON breathed in comfort Tbe 52-year-old PreMdent, who The IJl" answered questions from He came to Boon buoyed up by population^ Bonn has Germany's the German delegation — Chan- from the Economics Minister on 

after President Elias Sarkis has served 20 months of his six- tends to go i«J«d with i building Berliners in the city’s Congress the acceptance of EEC leaders - largest uninterrupted pedes- cellor Helmut Schmidt, the wbat new steps should be taken, 

announced last night that he year term jn office, threatened ? nati^l army by provid- ^ ud vlslted the Berlin in Bremen ten days’ ago of a trian zone, the third highest traf- Foreign Minister Herr Hans Chancellor Helmut Schmidt Is 

was not resicnine However ta . q ?P Y’SKAL’? 0 **}! *2? 'Wall-part of which had just currency plan along Hues which fic densit y, the most university Dietrich Gcnscher and the not keen on seeing any furtiier 

was not resigning. However, height of fierra fighting between equipment, and enforcing obuga- been painted white he has been advocating since sraduate s; the largest t0lal swim- Finance Minister. Herr Hans Government borrowing which 

there is a general feeling of Syrian troops of tbe Arab League to^ military service In an address at the last autumn. At the Bremen ming pool area, the largest Mart hoofer. Rather late tn the niight push up interest rates, 

uncertainty about the future, peacekeeping force aod Oin^ian The most e £Sd?nt lu-kS memorial to tbe Berlin airlift, mating, of course. ***• Ja ^ es surface P area devoted to sports, day a small piece of paper was The uptfiot La (hat while 
In a broadcast to the nation, Wilmas the Phatange Parjf here is t^t President Sarkis Md to words reca llmg p res l- Callaghan agreed to go. along fte j^ghest growth rate in gross pasted over the list showing that. Count Lambsdorff has now won 
Mr. Sarkis said that national. “JL 1 * 1 * ,SSSL SSTmUKl f C om5l e te dent John F. Kennedy’s ’'ich with the plan only under intense }DCOme and the gTeaUssl ^ount afte r all. Count Lambsdorff his seat at the summit - there 

Arab and international appeals .. T „ h ' «» -In Berliner- 15 vrars rora ot&r sovernment of housin area per ,„ hab itant would be there too. is reason . to think tta be must 

He spontaoeonsiy and Chancellor Helmut Schmidt. p 0 r example, in relation to its list«l only three members of tboofer quite different ideas 
questions from He came to Bonn buoyed up by population, Bonn has Germany's the German delegation — Chon- from the Economics Minister on 

n, miiiuas wi f ueic la tu<, i a a«d in words rMaiiine Presl- caiiagnan agreea to go aioug highest ^rowth rate in cross pasted over the list st 

,1 and the National Liberal Party, changed his mind about resign- JohnF K^SSf's ~ ich with the plan only under intense SmS? ttesreSSt m£nmt after all Count 

U , T1, , e , ,t"hLuuSrs iltinn o7uban'oT P Hl StoT- ™ ■5li«“'V» l ’ y 'rH“ ure I ra, 5 ,°4 tt oftoSliil ‘pSmSSSS would be there ‘too. 

to put an end to the hostilities gration of Lenanon. His resigna w „ leaders. As he eyes bis former » a 

is reason to think that he must 

MtoStnn Sfn^woSd have th?Mlv h ef«> r ^ Mr. Carter announced [leaders. As be eyes bJS J. Dr ™er ia Norih Rhine-Westphalia A technical error? Apolitical be sitting un the very edge of 

sJS, ?nd authorities howeveV "was Immer set, Berlin bllebt eollm» acroa the Reeling ^tore this awesome snub? Whatever the answer ll - 

Micrunrp in^he enuntrv (whatever happens, L cataJogue of achievement, it is Count Lambsdorff dearly * * * 

convinced him to withdraw his and beaded off an ^ co n . 0 on would have ended the only carter announcen ' colleagu’ 

threat to step down, but warned frontation between Syria and legitimate authorities however sev »erim oaeD i eonfereQce 

that he will not agree to a return Israel, which made threatening weak, in existence in the country » Ijenkiiis may be 

10 the conditions which had statements in support of the at present. trfumnii*i ArilTu, ™ Bn .n rar ! wondering which i 

prompted him to consider resign- Christians. While indirectly blaming the J™*;" if SreT mafi ihe odd man ouL 

ing in the first place. In his radio and television guerrilla presence here for a ?.“« . * 

It was reported in the Press speech. President Sarkis came great deal of Lebanon s prob- '* n €S „ c ? n . lrip ’ 

today that President Sarkis, who very close to telling the country ferns, Mr. Sarkis had only favour- Ben Schmidt described tin? DESPITE A population of almost iS®.? 

is nominally the eommander-in- that its main problem— the con- .Reword, W about be TOM « -*««•»«»• 300,000 and tbe presence of up. S. P T5"^SJSS d .ST.2fe 

chief of the Arab force, is work- centra tion of weapons in civilian 30.000 Syrian troops forming the good for Berlin, good for every- w • fhe mQSl powerful govern- . int0 rocession and protec 

ing on a plan which would hands— is insoluble for the time backbone of the Arab peace- one. But during it the East men j j n western Europe, Boon tiomsm. 

remove Syrian troops from being. keeping force. £!^ an f„ d «5 ye i»S fi L -im ha « vet tQ shake oS a reputation * + * 

Beirut and its suburbs and assign He said that disarming He said tbe troops are for the hoars on the tranflt routes owererrown villave. 

The Financial Times 
team in Bonn is: 
Jonathan Carr, 
Adrian Dicks, 

From being. 

Beirut and its suburbs and assign He said that disarming He said the troops are for the noacs on roe transit a ' n overgrowT i village. ... ... 

■law-and-order duties here to Lebanese is not possible as long time being the legitimate army from the Wtat and p rotated __ first-time visitor is struck THE EASE with which jour- 
Lebanese gendarmes and restruc- as large Quantities of weapons of Lebanon and that nothing against Herr Sc nmldPs visit to . ^ sleepy provincial na **Ms and political advisers 

tured units of the Lebanese remain in the hands of Palesti- must disturb the good relations the city with Mr. Carter. atmosphere of the’ place, and it swo P ro ^s nowadays can be 
army. man guerrillas here. between Lebanese and Syrians. Both East Germany anf v a. ,k. 

Rhodesian fear of tribal conflict 


SALISBURY, July 16. 

RHODESIAN GOVERNMENT Mr. Pieter van der Byl, described carried out by freelance terrorists 
sources are expressing concern these clashes as incipient civil of the > Ndejwle i toj* | operating 

about mounting titolcoee W The guerrillas responsible for National CouncU of Bishop 

the mam tribal groups after the murders mis weekend have Muzorewa. 
latest guerrilla massacre of faeen operating in the area for One survivor made this claim 
black civilians. some time and are known to have saying that the village was 

In the killings, which took committed at least four other attacked by guerrillas because 
place on Friday 17 blacks ioclud- murdexs in the past JO days, its headman had altered his 
ing nine children were murdered Villagers in the urea are said political allegiance from the 

triumphal drive In an open car which of them is now ong ^ main ostensible ” FOB THE 2,500 nr so journalists 

along one of the city’s main 1156 oflfl man out * purposes of the current two-day The Financial Times *« Bonn, -the summit is in many 

avenues concluded the trip. * * * summit is to try to hammer out , respects rather like a gigantic 

Herr Schmidt described the „ PT __ ! fi r aIr _ n , f some form of Western solution team 111 Bonn IS: fun fair 'with the main aitnc- 

visit as “good for Mr. Carter, t0 prevenl the w0rld from "!■* Tonathan Carr " onS , 8 P read ov " a" a r« nearly 

good for Berlin, good for every- 300,000 and the P^senc^ ing int0 recession and protec- JOHaUian k>dIT, as latge- as Regents Park— a 

one.” But duri4 it the East wmra tionism. Adrian Dicks, kind of Disneyland h.v l he Rhine. 

Germans delayed traffic for P 1601 “» * ** “ ~ , T . The hosts laid out extensivo 

hoars on the transit routes his yet ta shake off a reputation Guy de Jonquieres, and Press facilities in a series of 

from the West and protested « a « ™8 r own i vmage. THE EASE with which jour- pp+pr Riddell - rederaI government and parlia- 

a gainst Herr Schmidt’s vtiit to h J« e J™ 1 nalists and political advisers reier KlQaeiL mentary buildings at least live 

the etty with Mr. Carter. cne sieepy. provincial swop ro1es nowa fi ays can b e — minutes’ walk apart, and groups 

Both East Germany and the • = still th e butt of Snlrtnd jokes coding. At the summit. Mr. de serves his place. He stuck his <£• i<? uraa » stii w , uW . 5 « n 
Soviet Union say that the “ «*g %%Sents A favourite Haines, Sir Harold Wilson's neck out in l the lost few days 

Chancellor’s presence cnnira- ^AnceSthe visiting busi- ****** secretary at No. 10 t0 say he believed the summit between one or other of o 
vened the Fonr-PoWer Berlin he would Downing Street, is to be seen was *• doomed to success.*. That three Press tentres and Uie 

Accord— a claim promptly like some female companionship chatting happily with members i s considerably further than his several individual hneflns rooms, 

rejected hv the U.S-, Britain tQ while away the nocturnal of 1110 .Parliamentary lobby— a Cabinet colleagues were willing m rUl tlw* ^ 5 manl 

and France. -hours Inquiring at his hotel, sroup with whom he used to have to go. information from the mang 

he te told by E an apologetic Wttor and frequent banieo m the B “ eyoml ,, iat . Count La ,ubsdorlt tba, the™ 

XT ii a. a. receptionist: “ Tm sorry, sir, but °W days. has a big dtimcstic political stake , anjonc forget that there 

NpW threat to the ladv has gone to Cologne But now « of course, Mr. Haines iQ ^ sn 0cess of 7 hc summit ls a world < mlsuic the funrami, 
nCVV lUlCrt.1 IU gJjJJ®? nas 8 oe “ ^° l0g is back In the Fleet Street fold “ e bSriJ^5oSsS?Jy y ***** have been put up showing 

r r nnph fllotlfc Undeterred by such jibes, the aS . a leader Wrlter for ^ Daily seen as the "crown prince” in £* i-OSTStl^SSmfirt 5 

J/ renen HISDIo city fathers have decided to put M, , r . ror l-. J tbe Liberia Free Democratic Jbnuph this is Of little comfort to 

_ .. - 7 in a' brave show to welcome the . Identtiy problems do not stop p ar t v <FDP), the junior partner ^ many Japanese journalists 

By David Whit* , . seven government leaders attend- tb ep e. however. Mr. Roger in coalition government. vho . at lunchtime were looking 

PARIS, Jnfy J6. ing the talks and tbe roughly Carroll of the Sim is to be Recently he has been repeatedly worr,( ^' without any nmnr-H 

and France. 

New threat to 
French flights 

By David White , ' 

PARIS/ July 16. 

on the summit. 

successful puiw- 

SSSaL-f-n* s?sa«s Smarts iSiss £s SdC® Sssa SrS 

its kind within three weeks. The Ambassador to the Untied Foreign Secretary, says lifting France region, said they 

victims were shot, bayoneted and Nations. He recalled Mr. Young’s sanctions against Rhodesia now planned to work to rule again 

burned to death while children admission in Salisbury in April would inhibit any prospect of a oVer the whole of next week- 

who ran out of the blazing huts when he said that Mr. Mugabe reconciliation between the con- >nd and the following week- 

were shot down by Mr. Nkomo's and Mr. Nkomo were fighting dieting parties. But he believes 'end, which will be one of the 

men. for personal power. The world tbe removal of sanctions as soon, heaviest for holiday traffic. 

There have been several re- should realise this. Mr. van der as a Rhodesian election has taken It Is precisely the July- 

nflm*p rp^ton IheV uuw- uik juuluili lumcicutc iicrc: merman cuumuimeui iu iiuuici «uc 

to work to rule again ever ’ in a 13_page S uide entitled The answer is— the Bonn growth measures. The absence or vice versa. 

?er the whole of next week- — - — - ■ — — ■ — - - . - — . . . >- . ■ — ■ ' ■ 1 

precisely the July- 

ported clashes between Mr. Byl said, and accept that the place in fair and free conditions August build-up which has pro- 

Nkomo’s ZIPRA guerrillas and Patriotic Front was not a libera- should be the clear objective. Yoked the latest instalment in 

Professor joins dissident group 

those of ZANLA loyai to Mr. tion movement. 

Mr. Davies said in a prepared the dispute, the controllers 


MOSCOW, July 16. 

Setback for 
Mrs. Gandhi 

Robert Mugabe, Mr. Nkomo’s So embittered have tribal and statement that the ' British claiming' that their manning DESPITE THE long prison and tences given to Mr. Anatoly Washington: A ban on pending taiS’an^Se^inlster^suffMwi 6 * 
partner in the militant Patriotic party rivalries in Rhodesia be- Government should make a con- levels are Inadequate to deal labour camp sentences imposed Sbcharansky, Mr. Alexander sales of U.S. technology to the nolitical setback vesterdav when 

Vrnnt TV. r..„nrn 4h.r. ....... L..I i J 1,1. iV. K M itC tVlu. I If. r. TT ■ . , .... “**"—. ■****.. . 

Front. The Transitional Govern- come that there are even sugges- fidential but determined effort to with the number of flights, up on its three most prominent Ginzburg, and Mr. Viktoras Soviet Union and a swap of two the official Congress Party 
ment’s joint Foreign Minister, tions that the massacre was reconcile the contesting parties, to four times the normal traffic, members, the Moscow-based Pyatkus were a challenge to all Russians charged with spying in announced it was withdrawing 

These Bands having been sold, this announcement appears as a matter of record only. 


Helsinki agreement monitoring the Helsinki signatories. the U.S. for Mr. Anatoly from a coalition Government with 

group has announced the He called on the signatory Shcharansky are two possible Mrs. Gandhi's breakaway Congress 

appointment of new member nations to support tbe imprisoned responses to last weelcs sen- CD Party In Maharashtra state, 

and called on world opinion not dissidents and said the adverse tences on Soviet dissidents now Reuter reports from New Delhi, 

to weaken in its defence of international reaction to tbeir being weighed by the Carter The - Chief Minister of Maha- 

h liman rights. trials shows that “on this occa- administration. rasntra. Mr. Yasanantrao Fatii. 

The Communist Party news- sion the authorities have met The Senate majority leader, 
paper Pravda, at the same resolute and universal condemns- Mr. Robert Byrd/toJd reporters re signation almost immediately. 
£ a * unti^Sovlettam ” tion they will find difficult to yesterday, after telephoning the «,• * 

-"L 2 SSS v in Bonn on Friday, Chwese experts leave 

° E .5S2KJM5T* 5?“^ “Miss Yelena Bonner. Dr. Sak- tiiat the Admtoi^ tion had Tokh^ZmZced iboTchmese 
an uncontrollable process. harov^s wife, announced that decided tn hold un tho uiu nf □ .. .u 

ff^iSriZSSSi ^ th wi ^ e ’ annou “ ced *tat decided to hold up the sales of a expertV^SffS aid projecte in 

hnmp J *£? aSSS B S»L£? Pra f*“or Sergei Polikahoff, a Sperry Univac computer and of “ba5a iSSSSf teave TiS^Tfir 
Notel Peale SizI^SS’ fn e ^ P m w iSt n r Qd oil dniiing equipment to the home tomorrow and on Thursday. 
onSaturdavthe IL. w, 0f S ^ v ? et Soviet Umon - Reuter reports from Hong Kong. 

Si^SKfr^S.’ eL5Sr!?.ri Academy tof Sciences, was join- state Den!) w mpnt The renort said the New China 


(Incorporated in the Kingdom of Denmark with limited liability) 

U.S. $20,000,000 

tanan provisions of the Helsinki members. v °* »r . Cyrus ^°ch^ a had left Peking 

rPuH^ nt ci an , tJ ca,I ® d on Professor Polikanoff was ex- SIIC h Ce ,r.tU e to feel that week. The remaining Albanian 

Helsinki signatory nations to pelled from the Communist Party would only reduce sjucients and trainees would fly 

cfkharnt ? n mpUance - . * ■' earlieP ^ ls year after holding fL; J® verag0 mth ^ back to Tirana on Thursday. China 

rtJriw* in 10 a PP6al to a news conference for foreign >D Z lel announced last week that it had 

tne united Nations and Amnesty reporters. ' . 0 Russian employees of the stopped ail economic and mili tary 

Internationa], said that the sen- David Buchan adds from United Nations are at the aid to Albania 
, moment on bail in the U.S., 



Basques urge withdrawal 
of paramilitary police 



Interest payable 1 st January and 1 st July 

facing charges of spying. The Protest to Malta 
fact that they have yetto stand ™ J i i , , , 

trial here would not of itself „ The British High Commission In 
rule out their being swapped for prot&s . ted fjjf 

Mr. Shcharansky. officials said. Rri.iTrr.r,.« 

aVS. }!J JJiJKr 2ii5fa.^2 0ur Foreign Staff reports. The 
for i* 16 dosuro was ordered by Mr. "Dorn 
Russians to decide whether they Mintoff. the Maltese J^rime Mini- 

Chase Manhattan Limited Copenhagen HandeYsbank 

Banque Bruxelles Lambert S.A. Banque Nationale de Paris 

Bayerische Vereinsbank Deutsche Bank Aktiengeseffschaft 

First Boston (Europe! Limited Nordic Bank Limited 

Sumitomo Finance International Swiss Bank Corporation (Overseas) Limited 

S, G. Warburg & Co. Ltd. 

DEMONSTRATORS TURNED Feelings are still running hi eh want Mr * Shcharan- ster, and is the latest in a series o! 

out in force In the streets of San In the Basque country and the SKy g0 ~ moves aga inst British Jour nalists. 

Sebastian today. In protest at Governmenut is faced with n|~~~ ~ "" ~* . 1 ■ 

Banca del Gotfcardo 

Banque Internationale a Luxembourg S.A. 
Kredietbank (Suisse) SA‘ 

Scandinavian Bank Limited 

Banca della Svizzera Italians, Lugano 
Kidder Peabody International Limited 
Nordfinanz-Bank Zuerich 
Societe Bancaire Barclays (Suisse) SA 

the death of two young Basques, difficult problem in the control 
in Pamplona and San Sebastian and disposition of its police here 
,ast ^Juries Last night in Renteria, tbe town 

to aearty 200 others in coof ronta- between San Sebastian and the 
tions with the palace. The Civil French border which was sacked 
Governor undertook to ensure by a company of riot police ou 
mat police wouid be kept away Thursday, the townspeople split 
from the scene, and the demon- into two demonstrations, the 
suasion took place without the larger of which called heatedly 
barricades and bitter fighting for the Basque nationalist 
seen in the Basque country guerrillas of ETA to avenge 
throughout -last week. them. 

However, this ddd not prevent 11 IS un ^ e ^ ^at ETA needs 
the 15.000 demonstnatorsf^SSi 2 ° y F rompUn ® and local ab- 
senting nearly aW p^S Iff “ as concentrated on 

aSsa rnssrrss 

This advertisement is issued in compliance mth Hie 
requirements of the Council of The Stock Ex&umge. 


Issue of up to 

£1,025,700 12 per cenL Partly Convertible : Unsecured Loan 
Stock 1956/88 In connection with the acquisition of 
Customagic Manufaetarlng Company Umited 

Wife? teSUl in uS 

July. 7378 

Rr«ih» ' J — - HUHWf oiucera iuvoivea in last 

w eeks incidents in Renteria. 

riISIto dia8 wr 1 ^ e resigMfcon of the Jimmy Burns reports from 
teterwr Minister Sr. Martin Madrid: The ■ Spanish Govern- 
lUfl - meat has removed Sr. Ignacio 

Yesterday afternoon in Pam- Llafl0 &om Ms post as Civil 
I plona these demands were Governor of the Basque province 
stressed by the multi-party com- of Navarre. It was announced 
mittee investigating incidents a Cabinet meeting last 
, that took place last Saturday ^igbt that Sr. LJano would be 
during the festival of “San replaced by Sr. Eduardo 
Fermi o,” when police stormed Axneijide, a 32-year-old lawyer 
the bull-ring and set in motion who has worked closely with Sr 
the events which led to last AdoKo Suarez, the Prime 
! weeks violence. Minister. 

4 -* 

The above Slock has been admitted to the .Official List 
by the CouncU of The Stock Exchange. 

■ Particulars -oF the Stock have been circulated in the Extel 
statistical service. Copies of the particulars, may be obtained 
during normal business hours on any weekday, except Satur- 
day, up to and including 31st July, 2978 from:— - 


1 Paternoster Row. St. Paul's 
S London EC4M 7DH 

I8i Sekforde .Street • 
London EC1R9HN ; 

. , 


jFinaiKM. Times Monday Jifly 17 1978 


$2.5bn coal and ore pact 
between Brazil, Poland 



agreement on §350m nE tvo^Sv 1°* di !P T l ify pared with S15 and 5 30 a tonne 

trade over the next three KP? 8, a ? d ha,1 ? g fo „ und that respectively, in 19761 CYRB is 
Brazil and Poland have siimed*an COa . w ? s of P ood quality, now renegotiating contracts with 

additional agreement involving rate consistent, its customers in the hope of 

S£5bn in exchanges of BrazHian l« e ^vL aVe rel i^ d IDDre beaviJy raising the average price, 
iron ore and Polish metallurgical ° n 'r?^ S£ 6U PP 5iefi - This year, Japan will take 

coal between now and imq 21 in 71 ” 8 year ‘ Canadawili supply iSm. tonnes, and Europe 24.5m 

t The tota. volume covered by $Sr W ’SiS " C ™ ****'* 

PolaiS ^1974 i£!2”' k 6 ? 1 SS Austra V a 2 .per cent CVRD's plSf' to increase its 

■in impoSm '* ha i 1 JJ??™ .u ”5* lo “S con- present 50m tonnes annual iron 

r„'m. P 0 ™T source of coal for tract with Australia’s Broken ore capacity to 150m tonnes by 

coal 5to , tonz ?« starting in 1980. Ibis way. The- 1980’s target compares 

tonnes QP ° rtS * ^ h wlU total 4x0 l atl ° ®U e T- . ,, , strikingly with CVRD’s 1966 out- 

T •. CVRD (Compagma Vale do put of 15m tonnes 

nort *i xpec ? s to *«■ Rl ° P Dce ^ Brazil’s Stale ruining An- experimental shipment of 

nwLinL ”*£“22! °X coal . a year : conglomerate, which exported 250.000 tonnes will be sent to 
™2 growth of ItB *teel 39.6m tonnes of iron ore ($617m) China later this year, to test a 
Sjf lstry “ d ~ ni feP« ti ngfo rit s in 1977, sold 26m tonnes of ore potential market toe of Uer 
SSerai scarce - <sin l er * eed and pellets) abroad 10m tonnes for CVRD, while the 

*. *k*». the first half of 197S— a 17 new Romanian market Is taking 

deVndo per cent increase in volume com- 800.000 tonnes (with a possibi* 

reliant' Jm^hV ?r S c^ I ? QSt to ^y pared with January-June 1977. Uty of another 250.000 tonnes) 

wnnuL*7r V 'S‘ £or °“^ t ,d ? £ aced wth tow selling prices this year, and negotiations are 
®£.f° al - Recurrent UB. — SI4 a tonne for sinter feed under way with Nigeria for sales 
miners strikes have led officials and $25 a tonne for pellets (com- of 12a 

Swedish curb on shoes rejected 


1 f^ STE ? Staffan come from the EEC countries first quarter of this year imports 

demand “A its EFTA partneI ?' * of leather shoes were 26 per cent 

a demand from the Swedish shoe The main problem for Swedish lower than during the first three 

2j a! !2S5lISi?i* aild # un ^L, for shoemakers was not imports but months of 1977 and preliminary 
tne re-imposition of restrictions the decline in domestic consump- figures for April indicated a 30 
on shoe imports. Almost 80 per tion of leather shoes, Mr. Buren- per cent decline 
cent of Sweden s shoe imports stam Under explained. In the Sweden aband oned controls on 

shoe imports from July 1 last 

World Economic Indicators 

year after strong protests from 
the EEC Commission. The intro- 
duction by the Brussels Commis 
si an of a licensing system for 
shoe imports from East Bloc and 
developing countries bas been 
cited by Swedish shoemakers as 
a reason for re-introducing 
Swedish import restrictions. 

Mr. Burenstam Linder dis- 
misses this argument by point- 
ing out that Sweden already 
regulates imports from East Bloc 
countries and imports only 6 per 
cent of its shoes from develop- 
ing countries. Moreover, other 
countries affected by Swedish 
import controls could retaliate. 

Sweden's earlier restrictions 
provided for annual imports of 
slightly more than 9m pairs of 
shoes. The trend of the first four 
months of 1978 suggested that 
imports could be even lower this 
year, so that import controls 
would not have helped domestic 

Their problem was that wooden 
and cloth shoes were taking a 
larger share of the Swedish mar- 
ket. Mr. Burenstam Linder said. 


UK £bn 

June *78 

May 78 

April 78 

June 77 
















J S. Sbn 

May 78 

April 78 

March 78 

May 77 


• 11.754 














N. Germany DM bn 
















taly Lire bn 
















apan Sbn 
















ranee FFr bn 
















April 78 

March 78 

Feb. 78 

April 77 

lolland FIs bn 
















March 78 

Feb. 78 

Jan. 78 

March 77 

elgium BFrs bn 
















Row over 
power plant 
for Greece 

By Our Own Correspondent 

ATHENS. July 16. 
The Public Power Corporation 
—Greece’s State-controlled elec- 
tricity company — has decided to 
purchase a 300 mW oil-fired 
power station, costing about 
$90m, directly from the Soviet 
Union, the Minister of Coordina- 
tion, Constantine Mitsotakis said. 
The decision follows cancellation 
of an international tender held 
last October by the Public Power 
Corporation for the purchase of 
a lignite-fired power station of 
the same capacity. 

The West German Kraftwerk 
Union (KWU) and Energie Und 
Verfahxenstechnik (EVT) and 
the Japanese Mitsubishi bad 
competed in the tender for the 
unit which was to have been 
installed near the lignite deposits 
at Megalopolis, in the 

Cancellation of the tender led 
two Members of Parliament of 
the main Opposition party, the 
Panhellenic Socialist. Movement 
(Pasok), to table a question in 
the House this week seeking 

The two MPs spoke of 
financial scandal and claimed 
contract had been signed with 
KWU and then cancelled in 
favour of Mitsubishi which bad 
originally been rejected for lack- 
ing the necessary tec hnical 
experience for such a unit. 

Mr. Mitsotakis said today no 
contract was signed with the 
West German company. He said 
the Public Power Corporation 
considered the terms of the 
offers by the West German 
and Japanese companies dis- 
advantageous and decided to 
postpone installation of the 
lignite-fired unit at Megalopolis. 

Instead, it was derided to instal 
an oil-fired station at Lavrion, 
at the southern tip of Attica, and 
ask the Soviet Union to supply 

In January 1976, the Public 
Power Corporation awarded 
directly to Russia's Energomacb- 
export a contract for two 300 MW 
units for its lignite-fired thermo- 
electric station at Ptolexnais. 
Northern Greece. 

A CONTRACT worth DM500m 
is foreseen in a letter of intent 
received by the German Brown 
Boveri Company of Mannheim 
for the construction of a 600 MW 
power station at Mashad in 
North Western Iran, John Wicks 
writes from Zurich. 

The power station will consist 
of four 150 MW aggregates, the 
first of which will come on 
stream in 1981 and the remain- 
ing three at intervals of four 


World Bank picks up the pieces 


THE PROPOSAL sponsored by First of all. he admits, there ing those vessels, worth about is how to divide up the value of 
the. Economic Commission for has to be a solution of the poll- £2m., are part of the assets of Arusha, the community capital in 
Africa in Addis Ababa for a deal differences between the ex- the whole community- Northern Tanzania, with its office 

preferential trade area covering partners, especially between They were owned by the blocks (some brand new), enn- 
17 states in Eastern and Southern capitalist Kenya and socialist defunct East African Railways ference halls and staff dwellings. 
Africa is a startling reminder of Tan zania Corporation, and were berthed at Tanzania is finding it difficult 

tbe melancholy demise of the _ • T _ n „ T1 |_ nc firTTll _ Kisumu three years ago when the to use Arusha adequately for its 

East African Community, and its ™ . iJSJPJS, SSL hnSlr community started falling apart, own purposes in view of the fact 

common market which went ^ In better days they cruised round that it is building a brand new 

down last year in disarray and 1116 ,ake in fiDC st * le * ea!Jin " at capital at Dodoma in the south. 

md^ion. t° •»«««■■ Ugofda. TlnzaJlian and Kenyan lut most of the huge Capitol 

Kenya, Tanzania and Uganda Sonshfo between lSva and ports wth ^ser^ers and freight, assets (not yet assessed) of the 

are still trying to pick up the oeIW en ivenja 1110 What next? The Kenyans are community are in Kenya. For 

pieces from that crash. More iailzaiu • not sure what else has to be done instance the headquarters anti 

accurately the World Bank is The Kenya border Is kept to persuade the difficult Tanzan- mam yards of East African Rail- 
picking up the pieces in a set of open, as it has been all the time, ians to open their border. Tbe ways, both of which are being 
proposals for a fair division of ready in the Kenyan fashion to Tanzanians remaiD silent on the used by the new State-owned 
the assets and liabilities which resume trade immediately. Nor- issue. Kenya Airways and Kenya Rail- 

i twill place before the ex-partner mal communication between the But the World Bank, is busy ways. There may be a rude shock 
States. two countries is carried on at making its way through ihe finan- for Kenya when it has to pay up 

The Kenvan Minister Dr PermaDent Secretary level, a rial maze in an exercise that may for these assets. 

Robert Ouko who has ’ been Plainly unsatisfactory procedure, last more than a year. A Swiss Many pitfalls lurk in the way 
Investigating the possibilities of After meetings between offi- diplomat. Dr. Victor Umbricht is of a real settlement between tbe 
the proposed new free trade area, ciajs of the two countries the the mediator. Vast debts are owed three countries and a norm a lisa- 
says it has no similarity with the first hurdles in the way of re- to the World Bank, estimated to tion of relations between them, 
late East African Community. opening the border have been be in excess of £90m. Dr. Umbricht’s brief is to 

« The common market worked removed. Goods valued at £2m, Most of these loans, made to ** recommend to the partner 
well, but it was too closely tied mainly Kenyan transport, light East African Railways, to East states proposals for the per- 
to hundreds of other community aircraft, lorries, tourist mini- African Posts and Telegraphs, to manent and equitable division of 
functions, it was too political, buses, seized by Tanzania when the Harbours Corporation, the the assets and liabilities of the 
altogether too complex, and it closed the border last year. East African Development Bank EAC corporations and the 
affected the autonomy of the have now been returned to (which still survives) were either general fund services" (which 
East African states.” Kenya. disbursed, outstanding or un- managed such communal insutu- 

Dr, Ouko is Minister of Com- Most of it was unserviced and disbursed at the break up. tions as statistics, air traffic 
inanity Affairs in Kenya, was in a disgraceful state, some The biggest problem for Dr. control, meteorology, agricul- 
once a Kenya representative on trucks with tyres missing, but -Umbricbt is likely to be an equit- tural. medical research and the 
the East African Community tbe Kenyans are not at present able division of tbe considerable community government and a 
Council of Ministers, and is in making an issue of tiiaL assets of the community and its host of other institutions), 

charge of the breakup arrange- In return, Kenya has sent to corporations mainly, it is under- A high-powered conference 
ments, including the Kenya side Tanzania three of the vessels stood, on the basis of the input has still to be mounted to agree 
of the division of assets and berthed in Kisumu Port on Lake of each partner state. on the World Bank proposals 

jdaboOfties. Victoria although strictly speak- One of the difficult questions and that is a battle still to come. 

Scotch exports rise again 


FOLLOWING ANOTHER big market in the world for Scotch, 
jump in Scotch whisky exports took 14.37m gallons of Scotch 
in May, the total shipped during worth more than £70m in the 
the first five months of this year five months. This was an advance 
rose by 13.6 per cent in volume of 25.6 per cent in volume and 
and 23.5 per cent in value com. 26.5 per cent in value compared 
pared with the same period of with the first five months of 1977. 
1977. Unlike most other overseas 

"The total was 40.1m gallons markets, Japan, Scotch's second- 
worth £232Rm. largest export market, produced 

Blended Scotch shipped In some depressing statistics. Scotch 
bottle still dominates world shipments were down 11 per cent 
trade and in the five monthR to 3.57m gallons and 2 per cent 
showed a 10 per cent volume gain i® value to £16.7m in the first 
to 27.1m gallons and were up 23 ^ ve months, 
per cent in value to £197.6m. 

The greatest growth rate, how- aw- _i an< . l pacp J 
everj was shown by shipments of plain 1 eased 

malt whisky in bulk, up by 30 Rhone-Poulenc Textile, the tex- 
per .cent in volume and nearly 39 tile branch of the French 
per cent in value to 4.1m gallons chemical group, says a British 
worth £11.4m during the period, company MEA Agencies of 
Blended whisky sent from Scot- Jersey, will manufacture items 
land in bulk recorded a 19 per made from leather and synthetic 
cent increase in both volume and materials, notably footwear, at 
value to 8.5m gallons valued at the old Rhone-Poulenc Textile 
just over £20m. plant at Albi. according to a 

The U.S., the biggest single report from AP-DJ. 


• Italy’s - state-controlled steel • Ingeco La mg, the specialist 

company Finsider said it had engineering contractor combin- 
conduded an agreement with tbe ing the resources of the inter- 
Mexican State petroleum corp- national contracting group 
oration Pemes to export up to Altecb and the UK-based John 
SlOOm worth of steel products Laing Group, has been awarded 
to Mexico for construcion of a its first major contract for the 
gas pipeline. The contract is supply of a 50,000-ton-a-year 
being financed with a line of linear alkyl benzene (LAB) 
credit from Istituto Mobiliare P lan t in Yugoslavia, pan of a 
Italiano (IMT) major Serbian development at 

• Dominion Bridge of Montreal Baric - Belgrade, valued at 820m. 

has received a contract valued Q Kuwait has signed a $S4m 
at about 810m to sell a urea contract with Egypt's Arab Con- 
pi aut equipment and services to tractors Company for the con- 
Sudan Ren Chemicals and struct ion of unspecified military 
Fertiliser. installations. 

• Fried Krupp subsidiaries • Limeworks equipment valued 

Polysius AG and Polvsius SA at some SwFr 25m has been 
of France, together with Brown ordere'd from the Zurich concern 
Boverie of Baden, have obtained B. Moeller for installation on a 
a DM 126m order to deliver a site at A1 Ain in the Emirate 
cement plant to South Korea, a of Abu Dhabi. The project, in 
Krupp spokesman said. Work which the German furnace con- 
on the plant which will have struction company Fiedler will 
an annual production capacity of have 10 per cent as a partner 
8.8m tonnes of cement clinker, of Moeller, will be completed in 
will begin next year with pro- some 26 months and have a 
Auction beginning at the start of capacity of 100 tons/day of 
1980. quicklime. 


rtlcw SlrcanrHnei. Sd»on 

taipl. SUmt Street. Nonnimmon. 12 
'son tR. A.). Adetpfe 

Inn Motor 

oton. 12 

Hotel, Liverpool. 

week’s mmmi diary 

Drrtjv Trust 

East Daggalontdn Mines 
London and Lomond lnr. Trust 
Romney True 

T <1 m^ , 4 aS. , "ic 1 Fr«,«n«*v 14-zo. The following is a record of the principal business and financial lLth J l3^ n Tn u n d and Exntontio* 
%kntatto»ii Great East*™ Hotel, engagements during tire week. The Board meetings are mainly spouse 
hoard meetings— for the purpose of considering dividends and official indications are MMUn ° 

^ not always available whether dividends concerned are interims or J^ EREST payment 

fwrr'"Moti»aoue l.» finals. The sub-divisions shown below are based mainly on last AshSeM taiac'Bd*. Red. 1 6/7*0 6'noc 

^r_, Alfred) year's timetable. \ - g?, l k ^ e Sim - e - x9431 -° 


nk Orffaimaiipn 
IhKhiln lnr. Trust 

l!*pe Bds. Red. 16OT79 

and U- Stores 


Red- 16/7.7* 

Boots 1.9183o 
Bripht OolwiJ 1A7p 
qifeerdate i2»»oc Rds. 

Courage Deb. 1* Zh 4pc. Ln. 3>i». 5 ’«pc 
power IStype BdA^Red. 14- 7/82 t9, 6 9c 
EaHnfl 12-Sax BS%. Rod. 167/ao &>MX 
Firestone Tire and Rubber 27.5 cents 

Horsham B'.oc Srfc. Red. 141 1 81 4‘snc Bank Leuml (U.K.i 
I CL 2.86o BJrmld Qualc-ist 

M and G Second Duel Trust Inc. 2.31o Hirst and Malllnson 
Maldon Spc Bds. Rod. 16M eo 4PC lArercsk 

DIVIDEND A INTEREST PAYMENTS — Mrvoool lan Pol_k c Dukkr 6*»PC BdS. Plantation Holdings 

MSvi'tw: "tmu" Tst. B *SsK.Pt. 17 Sot. 5'un; M l'^ oc ,t ' vn " 9 ’«P C Btfs - Ked - 151,43 'V ,NTCR .^ T PAYMENTS — ■ ! * H| * 

I. 1 9S5PC r-T.r nrf. Boa ,.,, 7 , Alrtkwr StjeamlWes 8.660 

.rkc. NKLolls and Coomb* 1.0695c Ncwoort. 6 *** Hdi. Red- -411 79 

Jluh and Inti. T!t. 2 ?5p _ 

nes* W.rhv 4.6710 l -- _ fella W | J- 1 2 . 356 . D 

antrer Brewery A Prf |£SJ Z.loC 
• Mi 2.1 Be B^PL 'pc 

uJmJl*JM P GeicrM ni. Cnr. Db. Z'aK 1iT7«81 fe**** ^’^ K 1 SSL i9~7f7B gsil'SJ Merthyr Tydbl 11J,PC Bdt RedT H7/79 

niiri 7 '-DC 1977-79 3 'idC Rhyitmer Valley 9'gPC Bas. R«d. Br^nc 10pc Bds. Red. 197/78 £5.1 £44 . 

ideti and Si L4wr?tKe Orb. Sue G«- rhc r -j 1 -pq £° f **5 tcr T ?W r 19^7 73 £5.1644 Tfr * 12J#pC 

SSTTjtlSrri.B Mus “ Miire 's 9 -^ 10ee »*• ,9r7 ' 78 &S£2rn"lgL u*. Tn.« n.vp 

ssBros22Blp ^ StaBardshhe 8ec bus. Red. 16-180 China Oays 1.9 2 So £25^^5S- cl p3aod lu. 

^H.JVd- and A 8.5c Aend-on-Se. 7«pc JM*. ««L 18-7.79 NwSSS GU»t 2^ 

. C FbRs i: 5Y M HPIlnadon 1 0ne BdS. Red. 197.70 £5.1644 , S 5 **Li 

led Oceana Pta. Pt. 3.7204n „ '• 4 5 1 -Rr-«? vloc *S»- 19/7178 RS.1644 

' and Gen. T,«. 1.75*. 6pcPf. 1.75 k vi-o Llverpoo 10«B*. Red. 19.7 1 7 a £5.1644 

TendrtiHi 6-#c Bds. Red. .4 1 .1 3 toCC Metropoktan Mia nie*r(r4 inw iu. View Fortli Inv. Trust UP 

led- 2411 79 3'iffC Barking 10r>c Bds. Rm, 19/7.7* £5.1644 fW-G.J O.ei 

North Wiltshwe tipc Bds Red. 24/179 Beeler 10K fids Red 19 778 Isfl 644 ln £. = 

.3 **. ... _ _ Billaifl ij.i 2.3562b Gross 1.71036p 

■ a ^”tS?*c 6 '«£. B S5^ o ft.“83 7 s fl .£r e R *‘ t c *°- 

Oitlord 6',pc Bdi. Red. 24-1/79 J'i.oc Bradtord IOk Bds. Red- 197,78 £5.1644 London PrydecrtJI In*. Trust 1.6o 

, 30C 

Red. 18/779 

T,i.' 1.75*. 6pcP(. 1.75 k 
TOMORROW treasury 9 


WeCIs Fargo 35 cents 
Winchester 12J,pc Bds. 

Red. 16.7/80 

J*. Red. 1877R S» u 


Heanor Gale. Hcanor. 

inburgh. 11.45 
1 Securities In*. Trust, 
use. PwcaAiUy. W.. 12 
land Tex life, Park Way Hotel. Leeds. 

'• Products. Connaught Rooms. W.C.. 
tpoai lnr. Trusi. 120. ChoacsMc. E.C., 

RbL Wansbeck 10 k Bds. Red- 19778 £5.1644 Newspapers. 

_ WEDNESDAY. JULY 19 Wooing 10 k »<h. Red. 197178 £5.1644 Ro*. 


Athancc In*.. 1-2. LaureKe Pouninev HH1. COMPANY MEETINGS — Wltan in*., 11. Austin FriaTA LC, 11.30 

E.C. 2;3a Almne Jolt Drinks. Richmond Way. Bh-- BOARD MEETINGS- 

Altwood Garages. Clarendon Hold. Wd- . nringham. 12 Final: 

rcrbinmon. 12 Boots. 20. Aldeimanbury. E.C. 11 Common Market Trust 

_ _. ,, , - BIKam SJ.i, Roval Victoria Hotel. Sheffield. Century Oils. Grand Hotel. Trtmt* Street. Interim: 

wead Brewery. Chiswdl Street. E.C. 12 Stoic r-on-Treot. 12 Carliol In*. Trust 

Charter CcmsolldamL 100. Old Broad Country and New Town Progs.. 6-11. LI or ox Bank 

Courtaiilds.' C 'iG. "wiemore Street. W.. 12 . Hanlon ^luid 'cjos'flekL 14-20. St. Mary TymaUde°!iw? TrCat 

S^JT^flSS-lBSu! fen^JV, 1 , 5 a« w.c. 3 AfSSgX* 

G E E r b tSS" , ' !n ^^ hf r. W.. 11.15, . ‘ L ^;. Trurt - «. cannon 7. «<- 14^ B<H- Red. 25.1-80 

1^.. 'r^rnm Tn,fct B3 ’ Ca ' w>f ' Allied London Proas. 0J95B3o 

Invergordon DlsttBers. 7. Wev. Georg* • street. E.C.. 2.15 Alwne Sofi Drinks 44g 

Street. Glasgow. 12 Metal Box. Dortnesier Hotel. W, . 12-30 Ana'a Atnertcan Corp. of South Africa 

London Prudential In*. Trust. 20, Fenchureh- Pauls and Whiles. P and W SodrtS and p/d? 3oc^ 


Date Title 

Current— -July 28 . International Wool Secretariat's 
Current— July 29 . Royal Tournament 
Current— July 20 . Harrogate Gift Fair 

Wool Interiors ” 

July 18—20 
July 19—20 

July 19—30 

July 21—29 

July 24—29 

July 25—27 

Aug. 2 

Aug. 3—6 

Aug. 13—17 

Aug. 22—24 

Aug. 26 — Sep. 2... International Motor Cycle Show 

Sep. 3 — 7 International Watch and Jewellery Trade Fair 

Sep. 5 — 7 Electronic Displays Exhibition 

Sep. 17 — 20 Autumn Menswear Fair 

Sep. 19 — 21 Firefighting and Prevention Exhibition 

Sep. 24 — 27 Menswear Association Exhibition 

Sep. 24 — 27 International Garden and Leisure Exhibition 

Sep. 25 — 29 Furnaces, Refractories. Heat Treatment and Fuel 

Economy Exhibition and Symposium 
Sep. 26 — 28 British International Fashion Fair 

East of England Show 

British Association for Commercial and Industrial 
Education: Training Exhibition 
World Wine Fair 
Middle East Business Expo 78 
Brighton Antiques Fair 
Royal Welsh Show 
Third National Sheep Demonstration 
The Enterprise North East Exhibition 
International Gifts Fair 

Education and Communication Technology Exbn. 


Carlton Gardens, S.W.l 
Earls Court 
Al walton 

Imperial College, S.W.7 

Grosvenor House Hotel. W.l 

Corn Exchange, Brighton 





Holland Park School, W.8 
Earls Court 
Earis Court 

Mount Royal Hotel. London 

Earls Court 



Nat. Exbn. Centre. Birnmghm. 

Nat. Exbn. Centre, Binnnghm. 
NaL Exbn. Centre. Birmnghm. 


Ingham Mint 
lurhood iPcior) 

H i Plnli*) 

(worth Morris 
■ ton- RitNrdi 
i Stroud _ 
v>t and Southern* 

^ Electrical Iridf. 
ern ‘Board Mills 


iH. and R ’ 

VKKND bT'JnVeREST PAYMENTS— SjidOwaodT ' I jAj wjtpiWP Street 
icon 8'sk Bds. Rod. 14(1/81 4 "ii>j>c BOARD MEETINGS— 
ultural Mart. Coro. Var. Rc. Bds. . __ 

67 LB. “488 AGS Rmcarctl 

WWW 6'KK Bds- Red 24(179 5"mK Aim* lod. 

r. Bar Bds. Red. 16,1.80 4 k Astra Ind. 

ester 9'-K Bds. Red. 13(1 .’82 4 I'kK Black. Arrow 

leroal Bank ol the Near East 25* Butt^rSeld Harrcy 

Hr* Bds. Red. 24/1/79 S iPC Dowty 

• ,T • 0.726O Hampson Intfl. 

cy 6'»K Bo*. Red. 24.-179 S’i*K LRC International 

Httvde n-,K Bds. Red. 14-1/81 r»K Marston Thomson and Evcrshed 

inline 6'rtx: Bds. Red 24/1/79 3'i*K She«eM Ret res n meet Houses 

i IR A ' A and 8 ora. 1J6> Stanhope General In*. 

irrsmitn 6.BC Bds. Red. 24/ 179 Wyneliiam Engineering 


Peak 6 >k Bds. Pod 24/179 3'mPC Am all I 

Street. E.C. 11.45 _ . 

Me»i Bo* Overseas, Cuec" * House. 

Reading. 12-30 

Northern Securities Trust. 16. Finsbury 

ClrCUS. E.C. 12 . Stonehlll. Churchill Hotel. W.. 11. SO 

Simnc Clothes. Sumrte House. BOARD MEETINGS — 

‘ »1 Finals: 

_ _ Pfd. 3*C 

Social Club. Stone Lodge Lane, loswtch. Billon (Mrevt CM. 3.949*. Accra. 0.1* 
Scrt lntl_ Great Eastern Hotel. E.C.. 

Dewhurst Dent La. 3:»c 
DuaUier 0.SS24* 

Exchequer lOUoc 1995 £4.46 
Farm Feeds 0.66* 

12. 30. 

Atlantic Assets Trust 
. Burt Boulton 
Hollis Brothers and E.S.A. 

Gordon and Gotch 
Nova (Jersey) Knit 
Provincial Cities Trust 
Russell (Alexander) 
Tomkins iF. H.| 

. Trustees Coro. 

. interim: 

A.C. Cars 
Allied Textile 
Associated Fisheries 

Fledoelreg In*. Deb. 3>sbC 
Kavser Eondor 1.97* 

Lee i Arthur) 0.440 
MeHIns IOK PI. Z-zoC 
Metal Box 8-2662* 

Petbow 5.613* 

ReadKut Inti. 1.11435* 

Si on e)hU 3.75* 

UBM 2.5142b 

United Spring and Steel 0.550 
Wltan In*. 1.3o. B OJJMo 


KNO ‘ " 

Koowlon Bpc BUS. Red. 28.2,79 toe 

and Sundartand Newso doers 

[Ms week’s business in Parliament 


MON'S — I,ords amendments 
Scotland Bill. Appropriation 
.7. 3) (Northern Ireland) 


stage. Civil Liability (.Contribu- 
tion) Bill, second reading. 
Debate on aid for victims of 


Subject: Effect of EEC member- Motions on Cinematograph Films 

British Transport Docks 

ship on race relations and immi- 
gration. Witnesses: UK Immi- 
grants Advisory Service. 4 pm. 
Room 6. 


to Wales Bill. Kent (Northern COMMONS — Lords messages on 

(Collection of Levy) Oriler, Pro- 
tection of Depositors 

(Accounts) (Amend) Kegs~ 
European Space Agency Order, 
Dominica Termination of 
Association Order. 

'\J h n?, local government D*!2P d l Order. ; Inner Urban Areas Bill, Inde- Consoikiation measures: Empjoy- 

tif/L- House of Com- 1DBDS — Statute Law Repeals Biu, pendent Broadcasting Authority merit Protection Bill (Lords) 
... . nm rpnnrt ct»r>* Emnlnvmenl Fro- ~ ■ ■ 

report stage. Employment Pro- 
tection Bill third reading. IB A 
Bill, third reading. Finance Bill, 
second reading and remaining 
stages. Transport Bill, third 

Hi numner ci juui»ca i/f-p^nMMTiTFF KKprndl- 

committee. Subject: Prevention 
of collisions and standings i of 
noxious, cargo carriers. Wit' 
nesses: United Kingdom Pilots, 
Lloyds' Register of Shipping. 
10,30 am. Room 16. 


ns Administration Bill, rem- 
tee fit ace. Debate on 36th 
ort of EEC on Sheep meat, 
nvmcnt Protection (Consoli- 
ion) Bill, coniniiilee stage, 
tiinum number of judges 

sipnnemenl) Order. Cine- 
ograph Films Regulations, 
riion of Depositors Rcguta- 
s. Debate on future policy 
:ernimr British Aerospace 
i Europe and U.S. for civil 
military aircraft. 

Bin, Community Sen-ice 
Offenders (Scotland) Bilk 


and Statute Law Repeals Bill 

National Parks protest 
to Minister 

TOMORROW m mm m d 1 cti cm of eon- J? 5 FRIENDS of the Lake relaxed, this when national parks 

INS — Lords amendments Amend- ^tnct; the Council for National are near to being -Overwhelmed" 

■ ^ SS” to Education the Council Jut* Pr^ trm s. 

(Northern Ireland) Order 



last day. fWUiat 

Intme motion on Lords hern ireiaiidTorder tection of Rural England and They are also concerned about 

ndments to the Wales Bill- roV ng s tatute Law Repeals other conservation bodies are to his wish to relax housing restric- 
•S — Statute Law Repeals third House erf make- representations to the tions, as, they say, in areas like 

Twrmim- Commons Administration Bl “» Environment Secretary, Mr. the Peak District this would 
third reading. Co . mr ?,™rf? Peter Shore, about his attitude bring increasing speculation and 
Service by Offenders (bcpuana; ft, national parks as shown in a “flood of applications" from 

. committee stage- Employ- 
\X Protection Bill, report 
o. Iron and Steel (Amend* 

:1) Bill, third reading- Bill, third reading. ■ his draft modifications to the commuters, 

ics inflation BttL com- Scotland Bill, eonsideranon oi District structure 


July 18 — 26 Photographic and Audio Visual Exhibition Tokyo 

July 25— Aug. 20 International Fair Damascus 

Aug. 30 — Sep. 3... 16th Overseas Import Fair Berlin 

Sep. 5 — 8 Third International Offshore North Sea Technology 

Conference and Exhibition Stavanger 

Sep. 3 — 5 Int Hardware. Tools, Household Goods and Gift- 

ware Exhibition Basle 

Sep. 9 — 15 International Leather Week Paris 

Sep. 11 — 15 International Electra and Mining Exhibition Johannesburg 

Sep. 11 — 15 International Mining Exhibition Belgrade 

Sep. 13 — 17 Int TVade Exhibition for Home Improvements Stuttgart 

Sep- 19 — 22 Coffee Symposium and Trade Fair Montreux 

Sep. 22 — 25 Exhibition and Trade Fair of the Turkish Textile 

and Ready-to-Wear Industry Basle 

Sep. 24 — 27 Quojem: Hardware Trades Exhibition for retailers, 

wholesalers and manufacturers Paris 


July IS 
July IS 

London Penta Hotel. S.W.7 

July 20 

w stage. 

yment (Continental Shelf) 
L-ommittec stage. Pariia- 

Commons reasons on 

amend- rcaK smictuxe plan. Mr. Geoffrey Berry, consultant 

Wnrt L pffl Ireland Tfae bodies are particularly secretary of the Friends of the 
Debate on Government concerned about Mr. Shore’s Lake District, said yesterday: 
B n overseas students. desire that restrictions on the “It is proving increasingly diffi- 

wry Pensions BUI, com- vriitcy mM «iTTFEs — Race^ control of caravans, especially cult For national parks to carry 

^ caravans, sSauld i,e out their duties.”^ 

Inst of Marketing: Customer Relations 

CAM Foundation: The Future Isn't What It Used 

To Be 

July IS — 19 ...... Oyez: EEC Freight ?Tovement 

July IS— a? Anthony Skinner Management: Practical Budgetary 


July 18 — 20 BACIE: On-the-job Instructor Training 

July 19 - British Institute of Management: Negotiating With 

Unions— Techniques "and Skills 

July 19— 20 Anthony Skinner Management: Financial Aspects 

of Management for the Marketing Man 

European Study Conferences: The Consumer Safety 


— Royal Society of Medicine: Advances in Medicine- 
Conference and Exhibition 

British Institute of Management: Management 

Accounting for Non-Financial Managers 
IUPAC: Fourth International Congress of Pesticide 
__ Chemistry 

July 24— - 5 BACIE: Training for the Office 

July 26 Trade Research Publications: Researching UK 

_ " Import Markets 

July 27— J* Middle East Transport: Arab Ports Conference 

Aug. 14 — j® Exeter University: Toxic Dust Problems in Industry Exeter 

Aug. 14—1° ABRAXAS: Synectics — Innovative Skills 

Aug. 21 British Institute of Management: Selection Inter- 

viewing-Theory and Practice 

Aug. 29— Sep. l , Institute of Personnel Management: Practical Nego- 
tiation Skills 

Aug. 30—3*- Financial Times: World Aerospace 

Aug. 31— -Sep. 1 . Brit Inst of Management: Effective Speaking— 

Practice and Coaching using closed circuit TV Parker Street W C2 

Sep. Eg oman Value for Money In Market and Social 

‘ Research 

Sep. 3— British Veterinary Association: Annual Congress 

Sep. 4—5 Brunei Univ.: Ergonomics of Workplace Design 

Sep. 4—5 Local Authorities Management Services: Negotiat- 

ing Skills 

Sep. 4 — T British Fanner and Stockbreeder: Outlook for the 

English Wine Growing Industry Wye College Kent 

Sep. 4— S’ •— Institute of Personnel Management: Work of the 

, „ . Personnel Department Embassv Hotel wo 

feP- jrt SiSS T ^ c £ aiques of . Instruction, Part 1 Sackville Hotel] Ho^ 

Sep. 5 — b institute of Personnel Management: The Secretary Whiles HoteL W “> 

m Personnel Management ~* 

Se P- 6 Bnmel University: Noise in Industry Uxbridge, Middlesex 

Daily Mirror, E.C1 
lnn-on-the-Park, W.l 

Cafe Royal. W.l 
Park Crescent. W.l 

Parker Street, W.C2 

Caf6 Royal,- W.l 

Cavendish Centre, W.l 

Wembley Conference Centre 

Parker Street, W.C.2 


Sackville Hotel, Hove 

Tower Hotel, E.C. 

Grosvenor House, W.l 

68, Churchway, N.W.l 

Parker Street, W.C.2 

Hemingford Grey. Cambs. 
Royal Lancaster Hotel, W.2 



Uxbridge, Middlesex 





By Lynton McLain, industrial Staff 

THERE WAS an improvement in 
oil tanker chartering markets 
last week, helped by a notable 
reduction in the number of 
surplus supertankers in the Gulf. 

Elsewhere, and in the dry- 
cargo sector, ship brokers 
reported further reductions in 
freight rates. This hit particu- 
larly the larger tonnage vessels, 
but in the market for smaller 
dry-cargo ship charters, modest 
improvements were noted. 

The impact of these changes 
has meant that the differential 
for a 60,000 or 70,000-ion bulk 
carrier over the more useful 

27.000- ton size vessel narrowed 
very sharply on transatlantic 
routes. The top rates of $6,250 
to S5.DD0 reached during the last 
peak demand bad fallen to $4,500. 

The Chinese were again active 
in the market last week, on top 
of the news that the country had 
negotiated the purchase of 
secondhand carriers for its 
expanding merchant fleeL 

The increase in the tanker 
markets was underlined by the 
availability of only three ultra- 
large crude carries or very large 
crude carriers in the Gulf. This 
position was likely to be main- 
tained for almost two weeks. 

The change enabled owners to 
lift rates. The last remaining 
ULCCl a 410.000-ton vessel 
obtained Worldscale 21. The 
general rate for VLCCs was 
Worldscale 26-261 for Western 
discharge and Worldscale 29 for 
Eastern designations. One 

250.000- ton ship obtained World- 
scale 33 for Singapore discharge. 

Howard Houlder (Chartering) 
reported that oil tanker tonnage 
time chartered for over a year 
rose sharply in June to reach a 
1978 peak of 2.5m tons. But this 
was unlikely to be maintained, 
H. P. Drewry. shipping consul- 
tants said. There was moderate 
trading from the Mediterranean 
and West Africa, but both were 
less active than the Gulf and the 
Caribbean, where loading was 
active during the week. 

In shipbuilding, Lambert 
Brothers Shiphroking reported 
further evidence that the over- 
capacity crisis is getting wose. 
Over 16m dwt of ships was 
delivered by the world’s ship- 
yards in the first six months of 
this year when the order book- 
stood at 5.5m dwt. 

This ratio of three-toone com- 
pared with deliveries of 21m dwt 
and new orders of 10m dwt dur- 
ing the same period last year. 
The lack of new orders for bulk 
tonnage was the main cause of 
tbe falling figures. 

In Sweden, the Government 
proposed that shipbuilding be 
confined to Kockums and Udde- 
valla after 19S1 and Norway is 
also considering substantial 
reductions in capacity and 

in Japan, both the ship- 
builders association and union 
have now proposed a reduction 
in capacity of between 40 per 
cent and 50 per cent and yards 
have already started cut-backs. 

Conoco defers 

of Hutton Field 


CONTINENTAL OIL and its throush me installation or a 
North Sea partners have floating unit tethered to the sea- 
deferred a decision on the bed- 

development of their Hutton Conoco, in its latest magazine 
Field until next year. The hold- for employees, says that such a 
up will disappoint offshore unit — which would he the first 
equipment suppliers still wait- of its type m the North Sea— 
inc for a resurgence of orders could possibly have a displace- 
ment field developers. ment of 45.000 tons, as big as a 

It was thought that the Conoco battleship, and be anchored to 
qrmtp would decide early this the sea-bed by steel pipes, 
year to go ahead and develop Such a platform would with- 
i he field, which straddles two sWn d ronah seas and strong 
North Sea blocks. 211/27 and winds and have the stability of 
211/28. But the partnership now an j s i an d. it is claimed, 
feels it needs more time to gut ihe partners are now 
evaluate alternative production having second thoughts about 
techniques. the production ■system and engi- 

Eight companies share the neers ^ ave started evaluating 
field, which is thought to con- t ^ e use 0 f a more traditional 
tain between 250m. and 300m. stee | platform. Some mem- 
ha rrets of recoverable reserves. bers nf the partnership are 
They are: Conoco, British J y lDU „^ i {n be concerned about 
National Oil Corporation. Gulf. s taliiliiy of a floating unit 
Amoco. British Gas, Mobil, d thp g npn cial risk of untried 
Amerada Hess and Texas technology. 

Eastern. According to oil group expects to he in a 

analysts the total cost of p0S j tl0D | 0 submit a develop- 
flevelopmeut could be over ment plan f 1>r Department of 
lanuin. . Energy approval in the early 

development" decision arose in ^“"^ofeLor^pSer Odell of 
dSfrma" and" chief' 1 ewtutfre Erasmus University. Rotterdam, 
of BNOC. announced details and one 
about the possible production 

P He* said that Hows of 60.000 to confidential documents relating 
70 000 barrels a dav might be to North Sea development, 
reached in the first stage of He has been appointed a part- 
devcionraent and a peak produc- iiime adviser to the Department 
tion rate of 120.000 b/d might of Energy to review the reguia- 
be reached in a later stage. tion of oil development and the 
The first sTage oil production evolution of Government/oil 
would probably be achieved industry relations. 

Refinery operators 
plan policy group 


REFINERY OPERATORS may over-capacity in the UK and the 
take the first step towards form- Common Market. 

Two representatives — one from 
a U.S. company and another 
from a European company — 
spoke on behalf of operators 

ing a representative organisation 
for the UK oil industry later this 

Some see the need for such an 
organisation in the oil proces- with more than one refinery in 
sing and marketing sectors to the UK: the other two — again 
help discussions and negotia- on? each from U.S. and Euro- 
tions with the Government and pean companies — spoke on 
trade unions over such issues as behalf of operators with a single 

UK refinery policies. 

The idea of a new represen- 

UK refinery. 
But even 

then there were 

t alive body will be discussed at problems. It is understood that 

Fridays meeting 
Petroleum Industry 
Committee, a grouping of 

of the when the discussion ranged 
Advisory beyond the brief prepared from 
oil the agenda by the four com- 
oxecu lives formed to advise the mittee members-the talks broke 
Government about refinery down. 

matters. Mr. Benn is reported to have 

The committee due? not cover told the advisory committee's 
marketing and transportation representatives that further talks 
issues and is not empowered to would be conducted more at a 
speak or negotiate on behalf of company level where the Govern- 

oil companies. 

ment would seek to secure 

This has led U» frustrations individual planning agreements. 

within recent tripartite com- 
mittee meetings, called hy Mr. 
Anthony Wedgwood Benn. the 
Energy Secretary, in discuss UK 

The tripartite discussions have 
illustrated the lack of an 
industry' voice in the ** down- 
stream " part of the oil industry 

and European refinery matters — among refiners, distributors 
among oil companies, trade and marketing groups. In the 
unions and Government officials. North Sea. for instance, major 

A major problem at these 
meetings has been the commit- 

tee's inability to speak for the Association. 

oil companies are represented 
bv the UK Offshore Operators’ 

industry as a whole. It has been 
pointed out that each company 
had an individual standpoint 
In a bid to overcome this 

It is emphasised that Friday’s 
meeting will probably be the 
first of a series on the subject. 
Even if the idea is adopted, it is 

problem, it delegated four repre- not known at this stage whether 

sontatives to attend a recent 
tripartite meeting called tn 
discuss the extent of refinery 

a completely new organisation 
will be formed or whether the 
committee will be revamped. 

Fourth TV 

By Rupert Cornwell 

THE GOVERNMENT appears to 
have changed its mind and 
decided to give the go-ahead for 
a new Open Broadcasting Autho- 
rity. independent of both BBC 
and ITV, to run a fourth chanoel 
proposed for television. 

The decision will be declared 
with next week’s pubHcadoa of a 
White Paper setting out the Gov- 
ernment’s reply to the recom- 
mendations of the Annan Com- 
mittee. after protracted delibera- 
tions by a Cabinet committee 
chaired by Mr. Callaghan him- 

If the new Authority does win 
ministerial blessing, victory will 
be sweet for the lobby that has 
pressed indefatigably for public 
service broadcasting, even when 
most indications were that the 
Government, however reluc- 
tantly. was preparing to hand 
Channel Four to ITV. 

Considerable uncertainties 
remain. First among them is 
the fate of the White Paper pro- 
posals should the forthcoming 
General Election be won by the 
Conservatives, who instinctively 
are more favourably disposed to 
commercial TV. 

Even if Labour triumph it will 
be uncertain how quickly the 
venture could he started up. 
Meanwhile, financial problems 
remain over the extent of sup- 
port from public funds to be 
diverted from the Government's 
levy revenue from ITV and over 
the format of advertising to be 
allowed on Channel Four. 

The White Paper is expected 
to conclude that the BBC’s 
licence system of finance should 
stay as it is, that a Broadcasting 
Complaints Commission should 
be established and that the new 
Authority should eventually 
have its own news service. 

Pacific Steam 
moves base 

Financial Times Reporter 

AFTER 74 years the Pacific 
Steam Navigation Company, once 
known as the “ Birkenhead 
Navy.” is moving back across 
the Mersey from HuskissoD Dock. 
Liverpool, to South Vlttoria 
Dock, Birkenhead. 

The move, next month, follows 
lengthy negotiations with the 
Mersey Docks and Harbour Com- 
pany and the u icons. 

The company hopes additional 
space and transport facilities will 
help it to expand services to 
South America and the Carib- 
bean. and cope with increased 
container traffic. 

The Vittoria Dock complex 
includes larger areas for vehicles 
reception and parking and more 
storage space. 

offices reopen 

TWO EMPLOYMENT offices and 
nine social security offices in the 
Greater Merseyside area, closed 
last week by a strike, will reopen 

They were closed when 
members of the Civil and Public 
Services .Association stopped 
work in protest at moves to pay 
benefit fortnightly instead of 

MPs face their most 
gruelling time 


THE House of Lords is unlikely Houses. No more than one chal- dends gJJ« h ai J[ 1 l,1 jSS”on*OT 

to stage a prolonged battle with lenge. ** amen< J' ilVher^nd bow existing curbs 

the Commons over the content meals deleted by the Commons, whether and w™ 
of the Scotland and Wales Bills- 15 expected by Ministers, before should be extennea. 
when both pieces of lemslation the two Bills go on to the statute In the ineannnic, 3 
are sent back to toeupper book and become the subject of position ahead of La 
House at the end of iSs week, later referenda. tion mapifes to williii nfthe 

MPs at Westaintor^ace per- Even SQ > the earlier hopes of special meetings todajofthe 
haps their most gruelling spell the Government that all out- NECs Home and 1 ^ naU ° 
of the session, as they complete standing business could be dis- sub-committees " d 

their examination of the chunks patched by the end of this month proposals on immigration ana 
made in the measures bv the now look almost certain to be foreign policy. ... . 

upper House. FouTconsecuiive dashed. . u On immigration, it Jf “E™* 

late night sittings are probable. Once devolution is out of the that the call for a partial ban on 
including a timetable motion <ray w HP* will have to debate National Front acivitiea wijl Boa 
curtailing debate on Lords their own pay increases, the its way into the party manifesto, 
amendments to the Wales Bill. Rhodesian situation, and, most senior Ministers have toyed unto 
late on Tuesday night. important, the Government's curtailing the Front’s rights, but 

However, the general view is White Paper setting out its views have concluded that this would 
that the Lords will indulge only on phase four of pay restraint meaQ an undesirable curb on 
to a limited extent in the “ ping They may moreover be liberties, 
pong” process as amendments required to debate a separate but The plan also seeks to remove 
are exchanged between the two related measure to control aivi- the con cept of “ patriality 

brought in by the Tories’ 1971 

Plan to improve workflow 
of construction industry 


PROPOSALS to Introduce a 
more stable flow of work for 
the construction industry arc 
made in a policy document 
drawn up by the National 
Council of Building Material 
Producers and submitted to the 

The document, which forms 
part of the Council’s campaign 
to fend off Labour Party plans 
to extend State ownership into 
construction and its supplier 
Industries, says that better 
planning of government ex- 
penditure is the most essential 
and urgent need. 

The CouncD says its pro- 
posals — “ a thoughtful and de- 
tailed description ’’ of the 
component parts of the con- 
struction sector and the prob- 
lems it faces— can make a posi- 
tive contribution towards Im- 
proving public-sector demand 

Proposals include extending 
the better forward planning 
systems which already operate 

in the publie sector, for 
example, within the Depart- 
ment of Education and Science 
and the Highways Directorate. 
They involve a scheme by 
which, once future public 
expenditure is decided, the 
Government would guarantee a 
sizeable proportion of the pro- 
gramme against spending cots. 

Only in this way, say the 
material producers, can the 
uncertainty over Inture work- 
loads be removed, allowing the 
industry to achieve a steady 
growth of output and produc- 

If the industry must in 
future be used as an economic 
regnlator, then a “ reserve 
shelf" of future spending pro- 
grammes should be established, 
to be manipulated in the light 
of short-term economic policy 

With every budget contain- 
ing a possible threat to every 
project, ** it is intolerable 
when circumstances require 13 
budgets in four years.” 

Hansard Society urges 
lessons in politics 


TEACHING political - literacy The report suggests ways in 
should be part of the curriculum which schools could promote the 
of every secondary school. b 4 understanding, interest- 
according to the report of a . , J .C . ‘ 

three-year study by the Hansard > n S^' a0t * without undue bias. 
Society - by examining political issues 

Every school-leaver should arising not only in current affairs 
have a basic understanding at aiso j n _ subjects such as 
least of the main poUticalldeas, history and English, 
the main parties and Cher insti- First however. teacher- 
lutions involved, and.- the ways training establishments would 
in which citizens can play an have to develop the necessary 
effective part, said the study political-teaching skills both in 
group, headed by Dr. Bernard new trainees and In experienced 
Crick, professor of politics at teachers by means of in-service 
London University. courses. • 

New job for Davy man 


A DIRECTOR of Davy Inter- national — he will he involved in 
national Projects is to be the general liaison work with 
Department of Trade’s industrial industry and in helping with 
adviser for the next two or three export business. 

^c^ r Hr V St 1 e°pbe R n °Ba n ker [1 'wh<; ^partmenl be will 

riVrESfnr nf RrittA advise dwl servants on policy 

& 5 Sg%fiS&£ “£ ‘“ 3 ■“ 

Mr. Robioson has had consider- 1 ^ us la compan es ‘ 
able experience with inter- Mr. Robinson has been a 
national projects. At the Depart- director of Davy International 
ment of Trade — where ho will be Projects since it was set up Two 
on secondment from Davy Inter- years ago. 

Oxfam boosts income 19% to £7.85m 


OXFAM, perhaps Britain's best- 
known charily, increased its 
lirfal income Iasi year by 19 per 
corn in £7.S5m against* all ihe 
odds and sent £4.S5ni overseas. 

The charily'* annual accounts, 
published at the weekend, 
showed lha» in spile of the 
recession and advene changes 
in public upinion Oxfam. in the 
> ear ending April 30. kept ahead 
of inflation Tor the first time in 
several years. 

Much nr Uxfam's success is 
based on its operation of a 
national shop network. With 5S9 
shops throughout the country. 
Oxfam has become one of the 
largest retailors in the UK. 

The shops, slaffed by more 
than 20,000 volunteers, brought 
in 40 per cent, of Oxfam’s total 
income last year and increased 
net income by 25 per cent, to 
about £2.7 m. 

Last year the shops handled 
3m. sales and Mr. Brian Walker. 
On fain's director-general, empha- 
sised that these sales in them- 
selves represented a major 

Mr. Brian Walker, 
Director of Oxfam. 

handicrafts has turned the towards "social development.” at the annual meeting. He drew 
Oxfam trading company into Social development projects attention to the “climate of 
Western Europe r s largest irapor- mean helping people to identify public opinion which is in 

ler of Third World handicrafts, their own needs and suggesting danger of advocating a retreat 

Income from legacies provided a ways they can respond to these into a little Britain mentality.” 
further £lra for the charity’s needs to become self-sufficient. oxfam blames this “retreat- 
funds last year and the EEC and It is a pragmatic approach fi „Uy on S econo mrt wor 
the Government added another which might, for example, in- performance and secondl/ntfthe 
£700.000 in grants. . a volve Oxfam s field staff advising S ^hate whSh ^ iend^f tn 

The pattern and philosophy of on the construction of a well or JJ£L the^willinE ne4 ^sonte 
Oxfam’s expenditure overseas irrigation scheme. of 

has changed dramatically since The percentage of Oxfara’s JJ “nVverseas chart tv 1 86 

the charity was set up in 1942. overseas aid spent on social Br ~, CMTI «f- 

At that time all of its expendi- development rose from 29 per . UTrams response has been to 

ture was based on emergency cent to 42 per cent, last year. spending on public 

relief aDd ** welfare ” work. Five This change is a direct response opunon education to £150,000 last 
years ago Oxfam was still spend- to the views of Oxfam's 40 “front j ® ar ' ^ms cashis spend funding 
ing 25 per cent of its overseas line " professional staff who work tnree teams. The first team of 
allocation on welfare work, but alongside some 15,000 local ten provides advice, material aud 
last year the figure was only specialists such as engineers and equipment f 0r stU( j en t s and 
7 per cent. doctors who are paid by Oxfam. teachers at schools, colleges and 

This change is based • on a Last year more than 70 per Other educational establishments, 
recognition that, in Mr. Walker’s cent of the charity's income was A second team of ten visits 
words, “it is no good pouring sent abroad, 4 per cent was spent youth clubs, social croups and 
money into a bottomless pit of on administration. 14 per cent other non-education bodies 
welfare.” was spent on fund-raising activi- while the public affairs unit. 

He stresses that welfare work ties including advertising, 5 per staffed bv three people, produces 
must be the- first response to cent was held back for shop pamphlet* and lobbies support 
someone dying of starvation and development and about 4 per among MPs and civil servants. 
Sir Geoffrey Wilson, Oxfam s cent was spent on - public It is also responsible for drawing 


contribution to the relief of old people or young married chairman, said emergency assist- opinion formation.” ud Oxfam’s submissions to cora- 

povertv in the UK since most couples. ance ' must remain within our The need for public education mittees and providing material 

of the customers were either Supplying the shops with portfolio, but the trend was now was emphasised by Sir Geoffrey for conferences. 

Financial Times Monday July 17 197S 


Shorter week will 
cut jobs and raise 
prices, warns CBI 


Immigration Act. and under 
which White “ Old Common 
wealth ” citizens could enter the 
UK if they had a British grand- 

The foreign poliev topics to be 
dealt with by the international 
sub-coram ittce deal with issues 
ranging from arms limitation and 
force reductions to aid and 
southern Africa. The document, 
which is at a very early stage, 
would commit Labour to end 
support for trade and investment 
links with the Pretoria regime. 

job creation 

By Peter Riddell, 

Economics Correspondent 

job creation programmes are 
described as largely ineffective 
and not representing value for 
money in a study published 

The study calls for an expan 
sion in the role of the Manpower 
Services Commission, a thorough 
review of regional policy and its 
effects. It also urges more sup 
port for small firms, the estab- 
lishment uf regional development 
agencies within England to deal 
with smaller enterprises and 
consideration of a scheme such 
as the Swedish investment 
reserve fund to smooth out 
cyclical swings in investment 
These proposals are made in 
a 63-page broadsheet written by 
Dr. Alan Butt Philip for the 
Policy Studies Institute, an inde- 
pendent research body which 
was formed in April through 
fhe merger of Political and 
Economic Planning and the 
Centre for Studies in Social 

The study compares the British 
and Swedish experience in the 
operation of public bodies con- 
cerned with the creation af long- 
term employment opportunities, 
rather than temporary job 

Dr. Butt Philip concentrates 
on the allocation of public invest- 
ment finance- for employment 
generating industries. 

He argues that too many of the 
existing aids to industry support 
declining sectors and sources of 
employment while too few create 
jobs with a long-term future. 

The fact that the schemes are 
constantly changing also reduces 
the willingness of firms to take 
such financial incentives into 
account when deciding invest- 
ment strategy. 

He suggests that it would be 
more useful to develop the 
eristing official agencies (the 
National Enterprise Board, the 
Scottish and Welsh Development 
Agencies) engaged in stimulating 
industry, although such a change 
in emphasis would be likely to 
bring results only after several 

Creating new jobs: A report 
on long-term job creation in 
Britain and Sweden. Alan Butt 
Philip— Policy Studies Institute. 
12 Upper Belgrave Street, 
London SW1. £3.60. 

Protest over 
London lorries 

Financial Times Reporter 

A CAMPAIGN against heavy 
lorries in central Loudon is to 
be launched in October with a 
call from Che pressure group. 
Calm in London, for cuts of 50 
per cent in local rates. 

The organisation said yester- 
day that tire number of heavy 
vehicles bad increased nearly 
six-fold in a decade. In London 
a quarter of a million people 
along 400 miles of the capital's 
roads were now affected by 
noise and damage w houses 
from heavy lorries. 

A mass rates appeal would 
make a ban on heavy lorries an 
economic proposition, it said. 

THE CBI tried at the 
to forestall an I lib-hour deal 
between the Government ana tnc 
TUC an the shorter working 
week by circulating a 
brief of its own case against 
such a concession. . . 

Employers’ objections to such 
a trade-o« against pay have 
already been corvyod Jo tRt 
Chancellor of the Exhecqucr and 
will surface again when the CBI 

meets the Prime Minister on 
Wednesday, the day before the 
Cabinet approves the White 
Paper on Phase Four of the 
incomes policy. 

The CBI's main arguments are 
that a reduction in the standard 
working week uf 40 hours will 
be particularly expensive in 
some sectors, will damage 
Britain’s competitiveness, lead 
ro a loss of jobs, increase over- 
time working, at least in the 
short run and encourage 
some workers to demand extra 
cash in lieu of shorter hours. 

White-collar workers and shift 
workers already working less 
than 40 hours a week might also 
seek to maintain their differen- 
tial or demand extra pay instead. 


There is tittle sign that the 
Government will this week 
budge from ils determination to 
ensure that any cuts in hours 
are fully paid for by added pro- 
ductivity- it* spite of represen- 
tions from the TUC tomorrow. 

Indeed, until senior union 
leaders objected angrily hist 
week at a meeting of the Tul* 
economic committee. Congress 
House was treading warily on 
the cost implications of the 
official policy, which is to move 
progressively to n 35-hour week 
when Phase Three ends in a 
fortnight's time. 

The CBI says: *'!n present 
circumstances a . reduction in 
normal hours js economically 
unsound and a threat to future 
employment prospects. Nor was 
it a way of alleviating unemploy- 
ment. , , 

Higher labour costs would 
lead "to loss of competitiveness 
and of jobs. Shorter hours would 
not create large numbers of new 
jobs, and many of the few jobs 
created would not be filled 
“ because of locational auu skill 


In engineering, a cut of two 
hours would cost 5*-T* par cent 
and a cut of five between H 
and 20 per cent, compared with 
the Department of Employ- 
ment’s estimates of 2-3 per cent 
and 6-S5 per cent respectively 
for the economy as a whole. 

Once a breakthrough had been 
made by a few big groups of 
workers, it would be difficult to 
insist on productivity-based deals 
for other groups. A similar 
problem would arise if the 
vhortcr week were exempted 
from the pay policy limit. 

A SS-hour week could push the 
retail prices index 2-2i per rent 
higher by the end of 1979 than 
would otherwise have been the 
case, and a 35-hour week 3-<* 
per cent higher. 

VAt -shop floor levtH. there is 
little evidence of a widespread 
and immediate desire to reduce 
actual hours worked, either for 
greater leisure or to share wnrk 
—and income — with the unem- 
ployed.” There was still a 
demand to raise real earnings 
because of the pressure on liv- 
ing standards in recent years. 

Tt would also be difficult to 
add the surplus hours together 
to make whole new jobs. 

U.S. contraceptive pill 
ban urged by union 


asked today to stop supplying 
through the National Health 
Service a U.S.-made contracep- 
tive pill until its manufacturer 
has complied with the Organisa- 
tion for Economic Co-operation 
and Development guidelines for 

The request follows the 
refusal of John Wyeth and 
Brother to recognise the Associa- 
tion o£ Scientific, Technical and 
Managerial Staffs for about 100 
medical representatives in spite 
of a recommendation that it do 
so from the Advisory, Concilia- 
tion and Arbitration Service. 

Mr. Roger Lyons, union 
official for the chemical 
industry, said yesterday: . “ It's 
one thing for a little outfit like 
Grunwick to obstruct the inten- 
tion of British law, but quite 
another for a big multinational 
to do so. “ We are confident the 
Government will back our ease 
in the run-up to an election.” 

To reinforce its case, the 
union will today appeal throu a - 
Its journal for women to boycott 
Wyeth’s products, branded 
Ovran and Ovranctte, and 
switch to comparable brands. 

It will approach Mr. David 
Ennals, Social Services Secre- 
tary, Mr. Albert Booth, EmpIoy : 
ment Secretary, and the TUC— 
which has a member on -the 
trade union advisory committee 
to the OECD. 

At the same time it will 
formally submit a case to the 
Centra] Arbitration Committee, 
which, if it rules that an arbitra- 
tion service recommendation has 
not been complied with, can 
enforce a terms and conditions 
award on behalf of employees 
that- the arbitration service has 
said should he given union 
. recognition. 

The union is also writing In 
President Jimmy Carter to say 
that Wyeth is in breach of 
human rights. 

According to Mr. Lyons, other 
Governments have taken action 
against companies not comply- 
ing with the OECD code, which 
says that subsidiaries must com- 
ply with the regulations of their 
host countries about the recogni- 
tion of trade unions. 


Board changes at Imperial Group companies 

From November 3. Mr. J- B. H. 
Wilson will relinquish his duties 
as chairman and managing direc- 
nir of Ms. D. & H. O. WILLS to 
lake up the new position of croup 
marketing adviser Of IMPERIAL 
GROUP. Mr. Wilson will remain 
a member of the group board but 
will cease to be a director oi 
Imperial Tobacco. Mr. C R. Coffi 
marketing director of W. D. « 
H. O. Wills, will succeed Mr. 
Wilson as managinc: director. He 
will also join the Board of 
Imperial Tobacco. 

The positions of chairman of 
\V. D. & H. O. Wills, and of John 
Player & Sons, will lapse. Mr. R - 
A. Garrett, at present chairman 
of John Player & Sons, as well as 
being chairman of Imperial 
Tobacco will consequently P' e 

up 'the former mic on November 



Mr. Kenneth Webb, chairman 
of BIRDS EYE FOODS is to retire 
on March 31. 197'J. His successor 
will be Mr- l>. Angel, who is at 
present chairman of the Wall's 
Meat Company. Mr. Angel will 
join the Board of Birds Eye on 
■December 1. 1978 before assum- 
ing the chairmanship on April L 
11179. Mr. Angul will be succceeded 
as chairman «.«r WALL'S MEAT on 
October 1 by Mr. Werner Mattes, 
who retains bis responsibilities as 
chairman nr Mattessons Meats 
and of Lawson of Dyce. Mr, H. A. 
Miller, trading director of Birds 
Eye is lo retire on November 30. 
Mr. K- Jacobs, the company’s 
marketing director, will take res- 

ponsibility for both the marketing 
and trading divisions from Sep- 
tember 1. 


Mr. F. H. C Podger has been 
appointed general manager, 
finance, reporting to ALBRIGHT 
AND WILSON finance director. 
Mr. K. A. Ward at corporate head 
office in London. Previously he 
was managing director of the 
company's Bush Boake Allen. 
Australia, flavours and fragrances 
subsidiary. He has been succeeded 
by Mr. J. M. Kinsey, who is now 
managing director of BBA Aus- 
tralia. Mr. Kinsey was formerly 
that company's general marketing 
manager. Mr. A- G. Cropper, pre- 
viously finance and administra- 
tion director or BBA has moved 
to corporate head office in Lon- 

don and is to undertake special 
economic studies. He will report 
to A & IV commercial director, 
Mr. J. R_ Wills. Mr. W. Shillaker, 
general manager, finance, has 
been appointed administration 
and finance director of BBA at 
the subsidiary's worldwide head- 
quarters at Walthamstow, report- 
ing to BBA managing director 
Mr. R. G. Mason. He will have 
responsibility for financial and 
administration services, purchas- 
ing. transport and distribution 
and co-ordination of the overseas 


Dr. Peter Beer, former general 
manager of the diesel engine 
product division of M..4JV. 
Augsburg has been appointed 
deputy vice-president of 

UNION Miiochen GmbH and 
Motonen- and TUrbinen-Unioa 
Fried richshafen GmbH. 


Mr. William M. Smartt has been 
elected assistant rice-president 
and controller of DI GIORGIO 
CORPORATION, San Francisco. 
This is a multi-market company 
active in manufacturing aud dis- 
tributing consumer goods and 
forest products. 


Hr. Bernard Audley. chairman 
of AGB Research, has been 
appointed chairman of HULTON 
William A. Cafhies. managing 
director of AGB Publications, has 
been appointed to the Board. Mr. 

David Elyan, company secretary of 
AGB Research has also been 
appointed secretory of Hulton 
Technical Press. 

» : k 

has appointed a full-time resident 
representative in Brussels. Mr. 
Aiastpir Macdonald will take up 
his post as European manager by 
the end of the summer. 

At its annual meeting the 
BUTORS elected Mr. P. E. Shields, 
as chairman for the coming year. 
Mr. G. Grant was elected vice- 
chairman and Mr. G. H. Wein- 
berger was elected treasurer. 



cuts Sunday 
Times print 

By Our Labour Staff 

nearly 400,000 copies because 
of a ban on overtime by print- 
workers involved in a pay 
dispute, the paper said yesterday. 

Members of the Society of 
Graphical and Allied Trades, 
who pack and despatch the 
papers, met on Saturday night 
and refused to work overtime. 
It was the third week running 
that shortages had occurred, the 
paper said. 

The men are demanding £45 
basic for the Saturday night 
shift compared with the present 
earnings of £37.35. 

Farms pay plea 
by Labour MP 

THE Prime Minister was urged 
yesterday to give the farm- 
workers' claim of £80 for a 37- 
hour week the same consideration 
as had been given on pay for 
the chiefs of nationalised indus- 

Speaking in Durham, Miss Joan 
Maynard. Labour MP for Shef- 
field, Brights ide. said: ** Firemen, 
police, university lecturers and 
now top brass have ail had phased 
wage settlements designed to 
help them catch up. Nobody is 
more overdue to catch up than 
farmworkers. “They were now 
earning only £43 for a 40-hour 



Mimicry oi Petroleum 
>M Miner«l Ron men 

The General Estanilthm»ni or 

Geoiosv a tv) Mineral Resource* 

No. 2*6* 

Dated: 14-6-197#. 

The General EssaW*H*meM lor Geoloov 
ana Mineral Resources declare that doLu- 
merrts are available Hi "Ok Jorm ol ten oer 
invitations 1 » «taWRh tjoplang oroduclnD 
flvbsum plaster and Mocks. Sites ot the 
two plants are Hr Jslroud and Lattakia. 
Informations are . 

1. Deliver*” tHtie aiwf erection m 
preferable to be as short as possible. 

2. Sid t>ora*5% ifrve per cent) from tnc 
unit amoam of the Oder Or local 
Commensal Bank at Damascus Branch 
No.' 6. 

3. Final Huarantee ts 10°i (ten per 
cent) from the total amagm oi the 

• oner confirmed by local Commercial 
Syrian Bank at Damascus. Branch 
No. 6. 

4. Penalty; 0.1 °i from the total amount 
lor every dav delayed, the total 
oenalty will not exceed 20% (twenty 
per cent) oi total amount of the 

5. validity: 90 days from due date. 

6. Tenders will be submitted to the 
establishment during dally working 
hours until closing day 
which Is IS August 197S. 

7. Method or submitting lenders: 

Envelope A— Contains the document* 
ciarmed at article 2 2 — 1—C In the 
tender documents with detailed ona'i- 
hcatlnns and Held experience of the 
bidder. t , , 

Envelope B— Contains the technical 
tender. . 

Envelope C — Contains the financial 

Envelope D — Con t Bln* above three 
envelopes (A. B. C) and men,, »■ 
marked to " The General Establish- 
ment of Geology and Mineral 
Resources J' " Offer for svjHiHn oiant 
at Jalroud and Lattakia.' without 
mentioning the lltlo of the company 
on thh envelope. 

N.B.—— It Is refines ted pot to mention 
Che title of the company on this 

8. Tenders are reouostod to follow the 
law ol contracts No. 135(1974 and 
documents of the call for tender and 
this advertisement. Any deviation m 
ttie Oder will lead the establish men: 
to not consider the oder. 

9. Tenderer will offer on turn key bast- 
excluding civil engineering works com- 
plete machinery equipment for both 
two uctorsea and their mechanical, 
electrical erection at their sites, 
and the guarantee of production. 

10. Prices are final. Invariable and oot 
able lor changes. 

IT. Tenders are to be submitted bv hand 
or By registered post to: The General 
Establish ment ol Geology A Mineral 
Resources. P.O. Box 764S — jadet U 
Knatlo — Adswy. Damascus. Syria. 

12. Documents are available from com- 
mercial section In the. Establishment 
for 300 L.S, to by paid to the Com- 
mercial Bank of Syria. Branch No. 7.-. 
In Damascus Into the Geological Sur- 
veys and Mineral Resources account 
Nfi. 17131300. 

Dr. H. IBP A KIM. 
General Director 



BID NO. 537-78 _ 


- CRAN6 

The fnitKuro CH> Reeureos NWraufftOJ 
v Eioct-tricacton (IRHE) announces Bid 
No. SST-7B for the Fumlthltlfl, Oellwr- 

mg to the Sit* And Supervision ol 

Erection of a IGO-tonnc Pewcrhoove 
Cane .or the Fortune Hydroelectric 
Protect Proootats trill or accepted 
iinir 10.00 ajrt. on October 2. 1978. 
at Panama Roam, of the El Panama 
Hotel. No m.Via Esdbih, Panama 
City. Republic of Panama. 

Financing of the contract, resulting 
from this announcemani will be from 
me proceeds ol Loan 1470 -pan tnar 
IRHE has obtained Irem Tbe World 
B»mr Therefore, bidden ean be con- 
sidered only from World Sank member 
countries anti Switzerland. 

Bid documonu as well as all maps, 
olaits. ucciflcattan*. - and oropcMl 
forma may bo Inspected at iRNE's 
offices In Panama. Hatlllo Bui Wing- 
Cuba Avfefm No. . (Attention O. 
Pecdcmo. Telephone 25-13001. or al 
Chao. T. Main international, Ine- 
located at Southeast Tower. Prudential 
Center. Boston. MassacMMotts U.5-*. 
02199 (Attention R. N. Pennoi. or hi 
tbe Panamanian Emoassies In the 
United Sfrtev of America. France: Italy. 
United Kingdom, Sweden. Germany. 
Switzerland. Brazil, Spain and Jaoan. 

The eeihrleie sot M documents may 
be obtained directly tram the Pur- 
chasing Department . office ol IRHE 
located In tbe Poll Building. 2nd Boor, 

Justo Argsenteita Aveng* ana 26tli 

“Th. Strrew. _or at the Chad. T. 

and 27. _ 

Main Office 

in BoMsn. at 

refundable oevment ol U-5. -5toSS# 
ILLS- dfillarfl t*ev ««. . • . 


■ - C-a-erit throe tor- 



of sewage 


Finance Times Monday July 17 1978 

\ n ■ _ ^ 


£10m IBM offices project 

lieiS 11 s^ugh^hT- 5 ?S.?tS> n *? restrirt , '»iWhw t0 un ^r 20 600 by 1982 and toe total will 

Business MacbinVs uafEfftS S5S. » 

the Greater MVnnh„,*„^ rom otlaer Slte services, me remain- Subject to planning approval, 
o( TVafford STK^SSS a "..°L U,e 100 \ C T *“* a s t^ ^ be ™ on tTe site 

of a permanent re t? , ?,j < ? as beIt - early next year for completion 

buiidim. on rt?tei?iS ffice B “ lld “S s will provide 180,000 in 1980. While it is early days 
Bow-don. a beauw 1( £m “?*“ ^J 1 °, E accommodaUon for sales to talk about a total contract 
Manchester. ^ Pot near sales support staff, some 400 cost since tenders will not be 
IF -mri n i °* whom now operate from leased called for some time, this prestige 

sion ffffHUSSE offic ? satSal ®- There Should he building is likely to twelve a 

t, e °, u ,s ^tended to an increase m this number to figure not far short of £10m. 

£3.9m Laing contracts 

piling in 
the East 

THE PILING division of 
Cementation MBddJe East has 
just completed a major coo tract 
in ten weeks as against a 12-week 
programme in Bahrain. Work 
entailed the construction of 117 
large-diameter piles (1050 mm) 
to depth of 20 metres to carry 
working loads of 850 tonnes per 

The work was for the 
Sulmaniya Cable and Wireless 
Telephone Exchange for which 
the chief architect is F. W. 
Hammond and consulting 
engineers. Jack and Lehman 

This is the third large piling 
contract carried out by the 
company in Bahrain in toe past 
few months — all of them com- 
pleted ahead of programme. The 
first introduction of large- 
diameter bored piling techniques 
was for toe foundations to tbe 
SIX CONTRACTS worth £3Jm Oldham for Oldham Metropolitan ? ah ™ in Gu * Holel bein & bni!t 
have been awarded to Henry Borough (£320,000). ; 1 

Bout Construction. The biggest. 


Heathrow’s Terminal 2 the 

oldest of the airport's 
three passenger buildings — have 
started under a contract worth 
£2.3m awarded to John Laing 
Construction by toe British Air- 
ports Authority. 

The work is being carried out 
as part of a programme aimed 
at eliminating bottlenecks and 
reducing congestion. It includes 
the final phase of the check-in 
area enlargement, provision of 
a new Customs area and work 
associated with toe installation 
of new baggage conveyors. The 
work is expected to be completed 
by next spring. 

Architects for the Terminal 2 
improvements are Pascal! and 
"Watson and the consulting 
engineers are Cyril Blumfield 
and Partners. 

Under another contract worth 

£1.6m Laing expects to start 
soon on a further 155 homes for 
Cardiff City Council on part of 
an 830-acre development site at 
St. Mellons village. 

The 119 two-storey houses and 
36 flats in three-storey blocks 
will form part of a mixed council 
and privately developed resi- 
dential area on former farmland 
at both St Mellons and Trow- 
bridge Mawr villages. Tbe new 
homes will be of traditional 
brickwork and blockworfc cavity 
wails, with pre-cast concrete 
fioors in toe fiats. 

On an adjacent site at St 
Mellons, work is under way on a 
further 174 homes which Laing 
is building for Cardiff City 
Council under a £1.7m contract 
awarded earlier this year. Both 
phases are part of a develop- 
ment that will eventually include 
a leisure centre, shops and eight 
local parks. 

Henry Boot £3? m awards 

worth £1.3m, is for the construc- 
tion of an Asda superstore at 
Summerston. Glasgow. 

The building will have a struc- 
tural steel frame on piled 
foundations and will be clad in 
red face bricks with a brown 
metal fascia above and around 
the canopy over loading areas. 

A suspended precast concrete 
upper lloor will house offices, 
canteen and staff amenities. Also 
included in the contract are 

I DC design 
and build 
for Avery 

by Cementation internatio nal. 

This was followed by toe con- 
struction of permanent steel 
cased piles of 900 mm diameter 
to depths of 22 metres for the 
Mina Sitiman Container Wharf 
being built for Shaikh lea Bin 
Alkhalifa by Dodin-Bouygues 

Total value of the three 
Bahrain contracts is over £lm. 


AN APPLIED research block 
and a data processing building 
has been designed and will be 
paved areas, drainage and earth' built by I DC of Stratford-upon- 
works Avon, under a' £Lm contract 

Other contracts are for storage fro™ W. * T. Avery at the latter 
facilities for Barclays Bank, company's weighing machine 
U-cds (£700.000), for civil manufacturing complex at Tame FOLLOWING A feasibility study 
engineering works at the Prince Bndge, Walsall. on sur f ace water drainage, sewer 

nr Wales Colliery. Pontefract Tbe new buddings, which age aod treatment for u 

i £4(li».W0). for bousing moderni- include offices, laboratories and new ur ban development at Savar 
sal inn at Larkhall. for Hamilton workshops, , will extend Avery’s in Bangladesh, Sir M. MacDonald 
District Council (£400.000), for existing research facilities, & Partners of Cambridge has 
upending of council houses at Work has started ..on site and recommended in its final report 
Whitehall. Hamilton (£350.000) is due for completion in March, that the building of a full-stage 
and for 20 nursery factories at 1979. i project would not be economic- 

* ally justifiable at least until 1995. 

Instead, the company has recom- 
mended, for the moment the 
Establishment of low capital cost 
[-treatment systems for tbe three 
areas currently under develop- 

Savar. 16 miles north west of 
Dacca, is one of a series of 
satellite developments designed 
to relieve pressure on the capital, 
the only city in a predominantly 
agricultural country. 

The relatively flat area lying 
along the banks of the river 
Ban si is subject to flooding 
during the monsoon season and 
as protection from floods would 
involve major civil works, which 
the consulting engineers consider 
also to be economically unjustifi- 
able at present. Sir M. Mac- 
Donald and Partners advises that 
development in Savar be confined 
in its early years to areas located 1 
not less than 30 feet above sea 

£6m. retail 
store in 

A THREE-STAGE contract total- 
ling £6m has been awarded to 
Sir Robert HcAlpine and Sons 
by Debenhams for tbe erection, 
fitting-out and external works 
involved in a 14 metres high, 
80 metres by 75 metres on-plan 
department store in Queen Street, 

Lifts, hoists, escalators, public 
and staff restaurants as well as 
a bakery and food preparation 
areas are included. Work starts 
next month, and Is due for com- 
pletion in August 1980. Archi- 
tects are J. Seymour Harris 
Partnership and Power Clark 
His cocks Partnership. 

Finisher for 

LAUNCHED ON the UK market 
is tbe S8131 Ertendamat, an 
asphalt finisher, distributed by 
SLD Holding of Hatfield. 

Said to be able to cope with 
all nominal paving widths, both 
in the UK and overseas, it is a 
hydrostatically propelled finisher 
with infinitely variable controls 
which alleviate toe need for 
complex gearbox, transmission, 
or clutch arrangements. 

An auto speed control facility 
which is actuated by potentio- 
metric control enables any 
selected paving speed to be 
maintained regardless of changes 
in grade and load. The machine 
is powered by a six cylinder 
diesel engine transversely 
mounted upon noise supression 
mountings beneath tbe low pro- 1 
file middle deck console. 

With hydraulically extendable 
screed sections, the screed can 
be adjusted from the basic width 
(either 2.5 metres or 3 metres) 
at toe touch of a button out to 
4.25 metres without the need for 
bolting on additional sections. 

One person 

Housing in 

£6 Jm piling for Mowlem 

JOHN MOWLEM has won a con- announced that G. W. Sparrow 
tract from the Central Elec- and Sons of Bath has set up 
tricity Generating Board worth a joint venture company with 
£6lm for the main piling at Rezayat Trading Establishment 
" Drax power station near Selby, of A1 Khobar. Saudi Arabia (part 
Yorks. of the Alireza Group). Object 

Production and driving of is to make it possible for inter- 
25,000 prestressed concrete piles national contractors working in 
up to 25 metres in length is the Gulf to call upon first-class 
called for. They will support on-the-spot crane hire and lifting 
the foundations of large struc- services, 
tures such as the three 6G0MW 
turbines, turbine hall, boiler 
houses and cooling towers. 

Work is to start in August and 
completion is due in the spring 
of 1981. Tfae new power station 

is estimated to cost about £600m. , . 

to Mowlem won tbe piling T0 meet u, e demand for single- 
contract tor the first Drax power person accommodation in toe 
station when 18,000 piles were area the London Borough Of 
involved. Haringey has awarded a £650,000 

contract to H. Fairweather and 
Co., for the construction of a 
10-storey block providing single 
and shared two-person flats on a 
development at 119, Hornsey 
Lane, N.6. 

Construction will be of load- 

TWO LOCAL authority housing ftE™ 
contracts worth nearly £2Jm for 

work in the Newcastle area 18-50 on Hanngey^s 

.have "been won by Shepherd Con- Us n t r^ U1 h ;^' !££, 

erfroetion company, of a high standard. 

One. of the schemes, valued at Hl^i g h 2^jin J* 6 
over £l£tn \s for 94 dwellings s f L » d J 

for the Newcastle Housing Deve- 3KS? 

lopment Committee at Raby J* liS. d 

Street, Byker. and is part of the area at the front, 

district's continuing redevelop- 

“work on the 'eeeood, also PfOCeSSillS 

worth over £1.2m, has just 4 A V O 

started. The lS-month contract, 1 i 

awarded by toe North Tyneside TfldllE 

Metropolitan Borough Council, is JT 

for 118 two-6 to rev and one-storey j 1 

sbkj* *• "« tow ° 01 steelwork 

STRUCTURAL steel for plant 
expansion at Barry. S. Wales for 
BP Chemicals and for Rugby 
Portland Cement at Rochester, 
Kent bas been supplied by the 
S. W. Farmer Group. 

A Farmer construction team is 

. about to start work at BP 

WITH THE object of offering Chemicals’ plant where 650 tons 
a complete range of water and of structural steel will be used 
damp proofing compounds to the for main plant structures, pipe 
construction industry in the tracks, platforms and a control 
Middle- East, BP Aquaseal, Berger room. 

PRC Elastomer and KelseaJ have At the Rugby Portland Cement 
formed a consortium. The Dubai works a large furnace grate 
Building Exhibition, October 29 weighing 422 tonnes is now being 
to November 4. will coincide with installed. It is 50 metres long 
toe start of a sales drive by and 6.2 metres wide and was 
the .consortium in toe area. manufactured at Farmer's 
It has also been recently Darlington works. 

by Costain 

CONTRACTS in the London area 
valued at over £lU5m have been 
won by Costain Renovations. 

Worth over £lm. the largest 
covers extensive renovations to 
Harewood Rouse in Hanover 
Square. London, for toe Pruden- 
tial Assurance Company. 

This contract includes toe 
demolition of the eight-storey 
structure to retain only the ex- 
ternal facade and part of the 
existing building which will be 
The rear external walls will be 
rebuilt and toe inside of tbe 
building completely refurbished 
including the installation of new 
staircases, lift, gas-fired central 

;*r tne; sinews*^;- / 



i * -- +*n*—~* t-t*' ■**' 

CR£M .0 QN.;G QN £R ET-tC Q StSTO.' 
A^esbuiv.-.Bucte^Pia'-gB^ ; 

: T d Gcen'd o rr2084 SJ V p 

beating, roof coverings and elec- 
trical rewiring. 

At Browning House, Wood 
Lane, in West London. Costain m 
working on a £297.000 contract 
for the Women’s Pioneer Hous- 
ing Association. 

This involves the construction 
of a four-storey extension to the - 
existing building which will be 
extensively modernised. 

Providing site power 

ALL SITE power requirements 
needed during toe construction 
of Sri Lanka’s first fertiliser 
plant — which is being built at 
the cost of 8130m ten miles from 
Colombo — have been provided 
under a complete electrical 
package scheme designed by 

Tbe project for the Stale 
Fertiliser Manufacturing Corpora- 
tion (SFMC) — financed by tbe 
Government of Sri Lanka with 
loan assistance from the Asian 

Development Bank, Kreditanstalt 
fur Wlederaufbau West Germany, 
the Kuwait Fund for Arab 
Economic Development and toe 
Government of India — is being 
constructed by the Pullman 
Kellogg group. 

The electrical equipment in the 
package shipped to Sri I.nnka 
from Wyse powers Bedfordshire 
factory included an S00 kVA 
sub-station and all ancillary 
equipment. Twenty-eight fully 
equipped welding slatiuns have 
also been supplied. 

Variety of work in south 


to Davies Middleton and Davies 
(Joseph Cartwright Group) are 
reported to be worth about £15 m. 

At Portsmouth Harbour, work 
is about to start on toe recon- 
struction of Haslar Bridge, Gos- 
port for the Hampshire County 
Council (£450,000), while on toe 
Rassau industrial estate near 
Ebbw Vale, where the company 
is already carrying out site pre- 
paration works for the Welsh 
Development Agency, additional 
work is now under way. This 
contract will entail the excava- 
tion of nearly 2m tons of peat 
and clay as well as land drainage 
and landscaping work. 

Also in South Wales work is 
soon to commence on the con- 

struction of a service reservoir 
for the Welsh National Water 
Authority', at a cost of £180.000. 

In the West Country, (he com- 
pany is to carry out work «»ri 
tbe banks of a section of the 
River Parrett in Bridgwater for 
the Wessex Waler Authority 
(£220,000). and work has begun 
on the Middle Yeo sewc-r scheme 
at Clevedon under a contract 
from the Woodspring District 
Council (£146.000). 

• James DTewitt and Son baa 
been awarded a £211.000 contract 
for the erection of a mental 
health home, Alexandra Road, 
Weymouth, for the Dorset 
County Council Social Services 

Want one? 

Then stroll on over and see us. 


All thisand more in one centre. 



220-226 Bishopsgate, 
London EC2M4JS. 

N ear Liverpool St. Station, Tel: 01-24/ 0940/5/ 6. 


Mcrcr-jAs-&en= Den^ 


DS1L 197S. Met. Dark Blue, 
ic LCJlWr. 37,000 miles- Air 
, l.»,ndO«s. E-'OOI. Radio 

B rr 1973 DJ* Blue- Blue 
“ A.;»V dm. 35.000 mlfcH 
v. Rjd>o Sfi.MS. 

- .r-._ 



Siioon, automatic. Regency rra ’ 
al r-oxtdi tioned ere. 

A a rom a etc. jumper green- 
Carriage Brown 


Tel: Hay on Wye (04972) 404 
Evenings 470 

iOULEP GAU.IRV. 6. Gres* 
et. o» Bond Street. WM. 

. Selection ot 115 PwMMWfi J9 

V and 20tR , L 

Modinl'ani, Loser. Braque. 
' EnocTM** Pl “®° 4 °- 

[u»». , . , - . - 

BARBVilli Ctrl Street. WJ. 
’JSEE* — Wonwn married. 
10.00-5 .00^ J^l. IQ.O D- 1 -■30 1 

CALLER V. S-G. 'ctjrl 

1 FINK. Mon. -Erl. 10-5J0. 

itc minwioun-. 

Iuj. j. Ch.RJ- 20. Bussell Si- 

>1. No. fiSl» 1TV| 

John's Wood 53G 3CM. 
.MS Ov Reval Acar'ewiK'afS. 
Canrum a. YOMA S A SBUR CH- 

Women. Arujtj iibili Annua j 
. Oaiiv ilee. Sun. i 10-5. Until 
Ir 211 *. Mm. aOP-_ ______ 

>au Firm- RU . S*';,’ 1 ';' 
1RNITUBE- 1-13 J“'*- >*10- 

U 3.30- S JO. 


Wars rtirtre up unlll Nonbrm l^no 
lodar mean du l tejndrvds oi : iWMsanos 
u l war vKiims srill wet 
nh«n. widow, orphans. 

Oi-sl homes. Jobs. ImkL lacl al™ ' 
annual P«W 

alone cannot passably pay (or- Plcaae 
send donations to: 

Tlw Rural BrtrtsP 
Maldswne. Kent. ME» 



• Exposed asbestos-covered 
structural beams and ceilings at 
the Procter & Gamble soap 
manufacturing plant in Pometia, 
Italy, have been encapsulated 
and made safe by the Dee Cee 
Group of Dartford, Kent The 
protection method used by the 
company ensures that hairline 
cracks, which could allow 
asbestos dust to escape, are 

# A- £250,000 contract for 
thermal and acoustic insulation 
in accommodation modules on 
the North Sea Conoco Murchison 
platform bas been awarded to 
tbe McGill Insulation Group by 
Redpath Dorman Long. 

# Lesser Building Systems 
(Export) has won a £?m contract 
from Telephone Cables for 
accommodation units for 
workers in Nigeria. 

• Haden Young is to instal 
electrical and mechanical 
services at the offices j»nd print- 
ing works now under construc- 
tion in Torquay, Devon, for the 
Herald Express. Value of the 
contract is £140.000 and Cubitts 
is the main contractor. The 
company has also been awarded 
a £200,000 contract by John 
Mowlem to install mechanical ser- 
vices in a blast-proof concrete 

building to be provided at the 
Carrington, near Manchester, 
works of Shell Chemicals. 

- Higgins and Cattle has won a 
£lm order from Cementation 
International, for the design, 
installation and commissioning 
of electrical installations to the 
Gulf Hotel extension, an Bahrain. 

♦ Marryat Jackson Norris has 
been awarded a £124,000 contract 
to. provide ventilation, heating 
and other services at a new 
divisional and sub-divisional 
police headquarters at Dalkeith, 

•- A contract for aluminium 
cladding the production, engine 
test, pump house and power 
house areas of the new Ford 
Bridgend plant has been secured 
by Alcan Building Materials, 
Blackpole Trading Estate, 

The Sir Alfred McAlpine 
Zanen Dredging Company bas 
been awarded a contract, worth 
about £500,000, "by toe London- 
derry Fort and Harbour Commis- 
sioners to remove 550,000 cubic 
metres of soil from the entrance 

BeftM^Wellingtffli was big enough for his boots 
Trollope and Colls had won their spurs. 

Trollope &CoJls 




simal Page 


Financial Times Monday My 17 1978 



Micro made 
to switch 

• instruments 

Display is like a chart 

ing design of the power 

complex pipework 

KEITH TRICKET. managing 
director of Compeda, the market- 
ing support subsidiary of the 
NRDC. aims to prove at an 
Online computer graphics 
seminar in London in September 
that Britain leads the U.S. and 
•the rest of the world in many 
areas of graphics software. 
" Because of the shortage of cash 
for computer power in the UK,” 
he says. “ we British have had to 
use smaller computers more 

His Comped a colleague. Ur. 
Keith Pike, will be presenting 
for him full details of a software 
package called PDMS that is 
claimed to bo far in advance of 
anything else in the world. PDMS 
was devised by the CAD Centre, 
and responsibility for world- 
wide marketing of PDMS is in 
Compeda's hands. 

It has been evolved for the 
design of pipe layouts by process 
plant contractors and smaller 
organisations that supply 
engines, coolers, pipework and 
other plant components. 

“ It is much more than an 
automatic pencil.” says Dr. Pike. 
“ It is a complete design manage- 
ment package.” 

PDMS allows the designer or 
engineer to construct three- 
dimensional representations of 
every item of plant, down to 
the level of flanges and gaskets. 
All the information is stored in 
memory. On the graphics side. 
Hie user can specify the view 
he wants from any angle, any 

direction and at any eye level 
There are facilities for rotation 
of die image on the screen and 
for hidden line presentations, 
with any specified details 
removed so that particular 
aspects of the plant layout can 
be examined on an uncluttered 

However, a major benefit is a 
non-graphics reporting capa- 
bility. Data on every component 
in the plant can be recalled in 
almost any combination or 
format for use in coating and 
materials ordering. 

“ It means, for example,” 
explains Dr. Pike, “ that informa- 
tion on a plant design can bp 
stored in a convenient magnetic 
form and then, years later If 
need be, a plant manager can use 
it to locate components that 
require replacement or overhaul 
or to modify the layout for 
expansion or to .take account of 
a new process.” 

The PDMS presentation is part 
of a British session that will 
balance the reports of American 
graphics progress in hardware, 
software and applications by Carl 
Machover and Bertram Herzog. 
Other British success stories to 
be described include ICON, a 
sytsem for the design of oil rigs, 
and Gaelic, a new approach to 
the design of integrated circuits. 
Further details of the complete 
four-day seminar on computer 
graphics can be obtained from 
Online Conferences, Cleveland 
Road. Uxbridge UBS 2DD. Tele- 
phone: Uxbridge (0895) 39262. 

Heat variations detected 

LIQUID nitrogen at minus 196 
degrees C. supplied by BOC, is 
helping provide a completely 
new service in thermographic 
surveying. The nitrogen is used 
to coni infra-red detectors in 
cameras used by BL Thermo- 
graphic Surveys. 

Thermography is the technique 
of making infra-red radiation 
visible to the naked eye. 

