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FINANCIAL TIMES 



for CONSTRUCTION 


No. 27,561 


Wednesday May 17 1978 


& 


MANUFACTURER’S &.SUPPUERS 
|. OF BUILDING 4 CHEMICAL PRODUCTS 
FOR THE CONSTRUCTION INDUSTRY. 


INTERNATIONAL LTD 


Albany House, Swinton Hall Road. Swinlon 
Manchester M27 IDT. Tel: 061 794 7411 


CONTINENTAL SELLING wtrcs. AUSTRIA Sch.15; BEU5IUH FrJ5; DENMARK KfJJs FRANCE FrJ.B- GERMANY DH2.0; ITALY LSM; NETHERLANDS 71.2.0; NORWAY Kr.3.S; PORTUGAL be.20; SPAIN Pos.40: SWWEN Kn.3.2 Si SWITZERLAND Fr.2.0; EIRE 15p 




\ BVS SUMMARY 


EHERAL 


IBUSINESSI 


Eritrea: 

counter 

attack 

starts 


£ falls 
a cent; 
equities 
drift 


Government drops 
plans for enforced 
metrication switch 

BY RICHARD EVANS, LOBBY EDITOR 


OPEC likely 
to cut oil 
output soon 

BY RAY DAFTJER. ENERGY CORRESPONDENT 


Shutdown 
threat 
by The 
Observer 

By Pauline Clark, Labour Staff 


THE WORLD'S major oil ex- Bui all the .other OPEC ! niE OBSERVER 
porters are expected lo make members have also been forced | leaders ul' Britain - , 


ha- li'ilfi 
sei-mid biy- 


jtfll I ^ • sterling dosed at its me bovernmeiiT nas 

^ worst level since last Novem- involve an element of 

Heavy tight ins has broken ont seUing^Tn ^Ncw^lforiL^lic them in the Commons. 


at its The Government has been forced to withdraw all metrication plans that 
Noven*: involve an element of compulsion because of its inability to get a majority for 1 


Again within liu- industry it is | 


The move follows a ennlimiin" expected that the OPEC members j. llu * warning, ihe imighesi jW 

^Iher than Saudi Arabl»-illMi y "lanayenK-ni «.f iK.iinn..l 


around the Eritrean capital. 
Asmara, with the start of the 
counter-offensive by Cn ban- 

backed Ethiopian troops. 

. The main guerrilla group, the 
■1-Eritrean Liberation Front Revo- 
lutionary Council, said Ethiopian 
troops hacked by tanks, artillery 
and aircraft were fighting 
guerrilla forces six miles from 
Asmara. 

Lt. Col. Mengistu Haile Mariam. 
' the Ethiopian leader, paid tribute 
to the support his country had 
been given hy the Soviet Union, 
Cuba, South Yemen and East 
Germany. 

Back Page 


STERUNl 


_ £ AGAINST _ 
THE DOLLAR 


Infr — ijfcadarig 


statutory cut-off dates for use goods 
of Imperial units. An 

The climb-down follows persis- Weigh 
tent opposition to any element tVaric 
of compulsion by the Conserva- Imper 
tive Party and the Liberals, and would 
by a group of Labour anti- of pen 
Marketeers opposed to all forms 
of metrication in principle. g 1 ! 

~ The hope remains that the use * 
oF metric units at the retail level ij, aj 
will he achieved on a voluntary p., 




CBI role 


The Government will assist in Organisation of Petroleum Ex. 


would not extend beyond 19TS. 

If OPEC Ministers did not take 


uilk-ial' 

The Observer’s lough stance 


? retail level In an attempt tn out-manoeuvre Providing information for the porting Countries were reducing.. _ lion at m petme nevi . . 1 *' Observer's lough si one 

•S U »JK Parliamentary opposition by consumer to try to ensure that production levels to some 2ftm mwmh a pr j ce m would be “, no,,ltflal ^du-lna 

»”? seeking public support for man- thp voluntary change goes barrels a day. imposed hv th L . end of December l tT h > ‘ s ' ,rint m 

now. datory action the GnveAimpnt satisfactorily. This compares with an OPEC. ,mp ea n J ' fn «- end ur wcimDer lous :t .similar warn me by Turn- 


, . . Newspapers earlier this nirmih 

Restraint ' , .n M threatened lo suspend 

pnblica ;ii.n nf The Times and 
It is understood that Saudi i Sundo> Times if a solution were 


Basin attacks £& S& SC SK £$£*&■>£ ’SSTSJ^ £5-f-SSg? nr ’ ta {S?A^ »,, h an orec «**~i*l r 

fighter sales « u.£ KDKS.,™ 5? \S*P\TVtsu°Z fflSSS i!a Restraint S' H'S? If- ^3 

h»fH Prime Minister Menahem *11 «*<«*>. while U*e ^'MiSMS - In- — Uons •*». Ite .heir ‘tffSSStSS H t IT. IfiT « is unders.no, ■ ,ha, Saudi 

Begin condemned the U.S. dollars depreciation narrowed sisted that metrication must be L ' , . Government. While they have Speaking in Kuwait hefore Arabia, which has largely been ff*' 1 round to its industrial rcla- 

Scmuc decision in favour of to 4.8o per cent (a.08). introduced with an element of ^ eve ”J £i?5 se ;. ,nC r d, £ S the . never wanted metrication 3 which flying to London. Sheikh Ali said responsible for oil price restraint tif,ns luoNeoi.s hy next Novein- 

seliing fighter aircraft lo the compulsion, or, they said, there rood Manufacturers W1 n hp vprv ih- L*i„ over recent years is willin'’ io her. 

Arabs and said that it “violated • EQUITIES drifted lower and would be chaos and confusion. and j 11 *, 6 , Ret ? il , Con r to implement at the request of taining prices and balancin'- consider a nominal increase at It also follows a series of 

promises. He said the sale the FT ordinary index closed The cancelled Orders which ln ^^iately declared successive Governments they supply and demand in the inter- next month's conference. nation.il newspaper disputes' over 

would threaten national security 3.4 down at 481.6. slalutory , cut -off date*- lhe ' r support for the metrica- have co-operated with metrics- national oil market. The kingdom recognises that the pum months includin" one 

and Israel s Cabinet would included ones covering hardware. tl °n programme, complete with tion schemes. Senior oil industry nfficials in several members — particularly involvin ' London wholesalers 

decide what steps to take at a • GILTS slipped back with falls textiles and floor coverings tcut statutory cut-off dates. ..~ Kq . . London said thev thought the rut Iraq. Llbva and Algeria— feel In 

meeting on Sunday Middle ^st 0 f l in longs and * in shorts, off by February 1979). meat and The CBi said at the time: “To Ortws wlTro"? the woi2*5 had been decided ^infomLhv at hitterly aggrieved by the erosion chairman ..fhte News^pe^ Pub- 
r f,“n i0 p a p P P o9 4 ’ Ed The Government Securities (Jtae lfljji. other foodstuffs prolong the period of working in all possible wwldMnSrtSntv a meetin2 of OPEC Minister's in °f their purchasing power from iishers' Vwiation P declared 

ni«nt. Page _2 index fell 0.33 to 71.14. ( f eP J*ki !>er /n SS1 * und stents would impose upon and muddle among hoth shop- Talf Saudl Arabia, earlier this petroleum revenue because of. that FWt Street was in a state 


Chiefs rapped • GOLD was unchanged at The Orders would nave in- sary burden of extra cost and “^Refailers cannot*^ be e\5cted ll is thought within the indin- Tlierc were "signs after 1 he | Th e r* nd" n f Awilson ‘ n eivsa” p ni! 

-,r Fr^rt Mi.Hev Defence Secre- Sl75i ln London - whn*lm- £5 °a . flne ,f°- r Cunfusion - to force meirication dSST 1 Se ^ for example, that Saudi Taif meeting that Saudi Arabia I protested In a London street 

r I d ™hntVd D the n chiers *nf « wh " eonunued to sell in Imperial Despite this reaction, there is throats or reluctant cul-tomm Arabia— the world's major ex-- did not want to jeopardise the I demonstrating about the irregu- 

rtlir' f!^ Prn« !n he ® WALL STREET dosed tj » 4 units after the specified dates. still far too strong a body nf and the result will be a standstill oerfer— could limji ifs expons to sj>irit nf co-operation within , la r supply of copies. 

SV “sliM ive ^information ” np at S 54 - 30 - with shares In a Commons written answer opinion in the Commons that in the metrication programme” about 7m. barrels a day. OPEC that had been largely A Cuinmoni debate on Fleet 


loeptemner iHai 1 and fruit and both systems would impose upon and muddle among hoth shoo- Talf Saudi Arabia, earlier this petroleum revenue because of. that FWt Street was in a state 
vegetables (December iSSl). . the economy a totally unneces- keepers and IheT customers ^ month. the dollar's depreciation. I of " neaNoi a | anarcht'" and it 

The Orders would nave in- sarv burrW nf ..U . .. *-u» turners. 1, ie thmmht ...ithi. .w. uj... Thom u.-om e i.>n B ^ ™ . 


Yorkshire coal strike 


•sz ffiKSTCTS — raeincau,,n pro ~- 

armed forces. recorded. Analysts attributed - - — — 

the rise to good economic news 

Yorkshire coal strike 

for Manchester Moss Side, has • COUNCIL FOR THE SECURI- 

died after a fong illness. He TIES INDUSTRY, the City’s new -m ^13 -n 

was 5R. .Mr. Hatton first won the voluntary supervisor . -body. /hrfe 9h at 

^ Over DODUS CEtieu Cfir - 

swm-j r.f fi.4 per cent to regain xanx ~ ha . uroed ' 

Pf “icSeSS* Cc r iT“ • CriS'lto' 10 ^vle’ IMn «» CHUBV.&N mt*. LABOUR editor 

‘ e " B purchasing policies and not to \ 

u give so much custom. to overseas rirme involv- The National Coal Board yes- enginemen in South Yorkshire 

Hospital ClOSUre suppliers. Back Page 13 s * Yorkshire miners at lerday offered immediate nego- recently struck' because of a 

T . 26 pits over a Claim by 36 rescue tiations tn devise a national similar Grievance 

h h ^, i M , n t h nrS nn •INDUSTRIAL PRODUCTION workers was railed off last night foiwula for local bargaining on The rescue menare demandin'. 

n nu l l in the first three months of 1 97S after a 3Lfaour meeting of the the rescue men's claim for a 50 per cent of thc foceSoJk^s^ 

for won tm ^toriose on Julv v T as 17 ! ,er cent ^ aT ! ^. atlDnal u " i ? n ° f MJneworkers’ higher perceniage of the face- bonus, as paid to underground 

" r EnSu SmI 1 L hB Pf e ’? 0 lJ!L‘ ,l “r er ' Central area council in Baraslej. workers' bonus. workers away frum the face. 

Sonic*’?. Secretary -raid The Statistical Office figures show. g ut Mr Arthur Scargill. the ^ lr a with Sir even when they are not working 

,rLn n Industrial activity now seems lo Yorkshire area presidenL warned Derek Ezra. Coaf Board ebajr- underground. 


about 7m. barrels a day. OPEC that had been largely A Commons debate on Fleet 

According to Petroleum Intelli- restored at the conference. Street is fixed for tomorrow, 

eence Week lv. Saudi Arabia’s nil What did emerge publicly from More ihan fidm national ne ws- 1 
nrnduciinn in March averaned that meeting was the formation paper copier, have Ijfwri lost 
7 7m b/d, almost 22 per cent of a six-member ministerial since the be 'Miming* rif ihe \e:ir. 
down on 12 months before and commiltee lo plan OPEC A six-month i bis- from 
some 1.3m b/d below the average strategy for the IflSPs. Ociober last yean/ t» March of 

production level in the ' fourth • President Jose Lopez Portillo lOOm copies was veporU*«l 
quarter of last year. of Mexico is this week visiting recently ijy the Amin Bureau of 

Saudi Arabia has taken ihe the Soviet Union and F-ulgiiria as j Cir»n'ai inn a r.word. 
brunt of the recession in world purl of u drive to find export 1 The leading Print unions, 
oil demand, now at its lowest markets for Mexico’s increasing ? including ihe KG A. ha\o said 


| point id lyo years. 


crude oil production. 


BY CHRISTIAN TYLER. LABOUR EDITOR 


Tories lose tax vote 


BY OUR LOBBY EDITOR 

The Government comfortably 
fonghi off uu allempl lo index 
Ihe capita! gain.si lax in ihe 
Commons last night when 
minority parties failed 10 hark 
Ihe Conserva lives. 


<. ■»] sij- iiivvri KnnnU Soria I . r : . — . _ * — wuiAua away rrum uie tace, 1 wium mr 

Sonic* *. Sccmarv said. The Statistical Office figures show. Bul Mr Arthur Scargill. the ® U J. a ^ tr a with Sir even when they are not working Commons last night when 

fmir-vear cunmaicn to keep il L ndustria ac,lT * t -’ now scemsto Yorkshire area president, warned ^ ere * c Ezra, Coal Board ebair- underground. minority parlies Tailed 10 back 

mien’ nuw hinges on Mr. Ennals s have recovered fro m he de- after thc meeling that ^ ma: man. leaders of the National At present thev are paid 40 per «he Conservative!.. 
offer m transfer it- to the eon- p / ess ^? .levels of last >^r. i e r was not resolved by June 1, n h n J L Mmeworkers decided cent, when on the surface and The Tory amendment to the 

fines of the Whittington H'os- 1 too* ?he tbey wouId ljK ' e s!rike action - anms^ ' hB prob em back 10 lhe higher rates only for the time FInan «‘ Bil1 Proposed a 

> l,aL Sh?ex of e "ioduatrial' production He said: - 1 hope common S^nie cia.med that the strike 1 SS URd ; 

ricon for in.. Rpennd mntilh sense will prevail and a settle- had been tacitlv nnenur^n-d i™ basic pay is the same as the face- 


on c«w.t grounds and partly be. 
cause of its complexity. 

The Liberals, Scottish Nuiion- 


they are ready lo i a n-nperale »n 
snlvlng lire Problems*, especially 
rhnse at Times Newspapers. 
■ hmivh they jdace equal respon- 
sibility on management?. 

Mr. l.ts Dixon, president of 
ihe NGA. said eat tier ijls wi-ek 
that managemenu had tvo risen 
agrpf-d in one-. iff de.il .< winch 
were not in the 'in ’-term 
ini- rests i.r their caaeis 

After a five-hour lueering with 


a!i>ts and United Ulster Union- , Observer inanevenienf at a Sea 
isls juined ihe Governmeiil to • hnnnivh union c-mterence hotel 
ensure an easy win. • late un Monday mshi Mr. .Inc 

The Finance Bill got-s into \ seciviary nf tin.* 

standing cummiliec to-day but [ N f *A. .‘'aiil he had deelim.-d in 
there are no signs that a com- i ’ lv . e ;,n us.Mirance th.il the "5 
hination of Opposition parties r*il:ers. who are ru.^u.il workers, 
will inflict farther substantial | bv ' w *rk un 

danutue to the Chancellor’s ■ th C. < f ,h ^‘ n ’ t ' r a ' J - , ! n - ... ... 

Budget calculations. / I '*° un,nn > leade.s will 

_ „ iiio**t iu.*naci* , *n-n» a-aain K*ni.*hl 

Parliament, Page 10 after talks with local ofliciaR 


. . . .... has risen for the second month P» v «» had he ^n tacitly encouraged i>v . at .! aS I pricc index. was rejecicd b- 

Rhodesia kilim# running- Page 4 ™ em « r ^f t ched - otherwise this Mr. Scargiil and his militant ^ k « rs tbe . National * c * ,r S S 233 a Goveramcnl 

dispute will rage like wildfire cn||ea n ues who have fouohr hard Fowe r Loading Agreeroent. 1 ® s b, 1 

Military headquarters in Saluk •CONSERVATIVE government throughout the coalfields with our and fong against incendve pay? ^ Inio “ leaders were told by the Th^ ^Government mron-lv 
— said 50 African crvilrans- wou i f j no t a iiow BNOC lo act as official backing.” merits. Thev arsued Thar Mr Bliard yesterday that in Y’ork- ‘„5 nrt Vko 

- had been killed and 24 wounded b 0 fb regulator y agency and The. unofficial action had by Scargiil should be lert to "et shire eath rescue man had ppP-Cri the am .wdmeni .aril? 

in a batiJe between Rhodesian onerntinc company. Sir Geoffrey yesterday shut more than a third the men back “ earned an average £S3 a week I 


- -5 !* ' 

3 


Uli 


m a halite between Rhodesian opPra jj nfi company. Sir Geoffrey yesterday shut more than a third the men back. * earned an average £S3 a week 

security forces and black viowe told the Financial Times of thc pits in Yorkshire, Brila in’s Meanwhile there was a strong over a three-month period as 

naimnalist guerrillas. Go ns til u- i^arlh Sea conference. Back biggest coalfield. suspicion last night that the w * 11 as hav1 ng a free house and 

tion talks. Page 4 and Page 6 The strike by 36 mine Coal Board would tell its area ^ ree coal - 

AmnM inniaini „ IT itsh cian nii M an- r e scuc , ine 0 in Yorkshire, which officials to stand firm against The_ Board appealed for a re- 


Amoco inquiry 

An architect with. Amoco 


• NATURAL GAS supplies are acC ounts for 30 per cent of any special deal for the rescue suinpliun dF work to aiiow both 
- s expected to rise by ou per cenr national output, caused 32.000 meir. who number only H6 national talks and conclusion of 
over the nexl few years as -- -- — -*- • * - 


■ iransportaUon depart- ° v f. r V ie , nexl *5 w J men to stop work either in sym- across the country, for fear that a prearranged working party 

told the London inquiry -denvenes iron ' tne r ngg ana pa ihy or for fear of going down would start a bandwagon of report on the rescue men’s condi- 

. .. . Rrt»n7 ha Me hnnCT niYifiUrrinn. «ko *%«» HiitKAur n t_; mn 


foto Ihc Aiuocn Cadiz disasier Brent fields boost production, 
that modifications to the steering #l r.s. has released S2fWm. if its 
gear aboard supertankers could g j, are 0 f $750m. medium term 
bo wurth mvesUgatms. rage 6 | oan pledged last year to Por 

ic avp it* award ,us ? ! by Western industrial 

it awdiu nations to finance us balance of 

Two sixth-form girts at the Citv payments deficit. Page 2 


the pit without emergency cover, sectional 


Winding tions. 


LWT bids £4m for Hutchinson 


RNANCIAL TIMES REPORTER 


°"“ official ^ Mid ' '**' 5 “saass; 523 SS H "£ 3 SS?‘* tss 2 fw.Hj n ffLWT-* eBrtw and 

uS ■ «?“s? ■sL'gnjsgs _. “° n ‘ a . su - j? •! 


Iv Mayoress. 1 * 3 • BOEiNG has started^ negotia- company. Montagu, which holds 195,000 Buoyed by an advertising rate 

Dons with other U.S. aerospa e move follows the lead of shares. increase of 19 per cent, last 

Brief Iv companies on collaboraoon in a ATV Granada and the HT\ T with liquid funds out at September. LWT lirted pre-tax 

* . new shorr-range jet air group jo broadening their around £10m at January * v> 197S Profits from £2. 53m to £3.48m for 

A World Health Organisation the original exclusive offer to i nlerests outside television. LWT has for some time been the half-year to January 22. 1978. 

.vruri some 40m people Brit.sh_Aerospi.ce to undertake Lwr has tor some time been rhg u|sltjojl is unJj(te(y 


«,fr.Vr un*7o 4ri~n~er ' cent of Ihe work The terms of the offer are 350p looking for ways to spend its * *?■ ,,,c ,B u “ J ' K< T y 

froin S0Vere meDlaI ^ W Sp-iBJime has not been for every ordinary £1 share and cash compatible with ils main be completed until early Julv. 

0r ‘* ' . ?l n „n ?T P Iiav 15 dead S5p for every 7 per cent cumuli- business as a television Hu tch.n son's cuntribution in the 

Dor ilwncni stiouid cost sub- sl * he ^ tive preference share of £1 in contractor. current year will be minima). 


.sTantially more " lo cut the Hne. Back Page 
number Hf stray and unwanted pn ii D iHire 
dogs, the Church of Scotland said- MIMrAHlfca 


tive preference share of £1 in contractor. current year win oe minima). 

Hutchinson. The proposed acquisition, which “iS'nf'SS 

Vtttwday. LWT shit res fell 3p has the blessing of the Indepen- ] i5 j n a _ including " authors 


dogs, the Church oi ^couana savo- to 129 p while Hutchinson's pre- dent Broadcasting Authority, will Srkk & 3 Den f 

Nnn-I ravelling members of the #CHAD \ ALLEY. one V?® fere nee shares rose 15p to SO p. help Insulate- the LWT group Wheatlev and Barbara rhtrtixnrl 

pul, Ik- uru in be allowed imo luxsest son;- »y compan.es in ^ take0Ier |s guarante e d t0 f rom the efFeffi of an, Sure ZTxhl iorld S 

Alvlcrg voye Airport, Belfast, for Bnuin. has b “ , Jfi t, lha o succeed. Hutchinson's directors, adverse fluctuations in advertis- graphia maps — made ore-tax 

ihe first time in five years. GeneraJ Mills UA. for more than hQ]ding s3 g per cent of ils am ing revenue. profiS of £690.000 on tuniovTr ?ff 

Mr. Peter Shore, Environment rasn - MCh asc JC1 ord shares, have irrevocably Mr. John Freeman, LWT's £9.79m. compared with £610,000 

Secretary, has approved the new ^ TRAFALGAR Souse pre-tax tindertakeo to accept the offer, chairman, who is expected to in 1976. 

Car-, in cion reservoir, near Wirks- profit for' the half-year to March 


Each week- 
one, two, three, 

one, two, three, 
one, two, three, 
one to Vienna. 


north. Derbyshire. 31 rose to £29.49m (£21.0lml 

tluglund heat Northern Ireland aided by a £15.77m rise in pro- CON* 

1 0 in Ihe Hume International periy profits. Turnover was 

MUivr nutch at Wembley last £140m. up at £390m. Page L5 and European news 2-3 

nicht. *** American news 4 

— i ■ 1 Overseas news 4 

World trade news 5 

Home news — general 6 & 8 

— -labour 11 

— •Parliament ... 10 


CONTENTS OF TO-DAY’S ISSUE 


CHIEF PRICE CHANGES YESTERDAY 


(Prices m pence unless otherwise Lydcnburc 
indicated ) extern I> 


Lydcnburc 65.+ 3 

Western Deep 7Sfl + 20 

Yukon Cons 167 + 13 


RISES 

Ml Electronic “ 

Avon Rubber t J 

Cnpr Infix. + * 

Crosby House + * 

Grimshawe Hidfts. ... 20 + * 

»«!* <C- E ) , , 21 f 


Pjilickson and Welch ... 203 + 30 
« (Kitchen UU Taylor M + * 

V I nndfin United j ^ 

Pearson lS ) I t 

■Phoenix Timber *1^ T I 


FALLS 

Trcas, ll|pc WS1 ..X101J - i 7 « 

Treas. SJpc 1M7 1765 “ l 

Axscd, P. Cement ... 252 — 7 

Bunzl Pulp 94 - | 

Coats Pawns f6 ” 7 

Concentric 39 - 4 

Dunbee-Combex-Marx 130 - 6 
Furness Withy 272 — 5 


Bank of Commerce and 

Credit International 22 

Hungarian economy 23 

Proposal to reform Uie 
rates system 32 


Technical page 12 

Management page 14 

Arts page 21 

Leader page 22 

UJv. Companies 24-27 

Mining 27 


FEATURES 

West German view of the 

EEC future 2 

Chinese agriculture . 39 

Philippines seek an export 


windfall 


lull. Companies 28-30 

Euromarkets 28-29 

Wall Street' •• 31 

Foreign Exchanges 31 

Farming, raw materials ... 39 
U.K. stuck market 40 


Ideals versus reality ft 

Brussels 14 

Zaire: Economic tremors .. 4 
FT SURVEYS 

Norway 33-38 


It all adds up to ten times a 
week to Vienna. A 

Ask your Travel Agent M 
or British Airways shop, fl 
And fly the flag. jK 



•PlHjrniX Timbci ... _ 

■' fill'd Austin A 91 + 5 

Shu run Ware t 

I'hramar ^ "T 5 

RcimIe Tin iL + ? 

HU South *» + « 

ItourufotUcm 50 “ + - IB 


General Accident 

Hextair 

Lfnfood 

Ocean Transport 
Racal Elect. 
Seccombe Atarshall 
Trafalgar House 

Unilever 

Shell Transport ... 
Pancontincntal 


. 21S - 4 
.97-4 
. 12S - 6 
, 123 - 54 
.232-6 
. 220—10 
. 133 - 5 

. 5 Vi - in 

. 584 - 12 
.£111 - i 


Appointments 

Base Rates 

BWa. See. Rates ... 

Cresnmnf 

Eatenalnment Gtrtde 
Elropun OpU. 
ft-aguiohcs Indices 

Gardening 

Letters 


» Vox 

SI Lombard 

41 Hen and Hauer* ... 

20 Money Market 

20 Racing 

20 Saleroom 

00 Shan* Information . . 
2 d stock Each. Resort 
23 Today's Events ... 


TV and Radio 

Hull Trust* 


™ ", - “ OFFER FOR SALE 

oney Market H Got*, C «. » 

!len»m ^2 (Comment Pago 24J 

i an Information . . 42-43 INTERIM STATEMENTS 
oeft Each. Rcoort eg Ranks Knot* McDbI. at 
Htay*s Events ... S3 Unilever - 

For laieit Share Index ’p hone 01-246 S026 


ANNUAL STATEMENTS 
Chersonese (FMS) ... gj 

Furness Withy .. , 2k 

Garrard Natl. Disc. ja 

C. £. Heath .. 

Load- ftw. Foster 33 

0>t Exploration 30 

RNLI M 

Winn Inds. 53 > 

Wright Construction v 


Britishi 

airways 

Wll take mare care of you. 


. JfF u • 



Li 












Goradw 


Retail 
sales 
continue 
to rise 


iOm of 
'loan 

by U.S. 


[WEST GERMANY’S VIEW OF THE EEC’S FUTURE 


i ucnmniv ■ w v ie.ii wr » n»— ^ fV* A 

Moving together— but at different 


BY JONATHAN CARR IN BONN 


[DURING THE second half of laggards In Europe, that any 
this year, when West Germany rE alistic policy would bpve to 


takes its turn as chairman of was to 

the EEC council of Ministers. Ia ^f. be intended was to 


the EEC Council of Ministers, rlStTin two 

S8 SVSTa?- 


munlty is likely to re-appear he 

LISBON, May 16. from the limbo into which it has SS^cJJSLb JfjSJSSim bavins 
fallen Conceived hv the social EEC '-OBUmssion— from Oavmi 
, • Democrat Part? 1 leader fiSS ^nous doubts about the scheme. 

Since taking office in January, wiU^BrandL^n iST^arid Ht^ 11 thus banished from view— 
the governmental alliance of nr«entld in r£di£d SLJ 5 ^ many of Mr. Tinde- 
Socialists and Christian Demo- Master raans ’ otfaer proposals, 

crat* begun implementing most ft L^ fiSdemaSs the SIS ln however, it did not 

of the major conditions thought 5JL out J "JiSJ* disappear. Indeed, it was often 

to have been demanded by the f ^af^SSer v^Lh^ from V™&\e>\y described as the only 
■ IMF. neoS SEE iTSS? ft0m W to im the Community from 

i The 1978 budget Presented on P n ® S Bonn stagnation if not disintegration 

. ,* ™u i b j ! e j . Herr Brandt caused a big stir Now the State Secretary for 

; March IS i and approved a month W itb his proposal when he first Monetary Affairs at the Finance 

it later, aims to reduce sharply presented it in a speech in Paris, Ministry Herr Manfred Labn- 

' 821“ His idea was widely taken to stein, has raised the idea pub- 


vjf. v -wfl 

tw .4 


BY DAVID FREUD 


% through increased direct and in. be that the wonomicali? stroni SS^SJSvtT ta "the 
in ftS?"* ** “PE™!? iSSte? rffff enlargement of 



mem hcrs would continue to prac- Are the German^— who would he 
rise their stringent discipline to the bluest (though far from ij,; 
prevent all bvl !he narrowest «n> » act . , 0 

current: v fluctuation. countries consider this, 
with at present loss stable For a long time the quest,™ 

cconoum 1 * like France and per would have raised rflwu 

haps Britain would allow wider hugbter so Bonn. Bat tfci-frrm,' 
fluciuations— and Italy wtiuia jbings hare proved markedly dif 
almost certainly be outside the f crvn i ( When a German chat,, 
arrangement altogether. To com cdior 9 \ l n <.t indicates that hi 
plicate matters further the Au* W4jf wilUag to see at lo a >S 

trinns and . Swiss— not EEt- p arl Q f the Bundesbank'! 

members — nusht a. so ht* Jinked reserves pooled )u a new fcw 
in some way to the scheme. p<-an monetary scheme— then u 
It will be surprising If some is time to sit up and take niiUcc 
countries do not ask with onn alholt wanly. ' 

cern i wlwre all this IS tad"*" The Germans would nnt. 0 i 
as they did course, comribuio for nothm* 

"L H fi* a larger regional fund mtoS 


RETAIL SALES 


en Government last month bridged should forge ahead witb iutegra- the Community 
jse a major difference with the tJon while the weak (then con- In an artidein Europa Archiv. 
Comm umst-domlna ted trade sidered to be Britain, Ireland the journal of the German 


Dr. Manfred Lahnstein: integration necessary. 


Volume 
1971 = 100 


1777 1st 
2nd 
3rd 
4th 
1 978 1st 
1978 Jan. 
Feb. 
Mar. 
April 


adjusted} 

103-3 

1025 

1043 

104.4 

1065 

104.9 

106.8 

107.0 

1065* 


vu»uly union movement and agreed a and Italy) would be left behind. Society for' Foreign Affairs, Herr members would merely ena oj so . 

ptwenuws wages policy which sets a ceil- Herr Brandt was shocked by Lahnstein says he sees scope for weakening both ..roups. 

JS? by ing of 20 per Cent on pay what he felt to be a znisinterpre- progress in the economic, roooe- Similar thoughts are expressed 
with 4* al increases. tattoo. He insisted that there was tary and currency spheres In at the Economics Ministry— a0d 

The administration of Prime 00 Question of “ uncoupling ’* Europe— progress he feels is not go rather further than the pro- It 

SE 0 ®' Minister Mario Soares has weaker member states from the only possible but necessary. He porals for “ transitional periods tier 


Tindt’inanv wivu ioc upsooi w ould surely presapNKr 
not actual yl J steps which, in the Gorman rtew 

* j»P ihe stwnjwrt and wou j d ma ^ e fa. impact Q f ^ 

weakest economic of Vtcstern fund . s resource* more 

K Ura,)L h^ n ihJ’oBmS More important. Bonn would b* 

the richer narih and the poorer un |ihely to HQ ahead In the, fare 

as sowin. of a further protectionist 


eo to oe Hniain, lrernna the. journal of the German . relv end b v so flexible an organisation as mh«“* . of 

Italy) would be left behind. Society for Foreign Affairs, Herr JJggg* ijfjps 1 * the Community has proved itself In truth, resurrection Of the w 
‘ 1 Brandt was shocked by Lahnstein says he sees scope for *eakemn 6 oom ^ P - t0 be— but there michi be no « two tier “ idea only appears to wl 


lltfF j_ mUllOLCf lUcll 1U aval ca U*ID - . . — . UUL UCLcroo* -- - r™- : ^ W|B - 1% rictc 

“T w reached what officials here call PJ oces f. of integration, merely warns against expecting miracles for new members accepted bj txists, 

^ ^ .. . . h rvf mairimr si •* concrhl^ Hmoron. - Tr «e> oebaH for PYnmDie. BCnCI 


Germany, 


self in truth, resurrection of the measure from mciabor stalls, 
no - two tier " idea only appears to which the Germans interpret ai 
make sense if the problem of undermining a basic principle if 
wo- transfer of resources is tackled the Couttouhiry arid as ri threat 
rtly at the same time. Those con- to their UvclihooiL- 
the demned to the bottom tier must That saW. il. is worth noting 


an w"by’ mT. ^ZSSffS en S? ^ whether the Community could ‘sSSS 53Jrt SmS^S Z 

^ Hans Schmidt after more than a m 0re e ff^elv seiaed-even if all member States uiainmin iU i smet rate on rom; JJge ■ YeI member This would imply acUon on a aid to Southern Europe. The 

-h 8 is m0Dth of tough neR0tiatl0ns - , b ^?- d effectively. are unable to take the same rteps pettttoo. enforced b> th e u <v men chancellor Helmut series of fronts, including a sums suggested are not .null. 

3 e 5 Tbe escudo was recently This same point was stressed simultaneously », with srilT Schmidt's ideas outlined to his further boost tu Uxe Cwwmunity'4 stantlal— but they indicate n 

devalued by 6.5 per cent, against by Mr. Tindemans in January, This approach would also help enlarged Community with stui scnmio Coaouha-’en last short- nod medium-term assist* trend. The second half ur Qm 

a basket of the world’s 14 prin- 1976. when he presented his re- solve many of the problems of more marked disparities of wUeagucv in wpouua,en wn a ^ vnmvrn wi ram ^ 

.ie fol- C ip a i currencies and tbe Bank of port on European union to other enlargement Herr Lahnstein economic development than tbe J"° . fh _ *• mulTi- for the European Investment of the trend— and how far ih* 

It Portugal has announced that its EEC leaders. He noted that It says, where an effort to link present ones de facto implemented, ^then ^ mulTj turopean^nv^^em fhe "Iwo tiw" 

iusJPs ^f^?i" a i?^ ]dbe,DCreaSed ShSS ITSiSti* mlehr°anDear to undermine even lo emerge. The present snake bigger Community regional fund, approach have been accepted. 


“ a negotiated compromise ” with ^J ffere j 3 : but says that eve. 

I™? ao IMF delegatioo led by Mr. . weak for further integration must De whether tne communny «u., 

Hans Schmidt after more than a “ *, that the J[*”7 ne I r could seized— even if all member States maintain its stnet rules on jmm 


cting miracles for new members acccpica oy MUntries and Denmark at least have a reasonable pros- that there are already plan/, 

ry possibility all. It is asked, for exampl^ • currency P*^ 1 of sufficient help from their afoot to earmark fund* in the 

ition must be whether Oe Community reuW ^ e n3k ^,.l^ n „ ot partners to haul themselves up. Federal budget speetfically Z 


j_h ' n «ns ocuuiiui. aiier mure uiau ^ 

month of tough negotiations. 

— ? ® -ia Tbe escudo was recently 


be helped more effectively. 

This same point was stressed 


devalued by 6.5 per cent, against by Mr. Tindemans in January, This approach would also help enlarged Community 


even u ail mem DerouiiM uwuiaiu •« w - hic h is not an EEC member This would impli* acUon on a a 

Sr^uf rjurtice ln an at ari If Chancellor Helmut series of frows. including a s 

"tSSSSSSh helo Klaree? CommuSS with still Schmidt’s ideas outlined to his Mter boost » ^Community's s 


• provisional estimate ru gal's bv Der cen * there were economic leaders and 

Sw, ™ ! PvMn»«t untry s 'a, though tbe Government has 

bc Im * not yet revealed tbe full details 

RETAIL SALES couth,. init . of the pfF agreement, a draft T) An /iAflll non 
move firmly upwards thrS to ,n JI copy of Portuga s letter of J^PaCCIUl USv 
parlv monih< af this vea D t lp . ,D intent which pledged tight 
Sa rile additional ribut0TS restrictions on the expansion of 

poier of consumers. SJSte ™ t ZF' 3 \ C ? dit and ft"* X ° 

The indes of eeles b 2£SS hfOwn" ^.nee^ NAVAL CHrEXS from 16 North 


Peaceful use of naval forces examined 


HELSINKI. May 16. 


Rescue 


anti - pollution to reduce the U.S. Navy’s budget 


Athens says 
Ecevit has 


me iuuci wk, - — wiiiv.il mnmns, is Known 10 nave oeen — “*•*- .... nhilin* 

for April was 106.5 (I95m. The signed here on May 9. The letter. Atlantic. North Sea, and Baltic operations are expected to be vitTl^rlStk sen 

canannfittv adTU«^«dl. «;ri»d 1ha» j I..J ♦ ITC mrl : 1° Keep Open viiai «•' 


seasonally adjusted!, seed that which includes a commitment to States, including tbe U.S. and important themes at the three- ] anes ^diplomatic sources said’ 
to provisional Depare was de- reduce tbe balance of payments ^e soviet Union, are meeting day meeting. today, in Brussels. i 


Trade estimates. meeting deficit to SI bn. by the end of jj ere unofficially to discuss the Admiral Jorma Haapk% lae. of 


European 


Ministers. 


aggressive 

intentions’ 


Sweden’s economy 
begins to recover 


BY WILLIAM DULLFORCE STOCKHOLM. May’ 16. 

TWO FAVOURABLE indicators in order intake and a 9 per cent. 


4 Per cenL up on r er *>>• unucu oiuics. win ue reieascu ui pb«w. tvw nc >umi uui sigu agruemeui* ui cuia wi> nuini • ,u,,i ui.\rncns cnrToponaeni reporis. i—— — ^ V . , . * 

last vear Swit 2 er- once the letter is formally first took place in Stockholm issue communiques. to protect the movement of] The accusation is seen asa d e- na,,ona ' product slumped by 2.5 per cent, for the first four months 

j _ , Venezuela: approved at a meeting of the three years ago. with the same • European NATO powers fear reinforcements to Europe in case» velopmcni in the war of nerves: P & r cent - Industry s order books against 4.7 per cent, for the 
The April inaex i n IMF executive council on June 5. countries participating. that President Carter’s decision of a war. 'between the two countries over are drawing and the rate of in- corresponding period last year. 


down from the 
figure. However, 
cance can be atta« 
because tbe provisic 
» e re based on only i 
final volume data. 

The average or 
early estimates ha? 
at about 0.75 per c 
he March figur 
‘■■evised a fi 


ife 

Annual Shareholders Meeting 

BANCO HISPANO AMERICANO 


the \J£ embargo on arms for "ease in consumer prices has but the larger part of this year's 
Turkey. Mr. George Rallis, Greek I slowed down, but unemployment, increase came in January, when 
Foreign Minister, criticised Mr. although still low by most VAT and rent increases took 

Bulent Ecerii, the Turkish Prime Western European standards, is effect. 

S£5? T .hI. s S in,s ln Um J onon hiffht!r - In the three months »iare 

ina«f tr.Ji«n C NtfW orders for industry- January, consumer prires have 

JJJmfiv nld" thl S5!^ en I ,-£ff improved by ten per cent in risen by only l.S per cent. This 

hm If nJn.7-.ru fixod prices during the first i S particularlv important for 

m Greece** which wu directed n “ arter ’ compared iritb the first wage developments, as under the 

a"un^ Turkiv Mr Kali« SIS ,hrt?c monlhM of 1977 - according settlement between the . cni- 
wheTher This meant thit TuSv 10 ,he c ** n,ral Statistical Bureau players and unions, workers arc 
wSselknc thllifimH ofihl Rut ««l>rovemeni started guaranteed an increase if the 

U.S. .irmst emb.TTKO n„, To d'rond * "Vf l0 " h ^‘L'tSh lnd fV" M ? T* 71 ? T 
itself against NATO’s enemies ordt ‘ r hl,nks :i1 ,hc ond of warch cent, from the January level. At 
bul to solve its differences with were snM five „ per -.? en! lowcr the current rate uf increase this 


Greece. 


than a > ear earlier. The increase guarantee would not he trig- 


ihe arms embargo. Reuter reports lion. 


fP TJ cvmros the Greok Cvnrioi The first qu J arter in but" 23.000 Wore than in April 

L-hief negotiator Mr TiSwis Papa, engineering orders Was an un-. | as t year. Moreover, last month 
dopoulos! said there wer eno pros- S xpecte ^ •^'rinlrp 3 J 5 ®’ 700 Bwedra were benefiting 

peers fnr an early resumption of “Sure was boosted by a ranaie. from various forth* or uncmplov- 
the micreomrounal talks or other relle f ¥ b °? r mark ^ 

cnmacis towards a Cyprus setUe- contract, [n fixed terms, engineer- support, while a further 46.700 
ment. His side has rejected the ing order bookr were. 7 percent, were on state-financed training 


This is 7,000 less than in March 


. (Held in Madrid on 2nd April, 1978) 

Excerpts f rom the speech of Mr. Lu is de Users, President: 

‘We must endeavour to encourage entrepeneurial initiative, for the entrepeneur 


laiesi Turkish proposals as totally lower at the end of March than schemes within their companies. 


unacceptable. 


EEC-Greek talks 


is the true protagonist in a market economy. The profit concept should be reinstated, as besides being 
a legitimate aspiration, it is also indispensable for the functioning of a free economy. 


Deputies 


a year before. The corresponding figures in 

First quarter orders to the April last year were 1$S.6Q0 and 
e pulp and paper mills rose IQ per 44.700. 

cent., in volume and deliveries /. ^ 

European were 0 per cent, higher. . The m-kkvi imn. wtintM miv t«*n Non- 


Parliament and Greek experts are iron, steel and metal companies flr *■«■> * 

meeting to discuss the association recorded a 21 per cent, growth Sr.-MvV .-liw* WWt N N . 

ultPDamnnt hatunan tho UP f nnd _ -- - 1 


We emphasize that it is necessary to rectify the limitations that keep the banking dividends 
out of proportion with the real value of capital and reserves. 

In accordance with the policy established by the Board of Directors, a youthful and enthusiasticnew 
executive team will ensure the efficient management of the Bank for man y years to come.” 


agreement between Ihe ESC and 
Athens and negotiations for Greek 
entry into the Community. ‘Reuter 
reports from Salonica. TTie' three- 
day talks are being attended by lfi 
representatives on each side. 


Invest in Africa? 


Profits and their distribution (million pesetas) 


Highlights (million pesetas) 
1977 


Gross profit for the year 8,84 1 

Allocation to reserve for 

contingencies r — , 1,456 

Stock investment depreciation 1,300 

Net profit before taxes 6,425 

To Reserves 1,561 

To Dividends 2,503 

To Taxes 2,361 


Net profit for the year 6,425 5 ,82 1 

Shareholders' equity 40,832 35,449 

Deposits 520,666 410,235 

Loans and discounts 474,559 373,605 

Total Assets' 731,884 567,017 

‘Excluding contra accounts. Number of 
Shareholders 144,000, of which, 67 fo own Jess . 
than 100 shares. 


Stabilising currencies 

The European Common Market’s 
monetary committee, meeting in 
Brussels, has begun discussions 
on how to achieve greater 
currency stability, Reuter reports 
from the Belgian capital. Accord- 
ing to informed sources, no firm 
proposals were on the agenda. The 


two-day meeting is being held to , 
prepare the ground for the EEC’s I 
Finance Council in Luxembourg] 
on June 19. - I 


Excerpts from the speech of Mr. Alejandro Albert, Chief General Manager: 


*AII through the year Banco Hispano Americano has placed great emphasis in successfully fulfilling 

the guidelines set forth by the monetary authorities* 


The growth of typical banking investments, above the already high rate of increase 
in deposits, gives an idea of the great effort undertaken in order ro satisfy client demand, support 
economic activity and maintain the employment level. 


Rome hideout found 

Italian police broke -into an I 
underground hideout in Rome 
yesterday and said they believed 
it had been built by criminals lo 
hold kidnapped hostages. Reuter 
reporLs. The police arrested a 
husband and wife and seized 
12.000 rounds of ammunition 
round in the garden above the 
hideout which was 50 ft deep. 
It was ventilated from a drain. 
Police said there was' no direct 
evidence that the place had been 
used by the Reft- Brigades who 
murdered Sig. Moro. 


THE CLUB DE DAKAR ; v 
INVITES •• 

leaders of British industry to a special one day 
Anglo-AfricaiL industrial encounter . for invest- 
ment, industrial joint ventures and capital goods 
sales in association with the Birmingham 
Chamber of Industry and Commerce J -- 
BIRMINGHAM 24th MAY, 193k 


BIRMINGHAM ENCOUNTER * 

T accept roar invMUon to nartictoate tn' Bio spectai-flM Bar AK&LCMFRICAN 
INDUSTRIAL ENCOUNTER oa Wednesday, :4th Mar. ai tbe MotropQto Hotel, 
The National Exhibition . Centre, Blmrtngbam. • _ 

Enclosed please find tor ehefpae unadej-oajrahle w Qnb de Qakfir (or die mm 

of £._ * >. ' • . 


i£!5 per lii'icKatn) and pteve ISsoe ..-ticket! 8/ 

in the foliourlog nunefs). 


Banco Hispano Americano its present in the most important 
financial centres in the world and has an ever growing international clientele.” 


Justice conference 


Official Title 


Depositors: 

-As a consequence of the Bank’s normal 
growth, as well as mergers undertaken 
during 1977,- both peseta and foreign 
Currency deposits increased by 110,000 
million pesetas, namely 26.9% over the 
previous year, enabling the Bank to im* 
prove its participation in the coral depo- 
sits held by the Spanish banking system.. 
Investments: 

Credit expanded 27%. Greater relative 
growth of investments vis-a-vis resources 
has been possible due to the efficient use 
of domestic and foreign money markets. 

Bank network: 

The incorporation of 118 offices already 
in operation, as well as 91 newly created 
branches raised the number of offices of 
Banco Hispano Americano in Spain to 
1,105- 

International: 

The participation of Banco Hispano 
Americano in Spain’s foreign trade has 
been further improved by 1.5%. 

The Bank's foreign currency balance 
sheet reached a total of 490 million 
dollars as of 21s_c December, 1976. 

Our presence in 21 countries gives us 
access to an ever increasing international 
clientele. 


It is worth mentioning the inauguration 
of the Bank's Paris Branch, which toge- 
ther with our Agency in New York and 
the Banco-Urqajjo Hispano Americano 
Limited in London, enables us to be ope- 
rative in three important financial cen- 
tres in the world. 


biliaria Hispamer” have been created, 
while the activities of Bapif have been 
centred in the area of financial services. 
The three entities are wholly owned by 
Banco Hispano Americano. 


Justice- Ministers from ' 11 

Communist countries, intruding 
Vietnam, Laos and Cuba, began 
a three-day conference yesterday 
on politics and law. Reuter 
reports from East Berlin. Quoting 
the East German news agency 
(ADN). Reuter said Ministers 

from all seven Warsaw Pact 
nations were joined by the 
Mongolian Justice Minister. 


TrieOboiK Number 


Please return to CLUB DE DAKAR. C/O BlrnUnjrhuo dumber of Industry and 
Commerce, P.O. Box 360. 75 Harborne Road, Bkrmlastum R15.3DB. 


Mechanization and Organization: 
Thirty-five administrative centres have 
been created to absorb the work of 358 
branches, and these centres constitute 
the basic nucleus upon which the mecha- 
nization plan rests. This programme is 
being developed trough the installation 


of rhe teleprocessing 3,600 system which 
will eventually encompass our entire 


will eventually encompass our entire 
branch network. These install ations* 
presently cover twelve provinces. 


Financial Group: 

The necessary infrastructure has been 
established for the constitution of the 
Hispano Americano Financial Group. 
These activities are undertaken by the 
Bank itself and through specialized en- 
tities. 

The group required a re-organization 
which would allow the unification of 
management policy and image. Within 
this frame the "Corporation Financicra 
Hispamer" and die “Corporation Inmo- 


Personnel: 

It gives us special satisfaction to point 
out the fundamental role played by all 
our staff in the achievements.actained ar 
all levels. Thanks to their devotion and 
competence. Banco Hispano Americano 
can present the General Shareholders 
Meeting with the Outstanding results 
obtained during the 1977 fiscal year. 

The Bank's services, the plans for expan- 
sion and the maintaining of our competi- 
tive position formulate new demands on 
our projects which are inspired in a cons- 
tant consideration towards tbe fulfilment 
of the social goals of the personneL 


Moscow visit 

President Jose Lopez PortiDo -of 
Mexico arrived in Hamburg yester- 
day for a short unofficial stay on 
the way to Moscow for a State 
visit. Reuter reported. The Presid- 
ent is due is Moscow today. 


in the mouth— 


Foreign exchange fall 

The Swiss. National Bank’s 
Foreign exchange reserves fell 
SwFr 252.7m. to SwFr 19.405bn last 
week. AP-DJ reports from Zurich 
The bank attributed the decline 
mainly to an outflow of dollars 
because of capita) exports. 


Confidence in rhe future: 


The changes that have occurred in Spain 
and its financial market have created a 
new situation which demands a different 
approach. 

With the support of the shareholders, 
the Board of Directors and our enrir* 


the Board of Directors and our entire 
staff we shall be in the best position to 
successfully face the future and m«inr^j a 
our Bank in the place it deserves. 


Malta teachers" protest 

Conflict in? claims were made to- 
day by the Malta Union of 
Teachers and Mr. Dom MintofFs 
Gnvernment on the effects of a 
two-day strike by teachers which 
ended yesterday. Geoffrey Griraa 
reports from Valletta. The .union 
claimed an SO per cent stoppage 
but the Government said only 50 
per cent of the teachers obeyed 
the strike call. The dispu-te arose 
from the Government’s cancella- 
tion of a. -two-day holiday lor last 
weekend _ 


Rxgeithe feci that THE BU9NESS ijOCATlOiii RLE 
is free, concentrate instead on its oc5veraQ0;'fr)dJSttiai 
investment, finance, labour, property, taxation, growth 
areas. Ifs afl there and afi yours' if. yoi* a®'# chief 
executive orcfirector in a growth-orient 

RHCBKC ‘m 

LOOnOpj Your competitors are readingit v- 

m 


RLE Urtnn Piieshtfs C«L 77a Ccdegs Road, LaSonhMhOSESH 

Name--.. - — Posaion^^..-^^.^ 

| Company — — : _ . • ’ 

■ Nature Of business - , 


■ Tetephora 


Ittuf 








?Kr- 





Wednesifey : Stay -iT~t§79 


s l% 


1 s wono® 
h> recover 


Schmidt 
considers 
working 
time cut 


BY JONATHAN CARR 

BONN, May 16. 
CHANCELLOR Helmut 

Schmidt today joined in the 
renewed upsurge of debate in 
West Germany over a cut in 
working hours, saying that such 
a step could indeed help reduce 
unemployment, albeit in the 
longer term. 

In a newspaper article, be 
pledged that the Government 
would see whether the law dat- 
ing from 1938 — governing 
working tune canid he changed 
to reduce the scope for 
demanding overtime. 

However, he emphasised that 
cuts in working hours and 
increase in holidays were in 
the first place a matter of nego- 
tiation between employers and 
trade unions. They had a 
better view of the situation 
from one branch or enterprise 
to another. 

The renewed public debate 
has been caused less by a re- 
duction in the differences on 
the topic between, onions and 
management, than by the 
failure of the number of un- 
employed to come down below 
one million. 

Herr Schmidt to-day em- 
phasised the steps the Govern- 
ment had taken to increase 
economic growth, going as he 
put it to the very limits of 
tolerable Slate indebtedness to 
try to bring about an upswing. 

However, there are wide- 
spread doubts whether more 
economic growth in- Itself will 
greatly reduce the kind of* un- 
employment from which West 
Germany now suffers — unem- 
ployment which coexists with 
substantial overtime work in 
some branches and a lack of 
skilled workers almost every- 
where. 

So consideration has once 
again centred on the better 
sharing out of available work 
—with cuts either in hours or 
In active working life cited as 
possibilities of achieving this. 

In an interview today, Herr 
Eugen Loderer, head of the 
country's biggest union. 1G 
Metall, described the 35-hour 
week as no remote goal. He 
noted that bad West Germany 
maintained the 48-hour week 
there would now be far more 
lhan one million unemployed. 

But he insisted once again 
that a cut in working time 
could not mean a cut in wages. 

German companies borrow 
mode overseas Page 29 


K()i>i;\\ 



Italy poll result a setback for Communists 


BY DOMINICK J. COYLE 

AND PAUL BETTS. 

IN ROME 

THE ITALIAN Communist Party 
(PCI), the largest Communist 
party in the Western world, 
appears to have suffered a signifi- 
cant setback in the Italian local 
elections here over the week- 
end after 20 years of almost 
interrupted electoral advances. 
The party's popular backing 
compared with the most recent 
general election slumped by 
more than a quarter, opening a 
gap of 16 percentage points 
between it and the leading 
Christian Democrats (DC). 

The key question- now is 
whether this- Communist setback 
is an isolated event, or whether 
it marks a final turning back 
of the Communist tide in Italy 
from the high-water mark in 
Jane. 1976. Then, in a General 
Election, the DC came out ahead 
of the Communists with a lead 
of no more than 4 percentage 
points— and even less in those 
areas which voted on- Sunday and 
Monday. 

Publicly at least the main 
parties are anxious to play down 
the outcome of these elections, 
to emphasise that 'local and 
national issues often prompt 

differing voting patterns, and to 
concede that the kidnapping and 
subsequent assassination of Sig. 
Aldo Morn, the former Prime 
Minister and DC party president, 
must have resulted in some 
degree of sympathy support for 
the Christian Democrats. The 
party has ruled Italy either 
alone or us the majority partner 
in a coalition for three decades. 
Privately, the DC leadership is 
cock-a-hoop. 

Some sympathy -vote for Sig 
Moro there must surely have 
been. But even- a preliminary 
analysis of the results suggests 
that the Communists have 
suffered an important falling off 
of support and that it occurred 
in aU the main -areas voting. 
Some at least of this support 








the polling strengths of the three main parties 

(Percentage of the vote in general, regional, 
provincial and municipal elections) 


Andreotti f left')^ ( centre) and CradB|^H 


k- -»* — — 

1968 

Gen]. 

1970 

Prvncl. 

1972 

GenL 

1972 1975 

PimcL. Regal. 
MuolrpL PnucJ. 

1976 

GenL 

1978 

PrvncL. 

Mnnlcpl. 

Christian 

Democrats 

38.78 

36.37 

38.73 

27.5 

35.5 

38.9 

42.5 

Communists 

28.03 

27.08 

27.51 

25.8 

32.4 

3545 

2645 

Socialists 

34 . 78 " 

10.89 

9.66 

13.5 

12.1 

92 

1343 


•Include* Ok Social Dcmonarv role. The So no l Democrats hroic aicau Iran Ihc 
Sodahzts alter the 196S elecbun. 


appears to have returned to the 
more moderate Socialist Party 
(PSI) which, admittedly from a 
lower base, actually made the 
largest percentage gains in the 
weekend poll, seeing its vote over 
the general election Increase by 
almost half to 13.3 per cent. Sig 
Bettino Craxi. the party’s new 
secretary-general. is thus 
strongly reinforced. 

Indeed, a DC/PSI centre-left 
coalition, at least theoretically, 
once again looks a . possible 
proposition -with a combined 
electoral vote of almost 56 per 
ceot.. against less than half of 
all the votes cast in the general 
election two years ago. It was 
that inconclusive result which led 
ultimately to ihe present unique 
compromise which bas in effect 
brought the Communists into the 
parliamentary majority though 
not into the Government. 

So why. one might well ask. 
are the Centre-Left parties not 
openly celebrating, and at the 
main expense of the Com- 
munists? The answer, in fact 
is that these elections were for 
-local administrations. The re- 


sults leave unaltered the present 
parliamentary arithmetic in 
which Sig. Giulio Andreotti’s 
administration cannot survive 
wit tiout the tacit backing of the 
communists. And for constitu- 
tional reasons, to do with the 
closing months of the presidency 

With an overwhelming 
majority of nearly 95 per cent, 
the minority Christian Demo- 
crat Government of Sr. Giulio 
Andreotti last night won a vote 
of confidence in Parliament on 
tough measures to combat 
terrorism, writes Paul Betts in 
Rome. The measures, inelud- 

of Sig. Giovanni Leone, a snap 
general election is not possible. 
Sig. Andreotti is also personally 
anxious to maintain maximum 
parliamentary support in the 
face of the rise of politicaliy- 
motivated violence and for some 
unpopular economic measures to 
come. 

Italy's Christian Democrats, 
however, after the shock and 


trauma of the Moro kidnapping 
and murder, the loss of their one 
outstanding leader, can once 
again see hope. 

For the Communists, and par- 
ticularly for the leadership of 
Sig. Enrico Berlmguer, the elec- 
tion was a real setback — 

jng life Imprisonment for cer- 
tain kidnappiogs. wider search 
and interrogation powers for 
police and greater freedom to 
lap telephones, had been 
blocked since March by the 
small Radical Party and the 
neo-fascist MSI party, which 
between them had pot forward 
more lhan 2,000 amendments. 

psychologically as much as any- 
thing else. The party’s winning 
image bas been dented, perhaps 
seriously so, despite the brave- 
face assertions from leading PCI 
spokesmen that the Communists 
do better io national elections 
than at local polls. 

This is clear, as the chart here 
shows, but the trend has been 
upwards, spectacularly so from 


the provincial and municipal 
elections in 1972 when the PCI's 
support increased from 25.8 to 
32.4 per cent, and to a record 
35.6 per cent, in June. 1976. It 
has now dropped back by more 
than 9 points, while the DC bas 
adavneed to its highest share of 
the popular vote in 20 years. 

There remain, of course, a 
great many caveats, to do with 
voter reaction to the Moro 
assassination, the difference be- 
tween local and national elec- 
tions, the PCI’s historical pat- 
tern of doing somewhat better in 
genera] elections than in local 
polls and, perhaps finally, the 
popular inclination to sbift (how- 
ever temporarily) to the known 
and more comfortable political 
centre when faced with a con- 
certed terrorist challenge as that 
coming from the Red Brigades. 
For all that, the Christian Demo- 
crats believe they are back on a 
winning streak. The Com- 
munists fear that their party may 
have peaked. The leadership’s 
post mortem could be tough and. 
ultimately, some heads might 
roll. ’ I 


Helsinki Group documents attacked in Orlov’s trial 


BY DAVID SATTER 
FIFTEEN prosecution witnesses 
in the case of Dr. Yuri Orlov 
testified today that documents of 
the Helsinki monitoring' group 
which he headed slandered and 
distorted Soviet emigration and 
psychiatric practices, and mis- 
represented the situation of 
Soviet scientists. 

As the trial of Dr. Orlov, one 
of three major Soviet dissidents 
facing criminal prosecution, went 
into its second day. Western 
journalists and friends of the 
accused continued to be barred 
from the courtroom as police put 
up steel barriers in front 

Mrs. Irina Orlova tolrf corres- 
pondents that the Witnesses, *»ho 
included three doctors from the 
Soviet labour ‘camps, ' two 


psychiatrists, two former political 
prisoners, two of his former 
scientific colleagues, and the 
chairman of a collective farm, 
responded to specific allegations 
of human rights violations in the 
Helsinki Group documents. 

Dr. Orlov, who faces charges 
of anti-Soviet agitation and 
propaganda punishable by up to 
seven years imprisonment, yester- 
day declined to enter a plea in 
the trial. 

Mrs. Orlova, who was searched 
on leaving the court-room today, 
said that the three doctors, two 
from the Vladimir Prison Camp 
and one from, the Mordovia 
-trict regime prison camp, 
answered , a Helsinki group 
document on poor conditions in 


the camps by saying that nutri- 
tion and medical care in them 
were, in fact, excellent. 

When Dr. Orlov asked to read 
the Helsinki Group document in- 
volved. in a pattern which was to 
be repeated throughout the day, 
his request was refused. 

Mr. Anatoly Lebedev, a 
scientist at the Institute of 
Theoretical Physics and former 
colleague of Dr. Orlov’s, testified 
that Dr. Orlov, a correspondent 
member of the Armenian 
Academy of Sciences, had dis- 
torted the situation of Soviet 
scientists in a Helsinki Group 
document which stated that 
Soviet scientists did not have 
freedom to traveL He said that 
such freedom exists within the 


framework of known agree- 
ments. 

Other prosecution witnesses 
disputed the contents of Helsinki 
Group documents on the abuse 
of psychiatry in the Soviet 
Unioiv and tbe right of a small 
group ‘of Russian jews on a col- 
lective farm in the Ukraine to 
emigrate for religious reasons. 
Dr. Orlov has not been allowed 
to call any defence witnesses. 

After the conclusion of today's 
session, the atmosphere grew 
ugly as up to 30 uniformed and 
plain clothes police and KGB 
men forced journalists and dissi- 
dents to leave the street in front 
of the c?u.troom, and a small 
group of police continued haras- 
sing tactics, following the group 


MOSCOW. May 16. 
of dissidents and journalists 
around Mrs. Orlova and continu- 
ally forcing it to disperse. 

Meanwhile, Mr. Alexander 
Podrabinek, a leading Soviet 
dissident who said tbe KGB 
threatened to arrest him last 
year if he refused to give 
evidence against Dr. Orlov, bas 
been arrested apparently on 
charges of spreading anti-Soviet 
slanders, dissident sources said 
today. 

Mr. Podrabinek (24) said in a 
recent interview he was warned 
that the KGB bad enough 
evidence to charge him with anti- 
Soviet agitation, the same charge 
facing Dr. Orlov, but would let 
the matter go if Mr. Podrabinek 
agreed to testify 


France may 
f ollow UK 
capital 
gains line 


By David Curry 

PARIS. May 16. 

: THE FRENCH Government is 
believed to be considering a 
radical change in the legislation 
governing the taxation of capital 
gains from stocks and shares. In- 
stead of sucb income being added 
to a person’s lota] revenues and 
thereby taxed progressively, the 
Government is templed by the 
formula of a fixed deduction as 
practised in Britain and the US. 

Tbe original capilal gains lax 
was voted in July 1976 after 
suffering a host of amendments 
during its passage through the 
National .Assembly. Although 
M. Jacques Chirac, as Prime 
Minister, piloted tbe measure 
through, he never concealed hw 
personal dislike of iL and the 
Gaul lists almost immediately 
disowned it. 

The combination of Gaullist 
hostility, the sheer administra- 
tive complexity of the (ax. and 
the depression it was causing on 
an already gloomy stock market 
j caused M. Raymond Barre. by 
■ now Prime Minister, io announce 
;a year ago that ns application 
[would be postponed from the 1 
I start of 197S to the beginning of! 
j 1979. j 

The Caul list went into the ! 
recent general elect iun campaign I 
pledged to repeal the tax and [ 
replace it by some form of 
wealth tax. M. Barre promised 
that it would be much simplified. 

The Government is treading 
this difficult ground very care- 
fully. not wishing to provoke a 
row between the Gaullist and 
Giscardian UDF. which is more 
enthusiastic about the principle 
of taxing capital gains. However, 
it seems that lax experts have 
advised that a Hat rate deduc- 
tion — the figure being mentioned 
is about 30 per cent.— will fulfil 
the requirements both of sim- [ 
plicity and of getting on to the 
statute books berore tbe end of 
the year. 

| It is possible that the Govern- 
ment may tie in this measure 
with proposals to encourage the 
[investment of savings in 
industry, particularly the idea of 
exempting from tax a proportion 
of revenue derived from subscrib- 
ing to new share issues or build- 
ing up an equity-linked portfolio 
to supplement incomes during 
retirement. 

M. Rene Monory, the Economics 
Minister, estimates that such con- 
cessions could cause a transfer 
of up to FFr 5bn of savings 
towards industry at a cost to the 
Exchequer in fiscal loss, of some 
FFr ibn. 


waste 


Ireland 


By Our Own Correspondent 

DUBLIN. May 16. 
WHAT BEGAN a- a protest 
bv a group of roidrnti over 
the siting of an industrial 
dump hi i'ii. Cork has 
developed into a dispute %» hirh 
could further dent Ireland's 
industrial image abroad, and 
has obliged the Government to 
issue a public Maiemcui. 

The row is otcr the asbestos 
dump belongiug io the U.S. 
Ray lies to s Manhattan factor) 
at OteiiN, Co. Cork. The i'lm. 
plant makes brake linings but 
its plan to use ihr dump jn 
Cork's loner harbour has been 
opposed from the beginning by 
local residents. 

Vesierda.v (here was \ iolenre 
when police cleared protesters, 
including women and children, 
from the path of (he lirsi lorry 
toad of waste. Last night the 
consignment was secretly dug 
up and thrown over the fence 
or ihe plain, and fences and 
gales around llic dump it ere 
damaged. 

All of this lias caused Mr. 
Ted Dean. the manager of the 
plant. In prepare a report for 
his parent company in the 
U.S. Raylieslos. lie said, could 
not carry on trading if it did 
not have a dump for its waste 
materials. 

A spokesman Tor the parent 
company said this eten'ing 
there were no plans to close 
the plant, hut he refused to he 
drawn ou what might happen 
if the protests continued. 

The plant employs 63 melt 
and is scheduled to provide 
115 johs at full production. 

The Irish Industrial Develop- 
ment Authority (IDA) has said 
that il is surprised and disap- 
pointed at the residents’ 
attitude. 

In a statement today. Hie 
Government said it hoped Ihe 
plant would May open, reflect- 
ing concern iliat a closure 
would further damage Ireland's 
image as an ailrartne location 
for industry, already adversely 
a Reeled by Ihe recent spate or 
industrial disputes. 

The residents' objections are 
based on fears about the 
health hazards of asbestos, hut 
(be application lo build (lie 
dump rcceiicd unusually strict 
scrutiny by the planning 
authorities. There is an agretv 
meat that the dump will be 
replaced by a permanent one 
elsewhere, hut this is likely 
(o take several months. 



Are there icy roads, fog or traffic jams 
ahead? 

Precisely when should you turn off? 

At what speed should you drive when 
approaching congestion points? - 
3D mph ... 40 ... 50 ... 60 ... ? 

A new driver guidance system, 
called ALI (standing for Driver Guidance 
and Information System) is providing 
the answers at the extensive Blaupunkt 
works in West Germany. 


You get into your car, tap out your 
destination on a small coding device 
which looks much like a pocket cal- 
culator and from then on,' all the 
information you need concerning 
where and how to drive is flashed up 
on to a small display face (no bigger 
than your hand). 

With ALI’s guidance you can 
always take the quickest route. You 
need no road map, nor any knowledge 
of the area you are driving in. ALI will 
give you advance warning of unfavour- 
able weather and traffic conditions all 
along your route. ALI will even tell 
you whether it is worth making a 
detour to avoid congestion spots and. 
if so, which alternative road to select 

How ALI works for you 

An induction loop is set in the road 
surface before each road junction. 

This loop both receives and transmits 
information to and from an electronic 
station mounted at the side of the road. 

Each of these electronic stations is 
linked to a central computer. As a 
vehicle passes over the induction, loop, 
it transmits to the nearest electronic 
station its speed, its destination and 
whether it is a passenger car or a goods 
vehicle. 

From the millions of incoming 
signals reaching it, the central com- 
puter calculates the ideal speeds and 
routes for each individual vehicle. 

ALI may seem to be a science 
fiction fantasy. But this revolutionary 


new system , which was developed 
between the Aachen Technical College 
and Blaupunkt, a member of the 
Bosch Group is a real-life fact 

How much would ALI cost? 

Probably no more than you would 
pay for a car radio. 

The cost of the other equipment 
represents only a tiny proportion of 
current expenditure on motorway con- 
struction. 

i 

There’s more to Bosch than you think: 

Your car engine almost certainly 
has some Bosch parts; and it may well 
be tested by Bosch equipment at its 
next service. 

Many of the goods people buy in 
their supermarkets have been packed 
with machines produced by Bosch. 
These provisions may be stored in a 
Bosch refrigerator or freezer in a Bosch 
kitchen. 

Television viewers will have seen 
the Olympic Games through Bosch 
eyes, as many of the sporting events 
were televised by Bosch Femseh 
cameras. News and entertainment in 
cars can be received with Blaupunkt 
auto sound systems. 

Bosch electric power tools are at 
work on construction sites world-wide. 
Bathrooms and kitchens are equipped 
with Bosch fittings and built-in units. 
Deep-cooled blood stored in many 
European hospital blood-banks is 
restored to body temperature with 
Bosch medical equipment. 

Bosch employs 5,700 people in 
research and development alone. 

Bosch have at present 10,000 patents 
through-out the world, with 15,000 
pending. 

Robert Bosch Limited, Watford, Hertfordshire 





Financial Times Wednesday May 17 ISf?S 


OVERSEAS .NEWS 


THE BATTLE FOR SHABA 


Zaire sends reinforcements 


BY OUR FOREIGN STAFF 

ZAIRE WAS yesterday re- 
ported to be moving reinforce- 
ments to its besieged mining 
town of Kolwezi and to be 
bombing Mutsbatsba, tbe rail- 
way Junction to the west of 
Kolwezi which is also reported 
in rebel hands. 

Reports of the fighting in 

the copper-producing province 
of Shaba which began late last 
week, remain confused, with 
little first-band information 
reaching tbe outside world. 
However, the exiled opposition 
movement, the Congo National 
Liberation Front (FNLCl. 
which claims to be controlling 
the invasion repeated yester- 
day that it was in charge of 
Kolwezi. 

Two FNLC communiques, 
made available through the 
Interpress news agency in 


Rome, said that the FNLC took 
over Kolwezi j>n May 13, 
following “ patient mobilisa- 
tion of the people of Shaba” 
over the past year. The 
FNLC said Zaire’s forces fled 
at tbe beginning of the attack, 
although 10 senior Zaire offi- 
cers and seven u French-speak- 
ing mercenaries” were taken 
prisoner. 

An unsuccessful counter- 
attack, the FNLC said, was 
then mounted by gunmen — 
“ probably mercenaries.” The 
FNLC claimed that three 
Zaire Air Force Mirages, six 
transport aircraft and two 
helicopters were burned at 
Kolwezi airport. 

The communiques said that 
the FNLC would guarantee the 
protection of all foreigners 
in Shaba. Bat it warned 


foreign governments that if 
they acceded 10 President 
Mobutu’s pleas for help, * this 
could have serious repercus- 
sions on foreign nationals, as 
well as on the mining Installa- 
tions which are being mined 
with explosive devices." 

Meanwhile, sources in 
Lusaka were yesterday quoted 
by Reuter as indicating an 
extension of tbe fighting to the 
area around Diiolo, on the 
Angolan border. Hie same 
sources said some of the esti- 
mated 3,000 foreigners in 
Shaba had been placed in 
“ protective custody,” but 
there was no confirmation of 
reports that a small number 
had been shot as the rebels 
advanced In Kolwezi over the 
weekend. 


Economic tremors again 

BY OUR FOREIGN STAFF 

THE SECOND INVASION of overall package depends also on iog the nationalisation of mines. 
Shaba province in just over a the willingness of some ten It is estimated that some £500ra 
year seems bound to have severe nations- including the UK. the of foreign holdings were taken 
effects on the overall Zaire U.S.. Belgium. Iran and Saudi over in late 1973, tbe majority 
economy, which has been suffer- Arabia to invest in plans for Belgian, though substantial 
in? over the last four years from economic revival, particularly in numbers of Portuguese, Greek 
the world recession in copper the badly-neglected agricultural and Lebanese concerns were 
prices, high inflation, an enor- and transport sectors. These also affected. • 

mous foreign debt and serious plans must, at the least, now be Foreigners have subsequently 
mismanagement. 

Though the direct Western 
stake in the economy has de- 
clined substantially since the 
Zaire Government nationalised 
the major copper-producing com- 
panies in the late 1960s and fol- 
lowed up that nationalisation by 
taking over industrial and com- 
mercial concerns in the early 
1970s (some of which, however, 
have now been returned to their 
owners). Western governments, 
aid organisations and banks have 
a heavy indirect stake in the 
country. 

Zaire's foreign debt — mainly 
contracted in the years of high 
copper prices, when Zaire 
attracted not only aid but large in doubt, 
amounts of commercial credit — 
is now thought to amount to 
some S2-3bn. 



been offered back 100 per cent 
of their former holdings (though 
they must sell 40 per cent of this 
to Zaireans over five years). 
Socidtg General, which was paid 
some £63oi in compensation for 
its Union Min fere holdings, has 
gone back into shipping, among 
other activities. But otherwise 
tbe response has been slow. 
Direct British investment which 
includes some Unilever planta- 
tions. is small. 

Zaire's main source of wealth 
is minerals. Any disruption to 
the flow of supplies from Shaba, 
the main producing area, is 
likely to affect the consumers of 
cobalt more quickly than those 
of copper. 

On the commercial bank side. Production of copper is 
of tbe total of 3500m, about centred on the complex of mines 
„ _ . . 3175m are now overdue. Zaire owned by Gecamines, the state- 

About S2bn of this is medium- ^ SODie sgg m in a special owned group, and to a lesser 
term debt and - the rest credit accoUD t with the Bank for Inter- extent on Codemiza. a joint ven- 
contracted for less than a year, national Settlements, which ture between the Zaire Govern- 
Of the S2bn of medium-term UO uld go towards paying off ment and a Japanese consortium, 

debt, commercial bunks have arrears if and when Cobalt comes exclusively From 

about S500m at risk in Zaire and arrangements for a proposed new Gecamines. 
other commercial institutions medium-term bank loan of some- With some . 60 per cent of 
l such as suppliers i about S200m. wbat more than 3200m are com- world production, the Shaba 
Tbe rest is owed to official pieted. mines dominate the world cobalt 

institutions, like the World Bank, Commercial banking sources market. But . the situation is very 
or to governments. say that, while Zaire kept more different for copper. 

Th® international Monetary or j ess up t0 ^te otJ payments Although . 'figures from tbe 
Fund has been closely involved 0 f interest on tbe commercial Royal Institute of International 

in attempts to reschedule the bank debt last year, there have Affairs show- that the EEC reties 

Zaire debt and in associated been arrears of interest too this on Zaire for >20 per cent of its 
arrangements to bring some year. copper needs, a shortfall in 

probity into Zaire s financial and a spokesmen for Citicorp, supplies because of the present 
economic management. These which is co-ordinating the new confusion could be made good 
have reached a critical stage, loan, said yesterday that it was from the plentiful stocks over- 
with an IMF team currently in too early to determine whether hanging the world market. It is 
Kinshasha. the Zaire capital, events in Zaire would further likely, however, that London 
Agreement had apparently been delay the conclusion of the loan. Metal Exchange prices (the 
reached for IMF officials To work Direct foreign investment in international pricing medium) 
from the Bank of Zaire, but the Zaire diminished sharply follow- would increase. 