BL Thermography offers a 
service using an infra-red 
camera to give a continuous 
thermal picture of the surface 
of 3n object. The camera used 
is much like a TV camera except 
that it detects variations in heat 
as opposed to light. The pictures 
obtained dearly show thermal 
patterns and any inconsistencies 
become readily apparent to the 
trained eye. 

The service can be used for 
finding faults in underground 
heating mains; checking house 
insulation; locating construction 
defect*: electrical connections, 
nr any fault which can be 
diagnosed by a difference in 
surface temperature. 

Infra-red equipment used is 
robust and portable and can 
cover outdoor applications as 
easily as indoors. Where large 
areas need to be covered the 
equipment is mounted on a 
specially adapted electric vehicle 
for speed and economy. Aerial 
surveys can also be carried out 

by mounting the equipment la 
a small helicopter or light plane. 

One of the main advantages 
offered in thermographic survey- 
ing is the speed of detection of 
leaks or faults. BL Thermo- 
graphic Surveys operates a van 
service to any location in the 
United Kingdom. The company 
also operates in Scandinavia, 
Germany. France, Holland and 

Further details from BOC on 
0709 2161. 

New trade 

THE NATIONAL Federation of 
Glass Reinforced Plastics Clad- 
ding Contractors has just been 
formed with offices at the 
London headquarters of the 
National Federation of Building 
Trades Employers. 82 New 
Cavendish Street London 
■l AD (01-637 477IL 

The main object of Tne new 
organisation i s to raise the 
standards and quality of glass 
reinforced plastics cladding 
operations. First steps will be 
the preparation of good practice 
guides, liaison with the architect 
tural profession and the estab- 
lishment of standards foT health 
and safety for fire testing. 

INPUT-output modules made by 
Opto 33 in California and 
marketed here by Rapid Recall 
will give the isolation needed 
between controlling microcom- 
puter and the equipment being 
controlled while at the same time 
providing the processor with the 
ability to switch power from a 
variety of AC and DC sources. 

Basis of the system is a board 
measuring 355 x 89 mm 
which will accommodate up to 
16 matchbox-sized units secured 
in position by a single screw. 

Connection to the processor is 
by edge connector and to the 
controlled equipment by barrier 
screw terminals. Any of the 16 
I/O units can be replaced with- 
out disturbing the wiring harness 
to the screw terminals, and each 
has a replaceable fuse. 

Units for AC switching are 
rated at 3 A continuous for use 
in controlling lines from 12 to 
280 V. from logic voltages rang- 
ing from 3 to 32 V. Somewhat 
lower figures apply for DC. 

Rapid Recall is at 9 Betterton 
Street London WC2H 9BS 
(01-379 6741). 


Glass fibre 
in place 
of metal 

IT WOULD appear that Euro- 
pean and American horticul- 
turalists are choosing the type 
of greenhouse known as a grow- 
ing tunnel with glass fibre ribs 
in preference to metal rods, and 
Polygrow Designs of Aylsham, 
Norfolk, will present U.K. 
growers with this choice at the 
East of England Show. Peter- 
borough, July 18-20. 

The tunnels will coroe as a 
package deal complete with fibre- 
glass ribs, polythene sheeting, 
anchors and fully illustrated 
assembly instructions. 

So confident is the company 
of the durability of the ribs, it 
is giving a 15 year guarantee 
on them. Based partly on the 
actual experience of overseas 
growers, the decision, says the 
company, is primarily due to the 
fact that glass fibre does not 
suffer from fatigue in the same 
way as metal. It maintains that 
even after the severest storm 
damage, the fibreglass will revert 
to the required shape, unlike 
metal rods which normally 
require replacement 

Other advantages offered are 
the assurance that the new ribs 
do not corrode, retain their 
strength and dimensional 
stability under all temperature 
extremes, and can be handled 
with ease due to their light 
weight- Also, they do not con- 
duct heat or cold to the same 
extent as metal. 

The tunnels are supplied com- 
plete with purpose-built, rust- 
protected anchors which resist 
subsidence and soil movement 
and come in two sizes — 14 ft 
9 in wide and 18 ft wide. The 
spacing between the ribs Is 6 ft 
6 in and 6 ft respectively. 

Further on Aylsham 2392. 

PROVIDING a strip chart 
recorder presentation without a 
chart, the Visu-Trend is a CRT- 
based alternative’ to analogue 
chart recorders, giving a trend 
display of between 4 to SO 
channels without ink or paper. 

Any 4- or Schaanel arrange- 
ment con be displayed at any one 
time. The record is shown m 
normal chart recorder format °° 
the lower part of the display, and 
in bar chart format, giving instan- 
taneous values, on the upper part. 

Individual high and low 
alarms are available on each 
channel, adjustable over full 
scale. Markers show the alarm 
set-point position on the bar 
chan display. On the basis that 
in many recorder applications 
the chart record Is only kept 
when a fault occurs or pre-set 
levels are exceeded, the Visu- 
Trend has a copy feature that 
allows the display to be quickly 
copied on to a chart recorder 
thereby giving a permanent 
record: 80 channels of record can 
be made in 20 minutes, even 
when tbe record it of 3 day's 

The display can be frozen, or 
chart printout can be initiated, 
when an alarm level is exceeded 
such tbat pre-alarm, post-alarm 
or both pre- and post-alarm 
information is recorded for sub- 
sequent analysis. There are 13 
switched chart speeds from 
nominally 4 mm/day to 
5 mm/sec. 

Various size displays are avail- 
able with chart widths of 
nominally 140, 1S5, 230 and 
265 mm. Remote slave displays 
can also be used if required. 

A variety of interchangeable 
plug-in input amplifiers accept 
signals from voltage sources. 
10 mV to 100V; current sources. 

including 4-20 mA signals resist- 
ance thermometers and thermo- 
couples. The latter modules 
include cold junction compensa- 
tion and linearisation. 

An optional battery pack Is 
available which allows the 
memory to be retained in pie 
event of power failure, allowing 
subsequent readout after restora- 
tion of power. 

Airon Electronics, 19 Mackin- 
tosh Place, South -Vewtoa, Irvine, 
Scotland. TeL 0294 212713. 


UK bid 
in marine 

The iron heats up to 3S0 deg G 
in under two minutes and US 
handle is nearly cold to the smCYinPC 
touch during idling- It b sup- y||H| 1 IC!j 
P iled with 34 V from a mains 
driven controller and consumes 
50 W< 

The company is at Gan den 
Road, London SW4 6LH (01-622 




Hipon Road, Harr oqatp.N K& 

Td:615Vt 1oUjsa?S53 

Panel shows 
Precision temperature 


duced a controlled soldering 
iron with a barrel length of only 
4a mm and a weight of 42 ms, 
making it easy to apply with 
accuracy over extended periods 
of work. 

The need for such instruments 
continues to increase, states the 
company, because operators have 
to position the hit ever more 
carefully, often in close 
proximity to heat or voltage- 
sensitive components. 

Design is based on a thermo- 
couple positioned at the rear of 
the soldering bit feeding an 
operational amplifier which is 
switched via a zero crossing 
integrated circuit There are no 
moving contact parts with a con- 
sequent reduction in transients, 
radio frequency interference and 
changing magnetic fields. 

In addition, proportional con- 
trol is employed so that a tem- 
perature within two degrees of 
the dialled value can be pro- 
vided. Tbe dial can be locked 
to any temperature in the range 
120 to 380 deg. C. 

A MEASURING ability extend- 
ing overall from —100 to +600 
deg. C is offered by a range of 
temperature metering panels put 
on the market by Wallac. 

Each panel consists of a digital 
voltmeter, measuring amplifier 
and interconnection board and 
is intended for use in proces 
control panels using modular 
construction based on DIN 43700. 

Some 32 standard temperature 
meters are in effect offered by 
making changes in the measur- 
ing amplifier and several kinds 
of nickel or platinum based sen- 
sors can be connected. 

Available with vertical or 
horizontal format, the panels 
are provided with a display in 
8mm LED digits with positive 
or negative sign. Alarm limits 
can be preset using potentio- 
meters accessible from the front 
panel and can be displayed at 
any time by pressing a button. 

The panels provide an output 
proportional to temperature 
which can be one or ten milli- 
volts per degree. 

Wallac is located at 112 
Bartholemew Street, Newbury, 
Berks. RG14 5ET (0635 49429). 

A NEW CLASS of all-British 
marine propulsion engine with 
only three cylinders has com- 
pleted successful testbed trials 
and could have a substantial 
impact on the world market for 
the smaller class of ship. 

Doxford Engines says that the 
unit has proved to bo relatively 
quiet and smooth on test with 
a satisfactory fuel consumption 
recorded of below 14S gr/bhp/hr 
on diesel oil. 

Built in Sunderland by 
Doxford Engines, designers and 
builders of marine engines of up 
to 27,000 bbD. this latest engine 
develops 5,500 ho at os low as 
220 rpm and will burn, safely, 
the lowest grades of residual fuel 
oil to give shipowners substan- 
tial economics in the fuel bllL 

This " constant pressure 
Charged* 1 engine has been 
designed as a- development of 
the Doxford turbocharged 
opposed-piston engine, but with 
reduced piston stroke and 
higher rotating speed to keep 
the engine height within accept- 
able limits for the _ smaller 
classes of tanker, container ship 


Micro on Eurocards 

and general cargo ships, etc., 
for which it is Intended, 

Doxf ord‘s is the only three- 
cylinder engine available. It is 
also the only all-British design 
of engine being built by works 
within British Shipbuilders, all 
others being of Swiss, Danish, 
French or Dutch design. 

Seven units of the new com- 
pact design have already been 
ordered from Doxford Engines 
for installation in container 
ships. The first engine was 
designed, built and tested within 
IS months of the order betns 
received from Ellerman Linn, 
one of the : world’s largest 
independent shipping companies. 

As the three-cylinder engine 
will directly drive the propeller 
shaft, there Is. no -need for the 
couplings and gearbox which are 
normally necessary with the 
medium-speed diesel machinery 
usually installed in the smaller 
ships requiring about 5,500 bp. 

Doxford Sunderland on 0783 


Control of production 

A RECOGNITION and control of up to 50 metres per minute 
system which identifies and and can be linked to a computer 
interprets printed codes on fibre- or other data processing equip- 
board cases has been introduced meat Called Translog, it con- 
by Thames Case, Purfleet, Essex sists of a television camera which 
fPurfleet 5555). transmits the printed code to a 

The code is produced by technically advanced control unit 
normal printing processes and is wbich then activates the required 
said to provide tbe ability to function. The case code is 
control flow-tines, monitor pro- formed using a series of bars 
duction rates and stock levels, and spaces of varying widths. It 
and control lane switching on can be printed on outer fibre- 
conveyor systems for uses such board cases during manufacture, 
as automatic palletisation. says the company, to a tolerance 
The system will accept a range within a good standard of fiexo- 
of case sizes conveyed at speeds graphic printing. 


Aids tool setting 

air actuated hydraulic presses is 
announced by Jervis Engineer- 
ing, Kingsbury Road, Minworta, 
Sutton Coldfield, B76 9DP, West 
Midlands (021-351 4501): ' • 

An inching facility tb aid tool 
setting takes the form of a 
control lever mounted on the top 
arm of the frame. By pushing 
this lever forward the ram of the 
press creeps slowly down; 
similarly, with the lever pushed 
back, the ram moves upward. The 
ram is he^d stationary when the 
lever is jn its central position. 

The device is incorporated in 

the pneumatic control system of 
the press and safe operation is 
assured by cutting off the air 
supply. Then, residual air pres- 
sure is reduced to about 2 lb f/in 1 
(0.15 bar); this is sufficient to 
move the ram, but not enough to 
cause injury. 

A rising table is the second 
piece of optional equipment It 
is mounted on a precision lead- 
screw incorporated in the base of 
the press. By use of 2 hand 
wheel the lead-screw can be 
rotated to set the height of the 
table, says the company, with 
extreme accuracy. 


Puts screw 
in terminal 

tion of Poole is a rotary indexing 
machine which will tap pre- 
drilled holes in terminal blocks, 
insert the cable-clamp screws 
and check for rejects. 

A hopper and vibratory bowl 
feeder supply terminals to the 
first station where they are 
correctly oriented in a nest - As 
the table moves to the next 
position a sensor checks for 
orientation and a pneumatically- 
operated tap makes the thread. 
At the next station another bowl 
feed system provides the screws 
which are positioned and rotated 
into the hole with an air driven 
screwdriver; they- are tightened 
to a torque value which can he 

The remaining stages Involve 
checking that tbe screw has in 
-fact been assembled and is fully 
home, and then rejecting badly 
assembled items Into one hopper 
while feeding the good ones Into 

Although the unit has been, 
developed for a specific manu- 
facturer the company is able to 
offer many variants, making the 
machine suitable for many 
assembly operations of this kind. 

More from 194 Stanley Road, 
Poole, Dorset (02013 70551). 

BASED upon tbe Texas Instru- 
ments TMS 9900 16-bit micro- 
processor chip, Brandauer and 
Company of Birmingham has 
introduced a number of micro- 
computer modules in double 
Eurocard format together with 
a powered racking system. 

This printed board system is 
designed to fulfil the dual needs 
of original equipment makers and 
of low cost, limited resource 
prototyping for Texas micros. 

Principal item as the 99-16 
central processor board which 
contains the micro chip, static 
random access memory, pro- 
grammable memory, 15 levels of 
interrupt and interfaces for 
20 mA current loop for teletype- 
writers or RS 232C serial com- 

All tbe address, control and 
data signals are buffered so that 
the system can be expanded to 
the full memory capacity of the 
processor (32,000 words). There 
16 input/output ports. 

Other cards include a 16 port 
expansion unit and memory 

The maker subjects each unit 

to 24 hour burn-in and provides 
full documentation. 

More - from 401, New John 
Street West, Birmingham B19 
3PF (021 359 2822). 

Floppy disc 

HIGH-CAPACITY floppy discs 
manufactured by tbe Micropolis 
Corporation: 'are available from 
the Sintrom Microshop at Read- 
ing, Berks. : - 

MicropoliS Meta Floppy 1054 
consists of four drives, con- 
troller, potter supply, chassis, 
enclosure, cabling and a new 
Basic software package. It is the 
first low-cost 5} inch floppy disc 
system to offer more than one 
megabyte of on-line storage, it 
is built to exceed standards 
usually associated with S inch 
floppy drives. 

The 1054 will plug in easily 
to Intel and Zilog micro systems. 

Sintrom Electronics, Ark- 
wright Road, Reading, Berks. 
0734 S5464. 

Record Profits of more than £23m. 

The nne hundred and fourteenth Annual 
General Meeting will be held in London on 
4th September. I97S. The following is the 
Statement of Lord Aberconway circulated 
with the Report and Accounts for the year 
ended 3 1st March, 197S. 

It is gratifying again to be able to report 
a good year's trading, with a group con- 
solidated profit before tax of £23.£m: the 
figure last year was £10.9m 

In the accounts we have treated taxation 
in line with the current proposals, commonly 
referred to as ED 19, of the Accounting 
Standards Committee. We have accordingly 
provided for only such . taxation liabilities 
as are likely to arise in the foreseeable 
future, and the surplus of earlier provisions 
for deferred taxation has been transferred 
to reserves. 

We have included this year a -supple- 
mentary statement prepared in accordance 
with the Hyde guidelines on inflation account- 
ing. This method is not perfect but it is a 
practicable way of illustrating tbe effect of 
inflation on the resuits of the year. 

The maximum rate of dividend now per- 
mitted for the year under review, assuming 
current rates of taxation, is S.712p: of this 
amount we have already paid an mtertm 
dividend of 4.Qp on 6th April 1978. It appears 
likely that the rate of ACT will be reduced 
in respect of the current fiscal year and. in 
order to be able to pass on to stockholders 
the benefit of this, your directors have 
decided tn declare on 18th August a second 
interim dividend of 4.712p or whatever larger 
amount would reflect any such reduction. 
This dividend vfill In effect be the final 
dividend and will be paid on Wk October 
197S. the date on which the final would have 
been paid. 

Net bank borrowings of £95m at the start 
of the year have been eliminated and we 
had at the year end a net cash surplus of 
some £15 .2m. Good as this is, our business 
involves many multi-million pound contracts 
running at any one time; terms of payment 
for these vary, and this in turn a* 3 ? to ■ 
substantial swings in our cash- position, in 
recent years poor liquidity has »ed us to 
exercise throughout the Group a high degree 
of stringency in authorising capital expendi- 
ture on plant renewals; our improved cash 
position and more especially our prospects of 
future profits have justified a more liberal 
approach to sueh expenditure, ana various 
schemes of modernisation or extension of 
our facilities are in progress or *n course of 
planning. In the current year we plan to 
soend on capital assets, apart acquisi- 
lions, some £l5m. 

Since the end of the financial year the 
group has purchased through Craven Toekor 

Ltd. aH the ordinary share capital of BoaHoy 
Ltd. which, with its well known TautHner and 
Lintdlner products, is the European market 
leader in the design and manufacture of 
side-access vehicle bodies. This acquisition 
strengthens further the position of Craven 
Tasker in the U.K. van market. 

John Brown Engineering (Clydebank) 
Limited had a very profitable year and 
shipped to -customers a record number of 48 
gas turbines. Indeed, because of this 
unusually high output, its profit should be 
regarded as exceptional. JBE's gas turbine 
business is now very well established in 
world markets and it is in the -nature of such 
businesses, If well managed, to enjoy an 
occasional outstanding year like this. We 
hope tbat JBE will enjoy many more such 
years, but the current year, which started 
with a much shorter order book than existed 
in April 1977, will, though good, be less 
exceptional- As I write, a little over two 
months into the year, JBE still needs to take 
a substantial volume of new orders to meet 
its targets, and we are hopeful that it will 
do so: this is the familiar pattern of JBE's 
gas turbine business, and we expect an 
acceptable profit by the year end. 

As 1 said in oar Interim Report in January, 
no new orders had been forthcoming for 
JBE Offshore’s fabricating facility at Clyde- 
bank, and so we had had to discontinue tbat 
company’s operations. We had provided £2m 
in the accounts for the year to March 1977 
against an anticipated under-utilisation of 
JBE Offshore’s facilities; the additional costs 
of discontinuance resulted in a loss of £Mra 
in the Offshore company, and this has been 
taken into account in arriving at the profit 
for JBE for the year. 

Constructors John Brown Limited also had 
a good year; a high level of activity prevailed 
and a number of significant contracts were 
completed with satisfactory outcomes. CJB 
Offshore Limited won the Queen's Award 
to Industry ter technological achievement in 
connection with the design and development 
of production platform facilities and support 
structures for the Thistle Field in the North 
Sea; this was a source of great pride for US 
alt CJB has not as much work in hand as 
it had a year ago, and new contracts need 
to he won. The prospects for this are good, 
although in the short term in Western 
Europe, tbe U.SA. and Eastern Europe, com- 
petition is fierce. Nonetheless CJB remains in 
a strong position and should again this year 
be a major contributor to group profits. 

Wickman Limited made much the same 
profit as it did the previous year; a small 
reduction in profit from our machine tool 
activities as a whole was attributable mainly 
to A C Wickman of Canada being -no longer 
a part of the group. Markets worldwide for 
most of our machine tool products remained 
depressed through the year and have so 

continued. We see no great change in this 
picture for a year or two yet However, we 
continue our policy, of building for a brighter 
future with significant investment in new 
plant and facilities and in new product 

Craven Tasker Limited had a splendid 
year: record profits have provided a firm 
base for the future. Indeed, with the con- 
tribution from the newly acquired Boalloy, 
its profits ibis year should be excellent. 
Markham and Company Limited .did .well: 
engineering skills and the quality of its 
workmanship are distinguished, and are 
widely so recognised: its order book is good. 
Firth Brown Tools Limited improved its 
profit but still finds market conditions 
difficult. John Brown Plastics Machinery 
Limited achieved better results than we 
foresaw in January, making a small but 
nevertheless useful profit after last year’s 
loss; there is still a long way to go however 
before performance can be regarded as 
satisfactory. In Canada. Firth Brown Stainless 
Limited, formerly Firth Brown Steels 
Limited, had another satisfactory year- 

Looking to the future, in the longer term 
1 would first like to remind stockholders that 
tbe handsome profit Improvements of the last 
two years have been achieved by better 
performances from essentially the eame 
businesses as have comprised tbe group for 
some yean: that is to sray without any funda- 
mental change in the group's make-up. Apart 
from our machine tool and plastics machinery 
interests, whore we stlH nave some way to 
go, the general process of recovery is now 
complete: accordingly so long as our existing 
mix or main activities remains substantially 
unchanged, stockholders should not expect 
further annual profit growth of the order 
recently achieved. They can however, if the 
economic climate is reasonable, . look with 
confidence to further increases in profits over 
the years from our existing businesses but 
at a more conventional rate. The development 
of our existing or related ranges of products 
will enhance this process, as would the 
acquisition of complementary businesses: I 
would, secondly, reiterate that in a group 
like ours, with so significant a part of our 
profits now coming from long-term contracts, 
there are, despite the underlying forward 
trend, inevitable fortuitous variations in 
results shown at fixed year ends. 

In the shorter term, stockholders will wish 
to know the prospects for the current year, 
especially as I have referred earlier to the 
somewhat exceptional features of JBE's 
excellent contribution. The position can be 
summarised today as follows. We do not 
expect any general improvement In either 
economic or market conditions in the year, 
and therefore our machine tools and plastics 
machinery- interests in particular are likely 
to remain dull: JBE faces, as often previously 

at this time of year, a sales challenge to 
secure a substantial number of orders for 
gas turbines for delivery before the end of 
the financial year. Even so, tbe current year 
should not disappoint stockholders. 

In our Interim Statement, I said that after 
tbe forthcoming Annual General Meeting, my 
twenty-sixth, I would retire from tbe chair- 
manship. It may perhaps be of interest to 
stockholders that I should recall for them 
that, on the conversion of the business from 
a partnership to a limited liability company 
in 1864, my great-grandfather, Henry Davis 
Fochin, became one of tbe original directors 
of John Brown & Co. Ltd. In the 114 years 
since then there has been a member of my 
family continuously on the board, and indeed 
during the 71 years since 1907 tbe chair has 
been occupied by three people, my grand- 
father, my father and myself. This is an 
unusual occurrence in a public company 
where tbe family concerned has never had 
any substantial, still less dominant, financial 
interest It is therefore with, I think per- 
missibly, mixed and sentimental feelings tbat 
I quit the chair of a company which has 
been close to my heart for longer than 
twenty-six years In which I have occupied 
the chain during this period it has been 
a very considerable part of ray life. I have 
seen times of difficulties and crises, times of 
progress and triumph. I am deeply conscious 
that throughout I have been sustained and 
encouraged by the loyal and resourceful 
support of my colleagues and my executives. 
I am happy in the knowledge that the com- 
pany will be in the excellent hands of John 
Maybew-Sanders, who is splendidly supported 
throughout the group. The business is well 
founded and well organised, and it will give 
a good account of itself in the years to come. 
My colleagues have done me the honour of 
asking me to be the first President of the 
company, a position which I have accepted 
with much appreciation. Even more am I 
delighted that my colleagues wish me to stay 
far the time being on the board: I am more 
than happy to be allowed thereby still to 
contribute, so far as 1 can. to the future well 
being of a great company. 

Sir Eric Mensforth is relinquishing the 
deputy chairmanship, a position he has held, 
to my great support, for nearly 20 years. 
Happily he continues as a member of the 
board, which he joined 30 years ago. His 
■wisdom and experience will thus still be 
available to his colleagues. 

To all in the John Brown Group who have 
helped me while I have been chairman I am 
deeply grateful. To all who have helped in 
the recovery of the last year or two, and 
particularly during this last splendid year, 
it gives me enormous pleasure, on behalf of 
my colleagues and our stockholders, to 
express, for the last time, my heartfelt 



General Petroleum Corporation 





EGPC (natural gas project) for the pur- 
pose of issuing a forthcoming tender 
• for execution of natural gas distribu- 
tion system and relevant materials in 
four residential areas in Cairo 
(Helwan, Maadi, Nasr City and Heli- 
opolis), intends to select among a 
limited number of reputable firms who 
qualify to undertake detailed engineer- 
ing design, procurement and execution 
of the project (whole or part). 

Applicants confident of their qualified 
capabilities are requested to submit a 
detailed text, of their previous works in 
similar projects already undertaken or 
under execution. 

The booklet containing the basic 
engineering data and describing the 
nature and volume of the work involved 
will be available at EGPC (natural gas 
project) Office, Osman Abdel Hafiz 
Street Nasr City, Cairo, or at No. 2 
Midan Kasr el Doubara, Garden City, 
Cairo (8th floor, Apt' 48) against pay- 
ment of ten pounds Egyptian or .equiva- 
lent thereto. 

Applications will be received starting from 16 th 

July until 30th August 1978. .. 

i:r ^t \i 

r= i. 

7 Hr ' 6Sr '->_. 


Financial Times Monday July 17 1978 

The Executive’s and Office World 


IIS! ORDER to halt a three-year 
decline in its market share at 
home and overseas a British 
industrial company recentlv 
reduced its domestic and export 
Phccs. To its dismayitiie 
expected sales upturn failed to 
materialise: in fact the company 
continued to lose ground to its 
foreign competitors. 

Management had failed to 
examine in any depth the real 
reasons for the loss of share; in 
fact, it was net due to the pro- 
duct s selling price bat to its 
higher overall cost: .greater 
installation and servicing costs, 
vh\eh was a result of inferior 
product design. Marginal 
changes in selling price could 
not offset this more funda- 
mental competitive disadvan- 

The story highlights a weak- 
ness to which far too many 
British industrial companies 
have long been prone, but which 
is more prevalent today than in 
the past. In a word, they simply 
do not take their competitors 
into account when planning 
their own strategic moves. It 
even seems that they mana g e to 
ignore the existence of those 
competitors altogether. Far too 
many carefully prepared 
marketing plans propose to 
achieve handsome market share 
increases without specifying 
from which competitors the 
incremental sales are to be 
captured, much less taking into 
account the possibility of actual 
competitive retaliation. 

This is not to say that British 
industry generally has failed to 
appreciate the need for some 
sort of response to the growth 
of competitive pressures in 
world markets following the 
quintupling of oil prices in 
1974-75 and the ensuing world 
recession. Much has been 
written about the need to 
become more competitive, and 
many hundreds • of companies 
have gone through the throes of 
rationalisation over the past two 
years in an effort to do just 
that But for most, “ competi- 


MO. 00CDS2 of 3978 

Chancery Division Companies Court. In 
tin- Matter of C HARDWOOD INTER- ; 
Ibe Mailer of The Companies Act IMS. 

Petition for the v Indian up or the abort- . 
named Company by iho Hisb Conn of 1 
Justice was on the 23th day of. June 
197V. mvsemed to the said Court by 
OLYMPIC AIRWAYS. S-\. whose head 
attiv-o is k| turned at 9< Srcrou Avenue. 
A i tv ns. 404 C reeve and whose London 
ofTu" is situated at Ml New Bond Street. , 
London W1Y OBB. and that the said 
FVniiwi « directed to he heard before 
ilic Court pining at Hie Royal Courts of . 
JuMw. Strand. London WC2A 2LL. on I 
dll* 31 si day of July 397S. and any 
creditor or eontnbntory or the said , 
Cempany desirous lo support or oppose | 
the makltu: of an Order on the said 
Pennon may appear ar the time of 
Hearing, in person or by bis Counsel, 
fir that i-arpose; and a copy o« tbc 
F.-t>tiftn wdl be funnshed by the umfer- 
■u^ned to any creditor or ctmlribmory 
of the said Company reoinrms such on nu-nt of the resolated dunce 
for ttn- same. 


Wove* Boom-. 

AtdiTTnanbniT Square, 

London EC2V 7I.D. 

Ref MJS19/CCQ. 

Sotmtors for the Petitioner. 

VCTC. — ,W person who intends to 
appi jr on Hie Hearns of the sard Petition 
murt nerve on or send by post to dw 
above named notice in wdtini: of bis 
intention sn to do. The notice must state 
she name and address of the person, or. 
V a firm the name and address nf the 
firm anil must Us signed by ibo person 
or firm or hta or their SoMiiior tif any 
and must bo served or If posted mnn 
be sour t>r post in sufficient Lino in 
reach the above named not later than 
f»*ur o'clock til the afternoon of the 
2Slh day of July IKS. 


tl 350.000 BHIs maturina on 13th 
October 1 9TB wore offered and Mailed 
on 14tti Jul» 197 a at an averape rate Of 
9 ZV&aihs oer cent- oer annum. 

Total aBpl’CJtlons IOT this h*uc 
amounted to £12.150.000 and these arc 
Hie o"lv hills In «su*. 

Competition: British 
industry’s blind spot 


tion** remains somewhat 
abstract real enough ia the 
squeeze it puts on profits but 
seldom seen ia reality: other 
companies with definite objec- 
tives and strategies, competing 
for the same customers in the 
same markets. 

Nowhere is this peculiar 
blindness more evident than in 
what many companies today call 
sophisticated .strategic planning. 
Over the past decade, an 
increasing 'number of UK 
companies have moved from 
traditional forecasting/budget- 
ing approaches to planning 

so the theory goes— those of the 
company's businesses which 
have attractive growth prospects 
and strong competitive positions 
will be reinforced through the 
infusion of corporate resources. 

while weaker businesses will be 
starved of such resources, or 

This weeding out concept has 
been applied particularly in the 
U.S. — one-third of all corporate 
acquisitions in 1976 reflected 
divestments by other companies 
— and it has won many followers 
in Europe. For companies 
unable to generate sufficient 

would have meant a 50 per cent 
drop in operating profits, the 
chief executive was prepared to 
retaliate in kind. 

Analysis of the competitor's 
economics, however, revealed 
two vital facts. First, the small 
competitor's costs were 20 per 
cent higher for want of com- 
parable economies of scale. This 
would make it hard for it to 
maintain the price cuts for very' 
long without incurring losses — 
even with greater volume. 
Second, the price cut was 
evidently being financed in part 
by a windfall in cash flow and 

6Far too many carefully prepared marketing plans 
propose to achieve handsome market increases 
without specifying from which competitors the 
incremental sales are to be captured? 

towards a more strategic 
evaluation of their businesses. 
Frequently .this has meant the 
adoption of the 41 portfolio 
management ” concept, which 
calls for scarce resources of 
men, money and research to be 
allocated between the company's 
individual “ businesses " or pro- 
ducts on the basis of two factors 
—the industry’s outlook and the 
company’s competitive strength 
in that business." In this way — 



llitucd by OUbult HA.) 

dend due 30th June 1V7B to holders of 
a DR* as at 31M March 1978 mjv now 
be claimed at the rate shown on presen- 
tation Ot Coupon NO- 19 detached from 
BDRi of ID shares each and coupon 14 
from SDRs of BO shares oacti to the 

Gross Dividend per stare — USSO.O 14556 
Less 15% Japanese With- 
hold i no Tax - USS0.0021B3 

hold I no Tax 
Net Dividend 

- US5D.0P21B3 
.- - USS0.01Z373, 

United Klnpdom Income Tax at the 
reduced rate Ol 19% to the £ will be 
deducted irom the amount of this dividend 
except In cases where ftoupons are accom-l 
earned bv a United'- KlnBdom Inland 
Revenue affidavit of Nin- Residence. 

Special 1 1st too forms .»re available Rom 
the u odors toned. v , 

CITIBANK NA.. • \ ' 

Friars House. ; *• 

39 (J 1 New Broad Street, 

London, E.C.2. 

DOLLARS 20.000, 0D0 

The rate of interest applicable to 
the half yearly interest period 
beginning on July 12th 1978 as 
determined by the reference 
agent is 9} per annum. 


Trans lor Books In respect of the 3,45%. 
ctax instated Cumulative Preiwenee Stares 
lormerfv 5»i% flrossj will be closed Irom 
the Stst July 1978 to the 12th AuausT 
1978 inclusive, for the preparation tf the 
Dividend. W a rr a nto. 

; Bv Order of trie Board. 

J. MARTIN. Secretory. . 

7 Dale Street. 

Manchester X. 

cash to meet their internal 
requirements, and limited in 
their ability to raise new capital 
by weak equity markets or 
concern about their gearing 
ratios, it offers an eminently 
rational way of making the best 
of a difficult situation. What it 
does not provide is an effective 
method for designing or assess- 
ing sound strategies for a com- 
pany’s high-potential businesses. 

The point that still escapes 
far too many British business 
strategists is that setting 
objectives, or defining strategies, 
without taking into account the 
likely responses of competitors, 
is very nearly as futile as plan- 
ning a military campaign with- 
out regard to the movements of 
opposing forces. Fortunately, an 
increasing number of companies 
are recognising that “knowing 
your competition " is the master 
key to developing and imple- 
menting profitable and success- 
ful strategies. 

Not long ago a European con- 
sumer packaged goods company, 
with a major share of the 
market, was attacked by a 
smaller competitor seeking to 
gain market share through price 
cuts of 10 to 15 per cent— a 
tactic that often succeeds 
because the larger competitor 
! finds it too costly to follow suit 
lit this case, even though a 15 
| percent cut of this magnitude 


International Trade and In- 
dustrial Policies, edited by 
Steven J. Wamecfce. Macmillan, 
price £12. This book, which is 
the result of a research project 
and has contributions by 10 
| authors, begins with an examine 
tion of government subsidies to 
industry in' the context of 
1 national industrial policies. The 
second section examines how 
I such policies have an impact on 
the operation of relevant GATT 

profits resulting from a recent 
favourable tax decision — a wind- 
fall that would be exhausted 
within a month. 

With this knowledge, the chief 
executive made bis decision: 
hold prices at current levels. 
Sixty days later the small com- 
petitor dropped his price cuts 
and gave up virtually all of his 
short-lived market share gain. 
He became strategically and 
financially very much the loser. 

Competitive thinking need 
not turn on price. Four years 
ago a manufacturer of consumer 
durables that had consistently 
run a poor third in its industry 
decided to find out why its posi- 
tion was so weak. The reason 
was not immediately obvious: 
its products had always been 
priced competitively, in every 
objective test they performed 
as well as the products of 
either of the industry leaders, 
and market research showed 
that buyers were, on average, 
at least as well satisfied. 

Analysis narrowed the prob- 
lem down to distribution. Both 
of the two large competitors had 
built up their business over 
many years, and now dominated 
the market at home and over- 
seas through their control over 
major distributors — who con- 
sistently chose one of the two 
market leaders to represent 
them on an exclusive basis. 

There seemed nothing the 1 
smaller company could do to 
change this situation. I 

Looking at it strategically.j 
however, management found thei 
possibility of a competitive 
advantage. The two big com- 
petitors were. * i n effect, 
dependent on their respective 
distributor networks; they werei 
as wedded to their distributors 
as the distributors were to them. 
The smaller company, by con- 
trast, had no such mutual com- 
mitments to the distributors it 
bad managed to attract. Taking 
advantage of this "strategic 
degree of freedom,” it decided 
to bypass distributors entirely 
in certain key markets, going 
directly to a limited number of 
important dealers instead and 
offering them a share of the dis- 
tributor's margin and service as 
good or better than its com- 
petitors’ distributors could 

This selective, highly targeted 
distribution strategy turned a 
competitive handicap into a real 
strategic advantage, enabling 
the company both to increase 
its profitability and add to its 
share of the market. Still No. 3 
in its industry, it is now rapidly 
closing the gap that . separates 
it from the two front-runners. 

It seems obvious enough that 
only by knowing i4s competitors 
well can a company shape 
effective strategies. Less 
obvious, perhaps, is the fact that 
some very down-to-earth ques- 
tions must be ' asked and 
answered before management 
can be confident that it has a 
realistic knowledge of its own 
competitive strengths and weak- 
nesses: to tell objectively how 
its product compares with its 
competitors' in the eyes of 
its customers. What about 
delivery performance? Are 
quoted prices as good or better 
than competitors? What about 
the prices customers actually 
pay? How do the respective dis- 
tribution networks compare in 
terms of geographic coverage? 
Stocking levels? Financial 
strength? Service provided? And 
what are comparative economics 
in terms of economies of scale, 
productivity, raw material 
access, and physical access to 

Too few UK company 
managements can factually and 
quantitatively answer questions 
like these. Management must 
learn to ask such questions, and 
to shape their strategies in light 
of the answers, if British indus- 
try is to prosper -in a world 
where Japanese, Continental 
and American competitors are 
sharpening their own strategic 
efforts to capture Britain’s 
increasingly vital export 

*.• The author is a director of 
McKinsey an d Co. 

Maximising export profits 
under a devalued pound 

BUSINESSMEN OFTEN make retaliation. This applied parti- 
key decisions on the basis of cularly in 1973 when supply 
jiutenof-thnsn* calculations which, constraints were widespread as 
can appear “ non-optimai ” domestic demand was booming, 
when viewed {through the eco- Mr. Holmes says “it is not 
nomisfs prism. Yet on a deeper paradoxical to blame the 
view, industry’s instinctive inability of the firms to respond 
bebawour may appear more as might be hoped to the 
rational whan •the imperfections devaluation to both supply and 
and uncertainties of actual demand constraints. It seems 
market are taken into account likely that cost conditions are 
This paradox emerges from a such that very large price reduu- 
new study, industrial Pricing tions indeed would be needed 
Bahavnour and Devaluation. to enable firms to make cuts that 


25 ^ 2 S’ Thfe tactic 

T. *?- r ‘ con- could well succeed if it could be 

aders the bebaruour of 54 large applied, but supply considera- 
companoes - equivalent to tj ons seem t0 mIe it out and 
rougMy a quarter of -trie biggest dem3nd elasticities (the 
exporters an tiie UK — in .the response to price changes) are 
face of 4he 1967 devaluation and not favourable enough for the 
the sharp fall in the pound price-cuts that can be made 
following the decision to float without jeopardising profit- 
in 1972-73. The study also has ability." 
a number of important implica- 
tions for the more recent period , 

of depreciation' in 1976. 

The subject is examined in BOOK REVIEW BY 

the language (and sometimes nerro Dinran i 

jargon) of the economist rather rt 1 KlUutLL 

than of the businessman. _ 
though the broad conclusions 

^intelligible to the general The author aqjues that> even 

reader - The ™thor argues that, even 

' without supply constraints, the 

The study was formulated likely demand response and 
from a series of interviews with profit margins would ensure that 
companies in a wide range of the most profitable option would 
manufacturing industry. The probably be to maintain foreign 
central questions were how currency prices after a devaiua- 
export prices were adjusted in tion. 

1967 and during the 1971-73 
exchange rate changes, whether iss . ’ f h 31 - ex JJ 
additional sales promotion was i Mrt _ - w ar . ompanies 
carried out and what had been 

learnt from experiences be- JL * 15 1X116 c V t ' 
tween the two periods. Com- *“* 1 

panics were also asked whether ? PA a pr , oduct Wa L 1 i\ e y J? have 
prices and profitability differed profitab f- than . a 

between markets and products. 1 v," ° ™*? SterUne pn ^ S 
* by the m aximum possible 

The main conclusion is that amount, a switch towards more 
traditional tiieories of price and maintenance of foreign currency 
of devaluation based on assump- prices and .Hess mainte nan ce nf 
tions of perfect markets are of sterling prices might have been 
relatively little value. Most of expected, 
the companies interviewed were „ L . 

operating in oligopolistic tU Ho ^ ever ’ ^ interviews show- 
markets in the sense that they ^ ere was no sn*- - * 1 major 
were market-followers which sfuft between 1967 and 1973. 
had to take account of the pos- One of the few exceptions was 
sible response to their decisions British Leyland. Mr. Holmes 

by other organisations. suggests that “ Slaitdard- 

This meant that the demand ^uinph and BMH were wrong 
and supply structures 0 f / m 1967 t0 cut P rices ^ as much 
markets was such that many/ 35 tte y did - 
companies were in a weak posj- In any event, the manage- 
tion to cut foreign currency ment of the new joint con- 
prices profitably without fear of eern decided in 1973 to avoid 

indiscriminate price cuts. Cats 
were made only where certain 
competitors were eroding 
particular market shares (for 
example on the Range Rover, 
where Toyota's Land Cruiser 
was strong)." 

More companies, however, do 
appear to have learnt from ex- 
perience by 1976. There was a 
much greater tendency to main- 
tain foreign currency prices and 
increase sterling export prices, 
in order to boost profit margins, 
especially when home profit- 
ability was squeezed during the 
recession. This is certainly sug- 
gested by the sharp rise in 
sterling export prices during 

There has also been a rise 
in the proportion of companies 
invoicing in foreign currencies 
rather than in sterling — a logical 
response to a bearish medium- 
term view of the prospects for 

Unfortunately, Mr. Holmes 
did not have a chance to take 
account of the 1976 experience, 
or of more recent Treasury work 
on the effects of exchange rate 
changes. A paper by Mr. John 
Odling-Smee and Mr. Nicholas 
Hartley published earlier this 
year noted that exchange rate 
changes feed through lo costs 
and prices within a few years 
and eventually tend to offset the 
initial change in both price and 
cost competitiveness. The speed 
depends on the mix of incomes, 
fiscal and monetary policies. 

However, Mr. Holmes’ basic 
conclusion still stands. ‘Tn 
oligopolistic markets in particu- 
lar there may be little point in 
encouraging British firms to 
engage in what may be futile 
and expensive price wars when 
they can often either not supply 
extra output easily or are liable 
to be undercut later if their 
policy shows signs of succeed- 

“ The solution to the problem 
would appear however to be to 
encourage the development of 
industry to the point where, in 
as many sectors as possible 
capital has been renovated and 
expanded, so that firms can 
afford to act competitively and 
follow the example of Japanese 

So we are back to the familiar 
problems of the industrial 

Industrial pricing b ehariour 
and devaluation. Peter M. 
Holmes. Macmillan. £10. 

rules, the problems govern- 
ments face in reconciling 
domestic goals with inter- 
national commitments and the 
difficulties they face in 
negotiating on subsidies. 

Spicer and Pegler’s Practical 
Aud iting, by R. A. Waldron. 
HFL f Publishers), price £6.50. 
This has been substantially re- 
vised since the previous edition 


U.S. $150,000,000 




Unconditionally aid irrevocably guaranteed by 



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Industrial Division 


17sh JULY, 1578 



A bad approach 
to EEC money 

F inan cial Times Monday July TW ISTS 



THERE IS a great .temptation 
to .project on to another person 
or institution our own thoughts 
and wishes and miss what they 
are actually trying to do. Some 
EEC enthusiasts are m danger 
of doing this in relation to the 
British Government’s new-found 
interest in monetary union. Hav- 
ing bad an opportunity to hear 
at a high political level the kind 
of monetary arrangement which 
Ministers have in mind, I am 
convinced that joining it would 
be a great mistake. 

There is certainly a Strong 
case to be made lor a single 

currency in Western Europe: 
and as a first approximation to 
it. to move towards .permanently 
fixed exchange rates in which 
pounds, marks and francs are 
basically different names for the 
same currency and in which 
money and capital flow freely 
across frontiers. 

Unfortunately what the British 
Government has in mind is no 
such thing. It has been motivated 
mainly by a dislike of exchange 
rates being shifted by market 
forces. Its goal is to achieve a 
•‘zone of stability" in which a 
large EEC fuad is available to 
defend exchange rates against 
so-called speculators. The object 
is certainly not to adjust UK 
monetary and fiscal policy to 
achieve, say, the German rate of 
inflation — an aim consciously 
disavowed. It is rather to ensure 
that— outside a limited range — 
exchange rate changes are of a 
size and timing determined by 
governments rather than the 

Equal Pay sorted out Nfcklaus summons 


JUAL PAY for equal work, for who for some time trained the and the conditions under which j'B _ * -i- ^ 

bh and women alike, is the new (male) employee. she does her work. Those arc 4- S'* A T Q I Tl 1 1 1 1 S » - m 

:ld proclamation in Article 119 Immediately upon the coming the. bases upon which the g IBP YILaUL • • • 

the TTeatv of Home. It admits into force of the .new Uw the panson with her feUow (male) y* 

rate of inflation is still seen as 
depending on incomes policy. 
Exchange rate and monetary 
policy will continue to be 
adjusted to fit in with the move- 
ment of British money costs, and 
not the other way round. 

The whole Government argu- 
ment depends on the idea that 
market movements of sterling 
have often been irrational and 
damaging, and that protection 
against them would be in the 
national interest. But a strong 
case can be made that they have 
on the contrary been immensely 
beneficial. Mr. Healey should 
not be denied some personal 
credit for seeing ahead of some 
of his officials the need to control 
the money supply and the public 
sector borrowing requirement 
But his recognition owed a lot 
to the tendency of sterling to 
fall alarmingly whenever it 
looked as if the money supply 
were out of control. All of us 
respond to our environment: and 
I would not put much money on 
any Chancellor sticking to 
monetary guidelines if the 
external pressures were removed. 


EQUAL PAY far equal work, for 
men and women alike, is the 
bald proclamation in Article 119 
of the Treaty of Home. It admits 
of no exceptions at all, although 
doubtless the European Court 
will need in due course to evolve 
some exceptions that will allow 
discrimination on grounds of 
merit, training, length of service 
and the like. 

The English counterpart, the 
Equal Pay Act 1970 which came 
into force in December 1975 is 
not quite so simplistic in its 
method of achieving equality of 
the sexes on the labour market 

As a result, doubts have per- 
sisted whether an employer 
could properly pay a new (male) 

employee more than his exist- 
ing (female) employees simply 
because the going rate on the 
; labour market was higher than 
the employer’s rate for the job 

that he paid to his existing em- 

So long as the employer did 
I not intend to discriminate be- 
I tween his male and female 
workers, but was forced to pay 
them unequally because of 
external economic forces at 
work, it was thought by some 
! that the employer escaped the 
egalitarian effects of the new 
I law. 

who for some time trained the 
new (male) employee. 

Immediately upon the coming 
into force of the new jaw the 
employers increased nil the 
wages of their clerics by £6 a 
week. Mrs, Fletcher ^got £*n but 
the new employee* wages went 
up to £49. 





It is unfair to say that the 
Treasury is mainly concerned to 
put up such severe conditions 
as to block progress. At the 
political level of that Department 
there is a real desire to join an 
EEC arrangement The insist- 
ence on “resource transfer" to 
accompany monetary link comes 
mainly from the Prime Minister's 
interest in package deals. 

The inclination of those who 
will be in charge of the financial 
negotiations is to separate the 
distribution of EEC budgetary 
burdens from the monetary 
union, which is seen primarily as 
a matter of exchange rate 

The Bremen initiative is seen 
in London not as a bold step to 
a united Europe, but as a way 
of getting back to a Bretton 
Woods type system oE “ fixed but 
adjustable parities.” except that 
the range of fluctuation would be 
wider. There is no commitment 
to. or even interest in, adjusting 
British monetary policy to make 
a given sterling parity with the 
Mark stick. On the contrary the 


t Indicates programme in 
black and while 

BBC 1 

6.40-7.55 am Open University 
(Ultra High Frequency only). 
10.40 Cricket — England v New 
Zealand. 1.15 pm News. U0 Mr. 
Benn. 1.45 Cricket. 4.18 Regional 
News for England (.except 
London) 4.20 Ploy SchooL. 4.45 
Great Grape Ape. 5.05 Blue* Peter 
Files the World. &25 The 

5.40 News. 

■5.55 Nationwide (London and 
South East). 

6.20 Nationwide. 

6.50 Come Back Mrs. Noah. 

7.20 Jacques Cousteau. 

8.10 Panorama. 

9.00 News. 

9.25 Royal International Horse 

10.45 Revolution. 

11.15 The Spinners. 

11.45 Weather, Regional News. 

But would not even a watered- 
down monetary agreement put 
some brake on the Government’s 
letting sterling slide? It might, 
but in the worst possible way. 1 
Instead of adjusting monetary 
and fiscal policy to validate a 
desired parity, the tendency 
would be for Governments to 
borrow from any new EEC fund 
in order to finance payments 
deficits, thus delaying but not 
avoiding adjustment In addition 
pressure would be put on 
creditor countries “ to do their 
share," of adjustment, le„ to 
inflate to help the- weaker 
countries avoid devaluation. 

Worst of all, with exchange 
rate changes no longer respect- 
able. every aspect of policy 
would be once more distorted 
for balance-of-payments reasons. 
It is difficult enough ' explain 
to politicians that overseas pay. 
ments balance out automatically 
under a floating rate, and that 
loss-making industries do not 
have to be supported “ because 
of their exports." The task 
would be well-nigh impossible 
under serai-fixed rates. 

These fears 1 have expressed 
are based not on crystal-gazing, 
but on the ways British Govern- 
ments actually operated the 
Bretton Woods system. It would 
be a thousand ironies if in the 
name of misnamed monetary 
union EEC Governments were 
to intensify capital controls, 
restrict travel across frontiers 
and go back in the progress 
already achieved on the dis- 
mantling of trade barriers. 

Last week the Court of Appeal 
in Fletdier v. Clay Cross 
(Quarry Services) Ltd. put paid 
to any idea that inequalities in 
payment to men and women do- 
ing the same work could persist 
by the backdoor methods forced 
upon employers by external 
economic factors. 

The court held that an em- 
ployer could not avoid his 
i responsibilties by proving 
merely that he did not intend 
to discriminate. If lack of inten- 
tion were to provide a lawful 
excuse for variation in pay be- 
tween the sexes, the 1970 Act 
would assuredly have said so. 
It palpably did not 

The Clay Cross company 
employs three clerks in its sales 
office. One of them is Mrs. 
Fletcher, who started work for 
the company in 1972 when she 
was 19. In June 1975, when she 
was the eldest of the three, one 
of them left and the company 
advertised the vacancy. Only 
one of the applicants was suit- 
able; he was a man aged 24. 

When he was asked what he 
wanted, he insisted on £43 a 
week, the amount he was getting 
at his previous employment, and 
be was not willing to move for 
less pay. The company engaged 
him at that rate. 

That rate was much higher 
thaa his two new (female) 
colleagues were getting. Mrs. 
Fletcher and the other woman 
were receiving only £35 a week. 
At first Mrs. Fletcher did not 
complain, even though it was she 

About that time a firm of 
accountants recommended that 
the appropriate wage for the 
job was £43.46 a week. That 
meant that the two .women were 
being underpaid and. their male 
colleague was being ’-overpaid. 

The employers increased the 
women’s wages - to the recom- 
mended level and backdated it 
to the passing of the new law. 
But that still left the new (male) 
employee's pay at a rate nearly 
£6 more. 

Mrs. Fletcher duly complained 
to the Industrial Trib unal That 
body, by a majority of two to 
one, found for hex, bat the find- 
ing was reversed by the Employ- 
ment Appeal Tribunal, which 
thought that the whole issue 
turned on the employer’s state of 
mind — on the reason why it had 
paid the man more than the 

If tiie reason had nothing to do 
with sex, so the argument ran, 
then the employer could properly 
pay more. It placed reliance 
upon the evidence of the manag- 
ing director who said that sex 
was of no significance; had the 
one suitable applicant been a 
woman demanding to be paid £43 
the company would have em- 
ployed her at that rate. - 

The Equal Pay Act provides 
that where a woman is employed 
on like work with a man in the 
same employment rile shall not 
be treated less favourably in 
the terms of her contract than 
the comparable male worker. 
This is known as the “equality 

The scene then shifts— the 
employer is entitled to rely on 
a later provision which states 
that an equality clause shall not, 
however, operate in relation to a 
variation between the woman's 
contract and the man’s contract 
“ if the employer proves that the 
variation is genuinely due to a 
material difference (other than 
the difference of sex) between 
her case and his." 

The first thing to note about 
this provision Is the use of the 
word " case." The material 
difference that has to be estab- 
lished is between the respective, 
male and female cases; not their 
contracts, their skills or their 

The law asks that the material 
difference be judged as between 
her case and his case. Her case 
encompasses what appertains to 
her in her job— the qualification 
she has for it, her length of 
service in it, the skill she 
exhibits in performing it the 
responsibilities she undertakes 

and the conditions under which 
she does her work. Those are 
the bases upon which the com- 
parison with her fellow (male) 
employee are to be made. 

What are not material differ- 
ences in the relative cases are 
the circumstances in which the 
two came to be employed. These 
are collateral matters to the 
work they do. 

Lord Justice Lawton gave an 
apt example. A woman chemist 
recently graduated takes up a 
post at a forensic science labora- 
tory. She is not entitled to be 
paid the sane salary as a man 
working alongside her but who 
had 25 years experience behind 
him. If. on the other hand, s 
few months after her employ- 
ment began a man straight from 
university joined with the same 
qualifications as hers and was 
paid a higher salary merely be- 
cause be asked for it. she would 
bare to be paid at the same, 
bis her rate. 

It is the personal equations 
of the male and .female workers 
employed by the same employer 
that matter and that will deter- 
mine whether there is any 
material difference so as to 
justify a differential in pay. 
Exceptions- based upon economic 
factors or market pressures do 
nnt form part c*f any personal 
equation so as to avail the 
employer of Ms entitlement to 
discriminate lawfully. 

It would frustrate the purpose 
of the legislation if the mere 
fact that a man asks for more 
money than a woman is being 
paid for like work land got 
more money because of his 
strong bargaining power) was 
enough to satisfy the exception 
to the “equality' clause." 

If it was enough, the employer 
would be free to pay more not 
only to a prospective new em- 
ployee but also to an existing 
employee who asked for an 
increase and threatened to leave 
if he did not get it. More 
dramatically, supposing all the 
men in a factory asked for an 
increase in pay and threatened 
to strike if they did not get it, 
an employer who gave way could 
escape the charge that by so 
doing he would be discriminat- 
ing unlawfully against all the 
women doing like work. That 
points up to the absurdity of 
the argument put forward by 
the employer in the Clay Cross 

By excluding factors 
extraneous to the personal char 
acteristlcs of the employee in 
judging the material differences 
in the like cases, the Court of 
Appeal has avoided any conflict 
between the Equal Pay Act 1970 
and the EEC law. Rather, the 
court's interpretation of the UK 
law will act as a useful 
pointer to European lawyers 
seeking to work out the bald 
provision of Article 119 of the 
Rome Treaty. Also, a piece of 
reformist legislation in the UK 
has been deftly preserved by a 
sound judicial approach. 

JACK XICKLAUS's third victory 
in the British Open self cham- 
pionship and his second o\er the 
Old Course at St Andrew s was 
perhaps the most precious of all 
his major championship vie- 
tones. When one Jw* achieved 
as much as has Nicktaos. the 
ultimate satisfaction is to play 
as nearly perfect golf shots as 
one can fashion, and this was 
why Nicklaus was so exhilarated 
on ’Saturday evening, when he 
put on a party for the 58 
members of his entourage who 
had travelled from the U.S. 
because Nicklaus had told them 
that he felt he was ready to win 
u major title again. 

Humble pie was- on the menu 
for me and several Americans 
Who fancied that Nicklaus was 
no longer capable of summoning 
the vital putts in moments of 
crisis, since he had faltered in. 
championships for the last three 

How satisfying it was to be 
proved wrong I 

A couple of months ago, a 
group of use were sitting with 
the great man in the clubhouse 
at Muirfiedd Village Golf Club, 
the glorious course 44*at Nicklaus 
designed -and with which he con- 
tinually tinkers to improve. 

“ Do you fellows really mean 
it when you say I would not win 
again and if so why?" Nicklaus 
asked us. The reply, almost to 
a man, concerned Nicklaus’s 
putting, still mightily efficient 
but just a shade less deadly. 

“ Well I hope I am going to 
prove you wrong before the year 
is out" Nicklaus replied. “But 
even now I am beginning to have 
doubts myself. “ Nicklaus added 
as he gazed out wistfully across 
his prized creation. 

In the crisis late on Saturday, 
Nicklaus once again dug deep 
in to his seeroily bottomless veil 
of concentration ad determina- 
tion when he was suddenly faced 
with a familiar situation. It 
appeared certain that once again 
he was going to be deprived at 
the llth hour of the victory be 
craved more than most. 

Simon Owen, the pleasant New 
Zealander who has had very little 
experience of victory — I suppose 
his best performance was to be 
the second individual in the 
World Cup of 1976, on his first 
visit to the U.S. — told me later 
that after he had chipped in for 
a birdie at the 15th bole to take 
the lead from his partner he had 

Jack Kicklasis celebrates victory with his caddie. 

felt Nicklaus’s eyes boring into 
him. “ It was a scary thing,” 
Owen told me. “ But I do not feel 
that I really blew my chance-. It 
was just that 1 was fairly and 
squarely beaten by the bettor 

Well said 1 Nicklaus summoned 
a glorious second shot with his 
nine. iron to the 16 th green and 
for once summoned a telling putt 
of six feet for his birdie— having 
previously missed from around 
this distance and up to twice as 
far for so many squandered 
birdie opportunities. 


Because Owen went through 
the green onto the 17th lee. and 
could not get near the hole from 
there* there was the vital two 
strokes swing. At last Nicklaus 
managed to make his first par 
at the 461-yard I7th Road Hole" 
that had wrecked so many others, 
most notably Palmer and Balles- 
teros. • 

When Owen went on to the 
dreaded road after driving into 
the rough he was as good as 
doomed, hut Nicklaus still made 
things difficult for himself with 
an inexplicably poor pttch-and- 
run shot wav oast the hole, to 
the back of the lSth green. 
Happily he did not miss the 
three foot second putt similar to 
the one that deprived Doug 
Sanders of victory' over him in 
the 1970 plav-off." 

Ben Crenshaw, made a brave 
late bid for the title he craved 
as badly as did Nicklaus with a 
3. 4, 3. 3 finish. But this has 
been the pattern of his nenr- 

misses in championship play. The 

fact is that be had removed 
himself from contention carty 
in the round as did Tom Watson, 
the defending champion, after a 
most embarrassing tiff with a 
BBC cameraman. 

Tom Kite played as soundly 
as he always does to take h Share 

of second place with Crenshaw, 
the herioc Owen, and Ray Floyd, 
who equalled the best MM ‘iff 
the day with a 68 thanks to a 
magnificent inward- haH cm 31 
that contained only 11 putts. 

On Friday Owen had wt,*o- 
ecthcr six consecutive thiaecs 
from the 7th hole, around "The 
Loop." On Saturday be failed to 
make his three at the 7th, but 
then had five In a row ;to pat 
himself into position to win the 
championship. U has always 
been said championships «e won 
over the Old Course by those wbt> 
make hay around The Loop. v. 

Despite the fact that my fore- 
cast that Nicklaus might never 
win another major chantpioashfp 
is going to cost me more . than 
a little in wagers of various 
kinds, I am happy to have .been 
there to see- the great man win 
yet again. The standing ovation 
—without any of the wild shout- 
ing that happens in the U.S.— at 
Nicklaus walked np the 19th hole 
was something no one who -w as 
present-will forget. In every way 
this was the most memorable 
Open Championship I have ever 
seen— the huge crowds, the mag- 
nificent staging of the event by 
the Royal and Ancient Club, and 
the weather, not to speak of the 
splendour of the play. 


Bookies, bingo and 
universal truths 

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1L55-I2.05 am Closedown read- 








































! , 





















■■■■ . 





r ] 















; vV , • 















1 The others take father in for 
a meal (6) 

4 Money gets cover for staff- 
officer (Ml 

9 Record turnover isn't 
commonly a cause for 
grievance (6) 

10 Attacked animal was in pain 

12 Pet project for hooligan in 
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13 Portions of gas in temporary 
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31 Weights that produce quality 
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1 Souvenir about the local state 
( 8 ) 

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7 Male companies of serfs (6) 

S A chore to which .every man 

returns (2, 4) 

15 The main caste in which to XI Sounds m a quartet of over- 

« «" eMM 14 A ™ 

-0 Shelter in the river eases Tetl media result in. ^insanity 

strained relations (7) 

21 Fall for doctor at work (4) 

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18 A queer party means nothing 
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28 Stout rip may nevertheless 23 Conditions we meet with in 

lead the field (8) America (b) 

29 Desert fox (6) 24 Companion turns up in a car 

30 Rejects the odd fellow in the <g> - (A . 

Norfolk town (S) 27 What a tm liui is U) 

The solution of last Saturday's pwrie will be published 

with names of winners nest Saturday* 


9-30 am It’s Life with David 
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9- 09 Strangers. 

10.00 News. 

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THERE IS no doubt about it; 
at £7.50 the report of the F.oyal 
Commission on Gambling is a 
very good read — indeed an on- 
going read. Its textual delights 
are so competently sustained 
through 5S2 pages of discussion, 
analysis, annexes and appendices 
that the gambling conglomerates 
have still got their beads down, 
combing back and forth for 
weak or missing links in a 
virtuoso chain of argument 
which, if translated into legisla- 
tion. will cost the biggest of 
them several millions in profits. 

Where it feels the need, the 
commission rolls up its sleeves 
and digs deep into formulae, 
observing on page 148, for 
example, that at present foot- 
ball gets 2.365 per cent of 
(pools) turnover In the British 
football season after deduction 
of pool betting duty, which is: 
£73/100 (258— (40/100X258)) = 
£2,448.536.” (The figures relate 
to 1976-77). 

At other limes the commission 
enjoys itself stylistically, prefac- 
ing its discussion of bookmakers’ 
profits by observing that, as Jane 
Austen might have said, it Is a 
truth universally acknowledged 
that bookmakers make too much 
money, before turning to the 
sense and sensibility of its con- 
sulting accountants and conclud- 
ing, most un-Austen-like, that the 
majority of bookies do not make 
excessive profits. 

There are many other graceful 
touches, particularly in the 
chapters on horse racing and 
football (it will be remembered 
that one of the commission's 
terms of reference was to investi- 
gate the contribution made to 
sport by gambling). The .com- 
mission had to wade through 
thousands of words devoted to 
the argument that racing needed 
more prize money — an extra 
£l3m, according to one joint sub- 
mission. But the commission was 
nof impressed. “ It is true that 
Britain no longer dominates the 
international racing scene as she 

did before the middle of the 19th 
century, but that is a long way 
to try to put the clock back." 

That may seem a mild enough 
statement, but its true delight 
is that it puts into perspective 
the argument of owners, trainers 
and members of the Jockey Club 
— an argument advanced for at 
least 50 years — that the decline 
of the sport is imminent. . The 
number of horses in training 
over the last three years has 
been consistently high, says the 
report (the figure at Hay, 1977, 
was 11.235). “ Equally, there 

has been no decline in the 
number of trainers. Few of 
them will admit to making a 
profit, but they seem to stay in 

The argument for higher prize 
money has very tittle to do with 
the poor pay of stable staff — 
increased wages should come 
from higher training fees, says 
the report Equally, it has very 
tittle to do with stemming the 
export of top bloodstock. 41 If 
tbe scale of exports has increased 
in recent years, Che reasons are, 
we believe, to be found rather 
In. tbe weakness of the pound, 
tbe poor state of the economy 
and the levels of British taxation 
than in the amounts paid as 
pri 2 e money.” 

In a nutshell, the commission 
is of the firmly held view that 
the essemial standards and 
historic virtues of British ratting 
can be maintained with fewer 
horses and fewer racecourses. . 

Soccer, on the other hand, 
needs help. It is a hobby of some 
commentators to dwell on the 
chronic losses and weak' balance 
sheets of the majority of League 
clubs, and conclude, rather 
grandly, that this is solely due 
to the suspended animation of 
club management The commis- 
sion was more generous, acknow- 
ledging that . soccer in this 
country has reached tbe point 
where most of its plant needs 
major renovation. Further, it 

needs help on meeting the cost 
of safety regulations and combat- 
ting hoiliganism by providing 
more seats. 

The commission proposes a 
Football . Board to administer 
£7m worth of aid to soccer at 
1977 prices. Last year, pools 
stakes totalled £25&m. of which 
£103m went in pool betting duty, 
£75m in expenses, £72m in win- 
nings and fSm in profits. Be- 
cause of the eonunissiou’s pro- 
posed £100m national lottery for 
good causes.- it reckons pools 
stakes, at 1977 prices, would have 
dropped 13 per cent to £225ra. 
The £7m for soccer would have 
been collected via a 3 per cent 
surcharge -on turnover offset by 
a 3 per cent reduction in the pool 
betting duty. 

On these figures, the Treasury’s 
share of pools turnover last year 
would have dipped from £X03m 
to £83m, although it could not 
be expected to object, because 
in its final balance sheet the 
commission shows how the total 
duty and tax yield from gambling 
for 1977 w'onld have improved 
from £116.25m to an estimated 
£147.4m if all its recommenda- 
tions are adapted. The national 
lottery, for example, is shown 
as yielding £10m and the com- 
mission's proposals for stiffly 
higher casino duties would have 
produced an extr a £48. 9m, 

It Is this interlocking that is. 
the report’s - greatest strength. 
The commission has delivered a 
total package that is likely, 
sooner rather than later, to 
attract ’ reasonably unqualified 
support from the legislators. As 
Lord Rothschild, the commis- 
sion's chairman, might have said, 
it is a truth universally acknow- 
ledged that there is little in 
common between the needs and 
interests of the gentry in the 

members’ enclosure at Ascot, the 

middle-aged ladies who play 
bingo and the ..hooligans on the 
soccer terraces. Yet in this 
report they have been fitted 


Sorbus trainer files an appeal 

LATE ON Saturday night John 
Oxx, trainer of Sorbus. first past 
the post in the Irish Oaks, gave 
notice of appeal to tbe Irish 
Turf Club against the decision 
of Tbe Curragh stewards to 
award the race to the favourite 
Fair Salima, whose jockey 
Greville Starkey had said that 
Sorbus had taken his ground in 
the last furlong. 

The stewards’ decision meant 
that Starkey had completed 
doubles in tbe English and Irish 
Derbies, and the English and 
Irish Oaks- The stewards took 
more than half-an-hour to reach 
the decision and placed Sorbus 
second. Tbe Curragh crowd 
were angered by it. First prize 
money is £38.662. 

None of the experts could 
recall a case of a trainer appeal- 
ing to the ruling body to over- 
rule such a decision by the course 

stewards in an English or Irish 
classic race. 

Oxx now has until tomorrow 
to decide whether to proceed 

Dare Wigan’s selection for 
today’s racing: 


3.00 — Gunmelal Blue 

3.30 — Le Moss-* 

4.30— : Frank! lyn 

5.00— Inside Quarter 

3.15— Foreign Intrigue** 

4.15 — Captain Irish 

4,45 — Collect 


7.3&— Bonandra 

8.00 — General Atty 

- 8.30— Pagos Boy 

with his appeal. He trains 
in the republic, but Sorbus is 

Altbough all bets naming Fair 
Salinia as the winner stand, the 
Irish Turf Club faces tbe prob- 

lem of judging a dispute in 
which tempers are rising and 
political undercurrents, are run- 
ning strong. 

As Sorbus approached tbe post; 
the filly drifted to the left, tA. 
wards the stands, moving In 
front of Fair Salinia. The ques- 
tlons are, was Fair Satisb faffing 
and thus not affected by Sorbus's 
drift? Was the “drift" a 
deliberate act? Would Fair 
Salinia have won the race if 
Sorbus had not drifted? 

The stewards called all four of 
the race's leading jockeys before 
them. Ray Carroll, Sorbus’s 
jockey, . has only recently 
returned after a suspension. 

With Starkey’s impressive 
foursome at stake. Fair Salina's 
breeding value in tbe balance, 
and Irish racing pride central to 
the issue, the outcome of the 
appeal will be interesting 

Financial Times Monday July 17 1978 

Theatre Royal, Stratford 

Land of Hope 
and Glory ! 


v .. \ ^ 
=** V -vv. ' 


. ..... ■**•:. 

i T i • 

'j P or * ra 't of a community in 
H an £ music " !s what the 
tirem ley Operatic and Dramatic 
aoeioty has entered for the EEC 
international arts festival, and 
that u what we see in the second 
» a F of the evening. In the first 
half, the international adjudica- 
K° r - fOT lhe Bri tish semi-finals 
neing an hour late, we are taken 
jnro the drawing-room of Mrs. 
SiugRett. ihe producer, where tve 
meet her family, her neighbours 
and the company. 

This is one of those shows in 
v&icn the laughs are obtained by 
doing things wrong as thev are 
done wrong in real life.' only 
innre so. Some extra laughs are 
injected by the rumoured pre- 
sence in the district of a mur- 
derous psychopath and by the 
predictable misunderstandings 
»ai result when one of the 
company loses a cock. The Strat- 
ford company does things as 
wrong as can be as thev slither 
along a script by Roy Kift and 
Patrick Barlow under the direc- 
tion of Penny Cherns. 

There is no point in writing 
learned criticism about such a 
show; all that matters is that 


the house should enjoy it. and 
the Stratford bouse, with the i 
privilege of drinking and smok-' 
ing in the auditorium, clearly; 
enjoyed it a lot Mrs. Sluggett.l 
played in drag with a minimum | 
of subtlety by Patrick Barlow, j 
is evidently an old friend; the! 
audience knew her. and were! 
always ready with a little bar- 
racking. They joined in the com- 
munity song, encompassing with- 
out embarrassment its words in 
English. Danish. German. French 
and Dutch. They laughed duti- 
fully at the cues presented to 
them in the sketch about local 
radio tan essential part of com- 
munity life today). 

! felt rather as if 1 had gate- 
crashed oh a strangers* party; but 
the strangers were clearly doing 
their best to make sure I had a 
good time, and 1 hope they had 
one too. Naive, good-tempered, 
almost entirely clean — this might 
be a better formula for demofic 
entertainment than reconstruc- 
tions of a music-hall ambience 
that only senior citizens really 
recall in its true colours. 

Prague Festival' 

The Divine Bohemian 


■ '' - r 'V - 

Peter Arens and Christiane Horbiger. in Klingenberg’s production of The Taming of the Shrew 


T aming of the Shrew 


Leonard Kurt 

Tina Marian. Patrick Bariaw and Vincent Brimble 

Discounting the guest-visit of 
the West Berlin Schaublihne 
production of As You Like It. 
which extended this year's 
Zurich June Festival well into 
July, the remaining drama was 
conspicuously thin un the 
ground. Gerhard Klingenberg. 
when taking over the manage- 
ment of the Schauspielhaus in 
January', had. in any case, 
decided to postpone inviting 
foreign drama companies until 
1979, when bis new policy 
promised an international season 
built on a common theme, or on 
a single playwright’s works in 
several languages, or both. His 
own theatre's contributions were 
cut from three to two, after the 
sickness of Heidemarie Hatheyer 
had led to the last-minute can- 
cellation of Hartmut Lange's 
production of his own Frau von 
Hauenhofcn. a Swiss premiere, 
on the small stage. 

The two remaining entries, 
equally new to Zurich, were 
Kiingenberg’s translation of the 
two Elizabethan Shrew dramas, 
which he directed himself, bor- 
rowing the framework of the 
anonymous play to enable the 
drunken Christopher Sly to 
watch the strolling Italian 

players in their platform- 
performance of The Taming of 
the Shrew throughout the action 
from first to last: and secondly, 
the complete version of Max 
Frisch's fiiedermann and the 
Incendiaries, directed by Erwin 
Axer, from Warsaw. Axer had 
already done the play, with 
decor aDd costumes by Eva 
Starowieyska, at bis own theatre 
in Warsaw and the present 
version closely followed the 
original performance. It was a 
stylish and uncommonly 
restrained view of the insidious 
way in which incendiaries — 
we might call them terrorists 
today — worm their way into Ihe 
confidence of a well-meaning 
Swiss burger, who most willingly 
connives at his impending 

Kurt Beck, a notable inter- 
preter of Frisch parts, plays the 
irresolute hero too ingratiatingly 
perhaps to allow the author's full 
points to be heard, though H&ns- 
Dieter Zeidler as the thuggish 
all-in wrestler Schmitz and 
Charles Regnier as his fellow- 
conspirator Eisenring. each give 
performances of such oily 
smoothness that Biedermann's 
myopic delaying tactics inevit- 

Wigmore Hall 

Christa Ludwig 


ably earn some sympathy. The 
macabre epilogue in a Hell 
whose Inmates quench the fires in 
support of an industrial strike 
acts more like a Durrenmatt 
satire than a dramatic anti- 
bourgeois broadside from Frisch's 
less ex&ra vagan t pen. 

Beck also gives a masterly 
comic portrayal of the humiliated 
tailor in Klingenberg's produc- 
tion, a showy cameo pari that 
bears out Stanislavsky’s dictum 
about there being no small parts, 
only small actors, and honours: 
KHngenbergV? ability to persuade 
his star players to undertake 
other than leading roles. Anne- 1 
Marie Blanc, as the Widow, and 
Maria Becker as the Hostess 
(though she soon dropped cut, 
apparently to be free to rehearse 
Miss Hatheyer’s role when 
Lange's play opens on the large 
stage in tbe autumn), are two 
more shining examples of this 
policy. In Jorg Ziramermann's 
vast baronial hall Peter Ehrlich, 
as the fuddled Sly, is right 
royally entertained on a fit-up 
stage by the merry story of bow 
a boisterous Petruchio (Peter 
Arens) and a tomboyish Kath- 
arine {Christiane Horbiger). two 
really normal and decent people 
at heart, fall in love at first sight 
and find themselves compelled to 
learn bow to tame social tradi- 
tion and sexual convention in 
their pursuit of true hapiness. 

To the foreign visitor from 
the West, the opera repertory in 
Prague seems exotic and appe- 
tising, especially if that visitor 
is interested in Slavic music. 
Last month, for instance, in- 
cluded a number of international 
staples: Carmen . ha Bcfotme, 
Rigoletto, The Magic Flute. Cost 
fan lutte and The Seraglio (the 
Mozart operas given in the Tyl 
Theatre, where Don Giovanni 
bad its premiere). But there 
were also performances of 
Smetana's The Secret and The 
Kiss, as well as Dvorak's The 
Jacobin and JanScek’s Jenujn. 
The Makropulos Case and The 
Cunning Little Viren (besides 
the special festival productions 
of his Sarha and Osud. men- 
tioned in a previous report). 
Other Dvorak and Jan&cek 
operas are done regularly, as is 
virtually the complete Smetana 
canon, plus works by Fibich and 
Martinu. A typical season would 
also include some Russian works 
(Tchaikovsky. Mussorgsky. Pro- 
kofiev and. perhaps, a contem- 
porary composer like HyriJ 

Last month's operatic fare — 
characteristic of the city — 
provided the visitor with an 
opportunity to hear Smetana's 
The Secret at the Smetana 
Theatre and. at the Tyl. a special 
revival of a true rarity: I! Gran 
Tamerlano by the 18th-century 
composer Josef Myslivecek. As 
it happened, the repertory per- 
formance was more interesting 
and enjoyable than the special 
festival production. 

The Grove entry on Myslivecek 
(Prague 1737-Rome 1781) con- 
tains this beguiling sentence: 

. . he was afflicted with a sorry 
disfigurement by the loss of his 
nose, due to the clumsiness of 
a surgeon." Fortunately 11 Gran 
Tamerlano was written in 1771, 

Poets exchange 

The Arts Council and the 
League of Canadian Poets are 
sponsoring an exchange visit of 
three Canadian poets to England 
and three English poets to 
Canada in late September-early 

The English poets are C. H. 
Sisson, Geoffrey Hill and Brian 
Patten. They fly to Toronto 
Dn September 22 and the follow- 
ing day will take part in a com- 
bined reading and reception with 
the Canadian poets who will be 
arriving in London on Septem- 
ber 25. The Canadians will tour 
the regions and will finally take 
part in a combined reading with 
the three English poets at the 
Institute of Contemporary Arts 
on October 8. 

Tbe Canadian poets are P. K. 
Page. Earle Blrney and Michael 

some years before this unhappy 
event, and performed in Milan, 
apparently with success. Myslive- 
cek. known to the Italians (never 
good at foreign names) as “il 
divino boemo," went on to write 
for Turin. Pavia. Naples, Venice. 
Rome; then he fell on .hard times 
and died in poverty. His works 
soon vanished from the theatres, 
but in this century — since the 
1930s, more or less— there has 
been a renewal of interest in 
him. at least in Czechoslovakia, 
where several of bis operas have 
been revived and some of his 
non-operatie music has been 

His Tamerlano (which was 
given at the Tyl in a Czech 
translation) certainly contains 
some lovely pages, and is never 
less than well-crafted. Unfortu- 
nately. there are apparently no 
singers in Czechoslovakia these 
days who specialise in baroque 
music or understand its peculiar 
requirements: and much of wbat 
was to be heard during the re- 
vival was painful to the ear. 
In the exacting title role, the 
bass Miroslav Frydlewicz bawled 
most of his music. The soprano 
Nad"a Sormov& (Asteria) was 
more pleasant, though hardly 
appropriate. The most enjoy- 
able singing came from the 
veteran bass Karel Berman 
(Bajazet). Premysl Charvat 
conducted un exception ally. The 
sets (by Kveloslav Bubenik). the 
costumes (Adolf Wenig). and the 
staging (Ladislav Strosl were 
perfectly coherent and dreadful. 
Obviously the three men agreed 
in their distrust of the work and 
were determined to distract the 
audience totally from the music. 
The production was aggressively 
ugly. The Divine Bohemian may 
not be a major composer, but he 
is certainly an interesting artist 
and he deserved greater respect. 

Smetana's Tnjemsrri (The 
Secret) was given in a simple, 
appealing production dating 
from 1973. -loser Svobod.i 
created quite attractive sets, and 
jindriska Hirschovu provided 
sound, traditional costumes. The 
staging of Premysl Koci was also 
straightforward and helpful. 
Smetana's next-tu-last opera is a 
deceptively’ complex piece. On 
the surface it is a village comedy, 
with one pair of thwarted young' 
lovers parallelled by another 
pair of older lovers, long 
separated by a family feud, in 
the end, or course, both old and 
young marry happily. But be- 
neath this story - there is a deeper 
melancholy. The comedy is not 
uproarious: the long-blighted 
lives of the older couple are 
made real and moving 
(especially in the second act 
monologue of Kaiina. the ntan 
kept from his love by hts 
poverty). There is— as in The 
Devil's Wall. Smetana's last 
opera — an ingenuous super- 
natural element (here Koci, 
using artificial amplification, 
somewhat vitiated the sweetness 
ami innocence of the scene). 

The cast was good and a real 
team. The young soprano 
Zoni Jehlickova (Blarcnka. Ihn 
Juliet figure i was especially 
winning, and Eoluislav Alarsik 
was a jolly, but nut hammy 
Bonifue, a comic Braggart 
Soldier in the Belcon; vein, it 
was a particular pleasure, too. in 
hear — in the small, but charming 
character role of the Minstrel — 
the great Beno Blachul. star 
tenor of the Prague theatre a 
generation ago. The \mcv. nf 
course, is almost gone, but the 
grace and intelligence are still 
there to guide its ghost. Josef 
Kuchinka conducted with just 
the right blend of vigour and 
elegance. A lovely score, lov- 
ingly presented. 

Lillie Langtry plaque 

Lillie Langtry, the greatest 
stage beauty of tbe late Vic- 
torian and Edwardian periods, is 
to be commemorated by a GLC 
blue plaque at her former bouse 
at 21 Pont Street, Chelsea. 

Lillie Langtry, popularly 
known as the “Jersey Lily." was 
born in 1852. Although not con- 
sidered a great actress, she 
played a varied role in the 
theatre as actress, manager, 
author and owner. 

She took over the Imperial 
Theatre, Westminster, in 1900 
and rebuilt it in Grecian style. 
She continued to act and pro- 
duce and travelled widely in tbe 

In 1877 she met the then 
Prince of Wales, later Edward 
VII and became a popular mem- 
ber of his circle. 

Lillie Langtry lived at 21 Pont 

Street from 1S92 lo 1897 and the 
house, now a hotel, remains vir- 
tually unaltered outside. 

Vladislav Piavko. principal 
tenor at the Bolshoi Opera will' 
make his British debut at the 
Benson and Hedges Music Festi- 
val at Snape Mailings in October. 

His main appearance will be un 
Sunday, October S. when he will 
sing Rakhmaninoff songs in a 
recital with the French pianist 
Jean-Pbilippe Cnllard. Piavko’s 
accompanist will be another cele- 
brated pianist Craig Sheppard, 
who will also appear as soloist' 
earlier in the week. 

Vladislav Piavko will also be 
appearing with many other Ben- 
son and Hedges Festival artists 
in the ‘Racbraozartiade" on Fri- 
day. October 6, 

The Wigmore Hall Summer 
Festival, with a concert every 
oighi. late-night shows on Satur- 
days and Sunday morning events 
as well, opened on Saturday 
wiih the return to London as a 
recitaliM or Christa Ludwig. 
Miss Ludwig's appearances here 
in any furni have been rare in 
recciu jeans — an A muons at 
Govern Garden elowingiy des- 
cribed h> those who heard ii, a 
Carmen there only moderately 
successful. Yet site bas not lost 
her public — the hall was packed 
and ihe thunderous welcome she 
received would have heartened 
any artist. 

It is a pleasure to report that 
the voice was in tine condition — 
much hotter than for (.'irrmiKi or 
for her intelligent hui tonally 
insecure Glyteninesira and 

Wcilrttrc Fricka in Paris, as fine 
as the best of he/ Marschallin 
there. It almost sounded on 
Saturday as though the voice 
had been taken to bits, cleaned 
ami put together again. In the 
pioccss, and judging solely on 
this single occasion. Miss Lud- 
wig. risking an over-sim plifica- 
tjon or two. seems to have 
changed from what one may 
roughly call a Schwarzkopf to a 
Seemed type. 

In ihe, interval a respected 
and experienced musician 
remarked: '* But she isn't acting 
with her voice.” True, up to a 
point, but what might be blank 
and lifeless in a young singer 
innocent of such arts is not that 
with arf artist of this calibre who 
knows the music and the inter- 

pretative possibilities back- 
wards. There is a great deal to 
be said for such straightforward 
(but- not artless) presentation 
of solid slices from tbe classical 
Lieder repertory such as we 
were given on Saturday, with 
gorgeously steady middle notes, 
rich but not chcsly low ones, 
and staunch legato for Schu- 
bert’s “ lm Abendrnt." Death's 
verse in * Der Tod und das 
Mfidchen,” most notably of all 
for Schumann's “ Stille Trilnen." 

Not every problem was solved. 
There was rather too much sing- 
ing below the note — the hall was 
baking hot — and occasionally 
Miss Ludwig pushed a note out 
of true upwards. High notes (not 
much required in this pro- 
gramme) bad a suspicion of 
shrillness. In the first half 
Geoffrey Parsons was supporting 
the singer too generously. After 
the interval, with Wolf, Mahler 

and Strauss, the balance came 
right, though not even this 
pianist can compensate for tile; 
absence of an orchestra in " Icb 1 
bin der Welt abhandedi 

Wolfs Mignon Songs included 
a “ Heiss' micb nicht reden " and 
“So lasst micb scheinen" so 
poignant that the only compara- 
tive success of “ Kennst du das 
Land,” where the three verses 
failed to knit into one sustained 
cry of longing, was a surprise. 
Thougb the emotional reticence 
of the Mahler song already men- 
tioned (also of “ Icb atmef einen 
Linden Duft") was welcome, one 
suspects that Miss Ludwig is les; 
a natural Mahlerian than a 
Siraussian. The lovely simplicity 
of “Du raeines Herzens Krone- 
lein" did not disguise a wealth 
of skill in the placing of one note 
after another and in the control 
of jine in " Rube meine Seele.” 

CC.— ' Tiles* theatres aocrat certain credit 
cards by telephone or at the box office. 


COLISEUM. Credit cards 240 5258. 
Reservations 01-836 3161. 

1978179 season from July 2B. Bkg. Open 

Wimbledon Theatre 



The Directors of the Scottish Widows’ 
Fund and Life Assurance Society 
announce that Mr G A Kingsnorth 
FI A, the General Manager and Actuary, 
will retire on 30 September 1978. 

The Directors have made the following 
appointments as from I October 1978. 
Mr C M Cavaye MA FFA to be 
General Manager and Actuary. 

MrJ Eider FFA to be Deputy General 
Manager and Secretary- 

Royal Ballet School 


The Royal Ballet School’s child performers — my hero has 
young hopefuls were at Wimble- wer been Herod — but Mr. Bur- 
don last week, and there was STi^firmiv 
plenty to reward talent-spotters. E** q i , | t J™ l & r “ “tie ?? mite 
One particular attraction was choreography. A talent to watch, 
a divertissement made by The remainder of tbe 
Jonathan Burrows, who is still at programme, which I saw 
the Upper School; bis comprised the hushed and bean- 
Kaleidoscope is set to Eugene tifully poised Les Sylph-ides that 
Goossens’ music, and is devised Dame Alicia Markova has coaxed 
for the children of. the Lower from the students, and Birthday 
School. Faced with the many and Offering: both have the slight*** 
various problems ol writing for variations of cast from the 
very young dancers, Mr. Burrows Co vent Garden performance last 
has come up with tbe idea of week. 

children's games. and be ] am an admirer of the lento 
manipulates his legion of e mo/Io legato view of Fokine’s 
innocent performers with com- ballet Too often today cboreo- 
mendable skill. graphv is gabbled; Markova's 

There is not a lot that can be insistence upon a full and sus- 
done with those delicate limbs tained statement of the dances, 
and merry faces: 1 loathe all upon time for each phrase to be 

iGarOencharor credit card, 836 £903.) 

Tonight at 7.30: Four Schumann Pieces, 
The Firebird. The Concert. Wed- and 
Thur. at 7.30: Anastasia. Sat. at 2 . DO 
and 7.00: four Schumann Pieces. Diver- 
tissements. Elite Syncopations. 


Tomor. and FrJ. at 7.00: Norma (18 i 
July: Veasev replaces Bumbry. Livirgen 
replaces Craig. 21 Jdly; Bumbry 
replace! Caballe. Veasev replaces Bumbry. 
Lavincn replaces Craigl. Seat prices for 
21 July reouced CO schedule SI— rebates 
avail, after perl. B5 Amnhl' seats avail. 
tor all nerfs. irom 10 am on dav ol perl. 

Aug. 7 with tbe London Philharmonic 
Orchestra. Tonight, Wed and Frl. at 
5.30: coil fart tunc. Tomor.. Thur. and 
SaL at 6.15: La Boheme. Sun. at 5 JO: 
The Rake's Progress. Possible returns 
only. Box office Gtyudebourne. Lewes. E. 
Sussex (0273 B12411). N.B. Tbe curtains 
lor Cod will rise at 5.30 sharp: There 
Is no Possibility of admittance for late 
~ comers. 

Jolv 23 to Aug. 3 The sensational 

Dance Co. with GALINA and 

Dancing at every nei lonnance. 



Edited by Denys Sutton 


Published monthly price £2.00 Annual Subscription £25.00 (inland) 
Overseas subscription £28.00 USA & Canada Air Assisted $56 

Apollo Magazine. Bracken House.lOOnm™ Street. London, EC4P 4BY 

properly explored, brings exactly 
the rewards that can be beard in 
tbe recordings by pianists of an 
earlier generation, whose Inter- 
pretations put lo shame tbe 
whizz-kid bravura of some of 
today’s key-board tigers who 
know no tempo except presto and 
no value below a mezzo-forte. 

In Les Sylphides there are 
delicate gradations of tone to be 
seen with these apprentice 
dancers, and they are rewarding 
to watch. 

In Birthday Offering a major 
cast change came with Dido 
Nielson's assumption of the 
“Fonteyn** role. It is an inter- 
pretation far more convincing 
than it should be from so 
inexperienced a dancer— which 
may sound graceless as praise, 
but it is praise nevertheless. Miss 
Nicolson is radiantly pretty and 
has, as I reported last week, very 
pretty feet. She also shows an 
imaginative understanding of 
what she dances: the variation 
and the pas de deux made sense, 
not as technical difficulties over- 
come, but as choreography that 
had a shape and purpose. Miss 
Nicolson is a charmer, and her 
gift for dancing looks tender but 
true. I hope it may flower, and 
win her a splendid career. 

Ave., EC 1 . 837 1672. Lest week. 

I Eros. 7-30. Mats. Sat. 2.30. 

Tonight: Temnlo. Culgncl. Triad. 

Tomor.: GuIbqoI, Stick Figures, Suite 
Irom Sanctum. "Sheer wizardry ... an 
experience not to be mused.” E. News. 
"Utterly, utterly beautiful . . " (Triad J 
Guardian. July 31 -Aug. 26 MARCEL 


E »3 J M *ts. Thurs. 3.0. Sat. 4.0. 

_ PH- BE *T MUSICA. | 

1976, 1 977 and 1978- 

_ Sunday Peoole. 


ALBERT. , 836 3878. Credit card bkss. 
836 1971-1 from BJO am. Party Rate*. 
Mem.. Tuts., W«J. and Fri. 7.45 Ml. 

Tr, Ji£?J— 1 B SL. Sat. 4.30 and B.OO. 



j ftBLE TO SEE IT AGAIN," Ohr. Mirror. 

ALDWYCH. 836 6404. Info. 836 5332. 
Fa I hr alr-condltioned 
_ In ryoortotre 

TO” ti: Tomor. 7_J0 — Strindberg’s 
Emerges as a wonderful piece of work. 
Tbe Times. With: CORIOLAMUS (next 
perl- RSC also at THE WARE- 

HOUSE,. tsee under W) and at Ttte 
pittadUiv TBMtttj | n lest 3 week* Peter 

ALMOST FREE. 485 6224. LuncftUmes. 
"One Off fcy Bab Wilson. Tues-Sat. 
1.15 pm. Sues. S.O and 5.00 pm. No 
sho-rt a " Monday- 

ALMOST FRKe. 485 6224. Evenings Kurt 
VonnHJV'ti *■ Maw Piano.-’ by James 
Tuas-Sat. 6-00 sni. No mms 

Monea** - 

AMBASSADORS. 01-836 1171. 

N^ntly At LOO. Matlnoes Tucs. 2.45. 

wlttlJuxSAy £> 3 mi ^ 


T hS Thriller 


“ Seciira ?8 play again ■« In fact an 
utter * n0 wjal toy," Punch. Seat prices 
£ 2-0 Q .- ! cn M ’ 00 - Dinner and Top-price | 

APOLLO- 01-4X7 2663. Evenings 8.00. 

TO-luw *“ 

■ “° r 


_ WIOujdiY *"nwr." Times 

ARTS THEATRE. 01-836 2132, 


“ Hilarlo«« ---see tt.” Sunday Time*. 
MondJV » TtajMay 8-30. Friday and 

Saturej fe- g J-QP . j wL 9.1S. 

ASTORIA THEATRE. Charing cross Road. 
01-75 4 , tii, M *"-Thure. 8 pm. Frl. 
and S*i’, 00 •'W 8^5. (8 a Bet food 
aval US'*- * .. 


“ fnlpCT'f^. *pS®e*<fis. fom.ssomptng amt^f' , H- OI*wr»*r. Seats £ 2 . 00 - 
£6 00 . IWore Show best avail- 
able sej";*, MoiL-Thura, and FrL 


CHICHESTER. 0243 81312. 

ipnignt. July 18. 20 6 21 at 7.00. 
July 22 at 2 . 00 . 

July tl « 41 ii 7.ou. July 40 at 2-00 


CRITERION. 930 3216. CC 035 1071-3. 
Evgs. 8 . Eats. 5.30. 8.30. Thurs, 3.00 
In a,A l/r L,rvc. 


” VERY FUNNY.” Sun. Tel. 

DRURY LANE. 01-836 8108. Every 
night 8 . Matinee Wed. and SaL 3.00. 

*' A rare devauatma. lavouj,. astonishing 
stunner. '' 5 unetav Times 

DUCHESS- B36 8243. Mon. to Thurs. 
Evenings 8.00. Frt.. sat. 6 .is and 9-uo. 

~ The nudity is stunning.” Dally Tel. 
9th Sensational Year . 

PUKE OF YORK'S. 01-836 5122 

Evenings 8.00. Mat. Wed.. Sat 3.00. 
>■■■, 110 . nnii, e>-> August <«. 

In Julian Mifuieli's I 


*' Brilliantly witty ... no (me should 
i miss it." Harold Hobson (Dramai. • Instant 
credit card reservatloni. Dinner and! 

I Tao_ 0 rtte scats. £ 7 . 00 . ' 

FORTUNE. o36 2158. cva. fc.oif. Thurs. 3. 
SaL 5.00 and 8 . 00 . 

Munel P« now a s Miss rimBPLE In 

Thlrd_ Great Year . 

GARRICK THEATRE. CC. 01-836 4601. 
Evs. 8 . 0 . Mac Wed. 3.0. SaL 5-30. BUD. 
Gan. "NOT TO-BE MI 5SE0 ." Times. 


Ees. 8.1 5. Wed. 3.0. Sal. 60. 8.40. 

‘‘This must be the happiest laughter- 
maker In London." D. Tel “An Irjeslst- 

Evenings 7.30. Mat. SaL 2.30. "Stanley 
Hougnrcrn's Masterpiece.' I*'- -*■ • 

WAKES. “ A real fi rdlan. 

HAY MARKET. 930 9832. EV9S. 8.00. 
Wednesday 8 ’°°- 



and 1 RENE^,J 4 ANDL in 

A new play py NuNmlD HARW 000 
Directed by CASPER WBEDE 
"An admirable May. honest, well con- 
ceived. properly worked ouL Ireshty and 
fittingly written — richly satisfy! "ff— -Paul 

HER MAJESTY'S, CC. 01-930 6606- 
Prev. July 26. 8 . 0 . Ogens J“>y 27 at 
7.0. Sub. e*gs. 8 . 0 . Mats. Wed. A 
Sat. 3.0. 


A New Play or FMHo Haves Dean. 

Mon. to Thur. 9.0. frl-. Sat. 7.30. 9.30. 

LONDON PALLADIUM. CC. 01-437 7373. 
Mon.-Tues.. Thurs. and Frl. at a. 
Wed. and Sata. at 6.10 and 8-50. 
In a Spectacular Comedy _ Rev uo 
Soak now an hot line 01-437 2D5S. 

LYRIC THEATRE. 01-437 3686. En.B.D. 
Mat. Thur. 3.0. Sat. 5-9 and B JO. 


with Eliza bath Archer & Trevor Griffiths. 
By Eduardo dc FIUddo. 

'■TOTAL TRIUMPH." Ev. News. 
HUNDRED YEARS.” Sunday Times. 

MAYFAIR. 629 3036. Evfi. B, Sat. 5.30. 
and 830. Wed. Mat. at 3,0. 


MERMAID. 248 7656. Restaunint 248 
2835, Evenings 7J8 and 9.15. 

A Play for acton and orchestra by TOM 
63 and £ 2 . NO ONE WHO LOVES 



OLIVIER fogen stage!: Ton't. 7.30 THE 
CHERRY ORCHARD bv Chekhov tram 
bv Michael Frayn. Tdmnr. 7.30 The 
Count ry WKa. 

LYTTELTON {proscenium stage!: Ton’t- 
& Tomor. 7 AS PLENTY a new plav 
bv David Hare. 1 

COTTESLOE (small auditorium >: Ton't. 
bv David Mamet. 

Many excellent cheap seats all 3 theatres I 
day of peri. Car park. Restaurant 928 
2033. Credit card bkgs. 92B 3052. 

OPEN AIR. Regent’s Park. Tel. 486 2431. 
Tomorrow 6 Frl. at 8.00 with MARIA 
NIGHT'S DREAM Wed.. Thur. 8 , Sat. 

2 JO A 745. 

PALACE. CC. 01-437 6834, 

Mor.-Tnur*. 8 . 0 . Fri. & SOT. 6.0 and B.40. 

by Tim R ite and Andrew Lloyd Webber. 

PHOENIX. 01-836 2294. Evenings 8.15. 
Friday and Saturday 6.00 and 8-40. 
GARDEN make us laugh.” D. Mall. In 
The Hll Comedy by ROYCE RYTON. 

HAVE DIED," Sunday Times. "SHEER 

PICCADILLY. 437 4506. Credit card bkgs. 
836 1971-3. BJO *.m.-8J0 p.m. 

Eves. 7.30. Sat. 4.30 & 8 . Wed. mats 3. 
Royal Shakespeare Company in 
by Peter Nichols 


Ev, s t d. Award and SWET Award 

PRINCE EDWARD. CC i formerly Casino). 
01-437 6877. Performances This Week. 
Evgs. 0 . 0 . Mat. Thur. 3.0 Sat. 5.0. 8.40 

From JULY 22 Sab. 5.0 and 8-40. 
From AUG. 5 Sab. 3.0 and 8.40. 
and From SEPT. 2 sats. 3.0 and 8 . 0 . 

by Tim Rice and Andrew Lloyd Webber. 

QUEEN'S THEATRE. CC. 01-734 1166. 
Ev»s. 8.0. Wed. 3.0. 541 5.0, B.SD. 


_ Alan Bennett's 

p| ay and Players London Critics Award 

DIRECTED ^VP, F fF ? R E D V §agLlAM b 

RAYMOND REV DEBAR. CC. 01-734 1593 
At 7.00 p.m. 9 p.m. 1 J p.m. Open Suns. 
RAUL RAYMOND presents 
Fully air-conditioned 

REGENT. cc. Oxford CHtw Tube. 
01-637 9862-3 
Press. Irom 3rd Aug, Box Office open . 

ROYAL COURT. 01.730 1745. Air conds. 
Evenings B. Sat. BJO. L^t week. 

8111 " F- T,m “' 

wess-vssi «i 

ECLIP S E hy Leigh Jackson. 

"IW. erwit cards. 01-405 8004. 
Mh^aY-Thursdav evenings 8 - 00 . Friday 
5.30 and g 45 . Saturdays 3.06 and 8.D0. 
London errtta vote BILLY DANIELS In 

bmi Musical tn 1977 
Booking accepted. Major credit card?. 
Soedal reduced rates lor matinees nor 
I un i ta n period g n iy> 



Evss. at B.O. Fri, gifr Sajf^.dS & 8.45. 

S S?fr E Sf UR T* CC - 01-836 659S. 
SlrtUasbury Ave WC2 (High Hoioorn end). 
For a Special Summer Season 
A Ne J?„ES»2“™on 01 
. Scats irom £i.£ 5 . 

seaB “t £2 50 ij-haur 
5h «°?L ,r “ in ihe BO* Office. 
Mon.-Thur, 8 .15, Frl. G Sa t. S.30 A B.30 

5KtAND, 01-856 2660. Evening* 6.00. 
MaL Thure 3.00 5aL 5J0 and 8.30. 
no sex pl ease- 


VAUDEVILLE. 836 99BB. CC. Evs. 8.00. 
Mat. Tucs. 2.45. Sat. 5 and B. 

’• Re-enter Agatha with another who- 
dunnit hit. Agatha Christie K sulking the 
West End vet again with another Ot her 
fiendishly ingenious murder mysteries." 
helix Barker. Evening News 


Book Now. 828 4735-6. 834 1 317. 

Evening* 7. 3D . Mats. Wed, and Sat. 2A5. 
WAREHOUSE, Donmar Theatre, Covent 
Garden. 036 6808. Royal Shakespeare 
, Company. Ton t. B.OO. David Edgar';. 
■■Thrilling niece of theatre.” The 
Guardian. All scats LI. 80. Ad*, bkgs. 
Aidwvch. Studen t Standby LI. 


"MUGGERIDGE'S trenchant humour. 
THORNHILL'S dramatic art.” D. Tel. 
"Intensely human, caring drama.” Y. Post 
"Tremendous Impaci.” NoW. ’’I was 
shandy moved." J. C. Trcwin. 

Evs*. 7.45. Mats. Wed. 3.00. Sals. 4.30., 

WHITEHALL. 01-030 6692-7765. 

Evg*. 8.30. Frl. and SaL 6.45 and 9.00 
Paul Raymond presents tbe Sensational 
Sex Revue of the Century 


Twice Nightly 8.00 and 10.00. 
Sundays 6.00 and 8-00. 

PAUL RAYMOND presents 


"Takes to unprecedented limits what Is 
permissible on our stage.' Evg. News. 


WYNDHAM’S. 01-836 2038. Credit Card 
Bkg*. 836 1071-3 from 8.50 a.m. Mon.- 
Thur. 6.00. Frl. and Sat. 5.15 and 8.30. 


VERY FUNNY.” Evening News. 

Mary O'Malley's smash hit comedy 

" Supreme remedy on sex and religion." . 

YOUNG VIC. 028 636S. 

Tomor. 2 4 7. Wed. 8. Thur. 2 P.m. 
HELEN COME HOME or Achilles the 
Heel — visiting lazz musical, Thur.. Fri. 
& SaL 7J5 Bartholomew Fair. Young 
Vic Festival Last Week Phone Box Office 
for leaflet. 

■ me •-luu.-iuura, *no rr*. 

^H&IN^Jn^Mr?* ™ E rEAR ’ 


Mon. to Thurs. 
8.oe. •' k?' 45 8 M - 


Dinner W®.nric e mu m. 73 Inc, 

MERMAID. 01-248 7655- (Rest- 248 
2835.1 LUNCHTIMES July 17-25 M.OS 
Bm->.SS oml Bernard Miles MY 
SHAKESPEARE. J^ilv 23 Only 9.S0 im- 
Celebration ot the 300th Anniversary ol 
the Pilgrim* Prnorexs. 

OLD VIC. 628 7616. 

_ Juno-sept. swen 
Eileen Atkin*. Brenda Bruce. 
Michael Denison. Derek - Jacobi In 
" ^nd Buoy ant." Dally Telegraph. 
Today, Tues^Wed.. Thors. 7-30 
an outstanding revival.” The Timm: 
fri. 7 JO. Sat, 2.30 and 730. 

tHE uS|'sfef^lATEST 
GOOD^HATS ttttS.40. 

s - MARTIN'^. CC. 836 1443. EVBS. 8 00. 
Matinee Jgfrg-BS 5 and 8. 

worn b™ E longeIt?ever run 
2Cth Y EAR * 

TALK of THE TOWN. CC. 734 S0S1. 
8.00. Dinhig. Danchig /Bars open 7.15). 
9.3 P Supyr Revue 
and at 11 n.m. 



Evenings 7 , 3 a n.m. 

by Nigel Baldwin 


ABC 1 A 2. StiaHesburv Ave. 836 Mol. 

Ii 2001: A SPACE ODYSSEY >U> 70mm 
Mm. Wk. & Sun.-. 225. 7.55. 

ft Sun.: Z.OO. 5.15. B.15. 

CAMDEN PLAZA foPP Camden Town 
Tubol. 485 2443. Tavlanl’S ALLONSAN- 
AA). (Bv the director Of PADRE 
NEJ 2.S0. 4.JS. 6 50. 9 . 00, 11.15 

CLASSIC 1, 2, 3, 4. Oxiord Street (opp. 
Tottenham Court Rd. Tube). 616 0510. 
U or A progs.— Children hari-Prlcc. 

1; Bruce Lee GAME OF DEATH (X). 
progs. 2.00. 4.15. 6.30. 8.45 
2: Walt Disney’s HERBIE GOES TO 
MONTE CARLO (Ul. Progs. 1.50. 3.40. 
3.55. 8.05. 

3: Last 3 days! Alan Bates. John Hurt 
THE SHOUT IAAI, progs. 2- 30. 4.SS. 
6.40. 8 AS. 

4; LEBANON , . . WHY’ -.Al. Arabic 
Dialogue— final Kh Subtitles. Progs. 1 . 05 . 
2.50. 5.30, 8.10. 

CURZON. Corzon Street, w.i. 499 3737. 

1 Fully Air Conditioned) DER5U UZALA 
(U) in 7u n.m 'English sub-tltles.i A 
PIECE." Times. ” MASTERWORK," Ob- 
server. " MA5TERPIECE.” Ev. News. 
Film daily at 2.00. mot Sun.i S 00 and 


Richard Burton. Roger Mggrc. Richard- 
Hams. Hardy Kruger in THE WILD- 
GEESE (AAJ. Sep. progs. Wks. 1.00^ 
■ 4.30. 8.10. Late shows Wens., Thun.. 
Frls. ft Sats. 11.45 n.m. seats may be 
booled tn advance for B. 1 Q proa. 

0DEON. Leicester Sauare. (930 611 l.r 
fAj. SeP- Progs. Dfy. Doors open, morn- 
ing show 11.00 (Not Sun.). 1st nrpn. 
1 45. 2nd prog. 4.30, Eve. grog. 7.45. 
Late night shows Mon. -Sat., doors open 
11.15 p.m. All seats bkblc, evccpr morn-, 
ing show, ft Mon. Late mght show at 
the Box Qlhce or by Post. 

ODEON, Haynurket- f930 273812771.) 
Jane Fonda. Vanessa .Redgrave In • 
Fred Zlnnemann film JULIA tA). Sen.’ 
progs. Dlv. 230 fNot Sun.). 5.45. B.45. 
Feature Diy. 2 .45 (Not Sun.). 6.00. 
9.00. All seats bkhfe at theatre. 

ODEON. Marble Areh. W.2. (723 201112.1 
Wi HP- tfW. Dlv. Doors open 
1-05. 4.15. 7.45. Late show Fri. and 
Sat. Doors open 11.15 P.m. All sojts 


PRINCE CHARLES, LMC. So. 437 8181. 



d, t- Su" ‘ 2.45, 61 5 . 

9.00. Late Show Frl. and Sat, M is! 
Seats bKbla, Lis'd Bar. 



financial Times Monday 


Teiesraios: ITuiaatzmo, London PS4. Tries 88630/2, 883897 
Telephone: OL-248 SOW 

Monday July 17 1978 

IT IS now three weeks since 
Mr. Janies Callaghan, Prime 
Minister, promised that the facts 
would he placed before the 
House of Commons before any 
decisions were taken on the 
possible collaborative projects 
open to the British aerospace 
industry. A wholly inadequate 
attempt to do this was made 
when Mr. Gerald Kaufman. 
Minister of State at the Depart- 
ment of Industry, spoke in a 
debate last Monday. 

The attempt was inadequate 
because Mr. Kaufman told the 
House no more — and in s-ive 
areas rather less — than anyone 
has been able to read in the 
Press for many weeks past: 
that there is a market fnr new 
aircraft of a certain size, that 
British Aerospace has the 
choice of collaborating with 
Europe or with any of the bis 
three American airframe manu- 
facturers. and that the interests 
of the three principal British 
entities concerned are different. 
British Airways and Rolis-Royce 
warn to yo American, while 
British Aerospace lends t« 
prefer to go European. But 
because of the sums of money 
involved it is. in fact, the 
Government which will decide. 


Mr. Kaufman also said — as 
had Mr. Callahan before him 
' — that the decision would be 
taken on commercial grounds, 
and we would not dissent from 
that. While political factors 
cannot be entirely overlooked, 
the experience of Concorde 
alone is warn: in? enouyli of the 
perils of building largely 
’political aircraft There can be 
no case whatsoever for going 
along with the French and 
Germans solely to show that we 
are good Europeans after all. 

Yet to make a commercial 
decision it is necessary to hare 
the Facts, and the facts officially 
released so far amount to no 
more than the barest summary. 
We know, for example, that 
there has been an offer from 
Boeing, another from McDonnell 
Douglas and so on. but no infor- 
mation at all has been given to 
the public about the details and 
the terms. It is said — in favour 
of the American offers — that 
acceptance is more Mkefy to 
lead to orders for Rolls-Royce 

engines. Yet in practice, aero- 
engines of comparable thrust 
nowadays have become pretty 
well interchangeable; it is the 
airline rather than the airframe 
manufacturer which makes the 
final decision between Roll 
Boyce and I say) Pratt ami 
Whitney. It tvouL-d therefore be 
useful to know how Ann are the 
guarantees that Rolls-Royce 
would wm substantial orders 
for it would be foolish" to 
imagine that its American com 
petitors are sitting idly by. 

It would be no less useful to 
know something of the nature 

of the collaboration proposed 

The superficial attraction of 
going European i8 that Britain 
would be in partnership more 
or less with equals, and should 
thus have equal bargaining 
power. The converse of that is 
that going American — and 
especially going with Boeing — 
would put us in. partnership 
with a giant. Haw is the long- 
term British interest in such a 
partnership to be assured 7 Is 
British Aerospace, for instance 
to be allowed to take a stake in 
the Boeing equity? Or is there 
to be a joint subsidiary which 
would cooperate on a long-term 
basis and not just on a one-off 
project? These are feasible 
objectives. Perhaps they are 
being discussed. But. if so, the 
public needs to be told, so that 
informed opinion, and not just 
a Cabinet Committee, can reach 
a conclusion on the various 


There is very little time left 
The Europeans are ready to go 
ahead with Lb air new version 
of the Airbus with or without 
British participation. and 
despite the loss of the United 
Air Lines order -last week. Thus 
if we are going European we 
sbttfcl have to decide very soon 
Equally, however, the Govern- 
ment can have very tittle infor- 
mation left to gather. If 
wanted to let the public know 
what is going on, it could 
pub Writ a Whitt* Paper or make 
a statement to the House some- 
what more revealing than that 
of Mr. Kaufman within a matter 
of days. It should do so forth- 

Tokyo Round 

THE WESTERN leaders at the 
Bonn economic summit arc 
being given an optimistic pro- 
gre.-s report from their inter- 
national trade officials following 
lari week's marathon series of 
Tokyo Round negotiating 
serious in Geneva. By the end 
m i ho week, Mr. Robert Strauss, 
President Carter's Special Trade 
Representative, felt able to 
claim that the back of the latest 
round of multilateral trade talks 
had been *' totally broken.” 
til I; lost five years since it was 
Hr* i launched in September 
Ii'75. A statement agreed by all 
the countries represented in 
Bonn expressed confidence that 
the necessary political elements 
had finally been assembled to 
allow the technical details of a 
major trade reform package ti* 
ho completed by the end of the 


With protection irt pressures 
daily increasing, the need for 
some kind of political break- 
through in Geneva was obvious 

to most of tile major industria- 
lived countries. Indeed, more 
sceptical observers felt that for 

tin* very reason the joint state- 
ment exaggerated Lite extent of 
the progress that had actually 
been made. It is quite dear 
that a number of serious diffi- 
culties remain to be resolved, 
particularly in agricultural 
trade, before the talks can be 
successfully concluded. 

Yet tit ere can be no denying 
that real progress has been 
achieved. The U.S. and the 
EEC have .not solved all their 
differences over agriculture — 
an essential element of the final 
package if it is to be approved 
by the UJS, Congress. But they 
have got further than might 
have been expected only a few 
weeks ago. Washington bas 
moderated its original demands 
for improved access to the 
Community for a wide range- of 
farm products, while the Com- 
munity, in return, has promised 
to see what concessions it can 
make later in the year. 

Hard work remains to be done 
on -industrial subsidies and 
countervailing duties imposed 
In retaliation. But the basis has 
been laid for an overall political 
deal under which Washington 
would accept stricter criteria 

fnr the imposition of counter- 
vailing duties in exchange for 
greater subsidy discipline by 
the Europeans. One of the 
trickiest remaining issues will 
be the definition of the kind of 
subsidies that should be subject 
to this new discipline. Washing- 
ton's list of potentially unaccept- 
able subsidies, for instance, 
reads almost like a blow-by-blow 
description of the UK Govern- 
ment’s industrial and regional 

There bas alsn been consider- 
able progress on one of the 
other main stumbling blorks. 
safeguard measures. The U.S. 
now accepts the EEC’s demand 
that safeguards should in future 
be applicable selectively against 
individual countries — even if 
there are still differences about 
the procedures for doing so. 
Even Japan, which regards itself 
as the prime potential target for 

selective safeguards, is prepared 
to accept them uu certain condi- 

The proposed industrial tariff 
cut is still causing problems, 
with the U.S. and the EEC at 
losserheads with Japan. But 
this is not the most important 
element of the round and 

should be soluble by mathemati- 
cal as much as by political 
skills. There will also have 
to be serious efforts 1u convince 
the developing countries that 
their interests have not been 
disregarded. Their mood last 
week was less mi li taut than 
might have been expected, but 
it will not be possible to 
implement much of the final 
package without their agree- 


Internationa! economic 

negotiations are notorious for 
missing their deadlines. It 
should be possible, however, to 
complete the Tokyo Round by 
the end or the year if there is 
sufficient determination on all 
sides. Time is running out for 
Congressional approval, given 
the strict time scale laid down 
by the U.S. Trade Art. It is 
important that the year-end 
deadline be met — not only as 
& demonstration that govern- 
ments will resist protectionism 
but equally because the world's 
trading system urgently needs 
to be adapted tu the new 
economic circumstances of the 

Wo nc» Boeing 767 airUn« is *-»£*>« vrtttths £2f ttt ttfffaSS 

T HE DECISION by United 
Air Lines of the U.S. — 
the biggest airline in the 
West — to order 30 of the new 
Boeing 767 twin-engined 200- 
seat short-to-mediura range air- 
liners is expected to lead to a 
spate of other orders from air- 
lines round the world over the 
next few weeks. 

The entire world airline in- 
dustry bae been waiting for 
years to see which way United 
moved, and now that it has 
made its choice, many others 
will follow — including such big 
operators as American, Bran iff. 
Delta and Trans World in the 
U.S.. and elsewhere airlines in 
Western Europe, the Middle 
East and Australasia in particu- 
lar. So far. British Airways — 
which last week signed for 19 
Boeing 737 short-range jets 
worth £120m — bas not indicated 
its intentions, but it is believed 
to be more interested in the 
longer-term prospects of the 
second of Boeing’s proposed 
new jets, the smaller 160-180 
seater 757. than in the 200-seat 

What is clear is that Boeing 
has picked up the challenge 
thrown down little more than a 
week ago by Airbus Industrie — 
the European consortium that 
builds the 25U-seat A -300 Airbus 
—when it formally launched 
the smaller '200-seat B-10 ver- 
sion of the Airbus with orders 
and options from Lunfthansa, 
Swissair and Air France to back 
up an earlier option for 25 air- 
craft from Eastern Air Lines of 
the U.S. 

But while Aibus Industrie 
may have lost the battle for the 
United order, it still holds that 
from Eastern, and is engaged 
in many other fights, both in- 
side and outside the U.S., on 
which decisions could come 
swiftly now that the flood-gates 
have been opened. 

The world market for new jets 
of various kinds up to 1985 has 
been estimated by Boeing at 
over £40bn., both to meet the 
growing volume of world air 
traffic (the average annual rate 
of growth is estimated at S.7 per 
cent to the mid-1980s), and to 
cope with the replacement 
market as older jets become less 
fuel efficient and less acceptable 
from increasingly noise- 
conscious communities near air- 

Of this market, over half or 
about £20bn is expected to he 

By MICHAEL DONNE, Aerospace Correspondent 

in the short-to-medium n.nj’a.rimrae BanufMtumm-one on torn. The initial [order from It i, Weull .J now h™ ; W>l«8 « 
c’ass where most of the world's the Continent and one m the United requires the /67s to he either McDonnell 2*Hi a ,u» ffr a nunii «iai «juiu jwwhoi 

oiseneers tSJel arnd whir* U S.-who have both now powered by Pratt and Whitney Lockheed can really slay out of extremely crowded with four 

Sver o ooo a^rafT cai be demonstrated that they not only JT-SD engines of about the market, if they want to win major manufacturers wii* win- 

expected to be ordered over th* have the determination to 40.000 lbs thrust. But there is some share of the orders that petitne UcM„ns Tlic deiejop- 

next few yearn, it is fn rids arra develop new major civil aircraft no doubt that the aircraft may will be placed in the immediate meat mis of only one 200- 

that both Airbus Industrie and ventures, but are also being just as well be bought by some future. The question McDiinnell seater. ^e^^BWfing^iff?,^ put 


pectiv . 

bigger aircraft — the existing long-term chances 
250-seat A-300 B-2 and B-4 air- commercial success of 

hat both Airbus Industrie and ventures, but are also being just as well be bought by some future. The question i'uunnneii seater. the Bouir 

Joeing will be fighting, not only supported by the world's air- airlines that already use the Douglas in ^rticular mus at nvor 81.5bn .su 

vith their B-lOs and 767s ris- lines with firm contracts. General Electric CF6 engines or answer l s whether it is rtady tu will ha\e to be 

actively, but also with their Britain has to weigh up the the Rolls-Royce RB-211 Dash 22. launch its nms intl ? se J cr ? 

must a t over 51.5bn. su that the sales 
massive, run* 

tiiT , ... _ several hundreds of 

of berth *aiso *iiT "the same broad competitor tn both the Airbus aircraft, for Boeing alone to get 
both thrust class. Whatever make of Industrie B-IO and Boeing <6., hack any substantial profits. 

*.uv-arai ana K-4 air- luiuumca k unuw (.'.it _ — r ■ * , 

buses, and the Boeing 777. which groups, and take a decision engines any particular airline or it will pre !. » r a l “ * , ! McDonnell ® 0U >jJ»s^ an ‘J r • 

is a three-engined 200 seater accordingly. It is a difficult chooses to put into its 767s. it * 3 e iJil5nHn» hc0tl have t0 

with greater range than the 76" one that has already caused is also likely to want the same others. w jcwi they can capture sufficient 

Bueiug will also be offers much agonising in the corridors manufacturer’s products for its “jjwd oil l " c section ,,rtlers . f,,r aircraft ****££? 

the smaller 757. and it is here of Whitehall and Westminster. 757s or its 777s. if it also buys *l r 2[ aft fo F * diueruit section frnm beneath the noses of Atr- 

that the implications of ihe but the fact that several any nf those npw types when of the market 
United decision begin to i:i- 1'iajnr airlines on the Continent Booing makes them available, 
fluence the UK For what is now and in the U.S. have made their And . it is considered certain in 
clear is that Boeing's original choices indicates that the long- the world airline industry that 
plans to launch a new family of awaited re-equipment tide is some airlines will buy " mixed” 
jets for the 1980s have been now beginning to flow, and that fleets from Boeing, 
given a massive boost, and over lime is therefore running short 

the weekend the U.S. manuT ■ •- for the UK. 

Thus, even 


Broader basis 
for collaboration 

Whichever way it moves, it 
will almost certainly want some 

bus Industrie and Boeing to 
make such Investments justifi- 
able. At this stage, it is tint 
clear w hat decisions they wiU 
take, but it is doubtful, if all 
four manufacturers will make 
any money if they split the 
market four ways. With two 

some help, in terms of develop- p.B-211 engine in all its versions CF6-32 

about 32.000* broaden the potential market, sidcred in the battle over the 

the re-equip* 
started to flow, 

... „ „ n#lI , e .. 4 . t »u. ».c UCU6.U.. wu.u Some reports have even sue- it is likely to gather momentum 

ai. liner matures entirely ak*., 4J.iM lbs thru=t-plus version n have other far . wach ing implica- S«ted that in some sections nf very rapidly indeed. There arc 

.,.e European Airbus, either in tinnc fnr tha wnrM'c airiinoc <nri the British Government ana m a^y j n the aerospace Indus- 

Boeing’s offer 

to tne UK , !1>r .. sted i„ bavins the Will ran n*v cnllulwraftai. on . , hlB 

To get this help. Boeing has in irs proposed 757. where it fJSjL their 0W J chances of mMch wirter hn ’ is lh;M ' Boeinu. ' .: a n a t h« by the 

■en looking round the world, vnuld like lo see the Da, h 535 l* hic KW S*, r„ This includes, for example. [“‘gf haV 

id has offered the UK a version of the engine at 33.000 ^ ,n3 ” collaboration on missiles ^ K J/ ar lt *“ l haV 

- on the 757 lbs thrust being offered as a Britain is already wirkme h ‘ 

for Bril’ -ii possible pov>cr-p!ant. but also f ^ nLiln with McDonnell Douglas on the 

ture of the that it is prepared to offer the Harpoon anti-ship missile), and ar, 

inr» 787 v.-ifh Iru* mnre nnxx'nrrnt IS broadly competi- miiifarv .rmraft iMfrtnnmMI at 

uu hi . . 

is already mirkme s . ^ . 

This is not unrealistic. Orders 

and options for the B-10 stand 
60 aircraft, with Lufthansa 

programme. . then it :s ready to offer that meats with Britain on the manu. jepave Model 146 70-100 seat order book for broad 200-seater 

But, at tlie same time. Airbus engine. This is also known to facture of its TriStar airliner feeder-liner jei and tu provide type jets now stands at 90 

Industrie un’thc Continent, bas RolU-Ryce. That is why the various versions, using (he support for research into a aircraft Those who remember 
been pressing the UK Govern- company has been pressing the Rolls-Royce RB-211. is also svend-generation , supersonic the early days of the jet era 

meiti to re-join the consortium UR Government hard in recent offering a new short-to-mediura- airliner. - know that the major manufac- 

— of which it was a member werin? fur formal approval to range twin-engined version. The question for Lockheed is turers, Boeing and (at that 

several years ago until it with- lamvh the RB-211 Dash 535 called the L-lUll-600 or Twin- broadly similar, bul it has an time) Douglas, booked several 

drew oa the assumption that the version into full-scale develop- Star. This would be broadly advantage in that it is already years of production of 707s and 

Airbus wuuld never be mem and production, and why competitive with the B-10. the collaborating closely with the DC-8g within a few months of 

successful— and win a share in it is now .likely to step up that Boeing 767. and the DC-X-200. UK, and has built up a substan- launching their ventures. A 

the manufacture nf the B-1U rri^urc. The United order for Lockheed is also thinking of tial relationship with Rolls- similar situation shows signs of 

version of the aircraft, in 767s may well thus be a another three-engined model, Rnycv and British Aerospace occurring now with the new 

addition to the private-venture catalyst for the long-awaited the L-1011-400. that would carry over the years, upon which it 200-seater. The new battle of 

work it already does on building de- 'rices in the UK. between 200 and 250 passengers might well be able to build the big jets has been joined, and 

the wings fur the bigger A-300 Thus, the United decision to and be broadly competitive with profitability. it promises to be one of the 

B-2 and B-4 aircraft. buy tbe 767 could also spark the proposed Boeing 777. Both What both McDonnell Douglas toughest and most expensive 

What the UK now has to do off a major battle among the of these new TriStar derivatives and Lockheed must also answer, international fights the aero* 

is to look closely at two major world's aeroengine manufac- would use RB-211 engines. however, is just how much it is space industr yhas ever seen. 

Broad ahn of 
Council's grants 

The Social Science Research 
Council is hopiug to extend the 
frontiers of human knowledge 
with the latest grants it has 
just announced. £2,913 is 
allocated for studying the intro- 
duction of parliamentary broad- 
casting but the SSRC assured 
me that giving this to the Tele- 
vision Research unit of Leeds 
University did not mean they 
knew when cameras would be 
allowed into Parliament. £9.476 
is to be given for a study un 
homosexual subculture in Eng- 
land from the 1880s to L940s 
and a similar amount tn inves- 
, gating changes in the kinship 
system and allocation of sex 
roles in modern Poland. 

The social characteristics of 
those holding right-wing and 
racialist views is another topic 
be researched, while £4,792 
being given to study British 
membership of the Rev. Sun 
Myung Moon’s Unification 

The SSRG did not seem 
enthusiastic about giving money 
trace just where the Church’s 
_ ad has gone lo ground in 
Britain since a U.S. Congres- 
sional committee asked him to 
testify. But among its more 
topical grants is one to investi- 
gate why UK-based multi- 
nationals “exhibit undesirable 
characteristics • nr behaviour 
patterns ” which lead tn greater 
Intervention by developing 
countries’ governments against 
them than, against their U.S.- 
based brothers. 

Equally, £25.694 is to be 
spent on investigating from “ an 
occupational sociology perspec- 
tive " how the 400 staff corre- 
spondents of foreign media 
shape the image of Britain 
’.road. The president of the 
Vireign Press Association of 
London, Fritz Beer, told me 
that he would welcome any 
study giving insight into the 
problems foreign correspondents 
face; his members cumplain that 

aid to tourism in 1976-77 of less road licence would cost nearly 
than £20 m as a “trifling £200. 

“Aha." said our man. “if 
it is trifling, you must be keen Libyan bill 
tu increase it” 

We’»e given up waiting for 
the phone to be repaired. 

in no other country do 
foreigners receive such low 
general consideration. 

PmfGssur Jeremy Tunstili uf 
the City University, who is to 
make the study, later said that 
the idea grew from tiis Berril 
report on overseas representa- 
tion: this suggested that the 
Government, instead of spend- 
ing huge sums uu Press offices 
abroad, should better help 
foreign journalists in London. 
He suggested ti would be a sort 
of re-run of his earlier studies 
on specialist journalists. One 
of hia findings, he said, was 
the similarity of football and 
political journalists in their 
dependence on managers fnr 


a 1 

At the end uf last week, a 
colleague was summoned to a 
lunch to hear Juhn Nott, 
Opposition spokesman on trade, 
outline Tory policy on tourism. 
Nott duly delivered a speech 
describing the total grant-in- 

“ You are misquoting me " 
Nott replied, fairly sharply fur 
such a mild-mannered man. 

Our man duly apologised and 
ventured lh3t perhaps it should 
be read that the Tories would 
cut the grant To this Nott 
^aid: *’ You cannot expect me to 
pre-judge what a Conservative 
Chancellor will do.” Later, his 
minions pursued our man down 
the corridor. They told him 
Nott was worried in case 
his remarks had been mis- 
interpreted or had not been 
clear. Which, you could say, 
was thoughtful of him. 

Old tricks 

As the politicians tiptoe gingerly 
towards the sleeping, issue of 
. raising l he fee »*n dog licences, 
researchers at the Treasury may 
be wondering why this potential 
silver mine has been left so 
Jong untapped. In 1832, may I 
assure you. the taxes of Britain’s 
337,000 dogs accounted for over 
4 per cent of ail tax revenue. 
It-w-as comfortably exceeded by 
the amounts paid for &uoh privi- 
leges as having horses, servants 
or windows. But, though the 
human population has since 
doubled and that of dogs risen 
by 15 times, it seems that, as 
we reported recently, the Gov- 
ernment today actually loses 
money on coMectong the 37 Jp 

Yet It is as welt that our Chan- 
cellors are more worried about 
the politics of dog owners' votes 
than history. 1-t might be hard 
tn revive the old taxes on 
“horses ridden by butchers In 
their trade ” and on persons 
“ wearing or using hair 
powder." But if a car were to 
be taxed at the rate uh&rged in 
1832 for a carriage and four, a 

Libya is " building bridges " 
with Britain, or so its Minister 
of Interior, Younis Ali Belgasim. 
assured me before flying off to 
West Germany. He bad been 
spending a four-week holiday 
here with his family. I sug- 
gested that past tensions 
between Britain and the Popular 
Socialist Jamah'triyah /Repub- 
lic) made London an unusual 
choice, but Belgasim was quick 
with phrases about the warm 
links which Libya was engin- 

Both he and the Libyan 
ambassador tu London. Moham- 
med Younis Aim j smart, won- 
dered why tihe West considered 
peasants with rifles as terrorists 
hut did not use such words fnr. 
pilots in Phantoms. 'They- 
wanted the French out of their 
southern neighbour. Chad, and 
Africa’s problems sorted out by 
the Organisation for African 
Unity, not by outsiders. They 
also wanted all great powers 
out of the Mediterranean, but 
thought that the U.S. looked on 
MintpfFs Malta as a Mediter- 
ranean Cuba. They believed 
some destabilisation attempts 
were under way on the island. 

For all his holiday, Belgasim 
told me that there was a prob- 
lem with Britain, an economic 
one. The Libyans claim over 
£50m from Britain— for rent due ; 
on the old Tobruk bases used 
by the British and for advance 
payments made on an air 
defence system ordered hv King 
Idris and .cancelled by Colonel 
Gadaffy after bis coup. The 
last formal talks on this claim 
were in October 1975. about the 
time when Gadaffy abandoned 
his support of the IRA Provi- 
sionals. The odd discussion 
since has not yet led to a settle- 





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returning Thursday 28th~Sep (ember. Fqlly Inclusive 
of scheduled flights, .first class hotels. 

From £745.00. 

Other forthcoming events 




International Toy Fair, depart 2 Sept. 
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Japan Plas (Plastics Fair), depart IS Nov* 
H days from £564.00. ' . 

Machine Tool Fair, depart 25 October 
II days from £674.00. : - , 



Toycraft, depart 9 October. 
10 days from £398.00. 

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* i \- 

Financial Times Monday Jalv 17 197S 


Monday July 17 1978 




with the 




By Charles Smith 
Far East Editor 

Relations between Japan and the rest of the world, particularly where trade is concerned, 
have been less than harmonious during the past year. This 20 page Survey looks at Japan in 
the world today and charts its likely economic and social developments up to 1985. 

policy-makers over the nest 
eight years. Japan claims to have 
ruled out the option of putting 
up barriers against Asian 
imports (as Japanese officials 
believe Europe is anxious to dot 
on the grounds that it cannot 
afford the political rupture with 
near-neighbours that would 
result from such action. The 
alternative Is to accept Asian 
exports, and to promote the shift 
of Japan's own industrial struc- 
ture away from the basic indus- 
trial sectors in which exporters 
such as Korea. Taiwan, Hong 
Kong and Singapore have 
become increasingly competi- 

JAPAN IS widely regarded as a 
problem country, if not -the" 
problem country, by industrial 
nations in the West. Its position 
as the only non-western in- 
dustrial nation to have emerged 
to date, its record of economic 
growth in the 1960s and early 
1970s, and the distressingly 
large balance of payments sur- 
pluses it has been running 
during the past two years, have 
tended to make it a unique 
subject of attention (if not un- 
derstanding) by the rest of the 
developed world. 

The tensions between Japan 
and the West have appeared so 
great at times in the last -few 
months that they seem to be 
leading in an almost inevitable 
resumption of a l930s-style 
trade war, with Japan as the 
4 * aggressive ’* exporter and the 
West as the embattled opponent 
of Free Trade. The view taken 
in this survey nf Japan's 
economic and polticai prospects 
up to 1985 is that “ total " trade 
war will not occur — but that con- 
tinuing tensions between Japan 
and the West are endemic and 
may last for many years. They 
can be traced to the fact that 
Japan does not fit into the world 
economic structure as viewed 
from Europe, and may not ever' 
dn so in the way Europeans 
seem to expect. 

The story of Japan's economic- 
emergence post-war is also the 
story of its rapidly growing 
interdependence with the out- . 
side world. Jn the late 1950s. 
when Japan's major industries 
were still only beginning to get i 
off the ground, the nation's t 
overseas trade wis running at i 
scarcely higher levels than on i 
the eve of World War II, and c 

most big companies were 
primarily dependent on the 
home market. 

The picture changed with 
extreme, rapidity during the 
2960s, as the steel, shipbuilding, 
motor and otber industries 
embarked on massive invest- 
ment programmes which 
enabled them, first, to saturate 
Japan's domestic market, and 
then to move on to supply the 
outside world with highly com- 
petitive products. The dollar 
value of Japan's trade increased 
by 4i times during the 1960s, 
and industries which had 
boasted almost no overseas 
markets at the start of the 
decade (that is, cars) were 
heavily dependent on exports 
by the time it was over. 


The Econo my 
Foreign Policy 

"the Yen" 


Investment Overseas 
Heavy Industry 

Industrial Strategy 

VI Oil 

VH Energy S ources 

VUI Nuclear Energy 

Vm Space 
IX Electronics 
X Transport ” 


The Woman's Ro le 
The Ocean 
Population Density” 




The behaviour of Japanese 
imports during the decade of 
the 1960s was similar to that of 
exports in one respect, but 
significantly different in 
another. Japan did not 
increase its imports of manu- 
factured goods at anything like 
the rate it increased its exports; 
but it did become a major 
importer of natural resources 
and energy. In terms of energy 
.alone. Japan moved from sup- 
plying over half its own needs 
in I960 (mainly from the 
domestic coal industry) to an 88 
per cent dependence on 
imported energy by the end of 
the decade — when the bulk of 
Japanese energy requirements 
were being met by imported oil. 

The rapid increase in inter- 
dependence between Japan and 
the outside worl&began to make 
itself felt in the form of fric- 
tions of various kinds from 19 HS 
onwards, when [ Japan's fast- 

[ growing exports of manufac- 
tured goods first gave it a 
\ permanent trade and current 
; account surplus. 

Meanwhile, Japan's massive 
dependence on imported raw 
materials was starting to cause 
problems. They surfaced with 
a vengeance when Japan 
became the principal victim of 
the 1973 oil crisis by virtue of 
its status as the world's largest 
oil importer and the most 
heavily dependent of all major 
industrial countries on imported 

Japan dealt witb the oil crisis 
by introducing a set of measures 
which had the effect of halting 
the economy in its tracks and 
of drastically cutting down on 
the need for imported natural 
resources. The measures led to 
an initial decline in oil imports 
followed by a resumption of 
growth which was sharply less 
than the growth of the GNP. 
What the measures could not 
do, and were not designed to 
do. was to reduce the depend- 
ence of Japanese industry on 
overseas markets. 

Exports hesitated for a year 
or two after the oil crisis and 
then took off— -achieving a : 
growth rate of 23.9 per cent in ] 
fiscal year 1976 and 20 per cent i 
in 1977. The result, not i 

- surprisingly, was a renewal of .contribute to a rise in 1 the ratio 
t the tensions between Japan and of manufactured goods in 
i its competitors which had Japan's total imports to 30 per 
existed before the oil crisis. cent in the early 1980s from the 
The dependence of Japan on present levels of between 20 
r the -West as a market for its and 25 per cent. That in turn 
i exports and the unwillingness should mean a fall in the Euro- 
i of the West to go on absorbing and US deficits with Japan 
such exports unless it can -^ut it does not spell eventual 
secure what it considers to be a elimination of the deficits, nor 
reasonable share of the is Japan likely to achieve the 

Japanese market .for its balance on overall current 

products probably represents account the U.S. has been 

the biggest single source of demanding, 

trouble in world trade today. The reasons why Japan will 
The Japanese surplus with the not come anywhere near to 
U.S. in the first five months of balancing its trade with the 
1978 ($4.3bn) was more than West in the foreseeable future 
double that in the same period are, first, that it could not 
of 1977. despite the anticipated afford to do so (because sur- 
effects of yen appreciation (by pluses with other manufactured 
46 per cent against the dollar goods exporters are needed to 
since the beginning of last offset deficits with raw 
year) in shifting the competi- materials suppliers) and. 
tive balance between Japan second, that it will retain a 
and the U.S. in the latter’s substantial competitive edge 
favour. against Europe and America 

Japanese officials, and most even after yen revaluation 
other people for that matter, takes effect, 
remain confident that the dearer The necessity for a continu- 
yen will ultimately make a dif- ing overall current surplus 
ference. It is also presumed that- arises, the Japanese argue, 
imports into Japan will rise as because the nation has reached’ 
the Government programme of a point in the evolution of its 
heavy public spending begins to jrplations with the outside world 
produce a positive impact on wbere it is obliged to be a 
domestic demand. If ail goes , capital exporter, 
well, these two factors could Japan will be stepping up i 

direct investments in otber 
countries during the 1980s, 
partly to secure safer access to 
the raw materials needed by its 
industry, and partly in order to 
establish manufacturing bases 
in overseas markets which show 
signs of becoming resistant to 
direct exports from Japan. It 
will also increase its foreign 
aid (so as to make what Japan 
feeis is a “feasible” contribu- 
tion to the welfare of the 
developing world) and there will 
be greater access for would-be 
foreign borrowers to the Tokyo 
capital market 

To pay for these and other 
necessary overseas activities, 
Japan may need a trading and 
invisibles surplus of between 
$5bn and $10bn for the in- 
definite future. An official 
forecast by the Economic 
Planning Agency puts the figure 
at $4bn in 1980. but this is 
widely regarded as being a 
polite piece of wishful thinking. 


Japan’s opinion on the prob- 
able reaction of Americans and 
Europeans to all this is that 
Western nations will continue 
to complain about Its trading 
practices in general and its 
bilateral surpluses in particular. 

- The likelihood of continuing 
pressures and complaints is 
thought to be “ unfortunate " 
within Japan's desire to be 
_ accepted as a fully participating 
member of the community of 
~ advanced nations. 

The situation could become 
_ rather more than unfortunate if 
the U.S. or Europe started erect- 
' ing trade barriers against 
Japanese exports on a larger 
scale than at present. But even 
if this were to happen, Japan 
would probably not be able to 
; see its way to stepping up im- 
. ports of manufactured goods 
’ from Western countries to any- 
. thing like the level of its own 
\ exports to the West. The reason 
for this is that neighbouring 
Asian countries have begun to 
export to Japan in competition 
with European and U.S. ex- 
porters, and are increasing their 
market shares rapidly. 

A survey carried out by the 
Boston Consulting Group 
recently showed that “develop- 
ing Asia” has stepped up its 
share of Japan’s imports of con- 
sumer durables from 4.4 per 
cent in the three years from 
1968 to 1970 to 20.7 per cent 
in 1976-77, while the U.S. and 
Western Europe suffered corres- 
ponding declines in their shares 
of the Japanese market for 
these products. The consulting i 
group found a similar shift in \ 
favour of Asian exporters in all i 
the other major categories of 1 
manufactured goods imported i 
into Japan. i 

The question of how to handle 1 
economic relations with “devel- 1 
oping Asia," and how to recon- 
cile these with its already tense i 
trading relations with the West, t 
represents one of the main ehaJ- t 
lenges for. Japanese economic t 

Japan has had previous 
experience of restructuring 
operations of this type. During 
the early ]960s it phased its 
coalmining industry almost com- 
pletely out oF existence, to make 
room for imported oil. then 
regarded as a cheaper and 
cleaner alternative. It is ready 
to do the same with industries 
such as textiles and electronics, 
but phasing out alone will not 
be enough. Japan will also need 
to step up iTs investment in 
technological research in order 
to be able to develop the 
advanced industries that will 
take over from the basic indus- 
trial sectors. 

An increased stress on tech- 
nology will mean two things for 
the Japanese economy, apart 
from enabling Japanese busi- 
nessmen to keep one step ahead 
of Asian competitors on the 
"development escalator.” One 
major consequence will be a 
shift towards a higher input of 
value into each unit of indus- 
trial production, and thus a 
gradual decline in Japan's pre- 
sent heavy dependence on im- 
ported natural resources, in- 
cluding energy. The second 
consequence of the increasing 
sophistication of Japanese in- 
dustry should be a higher 
degree of specialisation. 

A less universally-o repetitive, 
more highly-specialised Japan 
would be ao easier trading part- 
ner for the industrial West than 
the Japan of the late 1970s— 
indeed a situation eould even- 
tually be reached in which an 
interlocking relationship came 
into being between Japan's 
high-technology industries and 
those of Europe. 

The question mark over such 
a vision of the future is whether 
the West would be able to stay 
the pace that Japan seems cer- 
tain to set. 

for the world we live in. 

Toyota versus the economic problem. 

Automobiles Have become 
indispensable to everyday life. 

As society evolves so does the need 
for automobiles. At the same time 
we are acutely aware of the urgent 
need to conserve the earth's limited 
natural resources. And so the need 
for economy in automobiles becomes 

price of petrol. Add to that the 
rising charges for maintenance 
and service. And the automobile 
industry suffers from increased 
costs for raw materials and rising 
labor expenses. 

Study Of 9 * t flow in cylinder to seek most 
eificten t s/iap* lor combus non chamber. 

What, then, is an economy 
car? Naturally, it must provide 
good mileage and economy. And 
it must be ruggedly built to last, 
yet it m ust also be easi iy 
maintained. It must be easy to 
operate and perform well. A car 
must be designed and built as a 

total, balanced economic unit. We 

believe that this is the 'economy' 
car which motorists and society 
honestly require. 

At Toyota, we are keenly 

aware of such needs; our research 
and development staffs are 
currently involved in many, varied 
projects that are aimed at just that. 

For example, as well as 
developing an engine that 
provides better combustion using 
low grade petrol and an efficient 

power transmission system, we 

are experimenting with a material 

that would effectively replace 
metal and be both lighter and 

longer lasting 

This pursuit of economy by 
Toyota is not something begun- 
today, but initiated over 40 years 
ago when the first Toyotas rolled 
off the assembly line. This is 
because Toyota's philosophy is 
to build a car from your point of 
view. And this policy will 

never change as long as Toyota 

makes cars. 



People who core building for people who 


IWdirTB* M 


A changing political pattern 

SINCE THE early 1960s distribution of voters between known as the “ stable govern- 
.Tapaness political pundits have rural and urban constituencies, ment ” formula, which calls for 
been assertin'" the imrvitabmty with the rural vote (which on the LDP to rule single-handed 
of a change of government — balance goes to the LDP) count- for as long as possible and to 
but so far it «has nc»t happened. logon average for roughly twice enter into coalition with one 
The Liberal Democratic Party as much as the urban vote in opposition party (probably the 
i LDP) which was created in of its ability to return Democratic Socialists) after 

lqiS from a merger of two candidates w the Diet losing an overall majority. The 

earlier conservative’ parties has The second characteristic of LDP Secretary General, Mr. 

rtU^ MThm^ a brwk lmcI the LDP is that it is in reality Masayoshi Ohiia (who also 
Then “ a not so nUK .h a party as a eoali- happens to be a likely successor 

tion. Despite periodic attempts to Mr. Fukuda) favours a 
It caiuc perilously near to reform, including one carried “flexible approach” that 
Hosing its majority in the upper out b y t he present Prime apparently involves putting out 
house of the Diet (Japan’s Minister early last year, the “feelers'' to the opposition 
Parliament) in <tlie summer of ldp has never succeeded in now in the hope that LDP 
1974 when the then Prime freeing itself from the faction might be able to continue 
.Minister. Air. Kakvei Tanaka, system which divides the party ruling even after losing its 
.fought a " money election ” into a series of closely knit overall majority in the lower 
.which Jailed do inspire voters, groups centring on half-a-dozen house. 

In the winter of 1976 a badly or so powerful individuals each A third view, held by a small 
split LDP almost lost its with his band of '** followers/’ number of LDP members led 

majority in idle .lower house. The factions exist to promote ^ ex-Prirae Minister Mr. Takeo 

surviving only with the assist- the leadership ambitions of Miki. is that Japanese demo- 
arcce uf conservative imiepen- faction leaders and to channel cra cy will prove itself truly 
dents who joined the party after money and other kinds of assist- democratic only when Die 
getting elected. anpe frnm faction leaders to electorate turns the existing 

__ i heir, followers. The system has government out of office and 

C|iri/a«rnff been known to cause worse ten- elects an alternative govern- 

juiTircu sions within the party 

. . . . . DSP i im* established parties which aho 
28 seats held by the D appears to be shared by th* 

prubaWy because the us Japanese voters (46 per cent of 

originated as a breakaway grotrp wf]um> according tft a *ectnt 

originated as- ... , .. - _ - 

from the JSP) would suH fail polJt d0 not support anyptety). 
*_ th _ difference. The emergence of the Centre 

to covpr the d a * ., new element in Japanese 

The Japanoe ‘ „ ntilitira implies a breakdown* of 

element 51 ... 

tram contains one more ciemiuj ^ distinction be*wte a 

which has yet to b . c , n ? c "I l r!“ socialists and believers lit the 

(Tor ment Mr. Mlki apparently sees 

Left: Mr. Takeo Fukuda. Prime Minister of Japan. Right: Mr. Masayoshi Ohira. 
Secretary-General of the Liberal Democratic Party — and a possible successor to 

Mr. Fukuda. 


and which perhaps h ® lck *, i* virtues of tree enterprise (which 

to the- future— the centre. charactcr i. SM | Japanes* politics 

recently as 19" 3 i lhl ’ rc from the mid-fifties up bo the 

group politics which wore no 1 earJv TflSi j t would a Isotopes 

at least theoretically to indicate that there ys a 

of the opposition or P ru ^^‘ * vacuum to hr filled by any poll*, 
wing of the L °. p * tinl sroup * hidl an *" spiay 

least two small ^ necessary eaergy* and 

They are the New Liberal Uub 

(NLO— which hrokcaw^ from ^ ujp J|wJf ^ 

l4,e J J>i L ,n » t ofYohci osivalily All this vacuum. It has 

under the leadership of ^ d weak- 

Kono a son of on^ the ils roots organ- 

gundew J{£ P? 1 Leacue. a nation during tlie past year or 
Socialist Cilia members two and managed to increase its 

hwse group of former members aT ^ nyiim membership about 

o£JSP ' , threefold by l ho simple 'hut 

The New Liberal Club and j nscn j 0us device trf Introducing 
the Socialist Democratic League a ~ ncW system for electing the 
have nothing much in common pafty leader which entitles any 

.... r __- v so far as their political belieis p U j d 7 U p member to take part in 

Six months later, despite example during the premiership such ^ ^ tera ^ tive Government was obliged tn reality divided between a Left put together under these dr- *0 and even their survival u> a .. primaI> -.« If the W does 

predictions that .it would lose Mr - T akeo Miki) than norm- as consist 1 ^ of a broad coati- ^ odi £^ e C ba ^ t , v ' in g which favours working cumstances would probably debateable. succeed in occupying the centre 

Jis majority in the upper house, oily exist between politicians on ineiudinp the *Left-of iPS the size of the tax cut) f«ir with the Communists and a take in the JSP (with 120 seats The NLC got t0 a A. ,n r Japanese politics. however, 

-the party once again survived °PP°^f ofthe Japanese PJJ the 3Uft-of- ™ fettoneiSyeSs^fLPP S‘ht which looks towards In the present lower house of start at the 1978 general elec- thc party mil almost tuwty 

by a hairs breadih. figming a SSff he hiLeLf da^ the “?e tC^“ rto ISget w^ Someito and the DSP (neither thc Diet) and the Komeito with tkms, winning 17 but have Jo 

low-keyed but reasonably united leadTrshin voted in its original form but nf which would eater a eoali- 56. _ appeared to have taj.^ “old Right w hi A was «o» a 

election campaign under the » ? f £' ^ ^ ^ P ’ -■ an additional supplementarv tion which includes the Com- The resulting total o€ l<6 fcy the time of thel9ri «PP^ dominant influence m . Ils 

present Prime Mamsier. Mr. c^s are al refdTaSLed o C FOSSed Finance BUI was put through muaisU). In terms of numbers scats would fall weU short house elections. 'Vhu : these leadership. 

Takeo Fukuda. The LDP’s 2“*” f^hnrin<T tS h» ^ 1UMCU the Diet Incorporating soni" the most powerful coalition of the 256 seats which the LDP groups do .share, however, is a 

share of -the* vole in the 1977 ^vn^d ^rnniri^ a a watershed in opposition demands, thu> opposition parties that could be now holds. The addition of the sense of disillusionment wILh 

ejection was substantially less or a^iti^fh ' pohtlC , S ^ ^ Government's fare 

Ahan it had been in the previous 0 f lh S niaJler oDonsition t£ur ^ n ^ °® x£ e, S bt to while bowing to the opposition s 
unoor hmise election three years lhe op P osltlQn years fail to take account of the ^perior forces. ’- 

Charles Smith 

upper house election three years p ar ties. 
earlier (35 per cent -in the so- 

f act that in terms of the way the The assumption that loss r-f 

called national constituency ? £ ° iet . °P er . ates ^ wate r control by the LDP will lead in 

*P“ »™' r » te »-y™ Period shed is already being erossed. co.“lWon go7er^nnt o7to 'so'nie 

against ‘tltelS74 iigtire o£ 44 per conducted recently by KeLwd The njunwlng of the IJJI-s w , - . 

cent,. The party ™ Doyukai ^ ^ Tben™g^ ol I tbe ^ with 

Economy facing period 

berause a well -organised leader- businessmen who can be pre- an5 ' lower houses^ hasreachdd n th . , h . 

ship which (for once) was sumed t0 be LDP supporters) the point where the ruling party ^ h 'e 

thoroughly in control correeUy f ound tliat 56 per cent of the can no longer control even a ^ ^ , 

judged the number of caodi- respondents expected to see a majority of the committees in , ppem ?' The othmr and n-> 
— — less sigruncant point is that the 

dates tn pm up so as to secure coalition between the LDP and the two houses. Control of a 

1 ut l IT U JIUUOW J> Willi VI UL O « a - a ■ . 

the maximum “ yield" in terms a n opposition party during the committee involves supplying opposition is not in a position 
of votes per candidale. next decade, while a small the chairman as weH as a t0 P ronde a ° alternative 

of adjustment 

The outcome of the 1977 elec- minority expected such a eoali- majority “of “its members, but BovernmenL The four main APAN -s ECONOMY is expected 

tinn illustrates two character- Cion within two years. The 1 nine standing committees in the opposition parties me .Japan t 0 grow* at around 6 per cent per 

istics of Japanese politics in survey did not, however, touch upper house of the Diet now Lo^ man u nisi Party, toe Japan year over the next eight years — 

I2uva u* uopauw.K i/i. ■ 1 j live in • m. uvwgv v*. »***•» ^ • . ■ . — /TCT)\ l . M ’ v * * ,,v *■ ■c - ' ■. 

general and of the workings nf on the more subtle questions of have opposition chairmen and n „ _/ ar ,. „ 1 , a fairly fast rale of growth by 

_ JL 1_ . A. I :&• . It I. > > - _ mm H tllttfll Po If f 1% M Qltf> 1 Hltfl f'lit _ ■ a Vlf . < . 

the LDP in particular that are whether the coalition would be none has both an LDP chairman Komei Party (Komeito) and the the standards of mature Western --r-rr— 

economies but not 

crucial to the party's survival a formal one involving the and a majority of LDP members. De^pcratic Socialist Parly . 

prospects. One is that the LDP is sharing of Cabinet posts or In the lower house, where the (US") cover a wide pout i cal an easy or comfortable rate for 

already a minority party in would be based on an Government majority is slightly ^ectnirmwith the CoTruminiso j a p an itself to achieve. Tbe 

terms of the popular vote. Its informal '"working arrange- bigger, five committees have and the Democratic Socialists in maintenance of a "stable” 

share of the vote iu lower house ment” between the LDP and opposition chairmen and the all- bitter opposition to one another growth rale, as the Government 

elections fell helnw 50 percent one or more of the opposition important Budget Committee 1116 Jap* 11 Socialist Party has labelled it. will call for 
in the mid-1980s and has parties. has an opposition majority. The poised uneasily In between. heavy public spending during 

declined consistently though Views on this subject are consequences of LDP loss of The JSP officially advocate.* the first two or three years of 

gradually since then. The party believed to differ within the control over the Budget Com- the formation of a grand eoali- the period, which may lead to a 

manages to slay in power in this LDP itself. The Prime Minister mittee made themselves felt for tion of progressive partite series of enforced changes in 

situation because nf thc uneven is thought to favour what is the first time in 1977 when the replace the LDP but & in Japan's taxation and money 

! market systems during the 

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Honfl Kona, Bangkok. SingaiMK. Kuala Lumpur- London, Manila, Jakarta, Sydney. Rio de Janeiro. Beirut 

early 19S0s. 


Area 143,818 sq miles 





Per capita 


Trade (1977) 





Imports from UK £469m 

Exports to UK 


Currency =yen 

£1— Y381 

Government bmuls lo rise fast Irieiiy, chemical : fertilisers 
over the next rear or two. (exress raw maiena! eostsi, ana 
reaching the point in 19S0 textiles la labour-intensive 
where the outsianding value of industry in which Japan hM 
bond issues will be Y77,000bn, lust compel Uivity with neigh- 
or three times (hat year’s esti- Injuring Asian countries), 
mated tax revenue- Tlie main example uf the 

The sheer size u£ Government lalier LS shipbuilding, where 

borrowing is nut in itself likely Japan's production capacity has 
to cause trouble, or rather it been built up to levels [ar 
heed not cau.-c trouble if ways greater than what other nations 
can be found to widen the regards as an *• acceptable 

are absorbed mainly by banks market. 

and other institutions to a The conclusion 


sold to 

s no 

the general public, choice but tu phase these 
high savings ratio industries partly or wholly, out 

crisis but has recently been < SO per cent nf »« *"£« ,h * 

and tbe prowess of 

After lhe “hump” of 1980. GNP) mak«*s this a logical few years. 

or thereabouts, has been crossed *t ISL course to fallow, and the odds production scrapping is already 

ur imrrea"ums, jias ubcii uuaocu nnnrtnuorl course iu lunuw. diiu u«r uuua . _ 

it is hoped that the economy will J« r !n a few a " that the liberalisation nf under way. Scrapping capacity, 

settle in to a more normal pat- [** * , C11 interest rates which would be however, is easier than finding 

SctlLc ill iu u mute uuuucu p a >- r „„ lor i ll 1 1 , tries L rates wiiivu ouuiu ut. •• — — - 7 - . , 

tern of growth, with private in- needed to turn the bond market jobs for redundant workers, 

rflf-nvfrin* and con- whlch are amenable to Govern- a nnmmurniaiiv minnetitive esoecially when employment 

ment control. 

ThP im-pstmpnt int0 a commercially competitive especially when employment 
™ vehicle for private savings will levels throughout industry are 

search for ^ underta fc en ove r the next either static or falling as (they 

been in the past! Jew 
For this reason the 



essentially, between exports EPA officials still fed, though, question of industrial restruc- 

vestment recovering and con 

S S U P p e ;r..lCe„ J , a C the 

yearor ”°- 

1980$. however, is seen as one e s sentially, between 

of difficult and rather painful 3X111 Public expenditure. that there is a danger of the taring becomes one of how to 

adjustment for the economy The 5.7 per cent real growth unstinted issue of bonds leading S hift labour from one sector of 
with a distinct possibility that rate which Japan achieved in to a situation of “structural economy to another and of plow 
things may go wrong before fiscal year 1976 (April. 1976 to collapse ” ( that is a situation in t0 change Japan’s existing 
‘‘.equilibrium at the new March. 1977) was made possible which the amount of ^unds education system to meet# the 
growth rate is achieved. chiefly by the fact that exports required to service outstanding new employment pattern. , 

grew at 17.4 per cent (in real bond issues got out of proper- Japan's total labour force has 
Japan arrived at its present terms) during the year, while tion with the rest of the been growing relatively sSowly 
somewhat uneasy economic situ- j mpor ts grew bv onlv 9.4 per budget). It follows that Japan dQr i ne ^ past few Yeaqs (by 

^tion via a series of sharply con- cen[ Export-led growth, bow- will have To tackle the tricky 12rn workers to a total ofB2.5ni 
g with everi tumed out to be unpopu- and unpleasant issue of tax between 1972 and 1975). I The 

(rasting episodes starting 

“ ultra rapid" growth in the with " Japan’s” overseas reform in the fairly near future workforce, however, 

late 1960s and early l»70s and trading partners who, from mid- « . the -only alternative to shrank fay ^0,000 djuring 
continuing with deep recession 1977 onwards , became increas- ft«n« an °pen-ended and um- the lhnje ycar$ up tQ j 1975i 
in the period after the oil crisis, VO cal in their criticisms mately disastrous lDcrease m while employment j n whole- 

Japan's growth rate on the eve of - ^ fast growing Japanese tb* size of the budget aencit. saling gnd retaiIing roS p by 
of the 1973 oil crisis was more current surplus. By the end oE The existing Japanese tax roughly the same amountl The 
than twice that of any European u 7 g w ; t b flj e surplus beginning system relies heavily on direct other sectors where growth is 

nation, but its economy had be- translate itself into a sharp taxes (67.5 per cent total occurring 

come badly overheated by the upward revision of the yen revenue) and tends to place a continue 

and seem likely to 
are services (up 

end Mf 1973. The Government exc hanse rate. Japan had heavier burden on large corpora- 750,000 from 1972 to I975) ? and 

reacted by imposing severe de- apparently convinced itself that tions and their employees than yj e construction industry/ (up 

flationary measures which re- \\ mus t shift the main burden on small businessmen and itq.qoO). - 

stored price stability and 0 f stimulating the economy to farmers. The Government seems 

balance of payments equili- public spending. to be 1 thinking of introducing SklUS 

brium at the cost of what seems _. _ teDDinff „ D o£ Dub]ic either a general sales tax or a 

to hare been a fatal blow to the k in j aoan ’s value added tax sometime within The message «oiw«y«A by 

confidence of Japanese business- i978 rajse5 Government th « next. one or two fiscal years. ti*ese SS 


spending to rougblv 10 per But the decision on which of people are Ranging : thete 3®*® 
cent of the GNP, or from the the to adopt is fraught with 9™* 

traditional one-to-two ratio with PoliueaT sensitivity and is cer- »f and when «be econoanyi p^ks 
or i vate caoilal investment to a tainI y SO^ to be difficult to itp speed, but -teat new tarxis 
The seriousness of the races- 0 f almost one-to-one. The ™ ake -. ' --' ' ^ sWlte vrii4 be 

sion which hit Japanese in- impact flf this un the economy . A piijre^ 1 .dconoroie consider a- existing sfeiUs wilt, iwt .be 

dustry jn 19«4 land which m a is espected l0 b e decisive u on is. that any kind of tax needed) <m the Ja(pan of. itiie 

sense is continuing today) can Nearly all Japanese economic increase may. have a dampening mUMgsde. DcadKs 
be measured by the fact that the forecasters „ ow seen , t0 believe effect; « demand and thus run whether Japan’* , xi& d- ;ajid 
official industrial production an- jbe economic growth in c°unter to one of the main highly competitive . education 
dex finally arrived last Novem- igr8 wil , come near 6 per cent objectives of government poticy ft’ 'a^uttim art 

ber at rtie high point it had in tcrn3 5 which is a per- — whfch Is toget consumers to q^te .the ^pePd ^ needed to. cope 
reached in late 19/3 before the rentage point or so higher than spend mow s*; The answer accord- these 'changes. 

Government began imposing ite the consensus of private fore- 3n S to EPA, may be to combine ^ ^ to 

deflationary measures. casters at the start of 1978. an increase In -indirect taxes growth.' and • from 

Since industry's capacity to (Thc Government's forecast is which would snustannaiiy step a mifetilaeti*r4rtg oriented 

produce had been rising steadily for a real growth rate of 7 per tha Government take from ecQ^j^jy to one In which ker- 

during the intervening four cenl, but this is generally rc- } he 0eo f v ^ ny . . w J m a . - cu f ln vices may- be taking the lead, 

years (thanks to the completion garded as being a *’ politically income WlC WlUcn would please for numerous' oilier 

of investment .projects planned inspired. guess'* .rather than an the . c and Ceifi to adjuatments^oot ihfr ‘ least 

before the start of the oil crisis), assessment based on actual maintain demand. . ^ being the adjustment in Japan's 

che recovery ot 1973 production economic data.) Reforming the nation s international- balance of' : '-pay* 

levels did not signify anything The outlook for 1979 appears S"!" ces - TeP r ®Mnt3 one^Set of jnent5 ^ west rentfifiies 

like a return to pre-oil crisis t(1 be for another round of ? ur,Ue - 8 kJ iSL™ t . mil ’ ?! to demand, OfiicialS see the 

rates of capacity utilisation. The heavy expenditure on public wiwle proccse as taking lime- 

»v- works oroiects and a furth,r be -VuMl fflia- 

overall level of industrial activ- works projects and a further 
tty Jn Japan today is believed moderate rise in the GNP. but 

r c £»iy related peAaps . longer 

” »muuv*uu; nok. n* nib um, uui / •> ila- 

to be between 15 and 20 per from this point on questions p^ ble ^“S’e the tSrtruStaS changes are not -cushioned 

short of full operating st art to arise about the manage- ^ ^ yeer.toiwax 

. owrvuriAi fKnf - Mia Hai.* mm lnitint 

cent short of 

capacity, although the Govern- ment of the economy.' Increased lahbu7 mourns — arowth that the Uweriaaent 

rueni mdex (based on actuai public works spending has df «so uK «S- - impe 8 to achieve in tbe ipittim. 
19 1 0 operating levels ) indicates meant a steady climb in the Industrial structure,- apart ™. e new wfjr. bo'Iess 

a smaller supply-demand gap. volume of national bond Issues a problem ibr the deDeod€n t ^ba-dc 

The problem facing Japan’s paralleled by a sharp increase w hole qf Japaneae industry in *u_ 

nnnm+r nlannpra ie fhuf iL'hlla in thm ..tin .-.f hAnuiuaJ ihp cuncp 1 that -the demand-' . . ■ . ; * ^ . Pttt w 

economic planners is that, while in the ratio 'of borrowed funds tf te sense.:tbat the demattd-: - d , v 

operating levels remain far to tax revenue in the budget, supply unclosed, is ^ emte a m SSvte 

itial canacirv. inrius- (Thp Gnvemment claim u that a very "SpBrial. and UTedllt iv. , . 

below potential capacity, indus- (Thc Government claims that a v«ry . Special, and. urgent wjth . enroliasts on 
try has no incentive lo step up it has held the ratio U f P rt >blem ’..fpr a handful ot . endlM# 0 )™!™ 

its investment in new plant and borrowed funds to 32 per cent industries; which have.. ’become S 

equipment; This in turn means of the 1978 budget, but lhe real chronically, unprofliable or- are 
that one of the main forces figure, after allowing ter some suffering; from chronic , exdess 

which should be contributing to juggling of- the figures, seems cupadtjr.lp-the aftermath: of the .1 ■■ 

econonuc recovery is lacking, to be neartr 37 per cent.' oil crlsfir.. fSJtllS .Lg?“ W.gL/5 

Private capital investment tradi- Officials at the Economic Examples' of the former are 22f iil 

tionally constituted approsi- Planning Agency expect Uie aluminium refining, which can JS* Pothers, Jtt the 

malely 20 per cent of GNP in budget deficit tn rise gradually, no longer pay its way in Japan . I . 

the years before the 1973 ail and the total amount of issued becausa of the cost of elec- : C*5* 



a r 

Financial Times Monday July 17 1978 


lour questions answered. 

The readers of the Financial Times were recently given the opportunity to ask 
questions about Japan. 

Several 'hundred persons, selected at random from the newspaper’s subscribers, 
were telephoned by a public opinion research agency and asked what questions they 
would like answered about Japan. The following questions were selected as 
interesting and typical and submitted to a panel of three experts (scholar, journalist, 
and business executive) in Japan for reply. They are: Dr. Hiroshi Kato. Professor of 
Economics, Keio University; Mr. Kinji Kawamura, former Asahi Shimbun Senior 
Writer on International ■ Affairs; and Mr. Masaya Miyoshi. Director, International 
Economic Affairs Department, KEIDANREN (Federation of Economic Organiza- 
tions). - 

There is not much point in cutting taxes, as some other 
Western governments are doing, because the Japanese are 
already such big savers. 

So the latest budget instead has a massive allocation for 
public worts which should prime the-pump more effectively.- 
(tir. K. Kawamura), 

The Yen currency . 

4. Mr.J. Ford. Accountant, Palmers Green: 

How far is Japan willing to see the Yen float and strengthen 
against other currencies, especially the U.S- dollar? Japan has 
enjoyed a substantial ba lance of payments surplus since the oil 
crisis. How do they propose to balance their trade in the future 
- by limiting the growth of exports or sucking in more imports? 

The Japanese national currency has strengthened by about 
50% against the American dollar since the Smithsonian realign- 
ments of 1971 . In the past year alone the revaluation has been 
22%. This is quite a strain for an economy to absorb, especially 
difficult for small investors and manufacturers who have built 
up investments abroad or export business based on older 
exchange rates. 

It has not been, I suppose, a totally “clean” float, but the 
extent of change in only a short time speaks for itself. It is 
impossible to predict what policy the Bank of Japan may 
follow in the future, but I doubt if it will stand in the way of 
the Yen's finding its own natural level, whatever that is. 

Japan is of course anxious to bring the trade balance nearer 
to equilibrium, and this can only be done by more imports, not 
fewer exports. The government expects to reduce tariffs within 
the Tokyo Round of Multilateral Trade Negotiations, and has 
.actually cut some in advance. (Dr. H. Kato) 

Why are they flooding our markets ? 

1. Mrs J. Cook, Housewife, RedhiH: 

I would like to see Japan give us a bit more of their trade, for 
example with cars. Why don't they take some more of ours 
instead of sending us so many of theirs?. Of course, they are 
doing a fantastic job there, and it’s a pity we don’t seem to be 
able to do the same. They really work to get things done. But 
aren't they hogging the trade too much, flooding our markets? 

Do not forget that Japan has about twice the population and 
Gross National Product of Britain, so it is not surprising that 
Japan should .export £45 billion worth of goods a year against 
-Britain's £53 billion. Japan’s exports per head of population 
last year- were only about £-400, railter less than Britain’s 

It is only natural that we should succeed in the sectors where 
wc have comparative advantage and your industry is for some 
reason less competitive. That is why our exports appear to your 
side to be concentrated, with TV sets, some special steel bars, 
zipfasteners, tape recorders, hi-fi equipment and motor cars 
high on the list. ‘ 

But our government and exporters have not failed to arrange 
for voluntary restraint whenever it appeared that British 
industry' was in danger of being harmed or the British market 
disrupted by a very' rapid increase in the arrivals from Japan. 
That has happened in the past few years for pottery, textiles, 
cutlery, ball bearings, steel bars and TV sets andnow cars. 

Can you seriously argue that Japan is “flooding” the British 
market when Japan accounts for a mere 2-1/2% of Britain’s 
global imports’? Last year Japanese care won just over 10% of 
the British market — less than France, West Germany or Italy. 
Is that “flooding”? 

Incidentally, the British car manufacturers asked us to 
restrain our car exports in order to help them at a difficult time 
of reorganization. But whose share- of the market went up while 
Japan's remained virtually static as a result of this restraint? 
Not the British makers but the Continental European. (Alr.M.\ 
Miyoshi } 

Do they keep our exports out ? 

Z Mrs S. Smith, Housewife, Surrey: 

1 agree that Japanese products are very good and competi- 
tive. I am quite patriotic, but I do buy Japanese goods for 
economy. But I don’t think they give us the same facilities to 
-export to them as we give them in our market- Why not? 

It is definitely not true that there are trade barriers against 
British goods in the Japanese market. As far as tariffs are 
concerned, they are broadly at the same level as those of 
Britain, and in the case of cars the Japanese tariff has now been 
completely abolished. The tariff on a bottle of whisky is now 
only about 75 pence. 

British products 3re now quite well known among the 
Japanese people. If you drop in at .a department store or a . 
supermarket, you will never fail to find such British imports as 
Scotch whiskies, high-quality textile products, smoking aeces-.. 
scries, etc. 

Our imports from the U.K. now amount to £ 548 million — 
main items are machinery (£197 million), chemical elements 
and compounds (.£91 million), beverages (.£75 million) and 
textiles (£55 million). 

Import licensing has been almost completely liberalised, and 
only about 27 commodities are still restricted. This is a very 
similar figure to the 25 commodities which Britain still 
restricts. There are of course revenue taxes on some com- 

modities such as whisky, but this is levied indiscriminately on 
•both Japanese-made and imported , Scotch brands. The same 
goes for various safety or health regulations. 

•It is not true therefore that there are official obstacles placed 
in the way of exporting goods to Japan. Japan is no doubt a 
very distinctive market, however, based on a culture and 
language which most British exporters do not take the Lrouble 
to learn. 

But how do you think Japanese traders won their successes 
in the British market? Certainly not by flying to Claridges for a 
couple of weeks and speaking Japanese. Our trade surplus was 
built on innumerable ‘cases of hard slogging sales work, some of 
which did not in the end succeed. (Mr. M. Miyoshi) 

What Japan is doing to reflate. 

3. Mr. A. Baillie, Research Assistant, Camberweil: 

As one of the most successful industrialised economies at 
.this moment. Japan bears a big responsibility for helping to 
overcome the international recession. What is Japan doing to 
reflate its economy and step up its economic growth, to give 
the rest of us a lift? 

Tbc government is slicking by its intention to see a 7% real 
growth rate for the economy during the fiscal year which began - 
in April No other industrialised nation is so- ambitious, and I 
do not think Japan can reasonably be criticised on that score. 
Britain ;$ target is, I understand, only about half of the Japanese 
• 'figure. 

Government and industry. 

5. Anonymous, Financial Analyst, West London: 

I would like to know the various ways in which the Japanese 
government supports and helps industry, in contrast with our 
own government’s attitude to British firms. 

I think the fiist thing to say here is that Japan has very few 
nationalised industries, if British businessmen have to deal with 
the Japanese steel, coal mining, aviation, shipbuilding and 
motor car industries, or even some of the railways, they will 
find themselves dealing with purely private businessmen an- 
swerable only to private shareholders. 

But having said that, it is probably true that the government 
in Japan has a closer relationship with private industry than the 
British government. Private firms in Japan have tendency to 
follow, official “advice” or “administrative guidance" which 
goes back to the foundation of Japan's modem industry and 
seems to be still quite strong. This enables the government to 
ensure, to some extent, voluntary restraint by a number of 
competing manufacturers on exports to a market like Britain. 
How else do you have voluntary restraint by the Japanese car 
makers on shipments to British ports? 

One could make the point that the government does not levy 
on industry the high rates of taxation which some European 
governments do on your industry, so that profitable Japanese 
companies are left with more funds in their own bands for 
welfare purposes as well as ploughing back in the form of new 
equipment (Mr. K. Kawamura) 

More aid to the Tfjird World, 

6. Anonymous, Civil Engineer, Ripper Norwood, and Anonymous, 

Information and Public Relations Officer, Surrey: 

How much is Japan doing in aid to the Third World? is there 
scope for more collaboration between British and Japanese 
firms in Third World projects? 

Mr. Fnkuda, the Prime Minister, has pledged that Japan will 
double its official development assistance to the Third World in 
three years. Since the amount disbursed last year was almost 
£500 million, this would put the Japanese aid effort on a 
better standing by comparison with the American (£2,300. 
million) and British ( £ 500 million). 

Currently we fall behind the average of Western aid donors in 
such official development aid, representing only 0.21% of our 
GNP. as well as in aid flows of all kinds, including investments, 
of O.S'.o of our GfrP. 

It is natural that we should feel most confident about what 
we can do-. in Asia, in particular Southeast Asia, and the 
countries which have in the past benefited most from Japanese 
aid are Indonesia, South Korea, Philippines and others. 

Collaboration with British firms in Africa, Asia and Latin 
America is already a feature of our involvement overseas and 
we expect it to grow. Just to quote a few examples at random, 
one of our glass companies has a glass bottle manufacturing 
-venture in Nigeria in partnership with Metal Box, and there is a' 
steel "ire factory In that country owned in common by a 
British and a Japanese firm. (Dr. H. Kato) 

The unemployed in Japan. 

7. Mr- 6u Y Wallis, Press Officer, Bayswater: 

I would (ike to know how much unemployment there is in 

The current official figure for unemployment is about 1-1/4 
million* ^presenting only 2% of the Japanese work force, but 

tills understates the problem because a large number of workers 
for whom there is not enough work are kept on by the 
management rather than laid off, owing to the tradition of 
.lifetime employment. 

It is believed that about 2 million workers are in this position 
of being surplus yet kept on the payroll, and if they are 
included the unemployment ratio would reach about 6% — 
comparable with Britain's. (Mr. K. Kawamura) 

Wiry do t/jey work so hard? 

8. Anonymous, Marine Engineer, Stan more: 

The Japanese seem quite capable of devoting themselves to 
work because they are indoctrinated to it from the surt, unlike 
us. We are nowhere near so conscientious. Do they have to 
work so hard? 

Not many visitors to Japan these days cany away an 
impression of Japanese workers as markedly more conscien- 
tious and -busy than their counterparts in Europe. That 
impression might have been given up to ten years or so ago. 
Japanese reached a state of virtual full employment just before 
the oil crisis, and although we have been in recession, until its 
accompanying unemployment, cvct since then, it does alter the 
underlying climate of tire labour market. 

Certainly Japanese workers are enjoying themselves more 
these days, being less formal with their management and with 
strangers, and it is not so easy to get them to volunteer for 
extra duties. 1 suggest that the views of Professor Ronald Dore 
of Sussex University are worth looking into: he made- a study 
of British and Japanese factories and concluded that while the 
Japanese did not woik better or harder than their British 
counterparts, they did work together with one another in a 
more successful way than the British. 

He was referring to the strong social relationships among 
workers because they belong to the same group or unit. In 
Britain a worker is more of an individual, and it is easier lor 
differences to come out between workers causing envy or 
resentment. If you look at the cultural tradition of the two 
countries. I think this gives a better explanation of die 
atmosphere on the shop floor. (Dr. H. Kato) 

Democracy in Japan. 

9. Anonymous, Company Director, Kensington: 

I would be interested to know more about the political 
system. The Japanese have an outwardly sinister image, not 
truly democratic. Incidentally, what' role does the Emperor 
play now? 

The 1947 constitution of Japan which provides for the 
sovereignty of the people and respect for basic human rights, 
and firmly upholds pacifism, has taken strong root in Japanese 

In this respect, the Japanese political system is truly 

General elections for the House of Representatives and the 
House of Councillors aie held usually every two or three years. 

The biggest party is the Liberal -Democratic Party, which is 
now in power, and by retaining the majority in the Parliament 
in successive national elections has governed Japan with only 
onebriefinterruption since 1947. 

The main opposition parties are the Japan Socialist Party, 
the Komeito (the Clean Government Parly), the Democratic- 
Socialist Party, the Japan Communist Party and the New 
Liberal Gub. 

At the moment, the strength of the government and 
opposition is almost equal. 

But the LDP looks like it will remain the most important 
party for quite a long time. It holds 254 of the 51 1 seats in the 
House of Representatives and 1 25 of the 252 seats in tire House 
of Councillors — almost half in each case. 

As regards the role of the Emperor, it is stipulated in the 
Constitution that “the Emperor shall be the symbol of the state 
and of the unity of the people, deriving his position from the 
will of the people with whom resides sovereign power” — in 
other words, ids role is purely that of a figurehead. . 

The Constitution states that the Emperor has no powers 
related to government and performs only certain ceremonial, 
junctions. Thus, he appoints the Prime Minister as designated 
by the Diet and the Chief Justice of the Supreme Court as 
designated by the Cabinet. Furthermore, with the advice and 
approval of the Cabinet, he performs such acts in matters of 
state on behalf of the people as promulgation of laws and 
treaties, convocation of the Diet and awarding of honours. (Dr. 
H. Kato ) 

Wages higher than in Britain.- 

10. Mrs L M. Deffee, Shop Assistant, Surrey: 

We only see the glamorous side of Japanese life, and we 
would feel more sympathetic towards the Japanese people if ws 
knew more about ordinary working conditions. It seems to me 
the workers in Japan must have a rotten life, exploited and 
underpaid for the work they do. 

I am sorry to say that Mrs. Deffee is not up to date about 
Japan. The average hourly wage in Japanese manufacturing 
industry was £ 1.75 in 1976, higher than the British equivalent 
(£ 1 . 66 ). 

That is, after all, why Japanese companies are. now operating 
subsidiary manufacturing in Britain — especially in South 
Wales, which they seem to have taken a fancy to. One of their 
objectives is to sell their products - TV sets, zipfasteners, ball 
bearings and so on — to third countries like Ireland and the 
continental EEC. 

Japanese companies provide various welfare facilities and 
fringe benefits for employees and their families. In addition to 
regular wages and semi-annual bonuses, companies offer such 
extras as housing and family allowances, loans, meal and 
commuting expenses, credit union facilities as well as recrea- 
tional and vacation facilities. Further, they also give substantial 
retirement allowances in recognition of an employee’s long 
years of service (in the case of 31 years of service, the. 
allowance averages 25 times the final monthly wage). 

Real wages, net of inflation, almost doubled in Japan during 
the 13 years before the oil crisis, though the recession has now 
slowed that growth down. Nevertheless 99% of Japanese 
workers” households now boast both washing machine and 
refrigerator, 95% have both colour TV and a vacuum cleaner, 
80% have a camera and telephone and 40% have a car. [Mr. M. 

Japan Information Centre, 9, Grosvenor Square, London W1X 9LB, 



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Head Office: 1-12, Kayaba-cho, Nihonbashi, Chuo-ku, Tokyo 103, Japan 
Telephone: 668-6301 Telex: J26528 SYSEC 

London Officer 18 Finsbury Circus, London E.C.2 Tel. 638-3988 Telex: 8812979 SYSEC 


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foreign policy 

JAPAN’S FOREIGN policy dur- 
ing the first 25 years after 
World War II was based on 
the principle of “minding one's 
own business and hoping other 
nations would mind theirs.” The 
strategy was to stay aloof from 
international disputes, avoid tak- 
ing the initiative, and to echo 
American policy wherever this 
could be done without directly 
damaging essential national in- 

It was a cheap and easy policy 
to follow and worked well up to 
about the time of the 1973 oil 
crisis. It no longer works to-day 
for the very simple reason that 
Japan has become too big to hide 
behind the coat-tails of the 
Americans and too powerful a 
force in the wotid economy to be 
allowed to remain silent on a 
multitude of economic and poli- 
tical issues. 

As a leading Japanese special- 
ist on international relations put 
it the other day: “An economic 
giant cannot realistically expect 
benign neglect” The question is 
how to design a foreign policy 
which promises to serve Japan's 
basic interest of keeping world 
trade flowing smoothly without 
attracting the charges of econ- 
omic expansionism and selfish- 
ness— -or even resurgent mili- 
tarism — that other nations seem 
all too ready to hurl at the 

Japan's foreign policy 
dilemma is illustrated most 
clearly by its relations with 
South East Asia, which have 
been primarily economic up to 
now but are tending to become 
politicised. The Japanese 
realised that they could not 
continue to treat Sooth East 
Asia simply as a market and 
supply source after Premier 
Rakuei Tanaka was mobbed in 
Djakarta and Bangkok bn his 
1974 tour of the region. The 
question of what other basis to 
construct for the relationship 
has yet to be solved, and many 
politicians and diplomats are 

pessimistic about asempts to 
build one artificially. However, 
Prime Minister Fukuda made a 
brave attempt to suggest a new 
framework for Japan ASEAN 
(Association of South East 
Asian Nations) relations during 
a tour of the region in summer 
1977 when he enunciated what 
has since become known as the 
s* Fukuda doctrine." 

This stresses that Japan re- 
gards itself as the equal of 
South East Asian nations (col- 
lectively if not individually) 
and that it wishes for “ heart 
to heart " relations (not merely 
economic or narrowly political 
relations) with the area. It is 
also stated that Japan wants to 
promote regional solidarity and 
to contribute to better under- 
standing between ASEAN and 
Indochina (an aim which is in 
line with Japan’s global 
strategy of trying to be on good 
terms with both parties in- 
volved in regional tensions). 

and u dairin« -i ion* time tu rejected by the Japanese 

« is riw* 

s™ 5 . moot. Officially Japan remains 

partly because of its own in- at jamanily opposed to any hind 
hibitions and lack of experience treaty with tb.e Soviet Union 
and partly because of sensi- the settlement of the 

tivities at *he other end Japan tutorial issues. This, however* 
does not expect an easy ride dlJCS not seem to have prevented 
in its relations with South East .j apanes e diplomats from show- 
Asia. The tendency is to assume ^ an interest in some of the 
rather that the relationship is ug 0od neighbour" agreements 
unavoidable aod that Japan signed by western nations with 
must try to put it on a stable Russia^. 

E5J , 5P£ , 3SL* , «! The «■«»- »*«><>*« 

same if not rather more appre- rthjb 

hension appUei » Vefaiions immediate neighbours are one 
nensron appuw reason why the Japanese remain 

with China and me tom „ - n . nperi 

Mr. Simao Sonoda, 
Japanese Foreign Minister. 




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The ^guts” of the new 
Japanese policy to ASEAN in- 
clude a willingness to tailor 
Japanese aid and investment to 
the requirements of regional 
development plans (thus the 
commitment to put up funds 
for the five - ASEAN pro- 
jects”) instead of just to the 
Interests of Japanese Investors. 
They also include a readiness 
to champion the aspirations of 
ASEAN member countries in 
the outside world. What this 
means is not yet certain, but 
Japanese Ministers have been 
touring the region more 
assiduously in the recent past 
and have begun passing on to 
their ASEAN opposite numbers 
the substance of discussions 
with third parties. ASEAN 
appears to have been briefed, 
for example, on recent Japa- 
nese talks with Cambodia and 
on U.S.-Japan foreign ministry 
level consultations. 

Another important role which 
Japan sees for itself vas-a-vis 
ASEAN (and vis-a-vis other 
developing industrial nations in 
the Far East) is in the main- 
tenance of free trade. Japanese 
officials take the view that 
fitting newly industrialised 
countries like South Korea and 
Singapore into the structure of 
GATT will be one of the main 
tasks on the agenda of the next 
round of world trade discussions 
to follow this summer’s MTN 

Japan believes that Europe 

wdil argue for ihc right to im- 
pose restrictions on imports 
from such countries on the 
grounds (that (a) nations like 
Korea have yet to liberalise 
their own imports fully axed (b) 
it wail be physically impossible 
for countries with “mature” 
markets to absorb the very 
rapid increases in imports that 
wall result from stowing capa- 
city in Che " soim-industrialdsed 
world." Japan intends to argue 
that, if world trade has to be 
controlled, the same treatment 
should be meted out for all — 
in ocher words (there should be 
no diiscrumnatory restrictions 
against the exports of emerging 
industrial producers. 

Japanese officials take 4zhc 
lane chat Europe ” can afford ” 
to >be protectionist towards the 
Asian industrial countries but 
Japan cannot " because they are 
our neighbours and we share 
peace and prosperity with 
them.” It is wryly admitted, 
however, that Japanese a ttempts 
to take a stand in favour of 
free trade at GATT have not 
always stood up to the strain 
of economic realities. In 
summer 1973. when the Tokyo 
Round of multilateral trade 
negotiations was about to be 
launched, the Japanese Foreign 
Ministry was successful in 
persuading other ministries to 
accept a cabinet resolution in 
favour of “ zero tariffs.'’ This 
resolution has long since been 
forgotten and Japan has since 
reverted to the traditional 
practice of avoiding initiatives 

«nreV the fait that j&n «***• “ 

feels a warmth towards China lil0se friends happen to be 
Sich is totally lacking in its nations with which. Japan fares 
relations with Russia. But it is acute b lateral t»dii« Problems, 
also felt that Japan must cling Tbc relationship withthe U.S 
to its ** even-handed ’’ policy remains the solid foundation of 
towards the two Communist Ja ?“f polity and is 

powers, at least so far as formal unlikely to change drastically 

relationships are concerned. * or * ve fY y 

. . , not by the mid-1980s. Relations 

In the past Japan was able with Europe in contrast with 
to handle the China-Russia ^ situation before World War 
problem by playing the passive n have been fundamentally 
role of not taking rides and trade-based during the past 20 

allowing itself to be ” courted" yearg ^ it uppers that Japan 

by both parties. Thissituation voul ^ i&q l0 change this. The 
is changing, partly because of talk oyer with Euro- 

the commitment to sign a peans some of the problems 
** Peare and Friendship Treaty j apan f acea y/ith Russia ami 
with China (to which Japan china (and to see how Europe 
agreed in The original Shanghai views 5imUar problems) is one 
communique which normalised Reason f or this feeling. A 
diplomatic relations in 1972) broa(JeP one ^ that world 
and partly because Japan's own events s tlll depend to a very 
economic development has iarse es t ent on diseasrions 
reached the stage where it within j a pan-Eurupe-U.S. 

needs to take (he initiative in triangle— one side of which is 
promoting closer ties with one notoriously weak, 
or both communist giants. Apart from frictions over 
The situation will continue to trade Japan has faced two 
change over the medium term kinds of negative experience in 
as the Soviet Union reacts ad- its relations with Europe over 
versely to the signing, of the the past eight years. The first 
Peace and Friendship Treaty involved the abortive attempts 
(which it insists on seeing as of the government of Mr. 
directed against itself) and Kafcuei Tanaka (Prime Minister 
Japan attempts to build some 1972-74) to establish govern- 
compensating bridges between mentlevel trilateral consulta- 
Tokyo and Moscow. Hie nature tions between Europe, Japan 
of these bridges cannot be and the U.S. These efforts 
guessed at with any ease, largely failed, as Japanese officials see 
because an unresolved terri- it, because France declined to 
torial conflict (the “Northern take part in an arrangement 
Islands issue ”) rules out the where the U.S. would have 
signature oi a peace treaty be- been the “king” and the two 
tween Japan and Russia. other parties “barons.” The 

What seems just conceivable passing of Gaullist supremacy 
as the alternative to a Japan- in France and the declining 
Soviet peace treaty is the power and authority of the U.S. 
signature of some form of may have weakened these 
“good neighbour” agreement objections, the Japanese feel, 
—a proposal made by the What they are less certain of 
Russians last winter and is who they should be talking 


Aim is to step up 

aid commitment 

IF FOREIGN Ministry officials 
have their way Japan by 1985 
will be a c lose second to the 
U.S. as a foreign aid donor. It 
could easily be giving away five 
times as much as in 1976, the 
trough after the oil crisis. 

Japanese aid men will retain 
a reluctance to intervene in the 
priorities set by recipient 
governments but also at least 
some of their customary meticu- 
lousness in reviewing the 
viability of the specific projects 
they sponsor. Thus whether 
their increased aid will be 
primarily a boon for the elites 
who set the priorities or a sub- 
stantial help for the peoples of 
developing nations remains to 
be seem 

Aid seven years from now is 
hard to predict with certainty 
because in Japan more than in 
most countries foreign aid has 
traditionally been considered 
marginal by the people who 
make budgets. 

In the 1960s Japanese “ aid ” 
was widely recognised as a 
thinly disguised fora of export 
promotion. Japan was just 
emerging from underdevelop- 
ment itself. The Japanese per- 
formance caused resentment 
among the recipients, who did 
not feel aided. 

The Japanese were just start- 
ing to build a better reputation 
when the oH crisis hit They 
bad brought their foreign 
assistance to a respectable 0.25 
per cent of GNP in 1974 (0.35 
per cent is common in Europe), 
but then they cut it to 020 per 
cent— -fl.lbn — by 1976. They 
would have cut It further if 
they had not already committed 
large sums in 197S. 

Nowadays Japan has an em- 
barrassing balance of payments 
surplus and Is in a mood to 
increase its “ economic co- 
operation” again. Since most 
people expect Japan’s strong 
balance of payments to con- 
tinue, aid increases will prob- 
ably continue too. “ There is a 
mood now. a trend that is very 
favourable” said the Foreign 
Ministry official. “It’s very 
difficult to find reasons why we 
can’t give aid.” 

Aid officials, hope Japan’s 
contribution will reach a pro- 
portion of GNP comparable to 
that of European countries by 
1985. If the yen keeps its present 
buying power and the Japanese 

economy grows at 7 per cent a 
year, Japan’s official develop- 
ment assistance will be worth 
$6bn in 1978 prices— exceeding 
the 1977 level of U.S. foreign 
aid by nearly 40 per cent Japan 
is unlikely to surpass the U.S., 
however, if only because the 
Japanese would not want to 
embarrass the Americans. 

Will all this money do any 
good? The Japanese have no 
major lobbying groups demand- 
ing that their aid actually help 
the poor, and little religious 
tradition of charity. Their gov- 
ernment would certainly send 
aid to Uganda or Rhodesia or 
Chile if it would guarantee 
access to a resource it con- 
sidered important 

tries” they almost always. find 
that the officials they are sup- 
posed to “aid" have a much 
more comfortable way of life 
than they do. Few want to 
approve useless projects sought 
by elites they regard as over- 
paid. They are accustomed to 
careful review of projects in 
Japan and they transfer their 
standards to the developing 


The Japanese have little wil- 
lingness to criticise the govern- 
ments they help. “It’s veiy 
difficult to say 'Your govern- 
ment’s projects are not very 
well co-ordinated and not 
reflecting the real needs of the 
people’," said a Japanese official. 
"The Americans are very inter- 
ventionist. They enjoy it," he 

Criticising recipient govern- 
ments is particularly difficult 
in the East Asian countries that 
have been the largest recipients 
of Japanese assistance. Japan 
occupied those countries during 
World War II, and their peoples 
are very sensitive about 
apparent Japanese interven 

But the Japanese economic 
experience, especially since the 
war. is in many ways a very 
useful model for developing 
countries. Factors in Japan's 
postwar success have included 
a heavy pre-war emphasis, on 
education, a radical redistribu- 
tion of income after the war, 
and careful fostering and 
financing of small-scale labour- 
intensive industries. In Agri- 
culture Japan has been able to 
provide a good living for some 
8m fanners and related wor- 
kers even though the average 
cultivated laud per fara house- 
hold is only one hectare — onfi- 
64th of the average in Britain. 

Japanese officials live like 
ordinary Japanese, which means 
their standards of housing and 
recreation are quite low. When 
they visit “ developing coun- 

The Japanese like to concen- 
trate their aid on agricultural 
development, including irriga- 
tion - and rural electrification; 
They have also become top 
donors to multilateral develop- 
ment banks,, and the most im- 
portant sponsors . of the ' big 
industrial ■ projects which so 
many developing eountry 
governments like to propose. 
But they have risked offending 

many valuable friends by re- 
jecting or postponing numerous 
requests for large-scale projects 
they considered inappropriate. 

The Japanese commitment to 
quality conflicts with the 
natural bureaucratic desire to 
take advantage of the current 
mood in favour of aid. “Our 
concern is the volume; we have 
no, concern about the effective- 
ness," said an official of the 
economic cooperation policy 
section of. the Foreign Mi nis try. 
-•* It’s difficult to pursue two ob- 
ieotives. - When you tty to lift 
the ,' volume, you must vonve ti- 
trate on volume " That is clearly 
not tiie.poMcy of the entire 
Japanese Government but the 
conflict , between quantity and 
quality over'ttie next few years 
could become acute. 

Robert Wood 

One of the leading 
Mutual Funds 
in Japanese securities 

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Defence shortcomings 

ALTHOUGH THE fact is not 
often stressed Japan occupies 
what is probably the most 
strategically sensitive position 
of any major nation in the Far 
tast. The Japanese islands 
together effectively dose off 
from the Pacific Ocean the seas 
into which the Russian fleet has 
*rcct access From its bases in 
Eastern Siberia. With the' 
exception of the sea passages 
between the Kurile Islands 
(which are impassable in 
winter) the Soviet fleet must 
pass through one of two major 
straits controlled by Japan (the 
Tsushima Strait between 
Honshu and Korea or the 
Tsugaru Strait between Honshu 
and Hokkaido) in order to 
reach the open sea. With the 
increase of Soviet sea power in 
the Far East Japan's geography 
is steadily increasing its 
strategic importance. 

The two other distinctive 
factors in Japan’s strategic 
position are that it is exceed- 
ingly vulnerable to attack 
(because of the dense concen- 
tration of population and indus- 
try along Its Pacific coast) and 
that it is dedicated to a non- 
military posture in world 
affairs. Article Nine of the 
Japanese constitution, which 
was drafted by the U.S. occupa- 

tion authorities after. World 
War n, says that Japan will not 
maintain military forces of any 
kind and will never use war as 
an instrument for settling dis- 
putes with other countries. 

In point of fact Japan does 
today possess defence forces 
(although they are officially 
referred to as “Self-Defence - ’ 
forces). Its defence budget for 
1978 is just over two-thirds the 
size of the UK defence budget 
but this is not enough to pro- 
vide a credible defence 
capability for the Japanese 
islands, which are strung out 
oyer a distance of 2.000 miles 
from north east to south west 
There is no prospect that Japan 
will be able to defend itself 
adequately in future unless it 
acquires -nuclear weapons which 
are technologically well within 
its reach but politically un- 
acceptable. The consequence of 
all this is that Japan is now and 
will remain for die foreseeable 
future dependent on the U.S. for 
its security. 

The American commitment 
to defend Japan is enshrined in 
the U.S.-Japan security agree- 
ment which nam e into existence 
in 1951 and was renegotiated 
in 1960. 

Under the current arrange- 

ment the agreement is “auto- 
matically ” renewed once a year 
and there is no sign that either 
side wishes to change this. The 
official doctrine underlying the 
Japan -U.S. defence relationship 
and the maintenance of Japan’s 
own small defence establish- 
ment is that Japan's own forces 
should constitute a “ standard 
defence capability ” qualified to 
monitor the military situation 
in Japan’s immediate neighbour- 
hood, and to deal with “small 
or limited " threats to Japanese 
security. Anything bigger re- 
mains the responsibility of tbe 


The U.S. maintains substan- 
tial forces on Japanese terri- 
tory (46.000 troops and 200 air- 
craft mostly located - on 
Okinawa). Tbe credibility of its 
defence commitment, however, 
depends on the assumption 
that in an emergency more 
forces could be flown in within 
a period of not more than 48 
hours from other U.S. bases in 
the North West Pacific (e.g.. 
the Philippines, Guam and 

The Japan-U-S. relationship 
is static in the sense that neither 



to in Europe and about wbat 
Japan sees the EEC Commis- 
sion as a body which is not 
even fully qualified to discuss 
trade issues (because its man- 
date from member nations does 
not give it the power to arrange 
its trade demands in any order 
of priority) and totally un- 
qualified to discuss the broader 
issues which remain the pre- 
rogative of member govern- 
ments. It claims to feel con- 
fused by the necessity of con- 
ducting parallel diplomacy with 
the EEC and member govern- 
ments but neverlheless expects 
relations to deepen. It also 
felt that Europe may complain 
less bitterly about the trade 
deficit with Japan once Japan 
gets its overall payments into 
balance— nr at least that, if 

Europe does continue to com- 
plain, its complaints will no 
longer be reasonable. 


A review of relations with 
individual regions leaves 
unanswered the fundamental 
question of the basis on which 
Japan should conduct is foreign 
policy in the longer run. 
Officially foreign policy rests on 
the twin pillars of the Japanese 
constitution, which forbids the 
use of military power to settle 
disputes, and the strength of the 
Japanese economy, which pro- 
rides Japan with enough cash to 
exercise some form of influence 
on events outside its frontiers. 
Unofficially it is admitted that 
a foreign policy based on money 

and disarmament may not sur- 
vive for ever. j 
The “cover” for the begin- 
nings of a Japanese involvement 
in international security could 
be the UN . to whose peace 
forces Japan could contribute, 
first equipment, and then pos- 
sibly defence personnel dis- 
guised as technical experts. It 
sounds a painfully roundabout 
way of admitting that, after all. 
Japan may have tbe same 
interest as other wealthy and 
successful nations in contribut- 
ing to the maintenance of inter- 
national law and order. Japan's 
post war history seems to show, 
however, that equally round- 
about methods have produced 
some startling changes in other 
aspects of the nation's life. 


side has any attention of 
abrogating the agreement 
(except for the more Left of 
the Japanese opposition parties, 
which appear unlikely to attain 
power during the next few 
years). It is dynamic in the 
sense that attitudes to defence 
questions are changing on both 
rides. Tbe end of the Vietnam 
war left the U.S. less interested 
in Asian security questions and 
the Japanese (and other Asian 
nations) less inclined to assume 
that the American defence 
presence in their region would 
last for ever. 

Simultaneously, Japan's grow- 
ing economic power and its 
rapidly growing bilateral trade 
surplus with the U.S. caused the 
latter to start questioning the 
wisdom of a policy which 
seemed to give Japan a “ free 
ride “ in defence. These trends 
have produced a significant 
change of emphasis in the U.S.- 
Japan defence relationship. 
This in turn is beginning to 
affect Japanese defence policy 
across the board (and not 
merely in relation to the U.S.- 
Japan security agreement). 

The most obvious change to 
have taken place so far is in the 
financial aspect of the relation- 
ship. The U.S. has begun to 
suggest that Japan shoulder 
part of the burden' of the 
American defence presence in 
Japan— for example, by paying 
the salaries of Japanese 
employees on American bases. 
Japan appears willing to do this 
and some kind of undertaking 
on the matter is thought to have 
been given to the U.S. authori- 
ties by the Director-General of 
the Defence Agency (equivalent 
to Defence Minister), Mr. Shin 
Kanemaru. during a recent visit 
to Washington. 

A second area of change 
involves the freedom of action 
of U.S. forces in Japan. The 
U.S. would like to be able to 
use its Japanese bases in the 
defence of South Korea if there 
were to be an attack on the 
south from the north. The 
terms of the U.S.-Japan security 
agreement can be understood to 
require govermnent-to-govem- 
ment consultation before such 
use, but a movement appears to 
be on foot to bypass the need 
for consultation at a political 
level. What has been happen- 
ing is that U.S. forces in Japan 

State Minister Shin 
Kanemaru, Director- 
General of the Defence 

and the Japanese self-defence 
forces have been quietly step- 
ping up their de facto co-opera- 
tion in ways that were not called 
for by the security agreement 

A committee, including ser- 
vice personnel of both sides, 
was established in 1976 to dis- 
cuss ways in which U.S. and 
Japanese forces would co- 
operate in the event of an 
attack on Japan. Since then 
Japan's maritime self-defence 
force has taken part in naval 
manoeuvres with the U.S. 
Seventh Fleet off the Philip- 

! The big question about 
Japanese defence policy is 
whether a move will be made 
beyond unobtrusive participa- 
tion In U.S. defence exercises to 
a more general involvement in 
security matters outside Japan. 
The stationing of Japanese 
forces elsewhere in Asia as a 
contribution to some kind of 
collective security arrangement 
remains a total impossibility 
since it would arouse the latent 
fear of a revival of Japanese 
militarism that exists in the 

What does appear possible — 
and may even be starting to 
happen— is some kind of 
indirect input by Japan to the 
security of other “friendly" 
countries. This would not 

necessarily be limited to North 
and South East Asia. Such 
collaboration could be based on 
technology or production 
sharing between Japan's small 
but sophisticated arms industry 
and the defence industries of 
collaborating nations. ■ 

One sign that Japan Is 
moving towards greater direct 
involvement in global security 
questions is the increase in 
high level defence contacts 
with China and Western 
Europe. In China’s case the 
initiative for this would seem to 
have come mainly from Peking. 
A professor from the National 
Defence College was invited to 
China in 1976, after which there 
have been further missions of 
service personnel from tbe self- 
defence forces. 

A ground self-defence firing 
team is likely to go to China 
soon on a demonstration trip 
and there will be other missions, 
probably in an accelerating 
stream. There has been no 
direct or admitted exchange of 
military technology between 
Japan and China but a former 
adviser to the self-defence 
forces visited Peking recently 
in the capacity of an executive 
of Nippon Seiko (one of tbe top 
Japanese, ball bearings com- 
panies). The relevance of this 
visit to defence would seem to 
be that China's arms build-up 
programme calls for an improve- 
ment in its capacity to manu- 
facture special steels. 


Defence contacts with NATO 
began when the Director 
General of the Defence Agency 
made the first recorded visit by 
an official in his position to the 
NATO headquarters in May this 
year. Contacts seem certain to 
become increasingly frequent 
from now on, presumably 
centring on an exchange of in- 
formation about the Soviet 
Union. Some observers see 
regular and institutionalised 
contacts between Japan and both 
NATO and China by the mid- 
1980s, leading to the emergence 
of a Washington-Tokyo-Peking- 
Bonn axis. This could be at its 
strongest by the middle of the 
decade, perhaps declining in im- 
portance (or at least in the 
mutual trust of its members for 
each other) after that time as 

China’s military build-up be- 
came more formidable. 

The notion that Japan might 
start to take part in a collec- 
tive security system while 
remaining dependent on the 
U.S. for its own defence has 
various implications for 
domestic defence policy. The 
main one is that Japan would 
need to aim at the development 
of a high-quality defence force 
stressing advanced technology 
wh ich could provide a 
specialised input into a regional 
or global system. On the other 
hand it would not- attempt to 
develop an all-round defence 
force which, to be of any use, 
would have io be far larger 
than appears at all possible. 

These ideas do in fact seem 
to underlie current Japanese 
defence spending, which has 
moved away from a succession 
of “four year building-up pro- 
grammes” (the last of which 
ended in 1976) to a new series 
of annual plans, stressing 
“ qualitative improvement.” 

The prospect for the next 
seven or eight years is that 
there will be no remarkable in- 
crease in the number of air- 
craft. warships or tanks oper- 
ated by the self-defence forces 
but there will be a large amount 
of replacement of obsolete 
equipment. The two major re- 
placement programmes involve 
buying 100 F-15 aircraft to re- 
place the F-104. the older of the 
two interceptor aircraft current 
in use by the 3ir self-defence 
force, and the purchase of Lock- 
heed P-3C anti-sub patrol air- 
craft (to replace the World 
War n-style aircraft currently 
in use). Japan is already com- 
mitted to these two pro- 
grammes, both of which will be 
phased over a seven- or eight- 
year period (starting with direct 
imports and ending with pro- 
duction under licence by the 
Japanese aircraft industry). 

Another major piece of re- 
equipment which has to be 
undertaken as part of the switch 
to the F-15 Involves the 
acquisition of a new ground 
control system to replace the 
Badge system. It is virtually 
impossible to put satisfactory 
price tags on any of these items 
but it does seem to be clear 
that the investment involved 
will take Japan's defence 
expenditure well above the one 
per cent of GNP ceiling 
established some years ago by 
the Government as a policy 
guideline. Defence spending 
could reach 1.5 per cent of GNP 
by the mid-’SOs. 

The breeching of the one per 
cent barrier will not mean that 
Japan will lose its inhibitions 

about defence overnight It is 
likely, however, to stimulate a 
more rigorous debate on 
defence forces includes the 
wing attempting to monitor the 
Government's defence policy 
more closely than before but 
with greater attention also being 
focussed on the deficiencies of 
the present defence capability. 
A recently compiled list of 
shortcomings of the self- 
defences forces includes the 
following bizarre list of items. 

• The air self-defence force 
lacks the capability to defend 
its own bases and relies on the 
police to do this for it 

• There is no space in Japan 
for the ground self-defence 
force to test the long-range 
fire power of its newest tanks 
(and no money in the defence 
budget to acquire that amount 
of space). 


• The pilots who fly the new 
Flo fighters will have to do 
their training in the U.S., 
because tbe 250 kilometre 
radius air space needed for 
training is not available in 

9 The air self-defence force 
at present has only one major 
depot for high octane aviation 
fuel — at Kure on the inland 
sea, although one of the most 
likely areas of any future war 
is Hokkaido. 

9 The maritime self-defence 
force has men and equipment 
enough only to lay mines at the 
rate of one per day — although 
it would take 300 mines 
effectively to blockade the 
Tsushima Straits between 
Japan and Korea. 

Many of these shortcomings 
and other similar ones will still 
exist in 1985. So also will the 
existing legal constraints on the 
freedom of action of the self- 
defence forces. One of these 
prohibits the air self-defence 
force's interceptor aircraft 
from firing until they are fired 
on. What will change, and per- 
haps change rapidly, during the 
’80s is the underlying military 
capability of Japan in the sense 
of its command of the tech- 
nology needed to transform it 
into a major militaiy power. 

The odds are that this tech- 
nology will be put to use in a 
way calculated to serve tbe col- 
lective security needs of 
nations which share Japan's 
apprehensions about the Soviet 
Union. Japan itself in the mid- 
’SOs will continue to claim 
allegiance to its non-military 
principles, but the veil will 
have become thinner. 


Tough tests: the Datsun way to total economy. 


If you’ve ever driven down a high way in gusty weather, 
you know how frus trating and alarming it can be. And when 
the car looks like losing control, you know what a fight you've 
got on your hands to keep it. 

That’s why stability is so important. And at Datsun, we’ve 
built a wind tunnel where we can put you on the right course 
to get it. We use an eight-meter-diameter propeller that can 
create anything from a gentle zephyr to a 120 k.p.h. hurricane. 
And a turntable, which lets us test the car in head winds, 
following winds, cross winds— every kind you’ll ever meet. 

Plus a few we hope you won’t. 

The result is the dean styling and aerodynamic design 
you can see on every Datsun. Making them faster, smoother, 
safer and quieter. 

More economical too. 

That’s why we say that 
Datsun is styled for 
value as well as 

And that’s not just 
a puff of wind 

suisu forukusu banku 

■ . • .w 

...or in English: 

The Swiss VbUcsbank in Japan 


To even better serve our customere 
internationally, and in recognition of 
the increasing importance of the 
Far East to our clientele, we have 
opened a Representative Office in 
Tokyo on July 1st 1978. 

Our Chief Representative for 

Japan is Mr. Kenzo Wada who has 
a wide experience and outstanding 
knowledge of the financial 
markets and economy of Japan as 
well as those of other countries of the 
Far East 

The address of our Tokyo Office is: _ 

Swiss Volksbank Representative Office in Japan 
Kasumigaseki Bldg., Suite 2618, 3-2-5, Kasumigaseki 
Chiyoda-Ku, Tokyo 100 



■.C v...t 

This is not a mirage 

in tSi© doserL / : 

Niclii me® in cooperation with Ishikawajima-Harima Heavy Jndtjries OHO, 

receN/d'shortlv after for 

“ ^ Our'nwiy achievements fn the Middle East foiling = -don ej*. 
cement plant in Abu Dhabi in 1973, we believe, are based on our rich experience 

and r 22 As 3 9lobal bus , iness °T zer 

progress of local economies. We are constantly sti ivmg to bring about the best results 
Tor your requests. 

Global Business Organizer 


M.cb.«i«n Europe B.V. 

Nidtinien Co.. Ltd. <: » v. La* 1»a>. ' l 


PS* : -££2* 

. .. : • . -.. •, 54. 

165a®;- . ■ 

Financial Times Monday Joly 17 1978 


Yen still seeks 
a world role 

. rMP in the world Matsukawa concluded: " 

SINCE the start of >977 the yen more JW- ‘ * £££ "ere *<»»< the Sam- -J “jSfStSS 

has appreciated against the tone in y japan's ex* Furthermore. Mr. Matsukawa lg80Si it way be no eoincidt 

dollar by over 45 ff r c«t A. tn.rtj per ««■ ° , nltf!d jn 



bas appreciated against the oodb y japan's ex* Furthermore. Mr. Mantunwa 190OSi « ®ay be no 

dollar by over 45 per rent At tmrtj per cent *„ ated in “ the average shares ^ fte era Q f m teraatfonaU- 

Y200 the rate in mid-July, 1978, ports are no e ^ cent ^ t t , aTnoU nt of inter- ation the Japanese yen Am 
seen* not ove^ued-henee yen £ er tbJ s ‘"upl and foreign bonds ^ begun." 

many exchange dealers are only th * er va i ue of | SSue( j between 1974 and 1977 ^ t0 Uto future, 

pointing to further appreciation. penod h d from 2 cent f Qr the yen and Qbsorvers ^ very encouraging 

But how far. and for i»ow Japanese sports „ for the Deutsche ^ whicb point to an M rater- 

Iong? . - ^, Ml980) and — -H-g yen., fwwoj- «■ 

In the mcdium-tenn (to 1980) in fina nc ed in yen, up from a]1 countries m 1975 and 1976 controls were pared 

the yen's fortunes are inextric- no b three years ago. were 0 .8 per cent for the yen ^ April, 1978: so too were 
ably tied to Japans balance trend is toward more an fl s.9 per cent for the Deutsche cAnjfQjo on gold trading. Capital 

payments perfomunce The order to hedge ^ (Ken 1972 tad 1976 ' i. Poetically 

SHbn current “count surplus yn ^ f risks which have ^ average amount of Japanew b ^ omG a prior ity. Thw year 
in fiscal 1977 may grow larger me e earnings “ held ag a reserve currency ^ tween $4ijn.and 55ba of yen 

lin fiscal 1978, sivi-nse to mas- £or * e last S5»i government was SXSmT. placed by foreign 

.f*v .• ■ .«• d* ■ • •A.." 

s Mr. Mat- _ raeil ts and international 
yen at a time when wo oouw ^“““Vs “’economist notes rS^'suffiests. the yen’s *££SSSJEk with the first 
■ is , f 11 ^ 5i - Q B S hSS^f. S!£ another dramatic change in E” ^Ts - far behind the placements in Tokyo 

deficit (?spe- Tokyo's position within Asia. dollar> Deutsche Mark, po^ by private foreign borrowers, 

and growmg trade defi sp^ Predicting that within two or axi d French franc, and its status (i n 1976" Samurai’ 1 bonds were 

■X* d£ eK fhrSyeare Tokyo will be Asia’s only to the Dutch ^ 5200m.) 

deace of a cut in the current major dollar J apan guilder. Canadian dollar or T 0 ky<, bond market Itself 

as Belgi “ * 1 s 

iJiSy imports ” acm y S^£5SS-J it* Detrimental jjy* « 

Erratic S3SST 0 - *•■„» h SL“ , »r2S 

erratic - c0 TRtn?«h £r SSm S an- Currency? Outside economists challenging flotations on the 

Most economists feel, how- Ahhough Mn y^ about tend to blame it on the Ministry Swifis (5879m) or German 

ever, that the surplus wm ^ s !' m G on export- 0 f Finance, which sees increased ( 5834m) domestic -WPital 

gradually come down— -perhaps Japan s atnlity to go n exp om? detrimental to Markets. Meantime, although 

by mid-1979-and in ab.gwaf in- SfmestS monetary policy Mr. £*yo has. not .given banfa. a 

That would certainly reduce well as P o£ Matsukawa professes such fears. free rein to deal in foreign 

pressures on the yen, but even visibles defle . conver- “The outstanding external lia- exchange, a daily turnover of 

allowing for . erratic market Tokyos fwitabk ^ ta a gSm^on the Tokyo foreign 

movements the £ is Commonplace, national currency have to be exchange market is now the rule 

UHts pre-1^8 levels Above alU Perhaps the aroveen piea^in **^*^gf ^ecJSomic ^ “SrehasM of 

Japan seems set for a long fa ^ recenc y Mr Matsukawa Japanese securities by foreign 

intensive industrial structure, national Affaire and new an 8 bly. St flow of investment was 

Tokyo savs repeatedly that It MOF adviser a " d . c0 ^1f n l_ The debate over UftmU* atton t e blUs# 

‘•aims” for balance in current Prime Minister Takeo Fukuda. {[ raging i ns i de Tokyos out of Japanes 

* ™* t hiir the West German in May Mr. Matsukawa “ w * hut Mr. Matsu- if the volume of trading on 
e-perfencc is not lost on pri- delivered a landmark paper to ^ ^ ^ ^at this is Japan’s various capital markets 

va?e economists in Japan. The an international symposium in ™lid given Japan’s very re- continues to grow. Md Japans 
likelihood of continuing sur- New York on the “hiture role “ Bt emergence (a) as a major current account suxphis nore^ 

' uluses should be seen as inevlt- of the yen in the international power and (b) as a tates further measures to 

! able? and likewise the yen’s rise, market." After assori ting his JJ^pSttaf nation. A capital, 

i Moreover, there are factors belief that the U.S. dollar W-ill ^th West Germany of the yen will be ftetogica 

; n.ii'te anart from the current continue to be the - over ' is in order, Mr. Matsukawa ex- consequence. The Etowra- ^of 

: account P Surplus which will whelming" currency for inter- plains< siriC e the post-war period lending and overseas 

figure prominently in the yen’s national use. Mr. Matsukawa b een characterised by in- will, meantime, act , as VJJJ 
towre-namelv "international- noted that “ this does not imply JJ” surpluses for both support for the yen ta «***««* 
iSu" of the Japanese cup- that the role of the yen to the ^ . tThe difference he- markets long titer ,? Jhirtled 

renC v international economy will not JapM and West Ger- account ’ surplus is wUWed 

Accordin'* to Mr. Eric be changed nr will not increase. m „ hfi p iasists> however, ** is down or even reversed (which 
tlavden, senior economist for My observation suggests just ^ ' he trea ^ o[ ^ iucreastog is unlikely), 
the Bank of America in Tokyo, the opposite.” German surplus was already ln SUC h an event it is hard to 

-only the lack of official sup- Like Mr. Hayden, the former eMgai in t he 1960s whHe that imag ine the yen ever returning 
port" has kept Tokyo from Vice-Minister notes that the q£ Japan hecame noticeable in even t0 its predominant level 

assuming its role as a major amount of yen used inter- ^ i970s „ of Y285, oyer the five years since 

international capita] market— nationally is *nll The Vice-Minister went on to the oil crisis. Rather does it 

Dossiblv on the scale of New small relative to the scale of t “After the German sur- show every sign of repeating the 

York and London. Gradually, J« economy ” 1 Tn 1976 say. the ^ ^ 

Mr. Hayden says. Japanese only 19.4 “ nt . about ten years for the Ger- major international reserve— 

mm* isss =c ^-5 - ”=■— 

Banks step up their 
foreign business 

JAPANESE BANKS will be in 
place to cake best advantage of 
whatever opportunities 
exist in overseas lending in the 
1980s; this much is now clear, 
though it is often overestimated. 

In short, Japan has come far 
to Just a dozen years since it 
last stopped borrowing from the 
World Bank (in 1966). 

Still, there is little chance of 
Japan •* exporting ” banks -as it 
bas done cars, Ships, steel and 
so on. To begin with, Japanese 
officialdom is fearful that it will 
give the banks a life of their 
own after years of their taking 
orders from the Ministry «rf 
Finance and Bank of Japan in 
exchange for favours. Second, 
the fortunes overseas of 
Japan's banks are tied to the 
expansion of Japanese foreign 
investment, and it is by no 
means eertaln that investment 
wiH grow as mpidJy as many 
observers reckoned just a 
couple of years ago (see Over- 
seas Investment). 

In a private study of Japan's 
city banks last year, the con- 
sultants International Business 
Information lIBI) noted that 
the ” base load " for Japan's 
financial activities abroad "has 
been provided by the financial 
needs of Japanese corporations. 

But although flie focus of lend- 
ing activities by overseas 
branches has been Japanese 
corporations, there has been a 
gradual shift toward provision 
pf credit to major U.S. firms 
as well.” 

IBI predicts thal Japan's 
banks wiil be very active in 
coating years in (a) providing 
botjh dollar and yen -trade 
finance, and Ob) Third World 
development -lending. Neverthe- 
less, during the ear-by » 1980 b 
much of Japan’s expanded back- 
ing presence abroad must neces- 
sarily come from being bankers 
to Japanese investors. The 
■table compiled by IBI from Gov- 
ernment and private estimates, 
shows the theoretical trend of 
estimated borrowing by 

The head omce of DaUeHi Kangyo BankmTokyo. The bank, Japan's 

is ccnunderitg a major expansion of its overseas activities. 

Japanese investors abroad based 
ca current forecasts. 

As IBI potota <wt» l^ese 

Azures wdkl " act as an iacemtive 

for Japanese city banks to move 
forward walk expansion plans 
overseas, including moro 
branches and expansion of 
activities by underwriting com- 
panies." The underwriting 
activity Margely fnrbidden to 
the banks .inside Japan) is a 
tog sdJ'ing point since many 
bank clients ore seeking 
expanded access to foreign 
capital markets and purely 
bank loans. 


Yet until now, Hie Japanese 
banker has been less than 
ubiquitous. . abroad. At last 
count, 16 Japanese banks were 
listed among the top 50 barks 
outside the U.S., but their 
presence to international 
markets has not been over- 
powering. Quite" the contrary. 

Although by the end of 1978 
experts reckon total outstanding 
lending by the banks overseas 
will have risen to over '$10bn, 
less than $5bn has flowed , to 
borrowers in the developing 
countries. That is roughly only 
2 per cent of what the Inter- 
national Monetary Fund esti- 
mates to be total bank loans 
from OECD countries to the 
developing world. Indeed, after 
first . emerging in the early 
19706 as international lenders. 
Tokyo clamped down when it 
feared the banks had over- 
extended themselves while at 
the' same time having to pay 
for Japan’s higher oil bill with 
an estimated S30bn In Euro- 
market borrowings in 1974 
alone. The ban on syndicated 
loans by Japanese banks abroad 
was lifted in late 1S7K soon 

«YOD IUW, - 

after Japan also resumed letting 
foreign institutions borrow, yen 
on the domestic Tokyo bond 
market Simultaneously, Japan- 


ese banks were allowed to 
resume (a) setting up branches 
abroad relatively free of 
Government supervision, and 
(b) lending short-term c® sh to 
Japanese companies setting up 
subsidiaries abroad- I n ‘ 
and 1978, Japanese banks have 
gone some way to make up for 
lost time;, a dozen or w 
branches of Japan’s 13 city 
banks were, opened abroad in 
1977, and foreign bond plare- 
ments In the Tokyo yen market 
might feaeh a phenomenal 
S4bn*$5bn. .in IB78 (compared 
with a negligible 665m lent to 
(he half-year after yen-denomi- 
nated loans -were resumed to 
July, 1975), 

Nevertheless, most Japanese 
bankers point out that. overseas 
business, remains a very secon- 
dary one , ;(«>mpared with domes- 
tic business). Mitsui’ t»n® 
reckons Just oyer 15 per cent os 
its income is from abroad; for 
most other banks it is probably 



* o 

Financial Tiines Monday July 17 1978 

japan VII 

Slower growth in 
overseas ventures SET HE 

■JAPAN HAS invested about 
S22bn abroad since 1955, though 
perhaps only $I8bn is “net” 
overseas investment. According 
to the Ministry of International 
Trade and Industry (MITI), 
"the accumulated amount of 
overseas investments may reach 
approximately $35bn by the end 
of fiscal 19S0 and approximately 
SSObn by the end of fiscal 1985.” 
That assumes a hefty rate of 
increase of about 18 per cent 
a year in the early 1980s: by 
contrast, it is estimated that in 
fiscal 1977 Uo last March) 
investment grew by $2.6bn — or 
roughly 13 p#r cent That is 
substantially short, too. of the 
record 1973 level of Japanese 
overseas investment when Japan 
ploughed $3.5bn into its foreign 

In short, if Japan stays on its 
present course there are clear 
obstacles to its achieving the 
sort of overseas presence which 
MITI is predicting: Neverthe- 
less. it is important to add that 
exporting capital is a relatively 
recent phenomenon. Also. Japan 
has largely, managed to secure 
market shares abroad through 
exporting from Japan — a route 
now becoming increasingly 
tortuous as importing countries 
insist that jobs be created by 
the Japanese and not taken 
away. So Mm’s prediction 
could still prove correct. If so. 
the volume of repatriated earn- 
ings from overseas back to 
Japan could rise to roughly that 
of the l IK (a long-term support 
for a strong yen). 


It is unlikely, however, that 
Japans overseas investment will 
surpass Britain's before 1985 
and it will still lag far behind 
America's. Between 1967 and 
1974 Japan's overseas invest- 
ment went up 10 times, and 
then between 1974 and the end 
of fiscal 1978 is estimated to 
have doubled ffrom $12.7bn). 
Nevertheless, there are natural 
constraints on further growth. 
Wilh an industrial trading 
structure akin to West 
Germany's. Japan has already 
surpassed the latter's level of 
foreign investment. But expan- 


sion of industrial investment in Matsushita, Mitsubishi and 
developed countries will be others have already advanced in 
more, not less, difficult in the this sector). For Sanyo, the 
early 1980s. West 'Germany has move js a logical follow-up to 
directed about 60 per cent of other overseas i nves tment deci- 
its overseas investment to other sions: last year, Y220bn in over- 
countries in Western Europe, seas production for Sanyo 
and the U.S. has done respect- accounted for fully 27 per cent 
ably by putting close to 40 per of group sales — compared with 
cent of its foreign investment 21 per cent- the previous year, 
into Europe, afost of the invest- The company estimates the 
meat, however, was ploughed foreign slice of output will rise 
into Europe when controls were steadily to over 40 per cent in 
more relaxed. Japan, which has the next few years, 
invested less titan 15 per cent 

of its overseas funds in Europe, T . , 

is unlikely to catch up on that Important 
continent Indeed, if “ indirect " „ , „ 

investment in the Middle East ^ maou * a rt uriD S sector, 
via London holding companies 9 ars 1°°^ being .the most 
is discounted from the total, im port ant Japanese export in- 
Japan has invested only about ^ U5 try to shift a sizeable portion 
10 per cent, of its total in output to the U.S. Two 
Europe or slightly over $2bn motorcycle makers — Kawasaki 
In 1977, in fact, Japanese and Honda — *>udd or plan to 
investors shunned overseas motorcycles in the U.S., 

ventures. After investing nearly and it is expected that in the 
as much in 1976 as they had earIy I980s Honda will extend 
done in the record year 1973 its pIant t0 P roduce cars «* well. 
($3.5bn), they pulled back in- The two Stents of Japan's car 
vestment Only $2.6bn or so industry, Nissan and Toyota, are 
flowed out of Japan— a fall of seriously scouting production 
about 25 pe'r cent And although s ** es . * n U.S., too. In 

investment has .picked up in Principle, then, as many as 
1978. it is not likely to rise sub- “O* 000 Japanese cars could roll 
stan ti ally as long as several U.S. assembly lines by 1985 
large resource projects are kept */ ^ese three take the plunge, 
on ice due to depressed com- ■ if the up-and-coming 
modify prices. Mitsubishi Motors, as rumoured. 

Looking to 1985, however, the raoves some of its lines to the 
most dramatic change in Japan's H.S. the numbers could run 
overseas investment may be its substantially higher, 
direction and type, not volume. According to MITI, in the ten 
Whereas the TI.S. and West years to 1985 the share of manu- 
Germany send close to 70 per. facturing in Japan’s overseas 
cent, of their investment to investment will have gone from 
industrialised countries, only 29 to about 34 per cent — 
about 40 per cent of Japan's although in the same period 
investment has gone to other textile industry investment will 
advanced nations, that is, the have dropped from 7 2 to 3.3 
bulk of all investment (and per cent The assumption is 
especially manufacturing invest- that other industries (e.g. 
ment) has been to developing chemicals, non-ferrous metals) 
countries — notably in Asia. This will expand much more rapidly 
is changing. Although figures in future. Electrical appliance 
for 1977 investment are not yet makers (who had invested over 
available, economists reckon $5 50m abroad by last year) 
there was a more rapid increase seem likely to continue trans- 
in productive investment in the porting factory jobs to develop- 
U.S. than any other region. For ing countries to take advantage 
the most part, such investntent of lower wage costs, whereas 
is aimed at “substituting" for Japan's electronics industry will 
exports which are not popular, probably expand into the large. 
Sanyo Electric, for. instance, has advanced markets (Europe and 
decided to produce television the U.S.) for growth. And 
sets in the U.S. Twhere Sony, although at one point MITI was 

predicting a steady rise in 
investment in overseas ship- 
building. the ship glut irt the 
late 1970s has left yards In 
Japan well underused — making 
investment decisions that much 

Despite the urge to set up 
manufacturing facilities abroad; 
Japan’s focal interest so far has 
been in the resource-related 
sector. As MITI pointed out in 
its 1977 paper on “Japan’s over- 
seas investments,” “Japanese 
agriculture may. at best, be able 
to supply 75 per cent of the 
nation's food requirements by 
1985. This would operate as an 
inducement for investments in 
agricultural projects in resource- 
rich countries, such as dairy- 
farming in oceanic countries and 
c attle raising in Latin America.” 
MITI goes on to point out the 
switch in emphasis away from 
oil reserves exploitation toward 
liquefied natural gas (LNG) pro- 
jects, uranium and even coal. 
LNG could prove to be die single 
largest cheque written by Japan- 
ese investors between now and 
1985: development of the vast 
reserves at Yakutia in Siberia 
as well as the north-west shelf 
of Australia would require well 
over SlObn at expected 1985 
prices — that is. about half of 
Japan’s entire outstanding over 
seas investment today (at 
nominal prices}. 