Philippines 
need an 
exports 
windfall 


Talks on Rhodesia constitution 

SALISBURY, May 16. 

RHODESIA'S multiracial ruling conference as soon as possible, association with Mr. Smith' would 
executive council met today for President Kenneth Kaunda, tbe internal leaders win an 
the first time since the settle- who left London for .Washington election. 

ment of its crisis over the dis- yesterday, told a Press con- According to Zambian sources, 
missal of black Justice co- ference that the common Angola- Mrs. Thatcher indicated that if 
Minister. Mr. Byron Hove. Zambia approach on Rhodesia the Conservative Party were in 
Informed sources here said the removed the one area that in the power, it would be likely to 
feeling among members of the P? at made co-operation recognise the Internal agree- 

cnuncil was the Hove affair dlfficuIt - He thanked the British ment. It may have been Dr. 
should be forgotten to allow- the Government for Its new “soft” Raunda's apparently acerbic 
council to yet on with plans for ,na J? ° r f d £8P ,ed 1 t0 meeting with the Conservative 

unc-nian. one-vore elpriinn* part of a Western aid package to leader which promoted him to 

tide Zambia over its current appeal to British politicians not 
economic difficulties. to make Rhodesia a party politi- 

Dr. Kaunda. who yesterday had ca ]..‘ ssue - 
full talks with Mr. Callaghan, the . y° u want the Bishop to 
Prime Minister and this morn- kad. urge hi m to accept the 
ing met Mrs. Margaret Thatcher. Anglo-American proposals and 

- — leader of the tinnnsition. fight free and fair elections. Dr. 

Sunday night not to withdraw oblSttlons to the it Kaunda said. He said he hoped 

from the interim administration ed ms objei Btu ms to the that Mr smith W0U ld now d0 

in protest against Mr. Hove s dis- len, al agreement in Kbodest . » onc rigllt thing in his life" and 
missal. Mr. Hove was sacked It was be said, both a recipe agree to attend a conference, 
for calling for discrimination in for civil war and for inter- jf be “and his collaborators” 
favour of blacks in the security nationalising the existing d j d a a ree to the Anglo-American 

forces, reports Reuter. guerilla war. “Mr. Smith con- proposals. the Rhodesian 

Bridget Bloom. Africa corres- tiniies to control the army, the situation need not becony» an in- 
pondent. writes: For the first airforce, the notice, the admin Is- temational conflict. If they 
tune in many years. Zambia and tration and the economy. All refused the Patriotic Front 
Britain now have a common B’shoo Muzorewa and the Rev. “reserved the right fn incite in 
approach inwards Rhodesia. Slthole control are their clerical whoever will help them." Zambia 
Fulh agree thul the Anglo- collars . the President said. itself would have to decide later 
American proposals formed the Ho indicated his belief that what terms and conditions would 
best basis for a settlement, and only if they controlled the elec- surround such help, which could 
that there should be an all party toral processes through their be from Cuba and Russia. 


unc-man. one-vore elections 
aimed at ending while minority 
rule and discuss u new constitu- 
tion. 

Bishop Abel Muzorewa and his 
United African Nationalist 
Council (UANC) decided on 


Cost of living 
index in Israel 
up 5 per cent. 

By L Daniel 

TEL AVIV May 16. 
THE INCREASE in Israel's cost- 
of-living index in April reached a 
new monthly record of 5.5 per 
cenL bringing the cumulative 

rise since the beginning of 197S 
to 13.7 per cent. 

The April increase reflected 
higher prices in all fields, but 
was most pronounced for housing 
1 9 per cent) and for footwear 
and clothing. Since the Govern- 
ment took no measures in April 
which might have caused the 
jump, it clearly reflects the 
gradual after-effect of the float- 
ing of the Israeli pound, which 
has resulted i? a 45 per cent rise 
in the cost of imported raw 
materials, and the increased cost- 
of-living allowances. The rise in 
the cost-of-living index since 
April lfli i bos been 54 per cent. 

At the same time, exporters 
are complaining that the higher 
cost of labour, raw materials and 
power coupled with artificially 
slow devaluation is cutting 
sharply into their earnings. The 
head of the manufacturers asso- 
ciation. Mr. A Shavit. yesterday 
accused the Bank of Israel of 
trying to control inflation at the 
expense of industrial exports. 


Merger with 
Mrs. Gandhi’s 
party rejected 

By K- K. Sharma 

NEW DELHI. May 16. 

INDIA’S official Congress Party 
today compounded an already 
confused political scene when 
jt spurned moves to merge 
with Mrs. Indira Gandhi’s 
breakaway Congress (I) party. 

The tottering official Congress 
party took tibs stand ac the 
end of a two-day conference 
attended by leaders from all 
over the country. As a result, 
it is threatened with further 
defections to Mrs. Gandhi’s 
party. These are expected par- 
ticularly from the southern 
state of Maharashtra which is 
ruled by a coalition of the two 
Congresses. 

The move for the merger was 
led by Mr. Vasantdada Patil. 
Chief Minister of Maharashtra, 
who fears that Mrs. Gandhi 
may withdraw support from his 
Government and topple it. The 
indications are that Mr. Patil 
will join Mrs. Gandhi's party, 
thereby not only strengthen- 
ing her but also weakening the 
official Congress. 

The Congress declared that it 
wants unity but under its own 
banner. 


./ 


Tension but 
no violence 
at Narita 

NARITA, May 16. 
RADICAL opponents of Tokyo's 
new international airport 

chained themselves to an iron 
stake today when officials 

threatened to tear down their 
protest fortress. The belmeted 
protesters stayed put and later 
burned Government signs statins 
that the structure was banned 
from today, under an emergency 
law passed last week. 

Despite the tension, no fresh 
violence was reported between 
the radicals, who aim to stop the 
much-delayed opening of the air- 
port on Saturday, and the 

thousands of riot police guarding 
the perimeter. 

Earlier, police mounted raids 
•to search For weapons in eight 
■other forts built by protesters 
around the airport, about 40 
miles from Tokyo, and made 
early morning swoops on 30 left- 
wing hideouts 

About 120 extremists were re- 
ported inside the main fortress 
with its 50-foot watch tower, sur- 
rounded by a wall of sharpened 
stakes 10 feet high. 

It is one of two strongpoints 
which the Government wants 
vacated under the special law 
rushed through the Diet to pre- 
vent further fighting 


By David Housego, 
recently in Manila 

THE PHILIPPINES is badly in 
need of a windfall rise of export 
earnings. It was one of the 
developing countries to have 
borrowed most heavily after 1974 
to finance the cumulative trade 
deficits that followed the increase 
of oil prices and- the collapse of 
the commodity boom. With pay 
meats on interest and principal 
expected to reach a peak in the 
years 1976-80, it had been hop- 
ing for a revival of world demand 
by now to help with the servic- 
ing of its debt. But export earn- 
ings in the first quarter of this 
year were marginally below 
those of the first quarter of 1977. 
For the year as. a whole officials 
are now forecasting a meagre 5 
per cent growth. 

A more prolonged recession 
would leave the Government 
little option but a further round 
of heavy borrowing or a cutting 
of imports that would stifle 
growth. Here is the record of 
recent years and the scorecard 
as it now looks: 

Total outstanding external 
debt has expanded from SJ.Tbn 
at the end of 1975 (equivalent to 
17 per cent of GNPi to $6.5 bn 
at the end of 1977 (31 per cent 
of GNP). On debt contracted as 
of end-1977, the central bank 
estimates that service payments 
will increase fpm $963 m this 
year to S1.02bn in 1979 and to 
S1.06bn in 1980. The S963m due 
in payments this year is equiva- 
lent to 31 per cent of 1977 export 
receipts of 22 per cent of current 
account receipts. 

Export earnings 

Export earnings, which 
jumped 44 per cent in 1974 over 
the previous year largely because 
of the surge of sugar prices, have 
grown at an average annual rate 
or 5 per cent since then to 33.1 bn 
in 1977. Behind this disappoint- 
ing performance there has been 
sharp decline of prices for 
sugar and copper, which has not 
been offset by an increased 
volume of sales, or by the higher 
prices realised for coconut 
products. 

The strength of the export 
sector has been in non-traduional 
items including manufactured 
goods, nickel, bananas and coffee. 

Imports, after a sharp 
increase following the rise of 
oil prices, have also grown 
slowly. The 7 per cent increase 
of import payments last vear to 
33.9bn masks a decline of 
imports in real terms, reflecting 
slowdown of investment. A 
further indicator of a potential 
falling off of new investments 
was that registrations of new 
Drojects with the board of invest- 
ment were 45 per cent below 
thnse of the previous year. 

The trade deficit from 
peak of St.Zhn in 1975 fell last 
year to S83<hn and the current 
account deficit from a peak in 
R»7fi of SI. 3 bn to SW27m. The 
improvement on current account 
was mainlv due to receipts from 
tourism and remittances -from 
Fil ininn workers abroad, par- 
tirnlarlv in the Middle East. 

President Marcos has called for 
an 18 peT cent expansion of 
exports this year, this level of 
growth to b«« maintained in the 
years ahead, as part of the 
country’s medium term plan. 
The Government has also accep- 
ted the World Bank's view- tharl 
imnnrts should rise this year bv 
14.15 ner c**n» to ocn«>r?te a 
per cent growth of GNp. Factors 
affecting these goals include 
th« following: 

F.XDort earnings are con- 
tinuing to he hurt by weak com- 
modity prices and protectionist 
restrictions against manufac- 
tured goods. Among traditional 
Items prospect are brightest for 
coconut products (now the 
country's largest export earner) 
and processed wood, but the 
future is still uncertain for sugar 
and copper. Sugar receipts will 
also be limited by the Philip- 
pines export quota under the 
new international sugar agree- 
ment of 1.4m tonnes a year as 
compared with a peak of 2.1m 
tonnes of exports last year. In 
the field of manufactured goods 
61 per cent of earnings Were last 
year concentrated on three items 
— garments, handicrafts and 
electrical and electronic compo- 
nents. 


Rise in imports 

imports rose 15 per cent 
in the first quarter of this year 
as compared with the same 
quarter last year. Most of the 
increase was in the import of 
unprocessed raw materials point- 
ing to a growth of domestic in- 
dustrial production. Central 
bank officials are concerned that 
the recent lowering of interest 
rates, while stimulating invest- 
ment, will also suck in an even 
higher level of imports. 

The trade deficit for I97S 
is now likely to be wider than 
originally expected. The size of 
the current account deficit will 
depend on the flow of remit- 
tances from Filipino workers in 
the Middle East and from 
tourist receipts. Recent increases 
in these two items have been 
the most encouraging feature of 
the balance of payments. 

Under the ceiling on foreign 
borrowing negotiated with 
the International Monetary Fund, 
the Philippines expects to raise 
ouoOm. in commercial loans this 
year and a further S7Q0m-S800m 
in development assistance from 
donor nations or multilateral In- 
stitutions. Next year the Gov- 
ernment will no longer be 
subject to the tight restraints on 
its borrowings imposed as a 
result of its drawings on the 
IMF extended fund facility. With 
this three year programme at 
an end, the Government will 
have the option of raising larger 
commercial loans, utilising an 
existing commercial stand by 
credit, or arranging a new stand- 
by credit with the IMF, 



THE U.S. SENATE ARMS SALES VOTE 

Israeli lobby overplays its hand 


BY jUREK MARTIN. U5. EDITOR. IN WASHINGTON. MAY 16. 



substantia! foreip policy victory and s^reisr^i w**, j^sTennis. the veteran Missis- Although the final margin of 

in a month, when the Senate US. inte r est. , K and S j pp j Democrat, slated bluntly. v j elorv f or the Administration 

rejected by 54 to 44 the resold; “It seems to me absolutely vital ^ £ U ch widcr than had been 

tion to block the Package sale of diplomatics! 1 *, uiso that the U.S. maintain its in- t^ted. Senate divisions were 

fighter aircraft to Israel. Saudi interest. ^.,-rrn duence in an area of the wor d mine tho lesf deep, cutting 

Arabia and Egypt The clear underly ing l concern where we have become w vitally ;icruS8 . |y and Geological 

It looks, however, as if he is 0 f many senators was that . dependent f D r our day-to-day ] ine& Among liberals. Senator 

not going to do this. If he does did not like ^in,. asto ea b. e ent?rg>v supply.’' The Israeli lobby ^i c ^ 0Yl?rn was for the side, 

not, it will partly be because of Israeli to view this as a ^ {(> Suyses t that the g ior Edward Kennedy againsr 

J ~‘ “ ,r ,nto he hm \ us VL* , of Thi S U.S. was simply bowing to Arab . * L , hl . ra « opposition was in 

t0 oil blackmail, but tins was a W 


his desire not to ‘rub salt into he S j mp ie 
deep Israeli wound— its first big allegiance to Israel. ims>, 
defeat in the American public of course, is precisely the area 
political arena in 30 years. But j n which President Sadat has 


oil -blackin:. - 
position which did 
especially anurng 


. . part based Oh the belief that 

not wash ini p rov in« tbe military capabill- 
o us i ness* ^ (| f the canines concerned 


it will also be because of the £ ored heavily in getting across ZESSk E^ubhca h Ml 

realisation ifaat it was a strange thc Arab case. ^ There was. hke Senalor Js anudi a!SS 

Senators, Mr. Ribienff 


— - ierc »•». . 

coalition that carried th® issue additionally, nuich discontent said that 


for him vesterday. Less than half with the attempt to play a 
of the Democrats in the Senate, pivotal role by Senator hrank 


of the Democrats in me pivotal roie iu.-u.uui nu.m . .. h ... est „ . f „ ce ----- r— - 

SEi '. h o e ttewW djp^in of lb, »- Among eonse, 

-2L-SUaS rife ah. heralded .he 


Democrats imvc owmiui • lhe 

Ribicoff. who said that “with- J( , lvisb 

out a stable, predictable supply cumP 0 ul in favour. Senators 
the West could face jm-ob Jnvits and Richard Stone 

conservatives, 
Repub- 
lican always mindful of the main 
the package. 


•srssrt.A st«sk. - pee?™- mm- s;;«. opposed 

to snSest that Mr. Carter has ' r compromise but latterly relatively sophisticated Arab but SUC h dicd-ln4he-wool Right- 
sSdSeSy discovered the magic to huve fallen lobby. Saudi Arabia, m particu- wingers as Barry Goldwater and 

kev to working his will on an entirely under the influence of lar. has secured the services of stom Thurmond voted yes. 

obstinate Congress, or been given opponents of the pickage. Mr. a number of pohtically ast Th(f 0 f th e arTn * 

a Congressional carte blanche to church’s credibility was sorely establishment permamw* m s j pyikage i-onfirmed tbe m- 
pursue an -even-handed’ policy dailia3e d. , Presses case: dence »f the Panama Canal 

in the Middle East. But there lt was also transparently which clearly debate that tbe Carter Adrainis- 

are lessons to be drawn from the obvious from the debate that that if Saudi Arabia was denied j ra jj on j s becoming more adept 

events of yesterday, when, for many senators have realised the U.S. anus it would hove no best- aJ r. e j|jug its arguments across. 


once, the Senate engaged in a 
eenuinelv uninhibited puolic 
debate on all sides of the issue 
for 10 full hours, of clear relev- 
ance for both international ana 
domestic policy making. 

The first is that the automatic 
Israeli hold on American allegi- 
ance is now in question. Much ot 
the credit for this must go to 
President Sadat of Egypt, the 
first Arab leader to make a deep 
favourable impression m this 
country- But— probably just as 
significant in determining last 
night's outcome— there is the 
fart that for the first time the 
powerful Israeli lobby in the U.S. 
severe! v overplayed its hand. 

Senator Mike Gravel, the 
Democrat from Alaska, gave 
rare public voice in yesterday’s 
debate to the pressure put on 
him by his traditional Jewish- 
American supporters. U I think 
this will be the watershed year 
for Jewish influence in this 
country.” he said “What is 
happening to me li.e^ political 
pressure). I am sure it is happen- 
ing to other members of the 
Senate who have been loyalists 
to the Jewish cause in the 
Middle East.” He added that: 

When you deliver an ultimatum 
once, you cannot deliver it twice 
or three times.” 

Senator George McGovern 
who. on the strength of his 
presidential platform in 1972. 
might have been thought to be 
the last person to support any 
foreign arms sale package, 
reflected the new realities in a 
different way. He urged Israel’s 
advocates in the U.S. hot to press 
their case “to tbe point where 
America loses its capacity to 
influence the Arab leadership 
towards the peace cause.” 
Senator Abraham Ribicoff. the 
Connecticut Democrat and hint- 


Egypt welcomes the decision 


THE DECISION by the Senate 
last night to approve the sale 
of fighter aircraft to Egypt 
and Saudi Arabia may have 
, the effect cf improving some 
of the more worrying aspects 
of Presides t An wa r Sadat’s 
planned moves against his 
more vocal critics inside 
Egypt, Roger Matthews reports 
from Cairo. 

Despite Mr. Sadat’s descrip- 
tion Of the F-5E fighter jet as 
a “ tenth-raic plane ” there Is 
no doubt lhat the Senate vole 
was warmly welcomed in Cairo 
as the firs I major defeat for 
the powerful Jewish lobby 
since thc selling up of the 
Israeli stati>. It may also open 
the door lo further U.S. tech- 
nology in the armaments field, 
while suggesting lo the more 
optimistic that Washington 
could now be prepared to 
exercise pressure on Israel In 
an effort to got the stalled 
Middle East peace talks going 
again. 

As a confirmed optimist, Mr. 
Sadat Is certain to be buoyed 
by the Senate approval. This 
could lead him lo adopt a 
milder attitude to his domestic 
opponents once he has received 
the overwhelming vote of con- 
fidence that is ensured in next 
Sunday’s referendum. 

In Tel Aviv. David Lennon 
writes: Israeli leaden ex- 
pressed regret and sorrow 
rather than anger ‘ over the 
Senate vole. Thc relatively 
restrained first reaction hid thc 
reassessment which is going 
on here following Israel’s 
failure to block the sale of 


U.S. planes lo the Arab states. 

Mr. Mena hem Begin, the 
Prime Minister, is understood 
to have consulted with some 
of his ministers and also re- 
ported this morning to the 
Knesset Foreign Affairs and 
Defence Committer- After lhat 
meeting he said: ” The Govern- 
ment deeply regrets the 
Senate's decision which will 
be discussed at thc next 
Cabinet meeting.” 

Mr. Shimon Peres, the chair- 
man nf the Labour Parly, 
accused the Government of 
mishandling the fight against 
the three-nation deal. The 
afternoon papers in their edi- 
torials also blamed the defeat 
or the Israeli lobby in Wash- 
ington on faulty Israeli tactics 
and hesitancy. ” Maariv ” wrote 
that, “to this very moment It 
is not clear whether the Israel 
Government wanted the pack- 
age deal approved or post- 
poned.” 

It was confirmed privately 
toriav that President Sadat 
offered to make a separate 
peace agreement with Israel 
during one of his meetings 
with Israeli leaders. The 
Cabinet discussed the offer but 
- apparently fount! the condi- 
tions laid down by the 
Egyptian trader in be un- 
' realistic- 

President Sadat - .wanted 
Israeli agreement that the 
bilateral peace deal would lead 
to a permanent peace in the 
region. Israel pointed out that 
without a solution to the 
Palestinian issue there could 
be no permanent peace. I 


The President himself was 
actively involved. Vice-President 
Mondale indispensable, and the 
Secretaries of Defence and State 
effective. Moreover, the Adminis- 
tration got its package without 
having to make major conces- 
sioas. merely promising to supply 
Israel with 20 extra F-15s in the 
future and providing rather 
vague assurances from Saudi 
Arabia that its F-15s would not 
be deployed against Israel. 

Yet ii is legitimate to wonder 
if the Administration could have 
varied the day had thc Israeli 
Inhby not misread the mood ot 
Congress. One incident, which 
may turn out to have been a 
critical error, was ihc warm wel- 
come given a rminle of weeks ago 
by a Jewish audience in Wash- 
ington lo an extraordinarily viru- 
lent speech by Senator Lowell 
Weicker. the Republican from 
Connecticut, when he came very 
close to accusing the Administra- 
tion. and Dr. Brzcanski. - the 
National Security Adviser, in 
particular, of blatant, Hitlerian 
anti-Semitism. An attempt by a 
Jewish White House aide to rebut 
the Senator was jeered. The 
affair was widely noticed h«e. 
and generally disapproved of. 

It demonsl rated the all-or-nntli- 
ing approach adopted by *up- 
pnrtcrs of Israel in invoking the 
•’sneelul relationship" that has 
existed for 30 years. In the past 
it was an appeal lhat always 
worked. Its failure to do so this 
time reflects a changing Ameri- 
can perception of the Middle East 
and of international interdepen- 
dence. Supporters of Israel have 
only lost a battle, not a war. but 
a battle which perhaps they 
should not have fought on the 
terms they did. It will he 
intriguing to see if they van 
adapt. 


INDUSTRIAL PRODUCTION INDEX 


T- • * -1 £ I PaymentS 

Encouraging April figures inquiry 

into ITT 


BY DAVID BELL 


WASHINGTON. May 16. 


THE U.S. index of industrial pro- S25bn tax cut proposed in car sales in the first 10 days of 
duction rose sharply last month January. Instead, the Administra- this month. These rose 9.6 per 
for the second month in a row tion is now proposing a $19.4bn cent, and only just fell short of 
and lent weight to tbe Adminis- cut which would not come into the industry' sales record for 
trations new-found view that tbe effect until next January, rather early May. which was set in 1973. 
economy can do without a tax than in October as first proposed. The increase m industrial prD _ 
cut of the size it once proposed. There is already pressure from duction helps lo explain the con- 
Tbe Federal Reserve reported some quarters in Congress to re- tinued improvement in the un- 
this morning that, in April, the duce this tax cut still further^ employment figures. The number ! 
index climbed by LI. per cent, perhaps tn S15bn — and this pres- 0 f people out ol work has fallen 
and the Fed also revised upwards sure can be expected to grow if faster than the Administration 
the March index, reporting that the economic indicators continue was expecting. It has been a 
it registered even stronger to be as encouraging. major reason for Mr. Carter's 

growth of some 1.3 per cent. On About 25 per cent, of the rise recent shift of emphasis awav 
the basis of new figures, there in the index in April was from unemployment and towards 
was also a revision in the Feb- accounted for by the ending of inflation as the most serious 
ruary index, which increased by the coal strike, but it also economic problem. 

a more modest 0.6 per cent. reflected widespread gains across Meanwhiip 

Last Friday. President Carter {he board with a sharp in- Denarimen t 

1.1*5251 ^ crease in output of cars, business ing tfft bJSnSf * lavramriM 
advice of the Federal Reserve and equipment and a range of apparently in anticiDatfon of 
‘annual' Congress: men durable goods. Further evidence sales to com? rose by 13 n?J 

SSAT& SUSS?ys: fflWf rWiS 1 ^? S ES.'-JKrS 

ably would oot oeod th/ful, «SH, MSfSM SS JSS KffSSttSES 

U5 per cent and that together 
these indicators suggest that the 
economy might be gathering 
momentum for further expansion 
in the next six months. 

Tin* growth in inventories was 


Brazil car strike spreads 


BY SUE BRANFORD 


SAG PAULO Mav 16. 

ATT C fiAO . , * **"■' ■vIMirui III |ll«viaiuil» Wits 

s ,,f iheir in sssrt zM*‘ss 

on strik^ yiterS.y 3 ThVm n ora?n U l d "T*" * l Saab -f« ia 5B&? 

makers 'a rth^Mereedes-Benz* f a c- return to work unti!' Friday while ^^^“MMumeJ 11 coSice 
toiy. negotiations lake place between surveys. 

rio a ^ c J oin u n? ™i5 e l ^ e metal workers’ union and the There are those in the 
started on Friday by 2,000 management. They maintain that Administration who fear that this 
i “ e flear £y Saab- they will continue the strike next buying is prompted by a desire 
la *. , nL . the . most week if their demands are not to boy before prices rise. They 
imponant inudstnal action in met. It is believed that the strike think that as. or if, inflation also 


By John Wyles 

NEW YORK. May 16. 
DOCUMENTS filed in court by 
the U-S. Securities and Exchange 
Commission (SEC) indicate that 
International Telephone and 
Telegraph (ITT) subsidiaries In 
Spain. West Germany, and 
Belgium aTe refusing to supply 
information for an investigation 
of questionable payments. 

ITT has been resisting SEC 
efforts to Issue a complaint 
alleging questionable, payments 
by the subsidiaries. Tbe' com- 
pany has claimed that such a 
move could hart its sales and 
could prompt governments in the 
countries where they are based 
to effect take-overs. 

SEC papers filed in a federal 
court in Washington appear to 
identify the recalcitrant subsi- 
diaries as:' Standard Electrik Ati. 
of West Germany: Nell Tele- 
phone Manufacturing Company, 
of Belgium: and Standard Elec- 
trica SA, of Spain. ITT told the 
the SEC in 1976 that these subsi- 
diaries were resisting the parent 
company’s request for docu- 
ments in connection -with the 


Tj • . - inco ' f — *« ■'•-■•■-•vu iUMt luii inv uuun uiflb UJ, Vi II, lUHUUUIi 4 

orazu since 196S, tbe workers are may spread to other motor fac- gathers pace, there could be a 

aemanaiog a _o per cent wage tories in (he largest industrial sudden switch to savings with a 

increase to make up for the region in Latin America, centred corresponding downturn in 

enects of inflation! on tbe pur- on Sao Paulo. economic activity. 


Ottawa call for big tax change 


BY VICTOR MACK1E 


OTTAWA, May 16. 


THE CANADIAN Royal Commit to abolish capital gains tax, Canadian big business was not 
sion on corporate concentration which brought in $235m in 1976. large. 

has suggested that corporation but abolition of corporation tax The commission said that no 

and capital gains tases should 2" s L d h ?f ‘ h ' r Gov ' r “” ,ent al,out f^al changes in laws govern- 

ao.*oDn a year. mg corporate activity were 


both be abolished, when lt 


, ^ The commission's proposal on necessary at present to orotert 

reported to Parliament m Ottawa corporation lax i$ that any com- the public interest. It proposed 
yesterday. The commission said pany which reinvests its corpor- some changes in legislation to 
that removal of the taxes would ate profits should escape tax on force companies to disclose more 
encourage the 8500bn of invest- those profits. Any dividends information and to give more 
ment which Canada requires in distributed would still be liable independence to directors 
the next seven years. t0 _ tax - . . The commission said a strong 

The commission’s recoin- ^ id J*?* vi Spreusly enforced compe- 

mendatiun would cost the b-unont actmg on the advice tibon law was necessary to 
Federal Treasury more than ?L„u e h n Government prevent dominant firms from 

S6.5bn a year in revenue. The be ■ juci ge nf entrenching a monopoly or 

proposals were described by the ti,. P r °nibit major quusi-monopoly and froni 

commission as “radical and ™^ r SCrs. ^ rne comunssion was exploiting tariff protection. It 

three jears ago to con- was also necessary to nrnvidn ■< 


provocative.” 

the'rtatut? boo? however. tC Th5 Su^thaT in^orap^^n^ith fiho^o a f Qd 5° incr ? ase the ~lYke- 
Goverament might be prepared other industrial ntI 7 and . competition 


sider/whether big bujness was check “on^SLs * 


prepared other industrial countries from small an^d SZffEE? 



Legal gambling 
comes to 
Atlantic City 

By Our Own Correspondent 

NEW YORK, May J6. 
SOME 700 invited guests will be 
playing blackjack, craps and 
roulette in a hotel .in Atlantic 
City. New Jersey, tomorrow 
night in a dress rehearsal for the 
opening late next week of the 
first legalised gambling casino in 
the U.S., outside the slate of 
Nevada. 

The path fur the start of 
gaming on May 26 was formally 
cleared yesterday when Resorts 
international was granted a two* 
porary licence ‘ by the state 
Casino Control Commission. This 
was one of he last, of several 
major procedural bardies 
erected by New Jersey in an 
attempt lo prevent infiltration 
by organised crime. 

Resorts International, which 
operates casinos and hotels in 
the Bahamas, expects ita.Sttm 
Atlantic City Investment to yieM 
gross revenues of $l00ra a year 
nnd net earnings of at JeftSt 
SHhn. The company’s Mock has 
been soaring in recent months* 

U.s. C OMP ANY NEWS ^ 

Seven-Up agree* Increased ; 
offt’ri Call far oil cbmpalttes - 
*o retain ms! stake; QWftan* ; 
sells Iran hohtitig— Page S* . 









a ' 


Financial Times Wednesday Mav 17 1978 


.1 


I- c 










IP 


U.K. hits at Washington 
over curb on steel trade 


BY DAVID BELL 

THE British Steel Corporation 
is having “real difficulty" in 
winn ms new export orders in 
the U.S. because of a number of 
anti dumping suits which have 
yet to be resolved. Mr. Frank 
Judd, Minister of State at the 
Foreign Office, told reporters 
this morning. 

Mr. Judd said That Britain was 
“quire sure that we have not 
been dumping ” but that the anti 
dumping investigations being 
carried out by the U.S. Treasury 
as a result of complaints filed by 
U.S. companies meant that it 
was very difficult for BSC to 
know what prices it might have 
to charge for steeL 

Under U.S. trade law the 
Treasury has the power to levy 
countervailing duties if it finds 
evidence of dumping and these 
duties could push up the price 
of British SteeL 

Most concern is over a suit 
brought by Arroco Steel that 
affects several other European 
steel makers as well. 

The result of this process, Mr. 


Judd said, was “a very distort- 
ing effect on new orders " which 
was putting the state steel com- 
pany in “real difficulty" 

He said that in his talks in 
Washington he had detected a 
marked difference of approach 
between the U.S. and the Euro- 
pean Economic Community on 
what is. and is not. a subsidy. 
European governments, he said, 
thought it important' to mix 
social and economic policy 
where necessary, but this 
approach was not yet accepted in 
the U.S. 

The British Government, for 
example, was often accused of 
unfairly subsidising BSC by 
giving it outright grants. But 
this was not the case. The loans 
being provided by the Govern- 
ment would be “remunerated in 

E rices” and were accompanied 
y a major restructuring of the 
industry which had eliminated 
thousands of jobs despite the 
political consequences of such a 
policy. 

Mr. Judd also defended the 
liberal fin an ring terms under 
which Rolls-Royce is supplying 


WASHINGTON. May 16. 

the engines for a fleet of Lock- 
heed TriStar aircraft ordered by 
Pan Am last month. Rolls-Royce 
had not received preferential 
treatment because it was a state 
company, he said, and the terms 
while generous were “not unpre- 
cedented.” 

The deal has been strongly 
attacked as unfair competition 
by the U.S. aircraft industry, but 
Mr. Judd said that the criticism 
had been overdone. “ In terms of 
the overall balance between 
Europe and the UJS. in aviation 
matters the deal is very small.” 
be said. 

On other matters Mr. Judd said 
that Administration officials had 
told him that they detected some 
signs that Japan was at last 
responding to European and U.S. 
concern about the size of its trade 
surplus and he noted that the 
current multilateral ttade 
negotiations in Geneva are hav- 
ing to come to terms not only 
with the emergence of develop- 
ing countries with industrial 
muscle but also .with less 
advanced countries whose 
interests must be protected. 


Eximhank in ‘aggressive’ drive 


HOT SPRINGS (Virginia). May 16. 


THE UNITED STATES Export- 
Import Bank (Eximbank) presi- 
dent. Mr. John L, Moore, said on 
Tuesday that the bank is em- 
barking on an “aggressive” 
export financing effort. 

He told the annual meeting 
of the Bankers’ Association of 
Foreign Trade (BAFT) that 
Eximbank is starting to offer 
cooperative credit lines to the 
central banks or other govern- 
ment agencies of countries 
“emerging from economic diffi- 
culty.” to help those countries 
step up their imports of U.S. 
goods. 

Eximbank is increasingly 
accepting “deviations" from its 
regular scale of interest rates 
for loans to borrowers abroad to 
meet competition from official 
export credit agencies in other 
prominent trading countries. 

In helping to arrange U.S. 
financing for export transactions, 
it has conditioned certain financ- 
ing commitments on the willing- 
ness of U.S. exporters to pare 


their prices to foreign buyers. 

Mr. Moore made clear that he 
would consider other policy 
changes to stimulate U.S. capital 
goods exports, when the nation 
is striving to trim its massive 
merchandise trade deficits with 
other countries. Eximbank might 
be willing to subsidise U.S. com- 
mercial bankers on some loans 
that finance export transactions. 

He asked whether the commer- 
cial bankers might, for example, 
offer an 8 per cent fixed rate 
of interest to foreign buyers for 
five to seven years if Eximbank 
guaranteed a return equivalent 
to a floating rate of interest plus 
1 per cent. 

Eximbank might then want 
commercial banks to pay the 
Eximbank if the floating rate 
plus the 1 per cent, yielded the 
lenders more than 8 per cent on 
their export credits. 

Over the next five years, Mr. 
Moore 9a id. the US. will need 
to ** at least double ” its exports 
of capital goods, if its trade 


deficit is to be significantly 
reduced. In 1977 the U.S. ex- 
ported capita 1 goods valued at 
S40ho. more than half going to 
the developing nations that pro- 
vide the “ fastest growing " mar- 
kets for such U.S. axports. 

Assistant Commerce Secretary. 
Frank Weil said in remarks read 
to the convention that the Carter 
Administration is considering 
tax credits to subsidise U.S. com- 
panies that set up marketing 
affiliates abroad to help to ex- 
pand the nation’s exports. In 
the proposed plan, any U.S. com- 
pany might claim credits for 
three to five years on new over- 
seas selling operations that 
would increase exports. 

AP-DJ 


W. German 
export risk 
increases 

By Jonathan Carr 

BONN, Slay 16. 

THE SHARPLY increasing 
risks and problems facing West 
German exporters are revealed 
in a report released today by 
Hermes, the Federal Govern- 
ment-backed credit insurance 
company- 

It shows that in 1977 
exporters were granted a new 
record sum in insurance cover 
—and that payouts for what the 
company terms political 
damage more than quadrupled 
against 1976. 

Total new cover worth 
DM 5L3bn was provided to 
exporters last year — a rise of 
51 per cent against the figure 
for the previous year. This 
compares with a rise in the 
value of West German exports 
Jast year of 7 per cent to 
DM 273.5bn. 

Thus the tread has continued 
to Insurance coverage for an 
ever-increasing proportion of 
exports. Last year new cover 
equalled almost 19 per cent of 
the value of exports, against 
13.3 per cent in 1976 and only 
6.1 per cent in 1973. 

This development is due 
partly to a shift in German 
export markets over the past 
few years, particularly towards 
developing countries where the 
economic and political risks of 
business are considered high. 

Last year nearly three 
quarters or all export insurance 
cover made available was for 
business with the developing 
world. 

A farther and related reason 
for the rise in the need fur 
insurance cover is a change in 
the structure of the export 
orders themselves. Increas- 
ingly German companies are 
receiving demands for complete 
industrial plants — business 
which is hard to tie up satis- 
factorily and whose very size 
brings greater risks than 
hitherto. 

Last year a total of DM 
149.6m was paid out for 
“political damage.” 

In contrast there were fewer 
payonls for business damage 
— DM 6.7m last year against 
DM &8m in 1976. 


Braz!I-U.S. trade tensions eased 


BY DIANA SMITH 

IN THE aftermath of courteous 
but. according to bulb sides 
“ plain-speaking ” encounters 
between Mr. Alan Wolff rignt 
hand man to U.S. Special Trade 
Representative Robert Strauss, 
and Brawl’s foreign trade 
authorities, it seems that Brazil 
has cotue a step closer to more 
active participation in tbe cur- 
rent GATT round in Geneva. 

Hinting discreetly tb3t neither 
Mr. Wolff nor U.S. Assistant 
Treasury Secretary Air. Fred 
Bergsten, who recently lashed 
out at Brazil's “ protectionism ” 
were perfectly informed about 
the country's economic situation 
or tbe size and scope of tem- 
porary import restrictions oi ex- 
port incentives, the Brazilians 


now feel that the U.S. Adminis- 
tration bas a clearer view, and, 
therefore, is subtly shifting its 
attitudes. 

Brazil's greatest concern is to 
ensure that tariff concessions or 
countervailing rights are dis- 
cussed in the GATT forum, with 

its full participation. 

So far. officials say. they have 
been out on a limb while the 
U.S. and EEC have debated the 
subsidies and countervailing 
rights code like members of a 
private club. 

Brazil's interest in the code is 
paramount. The U.S. accounts 
for 25 per cent of its foreign 
trade, and Brazil is unhappy 
with the criteria suggested to 
assess damage to local indus- 
tries from imports- 

Essentially, it wants the code 


to demand absolute proof that a 
company’s financial problems 
are due exclusively to imports-- 
not to other causes — before 
countervailing rights are con- 
templated- 

The U.S. has not fully yielded 
its ground on this item but. last 
week Mr. Wolff a creed that 
Brazil should be kept closely 
informed and that the U.S. and 
Brazil would sit down together 
in Geneva in June to discuss the 
matter further. 

In the thorny field of import 
restrictions, in exchange for U.S. 
flexibility on tbe GATT round. 
Brazil indicates that if the 
balance of payment improves in 
the next two years, it will gradu- 
ally reduce tariffs lover a ten- 
year period) and ease restric- 
tions like the 200 per cent 


RIO DE JANEIRO. May Ifi. 

compulsory deposit o.n nun- 
essential imports. 

However, it maintains that, 
unless it is given a decisive role 
in the GATT talks, it would have 
to reconsider this proposal. 

Brazil’s massive export drive 
(exports of $12.1 bn in 1977 euin- 
pared with $H.2bn in 1973 >, where 
manufactured goods play a grow- 
ing part— thus making ii a ’com- 
petitor of industrialised nations 
— has had a dual effect. 

On the one hand, it tends to 
stand apart from other develop- 
ing nations which still concen- 
trate on raw material exports: 
on the other, it is beginning m 
draw the fixe of its competitors 
— powerful fire, which could 
damage it unless it can mix 
flexibility witb hard selling 
policies. 


$150m line of credit for foreign goods 


BY OUR OWN CORRESPONDENT 


W. Europe machine tool 
industry outlook better 

BY KENNETH GOODING, INDUSTRIAL CORRESPONDENT' ’■ 


THE UK machine tool industry 
appears to have survived the 
recent recession in better shape 
than its European competitors, 
according to a survey among the 
13-nation European Committee 
for Cooperation of "the Machine 
Tool Industries (CECIMO). 

The survey - showed that 
between 1973 and the end of 
iast year, employment in the 
British industry fell by four per 
cent to around 50,400. 

in comparison, the West 
German machine tool manu- 
facturers cut their workforce by 
13 per cent, to roughly 97.000, 
while in France the cutback was 
one of 20 per cent, to 21,500. 
However, the big drop in employ- 
ment in the UK industry came 
with the 1971 recession when 
other countries were less badly 
affected. 

Eleven CECIMO member 


countries were involved in the 
inquiry, which gave a 'generally 
optimistic ontlook. • Forecasts 
for tbe first half of 1978 suggest 
that European machine tool 
manufacturers wiD see an in 
crease in orders of about seven 
per cent compared with the 
same period last year. 

The inquiry showed that out- 
put might have been even higher 
but for the generally low level 
of investment in capital equip- 
ment that continues round the 
world, and serious competition 
from low-cost and low-price 
countries, including Eastern 
European manufacturers and 
some developing countries. 

Tbe CECIMO members also 
say they are suffering from con- 
tinuing inflationary wage levels 
in Western Europe, “unrealistic 
and adverse exchange rates ’’ 
and, in some cases. “ the imposi- 
tion of unnecessarily restrictive 
safety precautions." 


More imports for India 


BY K. K. SHARMA 

THE INDIAN Government today 
look a major step towards end' 
mg protection of 14 capital goods 
industries and also for using the 
growing foreign exchange 
reserves by announcing that 
global tenders for imports of 
specified equipment will be per- 
mitted. 

A statement by the Ministry 
nf Industry said imports would 
be permitted irrespective . of 
whether some of the capital 
goods are manufactured in India. 
It further allowed import of 
24 types or capital under the 
“open general licence" sebeme. 

Industries and projects for 
which global tenders will be per- 
mitted include fertilisers, news- 
print 3nd paper, basic drugs, 
basic technical material for pesti- 
cides and wecdicides. power 
generation, transmission and dis- 
tribution. mineral exploration 
and 'mining, petroleum explora- 
tion and production, petrochemi- 
cal* up to the stage of polymers 


NEW DELHI, May 16. 

manufacture of professional 
grade electronic components, 
waste disposal recycling and 
effluent treatment projects and 
geological engineering, materials 
handling projects and ports, 
sugar, cement and cement pro- 
ducts (including asbestos), and 
100 per cent, export-oriented in 
d us tries. 

Capital goods that will be 
allowed to be imported under 
the open general licence include 
capstan . lathes. hexagonal 
turrets and up to 50 mm bar cap 
turrets, radical drilling machine- 
milling machines, mechanical 

shaping and slotting machines, 
crankshaft regrinding machines, 
universal tool hack sawing 
machines, guillotine shearing 
machines. wire drawing 

machines wire pointing 

machines, portable pneumatic 
toots, valve face regrinding 

machines. mechanical press 
brakes, hydraulic and mechani- 
cal presses, and watch-making 
machines. 


Japan wins Saudi order 


Saudi Arabia has awarded a con- The estimated cost 
tnci worth rival. l.KN>n to build thc 

five thermal power generating “ uu 

plants and five desalination 
j.l.inls to a group Including 
Miistibi.shi Heavy Industries. 


for the 
initial 


Plessey Brunei sale 

...... Hp _ tfw innusint-N A £500.000 order for a Pies sey 

1 wi?Mn?rv and Sta* *les and low-speed data system 

Sa>.ikura Machinery ana Mitsu . . placed by the Brunei 

l,isl : i C ffindd n ;h Government U includes supply 

u rues from Jeddah. 0 j installation and commissioning 

The Japanese contract is nne services and training of Brunei 
of seven in a deal signed on technicians. 

Sunday by ihe Saline Water Con- 

version Corporation. The Mitsu- 5235m Cement plant 
bishi pi an Is are to he built over GATX CORPORATION said a 
Hirer and a-half years to supply . - 7entur p of its Fuller unit 
Yimbu with 5m gallons a day and international of 

Medina with 20m. Power genera- - , Korea, has been 

non capacity will total 250 mega- wE'S.iSX for a 

"atis. cement plant to be built in Saudi 

. * Arabia. AP-DJ reports from 

Fluor in Abu Dhabi Chicago. Fuller’s portion is 
Abu Dhabi National OM Com- ™lucd at 533m. 

l»anv has selected a Fluor Cor- |% u IJff press 

pi.rariun team to provide plan- L/aneS DUy UA P*™ 
nine and project and mnatruc- The Danish printers and pud- 

lion management assistance for Ushers Egmoni IL Pereran have 

its multi-billi on dollar iafrastnic- placed a £lm order with Baker 
Hire programme at Ruwns AP- Perkins, of ^*”*£28iUteiJeb 
i).i reports from Jri’ioe, Cali- newly designed 
tumid. offset P ress desl S aated 


BRAZIL'S F1NAME (Industrial 
Incentive Fund! has opened a 
Sl50m. credit line, led by the 
First National Bank of Chicago, 
Standard Chartered. Merchant 
Bank Loyds International, the 
Bank of Tokyo, the Long Term 
Credit Bank of Japan, the Indus- 
trial Bank of Japan, the Com- 
merzbank. and Bank fur Gemein- 
wirtschaft, to help Brazilian 
companies to purchase equip- 
ment manufactured by foreign 
companies in Brazil: in essence, 
buyers’ rather than suppliers' 
credits. 

The new concession comes at 
a delicate moment m the Brazi- 
lian capital goods sector, where 
national companies are expand- 
ing and struggling to obtain 
advanced technology to compete 
on equal terms with their foreign 
counterparts. Many Brazilian 
businessmen openly express their 
resentment at the heavy weight 
of foreign capital in tbe indus- 
try and oppose further financial 
concessions to foreign-based 
manufacturers. 

Tbey are anxious to break into 
the rich market of orders from 
State -run enterprises, which 
account for four-fifths of the 


demand for capital goods. This 
year, vast hydroelectric projects, 
steelworks and telecommunica- 
tions plans are moving from the 
drawing boards into reality. The 
frustrations of Brazilian manu- 
facturers who must join foreign 
enterprises if they hope to 
participate in those expensive 
undertakings, is increasingly 
apparent 

However, tbe more realistic 
among them admit that with 
modest technology and little in 
national funds, tbey have few 
options but to build up their 
expertise, assuming foreign com- 
panies are prepared to share it 
over the years. Others’ call on 
the Government to reserve the 
market to ensure that Brazilian 
manufacturers get their due 
share. The Government has 
already done so for mini- 
computers. but to do so for heavy 
equipment at this stage would 
be almost impossible. 

Ministers, among them Sr. 
Joao Paulo 'Velloso. Planning 
Minister, bint that . Brazilian 
manufacturers of heavy equip- 
ment have not yet “matured" 
substantially — hence their low 
share of major orders. Such lack 


of '‘maturity" has been defined 
as excessive concern with imme- 
diate profits and too little con- 
cern with technical development, 
quality control or delivery dates 
as well as excessive variety of 
products offered instead of con- 
centration on one impeccably 
developed product, and poor mer- 
chandising. 

To assist national industry, tbe 
Government insists that manu- 
facturing projects offered by 


RIO DE JANEIRO. U_.v 16. 

foreign companies uniat find a 
Brazilian partner and invoke 
outright technology transfers. 
But the balance is still lopsided 
and likely to remain so for some 
time to conn*. 

Meanwhile there are signs of 
soul-searching b) Brazilian in- 
dustrialists. many of whom are 
realising that cltnumg to the 
Government's skirls is noi a for- 
mula for real growth or true 
competition. 


Canada in Algerian deal 


THE ALGERIAN State-run 
hydrocarbons concern Sonatrach 
has agreed that Bechtel of 
Canada should develop the gas 
field in the Rhourde Nouss 
region. 

The contract is valued at 
S626m. including S83m in goods 
and services from Algeria. 
Financing is being organised by 
Societe pour 1‘Expansion des 
Exportateurs du Canada (SEE) 
and a group of banks led by 
Toronto Dominion Bank. 

AP-DJ 


ALGIERS. May 16. 

Robert Gibbrns in Montreal 
adds: The Canadian portion of 
the total contract is Os&Voin (or 
the foreign goods and services. 
That will be supported by 
G$350ra from the Federal Export 
Development Corporation. It is 
the Corporation's largest single 
financing yet. 

Canadian Bechtel will provide 
overall cnglnering and construc- 
tion services. It is negotiating 
with the Algerians to build the 
500-mile pipeline to move the gas 
to liquefaction terminals on the 
Mediterranean coast. 


_.i-, • 


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• : a ‘I 


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'•••' .• . 

• * * 


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#• "» ’ 





' . • : What would happen ifyour bank 

man^rrangyou up tomorrow and told you ■ 

- -that \'ou^•t^messsoverdraft.^vasbqulg cut by halt? 

Think about it, because it does happen. 

... Qr\vhatifyour local bank manager, with whom you have ' 

. aHyour financial facilities, moved and was replaced by a less 
friendly sold? 

: : ’ * - : This could happen if you pur all your financiai eggs i n one basket. 

• ■ Happily, a second creditline with Commera'ajCredit could 
significandyimprove matters and brings • 
iittie more security intoyour financial •#.: 

arrangements. . 

: - . Gpnimerdai Credit loans are 
■baciced bva firm commitment to pro- \ 


■y _ 


termanour 







experience an attractive facility. 

■ t'J Loans may also be arranged at either fixed 

orvariabiemterestrates. 

' There are other benefits (/having a sect >nd 
x^edit line with us, too. 

For exampl e, you would then have two li nstndiil 
S'* ^toserato consult, instead of jusiyour bank manager. 

'■ ' ‘ ; . ' ' / • i£. Commercial C rector can arrange plant and machinery 

. finane^exp^feaife?, marine, ai remit ;md propcrtv finance, equip- 
ment leasB^^iMevelripment finance. • 

feifewrwkJyiide-assets of over£2bilKon and 24 branche* 
throoghouttheUKi..' 

\Vb ynotrihg-your local branch manager now and arrange an 
* appojritmeriir lje-^^ youall the benefits bfa Commercial 

Creditsecond detail ' • 


r:'V 

; v!" W ;':.;** ■ 





•■Commercial Cretiii Services LkL Hen d Office: Grc*v enor House. 125 High SireetX royd6n CR9 1 PU. Tel : Ol-biJto 546b. 

BlRMlNGHAM:Tel: tP.Lockyeart tD2l)6224871.BRlGHTON:Tel: iMJoneo Brighton (027ii SOfV)7J BRISTOL: Tef: iLTudk<*« RrismniP7 ?» fa rhiff- t.-i - . o iv.» r : . n nrr.i &•> i > •> 



r- — 


•i 



Financial Times weonesaay *^ v -,**.. «** 



Cheap rate 
Christmas 
post of 5p 
planned for 
major cities 


Amoco Cadiz inquiry 
told of steering hitch 


Oil ‘must 


BY SUE CAMERON 


by ian Hargreaves, industrial staff 


By John Lloyd 


THE POST OFFICE has de- 
rided in principle (o bring la 
a special cheap rate for Christ- 
mas post of 5p. The rate, 
which will probably come in 
this Christmas, will be within 
the “post towns’ 1 ' — that is. 
ihose chics and towns which 
have their own teller sorting 
centres. 


It has also proposed re- 
starting a partial collection 
service un Sunday, which coaid 
cost under £lOm. a year, or 
nearly £2ra. mor** than annual 
running costs two years ago. 
when the service was aban- 
doned on cost grounds. 

Restoration of full Sunday 
collections, advocated by the 
Union of Post Office Workers, 
could cost £Hm. a year. 

The decision to grant the 
cod cessionary Christmas rates 
was also taken in pari because 
the postal business is showing 
surprising signs of growth in a 
number of areas. Postal profits 
fnr the last financial year are 
thought to be slightly up on 
the previous year's figure of 
£24m. 

However, there are financial 
problems. The cheap Christmas 
raip depends on a growth of 
traffic hy at least one-third 
before it covers its cost, and 
there are doubts on whether 
such growth will he achieved* 

For the Christmas service, a 
letter posted for example in 
inner London, or in Greater 
Manchester, to an address in 
the same area, uili cost 5p. 
Letters outside the “post 
towns" or from centre 10 
centre, will he charged at the 
normal rate. 

The scheme — details of 
which still have to be worked 
out— is largely a result of pres- 
sure from Sir William Barlow, 
the Post Office chairman. 

Soon after takine up Ms post 
last November. Sir William 
made it clear that he would he 
examining both cheap Christ- 
mas rates and Sunday collec- 
tions. in order to improve the 
Post Office’s image. 


MODIFICATIONS to the steer- 
ins systems of supertankers 
should perhaps be considered in 
the light of the grounding of 
the Amoco Cadiz, the official 
inquiry into the accident was 
told yesterday. 

Mr. Paul Vragol, a naval 
architect from Amoco, which 
owned the ship, was asked by 
the inquiry to give a personal 
view about tanker steering 
design. 

He said that although steering 
sear of the type fitted to the 
Amoco Cadiz had “ seen many 
years of satisfactory service, it 
could he that some additional 
□revision should be invesli- 
gated." 

The first day of the inquiry in 
London was taken up with an 
exhaustive account of the steer- 
ing system, designed by Manises 
of Spain, of the wrecked ship. 
It was a failure in the hydraulic 
pressure leads to the steering 
which caused the ship’s rudder 

ro rail and led to her grounding 
off the coast of Brittany in 
March. 



SIR GORDON WILL ME H : 
Chairman of the inquiry. 


INTERNATIONAL INVESTORS 
will lose confidence in the UK if 
North Sea oil revenues are 
turned into an excase for a 
registered. «aiii that the vessel Government spending spree in- 

*»SE£— sssaiww. ,raprovc 

The^ SSL? ftSUrT were all- This warning was given yes- 

HUl" 

4 X mon« fh , laI sf I "thEt Samuel, the merchant bankers. 
™??j l J e . 1 dcck officers, three . He sajd ^ chancellor’s 
men had full master s certificates ( j a j es ^ Budget had caused con- 
and in the engine-room “If"* cent among international bankers 
were three men with ciue * [that Britain’s oil money would be 

“HST? u v , 1 1 i.u, ■ put towards a pre-election spend- 

Built -in 1974 by Ariilleros * ■ spree lnfitead of being used 
Espanoles. of Cadiz. Spain, the induSlry . 

ship earned the latest 1 Bankers were not worried 
explosive devices, dual radar. 1 ^out Britain’s political and 
satellite navigation and a col- ; social srabilitv nor about her 
Hsion avoidance system. She was. > ability to repay her debts and 
he said, “modem and superbly the £k would be able to re- 
equipped." t borrow when necessary. But 

Mr. George Mason, represent- u, c question of admitted ly- 
ing the American Bureau o, : volatile bankers actually "in- 
Shipping., said this enuipment. I vesting in UK Ltd. is a different 
including the steering sear- hud ■ story. 

been subject to regular inspec-; - Bankers are really looking at 
tion and had been surveyed two what the UK intends to do with 
nr three times since the ship's ( the North Sea oil revenues." Mr. 
conitruction. : Carau said. "lam worried that 



to BNOC the task uf fiandlinc at 
Irani half the country's crude oil 
within about throe years from 


SIR GEOFFREY 11 OWE 
BSOCs roles incompatible. 


BNOC were to prove as 
many people fear the high enst 
am.- ration with a low success ratio 
that wutild represent a very 
costly experiment tram flic 
country’s point of view." 

Sir Geoffrey said it would he 
wiser tu conduct the rocuiatory 
nroce>s so as “to harness ihc 
widest range oi skill* from Ihe 
whole of the oil industry, operat- 
ing under strict and fair national 
control." 

He stressed that the establish**! 

oil companies were making a 
vital contribution W lh<t 
sucre. v-ful development of North 
Sea oil. 

It was belter to rcwitus* tht it 
role than to rely l"P heavily 
on the " newly created and 
relatively mexpertencud state ml 
cum pan \ which has as > p i a very 
limited track record in the field." 



. MIL ALAIN CAMlT 

World bfwifcers* arc mmed. 


Diagnosis 

, tn«oriv if titt** lIc accused the Government of which arise from doing tlte foot. 

It would he a tn$ » J** using North Sea oil an ,«n excuse ball p^.- . ’ *" •’ . 


wore squandered and by * under way a national "-Lower Personal taxation •> 

Th.in'.i.l ^y.nr.hohe^rmc lbc increMed revenue, "rhT , £2*51* 


questions that various mecl. 


will deal ’mainly with mailers of be p ur ( 0 proper use. 
engineering, after which an .*j j, ave nol heard of an ... 

Mr. Vragei explained that if an isms should have made it adjournment Is planned before; dustrial or political consensus 

there was a complete loss of -plain to those on the ship’s t h e inquiry reconvenes in June on North Sea oil being used lo ■■ We are not suffering from a 

pressure to the steering bridge and in her engine-room ro consider wider issues of navi- j ncre2se productivitr. Nor have shortage of savings but from a 

hydraulics, there was no nteeh- that rudder control had been gatioa, - there been anv indications in jaw rate of investment and a lack 

anicaf means of moving the lost. There was. however, no Sir Gordon Willmer. a former fficia , policv ^at this w ni be of propensity to invest." 
rudder. The tanker, in accord- actual pressure gauge on the High Court Admiralty Judse. is - y, r ( hrUtophcr Johnson, 

ance with international reguia- steering hydraui/cs to warn of chairman of the five-man Board “For 'the first time since the economic adviser to Lloyd* Bank. 

Inons. was fitted with twin pumps slight losses of oil pressure. 0 f inquiry. Also present on the second World War. Britain has ^id ji would be belter nut lo 

land twin hydraulic ramtnin* Al n, e opening of the inquiry, first day were observers from a the chmce , 0 put her house in ^ke anv specific decisions on 

units, but was dependent upon Dr Frank Wiswall, Counsel for large number or governments order . ] hope that national \ ort h Sea income at ail than to 

a soie nyorauhe teea. the Liberian Government underand international maritime ; wi „ sl j mu i ate industrial be ** earned a wav by the thought 

It was established during whose Rag the Amoco Cadiz was organisations. 


twn of fund-i to the umn. rnc eu lurn oul - 0 b0 n0 more than a Rrowt h and create nw Jobs. Tax 
in- «etor instead i or the marketed ku arc tlie means. of -.vUowlng 

ru.s seclur ecunun . MMVIMkMRrai Ihu rapid accumulation of post- 


FINANCIAL 

TIMES 


lax wealth by the tmmpscatw'.y 
small band of people who have 
the capacity in identify, inti e\. 
ploit new commercial opportuni- 
ties in 'service as wen' 'as. iii.mu- 
faciunag industries. . 


NORTH SEA I Priority 


Eleni V spill 6 70% greater 
than first believed’ 


BY PAUL TAYLOR, INDUSTRIAL STAFF 


productivity. of earmarking the whole lot to 

“But if pnijcy does not chanse some worthy but misconceived 
i then the UK will cnntini'p to national good cause.” 

• muddle alons and the confidence North Sea oil. has raised live 
or international bankers will not exchange rate to a level which 
be rebuilt.’'' made some parts uf British 

industry less competitive tn both 
Fundamental hunu? and export markets. 

“ * , , . This should encourage British 

Mr. Edgar Pa la mountain, industry “to move up-market 

chairman of 11 and L. told the j ntl , jj ec tors in which it can com- 


The Economic 
impact 


CONFERENCE 


conference that “all ihe oil in note ioicrnationalTv on 'quality rcpca . t or "other manic dcpTM- ,, U cst in fhow enterprises and 
the sea will not save Britain from ^ lJier than on price, as has f.!!5 » P acl.viUes which_ are going_ tu he 


Sir Nevll ittaeready, nwnagmj; 
director, uf Mobil Oil,, stressed 
LiiaL the oil revenues (ltd nut 
represent a “vast accertiun of 
wealth.* 1 hut wily *t to S per ti-m 
of GN’P. at most. Ha also said 
it must be rontembered that the 
** tia> rick* " was. not Rolng to la\i 
all that long. 

“ The first priority must be in 
regent-rule this country's mdiw 
try. But Set us. be careful in 


price, 
Germany 


and 


Pressure 


Under the partial Sunday 
rolled Ions scheme, post boxes 
would he emptied selectively 
across Hie country. 

The Pest Office is thought to 
rsvnur partial, rather than full, 
Sunday collections, ip order to 
keeo costs down. 

But the postal workers 
uniun. which campaigned 
against the cuts two years ago, 
is pressing for fnil restoration 
on Hie grounds that this 
prevents unfair discrimination. 


, , .- • . tinue to gencratu wealth for ihe 

«iH looking at the s.inii natjun w j ien Korth Sea. dcpiEsib 

diagnosis of its national eon- -vh-m^ed - 

dition and the same list uf " e 


ABOUT 3,500 tons of oil, 70 per Prime Minister’s question time to pump the oil off at sea. dock- ■ the effects of a productivity level i iaMuen ed in 
cent more than first estimated, in the Commons yesterday. ing the vessel in a port before that remains" far lower than swiuerland" 
bas escaped from the wreck of Mr. Prior has described the beginning pumping, or dry dock- that of other countries. 

the Eleni V. the Trade Depart- delay in reaching a decision ing the vessel. The last option North Sea oil had been a i_„ rtrtin0 *;i,i 0 

nient disclosed yesterday. about the tanker as “scan- is favoured by salvage experts, '“strong bull poinr in the funda- incompaiiOlc union ana me same am u» •• jf we a r e i 0 build a new 

Survey work* on the tanker dalous." Divers have installed a com- . mental thinking of iniernatinna I Sir GeulTrey Howe, the Shadow allern3,V0 presw:npllons ’ Britain with the bunedta of Norih 

bow section, now held in posf- On Monday. Trade Department pressor on the wreck to main- ; investors ’’ but he warned that Chancellor said that a Conserv- U was now clear that monetary &« a oil. it follows that the m-wi 

non five and a-half miles off officials met salvage experts and tain buoyancy and built a shelter j rhorc was now less optimism. 0 tiv e Goveminent would not and financial usability would con- profound thought, Uifromstdc- 

Lowestoft by two tugs, showed the tanker's Greek owners to on the upturned hull. : There were three main reasons allow the British National Oil linue lo delude the UK su long tailed policy provisions mu>i ho 

that instead of th,e 2.000 tons of discuss alternatives to scuttling ®The Government intend to for this: Corporation lu act as both a as tile markets were over-hung addressed to the. problems sui- 

oil thought to be on board, only it in the Atlantic. study further the possibilities of a There had been reports that regulatory agency and an operal- by "the huge puteniial avalanche rounding closure of old -plants 

560 tons are contained in one of This is now understood to burning any oil remaining in a e j t her the revenues or the flow itm company. " of public sector debt." and even old industries. - 

the vessel’s forward tanks. have been ruled out hecause of wrecked tanker. Mr. Clinton of {|! , TTI] - g j 3t hai . e faeen over . The curporation's two roles Financiers and industrialists. We must find n way. of rimm- 

Mr. Stanley Clinton Davis, an international convention ban- Davis said in a Commons written | es f imate d were incompatible. The Conserv- both at home and abroad, were la tina the transfer ctf ‘a«*vis 

Trade Under-Secrctary. was last ning dumping at sea. answer last night. ^ number of private operators a f « v es accepted ihe need for a able to “avert their gaze from formerly concentrated in Uut-.e 


State boarding 
school places 
face shortage 

By Our Education Correspondent 


A WARNING of impending short- 
age*! or boarding places for 
pupils in Stale si-h'ools was given 
by Dr. Ewan Anderson, honorary 
research officer of the Boarding 
Schools' Assocaition. at its con- 
fen’nce in Gloucester yesterday. 

Mr. Bill Spray, the association 
chairman, called for an official 
inquirv into provision of board- 
ing places after Dr. Anderson 
di-5i-lnsed that the number of 
State boarding schools in Eng- 
land and Wales had rallen by 30 
per cent lo 102 since 1964. ’ 

Thn«.» for Cirls had hppp cut 
from 30 lo U.'the research officer 
said. Seven school® dosed last 
year, and six were likely lo shut 
by iflSO. 

School's wore badly distributed 
ceogranhii-ally. Of the 104 local 
education authorities south of 
the bnrder 69 had no facilities For 
bu ardors. 


night briefing local authorities The final decision as to how “There are. however, substan- 
on the possible alternatives For to dispose of the wreck is under- tilal difficulties and objections 
disposing of the tanker hull and stood to have been left in the to dealing with a casually by 
its contents. hands of the department, which this method. 

Mr. James Prior, Lowestoft is believed to be examining the “On present information, it 
MP and Opposition spokesman prospects for pumping the re- seems unlikely that we could 
on employment, raised the ques- maining oil off the vessel. adopt burning as oar standard 
tion of the tanker’s fate during They face the choice of trying response to such situations." 


seemed to be havin' 1 “ strong regulatory agency but it was their the spectacle or the public seclur areas into iicw fields where thu-v 

misgiving*! ” about the British Bnn intention to contain BNOC elephant as it tries to inch us can continue to make a r.\H «»n- 

National Oil Corporation and the and then 10 **““*"* all its way acruss the tightrope." The tribution after the North Sea is 

i Department of Energy activities *’ in order to determine result was an unnecessary finished. 

’ m L. , ^ . , ... their relevance to the national hazardous form of stop-go. “Such changes in our imiu-. 

nuwuoulVbi 'put ^ 02 reve * merest." f Sir Geoffrey said that what was trial base will undoubtedly mean 


Murphy in participation deal 


BY KEVIN DONE 


** What thf* rhanrpflnr hte rfnn* BINUL. Ot COUfSC, deserves tO *«™“ ‘**' < %“V “ »•“ 

be coneratulated fnr its success- PeUUvc tHMnUar of^ the UK.tng. 
win make mternaboaai mvestors fu , rajinaKenient of the Thistle economy. The emphasis ought to • c 


, fc _ ago. - Personal 

strengthening the economy than •• But willingness to offer those reduced. 


MURPHY PETROLEUM and Field, the third largest dis- with the other 61 companies par-i 
Ocean Exploration yesterday covered tn the U.K. sector of the ticipating in North Sea explore- i 
signed a full Mate participation North Sea. lion and development both for 

deal with Hie Department of Only Imperial Chemical Indus- fields that are alreadv being ex- 
Energy and the British National tries, which holds an IS per cent, plaited and those which have 
Oil Corporation. interest in the Ninian Field, has Imminent prospects of being 1 

The agreement covers in par- still to sign full participation developed. i 

ticular the companies' joint 14 terms with the Government ?, w taken the Dpoartment : 
per cent, share in the Ninian Agreement has been reached of 1 Energy morc than tSo years ' 

to complete ail the deals which 
essentially give BNOC access to' 
up to 51 per cent of companies’] 
share of crude production. 

Murphy has a 7 per cent share J 
in the Ninian Field. \x also has 
an interest in Ocean Explora- 
tion's 7 per cent share through 

BY RAY DAFTER, ENERGY CORRESPONDENT its 51.9 per cent stake in Ocean’s I By Christopher Dunn 

SUPPLIES OF natural gas will On the basis of total available an^Expioratloo' ° CeaD DrilIing ■ GOVERNMENT PLANS to 
rise by some 50 per cent over reserves, these supplies could be The agreement with the Gov- [demolish and rebuild part of 


luxation had to be Iho need to bo *■' carefully sriev- 
■ ■ r . C , e ■ “ UUL nilllUIillG.'Vl 111 VHVI ktJUJC m-mmm tive" in upending oil revenues-, 

with buying boats before the next congratulations have not pre- *’ We urgently need to restore Industrial investment and re- 
General Election, Mr. Pala- vented questioning the present the possibility of becoming rich training demanded the highest 
mountain said. ’ Government's intention to entrust by taking risks apart from those priority at present. 


Big rise in natural gas 
supplies forecast 


GLC attack 
on plan 
to rebuild 


museum 


the next few years. Mr. Patrick maintained at this level Into the eminent gives BNOC the rieht > Trie Natural History Museum in 
Gallaber, president of the next century. It was almost t0 purc hase up to 51 per cent of I Kensington. Londen, were 

~ r r '~" v ; i-.-i-i- r --— | ... _ severely criticised by the Greater 

London Council yesterday. 

Mr. William Bell, chairman of 
[ the GLC’s historic buildings corn- 


institution of Gas Engineers, inconceivable that further the^partneni' ''crude" and 51**' per 
said yesterday. ... , important discoveries would not cenl th ej r share of natural 

He told the Institution s annual be made. gas liquids, 

conference that deliveries of gas Mr. Gallaher said that the gas BNOC al«n strengthens its 

from the Frigs Field and Brent industry recognised that the voice and voiinc rights in the imitteeT "called for' a "public 
Field would, help boost supplies fuel was too good to waste and i\' in i a n partnerahip. in which itlinquiS-tolookintotheEnviron- 
by the early 1980s to a level some as a result it was lending full already has a *1 per cent equity 
50 per cent higher than they support to the conservation of S h are . 
were last year. energy. " 


Stock dealing reforms urged 


BY MARGARET REID 


More libraries 
act to beat 
book thieves 


LESS paperwork and more use is extremely short, considering by using computers for trans- stealing of librarv tfdoks bas 


,.r t.‘i„„)UiLT [efbniqiips to solve the volome^^pev.v.orh that rerh „ 3 title belweet. hover ttod r„e««ed so widlj sTme Sse 


Itrohlems or h,mUln« MM ta i “ ... . “-By otlisin; the bttret.it> date “ ri >' 1?™ S 1 jffi* 


uf m.»»t business done in gilt- . These difficulties ^now^ led _ to than' ever are being forced to 


electronic detection 


inquiry 

raent Department's scheme to 
create extra exhibition space in 
the museum by developing the 
east wing. 

But the Department said the 
plans had already been com- 
pletely approved by ail relevant 
bodies— including the GLC — 
except for minor detail. 

Under the scheme, the three 
eastern galleries, whicn now- 
house the dinosaur exhibition, 
are to be demolished partly, 
then rebuilt 

When the £3.7m scheme is 
completed in the early 1980s. 
the rebuilt section of the 
will be higher than 


, , . lateness in all aspects of settle- txiNecied by the Slock Exchange s « n ci n i\ 

eilzed ? ucE.s fr-alure in pro- ment 0 f ^ ea i s ; n qiit-edged stock central system and linking this si - s i etlis 

I h 1 fills provisionally recommended when trading was heavy. *® ^}e register held at the Bank l00 svste ms cosLin- 

hy a svovh B«h.„ s , commute,. ^ comm u te c rejects lhc idea P a S «i will he®' ittsSieS : museum „ „„ 

A new Office, which might be that payment for deals in gilts mone ‘ v transfers with the mini- 1)118 year * the ,ar e«t number I the central hall and front wings, 

called ihe Central Gilts Office should be made a more leisurely mum ,> of nartiemant interven- since the - v werc introduced a few and have escalators, 

and jointly-run by the Stock Ex- process. “The case for next day tion - ^ committee says. ye , ars a 8°’ , I The museum, designed by 

change and the Bank of England, seitlement is so strong that any „, n additio n t0 accuracy, the Mr. Geoff W ride. UK manager ; Alfred Waterhouse in the sty-le 

is envisaged as the pivot of the extension of the settlement use 0 f a computerised real-time f° r Library Systems, the leading' of a gothic castle and completed 
sysiem. b,y ? n ,7 f the . da >' afler system should provide the speed supplier, said yesterday that book i in 3SS0. was Ode Of London's 

The three-man commiliee. dealing is ten to oe a relro- an a flexibility which are so loses could he cosling between 'most loved Victorian landmarks, 

hcadt-d by Mr. G. D. Burnett, fir 30 ® step. obviously required." v i* 11- an{) ~® m - a year. He ‘Mr. Bell said, 

says lh:u ihe major problem was The system rp.-onimondcd is The committee, appointed in believes Britain’s libraries are! "Redevelopment will com- 
that ’’the time scale to compiete intended to sreatly reduce the August last year will continue us fu c;ng a ’’ strong national trend i plelely destroy ihe symmetry of 

scitk-mcni on a next day basis physical handling of securities investigations. which could be permanent." 1 Waterhouses ’plaqs." 


Development study 
for Scottish 
electronics industry 


FINANCIAL TIMES REPORTER 


Court told of “oversi 



on £4.2m loan 


A CHARTERED accountant who 
worked on the 1975 balance sheet 
of Scottish and Universal 
Investments accepted in court 
yesterday that It was “an over- 
sight ” on his part to put a £4.2ni. 
loan \u another company under 
cash at the bank or in hand. 

lie was being cross-examined 
at Glasgow Sheriff Court hy Mr. 
Ranald Sutherland. QC. fur Sir 
Hugh Kras* r. vice-chairman of 
SUITS. Sir Hugh and five dircc- 
iur>- have denied failing lo pre- 
.■--eni a fair view of the company's 
niTjirs in ihc 1975 balance 
sheet. 

li is alleged that the balance 
.'■heel contained an item showing 
nO.433.4H2 current assets. The 
charge aLn alleged shat the 
accord knew ihe sum at the 


hankers did not exceed 
I5.50U.100. and that they knew 
the difference of £4,233.457 was 
a sum lent by the company to 
Amalgamated Caledonian. 

Mr. Sutherland asked “Did 
anyone at any time bring to your 
attention the possibility ibis 
might be a misclasifioationY" 

Mr. John Armstrong the 
accountant, said: **t have no 
recollection of that happening.” 
He believed the loun should have 
been shown separately and agreed 
uiis was the proper thing iu do 
In accountancy practice. 

Mr. Sutherland: “Were you at 
any time given any instructions 
as lo how to deal with this loan 
in i lie accounts? “ 

Mr. Armstrong; “ 1 have no 
rerol lection of any instructions." 
Mr. Sutherland said it might be 


suggested in the course of the. 
case that there was sum deliber- 
ate policy decision taken hv Mr. 
^ohn MacPhersoo. an auditor who 
gave evidence on Monday, to 
" lose " tiie loan in tush at the 
bank ur in hand. 

Mr. Armstrong said he had no 
recollection of ever receiving a ay 
instructions From Mr. MacPher- 
son. 

Mr. Sutherland: ” If you had 
received any instructions that the 
loan was in be quietly lost as 
cash bank ur in hand, would 
you accept Hie instruction or 
rebel against if?” 

Although the Sheriff told him 
he did not have to answer ihe 
question. Mr. Armstrong replied 
“ 1 would have had to record 
some exception »u it.” 

Before Um court are Sir Hugh 


Fraser. Mr. James Gossman, Mr. 
William Forgie. Mr. Edward 
Gamble, Mr. Angus Grossart and 
Mr. Nicholas John Redmayne. 

They have all denied failing 
to give a true and fair view of 
the company's affairs in the 
balance sheet for 1975. 

Sir Hugh. Mr. Forgie, Mr. 
Grossarr and Mr. Redmayne are 
also charged separately with 
railing to notify share trams- 
actions to the company within 
14 days, contrary to the Com- 
panies Ael of 1967. 

Sir Hugh has admitted not in- 
forming the company of 61 share 
transactions involving more than 
3'vn shares and his pica of nol 
guilty to the rest of the charge 
involving another 13? m shares 
has been accepted by the Grown. 


Mr. Forgie, Mr. Grossart and Mr. 
Redmayne have denied separate 
charges of failing to tell the com- 
pany about share dealing. 

Earlier, Mr. Brian Carlow, an 
accountant with SUITS when the 
1975 balance sheet was prepared 
agreed that If the accounts were 
prepared by experienced char- 
tered accountants and checked 
by another firm of accountants, 
and both had knowledge of the 
loan, it would be reasonable 
to assume that any error tn ac- 
counting principles would be 
picked up by one or both of the 
firms involved. 

Mr. Carlow said he had no 
reason to believe that once the 
auditor knew of the existence of 
the loan that it would not be 
properly placed in the balance 
sheet. 


THE Scottish Development gemms companies to adapt to 
Agcney has commissioned a the new technology, 
major study of the Scottish The research project is the 
electronics industry and its most important to.be commls- 
future in the international trend sioned by the agency in its two- 
towards micro-processors. and-a-half-year life. The SDA 

The Agency announced yester- is als0 embarking oh detailed 
day in Glasgow that Booz Allen studie s ?F particular Industrial 
and Hamilton, the management sectors including textiles, food 
consultants bas been appointed chemicals, 

to carry out an eight-month . , p William Gray, agency 
study of ihe industry and its chairman, pointed _ out that the 
ability to switch to new trends. ? n J- v feaMicstudies of specific 

The consultants will conduct w»*«tn«s within the JJK have 
research in the U.S.. Europe, and earned out by fhe National 
the UK. to establish the areas ?5S n ?^ .P^opmeot Office 

U t 3 , 3, Tt,d S ’.he“ e Srief <! of «%' BStin^in^utS' 1 ,^"" 

Solttishelectronic^^oi^panus! panTes^Jre^fee” 1 Spot* 

which are predominantly U.S.- PJJJ!® fe fi. 

Mr. Edward Cunningham the 0D the basis of future trends 

nfSnniiJ 5 * t / ate " ,c prn”Sripd we make an early start, 

planning told a Press conference ^ « Ha |f of our industrial dr- 
that electronics production was velopmeot Inquiries jusl noware 
moving from low lalmur cost coming from U.S. electronics 
areas tike Taiwan and Singapore firms 

closer to European markets, be- .-j-q pit;k w i nne rs we must have 
cause research and development lhe best possible advice on tecta- 
was leading the industry into oology, markets, products aod 
areas requiring higher manufac- management. This is what the 
runng skills and more advanced study i s all about, 
technology. will establish a basis for 

The agency hopes that it can takine initiatives to assist c'<m- 
identify through the study suit- panics established in Scotland to 
able companies which could be set up new enterprises or joint 
encouraged to invest in Scotland, ventures, and to ultra cl new 
and also the possibility for indi- investment from overseas." 


£lm. capital 
investment 
by Fairey 
Hydraulics 


By Kenneth Gooding, 

Industrial Correspondent 

fairey hydraulics, a key 
company - within Fairey Engin- 
eering Holdings which was taken 
over by the National Enterprise 
.Board in January, is launching 
a Elm capital Investment pro- 
grammer 

The company’s 1 products in- 
clude flight controls for the 
Tornado al reraft, one of 
Britain’s .and Europe’s defence 

f irioriiies,- as well as controls 
or the Harrier dnd Anglo- 
French Jaguar fighters. - 
It was the stratceic impor- 
tance of' the company lhat 
attracted- the Enterprise Board, 
which became involved in a 
battle for control of Fairey 
Engineering after the group 
crashed financially last year. 

The takeover bas allowed the 
investment programme to uu 
ahead, the company said last 
night. 

Orders already hooked, half 
of which are for export, would 
keep the company fully occupied 
until well Into the l9SDs. while 
negotiations for further over- 
seas contracts had reached an 
advanced stage. 

The company, bused at 
Heston, Middlesex, employs 
about 500 people and is look- 
ing for between 40 and 50 skilled 
workers. It has begun a nation- 
wide recruitment drive and has 
already hired personnel from 
Scul land. 


Stradivarius fetches £58,000 


A VIOLIN made by Stradivari at 
Cremona in I70S sold Tor £5S,0Qa, 
plus the 10 per vent buyer’s 
premium at Sotheby's yesterday. 
, It was the highest price in an 
; auction of musical instruments 
whicb totalled £330.311. 

Other high prices were £8,500 
from Bingham for an ivory one- 
keved flute, by Thomai St an es by 
Junior in London about 1735, 
and £5.400 from a Japanese 
dealer for a late 17th-century 
Dutch ebony tensr recorder bv 
Richard Haka. 

In the afternoon Sarbu a pri- 
vate collector, paid CJ4.000 for a 
violin of 1774 by a member uf 
the Genof'O school, and Medium 
£13.000 For a bass viola da gumbo 
by Barak Norman or London. An 
Italian violnneeilu by Pasnoale 
Vemapane ot Naples. 1803. went 
for £10.500. 

There were good prices in a 


sale of Gomlnental letters and 
manuscripts total Ling EIQ1.S3S. 
A series of L'33 Icllera Tram 
Napoleon to his stepson Prince 
Eugtne de BeauharnaU, his vice- 
roy in Italy, sold for £17,000, 
above estimate. 

An early letter by Napoleon 
written in 1792 about an in- 


SALEROOM 


BY ANTONY THORNCRCFT 


surr'ectlon in Corsica was bought 
bv Otto Haas for £4.-_'uo. A rare 
signed lei ter by Lucretia Burma, 
written in 1501 during the cele- 
brations of her marriage lo 
A lphonso. son of the Duke of 
Ferrara, was bought for IS 5U0. 

At Sotheby’s Belgravia there 
was an interesting sale of works 


by the Daiziel family, foremost 
wood-engravers and book Illus- 
trators uf the 19th century. The 
items, from the studio of llerbrrl 
Daiziel, totalled £2 1,2 IS. 

A i-ol lection of Old Master 
drawings sent fur sale by » 
Continental collector went for 
£■'7.845 ;jj Christie's. The top 
price. £1.700. was by an anony- 
mous bidder fur “The Birth of 
the Virgin.” by Federigo Zurearo. 

A Phillips book sale realised 
£26,100. Powell paid £1.900 for 
40 vuHimes of the Repository of 
Arts hy Ackerman. A sale of 
scientific instruments totalled 
£14-126. 

A Phillips furniture sale 
totalled £55,940. Godson paid 
£2.800 for an 18th-Century oak 
refectory table too large (14 ft * 
34 ft) to be accummudated in 
the satortio" 1 -*nA put iu Phillips* 
entrance imll. 









war economic history. ^ ^ viable in the future and will con- 

After »5 years the country uj> ( ; nilrt tn nnnnrit.. U nniu< f«i- ■ k.. 


m 


mg 




BNOC of course. deserv'esSo «* tf ded was to restore thf cr*ui- a considerable atuouot of it train- 

ju. ’-g.'* .. .. . . i" 

Sir' Nevil said social services 


<lwnoi>f Ihaf ftil and one n>. un nu Iul 'lUnageQWIIl OI LuC ' I IUM1C wvwr wu iirj 

Sf hp cSn,nior?H Field since it took on this project be on inventiveness, marketing needed more money and they 

win oe squandered by a Govern- {rQlu Bunuah nearly two years and diversity— properly rewarded, should have it but no emphasised 
ment less concerned with ^ 1 — ■— - 1 — u - <4 ‘- — j - * ---• -■ 


















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Try it sometime: walk up to someone 
in the street and. say ‘Life Assurance! 

Then watch his reaction. 

First, his eyes will glaze, his knees 
slowly buckle. 

The next second he will be prostrate 
on the ground, his snores rattling nearby 
windows. 

Which brings us to our new 96 page 
illustrated book. It’s called ‘Safety in 
Numbers’ and is the ideal way to resuscitate 
victims of life assurance jargon. 

In plain and entertaining English it 
tells you everything you should ever have s 


to know about the complicated business of 
life assurance. 

__ It ^ill be published during July by 

Hutchins ons, and will be available through 
all leading booksellers at £L95. 

At present we have a limited 
number of advance copies at a special 
pre-publication price of £L00. It will be 
our pleasure to send you one. 


Just send £1.00 (which includes 
packing and postage) together with your 
name and address to Provident Mutual 
(Marketing Department), at the address 
below. In the meantime, if there’s anything 
else we can do to help, call us. 

■Wife won’t call you. 

You’ll find us approachable, friendly, 
and remarkably unstuffy. 


PROVIDED! mUilf HL@ 

We talkyour language. 


Provident Mutual Life Assurance Association • Pounded 1840. 25-31 Mooigate, LondonJECBR 6BA. Tel: 01-628 3232 



*!«««*»< 


HOME NEWS 



Code for packaging Co y tina 

industry laid down ^ ve s ry 

by james McDonald * 

NEW BRITISH Packaging publish an annual report refers Mr. Robert" Maclennan, Parlia- AW 

Lincii, representing the ring to judgments it has -memory Under Secretary of |In i l y I ||t~8iS 
lustry, consumers and environ- delivered on Inquiries and com- .Slate" for Prices and Consumer 


More employees benefit 
from medical insurance 


by james McDonald 

A NEW BRITISH Packaging 
Council, representing the 
industry, consumers and environ- 
mentalists. has been formed and 
a code for the packaging of con- 
sumer goods has been published. 

A voluntary self-regulating 
body, U has the blessing of the 
Department of Prices and Con- 
sumer Protection and. from the 
industry's point of view, has been 
created largely to forestall pos- 
sible EEC legislation. 

The council, with 13 members 
under the independent chairman- 
ship of Lord Shepherd— former 
Lord Privy Seal and now chair- 
man of the Civil Service Pay 
Research Unit Board — will 
investigate complaints from con- 
sumers or organisations as a last 
resort. They will act if they feel 
there has been no satisfaction 
from tbe retailer, the manufac- 
turer or the relevant trade 
association. 

As a court of last resort, the 
council will invite 'evidence and 
representations before making 
judgments. 

The counciL said Lord Shep- 
herd in London yesterday, would 


! BY ERIC SHORT • 

•MORE EMPLOYERS are setting Employers 


setting 


However. Weatiern Provident, 


schemes for employees where the smallest of the three agen- 


Hunter 


publish an annual report refers 
ring to judgments it has 
delivered on Inquiries and com- 
plaints. It would also use the 
media, if necessary, to publish 

interim reports. 

Asked if this meant that the 
council would announce the 
names of offenders if they did 
not mend their ways. Lord 
Shepherd said: “I hope it won't 
come to that -but if it is neces- 
sary we will .do’ so.” 

Chinese boxes 

The prime mover behind the 
establishment of the council and 
of the code has been INCPEN 
(the Industry Committee for 
Packaging and the Environment) 
formed in 1974 which comprises 
the main manufacturers involved 
in packaging, either primarily 
or as an adjunct to their manu- 
factures 

Mr. Christopher Chataway. 
chairman of tbe committee, said 
the threat Of EEC legislation 
on packaging had been “a major 
factor” in bringing speedy sup- 
port lo the establishment of the 
council and of the code. 


Me. Robert Maclennan,, Parlia- 
mentary Under Secretary of 
Slate" for Prices and Consumer] 
Protection, welcoming the forma- 
tion of the council, said he had 1 
representations from consumer j 
organisations expressing concern | 

over packaging which was incon- 
venient and difficult to open: 
packaging which misled the con- 
sumer: failed to protect or con- 
serve the contents: or was waste- 
ful and - unnecessarily raised 
prices, such as multiple packag- 
ing “ reminiscent of Chinese 
boxes.” ' 

The cod.e itself covet? eight 
primary points. First, packaging 
must comply with all legal ie- 
quirexnents. Among the other 
demands are: adequate protec- 
tion of contents: materials which 
have no adverse effects on con- 
tents; no unnecessary void 
volume or misleading size: con- 
venience for handling by tbe con- 
sumer: al] relevant information 
presented clearly on the package: 
and the package itself should w* 
designed with due regard to •!« 
possible effect on the environ- 
ment. its disposal and eventual 
recycling. ✓ 


Paper and board output down 


BY MAX WILKINSON 

PRODUCTION of paper and 
board in . the UK durina March 
showed a further serious fall of 
11 per cent, compared with tbe 
previous year. 

The figures, issued yesterday 
by the Paper and Board Industry 
Federation, show that production 
for the first quarter of the year 
was 7 per ceni. down compared 
with 1977. 

A bulletin from the federation 
said an even more disturbing 
trend was the rise in intDorts. 
whose market share edaed above 


47 per cent, in January and 
February combined lor the first 
time since 1974. 

Tbe federation points out. 
however, that the first five 
months of 1977 were relatively 
good compared witb the rest of 
the year. when demand started to 
level out. Consequently ft ex- 
pects the comparison with 1977 
figures to show an improvement 
during the next few months. 

The federation also says the 
situation may have looked worse 
in March because the Easter 
holiday fell earlier this year. 

In spite of tbe disappointing 
start to the year. Mr. John 


Adams, the federation's director, 
said in London yesterday that 
last year the UK paper and 
board makers reported higher 
profits than their competitors 
elsewhere in Europe, although 
“ that is not saying that we made 
a good profit." 

The U.K. industry's advantage 
of being able 10 obtain relatively 
cheap pulp is now beginning to 
fade. Tbe strengthening of the 
pound some time ago and the 
worldwide surplus of pulp stocks 
helped to reduce pulp prices in 
the U.K_ but the federation savs 
that prices are hardening as the 
pound weakens. 


BY STUART ALEXANDER 

DELIVERY DELAYS on 
Britain's best-selling car have 
lengthened to between five 
and six months. 

Customers demanding per- 
sonal choice of. colour and 
trim may have- to watt 
this lane for the Ford Cortina, 
as demand, has oubdripped the 
company’s aWllty to supply- 

Those -\yahting power leer- 
ing could watt even longer, as 
supplies have beep hit by a 
strike . 

Onlv the Fiesta is avaPable 
relatively freelv from Ford. 

British Levlanri. however, 
can offer immediate delivery 
on the MW. Mlrno. Marina 
(except the Estate where there 
ran be a jdx-week watt), 
Prineess 1800. and Dolomue. 

Wait for Daimlers 

Delay* on the Rover 2BOO are 
□p 10 fonr week* and up >o 
three months on the 2300 and 
3500. Jasnar saloon tMi vries 
can he made within 10 weeks 
and the XJS In six weeks. But 
there is a six-month wall fur 
Daimlers. 

Chrysler, too,- can offer most 
Sunbeam, Alpine and Avenaer 
models in four 16 six weeks 
and Yanxhalt quote immediate 
delivery for many models with 
a maximum or eight weeks for 
models in limited demand. 

Ffat said yesterday ibaf de- 
livery on none of Its models 
should be more than six weeks. 
In some parts of the country 
many were available from 
stock. 

O Motorists ordering the 
Daihatsu four-wheel drive 
could take delivery within foui 
hours and a Jeep within t2 
hours, Mr. Christopher Ten- 
nant, managing director of 
Jeep U.K.. said yesterday. 


, private hospital treatment win- port ed by employees even » saia 

1 out C 05 L The position is dis* though such benefit cuunis as keopiire its rates unchanged fur. ; , 

1 dosed by the laiest membership part of the 10 per cent. pa>* the next By Put T*to. Industtirt S^lt 

i figures of thp tbrep major limit. plsns for iiicrcsscs dciopo 18S0I v;: 

‘medical insurance agencies— Bri- The agencies say that more and hoped that this will en-i SWAN - HUNGER ShlplMtU&tt 


their membership. 


on an individual basis. 


BUPA 

!ppp 

! WPA 


cnd-Mar. 

135,195 

121.815 

12,806 


Individual 
end- Dec. 
338.859 
123.413 
12.142 


end-Mar. 

486.503 

84.608 

23.526 


change 

+8.042 

+1.989 

+1,617 


Total 

end-Mar. end- Dec 


821.698 

206.423 

36.332 


817.320 

206.032 

34.051 


change 


. ear The number of individual sub- first three months. AH three a i wa rd fftt* -warship'. Shago* 

The companies, who account senbers was still .falling by companies arc looking to the killed eight -shipyard worker*, a 
for more than 9S percent, of the almost 5.000 — in -the first three company market for future report published bv the’HtfgHh 
medical insurance market, all re- months of this year, a trend growth. - • •• nnd Safety Executive *aid yifatcr- 

port substantial increases in that has been seen for seven Private Patients Plan intro- ! ^v. . 

group membership, continuing years. , . duced its new plan for company j Started in a' eonihod 

last year’s trend after a period The rising costs of private schemes last week.- and, British j „n a ce 00 W6 lowest duck tif Utav 
when growth was static as a con- medical hospital treatment. United Provident introduced n;„ ow b wl ng twill for the Navy 
sequence of pay policy limita- because of inflation, has meant scheme for small companies Inst g* • Hunter’s Neptune Yard at 
uons. More 'than It. 000 new that contributions have risen and Number. Western Provident Nestle 
members were admitted on com- many people have had to end tends to deal with each company 1 ’ 

pany schemes. their membership. on an individual basis. It was caused by using welding 

r - eqolpincnt hr an enriched oxvm-n 

■ — 1 . — ~ " — — ■■ atmosphere, itself the result of 

I membership changes first QUARTER 1978 an undetected oxygen pipe teak. 

i individual Group Total The re^rt acw^es Swan Hun. 

cnd-Mar. end- Dec. change end-Mar. cnd-Dcc. • change end-Mar. end- Dec. change ter and Telemeter of not t nmr- 
BUPA 335.195 338.859 -3.664 486.503 478.461 +8.042 821.698 8 T 7.320 + 4.578 the men knew of the risks of 

PPP 121.815 123.413 -T.598 84.608 82.6)9 +1.989 206.423 206.032 + 391 OX] IKWI) and ClC precautions That 

WPA 12,806 12.142 + 664 73216 21.909 +UI7 36.332 34.051 +2.281 needed tu he taken. 

_ Swan Hunter, rite report sa>5. 

Total 469.876 474.414 -4.598 594.637 582.989 +11,648 1.064.453 T.QS7.40J 4- 7.050 jg* a rt™vh£^ h.'SRliy^nd’w'rl 

working conditions but. 
standards “were not ennsirionilv 

1 /"% A j achieved’ and thu emnpanyS n»n 

Survey shows 13.4 per cent ssirns...^ n “‘ *■ 

MT Telemeter's general statement 

t • d* -m on safety was “an tnaita|U.-ife 

rise in frozen food sales SSLsSSZs 

cs trine out safety policy. 

I BY OUR CONSUMER AFFAIRS CORRESPONDENT 

| | pol/Pn 

| FROZEN’ FOOD sales increased industry was in “ surprisinelv cent, to £240m last year. . . . j c . 

in vnlmria last rear hilt The rise zoild shanc anrt «alrt »hal there Th«» n.nttinlp viiiiormgrt-ol The aCC»flel1T nappentn .nil » > 


MEMBERSHIP CHANGES FIRST QUARTER 1978 

I Group 

change end-Mar. end-Dcc. - change 

-3.664 486.503 478.461 +8.042 

— T.598 84.608 82.6)9 +1.989 

+ 664 


469,876 474.414 


594.637 582.989 +17.648 1.064.453 T.QS7.40J 


Survey shows 13.4 per cent 
rise in frozen food sales 


j BY OUR CONSUMER AFFAIRS CORRESPONDENT 

] FROZEN' FOOD sales increased industry was in “ surprisingly cent, to £24flm last year. 

■ in volume last year but The nse aoud shape '' and said that there The multiple supermarket 


• in vuiuiiie '*»4i *«* uic nos; auu a«iu nidi iucic a m: hiuiuuic bU^MHdiivci | . t> - ttyu *w n ni|in 

i was smaller loan in 1976. w cre srounds for ooltmUm. chains increased ihcir share lei! >! 

| according to the blest mney of _„. He ,. sa,d -.. t ! 0vvever - } ha \ the . frozen r,md , ner I r^r sevenri ' ho^rs fr^n ^ a h«J 


the industry earned out by ‘the <8row i h nn « necesaanlv n e cent, last war to 40 per cent..| fur scvon, ‘ no “ rs \^" a, y. 1 ; 

; Unilever suVifi I a r>. Birds Eye. m:, ' chp d bv profits rise. The while specialist freezer chains |'| 0W A 


The Iasi known user 


to incentives available in the 
Areas for Expansion. 


Below is a brief guide to the investment incentives Before you do anything, it could pay you to get 

available in the Areas. They apply to companies moving into, in touch first with your nearest industrial Expansion Team, 
or already in, the Areas for Expansion. On tick the box(es) below for the information you want 

Are you planning your company’s future now? and send in the complete coupon. 

Greater benefits are available in Northern Ireland. 


Capital grants 


Manufacturers can obtain capital 
grants of 20% or 22% for new buildings; 
also for new plant and machinery in 
many Areas. 


' ' ' ..... . There had been a drop in dls- the frozen food market. Birds 1 ' ions, althouah he stated ihaf he 

■ to j n {L e * n * chairman posable incune. u decline in the Eye also released the findings o' I dlscunneolotl it from iho supply 

of Birds Eve Foods, said the real value of Food purchased and a new survey mtu housewives’ I on the previous evening." 

~ severe problems for the industry attitude to food prices and nutri-I Aeeordmq lo Swan H\mu*r'* 

<1s a result of the vcse'ahle elut t>on. L a f(> tiperarinq prnct-dures no 

— - -■ 'n 'hn .P(_nnd half of ihe vear. More than half those imer- hose should have been left below- 

9 , VVithin the overall Increase of vt.-wed blamed Britain's niem-!dccks and should certainly not 
H r * * "e r «*nl in frozen food sales, bership of the Common Market j nave been connected. Before tin- 

H ’fie h » 22 esi increase was in Diir- f«>r risina food prices. One in I fire, the men missed thri*e rntif.il 

H ''hasps bv owners of home five blamed th* »rulc unions for ! danger vigns which indieniHl 

I 9 freezers. These rn>« 32 4 oer food price mllirinn. that' Ihc.air contained tou uiuri.i 

9 oxygen. 

_ H -w-fc m.9 I 1 1 • 1 To prevent similar accidents. 

L _ 1 1 British Caledonian plea . "„■? 

I SC I goes to Dell next week ^ rr z™^ 

I BY MICHAEL DONNE. AEROSPACE CORRESPONDENT Hunter, oow par! of the nahoti- 

alised Britinh Slupmiuders. 

M BRITISH CALEDONIAN, the the Sec retary for Trade, usina a I should lntniduce a systctu lo 
g UK “second force" flag airline, Skytram-type no-frills service at monitor precautions on tin* u-t- 
E intends to appeal lo Mr. Edmund a one-way fare -of £84 westbound, of gases. 

g| Dell. Secretary for Trade, next British Caledonian, however. Shiuhuitdcrs should ensure 
B week against the granting of the has said that 11 can undercut that hs little comhustible material 
K London-Los Angeles route licence this by offering ns Stand-By fare as nnssjhle is kept below d**ck< 
A , ft to Laker Airways. of £69 single. It would also , nt i chnuld examine the use of 

tayyou to get I Laker was given the route— offer a 24-hour advance purchase a |iemaiive widlns equipment. 

I FvnsncinnTpsm S arid British Caledonian’s licence ‘Bottom Dollar” larc of £89. 

It expansion ream. g on it rescinded— by the Civil It has held the Los Angeles Thc . ro P° rt ret oni mends 

•nation you want £ Aviation Authority after a public licence for some years, hut considering cUtna uxyjden a 

' MS hearing in London of the two stopped flying the route in 1974, j drstinetive stnell. as in Vienna in. 

9 airlines' ca es. when it went through a difficult' Cnmnienting on the report yes- 

S Laker intends to start Hying patch economically. It is now i icrday. Swan Hunter said it felt 

' IB in Svn ember, subject to con- back in profit— it earned mure: it took every safety precaution. 

SSi &&&* KiMa KBg flrmation of the licence award by than £9.5m last year Tht , cnuip3nv sa td thc report 

. g acknowledged the difficulties «»f 

“ 1 *. /r j m j providing absolute safety on 

□ I Manx cuts income tax $k, b .s &%S?3SX .t 

S rR E ISLE OF MAN is to raise While the i per cent cut in the duties^ "owed* no^onW -to^ite own 
personal income tax allowances standard rate of Income lax ro 21 i employees but afw to those 
| by 25 per cent. Increase the ^ r .. cenl terms r“ employed by others were met." 

T^.hvro M Fami,y ,ncome supplement above year-^i repSUento a switch in Telemeter could not he con- 

H hat in the rest of the UK, and fiscal policy. meted for comments yesterday. 

B cut the standard rate of income \\ is aimed at attracting new Tbe ftre.ori HMS Glasgow, 23 
lax- business to the island. September. 1976. SO. £2 75. 


BRITISH CALEDONIAN, the 
UK “second force" flag airline, 
intends to appeal to Mr. Edmund 
Dell. Secretary for Trade, next 
week against the granting of the 
London-Los Angeles route licence 
to Laker Airways. 

Laker was given the route — 
and British Caledonian's licence 
on it rrsciuded — by the Civil 
Aviation Authority after a public 
hearing in London of the two 
airlines' ca es. 

Laker intends to sfart Hying 
in S:vM ember, subject to con- 
firmation of the licence award by 


the Secretary for Trade, using a 
Skytram-type no-frills service at 
a one-way farex>f £84 westbound. 

British Caledonian, however, 
has said that it can undercut 
this by offering its Stand-By fare 
of £69 single. It would also 
offer a 114-hour advance purchase 
'Bottom Dollar" lare of £89. 

It has held thc Los Angeles 
licence for same years, hut 
stopped flying the route in 1974, 
when it went through a difficult 
patch economically. It is now 
back in profit— it earned mure 
than £B.5m last year 


Manx cuts income tax 


THE ISLE OF MAN is to raise 
personal income tax allowances 
by 25 per cent. Increase the 
family income supplement above 
:hat in the rest of the UK. and 
cut the standard rate of income 
lax. 


While the i per cent cut in the 
standard rate of Income lax ro 21 
per cent is small in cash terms— 
costing about £180,000 in the 
year— it represents a switch in 
fiscal policy. 

It is aimed at attracting new 
business to the island. 




London tel: 01-211 6486 

2 4. he Mr .invwcr-;»rvice for booklet, 

enquiries only. 01-834 2026 



Scotland. 

Glugow. 

id: 041-248 2855 

Wales. 

Tel. Cardiff 621 31 
i.5TD code 02221 
Northern Region. 
7d: Newcastle 
upon Tyne 24722 

l STD code 0632 J 
North Wcit. 
Manehflitsr, 
id: 061-236 2171 
Liverpool, 
id: 051-236 5756 

Yorkshire & 
Humberside. 

Tel. Leeds 44^1 71 
(STD code 0532; 

East Midlands. 

Tel: Nottingham 
56181 iSTD code 0602) 


West Midlands. 

Birmingham, 
tel: 021-632 41 II 
Southwest. 

Tel: Plymouth 
21891 (STD code 
0752 ) or 
Bmtol 291071 
(STD code 02721 
London A South 
East. 

London, 

tel: 01-6032060 
Etc 221 

Eastern Region. 

London, 

tel; 01-603 2070 

£«.t.m'360 

Northern Ireland. 
Tel: Belfast 34488 
(STD codo0232i 
or London 
01-493 0601 


. TH*MUS 
I NIK 

I UHMSIOU 



Interest-relief grants, or 
favourable-term loans. 

Fixed -interest loans from European 
Community funds. 


U p to 2 years rent-free (exceptionally 
5 years). 

Options to purchase on long lease. 
Wide range of new factories available. 


Grants for office rents for up to 7 years. 
Grants for new jobs created within 
5 years. 

G rants for staff moved. 


To: The Industrial Expansion Team, Department of Industry 
Millbank Tower, London SW1P4QU. 

Please send me full details of the benefits available 
in the Areas for Expansion, as I have indicated above. 


POSITION IN COMPANY- 

COMPAf JY 

ADDRESS- _ 



O NEWS ANALYSIS— NUCLEAR FUEL 

Way dear at Windscale 


BY DAVID FISH LOCK. SCIENCE EDITOR 






_ jite 



FT15'5G 


IjjULCj THtCiri HrtlMEI-H Uh It.uujiK: h. jii * ili> rfic jLCian lii-oiomh. PUr.rjriLvtw un jik ad U,c <n 



PARLIAMENT’S ENDORSE- 
MENT of the mHin recommen- 
dation of the Parker report on 
Windscale — namely, that “out- 
line planning permission should 
r»e cranied without delay” — 
.■I ears ihe way for British 
.Nuclear Fuels iu concern rale 
•>nce auain on some rormlriahle 
echmcal and commercial prob- 
lems. 

For a while at least environ- 
ncntul considerations have been 
jut to one side by whai the Guv- 
-rnmont has called the longest 
and most thorough in ve«i (Ration 
jf a project by any country. 

The thermal oxide re-proces- 
sing plant, the EfiOOm chemical 
factory Tor treating spenl fuel, 
which the company plans to 
build at Wintlscaic. ranks ht«n 
among the most adventurous 
engineering projecs to be found 
10 Europe. 

Entombed within massive con- 
crete walls will be an alUiain- 
less plani designed for remote 
control and maintenance; two 
plants, in fact, each of 600 tonnea- 
j-year throughput, to give rhe 
uimpuny extra operational 
security 

The most adventurous pari of 
thj plant will nui be ready for 
tctl years at leasL This 1 $ the 
part which takes the hot. highly 
radio-active acid waste from re- 
processing and cunverts it by 
^lass-making techniques into in- 
gots about 3 metres long and 
rwlf-a-melre in diameter. 

Before the company is ready 
to build this part of thc re- 
processing plani it will want to 
try uut its technology both on 
a “hut" pilot plant and full- 
scale in a mock-up rhai simulates 
everything bui the radio-actlviiy. 

Mr. Jack Tailuck. ihe engineer 
whu lakes, much of the credit 
tor the success or the company's 
gas centrifuge project, will be 
. responsible tor the voiwrucliun 
of the re-processing plant. 

I ills first job is Lo build two big 


storage ponds. 25 Ft deep with 
5 ft thick cuncrcte walls, to store 
tbe spent fuel flowing in steadily 
from British and foreign nuclear 
stations. Here, under water, it 
will “ cool " for a few years until 
its radio-activity is less likely to 
interfere loo seriously with the 
chemistry of the reprocessing 
plant 

These two covered ponds, cost- 
ing upwards of £IU0iu, -should be 
started in about two years' time. 
When ready they will be able 
to hold safely some 3.000 tonnes 
of fuel — five years* ih rough put 
for the re-processing plant 

Construction of the chemical 
plant itself may nut begin before 
1982-83. says Mr. Tailuck. By 
then the company expects lo have 

a con tractors* work farce of 
1.500-1.700 on the Wind»vjl« site. 
Meanwhile u is equipping itself 
with ships which can bring 50 
tonnes of fuel per trip miu 
Barrow, for transfer by rail to 
the nuclear Factory. 

Dowd payment 

Parliament's approval on Mon- 
day authorises Mr. Cun AHdjv. 
chief executive of British 
Nuclear Fuels, to clinch con- 
tracts for re-processing worth 
about £S00m. 

Most highly publicised are the 
contracts with Japanese electri- 
cal utilities, for 1.600 tonnes of 
fuel during the ]9Si)s -These 
contract involve a suhsiannal 
dawn-payment towards the capi- 
tal cost of the reprocessing plant, 
and in addition are “ eosi-ulu* “ 
to safeguard Ihe company against 
unforeseen lerhnieni hiccups. 

Mr. Allday will also be 
re-negotiating overseas contract* 
already signed for another 1.100 
tonnes of fuel, originally under 
taken for a fixed price, but winch 
will now cost the customers 
abuui ten times as much. The 
company was unable jn re- 
negotiate these contracts unrij 
was sure [hat ii would be build- 
ing ihe re-processing planL 


At home, says Mr. Allday. he 
will be pressing the electricity 
supply industry for more procisu 
estimates of its .re-processing 
needs Tor the next decade. 

if. as he expects, these are 
roughly 3.UU0 tonnes during Hie 
I9sue>. be will have spare capa- 
city— at WMJ tonnes per annum 
— for perhaps 4U0 tonnes durum 
the tftSOs. This he will “ offer 
as bail" to the overseas utilities 
whose contracts he now wants to 
renegotiate. 

One thing that three years of 
debate ahuuf Winrincale and its 
plans to import spent fuel have 
made clear is that safety iw .‘•t 1 
need not be a serious worry. 
Seven safety issues were raised 
he f ure. and rejected, by Mr. 
Justice Parker. 

In Monday’s debate lmth Mr. 
Peter Shore, Environmental 
Secretary.- and Mr. Anthony 
Wednwimd Bonn, Energy Secie- 

tary. referred h* prulifuraiioii as 
an Issue let* readily dismissed 
Mr. Shorn made rhe Govern- 
ment's firsi reference tn inter- 
national plans fur storing pluto- 
nium— a nuclear fuel hut al>n a 
nuclear, explosive — separated 
from thc reprocessed fuel. 

He raised hopes that an 
international scheme would be 
worked out fur luanuaetiivni and 
storage of olutonium. Urn* or ihe 
first international plutonium 
stores cuuld well bn ihe heavily 
suarded bunker at the heart of 
Windscale. where Britain’* 
stockpile is already stored. 

Mr. Allday said yesterday that 
the cum puny, in drafting its new 
contracts, had already antici- 
pated that such, a system nf 
plutonium safeguards might 
come into furce llu contracts 
slloitlaied that British Nuclear 
Fuels shall re ia In ihe pUtTomum 
for at least five years. But the 
tcrnit are Ib’vtblc cnuuph to 
accommodate interns Ilona I . sior- 
aw «rrang«u»ni4 without need 
lo rewrite the terms. 



pi i ... ■ — 









Hotpoint know every family’s 
different. 

That's why we make one of the widest ranges of home laundry 
equipment available. And why within thatrange, there are any number of 
settings and programmes for you to select If you want a fast spin-speed you' 
can have a fast spin-speed, which can also be variable. If you want economy, 
try our economy button. If you want to take extra care of woollens, there's a 
gentle action programme specially to do that If you want a choice of wash 
loads, Hotpoint gives you that too. 

Real choice. 

The choice is between top loading automatics, front loading 
automatics, and twin tubs. The three major systems in the washing machine 
market-and Hotpoint is well represented with all three, so we can afford 
to be impartial. You'll also find we have matching t umb le dryers to complete 
the range. When you look around you’ll find only Hotpoint has it alL 


Top loaders - 
where you’re the boss. 

Top loading automatics are America’s 
favourite, because you are verymnch in charge. The , 

Liberator SuperDeLuxel509 has thefamousHotpoint 
Spiraclean no-tangle action. It gives you a choice of 
washing loads, can take any powder, has an economy 
button to save time and electricity. It puts you totally in 
control and even allows you to add the odd sock or 
hanky once the wash has started If spin-speed’s 
important, it spins twice as fast as many front loaders. This 
machine is the most technologically advanced of its type in 
Europe. It’s the ultimate in washing machines and is unique to Hotpoint. 



Front loaders - 

the most automatic automatics. 

Hotpoint give you a choice of three front 
loading automatics - all withReversomatic' " notangle 
action. The new Super De Luxe 1848 , available 
shortly, takes a 9 lb. load and gives you a choice of 
19 different programmes, including economy rinse- 
and-spin and spin only. An important feature is our 
variable spin-speed- which lets you set the speed 
you want anywhere from 400 to 1,000 rpm. This is as 
much as you would ever want with a front-loader, 
and is twice the speed of most. If s worth mentioning 
here that at Hotpoint all our range of spin-speeds are 
specifically designed for each type of machine so that you get both fast and 
dependable spin performance built in. If you're happy to settle for afew less 
programmes, there are two cheaper models to choose from as well 

Twin tubs - 
for real economy. 

come 


Hotpoint twin tubs offer you twin advantages. The driestwashing to 
out of any spinner you can buy arid the chance to make real savings 



on the cost of washing byre-using suds, and saving on powder and 
electricity. The two Supermatics feature 
Hotpoinfs unique Spiraclean 1 action, a filter 
clean tray deep rinse system and free work 
top. And because these machines have a 
separate motor for the spinner they can 
comfortably reach 3,100 rpm. The fastest 
spin-speed of any machine. 


Tumble dryers 
to beat the weather. 

Because certain fabrics can be damaged by 
excessive heat, our tumble dryers have two heat 
settings, and a cool tumble period to minimise 
creasing. To save space we can offer you a stacking 
kit that allows you to place our Liberator De Luxe 
1701 dryer on top of any of our front loading 
automatics. Indeed, it’s been specially designed for 
this purpose. We also provide one important free 
extra-a venting kit, to keep the kitchen clear of 
condensatioa 

Unique free 
installation check. 

To make sure your Hotpoint 
automatic gets off to a good start, simply 
ring us and we'll arrange for one of our own 
engineers to give you a free installation 
check He’ll make sure everything has been 
connected properly and can answer any questions 
you may have about your machine. We’re the only 
Company to provide this service absolutely free and as a matter of course. 

It costs us over £1 million a year, but we believe its money well spent to 
ensure your complete satisfaction 

Service. 

find we mean service. 

We know we give the best back-up service there is 
because we've invested a lot of time and money to make 
sure it is. In addition to the free installation check, every 
machine has a comprehensive 12-month guarantee, 
covering labour, parts and service. And when this 
period expires, we offer special-rate service contracts; 

Our unique Fair Service Pledge guarantees to have an 
engineer round to you within three working days, if 
youneedhim-or wepayforthe cost of his time. 

We don’t rely on magic. 

Our machines are well-designed, well-made and well 
backed-up. We know what you want, and we’ve made them that 
way. It’s not a matter of good luck, or a magic touch-if s careful 
planning and proper quality control, You can trust Hotpoint 
for that 










a iiivui /1 i 17 1 V/ 1 1- I V- u 




Britons 
in Zaire 
‘not 


Tories call for indexation 


of capital gains tax 


BY }OHN HUNT, PAHLLM4ENTARY CORRESPONDENT 


Women’s 

hospital 

debate 


Manchester 


harmed’ 


THE Government has had no 
reports of harm to. British sub- 
jects in Zaire, following the 
reported invasion across the 
southern borders, Hr. David 
Owen, the Foreign Secretary, 
said yesterday. 

In a Commons statement. Dr. 
Owen said that the Government 
was cooperating with other 
countries with communities in 
the area of the fighting, Shaba 
.Province, to ensure the safety of 
the British community. 

The total number of British 
and Commonwealth citizens in 
Shaba was believed to be 171, 
including 24 in the town of 
Kolwezi, which is reported to 
have been taken by the invaders. 

Dr. Owen said that President 
Ka Linda of Zambia had promised 
to give every facility to evacu- 
ated British subjects. 

Some dependants had already 
been down out from a mining 
community and more were due 
to foilow them to-day. 

The invasion was a very 
serious development in Africa 
but (here was no evidence of 
Cuban involvement, although 
there were 20,000 Cuban troops 
in Angola. 

Conservative spokesman Mr. 
Richard Lace said that the 
Opposition would support any 
action taken by the Government 
to protect British subjects in the 
area affected. 

Answering questioners. Dr. 
Owen ss id it was idle to main- 
tain that there was no danger of 
the attacking forces being sup- 
ported by other forces. 

It was vital to watch the situa- 
tion closely to see that it did not 
escalate into a very serious 
armed struggle. 

He urged MPs to look at the 
issue in its historical perspective. 
There was a danger of dhe kind 
of adventurism seen in other 
parts of Africa. 

But there were roots involved 
in the whole question of Katanga, 
and which went back deep into 
history. 


Mf ATTEMPT to index capital 
gains tax so that people would 
no longer have to pay it on the 

paper profits '* which result 
from inflation, was mounted in 
the Commons last night by the 
Conservatives, during the Com- 
mittee stage of the Finance Bill. 

-Mr. Nigel Lawson, a Tory 
front bench Treasury spokesman, 
said, “We have the opportunity 
to remove from the statute book 
a wealth tax which Is masquerad- 
ing as a capital gains tax. 

“It is a tax with a higher 
Incidence than the Swedish 
wealth tax. It falls in a capricious 
and undesirable way, contrary to 
any justice and contrary to the 
economic needs of the country.” 

The Tories were pressing a 
new clause to introduce an 
indexation system which would 
tie capital gains tax to the 
increase in the retail price index. 


They argued that this would 
mean that the tax would only be 
paid on real gains and not the 
spurious gains created by 
inflation. 

Mr. Lawson estimated that the 
Tory proposal would cost £300m 
In a full year. There would be 
no cost in the present financial 
year as the tax on this- year's 
gains would not be levied until 
the next finaryaal year began. 

His estimate was disputed by 
Mr. Derail Davies, Minister of 
State in the Treasury, who said 
the cost would be £3S0m in a full 
year. Mr. Davies estimated that 
£480m was brought in by the 
capital gains tax in total, when 
corporation tax on capital gains 
was included in the figure. 

He maintains that the new 
clause proposed by the Opposi- 
tion was “hopelessly defective." 

Ur. Lawson said that if we 


bad to have capital gains tax 
then it should be levied on real 
gains, not paper ones. 

He recalled that' one of the 
Treasury ministers had recently 
said that out of £390m. levied 
by the tax in a year, 5350m. 
resulted from inflation. That 
meant that only 10 per cent 
derived from genuine capital 
gains. 

He was interrupteUk by Mr. 
Bon Thomas (Lab., Bristol NW) 
who protested that the Conserva- 
tives seemed to be suggesting 
that a £350m. handout should he 
given to the wealthier section of 
society. 

But Mr. Lawson retorted: 
“What we are concerned about 
here is justice” 

He quoted a letter sent to farm 
by a small shopkeeper who 
bought his business for £10,000 
and seven years later, when he 


sold for £34,000, had to pay 
£5,000 in capital gains. 

Mr. Lawson said that a con- 
sultation document from the 
Inland Revenue had poioted out 
the difficulty of deciding on a 
suitable index. Mr. Lawson saw 
no problem in employing the 
retail price index for this 
purpose. 

The document had also fore- 
seen difficulties in writing down 
the cost of a wasting asset, such 
as a lease. Mr. Lawson sug- 
gested that this could be dealt 
with under- the existing system. 

He thought that the Inland 
Revenue had exaggerated the dif- 
ficulties of indexation, particu- 
larly in ithe case of investment 
trusts and unit trusts. 


refused 


by-election 


BY RUPERT CORNWELL, LOBBY STAFF 


Peers revive proposal 
for fewer Scots MPs 


BY IVOR OWEN. PARLIAMENTARY STAFF 


TORY PEERS angered the Gov- 
ernment in Cae House of Lords 
last night by reviving the pro- 
posal that, once a Scottish 
Assembly is established la 
Edinburgh, a Speaker's confer- 
ence should be convened to con- 
sider reducing the number of 
Scottish MPs in the Commons. 

A similar proposal has already 
been rejected on three separate 
occasions by the Commons. Lord 
McCluskey, Solicitor-General for 
Scotland, spoke in unusually 
forceful terms in urging peers 
not to bring the matter forward 
again. 

“ This is a matter on which this 
Undemocratic House should not 
lecture the democratic Chamber," 
he declared. 

But he failed to deter Tory 
peers who secured a nine-vote 
majority for an amendment writ- 
ing a new clause into the 


Scotland Bill stating that a 
Speaker's conference “may” be 
appointed at the request of the 
Prime Minister not less than six 
months and not more than 12 
months after the first meeting of 
the Scottish Assembly. 

Lord McCluskey reaffirmed the 
Government’s commitment to 
maintaining the present number 
of Scottish MPs, pointing out that 
the over-representation of 
Scotland in the Commons on a 
strictly pier capita basis was a 
continuing obligation stemming 
from the Treaty of Union signed 
in 1707. 

“If this is not a recipe fbr 
breaking up the UK I don't know 
what is” he said. 

Lord McCluskey accused sup- 
porters of the clause of using 
nonsensical arguments, some of 
which had made him wonder 
whether be was listening to them 


being advanced in some kind of 
asylum. 

Lord Campbell of Cray, from 
the Opposition front bench, 
underlined the permissive struc- 
ture of the new clause and said 
it had been so designed because 
of the “ delicacy " of the issues 
involved. 


He insisted that Tory peers 
had no desire to “lecture" the 


Commons at all But by includ- 
ing the new clause in the Bill, 
further consideration of a pos- 
sible reduction in the number 
of Scottish MPs in the Commons 
would be assured 

The amendment embodying 
the new clause was earned by 
102 votes to 93. 

The Government will clearly 
seek to delete it from the BUI 
wben the Lords’ amendments are 
considered by the Commons. 


The Conservative spokesman 
maintained that the budget pro- 
posals .to reduce the incidence 
of tax were a “damp squib." Lt 
did not nearly meet the amount 
of tax wrongly taken from the 
taxpayer as a result of inflation. 

From the Government front 
bench, Mr. Davies protested 
that Mr. Lawson bad still not 
told the House where Che 
revenue would come from to 
make up for the last -tax. The 
Tories were merely putting off 
that problem until next year. 

He told the House; “If one goes 
down the road of indexation one 
has to index across the board and 
then one is back in the same 
situation as before. No one 
benefits from it at the end. 

“Indexation addresses itself 
to the symptoms of inflation. It 
is not the cure. It is a kind of 
painkiller and like all painkillers 
it gives you the false illusion that 
the disease has been cured. 

• “Indexation is a dangerous 
thing. It draws attention away 
from the real problem of infla- 
tion. 

“ It is not just and right that 
we should introduce a measure to 
protect one group from inflation 
when other groups would not be 
so protected by the tax system.” 

He objected that the new 
clause said nothing about the 
problem of part disposals or the 
problem of pooling of shares. 


Complaint Reduced imports urged Tories 


on pay 
policies 


BY IVOR OWEN, PARLIAMENTARY STAFF 


A PRIVATE Member’s Bill to 
stop any Government using its 
purchasing power to ecJ+ce 
its policies was introduced in 
the Commons yesterday. 

But the measure— the Govern: 
ment Contracts Bill, sponsored 
by Mr. John Cope (C Glouces- 
tershire S>. has no chance of 
becoming law. 

Labnur MPs did not bother to 
oppose it as there is not enough 
time for it to complete is re- 
maining stages in the present 
session. 

Mr. Cope told MPs that the im- 
mediate example he had in 
mind was the enforcement of 
the “so-called voluntary pay 
policy." 

But the Bill covered any sort of 
discrimination. 


ALL-ROUND co-operation in 
seeking a voluntary cutback in 
Britain's import bill was urged 
by the Prime Minister in the 
Commons yesterday. 

He suggested that “buy British, 
make British and sell British" 
should be the theme of a new 
import-saving drive. 

After speaking on Britain's 
considerable propensity to 
import Mr. Callaghan under- 
lined the important role which 
could be played by the Confeder- 
ation of British Industry in 
bringing the interests of sup- 
pliers and customers much more 
closely together. » 

Mr. Terry Walker (Lab. Kings- 
wood), many of whose constitu- 
ents work for British Aircraft 
Corporation, urged him to ensure 
that British Airways took account 
of the need to buy British in 
deciding the next stage of its 
aircraft procurement programme. 

Mr. Callaghan pointed out that 
one of the complications in what 


was undoubtedly a natural 
instinct to buy British was the 
conflicting interests of British 
Airways, British Aerospace and 
Rolls-Royce. 

The Government- was giving 
careful consideration to all the 
issues involved and he hoped that 
an answer would be produced In 
due course which would best meet 
national needs and safeguard a 
good many jobs. 

In a new dash with Tory MPs 
over forces pay, the Prime 
Minister denied that the Govern- 
ment had sought to discourage 
servicemen's wives campaigning 
to secure a better deal for their 
husbands. 

He recalled that during a 
recent visit to Plymouth, he 
received a deputation from the 
wives of Royal Navy personnel 
and had bad a very full discus- 
sion with them. 

Mr. TVlchoIas Ridley (Con. 
Cirencester and Tewkesbury), 
who alleged that the Government 
had tried to stop servicemen's 


wives protesting about the low 
level of pay in. the forces, also 
attacked the staging of recent 
public sector -pay deals -over a 
period of years. ' 

He called on Mr. Callaghan to 
stop issuing post-dated deques 
“ drawn on the next Tqry Gpvem- 
menL"- ^ : ■ 

Mr. Callaghan retfirted: “"We 
shall he here to redeem all the 
cheques that axe issued.” 

Every part- of thfe community, 
including 'the. services, 

BRITAIN’S arms sales to Iran 
were also defended by the Prime 
Minister. 

“Iran has on her northern 
border a most powerful and 
heavily armed neighbour,” Mr. 
Callaghan reminded Mr. Tom 
Litterick (Lab, Selly Oak) who 
was complaining about the level 
of arms sales to the Shah. 

“There has been an uprising 
in her Eastern neighbour,” Mr. 
Callaghan said. “Iran is, there- 
fore, very properly concerned 
about her own security." 


attack 


NEB 


By John Elliott, Industrial Editor 


AN ATTACK on the. National 
Enterprise Board's derision to in- 
crease its stake in Brown Boveri 
Kent, the process equipment 
manufacturer, was launched last 
night by Mr. Norman Lamont 
the Conservative spokesman on 

industry. 

Mr. Lamont described the 
Board's decision to increase its 
stake in the company to 20 per 
cent, as “ misconceived ” because 
it did not fit in with the 
Board’s aims of restructuring in- 
dustry or providing jobs. 

“There is something funda- 
mentally wrong with the NEB 
gambling with taxpayers’ money" 
he said, adding that he would be 
writing to Sir Leslie Mnrpfay, the 
Board's chairman, asking for an 
explanation. 


MR. GEOFFREY FJNSBERG 
(C Hampstead) today said 
that attempts would he made 
to block all Government 
business until there was a 
debate on the closure, an- 
nounced yesterday, of the 
Elizabeth Garrett Anderson 
Hospital 

He said that he and 
Camden’s other- MPs, Mis. 
Lena Jeger (Lab Holbora and 
St Pan eras S) and Mr. Jock 
Stallard (Lab St Pancras N) 
were united about the closure. 

But a Truest which he made 
yesterday for an emergency 
debate on it was refused by 
Mr. George Thomas, the 
Speaker. 

After saying that attempts 
would be made to block Gov- 
ernment business, he said that 
similar tactics had been 
followed by Mr: George 
Cunningham (Lab Islington M 
in his campaign on the cancer 
unit at St Mark’s, Paddington. 

Government business man- 
agers had eventually bad to 
give in. 

There bad been a breach of 
faith about yesterday's an- 
nouncement as the three MPs 
had been promised they would 
be told before any announce- 
ment was made. They had not 
been. 

The offer to move the 
hospital to the Whittington 
District Hospital was spurious. 
The ’Whittington did not want 
tiie __ Elizabeth Garrett 
Anderson. 

Sir. Bob Mellish (Lab 
Bermondsey) complained that 
Mr. David Emu Is. the Social 
Services Secretary, had not 
had “the courtesy to come 
and listen ” 

The hospital — named after 
Britain’s first woman doctor— 
is one of only two hospitals in 
Britain where women patients 
can be treated by women 
doctors. 

Patients and staff hare been 
campaigning for four years, to 
prevent its closure. 

• The Government has no 
intention of closing or funda- 
mentally changing the role of 
any of the London teaching 
hospitals in the near future,' 
peers were told yesterday. 

Government health spokes- 
man Lord Wells-Pestell said 
Mr. Ennals had just launched 
a study of long-term hospital 
provision in Inner London, 
taking into account, the con- 
tinuing fall in the residential 
population and the need, to 
support medical teaching. .-.V 

However, it was. too soon to 
forecast what the outcome 
would be. ! 

Lord Green bill of Harrow 
had asked for a statement to 
allay the anxiety about the 
teaching role of Kings College 
Hospital, caused by recent 
Press reports commenting on 
the reduced budget Cor 1978 to 
1979 of the Lambeth, South- 
wark and Lewisham Area 
Health Authority (Teaching). 

Lord Wells-Pestell said: “ As 
far as Kings College Hospital 
is concerned, it Is well sited in 
relation to the population it 
serves and there is no inten- 
tion in the near future to 
change its location or its role.” 


THE death yesterday uf Mr. 
Frank Hatton. Labour MP for 
Manchester Moss Side, faces the 
Prime Minister with the prospect 
of another finely poised by- 
election, which could _ have . a 
crucial bearing on the liming of 
the next general election. 

. Mr- Hatton, who died at 56 
after a long illne.sa. won the seat 
at a by-election is June, 1973. 
and retained it at the 1974 
general elections .with .« 
majority of 4,111 votes. 

To triumph this time, the Con- 
servatives require a ' swing of 
some 6.4 per cent, a figure in 
line with the load which recent 
by-elections suggest they enjoy. 

Failure, therefore, at Moss 
Side would be a big disappoint- 
ment for the Tory leadership, 
and a nasty blow to morale 
before the election. 

For Labour, too, the result will 
be of great importance. To hold 
the seat would be further 
evidence of the steady recovery 
in the party’s electoral fortunes 
this year. 

But if it loses, Mr. Callaghan 
will have another strong reason 
to delay going to the country 
beyond October, the present 
most likely date. 

Mr. Hatton's death reduces the 
Government’s strength in the 
Commons to 306, and puts it in a 
minority of 17 to all the Oppo- 
sition parties combined. How- 
ever, the backing of the 13 
Liberal MPs means Mr. Callaghan 
is safe in any vote of confidence. 

The next by-election to be held 
will be at Hamilton in Scotland 



Mr. Frank Hatton 


May 31, where Labour vttj 
be delighted if it fends off a 
powerful challenge from the 
Scottish Naiibnalitfts. 

The timing of the Mass -Sid® 
contest will be tricky for the 
Prime Minister. Apart from 
holiday considerations, to post' 
pone it until beyond July would 
invite the risk of a bad result 
nut long before a possible 
general election in the autumn. 

General election result 
October, 1974: 

Hatton E. (Lab) 15,212 

Lee 4. (Con) 11,101 

Walla* W. (Lib) . 5,886 

Labour majority 4,211. 


Rural bus survey 


ready in 3 years 


BY LYNTON McLAIN 


A SURVEY of rural bus service 
needs in Britain will be finished 
in three years, the National Bus 
Company told a Commons select 
committee yesterday. 

Under the Market Analysis 
Project, studies have already 
been carried out in Hereford 
and the Midland* and the results 
used to design new rural bus 
routes. 

The latest surveys, which are 
going through .“very rapidly." 
will involve three teams covering 
three areas each week, according 
to Sir Frederick Wood, chairman 
of the committee. 

"They will- try to define net- 
works which : will serve rural 
communities and operate within 
the funds available from fares 
or supplemented by guaranteed 
amounts of revenue support from 
local authorities. 

The National Bus Company 
operates 3,700 buses from 290 


depots and garages in English 
and Welsh towns and village® 
with a population of under 
211,000. 

The company said yesterday 
that only two of the IS rural 
com unity projects given in 
evidence to the Commons com- 
mittee were viable, and one of 
these was operated by unpaid 
voluntary drivers. 

Where professional drivers 
were used, total costs in all but 
one ease wuuld be very much 
greater than total revenue. 

The difference between cost 
and revenue met from public 
funds was high in relation to the 
number of passengers using the 
service. 

The Market Analysis Project 
in Hereford, however, had led to 
off-peak rural “ midibus " ser- 
vices which were now viable 
after integration with the exist- 
ing bus services. 


Political competence 


of MPs queried 


Pu re I fighland Mall 
ScotchWhjskv §§§ 


Is it the sofl^gentle water from the 
Speyside bums? The rich Highland barley? 

a The smoke of the peat? 

The eight mellow years of ageing? 

Yes it is all these-and something more 
that make Dufftown Glenlivet a malt 
of great quality and character. 


WOULD MPs pass the test of 
“ political competence " which 
has been proposed for ll-ltvyear- 
olds. Miss Janet Fookes <C. 
Plymouth Drake) asked the Com- 
mons yesterday. 

“ What is meant by the expres- 
sion * political competence.’ and 
would we all pass the test? *’ she 
said. 


Mrs. Shirley Williams, Educa- 
tion Secretary, said she was 
tempted to reply but had no wish 
to insult the House. 

Mr. David Knox (C Leek) had 
asked what action Mrs Williams 
was taking to persuade schools 
to include political competence 
in the curriculum,, as suggests! 
in working papers by tbe Inspec- 
torate. 

Mrs. Williams said she sup- 
ported study of our pulitical in- 
stitutions but it was for local 


education authorities and schools 
themselves to decide whether or 
not to adopt the suggestions. 

Her department had sought in- 
formation on steps which authori- 
ties had taken to help "schools 
promote the - development of 
pupils' understanding of contem- 
porary. economic, social and 
political life.. 

Mr. Knox said that most 
schools were failing to give 
children a political education. 

While not wishing ~ to indoc- 
trinate children, such an edu- 
cation was essential if they were 
to have a well-informed and 
responsible democracy, 

Mrs. Williams said she Imped 
schools would look at the work- 
ing papers. Agreement between 
politcal parties in 1973 under 
the aegis of the Hansard 
Society, had set out some very 
useful ways of teaching politics. 





COOK’S CAIRN 


BEN RINNES 



CAIRNGORMS 


.CORRYHABB1E 



BUCK OF 
CABRACH 




Public school choice 


river 

I SPEY Wm 


CRAIGHEAD INN 


Ba+Heof 

Glenlivet 




g? PITTYVA1GH ■ GLENLIVET 

$ DISTILLERY 


1 


BALUNDALLOCH . 
^rv-=r»7 CASTCE. 








mm 




33^ 



AMID Tory jeers in the Com- 
mons yesterday, Mr. Bruce Gro- 
cott. (Lab.. .Lichfield and Tam- 
worth) called for public schools 
to be incorporated into the com- 
prehensive education system. 

“Taking into account the fact 
that 62 out of 74 High. Court 
judges, the overwhelming 
majority of leading industrialists, 
civil servants, diplomats, news- 
papermen. military-men and some 
211 out oF 2S2 Tory MPs all went 
to public schools, isn’t it time we 
scrapped the. system and gave all' 
our children an equal chance?" 


he asked. 

Mr. John Stokes (C. Halesowen 
and Stourbridge) . accused Mr- 
Grocott of wanting to abolish 
everything that was good in 
England. 

The country ..needed .a spirit 
of leadership and' service which 
the public schools -provided. 

Miss Margaret Jackson, Educa- 
tion Under-Secrvtary. who told 
Mr. Grocott - there were no 
present plans to scrap the public 
school system, said the country 
was already getting leadership 
and service from the Labour 
Party. 


New audit Appeal to 


committee accountants 


BALVENIE i 


By Our Parliamentary Staff 




Idufftown-glenlivet 

g U DISTILLERY 


House Of ' 








M 




• i /r - 






MR. PETER SHORE, the 
Environment Secretary, hsi 
night announced the setting up 
or a new advisory committee oo 
local government audit. 

In a Commons written answer, 
Mr. Shore said the new body’s 
forms of reference would include 
considering the annual report of 
the Chief Inspector of Audit and 
any questions arising from it of 
general public interest or con- 
cern. 


By Our Parliamentary Staff 


FROM THE HOUSE OF BELL'S - AN INDEPENDENT SCOTCH WHISKY COMPANY 


. Jh e committee will have an 
independent chairman, three 
independent members, and five 
members from nominees pro- 
vided by Ihe \ local authority 
associations and the GLC, 


MR. EDMUND DELL, the Trade 
Secretary, yesterday called for a 
prompt response from thn 
accountancy profession to tho 
recommendations or a Joint com- 
mittee appointed by the 
accountancy bodies to consider 
UH? Cross Committee's proposals. 

in a Commons written answer. 
Mr. Dell, said the joint commit- 
tee was to be congratulated oh 
the speed and thorough ness- with 
wh-rii they had done their work. 

The recommendations required 
careful consideration by all con- 
cerned, but he was sure the pro- 
fession would ^respond promptly 
and responsibly to the very sig- 
nificant lead which the report ha* 
given.*’ 


W 



lm I 
L \ul 


[ L. 









■_ •. - «. • > 



« < J /* 




; s V 
* 'U 
c 




F&wsicial Times Wednesday M?y 17 197& 


LABOUR NEWS 


Professional civil 
servants give 
Phase 4 warning 



Boilermakers’ chiefs 
face merger attack 

BY ALAN PUCE, LABOUR CORRESPONDENT, IN TEN8Y 


Police seek 
big rise 
‘to halt 
the exodus’ 


BY OUR OWN CORRESPONDENT 


BY PHILIP BASSETT LABOUR STAFF IN EASTBOURNE BY AtAN PUtE - LABOUR CORRESPONDENT, M TENBY By Pauline Clark, Labour_Staff_ 

BY PHRJP bassctt. labour STAFF, in EASTBOURNE MR . JAHEg jaRDINE, chairman BY OUR OWN CORRI 

PROFESSION AL QVIL servants not be interf erred with were also LEADERS OF the Boilermakers* and Plumbing Trades Union. By comparison, says the the t W4OTM - . 

yesterday pledged their opposi- demanded by the conference. Amalgamation face a tough fight were concerned when the boiler- motion, all work by the Engineer- federation, said jesteroaj tnai THE SEAMENS union 
tion to any fourth phase of Mr. Cliff Crook, for the execu. tomorrow, to prevent delegates makera’ group began talks with mg Workers' Union was “kin- the federation was looking for pursue a policy to slop 

incomes policy which did not live, said that the Civil Service to thei rnational conference kill- the General and Municipal Wor- dred to our work." with boiler- a ' very substa J?, increase convenience ships and 1 

apply equally and effectively to would not tolerate any inter- ing hopes of a merger with the Iters’ Union. makers working alongside mem- in pay from the Edumund Davies of cheap foreign labour 

both public ana private sectors, ference in the unit “To try to General and Municipal Workers' The Engineering Workers’ bers of its engineering section Committee inquiry, to arrest a British sector of the Noi 

Lord Peart, Lord Privy Seal, interfere with it again -would Union. Union has made a general in shipyards and engineering continued nigh loss of manpower The decision was taker 


‘Convenience flag’ 
ships opposed 
by seamen’s union 


eer- Federation, said yesterday that THE SEAMEN'S union is to of cheap foreign labour on off- 
jyjj. the federation was looking for pursue a policy to slop flags of shore inMalkiuon* in the British 
ji ’ a “very substantial" increase convenience ships and the use sector of the Xurth Sea. 
iem- in pay from the Edumund Davies 0 f c-heap foreign labour in ihe Mr. Bjsarc said that most jobs 
i Committee inquiry, to arrest a British sector of the North Sea. in the North Sea could be filled 


told the annual conference of the militate the .greatest action the The executive which wants to amalgamation appeal throughout shops, its construction section of £rom 016 *? rce - .. 
rastituhon of Professional Civil public sector has ever seen.** | continue amalgamation talks th eengineeriog industry and if site work and its white collar Mr. Jardme said 


continued high loss of manpower The decision was taken at the from among th*.- unemployed. 


Servants in Eastbourne that the Lord Peart told the conference i opened last year, feces criticism the merger proposal is rejected section in drawing offices. 

C 1 ™ Service unions generally, that the fair comparisons prin-[ from delegates who do not regard by delegates tomorrow, it can be Mr. Hepplewhite said that to 
““ tiie institution in particular, ciple as the basis of pay deter- the union as a suitable partneri xpected to step up approaches stand a chance of coming through 
had acted responsibly is show- initiation was “irreplaceable." for the craft-based boilermakers*' to the boilermakers. me bleak period facing ship- 

tog great understanding of the Fair comparison protected tax- group. „ building. Britain must demon- 

produCed M efficient Mr ; David Basnett, general Interests strate to the world that it had 

a gj kse, . . *, sssaa ». «<**«**., ** s^^ us “* ”° st — 

policy by the traditionally cod- deal" 1 iwhitn fhw? rp-Mitprpji addrpss thp Tpnhv ^rmfpr^nM man of the Boilermakers Amal- 


still leaving the force at the ( Aberdeen yeslerdav. 
rale of 20 a day after the loss „ ha .V 


situation will ever change." 

He told the federation cOn- 


pdicy. by the traditionally con- deal " when they re-entered pav address the Tenby conference man of the Boilermakers’ Amal- . * ference in Blackpool that he was ! b J al “* In another 11101 c. iIcU-lmIvs in- 

S ^T ra ? Ve IasUtl l£ l0 . Q ’ which up to research settlement in 19S0 and before a decision is taken. A gam ati on executive, told the con- 80 treating pay and the independent of derami n*^ £Stinna? S fla" s,rucled lheir °Hicuis nn the 

now has supported Government saiditw^s particularly important merger with the Boilermakers ference yesterday that the future the h g ^ ^L. St 1 d ^ °- f ? uaJlty inquiry under Lord Edmund of negotiating panel of the National 

guidelines on pay, means that that .their w- was right would provide his union with a of the trade union movement in our workman ship and that we Davies as highest priority .j* 1 “J 1 f Maritime Board in return iti free 

three-quarters of civil servants valuable core of skilled workers would best be served by amal- put our backs into the job — Eh3t because the outcome would Scottish ports unhindered. collective bargaining. 


.. I annual conference of the ^ Acainst plat form advice that 

police were j National Union of Seamen in ^ would discriminate: j£jin>t 
“ ‘ berdeen yeslerdav union organised foreign nhips. 

The delegates also voted to delegates also passed a motion :u 
■ess for the exclusive employ- “f l “!’ ve - n OT . ,, ,f , ?^f" 1 

ent of British seamen in all °' Br, i h . soam . en in . al1 r “ r< *‘.=P 
u .,rL-,n U nut « a S vowels working from British 


Mr. Harry Bygale. Aberdeen Warned 


XLSZJV'S! «w7t« iSteSW - ■&£££ 

guidelines on pay. means that u , 9 . -j-w* 

three-quarters of civil servants W ***" *** waS ngM ‘ 

are now formally opposed to , 

some for mof Phase Four and AHOWaDCe 

that a clash over public sector _ . . __ . ... _ 

pay- in the next round looks The servme had faced thepros; 

inevitable. pect of enforced (redundancies of 


and make it by far the most gamation. l * we m axe a deal, w< 

important grouping in shipbuild- The discussions with the and deliver on time. 1 

ing. General and Municipal Workers’ __ 

Of 15 original motions tabled Union were in the best interests 


lnejiiaoie. that other industries had ^ or tomorrow’s debate .only two of members and the movement, 

®‘ cker l lke '. for suff^d hii tife fhr ^ ve Qualified support for the “ It is my sincere hope that when 

union s exectuive comnuttee.said e ^: JjLoLS Promotion merger. Many reject any sug- reported to you in the course of 
that avil servants had not been gestion of joining Mr. Basnett’s this week, these discussions will 

fairly paid since 1875. Since ° servi^had chned union and u merger with receive the endorsement of con- 

then. on the matter of pay we but long-term career prospects tie Amal '^ tTnin ^ nf F , n . ference." 


deliberately and had not hen harmed. 


callously discriminated again^.’’ craft unions in the engineering describes the General and of the National 'Union of Bank immediate implementation of the (port and General Workers’ Union. European parity. 

£' V jI ^ Municipal Workers’ Union Employees in Jersey has been Government pledge to accept which could make the greatest Referring m fn-e e.illecme 

l5 1 ^ en i JDd J One composite motion says membership as predominantly postponed for a week to allow the committee’s findings, which 'contribution by nut servicing tbe bargaining. Mr. Slater -a:J: 


the Amalgamated Union of En- ference.* 1 
gineering Workers and other One 


put our backs into the job— -that because the outcome would Scottish port*; unhindered. collective bargaining. 

if we make a deal, we stick by it largely determine if ihe police Not only Liberian and Pana- gul Mr. Jim "Slaler. the 

and deliver on time.” service could carry on fighting manian. but also American and General Secretary. *airt several 

the war against crime. Canadian boats should be con- times that ho wmi'ld n->t negotiate 

The police looked to the com- sidered flag of convenience ves- ■■ confetli money" jlthougii he 
Tlft-nlr r f-;t,_ mittee. expected to report sels when they paid less than wanted the eiul i.f wage 

Ddliii. oil like shortly, not only for a sub-|the going rote in their own restraints. 

. st'antial increase but for pro- j countries. The cunferem-e also agreed :n 

OOSlDOned posals to ensure the advantages! Tbe oil industry had added lu seek a harmunisaiu.in r-f Eun»- 

Jr v ' VP were not whittled away, as in < the old problems. Appeals should pcan waue rates fur all EEC si*a- 

A ONE-DAY strike planned for i past experience. I be made to the Merchant Navy furors, but threw nut a 


money " jithougii he 
the end of wage 


their own restraints. 

The conference also agreed :n 


motion, however, today by clearing bank members! They -would 


for officers, engineers, and the Trans- for industrial aclmn tu achieve 


0ne composite motion says membership as predominantly postponed for a week to allow 
percent from 1975 to April 197/. tishmtid not be a part of any pay amalgamation with any general workers— “for example further negotiations with the 

hut the bill for scientific officers settlment. . _ union other than tbe latter gas workers, dustbin men, banks. 

had gone up m the same period A motion to press the Govern- would “eventually mean road sweepers and other local The dispute is over a demand 
by ..°." ly I4 ' 3 . per ce . nt .. . ment completely -toreapproise its su i C ide.’’ council workers”— with rates of by Channel Islands’ clearing 


,!r. Jardine said was 


eement reached when police! 


the l flag of convenience boats. 


“What we have got t»i di» to 


addition Government negotiate fur money thjt ts ymn-g 


eventually mean road sweepers and other local The dispute is over a demand decided to accept a Phase Three > appointments should not use flag m buy something in the shops. 


last autumn. Negotiating of convenience vessels. 


... - _ ■ . ., kuuuui nu.na.a Vi kubuiki HMOUU9 (.ICHUUX LUC l«3l dUtUIUll. nccuuJUIIS iUIHCIU 

we must resolve that never programme for civil j Leaders of the Engineering pay and conditions far below bank staff for negotiating rights machinery coming out of the Bygate said. 


again wiU be passively accept the servants was carried overwhelm- workers’ Union, at present in those enjoyed by Boilermakers separate from mainland 0 agree- report 


double dealings over pay that ingly. 

bave been inflicted on us 'in tbe • Mr. Tom McKeon. president of 
past three years." the Inland Revenue Staff Federa- 

The conference unanimously tion, told the union’s annual con- 
opposed the introduction of cash ference in Scarborough yesterday 
limits as pay curbs and carried that onlly a great deal .of goodwill 
a demand for tbe findings of the from the Government and the 
pay research unit to he imple- Treasury would enable co-opera- 
merited in full in the 1979 settle- tion from union members on 
ment. Budget work and departmental 

Guarantees that the unit would reorganisation to continue. 


merger talks with the Electrical m embers - 


guarantee 


f convenience vessels, Mr. Anything iliat uro obtain for our 
ygate said. members has !»■ be nf value and 

Delegates also agreed to take we are not suing to obtain cun- 


1 integrity of pay scales in future. I all necessary steps to halt the use fctti money.” 


US BOOT IS AS BIG AS ITS BONNET 


Bid for Grim wick 
survey continues 


BY OUR LABOUR EDITOR 

IN SPITE of its latest rebuff 
from Mr. George Ward, manag- 
ing director of the London film- 
processing company Grunwick, 
the Advisory. Conciliation and 
Arbitration Service is to con- 
tinue to try and survey workers 
there about union recognition. 

Bound by law to pursue a 
recognition reference from the 
Association of Professional, Exe- 
cutive, Clerical and Computer 
St3ff, AC AS could now consider 
interviewing workers outside the 
factory. 

Mr. Ward refused in a letter 
to ACAS yesterday a request to 
distribute questionnaires under 
tbe supervision of Grunwick 
solicitors- 

He said that in the present 
climate of “ anxiety, fear or deep 
dislike” for trade unions and 
ACAS. such a survey could have 
** ruinous consequences ’’ for the 
company’s industrial relations. 

His reply, the latest chapter 
in a 23-month saga which has 


involved the Law Lords and a 
Court of Inquiry, revived com- 
plaints by Labour MPs yesterday 
that the Government was not 1 
doing enough to support pro- 
posed changes in tbe law that 
would compel Grunwick to co- 
operate. 

Mr. Ward said in his letter to 
Mr. Jim Mortimer. ACAS chair- 
man, that the employees did not 
want their names and addresses 
given to ACAS and wanted no 
further survey. 

He referred to the “truly in- 
credible situation. relating to the 
proposed balloL “I am not able 
to tell our employees either how 
many aTe participating in this 
ballot, or what percentage will 
constitute victory or defeat for 
APEX.” 

ACAS' council. including 
employers, union leaders and 
academics, -will consider the 
Service’s plan for breaking the 
deadlock next month. 





V . 

J •' - -• , • . ' 

f «' • ** • :.<* ■: . . 

If ..■■■'■J- ■■■' . ... ■ ■ . • . 


Fortnightly ‘dole 5 plan 
attacked again 


THE Civil and Public Services 
Association said yesterday that 
it would continue its fight against 
a scheme to pay unemployment 
benefit fortnightly. 

The statement came after a 
Commons written reply in which 
Mr. Albert Booth, Employment 
Secretary, said that the Govern- 
ment planned to continue a 
pilot scheme. 

The association said: “While 
disappointed that the. Govern- 
ment has not abandoned its 


plans, we are pleased to hear 
that those plans have been 
postponed and we will challenge 
the continuation in the pilot 
offices. 

“ We are still deeply con- 
cerned at tiie effect on the un- 
employed: if the scheme is 
finally introduced, as well as al 
the loss of 1,000 jobs in the 
benefit service and repercus- 
sions in the Post Office by the 
reduction in the use of postal 
facilities and Giro.” 


NUPE seeks merger talks 


BY OUR LABOUR STAFF 

THE 650.000 member National 
Union of public Employees has 
decided lo approcah the 200,000 
sirong Confederation of Health 
Sen-Ice Employees for merger 
lalks. 

NUPE’s annual conference in 
Margate agreed yesterday to 
launch a campaign for the for- 
mation of one union for 4,500.000 


public service workers. Mr. Alan 
Fisher, the union's general sec- 
retary, backed the principle of 
one union for one industry. 

Union delegates urged a more 
forceful campaign against public 
expenditure cuts. They also, 
agreed not to ban members of! 
the National Front from the. 
union. 