The question is: how quickly 
will any of the big development 
projects get off the ground? The 
Siberian project, for instance, 
has been in gestation since be- 
fore the oil crisis but. at the 
earliest Japan does not exptfrt I 
to reach a detailed agreement 
with Moscow until 1980. Simi- 
larly, other resource projects 
have been delayed by the gen- 
eral lack of confidence in Japan’* 
economy during recession (and 
exacerbated by the downturn in 
commodity markets which make 
many resource projects unattrac- 
tive untii, perhaps, 1980). The 
consensus in Japan, however, is 
that the early 1980s may be a 
ripe time to invest abroad in 
productive facilities. But earlier 
forecasts of $80bn by 1985 may 
be optimistic on present trends. 

Douglas Ramsey 


Jess, except at the specialised 
foreign-exchange bank, Bank of 
Tokyo, which derives over half 
of earnings from abroad. 

Sn even with the relaxation of 
controls on banking abroad, just 
how far can and will Japanese 
hanks go to expand their inter- 
national operations in the early 
19S0s? There is oo uniform view. 
Most Japanese executives antici- 
pate an enlarged foreign pre- 
sence. but few predict that much 
more than 25 per cent of total 
earnings at the banks will be 
derived from overseas opera- 
tions by. say, 19B5. Why? First 
nr all. the volume of domestic 
banking business is not growing 
as rapidly as it once was. and 
the city banks (which also oper- 
ate abroad) are having to com- 
pete ferociously for new domes- 
tic business — notably for the- 
small business and individual 
borrowers who until now were 
nglocted by the big banks who 
preferred to borrow from indi- 
viduals and lend lucratively (at 
Government-fixed interest rates) 
to big corporations. Hence. 
Japanese banks are not as free 
las some foreigners think) to 
switch their business abroad. 

Second, language has been a 
problem for Japan's banks and 
expansion will be kept in check 
as a result. And third. Tokyo is 
apt to come back with new re- 
strictions on overseas business 
which might put the banks at a 
competitive disadvantage with 
their U.S. and European col- 


Without putting a number to 
the percentage share of foreign 
business in the Japanese banks’ 
future, however, there are more 
arguments pointing to tremen- 
dous expansion. Above all, there 
is the decline in profitability 
from the bank’s domestic 
Japanese lending activity. The 
home market is also beset with 
a very high rate of corporate 
bankruptcy which does not look 
like abating in the near future. 
As a result, the earnings picture 
does not look good and there is 
even talk of mergers among 
some .major banks to cope with 
the very changed banking 

Since the banks’ foreign busi- 
ness tends to be more profitable. 

and the banks have kept a low 
profile abroad until now. most 
see the overseas market as a 
welcome rem edy to their 
domestic ills. Hence, the large 
number of banking offices 
abroad. Last September the 
Bank of Tokyo set up a wholly- 
owned local bank corporation in 
Frankfurt in another attempt to 
gain greater local exposure in 
important financial centres. All 
told, the Japanese banks now 
have about 62 bank corporations 
overseas as well as 120 branches 
(plus • 130-odd representative 
offices and several dozen con- 
sortium-ventures in which they 
participate with a minority 

- And although this banking 
presence is significant, more are 
setting up abroad. Japan’s 
largest bank in terms of 
deposits, Daiichi Kangyo 
(DKB), is now studying a major 
expansion of its overseas 
activities which now account for 
under 10 per cent of earnings. 
At the other end of the Japanese 
spectrum, the little-known 
Hokkaido Takushoku Bank, with 
headquarters in Sapporo, was 
one of five Japanese banks to 

open a representative office in 
Houston in late 1977 (the others 
were Mitsui, Fuji, Sumitomo 
and Daiwa). Naturally, major 
financial centres have drawn the 
largest number of Japanese 
banks: New York is host to 23 
Japanese banks (including 
credit banks plus some regional 
banks); London has 22; Singa- 
pore has 15 as does Los Angeles: 
while Hong Kong and Sao 
Paulo each have' 12 Japanese 
banks. Before 1980, several 
banks will set up in Seoul 
(Saitama Bank is opening a 
representative office in the 
South Korean capital this year). 
Tehran (Mitsubishi Bank 
recently set up there), and 
many bankers expect a boom in 
the number of Japanese bankers 
in the southern U.S. (probably 
Atlanta). Another focal point 
of Japanese interest is Chicago 
where Sanwa and Sumitomo 
have branches and seven other 
banks have representative 
offices; one of them, Mitsubishi 
Bank, is converting its represen- 
tative office into a branch, and 
other will follow suit 


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„ . w .t, ata- .ho Tofcvp Japan Cable Addrc?* “K ANGYOSHOKEN" TOKYO Tet { 03 ) 867-4311 Trie*: J 2473 ) KANGYOKS 
Head 1 Throgmorton jWenwv London EC 2 N. 2 BY Tel: 63 M 8 Z 1 Telex: 88621 KANGYO G 

I*,** °®“- fSBEKSi dr Gfimonc. ?* rla Tel: 7*24000 Telex: 67 D 750 F KANGYOK 

f»raFr.Ikfurt Am Mala I, B^enhemtc^uidsiraM* 47.FJL Cerraan y Tel: 72 OB B1 Telex; 412520 NKKSJ? 
fraoWurt Offlee. BDOTFjaakfun ^ state Street Phug. New York. N-Y. I«W Tel: 12 ] 21 M8-1330 Telex: £6906 NKXS UR 

^SSSSSSS uZub C bSsHtaC Baak BWg *’ M d *“ VOeOX SOid ‘ CeM ” 1 ' Teb Mfi=M5 ' a Telex: 74273NICKSA EX 

Consult the III Banking Iroup in Europe 


The Industrial Bank of Japan maintains a London 
Branch office which undertakes a complete 
range of banking services. In addition, IBJ 
operates IBJ Internationa! Limited, a wholly- 
owned merchant banking entity which arranges 
term loans and provides underwriting and 
advisory services. 

Frankfurt. .... 

The Industrial Bank of Japan (Germany) is a 
majority-owned subsidiary of IBJ, being jointly 
operated with Deutsche Bank AG. It offers full 
banking services with main emphasis on loan 
and underwriting businesses. 


The Industrial Bank of Japan (Luxembourg) Is a 
wholly-owned subsidiary of The Industrial Bank of 
Japan (Germany) working in close cooperation 
with the parent company in providing medium- 
and long-term loans and handling securities 
transactions on the Euro market. 

In addition 

IBJ maintains representative offices in Frankfurt 
and Paris which act as information centers, 
providing access to the comprehensive knowl- 
edge IBJ has accumulated in serving Japanese 


Japan’s oldest and largest long-term credit bank. Assets US$44 billion. 

Head Office: 3-3. Marunourhi 1-rhome. Chiyoda-lu. Tokyo Phone 214-1111 Telex J22325 

London Branch: Phone lOI) 230-2451 Telcv335393 IBJ International Limited: Phone (on r:6-"?5r! 

Tele-' 8«34i 1 Frankfurt Representative Office: Phone (06 111 230731 Tele- 4 151 22 The Industrial Bank 

of Japan (Germany): Phone (061 1) 2307S1 Teie<4l4(»29 Paris Representative Office: Pnone 261-55-13 

T«Ibx 211414 The Industrial Bank of Japan (Luxembourg) S.A.: Phone 474225 Telex 1 £89 

New York, Los Angeles, Singapore, Sydney, Sao Paulo. Beirut, Hong Kong. Toronto, Jakarta. Curacao 


■ itt ■§ 


,t 'T- 

■ ; 

As of March 31,1978 


5-' s T; , 'V : ■' 


Figures shown in thousands 

Cash and Due from Banks ¥ 1,231,719,689 (S£ 2,980,208) 

Call Loans 38,856,916 ( 94,016) 

Securities : 1,499,832,349 ( 3,628,919) 

Loans and Bills Discounted 6,569,812,417 ( 15,895,989) 

Foreign Exchanges 453,474,379 ( 1,097,204) 

Other Assets 257,045.929 ( 621.935) 

Bank Premises and Real Estate 150,745,471 ( 364,736) 

Customers' Liabilities for Acceptances and Guarantees . 1,040,197,127 ( 2,516.809) 

Total Assets ¥11,241,684,277 (S£27 f l99,316.i 


Deposits ¥ 8,038,918,205 (S£ 19,450,565) 

Call Money 957,949,982 ( ' 2 , 317 , 308 ) 

Borrowed. Money 275,180,083 ( 665,312; 

Foreign Exchanges . 67,089,081 ( 162.325) 

Other Liabilities 396,246,495 ( 958 , 738 ) 

Reserve for Possible Loan Losses 86,449.694 ( 209,169) 

Reserve for Retirement Allowances 40,134,844 ( 97,108) 

Other Reserves 20,445,064 ( 49.468) 

Minority Interests 911,485 ( 2,205) 

Acceptances & Guarantees 1,040,197.127 ( 2,516,809) 

Total Liabilities ¥10,923,522,060 (SE2 6,430,00 7) 

Nippon guts* K*kw»rn (A*»l 

Capital Funds 

Capital (Paid-up) ¥ 89,100.000 (S£ 215,582; 

Legal Capital Reserve 2,950,826 ( 7 . 140 ; 

Legal Earned Reserve 78,370,000 { 44 . 447 ) 

Other Surplus 207,741,391 ( 502,640) 

Tdtal Capital Funds ¥318,162,217 ( S2769.809) 

Total Liabilities & capital Funds ¥11,241,684,277 (SE27.1S3 316) 

jjples: Accopnts consolidated at the Mitsubishi Bank of California (U.S.A.), Mitsubishi Bank (Europe) 
S.A. and Banco Mitsubishi Brasiletro S A„ Mitsubishi International Finance Limited (Hong Kong) 
Exchange Rate: ¥413.30 per SC earner rate on March 31, 197B. 


7-3. Marunouchl 2-cheme, Chiyoda-hu.Toky^j 

100 Tel: (03)211-4111 


Telex: J 22358. J22S6Q 


195 branches throughout Japan 


New York Branch 

One World Tiade Center, Suile 8527. New 
York. N.Y. 10040, U.S.A. Tel: 212-433-0100 
Telac 23232B. 420367 1 

Lns Angeles Agency 
600 Wibnire Boulevard. Ln Angeles, 
California B0O17, U.SA Tel. 213-621-1200 
Telex: 0873685, 0674214 
Chicago Branch 

1 15 South LaSalle Slreel. Suile 2100. Chicago^ 
Illinois 60603, U.SA. Tel: 312-283-2522 
Telex. 02S52B7 

Toronto Representative Office 
Commerce Court West. Suite 20&0. Toronto, . 
Ontario. Canada Tel; 416-368-8816 
Tolox: 0622749 

Sfio Paulo Representative Office 
Rua LiDbto EM dan}, B33/641. Sao Paulo- 
01009, Brasil Tel: 239-5244 Tetoc 1121854 
Caracas Representative OHice 
Edificio Centro Plnxa. Torre “A" Phsia 
Avontda Francisco De Miranda, Los Polos 
G rondos. Caracas, Venezuela 
Tet. 284 — 5201. 284—6354 Telex; Z4J1I 
London Branch 

No. 0. Lombard Biraet, London, EC3V 
9AA. England 

Tel. 01-623-3201 Telex: 086409, 008230 
□ussetdorl Branch 

Berliner AJlee 42. 4 Diisaeldorf, 

F. H. Gorman/ 

Tel: 80931 ' Telex: 8588030, 8508075 
Pans nepnsseniaiiire Olllco n 

4, Place de la Concorde, 75008. Parit. Franc* 
Tel 742-0001 Telex: 660010 
Beirut Representative Cilice 
C-'Q London Branch, No. 6. Lombard Street, 
London. EC3V 9AA. England 
Tel: Oi -623-9201 Telex; 086409, 880230 
Tehran Representative Office 
No. 149 Takhte Tavoos Avenue, Tehran, Iran 
Teh 056505 
Seoul Branch 

108-3. 1-Ka Ulcfiiro. Chung-Lw. Seoul, 

Republic Ol Korea 

Tel: 777-3501 --4 Telex: 27240 

Singapore Branch 

Podium G2. D.p.S. Bldg.. E Shenlon Way. 
Singapore 1, Singapore 
Tel: £205666 Telex; 21813,21814 
Hong Kong Representative Ollice 
SL George's Bldg., 4F. 2 ice House Street, 
Hong Kong. Hong Kong 
Tel: 5-234084 Telex; 74357 
Jakarta Represenunrve Office 
Nosanlara Bldg- 13th FL. Jalan 
M.H.Thamrln No. 59. Jakarta. Indonesia 
TH: 354521-5 E*L435»~-tt Telex: 7346285 
Sydney Representative Oflico 
34th Level Australia Square. Sydney. N.S.W. 
2000, Australia To!: 27-37B6 Telex; 27234 

Overseas Subsidiaries and Affiliates 

The MUsoblahl Bank ol California 
BOO Wllshhe Boulevard. Los Angolas, 

California B0017, U.S.A. Tol: 213-621*1200 
Tofoa: 087735* 

MUauhVahl Bunk 1 Europe) SJL 
Avenue des Arte 38. Bte. 5, 1040 Bnrasala, 
Belgium Tat 513. 87. 70 Telex; 4624 1G8 
Banco MitouMshl Braslldro SJL 
Rua Liber o Badaro 633/641. Sao Paulo-OIOOP, 
Brasil _ Tel: 238-6244 Telex. 1121B54 
Mitsubishi International Finance Limited 
Sl Ooorge'9 Bntg„ 4F.2 Ico House Street. 

Hong Kong, Hong Kong 
Tel. 5-334084 Teiax: 74357 
Japan International Bank Limited In London 
Orion Multinational Services Limited la London 
Orion Bank Limited In London 
Orion Leasing Holdings Limited In London 
Libra Sank Ltd. in London 
Australian International Finance Corporation 
Limited In Melbourne 

Ttial-Mttsubiahl Investment Corporation Lid. in 


Orion Pacific Limited in Hong Kong 
Liu Chong Hirtg Bank Lid. in Hong Xong 
Diamond Loaco (Hong Kong) Ltd in Hong Kong 
P.T. Indonesian investments international in 
' Jakarta 

Ayala Corporation in Manila 

Ayala Investment & Development Corporation 

In Manila 

Ama/i:«,i Chaw Merchant Bank ir, Kuala 

Financial Times Monday July 17 1978 

2 iticc 1890 

w been 



japan vni 

facing industry 


BY 1985 Jap***'® heavy indus- 
tries -waU face tough competi- 
tion from neighbouring South 
Korea, Taiwan and Singapore. 

But some Japanese steelmen 
say the real losers in the battle 

with the “ semi-developed 

countries" will be the Euro- 
peans and not the Japanese. 
These developing countries 
have achieved their success by 
learning to act tike th ® 
Japanese. They are too small 
and still too far behind tech- 
nologically to replace Japan. 
They will take a market share 
from the Europeans who have 
not yet learned the same 
organising skills. 

The Japanese are confident 
that in 1985 they will still domi- 
nate the world steel trade and 
remain the number one ship- 
builder. They will lose their 
market share in shipbuilding 
but that will be more than com- 
pensated for by increasing plant 
and equipment exports. 

... f 

„ . 

Tinkers u^coiMion at Mitsubishi's Yokohama shipyard. 

leaving school to the normal past d eve * opi "^^ lr ^^ a ^ finanws ^^upid investment l« 
*Japan\f "heavy industries cei* Jgirement age. <*«" made gn ^tS?L^ mav lose much of JtMBOnejH- 

t^menTaS orien made grandiose pu»M» — ^^e much of its money- 

'2*™ fltmarenUy dan- buUd their own rotegratad steel m - financing medium- 

S? mtJSTSXn of mills- >?«-£"« ^ 

tainly have problems. Of 03 Even me appanruuj — But f6W have gone fl a *’ re con- 

Japanese builders of ocean-going ^ financial condition of mills. B t m e s«ed shi^uddcre whjch *^n 

vessels 12 have entered bank- Span's heavy industries is ™ “ n Sjng W 

ruptcy reorganisation since the ^ as serioU s ^ | t seems. For espen in nations l^ely to- leam^ . 

beginning of 1977. The sixth shipbuilders, for Instance, the B average labourer But tlie Governffiflfd jjn- 

and seventh largest companies, ronstruc tion of only ten ships revived the discipline siderably limits tbs ri$* 

Cgcshn ttpaw Industries and . ♦« mv for the cost of has not ». .. imciu miBht.he caused by too 

“You can feel the tradition in the air” 

— 5^“ 

Beginning w ■ shipoiuiaeTs, iur — - . t i , a average I a Dourer ^ui uic 

and seventh largest companies, ronstruc tj 0 n of only ten ships received the discipline siderably limits fta. n** that 

Sasebo Heavy Industries and jg enough t0 pay f or the cost of has _ not re ucation> losses might he caused by *90 

Hakodate Dock, are surviving _ „t„„, tonicpr-iniildinc dock, or a_ decent ^ UMimT it». ninnv nnnnie fallow inn the same 

At the heart of things in Tokyo 




Tel: 720375-: .^Staac^' f 

,DU$3EtDO«P ;. ;: - !w- -» 


.Tel:. {4Q> 35*1 '• v %'l! 

?«««?« s ESBrfSte&s 

Tel: (02) 648-55-20 'Jfi 

•>* , .** '***«*' , ,/ ' - TV 

CLOSES . • : rt ‘“.-K 

Tel: (50)' 98*33^4; T?lw(* 

ROTTERDAM*:/' f"* -. «?; -i 5 '' • V' 

Tel: (010) H265Q ; ; 

PARIS • • : yt : 

Tel: 261-84-64' .TeTejf . 

e ' ^ ^ 


Tel: 666547 Telex; 2*13^?.'?.^ 


Tel: 25M283 - TaM7^^S^.' 

• !. > 


IAS ^ ^ 

T.t nr</VM O QK'TT'fr/.’J ■ V .V* ‘ i 1 T. » JT- • 

stockhoi;w': ; ?v*- • : S-’"t w 

■ 1 • . .. "* V :; \ *-.^V 1 :”■> " ’ . ,iV ;;; ■■ .m 

LO— ' - i ,* V - .....V v ”- '■• •/"-« 


Tel 4H5-.0& 

HELSl^kl ' .. „.v . i/;k , y 

TbI; 665605" 

ATHENS ■' •’ " :.;T' :j- *:? 

: Tel: 5^41^2? ;> 

, are surviving “ ^^t^iSbSwing docL of ^ewnt eduMtiom^ 

S ? h "onT C elSr ? “ sS^si ~n r ; 

major banks. One banker said and most have avoided deserve mention. organises cartel! to keep prices 

Japan’s shipbuilders in the investments since then, re JJ®“ d ** „ nwT , ersh i D an d up wd earefully guides com- 

lBSOs will need only one-third their major capital factliUes The Japanese ip panic* towards scrappiOS their 
the manpower that they had at are ^ready pa id for. employment systwns le aa t ' efficient equipment. 

233? OSS Reluctant g -S J £ES£w 

a arenas «rs. s f £S3S SSslssr^jws 

may drag a few regional banks , urtant t0 provide it for com- croswwne^ ™ are oftln several steps ahead of 

into difficulties too. parties whose products are in insult Man-meTs nrivate companv men in undcr- 

But no-one believes that this but the amounts needed °* “!S extem^that sending new technologies and 

will destroy the ^utidinj are P rela tively small. The banks “ tStSamSS new mfrket conditions. Thus 

industry. None of the bankrupt ^ provide as the Govenunent ^ «Mnp^y su^ ^ Japanese In dustry 

companies is among the 23 ^pjements its 4 reorganisation e mPlW®“ hTuter^ salaries to respond more quidtiy and 

largest companies comprising _. an » which calls for the co- employment, nttter sjjan 4 P effectively to world 

the .Ta pan SWpbuildera' Asaoci- Lrappins of 35 per and better working conditions. ^» r „ e * 

ation. Since the top five ship- of the industry’s capacity. Employees have much more 6 ' .. <vin , 

builders alone built 70 per cent The j apanese predict that will incentive to work *H a team ’* as ^' .. t he^ world’s bast 
of the ocean-going ships 1Q equalise supply and demand than Western workers wlio sus- are probably world s ba 

japan hefore the oil crisis, it ^ time ifthe early 1980s. j*,* they may be fired to pre- assemblers * JS 

is easy to see that the bankrupt ^ in . serv e the interests of the stock- technology tramder ageni^ 

companies are marginal. durtrv tte iSSerm outlook is holders. They have no reason Other 

All Japan's industries are duspy tqa in»a t ;» to obiect when companies use heavy industrial sales and 

much more flexible than they buite bright, th Ufi demand low * wage suh - contractors, service to become a specialised 

look. Marginal shipbuilders making any today’s Though average wages in Japan function within fti*nt manu- 
re been Sna^ so far (Susld ^ now ^e^ thosTin Europe factu ring companies. Thus their 

to find that when they seek ^rejSSS by marginal labour for a Japanese salesmen are mainly roncenwd 

"voluntary retirements’’ from ESSE* in company hired through a sub- with promoting their own 

their staff they get more volun- business an g ^ believe contractor can often cost less companies goods- 

teers than they wanted. Because else will be able to than for its European counter- But j a pan has developed wry 

salaries in any Japanese com- j^ ercut Japan ' fi prices in part. large companies that specialise 

pany depend on the company s few doubt that Japan Japan’s financial system j„ trading. They can often 

success, workers m ^ continue to surpass the ensures that companies can get direct orders tu companies that 

■with bleak prospect often in price and- quality of the capital needed for efficient wou id otherwise be too small 

| prefer to quit when offered tne industria j p!ants . investment Each company has to aurv i ve in heavy indupmea 

incentive of a lar 8 er ' t 5 1 a “^^J ^ if me advapeed coun- a “main bank” which in return on ^eir own but are just the 

sra ssrsf^ ^ sws 0E ,he ^ ‘ “ ‘ 

m for most of the company’s size for some types oj 
easily find jobs in Q“ er ^ u »; “^uctio^ than in the deposit and money transfer busi* heavy industrial production.- 
tries-theugh m ta th« the d*- keeps tra* oJJhe ®m ; . . 

coipnanies where 

Jie ucai a« ,v i * ■ . , .. 

^mnanies ” where ^e be ' • ““ g; n^f situation and 

emnlo'inent ***** S5 SB ^^wing. In the provides the necessary mqney 

Robert Wood 


Labour system has 

DESPITE PUGNTY of talk and 
dire predictions., a quarter 
century of rapid growth and 
change has only slightly 
altered the employment system 
japan evolved after World War 
13. The years to 1985 will he 
no different 

ss*r ~ mucb iras ^ r «r,« e, .s 

seCUTlty - prosperous big com- smatier companies. .Qthe^srat a^m^^ P r,ce when 

nrnfiwroi is bic co m- smaller companies. Utnerwise at a 

&s& 22 £ w&mm 

The reason is that the Japa- 
nese labour system is extra- 
ordinarily efficient and deals 
extraordinarily realistically 
with the needs and tensions of 
modem industry. No one would 
say it is completely just, but it 
also produces less inequality 
than any of the Western sys- 
tems the Japanese have peca- 
signally considering adopting. 

The next seven years will 
bring significant adjustments. 
Japan’s labour force is ageing. 
Seniority promotions will be- 
come slower and less depend- 
able. This may cause some 
weakening of the “ lifetime ” 
employment system in large 
companies because the tempta- 
tion for young people to switch 
jobs will increase. But neither 
Government officials, business- 
men, nor most unionists expect 
Japan’s labour system to change 


nr SO After that “’merit” plays members have no reason to wage. 

an increasing role Retirement object tD subcontracting, and Small subcontract metal- 
L £5S 55 or siightly later, little reason to object 'to lew jnSv. ahOB* IBMOMW. 
^dre^eesalmostSlwi'S tak^ wages for suh contract workers, m many Tokyo neighbourhoods 
another job. Thus “lifetime" because anything that :in a kes as rice shops. But because 
employment is to some extent a their company ncher ultimately Japanese companies subcontract 
misnomer even where the makes them richer. - so much labour to small com- 

system is rigorously obeyed. r _ . - SSVSStai labour up 

wSs when the^lrS joi^ a V-OIlCenieCI higher tfcm-It would otherwise 

=hnnf° Yiooooo Union orgwuseps tp small be. 
fSMOW^nonth for 'Sw companies aay that big company Ev W at the bottom of the 
t^v rd.ic ■ WanmS men— including ^ big company current- recession — Japans 
graduates tod y p ^ union members — are often more worst since World War II — it 

*j?°V ;?■ B ctinfnrirv-hased ^aee concerned with preventing the was possible for semi-alcoholic 
tnr^aspc^^biEf^oomnanies are growth of unions at small com- day labourers in Yokohama to 
hie Enough to P anies than wlth aidin S t^ en ?- find companies willing to hire 
^ nie Wg company men admit them., pemanently at monthly 
® v ®° ’ raine more this is true- . . .. Varies of Y150.000 to Y200.000. 

th Jv ^nSler In -smaller companies labour (^750 to $1,000). 

companies relatjonaWps are much These companies do not 

companies. li]Ce Westeni labour relation- ma i nta in - - 

Less successful companies, sb i ps some smalt companies' are “ pnt “ 

‘lifetime " employ- 

nr ,ihl nihM- hand have often snips, some smau wiupaui^ -.c raent the strict sense. Many 
some 0WT,ed by entrepreneurs; some -try . But wagcs £or even senior 

«m£k,vees’ w Sr su l m subsidiaries of larger com- ^ rkers jn slusll compile, 
employees to major su^ . gome emp i 0 yees are eaWfim -i M m „ P h shove, the 


Creative trade means going beyond traditional 
ffnport-export transactions. By backing major 
development projects around the world, 

Marubeni is initiating new trade flows, 
equalizing the distribution of resources and 

technology, and trying to raise living ^o»wte-io.i 2 s«;n=- 78 =».eta 

standards torall. 

AlJQUT 5CZVKC WIW 1AJ Win*- i w 


The system often seems 
bizarre and incredible to 
Westerners. Most "Western 
reports focus exclusively on the 
system in large companies. The 
system is multi-layered, how- 
ever, and the large companies 
cannot he understood unless 
small companies are understood 

Large companies have power, 
and they treat their workers in 
ways that seem very generous. 
But for many ..functions they 
depend on smaller companies 
that pay less, often have much 
inferior working conditions and 

.mnov“ 7 tn mator sub- 8X6 . 811 DS „ ira workers in small companies 

to° reducecostsor p “ ies: Some empl03 ' ee! are seldom rise much above the 
contractors to reduce costs or y n ; 0Q aC tivists: most are apa- waPM workers could net at 

St , But “ ni ” M at t sma11 othe? ri“p«SSf eld it fr. 

S» 7 s' 7^|3 “KJ 7 . rtSK ;ior . wor ^; 16 : 

patching to subcontractors is ^j ra05t ^1 small companies are JJ? - js efiadisDi 

patching ” to subcontractora : is ^1 small companies are - 

always done m consultation with If thev struck the' *"* -system — 

the company union. It has been ^ co^nies coidd either *do 
particularly common during the their wo {5 witb its ^ nE uiai the big ■ compames mid 
current reresnion. and one "f *r find . U.Se ot mugillil. 

the most difficult questions^ 'SSSSSor labour through the small rom- 

about the Japanese labour d tutiism between ttiE and 'P««Ies- The^ ^ biggest r^hallenge it 
market in 1985 is whether “ dis- 

patching will grow or decline. th t va?t ^ exista between P™. P^gressiv* 

Employees of big companies r j cb ap -^ pQor i n fqot Japap has ^ n ^' . • 

have good reason to work hard few citizens who would bemdled:. The obtidrtnV.of the -194749 
as' a team. As a group their ricb the West and few Who baby bqow afe bqw turning 30r 
future is guaranteed to the can y^onably be called- <poor. -By .1985 the 'bitbvrbnora. men m. 
extent that their company simple supply and deraaod ia big compani. 1 -* ri^l reach the 
succeeds. They could accomplish ^ bes j explanation. A -hig ase whOn cpt'e^c ;gtaduaScs of 
little with disruptive strikes. - J • J '*•* 

Their companies hire marginal COMTjNUf O. PH- r«XT 




Financial Times Monday July 17 1978 



* / 
t ; 


Planning for the 
industrial future 

ri usl nai !L„° f J. ap l n ± 1D ‘ s . truc * ure J each. covering a knowledge industries by diver- warns that mishandling of this I 

If expertise in securities is money, 
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riustnal ctrtTni u T iu- structure. eacn one covering a knowlei 

ron>L-ioiis exercise rarried^oui produced" fn^'Se* tin mediate S 3 , aw ® y from standard L, ° uId ca use the economy to I 
under the wing of the powerful aftermath of the 1 S 73 nil rri*i= te pi ? d ?y ts V} 10 hues of collapse into a new recession. 

^ .nfluentia. Mini&y of ™ indu^a! SS'JSS ftUTI ' S ««« to the 

l .£?KL T ” de “ d lB ' structure in 1985.” however S' to question of what to do about 

Piously sick industries 

> awtt 

"nine on i Process is still of the 1960s and made at S S22SS3S SsstfM 

■pij’: 01 d hi Sh growth era. the kind that actually grew most 

It is more crucial because the rapidly during the early part of 

The Bill provides for the 
Government to designate 
HAITI'S reaction to the oil ** candidate ” industries for a 

some industries have taken on have been a golden age for in- “vauaoimy or resour _ r 

v the appearance of pre-historic dustrial p lanning .: All Arm h af f Industrial Structure Council ping targets- 1 either voluntarily 

- monsters — no longer able, to to do during the early to secretariat identified eight by industry itself or under 

survive in the harsh post-1973 mid-1960s, as its own bureau- possible areas in which growth guidance from the Government), 

world economic climate. Draw- crats see the situation now, risked being squeezed by short- The industries which figure in 

mg up plans for the restructing was to lay down a target for a S es 'they included land, water, the plan (with the percentages 

nf industry on the other hand growth in a given. industry and ener sy. natural resources, of total capacity proposed to be 

has also become more difficult then wait for the major com- labour and the balance of pay- scrapped) ■' are: aluminium (24 

because far more calculations panies in the industry to make m®nts>. per cent); open hearth and 

enter into the process today the necessary investments in It concluded that energy was e ^ ect ri c furnace steelmaking 

than in the relatively simple era new manufacturing capacity. the only area in which short- P er cent L chemical 

of the 1960s, when the only ‘ ages were likely and accord- fer tilisers (15-30 per cent): and 

obstacle to rapid Japanese T||f a 11 imp -ingly drew up a “Vision” of shipbuilding (a responsibility of 

economic growth appeared to be ***** ***'■' Japanese growth over a ten year of Finance, not of 

occasional shortages of foreign. The process was an- infallible period based on the assumption MITI but reportedly due for a 
exchange caused by too rapid one since, throughout the 1960s, that Japan would be able to ^ P er cen t cut), 

increases in imports. successful Japanese companies obtain 760m kilolitres of energy 

Like many other branches of were preoccupied with marker toil plus other sources of 
economic activity in Japan the share rather than with the energy measured in terms of " vlwUUllUj 
restructuring . of industry is maximisation of profits. Not to oil i by 1985. The first edition Mm insists that the cut will 
something that tends to he invest in new rapacity in of “Vision” published in the be made voluntarily not compul- 
tackled on a partnership basis accordance with MTTI guidelines summer of 1974 contained sorily. Outsiders wonder 
by the Government and the pri- during this period meant an detailed projections for the whether the attempt to legislate 
vale sector. The best known, almost certain loss of market raa »° sectors of the Japanese production scrapping will work 
and probably most important, share on the assumption that all economy over a ten year but point out that it will happen 
entity involved is the Industrial one’s competitors would be period which were revised in anyway sooner or later under 
Structure Council, a body com- following the same guidelines. tw c* subsequent editions (1975 compulsion from the major 
posed nf senior businessmen. The second long'-term plan a nd 1976). banks who are expected to re- 

and other influential people produced by the Industrial The 1977 edition of the M1TI fuse to lend money to companies 
which is officially an advisory Structure Council came out in " Vision " is a less confident 1° structural recessed industries 
organ to the Minister of Inter- 1970 and took as its. theme the sounding document than its which try to keep their capacity 
national Trade and Industry. development of “knowledge predecessors. The annual intact A point on which MITT 
The industrial structure was industries ” — that is industries exercise of updating the figures and its critics do not disagree is 
formed in the late 1950s from a which would provide a higher was shelved, apparently because that capacity cuts preferably 
variety of smaller and more input of added value with the officials felt the exercise was be made quicklv and that capa- 
specialised advisory organs, and same quantity of imported raw “no longer useful.” Instead city should be reduced to a level 
inday consists of a general materials and thus reduce the the document dwells at some where the industries concerned 
.supervisory council with a rate at which Japan was increas- length on the " increasingly (allowing for a slight upturn 
number of sub-committees. The ing its share of the global complex ” situation surrounding in business over the next two or 
secretariat for the Council is supply of raw materials. Typical Japan’s economy, which is attri- three years) might be working 
flic Industrial Structure section examples of knowledge indus- buted in part to the fact that at “normal capacity” by around 
oi MITTs Industrial Policy tries, which accordingly became the economic behaviour of other 1982. 

Bureau, in other words the MITI the “favourite children” of nations no longer seems to be Having tackled the problem 
bureaucrats do most of the MITI in the early part of the governed by purely economic of what to do about the struc- 
paperwork while the. Council decade, were the- computer criteria. The 1977 document turally depressed industries 
members function somewhat as industry (which has.flourished) also emphasises the phasing out MITI now faces the question of 
a board of directors. In the past and the aircraft industry (which or substantial running down of Jiow to view the future. The 
15 years the Council has come has not). . /• rapacity in several major in- Ministry admits to be thinking 

up with two major long-term Established industries like dustries as being a crucial post- about a plan for the 1980s but 

plans lor Japan's industrial steel were also to become oil crisis problem for Japan. It officials are reticent about its 

contents. One theme which 
does seem likely in the plan; is 
, the need for a start to be made 

on planning the development of 
CONTINUED :FROM PREVIOUS PAGE technology in the way it was 

formerly possible to plan the 

the past decade expected auto- in big companies will get their the interest of the company as industry, 

malic promotion at least to promotion much fa ter thah they a whole. Big Japanese com- Wherever “®P®P e * e 

assistant section chief. But ir would Joke, and some vM not panics own each other. e< ^ 1 n ° inJ ! g< ? es }. tt 19 f^. u 
1 bey arc all promoted they will get it at aH. Potentially more Commonly a company owns , I , In ■ , of , * 

have few subordinates to boss significant,, some companies are stock in .its main banks and -the 

amund. Japan has 30 per cent considering abolishing seniority butks own stock an the com- .JJ™ 2? £? 

Wvear^r ar ‘° ldS ,0d “- V ,ha " Jf** i ” re “ <s for My0Oe Mer LJ”, ald Europe ^rSe S'wffih 

' 40. almost completely isolated from ^ economy grows and its over- 

The situation wild become ^® ssure by utves-tor stock- a jj viability may thus depend 
more complicated if aiders and can afford to put more on the speed of techno- 

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Elderly retirees arc another 
problem group. While in the 
past the elderly were few and even 

past the elderly were tew ana «?ven more canipiacaip ir more on rne speea ot teermo- 

ihnse who needed jobs could recoveiy from the recession pro- priority on maintaining a logical change than the amounts 
usually find them as apartment duces a new shortage of young s ™°° lt:h TeJationshap -wilih their of money that Japanese com- 
Miperintendents. cleaning men, workers— as us almost certain. un '^ ,ns - panies sink into new produe 

etc.. Japanese fear that as they For now <the Labour Ministry . ™ ^ or . elderly, the tio n fac ilities, 

live longer, the supply of is itoo busy dealing with toe Ministry is already try’- MITTs awareness of this fact 

elderly workers will outrun the problems of recession to tibink t0 ™ nv * n ce companies that could lead it to make a bid for a 
firman d. about any possible labour sfliort- sflouId raise their retire- new role as the overall co- 
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is a severe shortage of jobs for ^ gj V e companies more 55*i«£ ea 5 Ie 'S, 0 h3VC b ^ en en * J * pan " s technological develop- 
ihem. If anyone is a ruined mon ey with which to continue bec0I “ “® nL , An attempt to assume 

victim of the Japanese employ- paying semoiily increments but 25. for • e C r verament s this role would lead to an inter- 
ment system, it is people who oa otlwr foree companies per J* ,on scheme. departmental dash with the 

reach their company’s retire- narj r 0 w the ean between old wou,{1 " ot dl ™nate the Science and Technology Agency, 

mem aae during a recession. I w of „ people , se ^ n e which currently has geneii 

.lobs available fur the elderly l voimm: staff $en>nd jobs after retirement, responsibility for nudear tech- 

n.»w pay as little as Y70.000 Ke€,p yoiHls but coupled with gradual im- noiogy. This does not alter the 

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•lapan’s high prices is a poor few Jorge Japanese companies w ^° nld keep the demand for logical development could be 

wage indeed. wjJJ implement any poticaes Wit-relirenient jobs to a level the crudal kind of planning for 

officials aird businessmen say without first convincing their ““sistent with the supply. Japan during the 1980s. 

many nf today's 30-year-otd men unions that the policies serve R-w. cs. 


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Financial Times Monday July 17 1978 


New thinking on 

energy supplies 

problem of energy supplies, 
like its economic performance 
generally, has undergone a 
series of violent changes during 
the past few years. At the start 
of the 1960s the Government 
decided to base the nation’s 
energy policy on imported oil 
and accordingly undertook the 
difficult and unpopular task of 
phasing out the domestic coal 
mining industry as the 
main energy provider. Japan 
remained committed to oil — 
and apparently unaware of the 
dangers of its overwhelming 
dependence on one energy 
source — until the early 1970s 
by wbich time it bad become 
the world’s biggest crude oil 
importer (and the second 
largest overall consumer of 
energy after the U.S:) . 

The 1978 oil crisis produced 
a fundamental change of 
attitude: the initial reaction 
was that economic growth 
would have to be drastically 
curtailed if Japan was not to 
outgrow available sources of 
energy and face a situation 
amounting to national economic 
disaster. Five years after the 
oil crisis the consensus appears 
to be that energy constraints 
are less serious than was at 
first believed sad not likely to 
put a direct break on economic 
growth over the next seven or 
eight years. Dependence- on 
imported oil, however, is istill 
seen as a grave economic \and 
strategic weakness for Japan 
and the main thrust of energy 
policy is aimed at reducing 
this dependence. 

‘.-..fv rCi . r J J-,v ' r VT f~S ¥ v 



The Ashitaka home ]or old people in Nmmtsii uses solar energy as a heating \ 



Japan’s energy consumption 
in 1975 (the “base year” for 
most current official planning in 
the energy field) was equivalent 
to 390m kilolitres of crude oil, 
nut of which 286m kilolitres, or 
73 per cent, was imported OH. 
The forecast for 1985 is that if 
the economy grows at about 6 
per cent per year, and if energy 
consumption increases at a 
marginally slower rate than 
GNP. Japan will require 740m 
kilolitres of energy (in terms 
of oil equivalent) to supply 
“ normal ” needs of industry and 
the general public. This figure 
comes down to 700m kilolitres 
| when allowance is made for the 
[probable effects of various oil 
| conservation measures which 
j are currently in operation. 

In order to supply this much 
energy— again assuming that 
no drastic new measures are 
undertaken to introduce new 
sources of supply or increase 
existing ones — the Government 
estimates that more than 500ra 
kilolitres of crude oil would 

have to be imported — an 
increase of 74 per cent on actual 
imports of crude oil in 1975. 
There appears to be little doubt 
that Japan could afford to buy 
this much oil by the mid-80s. 
Rough calculations of the prob- 
able growth rare of Japanese 
imports and exports over the 
next eight years yield the con- 
clusion that a “natural rate” 
of increase in oil imports com- 
bined with a substantial rise in 
oil prices (say 50 per cent on 
1975 values) would still leave 
oil with the 35 to 40 per cent 
• share of Japan's import bill 
‘that it occupies at present 

What appears a little more 
doubtful is whether Japan would 
the able to obtain the amount of 
oil it would need if imports 
rise “naturally” — even suppos- 
ing it were willing and able to 
pdy for it A rough guess of 
the likely rate of increase in 
OEEC oil production up to the 
mid-1980s yields the conclusion 
thijt Japan might absorb 15 per 
certt of additional wortd produc- 
tion’^ compared with 1975. This 
figure has to be set besid*:- 
Japan's current share of roughly 
10 peJr cent of world imports. 

The‘ difference between the 
two n$av not be large enough 
to be afiarming but it is enough 
to be ^seriously disquieting to 
Japanese officials and business- 
men wh^se work requires them 
to look* at the future pattern 

of energy consumption. Because 
of this the Ministry of Inter- 
national Trade and Industry 
(which masterminds energy 
policy through a subsidiary 
entity, the Agency for Natural 
Resources and Energy) has come 
up with a revised plan for 
1985 which substantially reduces 
proposed dependence on oil 

The first assumption in tho 
revised plan (published in 
June; 1977) is that Japan should 
attempt to step up oil conserva- 
tion during trie next eight years 
so as to reduce consumption by 
10.8 per cent from “ pre- 
conservation ■’ levels instead of 
by the originally anticipated 
figure of 5.5 per cent. Oil con- 
servation is relatively difficult 
for Japan since consumption is 
weighted heavily towards indus- 
try (40 per cent of the total), 
which is already fairly efficient 
m its energy consumption, and 
only 12 per cent towards domes-, 
tic usC, the area in which energy 
economies are normally easiest 
to achieve. 

The average Japanese house- 
hold is in fact relatively sparing 
in its energy consumption using 
only one-sixth of the energy 
used by a typical American 
household. MITI. . however, 
thinks that there is scope for 
further economies in both indus- 
try and home use. It plans to 
submit an energy conservation 

promotion law to the next ses- 
sion of the Diet, which will, 
among other things, make the 
insulation of new houses com- 
pulsory up to specified stan- 
dards. If the conservation pro- 
gramme works out, total energy 
consumption by 1085 would be 
cut back to 660m kilolitres from 
the estimated “natural” level 
of 700m kilolitres. 

The mor e significant part of 
the MITI plan involves an 
attempted shift in the pattern 
of energy consumption within 
the revised total of 660m kilo- 
litres. In order to achieve this 
MITI hopes to develop three 
main “alternative” energy 
sources over the next eight 
years at a substantially faster 
rate than had earlier been 
planned. The three sources are 
nuclear power where the pro- 
duction target for the mid-1980s 
is 33m kW or 7.4 per cent of 
total energy needs, LNG (pro- 
duction target 30m tons, 
contributing 6.4 per cent con- 
sumption) and coal (16m tens 
and 12.4 per cent). 


Search for oil 


JAPAN IS stuck with oil as its increase the ratio of policy oil loans to the national oil corn- 

main energy source for the to total imports to 30 per cent panies of other countries in 

foreseeable future. This being by 1990. This is a return for access to oil supplies, 

the case Government policy is downward revision of its earlier The new terms for JNOC finan- 

to reduce the nation’s depen- target, which called for 30 per cial assistance to oil search com- between ~ the planning and 

deuce on the open market for cent of Japan's oil imports to panies will enable the Corpora- aV om.tinn of nrntertc hccause 

— J - directly don to lend 70 per cent of the “ Se time required in Japan 

The promotion of these three 
energy sources would reduce. 
Japan’s dependence on imported 
oil to 65.5 per cent of its total 
energy needs (compared with 
72.2 per cent on the assumption 
of “natural” growth. It would 
cut back the figure for crude 
oil imparts from 505m kilo- 
litres to 432m kilolitres. This 
would be an . impressive 
achievement hut doubts exist as 
to whether MITI can really 
bring about the increases in 
alternative energy production 
that it has in mind. 

Of three fields, two, LNG and 
coal, involve investment in 
resources outside Japan on a 
fairly massive scale. An increase 
in coal consumption would also 
involve the building of coal 
burning power stations -within 
the country, and at least one 
major coal Import terminal. 
Nuclear power is the energy- 
source in -which the longest 
time lag. appears to exist 

crude oil and to build up come from sources 

supplies over whi-ch the nation under the control of Japanese funds needed for ventures out- to ga j n pu bii c acceptance for 
expects to exercise a certain capital. side Japan (50 per cent previ- t jj e siting of power stations, 

measure of control. The policy The oldest and most success- ously) and 80 per cent of the Because of this most indepen- 

has been only moderately sue- ful of Japan’s overseas oil pro- capital needed to search for oil dent observers feel that nuclear 
cessful to date, mainly because duction ventures is the Arabian within Japanese territory (70 power generation in IS85 may 
of the very meagre success of Oil Company, which operates in Per cent previously). JNOC will riot j^g much above 26m kW. 
oil exploration ventures car- the zone between Kuwait an a l so he able to finance 80 per or what would result 

ried out by Japanese companies Saudi Arabia and’ supplies 5-fi cent of the cost of some projects {rom ^ completion of power 
tn various parts of the world, per cent of total imports. The outside Japan which are deemed strong W h 0Se construction has 
Things could change, however, newer generation of overseas oil t0 be of special interest of already been agreed, 
if there are important oil finds production ventures includes a importance (e.g. the Japanese ' 

during the next few years in series of relatively small opera- involvement in a Canadian tar wneurer or not mill aoes 

the East China Sea, an area tions in Indonesia. Zaire and sands project). manage to reduce Japans 

whose jurisdiction is divided Iraq, in each of which a private 
I between China, Japan and Japanese developer 

imported oil dependence to the 

JNOC’s direct financing ol extent it pkias , the strategy 

□etwee n uuna. Japan and Japanese developer was sup- .other national oil' corporations : to have been flrmhr 

Korea and whose potential oil- ported by low interest rate loans began with a loan to Petroneru ap 4 pears J 10 nave 0 . nr ?H£ 

hearing capacity (admittedly or equity participation from the and has been followed by talks natte^S^apaMse 

mainly on the Chinese side) is Japan National Oil ’Corporation with Pertamina (the Indonesian i"™ m n ™m D tion ran be 
believed by some geologists to (formally Japan Petroleum state oil company). Very eDer *? j consumption 

be larger than the writf-in* DotpI Airman t nivmrvratinn). rananilu »aUr<, imw* « expected over the next deeade 

existing Development Corporation). recently talks have begun on a 

iprevad ° f Sa “ d ‘ . , M n % w M ch Mg? 

» on imports are cur- Ventures SS - SSrTte 'JS£2 

rently running at a level of JNOC exists to encourage and companies take up prospecting . J ___ U£rh M ^ j aDjmese 
about 275m kilolitres per year, support overseas exploration rights in Vietnamese territorial j V J_ l^rld oil nroduc- 

with SO per cent of th e total ventures ns well as to oversee waters which were originally fl 0 '* yS ^ S “ C”® „ {JS 

coming from the Middle East and partly implement the cur- granted to them by the defunct dowtlwa ~JL ^ igoflc on . 
(mainly Saudi Arabia and Iran) rent oil stockpiling programme. South Vietnamese Government Rt Jea$t a decade before 

and another 16 per cent from Its relative lack of success to JNOC is “ in principle ” read v Japan exoects its research on 
Indonesia. The bulk of the oil date is put down partly to the to support the oil search by fundamentally new sources of 
is brought into the country by fart that most of the Japanese Japanese companies and their energy to start producing sifi- 
international majors or by companies which are involved international partners which Is nftfc&nt results* 

Japanese trading companies, in overseas oil prospecting are due to get under way in the _ .. ... . . . 

I who buy oil on the open market small entities and therefore no Korean continental shelf area The lasos will be the decade 
A small portion (at present match for the efforts of the later this year but in practice • according *° 

about 13 per cent) belongs to bigger and more experienced will not be supporting it *' a P fln ® se forecasters, with a 
the category of ** policy oil ” international majors. Another because of unresolved problems dteal depending on 

which the Government Is problem seems to be that Japan relating to the demarcation of wbrtber uuoJear power has 
attempting to encourage. Policy vns l at e on the scene as an oil part of the Korean portion of ‘ 3een ™*de safe enough and 
' oil is defined to include o0 prospector. the shelf area with neighbour- acc ^Pi a bl® though to take over 

produced by Japanese com- The merging of Japanese oil ing Chinese areas. This high- as WJ sources by that 

panies overseas or brought exploration companies into lights the fa cl that the Cor- time *. Th e only answer t,o the 

under direct deal or govern- larger groups is seen as an poration, like most other ^l ue stion. of fvhether Japan will 
ment-to-government agreements impossible task at present. What Japanese circles concerned or uhle to cope with 

. (both of which are considered JNOC does plan to do is to step with oil, is keeping a very ^ energy problems in the final, 
to be potentially slightly more U P its own support to new oil careful watch on developments decade of *the- century is 
secure sources of supply). The search operations and to offer in China. nobody knows. 4 

| Government would like to CONTINUED ON NEXT PAG* V ; ; GS. 

financial Times Monday JuJy 17 1978 



Sunshine Project 
sets its targets 


IN THE 1960s Japan put its 
mnney on oil as its main energy 
’■ source. From around 1970 it 
began to believe that the future 
lay with nuclear power. Today 
0,1 18 regarded as an energy 
suurce which will cease to be £ 
available after about 
1390 On the quantities Japan 
needs) while nuclear power 
fPPff* as an indispensable but 
'■ », .j. highly problematic alternative. 

- If follows that Japan needs 
l| new energy sources. The pro- 
motion of land to some 'extent 
A> d J rect conduct) of research into 
, 4iisi i these became a Government 
responsibility i n 1974 but the 
> ****, effort i s still in its early stages 
m f; a H d almost everyone concerned 
'-r*. Iff fci (both inside and outside Japan 
and in related international 
■ -^.agencies) believes that it is 


• •. - - '.vy The Government’s main con- 

tr i but Ion to new energy research . 

. is being made via the Sunshine i- 

T Project, a department of the 

^- e nj=i^^'fe*SAgency of Industrial Science 
an d Technology which in turn 
comes under the wing of the 
V ---^a^l^Ministry of International Trade 
Industry (MIT1). The 
_ yB,' Project began with a budget of 

. . ’n£<: • &i ^Y2.27bn in its first fiscal year 
ZZ H l sT sV ^ and in the current (19781 fiscal 
. ^j*ear anticipated expenditure is 
Y5.5bn. At this level expend!- 
ture on new energy research is 
still on an extremely small scale 
compared to nuclear energy re- 
search (which absorbs 85 per ' 
cent of Japan’s total energy Soldi 

research budget and comes invei 

under the control of the Agency for 1 
of science and technology’, a proti 
body independent of and to 

- £=s«b- **£1**. 

N * IM| «* C U JC»gg: % 

' * ' -'fPPI & 

' r *;- 7 '' * 

' r VW/- wo 

ground heat reserves which 
Japan possesses by virtue of its 
1; nature as a highly volcanic 

Coal gasification and Jiquefi- 
cation is a different matter. 
Japan does possess coal reserves 
and until the early ’60s relied 
on coal for its main energy 
source. These are not large 
enough, however, or of sufficient 
quality to figure prominently in 
future calculations of Japanese 
energy consumption. The 
assumption is rather that Japan 
may step up imports of coal 
from suppliers such as the U.S., 
Canada and Australia. As a 
quid pro quo for access to 
imports from these sources 
Japan wishes to be able to make 
a contribution to coal conver- 
sion technology. 


- ■ 


S 3 


Solar energy is one of the four main areas being 
investigated by the Sunshine Project in its search 
for new sources of energy. Pictured above is a 
prototype of the Yokohama University PORSHE raft 

Hydrogen figures as the 
fourth of the Sunshine Project’s 
main lines of activity because 
of its potentially unlimited 
7 ’SKisvi’.r** availability and because it 
raSssSKa should be easy to store. Research 
is being conducted into con- 
version processes involving the 
\ij use of beat and pressure 
' (available from off-peak electri- 
city supplies) and thermo- 
( chemical conversion. 

The Sunshine Project has not 
BBSS^ESatS involved itself in a major 
Teas beinn scheme for the conversion of 
ife spnrrb sea water into hydrogen by solar 
~ energy which has been pioneered 
vpcot~£ ^ Yokohama University and 
mane, rajz may move into the feasibility 
‘ , study stage in the next few 


Those with a sharp eye for investment 
opportunities will eventually discover 
the lucrative Japanese market. 
Those with a sharp eye for quality will 
eventually discover the unmatched 
services of Daiwa. 

some extent in competition with will have to reroute ^ds away breakthrough which would cut months.^* 

. . f rom other destinations within costs tenfold, after which mass known as PORSHE (Plan of 

ad«rS *££$£** t0 016 ^ ffiEtST **'' b * “» BrtB4 *° 

that 1 research 6 ^ OTenrin^Tn the J 1 ® curre . nt research In solar thermal systems the struction of a series of rafts in 

eff ? rt 15 being m , ade 10 four Sunsh in e Project is dividing its the mid-Pacific which would 
" h r t w invariably main areas: solar energy, effort between central power absorb sunlight and produce 

small. That happens to be m here geothermal energy, coal gasifi- generation system (a prototype hydrogen for shipment to Japan 1 

nrnWtc T™ Cation and Uc l uefactiQn '> and oE which, with a 1 Mw generat- (or elsewhere) either in liquid 

projects ha\e been dunn* the hydrogen. The solar energy ing capacity, is expected to start form in special tankers or in 
first lour years of the pro- programme divides into two operating by 1980) and solar the form of gas in air-ships, 
gramme The test of the sub-sections — development of houses which take in solar porcfte feasihilftv nm- 

pogrnnime s effectiveness may photovoltaic cells for the direct energy through roof units and GYOPr t e d to cost y y 20bn 

^me during the next five years conversion of sunlight into elee- use it for heating and cooling. L,i] e tSfirst stase of an 
A-hen various projects move tririty and the development Solar houses are said to be actual scheme which mfeht pro- 
rom the laboratory to the pilot of thermal systems whose pri- already viable as far as running ^ 

project stage. When this , narj . function is to concentrate costs go but cost about twice ™ JL P needf^Sd eo2^ 
tappens the projects demand and store solar heat. . .. as much in initial down-pay- 

or funds will rise sharply and ments as houses equipped with e ™“ w “ YWtH J n - 

lapan’s normally inflexible AoV2nCefl ; conventional heating systems. technology of the 

mdgeting mles may have to be The problem has become in part PORSHE project is recognised ^ 

lent to meet its needs. Japan claims to be relatively one of devising incentive sys- u workable and commercially 

The standard formula in the advanced in the former of these terns which would persuade viai>le - The project involves, 
apanesc budget-making process areas. A Japanese eelf was used Japanese householders to make however, political problems 
s for each Ministry to be by NASA (the.. U.S. space a heavy, initial investment in ra fl® would be sited in 
Unwed to request a fixed annual development agency) in, one of solar heating rather than international waters incon- 
ruTuasc (defined in percentage its recent projects. However, spreading expenditure out more wuiently close to the site of 
erms) in its overall budget. If costs need to be reduced to evenly on conventional heating P 1 ® French Pacific nudear test- 
hc Sunshine Project is to get about one per cent of present systems. m S ground). Transport is also 

nore funds in future either levels before direct conversion Geothermal energy is the most a problem since tankers _ would 
JIT! will have to be allowed to of solar energy intq electricity straightforward of the Sunlight expensive and the shipment 
n crease its overall Ministerial becomes a commercial proposi- Project's four lines of activity. bvdrosen bv airshiDs could 
mdget faster than current tion. The Sunshine Project is It involves devising methods to he extremely dangerous, 
sidelines allow or the Ministry aiming st a technological map and exploit the rich under- ™ tareet ret by Sunshine 
1 t Project officials is to develop 

new enersv sources which could 

a * "I 1 supply about 10 per cent of 

| I Japan’s energy needs by the 


MTIT-backed research) is to * 


lotyo Head Oiiice: tr4, Otemachi 2-chome, Chiycda-ku, Tokyo KO, Japan 
Tel: 243-2i01 Teleic J22411 

DrlV/A EfJBOPE H.V. Head Office: Amrtel 34 4. . a jnr.ferdam, Tne Uetheriands Tel: 22&V7 Telex- 44-134:1 
•d. r. Oihce: Empire 8/i4 St. Martin* !e Grand. London EC1A 4AJ. England Tef 60>>%76 Telex: 5i-td 
, EUROPE (Deuischiandl Gmfc'H: S.dTA-uvJstrow 6 Franklurl Main. West Germany -Tel. 75 lG2?»Te'ex: 4 1 
Pans Representative Office: 82. Avenue Marceau. Paris 8*. France Tel: 723-5551 Telex- 42- 61044! * 
Geneva Representative. Office: 31, Rue du Rhone- 12C4 Geneva, Switzerland Td: 21 1633 Telex: 45- 23574 
Other Cilices and Subsidiaries. Hew York, Los Angeles,. Sao Paulo, Hong Kong, Singapore 


a * "I 1 * supply about 10 per cent of 

| I Japan’s energy needs by the 


MTTI-back'ed research) is to * 

Japan is committed In buy receiving Japanese technical privately held 90 day oil stock- “start the ball rolling” by pro- » 

5„i lo ns of Chinese oil per assistance in the development pile (equivalent to about 75m moting or financing basic 1 

car bv the end of the period of offshore oil. Repeated efforts tons at the current rate of con- research in the hope that pri- 

iivercd bv the recently by JNOC to extract an'invila- sumption) by 1979, and within rate enterprise will carry on 

egoliated eight-year Sino- tion for its officials to visit China two years should also possess from there, 

apanesc trade agreement. This failed until a few weeks ago an additional Government-held The Sunshine Project suffers 
fiU n;, however, appears to be when the first mission left to 10m tons stockpile. The JNOC from the administrative limita- 

asctT on the assumption that take a look at the Chinese oil has been providing low interest ti'ons of being relatively 

hinese oil exports to Japan situation on the spot. A clearer rate loans to oil companies re- isolated from other branches : 

•ill continue to come from the picture about the prospects for quired to increase their stock- of Japan's energy research, in- ! 

tisitorv oilfield at Taching in working with China and even- piles in accordance with the 90 eluding those being made with- . 

iortia East China. What could tuaiiy obtaining access to day programme and will be in the Science and Techno logy 

hange the picture very sharply Chinese offshore oil could directly responsible for the Agency and with another TO 7'- - J 

nd 'increase China’s potential emerge after the return of the Government stockpile (half of agency the Natural Resources ! 

nportance as a supplier to mission. which will initially be stored in and Energy Agency. Some t : 

apan would be the develop- p romo tvnc *• secure ” overseas tankers chartered from officials argue that this problem 
lent of offshore oilfields m oi , ,. UODlie | js _ ne oron „ ^ Japanese shipping companies), could best be solved by the ' 

.c East China Sea. °14nt JapaneL „U po P |™"°The *' M 8dds “P » a sh "P in ‘ "ration of a single energy 



1C East China Sea. current Japanese oil policv The 11 811 ® dds U P 10 a sharp in_ crwtion of a sin &* energy 

JNOC officials have had talks other is building up oil ‘stock: ^ slrUTfZ STSJSSS 

ith Chinese oil officials in piles inside Japan to levels ?« P J° ® p ^ 1 e ts * branches of the research 
okyo. during which the characteristic or Western ou etton - expressed interest in countries. Japan will have a C-b. 

Sumitomo Finance International 

International Merchant Bankers 


Market Makers 

Specialising in 

Japanese straight and convertible Eurobonds 
including unlisted private placements 

l ' : v ';!§ 


,:,Vv;. w .. . 

Financial handiwork 

Sumitomo Bank. 

Where up-to-the-minute computerization 
helps make business 
easier and more efficient. 

. But helpful hands 
will always play a prime part 
in getting a project done. 

The Sumitomo Rank, Limited 

Ouka. Tokyo. Kyoio. Kobe, Nagoya and other major cities in Japan 

London, Dusseldorf, Biu»ei!>. Vivnna. New York, Chicago, 

Los Angules, San Francisco, Seattle. Houston. Hong Kong, Singapore, 
Jakarta, Sydney, Mexico City. Sao Paulo, Beirut, Tehran, Cairo 


01-600 0161 (General) _ . 

Telephone: 01 . 606 5545 (Dealers) Telex: 8811043 


Financial Times Monday July H'T'lOTfr 

To Future 




Jr..' O'. -i 

;hv m 1 1 i ii ii 

Sutjidl w el fa re i> a subje».t i»f >erious 
coiiMderrfftori in must modern societies. A tail 
in the twentieth century an..ej'*i> his 
responsibility to bequeath to the next 
generation a socielv better than his own. 

Dam a Bank is not unique in lux up ting this 
responsibility . but Daiwa i* unique in making 
acceptance of this role in society an integral 
part oi their banking Setv ice. 

Daiwa is the only Japanese city bank to 
combine banking and trust business. Daiwa is 
thus a lully integrated banking institution, 
comprising banking, international financing. 
trust, pension trust, and real estate business. 
Hus integration is pai tot our effort to fulfil our 
social responsibility consistent with socielv s 
needs in a contemporary em in aiment. 

U-Mfi Oiii. d. I.i |Mn 

l.cidon Branih: \\ me hearer H«nise. 77 Lmniou ‘.Vail, Lo/itlun 

Fr.mlum fir.inrh- t<’r*h*fim*r LditrNfra.-e M, tfUWJ Fr, in Wart 

■im Mini I F.R. G^rniam 

■'MV \ork .nul Lo> \g<?ni ies 

SinjMpcr... Sydii.-.-, >.♦<,. Paul... Hong Kmig and Houston 

Ropr--.eniali\« OlH> i-*- 

$iil'-uli.<n : P.iiw.i Bank 1 rr.i*r 0>mp.inv, :>.% York 
ti.iiu \ "is: uk* B.nik'.: P.T-. Bank P.'rdama, tat ari.<, 

Oodit LkJ.. H-sn g Kong 


Threat to 

r # . 


reasonably supplied with energy 
in the later 1980s and' 1990s 
nr whether it will face a painful 
squeeze depends above all on 
the success of its nuclear energy 
programme. Nuclear energy, 
according to the "aggressive ” 
energy development plan pub- 
lished hy the Government in 
-June last year, is supposed to 
supply 7.4 per cent of Japan's 
iota! energy needs by J9&5 
(compared with the 1975 ratio 
of only 1.7 per cent!. By 1990 
its contribution should have 
reached 11.2 per cent, while by 
the year 2000 it should climb 
to about 15 per cent 

These targets are perfectly 
within the capacity of Japan's 
nuclear power industry so far 
as technology and investment 
lewis are concerned. The avail- 
ability of fuel causes no worries 
up to the mid-1980s and is 
unlikely to hecome an obstacle 
even after that, though this 
depends partly on international 
factors such as the evolution of 
U.S. policy od Duclear safe- 
guards. What does loom as a 
serious problem both in the 
medium term and in the imme- 
diate future is the growth of 
public opposition to nuclear 
power stations and the time lag: 
this is imposing on the nuclear 
power development programme. 

In the early 1970s when the 
strength of the nuclear "allergy" 
had yet to be fully appreciated 
Japan set itself a 6(lm kW target 
for nuclear generating capacity 
in 1985. The target has since 
been slashed to 33m KW but it 
still looks ambitious when set 
against the rate of official licens- 
ing of power station construc- 
tion "starts" and the time-lag 
needed to go through all the 
ncessary procedures. 

The position, as of mid-1978. 
is that fifteen power stations 
with a total capacity of about 
12.5 kW are either operating or 
expected to start operating be- 
fore the end of the year. An- 
other 12 stations with an addi- 
tional capacity of just over 11m 
kW have passed the crucial 
hurdle of licensing by the Elec- 
tric Power Development Co- 
ordination Council la top-level 
body presided over by the Prime 
Minister) and should therefore 
come on stream by the end of 

This leaves a capacity short- 
fall of roughly !0m kW below 

on., the sp<»l hearing* »«» *?acti 
project. So far as money is 
concerned the compensation 
payments handed out by the 
central government now so not 
only to the local government on 
-whose. territory a power station 
Is' to be built hut also to sur- 
rounding local authorities who 
may feel that they stand to -be 
affected, too. 

nuclear power In Japan, how- 
ever. is dearly going to be, i 
long ami arduous one — ttpHkn 
The position In neighbouring 
South Korea where an aurbpri. 
tanan governrevni ■ seems con- 
vinced that it will be able to 
force through' a programme f a 
build 40 power stations by the 
end of the century; . 

£2 Amenities 

.J<!i*iii yurfwn Press SWtrr : 

The O-nrai Engineering Centre, which is conducting research into hcai'y icatcr 

arid fast breeder reactors. 

the 1985 target which can be procedures, whose success or strong and well organised. It 
bridged if— but only if — there is failure determines whether or is especially prevalent among 
a sharp acceleration in process not a project can go ahead at fishermen who allege that - the 
for new power stations during aU, include environmental release of warm water from 
the next coupJe of years. Ofifi- studies, negotiations on com- nuclear power plants into 
cials estimate that the Electric pensation to be paid by the coastal areas damages fishing 
Power Development Co-ordina- electric power company spon- grounds- A local fisherman's 
tion Council with have to ap- soring the project to local pressure group succeeded' in 
prove eight new power station people las distinct from extracting^ a compensation pay- 
projects in 1978 and another government compensation) and ment of Ya.lbn (£13mj from the 
seven in 1979 in order to bring negotiations with the governor Tohoku Eleclric Power Com- 
the 1985 capacity target within of the prefecture in which the pany (in north east Japan) 
reach. This is a much faster rate power station is to be built. before they would aeroe to 
of authorisation than has been The Ministry of International allow the company to go ahead 
achieved up to now. Trade and Industry (MITI1, with its Onagawa nuclear power 

whose Natural Resources and project. 

El3.bOr2.tC Energy Agency has the job of MITI admits that compensa- 

Compensation ' payments are 
spent on local amenities such as 
roads, parks, etc. They are 
intended to make up for the 
fact that nuclear power stations 
harm the environment where 
. they arc located as much if not 
more than ordinary, factories, 
but. without creating anything 
like. the same number of jobs. 
Officials at MIT! claim that 
the Government is making some 
headway In its campaign to win 
over the public to nuclear 
power. It is noted that the 
Komei Party, one of the three 
"progressive” parties which 
was firmly anti-nuclear until 
recently, now seems to be join- 
ing the Liberal Democratic 
Parti’ and. the Democratic 
Socialists on the pro-nuclear 
side of the fence— leaving only 
the Japan Socialist Party and 
'Communists as . determined 
opponents. The task of selling 

Another Ce?r is that -nuclear 
power installations might -at 
some time become targets- for 
the -extreme Left terrorists such 
as the Red Army Factor. IV 
recent snccess . of. Left-wingers 
in penetrating the defences 61 
Marita airport nod wrecking Us 
control tower under ttie eyes of 
several thousand riot -police has 
not done anything td dunmh.ii 
nervousness on this point. 

. The attractions ; of nuclear 
power for Japan are that it' pro- 
duces cheaper' electricity 'than 
oil and does so /$lt 

smaller input of Imported fuetfi. 
Apart from saving money this 
appears to mean thar'a nuclear- 
powered Japan should be less 
critically dependent on its over- 
seas fuel suppliers than today’s 
oil-powered Japan. The entire 
experiment with nuclear powfer. 
however, only makes' sense -U 
the public can be. persuaded to 
accept it, and for the time being 
no-one knows if it can. 


shepherding nuclear power pro- tion demands and accompanying 
hv the r.mnc-il jects over the various procedural expressions of concern about 

Dy me UUUIII.U *v„. ,u„ rit- 1 , 01 - Hsnxurc 

is final stage 'IrTthe hurdles, estimates that the radiation and other dangers 

elaborate series of procedures whole process from the selection have increased since 1974 when 

CldWiaiC belled ux 

that have to be gone through &J' * P° wer company a series of minor pipe cracks 

before contractors can actually 10 coming on-stream can easily caused several power stations to 

con . take II years, although actual be taken out of commission for 

connections with you 
on your next 

Success in international business transactions can be 
very much dependent on the successful arrangement of 
international finance. 

So you'll need all the resources and expertise of a major 
international bank behind you. Such as Bank of Tokyo.- 

We’ve got branches and connections spread over the 
length and breadth of five continents. 

And enjoy a worldwide reputation as one of the leading 
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nmfir Vta- construction work should take simultaneous repairs. There 
£ has only three or four. were no accidents of any kind 

given the go-ahead the central MITI says that opposition to before or during the repairs and 
government has to .conduct a the construction of nuclear the whole episode is classified as 
safety review of the project and power stations in Japan takes " normal teething troubles, 
compute compensation to be two forms — one based on the The Governments response to 
paid to the local authority of theoretical case that nuclear increasing public antipathy to 
the area in which the power power is unacceptable ;nrt any nuclear power has been to step 
station will be located. (This terms, the other consisting of up the various types of compen 
is done under a formula intro- people who want to be hand- sation paid to communities in 
duced in 1974 which entitles somely compensated for the the neighbourhoods of power 
local governments to a alleged risks and dangers of stations and to make its plan- 
** nuisance payment ” of Y450 having a power station in their uing procedures as open as 
for each kilowatt of generating neighbourhood. The first group possible to public scrutiny. The 
capacity at the new station.) remains relatively small in details of environmental surveys 
These procedures,- while Japan, though there are fears conducted in the early stages of 
time-consuming, are less likely that doctrinaire opposition choosing power station sites 
to become deadlocked than the might spread from Europe, have been published in full 
process which has to be gone where it appears to be more since last year and the Padia- 
th rough before a nuclear power widespread. roentary Vice-Minister of Inter- 

station project is taken to the " Conditional " opposition io national Trade and Industry has 
Council. Tbe earlier round of nuclear power, however, is been given the job of conducting 

Rapid progress 

in space 

JAPAN WILL start the explora- 
tion of Venus, Mars and other 
planets near the Earth, using 
its own technology, from the 
mid-1980s onwards. Between the 
mid-1980s and the mid-1990s it 
is expected to launch observa- 
tion vehicles from the U.S. 
space shuttle into orbit around 
Jupiter, Saturn, etc. These plans 
were mapped out by the Space 
Activities Commission (an 
advisory body to the Science 
and Technology -Agency) :n 
March last year. 

Since the launching of Japan's 
first satellite, the "Osumi” in 
1970 rapid progress has been 
made in space activities. Eight 
more satellites have been 
launched, four in the scientific 
field and four in tbe applied 
field. Japan has also accumu- 
lated experience irf various 
fields of space science, partly 
through its own research and 
partly by drawing on the results 
of other countries' research in 
the field of communications and 
meteorological observation. 
Future development will in- 
clude research on new applica- 
tions for satellites. 

Globally, space development 
is about to enter into a second 
phase with the launching of the 
U.S. space shuttle by 1980 and 
of Space lab by West European 
countries. As a basis for space 
development in the 1980s the 
possession of a space station 
and launching vehicles will he 
essential. In the field of space 
station development, however, 
Japan is lagging behind the 
U.S. a-nd Europe despite 
economic strength and 
;enerally high level of 

The Space Activities Com- 
mission .is calling for efforts to 
consolidate Japan's space pro- 
gramme as quickly as posible. 
Otherwise, the Commission 
warns, Japan may not be able 
to keep pace with the . develop- 
ment and applications of apace 
technology planned by the U.S.. 
tbe Soviet Union and Europe io 
the 1980s. 

However, Japan cannot afford 
to carry out single-handed all 
the programmes which will be 

conducted by the U.S. and the 
Soviet Union in the '80s. The 
Commission therefore proposes 
that Japan should select only 
important programmes and 
constantly review each pro- 
gramme's necessity, urgency 
and economics. 

In contrast to the European 
countries which are carrying 
out space programmes within 
the framework of the EEC 
Japan's geographic and cultural 
isolation means that it- has to 
conduct space research inde- 
pendently. This is one reason 
why participation in inter- 
national projects is. an essential 
condition for maintaining the 
Japanese space effort at com- 
petitive levels. In order to gain 
a place in international, pro- 
jects. however, Japan needs to 
be able to make distinctive con- 
tribution — hence the need for 
careful selection of programmes 
to be undertaken. 

of a communications and navi- 
gation satellite which will 
control ships and aircraft. (As 
a maritime nation Japan seeks 
to establish its own type 


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Issues for 30 Japanese companies 

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Whatever strategy is adopted 
for space development the pro- 
grame reauires huge outlays. In 
fiscal 3975 Japan put 0.053 per 
cent of its GNP into space 
development compared with in- 
puts of 0.2 per cent of their 
GNPs by the U.S. and the Soviet 
Union, 0.078 per cent by France, 
0.06 per cent by West Germany 
and 0.045 per cent by Britain. 
In fiscal 1985 Japan’s budget for 
space development will still be 
between 0.05 per cent and 0.06 
per cent of GNP. 

. According to the National 
Space Development Agency, a 
subdivision of the Science and 
Technology Agency with direct 
responsibility for the space pro- 
gramme. Japan's capability at 
present matches that of France 
nr West Germany but lags far 
behind that of the EEC as a 
whole. Japan's goal for the 
1980s is to keep abreast of West 
Germaoy. • • 

Japan will place special 
emphasis during tbe 1980s on 
the following programmes: 1) 
the development of large liquid 
hydrogen launch vehicles hy 
about 1985; 2) the development 



i.jj _ 



-Ifep' command 5-W*y position «» the'^i^r ^ 

aitsdiart^:«Br's»v^ outside the^fbyp^We' (H» ./:x; .>■ 

giving you advice w project financing, m ct&mi'tet-rfi fvpahd rvtf wwj - 


.X/V A! ^ ^ 

giving yop advice m project financing, maJarm-tricS fujanty rvg wwj-' 
security Ihv^rtnrent/aEs wfcil as normal m.'the 

1MM» U iKbW tKAfen »vwl»i i* ■**■» — 11 ' - --* — 1 . b 

•.y< ;x; 


•areq where Those Japanese industrial aetivitiiasJar*- . , t 

' ftfeedtessrtpsiy, our th{?rou$h .. v?";’ -• 

reseat capability, a worldwide networtc and. ^aove rff, 'i 

personnel to cope wdtfc any project-anywhere. . . . v . y i '* .y 

% • : lOi-i-.-Aj,’.., 

-Tot & Assets - .'-. v.V S r i4Q,m mittwn {L^$23 r lT?' 

: Capital Funds . ¥171,515 mUlion , US^Sp^Mlion). / - ; ■ jj 

(as of March 31. 1378;TJS$1 *¥2221351! ' - 



I ! 

. .'I,. 

h K- 


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i A 'it- 


Financial Tunes Monday July 17 1673 


An ampUfier production Hne of the Pioneer factory in Bammatsu. 


S 3 SS 5 «s ww 

f y&r 

| £ *\ 
£ ^ ; 

iafsfarrs; sk “ mSS SS rawssss 

sta.vahwjd. Bur in the late 1870s cent to 29.3 per cent. continue to tod ex^dTnE # Semiconductors. It is estf- 

thet ha* been a fundamental The best guess is tfcat con- markets for traditional parts matad *5“ world production of 
shir »n the way the money is snmer electronics products will (that is resistors canacitors semiconductors m 1977 was 
spelt; first companies are continue to decline as a share of tonsforae^ bjorn S Worth 30 d Ja ^ n prob ? bl .y 

spading a bit less an applied the industry's output falthoueh integrated eirenitrv multi i«»t t-ho accounted for a third. So it is 


The Tqyo Trust & Banking Co, Ltd. Tok\o, Japan 

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[ Hong Kong Representative Office: Address: 26th Floor, Alexandra House 15-20. Chaier Road. Ceniral Hong Kona 

Telephone: 5-265657 Telex: 85193 TYTHK ' ^ °" 9 

r-"- WIU.IH, Uio iouua serrbj. uurjng tne aecsae to sumer and industrial sectors by “ * 1 0X14 u "** a 

is; on developing electronic 1877,. total value of electronics 1985. It is therefore not su£ conc . ent ” ted “discrete” 

M, *r . . production in Japan quintupled prising that Japanese firms are sepilco ° duct °r technology, with 

industry observers conclude, to over Y6,00Qhn. Some experts spending the lion’s share of a P p ‘ ,cations fo F audio and other 
tbrefore, that there will be a in the industry expect major research and development products °?W being put on the 
fijirianiemal change in the pat- strides in consumer-product de- money on just such applications industry experts 

ten of electronics production in veiopment in the early 1980s. (roughly 60 Der cent -cord ray . focus of semiconductor 

r - , ----- — early 1980s, (roughly 60 per cent, according SL “I . s se “ JCO P duCtor 

Jjian in the early 1980s. once the consumer applications to the industry association). ^seerch is rapidly changing, *ud 

1 integrated Although the Mimct™ *>,- by . 5 . a substantial portion of 

iKtead of its present reliance of very large-scale integrated Although the Ministry for u * ll,ou ? 0^O!S, - 

9 consumer products (and con- (ULSI) circuitiy filter down and International Trad7 Sid to d^ f “conductors made by 
smer product exports) to start to make new products in- trb (miti) has lafd ^treK^ Ja . panBSe companies will be 
apand. the Japanese industry’s enrporating VLSI’s smaller and VLSI development for the com^ microwave photo-i-^- 

take-up will lend more te pro- cheaper: But the saturation of puter Industry there are other ° ne& ' 

ft C .Vr U |!,,n - f entirB y w new Japan’s domestic market for innovations in’ electronics acti- • Inte 8rated circuits. The 
St‘i r emS ' /- rad,0S -’ fiter *° s - television sets ve iy promoted' by the Japanese Production of ICs exceeded that 

inho .Hnr, w"ii Sf 11 an ^ ncrea «ng]r— video tape Government or industry. Here is of semiconductors last year hy 

pplicatmne will take the upper recorders, has got the industry a sampling of the most impoi? at ,east ® lfan * and Japan may 

i^^hET ,h * next flve yeaPS looking more fervently to non, ant: in thl medium-tom- ? have u * en » b « u t a fourth 
t looks like a time to consol*- consumer items than ever be- . . . the market according to 

laie markets and refine tech- fore. B ^ r °“ cs - * 0ptlcal statistics not yet published by 

mingy; that is. making parts The implication is that Japap 23.2 ""“S 011 - ? stemfi ^ EAJ. Microprocessors are 

mailer, cheaper and more effl- will have to compete more -” p,d y approaching (he stage of j n common use in electronic 

•icm for use in existing appli- keenly with other (if smaller) -^£22™ application. The sue- cash registers. calcidators. 

at inns. electronics manufacturers, who c t® a * l y t nfi l Production of fibre pripf- — — J * - 

This is not to say that Japan already flwpll more on the *°Yr transmission loss has but 1 
.ill not flood world markets industrial product applications “*f c !i Te r “«! d Wo / k will probably be' in memories 

- ith some successor to the video of the new electronics pge . Thp senjeondnetor dences for ( e . &( programmable calculator 

ape recorders (VTHs) and Electronics Association pf W 1 W»t e “ u . tter , and Photo- Qyejls whicb flre * *** 

detector Mes ,n th - rpcrinn " f test produepd). $omg 

y analysts reckon thp 
market for ICs could 

v : - : " >he 1870s; far from it. Already industrial Products (compared "Jaser applications in in- pastiy double by 1985 
i, are consumer applications with I6L2 per oeat for consumer dust3 T W reportedly strong. • Display devices. Dfsplav 

i aser technology, etc., which items ‘and 12.3 per cent -•Electron tubes. Although tubes are rapidly being di£ 

>«ill quickly spread to other electronic parts). The numbers cathode ray tubes remain the placed by LCD (liquid crystal 

ndustries. But Japan is not are more balanced in the case of;, preponderant type of tube pro- display) devices which came on 

. -minting on mass markets for West Germany, hut there, top, dftced in Japan, accounting for the market in 1975 and have 
icw consumer or industrial pro- ^baut 46 per cent of output is. ueaijy 80 per cgnt of’ sll ele& already overtaken the second- 
Un*ts. but instead on repeat labelled for industry (and only ; tron tube outpnt, there are sig. generation light-emittin» diodes 
ustomers for improved TVs, 28.3 per cent for consumers). nifieaint new sorts op the (USDs) first adopted for 
udio equipment, etc. _ But in fact, the most probable drawing-board. With names like numerical displays in electronic 

Between 1967 and 1977 the boom in electronics In the first Klystrons, ignitrons, vacuum- calculators, watches, etc. Statis- 
hange in Japan’s production half of the 1980® is in the field switch tubes and a “high resold tics for 1977 are not yet avail- 
tructure in the electronics in- of electronic parts, and Japan tiOR X-r» image intensifier" abI e. but the EAJ reports that 

’ustry was barely noticeable, ha® the edge with about 30 per have - been developed by in 19"6 when production of 

lonsumer products fell from cent of it® production concen- Japanese jndustiy to fit specific LEDs doubled to nearly Yflbn 
1.1 per cent of production to trated in this sector. The output needs (that is, ignitrons used worth, the output of liquid 

:3.2 per cent of the total ten of integrated circuits (ICs) has as high-current switching eie- crystal displays nearly quin- 

cars later. On the other hand, ripen ropjdly; ICs now rank a® -meats, iq nuclear- fusion re- tUPled from Yl.Tbn to YBJJhn. 
nduslrial electronic® products rougWy lfi-gfi. per cent Of total. ._$wrcb).As further research pug* Now Japanese industry is 

feverishly trying to bring down 

rf-v the unit costs and improve dis- 

ri pIa ? efficiency,- while at the 

I 1/1 I r’* CON 1W 1/ED FROM PREVIOUS PAGE same time doing basic research 

I *nto pew forms of numerical 

and optical displays. Among 

,r communicftions network Japan is in a better position ladustrijdised notions cannot be^t mMitfaSedf^d 
round the world through a to benefit from spin-offs from always adopt new communica- electron-nowered esc rficnial 

;pace communications system space technology than some tiona systems developed during panels nubiJ 

With IKHll flahins other nation. aoB™ in the field space Kseareh as swiftly as S? mSl f, 

nnntari citrh - m Ghina and tha Soviet wiqer grauauons Of defimtlQn 

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in?huique.s .... — — 

• materials in outer space. This developed electrical and boa* systems. definition. The new dkroiav* 

ast is a field in Which Japan electronics industp in which Beoayse of this some «> U ) d ^ of major impo Sf 
ims to assume a leading role techniques originally developed obMryM’s believe that relatively in the derolopmCTt^oSfSfo 
n competition with Europe as part of tiie space programme rapid progress may be made in wWch do 

which intends to launch a can be readily applied. . / -development by CO mpi e i e ]y with the tradifiS 

natcrials processing pro- -Space devo opment- newnL developing regions such as Latin pi SSe tobT wa£ to? theoS 
irgmme using SpaceJab from *«« * vantage , point -America or. the Middle East ^Sd mSS **? te u 

m) onwards. appears to be moving in two leading to a- dosing of the gap todayH . . 

, Spars d^-elopment pr<h dmew On the one Jmod bwwee n • developing -and Sev ^ xS Up££? SS' 

"maim dww bn a wide range there has been a nations. ■ As an tronics eo^ii 

.jf advanwrf technology. Ail » international projects of eapuppl? of a- gap which -is ,h: s r ^T ao P" 

V? fnctan various kinds. On the other, alrfeadv -i-W -v ms “ ls 50 rt of w set using 

-eaiiU thop tend to' foster various kinds. o n the othefi a^aady' bglng closed Japan' and 

development cqmpetitiqn between individual China both Umsm-vSSr firsT a 

a nations to get ahead on space .satallitea in 1970. Th« Snare ;Jr?z S*"** 0f M ^? n S a first | 


wnerally aq 

hift towards ^ 

he^STOltS JBTm miTisriw Ksz J r n -- - 

irognlmmM. This is one of the countries when it JJ' ^ Qf 

r" srr jrss » d x ( sss. d j & “ on of «»P ^ ™ «" 

Jananoe space programme. The programme but this very fact 
ldvocatcs also point out that has certain 




Yoko Shibata * 


( n»ad Oflkes Tokyo, Japan 



Tinaarial Times Monday July 17^975 

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BY 1985 the Japanese will 
almost certainly have proved 
again that they are the world's 
best transportation technolo- 
gists. But their success will 
probably demonstrate that tech- 
nology alone cannot solve their 
transportation problems. 

The fastest train in the w |'d 
is likely to be a magnetically 
levitated “High Speed Surface 
Transit System” (HSST) link- 
ing Tokyo’s Narita airport with 
the city centre. The airport is 
about 38 miles away, making it 
one of the most inconvenient in 
the world. But the HSST could 
bring passengers downtown in 
14 minutes. Its top speed 
would approach 190 mph — 
about 40 per cent faster than 
Japan's and Britain’s current 
high-speed trains. 

•* Light Guideway Systems "• 
—quiet, automated, rubber- 
tyred train systems travelling 
on concrete tracks that can be 
suspended over roads — will 
operate in at least four Jaoa- 
nese communities. 

Trams will have begun to 
make a comeback. The city of 
Sapporo has already been able 
to attract passengers back to 
the trams and even make a 
modest profit by modernising 
tracks and replacing metal with 
quiet rubber wheels. (Another 
factor in Sapporo’s profits is 
the hiring of low-paid elderly 
drivers.) Modern signalling 
technology by 1985 will prob- 
ably make it possible for traffic 
lights to turn green when 
trams approach, considerably 
increasing their speed. 

The Vona system for .short disUutcc transport. Developed jointly by Mitati rmd Co. 
and Nippon Sharyu Seize Kaisha. it has completely automated stations, pTaf- 

jorws and vehicles. 


The Japanese will also have 
incorporated advanced signal- 
ling technology into cars by 
1985. Already an experimen- 
tal system in one part of Tokyo 
communicates at each inter- 
section with boxes in specially 
equipped cars, telling the 
drivers the fastest route to their 
destinations. By 1985 similar 
devices will probably be in- 
stalled on most Tokyo taxis, 
and a number of other applica- 
tions— including using the same 
gadgets to keep trace of the 
cars lhat use the busiest road 
and bill their owners for the 
privilege— are being con- 

The Japanese freely admit 
that much of this technology is 
nnt original The most 
important work on the HSST 
was done in Europe, and the 
light guideway systems were 
invented in the U-S. But ever 
since World War II Japan's 
technological successes have 
come from implementing 
advances faster or better than 
the countries that originated 

In the future Japan will do 
more of its own .research. A 
magnetically levitated research 
vehicle of the Japan National 
Railways this month set the 
world speed record .for a rafl 
vehicle — 210 mph. 

There is keen rivalry between 
researchers connected with the 
railway, which is working on a 
long-haul magnetically levitated 
train, and researchers at Japan 
Airlines, which is developing 
the technology to link Tokyo 
with its airport. Each suggests 
that the other's system may not 
be feasible. 

The National Railway’s 

system is supposed to reach 
over 310 mph eventually — as 
fast as the climbing speed of a 
Boeing 747 — but there is no 
chance it will be completed by 
1985. Japan airlines hopes to 
start building the track for its 
HSST next year and have the 
whole system operating by 
1982 or 1983. Tts engineers 
even once suggested il was 
technologically possible to open 
the system by I960- 

But despite Japan's increasing 
emphasis on domestic R and I) 
its efficiency at borrowing and 
applying will still he funda- 
mental. No country can 
dominate world technology 
today, certainly nut a country 
that spends as litle on pure 
research as Japan. The best 
explanations for Japan's success 
in applied technology tie in its 
distrust of ihe " invisible hand '* 
of the market and in th e team 
spirit of its organisations. 

Whatever the advantages of 
the “ invisible hand ’’ for 
allocating resources in slowly 
changing industries. the 
development of something as 
complex as a new transportation 
system does not proceed well 
when each municipality, Govern- 
ment ministry or private 
corporation places or fulfils 
orders in an unco-ordinated way. 
And the fruits have been 
particularly favourable in high- 
rechnology manufacturing 

Light guideway systems in the 
U.S. have been built by aerospace 
companies and supervised by 
Government officials there who 
frequently knew little about the 
companies or the techonology 
and needed quick results to 
please- politicians. The systems 
have been plagued by delays, 
breakdowns and accidents. The 
public was not prepared to 
accept the kind of long testing 
period in a mass-transit system 
that the government had long 
accepted in aerospace systems. 

Japan’s light guideway 

systems are built by consortia 
of trading companies and 
heavy equipment manufacturers, 
supervised by what is 
undoifbtably the most patient 
bureaucracy in the world. Com- 
pletion nr the first light guide- 
way system in Osaka in 19S0 — 
based on technology licensed 
from Vought Corp. of Texas— 
will climax more than a decade 
of corporate research and 
bureaucratic leadership. 

The Government and 
corporate teamwork is not based 
on anything secret or inscru- 
tably oriental. It is produced 
largely by the Japanese practice 
of guaranteeing job security and 
making pay increases' for all 
depend on the success of the 
organisation as- a whole. 
Virtually all the people who 
first began exploring light 
guideway systems in the late 
1960s are still in or associated 
with the same organisations, 
and those whose efforts arc 
considered important in making 
their organisation successful 
are greatly admired by their 


But while transportation 
successes have made a number 
of individual organisations and 
groups happy, neither the light 
guideway system nor any other 
technology will save Japan from 
its transit problems over the 
next decade — especially the 
problems of vehicle-related con- 
gestion and sprawl. 

Japan's third comprehensive 
development plan projects a 60 
per cent increase in passenger- 
miles of car travel between now 
and 1985, compared with only a 
20 per cent increase in rail 
travel including light guideway 

Yoshinosuke Yasoshima, a 
professor of civil engineering at 
the University of Tokyo who 
has headed several Govern- 
ment transportation policy 

committees, said that despite 
their emphasis on technological 
development, the Japanese have 
been unable to develop a transit 
system that can work outside 
major cities. The light 
guideway system, which was 
developed largely for its low 
cost, still costs half as much as 
a modern subway — about 
Y10.8bn ($50m) per kilometre. 
It is capable of carrying 20.000 
passengers per hour, and is 
uneconomic except in areas 
where traffic approaches that 

The long-neglected trams can 
serve less densely populated 
sections, but the real problem 
is one of pricing and financing. 
Trams were largely, abandoned 
in Japan because they 
accumulated deficits, and 
projects showed buses endd 
run at a profit. But bums 
became almost as unprufitaHe 
as trams when increasing trafic 
slowed them down. Meanwhile 
the latter has also polluted 
every city and town. Japan .s 
well on the way to cleaning un 
vehicle exhaust emissions, but 
the traffic noise and the uglines 
of the parking lots cannot b* 
eliminated so easily, 

Japan's public service: 
operate on “ the beneficiarj 
pays Ihe cost principle/' Bui 
Professor Yasoshima says this 
has never worked in transpor- 
tation. Transit systems ranging 
from tiny rural railways to huge 
urban subway nnd bus systems 
have commanded substantial 
subsidies because of their 
nearly universally recognised 
social benefits: Often subsidies 
have been disguised to prevent 
spiralling wage demands from 
transit employees and service 
demands from local communi- 
ties, but a successful transporta- 
tion policy cannot be run that 
way. If Japan is .really going 
to solve its transit problems, a 
coherent pricing and financing 
policy is more important than 
any technology. 


High growth forecast 

in computers 

THE FATE of Japan's present 
Y720bn computer industry will 
be decided by its success in im- 
proving on and using a ** chip ” 
about six millimetres square. 
The first Japanese 64-kilobit 
memory, or what is called a Very 
Large Scale Integrated (VLSI) 
circuit, was jointly developed 
with government help by the 
three leading makers of com- 
puters ia Japan — Fujitsu, 
Hitachi and- Nippon Electric 
Company (NEC). That 
memory puts some 256.000 
transistor and capacitor 
elements on rhe single chip: the 
stated goal of the Ministry of 
International Trade and 
Industry (MITI) in budgeting 
funds to help private companies 
develop VLSIs is to put lin 
elements on a chip the same 

In sheer terms of increased 
capacity and lower cost 
Japanese computers powered by 
such memories would probably 
stand up strongly to IBM (with 
60 per cent of the world market) 
in I9S5. But can the Japanese 
succeed where more experienced 
European companies have tried 
in vain? 

Japan— now the world’s second 
largest computer market after 
the U.S. One reason is the 
strong pressure on them from 
MITI towards co-operation on 
research and development pro- 
jects. The present generation 
large-scale computers are mostly 
products of joint R and D: 
Fujitsu and Hitachi's M-series 
machines; Mitsubishi and Oki 
Electric’s Cosmo series: and the 
Acos series developed by NEC 
and Toshiba. These develop- 
ments, without neglecting con- 
ventional computers; have 
enabled Japanese makers to 
keep about 60 per cent of their 
own market, thus limiting IBM’s 
share to under 30 per cent. 


The verdict is not yet in but 
Japanese companies have fared 
remarkably well so far inside 

Few other industries can 
boast Of growth prospects in 
excess of 10 per cent a year 
in the next few years. The 
notable exception is computers. 
According to a study by the 
Yamaichi Research Institute, 
the data processing industry 
looks like posting an average 
annual growth of 1S.3 per eent 
between 1978 and 19S0, and 
sales may rise even faster in 
the following five years. 

Essentially that means that 

by 1985 Japan will see output 
of. its own industry double, 
triple or even .quadruple from 
the 1977 level of Y7l9bn 
estimated by the Electronic 
Industries Development Asso- 
ciation of Japan (EIDAJ). The 
sheer weight of . Japan's 
domestic computer industry is 
therefore bound to produce a 
substantial export capability 
just as Japan lias managed to 
boost its car exports to about 
50 per cent of Japanese car 
production in less than 10 

Already there are signs of 
expanding export activity by 
Japan's six mainframe com- 
puter manufacturers (and by 
countless smaller software pro- 
ducers). In 1975 exports from 
Japan of computer-related 
items were only Y21.5ba; by 
1977 the volume of overseas 
sales had nearly doubled; to 
Y40bn. There are no overall 
industry estimates for 1978 
exports but most manufacturers 
want gradually to. increase the 
share of exports in their total 
sales from the current 5 per 
cent average industry-wide, 
Fujitsu, the industry leader 
which counts on computers for 
about three-quarters of its total 

sales, hopes in tile next tow 
years to triple the export share 
in sales, put at 9.5 per cent in 

According to Mr." Katamitsu 
Kona, manager of Japan’s Centre 
of the International Co-opera tivp 
for Computerisation (CICCV 
“ By 1985 we will have extensive 
links with users and manufac- 
turers around the world and not 
just in developed • countries." 
Indeed, the Japanese computer- 
makers virtually neglected the 
American and European mar- 
kets for data processing equip* 
meat until 1978, preferring to 
concentrate their efforts else- 
where. Two examples show t he 

Fujitsu has invested In 
Secoinsa, a private Spanish 
computer company scheduled to 
begin manufacturing mainframe 
computers in October 1978 based 
primarily on Fujitsu technology. 
The company also won (in early 
1977) a major order from the 
Companla Telefonica National 
de Espana as well as a landmark 
order for large-scale computers 
from Australia’s Computing 
Automotive Reporting Service. 
Fujitsu is supplying know-how 
and some equipment to a seroi- 


I ,VfS JVU'^S 


. ■ 


M JLLY IS Japan s com- screen. • The first is a nationwide, development of new software to 

munications industry takes a “Perhaps 99.9 per cent of high-speed and high-capacity fit the narrower needs of the 

giant ( though little publicised) Japanese homes have TV information network. Its pur- system's subscribers, 
sti-p into the '1980s. The world's screens but we are not using pose would be to transmit » Lastly there is facsimile trans- 
' , ? ,,al inft> ri jMUon system them fully," explains the head information evenly to all parts mission. Japanese companies 
ST the Otis project. Dr. M. of Japan, (for example, national reached a high level of sophisti- 
. n wea will hooked Kawahata. In addition, by leav- television, facsimile trans- cation in facsimile hardware by 
J? ,; sn ' a £°mmunity of ing experiments in terminal mission, programmed informa- the early 1970s. but tight govern- 
' -A” . I)L, ^' ee ^ the equipment to the Tama project tion, weather, etc.). The Posts meat regulation of airwaves hagi 

southern Honshu cities of Osaka engineers at Higashi-Ikoma and Telecommunications kept the industry from develop- 

& ? ra . e . have been able to s ^ aA more Ministry wants to build a com- ing as fast as it might have. The 
in thpi r tn,?' fnr a /h« nstal lt d t1 ™?. “if , money + op munications sateUite for just industry expects this year or 
Lh 1 ,.n f . h u P - ^ phisticated computer, optical tbis purpose; it could be next to win government 

ruen . whuli will last well into fibre and video systems launched in the early 1980s. But approval for facsimile transmis- 

which permeate the Hi-Ovis there are problems. Besides TV sion (not new to Britain or the 
Known as Hi-Ovis (Higashi- experiment As Dr. Kawahata tranmission the only major use U.S.1 over the television wave; 
•Ikoma Optical tisual Informa- sees it. the experiment goes far would be facsimile transmission at present.- it is confined to 
turn vSvtiem'. tins example of beyond the sheer improvement over airwaves In the first case transmission over telephone 
the most modern ciiminunica- of communications; it is at the Japan does n ^ t - m t0 wires. The debate is complicated 

lions techniques may be heart of how Japan must deve- toieviidnn b y arguments over the wisdom 

.extended, possibly to the port lop. in both the manufacturing transmission network and face oi building a communications 
city 01 Kobe where a new town and service industries, in the tb . ^ iol) _ , nd satellite for information trans- 

is briny built on a man-made next decade. T y. e second few exnprts m ission. but industry officials 

island in the bay. If so. Port The revolution in communi- hnllpvn h Vv. 23 are convnced that eventually! 

HIIMMUVH7 lug iw* m<|ui tom- catollilp'c lUJlipaiucs cue iwiuuig iu my 

iwhi/*h look like becoming munication or 'Wiiat new’ s expense. heavily on facsimile transcievers 

tubtomimK between now and the machines will be. installed in • The second involves locally- for intracorporate communica- 

ilniji of the century. whatever number of Japanese based. community-oriented tions. 

‘ J homes. The wider implications information systems (like Hi- Ultimatelv the combination 

are in on indusD ^ aod em- Ovis or Tama). Eventually of optical fibre techniques, com- 
Ployment. In short, the "new " these systems would he pu ters and audio-video tech- 

‘ jvhai is Ili-OiU and what wili communications are good for expanded and information nerfogy could prove to be one 

. frjnnean fur Japan by Put Japan's economy. But* how? “pooled” so as not to dupli- 0 f the most innovative sources 

imply, it a cumin uni ly-based Pointing up ! differences cate work. It would require a of new industry (and tech-, 

nforiiiatioii system which between the Hi-Ovis .and Tama massive investment in optical nology) in the 1980s and 1990s. 
ialnws two-way “Interactive" new own projects, Mr. fibre transmission materials. Hence Japan’s keen interest 
cfiuniumvatiun system using Kawahata is careful to note although ultimately most scien- What is more j mDortant f or 
‘ Usual. audio and digital that Tama is the brainstorm of tlsts reckon Japan will need at j aDan ihou«Th is that JaDanece 
d-th"ds. Subscribers are the Posts and Telecommunica- least three or four “central” cum p^i es are ' managing (with 
|n.»ko»l up tu Hit* cnniniunica- lions Ministry-^-that Is. an aver- data banks servicing community help) t0 j, e pioneers. For 

Sens -enuv by a TV set and vise in future communication, systems (which could vary from although the sorts of research 
jamcra which lets the centre The $l5ro Hi-Ovis project on the a Tokyo district of Im people and development vary tremen- 
;'lnok in" on the household; a other hand is backed by the to a suburban skyscraper with a dously, it is quite clear 

hiicroplioiH- which allows voice Ministry for International strictly daytime population). th at Japan ranks behind no 

£< ■minim icaikm; and a keyboard Trade and Industry' ( MITI) _ other country in communica- 

fv.’lurlx lets the subscriber which sees It as an experiment KetriPVal lions development Some 

rciri.*vc iiii'onnali'iM (entertain- in new technology and new regulatory obstacles (which at 

mom programmes, stuck market hardware with a view to manu- 9 Then there are data retrieval least seem to be crumbling) 
figures, etc i by punching a factoring potential. Hence the systems. The overwhelming have prevented more rapid 
m*:u*<; uf bti linns. unique make-up of the Hi-Ovis interest of business in “new” growth of the sector, but the 

The Ilj-Ovis experiment is not developers. MITI has put tp. communications has to do with new technology is very much 
Jau:>n *- hr-t. At Tama new town, aether a consortium of up-aud- rapid gathering and recall of in- on par— and some would claim 
north uf Tokyo, households have coming companies in the com- formation. Though not as wide- ahead of — what is coming out of 
been 1 1 uuked up to an informa- munications-related business; spread because of the near-total the American communications 
liui) ucirtiv 5)1)1' dhti wrly 19»0s. tujilsu for computers* Sums- ban on cable television in Japan, industry. 

Th.- sysi.-m* differ in that Tama tomo Electric for optical fibre there are important experiments tw whereas lanan^ 
>«'l* ” u Qcw technology, transmission; Matsushita for (not unlike Britain’s Viewdata). Danj Jf ^ haain* 

Tarn a does not have two-way audio-visual technology. As Nihon Keixai Shimbun, Japan’s w t0 ^atS un u-ftothS 1 
I'PiiLvil iranMiiission. and da fa Mr Kawahata points out, largest business daily, has spear- " rivals in rh? 
n*i ncval is done using a touch- “MITI picked Ihe most ad- headed efforts in this direction mdSes rth a t u cSlJfS 
tone leiephune. To the visitor, vanoed company in each sector; and recently won government from ,17™' 

Tama can nevertheless be more we have the best of every- approval to launch a prototype Smi^TSartin” itoe 
improsMvc. Each home is fitted thing.’ , data retrieval system for 

with dual T\ r and facsimile Basically though, Japanese industry based on its own data ^^SSSSSSS 

n'rt'iu.T' which allow for a more research into communications « bank." These systems, how- S 

varied choice uf peripherals for systems is split into several ever, rarely involve new hard- 2 a «L 

in format ion reception. At parts. Each in turn has its ware technology. As at Tama onJIlS SSL 

flieashi-lkoma. visual reception special lobby (as well ts they involve hardware applies- ^ raw 

is limited to tile television critics). tions or, nearly as often, the D*R. 




C'lvenimen! firm. Consulidated 
i iumpulcrs. tu gain a rooihuld in 
l ho North American market. 

Hitachi. Japan's' second 
i;ir:;est computer manufacturer, 
!ms won several big orders in 
>:hiua. most recently last 
March. Hitachi and nlher 
lapanesc computer-makers have 
also wmi small orders in eastern 
Kmvuc, where they cuinpele 
directly with nut only IBM but 
several strong German manu- 

Nevertheless the export 
strategies uf Japan’s computer- 
■uaki'rs rot squarely on their 
liiticipalvd bid l« cninpetf w’ith 
IBM and other American and 
European majors not just on 
Hurd markets hut in the U.S. as 
well. So far Ihe moves have been 

Fujitsu is; tied up with 
Amdahl Corporation and Ihis 
rear will build 1011 systems 
jointly designed with Amdahl 
to be marketed in the US. by 
that company (in which Fujitsu 
has taken a 27 per cent, equity' 
stake). A sales subsidiary has 
been established by Amdahl in 
Bermuda, and it is building an 
assembly plant in Ireland. 
Meantime, Fujitsu is separately 
marketing under its own label 

a range uf small and medium- 
sized machines. 

Hitachi, which has just started 
selling large-scale computers to 
ltd Corporation (perhaps 25 
systems this year) for marketing 
under ltd’s label in the U.S., 
has not yet sorted out its 
strategy on Hitachi-brand com- 
puters and peripherals. A full- 
scale marketing network will 
probably not be in place until 
1980. Other manufacturers have 
either simply not got into the 
U.S. market yet (like Toshiba), 
or are starting first sales in 1978 
(Mitsubishi Electric’s Mel com 
office computers and NEC’s 
system-200 small business 
computers) or will remain 
exclusively suppliers of peri- 
pheral equipment in U.S. 
manufacturers Oki Elec- 
tric’s tie-up with Sperry-Rand). 


Must computer industry 
analysts reckon there will be 
some structural change in the 
industry in the early 1980s» 
with Japanese makers joining 
forces into two, or at most 
three, strong groups. _Mnr, 
which is funding VLlSI re- 

search by two consortia, looks 
like favouring this future for 
Japan’s industry. To a large 
extent, however, tbe final make- 
up of the industry binges on 
bow quickly Japan catches up to 
IBM in its technology. So far 
the strides have been impres- 
sive, with Fujitsu now clearly 
able to match the best large- 
scale system available from 

But the competition is only 
just hotting up, since IBM is 
widely believed to be on the 
brink* of announcing its next- 
generation (called Fs for 
“future system ”) computers 
using VLSIs. They could go on 
the market early in 1979, a full 
year before the most optimistic 
Japanese target date for the 
launch of what Fujitsu 'promises 
will be competitive machines 
employing 6t-kiIobft VLSIs. 

Naturally, the Japanese main- 
frame producers are scurrying 
to bring forward their pew 
machines, but it is clear that 
they are at least one year be- 
hind IBM in the systems appli- 
cations of VLSI circuits. Beyond 
that handicap, they must also 
fight against IBM's monolithic 
hold -on virtually every overseas 
market (except Japan's own 

and Britain’s). Initially the 
Japanese makers will continue 
to joust with IBM in Australia, 
Canada, South Africa and the 
Communist bloc but by 1985 
there is every indication that 
further export growth (con- 
sidered a prerequisite for con- 
tinued high expenditure on R 
and D) will require a significant 
presence in the American 

Although MITI worries most 
about keeping pace with high- 
technology gains by IBM, 
important st ride; are also being 
made with 1OTT funds in the 
arena of peripheral equipment 
(including terminals). Subsi- 
dies for peripherals develop- 
ment began in 1972 but ended 
in 3976. Still, research and 
development at the big peri- 
pherals manufacturers has pro- 
ceeded unabated and electronics 
industry observers note that in 
the early 1980s Japan may 
prove to be fully competitive 
with IBM in magnetic disc 
equipment, with IBM and Con- 
trol Data in mass storage sys- 
tems. and eventually with all 
the American majors in pos 
(point of sales) terminal equip- 


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C. ltoh. One of Japan’s leading trading firms. And a firm that has been closely linked with business in 
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The growing popularity of European products in Japan - a market of 1 00 million affluent customers — ^ 
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Currently, we trade in many diverse products: men’s woolen fabrics, women’s apparel, textile 
machinery, knitting machines, printing presses, fruit packing machinery, marine equipment, computers, 
chemicals, medicines, alcoholic beverages, skiing equipment and clothing, sports boots, sporting goods 
and a host of other products and raw materials. 

Third country trade is another of our major activities that is constantly growing. In recent years we 
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London Office: 76 Shoe Lane. London EC4A 3JB Phone: 01-353-6090 Tele*: 261981 
Other Offices in Europe: Athens (Phone: 7709401). Berlin (229-2185}. Buchaiest (12.35.44). Dusseidorf ' v 
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Tokyo Office: C.P.O. Box 136, Tokyo. JAPAN Telex: J22295 (ITOHCHU) 


Fifiancial Times Monday My- 17 1978— 


woman’s role 

WHEN A Labour Ministry 
policy maker was asked where 
women would play a bigger role 
in the Japanese labour market 
in 1985 he suggested part-time 
supermarket clerking. In a 
later interview his comment 
produced a groan, but little dis- 
agreement, from the leader of 
a women's group. 

Today Japanese women wor- 
kers are confined almost 
entirely to fields considered 
appropriate for women. Few 
expect that to change by 1985. 

Not all Japanese women's 
jobs are bad ones, nor is the 
condition of most Japanese 
women miserable. If it were 
there would be a stronger 
movement for change. Most 
Japanese designers are women 

and so are the majority of 

pharmacists and teachers in 
the lower grades. Medicine, 
journalism and computer pro- 
grammin'? are considered 
appropriate careers. Though 
women's status is improving in 
many of these occupations, 
however, 3 woman often must 
be much better than her male 
counterpart to get ahead. 

Many large Japanese com- 
panies have never hired a 
single woman college graduate 
for a career position. Such dis- 
crimination is blatantly illegal 
under the constitution Japan 
adopted during the postwar 
U.S. occupation but the Govern- 
ment makes no effort to 
prosecute violators because the 
predominantly male hureau- 

cracy believes enforcement is them the direction they should 
unimportant. go. they would follow very 

The Labour Ministry says it eas 'b> said the leader of a 
believes 13.300 companies woman's group. " But that|s the 

require women to retire before problem; it s not so easy." 

age 55 (frequently at age 40). j t j s not easv to show the 
and 1.200 force them to retire direc ti 0 n Japanese women 
upon marriage. It has a five- should go because few off them 
year plan to persuade the com- want t0 be Hke Japanese men. 
parties to abolish such majority of successful 

practices. It has no plan to Japanese men still join com* 

make them abolish discnmi- gs or goverira5ent when the y 
nation in hiring and promotion ^ ^ quite 

Many Japanese women are * (although the brightest 
unhappy, especially the older | v men t more 

and educated housewives. At r , ° , , __ rk 

least one survey has indicated interesting and important work 
Japanese women's satisfaction thao people of comparable rank 
with life tends to decline as Ia the West). Because of the 
they become more educated and recession and the conseq 
outgoing. "They’re very dis- difficulty of changing jobs mis 
satisfied, so if we could show system has actually grown 
— - ■ / stronger in the past few years. 


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Few women consider this an 
appropriate career path for 
themselves. The main altern- 
ative roads to success — private 
enterprise and the professions 
— are already open to them but 
few have the drive to run their 
own businesses or acquire an 
advanced degree. 

Differences in the psychology 
of Japanese women and men are 
deeply embedded in Japanese 
history and child-rearing prac- 
tices. Before the last war 
Japanese women were men's 
servants. An educator of the 
time who advocated that upper 
class women study foreign 
languages explained that such 
study would enable them to re- 
place their husbands' books 
right-side-up on shelves after 
dusting them. 

In a 1976 survey 78 per cent 
of mothers said that girls 
should follow majority opinion 
and suppress individual ideas. 
(The figure was 54 per cent for 
mothers of boys, which aiso 
indicates Japan's traditional 
commitment to conformity.! 
Another survey showed that 
only 25 per cent of parents 
hoped their daughters would 
graduate from university while 
57 per cent wanted a college 
education for their sons. 

Women today have dramatic- 
ally more strength and freedom 

than before the war hut many 
women exposed, to Western in- 
fluences are unhappy ab'out their 

Educated women are one of 
the most rapidly growing sectors 
of the population. The propor- 
tion of women entering college 
rose from 6 per cent in 1960 to 
18 per cent in 1970 and to 32 per 
cent in 1975. Attaining an 
education does not necessarily 
mean breaking out of the tradi- 
tional mould. Almost two-thirds 
of college-bound women enter 
junior colleges where women 
predominate and the main 
purpose seems to be to give the 
students enough cultural train- 
ing to catch a graduate husband. 

Now, however, the women 
who started college Ln the 1960s 
are seeing their children grow 
up. By 1985 many will seek 
jobs. It is unlikely they will 
all be happy as supermarket 

Many of the more rewarding 
traditional women’s occupations 
are among the most rapidly 
growing in Japan’s economy — 
consumer consultants, marriage 
advisers and computer pro- 
grammers, for Instance. Women 
are also pentrating slowly into 
fields like law and the manage- 
ment of medium -sized com- 
panies. There are progressive 
large companies which have 
also begun to employ women 
in significant jobs. So It is con- 
ceivable that Japan's educated 
women could be absorbed into 
the labour force with only 
minor changes in Japan's 
economic system. 