Leyland strike call backed 

BY ARTHUR SMITH, MIDLANDS CORRESPONDENT 

BRITISH LEYLAND toolmakers strike on June 12 called by the 
L°"SM<Jsc. Birmingham, who 

are seetmg new at ,he “ant rated again* the 

rights to improve their status strlke Most were prepared to 
and differentials, voted yesterday stage an all-out stoppage if 
to support a one-day unofficial necessary. 


Open the bonnet of the Lancia 
1600 HPE and you are confronted 
by an impressive sight A distinctly 
eager-looking 1600 cc twin-cam 
engine (with aluminium 
head and twin-choke car- 
burettor) which, on closer 
inspection, can be seen to 
drive the front wheels. 

Clearly, you are notlook- 
ing at youraverage, run-of-the-mill 
engine. 

This is confirmed as soon as 

, , _ The Beta High Perfo 

you sit behind the wheel. 

You quickly find that you are in charge of 
quite startling performance. 

The top speed is an academic 108 mph. 
The acceleration, through a 5-speed box, is ex- 
hilarating. The handling, helped by all-round „ 
independentsuspension, and 4-wheel disebrak- 
ing,is superb. 

A closer look at the interior also suggests 
that you are in a most unusual car. 

There is a complete array of instruments, 
including rev counter, oil level, oil temperature } 
and oil pressure gauges and quartz clock. 

The accommodation is for five, with integ- 
ral headrests on the front seats and wrap-round 
rear seats with tons of leg room, front arid rear. 

The upholstery is luxurious, hardwearing 


.• ■; j — ... ' *" > Y C 


./*' . -.i. j- 

/ ■ /'• : 7- f :r,\ 


■* . ■" \ 


l# $ 


_ __ . .. ....... 

The Beta High Performance Estate Range: Beta 1600 HPE (as illustrated) - £5,025 J 5? Beta 2000 H PE - £5.438.16.” 

barge of doth (though you can have PVC if you prefer). 

The biggest surprise comes, however, when 
08 mph. you open the rear door to find that the sleek, 
ox, is ex- quick HPE is, in truth, a practical estate car 
ill-round „ with up to 42 cu. ft. of luggage space, 
isebrak- Although the rear seats look continuous, 

they are, in fact, separate. You can fold both of 
suggests them forward, or j ust one to carry a long load 
and a third passenger, happily side by side, 
’uments, ? So you see, a Lancia 1600 HPE is perfect 1 
perature f for someone who would like a sports car but 
"k. needs an estate car. 

thinteg- Simply buy thebonnetfor 

p-round the sport and the boot for the 

SIS 6State - The most Italian car. 

W earillg Lancia (England) Ltd., Alpertoa Middz.TeL* 01-998 5355 (24-hour sales enquiry service). 



^Prices include VAT at 8% and car tax. inertia reel seatbelts and deliveiy charges (UK mainland). but exclude number plates. 

Prices* of other .Lancia ranges startat.’Beta Saloons -£3,292 38; Beta Cou p& - £3. 760^8; Beta Spyd ere -£4.959.63. The Beta Monte-Carlo costs £5.927.22. 


WHERE TO THE LANCIA BEIA RANGE: 


BUILDING SOCIETY 
RATES 

Every Saturday the Financial Times publishes 
a table giving details of Building Society 
Rates on offer to the public. 


For further details please ring . 
01-248 8000 Extn. 266 


AJnwicJR WilSBu.Swflpfc Mulyi 
TH 0665 

Ashford i Mid* | : Uteham Gjjjge. 
Tct«4iW1 

Artasbury; Bkdtow Motors. 
T?tOW44S32S 
Banbury; WNro Horse Garage. 
■w:cig»v:eio . 

SaiUfla; E. A Graraeed & Son. 
Tr»-0I-!4454&1 
BasingnoMi Clover Leal Cars. 
THClMas*® 

Bedford; c> Valley V-o;ors. 
TrltCWWei 
Bkigtey: Jovco Moms. 
TH097663566 
Bimiinqhain: Colmo >0 Dopoc. 

TettKM WiiOOl 

Bimdfcrd: Embif/n SpW3Csts(U.K.J. 
Tef.025S33368 
Bolton: Partes ot Bolton. 
THOXW3J323 

Bournemouth: Modern light CMS. - 

T«fc0202 333DJ 

BrtgMore 

tShoraharaJ .Tol:079 1 7 El 3?3 
Bristol: OsrmnonBl C^s Clifton, 
■6*0272 371*9 
Bromley. Ncnraod * BiMrtey). 

Tel. 01 -4(0 1 194 
BvrgtM H8h Titeys (Sussex]. 

CamMUge-'Mibis & Son. 
Te£072acV761 
Camforth: Chari* OeW. 
TeL(»2473:J60 

Catorfiam: Cheowman & Edwaidr. 
Tet22423®& 

dratanhane Swindon Road SeoHce 
Sradbn, Tot 02-15 »J67 
Cheater; fled Rose Mows. 
J«tCOM3U«M 


Chidioaar. Swan Giage. 
TH.U2«S73?7i 

Cl aa di orp aa. Ojnd Short Votoa. 
Tsf W75 C5S95 
CalofNSMn D. Salmon Cms. 
Tet05Dt.J«55 

Denham: Cfftham San, ce Station. 
Ter 332^345. 

Derby: Mar* Pn retard Motors. 

Tct0337«*W 

Doncaster 

TriOXCeWtiJ 

D or Ch e ste r: Tice S Burton. 

TaI 

Durham Ci^-d^o Scmu Slaticn. 

TH 0388 S14 671 
Eaetar E rtnutoih Garaxi 

Exmouifc f ^mndi Gj^gas. 

Tel' 039 o2 735^3 
Fjf ehpn r HjcKa ds. 
let 0r« 8281 1 
H5&a«on«:J p. Ron. 

T« Linage (0303) 8621 13 
roma* BowcTfoion. 

Tel ON 382 3055 
GBSaghom AuioratJ- S 
TetVledAO/ (06341 53333 
V/janttiMtCos 
TbJ OC624130D9 
DuiklAud: B unor , «. 

,T^OW3 80751 

iS3SS^"- a * ,CmL 

Hatfield: C Wb/Autas. 
let 3071228 

Sev “ S:jJ ’ Qn - 


lofwtch: GoK Garage. • 
TeMH73?B37T 
Kedihworth: Mi'Sai Br«. 

7N 33073 

Kettering: Btuohiui Motori 
1-;i ’WCM 

Krddermfnsier; Colmara Limio.- 

T-l LT562MC1 1 

Kings Lynn: Hill & Osfcoira. 

T-:lu5533M‘yi» 

Leeds: ‘ i>f Kbiia 

1 ■' v55'.'L3441B 
Leicester. Thurruv C^rjoe. 
i-.i Ub3jJigi43 
Lincoln' rV.yi A> ernfen*. 

1-.i 1*53 ;.t 
Liverpool: Bo»ion 
Jrt <1433 

LOUDON 

N.W.7: Mautiee Ffawr. 
l.tOI 9536991 
S.E.T: VVjKrloo CjuLjge. 

01 192.1 

s£.n : I &m«e or*,] Q.B. Auae 

TyUjl- 7 358S*B . 

S.W.1: MwVtbflentan. 

W. 01 3587918 

8.W.7: i Service oily) Fbtor Panel: 
8 Pjranjff T«-0l-373?0te 

S. wnO: LwiSiwet Tutut-SrOit :* 
S W.1 ft ' H'lL Tni r n Mg 

W.t: Ga: . 

T. I 01-^365418 

W.4. The Chr«HKid Flag, 
lit 01-9950022 
W.ft i Service only) ChipS'jf ^ 
S-raraton. Tnl. Ol.. 749 7387. 
long Hanboreugh: Houorebf 
Honb« 6 <i(Jh.Trt 0963 BSZZI 7 

MaWteihead: Deta Mow Ca 

1tA.Ooi83iboO . 


Manchester: Sports Mo’cis. 

Tel lV,1 2Jj 33? =. 

MansTiaU-. l.loraan. 

Tel 0623B10330 

Newcestla-upon'Tyne; livirie Molori. 
Tel 083? 774891 

Northampton.' bKii jli:e-»r hCvn^. 

T<Kw>Sj878> 

Norwich: Pi>iiT 2 e Minor Ca. 

V 06U3 -? XS 

Notlrngham: E^ch*?n Motors. 
Oxford: J. D Ejitijy. 

"i'I" C'Ar,[. ■ irtlJ-l 

Paignton: Ro-i^j u<iw 
WW »£■«*.: sa 
Pangboomo: Ju*.gn. 

Tf ■•fjJ.'XU j ■ 

Peter b orough: f-i wouch Aults, 

Tv! i72353uti 
Plymouth: R Hciwt 
>L U76277I173 
Romsay. Rulto, ri pomity. 

Tat 0784 51316') 

St. AnneK-or»-Sea: C h'ji tfi Rud 
Goi^e Tijl 0253 7.'o479 
St Ives: Ou-vValhr? Moi-ri. 

T.i t-'iiOK’iHlI 

St Leon aids -ort-Saa. i:ul ^:lvkl- 
l:rf>di3"<Sr I PAIi ’ T^.'"i;:4 
Scarborough: MiVm 43^ cir r. 

T.4 0723t*li;i 

StietfMd;- •'«Jxn Mjiih -. 0 . 
jvi v7jg 52465 

Sherborne: Cn.itfc Garages iSrercune). 
Td 093581 52«2 

Southampton'. Modem L»atn Cuts. 

TH' 070332828 

Southend: Thorpe Bay Auiqcohil 

TN 0702 508200 

Stanasd: Tht- busied Motor Co. 

Tel 0279812535 


StocfoononTeec: D^on a Ur.'. 

Tel IA.42 ‘."jI f-J ’ 

Stoke on Trent '.i h R-. W 

fKAbe-l T-_.| d76:.'02 l- 
Stmford-orhAvon: MiUji Bros. 

Trt i_i7F.9i.8AJf. 

Swindon: D«* ttMCkfol Cj! >>. 

l-.L v y.V.'H 

Taunton: I', f-pgrls. 

T< I 1 ,'S; I 

Telford: Y>.. v-rn'.l"". 

lei i*i«l5?r.!0VSI 

Theydon BoiK Vfood fi fcrail.-na. 

l-JJWiSBI 

Tmro: P'j.rrfl Piw 

i-.i I,*’:' hu:- -17 

Tunbridge Wells; G. ETunN.r'w. 
THCSf'.'^ni 

Waliacoy: liiw Brrgluon Lu utc* 

Tel 051 6381CS6 
WaJIfngtOrv Jjrl.ROae. 

Tm' 01 54/44:3 
VUftrrnrrWtan Jem Marh. 
TelWKJUTrt 
Iflteybridge: T 0 rr.' E: 

Tel 3 Ikv.; • ; j 49*j.' ; 

Wlltmlow: '.Vrnnskr.v Mg toe. 

Til 05804.-7355 
Windsor: Ci l;j fv!o:;.r Co. 

Itr 55 i.0)i 17 

Wblmrhampton:C^ui. r.Ti:*r. 

T»-I OKUl'TSd? 

Worcester ( . ir<l .jr.to.iu Motor i. . 

T*r. ij'idL ^51521 

SCOTLAND 

Abardam: Gitir K&roe.-.«i , ViOiuis. 

>1 0224 29WJ 

Ayr ui-.-n Morrtcisari Ml-icts. 

TBLOLWBISai 

Dundee: finivra Cars. 

Tel 0382 25007 


Personal Export: If you are eligible to purchase a Lancia free of taxes, contact our Export Department 


Edinburgh: H«r. J.rcr Me 

T.< 'Ail L- 

Glasgow: CA-n Hr^w-.nmi Moi« j. j 

Tjr-IMI 1*431155 

Laruriu M.ir^rmld F.Lid^l 

T'.h 06»g5&.- 

Moray-. ° -i 

T...I 0306.’ JIJ.’ 

Peebles: n Bus. 

1' jos-ij 

WALE® 

Cardiff: 'i o,v' . G.fnjK. 

’. .• j 
P ontynrldd: 

'•••■ JI.C* 

Swansea: *ji id Lj-.WMfc 
V 07-r i-Jni 

Haverfordwest: r:tti R'les" G 
«.1 ir:g.’Z43C 

NORTHERN IRELAND 
Belfast- Si an'- Hjrvc . o Co. 

Tv> 

Limavady: C opc'jnJ Ciili 

T'-i :*r<s 

ISLE OF MAN 

Port Erin: Sr.. • ‘‘c.vtsS. 

hi .«••. Jb.O'.'l 

CHANNEL ISLANDS 
Guernsey: $: tc:c - 
L M-.-Ii'.. i,. 0i3l-4X5 

Joreey: ■:?> 

r i...f . 

L.i 3-vji •• v.<#<vot's. 

TciOsJJ 42/38 

“mour 

i-.v-.'te 'jWIi 
u :o Codes sc ji wmci vt uma* 


f 'V_ 




rTnaBmi Times vrame&uttj 



m 


EDITED BY ARTHUR BENNETT AND TB) SCHOEIHB 



hte 7 




• BANKING 


cheque in sight 


i- : 


• INSTRUMENTS 

Heat indicated digitally 


i >«»* 

V carbon 
dioxide 


RESULTS OF a pilot scheme in by passing It through the 
progress at two branches of the terminal's magnetic stripe reader 
Clydesdale Bank suggest that its the customer keys in his secret 
project for computerising on a number on a small device his side 
more ambitious scale than any of tbe counter. He teller then 
other British or Ui5. clearing enters the customer's account 
bank wilt be an unqualified number, transaction type and 
success. cash analysis by note/coin 

Even the remotest of the denomination on the terminal's 
hank's 368 branches will be put keyboard- 
on-line to the main centre. This Following an automatic check, 
is but one of the unusual “ e terminal duplicate 

features of the Autobank project, records on its tally roll. The 
A single plastic card will give teUer danas one copy to the 
each customer a passport ro all customer and returns his card, 
services, including over-the- During entries, transaction 
counter transactions. A com- d ? ta “ appears on a one-line 
municatlons network covering display, 

the whole of Scotland will use , Complete transaction detail is 
16 Sperry Uni vac V77 mini- “!f# ed on “ sc b F regional 
computers installed at seven V77 c j >I ? puler and can be 
regional centres and the Glasgow accessed by terminal at any time 
head office. for cash .reconciliation. Disc file 

Verv enmnart- irH i nu .- net . content is. in turn, transmitted 
terminals have been ™ fr ™ f 1 reg . ,0 .“ s “ ^ ™ 
bested for Clydesdale ff KS rBSPJi 



Distillers CO2 


I JOINING what is now becoming thermocouple insrrurnents are 
' a somewhat crowded market- supplied 

Place for electronic diktat ^d Probe nd have Ml auto 

thermometers are the LTD800 is 0 n 0533 76712. 

series from Lenton Thermal p or a ji ?aSl liquid and surface 
Designs and a new model from temperature measurements, a 
An will Instrument company. similar instrument from Anwm 1__ 

The Lenton models use offers a ranscof plug-m couples ^ |ur 

integrated circuits to give a low for specialised applications mid £ HANDLING 

component count and good the total range covered is “J _ _ 

battery life, the power eonsump- to + 1999 degL. with an accuratj TWT 

\ tion being a little over 40 mA. of 0.25 per cent. FjJJJ Q SIlCSN 

i Designed for a variety of thermo- trol allows either true 


couples and resistance probes, ture or the difTer«nce from 1 . _ lilHvUV 

the thermometer can cover the ambient temperature to be read. W flPfl llllllltl 
range— 150 to +1750degC, The Anwill is on 0254 SS0555. TT O 


ronic a small inLn^nrtpn; U * es are toen moved by hand to 
Srntfuh , an NCR Century mainframe for 


KKf lS P o n f y 'them Ch lToo S pr0CeSSin 8 during 6 the ^ ^ the 22.4 tonnes 

» zzt'z a Jsssr tsssrsszss • CORSPUTERS 

communications nuinm^t »I»K l 1 * 00 ™ 1 ® precautions, -n _ A _ A 


Seven air field trucks like the one shown here 
are to be supplied by Chubb Fire Security to the 
Schipol Airport Authority, Amsterdam. The 
vehicles will all be based on chassis developed by 
Reynolds Boughton of Winkleigh, Devon. Designed 
to carry a crew of three at speeds up to 100 kph 
each of the 22.4 tonnes vehicles will carry 6,800 


slssss; 

litres of water. 900 litres of foam liquid and much 
other fire-fighting equipment. Foam can be 
developed at 28,000 litres per minute. A Boughton 
260 hp power take-off unit mounted between the 
engine and the transmission wQl drive tbe fire 
pump irrespective of die road speed. Delivery of 
the first vehicle is due in July. 


LIFTING articulated electric 
railcars fur Britain’s first 

Gauges flow accurately SiSWHS 

THE DIAMOND shaped Annubar device produces a lower pernan- Passenger Transport Executive’s 
flow sensor made by Dietericb ent pressure loss than man> test centre u*i Q K ^ 

_ . . n ^ , . ... ■ „ ahIi> Son M-.MAt'cnn nillrilV I3CU. 


Retreat of big machines 

.r l han that of any other rmp automatiealiv all riTmmo w» i it ? .v .li - . -1 


Standard Corporation In the U.S. primary flow sensors— ouiy me a lautnun j- ** 

and now available In the UJC. per cent of that induced by most These have been Installed la 
from AEP-Inleraational Is orifice plates. Energy, savings the centre’s workshop near 
described by the company as can therefore be achieved. Shircuioor where, for the past 

offering “ a major Improvement ” Installation costs are claimed three years, two prototype 
in accuracy and repeatability in to be low, with minimum setting Me trocars have been undergoing 
the long term: one per cent and up, welding and cleaning-up time, proving trials and operating as 
O.I per cent respectively. There is even a valved Version, mobile test-beds for a number 

The sensor consists of a the Flo-Tap Annubar, that allows 0 f different railcar components 
diamond sectioned bar with two installation without shutting —many of which have been 
measuring apertures that pro- down the system. The sensor introduced by British manu- 
duce a differential pressure with can then bo easily removed for facturers for subsequent sale to 
the axis of the bar at right range changing and for easy overseas tramcar and rapid 
angles to tbe flow. This can be pigging and flushing. transit system manufacturers 


lower than that nf anv oSS V77s and ’ m * cas ,? of breakdown. Cy made to actuate transmitter or More from Norris Road. 3nd operatore. 

scheme with the same scone a services ail DURING THE past year, the activity in this sector since there ably if the value of the installs- gauge. Staines, Middlesex (Staines Although Initially planned to 

At the Kinross hrtnnh " . s P are j® 1 ™ 1 ?® 1 * *,9 trend in replacing general pur- are now 182 suppliers against tions is considered with DEC at Non-constricting in design, the 57571). be part of the routine malMrn- 

the pilot sties th e a Snk SiJrt £ cllit L es P° se computers in 4he medium 161 a year before. The market 2S per cent of the total: Data ance equipment, the jacks have 

already obril’tcs the wri tine *of ™ **^7 branch, range with systems hased on growth in 1977 was 29 per cent. General-6.1; CAI-2.3; Texas-15; also proved to be invaluable in 

cheques or paying in slips After allow? entire »? cre a su, S l y powerful minis con- against 36 and 32 per cent ore- but GEC-17; Ferranti-lO.S; and A HEATING enabling these components to be 

handing hlsrard lo a tSter"5K monTtored ££%£&££ IS £* hn Y e± f edde t r v,ous] y- Digico -1 per cent. • UtMlIRta quickly and easily removed for 

identifies its holder to the system adjusts via a VDIT at heari ? l ? tes ?° 2 ts m lts End-year figures were over Small business systems worth w-wr j* , rrj replacement or inspection. 

system adjusted via a VDU at head office, ates 000 against 15.526 at end-76 less than £ 20.000 Increased to Wflmth iTOIIt HIP flflftr When the Me trocars were first 

MATEPIA 9 c the trend slowed somewhat since ^ 114 og at end-75. 12.675 over the year, a rise of ** ill IIIIU XlvILU IIIC HUvl planned, designers gave special 

ai.SMI tKIALS fi„S5d r^oF 1 Z Mo P OM Tnd Ss5T4£3S the ROMANS first introduced selection of pipe tnnteriol based J«™"- VlZ-SZZT.Z 

fflirnnon nrollo pose machines was 4.633 against Sf™ t hidnn oowSlminS with a underfloor heating to Britain on a temperature-stabilised poly- nnnctnfa rf> .-invMlhlA From a 


S MATERIALS 

Protects furnace walls 


'■ MARTI-PADS •• are simple cement to a centre insulation While t . he tolal T *‘“ of , such Texas with 1,000 on 

lightweight squares of angled matrix of Cofax insulatin'’ ??^l pment ruSe l 0 , from controlled side. The U. 

strip fibre which are stuck on material. Behind this strong but SJiSi hopes were GEC wi 

10 furnace «lh .nth a cemem JW ^ tto “ .1 ™iS of P lXuMloi! 

E.7nae.‘.Bei.S? ,,y ‘“ Pr ° Ve 1* framed Li "' m 66 l » ^ ** Ihe picture changes 

njee efficiencies. provides rigidity and fixing IBM's share of the market rose 

Marti Modules" are self- points. Each panel can be to better than 39-per cent, or over 


consider S, SS JgF* & to case' ‘on Le Coo'Seut TSiS? ’E5E5 SSSJUSi if SJf Z *T, 

consider- Surrey KT1 -SH. 01-549 9-11. where one company alone has the maker, is the screed into !5 n ? c * I V ctr ' - . *°” fi . 

installed over 70,000 systems which the pipe is embedded. wou!d have to be raised at 


S-JMSaV SSi?S s iFour more machines Tea^ n pSeout.uu. “K5 * ■ *- 

"^The'pads are U made e in stlmdarri L U ," SS JtSS-JK ' SE '«!!£«» •B’l .he 


track level. 


The pads are made in standard the end point 
thicknesses from 25mm to 150mm Roof systems are 


and measure 300mm square, suspend From light 


, S S d be fo rea ?h int ? U iS new modeIs in its B SeH« fornian i« improvements ranging ^^cTeconoSrin ISES articulat^n vestibule in Ihe 

simple to aPPj reverse for the latter of large^cale computer sj'steras. up to 40 per cent over earlier cozl5l2TTl pt f on — twin objectives of face The screed is laid on a centre of the unit— as well as the 
steel sup- !«nce deliveries of the large 2900 The new systems are the_B 6808. B 6800 systems. .... _ M mm. insulVlion laver on which high cost of building a specially 


performance. 


50 mm layer of ceramic fibre on material allows for easy cutting is difficult if only because sup- tively 

nn inrArm ltfpnT rinttom L-Hn . . . r ■ 


4,096 separate lines. 


It is a low temperature system heron (U K ‘ is headquartered at the inspection pit- By positioning 
under which hot water From any 2, Baraborough Gardens. London, a pair of jacks at each end of Ule 
suitable source Is distributed W.12. car with a further pair close to 

through Hexihle pipe laid in the the articulation point, the coin- 
floor. and has a separate coil plete unit could he lifted with- 

layout for each room, the various • By ayrtvwe.vt benreen the nut imposing any major bending 
systems being connected to Financial Timex and the BBC. twisting .stress on the body 


an »5EK i, . ,n,t P °, t,e r y ktl “- , or o Sha P ing . on site - . pliers themselves do not always Combination of advanced ‘Burroughs. Heathrow House, localed multi-tapping • information from The Technical frame nr on the centre bogie 

mad .t. angle Combustion Linings, Port know how much product they central processor micrologic and Cranford. Hounslow. Middlesex nianiFulds— one for flow and one Page is available for use by the mourning. 


Mna.ilnc o r" ■ - _ T 2 , . _ »*••*•** uiviiimiivj uu dinars L.umullldtIUII OI aaVanCCU uuuuu^ht. iiwhii-jb 

rtifns Iu-Ih Xi?%I hi* r?ij «» < i? bi ft t,0 7 H* 1 ? 88, _ Port know how much product they central processor micrologic and Cranford. Hounslow. 3! 

n feed wi h an adhesiS SPiSgf S SSt i SSr t haV f in L he market - 0ne thing the advanced memory subitem TW5 90L. 01-759 6522. 

ann nxed with an adhesive Staffs., ST6 3PF. 07S2 88275. is clear, however, and that is the with its reduced read access time 


A FINANCIALTIMES 
CONFERENCE 


Lower cost 
operation 


fo ^if eturn ’ , Corpora ficm’.s- EMcrnal Services Mntterson. He 3 lev Works, 

The success feature of the as source material for its over • POB31. Rochdale 0L12 6LP. 
system, says the company, is the seas bmacfoiat*. 070« 49321. 


COMPANY NOTICES 


APPOINTMENTS 


scorn 






INDUSTRY 

EDINBURGH JUNE 26-27 1978 


BUSINESS computing at an 
unprecedentedly low cost can 
run on a system developed by 
Star Computer Group for the 
Mael 2000 microcomputer, retail- 
ing at £12.500, inclusive of 
application software. It is avail- 
able on lease at £250 a month. 

This is, says Star, some £3.000 
to £4,000 cheaper than equivalent 
systems currently available and 
offers a series of application </ 
packages that handle order entry, 
stock control, invoicing, sales, 
purchase and nominal lodger 
accounting, together with pay- 
roll . 


NOTICE TO BONDHOLDERS 
ENSO-GUTZEIT OSAKEYHTIO $ US 20,000,000 
93% 1975/1982 Guaranteed Bonds 


PERSONAL 

ASSISTANT/SECRETARY 


Pursuant to provisions of the Purchase Fund, notice is hereby 
given to Bondholders that no Bonds have been purchased for 
the Purchase Fund during the twelve-month period from May 
5, 1977 to May 4, 1978. 


Manani BO Director of Intern at Kxia! 
Croup Qt TavUht ta ww lw rmniras 
Personal Assistant Secretary 
tor ■ UMOoa OHiCO 
The work will be var.cn and some 
book keen i no knowledge will be nun- 


t'fl. but additional training will be 
provided. A too salary will be paid 


Amount outstanding: ?US 20,000,000. 
May 17, 1978 


to the person caoabte ol accosting thw 
responsible position. 

apeolntmonl talephone 01-328 
7151 or OT-328 3737. reference M.C 


ENSO-GUTZEIT OSAKEYHTIO 


BAYKR AKTIENCE5ELLSCKAFT 


The Annual General Meeting ol Bavci 


Up to 4SK bytes of true user BUS o 2 i 7 '! 


ART GALLERIES 


RESIDENTIAL 

PROPERTY 


memory are available in addi- 
tion to peripheral buffer 


memories. Addressing may be ^iubie ‘“am!— 7 *" Gern,an ^ 
arranged in 8. 16 or 24-bits. Six- B ? n 5 y m,l pd. 


lifn 4 ’bc d, ’iS S ed r lht ’ Y “ r C,WlCJ 1977 SLOANE STREtr GAULEKIE6, 158 Sroane 

I Copies ol the Comoanvs Annual an< l qraDhk!* b^^ntef^tVn^inrnraStkTl^i 
Reoort for 1077 in Gmtun will tw “!L 0 _ ® rapl !15* ** •nierestlna intornolkonoi 


teen peripheral in put/output 
channels are provided including 
communications and printing 
interface facilities. 


Hambros Bank Limited. — 1 

Hill Samuel 3 Co. Limited. THACKERAY C 

Klein wart. Benson Limited Kensington S 

and _ . _ , „ BEN LEVENE 

S. G. Warburg & Co. Lrtf _ - 

The report In Palish is in the course W^OENSTBW. 
ol preoaratlon. TWENTY Mij 

United Kingdom Shareholders who I N^TA_LE LAE 


artists. Wide range ol prices Tues.. 
Fri 10.0Q-5. QD. Sats. 10.0Q.1.0Q. 
THACKERAY GALLERY. 13 Thackeray St.. 
Kensington Sq.. W.8. 01-937 5883. , 

BEN LEVENE until 2 June. j 


KENSINGTON PARK ROAD 

Wll 


A distinguished and authoritative panel of speakers 
will assess the outlook for the Scottish economy, 
appraise the country’s industrial performance and 
prospects and examine developments in the financial 
sector. Devolution and its consequences for the 
economy will be among the subjects to be considered 
as well as the North Sea, with particular reference to 
its place in the world oil context. 

The Chairmen of the four sessions will be: 

The Rt Hon Lord Thomson of Monifieth PC 
Mr Alan R. Devereux Chairman Scotland, 
Confederation of British Industry 
Mr Ian R. Clark Executive Member of the Board 
The British National Oil Corporation 
Mr John B. Burke Chairman 
The Committee of Scottish Clearing Bankers 


filial ifrioncihr nAn-ofira I to attend and vote at the Annual 
GUal intensity, non glare, 1 General Meeting ihoutd by 19th June. 


twelve-inch cathode ray tube of ^burg a cq. ltd.. 

1024 5 x 7 dot matrix characters coupon Department, 

Hoc fnn onH hnltivn linau rtf Y) St- AlbflllS Hfildfi, 


V 1 DENSTEIN. A Loan Exhibition ol 
TWENTY MASTERPIECES FROM THE 
NATALE LABIA COLLECTION Wcek- 
19-5.30. Saturday; 10-12.30. Until 
25th Ma; Admission 30 p In aid ot the 
g*v S' Binning nam Appeal Fund. 147. 
New Bond Street. W.l. 


Substantial Family house west faclms 
in Dreciy V let on an icrract dtnw 
N Oi Line H1IL Beautifully modcmisv'd 
ihrouehout. Ek*ant decor 5 beds . 
I bath., cloaks., 28ft. drawingroom, 
diningroom, raborloua custom bum 
Good HtHisckcepin.il kit. lfift. * wn.. 
utility room. Garden. Gas c.H. Free- 
bold CUa.DOO. 


has top and bottom lines of 32 
characters to indicate job title 


Goldsmith Street. 

characters to indicate job title who MJS n 2 £tis«Y arrangements 

and machine status respectively, on their benaii. _ „ 

Between them are 15 “scroll- 17 th m 8 v“ a i97 §. AKTIENGESELLSCHAFT - 
ing " lines of 64 characters for c. t. bowring a co. limited 
data. • 

NOTICE IS HEREBY GIVEN that the 


CLUBS 


BAYER AKTIENGESELLSCHAFT. 
17th May. 1978. 


EVE, 1B9. Regent Street. 734 0357. A la 

B luitrs ui o* caarauiers wri c. T. BOWRING a CO. limited Carte or All-In Menu. Three Spectacular 

1 +a I Floor Shows 10.45. 12.4S and 1.4S and 

rtrt nrintor 4 e Hw ..col NOTICE IS HEREBY GIVEN that the mtnlc of johnny Hawfceaworth a. Friends. 

Output on printer IS oy USelTnuler Books will be CLOSED Irom the GARGOYLE, 69 Dean Street. London W 1 


nf thf* Mael 760 rnc matrix serial m June. 197B to 2ist June. 1978. both 

oi roe nuaei im cps matnx senai daUs lnc1uslwe . lor the preparation and 

unit. The high quality 5x9 dot payment ol tno Interest on the S'-h Con- 

matrix characters are at 10 to re5L b, *c«i?5?*K> , i? u^u^^o’.n^sroSk 

the lnc^ and at six lines per inch By 0rtw ot the BMra . 

and will provide up to four clear kenneth m. hall 

Copies. Registered Address: 

The dual diskettes are each Th To2?r r piKe “ lldln, ■ 

of 252:928 bytes arranged as 76 London. e'.c.3. 

tracks of 26 sectors Track to telefonaktiebolaget lm Ericsson 

rtwTw »«ifi wT* tLM Ericsson Telephone Companyj 

track access time is 10 ms and 

read/write times 273 ms and r JJ* A""?,? 1 “taf"! JL9S 


•wwswviHi Venn juccii uonaon, w.i. 

NEW STRIPTEASE FLOOR SHOW 
.THE GREAT BRITISH STRIP 
^ Show at Midnight and I a.m. 
Mon^Fri. Closed Saturdays. 01-43? 6495 


KENSINGTON WIi 

Elesam early Vlciorlan residence 
overlooking fine communal Hardens on 
Ouj Ladbroke Estate. Rear sooth 
aspect overlooks pnvaie 70ft. garden. 
Completely rebuilt and » 3 «aYniiy 
modernised. S/C flat, 5 rooras. Wt & 
barh. (or playroom Se bed. Si pins 
4 bods.. sutdy/cMM's bed., 2 bailla 
drawn*! no., wim 
5 ?°™ „ w1lh ^ truce. 
ruUy htted kit. Gas C.H, CaMctt. 
Freehold ncs.ooo. 


MOTOR CARS 


MARSH & PARSONS 
01-727 9811 


(LM Ericsson Telephone Company* 


read/write times 273 ms and Co 7 ^ nv A 3f l at M ^ ,n lto?U h ^ 

440 ms respectively. Data IS Fair Building. Maessvaegen J. Aelvsioe. 


transferred from disc to buffer 400 pm - on Tuesd «- fith 


at a rate , of 250K_ bytes per| so 2J«, »* “<» 


second and from buffer to pro- |*1?"to elect a chalrma^'lOr the Meeting; 


cessor at 10K bytes per second. 

Star Computer Group. Three- 
ways House. 40, Clipstone Street 
London W1D TEA. 01 637 9741. 


To The Financial Times Limited, Conference Organisation 
Bracken House, 10 Cannon Street, London EC4P 4 BY 
Tel: 01-236 4382 Telex: 27347 FTCONF G 

Please send me further details of SCOTTISH FINANCE AND 
INDUSTRY 


Name (Block capitals please} 


Title 


Company 


Address 



2. To approve the voting list: 

3. To confirm that the Meeting has been 
properly called: 

4. To elect two persons to check tho 
minutes ol Uie Mooting; 

5. To present the Annual Report and 
tho Auditors' Report: 

G. To present the consolidated accounts 
and the Auditors' Reoort on the 
Group; 

7. To approve the Profit and LOH State- 
irx-nt and the Balance Sheet; 

8 . To approve the consolidated Profit 
and Loss Statement and the consoli- 
dated Balance Sheet: 

9. To discharge the Members al the 
Board and tho Managing Director 
From liability: 

10. To determine the andropriatlon or 
the profits, provided the Balance 
Sheet is approved, 

n - T°. _?* the dat * » r payment of me 
dividend declared: 

12 . To determine the numbers ot Mrtn- 

„ oers of the Board and Deputies: 


New FERRARI 400 GT Auto. S Reg. 
900 miles only. Colour rosso red with 
cream leather Interior, lour seats and 

5rafiteo ,nC 'ust r ‘SUh’ ,2 i n,8ntt « 

S' 11 "®, 1111 and Prko Increase. 

£*4.9*95 0 - 1 ). O. 

New BMW 730 Auto., luxury saloon. 
A few weeks old. Metallic silver, 
dark blue cord Interior. Central lock- 
ing. tinted gloss, radio, stereo cassette, 
elec, aerial. Avoid waiting list ami 
Price Increase £11 995. 

FERRARI DAYTONA 38SGT84. One 
owner, full service history. Met. blue: 
cream leather Interior. Immaculate 

K ,9 j& "ms 

mTlcoge. *** 1 Bee aSw!® S!t5o!' Uw * 


FUCK & SON 

Chartered Surveyors and Auctioneers 
Saxmcmdhoa and Aidoburgh 


mileage. Like new. ££,750. 

HFMLMSIng arranged 

„ RALLY 6 AUTO SPORT LTD 
I — William 5t-, *- nlghtsbridge, 5 .W 1 
01-235 1351 


PUBLIC NOTICES 


Strathclyde regional council 

„ oen oi the Board and Deputies: I due 6 l 6 U? - ASn£t i‘g 7 H , a» Mav - 1978 

13. To determine the tees payable to o“ sii^aT B o^’ a * cras ® rat c 


CLASSIFIED ADVERTISEMENT RATES 


Audimrs: 

14. To elect Members ol the Board 
and Deputy Members: 

1Sl I°-.JS ,ect Auditors end Deputy 

A llui tOrSi 

16 ‘ if anv «*•»«■ btnincu 

Companies 

thf M^tlng^'' dBaJt wKh « 

-JB8 BJBmJWSrt 

Mitered as shareholders in ihe Share 

vM i *Aa m ^^aooerscentraien 
VPC AS (Securities Roohrer centre' not 
■later than 26th May. 197B. 1 0i _ . 

a™ regn. JjOminerciaj and Industrial Pronertv 

re^rSaKter f fhe shares tomporari?v n |n their Residential Property P ^ 

the 11 Matin’ ln order *° MrtKipate in Appointments 

rw , u ^ /re^ d e , i^^ ,, ^reho1de« bQ “r h ™fl ,,t10 _’^ BU ^“jL-I° V ?®^ en l. 0 PO t> rt U nitieB. 


ON FRIDAY. 7th JULY 1978 at 3 p.m. 
Bt The Groat White Hone Hotel. 
Ipswich 

THE DOWER HOUSE. 

LITTLE BEALINGS 

IB miles InswJch; 3 miias Wood bridge) 
^ Architect designed 
country house built in 1965 on an 
outstanding site ol ABOUT 31 , ACRES 
in mature parkland.- 1 

(Ipswich- Liverpool Street Station 

78 minutes) 

Attractive oval hsll with ranMlevored 
C l 2 a !? - S*" 1 **- 2 excel lent 

wiSr^JSSUffSi 11 " 8 Rooms 

wlthg round door suite ol Living Room. 

5S1SJ5" _ Bathroom beyond. 

Firor h0 SirtV. ,1,, £, Roa 7 1 and OOecs. 

'" Tj-floor : PrlnclBJl Bedroom Suite. 
Bathrooms Bw)l-<>0,n5 *«« 2 turthor 
anu 

SSSSrUi-rt"®*' y M L attractive grounds 
^“k^hen^dent 

WITH VACANT POSSESSION 

Messrs. Mossop & 
M^Ibeath. Soald- 

ASefimSLi 7 2Z6srl 

Hsnlt HOUSC. 

S5Sj U ) ,dha,n ' ttWwhonc 5acniundham 


h’5dhviT?i^ Corporation Loans, Production Capacity 
?5„ ! or Sale/Wanted P 

"a? iff 21? ThurM ^- ^Peionni U n^^ T:icta & Tenders. 


1 st June. 1078. at 4.00 p.m. " r - Personal fi-irrlnnin* 

£v^arr„ -° n tsars, *s *£S?S* Si ne 

Book Polishers 


allows io°do" r ^: AtWWV t * ,arp talhg 
’7rh May. 1 E 7 I. BOARD OF 0, "E™ S 


per 

■tingle 

column 

Hue 

cm. 

£ 

£ 

4.50 

14.00 

2.00 

fi.00 

4.50 

14.00 

5JB 

16.00 

4.25 

13.00 

2.75 

10.00 

— 

7.00 


EXHIBITIONS 


BUXTON ANTIQUES FAIR. Pauin nn 

tsar^rserS 9 


*a« r ? milim available * 

“fSJV fjp gle wJumn cm. extra 
For further details write to 


^wnaii. 




Hilfi, 




V.>i„ 


V- •’ • • 
















* i . ' *l««tiiii **" 

} a. 



jpfioeoixts. 


Map by George Philip and Son Lid. O ;97& 

A range of Intematiofial 

services no other bank can offer. 


International Finance. Competitively. I 4 

Short-term and fixed rate medium-term H 

finance covered by ECGD guarantees. ^ 

Negotiating or discounting bills, Acceptance 
credits, Eurocurrency finance, Export factoring. 

International leasing and Instalment finance. 

International Branch Network. Competitively. 

Being the exclusive U.K. member of European Banks 
International (EBIC) Midland can offer their clients the complete 
facilities of seven major independent European banks with 10,000 
branches throughout Europe and a world-wide network of joint 
ventures. 

International Transfers. Competitively. 

Foreign exchange, spot and forward contracts. 

Clean payments, mail transfers, telegraphic transfers, drafts. 
Bills for collection, documentary credits. 

International Corporate Travel. Competitively. 

Exclusive to Midland, direct access to the world’s largest 
travel company— Thomas Cook— a member of the Midland Bank 
Group. 


Competitively 


exchange in 150 currencies, travellers cheques, 
cards and 870 offices in 145 countries. 


International Merchant Banking. 
Competitively. 

A complete range of international financial services 
from Samuel Montagu, a major Merchant Bank and 
a member of the Midland Bank Group. 

Eurocurrency credits, bond issues, corporate and 
investment services. 

Samuel Montagu are also major market makers 
in bullion, foreign exchange and Eurobonds. 

International Insurance. Competitively. 

Comprehensive insurance and reinsurance 
broking services through Bland Payne -a member of 
the Midland Bank Group. 

International. Marketing Services. 
Competitively. 

A unique range of marketing and export finance 
services through the London American International 
Corporation limited, operating in over 100 countries. 

Information on regulations, tariffs, documentation 
procedures and exchange control. 


Ilf To ensure your company 
■ makes the most of its 

international opportunities, 
you really should talk with us. 

For a prompt answer, contact 
George Bryen, tel: London 

606 9944. Ext 4057. Telex 
888401 or contact any of our 
branches throughout the U.K. 

TESTUS. 


Midland Bank International 

Midland Bank Limited, International Division, 60 Gracechurch Street, London EC3P 3BN. Tel : 01-606 9944 


Delivers 















14 


financial Times WednesSay May IT- 1978 


The Management Page 


ijv '-I** T5t- 


«V>4.V 




L&RENZ 


FOR pro-Europeans in both 
main British political parties, 
the harmonisation of domestic 
and Community law — which has 
dominated the U.K.'s first five 
years of EEC membership — has 
pitted one practical challenge 
after another against their 
ideological commitment. 

Nowhere has this tension 
been more evident than in 
transport policy, and no indi- 
vidual has felt the strain oF it 
more wearily than Mr. William 
Rodgers, who moved into the 
Callaghan Cabinet as Transport 
Secretary in September 1976. 

•Tust three months later, with 
the advent of Britain's six 
months term of presidency, he 
was chairman of the council of 
European transport ministers, 
and advocating a leap forward 
into far wider policy-making 
spheres than the endless nego- 
tiations over such mundane 
matters as Britain's obduracy 
over the tachograph Jaw for 
lorries. 



When idealism comes face to face with Community reality 

Eyes on the stratosphere 
and feet in the mud 


BY IAN HARGREAVES 


failing to exploit 'the and public expenditure are 


later. Mr. Rodgers' shoes are 
scarcely visible. He is about to 
be put in the dock of the Euro- 
pean Court over the tachograph 

attemot^to ^wtden n Sm frame! Rodgers chairmanship to get nificance. “The danger is that while *- - . i:, v 

work* of debate has JSTat an informal EEC transport Britain's achievement in trans- spirit of the treaty. This argu- three examples whid J in 
ounce of response All very suramit of ^ minister $ iQ port matters will simply be seen ment is at the bottom of his lie behind 'trl tual T «. ^ 

«allin* for one of the Cabinets London was even morc abruplly as lorries and coaches with position on tachograph wn national polic> dec ^ 

Staunchest Euroneans 6 C * S dismissed, through a enmbina- tachographs, miles changed into issue which manifestly bores transport Tht tomnuin i.i 
Th _ latest iha i.et 11011 of straight uninterest and kilometres and 40-tonne maxi- him — although his actual Rodgers feel?. 

straw was S mnnihl French argument that rhe mum vehicle weights.” strategy has depended chiefly co-operating on 

hour decision by h Mr Kurt c0ncept of such an , ? for “ tl He does not swell the chorus on trade union pressures. ’cooperation between 

fjschcidle, the West German was unconstitutional. 0 f criticism against Brussels He argues that the second maximum c0 ‘ Dp 

Transport’ Minister to pull nut Although frustrated and dis- bureaucracy— a bureaucracy he fundamental of the Rome Treaty . 

of bilateral transport talks in appointed, Mr. Rodgers says takes to be no better and no is liberalisation of trade within tor -example. 

London because of domestic that bis fundamental convictions worse than other civil service the Community. “The U.K. is He is in 

As he told a meeting of pro- political demands on his time. favour of the Market have not machines. Nor does he blame more liberal than other mem- debate, the 

Europeans in Britain: “Frankly, The meeting is, in fact, being wavered. But he is concerned the Treaty of Rome and its bers and it is ironic that the transport 


nn 

Mr. 

he 


the different national railways, 


effect. seeking to 
objectives of EEC 

o i 3i i n fact, being wavered. But ne is concerned the Treaty of Rome and us oers ana it is ironic mat me P°nuy. Other trana- 

many of the participants in past re-arranged, but its perfunctory that a® a pro-European, he has ground-rule of harmonised trad- most liberal country should be port m misters nee “‘77*. 
discussions of European trans- postponement was seen by Mr. been unable to demonstrate in ing rules as the basis of fair in the dock for not harmonis- another oacK 

port policy have had their feet Rodgers as another reminder of practice to the British public competition. He simply feels ing." Britain to 

stuck in the mud. white their the difference in importance that the Community constitutes that ministers have allowed The list of issues which the Treaty. 

eyes were fixed on the strata- attached to top level policy a dynamic force for rolling back themselves to be harnessed Community’s transport min- There nr" die bv its ability tu solve 

sphere.” talks. entrenched nationalist positions inside the tram-lines or har- isters have failed to discuss is changes wlm.h Mr . Rod cr, enforce mint ot the regulations or tuc ° » kimt; . hc MV| . 

attempt early In the on matters of international sig- monisation for its own sake very long. Energy, environment believes would improve the which they approie, in order pro 


door attempt 
renegotiate tlie 


Not much more than a year An 


to overronw the objection': of 
many i:> the British transport 
Industrie* lhai same- couiuriu*: 
—notably France*— couple strict 
legalism with cavalier disregard 
ipr rules once enacted. 

He does fee! that direct elec- 
tium. ami the strengthening; of 
the European Parliament may 
jolt the ministerial enuneik 
into mure profound thought and 
am! more effective action, but us 
nut optimistic aiiout the pacu 
of change. 

Many of these frriff rations arm 
merely what one would expect 
from a British politician iff Mr, 
Roditeri." type. An mlcileetual 
with a passionate autipathy 
to wards disoraiiiixcd thinking 
or disorganised ad un nisi rail on, 
he has a Benthamite political 
mind schooled in the fftfeitiuq 
traditions of the House of 
situation. lie would like to see Commons. “ Always ask the 
the Council of Ministers meet question Why.” he tends u> say. 
much more frequently than its But Mr. Rodeers insists he is 
present twice or throe times a talking about much mow than 
year, and for those meetings a clash «f style. Applying his 
to involve adequate periods of experienee rff Community trans- 
debate on well-prepared port policy «o wider questions, 
papers, rather than the present he is firmly convinced that tlio 
system of abrupt assent or EEC can ami should come up 
dissent following .the rehearsal with a programme to deal with 
of prepared positions. the problem of structural un- 

He also wants ministers to employment in Europe, “ hi uiy 
accept a role in ensuring view, the Community will live 



William Rodgcra— Minister for 
Transport— he is about to be put 
in the dock of the European Court 
tachograph disagreement. 


over a 


WHEN Stone-PJatt, the engi- 
neering group, wanted to find 
out just how good its internal 
communications were, the Board 
decided that the last people it 
should ask were the senior 
managers. As Edward Smalley, 
the chief executive, puts it: “If 
you ask them they will tell you 
everything is wonderful and 
that we and they are good at 
communications.” 

The Board also realised that 
if the company management 
were to go around asking the 
shop floor the same question it 
was not only very likely to get 
biased answers, but the ques- 
tions would raise suspicions 
about management's motives. 

Unlike sales, profits or mar- 
ket share, an efficiency-minded 
company cannot objectively 
assess “ communication ” from 
the inside, which is why Stone- 
Piatt called in Metra Oxford, 
the management consultants, to 
conduct an impartial audit and 
to make recommendations. 

According to Smalley, Stonc- 
Platt wanted to know: ** whether 
we were telling people the 
right things, whether we were 
telling people the things they 
wanted and needed to know; 
whether there was a free fisw 


Finding out if the message is 
coming over loud and clear 


Stone-Platt is its divergence of 
size, products and locations. 

Stone-Platt has 20 plants in 
the U.K„ from Glasgow to 
Bognor Regis, in units employ- 
ing between 50 and 1,500 
people, making anything from 
ships' propellors to aircondi- 
tionina for trains. Although 

almost all the manual workers Perhaps the most signiiicant study, comments that in two of 
are unionised there is no cen- finding was that the biggest gap the divisions structure was the 
tral bargaining, and among in communications affected biggest inhibition to communi- 
white collar staff there are vary- junior management and super- cation. 

ing degrees of unionisation. visors. They were, as often as This was clearly true for the 


hats or that others were answer- 
able to two or more people. 

The reorganisation has put 
the Lines of command and 
responsibility into a readily 


The head office only employs n ? hav “S t0 sh .°P floo f P° mp division, Haywood Tyler, recognisable form. The pump 

40 people and the group is divi- what . was ha PP eMn S m internal The arrival last year of a new ^sion has bcen divide d into 

r • r mmfV/VtmiaAM AAfiitni* A nitt h AM H 1 Wl Clflrtfl I f*rl QTI IflQ n r\AM*l Air .... . I. .. TV V~ 


ded into five divisions. The 
head office provides personnel 

services as well as the setting , _ . , 

and monitoring of objectives 5™* about new orders from 


negotiation meetings. Another divisional chairman. Derrick 
area where Metra found con- Willingham, has resulted in 
cem was from people who both a re-organisation of the ase _ 

company as well as the imple- TfL. „ 


and performance. But other- 
wise each division is respons- 
ible for the running of its own 
business. 


Scepticism 


With such a varied and de- 
centralised organisation there 
was likely to be a great diver- 
gence in the nature of com- 
munication throughout the 
group. And as Smalley admits: 
“There was a good deal of 
scepticism as to whether any- 
thing would emerge.” 


the Press rather than from in- 
side the company. 

It also found, from talking to 
staff, that Stone-Platt was bet- 
ter at communications in manu- 
facturing and finance than in 
the technical and R&D field, as 
well as in marketing. There was 
also a feeling that communica- 
tions between marketing, en- 
gineering and manufacturing 
needed improving — a point 
which Smalley admits caused 
some surprise. 


mentation of a number of ideas 
to improve communications. 

Willingham took over the 
division just after Metra had 
given it the label of being one 
of the problem areas jn com- 
munication at Stone-Platt. For- 
tunately Willingham himself is n f'V products remain 
a communicative man and he divisional level, 
says the report “ confirmed my 
previous views.” 


three businesses in the U.K.. 
each headed by a general man- 
running " profit respon- 
sible” management teams. The 
three businesses, producing 
different products are based at 
different locations, although cer- 
tain functions such as engineer- 
ing — responsibility for overall 
technical quality, design and 



Derek Willingham (left), chairman of the pump division of Stone 
Platt and Edward Smalley, chief executive of the company. 


Reorganisation 


Willingham has also intro- 
duced a number of direct 
methods to try to improve 
communications. One of the 
first was to take advantage of 


nf information in both direc- tning woiua emerge. maae two omer major points on j n three separate locations in 

tions: and whether our arrange- Metra considered that com- communications within Stone- the UJRL. and a number of 

ments were consistent with muni cations in three of the five Platt: one that it tended to com- others in North America, 
good industrial practice and divisions were broadly satisfau- municate the bad news rather Europe and South Africa. He 
making the practice match the tory. In the fourth, the pumps ihan any good news, and second describes the old structure as 
theory." division. Metra found a good that although communication a *• three-headed monster,” with 

Metre’s verdict on its per- deal of room for improvement, between the centre and the divi- such problems as having one 
fnrmance was “six out of ten,” In the fifth, a fairly recent stuns was good, decisions often sa ] e s force for three different 
says Smalley. One of the prob- acquisition of a family firm, did not percolate downwards products and markets based at 
lenis in assessing something as communications were described within these divisions. Luton, the site of its biggest 

nebulous and intangible as as being “virtually non-exist- William Keyser. a director of factory. The result was that 

communications in a group like ant.” Metra. who was involved in the some people were wearing two 


on a 

ingham has begun to address ings an? fur about 70 penple at 
them on what he likes to call a time and. Willingham says, arc 
“the state of the nation” at comprised of representatives 
Haywood Tyler. This is very from all over the works. “ both 
much a personal gesture, as his union and non-union and from 
predecessor could well have senior to junior levels." But at 
He inherited a group making an independent semi-social club taken the same opportunity, Keighley, which employs about 

The management consultants three different types of pumps organised by senior and middle On a more formal basis, he 150 people making Sumo water 

made two other major points on j n three senarate locations in management which had been has set up “ communications pump*. “We call everybody 

going for about five years. Some- meetings ” which arc held ' together and I ijust stand on a 

what self-consciously called the throughout the division. At soap box." 

“Maniacs* Club,” it often dis- Luton, where the company has Regular ..meetings are held 
cusses serious sqbjects and Will- around 700 employees, the meei-*with foremen — "Rather a 


neglected breed ”— and if there 
are any negotiations going on 
with the muons nr there is an 
announcement being made to 
the shop stewards the furenien 
are briefed ai the same time. 

And thi? division now has its 
own house magazine, published 
every uu months ami mailed 
directly to each employees 
home. 

Willingham says there is si ill 
plenty iff room for improve- 
ment: “ I would iike In get more 
install la neon* feedback at lower 
levels uf the soft of things they 
are worrying about.” Fur 
instance, he says. “ We need lo 
know much more quickly when 
wrong rumours are flying 
about.” 

As John Raimis. Stone-Flat i’«t 
group personnel director, ex- 
plains. ihe company is seeking 
a constant imrovcniciit. rather 
than a dramatic jump. 

One of tile mu>r hnnenei.il 
effects of Metro's study, says 
Edward Smalley, was that “ it 
focused attention on the subject 
and made senior management 
more aware of communications ” 

For those who have doubts 
about the value iff such an exer- 
cise the last word must go t» 
John Raimes: “The more the 
employees arc told the inure 
they arc involved with the 
company." 

Jason Crisp 


Unfortunately our business 
is growing all the time. 


l l J, ; Expenditure Summan: 



local: E6.3m 


Assistana-given. 


Expenditure 
Lifeboat Service 
Recurrent 
Ctpital 

Lifeboat Support 

Fund-raising & Publicity 
Management 

Balance to reserve 

Income 

Subscriptions & Donations 
Net income Christmas cards 
& Souvenirs 
Investment Income 
Legacies tor general purposes 

Net Income. • 

From Restricted Funds. 


ThcscationFfeec. 


i ; :ii 

1.134 

•lOl.l 

6.3U2 

437 

2,617 

171 

253 

2,984 

0.030 

700 

6,739 


Lifeboat services 

2,721 

Offshore Lifeboats 

133 

Lives saved 

1,150 

Inshore Lifeboats 

127 

Lives rescued since RC i 

103.238 

Reserve Fleet 

37 


Total 317 


Evcrv year more and more people call on 
the services of the RNLI. 

Over the past 4 years our recurrent 
expenditure has risen at ail alarming rate and tills 
year we know the Institution's expenditure on new 
lifeboats will have to double over N77. 

Though the money raised hy the dedicated 
volunteers oi our local branches and ladies’ guilds 
and the value oi legacy income in recent years has 
always increased, this income is unpredictable until 
received. 

Regular income in the form of long term 
annual commitments is still only a minor part of 
what our vital rescue service needs. 

Cm you help? 


We need support from businesses who we 
hope would be able to commit an annual sum over 
a period of years. 

For details of how your company or 
employees could help the RNLI, please write to: 
The Director, 

Royal National Lifeboat Institution, 

West Quay Road. 

Poole, Dorset BH151HZ. 

(Copies of the 1977 Annual Report and Accounts 
presented at the AGM on May l6th can also bo 
obtained from this address). Ll 

Over 100,000 people would have been lost without us. 



BUSINESS PROBLEMS BY OUR LEGAL STAFF 


A bookish question 

We are an international institu- if the library were under-insured 
tion with a library. In connec- you would recover only a corre- 
tion with insuring It, we have sponding proportion of the loss. 

It is therefore extremely impor- 
tant that you should form your 
own view of your library's value, 
if necessary with the assistance 
oE expert valuers. While it is 
true that a person cannot deli- 
berately over-insure for the pur- 
pose of defrauding the under- 
writers, apart from that extreme 
hypothesis, over-insurance is 
better than under-insurance. 


been advised that hooks have a 
diminishing value. Wc incline to 
the view flat a library such as 
ours has gained in value much 
in excess of the original cost of 
its component parts, and while 
it is unlikely that the whole 
would be destroyed, as it is 
situated in different parts of 
three separate floors, we are con- 
cerned as to what would happen 
if we claim iid Tor a partial loss. pi a legal responsibility con be 
What do you advise? accepted by the Financial Times 

You have every reason to be for the answers given in these 
concerned because in the event columns. All inquiries will be 
Of a partial loss your claim answered by post as soon as 
would be subject to average, and possible. 


[if Samle Bow,Number Onell 
^ Naturally.. 

Mnnv Gflnlliwn r lhai I rndiliiin.il 


Ihc' 


i. If: * Our splendid fu’lntion 
ready-lo-wnar clcilhcs.-t shirts, tins and shoes \ 

Whichever your f will complement vimr 

preference be confident ^ purchnse- naturally , . 

|§ (JlEVES & |-|AWKES I 

of No. 1 Savile Row London Wt. Tel: 01-134 2001 

olsn IB Lime Strevl. Lorvlun EC.I. fill; OlOfl.1 4-IH 



WASHINGTON, D.C. 

A Renaissance of 
Qraciousness 

A luxury hotel in die sn’eat 
European rradiur.n. Elegant, quiet, 
unruffled — never a convention. 



THE MADISON 

W&hingUr.'i ijmncf JAlrtss 
1 Jth & M Stmts, N.WfWsshingtui, D.C 2000.7 
Teles 64245 
or see your travel agent 
tUnMI £. Cvync, /Vofnclor 



NOTICE OF PURCHASES 
To the Holders of 

Mo ocfci Dotnsjo Abtiebolog 
MoDo 

9% Bonds Doe 1986 

NOTICE IS HEREBY GIVEN 
that, pursuant to the provisions 
of the Bonds of the above de- 
scribed issue, an aggregate prin- 
cipal amount of $2,500,000 was 
purchased in the market during 
the eighteen month period end- 
ing April 35, 3978, and such 
Bonds have been surrendered to 
Morgan Guaranty Trust Com- 
pany of New York, as Trustee. 
The principal amount remaining 
outstanding is S3 2.700.000. 

Mo och Domsjo Aktiebolag 


Helmshore, near Manchester 

Superb resident ill cite with lull 
Plannina permission for 154 detached 
tnd semi-detached hornet lor ule by 
public tendor in two Ion or h a 
whole. Manthetier centre IS mini, 
appro*. Immediate stars. Proven 
sales record; passible land cxchincc. 
Contort; M. Holden. B.Se.. A.5 V A 
Peter Slater. 307 Union Road'. ' 
Qfwaldewueta. Accrington. Lancashire 
0154 34752 


Fivestar guests 
stay at The Gloucester for 
the secretarial services. 


Good secretaries are worth their weigh tin 
gold. And the Gloucester knows this. 

So do Eve-star guests. Which is why, when 
they ask us for help with their business problems, 
they get a fast efficient service. 

. For the four-star Gloucester is a new deluxe 
hotel that offers all the modern business facilities 
a five -star guest win need. (Including first class 
secretaries, photocopying and alelex machine 
capable of sending photographs, graphs and 
drawings). 

All the rooms and suites have air 
conditioning, direct dial telephone, colour 


television, separate dressing room, private bath 
and shower. 

An antique shop, travel, theatre and car hire 
services are on the spot 

We also have two restaurants, the Master 
Carver and the Appleyard Cafe, and Le Chateau 
wine bar and the Merrie-go-Downe real ale bar. 

As we are only minutes from the West End 
and just across the road from the West 
London Air Terminal and new Heathrow 
tube link, a better situated hotel is hard to 
find. 

To become a fivestar guest ring the 
hotel or Rank Hotels Central 
Reservations Office 01-262 2893. 



The Gloucester 

Harrington Gardens. London SW7 41 JH . " 

^ ^ Tel: 01-573 6030 Tdcx: 917505 

Hank Hotels -the hotels for fiye-star gui^ tS*. 


-V.iJ-. 





AS INDUSTRY 


Texas is growing in true Texan style — in a big way. As guardian of the United States’ 
oil and gas resources, it has never been a poor state, but with its increasingly diversified 
economy it is attracting both domestic and foreign investment, and its future looks bright. 




■'.V'.'OlE 


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SOMETIME IN the past 18 
months Texas pushed past 
Florida to become the fastest 
growing of the 20 largest states 
in the Union. 

Texans have always had an eye 
for superlatives, but even they 
have come almost to take for 
granted the seemingly inexor- 
able way in which the state 
continues to grow. Other states 
in the Sunbelt — the strip of 
states stretched out along the 
southern third of the U.S. — 
may be having theiT problems. 
But Texas is different 

This is not to say that the 
state has remained completely 
immune to the economic cnr- 
rents in the rest of the country. 
Nnr is ft to suggest that there 
are not some clouds on the hori- 
3«jn as the reserves of oil and 
gas which have underpinned the 
State for so long continue to 
run down. But the state’s 
strength is so broadly based — 
its economy so diversified — 
that the prospects for the future 
may well be as bright as Texans 
like to say they are. 

The statistics tell part of the 
story. Texas is the largest state 
in terms of land apart from 
Alaska. After California and 
New York, it is the third largest 
state in terms of population. 
It still has about one third 
of the nation’s oil and gas re- 
serves, and produces nearly 7 
per cent of the country’s food. 

Of the ten fastest growing 
urban regions in America, four 
— Houston, Dallas. Austin and 
San Antonio — are in Texas. 
Houston alone grows by 1.000 
people a week and continues to 
grow at a pace that surprises 
even some of its own citizens. 
Dallas, now. linked to Fort 
Worth, in what Texans like to 
call a metroplex " has become 
a major distribution centre and 
continues to be an important 
manufacturing area particu- 


larly in the aerospace and high 
technology fields. 

Dallas also boasts the world's 
second largest airport which, 
its developers, hope will help 
the area to become the cross- 
roads of America by the begin- 
ning of the next century rather 
in the way that Chicago profited 
from its position as a rail junc- 
tion in the last. Good roads, 
air services, telecommunica- 
tions and rail freight lines bind 
the sprawling state together. 

With all these advantages it 
is not surprising that even 
during the - recession of the 
mid-1970s Texas economy has 
remained buoyant, and with it 
most of the state's industry. The 
cornerstone has, of course, been 
the* oil and gas industry, 
although together they employ 
a very small proportion of the 
state's 5.6m. workforce. 

Not only has the industry 
provided a ready, and historic- 
ally a cheap, source of energy 
in the form of natural gas, but 
it has also been a major reason 
for Texas’ expansion. Many 
companies, used to increasing 
tax rates in the North and Mid- 
West, have been attracted to 
Terms by the fact that it has 
no state income tax and no 
state corporation tax. The major 
reason for this js that oil and 
gas contribute 21 per cent of 
the state’s revenues or some 
$957m in the two years 1978 
and 1979. 


Indeed, for Houston — -where 
the growth has been and still is 
the most frenetic — the OPEC 
oil price rise has brought 
nothing but benefits. About 500 
companies connected with ail 
and gas now have offices in the 
city which fully deserves its 
title as the oil capital of the 
world. And the rise in the oil 
price — and the prospect that 
the Federal Government may 


and able to nse either Texan or 
imported crude oil as an 
increasingly attractive alterna- 
tive feedstock. 

But Texas' appeal to foreign 
investors is not merely its 
reserves of energy. The state 
bas also seen major investments 
in property both urban and 
rural. In Houstoo, for example, 
it was announced last week that 
a consortium led by Deutsche 


suffer a water shortage in some 
of the key agricultural areas. 

Agriculture has been sup- 
planted as the State’s major 
source of employment by a 
diversified manufacturing sector 
and by a whole range of service 
industries. Around Dallas and 
Fort Worth, the aerospace in- 
dustry is emerging from a 
diffi cult period in sound health, 
buttressed by long order books. 


work in agriculture are em- 
ployed in service industries 
with by far the largest number, 
about 850,000. in retailing. 

The construction industry, 
which employs about 400,000 
people, continues to thrive in 
the larger cities in the state. 
In Houston there is nnw a 
serious shortage of office space 
and housing construction is un- 
remitting to keep up with the 


State of growth 


By David Bell 


Reserves 


Although the decline in the 
state’s energy reserves— now 
thought to be bottoming out in 
the wake of an almost unprece- 
dent surge of new exploration 
— has been serious, its effects 
have been effectively offset by 
the sharp rise in the price of 
oil since early 1970 so that the 
price of an average barrel of 
Texas oil has more than 
doubled. 


agree on a range of higher 
prices still for newly discovered 
oil and gas — have lately en- 
couraged a ne w burst of drilling 
which has in turn delighted the 
city’s oil industry. 

Texas is also a major centre 
of the American chemical 
industry and the state has 
begun to attract not only 
domestic chemical producers 
but also companies from over- 
seas. the latter in increasing 
numbers. ICL BASF. Hoechst, 
La Roche, La porte and Solvay 
are among the European com- 
panies that have recently expan- 
ded their investments in Texas. 
Japanese petrochemical com- 
panies have also expressed con- 
siderable interest m the state. 

Some of these chemical com- 
panies have been worried by 
the possibility of a shortage of 
natural gas, and by the rise in 
its price, hut the industry con- 
tinues to be in a strong posi- 
tion — close to the sea. with an 
experienced labour force, close 
to massive existing facilities 


Bank has bought about half of 
one of the city’s most attractive 
office blocks for an undisclosed 
figure. This is but the latest of 
a series of such purchases. 

Agricultural land is somewhat 
less in demand in Texas than 
elsewhere in the Sunbelt, but 
that is no reflection on the 
health of the state’s agricultural 
industry. Some 1 39.8m acres of 
Texas are devoted to agriculture 
and about half the $6.6bn worth 
of farm income last year came 
from livestock. The rest came 
from a variety of cash 
crops, cotton being the most 
important 

The state has set itself ambi- 
tious targets for expansion 
despite the fact that in the past 
two years higher feed costs and 
lower retail prices have 
squeezed even the largest farm 
Incomes. In the past few 
months this picture has im- 
proved, but there is still con- 
cern that the targets may not 
be met because the state could 


The apparel industry, also 
centred on Dallas, is also doing 
well and Texans are employed 
in any number of different in- 
dustries, a major factor in 
attracting new manufacturing 
concerns since this means that 
the Texas workforce is becom- 
ing steadily more skilled in a 
variety of trades. 

Total non-agr) cultural employ- 
ment at the start of this year 
stood at close to 5m and the 
State unemployment rate is 
■ already recovering from the 
effects of the winter. It is 
around 4.7 per cent or rather 
more than a percentage point 
below the national figure. In 
Houston and Dallas, the figures 
are even lower. Indeed these 
two dties are at or very near 
the top of the national table of 
the major dties with the lowest 
unemployment rates. 

But although the manufactur- 
ing sector has grown, it still 
accounts for only about 19 per 
cent of the workforce. Some 80 
per cent of Texans who do not 


expansion of the population. In 
Dallas the picture is not quite 
as encouraging but demand bas 
picked up and during January 
this year, the value of industrial 
contracts and building permits 
amounted to STTlm. about 10 
per cent higher than a year 
earlieT. 

One of the only parts of the 
state where the employment 
picture is not so encouraging 
is concentrated in the Rio 
Grande Valley which is rela- 
tively remote from the rest of 
the state. Indeed the major 
problem identified by some com- 
panies is an incipient shortage 
of skilled labour, partly a 
reflection of Texas’s continuing 
growth, but partly also a result 
of the state’s failure to spend 
as much as it might have done 
on vocational training, a 
deficiency which is now on the 
way to being remedied. 

All this must make Texas an 
increasingly attractive place for 
other foreign companies to 
establish manufacturing bases. 


Until recently, Texas has been 
relatively indifferent to this 
kind of investment, but it has 
now begun to promote its 
attractions abroad and this cam- 
paign seems likely to intensify. 

If these attractions are con- 
siderable, there arc also prob- 
lems facing the sore in the year 
ahead. The most obvious is the 
slow decline in oil and gas 
reserves which could force \hc 
legislature, which only meets 
every other year, to look for new 
sources of revenue as the oil 
and gas industry pays less tax. 
As long as prices continue to 
rise as they have done, this 
problem is less than acute— and. 
of course, new reserves an? 
being found. But it is an issue 
which may have to be faced 
sooner or later. 

Then there is the water prob- 
lem. Although Tesas has vast 
reserves of water, they are 
being depleted rapidly, particu- 
larly in the western region of 
the state. Rising energy prices 
have also pushed up the cost of 
irrigation. A return to dry land 
farming — because of these two 
factors— on any large scale 
would reduce the output of the 
state's important agricultural 
sector and thus damage the 
economy. 

There is also the question of 
immigration. No one knows 
how many Mexicans are still 
slipping across the border into 
the state or, .for that matter, 
how many are already there. 
But there are faint indications 
of problems to come — the most 
recent being a small, but ugly, 
riot in Houston which under- 
lined the resentment felt by a 
part of this immigrant com- 
munity. A steady increase in 
Mexicans may, "for a time, lead 
to greater demands on the 
state’s welfare budget and lead 
to problems in some cities not 
unlike those already experi- 
enced in the North. 


Indeed, both Houston and 
Dallas may, to some extent, be 
living on borrowed time. Both 
have expanded in pell-mell 
fashion. Planning restrictions 
are few and the cijies depend on 
a network of motorways to keep 
ihem npenumg. Tho-se roads are 
already badly blocked during 
rush hour and the problem is 
sorting worse. 


Pollution 


With all this traffic, itself 
steadily more expensive as 
petrol rn*N rise, has come a 
great increase i:t pollution. 
Houston, which also gets a great 
deal of pollution from its nearby 
chemical plants, note has a 
serious pollution problem and 
in the summer, the centre of the 
city is sometimes invisible 
even Trom six miles away, 
hidden behind a chemical ha.’*'. 

Yet Texas' nnporupM-es cur- 
rently far muwelch these dis- 
advantages and its geographical 
position, diversified economy 
and low housing, labour and tax 
loss should make if a formidable 
competitor in the battle to 
attract more foreign industry to 
the Sunbelt and m entice exist- 
ing American industry away 
from the North East and ihe 
Midwest. 

Fifty ppr cent nf all the 
people nnw living in Texas were 
not bom there. The - s tate no 
lodger deserves the “cowboy 
and nilwell" image it has had 
for so long in the rest of the 
world. Houston and Dallas, 
where nearly half the Mate’s 
population live, have effectively 
become the new image of the 
state. On balance, that is as it 
should be. But there are some 
older Texans, still fiercely 
proud of how far their state has 
come, who will acknowledge 
that something may have been 
lost in the process. 




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throughout the Big Country and 
Mexico. For example: 

Leave London Gatwick 11.45 am 
Arrive Dallas-Fort Worth 3.05pm 


Houston 
San Antonio 


5.50pm 
5.45 pm 


Oklahoma City 5.00pm 


Tulsa 
Denver 
Kansas City 
Mexico City 


5.10pm 
5.30 pm 
6.40 pm 
6.50 pm 


FARES 

There is a wide range of low 
fares, including Stand-by, Budget, 


/Sal! Lake*— 




Advance Purchase Excursion, , 
Economy and First Class.To 
Dallas-Fort Worth there are no 
lower fares than Braniff s. 

RESERVATION SERVICE 
For flight schedules and reserva- 
tions (including seat assignment) 
call your travel agent or the 
Braniff reservations centre in 
London 01-491 4631. 
Aberdeen 

Birmingham In these cities 
Edinburgh Dial 100 and 

Glasgow ask Operator 

Liverpool for Freefone 

Manchester 2276. 

Sheffield 


So. \ 
, CahfOfTKI 


AfL-wu 

Phoenix 


Colorado Springs i 
- / CotOf^Uo 


Albuquerque 

AmariUcT* 


Kansas 

Wic«ta. 