But it is also possible that 
more Japanese women will find 
themselves without outlets for 
their talents by 1985 and 
become more dissatisfied with 
their status. The next seven 
years certainly will not bring 
economic equality for Japanese 
women, but they could bring 
the start of Japan's first broadly 
based women's movement 


Tapping the 

changes in the world economy 
and the establishment of a 
12-mile territorial waters limit 
and a 200-mile economic zone. 
Japan has begun to take a fresh 
look at the prospects for ocean 

development Last March the 

Japan Ocean Development 
Council was requested by the 
Prime Minister to make recom- 
mendations on a " basic concept 
and long-range policies " for the 
promotion of ocean develop- 
ment It was the first time in 
five years that the council had 
been asked for such recommen- 
dations. The council will present 
an interim report by the end of 
this year and a full-dress report 
by next summer covering long- 
range policies on the develop- 
ment of ocean living resources, 
energy and mineral resources, 
the utilisation of ocean energy 
and space and ocean safety. 

Japan bas a limited land area 
of 380.000 square kilometres, 
making it the 50th nation in 
the world in terms of territory. 
If its maritime zones are in- 
cluded. however, Japan rises to 
10th position in territory and to 
sixth position in terms of the 
area of its economic zone. 
Japan also ranks highly in terms 
of its dependence on ocean 
resources. Sea food provides 
50 per cent of the total domestic 
supply of protein, although 
much of the fish eaten in Japan 
is now caught in distant waters. 
As a major trading nation 
relying almost entirely on oil 
imports for its energy supplies, 
Japan is also very heavily 
dependent on the oceans. 

Japanese expenditure on 
ocean development within the 
200-mile economic zone is 
estimated to reach Y25,570bn 
by the end of the 19S0s accord- 
ing to an estimate by the 
Maritime Industry Council. But 
expenditure will" have to rise 
very- fast indeed for- this 
estimate_to be realised. In 
fiscal 19n Japan appropriated 
Y19.9bn for research into ocean 
science and technology. This is 
roughly equal to expenditure by 
West Germany and France but 
only one-thirteenth of the 
dollar funds allocated for the 
same purpose in the U-S. 1976 
budget. In view of the increas- 
ing importance of ocean 
development Japan has decided 
in 1973 to appropriate Y20bn 
for such projects as the con- 
struction of a bathvseappe. the 
development „j ^abed oil 
production system and the 
development of a i^h farm. The 
bathyscappe project calls for the 
construction of a craft which 
will be able tu reach a 

maximum depth of 2.000 metres 
and which will be used to 
explore for deep sea fish 
resources, oil and gas. 

Japan's annual fish catch is 
over 10m tonnes or 15 per cent 
of the world total, but fishing 
grounds available to Japanese 
fleets have been shrinking with 
the establishment of economic 
zones by other nations and 
because of environmental 
problems caused by the pollu- 
tion of waters close to Japan. 
Against this background a ten- 
year plan to build an ocean fish 
farm was launched in April. 

A seven-year programme for 
the development of a seabed 
oil production system started 
this year with an eventual 
budget of Y15bn under the 
guidance of the Ministry of 
International Trade and 
Industry. The aim of the 
project is to drill for oil in 
depths of more than 300 metres 
by locating production facilities 
on the bottom of the sea. The 
Government hopes to use the 
results of this research not only 
in Japan’s own offshore oil 
exploration but also as a 
bargaining counter in negotia- 
tions with oil-producing 

In the field of manganese 
nodule exploration, Japan has 
been active for some years, 
starting with the launching of 
preliminary surveys in 1969. In 
March this year a Japanese 
U.S.-based consortium Ocean 
Management of America in 
partnership with U.S., Canadian 
and West German companies 
successfully lifted 300 tonnes 
of manganese nodules from 
the seabed near Hawaii. 

Another important field of 
ocean development for Japan 
is the development of ocean 
energy. Japan has for many 
years converted wave energy 
into electric power for use on 
buoys and small lighthouses. Its 
first large-scale floating wave 
power plant will begin test runs 
next August in the Japan Sea. 
Plant has been completed by 
the Oceanographic Science and 
Technology Centre after three 
years of study. The Centre 
estimates that full use of the 
power from waves along Japan's 
32.000 kilometre coastline would 
yield 1.4bn KW of energy. 

As an overcrowded nation 
with a permanent shortage of 
living space Japan also places 
hope on the exploitation of 
ocean space for such activities 
as chemical plants, power sta- 
tions. the location of floating 
airports and leisure facilities 
such as floating paries. 

Yoko Shibata 

Japanese models displaying locally made Kimonos at the Nishijin Textile Centre , 



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Rnandal. Times ' Monday July 17 1978 

JAPAN xvn 

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:,•• SS^flfc 
.-%• - a B 

A crowded shopping precinct at East Shtnjufea, Tofeyo. 

A quart into 
a pint pot 

TODAY, JAPAN’S land use is 
universally agreed tu be a mess. 

Sixty per ( cent of the country's 
people live in 2 per cent of its 
territory. I Houses are piled next 
to factories and crowded high- E 
ways. The park system is * 
grossly inadequate; sidewalks }/■ 
are often non-existent, and on , ' ' 
Sundays j popular recreation 
spots ioSok like the London 
underground during rush hours. 

By 1985 Japan’s land use will 
be even; worse. This conviction 
js shared by groups ranging 
front {the radicals besieging 
Mania J Airport to bureaucrats 
who . laelped write the Third ' 

- Comprehensive Development 
Plan; f the document that .is 

. H 4 » \ *'• y.‘ * *■. < ' i +*“• +'• + 

A. •„.***• ’ .{S'. 

" -C •• - ' 

5?^ k 

SPT >* '<>• v ‘ ■*' .:• 

* 1 •-- 

An orderly queue waiting for a train on the Tokyo underground. 

Plan; / the document that Js ; 
suppc«sed to guide Japan's pro- i 
gre*,uvcr Lhc next decade, 
i 4' {***» ihe suburbs of Tokyo * • • / 

alo^cj will have sprawled over i 
72 tar cent more land than they !? M ‘ " ' 

covered iu IU70, according to L - . . . 

wS\ops° j ri^ 0I paddfcs Cl iu"h ArI or( * er $ c ^ tjeue waiting for a train on the Tokyo underground. 

wa^s, 'and homes will be jumbled 

tojelher just os irrationally as ' 

lutfajj. The park system will 'Hie first one to move— probably must rise 20 to 40 per cent every inevitably becomes polluted, 
be* jpst as inadequate as it is a rich person— gets a spectacu- year or two just to keep the local authorities must pay out- 
nqw.i and perhaps more so lar view and then finds that each Government’s level of subsidy rageous sums to connect the of the vast amount of additional house on the hill is a reasonably stable. That would irrationally scattered houses to 
p'pvua.cly owned rural land that form of pollution. But when mean approximately . a piped water and sewers. Pro- 
yjli bu in die process of eon- everyone has moved, each per- quadrupling of fares by 1985 viding adequate roads and side- 
vprsiin to suburbs. The auto- son still has a better view than even if other prices in Japan walks is impossible because the 
Aobiic will have sharply in- when he started. Mr. Kahn sug- generally remain level. direction of development is 

<Jrcaqed il, share uf the nation's gests that the people who com- ironically Japanese officials decided solely by the order in 
ranspun. Porkjpg iuts will plain about this process are the an( j gdyjiajg have come to agree which farmers decide to sell 
f ave i keen one of the nation's upper and upper-middle classes. M He rman Kahn's argument their land. 

;asl«;t growing industries. A They would like to freeze the j apan jjjg an adequate Tl* e supply of land actually 

;reniendous portion of Uie great movement at the point when SU ppi y of land for whatever It for sale rem ains low. Dxban 

?cnndmi(* firnwlh lltul luuu thw r>rp tho nnlv npnnlp nn thp .. . . ... . .. roci^onfial )snJ in Tnli'n nmn 

^ Le f > lu vounLryside, and dwellers moving to a hillside is have the highest ratios of m .°dest house on a lot less than 
the { eumpeijlmn will itself apl Japanese moving to the population to arable land in the met re s square can cost 

d . es ^ ct f y mu * ; h. ot the countryside suburbs really do get a life in world, much land that is too (Slfo.000). 

ihuLfihv compeuiurs are seeking, many ways better than their old hilly for agriculture can be a extreme crowding of the 

- one. People whose parents once very pleasant place to live. Places where most Tokyoites 

lfllCrCSlS lived in tiny, drafty wooden Including both hilly and flat is a l so caused partly by the 

apartment buildings now own land, Japan's population density Japanese preference for and 
'We cairnut expect any ^ 0U ses with small gardens amid is only 25 per cent higher than subsidy to single-family homes 
leadership, said an economic air w hich— while much dirtier Britain's, .rather than apartments, and 

planner who worked on the ^an ^ a i r ^ the district be- Tokyo’s endowment of flat partly by the very small portion 
Tturd Comprehensive Plan. "1 f ore j t was suburbanised — is land, mountains, and beaches of Tokyo owned by the Govem- 
tlilnk wu have to expect a cer- much cleaner than the air in close to its centre compares ment for parks, streets, and 
tain period in which many jjj e cerJ tre of Tokyo. favourably with that of any sidewalks. Tokyo has only two 

different interests will oppose oth * r city in the world. And square metres of park per 

each other, and conflicts among “r. Kahn s analog ran today much of ^ ]and around person compared to 22.8 square 

various interests, wiU become also be used to demonstrate the Tokyo remains open. Only 38 metres in London and 8A in 
keener. After that we might be wastefulness of this kind of un- ^ of j and vjthin Paris. 

able to get some learning. In planned growth. When the 40 ^ Tokyo Station ^ To some extenti j apail *s land- 

this country’, the next ten years majony have moved from the developed. use problems are simply the 

js not very hopeful, at least in valley to the hillside, it wiu oe Partially, this is because much problems all countries suffer in 
Uie field of land use. obvious that eveprone could 0 f ^ jj as j Maen q n j te ^g m0( j enj era- i»j 0 country has 

Mr. Shigeto Tsuru, the have been better off if the move in acceS aiw e . j t j s a mjrfl, ^at yet learned how to tame 
Japanese economist who is now had been better planned, ine xbkyo has a uniformly excellent automobile-oriented suburban 
chairman of the International movement from a compact transport system. Although development. 

Economic Association, points villase dependent on public Tokyo’s transit has certainly Rapid growth compounds the 

out that most of the things the Private faster than the system problems. Market farces can 

Japanese now want to buy are ^jside dependent on Private of ^ other in the world allocate land much more effec- 
-poBitional goods” in the sense caw ^ since World War IL many tively and governments ran 

suggested by the British econo- *? b ? c *°d many of the amnitMg Tokyoites wHo live within 10 acquL proper Tmoonts ^ 

mist Fred Hirsch. (One of the D JSon to move of v thrtr sUn s Pt nd public land much more easilv 

ironies of Japanese economic “ 0r * S 1311 ^ hours a day when Exmvth is slow enough 

growth is that British econo- ran e^o y a0 yttm commuting. that speculative elements do not 

mists still have considerably w ^ts Dy anvrng into • enter into the prices. Even if 

more prestige in Japan than SenSy n”ShbS»v SpCCUlatlOD Span's growth continued at its 

Japanese economists have in mav y have been x recent modest rate, however, 

Britain.) The Japanese want to kooa stores _ may nave Deen But a more im^rtant reason the speculative distortions in 

spend their money on bettor d r ^ P fatT s . tiU J h . as *° “ nc 5 Japan's land use would not work 

i:lU0a, mi, loum ft., lrturaw r .. udii* iui i?uuu aQjnsmieni }i\ \ 

residential land. accessible SS «J52Ste for^ ^5 “fPff from the 1950s to political processes, and Japan 
countn'sidc and urban recrea- P»«s ^ compensate _ mr w the oil crisis recession— a rate has not learned to make these 

rionaUacilities quickly become °bamS>u^f n0t ^ ^ ad 3 BStments wfr as fast as 

congested as more people txy to ^Sh 'd^thSufs or SSUSS?!* ” tes . bm « has ®ake industrial 

use them. The increasing par- ne !®V „ 2™!-. ? an nse ,D nomjnaI adjustments. 

T ion of Japan's GNP spent on Politica] and moral P«W> 

the ” ^LSacSoa^TheproD- charge drastically higher prices, *isn jJSJtaiSlS tt?p£St a ", d i ack °. f ,raagination ? a . ke 
pondmg o^SS 1 : ™* ^ to survive on dramatically famaies who acquired it at the M the , OT “ aia « s „ wo ^-. ^ 
lom is compounded m Japan by reduced patronafie . ^ of the U.S. Occupation land P ,an, J ers r , look *«*?rwgly 

invest in things that do not pro- The .«»*» %S mecha^sms 0 of adlandTd 

dura statistically mensurable cities is unlikely to produce the wtar keep their Weit GermaDy , but ^ toow 

will necessarily involve. . Japanese complain about ^ - — J t0 ha ^ the re will be 

Perhaps the only organisation decline ° l a T gon. housine^ts or an anartment veTy severe eonflict between 

$ n«de or outside Japan that is houre J-S apartment resjdeflts .. ^ a Government , 

optimistic about Japanese land version 0 r Thus suburban districts con- o® eial - “ w e have done studies. 

Jp over the nest decade is Her- urban ?““■*; sSfeSg of »« t“ere is still hesitation. I 

srs st--ikbiss " vas 


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Condensed Balance Sheet (March 31, 1978) 

ASSETS | (¥ in 1,000) ($ in 1,000) 

Cash anfcf Due from Banks 4 . 1,052,979,772 ( 4,735,686) 

Call Loatns 53,052,170 ( 238,597) 

Securities j. 1,564,178,342 ( 7,034,757) 

Loans aSnd Bills Discounted . — j. 6,642.010,548 (29,871,871) 

Foreign) Exchanges 800,629.140 ( 3,600,761) 

Domeidbc Exchange Settlement ay’c. Dr 237.249,402 ( 1,067,009) 

Bank Premises and Real Estate .4. 140.852,183 ( 633,471) 

Other Assets - - 53, 992,046 ( 242,825) 

Custonjiers 1 ' Liabilities for Acceptances and Guarantees ... 1,098.763,444 ( 4,941,594) 

TOTALi j. 07,047 (52^66^71 ) 

UABIlSTIES Of in 1,000) ($ in 1,000) 

DepD^fts 8,364.292.420 (37,617,686) 

CalWvioney J 492,364,855 (2,214,368) 

Borrowed Money j. 714,327,008 ( 3,212,624) 

Foreigfn Exchanges ' r ..... • 51.341,208 ( 230,903) 

Domestic Exchange Settlemerft a/c, Cr ... 1S:;,a>3.892 ( 826,669) 

Accrued Expenses ; 160.797,993 ( 723,175) 

Unearned Income,.... — 44,202,127 ( 198,795) 

Otheii Liabilities 1 50,2 T 3.639 ( 226,124) 

ResetfJe for Possible Loan Loises 89,608,384 ( 403,006) 

Resettle for Retirement Alloyj/ances 42.262,683 ( 190,073) 

Othejr Reserves j 20,297,151 ( 91,285) 

Acceptances and Guarantees^ 1,098,763,444 ( 4,941,594) 

Capitjal (Paid-up) — -J*.. 89,100.000 ( 400,720) 

Legati Reserves — .... a.4. 20,654,917 ( 92,894) 

Othelr Surplus tj. 221,606,326 ( 9%,655) 

TOT^L . 

. H, 6^3,707,047 (52^66^71) 

Of in 1,000) ($ in 1,000) 
8,364.292.420 (37,617,686) 
492,364,855 ( 2,214,368) 
714,327,008 ( 3,212,624) 
■ 51.341,208 ( 230,903) 
183,01)9.892 ( 826,669) 
160.797,993 ( 723,175) 
44,202,127 ( 198,795) 
50,273,639 ( 226,124) 
89,608,364 ( 403,006) 
42.262.683 ( 190,073) 
20,297,151 ( 91,285) 

1,098,763.444 ( 4,941,594) 
89,100.000 ( 400,720) 
20,654,917 ( 92,894) 

221,606,326 ( 996,655) 

11,643707,047 (52,366,571) 

Profit and Loss Account ' (A f 


Interest on Loans & Discounts 

imeStest & Dividends on Secjulrities 

Fee£r& Commissions..........^ - 

Ot^r Income 4 l. - 

Tralnsfer from Reserves....,..^ 



Interest on Deposits — 

Interest on Borrowings & Refc&counts........................... 

Geaerai & Administrative b^)2nses ............ — 

Otfcrer Expenses ....... ............. 

Transfer to Reserves ....... 


Pipfit for the Term before Tat* ......... 

Provision for Taxes on Incomt 

Rrbfit for the Term after Tax it.............. 

Kiance Brought Forward from Previous Term 

13bdivided Profit at the End of^heTerm 

1 1, 1977~March 31, 1978) 
(¥ in 1,000) (SinlW) 
436,999,464 ( 1,965,366) 
108,361.533 { 487,347) 
24,583,968 ( 110,564) 
77,086.805 ( 346,691) 
6,389,717 ( 2 8,737) 

653,421,487 ( 2,938,707) 

- 203,527 

( 1,490,916) 
( 326,633) 
( 685,903) 
( 135,003) 
( 915) 

( 2,639,370) 
( 299337) 
( 162,455) 
( 136,882) 
( 23,376) 

( 160,258) 

No(e^|LL5. Dollar equivalents are Otad^it the rate of ¥222-35 per U.S.&1, prevailing on March 31, 1978 

- t 

,k Jafp^ m’s Leading Commercial Bank 


* Tokyo, japan. 


PiMBCMd Times IMfowfef *9?8 



Articles on this and the remaining two pages 
of the Survey discuss the views of a number of leading personalities 
in various walks of life on Japan’s medium term future. They were written 
by Charles Smith, Douglas Ramsey and Yoko Shibata. 

In the 

Toshio Komoto 


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THE JAPANESE economy has times of high economic growth, 
the capacity to grow substan- is inactive at present, 
tially faster than most people Mr. Komoto says he often 
believe, says Toshio Komoto the finds himself in the opposite 
Minister of International Trade camp from the Finance Ministry 
and Industry (and founder and (for example on the question of 
former president of one of the whether or not more public 
top six Japanese shipping com- spending is called for at 
panics). The “conventional” present). “However, we 
view of the economy’s growth normally manage to sort out our 
prospects is 6 per cent per year differences satisfactorily in the 
in real terms but Japan is a end.” What he feels at the 
“young” country with plenty of moment is that slow economic 
work pending In the field of growth presents various hazards 
infrastructure. It also has for Japan which could be 
“abundant financial resources.” avoided by a more expansionist 

What Mr. Komoto means by one' danger of slow growth is 
Uus is not the S-8bn worth of ^at unemployment could be- 
fore^ exchange reserves come uncomfortably large. At 

2SSfn J! ST% th SlSrf ^e moment says Mr. Komoto 

nation in the world in terms of , 

n ou “ there are 1.23m people officially 

SLTrSoiw ot 

private savings which could "J? JH££Z 

help to absorb Government bond 

icciiaa (which in turn could be poking for jobs. A second prob- 
STt? finance WmSoS * tb « economic stagnation 
investment). Mr. Komoto says 

it is not for him to suggest how petitive strength. The problem 
large the Government bond « not visible at the moment 
issue should be. He notes, how- *V* fte minister, but I! we 
ever, that the bond issue which Slt for or three years 
was required to support this 0UT P}* nt equipment will 
year’s budget (a highly expan- Set old and we will certainly 
sionary one in the view of the i° se competitive edge. 

Ministry of Finance) totalled On the subject of un- 
Y20.000bn when local govern- competitive industries Mr. 
mem bonds are added to the Komoto agrees that Japan will 
basic Y1 1,000 bn national issue, have to scrap or freeze capacity 
By contrast, says Mr. Komoto, in certain sectors in order to 
private savings have increased get the economy out of 
by Y35.000bn since last year, recession. He also agrees that 
Some of these funds could be th e l aw recently passed on 
used to absorb more Govern- MITTs initiative to encourage 
ment bonds, given that private capacity scrapping will not do 
investment by industry, which the job on its own. “ The in* 
tends to soak up savings in dustries concerned have to 

accept’ the need for drastic 
measures — -but I believe .that 
most of them do.” There ' arc 
two types of seriously recessed 
industries, says Mr- Kbmoto- — 
those which “can anticipate 
eventual recovery” and those 
which are no longer viable in 
the economic situation in which 
Japan Dow finds itself. 

• Mr. Komoto says the reason 
why Japan has a huge balance 
of payments surplus at present 
is.” because the economy is so 
weak ” — in other words there is 
not enough demand to absorb 
imports. This brings him back 
to his theme th3t the economy 
should be growing faster. Unless 
and until that happens he feels 
that “ emergency Imports ** (i.e.. 
additional massive purchase of 
items such as oil, uranium or 
aircraft) are a good idea. 

On trade with Europe " Mr. 
Komoto says both sides have to 
try hard to arrive at a better 
balance. “ We were urgently 
requested by the Americans to 
send a buying mission last 
spring, which we did with 
excellent result ... If deemed 
appropriate we will send a 
similar mission to Europe." Mr. 
Komoto says that no request for 
such a mission has been received 
from Europe. " It is up to them 
to ask.” The mission should be 
requested by the EEC, he says, 
rather than by individual Euro- 
pean countries to which Japan 
has already sent purchasing 
missions in earlier years. 

Mr. Komoto says MITTs role 
in the Japanese Government 
should be to " get the economy 

Mr Toshio Komoto 

out of secession,” and to pro- 
vide a “ vision " for the develop- 
ment of the economy in the 
19S0s. “ We are working on this 
now so 2 cant tell you the 
theme,” he adds, but some main 
lines have already been identi- 
fied for economic strategy in 
the 1980s. One is that Japan 
should look for something dif- 
ferent to. do from newly indus- 
trialising Asian nations such as 
Singapore. Taiwan , and Korea. 
“ We should stress research on 
energy and on the conversion of 
raw materials so as to help the 
world solve the problems of 
shortages in these areas. In any 
case, says Mr. Komoto, Japan 
will be “drastically" increas- 
ing Government investment in 
technology from next year on- 


Kiichi Miyazawa 

pwy* r *^cs 

THE MAIN obstacle to Japan's 
growth is not the energy short- 
age or the size of the budget 
deficit It is “ a popular move- 
ment,” says Mr. Kiichi 
Miyazawa, Director General of 
the Economic Planning Agency 
and by all accounts one of the 
brains in the present Japanese 
Cabinet. The meaning of this 
initiaDy odd-sounding statement 
is actually quite simple. Mr. 
Miyazawa sees the growth of 
the Japanese economy in the 
next few years as being infra- 

‘We desperately need more 
roads and railways, better 
sewage systems, more schools 
and hospitals and so os. These 
things represent a productive 
form of investment and there 
is no serious problem about 
finding the money to build 
(hem. The problem is that 
people have become self- 
centred; they even oppose 
having schools built in their 
vicinities, although naturally if 
you ask someone whether he is 
in favour of the Government 
building more schools and 
hospitals he wifi reply that it 
is a good idea in principle." 

Miyazawa says Japan was 
overtaken by a wave of environ- 
mental hysteria at the end of 
the 1960s which has not died 
down yet. although it seems to 
be growing weaker. He notes 
that the Government's legal . 
right to acquire land compul- 
sorily is hardly ever exercised 
today. “ Somewhere along the 
line we got the wrong idea 
about democracy. Democracy 

is supposed to be the niie of the 
majority but has become the 
violence of the majority." 

Mr. Miyazawa says he can 
think of absolutely nothing the 
Government can do to deal with 
environmental obstructionism 
(which he admits was justified 
when it first hit Japan) except 
wait for it to die down. One 
thing that might improve the 
situation would be for the “pro- 
gressive” parties to come closer 
to the prospect of ruling, he 
suggests. This would oblige 
them to be more realistic than 
they seem willing to be at 
present on environmental issues. 
The fundamental problem, how- 
ever. is to teach people to be. 
“cost-benefit conscious” on a 
community scale instead of as 
individuals. v 

On Japan's international 
economic position in the 1980s 
Mr. Miyazawa says "we must 
maintain a current account 
surplus” (to pay for overseas 
investment and foreign aid). 
That in tarn means a substantial 
permanent trade surplus with 
the U.S. and Europe. He esti- 
mates the desirable level of the 
current account surplus at be- 
tween $Bbn and $10bn (about 
half to two-thirds of the actual 
surplus in fiscal year 3977. As 
far as western reactions to this 
situation are concerned. Mr. 
Miyazawa says that the impor- 
tant thing is for Japan to recycle 
the surplus through investment 
and foreign aid (in other words 
for Japan to contribute to the 
development of the Third 
World). "The Europeans may 

complain even if we do this, but 
the complaint would not be 
legitimate and it is not some- 
thing we should worry about. 
As to the U.S., Mr. Miyazawa 
says; “ Tm more optimistic — the 
Americans are still growth 
oriented.” Europe, in his view, 
is not growth oriented but 
countries like Britain are “ the 
most advanced in the world” 
and may be setting an example 
by the “ re-lntegra lion ” of their 
societies after passing through 
the experience of industrialisa- 

Mr. Miyazawa says Japan 
faces “a greater possibility of 
failure than of success” in its 
dealings with South East Asia 
but has no choice but to become 
deeply involved. “ Those 
countries will be 25-30 per cent 
dependent on us in a few years’ 
time. We have to work with 
them but we have no experience 
of working with foreigners” 
(except for the "unfortunate" 
pre-war experience of working 
with Koreans). Moreover Japan 
has only recently become a rich 
nation and has to learn “how 
to spend money gracefully." 
“ The only way to learn is by 
trial and error. We have already- 
had a chance to learn from our 
errors in South East Asia — but 
once is not enough. We can’t be 
the spiritual leaders of Asia for 
another generation." 

looking at Japan’s domestic 
politics Mr. Miyazawa says the 
ruling Liberal Democratic Party 
can maintain its hold on power 
for at least another ten. years 
“ if we rejuvenate ourselves 

which we have to do in ariy 
case.” He notes that’ the custoiU 
of fathers passing on their coqi- 
stituencies to their sons is 
dyeing younger LDP Die.^ 

members these days, wherea? 
Socialist Party members (who 
are usually nominated by trade 
unions) are getting older. His 
own ambition as a politician is 
to see the " Showa generation ” 
(i.e. men born during the reign 
of Japan's present Emperor 
which began 53 years ago) take 
over the leadership of the 
country. “ Tm seven years older 
than Showa and I will be the 
instrument of this transfer.” 
After that, says Mr. Miyazawa, 
the time will have come to retire 
from politics and- catch . up on 
1,500 jyears ; of Japanese 


James Abegglen 

JAMES ABEGGLEN is the man at the time), 
who “ introduced ” Japan Inc. way through 

He worked bis Finally he joined the newly 
the Solomon formed Boston Consultancy 

to international audiences in Islands and up tc> Iwojuma in Group which did. agree to open 
3985. He picked the expression some of the toughest fighting of a Tokyo branch., “I was there at 
up from a speech by the Chair- the Pacific War, earning enough the start when there were 10 
man of Mitsubishi Corporation service points to “repatriate a or 15 of us huddled together in 
which was reported in a Tokyo platoon ” once the war was over; a Boston office waiting for the 
English language paper and Instead of going home he asked telephone to ring." Getting into 
used it in a lecture to a U.S. to be sent to Japan where he Japan early gave the company 
business audience. “After that,” was assigned to the strategic su international visibility that 
he says, 11 the little monster bombing survey, which was would have been hard to obtain 
grew.” The idea had been to engaged in evaluating the effects m any Other way, in Mr. 
present Japan as an entity of war time bombing on the Abegglen s view, but today 
somewhat resembling General Japanese economy (the survey's being in Tokyo is worth while on 
Motors, with a pla nning body conclusion was that production strictly local grounds. Just over 
zt the top and vigorously com- had expanded during the half the turnover of the Boston 
acting divisions underneath. It heaviest period of bombing), 
hardened into the vision of After six months of survey 

Consulting Group KK (the 
Tokyo subsidiary) comes from 

nonolithic entity in which the work Mr- Abegglen took a ship Japanese clients, with some of 

lovermnent has total oonttol 6a< , k to the U.S. where he re- ^f“ rt s ul afttftop’ol Mr James AbeggteTT 

rver the economic process. Mr. started his education, emerging al We lop 01 a tely fast growth for Japan bnl 

. - — — - staticu. UU CUUI-dUUM, , ... 

Vbegglen naturally does not g ve years later with a set of 

wilh some major structural 

igree with this version of Japan higher educational qualifications Mr, Abegglen's view of events changes looming. Basic raw 

.nc. What he does continue to which covered psychology and in Japan in the past three to materials . industries such as 
lelieve is that Japan is a dyus- Japanese area studies. This five years is that the Govern* al umi nium refining will have to 
nic nation whose economy can provided the springboard for the ment made one crucial mistake be partly “exported" because 
md probably will continue to writing of a pioneering book, ■ — failing to let the yen rise in they are no longer economic in 
irow rapidly. The notion that the Japanese Factory, in which early i9 ™ s . and suffering j apan but a difficult strategic 
lapan should stop growing he set out mueh 0 f w hat today fr Dn ? hyperinflation as a result, decision has to be made on 
•apidly is " flat out nonsense,” constitutes the conventional Having got into this situation precisely how much control 
ie says. wisdom about the distinctive Japan “had to get inflation out Japan should relinquish over 

Mr. Abegglen belongs to what characteristics of the Japanese of system" and did so resources processing, 
le calls the third generation of employment system ("I invented successfully during 1974 and So far as Japan’s international 
i.S. experts on Japan, the one the phrase ‘lifetime employ- 1 97 5. What followed was “a economic relations are con- 
hat was introduced to the meat ’ The translator coined the loss of nerve" which Mr. ■ cerned Abegglen does not mince 
ountiy involuntarily by being phrase * shushin koyo seido ' — Abegglen thinks has- continued words. Today's big surplus will 
made to learn Japanese during which is what the Japanese call up to. the present day. He says have to he phased out eventually 
‘he war. After a month as a their employment system today.” ft unnatural for the Japanese but Japan will remain in heavy 
volunteer trainee in the U.S. Mr. Abegglen spent the first economy to operate as far below surplus permanently with other 

marines in 1942 Mr. Abegglen half of the 1960s trying to cs P acit ^ r 33 iJ: bas been doing advanced regions like Europe 

was asked what he wanted to do persuade a series of U.S. consul- recen0y - He advocates two and the U.S. Protectionist pres- 

md opted for radio communica- tancy companies to set up Tokyo ^' e . ar ® “drastic short term sures from the west will merely 

ions. Instead he was sent to operations 
California to learn Japanese' President. 
!bnt not from a Japanese swept the 

with himself as 

stimulus" for the economy cause Japan' to . look more 

They would have durtnS which GNP would grow towards Asia (including China) 

board if they had at between 7 and 10 cent which is already emerging. « 

eaeher because they were all come in then, instead of waiting Looking further ahead he ^ world's fast gro wiag. regjpn. 
interned in enemy alien camps for another 18 years” he notes, sees continued fast or moder- v 



Financial Times Monday July IT 1978 

Professor Edwin O. Reischauer 

fessor Edwin O. Reischauer. bv 
his own admission, has been 
.iTtyht more often than not when 
;n coring into Japan's post-war 
: future. The 67-year-old former 
;UJ5. Ambassador to Japan 
l a (tributes his good track record 
• to looking on the bright side of 
things throughout the 1950s 
, and 1960s when Japan’s econo- 
mic miracle was for min g itself 
and few imagined a defeated 
nation lacking most vital natural 
resources would soon become an 
economic giant. By sitting in 
the spacious living room of his 
suburban Boston home. Prof. 
Reischauer is warning of 
trouble^ ahead. 

’■ L vras oa tlie move optimistic 
until recently,” lie says. 

Right now. X sense dangers 
from Japan.” 

The "danger" comes mostly 
front the threat of protectionism 
in_-.the U.S.. the country which 
has long served as the largest 
single market for the fruits of 
hard-working Japanese industry 
m the form of cars. TVs, steel 
and stereos. This threat ** could 
change things very much over 
the next eight years," He says. 

PnoT. Reischauer was bom 
and raised in Japan, the son of 
Preshyterian missionaries in 
Tokyo. He graduated from the 
American high school there in 
1927. before returning to college 
in the U.S. and finally a doc- 
torate from Harvard in the 
1 930s. President Kennedy 
appointed him as US. Ambassa- 
dor to Japan in 1961 where he 
served until 1966. 

Unlike Japan's Prime Minis- 
ter Takeo Fukuda. Prof. 
Reischauer looks back and 
likens the present period of 
increasing world friction over 
trade and international pay- 
ments imbalances to the 1920s. 
rather than the depression years 
of the following decade when ' 
-Japanese militarism blossomed 
and the world witnessed the 
birth of .Nazi Germany. 

“World trade hasn't gone to 
hell but it is throwing up 
danger signals," Prof. Reis- 
cliauer says, and Japan is 
operating out of “synch" with 
Ihe rest of the world. In the 
1920s Japan faced a world of 
shrinking trade which eventually 

Professor Edwin Reischauer 

ruined its best export industries, 
like silk. Japan began lo fee 1 
it could not survive without an 
empire, such .as European 
nations' had in order to acquire 
a larger Industrial base. The 
aggressions of the 1930s 
followed quickly as the world 
plunged into economic depres- 

"We certainly aren’t in the 
1930s economically yet. but the 
late 1980s and early 1990s could 
become the 1930s," he says. 

Japan's problems for the 
moment have little to do with 
domestic economic, social or 
political instability. Prof. Reis- 
chauer sees the lkS. Congress 
becoming more isolationist 
in this year's elections, and 
perhaps more so in the next 
couple of rounds of biannual 
elections for the House of 
Representatives. “ If the North 
American continent takes the 
same attitude toward Japanese 
imports that Europe tends to 
take — that's why there artf so 
few Japanese exports even now 
to Europe — I think it [a crisis 
for Japan] could come. Not in 
two or three years but let's say 
in 19S3 or 1985 when a recession 
comes along,” be says. 

"We have an unseen hand 
in the economy which tends to 
correct ilself, but the political 
process works much quicker," 
ProL Reischauer says. The 
depth of protectionist feelings 

in the U.S. last autumn worried particularly because of the 
him; he regarded the efforts of nuclear umbrella provided in 
U.S. trade representative Robert the U.S.-Japan security pact 
Strauss in trying to win con- The long-range presence of U.S. 
cessions from Japan in areas forces in Japan is "quite 
like agriculture over sis months predictable,” Prof. Reischauer 
of talks with Japanese officials says, but there will be a gradual 
as “ almost absurd." downplaying of the presence, , 

In his latest book on Japan, with Japan taking up more of 
The Japanese (Harvard Uni- the financial burden for main- , 
versity Press), Prof. Reischauer taining bases, and ’ perhaps 
notes that two' decades of trail- running the bases themselves : 
malic experience involving for U.S. use. 1 

fanatic indoctrination as the Prof. Reischauer feels that I 
military took over in the 1930s, tHe Japanese Government was I 
followed by the physical and mistaken in promoting the 
spiritual devastation of Ihe war, return of certain northern terri- 
sweeping reforms during the tories it claims from the Soviet 
Allied occupation, and then the Union, creating an emotional 
most rapid economic growth public issue. The Government 
ever experienced by any nation stirred public feelings on the 
might he expected to lead to issue in the 1960s while nego- 
rapidly changing and erratic tiating the return of Okinawa 
politics. “ Instead it has been from U.S. occupation. The U.S. 
relatively stable and extra- readily, some say surpri singl y 
ordinarily predictable,” he so. conceded, and Russia 
writes, “ perhaps because of the remained adamant in its 
underlying stability of Japanese position. 

society." in time j ap an may hope to 

There are nMUr n Prob- be ablc t o negotiate a return 
lemsdomesUcaUywhicb he feels of entailer two of four con- 
the Japanese will be unable to tested northern islands, 
resolve in time politically. Jn- H abomai and Shikotan. while 
stead of supporting spin-offs relinquishing claim to the rest 
from the fringes- of parties, -fhe guiding force will be 
voters are -coagulating in the economic interest in exploiting 
centre. ‘It is a sign of stable (jointly) the natural resources 
society that everyone wants to ^ Siberia/’ Prof. Reischauer 
walk down the same road. says. He expects, however, that 
Japanese want to become part of Japai) will ultimately benefit 
the middle of the middle little from such ventures, 
class, he says. In turn, the _ __ _ . . 

problems of growing numbers of Llkewi 1 se ' . Pro {- H^chauer 
elderly and more social welfare sees 4 01 } 1 * „ improye- 

will be handled adroitly. He ments ** decade in 

expects lots of sociological rela S ans " ith , mai °‘ 

changes in the not too distant and . Ch “• « od 

future, with people working less th F ere ,sn 1 t0 ° T much ln tf ?« wa ? 
and less and complete imtentifi- f Japan cou,d 

cation by employees with the fro .^ ^ ,ma ‘ . says - 
work place with wlU increase but 

Prof. Reischauer predicts that J** 

Japan will undergo changes in 01811 10 cent of ^ lts trade ' 
how it sees Itself fitting into Prof. Reischauer says the 
the rest of the world over the Japanese will be reluctant to 
next few years. “There will be assume leadership in solving 
certain concessions on the part world economic and trade prob- 
of Japan.” he says, “but Japan lems. “It is hard for them to 
will be the least changed of all imagine that," Prof. Reischauer 
the major nations. God knows says. "But they are the ones 
what France or Italy will be best able to ward off the proh- 
like in ten years,” he exclaims, lems . . . they are the best 

Militarily. Japan's self organised to take action to 
defence forces will remain little avoid these problems.” 
more than “a supplement" to 

the U.S. presence in Asia. KlCnaruC. HaHSOlI 

A few words 

about Tokal Banks expanding 
international operations. 

Jijro Tokuyama 

^ * 

JIRJ) TOKUYAMA is managing 
itiro'tor of one of Japan's most 
prufiiginiis private think-tanks, 

I v'omura Research Institute 
>. He is also a con- 
ting editor to Newsweek. 
:nd of the national security 
ers »r two U.S. Presidents 
linger and Brzezinsky) and 
if the best-known Japanese 
rs and speakers on the 
e of the Pacific basin area. 

this seems quite an 
vement for a ntan who 
wd out of medical studies 
e age «f 28 (aflcr ca telling 
ctilnsis from a corpse) and 
yh" had nu job a( ihe aye of 
b). In point «»f fact Tokuyama 
f-mld probably not have gut 
jihcre he is today jf his career 
jjiatl got off io a normal start 
l — which in the Japanese con- 
’Ic.xl means entering a company 
;.K the age of 23 or 24 with 
:ihe intention of staying there 
fur ihe rest of one's life. 

Mr. Tokuyama was born into 
a family whose members had 
been doctors for generations but 
initially refused to study 
uicdictne because, as he puts it 
today. “ 1 wanted \« lank beyond 
Ihe Blue Ocean." He spent his 
high school days, which were 
also the early years of World 
War 11. studying English and 
licrntan and absorbing the 
(hciughis of writers such as 
John Stewart Min. Goethe and 
Herman llesse. 

After graduating in economics 
rrunt Tokyo University he was 
despatched to the front in 
Manchuria where he spent six 
months before returning io 
Tokyo only lo find that, in the 
ariennath of defeat, “nobody 
wanted an economist." His 
father ihcreupun persuaded him 

to take up the . family pro- 
fession but sterilisation was 
poor in the medical school in 
south west Japan which Mr. 
Tokuyama entered. The result 
was a two-year spell, of treat- 
ment for tuberculosis when, as- 
he says now. “ my life was prob- 
ably saved by .streptomycin/’ 
He emerged with 3 -resolution to 
enter the newly . formed 
Japanese Self Defence Agency 
(the equivaleni of Defence 
Ministry) because "that was 
where 1 felt I was most needed." 

Japan in the early I9?0s was 
going through a period in which 
the orthodox view of defence 
issues was lhat the nation should 
rely on ihe good intentions of 
others and permanently forgo 
weapons. Mr. Tokuyama felt 
this was a “shaky notion " and 
decide to sit the Self Defence 
Agency entrance examination— 
something no Tokyo University 
economics graduate had done up 
to that time. 

As a young Self-Defence 
official, Mr. Tokuyama was sent 
to the U.S. where he took a 
Regimental Commander's 

diploma at Fort BeiHting. He 
returned as executive assistant 
lo tile Joatvt Chief of Staff to the 
Self Defence forces, a job where 
he came into daily contact with 
the top U-5. military personnel 
in Japan. 

From that time on Mr. 
Tokuyama began to build up a 
formidable Hst of acquaintances 
among American top people (or 
future top people). He met 
Kissinger and Brzcrinsky while 
studying in America on a 
Rockefeller Fund fellowship in 
the late 1950s land subsequently 
introduced both men to a group 

of upcoming Japanese politi- 
cians .including Mr. Masayoshi 
Ohtra and Mr. Yasuhdro 
Nakasone, both now major LDP 
faction leaders and aspirants for 
the party leadership). 

• Mr. Tokuyama says he began 
to feel after his spells of work- 
ing and studying in the U.S. 
that something was needed to 
make the Japanese people 
“ speak up " in world affairs. He 
concluded that the answer was 
economic growth and accord- 
ingly switched careers to 
become an official of the 
Government-run Japan External 
Trade Organisation. As a 
JETRO official in New York Mr. 

Tokuyama covered “the whole Jiro Tokuyama 

field " of Japan-U.S. relations .. . .. . . . ... . 

for five years. After that he i? ntI that exist in Western 
was asked to join Nomura . 8665 coming 

research whose New York office w,th drastic cuts in air fares 
he headed before coming back and Wlt ^ l ^e changeover from 
lo Tokyo as joint managing copper to optical fibre as the 
director. standard material for teleeom- 

Tbe “Tokyo group" of NRI, munications links, 
which is managed by Mr. Hi world affairs Mr. Tokuyama 
Tokuyama from his office half- 8665 troubles in the short run 
way up one of the new sky- !‘ in , 8 ****?’, 1116 

scrapers io Shinjuku. looks at ^ ld ^ e East is * chao ^ c * a 
macroeconomic prospects for br, £hter ^utiire eight or ten 
Japan and the world, studies the a head. What the present 
international monetary situation ^jows, he says, is that nation 
(including the yen exchange can ,J 10 - on8er 

rate) and does company and ^ s tl on t 5“ r 0W1L We need 
industry analysis. Its short an.d b £ SS"? m0ve 

medium-term projections are V* What comes 

private to Nomura Securities betwe{?n ,s but of 

but the Institute has published 

its vision of Japan in the next „ a ^ nuts „ that after 
century and Mr Tokuvama it years as 8 Government servant 
very^illing to talk sbom Ms ^ Iessional funirologlst" 
own view of the future. J remains a romantic. He is 

He says a revolution in com- ^ Iy < J nn / ced ® f ** 
munications is needed to 

“ slirink ” the Pacific Basin “f. H ,d "® tn £ .^wvth in 

area and set up relationships tbe wo ld IS tbe pacifi c. 
among its various peoples of the C.S. 

Father Robert Ballon 

•- “THE JAPANESE believe that 
r the apocalypse is today or 
tomorrow." saj*si Father Robert 
Ballon Sf. “Wiey have been 
living on Die brink of some kind 
of cat.tslrophc ever since 1 got 
here/’ He thinks the next 
apocalypse for Japan, some- 
time in the mid-SOs. could be 
vrtieti the Japanese find they 
: have gone out on a limb on the 
i question of economic inler- 
« dependence and oilier nations 
1 1 (u i i*i want it. " Then again, 
Japan will certainly be in the 
forefront of the attention of the 
Third World during the 1980s. 
Europe- on the other hand, 
seems lo be more and more shut 
up in its own liitle corner." 

Father Ballon, a University 
ol 1 .on vain economies graduate 
turned Jesuit priest, turned 
consultant on Japanese business 
practices, never chose to come 
(u Japan. He was ” told to 
volunteer" bv lus Belgian 
superior when the second batch 
nf pod-war recruits was being 
.•■om out in 1947 to rest ft ff the 
Sueicty s Japanese operation. 

Ballon was only half-way 
through (he prescribed 17 years 
of training when he found him- 
M*lf in Tokyo “trying to learn 
Japanese from people wc picked 
up off the strecL" He did not 
finally cel through with his 
i- 1 1 m-al] "ii until Ifl5R when he 
majored tn ecotiomica l for the- 
second lime) at an American 

universily with labour as his 
.special subject 

With these qualifications he 
became treasurer of Sophia 
which m turn put him in touch 
with the Japanese business 
world (especially banking an.d 
construction). A period of travel 
through South East Asia 
brought him “ face to face ” with 
the international business world 
and prepared him for becoming 
what be is today — one of the 
best-known interpreters to the 
West of Japanese attitudes in 
the field of labour relations and 


Sophia University (or rather 
the University’s Socio-Economic 
Institute) got into the consul- 
tancy business in 1964 when it 
started running seminars for 
foreign businessmen, and for 
Japanese executives of foreign 
companies in Japan. The 
next step was the publication of 
a .series of books yn “ doing 
business in Japan ” which 
Father Ralton edited and helped 
to write (usually in collabora- 
tion with one or more Japanese 
partners). . 

More recently the Institute 
has been turning out “ bulle- 
tins " on .such themes as " the 
role of foreign banks in Japan- 
or “how the Japanese bonus 
system works." It has also ne- 
ptime famous for its case studies, 
some written by top Japanese 
businessmen such ns tin* current 
president of Fuji Xerox and the 

managing director of Seiko 

Ft.' Ballon says he is some- 
times accused of over-stressing 
the differences between Japan 
and the West and ignoring the 
similarities. The fact is, he says, 
that foreign businessmen can 
easily spot the similarities for 
themselves but have to have the 
differences pointed out Some 
companies that set up in Japan 
start with a translation of their 
bead office employment regula- 
tions and spend Id years t tying 
to make it work before reaching 
the conclusion that they ought 
to study the Japanese employ- 
ment system. 

On the subject of his case 
studies, some of which are on 
controversial themes. Ballon 
says' the aim is not to 
antagonise. ’'It’s no good up- 
setting people too much if you 
are trying to build bridges 
between them.” On the other 
hand some delving into touchy 
subjects is necessary if the gulf 
between Western and Japanese 
business practices is even to 
start being bridged. 

He says the Japanese have 
been open to the outside world 
(in the sense of learning from 
it) for the past 2.000 years but 
“we are now at the historic 
turning point” where Japan is 
starting to go out and leave its 
own mark on other countries 
(through foreign -Investment). 
* lack even the barest know- 

Father Robert Ballon 

ledge of- knowing what the 
consequences will be; for 
example we have no informa- 
tion even on how Japan 
managed its investments in 

Fr. Ballon admits he has 
come a long way from being a 
Christian missionary, but says 
that what he does today makes 
sense in terms of the division of 
labour. “ St. Thomas Aquinas 
said that you can’t preach virtue 
lo an empty stomach." His 
work is a contribution towards 
filling the stomach — so that 
others can preach the virtue. 


As you might know. 

Tokai Bank is one of the 
leading banks in the world 
with over 15,000 employees 
and ZOO offices established 
l in Japan itself. S 

It probably doesn't surprise 
you we re modem, 
progressive , and one of 
the first banks in the world 
to utilize on-line 
computerization in our 
S .banking operatiom. / 


What may 
surprise you 
is our commitment 
to international 


/ At present we have over 
20 offices and affiliates 
around the world, and we just 
opened in Toronto. And 
recently opened 
v in Hong Kong. / 

Currently were serving 
the world through loans. 
And also tending 
something as valuable 
as money. Financial 
advice gained through 
ouer 100 years 
of banking 

/ So don ’t just 

think of us as 
a Japanese Bank. 
Think of us as a 
bank that serves 
Japan and 
the world. / 

U.J fj r*Mi mm I 

* 1 



Hnd Office: 21-24, Nishiki 3-chome, Naka-ku, Nagoya. Tel.: 052-211-1111 Overseas Network: (Branches & Agencies) New York, Los Angeles, London, 
Frankfurt; (Representative Offices] Toronto. Mexico City. 55o Paulo. Paris, Tehran. Sydney. Singapore & Jakarta; (Subsidiaries) Tokai 8ank ol California, 
TokafrBank Nederland N.V., Tokai Asie~ Limited: (Affiliates & Associates) London. Paris, Bangkok, Hong Kong & Sydney 

• I _ 

Are Your Sales Doing 

Well in Japan? 

We know you reactions to this question are mixed. But it is a matter of 
fact. Japanese manufacturers have been exploiting this powerful 
consumer market for several decades now. On ihe contrary, world- 
wide brands, no matter how famous they're overseas, do not offer any 
guarantee of instant sales in Japan. 

Our wholy-owned advertising research institute has been for years 
now polling the entire consumer market of this affluent land to find 
out what Japanese and foreign brands are popular/y known and selling 
in Japan. A 1976 poll among 2.000 random selected consumers 
revealed several impressive cases of successful penetration, where, of 
course, the right advertising planning and effort has been done. 

in the automobile market. Jaguars were well known by 69.9% of the 
polled consumers compared with Japan's Toyota Carolla 91.4%. in 
whiskies Cutty Sark was popular among 66.9%. Upton tea 96.6% and 
Burberry men's coats by 77.9%. In luxury goods, finally, Rolex 
watches clinched 67.9% and Dupont's ST lighters 49.2%. 

We, at Japan's prime economic advertising medium, definitely think 
that advertising is a vital part of sales promotion activities of foreign 
products entering this market. Nihon Keizai Shim bun's 1.7 million 
dailv readers throughout the country are also selected business leaders 
each one In his domain, and our specialised publications penetrate 
deep in the complex distribution and manufacturing setup of the 

country. • 

We have served as a launching pad for several overseas governments, 
service ^^mifecuaing companies v^a^gettiJ^inic^gar^.and-v^ i * 

carried jo ell the vital economic centres of ^ie country, and our 

V, T • .-V-* i _• ■ 

. -LI— v !- J *- w--.-- i-- - - - 


.■J *5 V-J". 


Passenger Car 

Wrist Watt* 

Tea Begs 

Toyota Carolla 91.4 

jaguar 69.9 

Seiko 98.9 

Rolex 67.9 

Nitto 97.9 

Llpton 96.6 

1 Whisky 

Men’s Coats 

Gw Lighter 

| SuntoryOld 94.4 

Sanyo 80.6 

Maruman 93.1 

j Qjrty Sark68^ 

Burberry 77.9 

ST Dupont 49.2 


Name of mediu m \ Circulation j ^ Rea dership 
The Nihon Keizai Shim bun 1 733,095* f Top management 

(Nikkei Economic Daily) I 

The Nikkei Sangyo Shimbun 157.034 j Executive level 
(Nikkei Industrial Dally) 1 

The Nikkei Ryutsu Shimbun 227.924 1 Top reiser 
(Nikkai Marketing Journal, S/Vifl ! i 

The Japan Economic Journal ] 33.918 in 

fL " J 4Pan's Total Economic Information System 

mV) The Nihon Keizai Shimbun, inc. 

1-9-5 Otemacri. Cfeyoda-ku, Tokjro 10ft Japan 

Td : 03-270-0251 Cable: IflHONKBZAI TOKYO Tela*: NIKKEI J22308, 124798 

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Td : -01-385 7723/4/5/6/7/8 

33,918 international 
('May ’78. ABC Japan) 

• To seta cample copy e* Nihon Keizai Shimbun, 

. > oleasa f)|| -, n T hrS coupon and 6end it to 
i Marketing Dept-. The Nihon Kaizai Shimbun, 

I Ine. 1-9-5, Otemecni, Chtyoda-ku. Tokyo 100 

1 NAME — - 





Financial Times Monday .Tuly 17 1P7S 

japan XX 

Herman Kahn 

-YOU CANT tell Japan 10 
"row,” says Herman Kahn. “ It's 
like telling a bear to dance.” 
Yet Mr. Kahn, perhaps the 
futurologist best-known to 
educated Japanese, is doing 
just that — telling attentive 
Japanese including Prime 
Minister TaJceo Fukuda) that 

Japan can and should grow at 
a fast dip. “In a few years 
Japan will pass the U.S. in GNP 
per capita,” the stocky head of 
the Hudson Institute maintains, 
“and the Soviet Union in to 
total GNP. rt's a policy issue 
how soon that happens." 

Not known tor modest expec- 
tations of the Japanese 
economy. Mr. Kahn is preparing 
his latest opus on the subject, 
for publication this autumn. 
The book on Japan's future is 
provisionally subtitled “ The 
Success and Failure of Eco- 
nomic Success." In it Mr. Kahn 
will set up several versions of 
Japan's future and (try to) 
shoot the slow-growth ones 
down. He will make the case, 
instead, for a massive dose of 
fiscal stimulus in the framework 
nf a fourth comprehensive 
national plan (what he calls 
“yonzenso” in Japanese). 


It’s aim ? “ To let Japan catch 
up in ten years ” to the quality 
oF life in most Western 
countries, he says. It would 
call, Mr. Kahn says, for a 
revision of Japan's economic 
.structure with an initial catch- 
up phase of perhaps 15 per 
cent GNP growth the first year, 
declining to an average of 9 per 
cent to 10 per cent growth per 
year for the first five years, and 
trailing into stable growth of 
between 5 per cent and 7 per 
cent for a decade or so. Can it 
he done ? 

Mr. Kahn and his colleagues 
at Hudson Institute seem con- 
vinced of if. The real constraints 
on growth, as they see it. are 
institutional and political ones. 
- I’m afraid this generation of 
leaders is too satisfied to do 
what needs to be done,” Mr. 
Kahn says. Ironically the Hud- 
son prescription for stimulating 
growth is to “ revitalise ” the 
Tanaka plan, an ambitious pro- 
posal put forward in the early 
1970s by the former Prime 
Minister, Mr. Kakuei Tanaka, 
for “ remodelling " the Japanese 
archipelago. The focal point of 
that (admittedly sketchy) blue- 
print was decentralisation and 
the improvement (to Western 
levels) of housing, infrastruc- 
ture. social services, etc. The 
plan was floated not long before 
ihe oil crisis and few have 
sought to resurrect it since. 

Mr. Kahn is quit* to admit 
that his prescription for Japan- 
ese growth aims at creating a 
situation where a self-fulfilling 
prophecy actually works. The 
" yonzenso " plan, like Mr. 
Tanaka's model, would be com- 
prehensive and massive effort 
to develop Japan’s infrastruc- 
ture. In his manuscript Mr. 
Kahn suggests that the plan 
would be organised “such that 
most businessmen would think 
their current excess capacity 
would he rapidly put to use, 
and thus he profitable and for 
that reason an inducement to 
build even more modern 

Mr. Kahn insists that a 
“ yonzenso " plan must be made 
a “ national purpose ” if it is 
to work by removing barriers 
to mammoth programmes in the 
housing, mad. power and trans- 
port sectors. - Unlike a con- 
tinued export drive which buys 
time in the short run without 
providing much prospect of 
changes in Japan’s industrial 
structure over the medium 
term, the idea behind “yon- 
zenso ” is to buy time and 
flexibility in a way that 
encourages basic structural 
changes to be made.” Under 
the plan. Japan would, Mr. 
Kahn notes. " be able to use up 
much of its current excessive 
capacity constructively and in 
the near future.” 

At any- rate the futurologist 
warns against “ normal " fiscal 
and monetary measures to 
stimulate the economy which he 
considers to be “ largely self- 
defeating prophecies.” In his 
book and in a recent interview. 
Mr. Kahn suggests that there 
is nothing to be solved from 
this commonly accepted view 
of Japan's future — that is, a 
- husiness-as-usual " Japan of 
stagnant (Mr. Kahn says 3-5 
per cent) or even stable (5-7 
per cent) growth. If so, Japan's 
critical' problem of excess 
capacity would probably persist, 
more or less unused, for five 
years or longer. 

The Hudson Institute founder 
reckons Japan can easily afford 
a programme of the proportions 
ihe recommends. With per capita 
GNP of nearly $8,000 and a cur- 
rent total GNP of about S900bn. 
“ financing growth is not the 
problem: even increased savings 
are not necessary." He reckons 
that a ?1.000bn programme of 
infrastructure investment couia 
be financed with only marginal 
upward adjustments in tax dur- 
ing the take-off period and 
would tick over despite reduc- 
tions later in the plan. 

The real constraint. Mr. Kahn 

Tadao Aoi 

Mr. Herman Kahn 

complains, is the timidity of 
Japan’s headers and bureaucrats. 
“ You have got to make it a 
national purpose because you 
are asking people to give up 
their ancestral plots.” the 
futurologist elaborates. “ I 
think Fukuda would like to do 
something 'hike this, hut he is 
too low-key. To push this 
through successfully. Japan 
needs strong leadership. " Mr. 
Tanaka, perhaps? 


TEE MOTTO of Mr. Tadao Aoi, 
president of Marui Company, 
Japan's leading and fastest 
growing credit chain store, is 
hara hnchibunme (literally 
“keep your stomach SO per 
cent full"). In a slightly looser 
translation, what the motto 
means is *' Let's not be ln<> 
greedy.” Mr. Aoi applies it to 
the business strategy his com- 
pany expects to follow in the 
1980s when he believes con- 
sumer spending will grow more 
slowly in Japan than in ihe 
hectic '60s and early ‘70s. 

Marui could hardly be 
accused of having been content 
with an 80 per cent, full 
stomach during the high growth 
period. In 1955 when Mr. Aoi 
Joined the company which his 
father had founded in 1931 its 
annual turnover was only Yl.-bn 
(about. £ZJ2tp. at the exchange 
rate of those d&ys). Last year 
turnover, through a vastly larger 
number of stores, was YIS6.5Sbn 
(about £478ra. * at today's 
exchange rate). Turnover at a 
single Marui store today is over 
four times the turnover of the 
whole group in the. mid-fifties 

According to Mr. Aoi any 
company could have matched 
this rate of growth during the 
1960s it it had been willing to 
borrow the necessary funds 

from a bank. What has not 
proved so easy I and this is 
where the 80 per cent full 
stomach comes into the picture) 
has been adjusting to the de- 
mands of a low-growth economy. 
Mr. Aoi is frankly proud of his 
achievement in this respect, 
having managed to reduce 
Marui’s debt burden by half in 
one year from YaObn to Y258bn. 
He is also not adverse to point- 
ing out that foreign investors 
have shown their appreciation 
of his management by acquiring 
20 per cent of Marui’s stock. 

When Mr. Aoi Sr. pioneered 
credit retailing— with the main 
stress on furniture and cloth- 
ing — before World War II, 
Japanese consumers felt strong 
inhibitions about buying on the 
never-never. However, thanks to 
American influence after the 
war the negative image of 
credit buying has faded gradu- 
ally. People born after the war 
seem less inhibited about it 
than their elders, with the re- 
sult that the under-30s account 
for 80 per cent of Marui's 
customers and the under-20s for 
60 per cent. Mr. Aoi says he is 
grateful to the “dokiufein 
kfsofeu n (Japanese for “bache- 
lor aristocrats") who throng 
his stores at Sbinjuku, Shibuya 
and Ikebukuro. However, he no 

longer feels the need l** court 
them as energetically as m the 
past. Two weeks ago the com- 
pany ceased aiming its TV 
advertising campaigns explicitly 
at voung customers and directed 
them instead towards the older 
generation where it is felt that 
sales potential still lies 


In spite of the way it has 
developed in Ihe past 15 years 
credit retailing in Japan is 10 
years behind the U.S., says Mr. 
Aoi. Its ** catch-up “ potential, 
however, is high. In the 19S0$ 
credit re tai ling will cover 
almost the entire range of re- 
tail distribution and " no busi- 
ness without credit ” will be the 
order of the day. 

Mr. Aoi thinks the emer- 
gence of new credit retailers 
is good for Marui but is con- 
fident that as one of the first 
in the field his company will 
retain a lead in terms of ex- 
perience. One of Marui's spe- 
cial strengths is its com- 
puterised creditability checking 
system which levelled up its 
payment collecting racing to 
99.7 per cent (one of the 
highest in the world). Asked 
how this rate nf collection is 

Hisao Kanamori 

“ MR. FUKUDA wants people 
to work hard and spend less 
. . . I can’t understand his 
economics.” So says Hisao 
Kanamori. president of Japan 
Economic Research Centre, the 
independent agency which made 
a name for itself in Japan's 
old high economic growth days 
by predicting a higher growth 
rate than anyone else ) and 
usually being right about it). 

Mr. Kanamori’s point about 
today's economic situation is 
that the economy needs a 
powerful stimulus to restore it 
to somewhere near normal 
operating levels, but Mr. 
Fukuda seems unwilling to give 
it. He advocates a massive tax 
cut of the order of Y2,000bn to 
supplement the effects of the 
big public works spending pro- 
gramme on which the Govern- 
ment is now engaged. Hs dis- 
agrees with Fukuda that people 
would simply save the addi- 
tional money they would 
receive through a tax cut 

The current consumption rate 
li.e.. the preceotage of earned 
income which is being spent) 

is 75 per cent, he say*. h ut 
the marginal rate nf spending 
would be much higher than 
this. In other words The tax 
cut would stimulate demand 
and this would help put life 
back into the economy. 

Asked whether energy short- 
ages or the weight of unused 
capacity represent the main 
potential restraints on Japan's 
economic growth over the next 
years. Mr. Kanamori replies: 
“Neither.” The only serious 
limiting factor, as be sees it. 
is the Ministry of Finance be- 
cause it declines to accept an 
increase in the size of the 
budget deficit which" would be 
required to finance a tax cut. 
He says that the ratio of bor- 
rowed funds to total spending 
could be allowed to rise to 40 
per cent without any very dire 
consequences. (It is expected 
to be around 37 per cent in 
fiscal year 1978 but until the 
end of l 2 st year the Finance 
Ministry was swearing that the 
line must be held at 30 per 

There would be a problem* of 

surplus money supply if the 
Finance Ministry increased the 
issue of government bonds to 
cover this deficit but only if 
the Government snick to the 
present system of a tightly 
regulated money market in 
which interest rates are fixed 
by “ guidance "" from the Bank 
of Japan. If interest rates were 
liberalised and the bond mar- 
ket was widened to encourage 
the entry of private investors 
the additional issue of govern- 
ment bonds could be absorbed. 
Mr. Kanamori argues. 


He claims that stimulating 
demand in the current under- 
used state of Japanese indus- 
trial capacity would be safe 
enough so far as inflation is 
•concerned. " Inflation in Japan 
belongs to the cost-push 
variety.” says Mr. Kanamori. 
“ Cost pressures are very 
moderate at present mainly be- 
cause of the moderation shown 
by unions in the last few 
rounds of wage settlements." 

Mr. Kanamori admits that 

there is probably no top 
member of the Government 
who agrees with him on the 
need for a tax cuL ** Kotnolo 
(the Minister of International 
Trade and Industry) seems to 
want more public works spend- 
ing. I like that too but 1 think 
it is not enough on its own." 
Mr. Miyazawa, the Director- 
General of the Economic Plan- 
ning Agency •* understands 
everything that is happening, 
hut perhaps he is loo intelligent 
to be a politician.” Asked about 
Mr. Masayoshi Ohira. the sec- 
retary general of the Liberal 
Democratic Party and a 
possible future Prime Minister, 
he says: “ I prefer Fukuda. I 
disagree with him but at least 
his ideas are dear." He rates 
his own influence on policy 
making by the present Govern- 
ment as “ small but not 

Mr. Kanaraori's view on the 
medium - term outlook for 
Japan's economy is consistent 
with his short-term view. There 
will be no energy shortage over 
the next seven or eight years. 

attainable. Mr. Aui says the 
computer system works well but 
fundamentally it is "because 
the Japanese are honest." 

-Mr. Aoi takes a negative view 
of the growth of another type 
of retailing outlet— the non- 
credit chain store. Superstore 
chains, he says. srB behaving 
as if the high-growth era were 
still in existence, using huge 
amounts of capital to expand 
their floor space. This will 
merely result, he warns, in too 
heavy a reliance on bank 
borrowing (and on overseas 
capital issues), which in turn 
will lead to management prob- 

Hie average debt-equity ratio 
of superstores today is 64 per 
cent, he points out, while (hat 
of Marui is 26 per cent. In 
the 19S0*5 Mr. Aoi believes, 
Japan’s traditional department 
stores, recently somewhat over- 
shadowed by the growth of 
supermarkets, will come back 
into their own (hanks to luw 
debt burdens and experience. 
Superstores on the other hand 
wHl find themselves in a period 
of consolidation after the high 
growth of the ’70s. 

Mr. Aui hits one more hope 
for the '80s— that Japanese 

he reckons — indeed there will 
probahly be a surplus. The 
economy can grow at 7 per cent 
per year (real terms) if the 
Government is prepared to give 
it the necessary prodding, but 
there will hi* some painful 
adjustments in the “structurally 
recessed" industries which have 
been nude uncompetitive by 
tfib recent appreciation of the 

Mr. Kanamori says the new 
law under which the Ministry 
of International Trade and 
Industry is hoping to master- 
mind the scrapping of capacity 
in industries such as alu mini um 
open hearth steel and chemical 
fertilisers won’t work, but 
economic laws will work to cut 
these industries down to size. 
“They’ll find they have to cut 
back sooner or later-— if they 
don’t they’ll go bankrupt." 

Mr. Kanamori says Japan’s 
big balance of payment surplus 
will cease to be a problem after 
a year or two “ but I don’t agree 
with the American view that we 
need a current deficit or a zero 
balance. We have to invest 
abroad as part of the restruct- 
ing of onr economy. To pay for 
that we need a moderate cur- 

Mr. Tadao Aoi 

shoppers will become dis- 
criminating instead of “ impul- 
sively " buying imported goods 
on the strength of brand 
names as they do today, becom- 
ing more discriminating does 
not of course mean buying less. 
Marui is proud tu claim the 
highest turnover in European 
famous brand names of any 
Japanese retail group. It expecis 
to do even more in the SO's to 
help Japanese buyers know and 
understand foreign products 


Mr. Hisao Kanamori 

rent account surplus.” He says 
the yen will appreciate steadily 
through the '80s. pushing Japan 
into more sophisticated produc- 
tion sectors like industrial plant. 
On Europe he says: " I am not 
optimistic. With the exception 
of West Germany those coun- 
tries are too conservative— they 
don't seem to like adventures." 


Most of the 114 million 
people in Japan have 
something from Europe. 


Most Japanese have something from 
Europe: a bottle of Chanel, a Dupont lighter, 
Scotch whisky in the cupboard, sunglasses 
by Dior, suits by Burberry's, or skis by 

Europe means romance to the man in the 
streets of Japan. And something from 
Europe brings that feeling a little closer for 

That is why Mitsui has been so successful 
in importing European goods. But it seems 
only to have whetted the appetites of 
Japanese consumers. 

They want more goods from Europe. ' 

And Mitsui wants to give them more. 

This year, imports from Europe will grow 
more than 35 percent, just as they grew 
18.6 percent last year. More people drink 
J & B Scotch whisky — imported by Mitsui. 
Bisquit cognac sales are up. The same is 
true with King Oscar sardines, Martini &■ 
Rossi vermouth, Lipton tea, Dofo cheeses, 
and a host of other Mitsui-imported brands. 

If there is no proper route for selling a 
product Mitsui thinks will do well, a special 
one is made. As, for instance, with Ikea 
furniture from Sweden. Mitsui pioneered 
the idea of a furniture supermarket just to 
sell Ikea products. 

British Leyland also is familiar with the 

organizational ability of Mitsui. Leyland 
Japan, a joint venture between British 
Leyland and Mitsui, has driven right into 
the Japanese market with Jaguars, TR7s 
and MGBs. The Leyland Japan showroom 
in downtown metropolitan T okyo always 
draws a crowd of shoppers. 

Mitsui brings European fashions to Japan 
with Valentino, and seven-coiour offset 
printing presses by Nebiolo. 

You see, European products are very 
much a part of everyday life in Japan, ' 
adding a distinctive flavour to the Japanese 

If you have a product you think is right 
for Japan, call Mitsui — specialists in 
importing from Europe. 

> Contact your nearest Mitsvs office: 

dbiMITSU! & CO., LTD. ^ 

1 . O Wn aai i 1 -chon*. OnyoCa-ifu, Tokyo. Jjpjn 
4* Dept- PR. C.P.O. Ban 82Z, Tokyo Caw e MITSUI TOKYO TcMi. JZK?3 



<*o«' t. Co. Ewnr Ltd 

T«rw« Cowl. 1 1. Iw-n SlMrt. kauan 
T«i 01-6G0-177I. Trtr, 883531 

Western Europe 
London 01-600-1777 
‘Dublin 01-7751 79 
‘Athens 3502425, 3619733 
Bergen 05-216680 

Stockholm (08) 2346-70 
Helsinki 629584, 629586 
Duseeldorf 87981 
Hamburg 24 84 9 J 
Munich 397021 
•Vienna 57-464)1, 57-71-26 

Brussels 511-91-20/9 
Amsterdam 244236/S 
Paris 723-78-71 
Milan 780251 
Lisbon 656101/5 
Madrid ID 455-1500 

Valencia (96) 154-6200 
Barcelona (93) 218-3141 
Eastern Europe 
' Benin 2071896,2071149 
-Warsaw 29-32-11 
‘Prague 25 6992 

'Bucharest 143783 
‘Sofia 88-34-19 
‘Belgrade 646426 
•Moscow 203-1502 

‘Algiers 63-38-76/7 

'CasaUunca 25-7 7-7 8 
‘Lagos 24192 
‘Lusaka 742220 
* Kinw 3562 
•Nairobi 247320 

■Representative Office 

Financial Times Monday July 17 1978 


ice to Dutch 


iftlch broke rorowtS* *5* ^ renph Baders as Micheliii. creation of both the ambitious change- However, not all its spring. Now, that figure looks the private investor in Europe, this scared a^ay some 20 mar- 

«i ground in Europe by launching snpmi»h«r w r;^ v* er Peugeot and Pechiney could £3m Amsterdam-based EOE ambitious original plans have unlikely to be achieved so soon, public participation (dealing by Ket makers. 

I weir traded share notions chanr* t T \ , Tbe “ ccome subject of option and the more modest-sized been realised and the EOE is but senior people in and around personal and institutional Another important deterrent 

«change, the European Options mnw 1 a<J > % j ' or '.,? £ trac ^ mg in Amsterdam by £200,000 London traded options now reluctant to name target The exchange hope that, with operators, as distinct from the to market makers — many of 
- Exchange (EOE) extensive * i* v 6 v f es * 1 1 c>ctober lf certain complexities venture on the floor of the dates for achieving a particular the various measures planned to market's professionals! has whom were anyway very busy 

■ »ans are being laid to broaden which invp^r? aro™ if 1 ^ be sorted out with S* 0 ®* Exchange, it is too early level of turnover or number of boost business, activity will been around « per cent of the in Chicago when’ U.S. markets 

/ They should be of consider- °l ** more «> m P leic and risky Priate arrangements were to be as a single venture, but and both traders and the The exchange’s managers pean basis and deals are being “chicken and egg" situation of 

fable interest to the Citv of “f* 0311 trading. And while made. British problems over cost and managing board are optimistic have recently been developing done for Swiss and German too little business, too few mar- 

iLondon. where the - Stock feeling may not be very A publicity campaign, and a the regulation of an enterprise about tne future. — and converting the super- accounts. ket makers, shrinking' business 

Exchanges own smaller traded rationaJ - the fact remains that helping hand for the formation outside the Stock Exchange led Meanwhile, seminars for visory committee to — a surer etc. Meanwhile, two Dutch 

share options market less than took tbe Chica ^° Board of a financing company which to the split Into two markets, market experts have been held feel for the stocks which will Rriticli inin in banks. Pierson Hcldring Pierson 

three weeks v oun£er than the 0ptions Exchange, the pioneer W0llld back market makers— of one Dutch and one British, with in Amsterdam and more are give a good options turnover. DIIUMI JU11I 111 and Nederland Midderastands- 

Amsterdam-baWri rcnw ^ of sh * re options trading, four The listing of KLM. the Dutch British interest has been Ban * (NMB) are at present 

considering adding to its own years after i4 started "" "" airline has been the success limited by the rival market in effectively acting as market 

ten basic shares for option P* 11 ° pt4o “ s . ta J 197 ? J be *? re 11 f 10 ™ EOE. KLM was London and the need to clarify makers, enlarging tlie capacity 

trading. These include Shell S“ eh S hnut ® d p “ 4 ? ea J 1 , °« ,n Thp FlirnnPJm Ontinnc pY^TionfYP in Amcfprrlam introduced shortly before it ^ exact position of British of the market. 

Transport, British Petroleum * 9 “' Since t ^ en * embargo x ilC J-/UI UpCd-Il wpLlOIlb Jj/ACil3.Il§“ ill ziJIlSlClLlaJlI announced its first dividend brokers tradin'* in Amsterdam 0ne nie thod by which the 

and Imperial Chemical i!? ip ° sed by and . for seven years and turnover in But now tha “ it has been E0E h °P es t0 break vicious 

Industries Exchange Commission on any hQC cyrjt nTT tn a cl AW <staT*t FYtPriCIVP T>iaTK Qrp nnw il r °se to 3X01511,3 400-500 con- established that th P overseas circ,e of scarcit>- of market 

The present strategies for development of options trading. lld:> 5' J >- Oil lO d MOW Mail. XlXICllSlVC piallS alC IlOW trIrt5 , dly . The .wme S£S pr41 S Tot “« business * by en- 

gradual expansion in both the P endin S the completion of the » - ■* . j , - - - t j* ^ t often tops the list of most- b p reauired on nnrtnn deals in coura & ,Q S the setting up of a 

London and Amsterdam Options <>™mssion*s scrutiny^ of U.S. DCing laid tO brOaddl the appeal Of the IieW market traded options, though the ^Xes and *£5 fin3nc ! n « company - perhaps 

markets show that sponsors of sbare options markets, has effec- ^zr exchange has recently inter- wi i } not neBd , ijnence Wlth investing institutions and 

these new lively hampered the growth of vened to curb trading in wealthy individuals as share- 

been too discJureged iy P*t dealing in the U.S. " 1 — certain options related to KLM some ho,ders ~ *« b «* market 

slow start to business arid the The Dut ch are, however, not w y. nn , f . _ a > t , . . . .. _ prices well above the market siorfohmkinnr firm’s aro makers - The ldea 1S to channel 

fact that the m a n in tha et™» troubled by the US situation whom ihen ls at P resent a London’s firmly under the con- planned in other European £ ric _ ^ ^ interest ^ check . H K . stockibrokmg firms are venture capital, of which there 
and worrying scarcity on the Amster- trol of the Stock Exchange. cities. In the opinion of some if.h? 552. ^rung the EOE. The exchange is toou&txo be plenty avail- 

ig upera- 
ild lie no 

French shares 

- (h nfParori Kv un uic irum duumi oroKing mrus u.o. aecunues ana rjccnangc 

Phrase borrowed from Genera • ° '' “» "««« onJ r »«>■ ™ arc now •»*"* considered. Commission. This would allow 

. -V. - 

thmnrii wH* ™ k T7» ii managing board, describes, in a Daily turnover on the EOE from British broking firms U.S. Securities and Exchange 

JS Sh $le French shares ^ borrowed from c*** SJ^SSSi SSLXS; ave :_ a ir s onJy some , 7( ? SSI arc now being considered. Commission. This would all ow 

'•khares ar a fSfd nHrp rTviT! * ^ * Gaulle, as "tous azimuts," ™ tcb g 500 « mtracts a da >* “d the t0 br . oad !“ fro ® , tbe btue So far the lack of a sufficient traders to match deals on the 

liifuturp oirinit Cd P ° » A nptb ®f pr ° ie 2 t? . S e expansion all round. visitor t0 1116 marke t 50 the con- eh,p * rDcks ^ . bs,ed . '? number of market makers to Amsterdam and U.S. exchanges 

1 A nut is the reveree of thP ? 1V11 1? prionty with the planned new develop- of its snace for ootinn trading verted 0001 ^change off Dam Severally considered a refresh- maintain continuous bid and and enable EOE options lo'be 

L£ .uSLSEEJLfo S! ?n \V^Z £0 L°JTl^ S> £ S**™*n* s a tranquil scene, fI _ tl , offer prices in the options has sold to the American public. 

option trading square finds a tranquil scene. in ^ s4 ® n ‘ 

"Hi-iHover a future time. Development stocks IGI BP and GEC, are options exchange. The com- the two centres. 

. — - .. . .. nuu cos. uu u a Mi cuATich Huiiii wxucu *iiu tuii s openui 0 and eXDlamed Nnvemhpr u-tipn nlnrt« Tn 

"\2ZtLt t e ^ derLy . ms share , supply of prices). • ^ University, Rotterdam. according to Dr. Bert Scholten, might be reached at the end of In spite of fears that the that Amsterdam was no tax launch put trading should he 

^markets are themselves rather It is widely thought that such Only three months after the managing director of the ex- the first year's operations next option idea would not appeal to paradise, one reaction was that complete. 

■A &h 

Letters to the Editor 

PAVominn ally — if properly re-orientated. It Organisation of Petroleum top managers cannot work with 

VXU T CUUllg is with this in mind that I have Exporting Countries, West Ger- graduates who criticise their old- 

framed my detailed recommen- man and Japanese trade sur- fashioned methods. I believe 

T nnrimt dations— for example, for a con- pluses. The rest of the world, these managers lack imagination, 

iJViiuuii tTact wit | 1 Britj s i, Rail for the with the exception of Switzerland technical understanding and do 

From Sir Frank Marshall provision of suburban services and a few minor trading coun- not really find out what the 

Sir —I was ' disaonointed that which would enable the GLC to tries, has been running trade customer wants. 

.vouTjeadine artiJle (Julv 6) implement a common fares deficits. A. A. Gambajn. 

failed lo "ri the fundamental structure, through-booking facili- Whereas foreign currency bor- 58, Church Mead. 
concent hehSd mv reSort to ties and a greater measure of rowing, to -meet these deficits, is Keymer. Hassocks. 

SEW London SunSf SmS integrated timetabliog.. I do not West Sussex 

the future -ihaDe of London P rt5 Pose that in this area the iron out temporary trading diffi- 

Wttnnurat LondDn GLC should take on powers that culties. it is now evident after A naol Hnnrlc fnr 

■ V#ii accuse me of living in the d0 not ah-eady exist, .but that four years, that many more /\Ug61 DODaS iOL 

nasfi and refer disDaracKiclv to P° ints of responsibility should be countries want to increase . - 

bS-s? ” 4 teW SP KnS S Broadway risk 

Angel bonds for 
Broadway risk 


Two-day Western economic 
summit ends, Bonn. 

Labour Party home policy com- 
mittee meets to clear up out- 
standing business before summer 
recess, including proposals for 
Civil Service reform. 

Fire Brigades' Union one-day 
conference on pay, Blackpool. 

Railway Staff National Tribunal 
resumes hearing of ASLEF pay 
claim. London. 

Conservative Party conference 
on Inner Cities, Swan Hotel, 
Yardley, Birmingham. Speakers 
include Mr. William Whitelaw, 
deputy leader of the party, Mr. 
Michael Heseltine. its spokesman 
on the environment, and Mr. 

Today’s Events 

David Mitchell, chairman. Con- 
servative Small Business Bureau. 

Sir Peter Vanneck. Lord Mayor 
of London, receives Parlia- 
mentary delegation from Japan 
at Mansion House. E.C.4. 

Festival of the City of London 
opens (until July 28). 
House of Commons: Scotland 
Bill, consideration of Lords 

House of Lords: Debates on 
EEC sheepmeat regime; and on 
British aerospace policy. 
Cyclical indicators for UK 

economy (June i . Retail sales 

(June, provisional). 

M&ntague L. Meyer ‘(full year). 
Rank Organisation (half-year). 

See Week's Financial Diary on 
Page 3. 

Prince ol Wales attends open- 
ing performance of “ Yeomen 
of the Guard” in the moat of 
the Tower of London, at S.15 pm. 

Julian Bream (lute and guitar) 
performs music by Byrd.Alolinaro. 

Paganini, and Albentz, Stationers' 
Hall. E.C.4. at 7.30 pm. 

Exhibition of historical rings. 
Goldsmiths' Hall, Foster Lane, 
E.C2 (until July 28). 

World Wildlife/Kodak photo- 
graphic exhibition depicting the 
Fund's work in Britain and 
abroad, Kodak Gallery. High. 
Holborn, W.C.l (until August 4). 

Cricket: Prudential Trophy, 
England v New Zealand. Old 
Trafford. Equestrian: Royal Inter- 
national Horse Show opens, Empire 
Pool. Wembley (until July 22). 
Golf: Welsh amateur champion- 
ship. Caernarvon, Tennis: Great 
Britain v Israel. Bournemouth. 

7 ^ 


the: GLC reaches beyond mere 

an uu- a uiiiui iiiia luiiii-ii > i m., 11 

alto implies the Interaction and » ! L2P* *«n hal1, ; 
correlation of policies and the „ PT 

rfc\>nciiiaiion nr desired ubjec- County Hull. SEJ. 
ties with available resources. ww-ii 

Tie control and allocation of fi 111 S1I1PP Hill 
fesources, primarily of finance. A iu “ utc 
would be the tool by which stra- pffppfc 

fcjtles were implemented. oiUC ClifTLla 

; I would strongly dispute your Frmn fiie 7^ chairman 

quately understood. It causes t0 any risk investor.' □ot least 
MiX" 1 probab '’ , Samuel 0 f a y herause the net rate of 
Brlttan rays, as faster rates infiatiou is still travelling at a 

22L KSS^S 1 e f u ‘ P-owth rate of 7 per cent per 

Bp f rn^ aiinum - Wost risk investors de- 
of outstanding sterling trade S j re t0 see capital profits because 
concessions made even after a 30 per cent tax 
available by U.K exporters to penalty the net returns over a 
their overseas customers. I have ten-year period can be enormous 

BLtBFSS tJE&toffuZSr*" 

riew that London does not need Instil1ite of Credit Management unwittingly lost £2bn this way Broadway risk theory as 

jtra logic metropolitan govern- str.-The suggestion made by between 1 1974 and 1977. It under- propose d SJw* ; 0 favoS7tS 
nom— indeed, my studies con- Mr H owson (July 11 1 that the mines the willingness of over- An ge! Corporation rather than 
stantly brought home to me how pnjV isions of clause 10 of the sdas investors to participate in tS Anael t SndbSder Tinee thl 
oven major metropolitan capital g iaance Biu are sjmilar t0 the financing UK public sector bor- oSt of fire which ^ h£ 
of the world has found a strong old purchase tax rules for bad rowing needs. On this point an enormous su ce S win SkJ 
authority of this sort to be indis- de bt relief is not in my view OPEC has the largest supplies raphSl no?SSome 

pensiahle. . . correct. Purchase tax bad debt of investinent funds these days. a55un ji n i» that the corporation ih’ 

My belief is that the problems relief was always stated to be May I describe a personal vests equity a nd* not debt the 
facing London are far too impor- a c . onces sion, not a right, whereas experience which could be of ne w biulnw U the corooration 
tant in bo left to a ‘technical cl ausc 10 provides for VAT relief general importance? Last autumn J^e ty ^est debt then tS 
body reporting to repre^eniatives Q inso i V ency, but defines that J minted a food processing fac- interest chJSid on the loan 
of the boroughs:' What is at lnsolven cy to certain clases on ly toty . in Copenhagen where a STprobahTv be so high i m 
slake is the prosperity of the As the elause stands at thd sophisticated machine, built jSHbil the ‘ MOnllw entiw 
whole city and the quality or life raomen t. in order to qualify for wing British patents, had just avaUin- hhnSff of tE 

of .-ill iis inhabitants: the stra- bad debt rel ;ef the company been purchased from West Ger- ?,-««*.. au “ nimSelf 01 
tcuies to promote them should be be compulsory or volun- 1 was told that this Tb 'nronosal that the new 

the direct responsibility of an tary uq U i da tion or the individual machine could have been bought business should hav e a ten-viT 
authority elected by and for or part nersbip must have been 20 per cent cheaper here but UK ti hofidav ^s nire hu/ ^sl^ 
all Londoners and accountable a( Uudicated bankrupt. delivery dates in the 1974-i6 i^ es n t i!f- Vean” f^eerinL 7 

to them. . . . . TTtS mSns that it will be in Period had been unreliable The SSirStoBTS^MSTStaSSS 

.-Vs regards the distribution of the creditors' interest to petition director told me “in this busi- oUwr 25 m S-roSS? 

powers belween levels of govern- toe Coart for lhe compulsory ness we have earned the addi- ^ o^er mxes income. 

ment. iny roncoro has not been winding np of companies where Uonal 20 per cent while we ^aice etc ’ 1? thS 

i«> Justify an artificial body inter- a receiver may be endeavouring waited for UK suppliers.’ For- S "' renal bus ne? nSSJ 
l»wed between Whitehall and t0 Ponliniie lhe business in tiie timately. with fewer strikes in JJ? e dom from all fheseJLmoS£ 
the boroughs but to Clarify the interest of the creditors and for the JJK this criticism is less gUy i^Emded levdS 
appropriate areas of response moratoria a „d informal schemes Jmportalt today My point 3 SfoSmi betiveen T new and 
biliiy fur sen-ices and functions. of composition to be looked upon though that reliable delivery Ji 0*55 mwSffiv 
Mv argument :s not that the GLC leBS favourably by rreditrs since date s are worth more than a *“ 0ld JJ^ tabl ? 

as ;r resou rre-al locating stratesjc no bad debt relief will He avail- JO per cent sterling devaluation v^ASa 

authority would "stand up for abIe . similarly bankrupicy will to many overseas customers. gfoS “SrMraHmf SSiW 

London against centra govern- be preferred to a deed or arrange- GHorsnail even thtamr If 

mrnt " but that property-defined mfl nt 25. Worship Street. EC2. ; ven • ms year if all ta^es were 

i, in “folder Ha. mlief ahnnid , , , , trom 115 sl:0Tlli “ “» 

tin’s best pusiUon to plan, lacni- ^, e granted on all types of debts |vY9n$l0Prc ISIPK Adrian hrav 

r:.u- and provide for the broad which prove t0 be uncollectable mdOdglfra IdLJk WhnbledaTL 

range of services which have to due t o the inability of the --- '™ bledon - 

be organised on a local basis, debtors to pay, in the same way ifflaliina.t!OIl rj-i 

When resources are short , as as taxation. All debts to include j, M I SXCS Oil 

they are now. it is critically im- formal Informal Insolvency. 

n.irtanl that the use made of F on naI insolvency to be defined wino 

them matches real local needs as: compulsory liquidations, ere- E 0 ^°5. T ,“J II ?jl l, Sf indwtrv 

as sensitively and responsively as di tors' voluntary liquidations, ® From Mr. H. t 

Taxes on 

tain area : w such that a piece deeds of arrangements and deeds j n y£ l0 (j nfe the against the British wine drinker 

While Uifre “'iXSSlvency^ldaUo . end "SfttTSfi 11111 cheaper 

ngisi mmm « 

should be based on a sense _of se q U estyatlon because there are MrTwalkw'fJuI?^) Saps Cheap^?' Bunmn 
parinership bc !^ e '' f n ^ p'j.pnti^ n ?„Sf* e S»l??J? ere ^ dBblors with tongue in cheek, seemed to «»**» retail, about two-thirds of 

of ‘te.? ^o^eontributS p GranvTll? Wtite. be that student s enter lb | P rire 4 m a British shop. 

■r'h SS 1 . 1 nm\tiherlo cxisfod in fwSfflSw 6, polytechnics and Universities for But raise the wine content to 

This has not hitherto existed in njWe Ffoee. an eJuIer Ufe ^ going mt {Q jgop ^ b^ause of the fixed 

the nee ds of C ^ work after O and A levels. One element in the excise duty per 

ifld func- -rw 1 a* of daughters, like Mr. g a »°n. combined with the pro- 

individual wmett jnd i ^ IjPVHlUatlOIl Walker’s daughter, is awaiting portion ate VAT levy, and the 

^V" 15 ’ n , ol „l“ i v f lla i division of ^ her A level results. Whether she cheapest price abroad rises to 

.idimmstrntivel) ne ■ ti/yI" WAfthwhllP has any future in engineering Close on SO per cent of the 

powers which would nol rock the JJQr WOriflWnilC depends on hPr ma ^ s ^ British price, 
boat, but with a view l Econo7nic Adviser Physics results: it also depends .Treble the actual value of the 

,«= .ro J c 'and resp»n«b ities. n on whether industry really wants wine to, say, £2^0 and the 

\ k sir —The CBI survey of busi- women graduate engineers. British retail price becomes £3.30 

has led t«> current difficult i - e vievvs { j u iy 13) We bear so modi these days or so. At this level French. 

Tlu> itirarJftirp favouring a 10 per cent sterling about. boards of directors com- Belgian. German, Dutch and 

incomprnhnnsibje and, therefore, f ng a * p exports and prised of City men (no women!) Italian prices are all at £3 or 
larks accountability and _re e- aevaiuaupn w ^ d enrtn-rs. scientisTs nr thereabouts — a 10 ner rent 

individual services and tunc- T^pvaTlintinn 
tiunn. not iu order lo seek 1 /cVhIUhuUu 

DO t worthwhile 

E&£tmSSMnSS% From He Brownie 

Hambros 1978 

Mr. Jocelyn Hambro, mjg, reports to shareholders. 

The year under review, for much lhe greater part of 
the Group’s activities, has been one of profitable 
growth. However; as is well known, the shipping 
industry continues to experience extremely 
depressed conditions and the consequences of these 
difficulties continue to affect us. 

Results and shipping 
Operating profits for the year from merchant 
banking are at levels lower than last year — a 
disclosed operating result of £4,994,000 against 
£5,456,000. Investinent gains qnri extraordinary 
itenis have, however, increased the total disclosed 
profit to £8,864,000, which covers the maximum, 
permitted dividends 4.3 times. 

lhe period covered by lhe present arrangements 
with the Norwegian Guarantee Institute ends in 
December 1979/March 1980, subject to interim 
review. The Institute is now reviewing its existing 
commitments and is seeking to agree arrangements 
which would prolong this period. These 
negotiations, in which we are co-operating together 
with the other m^jor creditors of the relevant 
companies, have not been concluded. Accordingly; 
in the financial year upon which we are reporting, 
we have made major provisions against the 
relevant debts. These provisions we consider to be 
realistic in all the circumstances, and at 
present-day shipping values. 

Growth and achievement 

In other respects our merchant banking business 

has had a highly successful year in that: 

^ Acceptances have continued to grow. 

• We are net providers to the inter-bank 

• We have increased our activity in specialist 
project finance. 

• Our Channel Islands’ banks recorded further 
growth in business and profits. 

• Gnr leasing business has passed the figure of 
£150 million asse ts under ™ nagprnpq t. 

^ The international banking division, which is 
primarily involved in the euro-currency 
syndicated loan and underwriting business, has 
maintained a leading position in. themarket. 

® lhe corporate finance division has made a 
substantial contribution. 

® Our offices in New York, Hong Kong, Sydney 
and several European cities have strongly 
supported both our international issue business 
and corporate finnnn> activities. 

© Funds under management by the investment 
division exceeded £1 billion. 

® Qur diamond broking and trading b usines s 
produced their best results to date. 







4.691, OX 
118,435, OX 

1,251, OX 

967,740, OX 
225,952, OX 
1.233, OX 


fl. 3 13,360,000 


175 .197.000 


10,6 19, OX 

9.088, OX 
504,122, OX 





59/427, OX 








2,585, OX 


8,04 1.0X 

2, 063, OX 


Consolidated HnanciafStatement at 31st March 1978 

Share capital and reseives 
Minority interest 
Loan capital 

Current deposit and other 

. Acceptances -for customers 
Proposed dividends 

Btfervceswth barters and 
money at call 

Bank certificatesjof deposit 
and bills discounted 
Term loans to banks and 
local authorities 
Dealing securities * 

Trading stocks 

Advances and othertaccounts 




Profit for the year fiom 
options, after tax 
investment gams and ; 
extraordinary items 
Profit after investment gains 
and extraordinary keens: 

Our two principal associated companies, 
Berkeley Hambro Property Company Limited and 
Hambro Life Assurance Limited, both increased 
their contribution to our earnings. 

New and developing* business . . 

We have continued toidevelop new activities, many 
of them overseas, to the benefit of future years. 

© We have established ourselves in Australia, as 
Hambro Austr alia Limi ted. 

• Hambro Pacific in Hong Kong has exceeded 
expectations, both in performance and results. 

• We have opened a Representative office for 
Canada located in Toronto and joined the 
Can a d ian Imperial Bank of Commerce in 
forming a United Kin gdom company, CIBC 
limited, to cany on international investment 

• Our New York office lias introduced a 
considerable amount of banking and corporate 
finance business during the yean 

Our association with the Prudential 

Insurance Company of America 

remains of great value. . NgSSip 

• We have extended our European 

department and strengthened our ■ 
involvement with the EEC countries © © (§ 
as well as maintaining our >^N. 

long-standing association, with 

» r vul, o sav per cent below potential for the engineering firms are not plonk at £1.80. 

ineffective. Tbat is not \0 sa , p ran ^ meaBtired by interested in microprocessors. As Barvcj* R. Cole. 

a " reaT deal— andteOTB CBOnwSic* unspent and aeeiunmulatmg a former scientist myself X know 9, ClifloA Hoad, Winchester. 


^STiancial Times Monday Huly 17 19 ' 5 

NE ws »—• ««? 


Ropner expects better year 

PROSPECTS FOR the dripping 
division of Rupners Holdings ore 
better for the current year and 
a significant contribution is 
expected from the property side. 
Overall, directors will be dis- 
appointed if results do not exceed 
the depressed £2J7m pre-tax level 
achieved in the year to March 31. 
3P7S. Mr. \V. G. David Ropner. the 
chairman, says in his annual 

The shipping contribution last 
vear was down from £Q.44m to 
£0.29m and Mr. Ropner says there 
has recently been a more active 
interest in chartering medium 
she bulk carriers, although this 
has extended only to short 
voyages and early positions. 

Despite the anticipation of 
better figures this year the chair- 

man *»js tte shipping market 
cannot in the short term be 
looked a* with any great 
confidence. Although the group's 
ships on long-term charter are 
producing a reasonable return on 
investment there will need ro be 
a sustained improvement in the 
demand for tannage if earnings 
are tn reach or exceed the level 
achieved m some Dr the group's 
better years. 

The engineering division should 
continue in the current year to 
make a substantial contribution 
to profits. 

Income has continued to 
increase at its insurance broker- 
age operation, but London office 
cn>ts and general expenses are 
also increasing and will have a 

considerable effect on profits this 
year. . 

In the current year sales; on the 
property side have already been 
achieved which have allowed 
borrowings to be substantially 
reduced and have produced profits 
which will more than absorb the 
year’s interest charges and 
expenses. Further sales are being 
negotiated and a significant con- 
tribution for the year is 
anticipated. . . 

Mr Ropner points out- that uie 
group has now almost exhausted 
its free depreciation allowances, 
so that tax will become payable 
on future group profits at 52 per 
cent, plus payments each yearof 
tax which has been deferred. The 
deferred liability is ISm- 

The group's cash position is, 
however, strong, he says. 

Ernest Jones enters 
with £1.7m issue 

Leslie & Godwin stresses merger benefits 

The 12.1m merger of Frank B. 
Hall, the third largest quoted 
U.S. insurance broker, with 
Lloyds broker Leslie and Godwin 
will extend the international 
coverage of both companies and 
improve rheir competitive 
positions. This is the main reason 
advanced for the merger in the 
offer document dispatched bv 
Frank B. Hall over the weekend 
tn Leslie and Godwin share- 

The dneument also reveals that 
Leslie was prompted by this con- 
sideration when it decided to 
enrer into exploratory discussions 
with senior management or 
Frank B. Hall. “Your Eor-rrl and 
the management of Frank B. H?!l 
formed rhe view that cnn*MeraMp 
mutual benefits could arise from 
a close association of ihe two 
companies given Frank R. Hall s 
particular strength in the US. 
your own company's lons- 
eernlvlished business in the 
I nndon insurance markets and 
rhe full range of services which 
the two companies together could 
provide world-wide.” savs Leslie s 
chairman, Mr. Jacob Rothschild, 
in his teller recommending 
acceptance of the 125p cash offer 
for each ordinary share of Leslie. 

If the merger was not to 
proceed, adds Mr. Rothschild, the 
croun would take a lot longer to 
achieve an acceptable rate of 

board meetings 

The fnUO’VjnK companies have notified 
dates nf Board meetings 10 rhe Studs 
Exchange. Such meetings are usually 
held for ih- purposes of considering 
dividends, mficisd indications are rot 
a railable wti'-liHT dividends concerned 
arr wn-roni or finals and tin- suli-di visions 
shewn bfinv ire based mainly un last 


Interims: ..Mi Mil. SIjIim Hisi-ounr. 

Finnls: A.'K-nhaw. ?loniagUi L. Meyer. 
Alfred Pri'.-dj-. Rank Organism ion. Roihs- 
child liiVi-simi-m Tnisi S mid U Stores. 


Interims — 

Ad . i im and '".ihiion 
Hank Lrunii iCKii .. 

Hlrw and M.-Himsnn 

Jamesons Uhncolales 

Finals — 

Atlnniie A*'!* TnW 
Rrt|i:i».«u T.-r'Jh- Printers 

tf-alg Shipping 

Kantian!) indiisirics 

Jahnsnn-Ridiards Tiles' .... 


Nnva i Jerseyi Knit 

A tig. "• 
lulv 19 
.inly in 
July 24 

July 20 

AUK. 2 
July 24 
.iul>- m 
July is 
July 24 
July 20 

To satisfy Lloyd's ruling about 
outside insurance ownership of 
Lloyd's brokers an undertaking 
has been- given by Frank B. Hall 
that the Lloyd's broking and 
Lloyd's underwriting activities of 
Leslie will all be held by an 
existing wholly owned subsidiary, 
Leslie and Godwin International, 
LG I. Some 73 per pent of the 
share cupltal oT LGI is to be 
transferred to interests accept- 

able to the Committee of Lloyd's 
□ot later than December 3L 1978. 

*' In this connection, the Com- 
mittee of Lloyd's has confirmed 
that Rothschild Investment Trust 
on whose Board Mr. L. S. Wigdor," 
a deputy chairman of Leslie and 
Godwin, “serves as a non-executive 
director and I serve as chairman 
and of which we arc both share- 
holders would be an acceptable 
transferee." Also Rothschild In- 
vestment Trust has indicated to 
Frank B. Hall its willingness to 
enter into discuss jons with a view 
to acquiring an interest in LGI. 
•• on an arm's-length basis," says 
Mr. Rothschild. 

The 200.000 management shares 
nr op each in Leslie and Godwin 
(held by trustees under a trust 
established in 1063 for the execu- 
tive directors and other em- 
ployees) will continue to be held 
by the trustees under the 
reorganisation. They give the 
trustees the right, on a poll, to 
exercise 25' per cent or the votes 
capable of being cast in a general 

The trustees consider the 
Frank B. Hall proposals to be in 
the interests of employees 
generally and so have supported 

Meanwhile Rothschild Invest- 
ment Trust has accepted the 
ordinary offer in respect of its 
holding of 10.5 per cent of the 
ordinary shares. 

LATEST IN the recent strut? ® r 
new issues comes multiple retailer 
Ernest Jones (Jewellers) ""’V 1 an 
offer for sale of l.5m ordinary 
lOp shares priced at iI5p each 
raising £L73m. 

A this level Ernest Jones is 
coming to the market on a pros- 
pective p/e of just under 10 and 
a yield of over 7 per cent. 

The offer amounts to 30 per 
cent of the capital with 
shares being new ones sold tor 
the benefit of the company, which 
after expenses will raise around 
£300,900, and L05m shares being 
sold by the controlling Weinstein 
family who established the 
business in 1949. 

The company is one of tne 
larger retail jewellers in the UK 
and last week it opened its 
fortieth shop. It was not until 
the beginning of the Sixties that 
the company opened its ,irst 
branch outside central London. 

Jones concentrates on o fairly 
up-market trade for a multiple 
and its range of stock covers 
diamond jewellery, p“* er 
jewellery and watebes and clocks. 
Sales of other “gift" items — 
such as compacts — are very 
limited and account for lt - s> than 
3 per cent of turnover. 

Physical expansion ha« been 
significant over the past five .-ears 
with the number of shops in i* 4 '- 
amounting to just 23.. In addition 
to the one opened last week 
another two are due to come on 
stream before the end «r the 
vear and there are a further eight 
’in various stages of negotiation. _ 

The company believes that it 
could add 20 branches to its exist* 

ins central structure, yet the 
directors emphasise that they are 
not going all out for physical 
expansion, but rather they con- 
centrate on selected sites. New 
shop* are always profitable within 
the first year of trading. 

Profits over the last five years 
ending September 1977 have 
expanded from £203.000 to SSI 1.000 
on a rise in turnover from 
to £5m. The growth was inter- 
rupted in 1976 when, in common 
with the whole trade. -Tones was 
hit by the imposition of 2.) per 
cent VAT in May. i*;»- **■«* 
Tasted almost a year. Also proms 
were affected by increased over 
heads resulting from the move to 
Shifra House and new branen 

openings. . . 

The company is experiencing 
further growth in sales volume 
from existing branches and for 
the vear ending September 30 
1978 the directors are forecasting 
sales £lm higher at £6m and pre- 
tax profits nearly 50 pec cem 11 p 
at £1.2m. This implies an increase 
in net margins from lfl.l per cent 
to 20 per cent. The gross margin 
is close to 60 per cent- 

On the basis of the issue price 
nf lion per share the fully taxed 
prospective p r e is 9.06 nnri the 
vield is 7.14 per cent. Eiinunes 
per share, fully Taxed, are ll.*2n 
though these rise tn ISn assuming 
a 25 per cent tax charge which is 
the more likely figure to lie paid. 

The application list opens next 
Thursdav and dealinss are expec- 
ted to start the following Tuesday 

Hill Samuel and stockbrokers 
Fielding Nev sun -Smith are hand 
ling the is»sue. 

the DECISION by Wadilington 
last week to move into television 
-ames indicates a growing belief 
that this type of electronic enter- 
tainment is no flash in the pan, 
but the beginning of a lars®- 
important market 
Waddington has bought Video- 
master from the Receiver for 
about £700.000, and expects to 
spend some ffim to consolidate 
the company's position. In one 
sense electronic entertainment is 
comolementary to Waddinctons 
more traditional board games, out 
as Mr. Victor Watson. W adding- 
ton's chairman, says: '■'The money 
silent on ail types of childrens 
presents comes out of the same 

Video master is on Interesting 
acquisition, because it is the only 
UK company to have designed 
and at one stage, manufactured 
its own product. 

Vinten up 66% to £1.2m 

This advertisement is issued in compliance with the requirements of the Council of 
The Stock Exchange. It is not an invitation to subscribe for or purchase any securities. 


incorporated under the Companies Acts 1948 to 1976, No. 1367044 






9 per cent. Cumulative Presence shares of £1 each 
Ordinary shares of 25p each 

Issued and 
fully paid 





All the issued'share capital of Marchwiel Limited has been admitted oy tne Council of 
The Stock Exchange to the Official List 

Particulars relatinq to Marchwiel limited are available in the Extel Statistical Services 
anrt rnnips of these oarticulars may be obtained during usual business hours 
(Saturdays and public holidays excepted) between 17th July and 31st July, 1978, both 
dates inclusive, from: 

Hill Samuel 4 Co. Limited, 

100 Wood Street, 

London EC2P 2AJ. 

Cazenove & Co., 

12 Tokenhouse Yard, 
London EC2R 7AN. 

17th July. 1978 

PRE-TAX profits of ’Vinten Group 
expanded by 66 per cent from 
£0.69 m to £1.15m for the March 
31, 197S, year on •"turnover of 
£4.48 ra, against £3. 83m. 

Earnings per 20p share are 
shown as 13.18p <8.41p) and the 
dividend is 1.54p tin* the year with 
a second interim payment of l-04p 
net, payable on September I Also 
proposed is a one-for-two si rip 
issue to increase the issued and 
paid-up share capital to £l.C2m. 

Commenting on the results. Mr. 
Michael Brown, the chairman, says 
that results were achieved by ihe 
»roup maintaining growth in its 
two principal activities or aerial 
reconnaissance camera systems 
and television systems. 

This is direcUy attributable to 
practical product development, he 

adds, and successful setting 
overseas markets. 

A higher proportion of sales of 
group equipment, coupled with 
funding by customers of develop- 
ment projects and economies in 
administrative overhead expenses, 
w-ere all Factors which enabled 
Vinten to achieve a trading 
margin of 25.1 per cent. Mr. Brown 
explains. „ 

\V. Vinten i Middle East) 
achieved a profit in the first year 
or its operation: the purpose or 
this company is to provide a sales 
and service base in Cyprus /or the 
increasing business in Africa and 
the Middle East and he says there 
are Indications that it has polen 
tial for steady expansion. 

■■ The present Indications are 
that the prospects for 197R-79 for 
nur two principal activities look 

Playing for TV game stakes 


m port ant assets 

Now Videomaster imports Us 
games alone with its competitors, 
but it retains a design capability 
of Us own. which may be an 
important asset in a market which 
is certain to continue to change 
at a rapid rate. A majority of 
games comes from the Far East, 
where they are assembled from 
U S. electronic components. Tele- 
vision games have enjoyed a 
phenomenal growth in the last 
three years to reach sates 
estimated to be about £24m this 
year. This growth is likely to 
continue because of the wide 
range of possibilities offered by 
the micro-computers now being 
harnessed in the service of leisure. 

So far most of the games sold 
in the UK are of a relatively 
simple type which may look as 
obsolete as valve radio sets m a 
few years' time. These simple 
games including perhaps six 
different programmes are based 
nn what the industry calls a 
‘dedicated drip." 

This is a tiny slice oF silicon 
less than the size of a tea leaf 
on which a micro -electronic 
circuit has been etched. These 
dedicated chips are similar in 
construction to those at the neart 
of a calculator or an electronic 
watch. Many brands of TV game 
use the same type of chip, most 
commonly produced by one of 
the major U.S. semiconductor 
companies like National Semi- 
conductor or General Instruments. 

.Vs the volume or sales builds up 
prices for these games based on 
dedicated chips have fallen 
dramatically. The simplest black 
ami white ball games, which were 
retailing for £30 to £40 two years 
ago will be sold this Christmas for 
as tittle as £11. 

Meanwhile more complex games 
offering colour, car racing and 
aerial doc-fights have been coming 
on to the market at the higher 
price range between £20 and £40 

c I he cost of micro* 
or more. *» , . a f 4 .,]iinu all the Un*. 


M calculators a 

few years ac p - 



microcomputer w hich could 

2E§Sr of a washing machine. 

Micro-computers can, therefore, 
be programmed for 
ible variety of games., limited on y 

SHARES. 19 1 1 
(units In thousands) 

Binatonc ’-S' 1 

Optimisation -70 
A dam 

Imports JS» 

YldeomusLcr !*»» (+S« exports) 
Others 1WI 

Sourer: Judusiry «uuiafe. 

beginning to realist- that mien- 
computer units could m uve into 
a completely new market far 
home education and eventually be 
adapted lor genuine home com- 

The next generation of trie- 
vision games will probably hare 
plu-s able to accept extra units 
like keyboards and rape recorder* 
which would enable people tn 
their TV sets for conipli- 
cared word games or mathematical 
and linguistic exercises, depend- 
ing on iho programs available. 

Mr Chris Rycroft, joint 
managing director of Allan 
Imports says: -The games aspect 

of these micro-computer units « 
only the tip or the iceberg, but 
the main problem is to get con- 
sumers to accept home enmputen 
as a familiar idea. 

Ml is rather like trying to 
introduce the idea of jet planes 
to someone who is only ranunar 
with the horse and curt. He 
would probably sag that jots are 
not necessary and certainly not 
for him. 

“However, people are rapidly 
becoming familiar with the idea 
nf TV games and qiiito sophisti- 
cated about the Facilities offered 
bv different products. Gradually 
thw will become used to the 
pitiMibililics of micro-computer 
—uiil's So. when we introduce 
keyboards ami educational pro- 
-rams they will say: ‘Why didn’t 
yon think of that before 7 

by the ingenuity of manufacturers 
and their ability to invest in new 
plug-in programs 
The leading micro-computer 
games unit is made by tairchild 
and marketed in the UK by Adam 
Imports under the brand name 
Grandstand. Customers will be 
able to choose between 17 dif- 
ferent cartridges tat £20 each) 
which plug into the machine to 
provide the programming for up 
to four different games on each 
cartridge. . 

Although the price is nit her 
high at present, it is likely that 
micro-computer games will come 
down to about 140 to £60 quite 
quickly. The possibilities par- 
ticularly interest Waddington- 
because the micro-computer can 
bo programmed for games which 
require mental skills rather than 
just physical dexterity. Micro- 
computer games could, therefore, 
have the same appeal as the board 
games which the company sells 
at present. Furthermore, micro 
computer games are less vulner- 
able to Far Eastern competition, 
because they require a library of 
programs, which are expensive to 
develop. , 

The games industry is also 

Home computers 

Mi- Rvcroft thinks it will take 
nlM.ut three years for television 
•-ames lo start evolving into 
■Mineral pun*oM? home computers, 
perhaps with fairly simple and 
limited programs at first. 

Bv that time the fully _ lied cod 
home computers now being sold 
at about £700 will have come 
dtuvn in price tn meet the up- 
market TV game somewhere in 
the £1«| lo £300 range Interest- 
ingly. the PET home computer 
sold hv Commodore is based on 
:i micro-computer which is not 
dissimilar to the basic component 
of Fairchild's TV games unit 

The TET computer can, indeed. 
,,lav games, although at £700. It 
is aimed at the professional and 
hobhyist market rather than the 
mass consumer. 

The connection between luunc 
computers and TV games has also 
been grasped by ITT which has 
recently introduced an American- 
designed micro-computer, which 
w ill plug into a domestic tele- 
vision set. 

It is more than probable, there- 
fore. that the futuristic idea of 
a “ computer in every home" writ 
becomu n reality more quickly 
than most people realise, 
especially if the marketing men 
can change the slogan into ‘‘an 
intelligent game for every TV. 

Blackwood Hodge Limited 

- . . i . T- , JV-. 

(registered in England No. 2S4361) 

Proposed Rights Issue of 
12,020,734 Ordinary shares of 25p each 
at 50p per share 

A circular letter, incorporating- a notice of an R\-traojdiiMy General hteetiog of ^the 
Company to be held on 2nd August, 1978, was despatched to Ordinary Shareholders 

on 14 th July, 197 s * 

Holders of the new Ordinarv Shares in the Company issued under the terms of the 
capitalisation issue in May 197 S are entided to participate in the proposed 
Rights Issue. 

Any Shareholder who wishes to obtain a copy of the circular letter dated 14th July, 
197S should apply to : 

Clydesdale Ban k Lim ited, 

New Issue Department, 

30 Lombard Street, London EC3V 9BB 
<TcL No. ol-6264545) 


Morgan Grenfell & Co. Limited, 
New Issue Department, 

4 Throgmorton Avenue, London EC2P 2NB 
(TeL No. 0 1-588 4545 Ext. 2297) 

17th July, 1978 

Halls Homes FT Share 






. tluils Homes and Gardens, a 
subsidiary of Pcntos. has acquired 
the Guernsey Glasshouses range 
of domestic greenhouses together 
with its UK sales and distribution 
company. Aluminium Sectional 

Halls will handle all UK and 
export sales inquiries for the , 
Guernsey domestic range. The 
Guernsey range will he manu- 
factured at Halls' Paddock Wood 

Directors say the acquisition of 
this upmarket range will give 
Halls added strength in offering 
the specialist garden retailer and 
gardening- enthusiast a complete 
range of growing equipment. Last 
month Halls announced the 
acquisition of the Shilton ,and 
Autogrow product ranges aimed 
at the same market. 