\r -v 

Kansas City 


San Diego j 


BPa» MdiaMf- 


^FbrtSmiUI 
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DAUJtiPvJ'shrevepMt 

FORT WORTH - 

///l l \ :{*«*■»' 


eiasgo£^i&ii*wah 

Leeds a|k 
Manchester 

londonIs 


Amsterdam 

■BfUBuk 

'^•FianWurt 

Munich 


Zudtt,' 


^Corpus • 

/ Ghfiatl 


.HomeAy pmu, 
\MkM» 
\E*jt 



Acapulco* 


i Mexico C8y 




Mainland USA, Alaska, Hawaii, Mexico, South America, and Europe, 







Increase in natural gas activity 


THE PACE of activity in the both gas and oil and often find tious. porarily fallen back to about sixmers to plan for the next ten state are- beins 

Texas natural gas industry these both when they find one). Now President Carter, when cam- 91.90. years with a 


made at depths of the state's sas comes from natural gas both ftmn Mori* 
le next ten and 20000 feet some 161.000 ui! wells. and the Middle East. Elaborw, 

- . - years warn a reasonable of be {w 66nl “ • ilv The f a u in Ihe resvrves and schemes stand ready to go into 

days is little short of frenetic, there are about 2,200 at work palgning in 1976, told Texans So enticing has this price certainly about price. The end- A well oi inis dri n tbe concern that Tesas gas pro- uperation but they have been 

New wells, deeper and more and most estimates suggest that he favoured ending this Federal differential been that almost no ing of the distinction between cost as much as 90n \- ^ .. Auction may have peaked has held up bv the Federal Govena- 

expensive than ever before, are this number will increase by intereference in gas prices newly discovered gas has left intra and interstate gas will and only one m seven • j_| nd j ed interest among pipe- ment which still insists that 
being drilled at a faster rate about 100 a year for the next which, he said, had kept prices Texas and the last estimate by also mean that much of the gas typically yieia reco ^ companies j n imparting the price bring charged by both 

than for 20 years and companies few years. More rigs, in short, artificially low and had been the Texas Railroad Commission, produced in Texas, Louisiana reserves of gas. liquid natural qas and it has Al rt eria and Mexico is too high, 

are returning to areas rejected are at work than for 20 years, responsible for the steady which regulates oil and gas in and Oklahoma (the three major ^he Gomez Field in Pecos a ^ Q prov j ded the* impetus fur Whatever ihe merits of. the. 

even two years ago as too costly But all this activity cannot decline in new wells and new Texas, was thaat 96 per cent, gas producers) wDI flow into coun ty. where good amounts of ^markable encr g y conserva- Government’s rasC. it is unde, 

to exploit mask the fact that Texas re- discoveries. This was music to of new gas has remained within the national pipeline system, 0&s haVC recently been found. * ion ojm p a j fiB nQW inic j er way niable tbal dealing with- the 

The reason for this sudden serves of ga S are still declining. Texan ears, but their pleasure the state. The first effect of thus reducing the immediate £ as had wells drilled in it to . . auspices of the state. Federal Department of Energy 

burst of activity is the steep rise WeU « are § Qm S deeper, gas is was short lived. Last year Mr. President Carter’s energy com- threat of shortages. a dep th of 22.000 feet and the neariv 60 per tikes a lung time. And it wist 

in the price of gas and the being found, old wells are being Carter was all for continued promise will he to alter this Opponents of the deregulation deeper the drills go the more ‘ f ' “ d0 s £d Tennecn one uf ihe companies 

prospect that the price is going redriiled using new technology regulation, albeit at higher because if it goes through, the 0 f natural gas have argued that it At the new prices such J;. 0 ‘ f «... is lrvin _ ‘ fix a deal with Algeria, 

to keep on going up. How fast it — 15111 most experienced pros- prices. Then, this year, he distinction between interstate the companies are already being tlril j in g is an acceptable com- ' ■ «nw MWUOflO in non-return, 

will climb in the future, and P 6Ctors doub t that there are reversed himself again as the and intrastate gas will be pa jd more than enough to en- mercia l risk and will enable the “S P £iH- L, laid ^ble filin" fees alone when it 
much else about the industry, many, or any, very large fields Energy Bill remained becalmed abolished. courage them to look for new Industr y to take a look at the hv ins m n «t5 ectric mad** its application •• in 

depends on decisions now beii£ left to be found. What is hap- in Congress. Now the Admini- At the same time, the com- gas and that the present com- SO od looking basins ^^5 mort riectriC made Us- appi * 

painfully hammered out in Pemng, however, is that the stration. after all, favours promise provides a formula for promise is a “ripoff." They also th at up t0 now have been too Vo newer Complaints about regulation 

Congress in Washington. reserve figures are “bottoming phased deregulation. new gas which will allow the charge that many natural gas from - ■»«-««- *« a other ““ gas to power complaints t«»n. 


Agreement on the exceedingly out.” • price 0 f new gas to rise by the prospectors know where more profitably” as one leading gas ^t£est°tJiat' Snc^^and^ oppSsitK? 

implicated issue of natural gas Natural gas pnemg in the ATgUDieiltS rate of inflation certain gas is to be found but have comp3ny chairman puts XL ne?£nt Sthe date’s electricity public interest lobbies abound 

pricing has been in sight, but U-S. has become a paradise for percentage points between now deliberately not eploited it in H last year for f nt he M Buttiie drill, 

just out of reach, for some lawyers, a regulatory minefield The arguments about the and 1985. By then, when con r order to drive up the price. fu ll figures are yet avail- mari^ble 74 per cent' drop ing figures indicate that -the 


weeks and a deal will probably for gas producers, a political details continue but the broad trols will be lifted, the price Texans indignantly reject ^ T^s^ provenlas' raen“es sXxTIt the "of mmsuise 'to ' prices and the 


not be struck for some weeks football for Congress and a outline of what this means is will be around 54 per mcf. these charges. They note that ^ some 64 . 6 ^lion cubic ™ prospect that prices will rise 

yet But most experts, and most source of endless confusion for now clear. Since 1954 Texas has Two years later, when Congress ^ new prices proposed in the V * down 5 trillion from the y - still further has already had 

companies, are reasonably host consumers. It has been so been free to price gas used has watched the unregulated gas compromise are for new gas ™ before Estimates for last But 1116 state “ concerned kcd flBtct on industr y 

happy with the shape of the in varying degrees for about 40 inside the State how it likes, market at work and made sure ^ defined ^ the labyrinthine - ea _ indicate that this decline “ jt reduces such use of d j faard tQ escape the 

compromise now emerging and years, but since the supreme but interstate gas has been set that it has not “gone mad,” regulations which will accom- 17“ * w be over and that the gas— freeing it for use as * 

figures bear court decided in 1954 that the at the Federal price— now 81.45 controls will be abolished nnni7 thp fina t h ill if it ever »« feedstock for 


the drillin'* 


Five years ago 

only 1,000 rigs operating in the whole issue bas become steadily for intrastate gas up to about ducers, pipeline companies, a different formula and will .^Thi-her' 

United States. (Rigs look for more complicated and conten- $2 although it has now tem- industrial corporations and con- not pj se in pr i ce s0 rapidly, ** 

Nor can existing contracts be 



companies. « more slowly than previously 

compromise soos through they experted) tbe immediate future 

will find it much easier to o f or industry is a bright one. 


. , - - _ regulations which will accom- mav now be over and that the g«s— areeing it ior use as « fe«line that some companies da 

bear court decided m 1954 that the at the Federal Iprice-now 81.45 controls will . be abolished ^ ^ ^ bilI if it ever e ™r£ous increase in dmiSg feedstock for chemicals and jo 0 ^ ch " 

eloquent testimony to their new Federal Government has the per mcf (1,000 cubic foot), permanently. makes its way out of Congress. = ctivitv is enough t0 stop ^ stretching out the reserves- » alth01lgh th e state does 

found optimism. right to regulate the price of Demand for gas in Texas has The effect of this— if it goes 0Id gas> ^ ^ gas discovered J b reserves though not to o£her states 1&e California may fac j ^ nroblems in the long tem 

there were ga s shipped between States the been sufficient to push the price through-will be to enable pro- b e? 0 r e Aprfi 1977° is subject to Ssh tore dsni- take the opportunity to buy figSre® S 

aHno m t h« ; CC ,,P ha« fo. «« - e P - - -»* pusn oveT:iLL S 515111 Texas gas for their own utility “portly SexoraMyOf much 

companies. If the natural gas slowly than previously 

— mmnmmise TOPS through they 

altered. Some of these provide PfranUCLlOTI 
gas at as low as 50 cents per 

mcf for as long as 20 years. The state produces .mi 

The Texan gas industry 36 per cent of all the gas Sas will have vanisnea i a W here, there is another huge 
argues that the new prices for produced in the U.S. and J s . a J . P rep3r s sas field waiting to be dis- 

freshly discovered gas are currently there are some 29,000 “ fi ght to stop tnis. covered. If there is, the present 

essential because of the cost wells producing nothing but Pipeline companies operating spQte 0 j nev d rillings is unlikely 

of looking for it and the cost gas which account for about in the state and beyond have ^ 

of getting it out of the ground. 80 per cenL of the gas pro- taken a great interest in the David Bell 

Many new gas discoveries in the duced. Another 19 per cem. possibility of importing liquid T 1 


this (because the distinction _ And ttcre js always th e 
about between inter and mtrastaje Derbaps offshore some- 


Foreign investment 


done as well as 


The Germans have made 



Group 


in Houston 


Lloyds Bank International’s Representative Office 
in Houston is responsible for the development of all aspects 
of the business of the Lloyds Bank Group in the 
South Western United States.The Office is a recent 


addition to the Group’s established presence in New York, 
California and Chicago. 


The Lloyds Bank Group has branches and offices 
throughout Latin America and Western Europein addition 
to a strong presence in the Middle East and the Pacific Basin. 


Vice-President and Representative: Michael W. Shaw, 
Suite 3680, 601 Jefferson, Houston, Texas 77002, U.SA 
Telephone 713 659-6030. Telex 774 250. 



LLOYDS BANK 
INTERNATIONAL 


40/66 Queen Victoria St, London EC4P4£LTet 01-248 9822 
A member of the Lloyds Bank Group 


Fellow subsidiaries of the Lloyds Bank Group: 

Lloyds Bank California, The National Bank of New Zealand. 


LSI, the Bank of London & South America and their subsidiaries have offices in: Argentina, Australia, Bahamas 
Bahrain, Belgium, Brazil, Canada, Cayman Islands,Chile.CoIombia, Costa Rica, Ecuador, Egypt, El Salvador France 
Federal Republic of Germany, Guatemala, G uemsey, Honduras, Hong Kong, Iran, Japan, Jersey ’ ’ 

Malaysia, Mexico, Monaco, Netherlands, Nicaragua, Panama, Paraguay, Peru, Philippines, PortugaLRepublic of Korea. 
Singapore, Spain, Switzerland, United Arab Emirates, United Kingdom, Uruguay, Venezuela. 



DURING THE recent primary sidiary” — and the State’s con- attract manufacturers who will none bas 
for the Democratic nominee for stitution -specifically prevents a use locally produced raw mate- Houston, 

the Governorship of Texas, the public sector deficit rials raiher than, as tended to 

nastiest thing the incumbent All this may not make the be the case betore, merely buy- 
Governor could say about his State a very pleasant place for ing their materials in Texas 

opponent was that he was in those who cannot get a job— and processing them elsewhere. s P en ?° fi c “ 

favour of a state income tax. A and, despite the low level of un- So Car, most of the big multi- mated ®-Wm. in tne same two 
vote for John Hill, Governor employment for the State as a national investments in process* period. An 80 per cent 
Briscoe’s advertisements warned whole, there are areas where as ing seem .to have been made share in the towering Pcmizoil 
darkly, would be like “tying a many as 16 per ceuL of. tbe,.by ..companies, - like- KJ1 -aud building- in Houston, for 
hangman's noose" around Workforce are unemployed — » American.-. Hoecli&t, -operating example, was bought by German 
Texas's neck. The point was but it does make Texas 'an either in ’the oil or chemical investors for $92.9m last year. 

rammed home graphically with attractive business proposition, sectors. And only last week the Germans 

a picture of a piece of rope, and Some of these attitudes are This kind of investment is added another clutch of prn- 
the text went on to repeat shared by other Sunbelt states no t, 0 f course, new to the area: perty to their portfolio. The 
Briscoe’s view that the last but according to one survey, many 0 f the big multi-national Swiss and the Canadians have 
thing Texans wanted was “ New Texas has a better business n ji companies have been repre- also been active. Canadian 
York style Government or climate than any other state. sented in Houston for years. But interests paid around $22.7m for 
Washington bureaucracy.” The study, earned out by the t j ie officials say there is much two apartment blacks . and 
In the event, Mr. Hill won, Fantus organisation, used a raore j Qterest ^ otber y nds 0 f three office buildings in 
but only after he had refuted J at | n8 syst ^ m bas f^ oa , supb manufacturing investment Houston last year, 
what he described as Briscoes g ^ 0r *j a J fovpLnint today than there was. say, .five Partly because of exchange 

character* 8 In tim last few days and welfare benefit! * ear * ag0 * hen cont “ ui ^ "f controls. British proj^y 

of the campaign Gil Uvas'f orced Texas, as one of only four ene^y supplies was not such an investment gmieratiy been 
to use virtually all his available 513163 without corporate income lssue - “ore subdued than ; the big 

media time spelling out his awn tax * and six without personal deal s signed by the German's 

income tax, scored 87 per cent Jl FODCrtV bllt some Brl Msh companies 

overall — just ahead of Alabama ■ ■* have been building up their 

— and was rated “excellent" on The other big growth area in investments behind the scenes, 
such things as union regulations foreign investment has been in A British pension -fnhd, for 
and taxes. (Illinois, which had property. With increased con- cx aniple. recently bought a 
commissioned the study, gained 5 truction costs yields are a shopping centre outside Hous- 

— com£o ? fro “ the results: little lower than they were a . lon while , listjw, British 

Briscoe's mud stick. it was wa? down the ist). few years ago. But a number mvestors bought two office 

The lack of both personal and oi the big insurance companies brings, and a half interest 

corporate state Income taxes is ^artiv e S5Lin 0St ™h^ 34111 366111 to regard it as a good in anotb6r - for about $15m - 

just one of the factors which 2, an P L n !?r investment The influx of new As for the Arabs, eveiybody 

has made the state attractive to and Fluor have companies into Houston has assumes that they are In jtte 

into the State. And. as state there are still plenty of bave P"”® ' PUf? 116 * 


opposition to income tax of any 
sort In a' state where, accord- 
ing to one political commen- 
tator, saying a politician is in 
favour of new taxes is like 
“accusing him of child rape" 


outside investors. The fact that 
it bas been able to survive so 


long without raising money Goveramen^offici^ p^it^uL applicants for office space. Only Interestingly, somfl of these 


™ “success attracts success.” The a few blocks are built on spec: have been in TexanmanufactOT- 


SSsL^nd1?istiiSwS^ influx of companies has ensured have been leased before- mgeompanies, rather thro^ -Vto- 
SrUbS **« TexM maintains its place construction begins. Vgt Teran 

industry to the state and helped “ t one _ ^ , fast ^. ^wing In all, foreign investors are 
it grow faster than other areas. U 2J° 11 ’ Th “ 1 “ tupn «W to have spent $300ra. W-Jf 

The icing on the cake has been Iptoor eompamea to property in Houston alone in 

*• C,hMte 0f ° mm reHerted S™ ° “ Pl ° ,t U,B '» STr “ ^ 

2S *£?»££? JSSSZ « 

e foreign money though LillllOr VjOOu HiaH 


Money 


politan area is now home to 
more corporate headquarters 
than any other urban area 
apart from New York and 
Chicago. The move is, 
course, part of a wider trend 

sermons extolling the virtues of S tates^but 

sefm^oITto tJTSrSS l bee? T*mHor°* ^ 

IS.® S5SM " « 

in Fort Worth, for P v amn i a ' chemicals has traditionally 


In Texas, there is absolutely 
nothing sinful about making 
money and preachers still give 


point with pride to the'Hiv t Cted 83 . 8 maenet f °r o^er 

Corporation's a tw*o la =? 


office blocks which dominatethe ^ 

city like monuments to free Jhk made 

enterprise. w- 'r»x. ti 11 . 5 . ma suet ail the more com 


say, with an a^'iratio^whfclf ^! ,ing ' Enei R pri f vvere - of 
until you have been tn !£„' . cou , rse ’ one fac t°r, but mcreas- 
you would have T j X 3S ' m S 1 5’ the emphasis seems to be 

the product of a on the continuity of supplies 

writJ!? l t mov,e in Texas. 

iith nnth^ 8 t na , ? n, I l tart f d Aether factor wmen uas 

is Sittine nn fi f t ^ d f i « 0k ^ hat he drawn companies into the State 
is ^tting on top of now.” has been it g00d co mmuiaca . 

tnese feelings are not of tions. The Dallas Forth Worth 
shared by all Texans area has long been a distribution 
ana the State is not by any centre for the South Western 
means without its social ten- States and the opening of the 
sions. But in general, the work new airport has both increased 
ethic reigns supreme. Welfare and expanded this role. The city 
benefits are low and the average authorities can quote numerous 
working day starts at eight and examples of overseas companies 
ends at five. Wages are lower which bave chosen the area as 
than in many other states while, the starting point for breakin° 
despite odd successes by the into the South Western markets* 
unions at individual plants, The Texans have only re- 
union membership is also rela- cently started to court foreien 
lively low at around 13 per cent investors seriously and many 
of the workforce. The cities are of the manufacturing n i. n ». 


,. T w of the manufacturing plants 

run like businesses— in conver- which have been opened bv 
sation last week, one Dallas foreign companies have 
official quite 


been 


r j ^ unconsciously relatively small employers. But 
referred to a suburb as a “ sub- the State now seems anxious to 


DeGolyer and 
MacNaughton 

PETROLEUM CONSULTANTS 


RESERVOIR ENGINEERING 


EXPLORATION GEOLOGY 


MINERAL EVALUATION 


ECONOMIC AND MANAGEMENT 
ANALYSIS 


ONE ENERGY SQUARE, DALLAS, 
TEXAS 75206 


TEL: 214-368-6391 


TELEX: 73-0485 


CABLE: DEMAC 






A \ 


v v 
















Financial Times Wednesday May 17 1978 



TEXAS INDUSTRY m 


of the oil world . . 


•t ^ t 

■ ■ i [ 


THERE IS one week each year 
when it is effectively impossible 
.to get an hotel room in Houston, 
America's fastest growing city. 
Earlier this month, more than 
70,000 delegates made their 
annual pilgrimage from all' over 
the world to the . City for the 
Offshore Technology Conference 
which, more than anything else, 
underlines Houston’s unchal- 
lenged pre-eminence in the oil 
world. 

- The City’s position as oil 
capital of the world has been 
strengthened by the events of 
the past few years. The fourfold 
increase in the oil price — and 
international concern about a 
future world shortage of energy 
— has led to a flood of new ex- 
ploration for oil all over the 
world. The oil companies— and 
the corporations which 'supply 
them with everything from food 
to drilling bits— have domin- 
ated this search from their 
offices in Houston. 


Reserves 


But they have not forgotten 
the reason that they are in 
Houston— and in Texas — in the 
first place. Texas has 29 per 
cent of America's oil - reserves 
and only Alaska (with 31.6 per 
cent) has more. The state pro- 
duced 40 per cent of total 
American production in 1976, 
the last year for which final 
figures are available and once 
again is now second only to 
-Alaska which did not begin to 
come on stream until last year. 

Oil and gas together pay 21 
per cent of the operating costs 
o! the State of Texas. The in- 
dustry employs more than 
300,000 people and pumps wages 
of well over $4bn. into the state 
each year. Houston alone has 
dose to 500 companies — rang- 
ing from Exxon and Shell down 
to small seismic companies — 
within its city limits and the 
number is growing steadily. As 
many as half of these companies 
are involved in the North Sea 
in one way or another. 

Well over 700 of the 2,200 
rigs now estimated to be search- 
ing for oil inside the United 
States are at work in Texas 
and the recent spurt in activity 
—itself of course a result of the 
increase in the world oil price— 
has set off a rush to look for 
new oil or to return to fields 
which are economic at the new 
prices. "The fact is that more 
people are getting modestly 


wealthy out of off at this duction of domestic oil and it 
moment than at any time in the is impossible . at this stage to 
state’s history,’ said one re- predict what compromise will 
tired oil executive. # eventually be reached on the 

,Yet for all Texas pre- oil price issue. There are those 
eminence in the oil world and i n Texas, and elsewhere, who 
for all the optimism and drill- hope that the President will be 
ing activity, the underlying prepared to forget all about the 
picture is not all that encourag- 0 u part of his bill. Others are 
ing. Since oil became a major pleased with the incentives that 
source of energy some »0 oil- £h e measure might offer ex- 
fields have been found in the p j prers for new oiIt but less 
V S. with reserves of more than dear about the precise cost of 
3bn. barrels. But only one of o!d oil— that is oil discovered 
***** ,Sj Q ds has taken plaCe hefore April 1977 which the 
_ . . . President has proposed to push 

Prudhoe Bay— in Alaska-.s up t0 tj, e wor]d £ rice Mtag a 
of course a major success story tbrpe tKC r ^ 

and its production alone will 

eventually climb to some 1 . 2 m. Texas is following this whole 
barrels a day compared to issue minutely, but in the 
Texas’ current output of around interim period before it is 
1.2bn. barrels a year. solved the state — and Houston 

But there bave been no finds in particular — -has plenty to 
of this size in Texas. If the think about. Companies like 
state continues to produce oil Cameron Iron Works. Marathon, 
at the present rate of about Hughes Tool and Halliburton. 
3.2m. barrels a day its existing which supply a full range of 
oil reserves will not last long, equipment and services to the 
The 3976 oil reserve figures of oil industry, are working full 
some 9.2bn. barrels was nearly time to meet world demand and 
lbn. below that for the year the delivery time for a new rig 
before and such decline, if it has stretched to about 38 
continues, would quickly months. (The offshore rig mar- 
exhaust the state’s oil and 
cause serious problems for the 
state exchequer. 

There are indications, how- _ 

ever, that the new drilling.which Tj 

began in earnest in the autumn f I 

of 1976 and has since gathered • ■ • -■ 

pace may actually have baited 

the decline in the reserves. MORE THAN 50 years ago the 
However, no one expects that C j ty fathers of Houston decided 
all the new exploration will do t 0 b U jid a deep ship channel 
much more than slow down the to connect the city with the sea 
rate_ at which the reserves SO me 40 miles away. At the 
decline and that is a major time it seemed to many 
reason for the unceasing stress observers to be the height of 
that the oil companies continue f 0 n y . 

to put on the need for conser- But time has proved them 
vation. wrong. The channel has become 

So far the state has scarcely focal point of one of the 
noted the decline in reserves largest chemical and petro- 
be cause the Average price of chemical complexes in the 
a barrel of Texas oil bas more world and has propelled Texas 
than doubled since 1970. The jmo current position as pro- 
price will, no doubt, climb ducer of no less than 46 per 
further although for the cent of the nation's petrochemi- 
moment the world oil glut has ca ] S . 
led to a certain softness. How 
far it will climb depends on PfnfillPAlM 
actions taken on the world A lUUUl'Wo 

stage and, as far as Texas is The list of members of the 
concerned, on actions taken by Texas Chemical Council has 
federal regulatory authorities always included all the coun- 
in Washington. ' try’s major chemical producers. 

The joint Senate and House Most of them were attracted to 
committee which is consider- Texas by its proximity to the 
ing the President’s Energy Bill sea and to the inland coastal 
has yet even to broach the pro- -waterway system, by its relaxed 
posed new tax on wellhead pro- attitude to pollution and by the 


ket by contrast, is said to be 
somewhat easier.) 

State oil companies from 
countries like Algeria. Vene- 
zeula and Peru have set up 
buying agencies in Houston and 
are doing millions of. dollars 
worth of business in the state. 
Some of the opportunities are 
unlikely. The catering division 
of Grand Metropolitan, for ex- 
ample, has just opened an office 
in Houston to offer world wide 
catering services.- Among its 
more remarkable achievements 
so far Is the feeding of 1,200 
Japanese in Nigeria. 


Refining 


The state's oil refining indus- 
try has been, perhaps, the first 
sector of the oil industry really 
to notice that America is 
steadily importing a greater 
part of its oil. Texas oil re- 
fineries now import at least 35 
per cent, of what they process 
and some large companies are 
now processing more than 40 
per cent foreign oil. 

Although the proportion of 
Texas oil may grow, ho one ex- 


pects this figure to drop 
very much in the next 10 to 15 
years — even if the energy bill 
becomes law and conservation 
takes hold. Texas could there- 
fore be affected by the shortage 
of really deep moorings off the 
coast A plan proposed by nine 
companies and called Seadock. 
which would have established a 
deep water terminal offshore, is 
currently ensnared in a mass 
of environmental objections and 
its future is unclear. 

However It is more likely that 
LOOP — the Louisian Offshore 
Oil Port — will go ahead and 
some of the oil shipped through 
it may find its way to Texas. In 
the meantime significant quanti- 
ties of oil are being transhipped 
at terminals in places like the 
Bahamas and Curacao. 

All this was graphically 
underlined by the Offshore 
Technology Conference. Exhibi- 
tors crowded the astrodome, 
Houston’s futuristic sports 
arena, and the programme of 
papers delivered at the confer- 
ence covered almost every con- 
ceivable aspect of the worldwide 
oil industry. 


For Texas believes that price 
will lead to more oil. It con- 
tinues to have faith that tech- 
nology will also play an 
increasingly significant part. 
Engineers reckon that as much 
as 1.2 bn. barrels of oil may lie 
waiting to be received by new 
techniques in existing fields, 
utilising such techniques as 
"water flooding." 

New drilling techniques ItJce 
new gathering techniques may 
also reduce the cost of getting 
the oil out — a not insignificant 
factor when it is remembered 
that the average Texas oil field 
yields a mere 19 barrels of oil 
a day and that 96 out of a total 
of 8.642 fields produce some 70 
per cent of Texas oil. 

Houston certainly is over- 
flowing with confidence and 
continues to expand at tbe rate 
of 3,000 people a week. There 
is now a shortage of office space 
in the city and the rush-hour 
traffic jams bear witness to the 
speed with which the city has 
grown in tbe past ten years. 
As Houstonians are fond of 
noting, even if Texas begins to 
feel the decline in the states 
oil and gas reserves, that will 
not make too much difference 
to Houston. 

For the. city has taken Texas 
as its foundation and built itself 
into the energy capital of the 
world and there is nowhere 
else on the horizon to challenge 
its current position. 

D.B. 


. . and chemical centre 


absence of state income or cor- 
porate taxes. But above all 
they were drawn to the state 
by its abundant supplies of 
energy— both oil and natural 
gas. 

These same attractions have 
now begun to lure foreign 
chemical companies to the area. 
Imperial Chemical • Industries 
has embarked on a $250m. joint 
venture in Corpus Christ!. 
Laporte and Solvay bave begun 
to develop a 630m. to $40m. 
petrochemical plant at Baytown, 
the Japanese have made signi- 
ficant investments and so have 
companies like Hoechst, BASF 
and Hoffman-La Roche. 

And that may only be the 
beginning as European and 
Japanese chemical companies 
come increasingly to want to 
establish significant manufac- 
turing facilities in the United 
States. BASF, for example, has 
just brought out Dow’s interest 
in a joint plant the two com- 
panies were operating in Free- 
port, and no one expects the 


foreign “invasion" to come to a 
halt at the moment. 

The surge of foreign interest 
in the industry, however, comes 
at a time when some parts of 
it are more nervous than at any 
time in the recent past Many 
of the plants have been affected 
by -the- prolonged “softness" of 
the chemical market and have 
been operating at lower 
capacity than they would like. 
At the same time those com- 
panies without their own sup- 
plies of natural gas — the 
prime feedstock — have been 
hit by tbe enormous increase in 
the. price of this gas. 

Some plants were built in 
Terasr "more or less on the 
assumption that the era of 
cheap gas prices would last for 
ever. Less than ten years ago 
some plants were receiving gas 
at about 20 cents per 1,000 cubic 
feet and some of if was as 
cheap as 15 cents. New gas now 
costs just under $2 per 1.000 
cubic feet or .some 14 times 
what it used to cost. If the pro- 


posed natural gas compromise 
goes through Congress this price 
will dimb to some S4.10 by 
about 1985. 

So far very few plants have 
bad to close because of this 
and many of the larger ones 
have adequate supplies of gas. 
Others are looking— the latest 
being Conoco and Dupont in a 
joint venture — for fresh sup- 
plies. Yet others are basing 
their future plans— in the long 
term — on the assumption that 
there will be sufficient supplies 
of imported liquid natural gas 
to make up any shortfall as 
Texas’ own gas reserves con- 
tinue their gentle decline. 

Apart from LNG there is a 
growing interest in using oil 
as a feedstock as a substitute 
or complement to gas and there 
is rapidly growing use of coal 
and lignite, at least in theory, 
to power their petrochemical 
plants and the state's boilers. 
Texas . has ample reserves of 
both coal and lignite. 


Nevertheless there is no 
doubt that the Texas chemical 
industry is concerned about its 
future despite the fact that 
there is confidence that there 
will be enough domestic or 
Imported feedstock for the 
medium term future. Tradi- 
tionally the states industry has 
been an intermediate producer 
making the raw materials which 
are transported by barge to 
finishing plants elsewhere in the 
country. 

Some observers believe that 
Texas must make more of an 
effort to keep these “ raw " 
chemicals in tbe state, and some 
companies have begun building 
finishing plants near their 
chemical plants (Springfield 
Tyres being one case in point) 
the mild fear— and it is only a 
mild one — is that as Texas’ 
indigenous reserves dwindle, 
transport costs rise and the 
price of natural gas across the 
nation evens out, some produ- 
cers will be tempted to build 
theiT new plants nearer their 
finishing plants in other states 
where labour may be more 
plant if ul. 

There is also some concern 
about possible competition from 
overseas. Saudi Arabia and 
Iran both have abundant 
supplies of gas and have shown 
considerable interest in setting 
up their own intermediate 
chemical and petrochemical 
plants. In theory they will be 
able, in time, to offer a range 
of products which should he 
cheaper than those that can 
be produced in Texas. 

However, most Texas chemical 
experts believe this is a threat 
that exists largely on paper 
because of the enormous trans- 
port costs involved, which would 
make it very difficult for other 
nations to compete. A more 
immediate threat could be 
Mexico, which is haggling with 
the U.S. about the price 
America is willing to pay for 
its large gas reserves. If 
Mexico decides to invest even 
more in chemical facilities, this 
could be a significant challenge 
to the Texan companies. 


Future 


Yet it would be wrong to 
overestimate these clouds on 
the horizon. The Texas chemical 
industry is nothing if not resi- 
lient Conscious of the possible 
shortage of natural gas, ten out 
of the last eleven major petro- 
chemical plants have been built 
to use oil as a feedstock and 
the estimate is that by 19S5 
some 21 per cenL of Texas’ tre- 
mendous oil refinery output 
will go towards the production 
of petrochemicals. 

Various schemes are already 


afoot to increase the state's 
capacity to handle imported oil. 
The Seadock proposal, which 
would have established a deep- 
water oil terminal, has been 
shelved for the moment, hut 
LOOP, the Louisiana Offshore 
Oil Port, seems fairly likely to 
go ahead and in the meantime 
there is an increasing amount 

of transhipment from places 
like Curacao and the Bahamas. 

The state’s oil refiners have 
been fighting a possible state 
tax on refineries, arguing that 
if Texas wants to continue its 
chemical expansion it is impor- 
tant that petrochemical plants 
and refineries continue to exist 
close to each other — and a tax 
on refineries could threaten 
this connection. 

Meanwhile the Texas chemi- 
cal industry continues to invest 
some $40dm. a year, and is the 
slate's second largest industry 
in payroll terms with an annual 
salary bill of some $7Q0ra. Only 
the transport sector pumps more 
wages into the economy. 

Some 60,000 people are 
directly cmpluycd in the indus- 
try chiefly along the ship 
channel and in the so-called 
“ golden triangle," the area 
bounded by Beaumont, Port 
Arthur and Orange. Any visitor 
lu cither uf these areas, how- 
ever, soon realises that they are 
anything but golden in reality. 
Indeed the largest cloud on the 
industry's horizon may well bo 
the rery real cloud of pollution. 

On some windless days in the 
summer the centre of Houston 
disappears from view in sub- 
urbs only five or six miles away. 
The smell is insistent and un- 
pleasant and the area consist- 
ently fails to meet minimum 
federal pollution standards. The 
industry argues that things are 
Very much cleaner than they 
were, but there is a long way to 
go and cleaning up the industry 
could impose a heavy extra cost 
on iL 

When all is said and done, 
however, the factors that lured 
so many chemical companies to 
Texas in the first place still 
have a powerful effect today. 
And for the foreseeable future, 
Texas seems likely to dominate 
the nation’s chemical produc- 
tion. Indeed it could even 
strengthen its position if more 
finishing plants come to the 
state to take advantage of its 
low taxes and low living costs. 

Even if a combination of high 
gas prices and spare capacity 
temporarily constrains the in- 
dustry's growth a little, there 
are not many followers of the 
state chemical industry who 
expect it to lose its preminance 
at any time in the foreseeable 
future. 

D.B. 



E FINANCIAL STATE OF TEXA 




Energy production continues at a steady stream . And that’s money In the bank. 



The petroleum industry in Texas 
is punching a lot of holes in the 
theory that development of new 
oil and gas reserves in the state 
would begin to taper off. 

Spurred on by favorable price 
movements in the markets for 
both interstate and intrastate nat- 
ural ^s a plus higher crude oil 
prices, producers drilled more 
than 12,700 wells in 1976. a 3% in- 
crease over the preceding year. 


So it’s not surprising that Texas 
continues to lead the nation in total 
proved reserves of liquid hydro- 
carbons and natural gas. 

What is surprising, however, is 
that Texas has begun to make a 
strong showing in coal produc- 
tion. In 1976, for example, Texas 
ranked eleventh in the nation as 
14.4 million tons were mined. 

Meeting the growing demand 
for petroleum. 

Due to continuing increases in the 
total demand for energy, a larger 
absolute amount of natural gas 
and crude oil will have to be con- 
sumed to meet. that demand. 

Since Texas historically has con- 
tributed roughly two-fifths of the 
nation’s crude oil production and 
more Than a third of the nation’s 
natural gas output, the promi- 
nence of the state as an energy 
supplier will remain strong for 
many years to come. 

Mining gains ground. 

Although often overlooked during 
the era of cheap oil, closer atten- 
tion is being focused on Texas’ 
lignite coal reserves. As early as 
1973, Texas utilities began turning 
to coal as a boiler fuel. Rising nat- 
ural gas prices and state govern- 
ment directives on using gas as 
a boiler fuel have heightened the 
interest in coal among Texas utili- 
ties in recent years. In 1976, con- 
sumption bv electric utilities in 


the state rose 45%. Projects now 
underway or on the drawing board 
ensure the rapid development of 
Texas coal in coming years. 

Other mining interests in Texas 
continue to make a strong show- 
ing as well. The state enjoys a 
leading role in the supply of sul- 
phur to the domestic market, as 
well as salt, barite, carbon black, 
helium and magnesium. And 
Texas cement production is sec- 
ond only to California. 

We’re in the right place at 
the right time. 

First City Bancorporation is a 
27-member, statewide bank hold- 
ing company with total assets of 
$6.6 billion and deposits of $5.2 
billion. The company’s lead bank. 
First City National Bank of Hous- 
ton, is the largest bank in Hous- 
ton, the energy capital of the world. 
And in times of growing energy 
demand, it’s the right place for us 
to be. 

First City Bancorporation has 
played an important role in the 
growth of Texas’ petroleum and 
mining industries. And with 
nearly 70% of our assets concen- 
trated in Houston, we’re in a good 
position to capitalize even further 
on these growing industries. As 
well as the business of manufac- 
turing, construction, agriculture, 
transportation and commerce. All 
the things that contribute to the 
great financial state of Texas. 



FIRST CITY 


Financial Position (in Thousands) 

Total assets 
Deposits 
Loans, net 
Shareholder’s equity 


Operating Results 

Income before securities transactions 
Per share / 

Net income 
Per share 



Financial Position (in Thousands) 

Total assets 
Deposits 
Loans, net 
Shareholder’s equity 

Ijmttwi BiitBCh SiuMgre BEprcscntatiw Office 

Scotnxb Umoa Rook 23Q7 Ocean Beading 

25 BncfclentRBy, LeodonEC4N SDR Coflyo-Qcy 

Telephone 01- 2*8-3606- Tfcfcn 885535 SusMpGte 1. Singapore 

I n rarpomedOThBnHteUahflityin^heP-S.A. TdSteac 222TOS -TdecBS 25*78 

John C.M£mtr r,Stm a r Yce Pretoria tad Geurtd Manage JerfeD D. Biamoo 
F«r EmenlonitttiK Office. Totm Ataam Viet Pnniati and 

NewTokyoM(fing 1 R« B ,309 MainOfficc 

3-J MiruDOOcU, 3-caoBkt 1001 Maia Sneer 

□nroda-ku, Tofcjo, 100 Juu Homan, Tew 77002 

Telephone (Q3i 213-1055/S -Tdes J 23759 PO. Box 2557 77901 

kjmmJmi ntnJa vir* ifmr im r f Tnrinr ftrnrmmnfhr Tefcpboae C713) 65S-601I 

Tefac FIRSTHAND 76H2? 

John E. Davis, Via Pmiden&wpcrau DrvApmrnt 


March 31 


1978 

1977 

$ 6,620311 

$5,611,122 

5,230,003 

4,553,882 

3,080,487 

2,529,644 

320,597 

287,394 

For the Three Months 

Ended March 31 

1978 

1977 

$12,457,000 

$9,419,000 

1.12 

.85 

12,434,000 

9,4X9,000 

1.12 

.85 


March 31 


1978 

4,539,767 

3,459,412 

1,988,521 

219,678 


1977 

$3,724,133 

2,936,518 

1,618,697 

199,804 



OF HOUSTON 


Member Fira Ciiv ~-r— JT — - 'ir L i Wrlr 
holdiog company wiih 27 member boofca throughout IbcK 

■Member FDK 


t_ i: . 





-J 

iFrom Spindletop-...,tothe production platform 


“We grew up 

■ a a h 

al 







ry 


Back at the turn of the century, Captain 
Anthony F. Lucas opened up the great Spindletop 
oil field near Houston. From that time, the Ttexas 
oil and gas industry grew into the colossus it is 
today... and the Texas Commerce Bank, founded 
in 1886, has grown alongside it, financing, advising 
and helping to make Houston the petroleum 
capital of the world. ^ p 

From basic exploration to the ultimate l 
refining and distribution, our involvement has ■ 
helped create opportunities for over 350 oil and ^ 
chemical companies, worldwide, to realise their ^ 
full potential in this highly technical industry. 

In addition to our other overseas offices, 
we have a branch of Texas Commerce Bank in 
London to provide a complete banking service 
for our clients, together with the professional 
expertise and experience necessary to help in 
Britain's rapidly expanding oil and gas industry. 

So if you want a banker backed by 
financial resources of $6.6 billion and who knows 
the oil industry, come and talk to us. 






■ Texas 
Commerce 
Bank 

TEXAS COMMERCE BANK 

HOUSTON, TEXAS 

London Branch, 44 Moorgate EC2R 6AY,Tel: 01-638 8021 . Telex 884851. 

M. ROBERT DUSSLER, Jc Vice President and General Manager. 

Offices: Houston, London, Nassau, New York, Mexico Crty. Tokyo, Bahrain, Caracas and Hong Kong. 


Our growth is right on course. 


Years ago, HNG management charted 
a course for good, steady growth. 
Today, we're right on course. 

We expect our newest acquisition. 
Foil Industries, to keep us moving 
right along. Poit provides marine 
transportation and construction ser- 
vices primarily to the offshore petro- 
leum industry. 

The company also holds a strong 
position in inland waterway trans- 
portation. serving 21 states on 10,000 
miles of waterways. Beyond that* 
Pott has shipyard operations capable 
of building barges, offshore tugs and 
supply vessels. 

YVliiJc Industries broadens our 
earnings base. HNG still is heavily 
involved in exploration and drilling, 
natural gas pipelining, coal mining, 
industrial gases and more. 

Planned diversification into - 
areas of related technology. 

One of the big 




^ " I- - 

•+ 1 *" x . ^ ■ 















f&Mi 








• & *.v ; 


on a steady 

course upward. ^ 

Find out more 
about HNG. Write our 
chairman, .Robert R. Herring; 
for a copy of our annual report. 
£0. Box 1188, Houston, 77001.. 

The Resourceful Company 



HOUS row NAT URN. QAH 



Financial Times Wednesday May 17 1978 

TRY AS INDUSTRY IV 

Growing banking 

industry 


THE LAST eight years has seen 
a profound change in the struc- 
ture of Texan banking. The 
state's hank holding companies 
have emerged to rank among the 
30 biggest banks in the United 
States. At the same time foreign 
and other American banks from 
outside the state, have moved 
into Texas so as to be closer to 
the action in the energy-rich 
centre of the Sunbelt 

At £48bn, Texas’s commercial 
bank deposits are now the fourth 
largest in the United States. And 
the growth of 10.8 per cent 
between 1075 and 1976 was more 
than twice that for the nation 
as a whole. 

Houston, as the City’s 
Chamber of Commerce acknow- 
ledges, cannot yet compete on 
equal terms with Chicago— let 
alone New York — as a major 
international financial centre, 
but it is not far from the 
financial big league^— and the 
Chamber wants to ensure that it 
joins it. Some of the City's 
businessmen would like to see 
the law changed so as to make 
it easier for foreign banks to 
operate there. Houston, they 
argue, is growing so fast that 
there is plenty of room for 
foreign banks. 

Up until 1970. Texan banking 
was highly fragmented. The law 
prevented both branch banking 
and the formation of bank hold- 
ing companies. This means that 
each bank could only exist in 
one place with one set of owners. 
The result was some 1,400 separ- 
ately owned banks, some of 
them highly specialised to deal 
with the needs of their particu- 
lar community, but few of them 
able to provide the kind of 
money which the state’s growing 
corporations needed. Even the 
largest could only lend a maxi- 
mum of SlOm (10 per cent of 
capital plus reserves) and most 
of the big companies took their 
banking business outside the 
state. 

In 1970. however, the banks 
were given the green light for 
expansion by Washington. The 
Federal Bank Holding Act was 
amended to allow the establish- 
ment of bank holding com- 
panies. The State’s prohibition 
on branch banking remained 
but by building up their hold- 
ing company interests, the big 
banks were able to establish a 
network of local banks. 

Under Texan law. any bank 
taken over by a holding com- 
pany still has to remain 
autonomous: it has to be 
separately capitalised and have 
its own board of directors. But 
in practice, the links between 
the member banks and their 
holding companies are close, 
and the change in the Federal 
law has allowed the big banks 
to build up assets and deposits 
rapidly. 

The average commercial 
district in a Texan town still 


holding companies have not sign that the Fed had decided do in io» . tnjy 
eenerallv tried to stamp their to relax the rules of local loans or take deposits wttMu 
identities on the banks they acquisitions so as to allow the Slate. ’ ff I was .to (toe? the 
have bought. But behind the Texan banks to meet the in- rules to the letter tags one, 
scenes, major groupings have creasing challenge from foreign " 1 " a ;J U ,, J? re 

emerged. The big four holding and out of state banks. yrauate myself with companies 

t B- Ib ,«r ,n info™, survey 

ssssr z LSSi sss x®™ es; s* k 'zjsevz 

International Bancsbares and Q ^ Iy g0 pcr of ^ir aboSt admi^c J 

Republic of banking business outside the fore , s ri do much ^ 

— now hold just imaer ju per state _ Now nj 0re business is th . n that— as the big Edge *« 
^ M handled locally. Mr : Wiliam C. ve alway/ ££ * 

the end of last year, ineir Hatfield, president of Republic ,„ ns , as t he deal is aeiualiv 

“ 2 ? ’ Flm w 01 Te«, has been Quoted ns ^ n V„ntside the sS. 
assets 528.7bn. First Intenra saying he believes that those th i nR eJse ^ put together 

F°° a J SfdSSsiS same 42 companies we now siv- Texas. NeverthelessFtheJc 

terms of assets ana aeposus . Texan banks half their loan irc qome Houston businessmen 

w* 0 } Z e SSincL mmerCe m0V:ing business. Certainly. the who ' wou Id like to see same 
Up A f i?Jw^ftSnsiiie«« Week’s Housl011 banks 110116 «® w loosening in the rules govern- 

l und * at least 550111 be ‘ ms out of . state banks 

in°s per share achieved by tween . cm * can operate. The City is. grow- 

Firat Sty. which ranked 26th Even so, there are stilt net. ins so fast, they say, that It 

in the country in terms of pickings for out of stale banks, needs more capital than local 
assets, have grown by an Indeed, some local bankers go banks can generate, 
average of 13.1 per cent over so far as to say in their more Such a change, however, 
the last five years. Texas Com- off-the-record moments that tno might be resisted l>y some of 
merce. 24th in the assets league, big American Edge Act banks, t he smaller banks which already 
had shown slightly smaller like Bank of America and f ec j that the holding banks have 
growth while the lowest figure Citicorp, still take the cream of g 0 t too strong and would not 
achieved by any of the big four the international business with welcome anything which made it 
— 11.5 per cent for the Republic local banks only participating easier for the foreign banks to 
of Texas — was well ahead of in a secondary view. get in on the act. In the same 

that notched up by most of the Parallel with the growth in way. any move to allow full- 
big New York banks. the holding companies and the SC ale branch blinking would 

growth in the economy has been probably be resisted by some 
TmnaFt a bi S increase in the number of elements of the established 

out of state banks represented banking community. Even tho 
Alongside these four major in Texas. In terms of foreign big four seem to have mixed 
holding companies, other smal- banks, the first in were the views on this subject, pointing 
ler groups have emerged. In all Japanese and the Canadians — out that in a state The size of 
there are now some 33 multi- both of which have long estab- Texas, there will always he 

bank holding companies which lished trading links with Texas cities in which it would not pay 

together hold 54.3 per cent of — with the Scots not far behind, for them to become involved in 
the state’s deposits. Many The first two foreign banks retail banking, 
banks, however, remain outside opened in DaHas. but more re- Rather than developing a' 
the holding company network, cently. the newcomers have blanket coverage of Texas, the 
The impact of all this on opted for Houston. The City now big bank holding companies 
Texan banking is best demon- boasts 34 foreign and American have widened their awn o ver- 
strated by looking at how just Edge Act banks and the number seas operations. AH four are 
one holding company has is expected to increase to 40 known abroad for the oil exper- 

grown. Eight years ago, Texas before long. Only three years tise which they have built up 

Commerce was operating out of ago. it stood at II. Barclays, the years. Republic National uf 
one building in Houston and Lloyds and National West- Dallas, for example, claims to 
had a lending limit of $7m. minster are all represented, have been the first bank to lend 
Today, its limit is nearer $50m along with a number of Scot- money on oil still in the ground 
and it has 36 member banks tish banks, anxious to cement and this has helped them e stab- 
under its umbrella. their oil links with Houston. lish themselves in the new oil 

The growth of the holding The influx has partly been areas as well as in the Middle 
companies, however, has not due to foreign banks anticipat- East Last year, for instance, 
been unrestricted. The Federal ing moves in Washington to Republic National acted ns 
Reserve Board has kept a very make it more difficult for them manager, along with the Inter- 
dose eye on each acquisition to open offices outside the national Energy Bank, for two 
lest any one bank should come major money centres. But it lo^s totalling $275m for the 
to have what the Board con- has also reflected the growth in development of the Claymore 
sidered to be an unfair corapeti- the state’s economy and Field m the British sector of 
tive advantage. A number of Houston's increasing impor- North Sea. 
acouisitions were turned down tance as a . decision-making Some overseas bankers still 
in the early 1970s— most notably centre As well as the oil com- criticise the Texan banking coin- 
one in a town called Tyler at panies, and corporations like mnnity for being overly conser- 
ve height of the takeover boom -Brown and Root which have vative and cautious. Deals 
—but recently the Fed seems long been based in Texas, a which would take a couple of 
to have been adopting a more number of big engineering and days to complete in London, 
relaxed attitude towards construction contractors have they sav, take over a week in 
acquisitions. Eighteen months moved their headquarters down Texas. ' For their part, the 
ago, the Board approved a mer- to Houston. Big international Texan bankers would reply that 
ger between Mercantile Texas deals are now being put to- if they are more conservative 
Corporation of Dallas and gether in Texas and the banks than their competitors in other 
Houston’s Federated Capital want to be represented there parts of the world, their growth 
Corporation. With nearly S3bn both to get a slice of this action record is esiimony enough to 
in combined assets, it was the and to invest their clients’ the wisdom of that approai*. 
largest multrbank holding com- money in the fast growing 

pany merged in U-S. history. Texan economy. Elinor Goodman 


Communications 


DALLAS. ACCORDING to one 
description, was the city “ born 
with a wooden spoon in its 
mouth.” Its location was remote 
and it bad no port or access 
to the sea. There was no oil 
or gas in the immediate vicinity 
and even the railroads had to 
be bribed to go there. 

Now, according to the 
American writer, Neal R. 
Pearce, all that has changed. 
It still may not be a particularly 
pleasant place to live but the 
“wooden spoon has turned to 
gold." The opening of the 
mammoth Dallas Fort Worth 
Airport has made the metro- 
politan area one of the natural 
entry points to the American 
market. The airport has taken 
over where the railways left 
off and now Dallas is bidding 
to become the Chicago of the 
next century. 

The one thing Dallas — and 
indeed the whole of Texas— has 
always had in its favour from 
the point of view of communica- 
tions has been its central loca- 
tion within what is now the 
fastest growing part of the 
United Stales. Look at the map 
of America— it is slap in the 
middle of the southern belt. 
This may have been a mixed 
blessing for the early settlers 
but it helped make Dallas and 
its neighbour (and long time 
riva I ) Fort Worth major rail- 
road centres at the turn of the 
century. Now, with the growing 
attraction of the sunbelt and 
the gradual shift of population 
southwards, this location has 
become all the more important. 

Texans, with their pride in 
ail things big and bold, are 
immensely proud of Dallas Fort 
Worth. Even local shop assist- 
ants can reel off the Facts: the 
airport is larger than the whole 
of Manhattan Island and the 
biggest in the United States. 
Rather ruefully, they have to 
admit that it is only the second 
biggest in the world. Opened 
in 1974, only three of the 
planned four major runways 


i are currently in use but this 
i still makes it the fourth busiest 
airport in the world. And stay- 
ing in an hotel near the 
flight path it is only too easy 
to believe that this is true. 
Eventually, the airport planners 
envisage a cargo handling area 
so large that it will be able 
to handle 200 cargo 747s at the 
same time. 

Alost of the planes go to des- 
tinations within the U.S. hut 
there are also 14 non-stop in- 
ternational routes out of the 
airport Eight go to South 
America, two to Canada and, 
since the spring, one to London. 
Having won his battle to get 
the direct flight to London. Mr. 
Harding Lawrence, the chair- 
man of BranifTs board, is now 
determined to exploit DEW’S 
position as the “ gateway to the 
big country” to the fulh He 
believes that there is no reason 
whatsover why people travel- 
ling either to cities within the 
U.S. or to South America should 
automatically stop off on the 
East Coast He is hoping to get 
non-stop flights to DFW from 
Germany and Tokyo while he 
has also lodged an application 
with the CAB to take Concorde 
on from the East Coast to 
Texas. Eventually, he would 
like to extend this service to 
Panama and possibly on to 
other South American destina- 
tions, like Santiago. Ideally, 
the schedule would be so 
arranged as to allow travellers 
to stay in the same Concorde 
all the way from Bahrein to 
Texas, so reducing the flying 
time between what he sees as 
the two oil centres of the world. 

Already, the opening of DFW 
has done much to stimulate in- 
terest in the area. A number of 
companies have cited communi- 
cations as the reason for mov- 
ing their headquarters down to , 
the DFW ** metroplex." The 
area was already an established ; 
distribution centre for the j 
Southwest in the 1960s because : 
of the way in which railways i 


i and the long-distance truck 
t lines converged there but the 

■ airport has certainly increased 

■ its attractions. A vast World 
’ Trade Centre was opened in 
- Dallas at about the some time 
i as the airport and has been 

i adding new exhibition floors 

■ ever since. Each year around 
‘ 400,000 buyers visit the centre 

which accommodates five 
different permanent wholesale 
markets. The Centre is now the 
higgest wholesale market for 
fioorcovering and gifts and 
second after New York for 
clothing. 

All the publicity that has 
surrounded DFW Airport has 
sometimes made it seem as if 
it is the only international air- 
port in Texas. In fact. Houston 
has an airport of its own. 
Around 7ra. passengers flew out 
of Houston last year. Again, 
the majority are domestic 
flights but it is also the starting 
point for British Caledonian's 
direct flight to London. 

Attractions 

(The two airlines’ London 
flights may start from different 
places but they both end up at 
C.atwick rather than Heathrow, 
a fact which may lessen their 
attractions to travellers bound 
for other European destina- 
tions. though Braniff is doing 
its best to promote Gatwick as 
a gateway to Europe and the 
Middle East and is making 
much of the fact that there is 
a direct link with Britain’s oil 
centre — Aberdeen— from Gat- 
wick.) 

But if all the publicity has 
been going. Dallas’s way in the 
past few- months. Houston still 
has one major advantage over 
Dallas apart rrom oil — the sea. 
Just as the city fathers of Dallas 
and Fort Worth opted for the 
airport as the key to future 
growth, so Houston businessmen 
recognisel the potential of the 
city's location only 50 miles 


from the sea. In 1914, long 
before oil made Houston into 
the industrialists' Mecca it is 
to-day, the Houston ■ ship 
channel, which runs 45 miles to 
the Gulf of Mexico, was opened 
amid prophesies that it would 
never be used. The pessimists 
were proved wrong and os 
Houston has grown as an- 'oil 
capital, so has the traffic 
bandied by the port. The third 
largest port in the country.- it 
shipped around 100m toils 
of cargo each year. 

In total. Texas can claim more 
deep water ports than any other 
State. The claim is just one of 
a whole string of records the 
State prides itself on in the 
Held of transportation. It has 
more miles of road — 250,000— 
than any other State, and more 
airports — around 1.200. In terms 
of car registrations, it ranks 
second to California, and Presi- 
dent Carter's appeal to Ameri- 
cans to save energy seems to 
have made little impact on the 
Texans: they still drive around 
in vast cars which eat up. petrol 
like the inesquite trees absorb 
water. 

Though Texas still has more 
miles of railways than any other 
State, the railroads to-day are 
primarily used for moving 
freight around the count rv. The 
Texan transport system is based 
on the assumption that every- 
body cither has a car or can 
afford to fly. Though bus com- 
panies like Greyhound and 
Trail ways do operate coach 
services between the major 
cities. Texans seem to regard 
foreigners who waui to travel by 
land as quaintly old-fashioned. 
Thanks to a price war being 
waged by the State’s domestic 
airline*. Hying can be cheap. It 
easts SI 5 o take, the halt-hour 
flight from the State capital to 
IIouKton but since mere was 
virtually no way of getting to 
the hole! by public transport, it 
cost nnnlhnr ST7.50 to get to 
the hotel by taxi, 

E.G. 






<■ ■•'-'SHI 

Vs. i . . 








a 



'tJrfi}) \C^** 




1 ^ 



Wednesday May 17 1978 


TEXAS INDUSTRY V 


19 



_ Aerospace complex 

TT.S. Wert Coast has become prairie midway 1>etwepl! c ^PP^cations Technology’' space vehicles leaving the pads the FR-lil fighter h«mw „i„, 
SSiSl A™ €nran Houston and Galveston, £h ere proliferating, for at Cape Kennedy or the Western still has hopes that! following 

^ 15 years Hereford cattle SdS/ “ easunn 5 mineral Test Range at Vandenberg Air the cancellation of toe B-l 
e -K . ^Sgest jet grazed — about 20 miles south °u*er resources, researching Force Base, near Lompoc in bomher there will h*. 

M iSh a I? c 851 ° f downtown Housto^ JSd tbe Weather ’ C ^if°f n,ia ’ for a new version of toe “in 

a ^ L ^ h , eed - Spread over about 1,820 acres improving eommumea- So far as aeronautics itself is Thds would be the Fruiim 

^ on ^e north shore of SeS {E*- “ d man y of these sate!- concerned, the future in Texas a s^egicbomLr 

Hughes ***«, the Centre the wort I^LV n , : "* carefully moni- bas never seemed brighter, and J e smSte ££ J i « 
? 0r £f° p T Cor - pla <* fox some 3,600 engineers £31 *!? toe JSC - and *“* is ****** true of the *«££? VaTthe it? rL^ 
Rockwell ^ter- scientists and technicians. An m *** ex P er i J x ] ents Fort Worth Division of General Dvnamics itself Kph*™ It 8 * *? 

in ,? ilifornia ' additional 6,100 aerospace in- “ ade avaiI able in photo and Dynamics, primarily engaged Air^Ftorce. whipfi h ^ eS ***** ^ 
Tens has been often over- d us try employees work at thl 5*** f orm worldwide. One of on the F-16 multi-role fighter, WhJch ,s con ' 

!j? e i n ° ne i? el f ss Centre mid to the surrounding ? n e H . PmWMnme* now and the FB-111. The F-16 pro- J* *?aiJSa* r ?S?^ e M W ^ d 

ipportmit— business community, pumping a hS« er «? lldy 15 1,181 01 tryin ^ to duction programme was author- f ice ^ would have 

and expanding centres of all combined payroll of over SlMm ? 5? sun's limitless energy ised late in 1977, and at present 2j5f_ ™ t ” n8B * and si smli- 

2? VSS5Sf C th aC i!” ty ’ 11 1S ’ int0 lhe Houston economy 1116 U,S ' nationaI Power grid six nations have chosen the weapons carrying 

for example, the home of the annually. The JSC asit i* S 1063115 °* solar-powered satel- aircraft. The U.S. Air Force is capa . lnbt y earlier F-lll 

Nfcttonai S™ 8 ? at " * ** e hnown. is responsible for design ht ff' .T* 1 * satellites would con- buying 1,388, while four Euro- 2?* . f “ ture Df th® 

aU ^ Cs Space development and testing of US* vert , 0,6 ? ner sy trapped on pean nations (Belgium, Den- FB - 111H J^H be known . how- 
in . Houston, rnasoed space vehicles for tiic pane s ou t in space into micro- mark, the Netherlands and ever < UDl ri studies of the ftiture 
e 3 ? C ?hi ,0 T 1 T n i fOr 1416 election and training of sp^c ”****• that would then Norway) collectively have UA manned bomber require- 
mi2toL rf ai?hm, th h y. S ‘ space flight crews, for the ground co^ £ beamed to earth stations, to ordered 348, while Iran ra . en 3 ° w “ nder wa >’' com-, 
J?,^hf h <r ***? * mQre tro! of manned space flight^ £ e CQnve r ted into electrical has ordered 160 and has P 1 ^ hy Department Df] 

pSSd nJpr po . mt l are and for many of Sie medical’ P ^f^ - So far> only “odest requested approval from the Defence, 

ar cISl. x^ff ^ C ? ast engineering and scientific ? xpennien ^ 'n this field have U.S. Government to buy •« 

£^£fc2£omf° r * v “ den - experimeni carried aboard the ^™“”f ucted . bnt day is another 140. Australia and Military 

. flights. At present the mainr m ng closer when major pro- Canada are evaluating the F-16, J 

of miter *!?? number activity in the JSc’is the pie- costin S man y hiltions along with other competitive BeU HeUcopter Textron. 

faetSwiST ^ paratory work for the space do,Iars - and calling upon a aircraft (including the Euro- which employs around 9,000 

^vS^SnSS 8 £ 8 n Shuttle-- the development of a ge prop ? rtion of U.S. pean Panavia Tornado) to select People at Fort Worth, has 
Hehiontfr ^ ^^t 11 reusable Space P Transport aer . ospace industry's manufac- a fighter to meet their future currently built more than 22 000 

world?* Br wSS n ’ °f e ,- 0f V 1 ® System that vrill ferry payloads ? r,n , g resources , wUI be defence needs, and several other helicopters. Production at Fort 

Sera. atftwoS ^ ^and rS S*SS “ “ d ^ *1 *"«— P"S 

Forth Worth is also the hmnf for refurbishing for re-launch. fabnration into the South Korea, have expressed with military and commercial 

of une dWrion of Sene™ ^ “0 s * dramatic end JHI ZZ Z ^ fS.SfS? m “ qulr “ E *»« “d twin-engined ver- 

M SiS -““WaS SSSSt s ^Li tr ?£”™P SS STS 

STafssrs z m jzi^rz ss rtsrirSH ss^sSSSS “ “ ^ 

Complex ?sns2XJ 'T», jsc Sf^^CKSSCS Siv???? 

Swearingen Aviation, which lies not sn mnpii in tho PmKtnn ncina Pftmnnnnnto ^ tWl H^tUTbinG 


Oil and Gas Industry 


Ruston Introduce 
an important new 
facility in 
Houston, Texas. 


Ruston Gas Turbines have established 
a custom-built packaging facility in 
Houston. This will give oil and gas 
companies and their contractors the 
flexibility they require in the 
specification of driven units, peripheral 
equipment and test schedules. 

The same high standard of engineering, 
assembly and finish is provided at 



. _ - — ^ es no ^ 50 m uch in the Houston using components produced at * JU . , a twin-turbine 

and medium 4^?“ B 1 ^ “°!i farruliax area itself, but in its influence Fort Worth and by feading com- P ^ ere< L hgt 1 “nrraft, with 
transport fircraft is based et m the vast complex throughout American industry, panies of the four NATO accomnK,da * M, n for up to seven 

San Antonio; while the Vought that makes up the JSC is the Although the annual NASA bud- nations invoiced Some EiS P^seneers. Deliveries of pro- 1 
2^55*°“' a ®t*“diary of ^® 1 h 0n Con trel Centie, from ge t at about $3.9bn. for 1978 is pean-produced components will ^ uclion “xcraft are scheduled 
the LTV Corporation, building which many manned flights severely restricted by compart- be used on al^St hufit at &r 1979 - 

a f fi ? ht ^ r wh V prp be fhp Cl ?? 0lle «» ?| d fr0 M son with the $5bn.-$6bn. outlays Fort Worth, while some US- m Fmally. no discussion of the 

Corsair H. whei re i tt® Space Shuttle will at the height of the manned produced p^rts wiU be i^ed on »“ »*« m aeronautics Sn 

t *», hifndin^ t ThAs =,i l - s a A P° Uo spaceflight era in the aircraft assembled on the two i?£P re ^ ■Wine scene. The 

*rna,w IhJ^L2 ,m,ber famib £f ? nLdll ” ns mid-1960s, much of this money European lines. Present U,K - has for s °me time been 

in TexL^m^ed ^ TV lhe T™maS° J2? ^ is f pent throughout the U.S.. schedules call for delivery rf d'rectiy linked with Houston 

wetfS?’ *S d whenTh^fi^f^. moments with many hundreds of con- the first operational F-16 for by ^ Entish Caledonian air 

»adouniMR f nf +h^-=tfV 0 tt S “J 016 traetors contributing to aU the U.S. Air Force from Fort Mrvlce wiLh Catwick, while 

toe availability^ of Skilled the sm-fai^^fftS' 9 miSS ded °° phaSes 0f tte various manned Worth later this year, and the °. nly this spring the big U.S. 

labour Md thLe have^also But Sth^? r^t of the ?r d u 5 unanned Programmes, first European F-16 from the J" 11 ^ Braoi ff International 
SESl to senate an ^ma^d JSc“s e?o?f aiLft 1hei * can Wrffly be a Belgian assembly line in early ba i- be « u " air services 

inevolume 5 Of eff ° r J s are dir ectdd major academic institution 1979. Production wiU gradually between Gatwick and Dallas/ 

SLinthe f p^S^t ^ f ^ ace ’ Pther throughout the world, that has accelerate on both sides ofthe Fort Wortb - B °U* those airports 

wnente *n& riSSSSS U”' not had ' or 5011 has ' some links Atlantic t0 a Programmed rSe "• ‘““oug the largest to th? 

P Of all these Activities 1 pro Many of S thT nteUite 110 ^ ^ either reaping the of 22 aircraf t a month by the U.8, with Dallas/Fort Worth 

bably those ofthe NASAJnhS Eramm« mSSla f P knowledge now continuously end of 1980. including 16 at handlin gwelloverllm.passen- 

son Space Centre and Afr^np^i fh^rLZ monitored from flowing in from the various Fort Worth and six to Europe. « er s *** 300.000 air transport 

Dynamics are the bfggert. The toproitog LoitedEe^f Mt t 1,ite "’d other programmes The Fort Worth DivisiJS, movenents a year, and Hourton 
jnhncnn c n3n , n 0 nh.» w,., 1 • „ prov ^ g knowledge of whHi or by contributing experiments while also working on the bandl mg over 7m. passenaen? 

Johnson Space Centre, begun in goes on here on Earth. . • to the steady stream of new spares and product sup^rt of Md 130.000 air transS m?v2 

• • • . ments. 

. *-• A . . - • : , Michael Donne 

. ■ .Aerospace Correspondent 



Houston as at Lincoln. Packaged 
sets are tested with equipment that 
will be delivered to site — a total 
package test in a facility designed 
for the job. In addition to 
experienced Project and Design 
Engineers, Ruston in Houston has a 
complete staff of management. Sales 
and Contract Personnel. 


Users in the United States, Canada, 
Mexico and South America will benefit 
from the Houston-based Ruston User 
Support Service staffed by skilled 
personnel, backed by a comprehensive 
inventory of spare parts. 

In short, every advantage you associate 
with Ruston in the United Kingdom, 
you can now get in Texas. 


“SHH® 11 ■^mrawnBira. 



F arming plays its part 

•. t . 

to project lay claims to more records than The result of this increased their attitudes. While Texan i 
IL. 3 thrust * n <’' industrial most. With 14.5m. _head of automation, together with the farmers had Jess to eain from 
Sav S8 f k S t0 £ aUle ,aSt year * they were the moves to industrialise the state, the proposed farm price 

^5S UtUral r ba l®' falgsest cattle Producers in toe has been to suck people away support bill than those\n states 

is still one of the country. Relatively low down from the rural areas which are more JelZfl 

Z oulSe £ SfJ ea f U H H blC 1" te K^ S ,K° f In 1&70 ’ when 1116 1851 ^ producti^ 6 som^ regarded 

bie cities thpre *«> cilif 6 vm» dai f? Production, they had the was .earned out, only 3.5 per the eventual dilution of the bill 

areas to which top m tf? beef c f an ™ tbe “P 51 cent - of Texans were still living as a betrayal and a sign that 

weatoer forecast is of far “rearer SISph ' Te :' tas . 1 ^ oa farms and ranches. Since farmers counted for little in toe 

s-t asttswr sa.ft.aa a S S^S !, 3 f Vr l 

the south, farmera are burning Failing in Ss like toat ? StS ° £ ^ own ’ Those in I 

Throughout Texas, cattle stiU the last 30 yeareTetore Worid" piSdSl^had* a he™. ^cti^aTaU^a w ** 

outnumber people and, com- War II, most of the farms were cattle ranchers who had to pay of the times wgn 

pared to the huge tracts of land largely self-contained, producing high prices for feedstuffs did Not content with oveK h nnt i„ 0 
devoted to farming, all but the most of the supplies and power less weU, but, in general, 1973 its earlier DnSJErS? 1 . 
biggest cities are mere pimples they required. The state was and 1974 were g<£d yeara for four ^ra eariy S haS 
on the map. Fort Worth may predominantly rural with over farmery. Back in 19S8, when set itself another eo£- tS, w 
not be the cow town it was at a third of its population living total farming receipts were come the largest 

the beginning of the centun-, on farms. With mechanisation, standing at around $2.7bn. the producer withfiT 

but cattle still graze close to all this changed, despite the state governor had set a target States Whether it attain* “ 5 ? 

the city limits and battered availability of plentiful cheap of increasing this figure by one goal depend? not An lv^ 
ft rm .5 i ?-“ P tru ?^ and even labour “““S i" over the billion dollars by 1976. perfoS? 0 ( ib rivaL £„l 

the odd horse — still vie with tho Mexican border which makes on wat er whlnh in but 

Cadillacs in the streets. the new minimum wage require- Prippc lated to the whnl* 

Larger than half the coun- ^ents for farm workers fairly * energy costs Md ° f 

tries in the world, the state is theoretical in some areas. The target was exceeded in The underground water «a.n_ 

so big and toe climatic condi- The two biggest changes have 1972 when receipts rose to plies, buiit up over centuripT 
tions so varied that just about been the development of imga- $4.5bn. Much of this increase are not being replenished and 
every conceivable crop is pro- tion and feedlots. Around 60 was due to higher world prices, the water table is dronpina in 
duced somewhere. Out in the pe r cent of all the crops har- but it .was also a reflection of many areas of the State- 
far west lies the land of high vested are grown on irrigated the concerted effort made by especially to the west— by two 
mountains, cacti and mesquite land to-day. The availability of the state government toat to three feet a year Bv 19R5 
trees which compete with the water has opened up land which improved productivity among according to some estimate* 
livestock for what moisture was once thought totally unfit farmers. The following year the huge Ogallala acauifier in 
there is. To the east are the for man or beast. receipts jumped to $6-8bn. West Texas will begin to d? 

“ Piney woods," which produce The discovery of underground Since then> prices fallerj dine as a source of supply. Then 
pulp for paper, and the rolling water also helped bring about the weather has been bad. 1,181 are a which stretches over 
cattle pastures of the coastal the other major change m in parts of Texas fanners most of the irrigated farm land 
gnlf. In the south lies the Rio Texan farming since the War— have not had any rain for 18 ^ Texas could fce forced ®radu- 
Grande valley, a sub-tropical the development of feed lots months and the state has never t0 return to dry land farm- 
region, which thanks to irrlga- where calves are matured and exceeded its 1973 sales. Goat in 8— that is agriculture without j 

tion now acts as the state's mar- prepared for the market. Once and sheep numbers have de- 1,16 massiv e benefits that irriga- 

ket garden. Texan cattle were shipped on clined fast and with imminent 0011 brin es with it 1 

^ the hoof to the Mid-West once closure ,of one of the biggest ® y 502 °* according to some 

CrODS they bad been weaned; there lamb processing plants, the estim ates, the water sources 

r was simply not enough feedstuff sheep producers are faced with now , Jn P ,ace will be able to 

The stale is the third largest produced to support them to a serious marketing problem. su PPy oniy half of Texas' pro- j 

agricultural producer within the Texas. Now the state is the For most farmers, the costs of ductiv ® land. But the state’s ! 

country, with cash receipts last fifth largest producer of feed production have gone up faster J oters hare already turned 
year of S6.6bn. About half came grains in the country and than the prices they are getting down oae scheme to bring new ! 
from livestock and the rest from majority of cattle are on market But with so wate . r state as too ex- 

crops, most notably cotton. Of slaughtered in the state much of their land requiring ?? n ? lve ; Nevertheless it seems 
all the states, Texas has the The feed lot industry, accord- irrigation, Texan farmers have J^ely that new sources of water ! 
largest acreage— 1 39. 8m.— de- in w aj j ricultuni i depart- b ® TO Particularly badly hit by ^PPed. , 

voted to farms and it has the m t mw by more than the . «i energy costa. Many is simply too much at 

most farms. The size of some “ ^ re ^ e n 1960 grain growers have found them- tp let water ^PPlies run 
of its ranches is staggering. The aSSi selves “ 8 severe cost-price ^ farm pro- 

King Ranch extends over more sioom splraJ 815(1 ftave lost money for d “f tlon onl y total $6.6bn., 

than 1,350 sq. miles. i; VeStme , nt ^ f th “ f„ two «nsecutive years. ^ “°re than tourism. 

Texans are not. by nature, °J t th e lots are ^ Cattle ranchers have found Eu l lls ,V npart on the economy 

a modest race. They seem to Panhandle in northern Te themselves in much the same ls . When food pro- 

have an almost frenzied desire where large supplies o position. One of the bright spots ces ® ln £- distribution and the 
lo prove with statistics that they sorghum and other grains are has been the cotton, crop which . , e “agribusiness" is J 
arc the biggest and the best available. In some instances, year was the highest since laJcen 1X1 | D account agriculture i 
The Texas Almanac reads like only four men are needed to the record 6m. bales ofl949. generated about S28bn. to the 

a composite entry for the Him a totally automated food The hard times fanners have 1®^ v econoin y — a sizeable 
Guinness Book of Records. But Jot which can handle 20.000 experienced throughout the ngure oy an 7 standards. ' , 

1a agriculture, they e a n justly cattle at a. time. U.S. since 1974 has changed E.G.I 


Wi can cover a 
great deal ctf toritory fcr you 



68MB0D. 

correspondent relationships on an even wider basis oSematinnal 
in London indude a My-staffed branch of First NatioSS d£s 

Fans and Singapore. And representative offices in major foreign cities. 

Amaican Southwest, or have buSsTSfimsStefegSf^t^me- 
one big enough to cover it for you. Talk to us. S ’ 


Lawrence Wilks, Senior Vice President 
London Branch 

First National Hank in Dallas 
60-63 Aldermanbury ' 

London, ECZV 7JT England 



Steven Davis, Managing Director 
First International Bancshares Ltd 

16 St. Helen’s Place 
London EC3A 6BY England 




Tax schemes 

The schemes involved.' pro- 


20 

LOMBARD 

Taxing the car 
leases 

BY MICHAEL BLANDEN ‘ - 

ONE OF the minor surprises of of the Equipment Leasing Asso- 
rt month's Budget was the elation, stated plainly in his 
absence of any specific measures letter to the Financial Times 
to hit at tax avoidance Ihroush on Monday that bis members 
the leasing of cars: This Is an believed some of the car leasing 
issue which has been .exercising schemes now being made 'avail- 
both the revenue authorities and able, “especially those which give 
the instalment credit industry as the impression of tax-free gains 
a result of the recent promotion For employees;" were “objectiori- 
of a number of schemes designud able," and be dissociated his 
to provide benefits to executives, members from them. 

The reason for the lack of The Revenue, however, has a 
new moves in the Budget, how- number of ways in which it can 
ever, was that the revenue hit these schemes, and the evv- 
authorities feel that they have dencc is that it is now prepared 
quite, enough powers under the a Ftcr giving adequate warning to 
present legislation to put a stop u se the powers at its command to 
to something which both they P ut a sto P t0 ™e system. First 
and the finance industry at large there are ways in which the corn- 
regard as a fringe operation. paoy which teases the ■ car in 

the first place — the less.ee — 
can be denied its deduction for 
the rental which It pays over the' 
two-year period of the lease. 

Secondly, the final benefit to 
moted by a number of small husi- the employee or executive who 
nesses in the leasing sector, buys the car at the end of. the 
though complex in their techni- lease could be questioned. It is 
cal detail are essentially simple true that the profit made by re- 
in their basic conception. They selling the car would not be sub- 
are openly acknowledged as ject to capital gains tax. But it 
purely financial and tax schemes is thought more than likely that 
and relate specifically to the the Revenue could charge the 
leasing of cars. employee to income tax in one 

The general idea, subject to wav or another under Schedule 
variations according to the in- E for the equivalent of the ■bene- 
di vidua l company involved, is St he has received, 
designed to appeal to companies The Revenue may also have 
and individuals with potentially ways of bitting as the leasing 
high tax liabilities. A company company itself. The viability of 
will lease a car from a leasing the leasing operation depends to 
company. The leasing company a very considerable extent on Lhe 
gets the benefit of the first-year ability of the company which 
capital allowance on the purchase owns the equipment to claim 
or the vehicle, while the cus- first-year investment allowances 
tamer in turn can in certain on the purchase. The authorities 
circumstances claim tax may be able to hit at this in one 
deduction for his rentals. of two ways. 

At the end of the normally two- First if the individual who 
year lease, the vehicle cannot be eventually buys the car is able 
sold direct to the company which to escape income tax on any 
is the leasing customer since this benefit involved, then the leasing 
would remove the tax advantages, company could be obliged to 
But it can be sold to a nominated bring the full open market value 
director or employee of the com- of the car on sale into its cal- 
pany concerned. Under these eolations of capital allowances, 
schemes, the idea is that the car whatever the price it actually 
is sold off at a value far below received, 
its real worth in the second-hand Secondly, there is some doubt 
car market Typically the price over the position of the leasing 
is 10 per cent, of the original company in relation to qualifying 
capital cost for first-year allowances on the 

The result then is that the purchase of the car. If the 
executive has a car for which agreements being promoted 
he has paid well under the odds, always 'lead to the sale of the 
which he can either keep for his car th * director or employee 
own use, or can sell off at a sub- within two years, the revenue 
stantial profit which is not sub- authorities might well argue that 
ject to capital gains tax. It is the_ equipment is not held as a 
this last option which tends to be capital asset at all but should 
emphasised by the promoters of be treated as stock in trade in 
these schemes. the hands of the leasing com- 

Apart from the fairly obvious PK*J- V .. aQ< * therefore as not 
implication that this is a method attracting first-year allowances, 
of getting round pay restrictions One way or another, therefore, 
by giving executives an extra the combined weight of the 
benefit, schemes of this kind are authorities and the established 
regarded as taking advantage of instalment credit and leasing 
a legitimate form of finance in companies looks likely to stamp 
order to avoid taxation. hard on the fringe car leasing 

Mr Basil Darner, the secretary schemes. 


Financial Times Wednesday May 17 .1978 

Dreams of dry days long ago 

those heautifullv golden small are ra«!ls\ unstoppa ble or half, 
cdumns oMeavos are such a sight hardy, tf this otic proves nsolf 


tulips have been standing in two ?* QOli 0nt 1* 
inches, of water like a crop of a He r 


DRY GARDENS seem like a RHS last year for her exhibits may be due to the habit of ap pi jg I*? a™ do not clumps of leaves inugaw SS. 

happy dream this year. My of less usual perennials.. These mg it too strongly, doubting the feet or so. at this boc Pj jSvfSfi W. TO. 

or once, old roses do not 
attract much praise from an 
Essex gardener, (of this is a 
proven list of plants with fine 

ireotner- roots. -**•*;■ ‘Z ~ Vniftoreak them. cover uaaer u**w« *»«•»»«■ leaves and form, as much 

leaved plants have been hit very wise scattered in ones and twos As for that wild hope, a quick beef wnen j rnptirittssfrna -is shrubs in corners which need to At times, perhaps, the 

hard bv the wet winter and. the oyer too many different cata- evergreen hedge which is not In itseu. fra * octwhwj bc brightened up. It you do not D i an ji n i;s .seem a little too 

SB ring frosts. .If you have lost logues. Most of them can be feathery or coniferous, she points a useful e'jrgreen p . k nour traeJ - lt down, as it w stn(lcm f 0r my taste. uh> many 

them, you are not alone. Far increased freely by the alert ou t that plain Cotwieoster she grows and sens a to u aUCjJ a good a nd easy plant It p Urp \ e leaves arao&R. golden 

too many of "&e- best' hybrid gardener after a year or two, Lacteus is almost evergreen. Ctinna. Ite smaii iio s too yrill increase quite readily. £ ant f interlocking mangles 
“ Jfi 2Si£, Sfe usi'al forms are only so *T gardens need not go short Hot Pokers. 


Pinks have rotted quite suddenly so only the impatient will hurry ^ cao be spaced four 


riiuujw.i; uupwGUL will CBB UK aptfCBU Ila iinial fnimfl 9T0 OMV SU UIJ £ 

and must now -be written off. to buy m bulk and complain, as apar t, should be trained up onto whereas tne usual . Q . ^ 

Their needs must be carefully usual,' at the cost wires and with her. in Essex, a poor mauv^biue. its tiig seeo 


Bui the best advice for unusual 

wires and with jj. w i Essex. autumn and Out in the sunlight, there arc circumstances i* always the 

y prefer “made a dense hedge over six poos spin h* ot |j er Easl Anglian advices aJ j v jce of gardeners who havr 

which, she claims, have proved had to live with them for 13 
their worth. New Spurges arrive vtfar s. ThisjKHJk helps to show 


gardens to-day 

ROBIN LANE FOX 


balanced: rich soil and food at ■ For m e most par t mo- 
tive roots against sharp damage a dry si te. As she reminds us. 
and- dry necks in the winter jjj..- Dardens are a problem 
months. Pursuing the former, w hicb trouble us all once or 
I have now lost the best after twice a decade. But gardeners 
one luxuriant year: The repUce- east of London, in the day' of 
meats wll! go mto- tight, gritty Essex, Suffolk and Norfolk, have 
soil which drams reliably; All t0 j jve with wee ^ of drought 
food will com& .from, above. ^ almost every season. For 

through watering-cans' 'qfu Uquld these counties and, of course, _ 

SS? Mt di^ert^o^on-sense 6 prosp^et°o! an 7 nSS en and ’bare feet high in three years.'; Loose show brighter orange seeds than whfch^ jJSf ^d 

garigue her book and nursery youn 
• - are a usef ul new source of ideas, tally 

Contrasts' • infdr^^Sda^Sor^m. SttVSS? iSuanTqu® **■ ‘and there will hvan even bigger 

•To write the first book called usually, than good in a flower- in the dry garden, what do a vear 0 r Iwo. Chyto's “loveliest thing in ntgu market for a companion volume 

the Dry ^Garden (Dent £6.50) garden; because it is usually kept you do with diy shaded corners. siirpri ’ ain g] y , the lovely Bowles’ summer. from a West -Coast expert on 


quit®, often onto the market y P a gap. Two summers ago, j 
some hardier than others, but one would have hurried to buy big 
Euphorbia Sepuimana Nicicinna jhisilc-like Eryrwiums and. those 
gets as good a press as anything yellowish Pokers called ftartfuue. 
■in this book. Like a Iess-invas»v..- J 
green-yellow eppurixstos. it w 
recommended here as a plant 


Memory 


the drought is only 
two or three’ more 
intolerable weather, 


with dry shaded comers? ^ 

and pubtlsh"it"3d, monith-siemi «o briSTa^d"t^“paRS: difficult hut! SS3 bS 

then, to be rather inopportune. She does not have any startlingly would uoderiine her favour for Golden tj f J r ^ 

But the authoress, Beth Chatto, new tips, but suspects, as I do, the newer 
has earned her name as a that the failure of 2 4-D selective in the — e 

grower of unusual plants. She weed-killer to kill off bindweed “ Mother of Pearl, and so tortn. ^^"smrnmndings where in nature, 
took two Gold Medals from the for some gardeners, not others, which bear big crops of fruits in nener surruunuiue 


I would hasten to try it as sodden gardens for us p»nr nlq 


Leonardo da Vinci odds may 
tumble if he wins to-day 

IF LEONARDO DA VINCI can sive Wood Ditton victory over dous exhibition by the Mountain 
come through ibis afternoon's Chop Gate. And with only two Call horse and_ Lester Piggott 
Mecca-Bante Stakes test with races behind him, further itn- when the combination s woo pea 
flying colours there seems every provement can be expected. to land the Earl of cnester nan- 
possibility that be will go to Remainder Man . who might d>cap last week and we> seem w 
post at Epsom as a shortpriced have taken Roland Gardens to a have a good case for fououing 
favourite for the Derby as Try photo finish in the 2,000 Guineas U P 111 the Hamblel0 “ s> » J ' es - 
My Best was for .the 2,000 had he not been forced to change If Leonardo da Vinci proves 
Guineas. positions inside the final furlong, the “good thing.” many consider 

There is little doubt that is sure to come in for heavy him in the feature event. Chop 
Mr. Daniel Wildenstein's colt each-way support from backers Gate trained by Henry Cecil for 
deserves his position at the not prepared to take a short his mother-in-law Lady ftr 
head of the Derby market. How- price on Leonardo da Vinci. should surely win the G 
ever, present odds of 11-4 seem He may fit the bill, but my own Stakes, 
to reflect the potential idea of the best win and place a major gamble on B 
Leonardo da Vinct clearly jj et j S j u ij 0 Mariner. Kemoinski came unstuck : 


RACING 

BY DOMINIC WIGAN 


Britain's most valuable event for of the Esher Cup. and 
juveniles, the William Hill backers thwarted there aia; 

Futurity at Doncaster last tempted to switch to canq 

possesses and to a lesser extent autumn but for ' meeting in the Sledmere Handicap, 

the respect held for Eddery's considerable difficulties in run- Q Ue en - s gelding i 

view — “the best horse 1 have ning. certain to take a tremei 

ever ridden "—-'rather than any- Connections consider him amount of beating — even l 

thing the Brigadier Gerard colt sufficiently well forward to run ^ formidable steadier o! 

has accomplished. really well here. At expected jg jj, an d i have no inte 

Having said that, I shall be odds of about 10-1, he could pro- 0 f opposing him. 

disappointed if Leonardo da vide better value in this nine- Z 

Vinci cannot extend his un- runner event than the favourite, 
beaten run at York. who will probably start at about 

There was no getting away 5-4 on. 
from the ease with which he One of the features of the 
toyed with such useful per- season to date has been the re- 
formers as Nicholas Bill and markable running of Yamadori, 

Philodantes in the White Rose who at the age of six has never 
Stakes at Ascot last time out been such a force. Chester race- 
after an almost equally impres- goets were treated to a treraen- 


YORK 

2.00 — Frith’s Fancy 
2J30 — Disco Volatile 

3.05— -Leonardo da Vinci* 41 
3.33 — Yamadori 

4.05— Chop Gate*** 

4.35— Rhyme Royal* 

5.05 — Hot Shot 


TVRadio 


t Indicates programme in 
black and while. 


3.10 Think 


BBC 1 


and 


8.40 a.m. Open University. 8.38 
For Schools, Colleges. 10.45 You 
and Me. 11.00 For Schools. 
Colleges. 12.45 p.tn. News. 1.00 
Pebble Mill. 1.45 Bagpuss. 2.01 
For Schools, Colleges. 333 
Regional News for England 
(except London). 3.55 Play 
School. 4.20 Baileys Comets. 4.40 
The Canal Children. 5.05 John 


Craven's Newsround. 
of a Number. 

5 v 40 jyj 0W5 a 

5.35 Nationwide (London 
South East only). 

6.20 Nationwide: Peter Parker, 
Chairman of British Rail 
6.55 The Wednesday 
“ Mackintosh and 
starring Roy Rogers. 

830 The Liver Birds. 


lt.00 Tonight 

H.40 The Sky at Night 

12.00 Weather/ Regional News. 


F.T. CROSSWORD PUZZLE No. 3,669 



the following times: 

Wales — 5.10-5.40 pan. Bilidow- 
Fiim- car - 5.55-6-20 Wales Today. 6-35 
tj » Heddiw. 7-20 Bugs Bunny. 7.25 
Taste for Adventure. 8.00-8.30 In 
umi ii mxv _ O ur Nature. 12.00 News and 

9.00 Party* 1 ' Pol iticaT Broadcast Weather and Wales. 

by the Conservative Party. Scotland — 5-55-6-20 pjn. Report- 

ing Scotland. 12.00 News and 
Weather for Scotland. 

Northern Ireland — 3-53-3.55 p.m. 
Northern Ireland News. 5.55-820 
Scene Around Six. 925-10 JO 
Spotlight on Northern Ireland 
affairs. 12.00 News and Weather 
for. Northern Ireland. 

England— 555-620 p.m. Look 
East (.Norwich); Look North 
(Leeds, Manchester, Newcastle); 


Britain. 1.00 News plus FT index. GR4N4DA 

After Noon. 225 Racing from jcisom. sio wnat's Now. sos 
York. 3JM) The Electric Theatre roads un Granada Reports. 6Ji 
Show. 420 How. 4.45 A Bunch a «i Mrs. run cvbtasviu>:. 
of Fives. 5.15 Emmerdale Farm. 

.5.45 News. 

uo P.m. Report West Headlines. 
6.00 Thames at 6. Rcpon Wales Headlines. 2.00 House 

5.15 Beitr Boop. 5 JO Crossroads. 
Report West. (.15 Report Wales. 


9.10 News. 

925 The Dick Emery Show. 
10.10 The Diplomatic Style 
Andrew Young. 


and Woman. 

HTV Cymru /Wales— As 


HTV 


Of 


ACROSS 

1 A very short way to go to steal 
_ 14. 4) 

5 Note illumination on the wine 
(61 

9 There is dirt on the defender 
against dirt (Si 

10 A certain way is the safest 16) 


4 Nauseated at going by motor- 
way? (3-4) 

6 Washerwoman the French 
strip (9) 

7 A girl screened in a 
meagre taffetta dress (5) 

8 Tied up there leaving Ted out- 
side (8) 


635 Crossroads. 

7.00 This Is Your Life. 

730 Coronation Street 

8.00 Nurse of the Year. ^ ^ ^ ^ 

9.00 Party Political Broadcast by Ntwyddlon^y 4 ' 

the Conservative Part). 43WA5 Un Tro. 6.0MJ5 Y Dydd. 

9.10 Faces of Communism. HTV West— As HTV General sex 

into fscepi: 120-L30 pjn. Report Wen H 

10.10 News. 6J54J0 Report Wrtl. 

10AQ The Midweek Match: Scot- 
land v Wales. SCOTTISH 

1140 Fireside Theatre. Ji-S p.m. News nid Raid Report 

1235 a.m. Close: Rud 


Teatuae Tales. . 5J0 Crossroads. 


-\1I 


poem by Rick Ferreira. 
1BA regions as London 


Midlands To-day (Birmingham); 

Points West (Bristol); South except at Lhe following times; 
To-day (Southampton); Spotlight 


ULA5 Late 
Snooker. 


Call 1UD 


SOUTHERN 


South West (Plymouth). 


BBC 2 

6.40 ajn. Open University. 

1025 Gharbar. 

11.00 Play School. 

1125 Open University. 

425 Open University. 

7.00 News on 2 Headlines. 

7.05 Mr. Smith's Flower Garden. 
720 Newsday. 

8.10 Bioscope Days. 

820 Landscapes of England. 

9.00 Party Political Broadcast 
by the Conservative Party. 

9.10 Call My Bluff. 

9.40 Play of the Week: “Ice 
Age." by Tankred DorsL 

11.40 Late News on 2. 

1120 Closedown: Reading. 


1-20 p.m. southern News. 
puny. 3SQ Survival. 505 


ANGLIA 

1JB p.m. Anslia News. 2J» H 

party. 5-15 Mr. and Mre. 6.50 About Southern News Extra. LL50 The Bit 
A nglia. 11.00 Bareita. 1235 ajn. The Grand Masters Dans Championship. 
Question. 


ATV 


TYNE TEES 


1-20 p.m. ATV Newsdesk. 3JI The North East News Headlines. 120 
Sullivans. 525 Mr. and Mrs. 600 ATV Nortd East News and Loakaround. 
Today. 11-40 Drive -In. Women Only. 545 Happy Days. 

Northern Life. 11-48 Landscape. 

BORDER « jn - spflogw. 

fL2B p.m. Border News. 2JM House- 
party. 545 Mr. and Mrs. 628 Look a round 
Wednesday. 1UO CLbnavUlc. 11230 a.m. 

Border News Summary. 


CHANNEL 


148 p.m. Channel LuncttHme News and 
What's On Where. bJM C banner News. 
841 Castaway. U1 Review. 1848 
Channel Late News. 13-40 Weatside 
MedlcaL 12-35 ajn. News and Weather 
In French followed by Epilogue. 


ULSTER 

3L28 p.m. LDDchtlme. 448 Llsier 
Headlines. 545 Solo One. 6.00 ( 
Television News. 6415 Crossroads. 
Reports. u.*> Horses in our Blood, 
a-ra. Bed lime. 


westward 


, _ GRAMPIAN 

LONDON 9-23 a. in- First Thing. L20 pm. 

Grampian Nows Headlines. 3 JO Sur- 

920 tun. Schools Programmes. J” 1 - Ti ? d * y - ^ 

12.0(1 Herp Cnmac MumRa vo tA Ncwaroom. 1U0 Reflections. 1L45 Maris 
1Z.0U Here Comes Mum fie. I2J.0 —wanana to Know. 12.15 a-m. Grampian 
Pjtl Rainbow. 1220 Sounds of Late Night Headlines. 


ward Diary. 
U4U Wcstsid 
For Life. 


YORKSHIRE 


'2 mley Moor 
Juw Dans. 


and Belmont edltlousi. 


12 Thread left to land in sea (5) II Skip out oF room itself (4) 

13 1 am to act as peacemaker at 15 Radiant when there s e.g. fun 

once (9) left for transformation (9) 

14 Company has a measure of 17 Follow bit of an appendage 

foreign money (fii i® 1 . . .. 

16 Supporter of board that might 18 Everv'body dismissed excesr 
fold up (7) s\ve\y (3*5) 

19 Enjoy amusement vigorously 20 Elegant cattle (4) 

(4 21 Scatters pies with LSD (7) 

21 How to finish up in good 22 State of confusion could drive 
spirits Id) nie ba,d ,6) 

23 Acquaintances of loud story 24 Regret giving doctor a tea 
tellers ineludc French friend dispenser (5) 

<9> . 25 Distribute a rising tax (5) 


25 Plenty of beer member gets in 
15) 

26 Heavily beaten when directed 
by A A (8) 

27 The two of us will fit surprised 
expression (4.4) 

28 Mean to study part of Bible 
before beginning of Easter (6) 

29 Temperature contour is noth- 
ing to the marine (S) 

DOWN 

1 Consecrated motorway 
eluded in sermon <$) 

2 Cuckoo-flower earning 
common woman's jeer (4-5) 

3 Accustom one Pole to go on 
river (5) 


m- 


un- 


Solutlon to Puzzle No. 3,668 


wag&BBRS ei&s'-jh'h 

F.lfTi El R Q H r-i 
cnbSHOflg 
B 13 ■ . • C H ES 

ECQGnnBQ BDBQHG 
u ti h fi n a n r 

Ed Q B 

n R □ 

ftMCOna ; QCnOEHFifi, 

HQGBIEra ZnRBQHHEil 
n b a bi 
Q®BSQQ_BEHH0EnE 


RADIO 1 . SToliS'Sr, 

(S) stemphanlc broadcast cAAerntfSi. IL 

5JM aan. As Radio 2. 7JB Dave Lee redial fSi. 11. 
Travis 9J0 Simon Bates. 1LH Paul phony Orcbcetra 


‘ncnxdlnc 12.30 pan., Ncwtte.t. LOS Concert H«U X' Sic Y05 FUe JfV 

for , Fono- The Brains Trust File from Uw 


IM Tony BlaeWjurn. 431 Ktd Jensen Sound at 
Uidndhu: 5.38 Newsbeat. 738 Sports Desk piano iS>. 
loins Radio 8-08 As VHP. 10.82 Music, nan 


■ Si. 




5.00 lino . . . Cinema. 

Hametvard time. 1145 The Financial World Ton id 
Rnmcivard 1130 T6day in Parliament, 1ZOO Nows. 


„ ^ The Earnest Enclish Soncs is 

Radio -J. iododioR L53 RJa. Good Listen. Bunding a Library »Si 53 
inn. &JO Listen to the Bond <B1 tcon- Bound. Jh35 News * rt. 16 
iliraod from .Radio S at 74 Bl 845 Bound iconilnucdi " tftin i ir«iin.„ — 

KSIS^riS‘LE-1 JS™ SSESLJ? as-SsTiJ BBC Hadl ° London 

Radio l. 122M22 *.«. With Radio 2. schuhrn. £n 

RADIO 2 " 



nums. 145 Close as Radio L 1 . 


and 5,<U Pause for Thoibtlu. 1842 Jimmy Schubert Sodas <Si Includlna n.fis News 
young <S>, 1245 pju, Wafnouers' Walk. Baa ._ . „ uc 

1238 Dim -O'Connor's Open Bouse iS> c ^ 5 VH f only-8.B8.740 a-m. and * 

Induduu l.« Sports DcaJ?. 2Jo David S ‘ 45 ' 7 * 3a p - m - Own University- London DrO^OCaSUDg 

Kannuiott iSi indadlng 2.45 and 3.« DA TITO -1 261m and 973 VHF 

Sports Desk and Racing from York. 4.38 ** 5.08 a.m Slornuni Mtwle fi.no 

Sw i ts besk. 434m, 330m, 285m and VHF jeon-stop mianuaiinn. trowu apori 

folk MI ^SMni S D^k "tjo fccf 0115 »«*■. #»'F«mliut Today. Brian Hayes Show. 

Ski' StrnplJ >s? 7 m ' Si JS ro* 50 ?^ 435 Up (o tfte Hour Including News Head- ^ Report*. 340 George 

U«m w Uh Barit lln,3B ' Papers. Sport, and Prayer Cries - Ute Call. 440 LBC Reports 

VHF lid H-MkTt? 'commued on for the Day. 7.88 News. 740 Today. ^’Pf* n _ J uos - M'cr Eudtt wdh Ian 

M H tL^So(^r 'aJciaf sSu5S t,e 735 Up 10 Hour Including ° JS* 1 ? ■ ,jn N *5hikJhr. 1.BM4B aun. 

Though! for lhe Day. 848 Now*. 810 Night Extra. 

Read That 1 H r « ,a r' . *■» Yesterday m Pariiament. CaDlta] Radio 

«ys TTuaks for iL ****■ ,JB The Living World. 935 ^ a P IiaA *3010 

itJf.hiH? i n ,S. r j lh ' Me "3 0r T- 11-83 Brian Happiness IS . . . 1848 Nines. 11145 In 

fneludlng izjONm a Br1w l" Now - Drily Service, 1845 fcW a-m. Graham Dene's Breakfast 

SSw. ■ ■ Nctrt Morning Shut. 1140 News. lLOS «otn<s Show <S,. 9.81 Tim Rice "». i2.H0 Dan 

„ , _ uiuJB Appeal! nc. SomeUtma Appallinc. Cash iS>, 340 p.m, Rower Scutt isi 

RADIO 3 4Mni# Stereo S: VHF 1XJSB Vlklnas. Sroia and SeroelluAs. 1240 r40 London Today iS». 7J8 Set Btuk 

t Mcdhjtn Watfo nalv ant ^ VOUTS. 1217 " To Kill a Mocklllfibirtl."’ 8JD3 

tfiAi a.m. wither 148 News. 745 SSckSl SS WeSflier 57^"..™'® Open Une .S., 9.88 Nicky 

>Our Midweek Choice, pan 1 tS -- earner, 


1 94m and 953 VHF 
Graham 


„ _ - - — . . DroEramrao Hurno's Your Mother Wouldn't Like it 

\-«s 8H5 rw; ' V ^ WWO at one. 138 The rs>. 1140 Tony M raffs t,X Show- tSi 

ws - i« 'ou r Midweek Cholci-. part 4 Arcltero. L<5 Woman's Hour inchidlnc 2.M a.m. Duncan Johnson's Nlsfat Flleht 
945 This Week's Com. 2.WKMH News. 245 Listen Wiih ilolher. iS*. s r.uut rugu 


'S>. 9.08 News. 



ENTERTAINMENT GUIDE 


CC— Tiwsc theatros uxept certain credit 
cards by trlepbam or at the has alftcc. 

OPCRA & BALLET 

COLISEUM. Credit Cards ai-240 5258. 
Reservations - Q1-B3G 3161. 
ENGLISH NATIONAL OFEJtA 
Ton L. Sat. 3, Mon. nwrt 7-10 CumtAbn. 
Tomor. & Toe- next T.30 The Two Fo*> 
carl, Frf. 7.30 Coaat Onr. 104 balcony 
stuns always available day ot Dcrtormancc. 
London Seson ends May 27. 


theatres 

kaymarkct. 01.830 9132. tro*- JM. 
Mata Wms. 2.30. S3 1- 4 -30 Aftd B.CKj> 
M41S. w »^ G - RJ p BERGMAN 

DEREK WENP »°*jf’ 

GODFREY HARE CUKA 

WATERS OF THE MOON 
•• Ingrid Bentman makes the Stage 
— unasuilabic cnarrtm*. "™. 

■■ Wcnov Hitler is «w*rh. Sun. Mirror 


W COVENT GARDEN. CC. 240 1 066. 

IGardenc barge credit card* B36 6903.1 
THE ROYAL OPERA 

ir Ton't. A sat. 7.30 Rtaetetto. Tamar. & 
Mon. next 7.30 Pater Grimes. Fri. 7. DO 
□- Le None dl Figaro. 65 Ampni' seats 
avail, from 10 a.m. on day 0> perf. 

re SADLER-d WELLS THCAIRt. Rosebery 
i. Are.. EC1. 037 1672. Until 27 May. 
- a KATHA KALI 

ie Dancers from Kerala India. Evgs- at 7a30- 
,, Tonight. Tha Rumayona. Tomorrow Fri. A 
21 Sat, The MdiahtiniL 
ir 

THEATRES 

15 ADEL PHI THEATRE. CC. Ot-836 7611 

S Ergs. 7.30. Mats. Thuri. S.a. Sat. 4.0. 
, r IRENE 

r THE BEST MUSICAL 

St ol 1976. 1977 and 1978* 

“ IRENE 

n " LONDON'S BEST NIGHT OUT." 

Sunday Pcoa'o. 

ALREADY SEEN Br OVER ONE 
» MILLION HAPPY THEATREGOERS. 

CREDIT CARD BOOKINGS S36 7611. 

ALBERY. 836 3878. Partv Rates. Credit 
card bkgs. 636 1971-2 itram 9 a.m. to 

6 p.m.l. Men.. Tues.. Wed. and Fri. 
7.45 p.m. Tnurs. and sat. 4.30 and 8.00. 

" A THOUSAND TIMES WELCOME IS 
LIONEL BART'S 

"MIRACULOUS MUSICAL." Fin. Times 
OLIVER 

With ROY HUDD and JOAN TURNER 
“CONSIDER YOURSELF LUCKY TO BC 
ABLE TO SEE IT AGAIN." Dally Mirror. 

_ ALDWYCH. 836 6404. Into. 836 5332 
■ ROYAL SHAKESPEARE COMPANY in 
repertoire. Tortiaht 7.30 HENRY VI 
Part S. "One can only marveL" D. Mall. 
With: HENRY V itomor.J. HENRY VI 
Part 1 >FrU, Part 2 -Sat. mat.!- Part 3 
(Sat. eve. I. RSC also at THE -WARE- 
HOUSE (see under W) and at Piccadilly 
Theatre in Peter Nichols' PRIVATES ON 
PARADE. 

ALMOST FREE. 483 6224. "Distant 
Encounters" by Brian W. AldiSL Tues.- 
Sata. 1.15 p.m. suns. 3.00 and S.OO n.m. 

^ No show Mondays. 

r AMBASSADORS. 01-336 1171. 

Nightly at B.OO. Mats. Weds- 2.45. 
Sata. 5.00 and B.OO. 

PATRICK CARGILL and TONY ANHOLT 
in SLEUTH 

S The Worid-lamous Thriller 

by ANTHONY SHAFFER 

J "Seeing the play again is m (act an 
uner and total loy." Punch. 

IB Dinner and Too Price Seat £7.50. 

APOLLO. 01-437 2S63. Evenings 8.00. 
il Mats. Thurs. 3.00 sat. 5.00 and B.OO. 

„ DONALD SINOEN 

“ Actor of the Year. e. Std. 

r * "IS SUPERB." N.o.W. 

SMUT YOUR EYES AND 

X- THINK OF ENGLAND 

* "WICKEDLY FUNNY." Time*. 

ARTS THEATRE. 01-836 2132. 

TOM STOPPARD'S 

DIRTY LINEN 

" Hilarious ... see it." Sunday Times. 

0 Monday to Thursday 8.30 Friday and 

5 Saturday at 7.0 and 9.15. 

r. ASTORIA THEATRE. Charing X Hd. iwrth 
y fully licensed Restaurant). 01-734 4191. 

■* Nearest tube Tottenham Ct. Rd. Mon.- 
Thurs. 8.00 p.m. Fri. and Sat. 6.00 
and 8.45. Instant credit card booking. 
ELVIS 

"Infectious, appealing, foot-stomping and 
». ncart-thumping." Observer. 

ELVIS 

« Seat prices CT.50-E5.50. Dinner. Too 
" price seat £8.50. Hall-hour betora show 

8 any available 100 -price tickers £2.50. 
Mon.-Thurs. and Fri. 6.00 p.m. pert. only. 
BEST MUSICAL OF THE YEAR 
EVENING STANDARD AWARD 

y CAMBRIDGE. 536 6056. Mon. to Thurs. 

8.00. Fri.. Sat. S.45 and 8.30. 

A IPI TOMBI 

9 Exciting Black African Musical 

" Tho airts are beautiful, bare and 

8 bouncing. ” S- Mirror 

_ THIRD GREAT YEAR , 

Dinner and too-brice seat £8.75 Ina. 

CHICHESTER. 0243 *1312. 

- Tonight and May 19 at 7.00. May 18 
and 20 at 2.00 and 7.00. 

A WOMAN OF NO IMPORTANCE 

5 COMEDY. ... 01-930 2578. 

Evening 8.00. Thur. 3J00. Sac. ^30. 8.30 
MOIRA LISTER. TONY BRITTON. 
Margaret COURTENAY. Dermot WALSH 
THE HIT COMEDY THRILLER 
MURDER AMONG FRIENDS 
•• Blackmail, armed robbery, double bluff 
and murder." Time*. "A good deal of 
fun." Evening New*. 

CRITERION. Credit, cards. 930 3216. 

Evenings B.O. 5a [>. 5.30. 8.30 pur. 3.0. 
NOW tN ITS 2nd YEARI 

1 LESLIE PHILLIPS 

in SIX OF ONE 
" VERY FUNNY/' S. Tel. 

SECOND HILARIOUS YEAR! 

DRURY LANE. 01-856 BIOS. Every 
night 8.00. Matinee Wed. and Sat. 3.00 f 
A CHORUS LINE 

“A rare, devosatlm. layout, astonishing 
stunner," Sunday Times. 

DUCHESS. 836 8243. Man. to Thurs. - 

!*“■ 8 ° 0 6m r &?&™ ! ! " d 9 00 * 

"The ^«v^to-n^ p Da,«y Tef. 

DUKE OF YORK'S. 01-ES6 S1Z2. 

Evgs. 8. Mat. Wed.. Sat. at 5.00. 

JOHN GIELGUD 
in Julian Mitchgir* 

HALF-LIFE 

- n!1niI!S. NAL .J MEATRE PRODUCTION 

,ias ; 

credit cam 1 even aliens. Dinner and 

j top-price seat £7.00, 

FORTUNE. 336 2238. Evgs. B.O. Thur, 3 

Saf. S-00 and B.OO. 

Murid Part aw as MISS MARPLE in 

AGATHA CHRISTIE'S 

MURDER AT THE VICARAGE 

Third Great Year 

C e - R, «1 ™EATRe. 01-356 4601. R 

Evflv. 8-0,. Mat. Wed. 3.0. Sat. S.30. 8 30 
TIMOfHY WEST. GEMMA I ONES 
MICHAEL KITCHEN W 

in HAROLD PINTER'S 

.. .b„ . ,.T!J E homecoming 

BRILLIANT — A TAUT AND EXCEL 
LENTLY ACTED PRODUCTION." D fel' - 
' * N INEXHAUSTIBLY RICH WORK," R 
Gdn. -NOT TO BE MISSED." Times. * 

GLOBE THEATRE. 01 .437 1 sov 

Evgs B.IS. wed. 3.0. Sat 6.0. a an 
PAUL EDDINGTON. JULIA ' MCKENZIE' 

.. A BEfiJAMIN WHITROW .n 

ALAN AYCKBOURN S New Comedy 

TEM TIMES TABLE 

This must ho the hsppi-« laiMhtnr. - 
maker in London." D. Tel. " An I'rresiu. R 
Ibiv enjnyabio evening." Sunday Times. 

GRECNWICH THEATRE. 856 775^ _ 

Prov. Tonight 7. SO.Opens Tomorrow 7.0.' » 
Sub*. 7.30. Mat. Sets. 2.30 “ ft 

THE ACHURCH LETTERS 

A play by Don Taylor. 


HER MAJESTY’S- CC. 01-930 6606. 
Evenings ““ u & jU FO r£yt£ ** 3 ° Q ' 

TRAVELLING MUSIC SHOW 

with Dcrok GrtlRtha 
D.rccteo oy BURT SHEVELOVE 

••It IS cacVM 10 burning point vrtth 

me personality and sheer enerov Of Brwe 
Forsyth." Sun. Express. The audience 
cheered.'' Sunday Tricsraop. 


KING'S ROAD THEATRE. SS2 V53" 
Mon 13 Tnur»- 9.0. Pn.» S<R» T .3 41 . 930. 
M THE ROCKY HORROR SHOW 
NOW IN ITS Sth ROCKING YEAR 
THE GREAT ROCK N" ROLL MUSICAL 


LONDON PALLADIUM. CC. 01-437 7373 
Doenirg Thursday. May 25. at . lor the 
Summer Season ‘to August 19 on'r*- 
Subs Mon.. Tues.. T| >un. and Fi rL at B. 
Weds, and San al B. JQ and 8.50. 
THE TWO RONNIES 
In a soecucular 
COMEDY STAGE REVUE 
ALL SEATS BOOKABLE NOW 
'J.SO. £3 75. E3.50. CL50. *1.50. 
Soedat Booking Hotline 437 2055. 


LYRIC THEATRE. CC. 01-437 3666. Cw. 
8.0> Mat. Thurs. 3-0. Sat. S-0 and 8.10. 

JOAN PLOWRIGHT 
T COLIN BLAKELY 

and PATRICIA HAYES in 
FILUMENA 

by EDUARDO FILIPPO , 
Directed by FRANCO 2EFFERCU1 
■■ TOTAL TRIUMPH." D. Mirror- 
“ MAY IT FILL THE LYRIC FOR A 
HUNDRED YEARS." Sunday Tima*. 


«.0 C & 

GORDON CHATE^oh of 

BENJAMIN FRANKLIN 
By Steve J. Spears 


629 3030. 
.. S.30 and 8.45. 
Brilliant." E.N. in 




play 

amusing." E. New* 


-Spellbinding. 


MERMAIO. 248 76SS. Restaurant 248 
283S. Wed. to Sat- 8.30. Mats. Wed- 
Fn. and Sat- at £.45. 

TOM CONTI. JANE ASHER 
WHOSE LIFE IS IT ANYWAY? 
Every Mon. and Tues. at 8.15 P.m. 
Alec McCa*ntn's 
ST. MARK'S GOSPEL 
(Suns, at 7.30 p.m. all scats sold) 
Prcv. June 13 Opens June Id. 
Subs. 7.30 and 9.18. 

EVERY GOOD 80Y DESERVES FAVOUR 
A piece tor Actors end Orchestra 
by TOM STOPPARD and ANDRE PREVIN 


NATIONAL THEATRE. 928 2252. 

Olivier loom jtge>. Ton't. A Tomer. 
7 (note early start I 
BRAND by Ibsen In a version by Geoffrey 
HiH. . 

LYTTELTON (Broscenlom stage). Ton't. 
7 .45 PLENTY a new nlav bv Da«ld Haro.- 
Tomor- 7.45 The Guardsman. 

COTTE5LOE umalT auditorium). Ton't. & 
Tomor. 8 DON JUAN COMES BACK 
FROM THE WAR by Horvath mm. bv 
Christopner Hampton. 

Many excel lent cheap mats alt three 
theatres day of pert- Car pile. Restaurant 
928 2033. Crodft Card Maps. 928 3852. 


MOORE. Peter WOOD- 

2BHU. ^ TR,BADES - # “ 


3LD VIC. _ 92« 7616. 

PROSPECT AT THE OLD VIC 
Last week of current season 
TWELFTH NIGHT 

■* an outstanding revival.” The Times. 
Today 7.30. performance. 

Eileen Atkins as 
SAINT JOAN 

*'a stunning production." Sunday Tele, 
graph. Thunu. Frf. 7.30. Sat. 2.30 ft 

7 ‘ INTERNATIONAL SEASON AT THE 
OLD VIC 
MAY 22-JUNE 3 
Lila Kedrova. Je an M arais in 
LIS PARENTS TERR ISLES 
May 22-27. 

THE TURKISH CLOGG5 

„ May 29- June 3. 

La Barca restaurant opposite The Old Vic 
open before or after the show. 


NWAJ.IL Regent's Park. 486 2431. 
AMIKUMMER NIGHT'S DREAM from 
THE MAN 
™ , T” E DAR H LADY OF 

THE SONNETS Joins repertoire July 17, 


3294. Evenings B.IS. 
Friday and Saturday 6.0 and 0.40. 
TIM BrSCHCE TAYLOR. GRAEME 
GARDEN nuke us laugh." D. Mall, in 
_ THt.UNVARNISHED TRUTH 
The Hit Camedy bv ROYCE RYTON 

HiSy G ^^ Y e l thought « 5JSjld 
HAVE . .DIED.” Sun. Times. "SHEER 
E. Stand ■■ GLORIOUS 
~ " Times. 


THEATRES 

SAVOY. 01.836 8888. Evgi B OO. 
Mat. Wed. 3.09. 5*L 9 30. 6. ID. 

RALPH RICHARDSON 

Michael GAMBON. Michael JAYSTOH, 
Gary BONO. Joanna VAN GYSEGHEM, 
Geoffrey KEEN in 


ALlCl-S BOYS 
' A JOLLY GOOD EVENING OUT.' 


F.T. 


SHAFTESBURY, CC. II 38 65! 
Sbatresbery Avtr WC2 (High Ho mom a 
E vgs. at B.Q. Man. Thurs. Sat 31 


836 6596. 
lb HORiorn oml> 

_. . jrs. Sat 3 00. 

JOHN REARDON afQ JOAN DIENE R m 
KISMET 

“A SMASH MIT. THIS MUSICAL HAS 
IVZRYTHING." S. Mirror. 
CREDIT CARD BOOKING 336 dS9 f. 


SHAW THEATRE. 01-388 1314. 

Evgt. 7.30. M*(s. Tuee. and ThUrs. 2.30. 
BOOTS 

ArnoM Wetkrr's Ciau-i: 

M Still stirs the heart " O. Tel. 

Low Prices. Easy Parking. 


STRAND. 01*336 2668. Evenings B 80. 
Mat. Than. 3.00. Saturdays fi.30 A 8.30. 

NO SEX PLIASO . 

THE WO RLO^ GREATS ST 
LAUGHTER MAKER 
GOOD 5CATS £1.90 to Ed.OO. 


STRATFORO-UFON.AVON, Royal Shake- 
speare Tnoatx* (QT89 2271V Tickets 
immediately available tor RSC in THC 
TAMING OF THE SHREW. May 
(nui.i June 1 (maLi. 5 6. fi. THE 

TEMPEST. May 2S (mat.}. Jane -4. 
tmat.i. Recorded booking into (0789 
09191). 


ST. MARTIN'S. CC. 89b 1449. Evgi. a. 00. 
Mat. Tues. 2 45. San. S and a- 

AGATHA CHRISTIE’S 4 

THE MOUSETRAP 
WORLD'S LONGCST-EVER RUN 

26th YEAR 


TALK OF THE TOWN. CC. 734 3051. 
B.OO. Dining, Dancing 9 30 Suogr Revue. 
(Bars ooen at 7.15 p.m 3 
RA2ZLG DAZZLE 
ann it ll o m, 

FRANKIE STEVENS. 


THEATRE UPSTAIR*. 730 23 trt. Pre*. 
Ton t. at 7.30 Open* Tomor. at 7. Subs. 
eves. T.30__ . . 

I97B YONC WRITERS 


VAUDEVILLE. 838 99*8. CC. E*t. at 3 00 
Mat. Ton. 2. as. Sat S ami R 
Dinah SHERIDAN. Union GRAY 
Eleanor SUMMERFICLD j 4fiii*s GROUT 


.by AGATHA CHRIST If 
" Re-enter Agatha with anonier who- 
dunnit ha. Attatha ChmHe is sulking t*p 
West End yet again with arotiw & iw 
ftcnriismy, UornlOus murdei nirittriO" 
Fetie Barker. Evening News. 


VICTORIA PALACE. 

Book Now. 829 4735.6. 894 1117. 

STRATFORD JOHNS 
SHEILA HANCOCK 
_ «... ANNIE 

Eega. 7.30. Mats, wed, and Sat. 2*5. 


WAREHOUSE. Donrnar Theatre, C event 
Garden. 836 6800 Royal SMkHNUe 
5 OO Paul Jbonuwon v 
THE LORENZACCio STORY isold outl. 
Ally. mes. Aldwvch. . : 


WESI MINSTER. 01 -834 Q2B3. 

5ENTENCEO TO LIFE 
by Malcolm Mtiggeridge 4 Alan Timed I U 
' ° wn i.J 1 00 ' , i t 'i 7 0. 5Ubs. 7 AS. 
Wed. 3 0. Sar. 4.30. 


y ™'TEHAJ.L. q! -930 5692.7765. 

■ S' 30, Frl - Sal- 8.45 and V.OO." 

Paul Raymond oresants the Sensational 
Sex Revue of the Century 
DEEP THHOAT- 

Due to overwhelming oubl* demand .. 
Seaton e« tended. 


WINDMILL THEATRE. CC. 01-497 E3U. 
Nightly S.DO and IQ. DO. 

°®«" Sundays 6.0Q and 9.DD - 
PAUL RAYMOND present. . 

THE EROTIC EXPERIENCE OF THE 
.. MODERN ERA 

imgrocedentefl ImKs what lr 
••WSfgSL ° n . staoe." L»b. News. 
You may cb-lnk and smoke in ttw ' 
AiHUCDnoivm. 


^ ggfP Wiayfc-gl-MB 3028. Credit Card 

SkSf - ri?u% T 2 7 V3 "sr to J prm. 

TPljro- B. FH. and Sat. 5.1 S. ajo. 
VERY ' . R,CH 

Supreme comedy mi «« ana yei(fliod. M 

" ^LAU &HT K E WITH 
LAUGHTER. Guardian 


DELIGHT." 

CONTINUOUS LAUGHTER.- 


836 1071-3 from 9 a.m. -6 p.m. Fvgs. a’ 
Sat 4.49 1 end 8 15. Wrt. mit 1. 

. SSSSP**™ Company in 

AN OUTRAGEOUS ADULT COMEDY 

by Peter Nichols 

.. »,. PIU y ATES ON PARADE 
Wljjro arlng trtumoh " s. ryprecs. 
BEST COMEDY OF THE YEAR 
Ev. std. ARward and S.W.E.T. Award. 
R5C also at the Akiwyeh and Warehouse 
Theatres. 


-43J 8877. Red. Price orm. June 
12. 13 and 20. 8.0. June 17. 5.30 end 
3.30. Open* June 21. 

EVITA 


RINGS OF WALES. CC. 01-930 8681. 

Monday to Friday at a p.m. 

Sat- 5.30 and 8.45. Mat. Thur. 3.00 
LONDON AND BROADWAY S 
COMEDY MUSICAL HIT! 
"HILARIOUS." The Sun. 

I LOVE MY WIFE 
"ALL JUST GOOD CLEAN 
FUN. Daily Evnrcst- 
CREDIT CARD BOOKINGS 930 0848. 


r? THEATRE CC. Ol -734 1 1 66, 
E*gj. B.O. Wed. 3.0. Sat. 5.0 and 8.30. 

ANTHONY QUAYLE, 

FAITH BROOK, MICHAEL ALDRIDGE, 
RACHEL KEMPSON 1 - UK,wk,t ' 
In ALAN BENNETT'S 

„ b^l^yWhTOar 

sssHsr 


CINEMA5 


AgBt, 1 SHAPTESBURY AVE. 836 

wrssr 2 i * a> - wk - * sun - : 


C riJbe? tw aasA^A ujpp. Camoen Toon 


CLASSIC 


■a. ^Oxford St. (Ottf. 
T3I8- 


SB fiU 

gSds^ujl 2 pSv af^ARWs'SfliS 

jigTu nsa -ft* 

J ^i^ S ws ’ , s£ > dfi 


L S2S^M TB et.- THBATHt. 


RAYMOND REVUEBAR. CC 01.734 1593 
Ac 7 P.fft.. 9 P.m .,11 p.m. (open Sun.) 
PAUL RAYMOND pr-aVnts 
THE FESTIVAL OF 
EROTICA 

Fully Air CarnlltHmed. You may drink 
and smoke In the auditorium. 


GENT THEATRE. CC. 01-637 SHK.X 


a rcwelation. -1 


Linda Thorton 
Time* ei, 


D. Tel. 

E. N. 


Eicoanc. 
" snow 
” WELCOME 


At COURT, 730 1?as 

E,,,,, J39 5s SU « 8.M. 17 s - 

v THE CLAD HAND 
5/ Sngo Wltoon. World Premier. 


• PWOS 8004. 


a.uo and a.ner 
London critics vote “ uo 
-..J'LLY OA NIELS In 
BUBBLING BROWN SUGAR 

Best Musical 0 r 1B77 * 

Bookings accepted. Malar cmllt c . r m 
Special reduced rates tor mattnea tor 
« limited period only. w 


B5. J Ww5S , iJBW 'V 

tSl. i*s 

Sat. QnAri „„?-*• . ,L*W snow Fri J*d 
may be‘ K Mo“£' " ^ ™ *** 


°STiS*WA»? B AF. A RCM ,7 - s 261 T-2I. 

4 7 3S 7 so* {y . , 1 - Dows uoea Dly. l.SOr 

VSO bJrf W Wk A" *•«» WAk. 


£nd M M? tK i« lwe - S,t 457 «”!' 
Sen Par?. M 4r - 4 - SWEPT AWAY i*J. 

BrtO. SMtx blm l,l 7 1 2>TS 
2S m 2F «^2. k . n,c - t-X'd Bar- F«*n M? 

bL M omce Br ^: SJS ANxrerv m. 


ii^ ,5 ?x5-°® b- 1 *- Rananas 
4.25. 7 40 


sex 

(AA) 


STUDIO 1, 


.*■ S, 4, -CWofd .CiKdf.. 


*2.4? le j GIRL '4AJ. i 

AND DEATH iKTlttHOT*** 


0 













Financial Times Wednesday May 17 197S 

Television 


21 


The appeal of the “real” 

by CHRIS DUNKLEY 

favourite refevfsion people!,Kot tllLe S prov5?itive°^rd?- eliVere<3 mir'^Hnrf n0t j V. st *“* it is Ltwens. But then we cannot 
that he could be considered ' pi ™!. C3 ,ILJL . u ' T pi, , re 'andscape. expect to find their sort of top 

“television personality” of course know it So welPtbfs fcscenerJ , w **11 25 . mi ? ute ^ between class professionalism ori every 
—there is nothing of WiiJy Rush- rathPr than in / v lhc ' e rw ° n,cel - v juxtaposed single programme made in every 

ton or 2sa Zsa Gabor about W fl J . a ,2 d *? p t- ’ In fact ^mmonts. Hoskins read the single region of the BBC. What 

Nor is he a television person in" Dre»v uimln u*tf« i° 0l ^n S in? l n* Cor ? b ? Ja ndscape to us (as he did characterise Packhorse was 

the sense of being involved fun ££? TmiuMraM li la f n ?, sca P es ? at same strong sense of the 

time in Droerumme arnrim-iinn l. expect a lanascape to of Lcict/ite-rsbire the following first person singular wbnch marks 

Ua ic th» nrnfpccnr urhn vmt. - speak to me and to ask qucs- week, and will no doubt read so much of “real television.' 


Regent 


The Club 

by B. A, YOUNG 


i . 

» i , if. 







He is the professor who wrote 
“The Making Of The English 
Landscape,” and he is currently 
appearing complete with rosy 
cheeks, pork pie hat and stone 
coloured windcheater on BBC2 as 
the presenter oF a second series 
of Landscapes Of England. 

It is not easy to define exactly 
what it is about Hoskins and bis 
programes that is so likeable and 
admirable, but a good deal of 
thought and comparison leads to 
the conclusion that be is one of a 
very small number of people 
who make what l consider to be 
“real" television. 

Perhaps it seems absurd to 
categorise nine-tenths or more of 
tbe material on the box as other 
than “real" television, yet there 
are pretty good grounds For doing 
so. Take so-called television 
drama for instance: a large pro- 
portion of it has always been 
quasi theatre, and would be more 
enjoyable and (judged by all 
criteria other than audience size l 
more successful presented live 
on stage. 

Old movies are without excep- 
tion adulterated cinema. Music 
programmes, with rare excep- 
tions. provide a second best and 
usually secondhand approxima- 
tion of the “ real " experience 
available in a concert ball, opera 
house or discotheque. Even tbe 
exceptions suffer from the appal- 
ling sound systems on most TV 
sets. 

With news bulletins and the 
regular current affairs program- 
mes we come nearer to true tele- 
vision, yet. even here the alterna- 
tive sources — newspapers, maga- 
zines. radio— are often superior, 
providing both a wider selection 
of material and greater detail. 

Via this process of elemina- 
tion “ real ” television turns out 
by my definition to consist al- 
most exclusively of personalised 
non-fiction. This ugly phrase 
covers a number of programme 
types — including sports shows 
which, thanks to editing, replays 
and commentary have become 
something sui generis and not 



Iris Portal marries a British officer serving in the Indian Army in 
1927. Her story was featured in BSC 2's Tales ol India— a ‘ Yesterday's 
Witness' series _ 


It is the same phenomenon 
which' lends- such powerful 
appeal to Yesterday’s Witness — 
though this long running Inter- 
mittent series bas always bad tbe 
other (and doubtless more 
important) claim on our 
attention that it is snatching a 
quite irreplaceable variety of 
history out of mid air. Last 
week's episode, “Mem sahibs," in 
tbe current series Tales of India, 
with its three very English ladies 
in. their very English clothes and 
perms sitting in very English 
armchairs telling very' Indian 
stories, bad all the evocative 
power pf a Kipliag (and I don’t 
mean the programme's rostrum 
cameraman Malcolm Kipling!. 

Most telling of all however — 
though in a negative sense — is 
Face Values. BBCl’s further edu- 
cation series which was presum- 
ably supposed to do for anthro- 
pology what the Hoskins 
programmes have done for the 
landscape. Unhappily they have 
turned out to be a disastrous 
mess, but if they were actually 
put together in the way that they 
appear to have been put to- 
gether. that is scarcely, surpris- 
ing. 

Instead of using a single, 
personable narrator/ presen ter to 
work with a producer (or several 
producers as in The Ascent oj 
Man) to gather what material be 
wanted from diverse sources to 
illustrate his thesis*. Face Values 
appears to have done the oppo- 
site. The work of six anthropolo- 
gists operating -in six areas 
scattered around the globe has 
been brought together, cut up 
and arranged under various 
broad headings such as sexual 
divisions, use of space, and 
rituals, and then — the key to 
everything — Prince Charles (who 
did a year's anthropology at 
Cambridge, remember?) has 
been used after the event as 
interlocutor with the various 
anthropologists. 

It does not seem to have 
dawned on the producers that 
the acutely embarrassing little 
confrontations during which the 
anthropologists sit alone on a 



It has come, the great feminine 
counter-attack, the hit-back at 
Hinge and Bracket, the revenge 
on Danny La Rue — an all-girl 
anti-drag show. Seven comely 
young women have dressed them- 
selves in top-bats, white ties and 
tails, and with the aid of a script 
by Eve Me mam and two dozen 
popular songs published at the 
start of the century they show us 
what it was like in an exclusive 
American men’s club. 

What it was like is terrible. 

They told each other limericks 
such as. we used to laugh at at 
schooL and recited rhymes 
familiar in every sergeants’ mess. 

They rehearsed for their annual 
jamboree, a performance of The 
Climbers by Clyde Fitch. Worse 
of all, they continually sang these 
songs, “ All the girls are loverly- 
overly,” "Peggy’s leg,” “The 
girlie with tbe baby stare.” 

“ Pinky panfcy poo ” ** He reminds 
her of bis father." Mercifully, it 
is all over in an hour and a 
quarter. 

1 wonder who invented that 

subvervise phrase “tbe good old 
days?” It opens a Pandora’s box 

mAiv? v^a/aonaU (no selves involved in such a farrago body’s part, that, even with some decent materi.i/ ! think I 

are' How atrociously they are of inanity. direction by Tony Tanner (who should time liked Shirley Allen. 

sun°' How badlv the dancing 1 suppose I shall he told that could have done with another a diminutive black jiiI with i 

rourines are synchronised’ How Ws all supposed to be a send-up. week or two of rehearsal), falls as round head Also I am "lad to 

unspeakable the one-line jokes But il isn't a send-up. there is ilat as a spoiled souffle from have learned th.- nrmin of the 

that separate tbe numbers' I no "hint of the criticism or end to end. saying thai a woman is only a 

simply can’t imagine 'how analysis that is needed in a Anything to be salvaged? Well, wuinan. but a good cigar i< a 

actresses like Linda Thorson and parody. It’s just an extra- there's a handsome set by Saul ^nrnk,-. It’s a *,r.g h 

Joyce Grant can have **ot them- ordinary mad whim on some- Radomsky: and if she were given Herbert, ou k»*.-. 


Linda Thorson 


Victor 


Watford Palace 


The Lady From 
The Sea 

by MICHAEL COVENEY 


fuTihen dSilM wi* S <*W” bet*' " 'lXiaCuo!!“l* •WW onlooker. 

larlv^visual Subjects (landscape you . are goine t0 refer to the Though W.- v>. fiuaMua specially sum mm at a* 
fine y art animaisi usuaMv thfS : ma j csl >’ of 3 Cornish cliffscape presents it at its purest, this birthday parties or Kendal 
X? a ;;?i! ID1 S;o" S 5 TS "merely pretty” and of business of man-in-landscape is sites. 


are clearly opinionated, 
often they are didactic. 


It is enterprising of Watford 6ame lime, she is desperate to 
to have produced Ibsen’s rarely be saved. While Ellida — the 
seen late play about the light- name, it is pointed out. is that 
house keeper’s daughter who of a ship— does Indeed have a 
belongs to the sea and prevents life that others in the little fjord 
her marriage from running town cannot share, she is clear 
aground by settling for domes- in her own mind that she loves 
ticity on dry land- Wangel. The Stranger exerts a 

It is a daunting role, famous dark hold over her. embodies the 
for Eleonora Duse's other- attraction of terror without the 
worldly interpretation. Alison guarantee of a lasting happiness. 
Fiske, suburban and brisk. Nikolas Siramonds's produc- 
invests Ellida with much good tion scales everything down to 
sense but little sense of danger, fit the controlled, rather English 
The crux of the drama lies in level of Miss Fiske’s emotional 
a successful campaign for the expression. Thus Peter Marin- 
freedom to choose between the ker’s Stranger is a low-key Scot 
maritime Stranger who returns with a jacket slung over his 
to claim bis beloved and the shoulder and Richard Butler’s 


Festival Hall 


Spells 


bv MAX L O P P E R T 


just secondhand events. _ . „ 4 ... ^ , . 

The main varietv however is t,ons . m fart to pose problems. Derbyshire tonight) inducing in huge settee in palatial surround- 
that typified by Landscapes’ of Now. merely pretty scenery does ihe viewer that same sense of * n «s facing the double-breasted 
England. Almost invariably such n °v_„ , . . . , , . magical insight as the blind man prin f e to answer his generally 

programmes come in series. ^ reeding Brailie induces in the 

society circa 1978 than all the 
Hoskins specially shot film of Bolton 

camp 

. an i si vi ci, auu v uusiuns vi mau-iu-landscape is sites, 

course Hoskins backed his point a far more common subject For It is a great pity: most of tbe 
l, P 10 tbe hiJt * Moreover he programmes than it might seem raw ingredients for some real 
„„ n „ fini shed a neat full circle at the on first thoughts. In just tbe television were there, but what 

news, or discussion programmes end of lhe programme by last 10 days we have also seen we have ended up with looks 
they would not be improved by enl husing over the huee -dishes Don Haworth’s sympathetic film like Natioa'ohtte's idea, of Dts- 
being transferred to-some other of the Goonhtlly satellite* relay about John Wilson and ihe appearing World. 
medium. In fact they can be station which he called “one of “Place. For A Million Birds” that 

considered real televiaon pre- the ni03t marvellous sights in he looks after at Morecambe Bay. Wicrvnnrn u a |f 
cisely because it would be quite England.” in BBC 2’s Using on the Land Wlgmore Hall 

impossible to transfer them He explained: “What caps it series: and in the ever interest- 
successfully to any other a j| ^ the waj; that as you ing Network slot (also BBC 2) a 
meu i urn. approach tbe great saucers there film about the Lake District as 

^ are circular baVrows. the burial seen by Bob Orrell from the back 

Ue „ it mounds i>f Bronze Age men, and of a fell pony, 

lectures on art (Cirutsolioni or it ia lhe combination of those Considered simply as a film 
bislory (John Julius Norwich s 4.000-y ear-old burial mounds and By Packhnrse Through Lakeland 
recent uiromcie on the Knights ^ DO nj*i iny. Earth Slalion which lacked the seamless welding 
Oi Malta) or—as in Hoskins s j s !o m e a munificent conjunc- achieved on Landscapes of 

men Involved V " ( not^a °sin J le f? ,,f ■ and jni i and the £^“ ua . by fiim^edUor Akin ^ onday - was born in Paris and sorry to mis's Schumann’s Kreis- charactere is competent enough 

o d < o a sin., *? future worlds. GoonhilJj «s Jones and film editor Alan trained in Geneva and Zurich, leriana in tbe second half, but but lacking in depth. This, after 

She is half English. What 1 was was consoled by the fact that all. is Ibsen’s most Chekhovian 

^ able t0 hear of ber re cital this pianist will surely come play, with a little family com- 

some have achieved it by way of UO ITl 111 20 Wllllflr&WS ?. ga ^L?. sh °^ ha L sh _ e c 5?_ do J_ n forrain S alliances age inst 

other careers (John Betjamin ^ 


Anne de Dadelsen 

bv RONALD CRICHTON 


good-hearted Wangel with two Wangel an upright considerate 
daughters by a previous mar- figure comparatively unmoved 
riage. by Ell Ida’s histrionic outbursts. 

If the play is about Ellida’s There is an enriching parallel 
right to choose, it is also about t0 t j,e main action in the wooing 
Wangel s acknowledgement of 0 f Bolette. Wangel's elder daugh- 
that right She can only leave ter by a pernickety school- 
htm fo?*the unknown deep by <eacher . She rejecls Ws offer of 
exercising free will but, at the f rieod5hi p but agrees to marry 

him'. This brilliantly written 
scene gains added irony from 
■the fact that Arnholm originally 
answered Wangel’s summons be- 
cause of his former devotion to 
Ellida: and the theme of doomed 
relationships is reiterated in the 


Richard Rodney Bennett's lacks :mv touin nf the un- 
S pci is. first given at the 1975 expected. 

Three Choirs Festival, was on In (he fiflli puem. “ L«e 
Monday introduced to London spells," an angular vocal line 
by the Bach Choir. It proved to sends lhe solo supram.i hiqh 
be a prime example of Bennett above and iheu dee.-i belnw the 
the seasoned professional, for it stave around'*Hti- rvpeuted in- 
is music grateful to sing and In vocation. “ Brin-i my iover” 
play thal at the same time Brittle, edey orchestra MincUia- 
serves diverse purposes not i»un sej>araii-s ihe voi_.il phrases, 
always easily reconciled in the invreasma the nv-iMdramai'.e 
same piece. It encloses a juicily cffecl. This i>\ vriainli. ,-ie 
dramatic solo soprano pari, single movement of ih.* work 
tailored to the fearless, far-flung which strikes the enr :.s more 
vocalism of Jane Manning, with- than iluenilv urnm-moraM.* 
in movements for a large choir 0f Spel i s lhi > Pjt . h (:hlMr and 


in which Benneir’s familiar 


ine riiillianmmi.i under Da\r.i 

forMne^fno-Miiiv^nf 'mtip 1 cot-R s arm- a confident re.id- 

forhng smgabilily of line and inn Pr.js.p for Ml<s * 

t°rJXt C ? 01 ° rches ‘ "-Shjr *E5T 5 "m 

tral co our.. imisieidiiship. clear words, .md 

Six poems by Kathleen Raine. air of total involvement, would 

t n i- i n H DC h f °iLj be unspotted bur for vihraio a 
different kind* h3\e been placed more nliM a iisive ili«n 

JlSf tn ior pourings. tone 

second <U and fOU fifth ° a're^fnr Was s, " li ' jpl - v a lill,e unclear for 
sopranos; towards the close of Howen^Hmwi' vs'uTr'Jd whith 

fhp civfh ^npll nf '• o///WW/i/i P'lTrlCr^i, HlC 'h 

all forces’ brieHy combined. The jjjgg i’J'ST'f n Und W 
setting of each poem evinces an lenor 

appreciable concern for the “Si? Bf i caui0 . lh * 

special colour, texture, and PfSi* d an t in,J> " ss,v f 

atmosphere of the verse. The ™ ! £ ea ,r led s t'oromitmenf to the 
sum of the six movements is a *°, r fl k ’ '** ""fffl w ' !,s [¥' le ? 5 
fastidiously fashioned whole in “ an(l . ^elf-effacing than it 
which Bennett’s care Tor ? an ^ extTa rehearsal or 

balance and variety of effects lw0 "° 11 . x ! nt ' however, have 
compels admiration. come unuss in the intu rests of 

greater all-round cohesive ness. 


who carries a torch for Bolette 
but is paired off with the younger 
The pianist Anne de Dadelsen. Dadelsen made clear, are attrac- daughter who finds hint ludicrous 
wbo made her London debut on tive by any standard. I was The playing of these subsidiary 1 


woman conies to mind) seem to 
have been born lo tbe job 
l Alistair Cooke and Robert Kee), 


strong feelings about tbe well- romantic music — from ber bio- a background of sunshine and 


compels admiration. 

And yet. as one so orten 
figure of a consumptive sculplor I grudgingly feels on encountering 

lhe big Bennett commissions. Casting COmnlete for 
made to order and delivered with ».uiiij.»icic lot 

a flourish, there seems little CnlTPslnP nr^inipn* 
more to Spells, for most of irs '-ULICSIUC premiere 

length, than its surface. A kind 
of instant predictability makes 
iiself felt in the work, a’ deaden- 
ing familiarity. This is noi so 
much because these scurrying 


and Alec Clifton-Taylorl, and 


chosen music she played. She graphical note she evidently holiday cheer. This is a dimen- 


some Tave 'hadT^thrurt’ uoon p,aci d 0 Domingo, who was to wb 0 last sang the role at Covent found her form in the ever- specialises in composers like sion wholly lacking in the pro- 

them (Jacob Bronowriri and— -in have sung the Duke of Mantua Garden two years ago. will sing astonishing finale of Mozart's Dussek, Raff and Goetz. duction. and matters are not 

Si, Focc “ if* TmXS* etdT 0,1 ' *3R TkSS, 7&3S K £g ?& r 

p—i ENO Nor * ss Msri “ SLarfffti ft z as asf&asss^-sa 

SJfmJ Sifbin the^S-nre h£ reasons ’ . , appointments with the utmostsurenessof step. Sri-auss opera Feuersnot, recently be warned that this particular 

by a mab wilh . P™ 1 ? 6 ?-.. .«?! *« ,? Ian Kllllk ba S been appointed »» .fLSS^LJISSt Si g™” 3 ^ Dcer '- <*? ^ “ »"»»»» 

j fondness for his 

SI HSs S SS ttSTTm 

RtorSis fi\m P o” e tbe CoiSish * sel Ryszard Karczykowski will while John Pn^Jones has bwn “ jaSacek^wa? d (M by rewarding f^wa^^tt^big 
Shore photographed by Nat now ^appear as Duke of associated with the Welsh Honegger-a hoM and not en- roleofthe^ro Kwradsunl 

Crosby from a helicopter while Maniua on May. !* and JO and National Opera for several tifely s successful choice, with sustained magnificence of 

on the soundtrack Hoskins, in June 2 and 6. and Alfiedo hraus. tears. Honegger, once the OK Swiss tone by John Shirley-Quirk. As 

composer, now appears less the heroine Diemut. Gundula 


,n Jiih p ete r Dvorsky. who was to T j-j, n ’ k h bf , en aDDO inted ?*** uaaeisen camea tne given a London concert per- j a dy 

■■JES have sung the role on May 17. 0r KSstroI manager for^SSlS hlsh tension she reached in this form ance by Chelsea Opera Group S ea. 

*,^*5 29, 24 and June 15. has had his Snal OMra North and John ? OTem «P t g, v « r lnl 2 in the Camden Festival. Tbe 

fr leive of absence withdrawn in miffp 4 Janac S k 1 f * ^ f 1 "*- aDd Berlin one was done by the Rias I 


in June 


Cast ine is noi*. (.•mnplcte for 
the Briti>h premiere of 
American Buffalo by American 


cherzniid© - figures or those dramatist David Mamet, which 
sudden touches of percussion opens at the National’s small 
glitter are easily recognised Colleslne Theatre next month. 
Bennett fingerprints, or because The three characters will he 
influences on the choral writings played bv Mieh3el Feast. Dave 
are quickly detectable ft he Kin S- and Jack Shepherd, 
wintry start of Britten’s Spring The director is Bill Bryden and 
Symphony, for instance, in ihe the designer Grant Hicks. The 
opening *’ Spell against sorrow ’•). production open*, on Wcdnus- 
but because the imaginative day June 2S (previews June 22. 
engagement with tbe poetry 23. 24, 26 and 27 1 . 


A new name 
for new contacts 
in Euro-Banking 


Un nouveau nom 
pour de nouveaux contacts 
dans I’Euro-Banking 


Ein neuer Name 
fur neue Kontakte 
im Euro-Banking 


a 


Landesbank Rheinland-Pfafz und Saar 
Internationa! SJV. Luxembourg 

o d-F'rh Bnite noslato' SJ Luvembeura Telephone: 47592M. Telephenf Arbrimge: 475ABI 
52. • 


interesting thaD either of his Janowitz produced some spieu 
slightly older contemporaries and didly tightly-knit phrases but 
compatriots. Schoeck and Martin, also others that were tight in the 
The Seven Short Pieces sounded wrong way — almost shrilL The 
lightweight after Jauacek Qot men were altogether strong, with 
because they are sometimes flip- two fine basses, Helmut Berger- 
pant in the manner of The Sixth, Tuna and Klaus Lang as Mayor 
but because they are often and Innkeeper. That so many 

serious at a lower level of countries including the U.S. 

originality — ancient should be able to hear a rarely 

balletomanes may remember performed but not i n tbe least 

them from Andre Howard's Lady recondite opera, in a top-level 
into Fox . All the same the third performance, is an admirable 
and fifth of the set, as Miss de thing. 

Sadler’s Wells 


Kathakali 


Quite early on in the But mucb of the openin 
Ramayana, opening offering of performance on Monday was 
a three-work Kathakali season at vastly amusing. Kathakali com- 
the Wells, the heroic Rama and bines religion, history, dance, in 
bis brother Lakshmana come on a language that contrives to be 
stage to find Jatayti, the giant both popular and aristocratic, 
bird, dying. Green-faced (be- Much of the comedy falls to 
cause they are good characters). monkey-Folk. and the antics of 
their whins frilled with an im- tbe quarrelling Sugriva and Bali 
pasto of rice-paste, gorgeously — one cowardly the other boast- 
dressed in billowing skirts and ful— are clowning that crosses 
topped with shimmering silver every barrier of language and 
mitres, the two heroes ai* figures culture. Grunting and yapping 
of extreme beauty. How this can at oach other. Bailing about with 
be so. how we accept . the small branches of trees, they 
elaborate ritualisation of manner are entirely real as characters 
and of appearance, and the wi’ 1 —part of the magic of Kathakali 
mixture of tragedy and gro- that personality is refined 
tesque comedy. Is part of the joy an< * sharpened in the ritual of 
of Kathakali performance. performance. 

We recognise, and are moved ?{}!* 

by. the serenity and anari. °‘ t " e Ram °v ana (these dance- 

dMmty of Rama and his family. hartng P read e &e°v?ra 

K. U 0 ^n^^L phei i , “ e , na J Kathakali should be seen by the 
ncrustations of paste and paint, light of fires— the magnificence 

JJE —Dps’Ll SHfi _5? l!, * r J , 5 of c° stnmi0e - anS tile brilliance 
silvery ailed hands flashing. Apd 0 f performance from this ten- 
as Jatayu the bird, dies, a sense man troupe, are clear to see 
of sorrow and regret cuts across The visit is For two weeks, and 
any incomprehension we may i look forward to reporting on 
feel when faced with this thrill- the two further programmes— 
mg but alien theatre art: it is d the Mahabharata and the Sons 
moment of great sadness as the of Pandu — which are to be seen 
wings are stilled and the bird in repertory with ib*» Rnnunmnn 
sinks to the ground. CLEMENT CRISP 




To: Commercial Department, Welsh Development ’ 
Agency, Treforest Industrial Estate, Pontypridd, 

Mid Glamorgan CF37 5UT. 

My business is expanding. Please give me the facts 
about WDA factories. 

Name ' 

Positio n 

Company ■ 

Address 


If your business is expanding 
faster than your existing 
premises, we’d like to hear 
from you. 

The Welsh Development 
Agency has fully sen-iced 
factory’ units for immediate 
occupation from 1500sq.ft. to 

50, OCWsq.fi. We'll also build 

to your own specification. 
(Factories may attract rent free 
concessions). 

Complete the coupon and 
we'll tell you what we have ro 
offer. We'll reli you what Wales 
has io offer, too. 

Welsh Development Agency, 
Treforest Industrial Estate, 
Pontypridd. Mid Glamorgan 
CF37 5UT. Telephone: Treforest 
(034 385) 2666. Telex: 497516, 


j Welsh 
j Development 

I 


TeL- 


116 


yr — 





22 


Financial" TTmes Wednesday May-IT'IW*:- 


.*41 1 


FINANCIAL TIMES 


BRACKEN BOUSE, CANNON STREET, LONDON EC4P 4BY 
Telegrams: FlnuUmo, Louden PS4. Telex: 8SS341/2, 8S3S97 
Telephone: ftl-Jtt 


Wednesday May 17“ 1978 


Israel and 


the U.S. 


MONDAY NIGHT’S vote in the 
U.S. Senate in favour of Presi- 
dent Carter's plan to sell 
military aircraft to Israel, Egypt 
and Saudi Arabia can only have 
come as a welcome relief to the 
Administration. With tbe excep- 
tion of tbe Panama Treaties, the 
President has been dogged by 
repeated difficulties in getting 
his legislative proposals through 
Congress. The latest Senate vote 
does not conclusively prove that 
the President has finally suc- 
ceeded in establishing a better 
rapport with Congress, nor that 
his Administration has dis- 
covered how to get its argu- 
ments heard on Capitol Hill. But 
at least Mr. Carter has avoided 
another rebuff, and to that ex- 
tent his ability to guide 
America’s foreign policy may 
have been fortified. 


Symbolic 


'• The importance of the issue in 
question is, however, more_sym- 
bolic than real — which is not to 
suggest that one should under- 
estimate the importance of 
symbolic acts, especially in the 
field of foreign policy. The 
simultaneous supply of military 
aircraft to both sides in the 
Middle East conflict does not 
alter the military balance in the 
area one way or the other, and 
Israeli arguments that their 
security would be endangered 
by the strengthening of the 
Egyptian and Saudi air forces 
never bad any credibility. Israel 
is so strong militarily, com- 
pared with all its opponents, and 
the Arabs are so divided politic- 
ally. that for the foreseeable 
future there could be no doubt 
who would win if a new war 
were to break out The Arabs 
know this, and it is virtually 
inconceivable that any of them 
would risk precipitating another 
war for several years. 

On the other hand, the 
Senate vote can only have come 
ns a nasty shock to the Israelis. 
For the first time in 30 years 
they have discovered that they 
can no longer take for granted 
the unquestioning support of 
Congress. Israel has and will 
continue to have an immensely 
powerful lobby in the U.S. But 
recent events have significantly 


shifted the perceptions of 
ordinary Americans, not 
merely about the rights and 
wrongs of the Middle East con- 
flict. but also about how this 
conflict does or could affect 
America's own national interest 

President Anwar Sadat's 
peace initiative may have run 
into the sand in practical terms, 
but his offer of peace negotia- 
tions has been an unqualified 
success from a public relations 
point of view, in tbe outside 
world if not with his fellow 
Arabs. By contrast the Israeli 
Government continues to adopt 
a posture whose intransigence 
strongly suggests that it does 
not wish for peace on any terms 
which could be acceptable to 
the Arab countries. 

It is difficult to see that the 
site of military aircraft to both 
sides actually improves the 
prospects of peace: at best it 
is neutral, at worst it means 
that any future war will be on 
a slightly bigger scale, without 
affecting the final outcome. But 
the package is significant 
because it shows that the U.S 
Administration and Congress 
have shifted towards a more 
even-handed approach to the 
Middle East Having demon- 
strated its military prowess, 
and its determination to hang 
on to conquered territory, Israel 
is less able to plead a case on 
the basis of weakness and 
vulnerability. 

Oil supply 

Moreover, the United States 
is increasingly sensitive to its 
economic dependence on tbe 
Arab world, not merely for 
continuity of supply of oil, but 
also for the growing role of 
the oil producing countries as 
markets for American exports 
and as providers of inter- 
national finance. 

There is no reason for the 
Israelis to fear that their 
interests have been abandoned 
by the Americans, nor that 
Washington has given up its 
commitment to the security and 
survival of Israel. But they 
should recognise that the U.S. 
no longer regards its interests 
in the Middle East as simply 
defined by Israeli wishes. 