The following securiiie.s have 
been added to the Share Informa- 
tion Service appearing in the 
Financial Times: 

C'rellon Holdings lllpc Cunv. 
Prfd. 1979-83 (Section: Eleclxi- 

MacLellau (P. and W.) (Sec- 
tion: Industrials). 

r i 

! Y 

v -J s. i V-'rf" i* * 


Wilkinson Matcl 

Group Results for Year ended 31st March, 1978 

Pre-tax profits increased by 15.9% 

Earnings per share (basic) up by 13.2% 

A ■ aSS’.\ 

True Temper acquired giving stronger business in 
the USA and establishing partnership with 
Allegheny Ludlum. 

1978 1977 

£000's £000'S 
192,310 182.698 
17,5^7 15.289 












MVX-J ./A , . 4 





(before extraordinary items) 

EARNINGS PER SHARE (basic) 22,85p 20.1 8 p 
PROPOSED TOTAL DIVIDEND (net) 10.00p 8.31 p 

Wilkinson Match is an international company 
manufacturing and marketing consumer products 
and safety and protection equipment. 

13 Stanhope Gate, Park Lane, London W1Y 5LB 


■ j”.-'**.' ! xv, j ^CSSl7pf r i m W 




!■«* " ff . 


WY ' "CT ' • 

T't.f/- * 


: Saturn Investment 

; i.' '"Management Co. Ltd. 

. 20 C.\NNON ST R-L.LT EC4M 0XD 
Tc-lepfiune:0)-2?6 1-125 

Rates paid for W/E 16/7/78 


7 daf ■ 

% P-a- 

*3 PA 

















i w ^V.v^. . 

jhvwAA ^ (A 1 . ; sf * •% ■ 

„--w- i-v l v 
;■ V ■ -■■ " -*'v : ^ ^ • 

.'V ■ ■ 


The Directors today declared an interim dividend 
in respect of the financial period ending 4th 
November 1978 of payable on 5th September 
1978 to dividend shareholders registered at the 
close of business on 4th August. Capital shares 
will be allotted on 18th August to Capital share- 
holders and despatched on 8th September. 

-i-rt-Ml-X-- ••■XV"— 4 t. V, /■/* . . ■/ VV.yy ; 

jh.^i / ^/a' 





x:';: ' 


,. -.-.axCA ... 



rji - 


Bearer holders should lodge coupons 106 with 
Barclays Bank Limited (Securities Services 
Department). 54 Lombard Street, London 
EC3P 3AH. Dividend shareholders should lodge 
three clear days before 5th September for divi- 
dend. Capital shareholders should lodge (with 
allotment instructions) on or after 5th September 
for new Capital shares. 

J. A. BARNETT, Secretary. 
Tottenham N17. 14th July. 197S. 



(telephone number in 


gross Interest Minimum Life of 

Barnsley Metro. f0226 203232) 

Knowsley <05i 54SG555) 

Poole (02013 5151) 

Poole (02013 5151) 

Thurrock (0375 5122) 
Thurrock (0375 5122) 




































Deposits of £1.000-125.000 accepted for fixed terms MO 
years. Interest paid gross, half-yearly. Rales for deposits 
received not later than 21.7.7S. 

Terras (years) 3 4 5 6 7 S B 30 

Interest % 103 11 11; 11* 11* 12 121 12J 

Rates for larger amounts on request. Deposits to and further 
information from The Chief Cashier, Finance for Industry 
Limited. 91 Waterloo Rond, London SEl SXP (01-B28 7K& 
Est. 177). Cheques payable to "Bank of -England, a/c TrL. 
PIT Is the holding company for IGFC and FCl. - - 

C ■■ 

r t 

> r ' , i 

K* v 

ns ■ 

< ( > * Finaudai Times Monday My 17 1S78 

u % Pending dividends 

w ^ en some of the more important company dividend 
10 ** nest £ww5^ » given in the 
exropt^wh^ri rfe r ? ^° Wn are thow 05 la8t year ' s announcements, 
hav/lwpn 6 S,wh ' ort fe*?® 8 boarti meetings (indicated thus*”) 
dfJidPDdTtn hl j 1 ^ Wbhshed. It should be emphasised that the 
rates per not necessarily be at the amounts or 

voar-^p »Sm-** MWn Ji tJle column beaded “Announcement last 
' aOTouocements ^ Pr0flt fifiures ufiuany a«°nipany final dividend 

Data moat last 


July 2S FlBiIK 

Aaronaon Aug. 3 i«. 0.61 

Aug. 3 Final 1.IIIC 

A*™** 1 ** Jnlr IB Final ryssa 

AUjrighi mhJ 

Wllmwi .Aug. IS Tm, s 
Altaait London 

..... ? rop - jQlr 22 Final 4.5795 
Anglo American 

COrpn. Grp... July M Divs. duo 
Akkoc. Dairies... Aug. 25 Final 0.432S 

■SS 5 '* 10 

Ault and «-« 

WiborE ..Aug. 10 IBI. B.65 

Prods... Aug. 11 lot.l 
Barclays Bank.. July 27 lot 5.5 

Ribby * J. i Ang. 10 lot. 2.5 


Quaicasr. .July 19 InL 1.35 

Flue Circle Aug. 25 Int. 1.89 


«... '■•S'eUa-Aug. 10 1M. 0.53895 

** »y Offlns Ang. i im. 0.77 


Union.. Aug. 7 inL 2.364 

!? orail -Aug. 17 InL 0.8 

i.wn. di* G root.. Aug. 11 Final 1.173 

Davy mt. July 23 Final 6.B 

5? Be,,r SC<H W...AIK. 24 Ini 17J cbm* 
DlronB PTxmjq ...Ang, 3 Final 1 34 
•Dwty Grp. „... JnJy 19 Final 2 * 

■Filch Lovell July 27 Final 2 Jig 

Gen. Accident ..Aug. 10 int. 3.75 
■Cwucmer July 14 i«. 1.325 

Bros. Disc... -July » InL 5.8 

nlritwed Ang. 10 InL 2.45 

Linndlays July 27 lnt. 0.5 

Gt. Universal 

Store* .July 51 Final 4.155 
llambros Tsl ..July 21 Final 1.12 

Hoover Aug. 4 lm. s.fii 

Hse. of Fraser.. AUg. IB ini 1.68934 

Mom*.. -July is Final 0.47 
•Inrtcape July 27 FniaJ 5.4S 

Ogte mem last 

*la*emk JtilylB Jm. 1.37a 

James fJoJjn) .aw, 4 Final 1.4025 
•Johnson- Richards 

Tiles.. . July JB Final 3.89 
Loirtaet Int. ..AMt. X ' Final 2.011 

"Lloyds Bank July S, IQL 3.715 

Lonrbo AUg. 24 UJL 2J3 

"LRC luU. ........ July IB Final UTS 

■Magnet and 

Southerns.. July 18 Final 5 
Mercury Secs. -.July 21 Final 3.38M 

(Mom. L.).. July 27 Final 3.8*5 
■Midland Bank ..July 28 ML 5.75 
"NatWest Bank ...July 25 IK. 5.165 

"NcepscjKl July 14 Final 2.0977 


Man.. Aug. 36 lot. 0.312 
Occur Transpt...AaE.» IpL 3.&6Q7 

Frost!** -.JuJy28 lot. L75 

Prop. Securin’ . 

lav... Ang. 3 Final 1.4205 

Fse Bldgs Aug. 19 .ML 1.225 

■Rang Orgn. July 17 InL 2.115 

’Red! and -July 27 Pinal 2.042 

Rothschild Inv Inly IS Final 0^7 

Royal insur. ....Aug. 16 InL 8J12 

Serarimr ... Aug. 10 InL 62965 


Forbes.. Ang. 2S lot 3 S 
Smith and 

Neptww._&ug. 9 Int. B.7H 

•Stenhnnse July 30 Int 1-85 

SIX. Convention 

and inv... Aug. 2 Final 0.99 

Snnley <B.) Aug. 4 Final 1.295 

Taylor Wdnv. ..July 26 Int. 1 JH 
•Tlibe -bncstmts. &ug.U InL 9829 

'Untgaie July 23 Flflfll 1.8672 

"Union Discount.. July 19 Int.SJ 
Vaux Brews. -June 24 See. InL 6.03 
Wagon Finance.. Aug. la 1M-1-3 

Wmer IT. 1 An g. 6 int, 0.SB 


IF. WA. Aug. 17 IM. 3.255 



Profit rise for 
First Chicago 

IMI raises 
by 22% 
to L838bn 

One more hurdle for 
Australian uranium 

CHICAGO. July 18. iv juqoouh 
First Chicago Corporation, the operating income wag up “ signi- ' « nw ... 

holding company for lie First flcantJy." „„.. rc J ujy io. 

National Bank of Chicago, has For the hall-year, net income F£f? t Mai*ire?JT < ire 
reported an increase of 17.3 per rose 15.5 per cent, to 564.7m, or Jg“ to Kg I J al,a f° 
cent in net income for the second S1.63 a share, from SSBm. or ■JSg 1 U 2 1 £“ « 

quarter— in line with the better $L41 in the first six months of MiTocreSe of ” oer 

earnings trend among the major 1977. Operating earnings for th e UiSfen addtfin 

as. banks. Net profits were period were 564.4m, against “■ in 

533.3m, or 84 cents a share. S53.6ra. J .. A , 

against^ 528.4m. or 71 emits a The second quarter loan Ion -.J&^SpitS la LMObn from* 
share. In the same period Ia« provision was SMm, down S2-5m "“L, ^ annS^meeuS?. 

y following a year in which income 

Operating earning s. • also rose to ® 23 ' 6ra froxn earned fromi capital increased by 

533.3m, were up a little more + hnfr --- h 10.8- per cent, to LI1.98 trillion 

sharply, by 19.7 per cent, from SSK-S?** (million million), from LI3.5 

827.8m. The quarterly dividend J™ trillion. 

is raised to 27 i cents, from 25 i? TJiSS? *?STiSy M ^ The rise in reserves— which 

«nts. 31 u“ d 2g? ■A.SSiS indudes a- . retained profit or ; 

_ . . RenI estate investment trust j^Q^hn anot the addition of 

The nse in earnings is said by loans on a cash basis decreased £[3,1™ to . ,f U nds desisned to 
the corporation to result pri- to $169m from SI 85m at the end 

marily from an increase in net of the first quarter, and $279m JJserWS to ^Slbn. S 

interest income to 5127.3m, from at June 30, 1977. 

5115.4m. At the same time, other Agencies 

Gain at Kimberly-Clark 

-uwjgaiv JI arm rwax xjutu TSIT7T?NAR *ur: E Tnlv 1R QCIUUI 

-Union Discount.. July 19 1W.8J NEENAH, W1S., July lb. ^ 

SECOND quarter earnings of Net income for the six months AP-DJ 
wmS- s Kimberly-Clark Corporation, the was nearly $75m, equal to S3J3 

woohrorib pulp and paper concern, were a share against 569.3m or $2.97 jy~. 

if. w.L.Aug. 17 IW. U25 ahead of last year’s by a narrow a share in the 1977 period. JVC 

• Board meetings intimated, t Rirfus margin despite substantial start- In addition to the Terrace Bay „ 

issue since made, t Tix free, i Scrip up and operating problems at a problems a number of other TQ1 

issue since made from reserves. new Canadian nulo mill, accord- factors also adversfelv affected 

The *' of accumulated 

reserves is; of great importance 
at a moment when the crisis in 
whole sectors of the economy is 
beginning |fo be felt also by 
financing intTti tut ions, which are 
defaulting tniore often on loans," 
IMI said. : 

Kodak moves 
for retrial 


lip to S 

Over 5, up to 16 
Over 10, up to IS 
Over 15, up to 25 
Over 25 







Effective from July 8 
Quota loans repaid 
' at 







Moo-quota loans A* repaid 

r ElPt At ntunrityl 

121 12J m 

tar El Ft 

nice cape juiy z, FniaJ 5,45 iasue since made from reserves. new Canadian pulp mill, accord- factors also adversely affected r 

ing to Mr. Darwin E. Smith, the earnings in the June quarter. N3W YORK. July 16. 

tv if vv r | T - tv _ chairman. said Mr. Smith. EASTMAN .KODAK COMPANY 

ruDllC WftrK<5 I .nSITl KriSITn SaleB for the quarter increased However there was a gain in lawyers havtj moved for retrial 

cui MJUai U ldiva by 7 pg r cent to a ^oat the current quarter of some of the civil; anti-trust suit won 

® u - .. $460m with net income increasing $3.5m or 15 cents a share, by Berkey Photo, on the ground 

man* tepanr^ Hon-nuota bn a menu by joggly o per . cent to about derived from the sale of land that jury fiaidings which led to 

e CBrs ivEiPt At maturftyS by ElPt At munrtiyfi $37m or 51.60 a share. Net in- in Northern Michigan. the $8L4m Total damage award 

up to 5 ............ 114 11* 12J 12* 12* 12* come in the June quarter last If options to purchase other were * cont cary to the weight of 

« HI IS Hi 12* 131 year was 836-2m or Sl.55 a share properties of the company in the evidence." 

3 U? H* H* J3. J3r 13* on sales of $430. lm. that area are exercised prior to In papeis: filed with trial 

n«PT rtk “** *° 25 i?‘ i|, Hf HI - Ht Th® company had earlier dis- their expiration in 1980 and 1982 judge, Marvin E. Frankel, it was I 

* Noii^aiiota' inane r ■«««>. *>,»« closed operating diflSculties with additional earnings of S11.5m contended in a second argument 

q uota SnlTt Si to2£i££ ^priSSSl t RwSSitb? hS « power boUer 6 at the mill in and 814.5m respectively areanti- that. Kodak, had been "denied, 
yearly annuity (fixed equal half-yearly payments to pr&Spal Terrace Bay, Ontario. Smce then cipated m those years, said Mr. a fair end proper trial by jury." I 

and interest). 3 With half-yearly payments of interest only a senes of problems with compo- Smith. because of conversations Judge, 

— ... — .... . , a. nents have caused start-up and The pulp market which has Frankel heltjl with jurors outside j 

operating problems. been weak has shown some signs the present of counsel, and 1 

rrirr AVT17 CWITF tYmi¥rr s ° far this year the mill has of a firmer price trend. Dis- because of his dismissal of one 

XJCXf Ail" JIULA tL X l.H A I vXt Ej produced about 45,000 tons of counting is becoming a shade juror during deliberations. 

Prirea chance Prices chance P^P— »uch below the target less prevalent he explained with The juroi^ was discharged be- 

companr juij- is oaiba company July 13 onihe figure of 102,000 tons for the “ off-list deals" not “ as sweet” cause of personal problems. 

w«* _ - uo wm first six months. But Mr. Smith as was formerly the case. Kodak lawyers said that it was 

■rt wSsMee"™*” con, ss* +u added: “We think the problems By the beginning of the final done improperly because they 

Bank u-unii L>- Israel... sw +i investment cwnpuia ‘ are behind us now." quarter this year he said prices had no opportunity to be heard 

idb Bankhoiduu; ss4 ^ — so Bank Leonti investment ■; <53 ' — Mr. Smith did not forecast full may start to move higher. Re- in the matter. 

” + u year earnings but securities ferring to newsprint the chair- In its new motion papers. 

Bank Hopoaiitn Br. ... 438 + s ^Jawnttre ft «SS« 1420 ‘ + 39 analysts’ recent estimates have man said that supplies are Kodak requested that if it is 

union Bh. at Israel Br. 5S3 r — Ei« Br. ms + i« been in a range of $5.80 to $6.10 getting “ tight,” which— barring denied a ipiw trial, that the 

t *2 1 o- a s^fe. That would compare an economic decline, could indi- judgment bd amended to strike 

Riwrai Won. Bank Br «7 +33 AmcrinnwiPa per MDH S J « wi® $5.60 a share in' 1977. cate higher prices. Also point- out the damage award or reduce 

’■idahoi" Israel Mon. Assis ms +45.5 Reflecting sharply higher first ing in that direction have been it to the amount it was before 

. fla . n k - Bf .- • 610 + 5 — - . + J* quarter earnings net income for prospects for higher labour costs being treblied. Failing that, 

Africa israeTTiJect no 1 430 + -*o FoJ ami ail ” ™' S the 5,84 hal ^ Was U P nearly 6 in Canada nad the near-capacity Kodak is asking for rearguraent 

i*raoi Land Develop. Br. 2s».5 + ~i3A beiek an + is per cent on an 8 per cent gain operation of Canadian mills. to reduce -or dismiss certain 

Property and BuildtaK 3S3 + 4 Source: Bank Lmni M Uriel B.M. in sales to a record Of $940m. AP-DJ Berkey awsikls. AP-DJ 


Prices Chance 
July 13 on the 

Prices Chang e 
July 13 on the 

Banklnp. Insurmui 
■nd Finance 
Bank Lvunti Lc-lsracL.. 
IDB Bankhoiduu: 



PaMic Utility 

Israel Electric Corn. 




+ U 


+ 1 

Investment Cempanies 


- so 

Bank Leunri investment 

- <50 

Bank Hapoalltn Br. ... 
Union Bk. of Israel Br. 
L'nik-d Mizrachi Bonk... 
Hassnch insurance Br. 
neutral Mnn. Bank Br. 
’■Tclahat” Israel Mon. 

Bonk Br 

Load OevchpmoM 
.Africa Israel Invest £10 
Israel Land Develop. Br. 
’roperty and BuildtaK 

1 25 per cent "dal" Israel lnvesmuiL 
bonus shares) Commercial and Industrial 


+ 5 

Alliance tire ft Rubber 

1420 " 

+ 30 


Elco Br 


+ 10 


+ 13 

Argaman Textile Br.... 


+ 5 


+ 8 

“ ATA " Textile *■ B " 


+ 27 


+ 33 

Amcr-israel Paper Mills 


■f 6 



+ <5.5 


+ 5 



+ 10 

Teva Res. 


+ 23 


+ 20 

Fuel amt Oil 


+ 13.5 



+ 13 


+ 4 

Source: Bank Leumi M 




IT NOW looks as though only a 
a settlement of the wrangle over 
what rale of royalties should be 
paid to the Aborigine's stands in 
the way of a final go-ahead for 
Australia’s potential uranium pro- 
ducers in the Northern Territory. 

This may yet mean that the 
Peko-Wallsend and EZ Industries 
partnership’s Ranger project will 
get little actual construction work 
done in the current dry season in 
this tropical region and it seems 
as though Pan continental's 
Jabiluka will have to wait until 
the next “ big wet ” is over. 

Even so, Mr. Tony Grey, Pan- 
continentai’s chairman, is still 
going for a 1982 production start 
while Ranger expects to come on 
stream by 1981. The latter is even 
being allowed to negotiate new 
sales agreements. Pan continental 
is not yet entitled to do so. But 
Air. Grey is confident enough 
about marketing possibilities. 

He says that his company has 
received letters from over 30 
utilities throughout the world 
expressing interest in the pur- 
chase of Jabiluka uranium. 
Quantities sought are in excess of 

65.000 tonnes over the 10-year 
period 1981-1990. This amount, he 
emphasises, far exceeds the initial 
design capacity of the- plant. 

He admits, however, that 
uranium deposits are being un- 
covered in other countries around 
the world and are in the process 
of being developed, so “the 
longer we delay the greater the 
share of the market will be taken 
by these competitors.'* 

Mr. Grey puts Australia’s 
“ reasonably assured resources ’* 
plus “ estimated additional 
resources ” at approximately 

350.000 tonnes of contained 
uranium of which around 83 per 
cent Is in the Northern Territory. 
The total represents about 18 per 
cent of world resources in the 
" reasonably assured ” category. 

Moreover, it has been made 
plain recently that once the 
Australian Government takes the 
stopper out of the exploration 
bottle the NT deposits are 
expected to be greatly augmented 
In coming years. Ranger certain tly 
reckons that its measured and 
indicated reserves of over 100,000 
tonnes (sufficient for more than 
30 years’ production at the initial 
rate planned) -will be expanded 
once detailed work resumes in 
preparation for mining. 

Last week at the Uranium 
Institute meeting in London Mr. 
Barry Lloyd, Ranger’s marketing 
man-produced a table of estimates 
indicating that Australia could be 
producing 4,600 tonnes of uranium 
by 1982 rising to a peak 20.500 
tonnes by 1986 which would repre- 

sent some 20 per cent of a Western 
world capacity then put at 92,000 
tonnes a year. 

Developing such production is. 
of course, going to cost a lot of 
money. Mr. Grey puts the capital 
investment at approximately 
5L5bn (£913m>. Taking an aver- 
age price of US$40 a pound he 
estimates that the Australian 
uranium industry should be bring- 
ing in export revenue of Sl.abn 
by 1985. 

On the subject or trade union 
opposition Mr. Grey also seems 
to have few worries. Whereas 
not so long ago many of the 
unions were uttering dire threats 
jf mining were allowed to go 
ahead, “today no fewer than 13 
unions are vying with each other 
for the right to represent workers 
in the construction and opera- 
tion of the uranium deposits." 

And what about the Australian 
Labor Party’s threat to renege 
on uranium contracts if returned 
to power? Last week Mr. Bernard 
Fisk, genera] manager of uranium 
development for Peko-Wailsend, 
pointed out that the party's 
attempt to use uranium-mining as 
an election issue “failed miser- 

He sees deep divisions over the 
issue with last November’s 
national conference resolution a 
compromise in order to preserve 
the image of party unity. His 
view is that “ politicians in opposi- 
tion are notoriously prone in 
make irresponsible statements 
which are then conveniently 
ignored when power is gained." 
He thinks that tbe hard lessons of, 
1972-75 will not be forgotten when 
Labor next forms a government 

As for environmental opposi- 
tion. Mr. Fisk reckons that a 
determined policy of providing 
accurate, timely information to 
counter the half-truths and 
deliberate misinformation of some 
of the industry's opponents is 
gradually paying off, a policy that 
should be continued. 

And so we come to what looks 
to be the final hurdle, the 
Aboriginal question. From the 
share market viewpoint it is 
obviously going to be important 
as to what level of royalties will 
be decided upon, the 28 per cent 
(it was originally 36 per cent) 
demanded by the Northern Land 
Council, which represents the 
Aboriginal interests, or the 4 per 
cent currently offered by the 

Mr. Grey points out that even 
the 2i per cent to which the 
Aboriginals are basically entitled 
would mean payments of S25m 
(£i52m) a year based on expected 
revenues of Slbn. And, he adds, 
there are only 600 Aboriginals in 

the East Alligator region where 

the mines are situated. So the 
amount of money received would 
be “enormous under any reason- 
ably conceivable royalty .scenario." 

Thj Northern Territory, Mr. 
Fisk says, covers an area around 
30 per cent greater than the com- 
bined areas of France, Italy, the 
UK and West Germany and has a 
population of about J Oil, BOO nf 
whom 25 per cent are Aboriginal* 
whereas those countries have n 
total population well in excess of 

The sparsely inhabited nature 
of NT should thus in iLseif make 
the environmental problems less 
acute even allowing for the 
emotive political atmosphere that 
inevitably pervades any tiling 
related to the treatment of the 

All in all. in the word* of Mr. 
Grey, most of the obstacles that 
have frustrated development, of 
Australian uranium minimi arc 
now behind it. The share market 
is beginning to reflect this. In- 
deed it could be about to enter 
that euphoric period that often 
precedes development of major 
mines prior to the generally tin- 
inspiring period while they are 
being taken to production and 
the eventual acid test of initial 
earning powers, a lost that has 
brought many speculative dreams 
to n rude awakening. 

Much is naturally going to 
depend on the course of I he 
uranium price during the eighties. 
And on this score there was a 
distinct air nf caution at the 
Uranium lnstitule meeting wnh 
nobody wanting to stick his neck 
out. At least Mr. Lloyd said that 
Australia is concerned with long- 
term confidence and stability in 
the market and has nn wish tn 
disrupt it by short-term price- 
cutting. The current spot sale 
quotation is US$43.-U) a pound. 

Bldg. Society 

In the six months to June 30, 
1978, assets of the Coventry 
Economic Building Society 
increased to £227.5m. The increase 
of fl7m compares with a f 10.5m 
increase in the first half or 1977. 

Mongage advances nf £30m 
show an increase over the 1977 
figure of £I6m. Mortgage demand 
continues to be very buoyant and 
despite the large amount and 
number of advances made in the 
year to date, it continues to be 
difficult to meet all mortgage 
requirements. Mr. P. B. Forde, the 
general manager says. 



C u rrency , M oney a rid G (M Ma rkets 


?-_!*£«,! I9«S { 

;• • St< 

•H.v iEfc [*•? — 

l>: l K ! High 1 J.'w I 

75 i F.P. I 30.61 3D i tf> iBrauiaU It’. 
00 I K.H. I 5;7 i1l59 j 142 Bunubwin 


Interest rates and inflation 


F.P. . Z4<8. 91 
V.IV - l 3S 

Sb Huat.nj! 
S3 'xlukmua 



t London . short-term interest these figures it is not hard to see Within tha snake Germany has Morninu fixing tsns.M 

rates are now substantially above the reason. a bank ratel of 3 per cent, and U1 filInir IJHB-S 

the country’s annual rate of If conditions were more settled an inflation fcate of 2.7 per cent: ‘ icaa.MJ 

j inflation. Bank of England elsewhere the UK authorities Holland is f per cent and 3.5 UiM o.iw • 

looking per cent: Belgium 5.5 per cent Jwine-iiroHr 

G Mid Bullion (a SUf I 

iiunctf ; 

Cl.** *1884-18*1 iJIBB.lMU* 

- l.»|CniDg -SIBfijrtBB |*18B1*-1B7 

snake Germany has v*innn- fixing 1S1M.M ;*)M.70 

of 3 ner rant and 'lU.JSti ji£98-574) 

rtv Allvmuua fixing.... -S19S.O0 |*186JD 

ate of 2.7 per cent: <£ a8.M5> |<£B9.7a» 

~ l-S j = J \l Si! 

+VX && 1 i* [ F.l’. iMb 
L p - p - I 18 ' 1 

r *^ h/ i —'rib J i>Kn ■ooh 

■«* . i jHlflif JUw ! 

F.l’. ,'26/7 ■ Sup I HKf.Alluri Lrat tier 9£ Href.. 

Minimum Lending Rate remained would probably 

Costing disaster 


THE ROAD tanker disaster on major disaster, still may be the 
the Spanish coast at San Carlos concern only of the primary 

£50 23/9 

8 j 941: p| 92|4.llll<a! HiAallnn. 9i Prof 

ihmit-i 124 KtM. 1997 60lj -14 

is now under 7i per cent Where fotfowing heavy pressure from the cent against -xm inflation raie of uia : sM4-56i' 

else does a similar situation City, that MLR was pushed up to 8 2, per cent,, ... , «£2a-80i 

Certainly not in West double figures. 

. GoM Cnlll* ■ 

Among otlper major industrial unworn i..o*iiv • 



their general levels of motor their third-party liabilities only 
rates and when calculating in excess of £250,000 or £500,000 

U/BJ.ISS K.P'2B.'7 1 BtUn) Wur-erT* RwL FttA. 13BS BWl 

11 £25 -25.8 1 2Sl^j 2U e iKairriew 8«*. Deb— - | 2+ 

■ • ; K.I*. 'SI; 7 1 984m JB UoUiuw 10* Frei...- ,3 

• ■ F.P. 2117 i 1054,. I0l4»Utll« IF) IIS jRgil 

' - • ] F.P. | 9/8 I 9t>|i 9*i»Mon> O’FnroU WS 2nd Coau Pref j 94^ 

.» fcRWS ! JSf io9p p | - i currency movements 

B |?spr — nm." 

'uu '-i-in '» 1.7 1 101 -i 9 lAiulk. TiUMhlt ISJUi Hell. 1S^ 1 trial ...... ! Jib U , Emilia ll C narmrty 

Index chaoses ■« 

A'lO 121(7 
■98-''jJ;50 • 

98*4 £25 J 15.1 

9 ISnutb. T^nenUe I2£f HeO. 1886 !ria ..... 

473jftvue L Wuar 12$ ReU. 19BB ««>a — 4 

o. I-..- , T1-.72 ll.k loc« Ml, 

• • ; ‘ W * 


r «i 

lS.’Si 1 25is! £1 hfot Kent TVacar 12& Deb. 1986 | 24«a' ( Erection 7 55* 



MmiiiIw. 197B 

Us re 

e • r iHiglijLow 

16fB : 1318! Bfipinl SSpmlAA’Z — ... 29 pm +S 

j — Uisimijiepm BrUmJ Prucesocm ... — ........ 4 pin I — ij 

18/7 18/8 1 7pm Sijjim Brooke Tool Eng 7praj + Ua 

26/7 18/81 44pw 4pm Dartmouth Inv«; 31s pm| ...~. 

86/7 16/81 a,nn 2pm Elprta .Hopper. — 3pml 

_ I _ [ ]4 10 Hcwllam Sunn S Coggins. 13pm] — ... 

14/7- 4,8 US lO^Bunl.ra 123ts 

3/7i 28/7 i4£i,ini 1384pm Hymen (U G J — 42 |+1» 

21/7 117B] 2ipm, 5pm Lsvex. »P m - 

— . — il3dpui]I24i«mlX(irton <W, &.). — .131* pm 

17/7 95/81 11» UK awark-ur Group 114 

I7i7i E5/8, 117 111 Do. A. MV 11B ...... 

17/7 25/8 1 1E0 107 Security Serrices — JIO +2 . 

17/71 26/8 119 1 107 Dp. A. Krt* I 110 +2 

— i — | EFpinl 26pm|Sntclifrfl Speskmsu. j gSpm +1 j 

aw* ...... stride over the next few months, while at the same time tiie chair- cent Jaoan 

provided that nothing untoward man of the Federal Reserve Board a s iinjf ; ,' r j n 
02ip and unforeseen occurs, and given is forecasting a further rise in y.S. is at 

L09p - CURRENCY MOVEMENTS whole situation centres in9ation 

395b. .... around the weakness of the dollar, -rum n 

SS- 1 * ^.4 iS, and another period of im in THE D 

w>S— i* . index dMB-i the foreign exchange market 

J4»a — SSriiiiit '~Z SS This unrest has lifted tbe Jui»w 

ujs. dollar 7.."...'. 8LW - 7.7 Japanese yen to record levels cTiutata s- ss 

- C an adian dollar — sa.75 -12.9 against the dollar, and created Guilder 2J 

s^Sn I taoc 111W im 99 +uj severe strains within the ®>'Wf n rr 32 

1 dS* tone 77.-7 mS +^*i European currency snake as the SSSSi h ‘ 2 I 

1 Dntxdu m*i* MO.n +3S.fc D-mark is encouraged to follow Port, Es 

■JngH- or Svrta* franc Ufc» +WJ a similar path to the yen. Lira f* 

f te* — Gufidcr — . 119.14 +02 Thp bloe TA9r nn'wsr mfls/'inn NrwjJH. r.r 5/ 

Frasdi franc JMJ2 - 3.4 Y*® r on year inflation- Fn-w* v r aj 

_ — Vtar - 56.40 -46J rates and interest rales for Swedish Kr u 

a __, . , Lira — mlw +44J various countries, show how sharp Yer. 2s 

4 pS-?b ^ the differential is between ihe UK j^anaart 

j-ii. w **htastoa asreemeni Deccmoer, jon ^ Aleoit-ho™ Su-iss Fr LI 

7pm +11* (Sink of qnglaml lndcx-lMl. ana eiSeWTSere. -L S.ce 


« _ * \ UId s.u ereigna SMS-&W 

•; 3.5 .per cent, with 'iX2»-8ff) . 1 i£xujhm>ji 

iition rate: and the MOiijfie* | 5277 ir 2 w js 2774 ja<( 

■25 compart with ^ l0 SMI-I4B si44-i« 

a.s per cent. 

j premiums for particular risks, any one accident, while a few 

xniiSoui imov-tmi) Suppose a similar accident were are reputed to re-insure only in 

354-S8 ^ jSKj-aw to occur here, with a similar excess of £lm. Bur. whatever 

li£«ai-28i) number of fatalities. The amount reinsurance arransemenL 1 ! are 

5MS-56J ISB6-57 

number of fatalities. Tbe amount reinsurance arrangements ar* 
of compensation payable for made, these have to he paid for 





.UJS- dollar 


- 7.7 

Canadian dollar 



Austrian fcWillni; — 



Bristan franc 



Uatasb krone ~ — 


+ 5 A 

Deutsche Marie 



Swiss franc 






French franc - 


— 3.4 

Year . 






S- 88.BT4S.99 88.9fr4B.99 

2J(/j5-2J225 2J210Z2225 

'r 3abiJZ^«i T2.fO-S2.Ml 

> 5.5 c '5-5 j6145 5SI3t-5j5KO 

2X5^ 0.2.0585 Z65TV2JH85 

t— 4542^45.58 

SQ.1 0-S49JHI M84KMHajQ 

:r 54M9S4U)5 548S&6410O 

r <*4M34 j4550 44450-4X500 

K- 4S4S 54S560 4449544515 

XUiasjD 202.40-202^ 

Vh -- J LSI -14-8170 

L8R2JS160 i miB . -i.inx 

f S. worn opr Canadian S. 

OJ^anSc pm 
0-82-0. 77c pm 
91-8)c pm 

0.95-O.TOpf pm 


Three mnnte 



0-04-0 .07c pm 



2JJ4-L99c pm 



2fli-23c pm 



2-67.-2.S2pf pm 

5 M 




death and injury alone, having out of the primary insurer's 
regard to present levels of income, 
damages, probably would be at 
least 1.5m. and might well be Pressure 
more than double this sum. , . 

* True, the odds against such c, eany each motor insurer 
"3. an accident are enormous, but providing liability cover for the 
p.a. the .potential is there. About f a Cfi er hazardous goods must 

ojg 100,000,000 tom of hazardous » ul5d . some disaster potential. 
jJ-2 substances are carried by road in J he premium he charges 
in this country each year and statis- prov !f. e bmiself with a 

54) tics show that last year there financial cushion and to pay 
were 23 incidents on British mone >' ovor to reinsurers for the 
roads involving chemical carriers. l? r c f* s ^, er r. equireS- ? ut 
Four involved anillace but mo . Ior Hee1 ^ usually are under- 

ajB4L33cpm —0.78 l 2 dl«c pm -uoFour involved spillage but*™. 1 ” - unat- *: 

— — I fortunately, there were no ex- written principally ba\ ing regard 

1.0M45* pm 5.90 2J8iTO/pm plosions and no fatalities. ,K..^ n °!'l D . ra ! h _^ r 

LU-L07C pm 6.72 3444.11c pm 

to known past experience rather 



One month ] %pju Throe monttal % pju 



JS Ih.I 1 , I if/I | VWJ) U*I 1 IV* .OErnn^ —I J ; " fan i dit n 1 

/5 V'.I>. 17/71 26/8 1 IB / 107 Dp. A. Krt* I 110 +* GttUdeT 

%0 | Ml | — | — | Bgpail g6pm|/3ntcliffa dpeakrtan. | g8p»n| + l Bdgi«n Pr. 

Ueuunaarton date usually lasr day lac deata ta free “““g, SSSlro^ 
iM-d tin pnwiwctus esttaiata. a Assumed d f v ^ Irf 

iwr based on previous year's rDindMd »nd e 5*»- 

oUier official estttuates fW 1970. q G ™ ss - * PJTtlJJSSS iST 

ndi-ndB. 5 Planng prK-e to poMlC. ig Peace uateM otaenrtse^ JL ***£& Fr. »\ s 3.57-8.41 

■ tender. R Offered to “"“SS- nh^d g 7 8AM.80 

• uiv of i --iptra liga tion, tt Minimum tender price. 35 Retatrodocca- ss Yb* . *i_ 47648B 

evmicctkm wjtn reonsaomuofl merger or taXe-over, AnatrtaSch 4^ 27.90-JB.B6 

former Preference Holders. ■ *“S£55? , Li2SI?. <0r ™ ly " pailU ' • ProvUJonsl dwk> ^ *0,5,5.43 

pjnty-pald aUonaeui tetters. * With wmim. 

7V, U61&-14&25 V.afl20-l.flB50, 2.49 ,U3 t.ti:.pnv 241 
81sa.lI4M.2286 2.1115 2.11K 8.6M.50e.pni. S. W L8!L1.5tt.‘.pm' 2.9J 

4 4.17-4.tki j 2VHi e+n, : B.46 iS3j-5r« c.poj | 648 

51* BIJHLSI^ 61.06-61.16 50-31 c. fim j 4.s1 ' M«U,-.fnn | 548 

9 1D.&S-ID.6H IB.B5^-10.b6n ^-6 ere ilis — 2J3 6;-3;.jredia ^-2.75 

5 5.87-3.884 5.874-3484 3-2 pf pn> • 7.75 ,7»t-65| pi pm.; 1A1 

IB 86.60-6S.40 B6.B5-t5.B5 56-155 e. ills '—7149 lU&-40&,-.du. r-1143 

8 145.70- 146.26 146.76-14B.BB 10.70 e- dm --2.47 .Par^Oe^liB J — 1.10 

111* 1 .596-1. 605 l.SiB-1^87 71-51 Hro uia 1.69 ^4-84 lire dis .—1.38 

1 10.174- 10 J54 10. 17J-1D.I8J Par-2 ure ilia — 1.1B He-Sg ore dip l— I 0^8 
9in 8.57-8.41 8.584-8.39* Us^C t- pm | 1-46 gM-aU Ml 

7 B .56-3. SO B.S8-4LS7 llorpsu Jonllii 0.56 uK pm ( t.I7 

51a 678-388 581-585 8.42 |7.»-f JO i'.iud! 8.09 

41. 27.90-2B.B5 27J0-2B-D0 16-6 cro pru \ 4.29 146.65 am nm • 6.72 

1 6.404-5-43 5.41-5.42 5is-2lg c-pm (—9.22 IW2-7I2 ! 8J7 

• 1 l 

27 JS- 20. DO 

llnzil l ni«m> P iiAO 34.48 ; l‘,.781faJ3 Prance 

nro+.i-I'ni.!"»“ -.*68.397 70.7761 56 33-57.60 aermany...^ _] 

Mom: K-’m; U«llar.S 8.75-6.77 1 4.66d0-d.6560 ltalv 

irou i;i*J 130-156 69.06^72.24 Japan 

Rnwaif Dinai iKU/lj 0.511-0.521 1 0.2714-0.2767 Nrthwland. 

Lu*emlvi:re Kronen 61.00-61.10 I 3 n. 44 32.46 .Norway 

5£ala?via lA Uarv.... > 4.43-4.45 ( 2.3Sea2.3600(KomiftBj I 

SI j £ 

I . { Notes Hats 

.28 798 40? Austria 271t-2ei 4 

114 0.8725 Ue/Ktam 61-62i 2 

J20 4.204O!DennMrt 10.50-10.66 

.78 16J2 Prance 8.30-8.45 

35-37.60 Germany..... _J 3.80-3.90 

140-4.6560 1570-1600 

06-72.24 Japan 300-590 

14-0.2767 \rther land. I 4.104.35 

44 32.46 .Norway 10.10 -10.25 

In providing motor insurance ,,. dn t0 future potential and. 
over the past decade. British ™° renewal comes round, there 
insurers have had a thin time ^„ 1 5P ns3 ? er j^ 1<? P re ^ sure on 
with underwriting losses to d, srount that poien- 

recorded more often than profits. ! ,aI re P™ 1 experience, both 
In 1977, RIA member companies ! n numb . er r an J d cosl ° f elamis, has 
made a £20m. underwriting loss be ^?“ tJ *{ a , clory : - . . 

and, If the association's gloomy , scjle of the Spanish 
calculations of the ever-upward disaster emphasises as nothing 
trend of claims costs is accurate. ^ as ^°ne recently that no 
present rating levels for private I? ot 2 r insurer ^can afford to take 
car and for commercial vehicles “ Qan c la ' risk ol under-pnemg 
will be insufficient to turn in a 5° v l r Ior tr? wroiage of 
profit for 1978. dangerous substances. 

2.5BB0- 2-360Q( Porn^ftl'.! 

Baton raid (s for contEXtlblc francs. 
Financial franc 8L8W1.90. 

Sfct-nKmti fonrard dollar. 2J3-X33C pm, 
12 -month 4.TS-LE6C pm. 


3 5-3.45 
1.68-89 la 


j,Rair Khron for Arcennna Is free rale. 


A-B-Nj Bunk IQ % "HambrosBank 

Allied Irish Banks Ltd. 10 % Samuel ...••••310 % 

American Express Bk. 10 % f }f v 

a P Rank Ltd 10 % Hongkong & Shanghai 10 % 

Henry Ansbacher 10 % Industrial Bk. of Scot. 10 % 

K inco de Bilbao 10 % Keyser Ulhnann ...... 10 % 

Bank of Credit & Cmce. 10 % * 1 Lx± ‘“ ^ ? 

bSSk of n s.w iS 1 SA B SStc^sr z S« 

£S5ue Bete Ltd.- ... 10 8 Edward Manson & Co. 11*| 

An Rhone 10»% Midland Bank 10 % 

B ;.... 10'X > Samuel Montagu 10 % 

n-i'rnftuVhrwie Ltd.... 11 % * Morgan Grenfell 10 % 

Boldines Ltd 11 % National Westminster 10 % 
Breroar Hoiuvnfis w“- ^ /5 a„ 0 Tmat io % 


UJS. Dollar |Ueui«clro5I«rl| Jbjjuw 

Brit. Bank of Mid. East 10 % 
I Brown Shipley 
Canada Permt. Trust 10 % 
Capital C & C Fin. Ltd- 10 % 

Cayzer Ltd 10 g 

Cedar Holdings ......... 

i Charter home Japhet... 10 nn 

Chonkmons * 10 ™ 

C. E. Coates 11 o 

Consolidated Credits... 10 Jfc 
Co-operative Bank — 1" % 
Cunntbian Securities— 10 % 

Credit Lyonnais 10 % 

The Cyprus Popular Bk. lj> % 

Duncan l^twrie JO % 

Eacil Trust I? 

Norwich General Trust 10 % 
P. S. Refson & Co. ... 10 % 

Rossmtaster Ltd 10 % 

Royal Bk. Canada Trust 10 % 
Schles inger Limited ... 10 % 

E. S. Stmwab lU% 

Security .Trust Co. Ltd. 11 % 

Shenley Trust 11 % 

Standard Chartered ... 10 % 

Trade Dev. Bank ■ 10 % 

Trustee Savings Bank 10 %» 
Twentieth Century Bk. 11 % 
United Bank of Kuwait 10 % 
Whiteaway Laidlaw ... 10* % 

Williams & Glyn's JQ 2 

Yorkshire Bank 

HenfiWTS of A«»Winc Houses 

! Ten | Frenvti Frau -.- 1 »«'•* 

} Dutci* Uulhleij iNiluio Lira [Cona'ln Duliar 1 KeiaiiiD Fran 


a .928 

i l i 

10.16 , 


4.625 ; 

0.551 i 

1.146 ! 



1.179 | 

2.43 J 

0,800 i 

1 1.836 i 

3 .C 81 1 

6.360 } 

11 <5. ■ Members W m* 

English Transcont. ... it ,o conuattiee. . 4 . 

First Nat. Fin. Corpn. 12 % « y^, denoaja n. f-monta dep««« 

First Nat Secs. Ltd. ... 12 % ?*%, - ^ no.ooe 

■ Antony Gibbs ............ JO g f ap™J2S,o« 

Greyhound Guaranty... 10 % ^ 4Wr £39,000 w«- 

Grindiays Bank -410 % t c»u l Sf^“Sr r 7Mi W8 

■ Guinness Mahon 10 % s pemawi aetMta n ~- _ 


Beta* Rale 9 

Fed Fuads 7 . 7 S 

TrOMBrr Bins cu-«eek) 7 J 1 

Treasury BiDa ( 26 -week) 7 J 3 



Overman 3JS 

One mootb - r - m - n .. rr U 

Three months 3.7 

Six nxnt&s m^.w...i,iiH,...iNiN «S 


EtoMnnt Kata 9J 

OviEDJxbr — 7£ 

une' rhonth 7 X 375 

Tte®e monte — — 7425 - 

See , 84X25 


Dacoota Btte XS ■ 

Cfll CUnautaldonifi) .... 4435 

Bm# mtarnt Hate 4 SB 


“frj* : Cenifleue J Inlebank i auLhoritj- 1 

IBlB ; of d entrails ; ! iie»y><ir. ! 

Jro • of drytraiis j 

Overnlflhr. — 7.12 

2 dayv wtiw..: — j _ 

1. days or — — 

’day* noOee>. - } IO 7 -IOA 

One moor h. — ; 10,;-l0ik • 10^-10'.; 

Two mont* j 10: 8 -10 • lOr'^IOU 

Throe munite- 10^9^ 1 W)*-Wft 
Hix n: on tin ._.! lOJfl-84-J lQip-10,'; 
.Vine amnih i - .! 10^-10','a ; lflla-lOla 
Oneyror-.M_ 1 10 ^- 1 0 ^ i 10 ^-lOi 

Two TOMS : _ : — 

'Uxfli Auvfc. 7mmiee 
i Huuk 

• i.unls Deptibhi 

profit for 1978. dangerous substances. 

Incidentally, while compulsory 
IVfaroin insurance laws in the country 

iTioigui require personal injury liability 

Each individual insurer needs cover to be financially unlimited, 
to underwrite at a profit so as to there is no similar compulsion 
maintain his solvency margin, in. respect of property damage 
Absence of underwriting profit liability and, on commercial 
means that solvency has to be vehicle policies as distinct from 
funded from investment income, private car policies, insurers 
perhaps even from the acquisi- norma)!}' impose financial limits 
tion of fresh capital in the in respect of property damage, 
market. But, maintenance of Different underwriters have 
.solvency is just one aspect of different views but the property 
the need fOr underwriting profit, damage limit in most commercial 
which must be of sumcieut vehicle policies is nowadays nor- 
order to allow insurers to put mally £250,000, although higher 
something by for the potential limits can be arranged of up to 
disaster. £lm or more on payment of extra 

Patently, over the past few premium. This is a point for road 
years in tbe British motor carriers and their advisers to 
market, this has just nor been watch, for in the urban and 
possible, so that to-day insurers suburban areas of Britain the 
.relying on the financial potential of a hazardous carrier 
fat ’ built up in previous accident might well be for much 

decades. greater and much more costly 

Motor insurance risks, unlike" property damage than for death 
fire or public liability risks, are or personal injury, 

not “ scheduled "—shared be- — . 

' DiwtslQl i 

Company! m*rirei j Trrtsuiy 
Ifc-ptvlTi I tiepoMt I Bills 4 


flie-lOie ! 

- jl0ts-10i»] 9-10 

Local aadurttv and ft* an 
rare nominally Uuve F»ar« 

i tween a number, of primary ^ 

rse h |ara u ff".'SSlSi‘ , SB? Company moves 

afccident arising out of tbe rrans- nr 
port of hazardous substances falls tO TT 2LI6S 
first on the insurer of the carry- 
ing vehicle— -and perhaps on the A 20,000 SQ FT factory at 
insurer of any other vehicle Newtown, Glamorgan, has been 
which may be involved in a ,et b y Development Board 
collision with the carrier— and * or Wales to an electronics 
then on the reinsurance market company which expects to 
for the primary insurer’s excess employ 80 people as it builds 

I nability.. up production over three years. 

Because each insurer fixes bis A and E Circuits, formerly 
own retention and determtapc his A and E Instrumentation i* 



-■ 1 ID In- 10^4 

lO'i BSflj lOig-njia 
9 .j-98b‘ lOtg-loia 
9 1 loitioaa 

svgjoj Wti-ioi, 
lOtj-sM lOB4.11 

10-1019 1 10L| -9^ ; IW4.11 
xota-iitB ! - 1 — 

n» nomtoiiy toe w UHi) per cenr. foor 1M21 per «nt: fiv e mn Bt-12* per rem. - *Bank bin own retention and determines his A and E Instrumentation is 
rates tn table are baring rale in feme paper. BW«w »)»«* for Toar-monta -itai bills 9»»-M per cent foar-momb i pva i nt «~r™. . BS .uf Wau^Z .1 e._. 15 

tratto wns 104 per «m. J • - tevei q* reinsurance m the moving to Newtown m Septem- 

Approximaic ssHta£ rates for ouMBoau Pvasuir ria-94 dm cent-, rwo-momb 9i per ««; and three-month of bis particular trading her because it has outgrown its 

•3l6-«4 per cent Approxinme sentas mb’ ior on ; *-nwnin 8MB» «r crot; and nronmnUi SJ-BU/s per cm u and circumstances, .the imnact on the factory at Harrow. North Lnn. 

tbrcfr-DMOta «n»4S per ceaL provmontb trade tails wri cea r. twp-mamn IDS ner cent: an/J also ttawMBauth 10} per cent. reinsiirarreA marfcat re i - kiI L Tk. Jnira« J«Sfc. ^ on 
Fimas UsflSG Base Rate* (mdUlsbed br tbe Finance .“{"J** Assoontltmi; IB iw/ cem from July 1. 1978. Oearia* Saak rel T S ’^ aDcc market is Variable flOD. The company supplies some 
oowah Raws if*c 5B»s khob m senwn dan - notk*‘ ■ ma - Cfcmriw Bank Base Rata* for iroflau « per cm. tite more serious accident, of tbe biggest names lb the com- 

Traasnnr Bins: Astras* tender rates of discount p** even one perhaps approaching a puter and electronics Heidi . 

Financial "TimeslWdndar?7ul^ r '17^97S 

Copies of this Offer for Sale, having attached thereto the documents speciSfed below, 
have bean delivered to the Registrar of Companies for registration. 1 

Application has been made to the Council of The Stock Exchange for the OBrdinary 
share capital of Ernest Jones (Jewellers) Limited ("the Company") issuedjjand now 
being issued to be admitted to the Official List. 

This document contains particulars given In compliance with the Regulation is of the 
Council Of The Stock Exchange for the purpose of giving information to the; public 
with regard to the Company. The Directors collectively and individually aaaipt full 

responsibility for the accuracy of the information given and confirm, having made alt 
reasonable enquiries, that to the best of their knowledge and belief there are no other 
facts the omission of'which would make any statement herejp misleading. 

The Ordinary shares now offered for sale will rank in full for all dividends 
hereafter declared or paid on the Ordinary Shares of the Company. 

The Application List for the Ordinary shares now offered foreale will open at 
10.00 a.m. on 20th July, 1978 and will close at any time thereafter on the 
same day* 

/ ! ^ 


llONES (Jewellers) 

(Incorporated in England uri der the Companies Acts 1 948 to 1 976 No. 1 375668) 


Offer for Sale by 
Hill Samuel & Co. Limited 

of 1>500,000 Ordinary shares of lOp each at 115p per share 

pay; ible in full on application 


Share Capital 

Issued and mow being 
issued fufflly paid 

£600,000 Ordinary shares of 1 Op each 



On 22nd June, 1978 the Company and its subsidiaries had outstanding bank 
indebtedness of £375,108 and hire purchase commitments of £17,138. 
Save as aforesaid and apart from intra-Group transactions neither (he Company* 
norany of its subsidiaries had outstanding on 22nd June, 1978 any borrowings 
or indebtedness in the nature of borrowings, including bank overdrafts and 
liabilities under acceptances (other than normal trade bills), or acceptance 
credits, mongages, charges, hire purchase commitments or. guarantees or 
other material contingent liabilities. : 


Ernest Weinstein, 

Shifra House, 1-7 Harewood Avenue, London NW1 6JD 
Stella Rita Weinstein, 

Shifra House, 1-7 Harewood Avenue, London NW1 6JD 
Michael Levi Weinstein, 

Shifra House, 1-7 Harewood Avenue, London NW1 6JD 
Philip David Weinstein, 

Shifra House, 1-7 Harewood Avenue, London NW1 6JD 

Secretary and Registered Office 

Ronald George Watson, 

Shifra House, 1-7 Harewood Avenue, London NWt 5JD ■ 


Hill Samuel & Co. limited, . 

39 Wigmore Sheet, London W1 H 0AL 
National Westminster Bank Limited, 

9 Charterhouse Buildings. 

Goswell Road, London EC1M 7 AT 

Receiving Bankers 

National Westminster Bank Limited, 

New Issues Department, P.O. Box 78, . 
Drapers Gardens, 1 2 Throgmorton Avenue, 
London EC2P 2BD 


Joint Auditors and Reporting Accountants 

To the Company: 

Warner Bearman, Chartered Accountants, 

‘Michael Conn & Co., 

1 6 Wimpole Street, London W1 M 8BH . 

24 Queen Anne Street, London W1 M 0AX 

Coopers & Lybrand, Chartered Accountants, 

Matthew Trackman Litton & Spry, 

Abacus House, Gutter Lane, Cheapside, London EC2V 8AH 

1 60 Piccadilly, London W1 V 0BT 


To the Offer: 

Fielding, Newson-Smith & Co., j 

Slaughter and May, 

Garrard House, 31 Gresham Street, London EC2V 7DX 

35 Basinghall Street, London EC2V 5D B 

and The Stock Exchange 

Registrars and Transfer Office 

Hill Samuel Registrars Limited, 

6 Greencoat Place, London SW1 P 1 PL 



Ernest Jones (Jewellers) Limited (“the Company") and its subsidiaries (together the Group ) 
are multiple retail jewellers trading' under the- names "Ernest Jones" and “Saphena". The 
Company was incorporated on 27th June, 1978 and on 12th July, 1 978 acquired the whole of 
the issued share capitals of Ernest Jones & Co. (London) Limited ("Ernest Jones London") 
and other related companies, all of. which were owned by the Weinstein family. Although these 
companies were separate entities they have been managed as a group by the Weinstein family. . 
The business of the Group is the sale of jewellery of high quality in the medium price range and 
of leading brands of watches and clocks. In a competitive retail trade the Group has set itself 
the highest standards, aiming to achieve a level of shop display, presentation of merchandise 
and customer service above that of its competitors, in line with its trading mono "Ernest Jones - 
Your Personal Jeweller- by Appointments You". 

History * . 

The Group's activities commenced in 1 949 when Mr. and Mrs. Ernest Weinstein, together with 
members of their family, formed Ernest Jones London, which commenced trading from premises 
in Oxford Street. London. Initially they sold only watches, which were mainly imported; 
■however owing to Government restrictions on imports at that time the trading activities were 
extended to include the retailing of a small range of jewellery, 

A principal factor in the subsequent growth of the business was the success of a further retail 
shop which was opened in 1955 at 161-163 Oxford Street, London and which is still one of 
the Group's leading branches. The success of this shop led Mr. and Mrs. Weinstein to believe 
that a significant expansion in the scale of their operations would be possible by bringing to 
suburban and provincial locations the quality, range, presentation of product and high standard 
of customer service which they had established in the West End of London. 

The first branch in the London suburbs was opened in 1 961 and the first branch outside London 
in 1 965. The number of retail branches increased during the 1960's and at the end of that decade 
toialled 1 8.. Since 1 970 expansion has continued and the Group now operates a total of 
39 branches. It is one of the larger retail jewellers in the United kingdom. 

Business . _ 

The Group sells diamond rings, diamond jewellery,.a wide range of other jewellery in gold -and 
silver, watches and clocks. The Groupie a retailer of Rolex, Omega, Rotary and Seiko watches 
and also makes significant sal es of other nationally advertised brands of watches. 

The Group places great value on the close trading relationships it has established with a number 
of leading jewellery and watch manufacturers, some of whom have been suppliers for more 
than 20 years. A small but growing volume of sales is represented by rings and items of jewellery 
which the Group manufactures to its own designs.' 

The Directors consider that the main factors which have contributed to the Group's success 
and the high standing it has achieved in the retail jewellery trade are (a) the location of its 
branches, (b) its shop design and window display, (c) the range of merchandise it offers, (d) its 
policy on the availability of stacks, (e) its management controls and (f)its staff training policy. 
These are commented on below. 

Location of branches 

The expansion of the Group in the 1 960's took it from the West End of London to the suburbs 
and to the provinces. At an early stage in this expansion, the Directors took the view that the 
growth of city centre shopping developments would have a considerable influence on future', 
shopping patterns in the United Kingdom. Accordingly it was decided to .acquire premises in 
such new centres as well as in other key locations in major towns and cities. 

The map opposite shows the location of the 39 existing branches of the Group and of the 
3 new branches for which contracts to lease have been signed. The number of new branches 
opened each year depends upon the availability of sites which meet the Group's strict criteria. 
The number of branches trading at the end of September in each of the following years was : — 
1972 1973 1974 1975 1976 1977 

23 24 31 33 38 39 

The size of branches varies from location to location. The Group now generally looks for a 
minimum shop frontage of not less than 18 feet and a total floor area of approximately 1,500 
square feet. 

Shop design and window display 

Shop design, in which the Group has pioneered a number of developments; is an important 
factor in attracting customers. The Group continually seeks to improve its shopping arid working 
environment: for example it has installed air conditioning in eleven of its existing branches 
and will extend this facility where practicable. 

Shop window .displays, which are manufactured by the Group's own display department, 
conform to a style developed by the Directors and the Group's design team; the Directors 
consider the Group to be a leader in this field. Its policy is to have stocks of display materials 
readily available to ensure that new branches can be opened with a minimum of delay and 
changes can be speedily effected at existing branches when required. 

Range of merchandise 

The Group concentrates on selling diamond jewellery and other jewellery in gold and silver, 
nationally advertised brands of watches and clocks; this enables it to offer its customers a 
wide choice of items within these categories. Less than ihtee per cent, of turnover is represented 
by other merchandise. The Group continually reviews actual and anticipated demand for its 
merchandise and adjusts its range accordingly. 

Availability of stocks 

The Group's poiicy is to hofd wide ranges of stocks at alf its branches, to ensure that main 
selling lines are continuously on display and available for sale. Branches are supplied from a 
central, stock department. In anticipation of the Group's planned expansion, a computerised 
stock control system was introduced in 1 967 ;this system assists the Group's buyers in forecast- 
ing future demand. 

■ Management controls 

All branches operate to the same comprehensive system of procedures designed by the Directors 
to secure high standards of efficient operation ; standard operations manuals cover various 
aspects of the Group's business. The procedures laid down are .monitored through frequent 
visits to'each branch by the Directors and their four area Supervisors. 

Similarly through .the use of standardised procedures tor' head office operations the Group has 
been able to accommodate substantial growth with only a small increase in head office staff. 

The close involvement of the Directors in all aspects of the Group's operations and their direct 
contact with staff at all levels have proved invaluable in establishing and maintaining the 
"family atmosphere" which prevails throughout the Group. 

Staff training 

The Group aims to achieve a level of customer service above that of its competitors and 
accordingly places great emphasis on its staff training programme. This includes formal training 
for new sales staff and specialised sessions for all staff to encourage them to develop the skills 
required for their particular responsibilities. AH staff are given opportunities to attend suitable 
internal or external courses. There is also a special internal course designed for training new 
and potential branch managers. The Group has been notified that it is to receive the Distributive 
Industry Training Award which is further recognition of its high standard of staff training. 



Key a Enisling Branch 
0 Proposed Drench 
©Location with 
entiling tnanch 
•a here an additional 
branch is proposed. 










' SL . 0UG . H ^a? 



, * * HORSHAM '{ 





1 SI -1 63 Oxford Sr Croydon (2) 

277.231 Oxford St Hounslow 

500 Oxford St Uford 

Bnni Cms Romford 

Bromley iplu* one proposed) Wembley 

Directors i 

Mr. Ernest Weinstein, the Chaidman of the Company, is aged 62. He has been Chairman of 
Ernest Jones London since its ii icorporation in 1949. As Managing Director he is responsible 
for overall policy and control of tl e Group. 

Mrs. Ernest Weinstein, aged 51. i s the wife of the Chairman. She has played an active partin the 
business since its commencemimt in 1 949 and controls the policy for and purchasing of 

diamond rings and diamond jewellery. 

Mr. Michael Weinstein, aged 29 /is the elder son of Mr. and Mrs. Ernest Weinstein. He joined 
the business in 1 967 and was aR Minted a director of Ernest Jones London in 1 973. He controls 
the policy for and purchasing oft watches and is responsible for personnel. 

Mr. Philip Weinstein, aged 25. { s the younger son of Mr. and. Mrs. Weinstein. He joined the 
business in 1975 and was appointed a director of Ernest Jones London in 1978. He controls ’ 
the policy for and purchasing of v redding rings and is responsible for stock systems development 
Together with customer relations, - 

.In addition, Mr. Michael and Mr Philip Weinstein jointly undertake the overall direction of the 
Group's central stock department ^nd the development of new branches. 

Whilst each Director has specific areas of responsibility, there are no rigid distinctions between 
these and each Director is closely involved in all aspects of the business. All the Directors 
-intend to continue their roles in tlie business for the foreseeable future. 

After completion of the Offer forj Sale Mr. J. A. Bearman, F.C.A., aged 46, will be appointed a 
non-executive director of the Company. He is a partner in the firm of Warner Bearman who 
have been the auditors of Ernest Jlones London since 1965. Prior to Mr. Beanrian's appointment 
as a Director, and in compliancdi with the Companies Act 1948, Warner Bearman will resign 
as joint auditors of the Company! and^S auditors of other companies in the Group where they 
presently hofd that appointment] it is Intended that Coopers & Lybrand will be sole auditors 
of all companies in the Group, jj 

Management and staff , 

The Group currently employs sol 350 full time and 25 part time staff, it is the Group’s policy 
to promote from within wherevt c possible. The success of this policy is illustrated by the fact 
that several staff members who j Dined the Group as trainee sales assistants now occupy senior 
positions in the management tea iw. 

Branch managers, in conjunction with the personnel department are responsible for tha 
welfare of the staff under. their cc tntroL The Group has always enjoyed good staff relations. 

The Group's senior managements; • Years of 

Name | Age Present Position Service 

Miss D. Briggs 1 30 ■ Accountant -13 

Mr. R. Landes ; 61 Buying Manager 10 

Mr. D. Newman . . 40 Manager Manufacturing 1 3 

and Service Department 

Mr. J. Shaw !— 41 Senior Supervisor 7 

Mr. M. Shine 47 Buyer 24 

Mr. A, B. Simmonds 62 Buyer 10 

Mr. B. C.W. Thompson 51 Senior Supervisor 27 

Mr. R, G. Timms 56 Personnel Manager 5 

Mr. R, G. Watson 56 Company Secretary ' 12 


Years of 


Present Position 






Buying Manager 


.. 40 

Manager Manufacturing 
and Service Department 


; 4i 

Senior Supervisor 









Senior Supervisor 



Personnel Manager 


. 56 

Company Secretary * 



The Group's branches are ail leased, in most cases on leases of initially some twenty-one years' 
duration, in 1976 Ernest Jones London purchased the freehold of Shifra House. Harewood 
Avenue, London N.W.1 and adjoining premises, for use as the head office of the Group. 
"Approximately 1Z000 square feet of Shifra House are occupied by the Group and 4,000 square 
feet are let on leases expiring not later than 1981. The adjoining premises, comprising 12.000 
square feet currently used as a garage, are let until 1986. The Directors consider that tha 
combined premises are of adequate size for the foreseeable expansion of the Group. 

The Group's properties were valued by Smith Melzack & Co. (surveyors and valuers) on 1st 
April. 1 978 at £1 ,702,000 on the basis of current open market value with their existing use and 
vacant possession (except for space sub-let). This valuation has not been incorporated into 
the Group's accounts arid a comparison with the net book value in the Group's balance sheet 
on the same date is shown below * 

Valuation. Net Book 

Freehold property 
Short leasehold properties 

)f the valuation were to be Incorporated info the Group’s accounts an additional annual 
depreciation charge of £77,000 would arise. 


Of the 1,500,000 Ordinary shares comprised In the Offer for Sale 450,000 are new Ordinary 
shares being issued by the Company for cash. The proceeds of tha issue of these shares, after 
deducting the expenses of the Offer for Sale payable by the Company, are estimated to amount 
to £317,000 and will be used to provide additional working capitaL 

Taking into account the net proceeds of the issue of the new Ordinary shares and the bank 
facilities available to the Group, the Directors are of the opinion that the Group has adequate 
working capital for its current requirements. 


Profit record 

‘ The Group has grown substantially in the five years ended 30th September, 1977, in terms of 
the number of branches, volume of business and profitability. During this period turnover of the 
Group increased from £1.7 million to £5.0 million and profit before taxation Irom £203 000 to 
£81 1 ,000, representing growth of approximately 200% and 300% respectively, whilst the number 
of branches has increased from 23 to 39. This growth has been achieved in a period which has 
seen almost no increase in the level of real disposable incomes. 

The growth in profits was temporarily interrupted in the year to 30th September, 197S wherr 
the Group's level of sales was influenced, in common with other retail jewellers, by the imposi- 
tion of Value Added Tax at the rate of 25 per cent, for the period from 1st May, 1975 to 11th 
April, 1976. Other factors affecting these results were the impact of inflation on overheads, 
the move to Shifra House and the timing of the opening of new branches. 

. Current year 

Turnover and profit before taxation of the Group for the six months ended 1st April 1978 
which includes the peak Christmas period, amounted to £3.3 million and £869,000 raspertivetv’ 
On the bases and assumptions set out under Statutory and General Information below the 
Directors forecast that in the -absence of unforeseen circumstances the turnover and profit 
before taxation of the Group for The year ending 30th September, 1 978 will be not less than 
£6.0 million and £1 ,200,000 respectively. . 


The Directors consider that the prospects for the Group are excellent The Group has developed 
efficient systems of operation which have enabled it to accommodate substantial growth in 
voferne of trading with only limited increases in operating costs. These systems are capable of 
absorbing a considerable increase in the volume of safes and the number of branches 

volume is expected to come both from well established branches and 
the newer branches whose potential is still developing. Considerable scope also exists within 
the United Kingdom for expansion in the number of branches. Contracts to lease haOe been 
signed for branches, which are planned to be trading by September 1978, and negotia- 
tions are in progress for leases on a further 8 branches. ^ 


On the basis of the forecast of .Group profit before taxation of not less chan £1 200 000 for tha 
. year ending 30th September, 1978 it would-be the Directors' intention to recommend for 
payment m March 1 979 a net final dividend of 3.5p per share (5.22p with aSSuSmS 
at the rate of. 33 per cent). 

For a full year in which a similar level of profit were to be earned the Directors would expect io 
recommend dividends totalling 5.5p net per share (8.21 p with the related tax credit at the rate 
SwwJ2 r i« 8 2' : intended ( in .t£H re » W «i interim dividend in August and a final 
,hn r f CUrrwlt Wh ? eypires on 31st July, 1978, is renewed in its 
present form the Company would not be subject to any government dividend restrictions in 
respect of the two years ending 29th September, 1 979. 

The following table illustrates the appropriation of profits on this basis assuming 

(i) Corporation tax at the standard rate of 52 per cent, and an expected actual ratB of 
45 per cent, (taking account of the availability of stock appreciation relief) ; 

(ii) total net dividends in a full year of 5.5p per share ; and 

(iii) an issued share capital of 5,000,000 Ordinary shares. 


Profit before taxation 1,200 

Less .-Corporation tax \ (52%) S24 300 (25%) 

Profit after taxation 576 900 

Less : Dividends 275 275 

Retained profit 30f 625 

Earnings per share 11.52p 18.00p 

Cover for ordinary dividend . 2.1 limes 3.3 times 

On the basis of fully taxed earning® par share of 1 1 .52p and at the offer price of 1 1 5p the Ordinary . 
snares of the Company are being offered lor sale on a price earnings multiple of 9.98 arid on 

a gross dividend yield in a full year of 7.14 per cent. 

< (' • 

Financial Times Monday July 17 1978 


joMidltore of inoCornpVn? aK^mg8^S J e S2 ; !!l d Cpopw * & l * b,,n * Chartered Accountant* wbo are 

1 C un- nA t. r-* 

1 6, Wimpole Street, 

London W1M SBH Abacus Houses 

Gutter Lone. 

Th« Directors. London E&V BAH 

13 th Jufy, 1978 

i£firirar ,a 

The Directors, ■ * 

Hill Samuel & Co. Umlucr 
100 Wood Strom, 

London EC2P 2AJ 

Dear Sirs and Madam. 


(Jcwel t |or*\ U nd.^®/^? s V 0m P fln !S berate subsidiaries of » newly formed holding comnanv. Ernest Jonas 

an mcchanse of share* Tha Comwny was fS m 2^h Juns 
Group The *° *“*?■ c 9" lpany Dnd lts subaWianBS are hereinafter ^llemivete referred to u the 

GmuSaS' ItfanSSSSSlSnS^ 6Uteequem paragraphs of this report has bean prepared^" JSbalfe of tilt 

Tho following trading subsidiary companies are covered by this report for the periods stated i 
Ernest Jones & Co. (London) Limited 1st October, 1972— 1st April, 197B 

Roger Landes Limited lev October, 137 2— in April, 1978 

SaphC-nj Limited 1 (l October. 1972—1 st ApriL 1 978 

Howard Lawrence Distributors Limited 1st June. 1975— 1st ApriL 1978- 

Ernest Jones (Suburban) Utnhed * 3rd October, 197S— 1st April, 1978 

SSSiSSS^ 1 “ mp " ny - E ™“ Jon “ 1“"— •> ®— ) 

m ? u diltm of allthe above companies with the exception of Saphena Limited for all relevant 

it r*f Inc period under review. Landau Morley have been auditors of Saphena Limned for all of the relevant nariod. 
Warner Bearman and Coopers A Lybrand were appointed joint audftore of the Company on 5th July." 978. 

setVur^lo^rTiSlili n ™'T balanca sheets and ttmpmerits of source and application of funds which ere 

conventton S. Ju? aud| W J "counts of the companies. They have been prepared on the historical cost 
free and foirttew '!®S uch ad J us ™ on «.as consider appropriate. In our opinion these summaries give a 

^MtaffthSoiSv wSSSSSuSl appl,rauon oHun* « tha Group lor the periods stated end of the state 

i he c ' tccp, ' nn ofthe most recent completed accounting period, ended 1st April 197B, if has been Group pracrfca 
accounting !£?££' ta M ^ ** •** in ,h * ieporttn6Uch 

Accounting Policies 

The principal accounting policies adopted In arriving at tha financial information set out in this report are as follows >— 

CotwolWatad accounts have not previously been produced. For the purposes of this report the 
sepa-aie results of the companies in the Group have been combined to produce the summarised profit arid loss 
accounts, balance sheets end statements of source and application of fujics set out below. 

Turnover: Turnover represents the total value of net invoiced sates excluding value added tax and intra Group sales. 

P_* c *j as «ts are staled at cost. Depreciation is provided on all fixed assets, except freehold land, on a 
follow' 1 '— ° bSSW m °™ 01 W WntB of * their C0SI avK tirair expected useful lives. The annual rates adopted are as 

Freehold buildings 

Short leasehold properties 

Improvements and alterations to leasehold premises 

Plant, fum irura end finings 

Motor vehicles 

1 par cant per annum 

Over the period of the tease 

Over ten yaare, or the period of the lease if shorter 

10 per cant, per annum 

20 per cent, per annum 

Share capital 

The Company was Incorporated in England as a private oompanv W* 27th June,? 978 with an authorised share capital 
of £100 of which E Ordinary shares or lOp each warn issued fuHT P - ”- 
On 12th July, 1078:— 

(i) the authorised share capital of the Company was Increased from £100 to £100,000 by the creation of an 
additional 999,000 Ordinary shares; and 

pi) the Company] ssued 999,995 O rdinary shares consideration forth® purchase of the entire issued share capitals 
oi Ernest Jones & Cd. (London j Limited, Ernest Saphena Limited and Howard 

On 13th July, 1970:- 

fi) the authorised share capital of the Company was in creased front £100.000 to £800,000 by tha creation of an 
addhional 5,000,000 Ordinary shares ; 

£tt> the Company capliollacd the sum of C355A00 standing to ihtnwfit of the CompenV* share premium account by 
i he distribii non of 3,550,000 Ordinary i haras, credited if fully W rotcahly amongst the holders of Ihs Ordinary 
shares; and 

pii) the Company adopted new Articles of Association and beeanta a public company. 

Subject to the whole of the Issued Ordinary shore capital of the Company being admitted to the Official List by the 
Council oi The Stock Exchangeno; later than 2Qlh July, T878t WL 000 new Ordinary sham of 1 0p fitch am proposed 
to be iuued fully paid for cash. 

No share or loan capital of the Company or any of its wbefcHarh* to under option or agreed conditionally or uncon- 
ditionally to be put under opt Ian. On 4th October, 1 976, one Ordinary share of £1 of Err eat Jonas (Suburban) Limited 
was Issued at par to Mrs. L, A. F. Newman. Save as disclosed herein, no share or loan capital of the Company or any 
of Its subsidiaries has within two years preceding the publication of into Offer for Self been issued or is proposed to bp 
issued either for cash or otherwise end no commtesiona. discounts, brokerages w other special terms have been granted 
within the said two years by tha Company or any of Its subsidiaries in connection with the issue or sale Of any part of 
Their share capitals. • 

Without the prior approval of the Company In general meeting no material issue of sham (other than to Ordinary 
shareholdantprorere to exist lug holdings) will be made within one yearot inis Offer for Sola a no no Issue of shares will 
be mode which would affectively alter the control of the Company or the nature of its business. 

Articles of Association 

The Articles of Association of the Company contain provisions [inter efia) to the following effect 

1. Subject to any special rights or restrictions as to voting attached to any shares by or in accordance with tho 
Articles, every member who Is present in person st b general meeting of the Company chill have one vote, end on 
e poll every member who is present In person or by proxy shall nave one vote for every 1 Dp nominal amount of 
share capital of which he te the holder.. 

2. A Director notwithstanding his interest In any contract or atrenflemerit may vote end bo counted in the quotum 
on any resolution of the Board in reject of the following luatiw* a— 

(i) any contract or arrangement for giving to such Difwtoreny weurfty or Indemnity in respect of money lent by 
him or obligations undertaken by him for the benefit of the Company; 

■fii) any con tract or arrangement forthe giving by the Company of any security to a third party fn respect of ■ 
debt or obligation of iheCompuny which such Director haanunsalf guaranteed or secured m whole or tn pan; 

(iii) any contract or arrangement by such Director to subscribe for shares; debentures or Other securities of tha 
Company issued or to be issued pursuant to any offer or Invitation to members or debenture holders of the 
Company or any elassUtereof or to the public or any section thereof, or to underwrite any shares, debentures 
or other securities of the Company ; 

(iv) any contractor arrangement ip which such DfracW it interested by virtue of his intsraet in shares or deben- 
tures or other securities of the Company or by reason of any other Interest in or through the Company; 

(v) any contract or arrangement concerning any other company (not being a company In which suoh Director 

owns 1 per cent, or more) in which he is interested directly or Indirect ty whether as an officer, shareholder, 
creditor or otherwise howsoever ; . * 

(vi) any proposal concerning the adoption, modification or operation of a superannuation fund or retirement, 
death or disability benefits scheme which relates both to Directors end employees ot the Company or of any 

or advantage not generally 

of its subsidiaries and does not accord la any Director as such any 
accorded to the employees to which such scheme or fund relates ; am 

Stacks: Stocks are valued at the lower of Cost end net realisable value. 

Deferred taxation: Provision for deferred taxation is only made in respect of liming differences In the'essessment or 
allowance of income and expenditure In eo tar as there is a reasonable probability that a liability for payment wtU 
Wise hi the (oraweabfe future. • • - 

Profit and Loss Accounts 

The combined profit end loss accounts of tho Group for'tha five and a half yaare ended lst'ApriL'1978 are eat out 

below;— . . ■ ■ . • 

Years ended 30th -September 

Cost oi sales (note fa)) 
Profit before taxation 
Taxation (note (b)) 

Profit after taxation 
Earnings per share (note (c)) 

3,688 5,036 

3^82. 4.225 

.Six months 
■ended 1st 
1973 . 

(vii) any orrangemam for the benefit pf employees of the Company or of any of its subsidiaries under which such 
Director benefits In a similar manner as the employees. 

3. The aggregate fees of the Directors as such shall be not raor»lhan £20,000 In respect of each financial period of 
the Company or such other sum es shall be determined by Ordinary Resolution of the Company. ' 

4. An Executive Director shell recehre such remuneration (whether by way of salary, commission, fees, participation 
in profits or otherwise) as the Board may determine, end either In addition to or in lieu of ills remuneration 
os a Director. 

5. A Director may act by himself or his firm in a professional capacity for'tha Company (otherwise than w Auditor) 
and he or his firm shall be entitled to'remuneretion for professional services as if ho were not a Director. 

other allowances and benefits In favour of any person Including any Director or former Director or the relations, 
connections or dependants of any Director or (draw Director provided that no pension, annuity or other allow 
once or benefit (save os provided elsewhere In the Articles) shall be granted to a Director or former Director who 
has not been an Executive Director or held any other office or place of profit under the Company or any of its 
subsidiaries (orto a person who has no claim on the Company except ae a relation, connection or dependant of 
such a director or former Director) without the approval of an Ordinary Resolution of the Company, A Director or 
former Director shall not be accountable to the Company or the members lor any bandit of any kind conferred 
under or pursuant to this provision and tha receipt of any ouch benefit shall not disqualify any person from being 
a Director of tho Company. 

8.35p 1E,16p 10.95PL 


(a) Cost of Mt’es: The cost of sales includes the loilcwmg hems — 

Years ended 30th September 

Six months 
ended 1st 

























Tha Board may exercise all the powers of the Company to borrow money and to mo rt g ag e or charge all or any 
part of the undertaking, property and assets (present and future) and uncalled capital of the Company and to 
Issue debentures and other securities. Tha Board shoH restrict the borrowings of the Company and exercise all 
voting and other rights or powers of control exercisable by the Company ‘m relation to its subsidiaries (if any) so 
es to secure (but as regards subsidiaries only in so far as by the exercise of such rights or powers of control tho 
Board can secure) that the aggregate amount from time to time outstanding of all borrowings by the Group (as 
defined), exclusive oi borrowings owing by one member of the G roup to another member of the Group, shell not 
at any tuna without the previous sanction of an Ordinary Resolution of the Company exceed an amount equal to 
twice the Adjusted Capful and Reserves (as defined). 

i Company exceed an amount equal to 

Depredation 27 45 .63 98 110 58 

Interest payable 5’ 10 S 52 58 17 

fb) Taxation: Tho' luxation charge, which is based on the results af the Group for each period, comprises UX 
Corporation tax at the appropriate rates alter taking account of the availability of stock appreciation relleL 

A?* Earninpa pet share: The calculation. flf- earnings par share Is bosed on the profit after taxation divided by th* 
4. 550.000 Ordinory shares In Issue Jm mediately prior to-tiie Oiler lor Sate;, ■ 

(jI Dividends: No dividends-hnvc bean paid by any of thocompanles in the Group, with the exception pfa payment 
from /iwer LandesLimued to Ernest Jones & Cm (London) Limited in 1976. * 

8. No parson shod be disqualified from betng appointed a Dfoctorand no Director shaft be required to vacate that 
alfra by reason only o( the fact that he has attained the *ga of 70 years or any other age. nor need the age of any 
such person or Director or the fact that any such parson or Director is over 70 or any other age be stated in any 
notice or resolution relating to his appointment or re-appointment, nor shall it be necessary to give special not lea 
under the Companies Acts of any resolution appointing, re-appointing or approving the appointment of a 
Director by reason of his age. * * 

Purchase. of shares by Hill Samuel & Co. Limited 

Balance Sheets 

Thn balance shoots of the Group at the respective year ends, and 'at 1st April, 1B7S a 

30th September 

Fixed Aasats fnoto (a)) 

i set out below;— 

Under contract (2) below Hill Samuel & Co. Limned fWlf Samuel 1 *) has agreed, subject to the Council of The Stock 
Exchange admitting tha Ordinary share cap'itaFaf the Company to the Official List not bier than 25th July# 1978. to 
purchase 1,050,000 Ordinary shamcol 1 0p each at a price of 1 13^7p per shore and to subscribe a further 450.000 
Ordinary shares at a price of 11 5p per share and to offer all such shares tor sale to the public. The shares to be pur- 
chased by Hill Samuel will be provided as foilovra>— . 

Number of 

• shares 

Mr. E. Weinstein 363,542 

Mrs. E. Weinstein 548,458 

Mr. M. L. Weinstein « 46,000 

Mr, P. D. Weinstein , • 46.000 

Mrs. LA. F. Newman * 46,000 


The Company will pay the cost* and expenses of and Incidental to Its formation, the adoption of new Articles of 
Association, the Increase in end reorganisation of ha share capital and the application for the listing of its issued 
Ordinary shares, rts accountancy and legal expenses, tha costs of printing, advertising and circulating this Offer lor 

Current Assets 

S rocks 

Bonk und cash balances 

Current Liabilities 

CiutMorc ..... 

Bunk overdraft:, (secured) (note (bf) 

Net Current Amts. 355 

* 376 

Deferred Liabilities 
. Taxation (non (O) 

Not Tongiblo Assets 310 • 

Estimated not proceeds pf shares issued for caste 
Adjusted Net Tan glble Assets 

of VAT. Hill SamuBl_ wUI pay its own legal expanses, a fee to the Broken and commissions to underwriters of 1 ± per 
cent, on the offer pnee of each share. * . 

Material contracts 

Th« following contracts (not being contracts entered into in the ordinary cowse of business) have been entered into 
within the period of two years immediately preceding the data of this Offer ft* Sale and are or may be malarial :— 

‘(1) dated 1 2lh July, 1978 bet ween. Mr, E. Weinstein, Mrs. E. Weinstein. Mr. M.l_ Weinstein. Mr. P.D. Weinstein end 
Mrs. L'A. F. Newman (7tho Shareholders") and the Company whereby the Shareholders exchanged their 
shares in the operating subsidiaries for fully paid shares in the Company; 


Sham capital (note (d)) 







Sti3i<* premium 














(2) dated 13th July. 1976 between Mr. E Weinstein, Mrs. 
Mis. L A. F. Newman (1),lhe Company (2> and HilU 
of shares by Hill Samuel & Co. UmitKC’abovft. 

Operating subsidiary companies 

tern, Mrs. E. Weinstein. Mr. M.L Wbinstafn. Mr. P. D. Weinstein and 
and HiU&amueS (3) betog the contract mamtoned under "Purchase 


t J) Fixed A ssets: Fixed assets of ti» Group at 1st April 1978 wore mads up as follows;— 

Aggregate Net Book 
Depredation Value 

issued Sht/B 


Ernest Jonas & Co. (London) Limited 6,000 21stMey,1949 

Saphana UmhBd 5,000 20th Juno, 1955 , 

Roger Landes Limitad 4,000 17th February. 1 951 

Ernest Jones (Suburban) Limited . J 3 18th February. 1964- 

Howard Lawrence Distributors Limbed 3 3rd April, 1975 

All subsidiaries are private, incorporated in England and are je wallers whoOy owned by tho Company ore subsidiary. 

The Directors have bean advised that Irnmodiatoty following this Offer for Safe the Company will be a dose company ss 
defined in the Income and Corporation Taxes Act 1 970. 

Shortfall and apportfenment'Clearences (as appropriate) hove beea'obtainsd farthsaubekfiarlsE of the Company in 
'respect ofthe five years ended 1st October, 1977. 

Under contract (2) above certain shareholders, have given indemnities to tha Company and Hill Samuel in rasped of 
eslaieduty, capital transfertax and other taxation. 

Directors' and other interests 

Date of 

21tt May, 1949 

20th June, 1955 

17th February. 1 951 
18th February, 1964 
3rd April, 1975 

Stwr^oascholcf properties (including improvements and alterations) 
Plont, lutnnuro and fittings \ t 

'Motor vehicles 

(bf Borrowings! At 1st ApriL 1978tha Group hod bank overdrafts totafirng £230,000, aH Of which ware secured; 
this SHCuntv Iras now boon released. 

(cl Taxation: The liabilities for taxation comprise U.K. Corporation tax pays Wo more thwo no year after tha balance 
’.hi « datt'. For accounting periods prior to thoslxmonihsandedlst April, 1 9 78 it was tha Group > policy to mako fuIT 
provision for Taxation deferred os J result of the Impact of stock appreciation i relwt. Inaorardonea with Exposure 

luture. Tho dloct ofthis now policy is to wlminato t tejn^jw a ^owon in rast^^imMiCT oof wrad b y s tock Following the sale pursuant to contract (2) above, the Directors’ interests (wjthtn the meaning of the Com pa 

hKcTp" 1 948 to in the Ordinary abnes of the Company, all of which arc bwieftaaL-wBl ba as follows}— 

K.-.I.MU ■ — ‘ JVffil 

Capital pfiowwvcas in excess of related depreciation 
Stock reiiol 

s set out 



E. Weinstein . 
Mrs. E Weinstein 
M. L. Weinstein 
P.D. Weinstein 

Number of 

\ ^f.^.?v l o{?27th^uM^978i tha waunof 99 9J) IKa ’Ordiriarv afire* of 10n each tolly paid’as a result of tha 
^i- n,r ntion of its subsidiaries, the capitalisation issue of 3.550,000 Ordinary shares oflOpeoeh fully paid ami tha 
of 45 o!ooo Ordinary shares of 1 0p each firily paid wlmnfl.tom This Otter for Safe. The 450.000 Ordinary tildes 
oMOa ejeh are to be issued at n.prico.ot 115p par atm owing rise to share ptwetum amounting to £472,000 
against which hue been set the estimated expansw of tha Offer for Sate. _ 

Thr. .h-in- cnnital of £1 0 000 for the yaare ended 30th September, 1973 to 1977 include Is the sum of the combined 
iiba wa% eampSniM excluding Roger Landes Limited, a subsidiary of Ernest Jones 8t Co. 
\ London) Limited, prior to tho i or motion of tho Company. 

(e) Cvpfa! Expenditure: Tha Group had proposed capital ajtptmdtoiro W let April 1878 comprising • 

bs af 1st April. 1S7B reflects tha formation of Following ihe Offer for Sale Mrs, L-A-F. Newman, the d 

owner of 736.750 shores. Save as disclosed herein the Di 

daughter pf Mr. and Mrs. E. Weinstein, will be the beneficial 
Directors are not aware of any other shareholdings which win 

immediately after completion of this Offer for Sato represent five per cent, or more of the issued Ordinary sham capital 
of tha Company. 

Save as disclosed herein. 
m disposed of by or lean 

losad Director has Bines 13th July, 1976 had any TntawafiiSract or IndhtcL In any asset acquired 
of by or teased totha Company or Its subsidiaries or which Is PtopOoed to he eo acquired, disposed of or 

Thera is no contract or arrangement 5n which any Dfrastor b materially fowrested and Which « rignffinnt Ifl relation ID . 
the business of the Company and hs subsidiaries ("the Group") taken as a whofe. 


Contracted for but net provided fry ta the accounts nil 

Authorised but not contracted 1 ‘ J|UUU 

Source and Application of Fund* 

Tim combined source and appBwtton of funds of the Group forthe live and a half yew* ended 1st April1S78 are set 
out below:— Six months 

Yews ended 30th Saptembar muted 1st 

Thera are no service agreements between any of the Directors end any oei 
minabie by the employing company without payment of compensation (a 
present no ag re eme n ts ore pro posorL 

l the Group which era not dster- 

i statutory compensation) and at 

The aggregate emoluments of the Directors timing the yew ended 1st October, 1977 wen £81,000. The aggregate 
emoluments of the Ojroctors during the year ending 30th September, 197 a, under the arrangements in force on the 
date at this Offer for Safe, vriU be £64,000. 

Source of Fund* 

*585281 forifwns not Involving tho movanent 
of funds:. . 

Year* ended 30th September ended is 

■ April 

1973 1974 1975 1976 1977- 1978 

£000 £000 £000 £000 £000 £000 

203 306 427 . 40E 811 869 

Taxation adjustment 

Total Generated from operations 

Ap client ion of Funde 

Td< pjlri , _ 

Net additions to fi*od assets 

Increase/ (Decrease) in working captwf 
Increase in stocks , . • . '* 

- inaMw/fDoerajM) in ooomre 
DocttKie/ (Increase) in creditors 

Total application of lands 

Net (InereaeeJ/DBeroasefn Bonk overdrafts 
leas cash balance* 

45 55 

230 3B1 

88 110 
JR 921 

f!'. 228 169 ' ,942 '160 
“55 292 169 895 . 179 

Assumption* and letters o mu mover end profit forecasts 

The turnover and proto forecasts of tha Group for the ywr ending 30th Stptttnhar. 1978 set out above include tho 
audited results of rhe Groan for tin six months to 1 st April, 1978 and taka toMunt of rnanagemant Information forthe 
period to 1st July. l57B.Tha forecasts have been motto by the Directors oi tha Company on tha assumptions thpt:— 

(i) Tho raw of growth in soles achieved in tha year to date wifi be maintained. 

(n) Three now branches wiH commence to trade on the planned dates. 

Till) There will bo no Change in the rate of ^ Value Added Taxor in other sferififnntleafefetlon dining the Outstanding 

fiv) Thaiavel of overhead Gxpcndjuire, with the axoeption of known increase#;^ continue broad/y in line wilh tho 
level In tha first halt year. ' * • 

T6 ^ 35 ^ 179 Tho foBowing are cqpfes of Jotters whtdi have been recpNod by the Dbectwoa— 

^ 3 s. ^ I 83 S" 

(17) (240) . 5P (<«) (18) - (33) 

ISO 139 456 (IWj- 825 -359 

Tha Dlrectoni, „ , .. . 

Ernest Jane* (Jowefiera; Limited, 
Shifts House, 

1.7 Harewood Avenus, 

London NW1 BJD 

13th July, 197B 

268 ‘ 431 

802 1.004 

(38) (90) _j79) (268) (83) 464 

Dear Sire and Modam, - , % 

The turnover and profit forecast* of Emeot Jones Ucwtilara) Umftad S’SLKSpwriw <***• Group") for which 
•the Directors are solely t«pw»ibte. m *« out in tha document to be dawn July. 1378. Issued fa eonns«»n 

with an Offer for Sale, of 1^00.000 Ordinary shim of 10p each, fnctecerwiits 3j» iV m by audiied accounts for 
tha six monihs ended 1st ApriL 1978 and take account of management intoT»non fortha period to 1st July. 1978. 
Wo navo reviewed the accounting poficret and calculations adopted in arrMog at the turnover and profit forecasts. 


Chaiierad Accountant* 

Chartered Accouruaoa 

Your* truly, 


Orfeefors, . . ..... 

Emett Janes (Jewellers) Limned, 
Shiira Howe, 

1-7 Harewpod Avenue, 

London NW1 6JD 

Dear Sirs and Madam, 

13th July. 137S 

Otter for sate to be dated 13th July. 1370. In our opinion, tne torepasts ana me assumpnonw on vvmtn -.uuy 
based, for which the Directors are solaly rcsponsible. have been made after due and carelul enquuy. 

Yours foiihlulW, 





1. Neither the Company nor arty of its subsidiaries (s engaged fit any material litigation or has, so tar as the 
Directors are aware, any litigation V claims fif material importance pending or throaionod against 11. 

2. In tha opinion af the Directors the minimum amount which must be raised by the Company by the issue of 
shares 10 Hill Samuel lor cash (or any of tne maiten referred to in paragraph 4 (a) of Port i of the Fourth Schedule 
to the Companies Act 1 948 is £200,000 made up as fallows : 0) nil, (ii> £200,000. (iii) mi and (iv) ml. 

3. Werner Boorman and Coopers & Lybrand have given end hove not withdrawn thoir respective written consents 
ID the Issue ot this Offer for Sale with the inclusion therein of their joint report and their tetter in (ho forms and 
contexts in which they are Included. 

4. Hill Samuel has given and has not withdrawn its written consent 10 the issue or this Offer for Sale with the 
inclusion therein at its latter in the form and contort in which it is Included. 

5. Smith Melzack 61 Co. have given and have not withdrawn their written concern ta thn tc&uc of thi> Oiler for 
Sale with tha inclusion 1 heroin of the reference to their valuation in tha farm and context in which it is included. 

6. Copies of iho above mentioned consents, a statement of the adjustments made bv Warner Boorman and 
Coopers & Lybrand in arriving at the figures sat our in their joint report and tho reason j therefor and the contracts 
fisted above were attached to the copies ot this Oiler lor Sale and the forms of application delivered to the Registrar 
of Companies for registration. 

7. After completion of the Offer for Sale, Mr, Jack Arnold Bearman, of 35 Devonshire Place, London WIN 1PE. 
WiH be appointed a non-executive Director of the Company. 

8. The following documents or copies thereof may be inspected at the offices of Hill Samunj. TOO Wood Street. 
London EC2P 2AJ during usual business hours an any weekday (Saturdays excepted) far a period o! tourtcan days 
from the data of publication of this Offer for Sale:— 

(a) the Memorandum and Articles of Association of tho Company: 

(b) the audited accounts of the subsidiaries of the Company lor the two financial years ended 1st October, 1977 
and the six months ended 1st April. 1 978 : 

(c) the material contracts referred to above; 

(d) the faint report of Warner Bearman and Coopers & Lybrand, their rtalemem of adjustments, their letter dated 
13W Jtrtv. 1973 and thair written consents : 

(a) the valuation of Smhh Moback & Co. and ihoir written consent: 

(0 The Inter dated 13th July. 1978 from HtU Samuel and itswrmon consent. 


Applications (other than employees' applications made on the special pinkforms referred fobolotv) must be made on 
tha accompanying form of application and bo for n minimum of 200 snores: thereafter applications for up ro 2.000 
■hares must be for a multiple of 100 shares, beiwcen 2.000 and 5. D00 shares in multiples of 500 sham, bom eon 
5,000 and 25.000 shaies in multiples oi 1 .000 thates end above 25.000 sharer- m multiples d 5.000 '.hams, each 
2BD BY 10 A.M. ON 20lh JULY, 1976. Cheques, which muFl be drawn on a bank in and be payable in England. 
Scotland or Wales or drawn on a Clearing bank branch in the Channel islands or tho tele of Man. mu it be'made 
payable to “National Westminster Bank Limited" and be crossed "Nor Negotiable". 

Hill Samuel reserves the right to present all cheques for payment upon receipt and to retain letters nr oereptanra 
and surplus application moneys pending clearance ol applicants’ cheques and to i«i(cci any applications in whole 
Of in pert, in particular multiple applications end suspected multiple applications. 

Preferential consideration (up to a maximum of 150.000 Ordinary shores) will be given to applications made by 
emDioyettt if made on ihe special pink forms of application provided. Such applications must be (or a multiple of 
100 shares with a minimum of 100 shares. 

Acceptance of applications will be conditional upon the Council of The Stork Exchange admirtina the whole of ■ 
The issued Ordinary share capital of the Company ro the Official Ust on or before 26th July. 1973 Money;- paid m 
respect of applications will be returned if this condition is not satisfied and in the meantime will be retamud by 
National Westminster Bank Limited in a separate account. 

If any application is not accepted the amount paid on application will be returned in full and if ,mv application is 
accepted for fewer shares than the number applied for a cheque forthe balance of tha amount paid on application 
will be sent in each case through the post at the applicant's risk. 

Arrangements have been mode forthe registrar ion by tha Company, free of stamp duty, of the Ordinary shares now. 
being offered in the names of the parsons entitled thereto under tho terms oi letters ol acceptance which will bo 
renounces ble up to and including 8th September, 1978. Share cortificatcs will be available cm 6th October. 1978. 

Copies of this Offer 1 for Sale with ordinary forms of application may be obtained from 

Hill Samuel & Co. Limited 

TOO Wood Street, 
London EC2P 2AJ 

71 New Street. 
Birmingham B24DU 

5rh Floor - . Tower Housfc 
Merrion Way, 

Leeds LS28PA 

1 9 Sr. James's Square, 
London SW1Y4JQ 

15 Clare Street. 

Bristol BS1 1X0. 

39 Wigmorc Sfteet, 
London WIH 0AL 

23 Si. Vincent Place, 
Glasgow G1 2DT 

Brazen nose House,. 
Brarennosa Street. 
Manchester M25BP 

Fielding, Neweon -Smith & Co. 

Garrard House, 

31 Gresham Straer, 

London EC2V7DX 

National Westminster Bank Limited 
New Issues Deportment, 

P.O. Box 79. 

Drapers Gardens. 

12 Throfimonon Avenue, 

London EC2P 2BD 

and from principal branches of National Westminster Bank limited. 

DATED 13lh July. 1978.- 

Ernest Jones (Jewellers) Limited 

,AT A^'^TlM^THERUFfEH'ON THE^j^ME T, DAY. TH ^^^ D ^ , 


fatertfian 10a.m. on Thursday, 20th July, 1978. 

Ptntal Applicants are advised to use 1st class letter rate and to allow at least 2 day* for delivery. 




E Applications must in for a minimum of 200 sff nes ; 
thereafter applications for upio2,tXX>uharea must be 
in multiples of 100 shares ; between 2.000 and 6.000 
shares In multiples ot 500 shares; between 6,000 
and 25,000 shares in multiples of 1,000 shares, and 
above 25.000 shares in multiples of 5,000 shares. 

Amounts payable an appTication 



payable an 

Number Amount 
of shares payable on 

applied for application applied for application 

§ Number of shares for I Amount of cheque 
which application is I enclosed 

made I 

1/We enclose a cheque payable to' National Westminster Bank Limited forthe above-mentioned 
sum, being the amount payable in full on application for the stated number of the above Ordinary 
shares of lOp each at 1 1 5p per share, and l/ws offer to purchase that number of shares and l/iwe 
agree to accept the same or any smaller number In respect of which this application may be accepted 
upon the terms of your Offer for Sale dated 13th July, 1 978 and subject to the Memorandum and 
Articles of Association of the Company. 

I/We hereby authorise you to send me/us a fully paid renounceable Letter of Acceptance in respect 
of such shares and/or a cheque for any. moneys returnable, by post at my, 'our risk to the address 
given in the box below end to procure my/our name(s) to be placed on the Register of Members 
of the Company as holder(s) of such shares^ the right to which is not effectively renounced. 

An applicant who is unable to make the follqwing declaration should delete it and : 
consult am Authorised Depositary* (or an Approved Agent in the Republic of Iralandt) 
through whom lodgement should be effected. 

I/We declare that I am/we are no( resident outside the Scheduled Territories^ and am/are not 
acquiring shares as the nominee(s) of any parson (s) resident outside those Territories.. 

I/We understand thefdue completion and delivery of this application form accompanied 
by a cheque will constitute p representation that the cheque will be honoured on first 

I/We acknowledge that letters of acceptance and cheques' for excess application moneys are 
liable to be held pending clearance of applicants' cheques. 

First or sole Applicant (1). 

July. 1378 

■4 First NamB(s) (in full) 

4 Surnamo and 

fMr- Mrs.. Miss or Title) 
< Address (in full) 

(In thh case of Joint Applications all further applicants must sign and complete below.) 


First Nama(s) 

(in full) 

Address (in full) 

First Namo(s) 

(in full) 

Address (to full) 

surname and dasignation . 
(Mr., Mrs., Miss or Title) 

Surname and designation . 
(Mr., Mr*, Miss or Title) 

donated Accountants 

| J Please pin cheque hare 

A corporation should complete this application form under hand by a duly authorised officer who 
should state his representative capacity. 

A separate cheque must accompany each application form. 

Cheques must be drawn on a bank in and be payable in Eng land, Scotland or Wales, 
or drawn on a clearing bank branch In the Channel Islands or the isle of Man, and must 
be made payable to National Westminster Bank Limited and crossed “Not Negotiable'’ 
and are liable to be presented for payment on receipt. No receipt wilt be issued for tha payment 
on application but an acknowledgment will be forwarded in due course through the post by a 
fully paid renounceable letter of acceptance and/or the return of the application moneys or any 
surplus thereof. 


* Authorised Depositaries are listed in the current obud of the Bank of England's Notice E.C.1 as amended 

m d Mode most banka and stockbrokers in. end solktews practising fa, the United Kingdom, the Channel 
Island* and the Ida ol Man. • 

t An,AwTOMsdA0em in the Republic of Ireland is defined In ihe current issue of the Bank or England's Notice 

* the R$!toDcof T teSmd ^ w?Ji^to C ° ,nP,iSt J ” Tha Uniud Kfa8 ctom - * hfl Islands, tho Isle of Man, 

Financial Times Monday, My IT 1978 


Lead nwwger 





W eakening in floating rate notes 

ALL SECTORS of Hie inter- depressed by one of the weakest domestic issues, and that the the impetusfor a break . The nee^M ni«sarily 

national bond market were last spells recently seen in the quality of foreign borrowers will markets reaction -to the Chase rate issues] neea flK aec^njy 
week waiting on the outcome of German domestic capital market therefore be limited to those Manhattan issue in particular is mean tne ena oi in-year noaiere. 
the Bonn summit. So were (weakness which persisted who could offer bonds at 6 per indicative of a change in tone. In a further sophistication oi 
operators in major domestic through Friday when the cent or less. Dealers agree .that the momen- this argument some say that 

capita! markets. It was felt that Bundesbank bought another The Japanese domestic market rum of the earlier strength of since banks are large-scale 
quite apart from an.v effect sum- DM 360ra of domestic paper), is also weak at present Two the FRJM market created a sub- holders of FRNs, a widening of 

mit decisions (or lack of The basic position is that the foreign borrowers are thought stamial initial demand, but that margins on bank loans is needed 

decisions) may have on foreign German authorities are caught to have postponed plans for new some selling- group members before demand for FRNs dries 

exchange rates, changes in cur- between anxiety not to raise issues in September. With fater regretted fibeir si&scEspti on up. However here too there is 

rent domestic interest rate interest rates and a heavy public Japanese seasonal factors expec* ant j tried to offload bonds at a flaw of unknown significance, 

trends in key countries like Ger- se etor borrowing requirement ted to increase liquidity in the significant discounts. in that FRN investment tends 

many and Japan could emerge Thc ,. ie | d differential between late autumn, Japanese securities -j^ e expected flotation early to be carried out by banks’ 

German domestic and foreign sources sav that these borrowers vee fc with a classic quarter money market departments, 
bonds is already large, and are probably hoping for better point maigin of a Urge issue by which ore separate and have 
although dealers reported little rates later. a British bank — rumoured to different criteria from conuner- 

seliing by foreign investors last A kev indicator last week was be Standard Qrartered — did not cial lending departments- To 
week there is no room for it the fall in floating rate note belp demand for the Chase issue judge from a comparison Of 

to widen further, they say, (FRN) prices — the first real &a ppjday. syndicated loans and FRN issues 

without stimulating switches by sign of weakness here for gome consider that the for scene recent borrowers, 

domestic investors from foreign several months. Dealers are expiation of last week’s fragi- arbitrage is far from perfect, 

into domestic bonds. however divided in their mter- uty in p-RN prices runs deeper m American Express Interna- 

The German capital market P r ^ on ^. ^ than technical reaction 'plus the * ona f^anXing Corporation is 

Friday subcommittee is meeting today vnees whU* ivn °“J n SSt o?a squeering of terms. According raising 0 ? five year floating 

from the meeting. 

This said, trends In the 
markets lust week could be 
viewed as being reasonably 
clear. The straight dollar bond 
market picked up despite further 
increase^, in short-term interest 
rates ;>nd despite The news over 
Thursday night of an extremely 
sharp rise in ibe US money 
supply (prices were marked 
down by dealers on 

down fty dealers on rnua? •. « 1 — „ r „r--_ t Tro context or a «*“““» raising ssjam ot nve je«u uu«luib 

morning but recovered when no reasonable SoSIy* “market * the ^^certificates. of deposit 

selling emerged). Conversely, the new issue c^endar. Given “riewTtfais fragihty is the converse of the (FRCDs) Through its London 

Deutsche Mark and Yen foreign the sensitive state of the market. ^ bas ] om , steadiness of fixed rate prices branch. The FRCDs will pay 

bonds were both weak while a limited volume Is expected to r ^ a * ec * 1 T 1 ri ca i and reflects expectations that interest at a quarter per cent 

floating rate notes came off the be scheduled. It is also thought nf terms U.S. interest mates are close to over the middle between the bid 

German authorities reaction and the rimving of terms ^ +npo SrJSr T-nilm* InterJunk 

foreign issues and lengthen ing of matunties 

top. that the 

In summary, developments would frown on -- - ~ .. . 

might suggest Unit the dollar ufferim* higher coupons than for several recent issues provider 
is due at least to stabilise, and 

that dollar interest rates are 
peaking out. 

However, with the exception Mcd5um lcrm 
or thc continued firmness of U.S. una term .... 
dollar fixed-rate bonds, last 
week's trends could also be 
explained by developments. 

within each individual sector. Euroc | car 

The Deutsche mark bunds were cedci .. . . 


the turn. aDd offered London inter-bank 

The big- problem -with this rates. The rates on FRCDs are 
explanation Vies in estimating usually set at a quarter per cent 
the significance for future above the offered rate, so this 

July i« 





July 7 

99.06 9-0* 

92.60 Ml 

99J4 (19/*) 
■>4.07 <12/4) 


demand for FRUs. The extent to issue will shave it per cent off 

(nominal value In Sm.> 
U S. dollar bonds 
last week previous week 
. 2.215.9 931.9 

.. 1,817.4 5*5.6 

outer bonds 

last week previous week 
196.9 227.0 

228.7 295 Jl 

Low which investors in FRN overlap the usual level. The group 
(SrS with investors in fixed rate issues through which the FRCDs are 
’ l /w as a matter of hot debate, being placed includes several 
■although marginal] switching may Middle Eastern institutions. U.S. 
be expected to depress thc banks have no t, so far as is 
former sector ns it supports the known, issued FRCDs in London 
latter. In other words, the before. 


NEW YORK-sov jokes 



iSirua: vr-mpilai'n 

1 July j 
1 13 


1 12 

Julv 1 







i &4 * ,2 J 





Rises and Falls 

| Jm v 14^ July 15[ Julr 1- 

Bigh J<'W ' High | !/■»" traded 1 



Uo.-iisnicM — | 

Nun Hl^hr f 

New Luw< 

















IiMuvIrml ... 859.82 824.76; iS4.-4;82 US' 416.791 u 12_4Ej 866.81 
I ■ i ffWl 

H mfBnrti*; 86.54- 66.951 -d.Os! 86.75 06.91 87.U 80.86 

, ' i 'I i «/ll 

TrtD-p-ii.... : 225.36 225.07' 225.66, S22A4^ tSO.SOl 2 18.S5! MM I li -U 
’••'ll [ ■ 16 / 6 ) I ld'l< 

5.65. 106.45 106.72! 105.24, 705.01/ 105.56. 110.96 102.14 

; | | ■ j j i5; 1 ) I | 2 £<-J 

Tw-linc i . I I : ' 1 

uOuM 28.570; 25.6101 28.640! *7.480] «.470j 26.460! — 

fi nine— (05.i 

f £0/4/69/ 


74/. 12 I 106l.70j 
tma Hlhl/IiH <2(1r3St 
86.75 1 - 










loduurta 1 







185.86 184.121 lbi.12 





182 . 00 ] 

194.68] 196.00! 1-2.10, 191.08] 

1S5.B8 (14(7) 

TORONTO Compute) 1158.l‘ 1148.1] 1141.61155.9 1158.1 (14/71 





228.71 227.8 
246.51 246.8 

257.1 (le/l) 

261.2 (14/7) 



170.62 (30/1 • 

996.2 (50/1/ 

185.0 (20/4: 
194.9 (15/5 > 

Hum* i<i 1 nilr* uluiii|;(.*l innu Au|(u< 'j4 


July 7 

1 June M ) 

1 Juueaa 

j ileara|;uappp->3c.) 


! 5.71 1 


| 4.85 



| .Inly i Julr ■ July ! July ! July July 
i 14 j 15 ! 12 | U 1 10 1 

J I lulllbl niRlF. 

f CoRi(«y>ile [ 



JSIore Compilat’n 

Belgium tin 9654 
DenmarkC*"/ *54 

Hicli > !*■«■ Hiyh 

107.90. 106.34 106.50! 106.96; 106.751 104.761 UU.68 
; i fW 

97.5a; 96.2b 1 =6J!4 96.9S 85.97 i4.8il 100.32 
- I • I > nirt'i 

Franoe lit) 






1 1 lyl/7J> 




tMffciiZi Holland 83.8 
4-40 „ „ ■ 

HMV) Hong Eo^rj 067-a8 

Italy »ii'; 6L«3 


rJiinc 12 ■ 

Jiii.v b ) 

June 1? 

1 Year ago (approx.) 

1ml. dir. yirl.i % | 

5.07 | 

5. IB 



Imi. I'.fc Hal in 





ti-nu Ui»v. lailnl JIvH ! 

8.69 ( 


8.67 1 



to)' 424.86 
J 344.67 



% lull.- 









fl; 3) 













47 Jf 

































I July 




1 14 





(ti) 1 102.18 



<9» 5) 




ifh 590^1 


58/ X 5 

1 3m 








(25 -i. 

III) Beldao SB 31/12/63. (“» Cooenbaarn 
SE 1/1/73. (*ti Paris Bourse 1961. 
ail Commen&anic Dec., 1963. (U) Amsi-.-r 
dam. Industrial 1970. <3I> Bans S^nc 

Bank 31/7/84. i|[Sl Milan 3/1/73. (alTcfcyo 
New SE 4/1/88. (b) Straits Times UKt 
(c> Closed- uf> Madrid SB a/12.'T7 
(Cl SKHAbotm Indus trial l' 1/38. (J) 5wis< 
Bank Com- (in Unavallaole. 

Indicts and base dates UH base yain-/ 
100 except NYSE All Common - & 
Standards and Poors — 10 and Timn'o 
300- L 000. tbe last named based on 1975'. 
t Excluding bonds. 1 400 IndusV-aN 
3 400 Inds~ 40 Utilities. 40 Finance and 
20 Transport. (1) Sydney All Ord. 


Julv 14 



4- or | LHv.ill'1. 

- I S 

AbG- i 79.2 *■ 1-0 j - i — 

\lnvinz Venicb...’ — ; 51.2', 

sjUV '244.0at + 2.5 jie.Oti 5.8 

BtSF.. 131-OtC:-rO 2 18.76| 


MB.7M— OJ8 18.76 

iiavvr-H)|M>._ 287 • ........ 28.12 

Barer ' ereinrt>L.‘ 318.5. -rO-5 I 18 

i_!b»IOt.Ne«l.«Tt»; 160 i — 

OuuunerztaQIr,...; idZ9.5j - «o.dd 

(i |imtn i,. , 77,0+1*1 i — 

IMln>'-er Bent—. 300.5 id— 1.0 ,28.11 *»-7 

L><<-iiL>a...„ J53 ■ 17 0.4 

Ueniar- 156.8 + 1-3! 14 4.5 

u e ii(.r-be Hank... 301.8*+ O.S i28.l2| 4.7 

240 • 28.121 5.9 

180 *,-6 ;9.58| 

203.0' + 1.5! 12 

Drv-duer bank—. 

Dyckerhoff ZemL' 

tlnpe^ Llpyd ; 

Harpeocr — i 

h.V- llil 


Horten — i 

Kali mid sail— 

KinUilt..- j 

KaulW. i 

Rh-kmr DU ICO.. 