Student union 
financing 


THE Department of Education 
and Science began last autumn 
to hold further discussions with 
the various organisations in- 
volved in the financing of 
student unions. These have now 
resulted in the publication of a 
paper which puts forward for 
consideration some proposals 
which, while not meeting all 
Uie objections of those who 
criticise the present system, 
would undoubtedly be an im- 
provement on it. The need for 
chance — which has been dis- 
cussed several times before 
without a generally acceptable 
solution being found — arises 
mainly, as the DES puts it, 
because of the lack of accoun- 
tability for the substantial 
expenditure uf public money 
involved. 

At present, in the case of 
deyrce-coursc students receiv- 
ing mandatory grants and some 
other students receiving dis- 
cretionary grants, the cost of 
the union subscription — where 
membership is compulsory — is 
automatically deducted by the 
local authority and paid direct 
through (he college to the 
union. Objections have been 
raised on two grounds, that 
local student union representa- 
tives are not qualified to 
administer what are often very 
considerable sums of money 
and that these subscriptions 
have sometimes been used, 
ciiher directly or indirectly 
through the National Union of 
Students, to .support semi- 
pnlitical activities of which 
neither the taxpayer nor the 
majority of member students is 
likely to approve. 

Public cost 


their own affairs is a valuable 
part of education. What it seeks 
is a new form of accountability 
which is both acceptable to 
those immediately concerned 
and capable of satisfying those 
who provide the money — 
ultimately the taxpayers — that 
union expenditure is justified. 

One possible way of achieving 
this aim would be to have 
colleges or universities provide 
out of their own funds the cost 
of facilities at present provided 
by the unions, after submission 
and acceptance of union esti- 
mates. This would meet the 
demand for accountability but 
would also inhibit the educa- 
tional process of self-manage- 
ment which the DES is out to 
foster. The alternative which it 
favours is a two-part system, 
in which contributions from 
students would be supplemented 
after negotiation by the college 
or university authorities. 


These objections have only 
been reinforced by (he attempt 
to limit public expenditure of 
all kinds and by a recent 
estimate that public expendi- 
ture on student union subscrip- 
tions rose from about £3ni in 
1970 to some £13m in 1976-77. 
The DES suggests various pos- 
sible explanations for this steep 
increase, ranging from the 
growth or interest in student 
union activities after the rapid 
expansion of higher education 
in the 1960s to the development 
of polytechnics on scattered 
sites and with a corresponding 
need for the provision of 
central facilities. Nor does the 
DES wish to trespass on the 
autonomy of the unions in 
essential matters, since it 
strongly supports the view that 
management by students of 


Two part 

Such a solution should be 
acceptable in principle to tbe 
National Union of Students, 
which has been much con- 
cerned about the widely differ- 
ing level of union subscriptions 
even between educational insti- 
tutions of the same sort — let 
alone the enormous disparity 
between subscriptions at univer- 
sities and polytechnics, on the 
one hand, and those at different 
institutions, on the other, where 
the need for union facilities is 
usually much smaller. Fixing 
the actual level of subscription 
to be met out of grant, however, 
will not be easy, and will 
require separate treatment for 
different institutions and transi- 
tional arrangements: the propo- 
sals of the DES are a bid for 
an agreed compromise. 


But the general aim is clear, 
especially in the case of univer- 
sities and polytechnics which 
account for the bulk of public 
expenditure on student union 
finance. The unions will be able 
to count on receiving “ a signifi- 
cant proportion ’’ of their 
income from subscriptions, but 
will also have to negotiate 
subventions from their host 
institutions to cover the cost of 
“ ail but the minimum level of 
student union activity." This 
would be a step-* in the right 
direction. The final aim should 
surely be to let the individual 
Student decide whether or not 
to spend part of his or her 
grant on the facilities which 
the student union provides.- • 


The man who adds a touch 


of mysticism to banking 


BY NICHOLAS COLCHESTER 


“W 


ESTERN BANKS 
concentrate on the 
visible, whereas we 
stress the invisible.” This is 
one of the reasons, says Mr. 
Agha Hasan Abedi, why his 
brainchild, the Bank of Credit 
and Commerce international, is 
looked upon with suspicion by 
the financial establishment. He 
certainly runs the bank in a 
way that sounds strange to- 
western ears. “ The velocity of 
energy, circumferential growth, 
and the joint personality 
executive "—these are other 
concepts that the City must 
find hard to grasp. 

The Bank which embodies 
them has so far been visible 
in. Britain only as a rapidly 
extending chain of smoked- 
glass branches. Starting from 
scratch in the Arabian Gulf in 
1972 the BCCI group had built 
tot a l resources by the end of 
last year of $2.2bn and 148 
offices across the world. In 
the Press the bank has recently 
been noted for a liaison with 
Mr. Bert Lance. President 
Carter’s former budget direc- 
tor, and an impending schism 
with Bank of America, a major 
shareholder, but chiefly for the 
mystery that surrounds it 
Mr. Abedi has now removed 
some of the mystery in an inter- 
view. He has explained BCCI’s 
complex ownership, and the 
U.S. bank’s decision to poll out. 
He has described BCCTs US. 
aspirations and its links with 
Mr. Lance. He has said that 
he will slow the pace of BCCI’s 
expansion in Britain. He has 
revealed the geographic origin 
of his bank’s income. Yet the 
riddle remains: how did such a 
bank, applying what Mr. Abedi 
says are (be “ most conservative 
banking principles ” achieve 
such growth of its business and 
in its profit ? 

BCCI Holdings (Luxembourg) 
was set up in 1972 with a 
capital of $2. 5 m. Bank of 
America, with which Mr. Abedi 
had forged links, in his years 
with United Bank of Pakistan, 
took a 25 per cent, stake. Arab 
shareholders subscribed for the 
remainder, although Mr. Abedi 
retained the right to acquire 
part of itheir holdings. From 
the start he says, he made it 
clear to Bank of America that 
BCCI would become a “global 
operation ” and .would devise its 
own style of management. He 
says that B of A noted these 
aspirations, but probably did not 
believe them. 

The oil price explosion gave 
great impetus to BCCTs expan- 
sion. At first it was concen- 
trated on the Gulf, where with 
51 branches in the UAE and 
Oman, BCCI is now one of the 
major commercial banks. But 
Abedi also followed the flow of 
oil wealth to Europe and above 
all to London. Since 1973, BCCI 
has established 45 additional 
brandies in the UJC and now 
effectively has its head office in 
the City. 

I estimate that there are 
about JlOObn. of Gulf money 


invested or deposited through 
the western banking system," 
Mr. Abedi says. “If BCCI can 
mobilise 1 or 2 per cent. of 
that money it has a substantial 
business.” 

. Tbe style of BCCI’s operation, 
the smart branches and the 
personal service, has been 
developed with the wealthy 
Aslan in view. Mr. Yves 
Lamarche, the director of Bank 
of America'? Middle Eastern 
operations and the man at the 
focus of the problematic 
relationship between the two 
banks, is open in his praise of 
tbe way BCCI has seized upon 
this business opportunity. 

In the centre of London 
BCCI. does a lucrative business 
with Middle Eastern visitors. 
It makes special efforts 
through its “ Middle Eastern 
mobilisation unit"' to find 
hotel rooms and to arrange 
transport Mr. Abedi says that 
foreign exchange business 
alone pays for the Park Lane 
branch. Other branches — in 
Leeds or Birmingham say — 
serve the local Asian popula- 
tion. They are less profitable 
and Mr. Abedi calls them an in- 
vestment in the future. They 
are supplemented by a small 
number of experimental 
branches, like the one in 
Brighton, which are manned by 
British staff and are a first 
attempt to enter the traditional 
banking market 

In the City head office, BCCI 
is now making its first move into 
banking for large companies. A 
merchant banking division has 
been set up which, in conjunc- 
tion with Credit and Finance 
Corporation, a Cayman sub- 


«v. , " # ? r H E T LT ~\'V 



Mr Agha Hasan Abedi, presi- 
dent of BCCI. 56, was born 
in India and educated in law 
and English literature at 
Lucknow University. Hr 
joined the Habib Bank in 
India in IMG and worked 
there until leaving to lead 
the setting up of the United 
Bank of Pakistan in 1959. He 
left UBP in 1973 because of 
the Impending nationalisation 
of the Pakistan banks, BCCI 
was set up at the end of 1972. 

Mr. Abedi says that he lias 
no stake in BCCI and that he 
Is not a wealthy man. His 
home is in Pakistan but he Is 
constantly on the move super- 
vising the rapid international 
growth of his hank. His office, 
in so far as lie has one, is in 
London and when here he 
lives “ in a small rented house 
in Dulwich” 


TtffT U Kirfc 


paid off from distributed profit 
ICIC is. in turn, owned by three 
trusts in approximately equal 
proportions. The first is, in 
effect a profit sharing scheme. 
The second is a charitable trust 
The third is for the “ promotion 
of the business." ICIC is run 
from Leadenhall Street by Mr. 
Pirbhai, a former head of 
Pakistan's nationalised banking 
system. 

The other 24 per cent of 
BCCI is currently held by Bank 
of America. It is clear that Bank 
of America has had an uneasy 


BANK OF CREDIT AND COMMERCE 
INTERNATIONAL 



Branches 

Share in 

Share in 
Slbn 

Share in 


and 

S1.76bn 

non-bank 

operating 


offices 

deposits 

% 

46 

advances 

% 

46 

profit 

% 

46 

Middle East 

81 

Europe including 
UK 

51 

22 

20 

16 

Africa 

18 

15 

IS 

18 

Far East and 
Cayman 

10 

17 

19 

20 


sidiai-y, and with BCCTs half 
share in Kuwait International 
Finance Company, has already 
begun to exploit Middle Eastern 
placing power for international 
bonds. 

Of the stock of BCCI (hold- 
ings) 35 per cent, is in the 
hands of Middle Eastern inves- 
tors including members of the 
ruling families of Saudi Arabia. 
Bahrain, Abu Dhabi and Iran, 
and of prominent merchant 
families in Kuwait Another 40 
per cent is lodged with a com- 
pany in the Cayman Islands 
called International Credit and 
Investment This company took 
over Mr. Abedi’s original right 
to buy out his Arab backers. 
ICIC acquired its stake with the 
help of a loan from Bank of 
America which has now been 


relationship with BCCI for the 
last three years. AfteT the oil 
price rise the U.S. bank was un- 
willing to have only an indirect 
presence in the Gulf. “When I 
first started on Middle Eastern 
business with Bank of America 
I could not arrange my own 
contacts in the emirates. I had 
to go through BCCI. That had 
to change.” Mr. Lamarche 
explains. 

Beyond this developing con- 
flict of interests, the Bank of 
America executive also makes it 
plain that bis bank was worried 
by tiie pace of BCCI's expansion. 
Two years ago B of A, which 
then had a majority presence 
on the BCCI Board, established 
balance sheet ratios beyond 
which BCCI was not to go. 
B of A asked BCCI to stay 


within these constraints by 
growing less fast. Mr. Abedi 
wanted to raise more capital to 
allow his expansion to go ahead. 
For two years B of A imposed a 
moratorium on the raising of 
new funds. Finally at the end 
of last year it gave the go 
ahead. 

B of A did not subscribe for 
the new shares and thereby 
lowered its stake from 30 per 
cent to 24 per cent. BCCI made 
up the shortfall with an issue of 
subordinated long term capital 
notes which were placed with 
Middle Eastern investors. At 
the same time B of A reduced 
its representation on the Board 
nf BCCI to a minority of one. It 
agreed that ICIC. the Cayman 
company, should buy the rest of 
its holding. Mr. Abedi says that 
this sale will g«> through slowly 
over the next 2j years, and that 
the shares will probably go via 
ICIC to the Middle Eastern 
shareholders. He says that the 
price for this stake is to be 332m 
— no bad return for B of A on an 
investment over six years of 
about $5m. 

As B of A began to disengage 
itself, Mr. Abedi was able to 
focus more intently on his next 
target— the U.S. He was intro- 
duced to Mr. Lance shortly 
after the latter's resignation 
and he put him on the .payroll 
of ICIC as an adviser. Mr. Abedi 
says that Mr. Lance's function is 
to " help with the two-way 
flow of third world money to 
the U.S. and American tech- 
nology lo the third world.” 

One suitable investment 
recommended by Mr. Lance was 
Financial General Bank shares, 
a $2.2bn Washington-based bank 
holding company whieh' controls 
15 banks in 14 states. BCCI put 
four wealthy clients from Saudi 
Arabia, Kuwait, and Abu Dhabi 
into Financial General giving 


each of (hero 4.9 per cent of the 
equity. 

These four clients were 
Sheikh Kami Adham. the former 
chief of intelligence of Saudi 
Arabia, Mr. Faisal Saud al 
Fuliaj. n Kuwaiti businessman. 
Mr. Abdullah Darwaish. an 
adviser to the Royal family in 
Abu Dhabi, and Sheikh Sultan 
Al Nahyan. the crown prince of 
Abu Dhabi. 

The L'.tS. Securities and 
Exchange Commission (SEC) 
alleged that Mr. Lance. BCCI, 
and the four clients were acting 
together in a secret attempt to 
gain control of Financial 
General. The Lancc/BCCI 
group neither admitted nor 
denied this charge bur agreed 
to a settlement under which 
They would make a tender offer 
of S15 a share for all Financial 
General's stock. 

The effect nf all this. Mr. 
Abedi explains, is to bring for- 
ward U.S. plans that were 
originally only a long-term aim. 
He is not yet sure who will 
make the offer, but whoever 
makes it. and if it succeeds, 
BCCI will probably manage 
Financial General. He says that 
an important aim of BCCI is 
lo broaden its operating base 
into the U S. This will, he feels, 
greatly increase BCCTs ability 
to deploy Arab wealth, but will 
also lessen the bank's depen- 
dence on a part of the world 
which he regards as politically 
vulnerable. 

While America— and a rapid 
expansion in AFrica — take up 
more or Mr. Abedi’s time, the 
expansion in the UK is to be 
slowed. “If the City wants us 
to slow down, we shall slow 
down," he says, and admits that 
the Bank of England has 
dropped hints to this effect. In 
any case he feels that restraint 
is in order “ until we feel that 
the possibilities for more profit 


and business are there." The 
table show* that the profitability 
of the hank m Europe— chiefly 
the UK— is low in proportion to 
the number of branches and the 
share of deposits. 

Mr. Abedi is aiming for a 
$4 bn bank with a 7 per cent 
ratio of capital to total li&bUj, . 
ties, by 1980. He is adamant that 
he has the management talent 
to cope with this continued 
growth. He say’s BCCI has 5ft 
senior executives with more 
than 23 years of banking expert- . 
ence. including two eswentral 
bank governors and tbe 
ex-chairman of the Pakistan 
banking council. 

These executives are managed 
in a way that looks very strange 
to anybody used to the manage- 
ment structures of the West. 
The management system is 
known inside BCCI as The 
Concept, and the Concept is 
almost an article of faith. It 
states that the chief executive 
ts a committee with no gen- 
graphical location. He is the 
•‘joint personality" of repre- 
sentatives of various parts of 
the bank who obtain ** unity of 
thought ” through constant 
communication. Mr, Abedi is 
theoretically part of a "'Joint 
personality*' in this mystical 
sounding system. Yet be is 
visibly the architect and chief, 
hovering over it all. 

His desk is in the pole posi- 
tion at the end of a large and 
immaculately appointed open 
plan office in Leadenhall Street. 
This is not the head offlee be- 
cause BCCI is decentralised to 
the point of having no centre, 
but in effect it is from this floor 
and from the Abu Dhabi oflice 
that the operation is run. On 
this floor work the experienced 
Pakistani bankers that arc the 
hack bone of BCCTs manage- 
ment They are, almost without 
exception, given the title 
“executive" — none visibly 
higher or lower— and when they 
meet they do so at a perfectly 
round table that embodies their 
idea of “joint personality." 

The City is bound to remain 
sceptical and indeed there are 
signs from within BCCI that 
this round-table system or 
management may prove hard to 
sustain. In the minutes of a 
recent executive meeting of 
BCCI there is a section which 
reads; *' If the Concept has not 
worked we may consider replac- 
ing it with the Concept of 
Control, Regimentation and Dis- 
ciplines. The present state of 
management, which is informal, 
somewhat ad hoc and flexible In 
disciplines, has to be reviewed 
to determine tn what extent It 
has been conducive to fuller 
utilisation of human energy." 

Mr. Adebi has visionary aims 
for his bank and for the “mis- 
sion" which can be achieved 
Through tbe trusts that own the 
Cayman company that controls 
it. But Mr. Yves Lamarche of 
Bank of America sees BCCI's 
aims in more down-to-earth 
terras: “They want to become 
the biggest bank in the world." 


MEN AND MATTERS 


Losing the 
Herriot touch 


Never since the last foot-and- 
mouth outbreak have Britain's 
vets been in such agitation. A 
dispute about the promotion sys- 
tem in government service is 
echoing around the British 
Veterinary Association (the pro- 
fessional equivalent of the 
BMA) and the Association of 
State Veterinary Officers 
(ASVO). 

As anyone who has read his 
Herriot will know, there is 
nothing a vet likes better than 
staring a bull in the eye or 
sloshing around in nigsties. 
That is why three out of four 
rural investigation officers 
offered promotion in the past 
two years have turned it down. 
Promotion now means spending 
three years at the government 
headquarters in South London 
— far from the farmyards to 
which they are accustomed. 

Anthony Stevens, director of 
the Government's veterinary 
field services, admitted to me 
yesterday that the decision to 
implement strictly the “ three 
years in headquarters" policy 
was unpopular. “ None of us 
likes suburban life when we’ve 
been used to places like Dorset 
and the Lake District,” he said. 
“ Then there’s the extra cost of 
living in London.” But Stevens 
says administrative experience 
is vital before going back again 
to run a government centre in 
the countryside. 

The 100 investigation officers 
at the heart of the dispute act 
as consultants to the country’s 
6.000 or so “general practi- 
tioners the latter are unhappy 
to see men they rely upon being 
promoted to become what one 
vet— Robert Mercer, of Saffron 
Walden — called “ pen-pushers 
in London.” Mercer says he was 
recently dtsmayed by the de- 
parture from East Anglia of 

TSnaar WlnrtnAn inviA 


one of the four rural officers to 
accept promotion. 

Mercer says he is expressing 
the general view that after three 
years behind a desk a vet loses 
his special knowledge of his 
area. The argument is generat- 
ing such heat that several MPs 
have been approached. But this 
hidden storm in no way affects 
the glamour that has surrounded 
a vet’s life since James Herriot 
began writing his books. In tbe 
past two years the number of 
boys and girls applying for 
places at veterinary colleges has 
more than doubled. 


Stamp response 


Granada Television’s Sunday 
appeals for kidney patients have 
brought sucb a response that 
soldiers have been “volunteer- 
ing ” to come and sort the 
trading stamps arriving in truck 
loads at the Hampshire head- 
quarters of Elizabeth Ward’s 
British Kidney Patient Associa- 
tion. 

Mrs. Ward told me that they 
expected to have some 700 mail- 
bags of completed books to send 
to the trading stamp companies 
and that each bag would 
probably be worth some £400. 
I had visions of companies 
such as Green Shield reeling 
under the impact of their share 
of the total £280,000. But 
Green Shield blandly assured 
me that earlier charity appeals 
have had a similar response and 
that “ it is a problem of logis- 
tics, not cash." 



ginian ship sunk off Sicily. 1 
now learn that some archaeolo- 
gists believe that pot was given 
to galley slaves to make them 
forget their sorrows. This sug- 
gests the ancients were well 
ahead of Big Brother with his 
tranquil! ised water supplies. 


Seal deal 


“ It’s catching — even Z Cars 
are packing it in ! " 


Bucks stop here 


Roger Windsor, the new ASVO 
president Windsor is the only 


However battered the dollar 
may look, there are still one or 
two rich Americans around. 
The latest list of the 20 
wealthiest, published by Town 
and Country (the U.S. equiva- 
lent of Country Life) puts old 
stayers tike the Dupont and 
Mellon families at the top (with 
S3-5bn each) followed by the 
Gettys ($2-3bnj, the Rocke- 


fellers (§I-2bn). and the Fords 
(just under $lbn). 

Then the list grows more 
interesting. It includes Leonard 
Stem, who made an estimated 
5500m. from pet foods, and Ray 
Kroc who stacked away a 
similar sum selling McDonalds 
hamburgers (1.4bn of them last 
year alone). There is also 
DeWitt Wallace, whose $300- 
5400m came from publishing 
the Reader's Digest 
^ At the $25Qm mark, we find 
Charles Allen, founder and 
senior partner of Allen and Co., 
the Wall Street investment 
bankers, who sprang into the 
headlines yesterday when they 
wrung an apology from the New 
York Times after threatening 
a SI 50m libel suit. 

For the record, two families 
with former ambassadorial con- 
nections with London, the 
Annenbergs and the Kennedys, 
might be able to spare a dime. 
Their wealth Is put at S30(MO0m 
each. 


It takes a bold spirit to he a 
guest of honour in London's 
Canada House and to speak out 
against the killing of baby seals, 
especially with the High Com- 
missioner in the same room: 
but Farley Mowat. the Canadian 
best-selling author — and expert 
on Arctic wildlife — felt no such 
qualms. At a reception to mark 
the simultaneous paperback 
publication here of five of his 
21 books, Mowat told me that 
he “strongly objects to using a 
natural resource in a way 
totally without economic 
validity." 

Mowat claims that there is 
an understanding between the 
Norwegian and Canadian gov- 
emments about seal culling in 
the Arctic — where he lived for 
two years— and that most of the 
club-swingers are Norwegians 
from fleets flying the Canadian 
flag. In return, Norway limits 
her fishing inside Canada’s 2DQ. 
mile limit. “The Norwegians 
decimated the Greenland seals," 
says Mowat. “and were pushed 
out of the Barents Sea by the 
Russians. That is why they have 
turned to the Canadian Arctic." 


16 th Overseas 
Import Fair 

“Partners for Progress” 


An event of the first importance 
for Europe’s import trade 


On the safe side 


Pot down below 


British Rail are finding it hard 
to kick the habit. Passengers on 
one train yesterday were 
politely greeted with ‘Good 
morning, this is Cannon Street 
Station. We apologise for the 
late arrival.” The train had 
been one minute early. 


Yesterday I reported the dis- 
cover? of cannabis in a Catha- 


Observer 



August 30 to September 3. 1978. is the time, 
when producers and exporters from Africa, 
Asia and America gather in Berlin to 
establish profitable business contacts with 
European importers at this attractive special 
fair. 


Europe's only fair of its kind for overseas ■ 
products embodies all the advantages of a 
concentrated and attractively priced range < 
of goods, with the accent on textiles, foot- 
wear and leather goods, furniture, carpets, 
handicrafts, foodstuffs and gourmet items, 
technical equipment and semi-products. 
European importers who are looking tor near 
products and new suppliers to freshen up 
their stacks and attract more customers wilf 
find at th« Trade Fair a range ot offers which . 
grows wider and more varied from year lo 
year. 


Come to Berlin! 

Get in on this source of frosh new contacts! 


Expand your range of goods with products - 
, from overseas. Take advantage of all the 
chances that Europe's leading Trade Fair for 
The import industry - the Overseas Import 
Fair 'Partners for Progress" - can offer you. 
In 1973, more than ever before. 


Berlin, 

August 30 - September 3, 1978 


e^ k Ber,in 


international Congress Confer Berlin 
Congress Hall Berlin 
L'hibihon Grounds Berlin 
Pr*-rtiCWtinOhdlie,’lce P.iiace Berlin 


Uonif-any 

iut E«hisnitnii.. itnd Cowyoi&a^ Ud- . 


Bo* ,, 9ir40.MPSso4a«TMTi2i 
D 1000 Berlin IQ 

TiHepnuno uiOOt 30381 
Tele* 0I8J9O3 jmMid 


Chfl ^ bcr °* ‘ndusiry ACwnnwco in IhnUnitW »****» . ' 
11 Grosveno. Crescent. London SW IX7EE .T« 01 2350691. lolm Q W4 42 G«muS*«f» 







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PSwBBCfel - rmss Wednesday May 17 1978 


23 


Hungary tries 




By IAN DAVIDSON, Foreign Editor, recently in Budapest 


HUNGARY is poised for » new 
wave of economic reforms ten 
years after the launching of its 
New Economic Mechanism. 
Authoritative voices in 
Budapest already predict that 
they wall be comparable with 
, those of 1968. Among other 
things, the Government is ex- 
pected to reduce, if not phase 
out altogether, the complex 
system of producer price sup- 
ports and subsidies, as a 
stimulus to greater industrial 
efficiency and profitability. In- 
fluential figures in the 
Hungarian economic establish- 
ment are already predicting 
that this will be followed by 
moves towards the convertibility 
of the forint. 

The reform programme is 
still in an embryonic stage, and 
neither its full extent nor its 
details have yet been fully 
worked out (or at least made 
public). But the principle of 
reform has been unmistakably 
endorsed by the Central Com- 
mittee of the ruling Hungarian 
Socialist Workers’ Party 
(HSWP), in a 30-page resolu- 
tion issued last month. 

The New Economic Mechan- 
ism, with its emphasis on the 
autonomy of company decision- 
making, on profitability, and on 
profit-sharing incentives for 
both workers and managers, has 
been remarkably successful in 
promoting a steady rise of pro- 
ductivity and living standards, 
and a rapid growth of foreign 
trade, especially with the non.- 
socialist countries. But what 
is remarkable about the latest 
HSWP resolution Is that like 
its predecessor last October, it 
wastes little time on self-con- 
gratulation for past successes, 
and concentrates instead on a 
detailed and stinging indictment 
of the short-comings which still 
persist. Cognoscenti of Com- 
munist affairs will no doubt 
tease out subtle meanings from 


.between tiie lines, but to any 
layman the thrust is remarkably 
explicit and was made even 
clearer to me in conversations 
in Budapest earlier this month. 

Hungary is heavily dependent 
on foreign trade, which accounts 
for approaching 50 per cent of 
GNP. More than half of this 
trade is with other Comecou 
countries, but the proportion 
with the West has been steadily 
increasing, and it is the West, 
as the source of equipment and 
technology for modernising the 
Hungarian economy, which will 
be the touchstone for the 
country's future performance. 

As a result of the 1973-74 oil 
prices increase, the Hungarian 
trade balance has gone into 
deficit The Government has 
softened the impact on the 
domestic economy by a complex 
system of sidtaidies and price 
supports, known in Hungary as 
“ financial bridges," which 
absorb nearly a third of the 
national budget. 


Real costs 


But these “bridges" intro- 
duce distortions which seriously 
undermine the principles of 
competitiveness and profit- 
ability. As it is. there are com- 
panies which run at a loss and 
which are kept going by State 
aid, while there are others 
which keep unprofitable pro- 
duct lines going out of sheer 
inertia. In general, the phasing 
out of producer subsidies will 
force company managers to 
deal with the real costs of their 
operations, though the impact 
will be lessened by lower com- 
pany taxes. But the HSWP 
resolution has already identi- 
fied a number of sectors and 
companies which ought tio be 
able to expand rapidly, some 
others which should stay at 
about their present size, and 
others still which should be 


scaled down or even closed 
entirely. 

Not merely are many Hun- 
garian producer prices too high, 
but many consumer prices are 
too low, especially those for the 
most basic necessities of life, 
which are fixed by the Govern- 
ment. It is for this reason that 
the commercial rate of 
exchange for foreign merch- 
andise trade is about 72 forints 
to the pound, wbereas the 
tourist receives only about 36 
forints to ' the pound. It does 
not seem likely that consumer 
subsidies will be phased out as 
fast or as far as producer sub- 
sidies (where the target date is 
1980) but the present aim is 
to go for a single foreign 
exchange rate. 

One of the shortcomings of 
the Hungarian economy is the 
relative inflexibility of produc- 
tion patterns and of marketing. 
To a large extent, this is due to 
the dominant weight of trade 
with Co me con. which is roughly 
predictable five years ahead: the 
Ikarus company knows that it 
will sell 6,000 buses a year to 
the Soviet Union for five years, 
come rain or shine, but it re- 
quires a let of effort to secure 
even a single order from a non- 
socialist country. Hungary has 
tried to solve this problem by 
giving a number of the biggest 
industrial companies the right 
to deal direct with foreign (that 
is. western) markets, instead of 
going through the 30-odd foreign 
trade companies which are by 
nature bureaucratic and ill- 
adapted for aggressive sales- 
manship of somebody else's 
products. 

At all events. Hungarian in- 
dustrialists are being encour- 
aged to seek joint ventures with 
foreign (which means mainly 
western) companies, since this 
gives them access not merely to 
the most modern technology but 
also to western markets and 


marie eting techniques. . Ikarus 
has agreements with western 
motor manufacturers, while 
Tungsram, one of tfie world’s 
largest light bulb and vacuum 
engineering companies, has 
already set up a joint venture 
with Action Industries in the 
U.S., and is in the process of 
negotiating with other potential 
partners. 

One interesting and recent 
wrinkle on Hungary's marketing 
strategy is the encouraseimenr 
given to closer links with 
western banks, on the grounds 
that they will .provide good con- 
tacts with other western com- 
panies. (The Hungarians assert 
that their interest in foreign 
banks has nothing to do with 
their current need for foreign 
loans to finance their trade 
deficit; they claim that western 
banks are already offering them 
three times as much money as 
they want or need, aod the very 
fine terms -they secured on their 
most recent $300m. Euromarket 
loan is circumstantial evidence 
that this may very -well be 
true). 

Inflexibility is, if anything, a 
more serious problem for the 
domestic economy than for 
foreign trade. The monopolistic 
tendencies characteristic of 
socialist countries have been 
aggravated by the mergers of 
the past ten years and the pre- 
dominance of too few large and 
unwieldy companies. Under- 
standably, in view of the small 
size of the country and the short- 
age of capital for industrial in- 
vestment, no one in Budapest 
talks of introducing competition 
between domestic manufac- 
turers as a way of dealing with 
the problems of accidental 
shortages or deliberate market 
manipulation. But since the un- 
availabality of a product in 
Hungary can even now be 
treated as a justification for an 



Mr. Karoly Nemeth, widely regarded as number two in the 
Hungarian hierarchy, and a man closely associated with, 
economic reforms. 


import licence, the inference 
may be that the domestic mar- 
ket will become more competi- 
tive as the country moves to- 
wards convertibility, through 
freer imports from the West 
On the other hand, one of the 
most explicit recommendations 
in last month's party resolution 
is on the need to set up more 
small and medium size com- 


panies in the service sector, and 
even in the manufacture of such 
items as spare parts or short- 
run precision tools or instru- 
ments. Getting hold nC a 
plumber or electrician in Buda- 
pest is, it appears, even more 
difficult than in Rendon, and 
getting your car repaired at one 
of the official garages means 
either joining a long waiting list 


or resorting to the petty bribery 
which has become one of the 
endemic scourges of daily life in 
Hungary. 

But the surprising thing is not 
so much -that the pragmatic 
Hungarians recognise that there 
are crying needs in the service 
sector which are not being ful- 
filled; the. policy of steadily 
rising living standards is central 
to the Party’s .strategy of keep- 
ing on reasonably good terms 
with the rest of the population. 

The surprising thing is that 
the authorities are entirely open- 
minded about whether small- 
scale service and manufacturing 
companies should take the form 
of co-npera lives (and thus satis- 
fy the requirement of ” Social- 
ism”). nrwhether they should 
be privately owned. At present, 
some 3-i per cent, of the econ- 
omy is in private hands, mainly 
in agriculture and in retail or 
artisan -trades. One of Hungary's 
most influential economists told 
me that it would not matter if 
the private sector were two or 
three times as large, while a 
Party spokesman would only 
stipulate that private entrepren- 
eurs should not earn more than 
three to Jive times as much os 
tlieir counterparts in itbe social- 
ist sector (“even Lhough they 
work much harder and much 
better’’), because of the social 
tensions this would cause. 

But it may well be that the 
party is on entirely safe ground 
in tnssing away ideological ob- 
jections to private enterprise, 
since there is probably no great 
danger of a stampede away 
from socialism. One of the 
criticisms made in the party 
resolution is that managers of 
State enterprises are unwilling 
to take clear responsibility for 
their decisions or to take risks, 
and this despite the incentives 
of profit-sharing which, in the 
case of the biggest and most 
successful companies, can run 


as high as 65 per cent, of basic 
salaries. 

Since there are no free 
reserves of labour, economic 
growth depends exclusively on 
rising productivity. In recent 
years Hungarian productivity 

has been rising fast, and in the 
Comecon batting order stands 
fourth behind that in East 
Germany. Czechoslovakia and 
the Soviet Union (if official 
estimates arc to bo believed). 
This is not a bad achievement 
for an economy which was pri- 
marily based on agriculture a 
generation ago. and whose in- 
dustrial workers are (ti> judee 
from last month’s Party resolu- 
tion) an idle, undisciplined lot. 

It is clear, however, that the 
strategy of making Hungary 
an internationally competitive 
economy will require consider- 
ably more mobility of labour to 
meet llie needs of expanding 
sectors. In the short run. one 
of the practical obstacles to 
labour mobility is the severe 
housing shortage. One Hun- 
garian acquaintance tin his 30s) 
was so hard pressed to find any- 
where to live (apart from his 
parents’ home! that he was 
driven to form a co-operative to 
build a small rj-unil apartment, 
house, and the operation occu- 
pied most of his spare time for 
3] years. 

In the longer run. there are 
only two ways the Hungarians 
can secure a more mobile 
labour pool: by relaxing the 
labour laws, so flint managers 
can fire as well as hire, or by 
closing down a significant num- 
ber of uneconomic enterprises. 
Yet it is a sign of the times to 
read, in a published resolution 
of a Communist Party in power, 
an explicit exhortation to mana- 
gers to sack workers who are 
lazy, inefficient or undisciplined. 
Or rather, it is a sign of the 
times in a very idiosyncratic 
Communist country. 


Letters to the Editor 


Plus e’est la 
meme chose 

From Mr. K. T. H. Graves. 


serves have something in final definition are not soon car- resigned: preferring to forgo 

common with Professor TTiffin’s ried out then those who abide the occasional convenience 

own earlier ideas for a world by the rules will continue to be London premises and to recon 
central bank. heavily penalised. stitute a small Land Agents’ 

We have lived for some years Most of the reputable bureau de Society of course no longer hold 
„ . effectively on a gold-do liar change operators feel sure that ing the Royal Charter which had 

Sir, unco again reform OF the standard — and then, when the the rates which we are offering been surrendered but at least 

international monetary system is dollar severed its link with gold are commensurate with the permitting survival of the name 

in the air; but one is tempted to in August 1971, on a pure dollar times that we are keeping open The remainder were swallowed 


Yet we might 


, say that plus ga change plus standard u . 

C wJ a „ “*•'“* c ^ ose - Having premature in subscribing to the providing, 
abandoned the two pillars of demise, of gold. Reports of Sts Stephen B Brass 
stability of exchange rates and death may be raU ch exaggerated; pjSjJJ * 

, v 'i e _?. QW and tbeTe might prove to be xe- Credit Change, 


be and the services which we are up in the Institution among 

40.412 quantity surveyors, house 
agents, valuers and auctioneers 
The decease of the Chartered 
Society may well now be 
regretted. It had a high reputa 
tion, and as it would now seem 
a better sense of its responsibi 
lities to the public than has the 
huge organisation that swal 
lowed it up. 

H. S. McLaren. 

Key close, Newtown, 

Newport, Isle of Wight. 


Broadcasting 

formulae 


The price of 
innovation 


have inconvertibility and floating juctance to a move towards a 7 Gmnd Buildinax we* 
exchange rates. Short term - paper gold" (SDR) system. ° ouuamgs, wc_. 

palliatives still • take the place of as The Economist of June 17, 
long run goals. , 1961 said, “the world was not 

No international monetary re ady for Keynes's currency 
system can work satisfactorily plan at t he end of the war and 
if most of the burden of adjust- ^ not ready for its successors 
ment is placed on deficit coun- l0 ^ ay - That stin seems to me 

tries. The gold standard itself t0 be xrue- Who will dare to From Mr. .4. V. Robson 

was on balance deflationary: it sa y that^ in practice, a dollar re- Sir. — In his article last Satur- 

. upon losers of G£Tve system will not continue? day about Independent Local 

goto (o deflate, without a cor- And need that necessarily be as Radio stations, Anthony Curtis 

responding obligation on the part b a d a prospect as is sometimes wrote: “It is in the entertain- 

oi recipients of gold to innate, painted; provided always that meat they offer that local radio 

1 i i! broke down in the nations make conscious efforts to has so far been disappointingly 

end under the post-war Bretton aV oid continuous serious iro- reluctant to try anything adveo- from air Michael Gauford 

v,^,riJ y h- e , ii th r e a - de * balances in tbeir foreign pay- turous, content to rely on the ^_p ro 'fe«or McRae (Alai 

nn r?» U f der *? e modern . merits— which greater interna- safe formula of music n'chat.’’ W , 1 f’ u g S), On innovation 

floaung rate system there seems tlon al liquidity will not, per se. Surely Mr. Curtis knows that ‘ r " 'if*?' c “ ®" 11 ?« Si. „ 
lo be constant pressure upon forestall anv radio station that is financed s u SS ests that capital is cheap 

deficit countries lo allow their KT n craves ** J2£S«525?. K“hS for industry to raise because of 

■exchange rates to depreciate ,5a Teriieu Lone 
while stronger countries ' eco- 

?SS ly reSiS ‘ refl3li ° Ilary WiUf Cheshire. 

In an imperfect world we can- 
not expect the degree of 

symmetry we would like to see. 

The gold standard was a special 
case— an historical accident It 
was a system in which the 
world’s monetary system was 

uniquely centred on London and 



* *£E5 e ta£. ii *“* Wflh Nation. HisiorSy he m^y be 
„i,[i n n correct but when borrowing over 
15 years 0De canoot assume that 
to commercial television) the *(,» experience of the nast few 
Americans discovered lhat when “ ears ^ vi]I be £p„ t ed *5 the 

a programme rises above the f U h. re H 

,e ^L° f „ i ?Jino ieW t e f r Recently I have been inq uiring 
th for lo n S'term funds based oh 

however, the programme falls BOod security f or extendin'* our 
below the intellectual level .of fompany^actirities^haro been 
the viewer he keeps on viewing q UOtei j 2{-3 per cent over base 

f SoTsmnS? is roles de ^e"" jn “bliiSu ? 6 de ^change dSominltor U,e ,0We * t C0mm0a gS^for * 20^ Va^^cfuSg 
i £.*S domSohdesTadS S^bleTaod So VS*! Au'ntieTaufs^advk-e^ taS allowable 

Though Keynes rejoiced at famine aIt uninformed and Better still- why not combine 34^3 per cent, both depending 
Bretton Wood*: that gold had now sometimes informed compart pleasure with business — come 00 the top rale paid 
become a constitutional monarch SQ11S t0 which we have all b dowm to Bournemouth ^or a few lt was understandable i 

rather than an absolute one, the exposed 


The cost of a 
bureau 
de change 

« From Mr. Stephen Bra*. 


- Sl,¥’ d Us,en “ BBC Badi0 period"^ 


reality has proved otherwise." The Hotels have been f 0l f, nr L 

Brellon Woods system did not, change semces for a number -of A. V. Robson 

we have seen, give nations years providing poor rates— even 5, Court’ D 

carte blanche to s o off on frolics though these are only offered 9, Surnrp flood. Bournemouth. 

or their own: and I submit that supposedly as a service to tneir 

ihe new regime of floating rates clients. The bureau de coange , 

his certainly not given nations scene has expanded rapidly m Uny whof jc 
sree of autonomy that in the last 2-3 years with whal yUJ WllAi 

L. - : ... ■ In ha vnrv flexible I J • 


_ Ihe degree ui ouivhuui; umi *u ---- — * M 

, * ■*" iheory such a regime was to give transpires to be very tiexio e 

' - " . them. And 1 believe rightly so. aDd often indeterminable 

. t t Nations might all be equal, but placed _on them. 

' : 91 some are more equal than others 


best campaign 


t »-t en From Mr. R. s. Feamehough 

»<jiti V a re mure equar man ouiers The property ma ncei a sir. — Your industrial Editor m ivus-wim u«uc> 

— Jnd such facts of life have to the matter fully to heart ano^ Mr John . BUfatt {May 4) made at. say. 9 per cent would en- 


that legislation should favour 
house mortgages. Now. however, 
there are plenty of houses in 
many areas but few. jobs. 

To resolve the situation I 
would suggest that building 
societies be allowed once more 
to lend to industry and that 
industrial lending organisations, 
like TCFC. get the same tax 
advantages as building societies 

The carrot of long-term money 


be faced. No tinkering with the often obtained 

- for what are 


exorbitant 
small and 


comment in his 


article courage investment by industry 
innovation, production and 


monetary system can remove this rates for what are -ma under ihe heading of “Industry in innovation 

basic constraint. The late Prcsi- often unusable sites. Even tn use and Unions sceptical about ‘Buy marketing, 

deni de Gaulle deserved more closely associated witn «« British’ Campaign.” I would Michael R. D. Gayford. 

*> in pa th.v than he got in his iu- uient bodies nave not much prefer a ‘Buy the Best’ Roy Wilson. Dickson. 

’•citing upon a degree of discip- averse to obtaining very bm gampaj-Q an( j urRe the Govern- Dudley House, 2a, Price Street, 

line and l can well understand rents by the use of the mas c ment so t0 asfi j S t industry and Birkenhead, 
how the Germans must be irked name of Bureau de cnange. 


poinicd out. it is significant that known ownership, and super- reduee ^ rtow of j mpor ts. 
a recent report of the US imposed their own structure in ^ g Fearnehouah 
Congress is entitled pot “ How to London. _ Montana 

Slop inflation.” but “How to What is to be done? The Ban* . clumber flood. Sheffield. 

Lice wilh Inflation.” of England must have more 

The tact is that the post-war power to implement its deci- 

, A M„n H'nnrlc ci-L-tam m. n-u. nCP Of 


prices 
against gold 

From Mr. Adrian Gray 
Sir. — Mr. Irvine Fortes cue sug- 
gested in his letter of April S 
that a monetary system which 
used housing as part of the back- 
ing for the note issue would not 
work because Government could 
affect the supply— and hence the 
price of houses. Instead he advo- 


B return Woods system re- sions. The prohibition of use of 

e.iiahtishcd a gold exchange the name '‘Bank" in a 1 title due oUrYcYUl» 

si stem. National currencies have come before Parliament in the „ 
hewn used as international future must be brought forward X66S 
reserves — with’ all the pressures arit j implemented withoui delay. M . 

mi the centre countries that bureau de change operation trom Mr. if. a. mci* 

characterised the system of the should be entitled to call read with t0 underwrite the value of "the 

1WQR. There were competing a bank . The BaTlk of England letter your columns (May 12 ) 0 “ Sfmplvingniat Ihis 
reserve media— and "ben confi- st lay down the rules, but not regarding the refusal of some nroride st ahHitv ^ ° 

dunce was lost in rational ^ ^ lo be badgered Members of , the Chartered Syr- he con- 

currencies, fold became the final jnl lifting ^ restrictions to veyors Institution to deal with cede d that Goverements can Lso 
. . . the detriment o! Iho operator com pematloM l.Imt pa ampul- X ^ 


>(T J 1 - 



nnvvnattonui titnitus «««.« these noerations. ^The Bank of of the amount of the claim, so geither of* them works 
and its microcosm, the European ™ ^having established that the increase now needed on if they both work 'then the 

1 ayments (- ni °n. ^id more for c j ear jy m ust not then account of inflation seems likely method using housing as security 

Europe than the On the . nteriere in t jj 0 reasonable com- to be a very modest one. will rank as superior because it 

same VJcnodl did fg mercial aspects of these opera- Four yeare ago the old Char- does not require the stock of 

ii* a whole. Mr. Schmidts re* nenvided they are withifl teted Land Agents Society, bouses to be imported and the 

cctlt proposals have much ill tions pf0yul_ ^ v as dpalinc exclusive K- with land- .itiKMnea 4K0 -• 


nummin 
ihcrc 


.reposals have much n u . UUb ‘ 1 ‘“ w, “ F ^ ^ pera tioa as dealing exclusively with land- -tacrease in the total quantity of 
n wiih the old EPI^— but dSned iUain because of the management, despite strong housing, whether rapid or noL 
in acam the danger of uenuea. allowed opposition by a large minority of will provide additional emnioy- 


incrc vr aqain vie „ t hev have allowed opposiuan oy a large minoncy 01 win provide additional employ 

creating separate currency blocs confusion y nm ^ ju members permitted itself to ment for British people. H J 

in the international system; jjemselve to become uw he absorbed by the institution. Adrian Gray, 

while Dr. Wittevecn's ideas for vowed. dar i£ ca tion and Of its L 876 land agents a few 3J> Russell flood; S.W. 19. 

• interua.tioualisiug nations’ re- . if progress 10 ciairmv 


GENERAL 

President Kaunda of Zambia in 
W asiungton. 

Second of seven fortnightly 
Indian gold auctions. 

CBI Council meeis. 

Lord Sfaawcross. chairman. 
Take-over Panel, addresses annual 
meeting of Wider Share Owner- 
ship CounciL 

Mr. Hugh Scanlon, president. 
Amalgamated Union of Engineer- 
ing Workers, is guest speaker at 
Foreign Press Association lunch, 
U. Carlton House Terrace, SWl. 

City University degree cere- 
mony, GuildhaJL EC2, 4 p.m. 
PARLIAMENTARY BUSINESS 

House of Commons: Transport 
Bill remaining jnages. 

House of Lords: Orkney Islands 


Today’s Events 


Council Bill, report stage. Scot- 
land Bill, committee. Inter- 
nationally Protected Persons Bill, 
second reading. Weights and 
Measures Act 1983 (Potatoes) 
Order. 

Select Committees: Expenditure 
(Trade and Industry sub-commit- 
tee ». Subject: Measures lo pre- 
vent collisions and strandings of 
noxious cargo carriers in waters 
around UK. Witnesses: Corpora- 
tion of Trinity House; Honourable 
Company of Master Mariners 
(10.30 a.m.. Room 10). Nationalised 
Industries (sub-committee B). 
Subject: Electricity supply indus- 
try (re-organisation). Witnesses: 
Electricity Supply Industry 


Employees’ National Committee 
(10.45 a.m.. Room S). Nationalised 
Industries (sub-committee C>. 
Subject: Independent Broadcast- 
ing Authority. Witnesses: Asso- 
ciation of Cinematograph. Tele- 
vision and Allied Techniques f4 
p.m.. Room 8. and 5 p.m.. Home 
Office). Unopposed Private Bill 
Committee on Abingdon Market 
Place Bill (Lords) and Mile End 
Gardens. Portsmouth. Bill (Lords) 
(4 pjn.. Room 9). Public 
Accounts. Subject: Appropriation 
Accounts. Witnesses: Department 
of Health and Social Security and 
Department of Employment (4 
p.tru Room 16). Joint Committee 
on Consolidation, and Bills. Sub- 


jeci: Adoption (Scotland) Bill 
(Lords) (4.30 p.m.. Room 4). Par- 
liamentary Commissioner for 
Administration. Subject: Renew 
of access and jurisdiction. Wit- 
nesses: Foreign and Common- 
wealth Office: Horae Office: Law- 
Officers’ Department; Ministry of 
Defence (5 p.m.. Room 7). 
OFFICIAL STATISTICS 
Basic rates of wages and normal 
weekly hours (April). Monthly 
index of average earnings 
(March). 

COMPANY RESULTS 
Duport (full year i. General 
Accident. Fire and Life .Assurance 
Corporation (first quartern . Whit- 
worth and Co. (full year). F. W. 
Woolworth and Co. t first quarter). 
COMPANY MEETINGS 
See page 25. 



Nothing succeeds 
likesuccess. 


For Minet, one success leads 
to another. 

In 1973, we won The Queen’s 
Award, the first Award ever to 
be made in the field of insurance 
broking. 

This year, we’ve done it again. 

Which makes us the 
first insurance 

it 



brokers to receive this coveted 
Award twice. 

Doubling our overseas earnings 
in the last three years alone is 
significant in itself. 

Being honoured in such a 
tangible way makes anotable 
i, achievement that muchmore 
special. 


The name ihaft recognised 
fbrinsurance around the world 

MnetHoldingsIimiteiiifind:Hbusq|66R«8eotSttee4LoiidonEl8Bl£ * 







1 


24 

is* 



lliif¥-'NEWS.+ COMMENT 




^ver 


COMBINED KE.SULTS of Unilever 
l.iniiied and Unilever N.V. reveal 
a lirjt quarlur IU7S rise in eules 
UilUe of .1 per cent from I2.22hn 
In CI.SMbn bin ;i drop in sales 
'■ft'unH 1 of vmne 2 per cent and 
|/rv-t::.'C prulils Tor the period 
ended March SI lell by 11 per 
ct-ni from it 24 m iu rilO.tiin. 

Pre-r:r: pm iris for the 1U77 year 
foil by CRlin to IS7.«ni on sales 
til" f'l.lobn aoaitisr iS.7:tbn and 
the directors then said that they 
cr.net-ierl I:i7.x r«i be a difficult 
year fur the sruup. 

The ilirecinrs nmr stale that in 
Kurnpe ■ botii consumer . _nnd 
industrial markets" remained 
depressed. The group's businesses 
in edible fats and determents 
achieved improved margins and 
h'^her prmits in mtal. but in 
o' her i.-onsumer groups profits fall" 
si’ort of l'.lii. 

in the industrial u roups such 
as chemical* and paner. plasties 
and paehvjinu. results ton were 
lover than last year. 

!n Nurih America, total results 
v. ere very close t*i the lt*77 le* eT 
and in oilier overseas countries 
1.-st ; car'.- cnod performance w as 
maintained, they add. 

In the 1...-XCI am up. results of 
i.o n soli tlale* I emu panics were 
a ;;:in -.-uod. and Sides and prolils 
of associated companies, particu- 
lar! v iho*-e in the L'ACI ;n»up. 
’.vere veil above those of ll«77. 

Siaied earnirvjs per 2op share 
are ,^ho'> n as flown 5 per cent to 
I3 7iip 1 JIJ.J I pi. 

With lover interest eamines on 
wh balances there was a net 
deduction in the period of U.Sni 
m resnect <">r other interest, 
v.imniired with a i‘3.Sm addition 
last lime. 

Sec Lex 


11 % to £ 110.6m iirst quarter 


INDEX TO COMPANY HJfiHUGHTS 


Company 

Page 

Col. Company 

Page 

Col. 

Anglo-Scoctlsh 

25 

3 Lee Cooper 

24 

1 

Bids and Deals - - 

27 

1 . Mining News 

27 

6 

British Vending 

25 

3 Oil Exploration 

26 

8 

Bunzl Pulp 

24 

■7 "Panto (P.) 

26 

7 

Cakcbread Robey 

26 ' 

8 Ranks Hovis McDougall 

25 - 

4 

Coats Patons 

26 

5 Reo Stakis 

27 

5 

Concentric 

25 

4 Pamciman (Walter) 

24 

5 

Davenports Brewery 

23- - 

4 Scottish TV 

27 

. 1 

Fidelity Radio 

2.4 

4 SeccOmbe Marshall 

24 

4 

Foster Brothers 

' 24 

""2 Shires !nv. Trust 


'8 

Furness Withy 

26 

5 Telephone- Rentals'"' 

27 , 

** 4 

Goodkind — 

. . 26 

8 Texas Pacific 

-'27~“ 

8 

Hambras Trust. , 

25 

-2 Trafalgar House 

25 

1 

■Heath (C. H.) 

25 — 

—- 1-Unifever 

24 

1 

Kwikfit 

■ ~? 4 

3 Winding up Orders 

25 

4 


The directors say the current 
vear has started welL with sales 
of tyres and exhausts during 
March and April almost 50 per 
cent- up on last year. New site* 
are continually bein': looked Tor 
throughout the UK, they add- 


Setback at 
Fidelity 


Foster 


IT 


Cooper 
readies 


pa, 

,/m 


tj 

TURNi.iVER for i he nine months 
in end 11177 at ihe Lee CiHiper 
Group of jemj and ca-ual wear 
manufacturer-, and distributors 
reached Si~ ::r<m compared with 
£2R.7ni for ihe previous year, and 
pre-i3\ prolils totalled CJ.Tni 
auainst jy.Sm. 

The UK lomribiited CTAlm. 
i£:;.lSm.j to turnover and £li.-l5ni. 
d'O.::! in. > ;o pndii. ami tut ope 
and \nrih Afvi-a W7.Slim. 
(£23.52m.i and i£2.Him.l. 

The accounts cover a full years 
iradina of all subsidiaries but 
only !» ninnths for the parent 
company. 

T;.:< takes fl.fini (Il.lnii and 
cvcha/K'- losses i.""0.\ri37 
i v'131'i.l-iin. leci'.ine ihe aUribui- 
ahlo balance at £ 1.71m »£1.3lim>. 

The finai dividend i.* L.Rop net 
per share tor a 2.d7op 

i 2 4::73jd fnial. -\ one-for-lhree 
scrip issue i> :d*o prnpu*ed 

De*r-!ie tiie economic recession 
ihrouuhiMji turoi)*.- the current 
years trading in date has been 
> a ti- factory say the directors and 
further v.iirlh while increases in 
dimmer are aniieipated. Profit 
margins are. as always, under 
con-uam attack bur. barring un- 
fn-.-ccen eircum.-l.mces it is nnii- 
e:pa;ed that the«i* will rematn a 
a very sat i-, factory level. 


tops £5.3m 

AS ANTICIPATED in October. 
Foster .Brothers Clothing Co. re- 
couped ihe shortfall seen at half- 
way with second half taxable 
c:i minus- climbing from EM.»m 
This lifted the full-time 
total for the year to February 28, 
t!i7‘t. by£4.27m to a record £5.S7m. 
Sales including VAT - coached 
r.iO.lhni., acainst £44.n7m.. with a 
25 per cent: advance com my in 
ihe" seepnd six months. 

The sccmid 'half included sales 
from Discount for -Beauty, pur- 
chased on August HI. li»77. but 
the increase from this source is 
offset to some degree by sales loss 
in ii ii pro li table branches closed 
durinii the period. The net effect 
of this adjustment leaves the 
sales increase Upwards of ID per 
cent, the directors say. 

The initial trading for Ihe cur- 
rent year has been very encourag- 
ing with sales overall exceeding 
even optimistic targets. The mens- 
wear division, which accounts for 
so per cent of turnover, is per- 
forming particularly well. 

Tax took £i.7Sm (E2.22m) and 
earning' per "3p share are stated 
higher a i 1 1 .Bp c S.4p j . A net 
Jinal of J.MIUTSp lakes the tola) 
ro 2.x"iiiU25n I2.57fi2p). 

© comment 

Foster's first-half profits down- 
turn of 14 3 per cem has been 
followed by a l»2 per cent in- 
crease in the second six months, 
thank* in the cold snap during 
Xi i vo ni her- December. w h ieh 

boosted clothing safes. Excluding 
Di'COuiii rnr Beauty i acquired Insr 
August), full-year sales lire around 
a fifth higher, reflecting volume 
growth of about a tenth at a 
lime when c'tmpoiiiion was 
sever*-. So Foster has clearly 
benefited from Ihe closure of 
Stone-Dri and the ladies’ wear 
operation, while Beauty s contri- 
bution was only minimal. In aJl 
about 4»* lo.s--niakmg shops were 
closed during ihe year and this 
programme is continuing. In spite 
or this slimming-odwn operation, 
the group is undertaking a 
modernisation programme nr 
existing branches, and bringing in 


new storage _fuedrtlt , 'sr' At 112p. 
the shares "“are on a p c of 9.3 
wrhile’the yield is 3-ft per cent-. 

The recently -iraptermrifieU '2p 
jiricc increase on draught 
beers will — help__.to- - rm prove 
margins, while maintaining prices 
at~ co m pietHixe levels. 

On the longer term— ttnr' de- 
velopment programme is con- 
tinuing on schedule. When com- 
pleted. it will give a total annual 
Capacity of nOO.OOO barrels. 

Free trade sales are eoniinuing 
to go well, and are providing an 
increasingly important market. 
All in all. therefore, the board 
remains confident about the year 
ahead. 


£0.95m by 
Kwik-Fit 

AFTER MORE than doubling from 
£210.000 to £444.000 in the first 
half, pre-tax proffrs of Kii'Ht -K/t 
(Tvres and Exhausisl Holdings 
finished the year to February 28. 
1978. ahead from £313.388 to a 
record £947.070 on turnover nf 
£PS2m compared with £7.91 m. 

After tax. on the ED 19 basis, 
of £237.118 (E251.073) the attribut- 
able balance is up from £2«2.313 
to £709.938 and earnings are 
.shown at 3.69p i2.28p) per lOp 
share. 

The final dividend is n.39|» 
1 0.45 p) for a 099 p 1 0.7 pi total 
and a cme-for live scrip issue is 
also proposed. 

Profit before lax includes a sur- 
plus or £142.211 arising from the 
disposal of discontinued opera- 
tions. Prolit for 197R-// included 
£11.139 from -I. C. Baker, disposed 
of during 1977-78. Profit from enn- 
linuing operations increased by 
tiO per cent. 

The principal activity of the 
group, lilting tyres and exhausts 
through Kwik-Fit stations, 
increased turnover by 51 per cent 
and profits by 96 per cenL Con- 
siderable expansion is taking 
place and at present til further 
st a t ions are in ihe course of 
development, bringing the total to 
43. 

Despite difficult trading condi- 
tions during the latter hair in 
Holland, the Dutch subsidiary. 
Dorsman. increased profit by 13 
per cent. 


TURNOVER FOR the year to 
March 31. 1978 at Fidelity Radio 
rose slightly from £1 7.87m. to 
£15.4m. with a drop in U K. 
from £l3.:;Hm. to £14.34 iti. ofl>et 
bv a rise in exports from £2.4*rn. 
to £4.11 6m Pre-tax profit', how- 

ever fell from £1.75m. to £1.31m. 

In October, reporting fir* - l half 
prolils down from £512.ut> 1 -' to 
£490.000. the directors said the 
order book was strong and they 
were confident that they could 
more than make up lost ground 
in the second half- 

Exports increased substantially- 
and with signs of a resumption 
of consumer spending in the home 
market and abroad, they look 
forward to a return to greater 
profitability in the future. Earn- 
ings are shown at 752p i9.89pt 
per 10 p share and cbe tinal divi- 
dend is 3.392 net for a toLal of 
5.185p i4.643p). 

© comment 

Fierce competition from 
Japanese imports and disappoint- 
ing demand before Christmas hit 
Fidelity Radio. Profits stumped 
25 per cent, with most of the 
damage being done in the 
t tonally more important second 
half. Margins were sicadily 
eroded during the period, al- 
though a 5 per cent, price rise 
across the product range from 
June i should give z boost to 
the current year. The company 
seems to have maintained its mar- 
ket share and with two new music 
centres, complete with Dolby sys- 
tems. added to its range, looks 
set to move up market where 
hotter growth is expected, with 
the music public now entering a 
more sophisticated generation. 
Meanwhile, export sales continue 
to surge and now account for 22 
per cent, of total tumoier. com- 
pared with 14 per cent, last year. 
Total orders to Nigeria, of which 
about half have been delivered, 
amount to some 12.23m. since 
June last year. At 78p the shares 
stand on a p e of 10.26 and yield 
an impressive 10.6. 


Seccombe 


PROFIT OF Seccombe Marshall 
and Campion, bill broking and 
banking concern, for the year 
ended April 30. 1978 fell fium 
£472.540 to £304.223 after tax and 
transfer to contingency reserve. 

In their interim statement 
direciors said that trading had 
been more profitable than in any 
previous half year. 

The dividend total for the .war 
is stepped up Trom an effective 
12.0327p to 13.34 }!ip not per £1 
shore with a final payment of 
S.3419p. the maximum allowed. 


ISSUE NEWS AND COMMENT 


Hestair £3m. rights: 
property purchase 


Hestair revealed plans yester- 
day to raise £3m from share- 
holders and announced a series 
of moves In wbicb it will buy 
back a 32 acre site in Guildford 
for, £4im and sell off part of it to 
an undisclosed Institution. 

The rights issue of 3.65m 
ordinary 25p shares on the basis 
of onc-for-four at S4p each is sub- 
ject to the passing of a resolu- 
tion to increase the authorised 
capital from £4m to £6tn at an 
EC.M called for June 1. 

Giving its reasons for the 
rights the Board states that it is 
raising capital to finance future 
growth. Capital expeoditure 
amounted to £2.6m (£l.lm) last 
vear and a similar high rate is 
expected in 1978. This is in addi- 
tion to funds to be used in the 
Guildford purchase. 

After Hes tair acquired Dennis 
Motor in May 1972 it was decided 
to sell off the 32 acre site to 
generate cash to aid that com- 
pany in its recovery. Part of the 
site, was then leased back. 

Hestair has now taken the 
opportunity to buy back the site 
from Rank City Wall for £41x0, 
eaual to the original sale price. 

The site comprises of 560.000 
sq ft of industrial space. Hestair 
Dennis has occupied 340,000 sq ft 
of this ever since the sale in 1972, 
and reoccupied a further 60,000 
sq ft. called the No 11 shop, in 
1976. The remainder is substanti- 
ally unoccupied. 

Following the purchase from 
Rank City Wall, the No II shop 
and part of the unoccupied space 
will be sold to an institution. The 
No 11 shop will be leased back, 
and development on the rest of 
the space will be by Hestair De- 
velopments in conjunction with 
the institution. 

The net cost of these deals to 
Hestair is £2.73m. A loan of £2.2nt 
is being taken from Finance 
Corporation for Industry, repay- 


able as to £l-5m between 198S and 
1990 and £700,000 in 198S. Interest 
will be at Ij per cent over Libor. 
The balance of the cost will be 
found from internal resources. 

Turning to current trading the 
chairman. Mr. David Hargreaves, 
reiterates his statement made in 
the last report that profits in the 
first half are likely to be lower 
than last year, with any progress 
likely to be concentrated into tbe 
second half. 

However the Board is predicting 
a ID per cent increase in the 
dividend to 6.8flp per share. 

Tbe issue is underwritten by 
Hill Samuel. Brokers are Field- 
ing Newson -Smith. 

• comment 

The logic behind Hestairis 
property deal is that a major rent 
review was imminent and even 
after allowing for interest on the 
£2 -2m loan the company is prob- 
ably £100.000 a year better off than 
it- would have been if it had con- 
tinued to rent. Also, despite its 
image as an asset stripper, Hestair 
has built -up its freehold sites and 
now owns all its major industrial 
premises. As for the venture into 
property developing that could be 
a good move, as factory space 
commands a premium in that 
area. 

Last year net debt rose from 
£237,000 to £4.4m. while working 
capital requirements doubled to 
£8.sm. though cash flow' in 1978 
should be similar to the. £4m of 
last year further capital expendi- 
ture of £2lra an increase in work- 
ing capital of perhaps £ 2 m, and 
the £Jm cash in the property deal 
couid push up short-term debt in 
addition to the £2.2m loan. But 
Hestair is offering little on the 
profits front and only a 10 per 
cent increase in dividend so it is 
not surprising the market eased 
the shares 4p lower to 97p yester- 
day-just 13p above the rights 
price. 


£5Tm water tender 



O oo° 

RANKS HOVIS McDOUGALL LIMITED 

nouncement of Interim Results 


Results 

Group profit before taxation for the half-year to 
4 March 1978 amounted to £15,985.000 compared 
with £20.376.000 for the corresponding period of the 
previous year. 

A reduction in the Group's profit due mainly to the 
appafimg - but expected - losses sustained during the 
national bread strike last September was further 
aggravated by the continuing adverse conditions in the 
bread industry in the United Kingdom and by generally 
unsatisfactory trading conditions in the Republic of 
Ireland where the Group suffered a loss. Despite the 
world trading recession profits from other overseas 
countries increased overall and there were also 
increased contributions to Group profits from the 
grocery companies and from Wessex Finance 
Corporation. The results of the Group's other main 
trading activities were not materially different from 
those of the previons corresponding period. 

The increase in interest charges reflects the higher 
ban owing levels during the period under review. 


Interim Ordinary Dividend 

The Board has decided to pay on 1 4 July 1 978 to 
Ordinary shareholders registered at the close of business 
on 1 9 June 1 978 an interim dividend for the vear to 
2 September 1 973 of 1 .452p per Ordinary share (last 
year 1.320p per share i, involving a payment to share- 
holders of £3,956,000. This dividend, together with a 
related tax credit of 34/66ths thereof . represents 2.200p 
per share (last year 2 OOOp per share) or 2.1 67p per 
share if the tax credit is changed to 33. 67;hs. 

Prospects 

It will be recalled that Group profits for the full year 
were expected to be close to those of last year but. due 
to the circumstances already mennoned, profits for the 
full year will now be below those for fast year. The 
recently announced acquisition of the Spillers bakeries 
will not show any material benefits until the next 
financial year when we shell expect to see a significant 
improvement. 

Joseph Ran/ .Chairman 


Consolidated profit statement for the half-year ended 4 March 1378 


Half-year ended 
4 March 1973 
(Unaudited) 


Hal: 

5 


■ a s- er-.ccd 
!ar.'n 137? 
<ljr 


1* o.-ided 
3 ifo: ’■ 9 "7 


Turnover 

Total sales 

Deduct : Sales within the Group for further processing 
External sales 

Profit on trading beforerationalisation costs 
and depreciation 
Rationalisation costs 

Depreciation 

Interest 

Investmsntincpme 
Associated companies 
profit befora taxation 

Taxation . . 

Extraordinary items less taxation 
Minority interests 
Preference dividends paid 

Profit attributable to the Ordinary shareholders of 
Banks Hovis McDougall Limited 
Earnings per Ordinary share of 25p~ 


£000 

l 900 


681 .000 

658.000 

1.262.000 

83,000 - 

93.000 

1 55.000 

598.000 

560.000 

1. 107.000 

30.232 

33.757 

63 353 

225 

1.133 

2.213 

30.007 

32.559 

61.140 

8.626 

7.1 09 

14.852 

21 .381 

25.450 

46.2SS 

6.533 

5.4S6 

1 1 ,553 

14,848 

1 9.954 

34.735 

167 

142 

305 

970 

780 

1.418 

15.935 

20.876 

36.458 

8.300 

1 0.87o 

1 3.750 

7.685 

10.001 

17.708 

487 

'214) 

1 1 .,592) 

8.172 • 

9,787 

16.116 

235 

463 

942 

7.937 

9.319 

15.174 

142 

142 

283 

7.795 

9.177 

14.891 


2.7p 


o.4p 


D./p 


- (Based on 272 4 million Ordinary shares ranking for dividend and profit attributable to the Ordinary 
shareholders before extraordinary items. Earnings for ihe year to 3 September 1 977 ha ve been reduced by 
tfie appropriation of £1 ,000,000 lo reserve for pensions) 


Essex Water is raising £3im pany remains optimistic for the 
hy an offer for sale by tender year. 

of 7 per cent redeemable prefer- The meeting vi-as called in con- 
ence stock 1983 at a minimum nection with the £539.000 rights 
price of 197.50 per cent. issue proposed last March when 

„ ... v, the company announced an 

The slock is payable a. to £10 a: r ree£ j acquisition of A. M. 
per cent on application with Je for £740.000 and a 45 per 

balance due on June 29. Applies- wnt Pise in pre -tax profits for 1977 
lions must be tn no later than 
II a.m. on May 23. to f2 ~ 3Ir, • 

interest on the stock will be • 

paid half-yearly on March 31 and v AQrilTl(TC €T$IV 

Sentember 30. The first, payment -*• C«1 UU^j oltlj 

will be next September at the ai ryf 

rate of £1.8545 per cent. /O 

«-, Th n e « t0 t Ck iS repayabIe on June The yearling bond rate held 

Brewers fo^he issue are Sey- are Lued al^^ 

mour Pierce. Dealings start on JJM S 

' The issues are: Glasgow 

Hertfordshire (£lm.), Redbridge 
© Comment £lim.). West Yorkshire <£3m.). 

At the minimum price Essex is Tower Hamlets Liverpool 

offering fiat and final yields or <£2m.). Alnwick (fO.lm.). ^Chil- 
10.88 and 11.27 per cent respec- tern Greenwich i£lnr.). 

lively. Compared with the closest Stoke-on-Trent fUroJ. Test Valley 
■silt. Treasury 91 per cent 19S3. i£}-tn.), Gravesbam (£5m.J, Doir- 
The terms look a little tight, but caster (£fm.). Vale of Glamorgan 
it has been a Inns time since the l£}m.), Warrington f£4m.). Halton 
last vatcr issue and there could (£Im.). Tandririge ■ .ffitn.;, 
he some build-up in demand for Richmond-upon-Thames (£jm.). 
franked income. which has There are two issues of three- 
enahled the brokers to nilch the vear bonds carrying a coupon of 
«ernn on the close side. Mid- ni per cent., issued at par and 
•vissev. rhe last issue, is now maturing on May IS, 1981. These 
-leMing 10.43 per cent flat and are \ V y re Forest i£im.), and 
10.22 per cent to redemption, so BreckJand 

Essex i** giving enough away to Cumbernauld and Kilsyth have 

ra ‘« ,d «nt. bonds 

I.ix. 3s*umii)„ gi.ts do not faJF dated May 1Z igg2 at par _ 

South Kesteven has raised £< l m. 

BRENT CHEMICALS SLuSS? - " b0 ° d5 dl * ed May 

The chairman of Brent Chemi- The fallowing have issued 
cals. Mr. J. S. M. Jones, said variable rate five year bonds:— 
yesterday at the company’s EGM Luton (£]m.), Rochdale 
that prospects for long-term Leicester film.), Blackburn 
expansion look good. In' 1978 l£‘m.), Aberdeen Mid 

tradmg started slowly but the Bedfordshire l£im.), Tayside 
trend is improving and the com- (£Itu.J. 


Financial TunEs WeSnesday Hay 17 T97S 

DIVIDENDS ANNOUNCED 

* Date Corns- Total Total 

Current of s ponding for last 

payment payment dir. year year 

Block! eys _..2nd int 2.78 June 29 2.49 — 3.45 

British Vending - nil . - — nil 0.51 0.46 

Buszl Pulp 2.05** Jidy 8 1-86 4.8S 4.39 

Cakebread, Robey 1.35 July 11 12 1.65 t.5_ 

Coats Patous 2-1 July 3 1.8S 3.28 2.9o 

Concentric .int. 1 July 3 0.85 — 2.39 

Eng. & IntL Trust 2.75 July 17 2.45 3.8 3.3 

Fidelity Radio 3.89 July 7 3.49 5JS 4.64 

Foster Brothers 1.S1 — 1.39 2.85 2.58 

Furness Withy 4.67 July 17 4.29 S.17 7J3S 

Qattbras Idv. 2.25 .July 91 18S 3,75 3J25 

C. £. Heath — 5.12J — 4.67« 7.32 6.67» 

Kwfk-Fft Holdings 0.59 — 0.45 0.99 0.7 

Land Investors -int. 02 July 24 0.13* — 0.67* 

Lee Cooper 1.655 July 7 1.6S 2.4K5 2.44 

P. Panto 0.77 July 7 0.77 J-54 1,54 

Feutland Inr. Trust ...int 1.5|| — 0.88 . — 4.D5 

RHM int L45 July 14 L32. — 3-29 

W. Runciman 5.66t — 7.42 8.16 7.42 

Seccombe, M’shall 8-34 July 3 7.23* 13.34 12.03* 

Reo Stakas int. 0.18 ' Sept. 14 027 — 1.03 

Trafalgar House :..inL 2.83 July 14 2.54 — 5.16 

Yorks. & Lancs. Inv. ...mt. 0.5 July 10- 0.4 — 125 

Dividends shown pence per share net except where otherwise stated. 

*Equivalem after allowing:, for scrip issue. t On capital 
increased by rights and/or acquisition issues. $ Gross throughout. 
5 For nine months. 1 Forecast third Interim 0.042lp subject to 
reduction in tax, making 3-8604p total. |JTo reduce disparity. 
** If tax Is reduced to 33 per cent then additional 0.029p wiH be paid 
with this years interim. 


Bunzl fails to live 
up to expectations 


AGAINST AN interim forecast 
that pre-tax profits for 1977- would 
exceed those for 1976, Bunzl Pulp 
and Paper reports a figure some 
10.9m lower at £12 25m. At mid- 
way the decline was from £6 -64m. 
to £6 23m. 

The directors explain that the 
second half proved very dis- 
appointing with earnings falling 
more than expected in nearly all 
divisions. However, the decline 
in the surplus before tax was 
more than accounted for by the- 
rise in tbe value of sterling which 
resulted In a reduction tn sterling 
pre-tax surplus of £12m. Around 
£0.6m of this arose from exchange 
losses on trading and £12m from 
the translation Into sterling of 
the surplus of overseas com- 
panies. In contrast 1976 included 
currency gains of nearly H.4m. 

During the early part of 1978 
it was discovered that there had 
been a serious misappropriation 
of funds In Fflthai Company, 
Bangkok, which had taken place 
over a number of years. Filth ai 
became a subsidiary of the group 
in 1977 in the course of the 
acquisition of the 50 per cent, of 
Filtrona International Corporation 
not previously held. The group's 
share of the total loss of Filthai 
is the equivalent of £499.000 of 
which it has borne a charge of 
£322,000 as an extraordinary item 
in the 1977 accounts. The 
directors are taking every pos- 
sible step with a view- to recover- 
ing this loss. 

Before extraordinary, items 
earnings per 25p share are shown 
at 21.4p (22.3p) and after such 
items at 16.7p (29.4p). The final 
dividend is 2.045p net for a 4J576p 
(L394p) total. The 1976 total 
included a supplementary 0.029p 
due to the reduction in tax from 
35 to 34 per cent If tax is 
reduced to 33 per cent then an 
additional payment of the same 
amount will be made with this 
year’s interim. 