KHD — : 

Krupp. — i 

Lin>le— . — -.1 

L- wen )■»■□ LOli....: 

Lulcbanaa..... — .! 

MA> 1 

Uonne'inatm ; 

lleulfeea - 

Muu-djener Kuci 

Cieusiaa Dll 100> 

Kbein Wert.Eiec. 186.1:— 0.4 
.■cLenflg...._— ... . 267.6fli + 1.0 

- leoiene — ....j 285.5' + 0.7 

uj Zucker^. 261.5' + 1.5 
ibyaaen A.G — ... 

Vaita...— ..... 


v'erelna k WaatBb 


124.0 +0.2 '14.041 6.7 
286 «J+U.b, *16.72) 5.7 
127.2 + 0.2 I18./b( " - 
4B.l ! +0.3 4 

138.5' 1 9.56' 

145.0 -0.5 i 14.04 
317 !+2 ;33.4i 
90.5 + 0 8 .’ — . 
103.8 + 2.8)18.76) 

260 : - 26 

1.415+5 25 

1Q2.7,— 0.3 I 9-3b| 

202 - + 1 | 12 | 
180.3+1.3 17.1Bi 
252.5 — U.5 • 10 
567 !+2 i 18 


174m!— 1 

127 .4- +1.9 
287 1 + 1 
224.3 + 1.0 

25 6.7 

28.12j 6.2 

, lb 







l*ie I 

Hlsll , I Sl.vk 




24 i» 
201 b 
44 -i | 

25 | 
34. - 3 | 
35>a I 

25 M./..II Jal^ ; 

13 'a ..\iiiln-u»iam|ili ...' 
31 Ir j.VeliiB LileiL'**..| 

22 ia I Air l'nrineiH ; 

' AlinnAlmnlmuini 

;%!»•.« J 

Liiitlum ...; 
Allegheny INurcrj 




17i a 



40 1; 
27 l a 

I.VIIW I 36 <a 

I \lllel stores 

22 1 h Cliauner... 

5i u ! \max ; 

22^8 j \iiieraiM Hivr....| 





131; • 
6153 ! 
62>s ! 

31', I 

24 1; I 
39 ; 

32 Ir i 
” 7 an 

A hut. Airliner.. | 

•\iuer. llreihK \ 

..liner. Ilr»«ili«»i.j 
Amor. Cali.. 











54 Jr 


34 Mi 

231 8 ■ Viiiit- 28'. 3 
23h inner. l»M.7el.J 33 
2l4a ' tnior. him ISiu; 234, 
5l4n I liner, liyjuvw... | 

26 ia ■ liuer.Hmue Pn»l| 

I6s« Auior. Mo>i nail....: 

'.liner. Mnli>p... .J 
39'a ■ \mer. Nel. t,fu...j 
32 ’■« l mor. Mmiilnnl.J 

2Bl,i ! liner. Siiev ' 

67 ■* >.\ iiK-r. Tel. 4i Tel. | 

27.3 Inielel, • 

lt»lj AMP 

i.\ :vi i* 


60 1 g 
32 . b 

17 -'a 


1 1 

14 ( H 


25 5(i 

1 II-k1.iuc-| 


25 L 


: VillirilM.'i liii-. 1 i,.! 


3 1 


' \nin-" iiivl 1 


L‘ 2 i* 






l-jiiiii-ni Oi/.. ...1 


201 * 


, \innii • 

14 ia 



Vliimi-i 1 ill 


b Ir 


til. l:i'.-lilii-l'l .... ' 

49 1 8 


\il|n L Ini n 1 'nv...' 

3 1 Jn 





A \ 1 • • 

5b. « 


■ V\ i*u I'ntliii-I-.... 


24 m 

.Unit l.iv l.ifl .. 

25 ;« 

25 in 

20 >a 

Llmik Aiiii-rua 



iMuka-ni Jr. N.YJ 



itiurML-r Oil 

2 bij 



•iiHxii't I hhhiim. . 


Za •; 
■UJ ' w 


8b I, 

In 'a 

59 1; 

2 'a 
201 , 
22 >8 
25 > 2 

iI.Riln.v P.ial 

|1>. 'ti’lil tli’hi4ln41. 

Ik-Ill 1 1, men 

■ lien- its ! 

'Lk iiUiii'l Cull- 'U'] 
lUelliifliein M« i.i 
'd.HL'kik L>L'.'heJ ... 

LI. Tina 

il'-iarf Lamtle.... 


.IR+4 Unmet.. 

: Oran in 1m, ........ 




4b -a 




59 1 ; 
2a' a 






79. Si | 

29. 3 
16I B 
24 1" 
59 >, 
35 1; 
14 : , 
261 t . 

441- : 
C2-'a 1 


Xrataii'A* ' 

; 14^8 

2B< a 




Uni. I’d. ADI!...] 



1. 'H-r-.j 



'Orun-wiC-b 1 


] LIuctTUr hrtu i 

i 18 


;llull>tn It ali-li ... .1 

6 f a 

• Uunm2iiiiiMlm.| 


75 1* 

3 1 'p 

Oam|(vii a*.ii|- 


14. a 

•«. niiailimi I'm.-ih. 1 


10 ( n 

; aliH> (/uu.f.ilpli..) 



1 .Hnuilii'n 1 

281 j 


l^arri'+.l I'l'iictm' 


..artil Hawiey.. 

17 Jg 


iiuLi-riiiHHi TraO- 


43 J« 

Vib 1 






^ i iitr.n A s.\' ....1 




1 20 



52 Ir 
28 >4 





451 b |UorninK 553e 

42 U CPC Int'ii'iiniinl 49 'z 

241* Crane 28 

221b JCroeheii Nut 27 

2910 jCirnen Zellorl belli 314, 
33ij iCummlU' Boulnei 375* 
Uurtlsr 'Vru-bl...] 



28 'g 

267 B 
161 ; 
275 B 
467 8 
12 Ub 
12 ; a 









Dun | 

Dart imluMne*.. 

Deere _...! 

Del Monie | 


Deo!*piv I n/er... 
Uetrnli K-ii-sa >u — I 
Utanio»( >li*iuri l | 

114a jDictaphnnv- 

385a |DigU» S* imp 

Ulmtev ilVuiti 1 

jDnverC**rvo 1 

Ditw l , lienili«i > ...| 

DravA | 

DrewH'f I 

Uymo lu.iuame>n 

lA/rn- PMier 1 

Kast Airluici. 1 

Kn»tu*u K,elHk.J 



















27 1 a 






12 t 3 

27 Sr 
17 >* 
26 1* 

27 ia 

UiAU • 

Kl Pn-n Nm. line 1 


Huter- n Klu-inc] 

K.M.I ■ 

tinceiiiiinl I 


fciihyi | 


Rri. 1 1 ’ , |* . .-?l»ire»| 

Pln*l*av Tire | 

Fa. Ail. th.-um.' 

Kle\l l»n... 

JPIllll k.Hi- j 

2B?a IP'orhUi Pi.ucr^..; 
506* ^'liun 1 
















297 0 

22 i a 
13 4 



83 7 B 
36 Ib 











3 7, b 




II 1 * 





John* Manville... 
Johnson Jolmreu 
Johnson Cmitml. 
Joy Hamuactur^ 
K. Uar Coqi...— 
KaiBor IniiusLner 

40 l a 
273 b 

Ken HcGee 

KuLle Walter 

Kimberly Clerk- 


26 Ig 

Kroner (Jo 


Lease whvI rails- 


Levi btreuss 


Libby On. Fowl... 

33 N 



221 * 










34S* 'I 
48i; ] 
261 ; ' 
2168 ' 
£0*3 i 
247a ', 
4850 I 
1630 | 
770 i 
13 I 
4330 1 
164 I 
88*; • 

26*; ]Llejtel LiltHJp 

3 67 8 1 Lilly! III?] ... 

141* Li tun Indus l 

li )u«rfcbeer( Aircrtt 
171; Luoe Star Imlm*. 
I860 jD.nitd lakna'I Ltd 
20 1* iLuuiahuis larul. 

334* ILuI'iiki. 

13 ' Lucky SUton 

5 f; iL'ke Viuu^tViiJ 

94* jUncMilMn 

3Sse |lL*e> K. H.._ 

29U |Uu*. Hnnover_.. 

31 •Mapni 

40 /Aliirnilvy/ Oil...., 
113* IlLinne UuUaivl. 
19 10 illanUi Fkkl — 

477 8 
44 >4 

8670 1 2 O -.-0 [VUy UepLstorvi 

22 l B 
273 b 

12 1 8 

20*; )P— 'Ll ■ 

4Ubg Wi.r.rt 

17 iKireuuni Ui-k.... 
2760 lri.\l«.n. 





Kmukun .Him....' 

Kixvi-.-l Uiiiiivi: 
r'n.wuiui : 

tiu,ne *u.l— 


46 <a 
27 hj 
29 is 





177 0 















87 8 

221 * 

" icn. v aj'ii 1 1 

jiieu. Ifjnnimo, -! 
lien. Lleanw....! 
jiieu. P<k»1' { 

lO.X.F 1 

|(.innneit ' 

.(jen. A met. Int.J 


111; 'lien. loiHr ! 

26ag . 

263* jliYficm. .11 ill: 

67aa iLn'inm 5l«tur-.J 
18 10 .Cen. Puli. L til...' 

24 Kiuii. 5l!>nai 

28aa Hen, Tel. KleeL.J 

2260 |«ien. Tyre. -.1 

37a jlielur«i : 

23** jiiL-TtM Pfcimy. 
551* [Lelly Oil ' 

29 5g 
271 0 


28?0 ' 
22* ; 
201 ; ! 
287 S ( 
2*; I 

« i 


6U' ; d 
25 -a 
53 in 
31 la ! 

Ce«*ju» \irer.ili... 
^'liH*,' Unuiu-uinii. 
'Cuuiiii.-ai Ub. NV 
'CIiotI'i uli ri>nii.i 
,i In.-sik 1 vyieem-.j 

■CHr*fcll+ I 

uieiMiiM ' 

’ v me. MiLil-tvii.. 


itiilev sen iee— . 
[City luur-un*;.. 

• i«n Ci«ui 

Lnl^Hte 1 * 111111 .... 
i .nllmi \ik 111 tu ..'1 

£6lj |( iiluullilii Oil- ... ' 
15’* ilhIuiiiI'Ih Pul. . I 
14 7 a l Ci'iii.1ii'>i'n+'*Ami 

ill* iL Mllll ill* M"1J tiUL>[ 

106 H 
45 ti 

153* n , i<ui.'U«Ll'Hl Hit.. 4 
£6 7a II •ni'tr'Ui Klmme 

II. 1 " 111 'w 'll. Oil lla-l I 

IC'm'uThOil !(•■ 
I*., 1 , 1111 . sntelliu-.i 
’ tiuterthrioik-vj 

£5 . 

2 *f 

29 ■* 

8 *h , 

3Ua ICi'Hii Life Ins-.. a 

187® j 

21 >8 jCMn.C<liit.ii NAJ 

231 j !c«iwl bwl" I 

34»* 'Ci 'i in'* .Nat. Ii«*. 
21*, ICi'liniluer Pi'«e*1 
283« iL'i'iimieniH* 

2bi* jC-HiiiiiviilHi on..; 
14 -,3 L'i'iitmenml I'elw 
23 sb •i'.miihiI ■■■• ’ 

40** k>.-i*r lu-.lui i 

11 *0 
47 .'a 
417 a 
11 ta 
27 Ja 




















297b ] 
22. 8 | 
1 T'9 I 

3078 | 
28>, ( 
9'-6 1 
3is» j 
14*a I 
67 '.1 
41Js I 
29** 1 

2510 Uilkflle I 

19 .’(..ninHi H. t....| 
lb?* 'tiovlyiw Ti,e...., 

2470 :*.;«mi.t I 

237a 'LttUi? IV. IL I 

63 e i'Jl. Allan JAiv'Jenj 
221 ; tlrt. Nnrtb li.Hl.j 

lliil'* liuuil 

'C* till Jt WenicrnJ 

Cull U11 1 

iHalihiiinii j 

‘ H-i 11 im Minnie—' 
Uanu Uipll... 
•Ileiuz H. J....... 

IHeiiL-lem..._. ... 




64 7 0 






22 >2 
54 1 ; 


83 la 
26 Is 
4 25u 

6l7.s 'HfU'i, IVIiirI — 1 

14*, ;HvMli1ay lutu ' 

SO*; )U'wne»tsL0 ! 

43** ' Him i*-e well ! 

Hi; IH.v'tfr _.J 

22*t | Hie *--C',T|.. A met j 
23 In | S bt.Ghv 

10 1 a |H„nul'bJiK'hni, 

I HviLLi (b.P.I j 

i'I.C. {(nfuvtriei-.i 


341 4 

35 7 d 

I n|*.. , 'v*,'l 1 luubl... 

iliihunl Steely 

12^, HubiIlv. i 







23i a 








311$ I 
34*9 > 
241* ; 

483, > 

2070 I 
39 5® 
40*4 ! 

571* I 

071* j 
b6*, ) 
SOU 1 
42 1 

2a *8 I 

19 U | 

323$ ;XL‘A 

213* iMeilviiiivU — 

223, IJlelHjnnel* Duu;] 
16*0 'UeUraw UHL... 




26 1 * 

M«uioie+... — ... 


lilemii Lyrn.’/i... 
|Me»» L'ettuk-um. 

'uuxi , 

4du | kliun iI1n"A)li”j 

68is ] dglili Cnrp 

445a lil.niMUJtu..- 

395* )Ut*i;*uJ.F 

34j b .lla.Uiro'a 

53 1 lluii'li* UK 

23 1 , j-NthiKM 

2a*g Lbeiutes ..1 

14 | A ■tlieai Can . — • 














48 U 





23*i 1 
16. e | 
11 *8 
273* . 
411, I 
26 1 a I 
31*i i 

277 a ; 

21*9 l 
56*; ; 
167a • 

20U SaL Dtewllero...., 
12la jN+l Servicr Ini. 
291* .Anthiii*. Steel.... 

333a ,'Aaiiiij*-.... 

37 V* SCIL 

13 iNepUuieltup. 

21*0 ‘New ba^iunl LI 

33 !Mvu GaxiBiiiilei 
IsTb I .Niagara Mobnwk 
9*0 INuL^nra Sbnre — 
15>c ,n Jl ludufctrk^.. 
24i* i.ViioihSWeitern 
345 * Sort b Sat. liu. .. 
24 IS Dm. Sut» I'm 
201* i.Sthup-i Airlines 
211 * ;S ill weit Hancori 
165* iS.'rt"ii.Siniiin „., 1 
2u ii V-khrufaB, Peinx 
371, i.i*ln> Matlwr.... 

171; .'lUim tUMi. 

13 la |c»lin 

lb i0 

55 ie 
24 Is 
291 8 




39i e 












HIM .' 267.5 

Inti, riai-ru rr_ ] 25 *a 

lull. riar*eeiiY.. . 

Inti. MiniCInou; 
lull. UuitiiunL.. 

I ilia 

I nb*. Pnuer 


IlnL Utx-tilier 

.lul.Tei.A lel„.. 

1 UnvCIIl 

27 In ]l.iwa Beet 1 

10*0 llli liitenuumiwi! 

27 19 [Juu Waiter. 4 

261 ; 
36 Ir 
6 '4 

37 L 
4u 1 j 





23 *1 

20i* iUi'eroeat 3bip".. 

271s jUw em curning J 
19>a fUuejis Uinoib.... 

231* jlViiU (ins 

184* I’kcllli; Llablma 
201* Pan Put. i Lui..j Eli, 
4 Pan Am Won* Ain 71* 
20 .tarter Uanaillu4 
801a 1 Peabody IdU... 


3u3 4 










Pen. Pw. A L.... 

Penny J. C 


Peoples Dmc 

Peu[ilce Cob 

Popfctct' — 



211 , 






25 Ta j 
S 4 S 0 1 
27 | 

195a | 

7Ua 1 
5STb ■ 
25 , 

248b | 
18V; , 







Pertm Ulmer-... 


PBM - 

LTlelifc Du>l-c... 
Pblbidelphla Kle 
Philip Morris.-. 
27 Ir jPbdlipa PMlv'm 

331; iritabury — 

18*« PHney Bnwov.. 

20 >8 I Pit la Lou 

16la jPicoaey Ltd ADU 

54 SB 

















287 B 

28i a 


.1 my- 

!<eTk' 0 ...— 

Keynoiits Mend-. 1 , 
Kevnol>(> K. J....) 
Uicb'son Stemii.. 
K» 'knell Inter...: 
Kohm k Hwb... J 







60 Vg 

3 IS* 
39 le 
7i S 



111 * 




16 i B 


Koyml Dulcb I 

HTK ; 154 

Kure Lt^i I 

Ryder *iy lem -..! 
Mirny otorer...i 
Jue 11 mem l- . 
;L Kesi- Pnp«r...l 

mala )> Indr ! 

Saul Invent ; 

«vm Imi*.. 

jehiiu Brewing - ■ 
ivliiuinbtnia 86 











n>jil taper 1 

;i\ivii Mrjf j 

3uuililerDuo. CajJ 





207a I 
54 j 
194 | 

82* I 


175a I Wool worth.:... „.. | 

s* jWyly 

41 ! Seres — ..-J 

14J* i^apeia 

11*8 ;3emth itadio. 

93, i ;tr.3.Tmt-4® 19BL, 

797 8 !uoTre*-4i5jT5^f t79t 8 
6 .07%) 0.5. 90 day Wlh.l 7.05<fc 






t94l g 








427 B 






















102 , 










3e« Container. ...I 

peaimtni | 

•SewrleiLiJJ.i ! 

IJnei neb...,! 

3KUU.1 ! 

•>beli Lbi I 

snrllT mn- (. 11 ...! 

dlnuai : 

bl^niaie Cory— ..j 
{duiiTiiieitv Pal ...| 

iniith Kiine 

>.'iilron - 

^ouLhtlvTwn ...._ 

'’Jiilliern Co': j 

SUnt.S'vt lie;. 

■viiihem tarllK.I 




227 B 




497 t 

367 S 






M 1 ! 









37l 9 




























poutiiiand .. 1 

V«-’r Ban-bare.. .[ 

Sperry Huudi [ 

■?|«;rry l>rvl 

314111 ( 1 ... j 

ilaivianl itmivi- J 
3M. UilCHliluniMj 
3pl. Oil ImlMIlH. 

■■I t.ilihi. 
siaim 4 

ilerlius I imj. 1 

•stislelMW 1 

33*a (juo < 























MJtfclrlnUMt — 

'lyntcs | 

leebiuevhir.- j ,13V* 

leMn-nu -.4318 

lek-iyne. 108 

I'elea" — 66a 

reoecn 1 3Ut 










53l e 



7** iTex.iv<Petrehaiin| 10 s * 

121. I Ifil. 

23 1 3 
13 4 


Vl'-SNo^Ull ( 

iw*» fcortern....} 
loxiw liot'in j 

lVxa;, Oil A Gb^j 

lea*R L'tilltlca.- 
UtiiLe. inn 

17iii.:w Mime, ...J SS 4 * 
n-i,— T -7 

fl m ken 




I L'tnii.' L ui. .u ] 

214 1 Torn- way lulr'ml 
95g jl'nua IVorIP A 11 J 



I'm vel^r. 

Tn CoahaenUi . 

26 U 



. a*** 





85b , 
52 1; | 
60*0 j 

20 ig 



41 I 

JOlb Leutury Piol 









U.IWJU.. | 


Uniiever 1 

Cu never NV 
Li u.4u UKin.-.a-Fi, J 256a 
Union CarlH.le.—t 38lg 
Union Ci.nnniorMj ® 
Union 1 ui 1.411,1. ■ 477a 
Unkm Pacltiv ( 44 >b 

88 'b 

251; iPcHriroid ... 

14*0 I Pi>t on me Klee. .. 
231; PPG Industrie*. 
73 j, I Prcuer Gainiile 
21*0 ] Puu Serve Eleet 

24 iPullinan 

1510 Putt:, ..... 

201 ; MmkcrUai, 

570 Ilia piil American 
29>s ( 

22 ;i(C.\ 

22 jUceui-liediuel.... 

lfiis [Kesorta lull 

33 >a 
16 t b 

8 '* 




280 * 








247 8 







6i a 




32 i S 
161 fl 



us Uu& itrf..... 

La 1 iypmm. ...... 

uSatnof —j 

l--> a/et'i 

Us Icnhihik.-uK'-l 

UV Indibi no. 

V iryiula 

Wile Men 

W ft/uei- tinuiiiiJ.- 
_ Wa. t^- Uan'ineDi] 

24>* IH Mil — Fbp;(. I 

296; '"’ertorn Ban, rtf 




ft Vlwu A. Artier 
'V«*iem Uokid... 
Werllusb.« Bier 




860 , 




20 i* 



23 1« 
a 2 




247 B 

20i 9 


20 10 


W uvurtuien-i-r -. 
Will' l{m,i| 

IVhlU't.'ili. 1 nil—.' 

WiIImiu Co , 

Wlaec-Doln Eleet-1 







141, 1 
tie ( 
22 I 
22 ij 


58 w 

14 1 8 

Abitibt taper 

Ana ico Kaff"?— 1 
Visom* dteel 


daak at Moutrea 
Books ova •'cmia 
Basic Kouarcer. 
Bell Telephone.. 

201* iBovValleylod... 

22E 8 
67 U 

29 U 
19 1; 






BP Canada- 


Bnoco — 

Cu^ary Po*er... 
Uamdon Uioe»... 
860 jUanmla Cement. . 
97s rC-tnorta Sff Ian./ 
221* Um.liup Bk.CGm 
18 UanaiM Imluat 
I6I3 CKn. PociBc.—.. 
151* |Um ta-iftc J nv.. 
51 {Can. super Oil— 
3.05 chrling 0‘K<s>ie 

8>a lOesxtar Aabe»t».| 

39 U 

lb7 B 











29 4 


08 1 ; 











3l5 8 






Coin 1 net' 

Con-, botliurvi... 
ConMimer G»'-.J 
Coeka Ke-ouiw 

ICotam 1 

Dami Devel. 

UeoMa Miner 1 

Diirn Mine-..., 
Dome Petroleum! 
Donuuiou Bnrt*tei 

Uouitor— 1 

Du^onr. — ... 

Foal Molar Can 

27 1 6 



























Liens tor 
U litnL Xel'wlinilel 
(.full Uil C&iuuia.. 
Hsu-kcr atfl.Cmi 


Ui.nw Oil 'A' 

HmlaonBay Mnuj 

Uu'.lnoo Hay 

UudionOli A- Gw 

I.A.C. - 

I maoco — 

Imperial Oil—, 
luui ...... — .... 

43 7g 






187 fl 

177 5 


































IrWal 1 

Inland Sal. Uu. 

lal'p.v Pipe Line 

Uiurt Fla. Ci^.j 

18 4 
111 * 



Lob law Coni. 

U.ruiu'n BV»itJ 
Ua-M?y Feruiiainj 


Ui/.« Corpn ■ __ 

M ouuta 1 dbCkte Ka| 3.65 
S'utnikla Mvwh — 28Sfl 
S Enov.y„.[ 

.' llm. Teia-uin —j 
Sunim Oil A CSrti 
k/Kknool Petri 1 ni 

Pkci ue Lemper M 

16 ig 

44 1 

371; I 

17 I 

4.90 I 


24: B 





IC 1 I 3 













tacihc Petroleum 
Paru.Caa. Pet’iuj 

PeopK> Dei* *»..-! 
PioeeUanA Oil... 
Puii-erDe veltif im 1 


vjueber siurpmul 

254 i Kanp erOII.. J 





Keen Bbsn 

Kio AiKOm — | 

Kuril 8k .01 Can 
uojai Tm>L I 







16 4 








104 I 
6. 50 

22 1; 




■sceptre li’r on rc*+| 


sben Lilts* la. j 

sbemnG. Uid» 
■irWn- U. li... . 


.wet rrf Cauoito. 
steep Honk Iran-' 
I'esaco Canons.. 
Loren to Duai_Bh 
Iran.- Can Pipelai 
Iran- Mount Up, 1 


UuuuUii. ..' 

UbL SIrcOw Minis 
Walker Hiram.,.. 
West Coa- tT ran? J 
tVcatou Cleo J 

26 i a 








ttHydm Quebec 

ttChase Manhattan 

§Thom Seebiea! 
fCCCE (g’teed Franc* JL 

fBanfc Hapoallm 
fAfrican Dev. Bank 
tBanque Ex. d'AljJrit 
j. C. Penney 

















63 „ 

















8 ..I 



5 _ 




Schroder Waff 

EBC. CSWW. Montagu 
F. Boston. Bach*. 

Merrill Lynch 
Chase Man. Led, 
CSWW, Orion 
Hambros . 

BNP. Credit Lyonnais, 
Dillon Read Ow. 

N. M. Rothschild 
CSWW, First Boston 
First Boston (Europe) 
First Boston (Europe) 


W 5 




§lzumiya 50 

J§Ricoh Co. 70 

tRicoh Co. 

(g’t’d Mitsubishi Bk.) 30 

U^CSC 70 

JCorp. for Econ. Dev. 
(g’teed S. Africa) 25 






Bay. Vereinsbank 









Deutsche Bank 




n A 



Norges KommunaJbank 100 
STokyu Car Ltd. 30 

§AH Nippon Airways 100 
**Scandard Bk, of SA. 50 










Bay. Hypo und Wechv, 
Hill Samuel 
West LB 

BHF-Bank , 

Deutsche Bank 
Dean Witter. Bay- 



r*l B8 250 

t** Bayer 250 

t*"* Norway 250 

t**ECSC 350 











7 1 






Banq. Int. a Lux. 
Banq. tnt. a Lux. 
Banq. Int. a Lux 
Kredictbank LuX. 

7J5 - 


Gen. Zentralbank 












Cr6dit Suisse 




World Bank 










19 m 



Gulf Int. Bank 

■ m 

Kuw. Real Estate Bank 
Credit Irnmobitier 
(g’teed Morocco) 


1985/S — 






KUC, Fm. Group Kuw. 

Com. Fed. de Elec. 





ABN, Pierson 


* Hot yet priord. t Fba3 twrms. •• WocerncnC- t Floatiog rate note. 

ft llagMMed wfth US. Socurltlc* and Bccha-80 Coreramion. 

Note VtoMs are calculated on A1BD bwi*. 

|| Minimum. 

1 Purchase food. 

i ComvrtMm. 



July W 

Ando American Carpa. ojB 

East Driefomeln 13.49 

E labors — — — “.07 


- 6.90 







Kinross ...... .. . _ _ 

Kloof — 1»39 

RusJpnburg Platinum — . !.S4 

SL Helena 13.73 

Sontb Vaal 8.(B 


Gold Fields SA — tM.25 







Union Corporation 
De Beers Deferred 


East Rand Ply 

Free Stale Gednld 

President Brand ... — 

President Stem 7*2.76 

Stilfonteln ... — 3.60 

Wclkom 5.30 

West Drietontehi 3&69 

Western Holdings ..... — 53.70 
western Deep *3.00 

+9 Oa 
— 0.K 



Anglo- Am cr. Industrial — 

Barlow Rand - 

CNA Investments 

Carrie Finance — 

De Beers Industrial - 

Edgars Consolidated Inv. . 

Ever Ready SA — 

federate VoikaDelesslnss . 

Grcatermons Stores 

Guardian Asorance (SA) 

H alerts — — 

McCarthy Rodway 


OK Bazaars — — — — 

Premier MUllng 

Prorea Holdings 

Kand Mines Properties — 
Rembrandt Groop 

Sage Holdings 





























C G. Smith Sugar 

Tiger Oats and NaL Mfllg. 

Unlsec ..._ 

Securities Rand U-S.$0.69i 
(Discount of 39.78%) 







July 14 

Ahold (Fl.Hlj.... 

Aka) (Fl^J) 

Amein UnkiFl.iOUl 
AUKV 1 Fl JO) 

Aiorotjauk (Fl. llli) 


Uoka W**t'ni(PtQ[ 

Uuhrm XetierDdej 

BlmwerV (FiSPl 


Boro ComT-tiFI 10) 

■i ir LtirrmuM F>0)[ 

deineken (Fl.28).J 

doo^uvens iFLM) 

XJ^H. iFLlOCn— 

Idu Mnllert 
Noordeo ( FLU)... 
Not.Nallas.iFl 10, 

Oce iFl. dO] 

Van Uauneren— 
takhued 1 PL aO»- 
PhiUpv (Fl. 101....I 
KeOeco iF(.OU)..... 
dolinoo iFL 601— 
Korea b. (FL 30/-. 
itoysi Uautai FU9)| 


itevinlirp tVUMi 
1 'otyoPac. 
11 all ever |FI.«SU)-I 
Viking fas. IdUJl) 
WesUso ' d a . . Bank I 



Jonra (Dnrkti - 

Lenrnrd Oil 

Hclali Bsplomtkm .... , 

(-41111 Hoktinin* — | 
Hy« Um port 11 1 1 1 ........ . 

Netva— — 

Nicholas Intcruatuviiai 

North UrekenUMlnca tbUci 

UakbncU;r L 

Dll afamvh-'.. 

Otter BxpKmib.-n 

Piouecr VJoiwjm.' 

lusekitt ti Ortutan 

U. C. Sleigh-.- — 

?ouUUmd Aftnlng — .. 

?|Aigpa Lsijtomikiti — 

Iwth (Si — — 

Waii.ina. — — ...| 

Wniwn Mining (60eents 
H («.<invift fa.....— 1 


July 14 

Aru (eiBtatnk su — 

benu’^t W — 

Danrke tan it . . . — . 
Bn.-! A* <mi I. Vi- 

Jj Keener 

rur. tapir...— 


G.Ath'n BLUiriOl 

A DTl tiatM' .—I 



tTrivinchank .— . 
So[4>. Uervnsrisea 
3 a perl uo 










+ or 




















T , - 





— 1 














July 14 

AliA An(ltr-W)- 
Alla Lavai8(hrtU 

AS BA tKr.30)_.. J 
Ilia <Joficn(Ki2u 


8o»ora | 

t-anlo — ... 


Blect'lua'B'iK rbC| 
brlo*no 'f (KitC) 

faaeitc “B" 


Unages (free! 



Ho 1 Jeh Dom-io. 
MMI'lm A.B i 

>.K.F. ■«' Kn-.J 
akau-l baBkikla.. 
iTuktatik ‘B' K«!( 


Vmwi (Kr. 30).... 



146 , 

65. on; 



+ «* 

+ 1 

— 1 

+ 1 

301 J-l 


56 j+1 
60 1-1 


+ 2 




Kr- I i 










8 j 2.7 
4 I 4.2 

s. /a 










7 Bid. lAbked. 5 Traded. | New Stock. 

July 14 



+ or 







+ 20 


Hq. Bn Lamb.... 





beam -B\. 


+ 20 



UJLiL Cement.-. 


+ lb 





+ 6 








Biectroliei - 





Kobnquc Nil 





tj.B.lopo* Bm 

















— 5 
+ 30 



Lai ltnvniu Bet vp.. 


+ 20 


ft 7 

Pan HoUlios .12.6^0 


2 9 

Pterodun. (5.790 

Vue Hen Unouu?_ 2.950 
we Gen Boi/rfauel 1.930 
dulliia .13.140 







+ 10 










1' rati ion BlaH 









V tell in UijaiaKUtr 



July 14 

Ault. • 

AUMIL(U>ceiit> I 

ioow Au-tmlU 

Anted Mac- Tolu. In V^S'l 

Ampol Kipiunul.'n — ... | 

Ampo) PettvieiMM 1 

Miner* I* ! 

Pulp ta[<T SI I 

Arsoc. Can. Iil‘lunlru~ ) 

AuvtJ , 'aum1ulon 1 inert....; 

AJJ.l I 

Audhnco- I 

Ainu Oil A (ia- I 

Bamboo CtvuA tlv'M...- | 

lNnaUetai list 

Bougainville C'-mit 

Brambles Im(u*crie> 

Broken Hil* Prupnetarv.... 

BH booth 

Camera United Brv»erv-..- 

C. J. Um* 

C8UX31) - 

Cockbura Ceineai 

Urarv GoVUleMn Auvt 

Container (¥1) 

Coo zinc Ihot imn 

Cmuio Auitnrila — 

Dun lor Rubber iS 



SJZ. iMurtrlea 

lien. Property Tru«t 



ICI AiutnUia 

Inter-Copper 1 

Jemrinpr InrlustruM 1 



( 2.11 





1 1.67 














10. 14 
tO- 40 


+ «* 

1 + 0.02 



— U."l 

4— 0.0b 
















+ 0.02 




+ 0.02 


- 0.01 


1 - 0.02 
-0.0 1 


July 14 

Aaalil UI 
Canon .. 



Dai Nippon Prim 

luji Photo-.. 

Uitocbi — 
Bonds Motors-... 
House Food—...-.. 
C. I tab 


Ja«s» .... 


Kansa) HlrctFw 

Subuhi— . ... 
KyokbCesunic .-)« 
Uarsnsblte Inti... 
Mitsubishi Bans J 
Mitsubishi CorpJ 
Utteu 4 Uoui_...4 
Mppou Uensa— . 1.49U 
Nippua Sblnpan.. 

AU+aii Motor* .. .. 


>aoyo fctoairto—. 
^ckitui Kreulr.... 

•3 biMsidO— — — ... 

’•-•ay — 

diis/io Manns—.. 

1'okoia Uhemwa- 
l UK - 

r«Vn -...J 

V'vWiu Marvne......) 

loki.j Ktecrtaw'j [ 




























U*jro Sanyo — 
tohyo auihonn J 

luivKa Motor-... 


+ « 



— 7 
+ 1 
— 1 



i 12 



I — lu 

+ 1 


+ 20 
+ 10 

+ 1 
+ 10 

?* 1 





0. 4 

1. b 





0. 9 



1. b 

0. 7 




1. B 




Jni>* U 


vipqaei LVcHlVr) 

Alt l*qu<ti- - 



Uot/.t gur 1 - 

U.-.N. (lerris.— 
Cartwonr — . 

C.U.U. J 

C.l.T. Amatei—i 


Club Mmliter 

Cretin Cain Fr’e* 

Creuwx lot re | 


Kr. IVlrnlM— ... 
Ccn. OivfcienbiK 



IWi 4.9 
15.96! 2.9 

741.2!+ 2.0-i 
4B8.5) + 8LH 
31 —6. +0.6 
631 1 + 1 
489nJ— 13 
923 |+4 
662 i+13 
1.630 ! + b 
362.9! — 2.1 
1,067 -1 
341 +1 

429 ! + 5 

129 ! , 

73.81+0.31 - 

768M 1 1 55.76 

13514—3 114.101 
191.5! + 2.5 1 8,76 

Div. 1 


Fra. | 








40 J. 
3 l.b! 
176.60 1 













Iiih'IaI ; 

Ja-xiuea Burel.—. 

Lslarun — 


Uacmiul ... 

*lal-*u» Khomx. 

Hott HennesBcy . 
I'nnjw*. —I 

201 . 8 ) 

499 . 

153.9)— 1.1 

lVctuner | 0/ 

t J «>.'anl. ... 267 

179 , 

I'ucJmui .... 

Kodin Tcliiikiue. 

Keduiiiu. ... 

U tillin' IVtiieni- .. 

at. botain-....-. 
fcb NuMteun.— 


loU'iiwianiqiie — 
ih+nnaou dmnrit. 
U*iiu<r — .— 











+ 1.8 
+ 1 

~ 8.3 


15j7 1.9 
3B.7K 2.1 
39.3 8.0 
32. hJ 2.4 
laTS 2J5 
3 | 1.9 
. ls.d& 11.2 
—0.5 7.6) 8.5 

407.9 + 16.9)17.8 






! — 3 
+ 12 


July 14 








+ 7 







+ 1 


dlvyc Dalrmer.... 




Veit Magnctt. ..J 






Juiy 1« 

Aoenita OF 

Banco tin Hnuil.. 

dencu llau 

dui^ii MiueiraOl 

AiuT . Of. 

AlroMw PP— 

Pirelli ......... 

■>ou7ji Cni* OP - 

Uuip KU- 

1 toe K'o Done PP 









+ or 1C nia 
- Div. 

+ UtiJl( 

+ U.U1 

- -tLOHD.a y 












' " 128.9 







Turnover: Cr. 156-Sm. volume: 74.2m • 
Source: Rla dc Janeiro SE. 



4- or 



Jnly U 




ttvtfien uank — 




ilvmtuml .—.... 





0 re 1 1 tbanfc ... 








Kn»iii kasM/u — 




Aurek UvirokrJ*. 











July 14 
Banco Bilbao 


Source Nlkko SeaiHues. Tokyo 


July 14 

Mum inuiin — 


(Jila GelKytFr.lQQ 
Do. tart. Cert. 

D<X IICR— — 

Credit 3Uiose..._ 
B/eetroirast ItMIW* 

Km-ln-r (tMWTRei. 
KciUnun Pt Cert*. 

I>.. lanstll)— ..;7.033 
lntenool H—..-.>5.975 
Jttinirm {TV. 100/. [3.410 
Nestle (Fr. l(W....»,490 

Do. Ueu— -j2.84o 













Kireili blK(F ICO 
ssilikc tPrJlta. 

Du. liutCens.. 
acbindier Ct FKX) 
niter CUPr. W0> 
wi-ooir (KJrtft— 
whs Bwh. F.lJO.] 
iv Lm (KjjiKtEMX- 

LnUm Ban k .. 

<5urub las-.— 












+ 16 



+ 5 

+ 1 







































2 JO 



AN 1C. ! 


Fiat .......... 

Di\ Priv.— — 
F insider 

lialcement - “v- rj --- 

I rai idilcr, Wfl-2,5 

Oilmu Wfiw-I 
Pirelli k Co. .—..) 
llrelll opft,,«-«-- 
3nia V (score 



+ or 

95.0]— 0.5 




1.476* — 3 
123.d— O.S . 

147.76 +a76 
970 +2 
1.610 +11 
943^6 —1.76 
733 _2 

Ulv. STM 
tire | * 

lBd 8 £ 


600 | 





130 8.1 
BOi 8.5 

Banco BQbao 

Banco Adanuco flJWO) 

Banco Central 

Banco Exterior 

Banco General 

Banco Granada U.MN) 

Banco Hlopann 

Banco uxl. Cat. (1.000) 

B. ind. Mednerraneo... 

Banco Popular 

Banco Santander (3506 
Banco UrQuUo fljHM) 

Banco Vizcaya 
Banco Zanunsono — , 

Banfcumou - 

Bonus Andalucla 

Babcock Wilcox 

OC ; 


lomobantf .... 

E. L Artusmesas . SLZ5 

Exsl. Rio Tinto 02 

Gropo Velazquez (4001 165 

Uldrnia 7A25 

Ibeiduero SO 

Olam - in 

Paneleraa RounUaa TO 

PetroUber ; ; U6 

PetroleoB 207 

Sarrio Papaleru — — 57 

Srdace 47 

Sow Boa 12a 

T-lerotoca 86JB 

Tbima Hosteocb - 96 _ 

Tuhncex 100 

Union Elec. tug +- 0,75 
















— 1 




- 1 




- 3 


— 3 

26 Z 

— 3 




— 2 









- 1 


- US 
+ 2 

- U 

— 1 
— 4 

+ W5 


Him); Knnjf 5 

• l<« t. Inna S942 

AntalgaciMr+xl UuUvr .. .. 


Oli ina Llslit it Putter 

City HuI+Ih 

C«wiinipultia!i Properties-] 
CtvH, Uartimr Tunnel- ... 
E. Asia Jlavitpiriaa,-.,-., 

Hnn« Kong Aircraft.. 

Hmct Kiuip Klcctnc ' 

July 14 

; 2.326 


loon W inri 
Huns Knpp Land Invtn... 
niHc: Kuntf Sliannhal Bank 
HnujzKoii)' Sliani^wl Ri/tli! Whampua. 

Inter. Parttlr Somritl^..| 
Jan lino Mntliescn,,,..... 

Janlinp fat's. 


SlniO Unrti^ 

Snuihp. Pfc*. Prop. 
faiitliBea Textile.... 

Swiru Put-ilia A 

Textile AlUnnrv......... 1 





Tcrtdoti'mvt FL>nj* Ktrayl 
U&rdca— — . 


Whbekx'k ilnritirao...... 

WimaT lmiuBtrial.. 


ia .30 












July 7 

26.40 * 















3-70 . 

id Ej-cU»Wbiv 1 • Hnjnv. 

Susb. Swpended. 

I Seller. 

notes - Oversew prices exclude £ premium. Belgian dlvldetxls an alW 
wlthhoiding tax. 

«DM».tfHML • milfiss otherwise stated. * PtasJW denmn. unleSB «0nxwm 
■taied. *KrJW de»«n. unless olherwlae Mated. * Fn^OO demm. «Ue» 
otherwise auted. S Von 50 detioui. unleu otiMcwlso stated. 8 Price at time or 
suspendon - a Florins, b Schillings, r Ceuta, (/Dlrldond after oendUUT 
and/or scrip issue, e per snare, j nm 0 Gres; <ftv. %. b assww 
after scrip and/or tights tone, fe Aner local Urns, in % tax fwe. a Franc*, 
loclodluz OBfae <9v. v Ham. q Snare apUt, a Div, and - yield exrinde- SDSrial- 
payment. t indicated div. u Unoffloal tradtns. v umortiy bolder* art*-- u Merger 
pending. * Asksd. T Bid. 3 Traded, t Seller, r Assumed, or Ex' rights. SfiEk 
divulcnd. nZx scrip issue. xnSx alL a interim ninw» tncreasod. 

■ S 

- — FfaancfaT Tories Monday July 17 I97g 



gjgsscra^fK ssssgsr-st 

*SBSa::z» -- = SSSS^KtaJli 1 - 1 

"u lill -•■- - 2 Phnn of Wales Rd, ffmouth. 0203 7E7055 u 144 

Wooer Fund uij in, "— ■ — UX. Cub Fuad , WfiJ 101.91 I __7 Ua»J»iidH<»sc,Somliefld5S12JS 07026 

£Wtt. wgp orty--^ IH1 Bit " — J*J- Equity FundZpOlO 112ft I".'! _ XiwIZ«yjwFlui.|M£5 MA*.... 

PnuSelenhT.. ..M.4 8ll ■’" “ GJL. GUI Fund lilOJ 116ft ... J „ Small Co's Fd 90.6. 9£4 +0.3 

zStSfciiS; ttttSOcV mr\z MSCttBS a SS :::: 

JSiMfcriJlSI 1| = Growth* Sec. Ufa Aw. Soc. Ltd. V gSS m.7 =81 

WMsn.Fd.Scr. 4 024 ranS " ~ WeirBsafe.Bray4n.ThaiaM.BcHu. oaas-Man £lltEde«j lfi 3 — ■ 10*6 10J1 +0J 

^•Wiry Fd- S«- 1 .. *5.5 “ flexible Finance-. J 0-044 t .. . i _ Con. DeporitPd.-496a +0X( 

Fd, mr*i ~ 10^5 iffi j Landbaak Ses S Acc[u4.4 SS,,7 ll7.J .!. | Z Norwich Unite Insurance Group 

rnceast Jub-4. Vniuailw aorta uiVieadar G - *S. Super Fd._P OM4 \ I — PO Bor 4. Nanrieb NRI 3NG. M032 

•W. CracorhuchSt. EC3P3HH. 01-6ZJ42/ 

Manafied Fund ..._.. |1«5 T54.7J- t _ 

Prices July 3. .vm dealing Aiiaurt 2. 

New Zealand Ins, Co. (UK.) Ltd? 

- 2 Prince of Wales RcL. ffttouih. 0203 7*7855 l,ZT*ZZ 

— GX. Cub Fund 101.9| ... .1 and House, Soulbend SSI 2JS 07D2G2855 Babmerd fOnda 


Abbey Unit Trt., Mgrs. Ltd. (al ■ GJulmore Fund Managers ? (a Mg) Perpetual Unit' Tins* Mngmt.f (a) 

72-80. Gatehouse Rd., Aylesbury. 0C86SM1 r.St-Msry Ate. KC3A 8BP. 01-2833531 48 Hurt St, Henley on Thames 04912G888 

Abbey Ca pi io 1 1329 35. Of j Ufl faiABancanTsL ..137 0 taiH4_nxi nm i»~u n >i(v,ri<i. nai a? m i m 

•Wbey Inetdoo- -DM CLft , .. I 5 .7b sntishTrt.i Acv.j. 

Abbey |ttv. TsL Fd..pT.l Sf-li +0.H 02V commodity Share 
Abbey Gen. Tst fM.9 47JM — 0 428 Extra Income Tjt 

Allied Hambro Group? (a) (g) H^noom^TsL 1 

H umbra Beg, Hutton. Bretn wood . Esavs- . tnBsjjPjfgl' 

««“ 3M1 or Brentwood 10=77; 2U4» ftflKft , 

50 rS hh. fl.iAM.1 


~ RX. Equity Fbnd__pw.0 112ft _ 

CJ. GUI Fund plS.i .... J „ 

— Ol. lnii. Fmid ^JUUS 123.5} ....!_ 

Kiwi ZoyJnv.Plaa. 142.5 

Small Co's Fd 90.6. 

Techno) ory Fd 95 4 

_ Extra toe.Fd..., .. 881 

uetw. Managed 1757 tir* •■ • — Gi. pray. Fund. 196.7 iQlft .. . I _ Extra toe.Fd..., ..88 8 f3J} .... — 

VProp.1 jH"™| Growth & Sec. life Aw. Soc. Ltd.p ForEfl^i'd^ '. 1G63 mi 3l _ 

sy •m ~ SSSSs’^sT; .“T^* ™ = 

•Money Fd, BcrV iw!q j^I'S “ i^ndbank s^Actlu4A 0,,7 il7.4l ( H Norwich Unite Insurance GnmpV 

Pncesat July^ Vnluailw iwrMlr 'fiiesciay G -* s - s “P« , fit-.r 1 j — PO Box 4. Nmwieb NRI 3NG. 0CT32M 

Albany Life A MBnu «e Co. Lid. ' £“!T? a “ Boyal Enchiwge ^5! = 

Allied 1st. 

HrtL Jnd*. Fund 


Elect & Ind Rev. 
Allied Caaital. 
Ham bro Fond. 
Uambro Aer. Fd. 

701 -0.1 
67 0 .. . 
39.70 +&A 

76.9 +02 

342ld -03 

m.tI -voj 
174 m -0.9 

3 9« ^'4 

0.07 PpetoatGoXkfa 09.1 42.01 . ... t 3 JO 

3.M Piccadilly Unit T. Mgrs. Ltd.? OXb} Arhuthnot Securities (C.L) Limited King * Shaxson Mgra. 

906 WardstcHse^SSa London Wall ECS 4380801 P-0- Boa 284. SL Heller. 7er*»7 0a472l77 1 CbarineCm«. Si Ilfllw.JiTJi" iOJC-S'73 

i« 1 . n 1 ito Ertra Income 

734 : 03 

U.74 lATg-i-Ml 

Sf -■ Private Fond— 

15 Gibbs (Antony) Unit Tst. Mgs. Ltd TocfanoJoRyFmuL- 

SSS:S NL aan "Tflt ™= 

S5- gk^:S?ED h s ?r.g2 4 ^i £ 2J 8- Pnetlnl Invwt - <*■ U** Wirt America locational S.A. 2SJSSS2.SE55 

4JI w Deal me -TUM. TlWoZ *4. Bloomsbury Sq.WCl A 2RA 01-0330883 35 Boulevard HoyaJ, LuieodNwrt: 6» Konnyest Lui Ff 

r^rcett (John)? PracOcajUuly li_ U55| 165.41 I 426 wldmvcit Income iB.’Siawi BIOf-MJICl 775 Guernsey Ine. .'. . .W 

■ flo r*V . ”“ ,7 „ _ Agbub, Units [2203 23391 1 42b Prices ai July 13. Nut sob. d*y JuJy 70- Do.Accum 179 

7-S Small Co'a Fd 
Capital Fund 
am lot Eras. & Assets- 
5-H Private Fund 
Aecnmjtr Fund 

40.7k .. . 
373 -02 
643 — 


293b -a.i 
253a -0.1 

„S Cnp.Tat.«enw..JlibO Uftfl I 

sis . Neat dcaiinii date July IB 
S-g EaM.«ariLTSt.iCI\_{ij!tLir^ iltfl .( 

417 Valley H*\ SL Peter Port. Gm:j. itW'; i l-KUd 

a» uw.unu.iM.ii. 123-W -I 

i83 Km aub July 20. 

434 Australian Selection Fund NV 
jm Mortal pppanunmes. c.o Irish Youdb b 

r - . fn(tnWD(tn 1 ,r : I/awI 0a ~ * 

31. Old Kuril tiKlon St. w 1 

UEquihFtt Arc — 

•Fixed lot. Ace 


- — Ml.PmAcr 


inilAl ft PrvF dAc e 

s ? ksm:e« 

AMEV’ Life Assurance Ltd? 

RHgale 4010L Fen. Prop; Ac? 

Guardian Royal Exchange 

01-07 sac Exc hange. E.C3. 01-2837107 PropSty^id 

01-075082 Property Bonds (176.9 1*4 2] .. .. j _ Fixed In t Fund 

r Hsmbro Life Assurance Limited ? 

— TOld Part Lane, London. W1 D1-UW0031 , . 

- Fixed taL Sep (IKA 1SL1 ... - Phoenix Aw 

■ ■” ~ MW. 1A5 - 4-3. Xine Wllbax 

Property 1&2.9 171,5 .... — WulthAn 

-- - Manoced Cap 1403 147.5 . . _ KhV 

r: = ffiSSS*-T-gii H :::. = Sf:fS4ar.: 

• — - GUI Edged 123.6 13S3 J — Prop. EouiCv 

■■"■I — P^F-IiSroSirZ ^7 - wnfiTwIff 

f Pna .FJJ3egAcc._^ |l4V2 J57j| — R- SUfe JKrog. Bd 



320— , _ 

llZjl { _ 

172.ll j _ 

.9 MbS-CiTl - 

,9 135.H j — 

— 1593 .1 - 

H Deposit Fund US.9 1IL® [ — ■ 

? CNor. Unit Jose 15. | 20&1 | | — 

'OH 31 Phoenix Assurance Co. Ltd ' 

— 4-3. King william SL. EC4P4HR. 01-8200870 

— Wealth An flll.4 117.41 I _ 

— EbY.PSi.AJ5. I 77.4 j j — 

— EbY. PttEqJE. Pbil OO.Ot — 

Llle ASi C °"^ ■ Anderson Unit TTusC Managers Ltd. (Arran. Uoiu- [72 8 7biJ „.._| 425 Reliance Unit Mgrs. Ltd? Barclays Unicom Int H O Man) Ltd. UoydsinL Growth. |JFJH50 aa....i ^10 

■ 1 Oi " 4 ™ 0K?r 1SB Foneburefa St, BOU dAA 8K30S1 Guardian Royal Er. Unit Mgrs. Ltd RollMiceH»e^ThubridMWtlU.KL W9S22S71 iTbomMSi.Dotielas.ioJf. 0B2448W u °i ds >“*-l«wo»c.lH3ano juh; I C.-J3 

Do S Em5SS5_T"l 7U5 I ' — Z Aadowon U.T. (98.6 515J .— J 440 jmyri Enchanje. EC3P3DN. 014Z8801X gR5g*3»JSrFa [M.7 TUJ . | 524 Untcorn Auct. Extf.152 6 5bW 1.60 M & G Group 

FiJ^eyBd-^.! . 14*2 | ...rj _ Anstecher Unit Mgmt. Co. Ltd «• t!£ ws &S ^ ZZ i* w-w*. T<^r hdi to* ^ ui-tts 

Property Growth Assur. Co. Ltd.? ■ l NabteS *-. ecsvtja oi-ass tors®. Henoerson Admlnstration? OKcMg) o^refidii Hina»nmt Lid. Do.InlLlqcom*_ .. 397 ■ 42.7] 820 AtlanrirJuirii ... .ijustb* ji:j .. . | — 

■ High Yield Fd. (70.6 

1 roup? Hleb income ____JfcS.a 

060322200 A.H.Eq. Inc. P7.9 

-02/ — luermtlual I uadi 

-0.7 — tnlemidoiuil .1263 

— Pacific Fond 453 

— Seee.0rAmeric8_g32 

— • — • UAA.Exonipoti_.I950 

SpcdaUid Funds 

Soulier Co.'i Fd BbJ. 

lumanMi 2nd Smlr. Co'a FVL _ *43 

11-8200876 ttecmoy&Us. «53 

— | — MeL Min.fcCdly._ 402 
--.-■I — Oaeneas Esrnines. 57.4 
I ~ ExpL Smlr. Co's __tf221J 

130 f!S?ra? le - 1». Kt "i St- Sydney, .. , 

jS US51 Shared ) SUSLB^ i-tL03i _ 

Net Asset Value JaJy 13. 

I Thoiaas Strm, Douclss, 
3.00 Gilt Fund Ucr3Mi_ffl95 
Gilt Trust (l.o.M.)— .(1042 

titll Fnd. GucrcrU*? (9J6 

lad. Gon. Sees. Tst. 

1 First Sterling .. Ill 35 
FUatlutL _.. .. 

.. | 1200 
) J2 an 
- I 12 DC 

1835 IS 461 
IlfiS.Sfi 1S61&! 

Klein wort Benson Limited 

431 Deal ine •fucw. riWi 

.. Gwv*tt (John)? 

Hjj^uj f'M n. L««K« WB1LEC2 .01-58 

44U| .71 U 16 tfbWr-'JulylJ — llaol 147.71 +201 

^ I Do.Accum Unit _ (lM4 1773^ +24j 

2*21 .m 241 Ne « Beall us day July 14. 

Accazu, Units (2203 23391 1 

Provincial Life tor. Co. Ltd? 

Prices it July 13. Next sob day Jo 

Kunnv&u. Lux. p. 

775 Guernsey tue 

U. DD.Accum. ... ..... 

(Bnh. of Lndn. & S. America Ltd 

KB Far East Fd..... 

KB lml. Fund... 

U i -A_l H1.4I 

Was r 3:4’ 

12 6flffl.. 402 

JJ S3.? 4 0 

SL'S1224cl I . 165 

SI'Sll 45 . 2 01 

SL'S3613 ... fltv 

SllSll 77 0 7S 

siwea l-DBi is; 

2=, Briboptgu c, E.Ci 

oetl mg day July )4 Prolific Units B34 W.M-021 3X3 

2.07 Grieveflon Management Co. Lid. High income ]udji .1U.7)-0J| 7.39 

01-24T 8533 1 VlctonaSt. EC4. 01-008313 KB Japan Fund.' 

323 I Alexander Fund... Ui'56 74 - I J — 

7.39 I • Set “*« Value July 31 

243 saGreobambt.. ECSP2D5. 

UAA.Exmnpm_.J950 M0.6I-DJ1 L50 ^ruiton jVlyiT 

SprduUst Funds fArctn*- Unils> 

Soulier Co.'s FM B6.1 38 M -tO 1 4.79 BtnfrlLYd. July L3 

ffiiilr fo-g F«L _ « J 47.4) *02 5.B2 lACeum- Unit* 

Reemery BH>- 853 9121. .. 5.92 Ende^Jol? 1 

Kcl Min.fcCdly._ 402 43.6} -0^ 3X5 (Actum. Units i 

Oreneas Earnings. 57.4 6X43.... 4.72 GfOrtStr. July 14 

ExpL Smtr. Co's _e 22X5 233^ +0,4 5X4 rACCum-Unltsi...... 

LoABrsls. July IS 

Anderson unit Trust Managers Ltd (Accub. Umt«> — 

E.B.l'X Gwtfa.Fd. 

SsgiM-i Bmnnda 


*KB act as Lone 

01-0084433 PrndL Portfolio Mngre. Ltd? taKbMe) ?^ iqo * ®™* elles Lambert -kb act M Lcraooti par ini: ziimla oa!v. 

::.::{ 5S JSSSr™’" CI, BS usoi °TS^ ^ uoyds bl (C.d vrr srgrs. 

JM2 ..... 2'Sf FrudenUal |125J I33D1. ..1 “ W Barclays Unicorn Int (Ct. I»-> Lid. P-O.B« i».Si HeUer.JerM-y Qi^\~.ur, 

IS!::::: £g Wlw Management CO. Ltd? i. Chari ngCro^.St Helier.JiW. 05M73741 daze jS? 1 -- 'l 1 ^ 

323 7 - ... 1A6 The Slk. Exehanjie. ECSN 1HF. 01-0004177 Overseas Income ...|4bl 4854+0211202 6exl dealing dole July ... 

W 1% JS9 :::.:! iia»i3 ^::r| 4 i£ J«* i-«*™ati«ai u^aji. 

72.4a 425 1 'Subject to tec and witbhoUUnS taxes 7 Rue du Rhone. PO. Hoi 173 '.nil U-mvi II 

76 J] — 425 Reliance Unit Mgrs. Ltd? Barclays Unicom int. (I. O. Man) Ltd. H°7 | J s ! Bt - Growth. ISP3WB Mia ] xio 

Jerw-y Ql^\ T. fC*. 

M.4] ... 124 

dale July 21. 

ijfoie 4010L ren. Fran, acc »1.4 2752 — Flex Honey Bd- — 

143.M+4.7I — Pen. Kim. Cup. 201.6 Z12J _ ^ _ . 

176.3 — pm. nan. Aec...... 259.7 a7J.4 — Property Growl 

110.7| +0.1 _ Fen. Gilt Edg. Cap., J3L1 1275 - ' Leon House. Croyd 

+4-? - 5jJ*r }^7 “ Property Fond 

+L1 _ Pen-B^-Cig. 1»X 130 7 .— Property Fund (A). 

— ,1489 — ADteultural Fund 

■ •• — pJS'n'a'E s5'"~ m3 "" “ Acne. FundiAl- 

— PW.DAJ’.Acc 10X5 — Abbey Nat. Food 

- Heart* of Oak Benefit Society Abbg , Ma*.Fd.»Ai 

15-17, Tarintock Place. WC1H HSU 01-3075020 Fd?^. 

0J.74B91U HeBrUof 0ak — — (365 38.6] | — Equity Ftmd_ 

[ _ HiU Sanmel Lite Amur. Ltd.? ggjjWEJSgW — 

■* “ IVr, AddisrombeHtL, Cray. 01-0804355 Mem S' Fund r'ji~ ' 

i e Pr op er ty Unlta 1154B 142AI | — Actuarial Fund ..... 

U7.4] ... ,.| — gill^dged FuDd- 

AWRY Hnutd . ' — ■ * — 


Fie xl plan i 

Arrow Li/e Assurance 15-17. TarWock place, wcmasir oi-msoa 

SO. Uxbridfe Road. W. 12 ft, .740 Bln BewWofOnh (365 38A] ] — 

sSuLFd^iKS^:^! tE2 1 - Hill Samuel Lite Amur. Ltd? 

Pen^EtL Fd eJt~ lllii 9 imtI i ~ M-\ Trr, AddlsccsnfceHd. Crof. 01-0804355 

ftn.6t*«LFd--Fx:(lI32 SS( :™ | - !^?&?A 

Barclay* Life Amur. Co. Ltd JJwimed uoiis.._ 

»2Ro»rordRd. 1 E7. 01-5345544 K^Sd.^nSc' 

gnejaybonds- 123 9 I3U.S - 5on^UmS«l“._ 

SS=-==W !Si^z -^^Vz 

^5= ft n~ - 

pSsnsssrM SSS :::::: = JE®2P“ 

fw&EM is e: e BSS 

Mmqrpvmsw Aee. _ WR7 lota - FntFxdJrtjS?' 

Da-lnlti^ —197.4 102.4 ..... _ Fens. Prop. Cap 

•Current unit value July 17. . Perm. Prop Arr 

Beehive Lite Amur. Col Ltd? Imperial Life Ass. Col of. Canada 

71, Lombard SL. ECS. 01-8231388 Imperial Uinat.GuBiUard. 7125& 

Blfe. Bone July II 127.67 | J — GrUUJnJyM pza 79X1+7-3 - 

Cmmd. Life Amurmce Co! - 

Z m.S (El E 

Arbathnot Securities Ltd (sMc) Eu **' 

37, Queen Si. London PXMR IB Y OI-Z305ZO1 Cap. growth lmr 

Extra Income Fd * “ 

__ I High lac. Fund 

I MAcran. Units 

-03 — 

-*02 — 
402 _ 

'172-6 405 — 

101.9 4-0 J — 
992 4 02 — 

1Z7J - 

302.7 — 

97.0 _ 

144.4 .... _ 

Olmmcd. Ann’ty 
Prop, Growth Pensions ft AnMdHq 
All Wlber Ac. UWR29.7 136.61 ... 

VAU Weather Cep. .J12L9 12*5 ... 

•Inv.Pd.Uts. 1344 

Pemirion Fd Uu. | 130.6 I ... 

Cmv-PeniFd- | 147.7 j ... 

— Cov. Pat. Cap. UL 

— Man. Pans. Fd- 

— Man. Pens. Cap. UL 

— Prop. Pens Fd 

— Pnop.Pens.Cap.Uls- 

— Bdu. Soc. Pen. UL 

— Bldg. Soc. Cap. UL- 

112.71 +031 1327 Cap.Gr«rthAff._..j43.5 

44.0 9ja toctuneft AsseU pza 

392 938 High Income Fundi 

592 938 {figs Income 160.1 

23 -8a 1230 Cnbot Extra JBc.._.te.S 

400a 1ZJB gKMrFuds 

.8 =; aSBBELjto 

£3 • fli internadouai 

Hi Cabol-.. _ — :..(86.« 

lS>2% WdrwLl .. 

Prelerence Fund 

lAccum. Units] 

Capital Fund-. 

Commodity Fuad 
fAcenm. Uwta/_ 
Giants Fnad — 
rAccmn. Uni tst 
Growth Fund— 

(Accunu Unital. 

SntAilofOv's Fd. 

Eastern ft InU.Fd. 


ForetEd Fd 

N. Amer. fclaL 

Archway Unit Tst. Mgs. Ltd.? (age) 

3n.Bi*bJWborn.WClV7NL. 018810=33. SSShdbua 

Archway Fund {833 383) .....J 634 fSSTVnrt 

Prim at July lOoa nb. day Jil/y 20. “■ - 

Barclays Unicom Ltd (aKg)?(c) ■ (biPlhaartaJTVnsL 

S3 +oxj 

M.9| -0X| 

64.91 +0.11 
58.74 +0-H 

0=77-21723* 38-40, Kennedy St. Manchester IM1S388U1 Da Manx Mutual _ P62 2&3 - 

WffiaB «l=i« 

+“■} f-KL Rothschild Asset Management (g) armac'-JuIv a nrsaw *M . 

- ' 7aO0.GaJahouseRii. Aylesbury. 0=80 50« I £jW?SiJ 0 r'( u !{ ,3 -|a-IW7 l.mji . 

j.n 11 N.C. Eonity Fund— (160.0 178.71-031 S 20 COUNT_. July 3_- 10.400 _2-546I ^ 

I *20 Atlantic! 

4031 9.10 AusLEbt-J 

Three Unayv. Tower Kill LC3R BBQ 014DS 4iC3 

1.40 Gold Ex. Job- 12 

« = 1 « K i aa^;^ «*<«-"»* «* ^ 

Sement |g) ARMAC-Juhi 3 — nrsazi bh I — Samuel Moo Lag a Uda. Agts. 

ry. WS8W41 i'W I “■* 114. Old Brand SL. ECU ui.rJS6*H 

till II eat: su i in 

577 -oj 729 Bridge Management Ltd. ufcrp-Juiy 12.... lusua uS-bkI 2 if. 

*«7 Ztl uS pa Gna,i faynatn. Cayman Is. ■ Il7j™juim».. £5U7 SiJ 0 75 

S3^il i£ 1 ■* - i2.ssj-6 .7 t - 

MgntL <a> NipponFdJuly'i— -IsPsurt* HUs( ..—4 o«7 Murray, Johnstone <Inv. Adviser) 
01-0394350 Ex-Stock Split. ] 63. Hope Si . Glasgow. CS OW-221.V21 

tie J air ]| ... JUS? M 311 .. . I — 

Bx. July 12 11X236 ?«L . . — 

ElX-JaiylS ETS423 It 32 . I - ■ 

!...._ 129 0 1362 *D.rj 4J« 

mUnltsi- ... 180 9 1925+0^9343' 

791 N.c. Equity Fund- ItAO 171.7 -031 S2B COl {>!7LuJ?j? tSi&^-eTn^ 

■ S N.C. &i£yJtes.T*t. 107.5 1162 0.7 260 „ ‘ 5 * u ' ,<j « **M> ■ 

N.c. income Fund- 148-3 157 7 -oj 729 Bridge Management Ltd. 

9 * 1 W.C. Smllr Coys Fdfiss 4 lMji - d 3| 439 ffi 1 " 

2« -0.41 3.73 Rothschild A Lowndes MgmL <•> NippcmFd i uiy ii HUdf —4 

13+0 4« 5L Swilhids Lane. Ldn- RC4. D1 -0384350 ^.ExStock SMIL w-j 

53} +u) 4.9» Newer Exempt— IU25.0 132.9! .... 4 jj< Brit anni a Tit. Mngot. (CJ> Ud. 
, „ Price on June IS. Next deal inf July 17. 30 Bath SL. SL Hdier, Jersey. 

£& City Cate Use, Fingbury Sq, EC2. oi-SQOlOflS [mi 

IS SsaKiS&fulSf- M :*3 SS 

. High Yid. July 14 [523 . 55^+1^ 8-03 ug? taLBUS.TiaZ 

Rich XL. Potters Bar. Barts. P3ur 51122 

IS SSSH&r* - 1 i z 

- Equity Fund 1962 UU J .... 

<^n«m Assurance Ltd? Irtah Life Assurance Co. Ltd. 

MASONS , 0IJM2BB7B 1L Finsbury Square, EC2. 

Equity Units.... ^ 
Property Unit*. 


BaL BcL.'Exee/Unlt. 
Depnit Bond - 
Equity AcennL-.. 
Property Ace um. 
Maid. Accum. 


=ud Prapeny 


2nd Eq. Penal Acc. 
2ndPn>J>ens/Acc. . 
=wl Med. Penn 
2nd D 
2nd G 



BlueChpJulyM p42 

Mauagffld Fond PS6.B 

Prop. Mod. July l-.fiaOO 

Prop. Mod. GUl pW7 

King ft ShaxN* Ltd 

Road Fd. Exempt— IROXl 

*• Provincial Lite Assurance Co. Ltd ^^S omfard ^ ^ 0, 5 

79X1+231 — 22S, BlKhopsgm*, ECi 01-2476533 Do. Atau5*?^~ 

7j3 +2q _ Frov. Mannxnd Fd.. 113.1 1W.» — Do.AusLtae 

xVatio 1 Prov.SKTa 104 9 3303.:.. - Do. C.pHul- 

fma +0JJ — Gilt Fund 20 U5.9 12ZO| +02 — .Oo.Erem * 

Mill +01} — PropeiWFnnd ..— 95.9 1010 — Do. Extra 

IBlJl +DXI F+Julty rann .- 97.8 383.81 — Do. Financial 

aH3™7| _ . Fad. lnLFuod— |9C2 V9^ — im.SW 

Co. Ltd Prudential Pensions Umlted? cS&^Sacc 

, 01-0288253 Holborn Bars, EC1N 2NH. 01-405BS3 Te !s7~ 

SJ9 +Z -‘| — Prop-F-Jn»®2] — (£25.78 Zbial — .1 — SS; Trustee pimdZfilb 1207^+0.1 

Bellance Mutual SfflT 0 * 

Tunbridge WeD*.KenL 080222271 Do. Accum. (71-9 74.9 1 

1B5J51 Jnw 36 *** J* 9 1 ” Baring Brothers * Col Ltd? 0 

— Rothschild Asset M a n agement sa Leadenhali St, ecji oi-s 

32640) J — St Swi thins Lane. London. EC«. Ot088435« Stratton Tst- 06&5 173.61 J 

In Cabot— — — — -B6.4 9101-0.4/ 3.73 Rothschild ft Lowndes MgmL <a 

:::::: ££ JgfSStatejShwmi Hm+o *« sLSwithiusuu».Lda_EC4. 01-0=0 

... 106 nZ.r..r l nil l P 79«+L3) 4.99 JU25.0 132.D! .... 4 

' — fn a3Suo™“ 135 6 38.21 159 Pn “ * m Jun * dealing July 

"Z 537 WJ*-~ -- — 42.7 —0-7 4.W Rowan Unit Trust BIngt Ltd?(a) 

i2 £SSXier:.Z::'.;»i 4US -Si JS ^CateU^FlMburySo.Effl. 01-000 ” 

1M WJUaprsJuly* — 1203 1255 ..Z. 2.0 AmortraatinWia ' 

iS CabCtAmer3m.Co.l51J 54^ U2 SBCuribMJu&ll 

aVtoMd ““ Sanwftl Ualt Trt - M * rs - t (al SSS2MSS 

45 BOCCfa SL. EC2P2IXC 01-0288011 Merlin July 13 . 

ULR— OX -545 lAccum. Units! 

^bS -03 in Tkl Can. Fd Mgrs. Ltd 

(bicapiui rnim—.B9J 31.9 Slfl S4,Jermyn Street, S.WX. 01-020 

lmc> - fbt Financial TrosL W1.6 98.0 4*5 Capital Fd M3 723/ +0.61 

01-5045544 fU Income Trust — 1265 28.4 _.... 7.72 Income Fd. p 73.53 -1-lj 

—OX U25 Oiiseeuniy Tru« .. 55.9 522 Prices at July 1-t Next dealing July 

l03 Ul IblflJgh Yield TSL-ISS 3U* -0.2 887 tw A Pw«Lr 

-0.4 U1 Intel.? la Me) 5Bve “ nos V tr Gr#n f 

+ox 4A5 „ . 4. Crest SL Helen*. Loudon ECSP SKP 

-OX 6.44 15. <3»riatopher 01247 7243 55.73 « Edlcbnrch Wt 4NX 

-0.1 8Z5 IntnL toe. Fuad 186.9 9J.7«d 6J0 DeflUnS UMIMoSw tSLZSHI «5l 

+02 f w *** Managers ^ laH * ) Save ft Proper Securities Ltd? 

..... IS 25. Milk SI.. EC2V8JE. 01-0067070. 

423 Key Baer K7 In Fd... 773 82.4x4 —0X1 9.41 Canital 136 7 M Ami it n 

523 ‘S' uS.GroStbZZZ^X ^ 

uy lir Efcsfflt &3 *3 ™ its ^ 

+0.1 5X9 Key small Go's Fd..)97.4 lSJ] +0x| 6.09 Hlih-Yleld }33.4 57.«) ( 

~°- 2 rS B3eiawort Benson Unit Managers? sigh income Fond* 

3i3 20.FenebuxvhSL.ECA 01-6238000 High Return (63 9 68.W-2.1J 

TLB.UnltFd.lne._R4 9 92JI SJM 46R t0.l| 


saosi-ili’l 3 74 
lias . IK 
ILfiJ-O Kl : IF. 
Si4l . I 0 75 

12.6^-e:? - 

Sterito* Psnswdauned FiU 
Growth Invest (333 

Ltd -HopeSLFd I 5US3631 

IKEH 791H “Mnrray Fund 1 $Uh10 71 

^ -WAV June 30. 

+ 2 i 1 S 10a BoulcxBid Koyal, laixetnbount 

2jffl+0.01 LOO MAY July 7 1 SLS1099 [. 

/ua -tfs u.ti JetsevEnerevTa 136 1 34711+2111 1_50 nojiu. laMmwwts 

*23 vJ uSSl TSckSSZ £2X9 Uffl+RdSI 1J0 NAVJuly7 1 fit-sun I. 

m 3 til Jra Ui8htaL8Ug.T«.-.|ro.97 lS|+0J1| 12.00 „■ 

2a IS Ud Dollar Dewocalnaied Fdx Neglt Ltd 

'MOM 1 ]* UnJraLSTM. .hl<S5Zt MOj+OMl — Bonk of Bermuda Bldgs, HoeulCon. 

-H - « RoyiU M Can. Fd Ltd. “ N " VW *’ “ ” 1 ‘ 

9 7.Z. 471 54, Jermyn street. S.WJ. 01-020823= Brawn Shipley Tst, Col (Jersey) Ltd Phoenli International 

J 4J5 Capital Fd M5 7ZJJ+0JI 3.60 P.O. Box 583. Sl Heller. Jew- 059471777. PO Box 77. St Peter Port. Cucm^-i 

4 ...... 7.R hi** BM -El| 7R Sterling Bond Fd. ..JOOJ* 18171 1 12.00 1 ntcr- Dollar Fund. [S2J1 253| . 

.9 S22 Pticos H July 14. Nflxt duJioc July a u «■ i ij 

amatea^aaam Neglt Lid. 

M0+OM1 — Bank of Bermuda Bldga. Hoculion. firmiJa, 

018^7.“ - I---1 - 

I n ter- Dollar Fund.. |S2J1 

253j ....) - 

Quest Fond Mngnmi. (Jen 


\ UnW. Growth |68X 

S3' So? aO.FenebuivhSL.ECj. 01-0238000 High Return (639 

iffiijg^S^ 3643 * — ' Jf** 1 4 “ I Baring Brothers * Col Ltd? (a**) m3 ."."j so? tut Fn^ds 

~ ®*tb«hild Asset Management «. LeadennaU St, ecj. oi-sossmo %%JXc£f£s P” ^ AJ * )!**»** :-— 

-Bd. p&m IzM —j - SL Swlthim Laae, London, EC4. OWB04356 Stratton Tst. M6J 17J.« J 4 46 fWVSKtJ' &ZZT F “ d *» 

Gon.Sac.Bd. fm«0 - St Swithins Lmm, Loadoo, *C4. OL0W4358 Stratton TsL 0663 173.W J 4 46 ryyVTfySziL Z- ™ '' H .t- Owraem Fmidsts) _ 

lm>sl..»ru. ltd N.GProp PI7J 125-01 | _ Do Accum. bobJ 2153 1 4.46 L ft C Unit Trust Management Ltd? Karope 

L * a * tiain U“ c Afl*aranee CO. Lid 1 ^ -■ Next snbTday 3n?«. The Stack Eehange, EC2N 1HP. 01-588 2800- ??*■“ 

l a ngharn Hs. Holmhroot Dr, WW*. 01-2035211 Royal Insurance Group ‘ . . _ „ B LftCtoc-Fd.... 0377 142JX +3J| 8X1 P*A 

LimWrai'A' Plan- (62.7 68^ 1 - New Hall Place. Liverpool 061*274422 Progressive Mgmt. CO.? ukC Ifltl * Gen Fd.ftSJ lS^+2J| 1J9 &**.*!!»* 

q *81 H “ Royal Shield Fa. —033.4 MU| 4 — 01S ? B 52? LawSte Secs. Ltd ?(aKc> eSSSJ^Z. K o 

Legal ft General (Unit Assur.) Ud s "* pret P er G«mj? GSii l-Zl oi-apsnn Ptoanritisecx. — (nfi 

- ■ 4. GLSLHelen's. Lndn, EC3P 3H3» OI-SK BB00 B ■gate Int. July 11 11740 1853 1 2.81 JR*0- *i*y* , 1f i * — PJ-J 5J-JI •• --,-1 MB Btgh-Mlsimmn FBnd* 

Lgngh mfA; Plam. |62jt_ 65J [ — New Hall Place. Liverpool 051X274422 

“S|:d - mu j_ 

Legal ft General (Unit Assur.) Ud *"* “ Pr 0 *®® 1, Crony? 

KHtgfirood House, Kingswood. Tadworth. ^ Lndn, ECXP^mP. 01-554 BBOO 

K mS-uS 

[74X 79.71 -03| 

iaUnK ^ Butterfield Management Co. Ltd 

P.0. Ben US. U sod I ion. Bermuda. Quest Fund MngmnL (Jersev) Ud 

SS2Su2JiSr--|fi5 IS P.OBo«l9«.SL Holier. Jvrwy. 0iD4=7J41 

EH2 4NX Buarwaltieoaaf — J1.97 204) - J 585 Quest SUa FidLlnL 1 £1 I I 

31-328 7351 Pnccs at July 17. X«f aub. day August 10. InSsira l si“i ' ' _ 

[Ik rid? Capital International S.A. Quest toil Bd. .1 susz I '. .) - 

37 rue Notre-Deme. Luxomtwurg. Prieea sl July li Next dealing July 10. 

**£ tS?I 1 J “ Richmond Life Abb. Ltd 

“1^8i L97 4ft Athol Street. Douglas. I.O.SC 00423314 

x.»r I.Patoraestorltow.ECt Ol-MBMOO Itrrhe silver TniaLOOiX 10S4i -0 6 - 

Adirope. Mm <8 XMOI+OXOI 5.44 Rlchmoiul Bond B7 1743 133 Sid 10JU 

57.4J ,....| 7J5 Adi verba DUSU0 52x3+fljS 5X2 DoP^iroiniBdZ.' 1209 l?7j) " - 

Fmdfk DH3Ltf 253^243 3.0 Do. Gold Bd 104 7 110.3+0,' - 

SM4I| *3 SSfersa;:::. S “ »*m*»K_lin. *11.. u 

4631+0.11 MS Htapmo PIVWB 2-M Rothschild Asset Man^erK-st tC. I.) 

4Tja +0X1 507 CUv ® tnvwtineuts (Jerney) Ltd FOB me 58, Sl Julians Ct Uu«rnwy. osxsi 53n I 

P.a BOS 320. Sl Hell it. Jersey. 063487301. 0-GEq.Fr. JnneW.152 2 55s 1 jc? 

93 M -UM 979 CUueGmFd.iC.LI .110.13 10X61 J 1L00 O.CXncJFA July 3...U526 ! 7X1 

S3-l 3 8X4 CUraGOtFd.<J«.l,lli« 10X^ 1 ILM O-CXnlLFlt 

79.7 ) -d 3 L27 flnsithill In* Hit O C.SmCoFdJn30_ 

yt Ud 
05534 =7 541 

Prices al July 12. Ner. dealing Jufcr 13. 

~ Richmond Life Aeg. Lid 

„ 4ft Athol Street, Douglas. I.O.M 0S312X114 
f* 1 xJThe Silver TniaLllO&X ld&b-Oa — 

5.44 Richmond Bond 07. 1743 133 Sd .. 10 JU 

SX2 Do. Platinum B«1 _ 1»«) 177j1... - ' 

5.» Do. Gold Bd 104 7 110.3 +0." - 

5J* Do Em. 07/02 Bd. 172.0 irLq . 1IJ5 

3.» Do. Gold Bd ..... Z. 104 7 
5J* Do Eln. 07/02 Bd._.]l720 

VProp. Bead 

Wisp (BP) Mhu Fti 

Capital Life Assurance? - — 

ConMoo House. Oispel Ash WTou 080228511 BTflSral?!. 

Key tom* Fd. | 100.98 j ..._J - FlrcdUiitlaL. 

Pacemskerlnv-Fd. UL07 | ...— | — Do. Accum.— 

Charterhouse Magna Gjl? 

IB. Chequers Sq, Uxbridge UBfllNE 5C181 Msnaeedlniu 

Cbrihae Bnergy VO& 39 A — Do. Accum, „ 

Chrthae. gam 24 « 3lt ..... — Property Iniui 

CnrUMW. Managed.. J3.6 40.6 — Do. Accum. _. 

CrmImw. E quity.-.. 34.8 3M ...... — .legal ft Geao 

KagusBld.Roc..-.. 153.6 .._. — GxcmplCaKbl 

Magna Managed..- 150.6 — Do. Accum 

City of ffetfminstrr Amur. Cm Ltd. 

HI uiMead House. S WbJteborse Road. Errmpl Find 

Croydon CR02J A O1-0M88B4. DaAceum.—. 

WrwProp.FumL_.M5 63.61 .._.J — g xCT tptMn gd 

MroM+dVund 171.7 100.7 - . 

Fund 57,2 60X +0X — 

PVTsfudFand 73.9 77.7 — DaAecam — 

Voom Fund uu 1275 — Legal ft G« 

GHirttml . MX b7J - 

PULA Fund 1697 173.S — th9° e * a L Vh 2 t 

i Heath BaJ. Inv. Fd 

ZT^ Property Fd.* [153.4 

Wrw.Prop. Fund—. 
Man aged Fund — 
g>-ilty Fuad — 

Y aymlsud Fund. 

P valued Fund— _ 

ga»%a Bd - ~ Le * Ml * General Projt FA Mgra Ltd 

PULA FundZJZ: 1697 iSfl Z H.G4M* Victoria SL.EC4NCP 01-3*80078 Properly j5ly.ll. 

feSfSEll B.E = W 

A^+ '“ «s ffl — z Life A*snr. Cm of Peniavlvaaia Mniw^Ji^ ii j 

P^IkouSc^ISS S7X ::::: - aM2N«vBtmdSt.W170RIi 

JV-riEUyA^_565 59*1 .... — LACOP Units H87 1836| 

pSSLThTS* c m p** 1 l BVO * l P ent - Lloyds Bfc. Unit Tst Mngrs. Ltd. . P^! p£c1Sb 

ren _ ' ' " 1 — 71. Lombard SL, EC3- M-0231XSft ^ op P S n -'\5 cl 

Ctty of Westminster Amur. Soc. Ud- 1 aSSTr.-m.T - UW ->.4 ™ m^S?SSSb 

Toe phone 01-03* ww Lloyds ufp Assurance Overseas 4.— — _ 

p^W::::|*7 fc s?;3:::::.l- S ; SgZfc “r' senttu. widow** giwp g^ifez=:Bl I§ 

CasnmercUl inkm Group . gjj ~ toujtasmtesi MSA iasij+3.71 _ The British Life Office LUL? (a) 

475 iHI — inviCasWnhll 

I I ~. Opt5-A-DpUu)yU.|m.B 123^ :::~4 - 

Confederation Life Insurance Cm London Indemnity ft GnL Ins. Cm Ltd Kgd Pea. Juiy iaZISs i S5A|+7 .t| - iS^io 9 -® 

UOL^MK.MWWL Life Aaorasn Limited — 

mL>taftM*rii£fli9 S&B&B = SI.K/K-E Wl^» 

MJ5 — The Leas, Fclkeulonc. Kent. 030353333 |gar 

J — Fixed Initial. gfl.9 

...—I — Da Accum. 11183 

Inti toltlBl— Ntl 

Do- Accum. — H64 

E SCI 81 Managed Initial 1175 

... _ Do.Accum [1198 

„ — Property Initial. (990 

— Do. Accum piri 1 

_ , Lq(ai ft Genual A&st pa 

— BxrmptCa*!ilnU..N6A 

— Do.Accum—. [98.0 

Cm Ltd. ^SSS‘L ,niuLl ^ ! 

U4M9SBA Sl*Ami^?^ZZKuS 
I _ Exempt Mngd. Init 1159 

■■“'i _ Da Accum. .1218 

i+fnl ' Exempt Prop Inli. 96.4 

_ Da Aeemn, .980 


mx ---1 - 

U7J4.._.1 - 

EquinPraaPd J18L7 • 19U 

PiWpiniFd.* 2S4J 

Gill Pena. Fd. 971 

Dcpot.PeflS.Pd.t_ ■ P8. 9 1042 

‘Prices 00 July 4. 
fWeekfr dnalinoa. 

Schroder Life Group? 
Enterprise House, Portsmouth. 
Equity June 27. —I 225.9 

Equity 2 July II Z39J 230.3 

Equity 3 July 11 1146 US.q 

FutedlBL July 11— 137.2 1445 

Fixed tots July 1L 1473 155.1 

Int UL July 11. 

EScS Gltt July 


Mngd. Fix July 11 

Managed July 11 

Money July 11. 

■(Aeeum. Unitsi 

Bridge Fund Manag*r*?<aXe) ttcarand Warrant. 

King William St, EC4R BAR OI-02S4K1 SSSmUniUi 

American ft GenA-BS.O 26.41 144 SwSPt-.eirt 

Income* 493 543 . — 650 -RAccum. Units 1 _ 

Capital lnc.f 56.4 385 3X7 pya), jMnn -*fnw 

ge^ T gf 9 ,SJ :r.Z i« fc General TyntUU Fund? 

Intern U. toc-t 173 1BX 541 lft Ctaynge Road. BristoL 

Do. Arc. 7 18.7 19.9 ..— 3.«5 DU. Jiriy 12 „t 

Dealing *Tnex. tThnra. Prices July (Accum- Unity, r 

11/12/13. Next sal 

oi-sranp Lawson Secs. Ltd. ?(»Kc> Commodity BM exj -ft 

| Sri 37.QMe.VaSL. London BCGR1 BY. 01-3383281 Finanrisl Sees. [715 76.91-0 

‘““I *Rew. Maierial* — D9.0 42X1 AAB Htch-Mlslnmni FttndS 

.„..J 281 ^ShF^Sd U ‘ — as S' -J -° J yS Select ImernaL — W6A 2705J -2 

^SS£. I u n fc.Sx Iftt ::::: Hi s^... 

•) ttcat end warrant. 37.7 -4o.7a 189 Scotbtt* Securities Lid.? 

^American FA a* . 23.1 ...... BAD Ll-T .ai . 

MAccum Unitsi..— 24.7 26.1 0AB BS5 72 

| MS **Hl£b Vield (45 47.J 11.77 —Igf? 23 if 

. — t,M "TAtciim. Unitsi- 625 67.1 11.77 S c0 ‘4hsres |9A6 6051+0. 

— \ DeaL *Mon. -Tues. ttWed. JThurs. ~Pri. Scot Ex. Gth*9 [2482 

iff Cllue GUt Fd. iC.LI . |10.13 10X61 J 

0X4 CUroG0tFd.(J».l.lujB9 1SX^ \ 

ur Cornhltl ins. (GnenuKst) lid. 
PO. Box 157, St Peter POX Guernsey 
lUtnLMan-Fd. J16U 17B5? J 

jay Delta Group 

PX). Box 3012, Nassau. ««h»«w 
284 Delta toy. July II— fSL73 l.B2| 4 

Tia:::: its 

135J! . 33 

1M.4 +i 3 4-57 

W .... 0 73 

ImernaL — K6.4 2M5l-20( 2J84 Deltoto». July U-fSLTI EB2J J - p.o. Box I*t Royal 

Income — (55 5M -.-1 7A5 Dentschar Investmeiyt-TniAt ht.i^. pu_ 

its Securities LltLV Poitlsch sans Biabergam* W0 OOOO Prankfurt. M, intT iXsy.t Fd 


Prices at July E 

g *Wrf3( Sfe-EKB - 

E6 ujj +0xj 4^n Dreyfus Intercontinental Lav. Fd. 

»2 259.91 1 ZJM P-O- Box N3712, Nassau. Bahamas. 

BJ 173, (J ... J 7X8 NAVJulyU ....(ItlSliW 1S25( ( — 

Next sub. day July 28 Enw & Dudley TfetMgtJraf JLfd. 

O. c. Commodity _ 

O C. Dlr.ComdU- T-. W25 S3 S7«j .... j 0 73 
‘Prices on July 14. Nert decline Ju/v 31. 
tPnces on July 7. Next dealing July 21. 

Koyal Trust (Cl) FA KgL Ltd. 

P. O. Box 1M. Royal TM. Hse.. Jersey 055477-Mi 

X.T.Iut'l.Fd KC89J2 471(-O05| 3 CS 

aT.tolT|4«y.iFd.|91 «) -3 3 31 

Prices at July 14. Nm dealing August lb 

Save ft Prosper Intenmiioosl 
Dealing to: 

37 Broad SL.SL Meiler, Jersey 053+20591 
1>A DellmikwsiaaM Fund* 

Dlr.FxdlnL" (9X7 9.72el .... I 741 

545 DU. July 12 -157.2 60.6).. .1 5X3 Sehle*inger Trust Mngrs. Ltd. (a) (z) PD. BoxlS, SLHelier. Jersey. 053420501 IntcraaL Cr.t _'[7.21 

JuW (Accum- Units, &LJ 7bri J - M0. South Street, Doridug. (tSOKSOMl EJD1C.T. |12L2 1290j [ 380 

Next sub. day Aug. 10. sn bmrf HI r/U I ».n Rnnhoml UaliHmu VY Nor* American**. (367 

i Britannia Trust Management (a) (g) Leonl “ Admiiilstration lid. — , hVlrt 

3 Loudon Well BuUdtoETtoroftm WalL IDuhrSU W1M6JP. O1AS058O1 

I Lttndoa EC2M SQL 01-638 0478flWTO Be M'S + S'^ aS ExSSaaW.-. 

lamv* m ■» nt ciM L®® Accum J82J 8bA| -t-OJ] 456 inMnoTWai 

cm*£==== Si* 564 197 Uoyds Bk. Unit Tst. Mngrs. Ltd.? (a) toeiwiWdrwL 

mmmAffnri 55. U 592* -L3 4J7 Biriitmi'c n?nc Gorlhg-h«*RM Intnl. Growth. — 

sr fl * — ^ Sf S.5®aW»w^r.*«P'BPBaflafc- 

32L9 +o. 

2251 ._...( 2.91 Bnrabond Bolding* N.V. 

Sit Pn'il o/n Hauddskade 34. WtileasUxi. Curacao 


MAV per share 5 jSS^^TSao JS C h*°nd Ulands*. 

Dir. Fad. tat.'*. »X7 S72ja .... J 741 

Internal. Cr.t [7.21 7.M? .... — 

Far Eastern*; W6.13 «Kl • — 

North American *7-1367 3.971 1 — ‘ 

Scpro*t |lA38 16.72) 1 — 

Surttag-deasodnaied Funds 

165.1 — 

161.4 — 

3273 — 

138.6 — 

Z10.1 _ 

2501 ...... — 


68J .... 
50.6m +0. 
405 +0 

Tele phone 01-034 0004 

Fi« Units- ..1123 6 12971 J — 

Property Units )s<-7 57.4) | _ 

Commercial Union Group 
SL Helen's, I. Underahafl. EC3. 01=03750 
YrAnAcUt July 15. .1 55.W |+!12( — 

Do. Annuity L’G — j 1757 ] | — . 

Confederation Lite Insurance Cm 
6*. Chancery Lone. WC2A UiE. 01-242029 

ftqvity Fund .,...11526 160-3 ,..J — 

KMiiedFund— \}7?.7 1865] | - 


Pen. Mncd, 


Croup Mngd. Pen. 

TgRwt .. . . 
Financial Sees....— 
Gold ft General— 

Growth—. — 

Inc, ft Growth 

lat'I Growth . 

IasnLTaLShores - 

Minerals. — 

Nat. High Inc 

- Nam Issue—— „ 

North American— 


Property Shares — 


Status Change — — 
Unix Energy. 

— F. ft C. Mgmt. Ltd. Inv. Advisers . 
2“ 1-2 Laurence PounmcyHULECiR 08 A- 
55? 01-023 4080 


24. Ou ..... 

Z7J - 

29/ ..„. 
23.4 ..... 

-[ 3" jOnLFd. July 5 -I 

I - -I - 

+0X 3.97 Uoyds Bit. Unit TsL Mngrs. Lid.? (a) toc.iOKWdrwL 
In", 5?S ;FtadCB*lneii.i-— |50i 53?_._. 451 

IS ssjgs* «;« gj -Hi gege itr?E 

JSi is, 1:3 “I ii IS | 

+0X JO Third tto comet 12-4 885 +0J 6.18 

+OJ 4D5 Sjf ^ *£\ H5 D K.GrUi.Dtrt. _ 

t°. J 2^ B5tecaSi._L, 725]+ox| 0X3 J. Henry Schroder Wagg ft Oft IM.f |n<M5«3Tn.J sosiAte i+M*j - 

+0X 3J1 LWfd’5 LUe Unit Tst Mngrs. lid. uo.CbeBpaide.KC2. _ 0i-2M03*34|F'ddJtyM»ttd.S«»earch (Jersey) Ltd. 

aaelCapitulO- Z29.4 3415 -1J 260 

reel Islandso., >44.7 15243 +0.«J 507 

mod.***.. 1208 1X73+13 — 

imd— U2J 115 3 . “ SLM 

1250 fWeH? Mgmt. ft Re*. (Bft) Ltd. 

P-O. Box no. Hamilton, Bermuda 

£j? Fidelity Am Asa— J SUS25X8 I J — 

f-45 Fidelity lot Fund.. SUS2159 +diO| — 
9 * w Fidelity Pnc. Fd — I 5US50J7 ...” _ 

31| 72-00. Gatehouse M-, Aylesbury. 020890*1 OtoittlJulyU ‘ 

IS g*'*? 1 *® essksii 

1.93 J* ft G taftisp? (yKCffl) lAccnja. Unit*) 

5S Tbnce fjmra Tow Ifill, BC3B CBt). 510SB U8B General Jn)jrl2 — 

Opl5 ‘A'Pii, Jly.13.— 
012037500 OpLyAIBuDiy.U-teNX 

The British life Office Ltd.? (a) cSSS^HzT 
Reliance Hse-, Umbrtdge WeQs, Ef- 060222271': 

BL British Life BOX 53X1 +221 5X9 Compound &owih. 

BL Balanced* 5»3 I] 5 6* Comnrsloa Growth 

BL Dividend* 1<24 4ft? 1 9X20 Conversion toe. — - 

■Prices July 1=- Next fteaUnn July IB. Dn-ldcnd™ — 

See also Stock Exchange Deal Ini 
American. (48J 5201 -0.6 

r u» 


Bflasl Pen. Mnc 
ftrangd. Ultra u 
Croup Mncd- P* 

SMF.rgro.- i Sl fj = 

Property Penal <m._ | 13ft* I — -4 — ^Exempt Prop. Fd ; 096 +0.2 — 

CnrnhUl laannmc® Ca Lid. feHiiv^rt.Fd. lgx +3X- 

3S.ConihilLE.CXL 01-0209410 lnv. Trust Fund . 1395 +4.0 — 

Pup. Feb. June 15 _ [123 5 — j I — Property Fund BEB +0JI — 

MnilSFd J j'lroriTO-T. [SftO uioj :,; J Z M ft G Group? 

r Three Dwi Tom Hi» EC3H 8BQ 0i«0 4M6 

Credit ft Co mme rce inaarance rm.7eula a **.. Z335 +6 — 

120. Regent St, London WU15FE. 01-4387001 Conv. Dcpo+lf Uft2 1242 - 

- tss8m= ® 2 

Crown Life Assurance Co. Ltd.? Family Bi-80“ leto - — — 

Crown UT* Bro, Woktn* CU ? _ iXW OWE SB3 l i^7 'T': C 


iwJ - 


Solar Inti. 

Solar Managed P. 
Soiar Property ■ 
Solar Cash PiM 
Sabrina PI 



BS Unit* July 10 — 


Oceanic Trusts (a) 
Growth Accum. 
Growth Income 
rap* Income 


f Accum. Omnn 



55 tAccnm. Units/—.. 

•tj* Vir Batll-w i ' 

(Accum. links)—— 
nxr Fund of lav. T*l*.— 

3 91 (Accum. Units) 

4.79 General — ..... 

4.79 (Accum. Units). 

53.0 -Oi 
571 -IX 
58.7 -L4 
835 -0.1 

98.0 -Oi 

115.9 +0J 
69J -Id 
695 +0.2 

LttJfca +SJ 

238.9 +fli 

.. (Accum. UbiCU 
' + 95 Europe July 13 
- [Accum. Units' 

Xja -Pen&CharFdJn20 


. 1*6.91 

For tax exempt rands only 

22* Watettoo Bsei. Don SL.SL Halier, Jersey. 

224 0934 29S0I 

f 2 Series A Qntifi) — I 080 1+0 JW — 

l|iss a DSJ dfig- 13 = 

2js First Viking Commodity Trust* 

4A4 Co- Ltd- 

3.96 33. PaU Mall, UmiCn5W17SJB. 0i 530 7057 

KZ&SRSk: n WH=J £8 

St.Ks*d*** 1UJ 11501. ZlSLM 

Prices on ‘July 10. —July 12. •“July 13. 
{Weekly Desiltng*. 

Schlesinger Internationa! Kogt. ltd. 

41. La Matte SL.SL Heller. Jersey (KM 73538. 


S.AOX- — S8.ES 0M 5.00 

GiUFtL 227 22.9 12 Cl 

totLIU Jersey — - 105__ 110 — SX 

totaLFd.Lxmhrg._ 00.78 1US — 

■Fax East Fund- .. _.|l33 105 2.3S 

•Next aub day July 18. 

Schroder Life GrtMp 

Bntorpnae House. Portsmouth. C7D5 C773H 

ller w a t lsna t Funds 

EEftnlW [3176 125X1 — 

SEmirty pZftb I36.g — 

Gv&etf Interest— [137X 145?[ 1 — 

SFixed interest 110*9 11151 I — 


317 [ 1.73 High income — 

22Xj — 3BS [Accum Units) - 

rag'd Fund AN. 
flang’d Fd. Incm. 
Fqulty FcLAcc.. 
Etiuity Fd-lncnc— 
Fau.'tyFd. JisiL-. 
Pm ewr iy Fd. Ace 
Property Fd. Incm, 
Prnperiy Pd. Init 
iBV.Trt Fd-Acc- 
Inv.Tsi. Fd Incm. 
Fared lot Fd Arc 
Ksd.lni.Fd Incm. 
leirr'I Fd, Aec... 
Intel' L Fd. Incm. 
Money Fd Aer.- 
Mancw Fit InCm. 
Dirt Fd. Incm . 
Crown Brtlnv.'A*. 

IBM — 

1N4 .... 

1075 +4L, 
1075 +0- 
106.9 +0- 

I” IntcroatoL Bond**. 1044 109.7 ... .. 

T„ Managed Bd.*** 33E0 145.0+00 

zr PropSwBd**— 1591 167 J 

z KsTVieWmBd,*.. SOX • 34.9 

>n Kwoowcry Fd. Bd.* - d.l 66.4 

_ American Fd-hd-*- 525 HJ 

“ Japan Fd. Bd.*.—. 565 , 5».4| . --- 
Kieea on *Jnly 12, “July Jft “*Jnl 

— Merchant Investors Assurance 

4H 125, Hira Street, Croydon. 014 

— ' 26.4a m j 4.24 Japan Income — _ 

103.4) —0.4] — Overseas „ — — .Q9X 20.73 [ 3x9 lAccum. Unital— 

AIHamre fW MangDt. Ltd ' s.rt ffiS’ulKrz Z 

Gfln Alliance Hmse. Horsham. 040301141 Exmpt July 1 pt9 59X) j 3.94 Midland 

l-J = - Canada Ute Unit TsL Mngra Ltd? SSS^=, 

Allfimce Linked Life lna. Ltd *“*1*32*22 Secon<J0^^L™ | 

Bun Alliance House, Horsham 040304141 Do. Geo. ArcumZZBh J 493 -DaJ 4X7 VnlU) . 

-3334 -. - Do. toe. Dirt B35 3*3 -_J 759 SP£!” a ’JgT 

105 -0J — Do. toe. Accum {6.9 *£3+0 jj 759 V T^r'~ 

14J _ axchlkal Prods 

mi -ox - Cajtei (James) Mngt Ltd? Tnutro 

i+i = issasa-,-,-: 

815 +0J 
1195 +02 
61.7 -L3 
675 -l.i 
67J — 0J -OJ 

187.0a +0X 

isax +05 

172.7 -Z1 

Property FBnd— , 
toter w aar m al F<L 
Deposit Fund— 
Managed Fond. 

2-S Scottish Equitable Fnd Mgr*. Ltd? Fleming Japan Fond S-A. 

8.41 28 St. Andrews Sq* Edinburgh 031-5508101 S 7 . rue Notre- Dame, Luxembourg 

7JT7 Income Units (495 52J71 SH FloningJnlyS ( SU 55552 J — .( — 

757 Accnm u «^ aIj ^ g v ^ w . “4 4 Free W«rld Fifed Ud TraSf^-^raT::: 5^1951 1“ 

3^ «- w - , . Butterfield Bldg, HamiUcn. Bermuda. Aslan Kji*'ja?M »d .. 2.75 

8X8 Sebag Unit TsL Manager* Ltd? (a) NAVJumM | jusub. 76 | — Darting Fra. -,_-Eos7 iW+fliK 527 

8Jj8 POBoxSll.Bcklbry. Hse^E.C.4. 01-2385000 G.T. Management Ud japan Fd July I3_ UIS7J3 VaA . . -I C50 

li iSS2£SK:gi ga^l IS L!i 

g saaaasr’ "wsrar « 41; l^. a BK! b 

8.45 Un»IGthTWtaC_pa,0 . 22.4*4 1 230 Anchor to. Jsy.Trt. 0*5 295 +1.0 252 2ft Cannon St, EC4. 01JX30&UI 

Stewart unit TsL BStotfgera Ltd (g) bS;^^Z:E^ 3W.9Z -• 0« Drtxfepds,.^ [D5CSJ6._ 77^-0. 1Q | 625 
J7i 43, OutrlottaSq, Edinburgh. 031-22*8271 G.T. Arte Fd ...Z&K951 MB ZZ 159 

SXd wl? 68X1 ... j Lc ^ 

4^ uSltT^O sl ' "l ~ g- TJmd ficF^ZZt SUSM .0 *.fl LM 

15 SS^Tmu l£ai Ftod^ “ Gartmore Invert. Ltd Ldn. Agt*. 

jS Stawtarft H345 14551 -....J 434 2. StMary Axe,Loodoti,EC3. 01-2833331 

4J4 Accum. Units -[1535 Uft? 4 4J4 CfeufeMro Fand Bfngl. OPkr Sasti Lid. 

J- Henry Schroder Wagg ft Co. Ltd. 

150. Cheaps! do. E.C5. 01-M3-?«K) 

CheopS July 13 1 SUS1L58 1-0.021 2 53 

2M.M -? 7[ s.76 Tstewart American PutaL 

t? 2 s k Standard Unlta 163.9 I 

3?i£ +1 ‘* Arenas. Units .1685 * 

Withdrawal Units, pie ! 
1B7&S toj 5 M »rl«Wi Cspllal FUnd 

toj bo* Standard Q345 1< 

049 -OX 424 Accum. Units |l53-5 11 

2205 -0J ^ 

« J - BSSgfKjr: J Sl 

Si :®i “ Slf™— . Si 

wi 3S 3.a *^*55*2^7- ^ ■ 

Mil iifiii Money Ms. Pens.— 182.0 

® 33 ® Si^EE ml 

Manna od Pens. 136 3 

Crusader iMttnnce Co. Ud tojTjMw- ire.5 

V.ncnln House. Tower PL EC3. O1-0M8O3I teJL MM 

filh. Prop. Jnly * ... .[78.9 814) ) — NEL P eu P O D * Ltd 

Eagle star bntuMJdlaad A**. Jf 

l . Tb rcadij+odl c Sf- EC~- “i - ? 8 NetoxEaAcciSZmA 1M.5 

EagMM id Units,, [52J 54 X) -0 J] 654 Nelex Money Cap. - 6L8 655 
— m . __ | i|, * — f IM - |ij fl Nclex Non. ACC. 655 49.0 

Erjoity ft Law Life Am*, sue. Ud? NelexGthmcCnp, 47.6 sox 

Amenham Hood. Utah Wycombe OI9I33377 Nriec Gtb Inc Ace- 48.6 • 51.1 

ssEEfe-'-BH - SaSliaaErSt Hi 

1025 12.10 Equity—™.,. 

12QJ — fi& — Equity Pt-Trs.,. — — — 

m± assfifeai 

33 ® S^f 55 *: — 

Manag ed Pis. .- 

O. Ltd IntL Equity 

r* ni jmhhi toil Managed, — — 

~Jnjy 14. Snu Life of Canada (UJD Ltd * 
nee 2. 3. A Cocksjnir St. SW1Y SBH 01-8009400 

01-0080171 JfePfeUOrth— _ ( 2003 - |+0X| — I 

01-OWU171 Maple ix Mangd. ._{ 1X25 j .1 — 

r2? - MspMIiBtotyZL.. 1253 I - 

— PanuLFaPti. ( 281.9 | +35) — 

— Target Life Amnmtnce Co. Ltd 

=..SEMSt=BS#j SS :::::] = 

:ti = = 

” -^dtaL I ?d Inc. lDftl 185.4 “Z: — 
Den.Fd.AcC.Inc_. 95 3 10a4 ..... — 

5011- Ret Hen AC- Pen. _ 72.7 7tt9 +03 — 

I __.KeU9anCap.Pen-. 40.1 652 +0.2 — 

Z getHanMasLAcc., 

Property Fd .- — to6| 
Fixed Inimrt F.,.. BJJ 
Gtd. Draosit Fd--- J95 
Mixed Fd_ U03 

112X1 J — . KelS&sd. FtLArc.- 

Nesi Suo. day Jnly 23. 
nr New Coart Property see under 
Krtharirild Asset Maaagemeat 


, July I July J \ rear 
| io ; 7 1 

70.2&1 69-711 67.53 
-7t.S9[ 71.37 68.31 

465.51 456.6 453.7 

l&Bji 157.21 11&-2 
5.69’ 5.B2| 5.32 

17.27. 17.B4! 15.88 
7.70J 7.54[ 9.11 

721 4.834; 4.Z4BJ 4.668 
80.191 71.27- 64.49 
19.544: 15. 352-_ 14.972 
1 pm 472.8. 


Ind. Urd. 1 7 3fi. t«aM 


^ “ CX. Euro. Fbt 

Tmulntenutloaal Life lna. Co. Ud 

2 Brrom BMgA. EC41NV. 01-40584H7 SrS:uaitoZZ 

TnfiptorestFtl — [138.9 J4AS — prices July 1 

Kfafitffi HI = Chieftain TTn 

tt . S3 -d 7X2 » ::: TO 

wSSs—jS&siNert deS&'jijy 1» "A IS T>r * et TsL “ 

CarUol Unit Fd. Mgnt Ud? (aKc) BtennUfe Management Ltd. JoSSSaif 2 ' 

Milhurn House. Newcartle+ipon-Tyna 21185 St Georre's Way.Strronage. 043856101 Target Financial 

Cartiol M3 7L« 1 450 Growth Units .f524 5521 +2J 4X3 Target Bqult 

Do. Accum. Units _ pan ssij 4.M Mayflower Management Co. Ltd MHW" 

D° g tehY feM--, W5 44.M 827 14/10 Gresham «, EC2V7AU. 01-8008089 Target Gilt Fund 

DaACmBLEwU -pU 54X| ) *27 Income June JD ,fUT7J 113.41 1 8X3 Target Growth 

Next ttealfng day dste July 2C. General JoueSO — *95 73S( | 533 TargntolL 

Chanties Official Invest Fd? Mereury Fond Managera Ltd. fcSffEi 0 ** 

77 London Wnfl. ECa^lDB. _ Ol-Mflms 30. Gresbam St, EC2P2EB. 01-0004633 Tgt*Pr. July 12 

191.41 4.7* Tgt toe.. 

249.4 4.7* mW. , 

— — -60.7a 225 Tgt Special Sits. 

CharterhouBe JapheC? - ta« i mi ZZ we Target T«L H 

1, Paternoster Bow. EC4. - 01248386* Accnufu. Jmw38^[2S5J 266.1) 436 IB. AUwl Creseea 

cx.lnteraari (235 J-97 Midland BnA Group ^rgei AmerEag 

Acenm. Units KJ2 29.41 ..._J 1.97 iTnit Trust Managers UdV (al Target Thistle — 

CJ. income — fo.4 36X1 1 734 r” 1 * ^ E * w-T V Eslro income pu. 


Do. High Yield ML5 44. M | 

Do. Accum. Uniu _plX» 54X| .... | 

Next d e ali n g date date July 28. 
Charities Offiela] Invest Fd? 
77 London WnlLECSN IDBl 01- 


Dealing tFri. -Wed. ^ Hwchisra Hs*LlO Hnrcmu 

Son Afiianee Fond Mngt Ltd Japan Fd.'_ : Zfrisg+K tija 

sun Alliance Hse, Horsham. 040304141 T ?' — 

ExpJSaTtt. Jly 120214.0 22531 1 425 ^dLBondPttnd — pCBUU ttffl 

riherWly PdZTJWX w53 1 339 Gmtmore Innatotert Magt Ud. 

X£ Target TsL Mngrs. Ud.? (aMgj 22. 

fS Dekaland3.._ ©MBJ6 J7J«+0.ia| 6 25 

fetSV^l-z K?Si *1i S :::::: tS 1 ^ kyoT,tjBl,3 -r *us37.«n I =« 

’i:?: WFSfc “fusuw- 7 Stronghold Management Limited 

G.T. Dollar Fd. 5U5720 +0X3 07* P.O. Box 315. St Halier, Jersey. 0534-71450 

GTJ*acificFd 5US14.88 ..I7| 154 Commodity TniJt . [91X0 15 «H | — 

Gaxtmore Invert. Ltd Ldn. Agts. Sturinvest (Jersey) Ltd (at 

urn Hutchison HwtlfHnrrourt Rd. HXCong 'JSS/ 1 ?- - 

&lwpI^S:zKS SS 4M Mb 798 Unit Tram Managers (C.L) Ltd 
Gartmore tonstmert Maai. Ud Bagatelle HdL, St Sariour, Jersey 0534 T*M 

P.ft B otSS. dSSSioIL*^ 08243391 1 J««yFUnd_. (CA4 4SE^ I 4 92 

GaTfwSr+lii+lrSpT> 22.61 J 1D90 Guernsey Fund _.jS4 C3C| .. . J 4 S3 
Gartmora IntL Grthfe6J 78 M .....J 3.00 Prices on Jnly li Next sub. day July 1ft 

Dealings: 0a98504l{Gartmore IntL Crth)fi63 706%'""] 3.00 Prices on JnJ 
«Xj eu 337 HambTO Pacific Fund MgmL LUL Tokyo Paelf 
ui! jj 2110 > Connnughl Centre. Hong Kong - lniimls Mnnagi 

j| ISSRiati-SSEf S9 j»[= 

127.1 +02 350 Hrmhros (Gnerssey) Ltd./ Tokyo Paeifl 

iat in? it} H*n*r0 Fund Mgrs. (C.I.7 Lid intlnU* MnnnB< 

3L6 -OX 1-71 P-O. Box 08L Guernsey 0481-30521 NAV per 

352 +0.4 3.42 C.i. Fund 1140.4 149 51 3.70 Tvndnll tiro 

1652 4-51 Intnl. Bond SUSJU5.59 10056) 830 

31.4 8X1 Int Equity SUSllOJS UJft -.... 2J0 PX>. Bax 1250 I 

14Bn .... luo Int St£., *A* JUSJSUSUZ IBS 830 Overseas July 1) 

2 Z 2 } +0J| 4.01 Int Evgs, 'B' SUSOm Lfe 230 I Accum. Units). 

Prices on July 12. Not dealing July 1*. 3-Way tot June 

77 London WnlLECSN IDS. 01-5881815 30 Grrsbum St, BC2P2EB. 

£SSESX3:zB§l :|d“ 

♦Unauih. Only tr all ih l c Co Hes. Churl ties, Merc. InL JujP i? 

Target T«L Mgr*. (Scotland) (aXbl Bendrow. B^ingl^nd Mgra Ud 

SB0SS3B TB -3 tflftSai^rfatujainU-- 

C J. Euro. Fin Q6.b 2B.H 437 C™ijprow ' ™™*. 

Accnm. Units K.1 S3 1 437 Sheffield. SI 3RD. 

CJ.Fd.lnv.Tit B8A 31XJ I 336 Conmwdlcy ftGea. 

Accum. Ua«»_— (535 3S.B — | 336 Do Actum- 1 

priros July IZ Nest dealing Jnly lft Growth. — 

Chieftain Trust Managers Ud?(aXg) capital.-. 

11 NrwSLKC2M4TP. 012832032 P^^T 1111 

— Si IS Kiqr' 

IrtSrt mt ional T rt— 2^3-0^ 3M 

Bsrte Itosrro. Trt.^75 295j-0X| 431 ^vSidZZZZ 

70 6*4 ::::] 100 Prices on July li Next sub. day July 19. 
MgmL Ltd Tokyo Pacific Holdings K.V. 
mg Kong * lniimls Management CO. N V. Curscca 

ftSI+O'oy — NAV per Sharo J rty 10 SU561.00 

UL/ Tokyo Pacific Bldgs. (Seaboard) K.V. 

C.I.) Ud In rinds Management Co. N.V. Curarsa 

0481-30521 NAV per share July 10 SUS44.-JX. 

H9 Tyndall Group 

ZZ 230 P-O- Box 1258 BuoUten S. Bensmln. S-C7C9 

830 Overseas July 12 — ISl'Sllfc 12S3I ... .) 6 83 

230 lAccum. Units) fosiaJ zed .... I — 

lean ng July IB. 3-Way Int June 22 -(R'SZ US 2B| . ... I — 

id Mgrs. Ud 2 New SL, St Heifer. Jersey 0504 272^1. -3 

-a- TOFSLJuiyB (7.53, 805rf ... J 6M 

ro 2f T) . , t Accum. Shnrwt — ItlZOO 12.Bs3 .... .1 — 

r_. American Juh'B — |K5 865j . ..| 2.03 

E Trade* Union Unit Trt. Manner*? 

US snsffi^: P S3 ^3 US ar l £ », oi r?£ S~St33Sr ssraft* S£SE3S£ 

l Growth. 563 39J -oj 3X0 tdut J nly 3_ — WJ --"I 536 Hill Sattmel Overseas Fond S^l . 

v _. PaAwuw. 59J -ox 3X0 Transatlantic and Gen. Secs. Co.? r?. Rue Noue-Dame. Ltm«nboure Sd/^2 

Sft lju 4 1 IS Bl-BB Naw London Rd. Chelmsford 0345 51051 PUSH* 1*511+0.011 - , Tl4 , rnt _, H 

?*? I 527 Sj _ . 6.46 Barb Scan Jnly 13_ 042 7S.M | 530 International pacific Inv. Mbrl Ud utd * IatnL “ 

dSjSm ^: =3 £-1 SSx Z.: MnoSUb^ .....4 55b U. H«Hca««r SI 

3-S Inlernacoaal- *7X 50.9 -0.4 231 

Do-Aecnm SOX 302-04 Z3I Jul}>13 

4axt dealing date July IB. lAccumshaics) 

Jeraoy Fd. July 
iNavJ. Ace. Uta 

Jfarato,3UA«^t9ft7 99.« ^ | - 26^^ IS SR-gfir 

Tkident Life Aamranee Co. Ltd? Basic Racrra. T*tp7.o 29o( -ox| 431 S^hY™id 

iB^BmtfeGtouoyer^ 0023300 Confedentitm M, iMgL Ud? (a^ 

llstuiged Jane 22 

665 - 

2052 .... 786 

293.41 .. .. - 

nwd . 10.5J 

14C3J .. - 

. Ule a! jWsn. (MEM 24 ■ 1 1. 
1.4 136 «| ....4 — 


Do. Accum. . 

ungrawwawu puura — - T , +_*_• . . T .j 

7s.9d J 530 International Pacific Inv. Mngt. Ud IttlnL HngnmL (CJ.) Ltd 

122S i 530 “■ ' “rr 14. Ualcaner Street, SL Keller. Jersey 

-4 2-sz SJ£?S£Tl.5KA%+iSf - r***- — »»»■ 1^ 1 aos 

ricra„W13 , 

growth Cap 1221 

growth Acc. 1260 

Pro*.Mn*d.Cap— - 1U.9 

Prating A Acc 1166 

112? -0J — 

144ft ..... — 

1273 ..._. — 
129ft ...... — 

1073+0.4 — 

133.41 _... — 

1289 J ~ 

IZSft -Zl - 

grog PtyTAec— Ill7.7 124.9 ...-J 

-Cash nlis for £100 pcemiunL 

HOC ™™. ^|«AI +■’ “) -u -M High Yield I6L8 65 Jj +0Xf 030 tAccnin. Dnjta)^ 

Confederation Fund. MgL Ud? la) g^f^^PZzKl iS| +IU $» SmSSS.uSu» 

50 Chancery Lane, WC2A1HE 01-SMSfe82 Do. Accum* _h0S.9 106ft ."..J 5.16 CumbM-JnhrU. 

Growth Find (413 43ft | 432 -Prices rtJw* M. Neoct dealing July 3L 

Cosmopolitan Fond Managers. . Minster ^•■ IM an*g«-s Ud (Aecon^Bniiii 

linden 8=5. Ml^r^ Arthur St. EC+RPBIL . 

Co*mojwlaX50UfM-tI7Jl llft+Oft 4X6 Mingter JulrlO B4a 3021 .„...) 6.02 VamOwth. July 11 

K«SL2ar aaraMu-P^ - 

CMfeS!^ Slj f in OldQu™n«^.SWlHBJG. 01-8307333- UMjDfe 

Cw*. iBternMl _B75 UT-jiJ 0 75 Bii-A lniL‘ — — — |CJ . . | 416 WlCKTrfUiy 13, 

Cres.H'E b- Dirt.^fox. 89<t Mntnal Volt Tnust Managers? (aHg) yfiS^KxV 

Kf * gflgj ijj JS.Copthall Awt.gC2)lJBU. 01-808 4803 Do^A^u^.-. 

iMsw flHmiwy Unit Fund Managers MuSSi T & — “M ^ TyntWl Managers Ud? 

RMwium' oi«8*« ssg«ss?gt® a® as jsssst'-w 1 - » 

iuft +li 

pn Haw DW7 CD tajm cm r> MJW, 2d. DCUtT, 

55 - l '“"- ** i 

J2f J-E-f- Managers (Jersey i LUL United States Trt. IntL Adv. Co. 

PO Boa 194, Royal Tst Bee., jerseyOSM 27441 14. Rue AldriDger, Lnaetnbours 


22—" Wi Bg>Ci8aC5sZ: laffly *” ! "I- MercEbdFd Jni,12|HSlBM IBJft |0331D 

M4 SX7 Warburg invert. Kngt. Jrey. Ltd. . 

gj || Seyoele* MngL. Je«^ Ld. 00473741 

793 +2X I* ™^^^ H ^'^«wy..CE8*.Ol-0O0 , WTO' CBTLW. Jmw3B....ja277 13^1 _ 

„ ^ Founelet PrdW LS3I 260 M rials Tw. June 18 p2 17 I2«rt ... — 

V BondseJea.™ FkUMS - — TMTJnjy U ..... —.BraBJiJ 1157 -OXS — 

- 771 ™TliiJulyl4....|aD36 Ift63|-S33j - 

3Sfl *■* Japan Gth. FnmtZ njsa» — World Wide Growth Management* 

mi :::::: « ^ ^«d Roym untam. mi 

1*43 — ttrtLSl |+0J» Worldwide Glh Fd( SUSlft« 1-0 W - 

1161 7.86 — 

U8J _ 

259.4 5X5 NOTES . 

7 77 Jersey ExtrnL Tst _p74.B 105 H.. I — 
7J7 As H June 30. Neon tub. day July 31. 
4.85 Jardine Fleming .ft Co. Ltd. 

2-25 4fth Floor, Connaught Centre. Hoag Kong 

TO«5S&S&= :::::: H 

1 (sassEtBEi ms - ? 

K» toa Pacific Seen. ... JlHKm? .. - 

rjo NAV June 30. -Equiraleiit SUST5JB7. 
5X7 NC*t SUb. July ]4 

5J7 Seyoelex MngL, Jersey Ltd. 

U.S. Trt. Inv. Fud. ...J S1031 I 4 Q.<& 

Net asset July UL 

S. G. Warbnrg ft Co. Ltd 
30. Greaham Street. ECT. 0I-FW45S5 

Cnv.BdJnly 13 — _.[ SL'59 67 IrilOB — 

EoKy. Int July 13 _ JUS17 £3 -0JC — 
CrS3Fd.Jtiae30J SUS7.CX J . . - 

MercEbdFd JnlylftH'SDJ* 1U0 |0393D 


Diac Income ___|160JI 178X] 1 535 ^iattOBai an d COBfeMTCial lAccum. Unitsi. 

E. F. Winchester Fund Mngt Ltd 3L Si. And.-^W Square. Edinburgh oai-SSfl 9151 

llg Caanira Road. BriMrt 


Ls'W j Hipli ! is** 1- 

Hurt. Sore... TH So 
1.4 li 

flirt Int.... 81 2« ! 

cl. | 1 I 

Ind. Owl 4B7.S , 


(sold Mutts. 108.6 l 

78 68 60.70 j 127.4 ■ i (it it-K.fcp.1 .J 142.8 ' 123.0J 

,.y l, »r-,«5i ! Ct.l.Jtii , j |ndn*irie.....j 145,0 ‘ 145.S 

at ! ?0 73 ■ 150.4 ; 50.50 ,' ^peuiiialin-... 27,8 54-2 

•I?,' ! yl "Vf,: ALTS) | Tutof...........! 96.Q I 82.4 

4B7.5 , 435.4 [ 548.2 ; 4d4 | 151.9 1 152.4 

{u:l\ . ia-i *1 \ . I intiia inn’ ■— 151.4 151.0 

■ i>Q m , imt ■ 442 3 i 43,5 i 32.2 52.6 

¥■* ' i ■ rnrs- ; 100.2 | 100.5 


' i July ( July j Jtjiv | Jyte l ^.jfW 

207.82 1 203.961 182.98 
231.24* 226-93. 209-00 
5.62; 5.66J 5.50 

7.95! . 7.78. 8.91 

213.19. CDS.9- J 90.40 

w aa= wan 

^^JntTa.Z: 305.4 T.™ — Em *°° * 

, Jep««H7nhrl3. _ 127.9 +02 — ' 30. Ariinctc 

|VWayP*^v>r ,e , 1469 — EnaonDwl 

Ip^easInv.July 13, 780 - -0.3 — 

|Hn-Pn3-WJn!y3„. 1692 — . Bqmtas ! 

3770 ::::: z 

fanhnigh Life Assurance Equity ft 

142 Idnddar 5t_ Ldn. W1H8LA. • 01-480 4023 Amenham 
Janagcd Kd. ..... _.II461 153ft — BqnityfcLt 

&SS&-- SllSi = 

%red Intent Fd.,, 165J -0.4 — 5.7, Ireland 

SSWrPd— 14 1.9 249ft — American- 

lain Fund 2252] — Cs-^dtalTsL 

ranhragh PeoBfamfi United uo^romth 

]-43MsddOx Si.. Ldn. WiHBLA 01-18948S3 DaAcenm. 

^^^TITZr.“:p0iO 207e] +flxl — £5™^' 

wdlnta+fl Kit 190.71 o»®3 — PMmmBm 

Tupeily [972 JfiLft ...ZJ — Friends Prc 

Cnaranteod see 'laa. Base Rates' table. ‘ Do AwmL 

Welfare- lastnuee Co. Ltd? Unil 

hoLmm, Folkeatone, Kent- 0*357333 

«es3hiL.Si.X‘i3fli. mgs 

Uandtestor Gnmp. GTC^fri 

Ttodsor Life Aosor. Co. Ud GT Japan/ 

grtl Att«t Hao, Hbect St, Wlmfeor «n« GT.iSZf, 


&^c I S^Li S "iiiaJ + 3 =■' 

^ ::: ! 426 SttSBifagjgB SHill SS iZSSti&F 

Em»a ft Dudley Tst, H&gsuL Ltd. National Provident Inv. Mngrs. Ud? Pret Julyis_ 

20. ArftoEtOD SL. S.W.L 01-4097551 4a.Gric«h“ r ch^ESap3HH 0 14C3 4200 SJSfSfpJ 1 ® 1 te> 

Ernsou Dudley Tit..)565 71ft .,...] 3B0 NPlGl2i : t;^_.W.l 4&U .1 430 ?£Sg£l 

Bqnitas Sees. Ud (a) (g) Nno^u&Tnot-^.* -m3 "id 260 


Profirefere 166.9 70 ft +02j 403 -Kc« on July 12, Neal July ». Da.Aenua . 


::: i ^ S&Xss: 

t Aeeum. Units). 
p-2« Exampi July 12 
®f5 tAccnm. Unilal... 

-.-J 5.41 
...^4 5.41 
.....J 932 

Equity ft Law Un. Tr. ML? (aMbXcWz) National Westndartezffei 
01-4804003 Amenham RtL. Hicb Wycombe. . 049433377 101. Cheaprtcfe. BCZV RU. 0I4U3 8080. 
, i _ Equity A Lew [663 61 J[ -0J[ 4.11 C3pHal i.4ct um.k^ [6S6 70ft -OJj 

- FramUagton Unit MgL Ltd (al r%£X\. 

-0.4 _ 5-T, Ireland Yard. EC4B5DE. 01-3488071 Growth lnv — HUrt -O-fl 

_ amw riran [114 si at I too Irtcnf -j-i'rp'HJ 38.91 — flXl 

— Capital Trt. Hi a iroft 1 3.77 Po T ,hll0 jcjS~*Bj - TMl “2^1 

. iiSSm Tw. t fit ft ux+3 ’ ’’ I 6.94 Umwarsal Fd.HU —.pi* 63ft -1)51 

i int. Growth Fd al iihft ^ZJ *37 NEL Trust Manager* LUL? <«Xs 

01-4804823 Do. Aeeum. [2X3.0 UOft Z] 237 jjillon Court. Parfeb*. Surrey, 

2 tji Z Friend*’ PtwdL Unit Tr. Mgrs.? ^Veh'f^dSS?' 

m Z Pixham End. Dorttos. 03065055 * Se ^f S»SL| JEfcfl . 

..._4 — Friends Prar.UW.-teJ 45ft +0X| 421 ^ 14 

s* table. * Do Areum- S5 _. J 421 _ see 4»s** Shm^ses, 

, fLT. Unit Managera Ltd? S™?J£32 

Extra lac. Growth— 

Do. ActMl 

Financial Priny. 

4.24 Do.Accum. 

7X1 Hi shine. Priority 
s.n lutcmational. 

5X8 Special Sit*. 

’ncoa tio aft hmluda Sjraalnm, except where Indicated * and are m pence unices LUjerriso 
Mhsaiad. Vieldf % (s&cnre to last column) allow Icr all buytos ex-peases a Qfrt-n-J price? 
ttelnde aD expense*, b To-day's pricer, c Yield based op offer price, d Estimated g Todays 
ipenln* price, h Distrtbntlanhee of UJC taxes, p Periodje premium insurance plans. 1 5 Inc Ip 
iiemlna inro ranee, x Offered price includes all expenses except agent 1 commission. 

Offered mice includes all expenses If bought ihrooKh manascra. x Previous das's prtre. 
1 Net of tax on realised capital sprat unless indicated By 4 9 Guernsey gross, a Suspended 
6 Yield Wore Icrw? laa, t Ea-snbdlvluion. 

lasers. 1 Previous da>''s pnre. 
Goenucy xrosa a Suspended 

16.7 +0X 5X5 — 

66.7 +07 bjds 1-G- Index Limited Olftol 34b'C. 

M3 -ax |.w 29 Lament Road, London SlVID OHS. 

Three month Silt er 2So,:J-2S7.3 

.S3 -m TSB Unit Trusts (y) 

Universal ro-'oi — .pvj 63ft-0ft 228 2I.Cha*ay Way, Andorer. Hants. US848U88 

*37 NEL Trust Manager* LUL? <«Xg) Deaito» to osea esxszz 

W sd® ■ SS2S p ® S£S2L-|| £! SJ ^ 

4 rr For .^..SSSu^ted^Mfearars Lid. TSB Scottish tel 87.4 -OX 2.86 

see SB6hSt*B4 hssei Sfea^HMIt IM Da Accum fin 9 93ft -0.1 236 

Norwich Union Insannce Group (b) Ulster Rank? 4a) 

. p.O.BoxiNonriduimisNc. 080822800 wan ng Street. Belfast. 0ZR3G23J 

'nwM«+m 18. FtoabBiy Gina Exai TDD 01 <083131 *•.«/. row ■*<»«, mnzzmi- wanng street. Beuast. O023G23J 

moayaw GKaa JftLjt"v^J 5.« n,tui«er Growth... teJ. «o| +oft 52 $ 

eiind^A dS aSI— rzzgm 1»X +D.7 In Feart Trust H^ngcxs ud taHgfel Unit Arconnt ft urml liiL 

« London* C .T. Inc, Ftt Uc 0632 1734+13 7.78 25C High Ho»»n».WClV7EB 01-4058441 

. - G.T. U3. fir Geo jlil2 1502-0.4 220 pZrl Crotrtb Fd™E»7 WA ^ us 2i t King William Sl£C« BAR 02 A3 4851 

(L GT. Japan* Gan — &7J yma-72b 090 KS^ttoito— — -P* »3 S44 FHarafiae. Fund— JXrtO 156 M .. . ,| 4J2 

1 =*4 a ' n~ is asfJitlB ■ a.=J s 

1 =. rrrssVi ™ d -ssasssja 

~i " ' ft Hayfetah Rd, Brentwood 10277.227300 81 FaunU!nSt-.»“Mtiert«r 0CI-23BM85 Income Units B97 31ft..., ( 4J1 

— 1 — G.*A — PM Xft*0X| 4X9 Pelican Ucits f*L2 9Bft-DXj S.BZ . Aeeum. Units P43 . Sift .. J 4J1 

f* Tax-free trading on eonunodib’ futures 

2 - Tt >c commodity fttiures market for the smaller iniebior. 


1 Royal Exchange Ave.. London EC3V 3LU. Tel.: G1-2SS U01 
index Guide as at 4th July, 1978 (Base 100 ai 14,1.771 

Clive Fixed Interest Capital 123.05 

Clive Fixed Interest Income 1H. I4 

CORAL INDEX: Close ■174479 


f Properly Growth 10J % 

T Vanbrugh Guaranteed ft.50'7, 

i Address shoirh under Insuratuv and Propurtv Btuu) Taliu-. 


Financial Times Monday July IT 197Bf 






BANES & HP— Continued 

Henry Boot Construction Limited 

•Sheffield Tel: 0246-41 01 1 1 




{ Price |Lm| . 

£ tl Ibl | Rw. 


;i Shorts” (Lives np to Five Years) 

26M . 


1 711 








25 M 





21 F 



5.1 u 

21 A 









■ 35.1 
21 A 

2 CS & eh. 5pc “6-78tT 1 

9tf Treasure 11-ipe TSti — | 

ITS T -vasiir? 79ti 

2SS El«lreo*jpc 74-79-.. 
IN T reasu-T H*pc TStJ- 
15N EI«mc3ljpe 76-79— 

SK Treasury 9|K 1380 r — 

MM Treasury l*pc Wfc — 

151 Trei-iuiy^jpc < ■ ■ 
li.i fuidincS^pc TO-KTi- 
23.*: bjcHcgaer 13pe 1SSJ£ 

3 53 a Treasury Wipe 1861 
15F Treasury V;vc 19T901- 
1A Treasury S^pr 1B61„_ 

I 2 J Esch-Sinc 1981 

4A E.wh.9*:pcl*l 


!7N Treas.vanabltfVl?#— 

23 N Each. 12!*pe ISBlt; [ 

15Ja Trow SJyx'flWCS — I 

1 5F Treasury -prlKS; 

16M Treasury Upc ’ 8 ^ — * 






iTtobj Variable Bifl— | 

|Treo5ury8 1 l pc 82. 1*pc U 

F.yrh.dApclS82A 1 

Esch.&hpc 1583 

iF«h 3pc"EJ 1 

lTMITreasiuy llpc I9B3B- 




J 1 IU Ireland 7i J pc , Sl« 
l IS Do Mipc '91-96 — 

ID Japan 4pe TO Am... 

J 31D Do 8 pe 85-88 

l • 10 Pen AsaJpc 

J 31DSGL®;pelW> — 

_ May 1 TurinwciWI — 

USA 150 ruxiadrPClSW— 

If .MAN. Uni piay 3lrpc. — . 

U S. S St DM prices exclude inv. S premium 





Gross | 
















75 pci 
















10 70. 

lune DecJSatBkAustSAI. 
i »n ■ Jai> NaLCom.Gr? — 
Aug. ' Mar. NaL West £1— - 
May Nov. SchrodereD--- 
Jan. July Sectoral* MC £1. 
Nov. June SnuthStAwb — 
lan. .Aug Kcad'd Chart £l 
June TradeDcv.51.30. 
| Sept. Mar. I’ won Distil — 
l' D.T. 


i I MI 

II A. Jv. 0 .|WelisFareoS 5 _ 
iNov. ltm:h|Wuitrnsia)p — 

Hire Purchase, etc. 












£ 20 * 




N i IcwIcA*® 

30J (Mfec 
155 «.«& 
133 11.49 
3.4 H05 
305 1334 
25 5.01 
10.7 19J5 
305 «5c, 
8174 — 
283 5L40 
132 303 

, „,Apr. Nov. 
f0(Feb.- Aug., 
5.3 jfpb. Aug .1 

i | J.l * 

.bl 53 6.1 
.2! 62 5, 

*••■* — Duly Nov. 
4.j — [Nov. . Mar. 
lO.W — Feb. - July 
If | f-9 [Apr. Sept. 
6-1 6-2 Way Nov. 


IL»| Dir I lYIrill «*** 

Price j id j Net ICrrlcrtlWE 

181 631 7.8 1 Dec- Jp^Aeenna 







Print rf 






InL Paint 

.njpKttMsSUp - 
IPlysu lOj 

.tlixJy Nov 
— |120)Feb. Nov. 
3.8 — [Feb. Nov, 
6.9| — May Oct. 



Apr. OcllASA 

September AMF8*iConv. , H7_ 

UaJa_SfeI»e AmaxSl — 

JoApJy.Q. American Express 
April Amec. Medic. Ini — 

December Asareolnc , 

NaFeJiaAo BaterInUi.Carp.Sl. 
704 NrJu. S. D. Barney Grp. st?r — 
8.64 [djStJllSP. BeodixCOTp ?a — 

11.12 I MJeS.D. Beth. Steel S 8 

1115 baApJyO. Brown'flFer. cl62j. 
7.85 [FJIyAuJf. Brunswick Caw-I- 
1151 UpJy.OJa. BtuTou (Lbs Carp. S5 
11.(37 [MrJuSeDc CBS&5Q- 
11.35 U.ApJy.0. C.P.C.Sj— 

8l 21 FJdyAuJJ. CaierpiDarfi 

10.80 [FJHyAuN. Chase M’tuni 113- 
11.47 iMrJtSD. CheaebroughSl— 
1102 MrJtLSJ). Chrysler S 6 1 ,-. 

' fllyJVuJJf . ClUcorpS*-. 


1161 tUyjVoJJ.F. 

City Inv. SL25- 


Five to Fifteen Years 

iTreasuniPipc 83 

|Sx?h.l 0 pc %i i£45 pd. 

iTuiidin^ s ; iPc 

|Treasury5l.-pc , 8MaS. 


Treasury 7^pe8S«ft. 
TransT'U rt 3pc 7888 — 
Treasury Spc 8 GW — 
Triin:^'8 1 iS7flOCC — 
TrensuryllAprlWl — 

2 lr 



2 . 1 ! aj 

22 Ja|TreEsuiy 12I«pe 

Funding S^pc 8T-91tt- 
TreEsury lV©!-l 

. Treasure lOpc 1S92__. 
.-UEtch. 1 2 1 , pc 'SI 



101 id 

_ 102*1 

Over Fifteen Years 







MJaFTreanuy l-'-W 83ti- 

2 t-Iu 26 Jal 

21 Ja 
• SN 
1A • 
21 A 
2GM . 
6 A 

15S Funding Pk 1*35. 
Treaairy li’jpe 1993tJ| 

TrensurT 14ijpc , 0«t}-. 

Each i 2 >jpo 19M 

Treasury 9pc 84ft 

Trenjury 12[>c 95- 

LM C-ssJp? '90.85 

2U EicalOApc 1095. 
lSNITreasury 12*pe 95tt- 
15V. Treasury 9p« aLWK-. 

3 M Treasure IPipe ’9*i - 
J5!J|E* chequer 13*pc 

10 RtffeaiKuaJpc 1B86-9U— I 
22Ja|Tressux7 13J»nc *97ti — 

23 FlEachequer lUitfc 1S9T. 

IS Treasury 1 KW- 
IMlTreaiuiyftVpf ■SS-flerf. 

GtlSriruai la’^pe T»tJ 

SONIltch. 12pe 1998 — 
15Ja!Trtasure9hpc lECftt?— 

19Mr>reas , jry lCPapc 1399— 

14Ju PuMiiae3J^c , flWW— 
StHTreasutySpc TK-tKt— 
SSJaiTrcasuryApc 12 -lstt 
I2DlExcil.l2pc'13-'17e — 





84 V« 
102 * 









■ 95* 

10 ) 






R'ar Loan 3Jjpcit 

Cone. 3Jtfc "« AfL 

frreasury3pcC8Aft — 
Crawls 2*pc . 

iA lorrreflsuiyfljpc.. 




20 * 

212 1038 

Ma.SJJ3. |BtMontreaIS2 — 





15A.15f« Stock 77-82 1 83* | 61i 5.94 


[Bristol «'.pc wtu— 


, F .My.A«LN. 
[AJy.OJn. , 
May Nov] 
[July Jan-1 
Uuitf Jan- 


2211 22N 

Ci-C.l _ 

Dr. 12*jpcl283 

— -iHerii 5 *pc ' TWO-.. 
l.Ap ltX'aL:: triMXil5*K 76-78 _ 
151! 13NI Jr’9iipcW«_- 
U-AJ.O. I-c y.nelrTSd—. 

IA. 20 >U-n Con.S-.pc W&- 
2i. c 28A :-,*C.C.Cpc 76-70 — 

15M l'i : ’-•■•SilP-'Sf 1 

I5J '•‘■J; — 

ltj Sjprger — 

1CJ :»-- 6 '«rc 83-90 — 

■.M..T.3.'-. I rv.3pc7fl.A2. 

357.1 1 5FJ1! ukU. 5J.JK 1S60-- 

lOMr. IDS. Newcastle (P.PC 7880. 
. 15M JSNlWareick 12>j4i 1830 — 

88 * 
101 * 
• 98* 

• 92* 


• 68 
66 * 
23J 4 

101 * 

25.4] 1231 













































Jan AgJ.O 
[June Dec. 

IJimc Decl 


3 A 
1 A 
3 3J 
— F 
1 \ 






lOiAUJtSJ’PC 75-78 

IJiDo SljjK 77-® 

30‘1’u 5>apc 7182 

1 1 1!;N Z. 4;c 76-78 

2iA l*t( CPC 76-00 

i rl'lDd. TJjPC "83-36 

IX : J- Africa 9l’PC 708L. 
10 Sia Rtiod.2i-pe 'C5-70. 
J5J| Do.6pc7381 

100 * 




8 s 



■X2 556 
313 5.91 
2BJ 6.67 
115 4.09 
301 650 
155 9.12 
283 10.20 
3"66 - 
1265 - 

LOANS ' . 

Public Board and Ind. 

IJlAcnc ML ape "5989 — : 

31 r| Alton lOJjpe ’89-94 


SID’D ?3ic.9pe >982 

31UjDa nuhout ITorranU- 



B 1 I 2 




13 822 
153 13.14 
U 10.84 
133 657 

3 SS 


r.t Mr.-7S 
■11 Mv .‘ON 
1 13 i:J 


TO Je 31 U 
2fJr 31A| 

IrFI I3pe I9SI 

Tw HwTP 

r-.. lire 73 

liT-. D-’h. '3382 _ 

'?Ht*PcDb. 91-34 

,.,.Da I.U.icUas Ln. \h>- 
lljlQ,. DavLn T3 _.. 
r.o I'n-iLn. "90- 
r.n 7,reAD-.'b ■89-81- 
P» PD 

•.loflj'-.vui-ai — 
[■n.»'{pcLs. SM7 — 

102 id 
" 9414 























16ll 1256 




































[Anlofaifa-iaRIy — 

Iv jp-riief. 

Chilean Kited — 

' 1 -rna.i 7 nc t'.'PC- 
i-.-r-.-c7p: A-'. 

]ri,-.; Ass._ 
ilunu '2i.5s«... - 
3 1 Plkeland 6 > ; pc "83-83 

Priee I 

. £ 





43 nJ 


tort Div& 


d Gross 


sn — 



3.7 - 


L 6 4* 


15 Vi 


1.2 6 

£ 6 DC 

3.4 4 

15 4* 


305 — 


MyAuN.F. DaCm.Prf.B51- 
FMyJtu-N. ColBtte-P.S. 

WaJn.Se.De Colt In di SI 

MyJLN.Fb. Cont Illinois 510 — 
MrJe.S-D. Coat Oil 55-. 
L\pJy.OJa. Crown ZelL 55 __ 
MJn-S.D. Cmler-HamowSa 
F5LAJ9. Eaton CtP-SOjO 
Jj_A J.O Esmaik 
DItJilSJ). Exxon fl _ 

J .Aptly. O. Firestone Tire B. 
ApJy.OJa. First Chicago 
u. An. Jy. O Fluor Corp. 5* 

HrJnS.D. Ford Motor C 

fflLrJnS.D. GATE 
Apr. OcLGcn.ElecLS2Jj 
&lrJnSJ7. Gillette Si — 
MrJu-SD. Honeywell 5150— 
[MJSD Hutton ELF - 
Mr JeSepDc. 15X Corp. S5 
MrJlLSi). Ingersoll-R S2 — ►, 
S.DJAJu. InL Systems t um. « 
MrJe.S.D. LU.JnteraalioiialA 
FJdyAuN. Kaiser AL Si ___. 
ApfuOJa ManL Han. DSS7.5D 
J uApJy.O. MmganiJPlUSaa 
N. F. My, Aa Norton Simon Inc SL| 
il J reS-D. Owens-DL 53J25 
Ju.OeJ.A_ QuakerOats USI5 

1 March RelianceS(L25 

JAJ.O. Rep. NT. Corp. S5 

H-9? F.MyAnN. RexnimlSS 

S.DjarJu. Richdsn.-MiTlLSl* 
2?5&irJiiJS.D. Saul fR F.) 
MrJeSJX She'd Oil SI 

MrJeADec. SingenSlffi 

Au.N JJIy. Spem RandSOjQ- 

MaJiLSeDec. TRffloeSl* 

teh Iff As Soi Tenneco 

uune Dec. DallWiLn.Stk.9yB 
U. Apt Jy. O. Tesoro PL USS0J6* 

Mr.Je.SJ). Texaco S 6 JS 

MrJu-S-D. Time Inc 
JaApJu.O. rransameriCBSl — 
iViarJixSpDc litd.Tech.SUS5 — 

MrJeJSJ). D5. Steel SI— 

MrJeJSJ). Wool worths S3* 
ApJy.OJ. Xerox Corp. 51 

16 1 * 



11 * 


10 *»d 

11 * 



842 p 

22 *m 

20 * 


10 * id 




22 * 











191 2 
45 lp 






■ 33 * 



730 p 

Dir. | [Fid Feb Au& Cahle s iHdCfl Wp| 
Gms Cw Grt May CieB'creFr.lM. 

— CredilDauIOP- 
2.8 Aue. Jan. LlavdiASraCSrp J 
— Peb. June LncSroLFralDp 
3.6 — Mange* Mere lup| 

2-B oct Mar. Prtw.FiMWiaL. 
Mar. Sept. StriB- Credit lOp. 

1 - 6 April iWaguaFUWaee- 



45 51.75 
3.7 51.40 
175 30e 
3i 40e 

2.5 64c 
255 90c 

66 52.20 

4.6 51.00 
155 40c 

18.4 70c 
286 51.00 
277 52.40 
27A 5150 

19.4 5L80 SZ20 
255 94c 

9.5 5100 
266 SLOG 
283 51-00 
283 52 
19.4 51.00 

3.7 S3J5 
27i 51-32 
9J SL40 
4j 51.90 
255 6SL40 

35 SZ25 
135 SL84 
95 $3-20 
285 SU0 
66 5LD0 
266 KL2D 
85 53-20 
16 52-50 
26 52 JO, 
264 5150 
225 51-90 
1«5 50.68 
95 511521 
105 53.00 
ZW 25c 
95 90c 
95 S3- 60 

28.6 52.08 
211 S 2 - 2 A 

25 76c 
95 5L16 5104 
95 15c 
126 51.00 
92 88 c 
125 90c 
12 h$Lfi0| 
195 60c 
28.6 $112 
95 5180 
95 5200, 
305 10%l 
35 5200 
22 1 5130 

30.6 80c 
22S 5200 

15 5160 

13.6 51.40 
255 5200 

- 2& 

kiJnApJy. jZapatt Corp. 25c . 
k P Tint prcmloin 47*96 I based on U S3 1-8 
r briar 0^783 (0.67491 






10 Sept. Mar. AMbnu- 

3J Feb. Sept. AmilDisLPr.lOp-l 

3.6 Jan. July Bass Char'gtOT- 
22 Dec. June BeU Arthur 50p_ 

5 0 _ Betbawen Breweiy 

28 May Dec. Bodd ln rio m — 

6.7 lan. Jnly Border BrW&_- 
3.5 Aug. Feb. Brtwn fMattnewil 

4 7 Jan. July Buckley’s Brew— 

5.7 April Aug B aimer H-P.l — 

3 6 August Buttonwood— 

61 Feb. Aug. City Lon. Def — 

33 Apr. Oct Clark 1 Matthew) - 

39 Feb. OcL DbtitlersMp — 
44 — Gorton ill 1&P— 

L7 Nov. July Gough Brntarp- 
42 Au& Feb. GreenaU Whitley 

4.4 Aug. Feb. Greene Eng 

5.1 Aug. Feb. Guinness— 

5 9 JaxL July HighldDisL20p. 

3 j InreiEradim 

2.4 Aug. Feb. Irish DistiDerx— 

4 9 April Nov. Macallan. Glen- 
65 June Jan. norland £1 

31 Jan. June Sandeman — , 

3.7 May Aog Scott fcNewSOp. 

2.4 Oct Apr. Tomnlin 

3.2 Mar. Aug. Van* 

2.8 Jan. July Whitbread ‘A — 

32 Jan. June Wolv. Dudley 
0 7 Dec. Jui Young Brew 'A' Sup) 










12 1 
















Z 12 



»S 1:3 tfCS iv Nov. lA^iiaTr-.v ' — 1 .so i M «• | i>| 55 “ >»-i!afesSs! 



Plysu lup. — — 
Sanson wo. lOp 
Hestokil Up — > 


[ScoL Aglndfl- 
.iStenrt Plastics-. 
. -JTSE^rtatexHp-J 
ov. >tay|wds;enholne_ 
OctJV orics Chess — 













21 * 



272| 16.52 
12.6 3 5 
116 229 
15 5 6 77 
3110 Q129i! 
266 dL3S 

132 tZ.79 

133 1.61 
IS H334 
112 120 
272 Td281l 

3.4 0.68 
272 1.27 
3.4 7 82 
3.4 4.77 

#73132.3—' Nov. May] 
a 4 a 6 April 
L5 92 9.9 Feb. JuneJ 
L5 3.6 * 

6.0 2.6 72 M»y Mr. 
75 22 95 Nfv- May 
26 4 213.4 May Dec. 
22 7.4 7.6 Fch. Octl 
25 85 7.9 ilW. Sept 
5.6 27 9.9 Jan. Jujfi 

3.0 7.1 72 Aug. Feb 
?a 90 4.7 Juno Dm 
3 5 5.4 8.0 Apr. Sept. 
16 6.9120 May Dec , 

Feb. Sept 


















h 201 
































12.62 1 






































12 J 






Oct AitTeifA" — 
an. June Gmnptas'A' lOp 
iov. Apr. Green Grasp lOp 
HVni WyflSJp- 

jin July EaKLTTPrelE!-, 
«. May ScoCtTV-A-lOp 

April TridlTV'A’lOp- 

an July ChwTVA- — 

June WesionlTV I6p-1 

7.01105 f 

66 al 

30.1 6.55 
153 22 

3.4 rsfi .6 
3.4 tfi.19 
10.7 6.04 
25 236 
132 t2B3 
153 13.93 
155 TL65 


far. Aug Allied Retail lOp 
||14.7 lApr. Oct Amber Day Ute- 
' lOjUan. June Aqa3SCuhunSp-. 
m Span- -June Da'A'Sp—— 
q 7 u nne Jan. Andiotrouie 300- 
Aus. Feb. BsleriaSCB. lOp. 

I an. -July aantcvStnreaUqi- 
June Sept Beatie-JrA'. 

?eb. Sept SonrtmenSOap 
Jan. June Bohan Test ap— 
May Brunner 

Jan. July Brit Home Stn- 
i'jl il| Feb. Aug BnwniNiap— 
3 t! 183 Pet Apr. Burton Gnxrfp - 

1 t. Apr. Da'ASVMp— 

&- Nov. Cantors 'A 2 Dp_ 

June Dec. Castet'SjIOp— 
)ct Apr. Church-—— 
Aar. July Comb. Eng 1 ^ 2 P. 
Jan. July Cope Spons lOp- 
_ Comeii Dress »P- 

Nov. Courts ‘A 

zj 51 a.4 6 - 2 pune Sept Cnnys — - 
3 0 4 2 lil&uly Jan. CsSamaga: LOp- 
T 5 28 15 J. Pan. July Debenfcami- 
q Jim Nov.DewhirstlOp. 

Oct Dixons Photo JOp 
June NovJSUis&Goldap— 

g building industry, tdkbb 

j| . AND ROADS • pan. JulyiraiidaleTextSPi 


3.1 1 j un e Nov. Aberdeen Const 
Ian. July AberthawCem.- 
22 Fe 5 ,. Oct Allied PJmtlOp- 
33 web. Oct Anmtage Shnks.. 

2- 6 peb. Aug BPBInds 50p — 
— February BafigeidgeBi*.. 

3- ’ May Dec. BaDey Ben 10p— 

2- 0 Jan. Sept Bamhereers—- 
1-9 May Dec.3aiTattDer.10ix. 

3- 5 Feb. Aog Beechwood lOp- 

4.7 _ BeilaxSOp 

16.7 M n y Oct Benford M. IOp 

Bk. Nora Scat — 
Bell Canada *25 — | 



CaiUmp.Bk.S2 — 
Can-PaciScJa- — 

, Da4pcDeb.£100- 

Hawker Sid. CanJ. 
HollingarSa. — 

— , Mar. Aug. Belt BrM.20p— 
3-? Aug Oct B[ockleys20p— . 

Oct May Blue Lutle£] — 
3-| Apr. Nov. Blundell Perm- 
33 Oct Apr. Breedon Lune— 
J.* _ Brit Dredging— 

5-4 Way Nov. Brown Jksn. 30pf 

frl Jan. July Brownlee 

0 6 May Bryant Hldgs. — 

. _ . L4 Au „ Jan. Burnett AH.— . 

,55. (based an US31.8S8B per £1 Oct Apr. BnrtBoalion lL. 

Jan. June C. Robey 'A lOp. 

Nov. July Cxi mteriGSDlOp-] 
Jan. July CarrUohnj. 

June Jan. Canxm — 

May Nov. Cement Roadstoot] 
33 1 Jan. July CombenGplOp. 







OctfBudson'sfiqyl — ■ 

BudB.OilG.SS 2 - 




glare Gas S3 — ., 

[RIoAlgom — 

, Royal BfcCan S2. 
Seagram CatSl— 
fTar. Dom. Bk. SI — 
|Trans Can. Pipe — 

27.4 $1.12 
3.7 96c 

14.6 S42 
RS 12*c 
306 SL10 

29.6 5144 
226 97c 


91.6c - 


24-lBl 103c | — 

32 Nov. July Costaln fi 

4.9 Sept Apr. CanntrysldeSp— 
03 May Oct Crossley Bldg — 

4.8 Oct April CronchlD.)20jL- 
3.5 May Oct Crouch Group— 

3.5 Apr. Oct Douglas Eobt M. 
129 April Oct DVnlngGJLKp 

27 Mar. Sept Ecooa 10p — ._ 

3.6 Feb. Oct Ellis* EmwL 

3.9 Nov. MayjErith 

S K List Fremlinn 47*% (based on 80188 per £) 


I List I Die | IJTdl 
Price I ri I Net |Cw[Grt|PJE 




Uan. July AXZSA1— 

Apr. July 
May Aug. AUemeneFLlOO 
Oct Apr. Alien Harvey £1- 
Dec. June Allied Irish 
Dec. June ArbothnotLEl- 
Mar. Sept Sank Amer.SL5S5-| 
July Jan. Bk.lreiind£l — 
Mar. SepL Da iOpcConv— 
May Aug. Bk. Leumi 1£1 — 
Aug Feb. BtLeuauiVSKl 
Jan. July Bk.N3.ff. SAL- 
Nov. May Bank Scotland El 
A. J. O. Ja Bankers S.Y510. 
Apr Oct 3arelays£I— — 

Jan. July Brown Shipiey£L- 
Jan. July Cater Ryder £1— 
Mav Nov. CUreDis'nt 20p_ 
Feb. Sept.Coml.Ans.ljAIt 
May Comzhk DM1M - 
March ChdLHbfcKrlM 
July Oct Corimhian IOp— 
May Cred France F75 

Jan. Apr. Dawes 1 G.R. 1 

. Dews±eBaADH50 

F. C. Finance 
First Nat 10p— 
Do. Writs 75-63 
. Fraser Ans. 10p_ 

June Dec. CerrardNataL— 
Mai Nov. Gibbs 1 A 1 
Mar. Aug. Gillett Bros. £1-. 

June Goode D'tJIryjp 

Nov. April Grindlays 

April Oct Guinness Peal— 
Dec. July Hambros — 

Dec. July HiU Samuel 

Da Wcrrano — 
Sept Mar. Hoes ShngS150 
June Nov. Icssel Toynbee _ 
Jan. June Joseph (Leo) £1 - 
Feb. Aug. KeyserUUmann 
June Dec. Hug & Slum 20p 
May Nov. KIcinwnrtBJj— 
Aug Apr Lloyds £1 
Jan. SepL !lanson Fin.3Jp 
S«pt MereurySecs — - 

Ju!v Apr, Midi ana £1—— ■ 
Dec. June DaTLSKHC— 
June Dec Pa 10VX 90-88 
Jan. July|Minster Assets— 

2D Dec. June F.PA Const'll 
24 Dec. June FalrrloughCmis. 
33 Jan. July Feb. IntLIOp 
32 Jan. July Da'A'lOp.- 
5.0 Nov. MayFW-LMdABId. 

— — PmlanijahnilQp— I 

L 6 — Francis Pkr. 10p -| 

— October FnmrisfGJtilQp- 

23 Jan. July French Bi er . — 
32 Apr. Oct GaUtfapdBr.5p_ 

24 May Gibbs D* A tip 

0.0 July Feb- Gtaaon(MJ.)10p- 
4.7 July Oct Glossopff.iJ 

Feb. Aug G'ghCooperWp- 
Mar. Sept H-AT.Gip.10p_ 
Feb. Sept Helical Bar— — 
Jan. .July BemfKX'AlOp. 
Jan. July HeudOTon0.ff.iJ 
Jan. June Hewden St IOp — 
Jan- July DuTpeCan? — 
— HemIWm_50p_ 

Dec. June Higgs* Hill 

Jan. July Howringham— 
__ jan. Jnly DaBes. Vlg — 
93 Mar. Sept Howard Shut IOp 

— Apr. Dec. LD.C.20P 

— Nov. May IbstockJohnseru 

— Apr. Oct Int Timber 

— Jan. JulyU-8HoMinBlBp-| 








6 im 






















-J3- - U.CXG.. 

25 827 
15 220 , 
272 1528 | 
17 4 0.13 
3.4 275 
302 TlO.Ql 
28U 9.61 
2tfi 4.90 


Tele- Editorial SS6341/3, SS3897. Advertisements: 885033. Telegrams: Fmantimo, London PS4. 

Telephone: 01-248 8000. 

For Share Index and Business News Summary in London, Birmingham, 

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Telex 7900 Tel: 2S4 37« 

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Tile* 66390 Tel: 012 1 541 4625 
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Telex 220044 TcL 236.57.43 
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Tel; 253 4848 

Rome: Via della Mcrcede 55. 

Telex 61032 TeL 678 3314 
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Telex 17603 Tel: 50 GO 83 
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Tele* 212634 TcL 682808 
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Building. 1-9-5 Otemaehl. Chiyod»-ku. 

Telex J 37104 Tel: 241 2M0 
Washington 2nd Floor. 1325 £. Street, 

N.W , Washington D.C. aWM, 

Telex 440225 TcL i202] 347 8676 

— April Sept JarvisiJ.), 

Apr. Sept Jennings SAO^ 
Feb. Aug. Johnson-Hidanb 
— July Dec. Jones Edwd. IOp. 

7-2 May. Nov. Kent (3LP.I10p_ 
f, Dec. July Lafarge SAJ100 
5 - 6 Nov. June LalngGoha) A - 
— Jan. Aug. Latham U.l El — 

— May Nov. Lawrence fW.) 

— Aug. Dec. Leechfffm.i20p- 
M Apr. SepL Ltylaad Paint — 

— Nov. June LiflwFJ.C— . 

— jan. July Londoa Bnck- 
3 8 Apr. Nov. Lovell (Y. J. 1 — 

— July Nov. IfcNeUl Group 
— Apr. Aug. MaRntXA SlhnS- 

- Jan. June Jlailiuson-Denny 
14.0 jjov. June ManderalHldgL. 

Dec. Apr. MmrimeL- 
Ang. Mar. Martey— — . 

Mar. Oct Marshalls iRfxl 

Feb. Ang May 4 Hassell— 

Mar. Aug. Mean Bros 

Jan. July MdvflleD.AW.. 
Feb. Sept Meyer (Mont L.I 
Oct Feb. >iW 

Apr. Nov. MilleriSuni IOp. 
Oct Apr. Jfucoocrete 
Nov. May Mod. Engineers 
Jan. July UookiAi., 

Jan. July MowlemiT 
Jan. June h'ewxrihiQEl. 
Jan. July NcnresJ Holst 
Aug. Feb. NotL Brick 50p- 
Apr. Oct Dime Deva Kip, 
Nov. July PaAerTunber 
Feb. Ade. Phoenix Haber 
Jan. July Pochins. 

June Dec. RJLC — 

- .Jan. OcL Redland 
W.«l — I Oct May R'ch'da WalilOp 
July Dec. Roberts Adlaid. 

— Rohan Group — 
Dec. July Rowiinson lOpi 
July Nov. Roy co Group — 
Nov. MayBnbatri ' 

Jan. June HmdwP. Cement 

Apr. Oct SGB Group 

Dee. July Sabsb Timber IOp 
OcL May Sharpe A Fisher 
Dec. June Smart U.l Up— - 
Oct May Southern Con. Sp 
No V. J ub Streeters IOp 
July Nov. Tarmac Mp- 
July Oct raykir Woodrow, 
May . Oct Timmy Cm El — 
May' OcL TraristAmold. 
Feb. AugTtumdBSOp — 

Feb. Aug. CBM Group 

Aug. Feb. Veetis Slone IOp. 

Mar. Oct Vitaoali n t. 

Apr. Oct Ward Bldgs. IOp 
Dec. July ffarringtM. 

July Nov. Wotb Blake 
Jan. July WesthrickPrwb 
Jan. June ffeltern Bros — 
Apr. Sept WhallingsSSp 
Nov. May Whli'^h'm 12 *Pl. 
Mar. Ocl WiRfins Con. lOp 
Oct July ffUsomCoonoUyll 
May Oct|WLmpeyiGcol 

advertisement offices 

Birmingham: Oooree House. George Road- 
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Teles 1K3J3 Trl; 5546ff< 

Lerdi- Permanent House. The HeadroW, 
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Mnnehcstor Queen's House. Queen Street. 

Telex 666813 Tel: 061-834 9381 
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Telex 423025 Tel: 12121 489 8300 
Fans: 36 Rue du Sen tier. 75002. 

Telex 220044 Tel; 236.86.01 
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Chiyoda-ku. Telex J 27104 Tel: Sfifi 4050 


.pruefnt* nnri bookotalls worldwide or on regular subscnption from 
Copies obtainable tro ™ ^SSon Department, Financial Times, Loudon 












2 J5 


153 6.76 
2fii 0.71 
272 43 
107 732 
11 233 
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266 180 
875 tfl.75 
17.4 L82 , , 

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12t 3.82 I 4.0f 
17.4 934 
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17.4 12.26 2.85 
13-2 dlOAS 3.5! 

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23 132 
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17.4 338 
3.4 h2.96 

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3dltdL19 L9| 

25 64J3 03 
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38.5 L75 
133 3.07 

3.4 132 
303 tL84 
17JL0 3.76 
10.7 538 
IfiJ 0.95 

19.4 i2.03 
155 436 
12i 4827 

W J|7%|W3|a3 

23 3A5 
23 2.08 
23 2.08 
301 tl36 
132 dS.98 
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132 7.04 








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r nj Ttwan. Oct Do- A'NV-.— 
I ? 2 | Sept Helene Lon. IOp.. 
77 if 'I June Dec.Dal2pcCnv.Prt 
7.7 1 L 6 pgjj Oct HendenonKl-Bp- 
. 7 , May Nov. HenriqoesA 10?. 
UJ {an. 

57 Qli; 
155 332 
12.12 7.61 
D.4 65 
266 6.00 
155 3.70 
17.4 23 
17.4 333 
301 3.89 
30.1 18.0 
155 2.79 
15 234 
272 43.4 
126 d249 
132 5.84 
31 3.06 
301 LI. 78 
155 270 
31 t418 
10.71 3.51 
25 6.5 














an. » . 

an. July Da'A’Sp 

an. July Fine Art Devs. 5p 
ay Oct Fml :3ftlni IOp. 
arJ Sept Fonninsier 10p_ 

nn July FostwEros 

one Dec. Freemans Hoc 1 
lot. Oct GelleriAJ.i20p 

uly Feb. Goldberg A 

a ci Dec. June Goodman Br.5p 
in a uune Nov. Grattan Were — 
IMar. Dec. GtCnutrsaJ — - 

Mar. Dec. Da'A'Ord 

qr Aug. AprIGre. iniietts IOp 

S^lApr. OctlHome Cham \0p 
s,qi Dec. J triylHoose of Fraser- 
£ n Nov. JundHooseofLenae. 
5 - D — | Knott Mill IOp 

Oct Apr.lLadies Pride 20p 
71 Jan. JulytLeeCooper. 
n,. May Nov.) Liberty— — ^ j 
^21 Nov.lDa Noa\tg.Oid_| 

09 Sept Apr. LincroGK. IOp— 
Ti Nov. Apr. MnPcnatnrelllp. 

Jan.” July sS^P^m 
4 5 Feb. July Martin .News — 
non Jan. July MenriesUj--- 
— Michael (J)10p- 
5 -‘ Feb. July Mid BducatMp. 
?. July Jan. MHherearelOit. 
July Feb. NSS NewslOp— 
5 June Dec. Owen.Otren--.- 

L 5 t g - 21 M l -_ 

3.4| 73 


ielJan. . July ParadSseiBl lOp- 
7-*l a™ iv» PawsmflrJLl. 

M“4I U\ - Polly Peck !9p. 

pi OBf sassia- 


33 83 4.7, 

12 } 17.ll 

* 7 fcl V Feb - JulHSeuiff H.'A'50 p 

T Oct Apr. Steinberg 10p~- 
* « ?, Jan. • July Snmrieahtl—. 
H 41 n't Jan. July rime jWs. IOp. 
Si 45 fte Feb. July ITJSGroup- 
riini S"c June-Dee. Upton <E) A 
« 1 S' i ui Oct May t antanaSp— 
0!7fl23|!6J| Dec . M^VBto’A’SOp 
May Nov. Walker iJaaJ — 
May Nov. Da N.T.. 
'June Jan. Wallis IOp 

|S4U Stores !S*p 

3.8 5.6 
23 83 7.9 
153 hl.06 U.B 23 5J 

i-? fl May. Nov. WaringiGfllow 
HiJSoT? 25 V M Jan. June Wearwen5p — 
MAMe- t 7 . Jan. Sept Wharf MU} KJp5_ 
272|hL63 b6.9J 26| IM May nqv. wiflaunWartlM- 
Apr. Octlffoolworth 

1.7113 7,t p e b July Derribon JDp — 
J- Si if Sept Apr. Dwrtmra'A IOp 
J-J 5 J May Dec.Dtwding4M.5p. 
2_5 d4.84 7.0 4.0 qcL June Dreamland IOp- 

126 438 * H Jan. July rabflierSp- 

10 7 tU35 3-4 t4 55 Ju i y j an . tiHSOp 

27.2 12.62 0.9 9.1 [ZL1 Au& Feb . DaB^-VCoov.W 

5.9| 5.44 -33j 8i( 53 peb! Oct EJed'comps IOp. 139 
25 9.80 
17.4 7.60 
17.4 20M 
25 cB31 
266 10.97 
12fi 430 
266 1L48 

272 dzSjI Apr. Nov. Pressac lOp 

]ii 3.13 1® f-SJIlApr. OcLpyeHIdas 

17.4 h280 31 3.8 10.4 peh. Aug. RaolElertncs- 

Ht 15 3 1 il ,« Jan. Ju& Rediffuam-— 

126 41531 0-7 7.0 IMi Apr. Oct BouflexL B.lOp 
301257 3.0 9.5 5J May Nov. ScholMlCJTl^- 

3.4 0.99- 53 4.4 63 j u iy Feb. Sony Cal oO 
132 11.55 ,22 8.7 7.5 October Sound Diflan. 5p. 
2£ dZJfl 124 H Apr. Nov. relefori<m5^ — 
23 0.68 IS 31 1.4 7.4 Apr. Nov. Da’A'Ni'V'ap— 
Dec. June Tdt Rentals, — 
.Mar.. Oct ThtenEkct — . 




3.3 4 ; 
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- ' M0 57 
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Ba-.lcT.CHi_ 5l a 
BakcrPet50p_ 94 
Bamforelj20p_— 33 
Bin ro Coos. iOp. 64 

Barton A Sons 58 

BeanfordlOp — 47 
BevaniD.F.'Sp— 16 
BinnidQnalcast. 61 
BmngbnLXnit— 70 
B"bam Pallet IOp 92sl 
iBlickff'd Bodge. 60 
iBonserEngJOp. 25 
iBoultniffmlOp. 16* 
iBraham Mill top. 3SsJ 
0NfL|Bmth«iite£l„ 130 

BTwuwDwLIOpI 42a! 

4> April iHnstnl Channel _ 6 

63 July Dec. British Northrop 81 
,93 Jan. Au& BnLSlcam20p_ 90 
12.2 juuc Jan. EwkWiem*— . 66 
6.7 peb. Nov. Brim’s Cast wi 1 . 30 
7-6 Nov. May Bronx Eng. llgL. 30 
— Apnl Brooke Tod — « 36 

4.0 Moor SepL Brodwh'dP.SBjL- 131 
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63 Apr. Sept. RrmrnJobnU— 402 
7-9 Sept Mar. Bnllon£h20p._ 140 

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15 lOU 

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sal a February DdsonlQp 28 

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3.7 M3 Feb Jul ^ DeunbJ^.. « 

T, .Jl, Mar. July Drntend50p — 150 
'In in Oct May Deno n tt ec ., — 136 
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2-f jg -6 _ iDfafceiSojll 27 


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36 63 

Lr KLD 63 
13 107 80 
31 53 08 
2-1 76 R8 
3J 10 92 
7.0 7.4 


62 4.' 
4.4 10 
65 3." 
2.8 fi 

8.4{ 7.2 Sentembcr 
7.1 * - 

3 0 8.2 Qee. July 
a 1 1.4.31 doc. JuiL, 
33 4.7 Dec. JnnejD' 

B A2 Apr.” Octl 
5 9 7.7 M.irch 
8.5 3.9 jjay Oct 
98 « M June 
8 -9 Apr. Dec 
7.0 3-7 \pr. Oct 
9.8 14.6 pjc. Juno 

4 4 17 July 
$ July Oct 
— July Oct| 
31 May 

Adda Int K>p — 
Brent Walker 5p 

Warner Sad "A" Hc- 
. Wheeler's 10p— 


5 37 
6'7fi) - 
4 24 
15 56 
d 2.0 

17 4j 

15. E 




0.6j B.3I36P pebl Oct 

nig aU *•' 

2.610.1 5.8 

i|ioj luLpr. cvlaak — in 

, - J -6 Jan. June AGBBnnNh- W 

3. a 6.5 6.2 Apr. .kronson tins. ®P “ 

U15 4.? ^ 'fftt.VbbcyLU._j_ 3| 
3ffl S3 5.6 ppb, Oct Airfiilndj SOP- g 

* ' s “ ♦ gf E ffirwK: m 

3.M 7.B 42 Jaa _- June- ! iBC.Ai»-- , 'si |1 |*- l 
1-3 S.0 9.0 pee. Arcn»niA'lto-| 

3j| 6.2 Feb. Assoc. Leisure 5p-| 


3.0 7.7| 

4.0 7.. 

3.1 7. 

3.1 8.1 

1.2 12 

32 3.i 
2.2 9. 

1.5 8 .' 

L3 9.9)18.5 








60 ^ t 

77 |"ianua^' iMmipa Brmsel 82 
4 x't. I Jan. JonejMartmuurSOp— 169 


June Jan. 

Oct Apr. 1 _ , 

Oct Apr. Mecalmi . 
• qi 04 Apr. July Midland tads. 5p. I 
,1 September Mining Sup. I0p- 
7 -° * 4 MotTS MilcbellSooJOp! 
Ml 2JI10.6 Nov. July Mole Ol.ap 

-I 931 - 

53 6J5 5J 
3 8 61 65 
4.5 4J 68 .. 

43 42 66 |^S 
♦ 43 * 

3^ 4.4|_8.V|j^j b pec.rtcF.Hoidinjn- 
Dec. Apr.|Rmne Ene'g 10p_ 
I July 


33) 5.6j 5.0 

6 S 2.7 7.4 

J - S. June Dee. AJ. Electronic- 

813-0 7.5 Apr. Oct Allied Insulators 
f « fr January AndioFldelitjIto, 

3-7 7J 4.5 Nov. May Anto"ted Sec IOp 
2-3 I j July Jan. BICCaOp 

11 7 A,H APT- Nov.BSRIOp 
3.9) 69 (4.0 July jan. Scree — 

0 , - -T, Oct Mar Best 4 May lfip— 

65 f-Ijan. June Bowtborpe IOp, 

85 63 j un Nov. Brocks IOp 

4-2 May Nov. BDJ«in , A , &p 

-J Apr. Sept CablelMUiSp— — 

33 4.6 (66 June Campbell (shwd. 

• 7.9 * July Dec. Chloride Grp. — 

*- 7-2 ® Aug. Feb. CamdR.Sere.5p_ 

33 8.0 4.t _ Da Upc Can. Ft TMEIUBT. 

*. 7.7 * pec. May DaleElect Iflp- ' 

H Ho Apr. Dec. Decca 

L 9 ( 7R)10.C Apr. DecJ Do. 'A' 

13 6: 
U 9.i 

31 '' 

15.5 td4 
17* 5. 

2811 t3 
17.4 CW3 
155 *.32 
266 d243 
305 130 
17.4 226 
26 6 M3.9 
27.2 15^3 3{ 

155 L63 « .§■! 

305 Ills? 23 7J — 

lifitdLW 4.6 7.4 4.9 jjjl July Muiihcad 

477) — — — ~ Jan. July N cmbspI tads_ 
3.4 IX-l 4.t Mur. Oct NenmariLoois. 
22 9.8 7-j juiy janJNonnmd EL 20p. 
55 3 X W Mar. 

75 3X0 55 j an . juMFetbawHidgiOp 
62 43 5.i jjfay ]) t T. philips Fin. 3 Vfc 
4, 8.2 9 Dec. May Philips Lp F10_ 
H m Apr. Oct PlitoHldgtaip- 
3.8 7.0 72 Apr. Oct Da*A'20p. 

18|-8-3|10^ jujy " Jan. PleseyWp, 

2.7 ” _ [Electronic Mart 

Mar. AugiElec. Rentals lop 

(64 June Nov. [Famed EJeC-20p 

H3.7.i|js afissssta 

6 ^ 3-71 Mot. Oct C,E.C. - - - --- 

Jan nary Highland EL 20 a 
K Oct Apr. lonesStrond — 

i f Jan. Jun. Kodalnt 

i f Mar. OcL Laurence Scott- 
4-* June Oct LecRefri. 

7-5 jan. July MX Electric 





May AlbriehtWibon]. 
Dec. AlfiiKtelndi— 
Jari. June Allda Pack LOp — 
Apr. Sept. Ail'd Coiioid IOp. 
July Nov. Anchor Cheo. _ 

J tdy Nov. Bayer AG. DM30. 
Oct Apr. Bhfiden Noakes. 
Nov. Jdfy Brent ChemslOp 
Mar. Sept Brit Benzol IOp.. 
Feb. Aug. BriL Tar Prd. IOp 
Jan. July Burrell ap_ — 
Jan. July Ceriess C^id I0p*| 

Jan. May c alalia — - 

Dec. JuneCibaG , 6j7*%Ln 
Mar. Sept. Do 8 %Urc 8 lM . 
Mar. Sept DoR*%Cire3MS 


Jan. July Coates Bros. — 
Jan. July Do'A'NV- 
Sept June CoryifloTOMlSp. 
J an June Creda Int 10p_. 

May CrretalsteSp — 

Jon. Auc. Eaalon Mastics- 
Jan. July Farm Feed- 
Jan. J uly Fisonsfl — 
May Nov. Halstead (J.)l to. 
Aug. Feb. Hkm. Welch 50p 
Dec. May HoeehstDUS — 
qjuns Dec. DoJ'uUfllri ia . ln , 


12 « 
















M3 32 






















— Oct Apr. Utd Scientific— 

3.7 105 Feb. Oct Ward t Gold — 

7.8 7.C Jan. Aug. WeliroHlds.Sp_ 

30.4 55 Mar. Oct Westhwhoue _ 

3.7 « December WhitwutnElJp 
9.4 52 May Oct WhlaaleFIgBlp. 

3.0 April jWigtall i H.l 










































Z72 4.13 

zall d 2 Jl 

25 L32 
155 705 
113 4.77 
305 4.28 
301 1274 
153 3-62 
155 3.40 
155 L31 
272 t3J 
305 2.90 
Zti 52.4 , 
2tfi fhd23*j 
301 4gL45 
M — 


133 tlfl.7 
133 110.7 
10.7 0.73 
301 0.83 
IS tL08 
155 hL27 
1U 90.99 
155 9.24 
2811 5.05 
995 — 

12.6 5.0 
M.7 03 

155) 66 
305 523 
25 b67 
35U 4.01 
3111 dl_07 

27 1 4J4 
14 4.7 
132 $50 
17.4 d2-59 

10.7 65 
305 6.0 
3flJ 50 
30-1 1602 
m 2.B3 

132 Q4%] 
266 de.61 
155 Q5*% 
1222 QI7%; 

17.4 t2.7 
17.* 1Z7 
25 5.41 

3.4 12.7 

14 3.57 
266 3.88 
10.7 4.79 

272 1.6 
3.4 1665 
1*2 Q50%) 
Wfl L22 

133 1U7 
133 fl.17 
155 5.84 
302 11.45 

1* 047 
132 t3 62 

15 5 M60 
32 th407j 

155 013 
302 213 
1720 0.66 
132 T4.79, 
272 Ndl35 

















lAm i. i i Jan. RJLP 591’ 

^iifilMay Nov. E'ntomesSim.El 155 
9.7)31.6 sert, Ratdiflelnds — 67 
Nov. May RatellfluGXi— 89 
, Oct Apr. Record Ridgvay. 75 
A4I10 6 [Apr. Oct R'dmn ITnan lflp > 
Ane. Feb- Henoldn 123^ 

R 8 l( 54 ) Ang. Feb- HrauddEl 
-nn 4 2 Jane Nov. Richards of Leic. 
231161) Feb. Aug SidinsWettMi 
R 9 08 Oct May Rohinson IThciS .1 

7 2 A 3 Nov. June Rotark IOp 

41 73 July Jan. SanderwnSiFser- 

73 80 0ct - SavlU«G.|10p>6- 
4 8 61 Nov. June Senior EngglOp 
7 4 18.1 f**- An& Serck— 
oj in ? Oct Apr. Shakesp'ieJjjip.. 
Aim Isa Ju^ Sbsw Francis »p- 
34 Jan, Aug Sheepbridge — 

67 10 9 J® 0 - Jnne Staion Engg — 

“ Jan. May Spear* Jackson. 124 
i 41 * 21 — Juiy Mar. Spencer C It 20p. 29 
M-ll 2^71 153 Jan July SpranrCeanap^ 15 
31 4 W12J Nov. June SpirasSarco — 166 
la 4^120 J^ Feb. Spooner Inds — 87 

tir* May Nov. Stannie20p — 77 282 

May Srone-Plab 118 

May Sykes fHauri 98 

L2 93 132 
2.1 53 12.9 Jjoy 
32 60 60 Oct 
L9 7510.7 Apr, 
M 103 7 A J“- 
273 19.1 — *“■ 
♦ 1-6 * 

4.9 4.9 
» ae 
33 4.6 
45 61 

3.B 4.8 











Nov. MoUus 
171 July Jan.hlossE 
am QE Apr. OctlNeepsem 
S ? June - Nov. NedltJasiHtta- 101 
,FTI la tc May- Nov. Newman Tonks- 56 
^3 nj JSfc Oct Apr. Northern tog—. 102* 
nn^ in 7 1 I 7 Feb - Nwl< ® ?■ W S* - 

fWli si Jufr Jan. Osborn (St ___ ,99 
Jan. Aug. Pegler-Hatl'isUy- 160 
June Prater Chad 20p ICa 

Aug Pratt (Ft 71 

Sept Mar. Priest (Ben 1 83 

441 aoUw Dec. Procrali^peSMB £34* 
1 vn 0 1 June Dec. R.CF. Holdings. j7 
' I T>am A m* iRaivWh Fflp'i' 10 t3l_ 13 








If 2 








ljjd dZ-l” 
23 5.06 
13 21 2.23 

3 4j TO T 
3-^3 2 <> . 
13.2 td0.41 
1112 hl .10 
155 «4.o9 
175 3.58 
3.* 538 
17.4 Ji2.i«7 
3.4 3 51 
17.4 2.28 11.45 
305 t* 3 
25 1150 



135| hi 03 


... 1.1 




1* t4.D5 
HI 35 

tl 01 

m 3 



_ h(154 
17.4) h4.47 
303142 . 64 

eq Mar. Oct Wagon lndusti'1. 125 
HI Dee. JuiywSkerlC.iffj. 125 
July VurifT.WJ.--_ 68 t z 

Oct Taee IOp 25 

May Taylor PaHister. 92 

July TecalenhL 133 ml 

Feb. Sept Tea. Abrss. IOp- 64 

_ May ThywenUmlD — 390 
? 5 l fcJUi 73 i Apr. Oct Tomkins F.H.5p. 22 

PA $ 3ft 7 Jan. Ang Triplex Fdries_ 

4.0) 29112.7 OdTufclnvesiifl. 370 

q a 15 1 June I umlt- 76 

ek» a 

* H * July Feb. Utd Sprue IOp- 27 

4 S 195 July Jan. Utd WireGnwp. 64 

H 7 * Zi jan. Judo Vickers £1 170 

in ("J 7 « Apr. Oct Victor Prodndi- 138 
3 0 7 2 71 J“. AugW-GJ 108 

5 0 53 53 Nov. June|Wadttn5H» — - 117 

U 5. 

3.6 M 133 

fl SI fl D«. JanefffanieffbcMlto-] 

* mo * Sept- Mar.WVvickfig3p 
1 ? a {AO _ Jan. Apr. Weeks AssocJOp 

* 59 * Jan - Mav Weir Group. — 
z_ non _ Mar. Sept Weliman Ene’e - 
20 47 103 July W.BromSp's.lOp- 

49 4 6 67 July Feb. Westlsntf 4 . 6 ) Dec _ Aug Wefl'n-Enos . 

* Jan. June Whwoc 

ii Jan. Aug Wbeway WUn.5p 
5 a June Whitehouse50p. 

* Jan. July Williams ( WV4-. 

117 Jan. May FlmsfiJames— 

71 May Wolf EletL Tools 

1 4 q'slis ' 5 July Jan. Wolil'y Hughes. 

* 09 * Apr. Nov.vrbwellFdy.lOp 

6 43 Z Apr. Aug WoodiS.W|20p_ 

36 *0 (64) Oct Apr. W'h'aeRun Uijp 
36 4 9 i 62) October Young A'a nil" 

20 63110 

q3.4 51 8.8 
53 35 82 
2.0 4.417 2 
80 19125 Dec. July 

3.6 7.4 5.7 Jan. June) 

61 7.6 53 Apr. Sept 
33 62 5.4 Feb. Oct 

3.7 5-9 7.1 Apr. Octl 
19 5.2 101 Feb. Sept. 

4 9-4 4 May Nov- 
















Apr- O ' 1 - 1 

1 1 SepL Mot. 

£ 4 |Apr: OcdTJ-tflLM 

'City Hotels sop— . 

Dc V err Hotels - 
Epicure SP--— 
Grand HeL.-Op-. 
Kunaal iM'lt cS 
HL<’harlo:ic IOp 


North IX. F> " 

10 p. 

Pnncefl* Wale'- 
Bowton Hotels — 
Savoy “A" IOp — 
SufcisiRcoi top-. 


£ 22 % 





















107 067 , 
7"74 IQ12B 1 


272 1435 


17.J 0.49 
DJF 66 
27.2 tC.6 
155 h!45 
155 hO0* 
153 dfl33 
12.6 626 
17.4 hL02 
3.4 h032, 

12J2 1.28 
1212 14.41 

M 53 U 
23 7 011*. 
♦ 33 6 
47 3.9 03 
15 44232 
bLI 3025.4 
3.5 6 ( 72 
14 64 222 

34 64 61 
3J 43M0J 
45 1! 108 
33 2.6 152 
32 34119 
61 14 74 

13 13 447- 
LB 6313* 
4.7 20146 

35 )U5 
tLO * - 

14 5J 90 
.* 60 *. 

4.1 20161 

7J gfc: BpgW 

6 *1 84li,,! V jan. Avon Rubber £l. I 










Jan. Avon Rubber i 

July BEA Group 

Apr BET.Dcid — 
OcL BOC total. - 

10 * 


JdlytoWWia-fC 163 

13-2, SP . ttnr*WAT.*.V 106 

§■1 July Doc. 29 W IM 138 

HtW MarlHalhiWiW 7** ^3 

4.0 66 5.6 peb. Auq.lBecchaiB..— --- j 667 
3.4 40 9.4 j an _ Julv|odiairCas-10p-.l 15 

3.0 62 8.2 May lUentinu 

3.0 8.0 55 m a 
10 13.1 111 5^ -W 8 
5.7) 2.9) fi.?|Oct. May Bestflbell 

May Biddle Hides.—., 
May Bifurcated Eng-{ 
July BiflamlJ.llOp— J 
Oct Hark Arrows 

Nov. BodywJcIntT— 
JulytBooker Met. £ 


931 7* 
5.2 14.9 


8 J 81 


67 50 
43 9.0 
84 5 7 

14 50 
53 30 
7.7 4.7 

68 42 
05 489 
4 < 49 

|30* * 



9.-* 44 
15 63 

50 80 


4.4 73 
4.6 60 


5.7) 4.1 43 net' 

35 73 60 

C.S Killing 
9 42 Jd 

li Si : te 

8.1 23 flO^v 

2.1 113 15.2) 

* f. Nor. June Boosey fcHwte- IM 

3.4 May Nov. Boot iKeury>50p. 158 

it 100 10.9 FeMyAuNv £22% SS^i 8 ®! 2ll tI 

M f-1 1 \ 2 M 

1-7 10.7 83 jan. Ang. Bradylwk.--— ,54 1232 5.W 

tatlsysffiSEl ili 

95 35 32 _ Brit Steel Const. 2*8 
30 4.8 9.5 jan. June Brit&^wt20p. 61* 

87 6.6 May Nov. Briusfi »Lta 96 

5.4 3.4 82 May Oct Brillains. — — 26* 

5313.7 7.7^. May 8H.Prop.5A2_ 670 
75 3.6 5.7 July Brook St Br. IOp. 68 
52] 2.0133 Xov. June Brooks Wat 30p.. 34 

" * Dec. July Brown to*. Kent , 53 t 2 

50 Oct Mar. BnratonsfMnwL 103 
Feb. Nov. Lum> Dean- — 74 
llAxx. Dec. Bnredene 5p-_.. 17 

SJ&FSSiSfciS: J 

Nov-Og yap-. 1» 

90 May Nov. CamrerMpJ — 60 
5-9 Dec. July Canning (W.) — 63 

61 May C^etoduHtriea. 124 
50^eb. JunH^UnProLlfip. 200 


ij 22 


1.7 10J 
IS 9.1 



10)103] 13ft Mar. Sept Caravans tot 3ip 80 
Jan. June CarKon tods.— 194«d| 

Feb. Aug Canoed*-—--- 1|9 
10-* September CelestwnlnlSp 30 
® J Jaa. July Central MfelDp. 52*1 
70 Dec. July CentSkeenriLSP- 
Sept Feb. CentrewavO^.- Z37 
* Dec. July Chantierbtoijp. 46 
50 Jan. AugCJBinh lanPtLMp- 42 
7-5 Mar. Nw. ChangeWarglOp. ,20 . 

40 March J DaCvCamKUp- l^nlj 

Nov. MsyiCbristointlOp 1U 

T) Dec- Aug. Chubb 20p lg 

9-9 Feb. June CUricelOranenU 71 
6- June Dec. ColcI Bff t ■ 117 

1 i£ttneic & H) 

IS 9. 

1.9 10. 
Z 01 O - 1 
« ID. 
87 3. 
50 7. 

3.4 6 ! 
7 2 1 
1.7 10. 
i* 9.: 
Zi 7.- 

_ 4.4* 

’BBt , 



155 128 



17.41 52 
301 14 








7-3 Apr. July Cont Stattouyi . 

. _ - f-3 June Feb. Cope Allman 5p. 

H i?n K May CopydeslOp^ 

1014.0 68 Apr. Nov. Coral Leis. IOp _ 

H c"5 2n Jan - Ju ^ Cosait--. .. 

4i 53 60 May Dec. Conrtny Pope 20p-. 

7 ? 75 Mar. Oct CtreandeGitlQp- 
?« ii c fiTt. July J 31 *- CretnO.lSto-- 166 
H ^ Apr. Nov. Crest Nichof%- ,83 
17 123 7.1 Nor. July Crosby House tL. 160 
35 55 7.9 jan. Crost^Si 

^"5 2 « f-J Dec. Aug. DeURue 1 355 

43 68 53 Apr. Aug Denhjware__ 

95 4.8 50 jS No^lWfSW&9M6(£S4 

40 4.6 53 Feb. Sept. OamoadStflOp ZI 
5-7 4.9 8.4 j aa _ June ESniie Hed 5p_ 10 

2- 3 "70 42 Sept Diploma lnvs__ 171 

3 4 7.4 5.9 sepi. Mar. Dobson Park IOp. 99 
53 42 7.0 jap, Jnly DomHlctEa." 

7-4 # MaJuSeDe DorerCWp.1 
10 ?■? Jan. May Dons Sunri. . 

33 62 80 May Oct. Dufay Bitran. IOp 

7.9 * Nov. Apr. DiubeeCom.U$> 138 
Z9 86 t45i j nng Feb. 08»dimian2Op_ 

W M Jan. Duple tot 5p — 

W 8 1 5-J Aog Apr. Durapjpe 130 

oS cl — Dnk Group Lip. 9 

3- 3 8-2 5-5 Feb. Aug Dykes (J.l — 

22 ai a® s 

4.0 33114 Apr -_ Wt E .C.(tei B Wp-- 

oo 5"1 Dec. EaslOTProdaip-- 96 

3-7 7.6 4.4 j^. Nov. Elbar tods. 50p_ 260 
J-J f-4 85 April Nov. Elhiel5p 16 

4 ? 73 52 May Jan. Hero lOpZL— 43 
24 ?0 8.1 Jan . July Berf.tod.Sec_ 52 
3 * 73 45 July Jan. HlkHIPTi'ru I0p_ 16 
1.9 32 21.0 j an JaneEhm&Robhim 89 

4.7 64 3.6 j aiL June EtarickH*per5p 17* Z£hjto.99| 

3.7 6.6 52 Mar. Dec. En*art Corp. SL £3<tt 1 US2.0 

5.1 13 L V ^ “zJ* 

. i July April Eng China Clays 76 
_4-2j *_ Mar. . Nov^spmn» 13jp- 136 





O I April 
64 |Oet June . 

— {Apr. Sept 

— lApr. Sept 
May Nov. 


I Apr, Octl 
I June Dec 


[Acrow — 

Da ’A'. 




, 5 -« 
4 . 3 ^ ♦ 


June Dec-! 
Nov. Feb, 
OcL Apr. 

Feb. Aug 


OcL Apr. 
May Nov. 
Mar. Sept! 


1 Alcan Ahummum-) 



.AllenW.G — 

Jan. JulriAmiiL Fewer. — 

May Adi t Lacy— 
Jnly Auec.To<riuie» 
Astra Imfi Ifip- 
Aurora Rids.— . 

47 nt 

132 338 
17.4 5.71 
132 228 
132 228 
17.* F1O0 
- 990 
lit Q9%| 
10.7 433 
Z72 C2.82 
25 528 
264 2.83 
475 - 
17.4 d6.63 
«rfifi r- 
3QJ 23 
301 1101 
34 5.28 
272 t5J 

Feb. Sepi 
4.71U2 Oct April 
3.8 831 May Send 
33 13.01 Jan. July] 
4.1 901 Jan. July! 

S.7I 8.01 Apr. OctJRLu third Cont _ 

10.1 53 Sept Mar. 
16.31 — I Mar. Nov, 

Alpine Soft D IOp _J 
Ass. BisruitMp.. 
Ass. BnL Fds. 5p 

Ass names 

lAss. Fisheries— 
Barter t D.lflp. 



Jan. AuglBassmiGooi 

Baileys Vork IOp 
Bejam Ito- 
Bishop's Stores _ 
Da-A ,, N'VU— 








Brit Sugar 50p.. 
Brit Vend'g top. 

65 5.6 Dec. June 
5.7) 3.7 June Jan. 

A May Oct 
_ — May Oct 
61 7.8 Dec. May 
_ 4.0 Dec. May 
0 .6110.9 240 Jan. May! 
7.0 7.6 Feb. Dec, 

Jan. JunelBriiokeBond 

Cadfcurr Sch'ps. . 
Can's Milling .... 
Clifford Paines. 

Do “A” MV 


Do “A^Hip.—.. 
Danish Ben. At l 
Easwoudii S!5p_. 
Edft'&iLon C Sp_ 

O.OlJan. JunejEnSlflaa iJ.E.iaj 





















266 d660 
153 339 
2U 232 
31 h0.78 
Ul 30 
1411 L09 
34 td30 
67* - , 


30.5 IQ1334 
167 5.67 
10.7 3.6* 


- » 
266 (1259 
266 dI59 
1* 4.62 
155 th4.75 
19.9 051, 
25 12.76 
25 3.04 
12.6 12.63 
17.4 191 
17.4 1.91 
107 432 
lO.i 432 
17.4 6.64 
30J *339 
*7* — 
1?.^ 1.42 

3-5 “2 12 Jon- 'June EuroFerrics— . 

30 7.8 52 Mar. Sept Erode Hides. 2&pt 
}. 3.9 } Feb. Aug Ewer George IOp 

45 7.1 « Jan. jJ. Ertd 

J-J JA 7.0 OcL June Fmibairnl . 

Z'o H fl Jan - JuneFeedexIOp — 

30 II I"1 Au fr J an Feuneril-H. 1 - 
2-“ 85 62 jajL. July Ferguson tod. 

— jan. Sept. Fertlemaa Slip _I 
•m 1 May Nov. nndlay I.A0.C 
h2.ll 55)12.8 Jime FlrstCaaUclOp- 
Apr. Dec. FllzwiSlaa-— _ 

July Jan. FlexelloC.AW.. 

Nov. June FbgnrtylKJ 

.Dec. ■ July FosewMinsep— 169 
9.1i Jan. May FotboaiIHanvy_ 102 
iSffi MaJofeDe. FronklmMiaaL. 710 
671 Feb. Not. French Thus, tip 63 

15 .4! Oct Apr. FricdbndDrt % 

3.9| July Jan. G0.iKd£s)5Op.. 580 
, .Apr. Sept Gestetner'A' — 176 
5.9) Nov. - May Gibbons Dudley. 85 

I Nov. June Gibbons (Si 171 

July Dec. GievesGnmp__ 85 

Jan. Aug GfllspurlOs. 59nl[ 

April GtofiUeUK 73 

Jan. Oct Glaxo5Dp 572 

... October Gnome Photo IOp 41 
4.5 May Nov. Goldman Ufl Up. 

1L0 Jan. July Gomme Hldx__ 

8.8 Jan. June Grrfopian Kdgo. I 
64 Apr. Oct lirmujia'A - .__l 
3.4 April Oct Gripperrods I0p.( 























♦ . 






















80 Oct June GrowbdiGp.5p. 
37 Jan. Aur. HalbmSIeisnlOp^ 
(1.7} Feb. Aug Raima 10 p.__ 
36 Nov. Apr. HaBHbwoelDj)- 

5.6 Dec. Apr UaiumaCp.£c. 

4.7 Feb. July HanauaHnst. 

Mar. Sep*. OoJljjtfCevt 
Jan. 'July |f3rftteaves2Dp-. 
Jaa Aug. Hams (Pit) 20p_. 
May Not HatratSUddno- 
" ' Feb. HovfcuB4TlpteB- 

2T 0" tJg 



imj z 




s f 

GeaLj 105 
-* — 1 169 

h Sterling denominated securities which include mv-eatnjettt 
1 0 dollar premium, 
f? • ■Tip" Stock. 

? a * J 0 * 1 " • ntl b«w« marked thus have been adjusted to allow 
lor rights Issues tor cash. 

'-1 t Interim since increased or resumed.* 

t interim since reduced, paused or deferred, 
tt Tax-free to DoD-reaidents on application. • 

* Figure* or report awaliad- 
tt Unlisted security, 
a Price at time ol suspension. 

f Indicated dividend after pending arrip and/or rights issue: 
co*er relates to prertoua dividends or forecasts. 

* Mercer bid or reorganisation In pragmas. 

* Not comparable. 

* Same interim: reduced dual and/or reduced earnings 

f forecast dividend; rarer an earnings updated by latest* 
interim statement. 

I Cover allows for conversion of shares not now r anking for 
dividends or renkinjt only for restricted dividend. 

* Cover does not allow for shares which may also rank for 
dividend at a future dale. No P/ft ratio usually prodded, 

V Excluding a final dividend declaration. 

* Regional price. 

II No par value. 

[lira ■ 7. <rce - _ b Flsnwa based on prospectus or Other official 

““ estimate, e Cents, d Dividend rale paid or payable on part 

203 1 1335 53 I IS ai ** ««pttnl: wwr based on dividend on full capital. 

^ I sjj f Redemption yield, f Flat yield, g Assumed dlvidendaod 
yield, h Assumed dividend and yield alter scrip Issue. 

) Payment from capital sources, k Kenya, m Interim higher 
than previous total, n Rights issue pending q Earning* 
based OD preliminary figures. ■ Dividend and yield exclude ■ 
special payment, t Indicated dividend: covey relates to 
previous dividend. Pig ratio based on latest annual 
earning?. ■ Ptnecasl dividend: cover based on previous year's 
earnings. » Ts* tree up to 30p in the £. w Yield allows lor 
currency danse, y Dividend and yield bused on merger terras. 

* Dividend and yield include a special payment: Cover does not 
apply to special payment. A Net dividend and yield. B 
Preference dividend passed or deferred. C Canadian. B Issue 
price. F Dividend and yield based on prospectus or other 
official estimates fw WfMO- C Assumed dividend and yield 
after pending scrip and/or rights Issue. B Dividend and yield 
based on pmpccta. 1 ; or other official estimates for 
197B-7B. K Figures based on prospectus or other official 
estimates for I STB. M Dividend and yield bused on prospectus 
or Mher official oatimalmi lor IB7S. N Dividend and yield 
based on prospectus or other official estimates (or 197V. p 
Figures based on prospectus or other official estimates tor 
1978-78. tt Cross- T Figures assumed. Z Dividend total in 
date, ft Yield based on assumption Treasury Rill Bate slays 
unchanged until maturity ol stock. 

Abbreviations: id ex dividend; * ex scrip issue; e ex rights; a er 
aU; at ex capital distribution. 

“ Recent Issues ” and “ Rights ” Page 33 

This service is available to every Company de«U in on 
Stock Exchanges throughout the United Kingdom fora 
fee of E4M per annum tor each security 




Thr ough out the Midlands 




Monday July 17 1978 

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,Wlr: urmiotvr *•**»•»*» Ii«*i..iar3SOta W WJIUW 

ikely to be cautious 



in the Labour Party's manifesto 
for the next general election are 
likely to adopt a cautious 
approach to the contentious issue 
of imposing planning agreements 
by law on Britain's largest com- 

Although the manifesto will 
discuss how such agreements 
could be enforced, it may well 
concentrate instead on proposing 
a wide range of other financial 
and industrial and planning 
procedures. These would be 
aimed at influencing and con- 
trolling inward and outward 
investment plans of companies, 
import levels for certain indus- 
tries. and other Boardroom 

These probabe lines of policy 
are beginning to emerge from a 
major review of the party's atti- 
tude to industrial issues recently 
set up by the Prime Minister, 
the Labour Party's national 
executive committee, and the 

The Prime Minister is anxious 
that Left-wing ambitions for 
sweeping industrial reforms 
sbould not appear in the 
manifesto and upset the 
harmony of the Government's 

industrial strategy. 

He is hoping that a new work- 
ing party of members of the 
Labour national executive and 
the Cabinet will produce an 
acceptable draft policy. 

This is one of several work- 
ing parties covering such areas 
as economic affairs, prices, and 
social policy that have been set 
up to try to find common ground 
between the Labour Government 
and the national executive. 

At the same time the TUC is 
exerting considerable influence 
on the development of policy 
for the manifesto through the 
TUC-Labour Party Liaison Com- 

The most radical proposals so 
far have emerged from the 
Labour Party’s industrial policy 
committee which has passed a 
document on existing party 
policy to the joint Cabinet- 
executive working party. 

This contains proposals that 
have horrified leaders of the 
Confederation of British Industry 
for enforcing planning agree 
ments by law on companies with 
an annual turnover of more than 

The committee also proposes 
giving the National Enterprise 

Board £lbn a year to invest in 
industry and wants a National 
Planning Commission created to 
turn the Government's present 
industrial strategy into a more 
potent planning force. 

This repetition of existing 
policy is likely to be changed 
considerably by the time it 
reaches the manifesto. But there 
will be some discussion in the 
manifesto of how planning agree- 
ments could be enforced because 
the idea of introducing sanc- 
tions against companies that 
refuse to co-opera re has consider- 
able backing among some Minis- 
ters and Labour Party leaders. 

This could involve a similar 
exercise to the present pay policy 
sanctions where the granting of 
state industrial and export aid 
or public sector contracts depend 
on companies following Govern- 
ment policies. 

But the TUC is showing less 
interest In the concept of com- 
pulsory planning agreements 
than it has in the past- The fact 
that such agreements might be 
difficult to enforce by law and 
migh lead to a clash with lead- 
ing industrialists and their com- 
panies, means that they may not 
be pushed for a year or two. 

Specially favourable terms f= r 
Government aid and special free- 
dom to raise prices might be 
proposed, however, as Induce- 
ments to companies which enter 
into such agreements. 

At the same time the TUC 
wants a tripartite Government 
agency to exercise control over 
the investment plans at home 
and abroad of companies with 
business in the UK. 

It also wants, as an extension 
of the industrial strategy's 
attempts to curb imports, to 
have agreements between 
British manufacturers and in- 
dustrial customers on what share 
of the home market should be 
allowed to go to foreign com- 
petitors. As a start, such limits 
could be agreed in' the public 

The manifesto is also likely 
to urge that more funds sbould 
be given to the National Enter- 
prise Board which sbould 
develop a greater role in in- 
fluencing regional policies. It 
will also back the work of the 
new Co-operative Development 
Agency and say that aid for 
both co-operatives and tradi- 
tional small companies should 
be increased. 

Credit card 
may be 

By Michael Blanden 

HOLDERS OF the two big bank 
credit cards, Access and Barclay- 
eard. may soon be given new 
statutory protection against 
faulty goods as a result of talks 
between the card organisations 
and the Office of Fair Trading. 

The banks hope that in the 
next few weeks an agreement 
can be made with the OFT to 
settle an argument which has 
been going on since last year. 
The main result of the dispute 
has been to deprive a large num- 
ber of cardholders of statutory 
protections implied by the terms 
of the Consumer Credit Act. 

A section of this Act gave the 
individual the right to claim 
against the lender as well as the 
retailer for Faulty goods bought 
on credit where the retailer has 
a direct agreement with the com- 
pany providing the credit. 

This provision came into force 
at the beginning of July last 
year, applying typically to the 
normal hire-purchase transaction 
where the retailer effectively acts 
as an agent for the lender. It 
provoked a dispute, however, 
over its application to credit 

The OFT contended that the 
rule should apply to people who 
held cards before the new rule 
■wont into Force on July 1 last 
year, on the grounds that the 
issue of a replacement card re- 
presented a modification of the 
existing a*;remeiit between card- 
holder and company. 

Nigeria 10% tax hurdle 
faces foreign airlines 



The card companies, however, 
have resisted the application of 
the now regulations to customers 
who held cards before they took 
effect. They have argued that 
a new agreement with 3 card- 
holder is made only when he 
first takes out a card. 

The result has been to create 
two classes of cardholder, with 
only those who have taken cards 
after July 1 last year coming 
under the new protection. 

The card companies maintain 
that they have always been pre- 
pared to take up the case of a 
dissatisfied customer with the 

However, they are concerned 

that under the new rules they 
could find themselves liable for 
the whole cost of any goods 
purchased with the use of a card 
— even if no credit was taken — as 
well as con sequential loss. 

One way of reaching agree- 
ment in the talks might be for 

the eredit card organisations' 
liability to be limited in some 
way. perhaps to the amount of 
credit actually given. 

NIGERIA. Britain's ninth largest 
export market, is introducing 
heavy taxation on foreign airline 
and shipping companies. 

The move, which the Nigerian 
Government says Is an interim 
measure, could cause cash flow 
problems for some companies. 

The tax on the two types of 
companies is set at 10 per cent 
of their Nigerian turnover on any 
cash they remit out of the 

Greatest impact of this will be 
on companies which sell services 
in Nigeria but whose expenses 
are mainly incurred abroad— as 
is the case with foreign airlines. 
British Caledonian is the largest 
UK airline company operating to 

Nigeria increasingly has be- 
come an important market for 
the UK and last year it bought 
more than fl.lbn-worth of 
British goods and services, more 
than any other country outside 
the U.S. and Europe. The UK 
provided ahout 10 per cent of 

total imports into Nigeria. 

However. Nigeria has run into 
balance of payments difficulties 
this year, due to falling oil 
revenues, and bas banned some 
imports. Last week it an- 
nounced that it was raising its 
second Slbn loan this year. 

Some observers attribute this, 
latest tax move to an attempt to 
gain extra revenue from foreign 
companies while adding further 
elements of discouragement to 

The new tax has been intro- 
duced following the scrapping of 
a section in the Nigerian Com- 
panies Tax Act 1961. which 
exempted from tax airlines and 
shipping companies based in 
countries offering reciprocal 
exemption to Nigerian com- 

At the same time the Nigerians 
have served notice of the ending 
of tbeir double taxation agree- 
ments with nine countries, in- 
cluding the UK. 

This means that the new tax 

will apply to companies resident 
in those nine countries when the 
treaties expire, from next April. 
The countries concerned are: the 
UK, US., Ghana. Sierra Leone. 
Gambia. New Zealand, Sweden. 
Denmark; and Norway. 

The Nigerians says that the 
10 per cent levy will be held on 
account until Corporation Tax 
returns are assessed and filed. 
The Nigerian rate is 45 per cent 
on profits rising to 50 per cent 
Refunds or additional assess- 
ments will then be made. 

An alternative would be for 
new double taxation agreements 
to be made, reincorporating a 
reciprocal no-tax arrangement 
This would, be specially relevant 
to the UK, which generally does 
not tax foreign airline and ship- 
ping companies. 

However, negotiations on 
replacement treaties are not yet 
thought to have started and it 
could be many years before they 
are agreed. 

Political reforms, Page 2 

Turkey seeks $100m loan 


£5bn gas 

By Ray D after. Energy 

TURKEY IS planning to raise 
SlOOm from international banks, 
the loan to he guaranteed by 
the Libyan Arab Foreign Bank. 

The loan will be for five years 
at margins over inter-bank rates 
which arc Close to the finest 
available in the market — J of 
a point for the first two years 
and 5 for the last three. Arrange- 
ments are to be handled by 
Arab African Foreign Bank. 
Gulf International Bank, UBAF 
and Citicorp International. 

The new SlOOm loan marks 
another step in the ties develop- 
ing between Libya and Turkey. 

It is' clear that a number of 
major international commercial 
bunks are considering what the 
Turks call constructive remit- 
tance schemes — arrangements 
whereby the repayment date for 

debts which sbould have been 
repaid to overseas suppliers of 
goods and services during the 
last lS months is pushed seven 
years into the future. 

The plan is that foreign com- 
mercial banks sbould make 
seven-year loans to the suppliers, 
with the loans guarantee not 
only of Turkey but also by the 
suppliers themselves. Hitherto, 
Citibank was the only bank 
known to be considering such a 
scheme, but now some other 
American banks and several 
Continental European banks are 

Continental sources say that 
Turkey is considering the 
appointment of a team of foreign 
banks to advise it on its debt 
rescheduling. The team would 
reportedly comprise Kuhn Loeb 
Lehman Brothers. S. G. Warburg 

and Lazar d Frtres— who have 
already advised- Indonesia and 

The widespread interest in the 
constructive remittance scheme 
suggests that this could become 
a major plank in plans to resoive 
the problem of the debt overdue 
to suppliers. However, inter- 
national bankers say that there 
Is little, if any, chance of the 
scheme being implemented if 
Turkey continues to insist that 
suppliers must agree to guaran- 
tee new loans of the same 
amount as sums overdue if they 
axe to be repaid. 

In addition, it seems unlikely 
that negotiations on the schemes 
would be completed before the 
S2.5bn rescheduling of debt owed 
to commercial banks. 

Euromarkets, Page 36 

Options exchange may expand 


change, based in Amsterdam, 
which opened in April as 
Europe’s first venture in traded 
share options, is planning a 
major extension of its business 

by introducing “ put " trading in 

The exchange, like the slightly 
younger London traded options 
market, bas so far dealt only In 
••call" options. These allow 
investors to buy and sell options 
to purchase shares over a future 
period at a pre-fixed price. 

“Put" trading, by contrast, 
enables investors to buy and sell 
options to dispose of shares over 

a future period at a pre- 
determined price. It cao be of 
more interest in conditions of 
falling stock markets. 

No final decisions about the 
launching of “put” trading has 
yet been taken but plans for 
introducing the facility in 
October are now far advanced. 

The move is one of several in 
a programme designed to boost 
activity on the European Options 
Exchange, which has so far got 
off to a rather slow start, with 
daily deals still below 1 , 000 . 
compared with an ultimate 
objective of some 7.000. 

Other measures planned are 

the introduction of options on 
French and German shares, pro- 
vided negotiations with those 
countries succeed, and a major 
publicity campaign. 

The number of shares in 
which options are traded bas 
already been increased from nine 
at the start of business in April 
to 24. 

All are Dutch or American — 

apart from three British com- 
panies in which, effectively, no 
option trading has vet taken 
place because of the 'rivalry of 
the London market and certain 
technical and other difficulties. 

Feature, Page 31 

Continued from Page 1 

‘Far reaching measure of agreement’ 

that other countries have not yet 
moved far enough to meet EEC 
demands for a more selective 
system of safeguards. 

The fin al communique to- 
morrow is expected to contain a 
lengthy and detailed section on 
energy. Chancellor Schmidt said 
at his Press conference that it 
would include specific reference 

• Agreement on the need to 
reduce the volume of energy im- 
ports by industrialised countries. 

ft Emphasis on the increased use 
of coal and nuclear energy, with 
greater attention to the latter in 
view or the problems of agreeing 
a necessary structure of Inter- 
national control and of safeguard- 
ir- the environment 

The Government leaders 
agreed over lunch on a new 
statement of common purpose 
aimed at putting pressure on 
countries known to harbour 
fugitive terrorists. It was under- 
stood that this would not be 
directed towards specific States, 
but would be addressed to the 
world at Urge. 

Herr Schmidt said tomorrow 
the leaders would be discussing 
issues of trade and relations with 
developing countries. 

The U.S. today expressed 
marked reservations about pub- 
licly endorsing the EEC's Bremen 
•proposals for currency stabilisa- 
tion, in spite of formal support 
for any moves which might 
strengthen European unity. 

There was believed to be dis- 
agreement between President 
Carter and the main supporters 
of the plan, over whether a 
specific reference to it should be 
included in the final communique 
when it is issued tomorrow. 

Mr. Blumentiial said that Presi- 
dent Carter could not be expected 
to endorse the EEC programme 
before it bad been worked out 
in detail. 

He said that the U.S. Adminis- 
tration would wont to know a 
great deal more about the pro- 
posals before it would be pre- 
pared to comment on them. 

Mr. Fukuda was also under- 
stood to have raised two main 
questions about the Bremen 
scheme. One was whether the 
participating countries could 

master short-term market trends 
with the resources they plan to 
make . available within 4 Euro- 
pean monetary Fund. 

The other was how balance of 
payments and inflation differen- 
tials could be reconciled among 
the countries joining in the 

The lukewarm response to the 
Bremen outline proposals has 
disappointed France. • Germany 
and Mr. Jenkins, whn have been 
the main proponents of the 

Mr, James Callaghan is known 
to have expressed the' view that 
a lot of work still has to be 
done if a satisfactory long-term 
arrangement for stabilising cur- 
rencies is to stand any chance of 

A SCHEME for building a 
£5bn North Sea pipeline net- 
work to gather natural gas 
from offshore fields is likely 
to be shelved by (he Govern- 
ment as the result of an 
industry report to be published 
this week: 

The Energy Department is 
expected to sanction a more 
modest proposal. costing 
nearer flbn, for linking fields 
to existing gas pipelines. A 
start bas already been made on 
this smaller scheme in the 
Brent Field area. 

It seems that the department 
is not wholly satisfied with 
the findings of the Govern- 
ment - commissioned report, 
prepared by the consultative 
Gas Gathering Pipelines 

Department officials hare 
misgivings about the high 
unit costs used by the com- 
pany in its calculations about 
the viability of pipeline 
schemes. There is also some 
concern within Whitehall 
about the technical problems 
of pumping gas of different 
compositions into existing 
trunk gas pipelines built prin- 
cipally to carry fuel from the 
Brent and Frigg fields. 

Gas Gathering Pipelines was 
formed from a group of State 
and private companies in order 
to advise the Government on 
the best way of collecting gas 
contained In a large number 
of fields which principally 
have crude oil reserves. 

The department is anxious 
to make sore that as little as 
possible of this gas is Bared 
into the atmosphere by com- 
panies whose main concern is 
in exploiting the oil reserves. 


Various collection methods 
have been evaluated by tbe 
company and other advisory 
organisations; these include 
the construction of a pipeline 
network, the conversion off- 
shore of gas into liquid fuel 
or basic petrochemical feed- 
stock, or the generation of 
electricity for transmission to 
shore through cables. 

Members of the company — 
British National Oil Corpora- 
tion, British Gas, ICi, Rio 
Tinto Zinc, ELF /Total and 
British Petroleum— are thought 
to have told the Government 
that while it is possible to 
link some fields to the exist- 
ing Frigg and Brent gas lines 
there is insufficient confirmed 
reserves to justify the con- 
struction of a new pipeline 

However, the department is 
likely to emphasise this week 
that it has not abandoned tbe 
concept of a major gas gather- 
ing system in the late 1980s or 

Much will depend on 
whether further reserves are 
confirmed and, possibly more 
important, whether tbe 
Norwegians will agree to send 
some of the gas from their 
side of the North Sea median 
line through a British system. 


Why dividends 


j m 




Will they . . . won't they? 
Only the relentless passage of 
Old Father Tyme will, it seems, 
make up the Government's 
mind for it on dividend controls. 
Whitehall has resolutely failed 
to give allowance for the fact 
that companies paying divi- 
dends in August and Septem- 
ber normally declare them in 
July or earlier. A decision on 
whether restraint should be 
extended, formally or in- 
formally, is being left until the 
last passible moment.- It may 
be more than another week 
before the White Paper on the 
next stage of pay policy reveals 
the Government’s thinking. 

The crucial question is 
whether the Government will 
try to hold dividend growth to 
a specific level. A call for 
general but un quantified 
restraint would leave it largely 
up to companies to decide what 
would be a suitably “ moderate 
dividend policy. They would 
presumably determine this on 
the basis of their profits, 
achievements, and on the basis 
of the relationship of their 
share yields to the market 
averages. Low yielders would 
feel justified in paying more. 

A specific guideline, however,, 
such as 5 or 7 per cent (in line 
with pay targets) would remove 
the subjective element and 
would perpetuate the existing 
anomalies. It would be a bearish 
signal for tbe market, which 
has increasingly come to antici- 
pate a jump in dividend returns. 
Over the last twelve months, 
dividends per share on the F.T.- 
Actuaries All-Share Index have 
risen by 13.4 per cent, reflecting 
the number of companies which 
have found ways of circumvent- 
ing the 10 per cent limit 
(though the decline in the num- 
ber of rights issues has meant 
that the rate of increase has 
slipped back from over 16 per 
cent at the turn of the year). 








on the Hyde basis of inflation 
accounting. Meanwhile yields 
on long dated gilt-edged stocks 
are in the region of 12$ to 13 
per cent In theory, therefore, 
the market is anticipating long 
term dividend growth at least of 
the order of 7) per cent to make 
the valuation of equities look 
actuarial iy sound on an income 

Declared rises 

During the first two weeks of 
July, with Boards already allow- 
ing for the likely imminent de- 
mise of statutory dividend con- 
trols, declared dividends have 
increased by some 20 per cent 
compared with a year ago — 
taking an unweighted average 
for large and medium sized 
companies. But on a weighted 
basis Thorn’s mooted 72 per 
cent rise would count heavily. 

Just to recap, the average 
yield on UK equities is now 
some 5± per cent That is 
covered three times on the basis 
of published historic cost 
accounts, but only about twice 

New ceiling 

The imposition of a tighter 
dividend limit for the next year 
would pose short-term problems, 
but the market could take a 
longer view on the argument 
that at some stage an upward 
adjustment would be inevitable. 
Thus if dividends were to be 
entirely unfettered from the end 
of July an overall increase of 
between 20 and 30 per cent 
would be likely during the next 
year — heavily influenced by 
large rises from companies like 
Shell, BP and Unilever. 

But a further extension of 
dividend controls might have 
more sinister implications. Con- 
tinuous dividend restraint has 
now been /In force for the best 
part of six years, and no 
moment could be more favour- 
able now for abandoning it: 
inflation, after all, is down 
to 7.4 per cent, overseas pay- 
ments are in balance, ster- 
ling is steady to firm, and none 
of the elements of economic 
crisis are present It is logical 
to argue that if dividend con- 
trols are not dropped now they 
will never be abandoned— -at 
least not by a Labour Govern- 

Permanent dividend controls 
would have profound implica- 
tions for the equity market. 
Such restraints are designed to 
make dividends move in tine 
with wages or inflation (though 
are usually applied in such a 
way that they tend to lag both). 
They must have the effect of 
causing equities to move berd- 

like in parallel with common 
influences rather than to reflect 
individual company perform-^ 
ance. In these conditions 
equities become crudely index- 
linked securities which still; 
carry a downside risk (Reed, 
Spillers. Lyons) but no offset- 
ting upside reward. 

Ultimately such a system of 
permanent control might 
amount to part of an effort by 
the Government to crowd the 
private sector out of the long 
term capital market • 

It has not yet got as bad as 
this, for the dividend control 
arrangements allow for a 
number of loopholes and there 
is the periodic possibility of a 
decontrolled phase during 
which anomalies can be ironed 
out (as they were between 1970 
and 1972, for example). Yet 
as the years of controls drag 
on there is a danger that the 
underlying principle will be 
forgotten: that dividend growth 
is not a function of inflation, 
nor of the level of wage in- 
creases , but should simply 
reflect trie success or failure of 
the indiridual compahy. " : 

Governments can legitimately 
be concerned with overall 
trends in. the corporate sector 
— should dividend growth be so 
high as to threaten liquidity 
levels, for instance, or cause 
labour unrest. But the right 
way for Governments to 
operate on profits or dividends 
is to use the tax mechanism in 
a way which affects companies 
as a whole without interfering 
with relative risks and rewards 
at the individual company 

- T 


Ernest Jones 

After watching Robert 
Fleming flounder with the 
embarrassing oversubscriptions 
for Eurotherm and Cartiers 
Superfoods. Hill Samuel is try- 
ing its luck with a £1.7ra issue 
for jewellers Ernest Jones. It 
does not have quite the glamour 
of the other two and at least 
they are . not peddling the 
prospectuses along with the 
jewellery, but there is nn 
telling what the punters will 
think of it. 

This latest issue is coming to 
the market on a multiple of 10 
and offers a 7.1 per cent yield. 
Of' course the company could 
have avoided all the fuss and 
bother by quietly plumping for 
a smaller placing but that would 
not have been so much fun. At 
least it gives tbe City a chance 
to show off to the Wilson Com- 
mittee. Who said there was a 
shortage of equity finance ? 

More staff 
in medical 


By Eric Short 

THE REVIVAL In the use of 
medical insurance as a fringe 
benefit for employees continues 
unabated, according to member- 
ship figures issued by the 'three 
leading medical insurance 
agencies British United Provi- 
dent Association, Private 
Patients Plan, and Western 
Provident Association. 

These three companies, which 
account for 98 per cent of the 
medical insurance market 
increased group membership by 
over 27,000 to 610,544, over the 
first half of this year. 

In 1975 and 1976 membership 
of group schemes either 
remained static or fell slightly, 
mainly as a result of Phases One 
and Two of the pay policy. 

But when Phase Three came 
into effect employers again 
showed interest in taking out 
medical insurance schemes for 
employees and there was an 
upsurge In business over the 
second balf of last year, with 
a net rise of over 20,000 on the 

The recovery has continued 
this year even though the cost 
of providing medical iosuraoce 
bas to count as part of a Phase 
Three pay rise limited to 10 per 

The three agencies named 
have all recently launched new 
plans designed to meet the needs 
of employers In providing medi- 
cal ■ insurance cover. This has 
further stimulated Interest 

On the individual membership 
side, however, the figures show 
continuation of the steady decline 
in membership seen over the past 
seven years. The associations 
had a combined drop in member- 
ship of more than 7,000 to 466,961 
in the first half oE this year, 
although Western Provident 
showed an increase. 

The rising costs of private 
medical treatment have meant 
that contributions have had to be 
put up to a figure too expensive 
for many members. 


London, S.E. England. E. Anglia, 
Cent. S. England, Midlands, 
S. Wales 

Dry. Sunny periods. Max. 
19C-21C (66F-70F). 

Channel Isles, S.W. England 
Isolated thundery showers. 
Max. 18C-19C f64F-68F>. 

N. Wales, N.W. England, Isle of 
Man, Central N, England 
Mainly dry. Sunny intervals. 
Max. 17C-1SC (63F-64F). 

Edinburgh, Dundee. Aberdeen, 

Occasional rain or drizzle after 
sunny spells. Max. I5C-16C 
Cent. Highlands, Moray Firth. 
N.E., N.W. Scotland. Argyll, 
S.W. Scotland, N. Ireland 
Orkney, Shetland 
Occasional rain or drizzle. 
Max. 13C-15C (55FS8F). 


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44 111 

























Cape Tn. 
















































































Is. of Mao F 















| S — Sunny, F— Fair. C— Cloudy. 

D— Drizzle. ; 

R— Ram. 

to the holders of : 


9i% Guaranteed Notes 1981 

Notice is hereby given that pursuant w the provisions of the Notes* 
Manufacturers Hanover Limited, as Fiscal Agent, has selected, for re- 
demption on 15th. August 1978 at toa% of the principal amount thereof. 
U.S. 52,500,000 principal amount of said Notes bearing the following 
distinctive numbers ; 













R t 

T 07 



13 ® 





18 * 





33 S 




34 3r 

35 E 

















30 E 


43 4 



4 H 




31 a 


40 * 








* 3 * 

609 . 












* 8 S 


70 s 




71 s 







79 1 
80 s 


f «r 



8 SS 


S 70 




8 jK> 


90 S 




‘ 940 
97= ' 






305 a 





3 10 c 


3 II* 

b 134 

114 c 



3154 ' 

3 ibt 




II 85 


















350s . 

3 3 !I 
33 W 
335 + 
336 c 




337 % 


sj9 s 
342 C 
34 ir 


344 S 




34 fi& 


349* • 


On 15th. August 1978 the Notes designated above will become due and 
payable at the principal amount thereof in such coin or currency of The 
United States of America, as is' lecnl tender for ai* 

V^uasc jvuuwauau jjui. „ g r] , x . 

man -Street, London EC2P 2 HD or at the option of the bearer hue 
subject to any Jaws and regulations applicable thereto at the offices of 
.Basque, de Commerce SJV., yi/jz Avenue des Arts, Brussels, Chase* 
Manhattan Bank Luxembourg SA., 47 Boulevard Royal, Luxembourg, 
Chase Manhattan Bank (Switzerland), Gcnferstrasse 24, Postfhch. 162, 
8027 Zurich, Tbe SanwjLBank, Limited, Garrard House, 31/45 Gresham 
Street) London EC2V 7ED. 

Notes surrendered for redemption, should have attached all-un- 
ma cured coupons appurtenant thereto. Coupons due 15th August JV7$ 
should be detached arid collected in the usual mawnw, . 

1078 interest shall cease to accrue on. the Notes 
ar redemption* 

orient leasing (Caribbean} kv. 

by Manufacturers Hanover limited, 

8 Princes Street, 

London £CzP 2£K 

Itasfttew* at th? Post Offloa. Printed by 5L Clement's, press (or ajtf'wm&shiKl 
by the Financial Times Ltd., Bracken House, Cannon street Loral wl-KG4P 

. . © T6c Flaanjctcl Times 'Ltd.. : S*W 

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