During 1977, 76 per cent of turn- 
over and 61 per cent, of surplus 
arose from exports and overseas 
•earnings. 

. The directors state that overall - 
earnings for the first quarter of j 
the current year are at a con- , ■■ 
siderably higher rate than during i 
the depressed second half of 1977. 
However it would be premature to j 
draw any conclusions from this j 
for the year as a whole, which is 
likely to be difficult. 

• comment 

Bunzl suffered a significant 
earnings slump in the second half 1 

of 1977; Pre-tax earnings includ- _■ 

mg those from associate com- ^ 

p anies far the first half were 
approximately £8m while the 
second half figure was £4m. But 
the first quarter of 1978, aided by 
a slightly weaker pound, showed i. 

some signs of an improvement. } 

An increase in demand for ^ 

products and an improvement in J 

the Austrian paper manufactur- 
ing operation, means tbat earn- 
ings are running at a higher rate 
than fn the last months of 1977 ^ j* 
although the outlook remains un- - 
settled. With around 75 per cent -- j’i 
of turnover consistently coming;; 
from overseas operations and e*v U 
ports, Bunzl is affected signiG-5 jj 
cantly ■ by currency par It?;; !' 
changes. In 1977 currency Iran.-?; j 
lation losses totaUedTL^m again& i 
a gain' of £1.4m in the previous 
year. Conditions in the Europe^ 
paper market contributed, to 
Austrian operation’s poor reft 
but there are indications of 
improvement from this sector > - 
1978. The discovery of a £499,00^. 
misappropriation in a subsidiary, 
Filthai Company, and the need to 
make and extraordinary loss pro: 
vision of £322,000 appears to have 
unsettled the shares: The price 
dropped 4p to close at 94p yester- 
day giving a yield of 8.1 per cent 
and a p/e of 42. 


Runciman up to £2.62m 


ON TURNOVER up from £3S.6Sm. 
lo £3$. 65m. pre-tax profit of 
Walter Runciman and Co. for 1977 
rose Trom £2. 51m. to £2.62m. 

At llie halfway stace profit 
advanced from a restated £l.3Sm. 
to £l.!iSm. which included a profit 
or £.<04.000 on sale of a ship. The 
directors then reaffirmed their 
furecav, made at the time of the 
June riehts issue that the full 


year's surplus should exceed the 
1976 figure of £2.5m. 

After ED 19 adjusted tax of 
£ 1.37m. (£t.S4m, j net profit is 
£1.24ni. (£1.17m.) and earnings are 
shown as 17.1p flT.fip) per 25p 
share, on increased capital. A 
final dividend payment of 5.66p 
net takes the total to 8.!6p com- 
pared with a single payment of 
7.42p for 1976. 


t&A Oil Exploration 
^$9 (Holdings) Ltd. 

An independent Bntish-cwncd exploration and production 
company. 


HIGHLIGHTS 


Year ended 3 1st December 


1977 

1976 

Turnover 

£m 

50 

2-5 

Operating prolit 

Exploration expenditure - 

£m 

J-7 

1*5 

Grovs 

£m 

J1 

•8 

Written off 

£ni 

•3 

■1 

Net profit after rax 

£in 

•9 

-7 

Earnings per share 

P 

7-11 

6-39 

Dividend perSliare 

P 

2-107p 

1*887 

Gas sales 

B.C.F. 

131 

13*4 

Crude Oil Production 

'000 bbl 

370 



MAJOR INTERESTS 

In ihe UK ihe group has interests of4-62°„ In (he Heweit Gas 
Field and 8-52 in the Thelmj.Toni Oil Field on Block 16/17 
which i> currently under appraisal: it also has interests in the 
Andrew Oil Field and the Audrey and Ann Gas Fields. U is 
e.vpecied that the Cousland anticline prospect will be drilled 
after grant of a production licence laic in 1978 or early in 
1979. The company's intention is to take part in the Sixth 
Round of Offshore Licence applications. 

In the USA the croup owns and operates a number of mid- 
continent oil and gas production and exploration leases and- 
ihis operation is the foundation for its expansion in North 
America. 

PROSPECTS 

In his report to the annual general meeting of the Company 
on I6ih May 1978. the Chairman. Mr. C. M. Dailey, C.M.G.i 
stated: 

”/ br/i\; *• rfiar there is it significant place in the UK sector for 
jii intermediate shed company such as Oil Exploration 
i Hoidines > Limited concentrating its efforts on limited 
ohjscfiees confined to exploration and production of oil and gas. 
It: ,'lit'yc respects the Company's ultimate potential remains 
sunstamlal.” 

Conies cf the Report and Accounts can be obtained from the 
secretary. Oil Exploration i Holdings! Ltd. Engine House, 
bi Queen Street. Edinburgh. EH5 JNF. 


Garrard & National 

DISCOUNT COMPANY LIMITED 

Statement hy the Chairman , Mr. R. G. Gibbs 

sfc I am pleased to inform _you that group profits for the year ended 
Slh April. I97S. amounted to £5, 70S,000 compared with £3.410.000 in 
the previous year. These profits derived from thecompany £4.603.000 
1 1977: £3. 1 50.000) and from the subsidiary companies- £1.1 05 JHX) 

1 1 977: £260,000). The profit figure has been struck after charging 
taxation and deducting profit attributable to minority shareholders 
and. imhccaseof the Company. -aftcr.a transfer to inner reserves. 

These reserves, after transferring £2.000.000 to General Reser\c. stand 
at a higher figure than ever before. The maximum permitted increase in 
dividend is proposed. Disclosed shareholders’ funds now stand at 
£23. 1 m compared with £ 1 6.7m last year. Shareholders' funds in your ' 
company have increased in each year since Gerrard & Reid Limited 
merged with the National Discount Company Limited in 1969. 
sjc For almost all the first half of our year favourable trading conditions 
gave us many opportunities and as a result your Company achieved the 
highest profit figure for any six-month period in its history. However, 
the second half of our year was decidedly harder going. 

$ The size of our book on 5th April was in excess of £ 1,000m, which is 
now a normal figure roryour Company. However if was wry short in 
length and with heavy maturities in April, well placed fortheristin • 
Minimum Lending Ratetbai took place in the Budget eolith April 
and the further rise on '5th May. : ‘ 

$ Our main Subsidiary,- the Astley & Pearce Group, made good profits ' 
for the year ended 3 1st December. 1977. The coming ycarwiH be a ' • 
demanding one forthem tts they finalise plans to open a new. office in 
Tokyo in the aurarnn. becoming the first foreignbroker .to establish an 
office in.Japan. They also plan to move their London OffiecTrom 
Si, Swithifrs Lane at the beginning of next year. 

At times the Discount Market has been accused of being reticent about-- 
its activities, buthy the course of this year we have sought to increase .. 
further the. understanding of our role in the monetary - System by ' 
producing a detailed guide to our business entitled “The'Lopdon 
Discount Market"; 

sj: Through the submissions .tb-thc Wilson . Committee the London 

Discount Market Association was able to stress the developments that; 
have taken place in.ctur market since the Radcllffe Report in l'959and 
the Select Committee Report tin the Bank. of England m 1970. Previous 
accounts of the Discount Market have dealt tnam/y with the way it has 
reacted to events rather than'tb the positive achievements of the 
- Discount Houscs.London now bai more short-term money. 
instruments tharianv-oiher financial Centre in the world, and to a large*' 
extent rhisisdue toihefostenngrole of the London Discount Market," 


Profit for year* ■; 

Tran si er to General Reserve 
Total cost of dividends 
Ordinary dividends {gross) 
Disclosed Shareholders' Funds 
Total Assets. 


1978 
£000 
5,708 
2.000 
1242 
49.52 ° 
23JJ87 
7234^88 


- 1977. 
£000 
3.410-' 
son 

1.103' 

45.02 

16.657 

801248. 


■'• After taxation and it transfer to inner reserves 


Gerrard & National Discount Company Limited 

32 Lombard Street. London EC3V 9BE. Teh 01 -623 3981 



Chersonese; 

(FJtf.S.) ESTATES LTD. 

RECORD PROFIT 

Tbe Sixty-iSighth Amitial General Meeting ' was held in 
London on Ifftti May 1877. ' 

T. B. BARLCVy. the ^Utainpan, said:—- 

Wet made a record prtiflt of £LJL40,58fi In 1977; compared 
with £743,515 in 1976; due to higher prices of the four crups 
we produce. The final dividend 'qf 2p makes the total /or' the 
year 2.75p <2p) per JOp share,' coating £308.788 <£224^73)^ ' 

/• CAprrAi^ATioN issue , y 

The capitalisation issue of. one. new . XOp -sh&re for ever? 
10p share held on 21st April 1978 hair increased- our issued. - 
capital to £^245,734,'. .■■ ' . • • - - 

The report and accounts and capitalisation resolutions S 
were .unanimously adopted. , - i 


y 


’ \t 


r.m -V 





8 






"IVti 


Financial Times Wednesday May fir 1978'' 

Property sales boost 
Trafalgar to £29m. 


RHM hit by 
bread strike 


' “HiillK 


-■ S 1 ? rar -. p ? Ct 1977 ta» » Tbe intern, dlvi- DUE MAINLY to tit, losses sus- — ... ■ 

• oUm tiimround to a n^rm ^roMM^MM 0 5* 16 Grjit dend Is up from Q.133p to 0-2p net .tained during the national bread _ _ _ __ uerTiuoe 

th^Sjppinc°and lekure h per 25p share on capital increased strike last September, pre-tax BOARD MEETINGS 

*. SSsion. taxable profit of Trafal- inPdivKi dSiSi “ffn S.“ t 'T-%F'°2 e f rip is «V?- jP Lasl of *«*»«* «*«»*« ki„ nonfw, 

m , r House ro.se from £2LQLm to a e*i m j settled down on year a 0.533 p final was paid from fell from £20.88 m to £la.99in for dates or goaid an-cua^s io ihr Sio.-t 

> fnfsom in the March ai 107s 3 S0Un ^ ^asis offers good record profits of Xl.llm. the half year to March 4, 197K. Eidiuc. such. towuas* usually 

Sir veal- Turmver i ‘umSd pros P« cts ° f ^lug a worthwhile The reduction was further hcW Tor the purpose or eM.-rhu do.- 

iTiLVfMOm e JUmp6d contributor to group earnings. , • aggravated by the continuing fMfr. JSSglHSf" ^ ******* 

£140m to £390m. Earnings per 20p share arc adverse conditions in the bread Jr " 

■ at liSp I a - 4 P» wd the PrOIlt UD industry in the UK and by aJ^mSw ™ iSSd^iJ* 

. mao. says that m the second half jnterun dividend is ahead from generall unsatisfactory trading year’s iimeubk. 137 

;. there vnH be a return to. reason' 2.54p t0 2.83p, Last year," on ^ AAA conditions In the Republic of Ire- to-pav 

■■ ELXfoSi JSS ^SESn-S dlSdend of wa^ a 262p ** 1312,000 S2 STS £S&Z?J!*£& 

1 wnSni mix of eamSg? from w£n IrArr of- 1>\7T “Sspite the world trading re- aS^^^oSff'imSSkm^S?. 

, : normal trading. mo mo. l a 1 w ■ cession profits from other over- bupon. John fqu.cs Hero.; ftamretia 

while the property division was 4®”J WPr asa.om ESo.ttfl . seas countries increased overall Loudon and udum iavesnn«u Trusi. 

boosted more than £15m by the J?** 1 Cl’S ^-2! ^ CONFIDENCE expressed by and there were also increased T P* t - J \ »■. MchoDs tVimto.. 

sale of , two properties in the nSKcr i&wZ sj£ 3J« Rectors of 1 Bntfth Vending contributions from the grocery SSShJ 1 ‘JSSriS* m£mL UB- " 1 

. period, unproved conditions plus Conanictioa saso t.qs* industries at rite, interim stage companies and from Wessex &a ** D * enn * future djJtbs"*- 

an increased volume of develop- ««s«*nv* leisure loss I .Ms -9.517 proved to be weH founded and Finance Corporation. The results MwWi 

• ment work for resale are likely ,„v3!5?*- p ‘ fcfisWn * ■ fw pre-tax profits for 1977 ■turned in 0 f the other main trading activi- B «rtnrtak (Tboousi Mb* 2a 

to yield an appreciably higher £5***^' « ' Amo aii* some £313.000 higher at £721,066. ties were not materially different. ~ S" 55 

income throughout the for^ee- t^T 7^ At midway when reporthg an An increase in interest charges SSfaT™ STcUs* 2 

able future than in recenr years. To minorities 4.- 380 M3 advance from .£138,000 to £352,000 from £5.5tn to £6-53m reflects the Finals 7 

On the construction side, the wkwOe hnsT » is the directors said Ubat margins I higher borrowing levels during Amaisamaied Meiai May 22 

us. Coal miners’ strike brought A . ^ ■ ••• ■:■■ ***“ J;-**? bad been maintained and the com- 1 the period. Be*etaam May ss 


Half rear 
1977-78 197V 77 


Profit up 
£312,000 
atBVI 


Us. coal miners’ strike brought A ?RSl Mt * E^n-aQmi'naryi^* n'o'aw bad becn mail i ta ] ned ^ «T‘ 
work in the eastern states to a .niirTrknrfePfrM P®W -was founded to make 

^-irual halt for nearly four months racor brnperupK nil r£22.0Mt and Prefer- further progress, 
and reduced anticipated North eMe 4*vid«ml mmoo isamei. Tax for the 12 moirtbs took 


Profits for the full year were tSSuSKSLi — ** w “ 

ISPSSSSlI 0 ^*^ t0 ^. e ow ? n JSSSTUTT^..:.:::: ” :: ill it 


American profits by more than 
Dm. 

The U.S. longshoremen’s strike 
affected scheduling and voyage 
comptetiotw throughout the half 
year and cost an estimated £lm 
in lost or deferred profits. 

Also the rise in the value or 
' sterling against the dollar reduced 
profits by some £2m. 

Trafalgar House is sensitive to 


See Lex 


Hambros Ihv. 
earns and 
pays more 


Tax for the 12 coonUbs took of 1976-77 but they will now be 
£399,200 (£233.058) leaving tbe .net lower says Mr. Rank. > 

balance at £321,866 (£178.3781. The recently announced which manufactures and' supplies 
Agaid there is no final dividend, acquisition of tbe Spillers bread and associated^ products, 
leaving the interim payment of bakeries will not show any On February 28. 1978. it bought 
D.5i.t$p net to stand against last material benefits until the next f° r some £410,000. 36,800 shares 
year's 0.460102ap. Earning 5 per financial year, when the directors of Socidr£ Boulangerie des 
lOp share <are given at 3 81o will expect to see a significant Yvelines of Trappes, Paris . which 
|2.03pi. improvement. also manufactures and supplies 

Mr. J. T. Syrad. chairman stales First-half earnings are shown bread and associated products, 
that as a result of the acquisitions *° *»® d®’*’ 11 frora 3A P to 3 - 7 P P«‘ r T 11 * »«pdsition increases the 
in 1977 the »tdu» is in a strong 2®P <d “ re - The interim dividend investment in the company from 
aoSUn to umre^e iVJwn ,s J - 452 P * l-32p > net. Last year's 75 per cent to 96 per cent. 

final was iJWBp. _ .The group yesterday accepted 


■ ...... — — —and Trading. Provided tbe offer 

is declared or becomes uncondi- 
tional, the group will receive 
1 .OnCtrTllTlf* 1.176.000 ord shares and £940,800 
VUULWUUU/ of 12 per cent conv unsecured 

j ■* loan stock 1990 of Linfood Hold- 

D y ings together with £705,600 in 

a mm mm mm a a a It is the present intention to 

-A> ^ / W J ft! U I retain for the moment any shares 

oU+J / vfal/UU and stock required pursuant to 

'TOAnnur mvnmnMC rnr a 7i 1,16 offer - 'V'heatsheaf w-as a 
TOADDVG CONDITIONS for all wholly owned subsidiary until 


subsidiaries 


.. 2 1 1988 and the shares now* being 
9rT disposed of represent the balance 


^Trafalgar House is sensiUve to % toil 4Mdend of 225p net per * «» the group is in a strong Bp*g*.J* SSl'lJSISS nttSt ' M *? iSr^ren? ^ 
- ■ the Stertmg-dollar rate because 25 ? s ^Vaf Hambros Investment posltwn to mcre^se its .own active Lai S: IflSS T?e "?up y«terday accented 

?«eh of its earnings are dolJar compared with 1.85p lifts Oes u> the vendmg and d7^>osab1e The ^ouVa&juj red on January In respert of^ts hddlnls Iff 
.. denominated and its costs are m. the total for the year to March 31, and paperware fields. 17 197s f 0 P r S £4850 m3 1 568 (KM ord shares the offer 

" rierJing he says. This particularly 1978, from 325p to 375p. Further acquisdions are being g 0 ’ of Se SSff 0 ?Le frSn UnfoSd HoSngs for the 

Wlies to the shipping and leisure The directors also announce m mtmUM and paiT Moderne of Nice, Franck capital of MTieatsheaf D^tribution 

divuions. revenue of £l.<3m (£1.49m) for improve ihe groups position in I artf i Trading, prorided the offer 

The recent strengthening of the period, subject to a tax charge these markets. ^ declared^or becomes uncondi- 

the dollar will provide relief from of £0.6Gm (£0.5Sm). He points out that the first half t • tional the group will receive 

"./■some of the temporary pressure Stated earnings are up from of the current year will not be as I ftllOAIltriP 1 176 000 ord share* and Bun son 

- - the group has suffered in recent 3-26p to 3.85p per share and net profitable as the fir* half 0 i 1977. V/UULCUUlt of I2^ren t Von v u ntecured 

• months, asset value, with .prior charges The principal reasons for this . -m loan stock 1990 of Linfood Hold- 

He says “things within Trafalgar deducted at nominal value, is are pressures on margin* from pilf hri ings together with £705600 in 

'-’s - are going quite reasonably welt'’ shown as 122.6p <107.5p) and falling, world commodity prices vUi Ry j M g h 

; - 1 : l and that the construction order l32.6p (119.5p). at market value. and the exceptionally hissh charges A __ _ „ » It ’is the present intention to 

1 i^.beofc continues to grow’. involved in the integration of <the JL W | II li I retain for the moment any shares 

On cargo shipping. the . 11un TNVtCTnDC businesses acquired. It should be dLJ / JaUlAf and stock required pursuant to' 

.^container consortia are the only LAllJL/ UT rxa i UllJ noted that the incidence of these the offer. 'Vl’heatsheaf tvas a 

“..-areas where appreciable profits nrryfye o 1u ca rji-p charges is now at an end. THADUVu . CUNDiTiUNb _ for a 0 wholly owned subsidiary until 1 

■ ;~.are likely in the foreseeable ■* "a J Z. 11 YI 31/ TAJv Q n a more positive note, how- ™?3° r subsidiaries of jggg and the shares non' being I 

v. J future. The sroup has sold seven Taxable profit of Land Investors ever, sales are running at signi- < -* , ® cen evetl . mo r e Jrr^‘ disposed of represent the balance 

• ..‘ships recently and reasonable climbed from £851,000 to ficaotfy higher levels (than last .J* t0 u j™ of the holding following the sale 

«» >* «"»( *» 0“ «.»MC0 w <k. S.pttmb« 28. y «r. it ^”»SSii3 ‘"sT foT'^rn, 

* 4 m increase for C. E. Heath asssst^^'-^.^gSfta 

Sales were up 7 per cent to manufacturing Interests in 

; , PRE-TAX PROFIT of C- E- Heath acquisition is still audited, but H not been woridng in the group’s terms, but^ volume of outpS°w2 Ar8 * nti “* Hair rear 

. .. lad Company, insurance broker this is received before the end favour. Meanwhile the expense down. * wttvs T ivA~ 

jnd underwriter, ended tbe March of June. Heath would expert to ratio has been contained, white Mnf th _ ju.,.,,,;., moo rooo 

• ,IL 1878. year 30.3 per cent ahead bring In about six months of pro- an £800.000 increase in the *>.„ ® ToMl SAie * — M ott 059,000 

• ‘Ira £l!27m to a record £I4.68m: fits from the operation in the cur- Australian underwriting opera- W jw^e P effert nationlllv of^rcS KST'Lfci 

• ’ Of the operating profit of rent year. tions contributed to the overaU ^ °£Jf£ 52S! , 2S? “S’S® 

-|14^m (£1L4 5m) 'underwriting For the group as a whole Mr. improvement, along wiflt the very constraints which led Ra&on«u**uon com* ■ 255 i.i» 

^mnttbuwd £4.6m (S a7m) and Holland is quite optimistic for a ^®rth American market where its to industrial problems from which £* WPCl * ton — J-C® 7.iw 

; broking £9 .45m (^.4Sm ). reasonable growth in' profits this properly, casualty and transport the company could not he isolated 6 'f5 51 

• ** Directors say the 26.3 per cent year accounts contributed to over half th? «niain 1SQIaIea - i£ 

’ ** Increase In net profits from 3 isrs-77 the total improvement in d ^5 tors . .... £22 is.« 

broking operations was highly 8>oo fnoo brokerage income. The only dull The signs are that there will be Sw0 J0g73 

• ’- eoaunendable in conditions which BmWnjr 9.4« -tats spo t is the South African opera- ? n „ im ?r? ve m® nt In the second „- Pf r^s5 Am 

r hire become more challenging. “JWgJ, inVi^nV ^ ^lm rion which is just at break even. J* 11 ; althougbnoOunglike suffi- ext r»onL»etiii* -is? taw 

On the underwriting side there ’ ^ For the current year, though fi edt 10 enabl * ^ ff rouDd lo « IV, 

- were further good results from uitf^niin* " 4.599 a.sar brokerage growth is showing ^ jn b ® reco f "^^ e H ° ™ i" JSAmaUt — ...i-'IZ T.tbs tjT? 

Australia. Fees, overriding cow- . signs of slowing down. Heath will ? u ^ ry forecasts. Indicate a ^ nebiix 

■ - A Lloyd's Marine SjTuticate has nusaions ....... 2-J?< »2 «t be supported by the first time further recoveryin 197S-79, the See Ler 

also been formed under its agency i «a ilai lslx month) contribution from directors add. Profit lor 1976-77 — — ■ - 

ta commence underwriting for the ” i tm h«»5 Croupe S prinks, and tbe favour- vv ‘ as a record £2.4jol j _ 


,asv liroking operations was highly 

’ 1 - enminen dable in conditions which BmWnjr .. 

F 'tore become more challenging. Pfj*^**^ r—- ■ - 
On the underwriting side there “**■” " 

-’wore further good results from underwntiiis 
Australia. Fees, overriding coro- 

- A Lloyd's Marine Sjuidicate has missions 

also been formed under its agency 
to mmmence underwriting for the a*wSk^«p*«S 5^ ” 


30255 XI. 737 

255 2.19S 

8.S50 7. US 

6JS1 5,498 

3*7 142 

870 790 

15AB 20JT* 

S.700 30.S75 

7AS5 U.ttI 


. ._ . Oilier opcraunc- income ' p» 409 able movements of interest rates In spite of the disappointing 


1973 account. _ . Giber operating, income 762- 

The result is subject to tax of operauns pwfii ujot 

£6.7Sm (£5. 07m) and earnings per inierrsi ss 

29p .share are shouTi at 27.5p com- : 

: pared with 2L9p previously. . .ZZ" *$ 


\\ 1 1 MIIB 


To minonilc* 

-10 

J48 

Snraonbnary loss ... 

— > 

JM 

AvaOabU’ . - 

' 7g« 

5.7M 

Plrideods 

' 1.491 

I.«S 

Roiatafrd 

S.S40 

4.S21 

•lnchidins- prior-year 

adJustmeoL 



for the two-for-one scrip issue. p mtllHl “ sistt ua 

Further expansion in France -lnchaUnc prior-year adjustment 

could soon be announced by the 

Voup Mr. Frank Holland, tbe — 

chairman, who recently announced 9 uummciu 

Plans to take an 80 per cent stake Full-year results from insurance 

in underwriting agency Groupe broker C. E. Heath were a little 


M.454 ana - -currencies. At 275p, the half year they say they have con- 
■.** shares stand on a p/e of 9 J, and fidence in the future and have 
,, ^ -yield 2J7 -per cent They are not decided to raise the interim divi- 
5Ms likely to outperform the sector, dend from 0-85p to lp net per lOp 

148 Share, costing £189,059 (£160,705), 

jm •. , and expect to pay a maximum 

?'SSt MlflDODV r*l CP permitted total. Last time the 

Jjg rtllundj UM: final was 1^458 p. 

{a P A nnln Profit for the half year was 

iUF / \H kIU struck after depreciation of 

0 ... | x £238.000 <£20L000). Tax, which 

Scottish Inv amounted to £105,000 (£115,0001 

ance OwIIUjII AUY * t excluded any deferred tax not 
little Gross revenue of Anglo Scottish payable in the foreseeable future. 




fsi; 

8 jL 


Sprinks S-A.. said yesterday: “I better than expected. Adverse Investment Trust _ rose from ani j comparative figures have 
think you will see another move tn currency movements, due to a £651,770 to £680. 12a and pre-tax been adjusted, 
that area in the not too distant strengthening pound, did not hit revenue, for the half year to Capital spending during the 
future." The takeover candidate the group as hard as was perhaps KiarensL 1978, was up ®y £3b.47S ^ months totalled £434,000 
was "much more modest" than originally anticipated, knocking to «3Z£33. (£471,000). 

Sprinks and was involved in some £840,000 off last >’® ar ' s rJ-Lw, The company's interests include 
broking, he said. profits. Heath has also been iirtersm tfvMend is 0-H» (Mlfep) the 

He sees Sprinks as "a spring- helped by a better organisation of “? 1 **[ . -£ p . J solenoid valves, thennoStatic 
board into Europe" und views its cash flows (requiring diems to mfeml Itje control^ control systems, water 

Burope as one of the .growth areas pay as premiums due. rather to**? 1 le * st ^ mawtoined at the and 0 J puin p S %n d pressing 
for the future. He said the group than financing overdue premiums nt« of OfiKSp Net asset p S 

would be interested in expansion out of its own resources). As a value at tie half year is shown 
In Germany where it is currently result, broking Investment income as (60p). 

not very strong. has climbed 37 per cent to £l^Hn Ta* look H60J270 (05ij,4) rp j y 

Filial approval for the Sprinks even though interest rates hare leaving net revenue of I272.a63 1 OlHiy S 

company 
meetings 

Barton and Sons, Sutton 
Coldfield, 12.30. Brittains. Stoke 
on Trent, 3. Christies Interna- 
tional, 8, Xing Street, S.W, 3. 
Dora da. Hotel Inter-Continental, 
W, 12.30. Edwards (Louis C.), 
Manchester, 1L Electrical and 
Industrial Investment, Stratton 
House, W, A Gaskeli (Bacup), 
Blackburn, 12. Jones (A. A.) and 
Shipman, South Leicester. 2.15. 
Legal and General Assurance 
Society, 11, Queen Victoria Street, 
E-C, 2^0. London and 
Manchester Assurance, Skinners' 
Hall. E.C, 12. Metal Closures, Inn 
on the Park, W, 12. Rockware, 
Winchester House, E.C, 3. Sharna 
Ware, Manchester, 12.30. Slough 
Estates, Savoy Hotel, W.C. 2J0. 
Stag Furniture, Nottingham, 12. 
Unilever. 14-20, SL Mary Axe, 
E.C, II. Wilmot Breeden, 
Birmingham, 12. 

48 companies 
wound up 

Orders for the compulsory 
winding up of 48 companies have 
been made by Air. Justice Oliver 
in the High Court. They were: 

Grand roots. Imbuing, David 
Wolmark, S. S. Heer and Sons, 
Panarama Contract Builders, 
Malcolm Barry Construction Com- 
pany. Morstone Builders 
(Southern), A. B. Tigg and Co^ 
Arlu (Fashion Specialists). Ken- 
roy Demolition Contractors. 

MDlglen Finance. Standard 
Metal Products (.Rhondda), Yar- 
glen, Birchall Engineering, 
Equality Trading Co., Cannon- 
quest, Kojak Leather Fashions 
George Street Garage, Glyn Pro- 
perty investments, J. and P. 
Ho worth, S mi them cote. Subsume. 
Tollvale Developments, Vale 
Transport. Gordon Page Roofing, 
Contractors, Maroth Steels. 
L. Merrill and Son, T. and M 
Builders and Decorators (Eltiiam). 
Bayswater Motors, Dudbrook 
Cleaning Company, Channel 
Water Sports, Spur Advertising. 

Ralesdon, D. H. C. Millar, Millar 
Swallow and Co., W. T. Fennell 
and Co., Fairvale Transport 
Marathon Express Haulage. Zako 
Shipbrokers Company. Kriti Ship- 
ping and Tourist Agency. 

Trent and Thames Roofing 
Company, Pennock Haste and 
Howartfa, Ken Smythe Transport 
Services, Julie Alan, Anthony 
Purser Associates. Seaworld 
D. YFiUats (Forwarding) and West 
End Showroom Centre. 




;; 




: 


■ 


APOLL 



Edited by Denys Sutton 

THE WORLD’S LEADING 
MAGAZINE OF ARTS AND ANTIQUES 

Published monthly price £2.00 Annual Subscription G5.00 (inland) 

Overseas subscription £28.00 USA & Canada Air Assisted S56 

Apollo Magazine. Bracken House, 10, Cannon Street, London. EC4P 4BY. Tel: 01-248 8000 


For ‘The Comploto Piclure.'a bi-tjchura 
dost :rih'mg all our property sonicus, 
n ote to - (,'. N.G. Anting A.R1C.S. 
Richard Ellis, 64 Cornhill, 
London EC3V3PS. Tel: 01-283 3090 


Chrirn'Ted Stirvvvors 




26 



C. E. Heath & Co. Limited 

OTTEEJSIATIONAL INSURANCE BROKERS REINSURANCE BROKERS 
AND TJNEEESraUlING AGENTS 

Preliminary Results for the Year Ending 31st March, 1978 


Broking 

Brokerage 

Investment Income 

Expenses 

Underwriting 

Fees and overriding commissions 

Underwriting profits 

Investment income 

Agency expenses net of recoveries 


Year to 31 Mar 78 
£000 £000 

18,508 
1,607 
(10,669) 


Year to 31 Mar 77 
£000 £000 


9,446 


2,494 

1,864 

1,944 

(1,703) 


14,934 

1,169 

(8,625) 


3,367 

571 

1.234 

(1,605) 


7,478 




4,599 

3.Ff!7 

Other operating income 

■ as 

782 

409 

Operating Profit 


14,827 

• 11,454 

Interest paid 


(285! 

(286) 

Other income and expenditure 

-•- 

139 

103 

Profits before taxation, minority Interests 

and 


“ 

extraordinary item 

m •« 

14,681 

‘11,271 

Taxation (including prior year adjustment) 

• •a 

(6,730] 

(5,065) 

Minority interests 

■ ■ a 

(10) 

■(148) 

Profits before extraordinary item 

a • a 

7,941 

6,058 

Extraordinary item 


— 

(294) 

N et profit available for appropriation 

a * a 

7,941 

5,764 

Dividend paid and proposed 

... 

(1,401) 

(1,243) 

Retained earnings carried to general reserve 

• ■« 

6,540 

4,521 

Earnings per share 

• mm 

27.5p 

21.9p 


The increase in profits before taxation of 30.3 per cent represents a very satisfactory resuit for the year. 
Our Broking operations reported a 26.3 per cent growth in net profit, which is highly commendable in 
conditions which are becoming more challenging. On the Underwriting side there have been further good 
results from Australia and an important new development is the formation of a Lloyd's Marine Syndicate under 
our Agency to commence underwriting for the 1979 account. 

The Board recommends a final dividend which together with the associated tax credit will amount to 
5.11 Bp per share on the present issued and fully paid share capital. With the interim dividend paid in January 
this will make a total distribution for the year equivalent to a gross dividend of 7.31 8p per share (1976/77 — 
6.667p adjusted for the capitalisation issue). 

it is expected that the full published Report and Accounts will be posted to Shareholders, on 12th June, 
1978 together with the notice of the Annual General Meeting which will be held on 5th July, 1978. Subject to 
approval at that meeting, the final dividend will be paid on 6th July, 1978 to Shareholders on the register at 
the close of business on 6th June, 1978. 

May 1 6th 1 978. F. R. D. HOLLAND, Chairman 

Copies of the full accounts will be obtainable on 13th June, 1978 from the Secretary, C. E Heath & Co. Limited, Cuthbert 
Heath House, 151/154 Minories, London EC3N 1NR. Telephone 01-488 2488. 



Preliminary Results 


il Shaw Savill Line 



Furness Withy Group 

In the worst shipping depression 
for40years 

Profit again exceeds 
£20 million. 


Q Prince Line 



- 

1977 

1976 

Turnover 

£184-6m 

£1 68-4m 

Profit before tax and 
extraordinary items 

£20-7m 

£22-6m 

Earnings per 
£1 ordinary stock 

46/6p 

55-67p 

Dividends per 
£1 ordinary stock 

8-171 p 

7-382p 



Manchester Liners 


© Furness Withy Group 

One of the big names In British Shipping 
^Furness Wilhy & Co Ltd, 105 Fenchurch Street, London EC3M 5HH 


Financial Times Wednesday May 17-197* - 

Coats Patons ahead but 
warns on current year Sk® 

* j:. ini-pcfinMt income how* Robey and Co. lifted the full year 
AFTER AN exchange loss of Directors m ' that as the most £ ^^from xojSm . to 
some 114m., taxable profit of depressed markets ihe profit* from i he invest- 

Coats Patons ended 1977 up its largest and most profijabk; j n p William Prym-Werke stage directors “ .^, n- 

8.9 per cent from £76.43m. 10 a division. 19.8 -profits could bo j or a large part of the lurtiln Profits from fiJWM »o 

peak £S3i3m., on tnmover 4 per significantly down. increase £184^69 but said that resuhs for 

cent higher at £639^3m. -But capit^expenduurcviU ron- mere waBfallona yloM(fd the year should not be materially 

Directors say trading conditions tinue at a high level m 0 ™*“! n iism nrolit reflect- different to l 9 .* 01 . 

improved in the CK. Utin areas a nd expenditure and Stated earning per 

America and the Far East. mod emotion will remain ■» Hisoosal of an ‘ 3 - 9|> a . 

whereas in Western Europe and priority. The development of new ^ dend of 1.33P tUp) lifts the 

North America, markets were products and activities is being machui ^ total for the year to l.Sop (Up) 

SWi « ^ e ^"k S SS S ^Turnover f or ,«T . 

„~-g ~g fjg SS "^ ^ SUSS 

cenL increase in prices offset by imii 10 .ru As well as the trading exchange . taJ£ I2-H.510 (£21& 1 443f. 

a 1.4 per cenL volume drop and Sffi".”."::::™-: 7.12; lojses. £1 7 64m has been written was M extraordinary debit 

a £7L9Sm. exchange loss. Exports Goodwill written atr si ^ m 0 ff reserves in respect of losses . JL wri od ^ £46,917- (nil). 

were £59J96m (£51.59m). At half- wdner — ea on net current assets. The rise r^ebrend is a builders 1 and 

time profit was £ 9 m higher at in««lnia sold ias 112 in extraordinary losses from *i m her m crchanting croup of 

£40.91m. fSSSTm toSTSw Iisd. i*t ua £0.63m to £1 57m arose .from. good- * p 01 

The textile group has got off prone before tax **-25 written off In a UK subsidiary P 

to a poor start in 197S. and Taxr - JJ'-ki 5?!n» liquidated in the year. ^ , 

directors say indications are that sra'ms". '«* -M The annual cash flow was f ,ac CO I PC 

results could be significantly *SrwrtUei filhM £67.D3ra (£fifiJ2Sml and additional vJ«3 jiMVJ 

below last year's levels. Esiraordmarr losses i.otb co working capital required because * 

Trading conditions in Europe in Prefannw _^p „g of inflation was £34.25m DV UU 

the first quarter were not HOOd Ord. dl«. pa.d and P np. 9.^ ^ capi£a j invw(nionti , n - • . 

with Italy and Spam particularly R /J^ias provision at sc per it-m. is eluding acquisitions, was I2tf.41m YDlfirS llOTl 
depressed. There is no immediate ,r 6 .im.i aficr dtr of tirjMm. and owing to di ,t * xjAJJIvt cX-Llvru 

prospect of improvement. «rn.07m.*. Mami no >UMn.u appointing sales, quantitative in- The directors of OU Explore- 

In North America margins of l, l s £ l M 3 m p ^ a nS ^ve k5 ventories rose by £lS.07m. against t \ on (Holdings) say that sides of 

home sewings remain poor, and £•«£> ^ n „ icn UJ coi rruRm fall last veur. Af**r sas from tbr Hrwctt Field for 



to be difficult. f "“fn 1977 the Lrading profit after feav'iriF the" debt-equity ratio un- suited in' income for the period 

an? SMML’K. rwrs ‘ h ra- 4 i&2rs^ - ‘st&'S'st. 


second 

Mulfi Fibre Agreement negoua- 
tions. , 

in hand knittings there Is 
evidence of a swing in customer 
preference towards yarns carry- 
ing lower margins. Garment sales, 
with Lhe exception o ^children's 
wear, are ahead of 19 m 


to £7. 13m. — a result of increased 2£M54p to 3. 2575 p. and if the maintained despite tbe tower 
borrowings and the use or part standard rate of tax w reduced volumes of gas forecast to be de- 
of the 1976 surplus funds to to 33 per cent a supplementary Uvercd. 

finance capital Investment— payment or Q.rwlTp will be majle In Ihe UK sector drilling con- 
reduced this advantage. with next year's interim dividend, finues on the north of Hewett 

.^ojrjte comply Earning per d-re were Mp devrjopmeMve^on to C ™ 

from £2m, to £0.fi4m- entirely (13.9pi. ^ Lcx 


owing to -poor trading conditions 


Furness Withy second half fall 

a SETBACK m the second halt only came into service towards 17 to - 
taxable earnings from £L1.23m. to the end of the year. The Oregis is total. 

g*s, Si/SE'aJSS & z;J*'Zss b Jt\tt e rS a 7° ■ETSK'bS 21/StlS 

f22.61m. to £20.T2m. on turnover profitable tradhts in 1979. sale »' ^e./“™“ Bridge, and 

In addition the switch of the \ kM bfi ^ more llne with 


which should be completed in 
about one month. Operations are 
continuing on well lft/17-G. an 
appraisal well for the Toni/ 
Thelma Oil Field. An announce- 
ment of the results is not expected 
to be mode before mid July. 

Bates Oil Corporation has an 
active exploration programme, 

to 20 per cent of the trading t * lcy a< ^- 


up £I6im. at £lS4.6m. _ 

The directors warned at half- New Zealand trede to OCL JumuJ realised in 1976. But 

time, when the surplus was both a dislocation to services and asit j e f rom this Furness Withy will 
£l.S5m. ahead, that, with the relocation of ships. k e d 0 i n f. very well to come within 


Goodkind 
back in 
the black 


Adjusting for the fact that the .^rikln^disunc^ fo the 1977 per- Imnrowm^n^i'n 

17R fimires included a credit of f r , m , nn co fin a as n»-r ivnr i.tv ni P no . r a H« ?_ n improiomenr in 


shipping industry in such a 

depressed state, the company 3976 figures included a credit of f ornianC e. On a 35 per cent tax w n «d Simk 

would do well to match the pre- more than S1.2m compensation chanre the shares now trade on and^isrnS 

vious vear’s performance. for the cancellation of a charter a p c, of 55 at 272p. fur * n, unufadurer and disrnnu 

The "full-time result benefited by Si SVLS!* JSL.™S *2Z 


£ 3 S. ,l SS.) irom 1 1he“»Te o'f ^ ™ ^ 

ships and £3.75m. (£4J9m.) from 18 P er " nt - 

investments. Around two-thirds of the profits 

Earnings per £1 share are shown from the sales of ships last year 
at 46 76p (55.67p) and the net total was accounted for by ihe disposal 
dividend is stepped up to a maxi- of bulk carrier Furness Bridge, 
mum permitted S.171p (7582p) This year the group is already 
with a second interim of 4.G71p. planning to sell or trade a num- 
The directors say that if the tax ber of old refrigerated ships but 

rate is reduced, a final dividend the total on disposals during 197S . 

to make the maximum total per- will probably be back nearer to Co. finished the year to December is no dividend. The last payment 
milted will be paid. the 1976 figure of just over Xl.lm. 23. 1977 up from £259.331 tn was U.409p not for 1973. 

Extraordinary profits this time Mr. Shaw- commented that the g“L75-i a second haif 

of £1 06m (losses £3.96ra) included company s trading operations are Increase or 13 j. 508 to XL.4.679. 

. - — • a-r-i. rr « — . nnur running ftHfly StMdlly 111 if**- •.« knlfL,... 


tar. turned round from a loss or 
£35,100 to a pre-tax profit of 
£19.764 in 1977. 

The property subsidiary, which 
incurred a deficit of £25.521 
(£28,386) for the 12 months, has 
now repaid all outside mortgages 
and losses shoo Id cease by the 
end of the current year, say the 
directors. 

Tax amounted to £>,582 enm- 
Pre-tax profits of P. Panto and pared with £2.S$3 amt again there 


Panto ahead 
£42,224 
to £301,755 


3 surplus of £2 .24m (deficit £5. 7m) now running 


Profit was ahead at halfway 


on revaluation of currency loans spite of the difficult conditions from £169^60 to £174.076 and the 

— ...ul r fnr I^hinninrr ripnprallv rl t rnatnrc nntipln-afafl f hot tho 


Shires Inv. 


together with profits. less losses, for shipping generally, 
realised during the year and a 
non-trading exchange loss of a romment 
£803.000 (gain £877,000) on con- • comment 
version of fixed assets and loans Leaving aside ship 
in the accounts of overseas sub- Furness Withy's pre-tax 


directors anticipated that the 
second half would be better than 
the previous year and that figures 
for the full year should show- 
sales, small improvement. __ _ 

profits Turnover for the year was up improvement at £333,718. 


improves 

For the year to March 31. l»7jt 
a pre-tax profits of Shires Invest- 
ment Company show a £33.220 

TIUS 


sidiaries. are roughly £3m lower than last from £2Mam. to E4.2rn. figure includes profit on realis.i- 

Mr. Brian Shaw, the managmg year and probably on tbe lower After tax of £161,499 (£140fib9) < ion of investments by 4he dealing 
director, later listed three main side of most expectations. The earnings are shown as 3.92p subsidiary of £22313 compared 
reason for the shortfall in profits- principal factors here are the l3.31p>. per 10p share and the w ith 124^82. 

On the North Atlantic trades he transfer or the New Zealand busi- dividend is maintained at 1.54 p fax took £114.303 against 

said Manchester Liners had been ness to OCL, tough competition in net with an_ unchanged final pay- £ 104,973 for stated earnings of 

hit by the impact of a rate war the North Atlantic and losses ment of 0.* «p. g-j,p t 7 j 5 P ) pt . r sop share. A 

while the group also faced the from “Oregis.** the North Sea . Th°re was an extraordinaiy ^cond interim dividend of 5.464p 
adverse effects of changes in the diving support vessel which is deblt of "lj.. p€r,0 2 net. lifting the year's total from 

dollar exchange rates. now laid up. Some balance came 5£? , l n *. t credit and 73 g p (0 s.464p. has already been 

Within the Houlder Offshore from the group's non-shipping £84.41 j (£S<,783) was retained, paid. 
dhrision the Oregis North Sea sup- activities, representing 15 per Panto is a wholesale distributor ATtcr deducting prior charges at 
port vessel traded at a loss while cent of turnover where the profit of tobacco, confectionery, par the net asset value per share 
the new support vessel Uncle John contribution has increased from groceries, etc. was 147 .B4p il2o.92p). 


NOTICE OF ISSUE ABRIDGED PARTICULARS 

Application has been made to the Council of The Slock Exchange for the undermentioned Slock to be admitted to the Official List, 

Essex Water Company 

(Incorporated in England on 11th July, 1861 by the South Essex Waterworks Act, 1861, the name of the Company 
being changed on 1st July, 1970 by the Essex Wafer Order 1970.) 

OFFER FOR SALE BY TENDER OF 

£ 5 , 500,000 

7 par cent Redeemable Preference Stock, *1983 

(This Stock will mature for redemption at par on 30th June, 1983) 

Minimum Price of Issue £97.50 per £100 Stock 

yielding at this price, together with the associated tax credit at the rate provided for In the current 

Finance Bill as amended, £10.71 per cent« 

This Stock is an investment authorised by Section 1 of the Trustee Investments Act, 1961 and bv 
paragraph 10 (as amended in its application to the Company) of Part II of the First Schedule thereto. 
Under that paragraph, the minimum rate of dividend on the Ordinary Capital of the Company was 4 per 
cent, put, by the Trustee Investments (Water Companies) Order, 1973, such rate was reduced to 2.5 per 
cent in relation to dividends paid during any year after 1972. 

The preferential dividends on this stock will be at the rate of 7 per cent per annum and no tax will 
be deducted therefrom. Under the imputation tax system, the associated tax credit at the rate of advance 
corporation tax provided for in the current Finance Bill as amended (33/67ths of the distribution) is eaual 
to a rate of 3 30/67ths per cent per annum. 

Tenders for the Stock must be made on the Form of Tender supplied with the Prospectus. A deposit 
of £10 per £100 nominal amount of Stock applied for must accompany each Tender, which must be sent 
to Deioitte, Haskins & Sells, New Issues Department, PO Box 207, 128 Queen Victoria Street, London EC4P 
4JX, in a sealed envelope marked “Tender for Essex Water Stock” so as to be received not later thanll a m. 
on Tuesday, 23rd May, 1978 being “the time of the opening of the subscription lists,” and before which no 
allotment will be made. The balance of the purchase money will be payable on or before 29th Jime, 1978. 
Tenders must be for a minimum of £100 Stock applied for and above that In multiples of £100. A separate 
remittance must accompany each Tender, and Tenders at different prices must foe made on separate forms. 

STATUTORY AND GENERAL INFORMATION 

. The Company, then named South Essex Waterworks Company, was incorporated by Special Act of 
Parliament in 1861 and under this and subsequent Acts and Orders now supplies water in an area of 
approximately 594 square miles including the London Boroughs of Barking, Havering and Redbridqe (part) 
and the administrative areas of the District Councils of Basildon, Braintree (part), Brentwood (part) Castle 
Pointy Chelmsford, Maiden, Rochford, Southend-on-Sea and Thurrock. The estimated population directlv 
suppiied is 1,336,000 persons. The length of the Company's trunk and distribution mains is approximately 
3,331 miles, supplying consumers under approximately 517,000 domestic and 12,000 metered assessments 
w ^ , 0 j average, some 75.7 million gallons of water daily. In addition, supplies of water are at oresent 
afforded in bulk to the Anglian Water Authority and the Lee Valley Water Company. P 

_ Th ® pr ®*® r ? t touete being made to provide funds to redeem £250,000 of 6 per cent Redeemable 
Debenture Strck, 1977/78 on the 20th December, 1978 and £850,000 of 3.15 per cent(formeriy 44 percent) 
Redeemable Preference Stock, 1973/78 on the 31st December. 1978 and towards theSnl STcSEH 
expenditure incurred or to be incurred on modernising and extending existing works and on 9 malns and 
other works necessary forthe maintenance and improvement of supplies in the Company’s area* 

may ° n ““ °* ' Hl ' ieh a ‘° ne T '" dera wi " be “"sUered,^ Forms o< Tender 

Seymour, Pierce & Co., 

10 Old Jewry, London EC2R 8EA 

National Westminster Bank Limited, 

1 Station Parade, Victoria Road, Romford, Essex RM1 2JB 
or from the Offices of the Company at 342 South.Street, Romford, Essex RM 1 2AL 




Mil 


( ;,J- . - - 

r Financial Times Wednesd ay May 17 1978 

BIOS AND BEAU 

S' 



Busy year 
for TR 


MINING NEWS 



L^todViian cSla™ dl ff*S ? 30p ’ His total ir * enst now ff 7 JTf 

r- tun.-gm.v 1 »*!Sjn srsstsr-a ° rdwutr capi,aL -s “* 1 

■enerst iraoin 0 in Sn Lanka, the interim fleures fall short af The new 

E^S-^Stanws ™ Pl whifh* ,Se “WW" 1 sufficient evidence to G. M. FIRTH SELLS has * een ? 
** ErESSS l iE£2L h h the assess whether the contribution , number of 

Thff' Wo Walker will make to AIC is fully MORE PROPERTY the directo 


G. M. FIRTH SELLS 
MORE PROPERTY 


A SUBSTANTIAL installation (O.gpi net Last year's total was 

programme, following delays last 2,787Ip and profits came to 11.45m. 

year, coupled with a continuing 

high level of order intake means , 

that 1878 is going to be a very fm/i lOT Af®IYt 

busy period for Telephone Ren- -*- ▼ JLIU.lvl JtJJI 

tals, Mr. E. a. Cooper, the chair- _ 

man, tells members. 1111C11WA hv 

The new PDX telephone system U|ImU 1 Uj 

i bas been well received and the _ 

number of orders taken exceed |J VtO |/id 

the directors' best expectations. J\CU 


Denison bows out of 
uranium deal 


»* Ihut WnlL-o. 1 , w- 4 . ” UiaRC lO All, IS> IUliy ‘ * A J I L 1 « ~ 

SSKSLiTe^SSbr SiVZX «« ° r ** enlarged, group. SfSKF lMf ,e !/Ei ,I ££E **■*“ *? the PojT^QfRce. late conditions, turnover of Reo Stakfi *03. ^ 


BY PAUL CHEESE RIGHT 

DENISON MINES, the second Meanwhile at Lacana Mining's becaus e of EEC subsidies, he said, 
largest uranium producer in Blizzard property in British -Hr * * 

Canada, has been checked in its Columbia, a consortium led by Agnico-Euglc Mines. tba 
bid to build up reserves by the Xoreen Energy Resources has Canadian gold and silver pro- 
purchase of uranium-nickel pro- encountered significant uranium ducers, announced a 1»7S first 
perries in Saskatchewan and values in 15 of 13 holes drilled this quarter nut profit of 05446.40-1 


uarantees compared with total h \ anv case K 
et tangible assets of JWSti.flOD. fro ' p^A'^inh 
Mr.. George Collie, the chatr- £?r cent rfnfc* Sr n 
«n. admits m his letter «com- EStrSfrt Walker 
, saying the document that “there " aUter - 

S[L: a shortage of working capita] 

the Sri Lankan subsidiary # nd FOTHERGILL & 
!;! «nijl^rcrpc in The. imltui i_V l 11 L ^ U1LL a - 


evaluation by the Post Office. late conditions, turnover of Reo Stakfe I too. Texas. for S15S-5m (£77.5m>. per ton over a thickness of hve j n the same period of 1377 of 
this summer. The maior portion n mn i«4iaa lumaed 79 s A statement issued yesterday metres. This ls toe high grade CS128.HM. Earnings for the latest 


properties zone of the deposit, 
d to the 


}: sniltanves tn the United Knur- 

11 om would depend upon theft 


Harvey 


The profit on the transaction is hi i n to- a? otb * r r ® c ® rd j* 1 ^ 1 Tfus year- with SMDC and Unwerzbergbau 

not aBeertainahip or onJ y * nigner myestmem ip in- * h 0 f 1975.77 , „ f 


Profits slide 
at Northgate 


quarter included the utilisation 
of an unrecorded deferred tax 
benefit. 


More success 
for Texas 
Pacific 


Pd a sale Taxable profit for 3977 advanced from 1.0Sp to 2.04p per lOp share, Sa^ti*ewan v>^ei4 »relinrinarv P roblem5 wiL 
Bradford to SBJSSnt. (SBMm.) on turnover The interim dividend is O.lglp S2£u?s for tofcSJme? jSd t ^ Kk hauJape 


s' t 

: ‘ i * 


iggesi mat any surpluses are —or which £170.000 in respect of will be used to improve the West '^vei ra ousmeis.r^uw^ rs'-w-w'K 

>me way off. Pre-tax profits of goodwill has already been paid. Bromwich depot and to reduce n ®» ih«dquarters butldhig at and betoig , and 

W.655 are reduced to £3,192 FothergiU said that the balance the group’s overall indebtedness. Mriton Keynes were sgnJficanUy «». »td "{wlesale nm 

t«r 12 s - SP, de'PUe the state- is to be satisfied by the issue of This disposal in no way affects »«« * an ^ ^ previous two 7‘SSS^ e .l £1 . 2,911 

ent that Walker has been told F and H shares ro Flexible TVbes the trading of the West Brom- years and only certain smaB reten- (— ) and £3o* f— ) respectively. 

iat lt .. ra j ? oow be possible to which are to he placed with w-ich depot which is developing b °? s were oats-tanding at the year After tax of £0.52m (10.24m) 
■nut dividends to the ITC as a various institutions. most satisfactorily. e^*i- stated half-year earnings rose 

suit of the cnanse in the poiiU- In March Firth arranged a sale Taxable profit for J077 advanced from 1.05p to 2.04p per lOp share 

ircuniate. the company may not . ? nd leaseback on its Bradford to £»55m. f£9.01m.) on turnover The interim dividend is 0181p 

id itself in a position to do so ASSOCD. TOOLING factory which raised £875.000. of £30,78m. (fi29jtou) and the pet (0i72p) net— last year's final was 

r fiom e rime. Laser Engineering has disposed dividend is raised to 0R35625p 0,756p. A one-for-tvro scrip issue 

As a result it is difficult to of its entire bolding of 480,000 WiTFTATLfC mmcn\r (358423p) per 2»p share — as is also proposed, 

timate the value of the ordinary ordinary shares, representing 27.5 iLLl/llvio nULIbUlv reported April 27. 

rid end arrears to AIC. The per cent of the ordinary capital Williams Hudson Group, whose Capital commitments at Decern- m pnm mAnf 
eference shares are a different of Associated Tooling Industries.' interests include fuel distribution, her 31, amounted to £451,000 w Lummcui 

a tier, however. It is no coinci- The shares have been dispersed shipping, transport warehousing (£867,000) of which £72,000 (mill Scottish-based Reo Stakis's pre- 

-nce that the new offer of 65p, among many investors, said the and engineering, has bought had been authorised but not coh- interest profits rise of 110 per cent 

.mpared with the earlier offer secretary of. Associated Tooling. Tarmac’s wholly owned Econo- tracted. in the first half -reflects an lm- 

40p. takes account of the fact Mr. K. S. Carliue. yesterday. Most mac subsidiary for an undisclosed a geographical analysis of turn- proved performance from casinos 
at .there is some 4ap gross worth of them went to pension funds. cash sum. over ^ profit excluding the betting, and the inclusion of 

dividend arrears accrued in the Mr. A. G. Pratt is now Interested The errnun said that F.«womai> Australian Khnw* in the Haddow off-licence chain 


wvch depot which is developing 
most satisfactorily. 

In March Firth arranged a sale 
and leaseback on its Bradford 
factory which raised £875.000. 

WILLIAMS HUDSON 


ace. profits of LSdali.UUO Texas Pacific Thailand . a unit 

SMDC is exercising its right compared with CSK63.000 in the of Canadas Seagram Company, 
■st of refusal and is taking up some period of 1B77. has made another natural gas 

e Inez co interest on the same R t , na-.-tinr, i ns - discoiviy in Ihe Gulf or Siam. 

hv ° ri 'niree y nrnner ot «lSn- concent rate produc- ^ he ( .” l n L p:,nv STa,ed in A P nl th:it 

i-n-. X ,-Jted by Denison, niree proper- MBW , u„ a R _ en . it needed one mare uas dibcovery 

™ ; «L £0 - 24m) |t»« s Solved. oroduenvire 10 jUst,Ty build , a production 

earnings rose/ 77, e fi re t ^ at Key Lake in ow,n ^ to low Producmitj and ; n , ha 


with the underground 


platform in the area. 

The latest find is the fifth 


... , . iLh 1 MV Iiliunv llllU th utr 

e conscculivc discovery and 


of £30,78m. (AS ijm.) and the net fOJi72p) net— last year's final was DeXTann deposits vm uranium ’ ime »Pe r a? in R «Penses were sisth wcll drilled bv Tom 

\ two scrip Issrie] arid? reSenST^MB.tai "ibSTind . J" Pacific 'in ihe ^Sorc 5 CuTPof 

nickel reserves at 74m. lbs. 


dividend is raised to 0RS5825p o,756p. A one-fo 
J (5^S423p) per 25p dure— is it also nronosed 

timate the value of the ordinal o^>^ sh^re^enW^ ^ILLIAM* HUDWIM report April 27. ^ P ' ESb'SS Va'S a S:***-" hy has been 

vidend arrears to AIC. The per cent of the ordinary capital M illiams Hudson Group, whose Capital commitments at Decern- ^ cnmnifint Suhiect to official anorovals the However, these difficulties wTre exploring the area since •"iciobo' - 

eference shares are a different of Associated TooUng Industries, interests include fuel distribution, ber 31. amounted to £451,000 • Comment ^ect to o^M^roials the off ^t to ime exteiltbv the «Ie The new discovery is 

SThSTST; 11 '% no ““5 1 ' The shares have been dispersed shipping, transport warehousing (£867,000) of which £72,000 (mill Scottish-based Reo Stakis’s pre- duetfon In 198? P or^ockpiled copper concemraicl within a field ihat is estimated t« 

** offe .C of *?P* among many investors, said the and engineering, has bought had been authorised but not con- interest profits rwe of 110 per cent “ The sJrandis at Maurice Bav and in e?E/ sain of contain reserves of 3.4 trillion 

mpared HUh the earlier offer secretary of. Associated Tooling. Tarmac’s wholly owned Econo- tracted. in the first half reflects an lm- ™ 2?h n i£ JU csstsOM or CSTTOOOO more than trillion million 1 cubic feet of 

40p. takes account of the fact Mr. K. S. Carline, yesterday. Most mac subsidiary for an undisclosed A geographical analysis of turn- proved performance from casinos 2d£2L^ B, KL , *?S2E; m She 19^ firat imarEr wfteh Plural gas. 

some 45, » gross wonh of them went to pension funds. cash sum. over id profit Stog toe betting, and the inclusion of SiiJ lirUmStt^incometo These deposi is. plus a smaller 

dividend arrears accrued in the Mr. A. G. Pratt Ls now Interested The group said that Eoonomac Australian associate, shows in the Haddow off-licence chain n . .‘j. ,s ft rsisTm -from CS6 -, 7 Ofvt) field to the north developed by 

■ -eference shares^ After tax at a m 327.481 ordinary shares fol- will complement its existing John percentages: UK 74.7 (73) and 84^ acquired last July. Excluding Pl ?. , 'f jpj csla,n> -. from cw “‘*® w - Union Oil or Thailand with c-n- 

if tonal _ rate of 40 per cent the lowing the acquisition by a mem- Hudson fuel distribution business (8S£i: rest of Europe 17.5 (18J) Haddmv. profits are still 48 per There was no reaction from the mated reserves nf 1.1 trillion 

due is equivalent to the ber of his family of 12,000 shares in the UK and 75 (same)' South Africa 55 cent, higher In spite of ratoeT flat 11 morrt *f a *>°* bl i*,. no foraDlp ! t market to the figures and the cubic feet, are expected to m>‘er 

(5.8) and SJ (8.9) and North conditions in hotel and catering. on Uleir * cononuc shares were unchanged at 350p. a major share o( Thailand’s 


quarter than in the comparable Siam area. 


company 


ScMesiager merger talks off 


(5.8) "and SJ^'tS-fl) and North conditions in hotel and catering. v ^ a ? n ,™ ade on ti * eir wronomic shares were unchanged at 350p. 
ST 1- 25 W Md M 0055 S&E&ff&S? However, wm ««,, » 

Crvn,*, Beproducj gaft XSSSJTJJSH °^i Sfc "TL&JSZ" £ ROUND-UP 

WI ? w»t «s sevSely hit as toe pS AUierta. Here the Inexco interest The quarterly dividend of : 

P.P? * . substanrial - year bpnefTtcri varied from 25 to 38 per cent. cents. declared by Impa 


Sehlestager, -the insurance, and deferred will be acquired com- company — or even if it was should return to profitability 
vestment and finance group, pulsorily. » wholly owned— or toe possible dinring toe second halt the chair- 

■tinimiiiiri VPefl'rndV rhfit rii ajrDae nn ry*n*i>mw 0 _ _ • 


nSLf* rious year, and this benefited va ™« 1 25 to 33 per cent. cents. declared by Impala 

it was Champion Fixed Odds; profits in Inexcos sale is linked to the Platinum on Monday, makes a 

possible during th^fSS.nrt t h»if P ^?rtS the casinos and betting division company’s concern about toe total of 60 cents for the first three- 


energy requirements during the 
n/ . 1T . ]r . Yrn ISSDs and 1990s. 

ROUND-UP .The discovery Is in Block 16 

_ _ , J . .. , . where Texas Paciiic controls 

The quarterly dividend of 20 68 per cent, of the consortium, 
nts. declared by Impala Other members of toe croup 
atinum on Monday, makes a are British Pelrnlrunt Develop- 
tal of 60 cents for the first three- menl of Thailand. 15 per ci-nt 


Thailand — a subsidiary of High- 


mounced yesterday thaT merger purchaser. rnaiTnav* Ttic were 136 *** cent bigher. Useful development of Canadian Govern- quarters of the year to June, not Deutsche r.P Exploration GMBH, 

Iks With a “major American EDINBURGH & GENL. T* 1 * group’s last balance sheet Str^Rentahu ^ which P achiMMl profits shoultl m coming mem pOli<T on foreign ownership a total of SO cents for toe full 10 per cent. Canadian Superior 
surance group” have been the listiM of ^ owed that dredgmg and related ?ecoS nSS%ri]fite in 1977 -liU thr0uph from lhe franchise of of domestic uranium deposits. year as stated in yesterday’s paper. Oil. o per cent, and Highland 

IU iL Baker, a „ec to r , f MFtSoS - — S - ^ P.ee BKAffffBSJi 

inrwhlekX?*‘™re I ";iSn SANDERSON KAYSER ZSTZ ISSy J5* ^ * h °^ {° *■ Myforeim .wTier- 0 p „Xc1t^wn°Sr * * * 

say® “ss s*£ iSStySL SrBS'S 3 ® -^AWtsjaSB 

ieived an, approach from the 51 per ‘ cenu stake in Maynard Quoted company. British Aeheson Keynes, on June 8 at noon. T^? C faU yearw hlch. at Pm ^ foreigii wterc^ development of toe Bachelor Lake a statement by U.S. Vice-President 

S. group— widely believed to and KeSw^or S?SSo tetrodes, for £559,140 cash ?o P, a Sr'? °j? ective . p '« in Quebec and the Stock Walter Mondale that the US. 

-ive been the Insurance Group C3sh y which will be used in toe com- -j-^ ^,1*^ * yiCld ° f ar0l,nd 4 per ^fhiuvL-i Ven S[S?-t at Township mine in Ontario, the Department of Energv- i- 1 

•>rto America some months ’ GROUP X “ ‘ ^sSJffsSSS &e^re^ aS BJ&ptWj! 

#n d^iscussii^ to^po^sitnliiy 3 of . Th ? Guinness Group is increas- AdSma X^bad it^not SSde BreWfirV » HANSON SALE gj ^ mal i tenaa “ basiS '£ 1973 ‘ ^Th/ officials sud that the 

S .‘L.u ing its interest n sun glasses, the sale it wnuM haw he P n th« „ . _ . had been confirmed on 1 claims m ^ denanm^nr hr.n 


pany’s existing business. 

ft. riTiMMccc riorviTD Sanderson had been one of 

Since then the two parties have *! e 'L eraI rain <>rity holders in British 

An discussing povibilitv of uttinnpss Group Is iiirr63s- Achpson snd, bad it nat made 

*■ benelicSl ^association ^which U 1 - iti! interest in sun glasses, t ho sale, it wouid have been toe Hanson Trust has confirmpn Sf“ t P on S l rme ? 0D ' c,auns - ,n , , department had approved ihe 

ould have invoked Schelsin^er's Guinness Morivon International, a only remaining minority share- Pre-Tax profits of Davenports that it has -shirt vis an tiro intpwfj? On«>h<2 tWl MounTatn area of ACA Howe International, the import of Indonesian LNG. but it 
a and nenerai nssurlnne subsidiary of Arthur Guinness and bolder. Brewerv (Holdings) wa/v^tuallv - l S^* “ lts •nbrp^mwrest Toronto geological and mining had not agreed to jnv price 

im M8 largely toe £5fim-oIus Sttn ' has bau ? ht a controlling In the year 1977 net dividends unchanged at £657,000 against 10 Se lB,a> « rt * consisting of r™« c ^* n n^J by are open mg a London escalation formulas. 

SV Yifp B ^oup as wellas interebt “ Corren * ^teruadonid of W04115 were received from £656.000. for the hatf-yejwto Ordinary shares (approx. 2® 7* l? ter Hl “?' e ' the P r ?s>- Indonesian Minina Ministry 

o^ from Hs owners Mr Anthony investment, wtoich had a book March 31. 1978. subject lT5* cl 6 cent,. The shares were S? .fK ^ul?. 


remaining minority share- 


Brewery 

Pre-Tax profits 0 
Brewery (Holdings) 


HANSON SALE 


: • ' /n>. ^5?iT iompn-liSi" T“d VekSd ^rre aid Jlr. Gwtoy W value of SHAH. 

resunent* were not involved. nJan - wet 1 M a TV 

me talks apparently did not JSJjftt wJn^iSnyS 


ne up with a " meaningful under the brand name SunbrcUa VVeUnian Bibby has acquired the 
‘ sis - for the POtentml mercer and it is cfafmed that lhe com- activities of Powder Couplings. 

"'JiAVe now been called off. *>med turnover of 'the two. pro-; .■{gS*. {flffl? CouSSas^ 1 ^ 

ducts win put the group anlo nme rowaer Leungs,- iv 


I £342,000, against £341,000. placed with a wide number of |S5reK°J? ; UK “’and b Snul5? nSL***^**' v 1 !! Un f r dis J 

1 The interim dividend is OSSp institutions. [guveys the property start this ^continent, ^on^be.wcen^lndoneslan and 


third place in that market. Couplings, G.V. Friction Clutches 

)AKSTONE K • _ and Electronic Speed Control 

— -REYNOLDS BRITISH DREDGING Wellman Bibby Is a -subsidiary 

rhe Oakstone Motors offer for British Dredging Is currently of The Wellman Engineering 
J. Reynolds Holdings is un- negotiating the sale of a 50 per 
advbonsd and remains open, cent stake in one of its companies LAIL 

e offer for the deferred and which it says handles a substan- Colonial Mutual Life .Assurance 
v ordinary Jus been accepted tial part of its marine dredging Society has declared its offer for 
respect of 92.68 per cent, and business. London Australia Investment Com- 

■ preference in respect of 73.93 The company last night would pany unconditional. CIVIL is so far' 

■ cent. The balance of ordinary give no clue to the identity of the entitled to 6524 per cent of LAIC. 


s control stays close-knit 




NEW ISSUE 


AU of these securities having been sold, this announcement appears as a matter of record only. 


May 10, 1978 


2,200,000 Units 


tpany 


ui rt A £ 

h ^ v r 


5! cck.& 3 


V-. 

t l- *- 


ENSURE toe effective direc- 
5 of Scot tub Television the 
■ actors believe that the 28.000 
Oqlalive preference shares 
Ich currentiy carry all toe 
mm if uur rights are best held ex- 
it rively by persons closely 
Ml milled with the company's 
" J g-terni aims and objectives, 
s Kir Campbell Fraser, the 
rirman. • 

“he direciors. therefore, eon* 
er that these shares need only 
t a notional worth and pro- 
“ * that their nominal value- be 

uccd from £1 to 10p by the 
urh of kOp to holders, at a cost 
EaJDf). 

Tic proposed reduction of cn pi- 
will nnt alter the voting rights 
Khed in the preference shares 
lyOJ " .lhe rights of holders of the 
* bn non-voting ordinary. Only 

ference holders are entitled 
attend the c\traordinar>' meet- 
, .at which the resolution will 

^ted upon. 

* ' Tie largest holders of the pre- 

^ce capital are Mr. William 


Brown, the managing director, 
with 3.313, and directors Mr. Gavin 
Boyd, 3,865, and toe Earl of 
Wemyss and March, 2,160. Of the 
12.250 not held by Board members 
the biggest holding is 2,650 by the 
trustees of the estate of Viscount 
Weir. Sir Campbell himself holds 
1,000. 

These shares can only be trans- 
ferred with the consent of toe 
directors and with the approval 
of the IBA. They do not attract 

capital appreciation. 

In his annual review the chair- 
man says the directors “fervently 
believe that Independent Tele- 
vision should have a second 
channel. The resources, creativity 
and the will arc present and 
Scottish Television secs it as a 
unique opportunity f pr growth. 

Meanwhile the company's’ cur- 
rent contract with the IBA runs 
until July 1079 and it is becoming 
clear that, because Parliament has 
yet to decide about the future 
shape of British broadcasting, an 
extension to 19S1 is likely. 


Sir Campbell points out that 
through the very substantial 
investments over the past five 
years in professional staff, build- 
ings and equipment, the company 
has a much stronger base than 
ever before. It is now hoped that 
work on extending existing build- 
ings to give more space to the 
programme support services, will 
begin within toe next few months. 

Taxable profit for 1977 advanced 
to £L74m (£1.41m) on -turnover of 
£15.48m (£12.03raj— as reported 
April 4. At year end a £142.243 
bank overdraft last time had been 
eliminated and bank balances and 
cash in hand were up at £218,923 
(£6,256). 

After a professional revaluation 
of freehold land and buildings, 
net book value of land, buddings 
and equipment was up at £5.47m 
(£2.84m) and goodwill of £3.46m 
has been written off reserves. 

Since December 31. Thompson 
Organisation has sold its' 25 per 
cent interest in the capital. 


Mom Y MARKET 


Conflicting movements 


First Pennsylvania Corporation 

2,200,000 Shares of Common Stock 

(?1 Far Value) 

with. 

Warrants to Purchase 2,200,000 Shares of Common Stock 

Offered in Units, each consisting of one share of Common Stock, $1 par value, and one Warrant to purchase one share oi Common Stock, 
l tie warrants are for a 5 year term, subject to extension at the option oi the Corporation, for an additional period of up to 5 years. 


Bunk nf England Minimum 
tending Rate 8-per cent 
c .;- (since May 12, 1978) 

atercsi rate.1 showed conilict- 
. -r movements in toe London 
n t ?>- market yesterday, ahead 
*’ monthly published figure 
■ £® p Iho banks. Fears about 

• sibJe corset " restrictions on 
lRs "-is led to recent sharp 
-'repcncy between reserve 
«•; st money, lent at cnil io dls- 
nt houses, and interbank 
might rates, on the third 
Oiiesday in each month. Anii- 
aiiou of similar conditions 
»y. may have prom pied heavy 
■mg of Treasury bills i which 
^ unl us reserve assets i by 
banks yeNterduy. Treasury 
s nave not been a popular in- 


! Slrrllne 


vestment in previous months, but 
the recent sharp rise in yields and 
optimism that Bar.k oi England 
Minimum Lending Kate may 
stabilise at the present level, at 
least in the short-term, probably 
encouraged banks to buy bills as 
an atierantive to lending van 
money to the hnuses today at 
very low interest rates. 

Signs or a two-tier market were 
already developing yesterday, and 
white interbank rales for oil 
periods were very firm, the 
houses buying rates for threc- 
niomh Treasury bills had fallen 
to a level which almost indicated 
a small cut In MLR. This, is 
clearly an artificial situation, 
which should resolve itself once 
“ make-up rt day is out of the way 
for another month. 


A substantial shortage of day- 
to-day credit was expected yester- 
day. but conditions were not too 
difficult in toe end, and the 
authorities gave only a small 
amount' of assistance by buying 
Treasury bills from the houses. 

Banks brought forward run- 
down balances, there was a slight 
rise in the note circulation, and 
settlement was made of official 
sales - of Gilt-edged stock. These 
outweighed modest net Govern- 
ment disbursements over revenue 
payments to the Erehquer. 

Discount bouses found closing 
balances at 6-7| per cent, while 
interbank overnight rates finished 
at 9j per cent after ranging be- 
tween 7 per cent and 10 per cent 
during the afternoon. 


Kidder, Peabody & Co. 


L»*nt Vulh.; FlrtBIUf* 


_ IJIB I *1 lii-fuil* 

>N ,. f • _ 

iimir,-..! — 

'“•iii'i. . s.„-8*fi i h; 

•Iib. 1,11,. ; • g-_ 

■ 9i B -8.- i 

1 9h) gi 4 ‘ 

Bionlli-,.-; 9 1.. g _ 


Vcrtiih-Ric Inli-rtwnk i Aurh«rlry ; nei^ftahle 


Uou'v 

DcrA*liA 


j tilmniat 

Company J market Trcmarv 
IV^wiis | deiwdt Bills 


Ellgfblo 

Bank PinoTrade 
Bills «> Billeif 


BU SJ 4 j - 

oiff-fl-B ! - 

BI--B 18 . Blp-B 


73, I B-£i ; 8i, I 8A-8S, 


8tr.-03a ! SSfi-B's 


lOE-JOJi 


. J1Id fin,,,,- davA- nm.w. o.hor< m ,««S- wTSoTS 1 mbit 

Mb iiu-.. v.w. n-.11 ; pit am: row pin. iri-nj ucr com; live- rear* m'ooTh brnTsf nw Sen? 

fji.-s f „r f.n.rt- niwr. Cuvinc rare f-r iuur-in..ntn luuk Dills S>9 pnOHUMnr mooui ffafle DfflsK WW«. 
;'ri»r..w,nui,. -vllma rales f..r ..ns-nimiiii Treiam biUs SU>S-V per conn 

- Vi-rosimaio V-IIIUB rail- for owMnonib Uor* bdk. 4We.wr «nn S « lu 

'|S ‘ ,,cr ivm - ‘iRo-iii.mili iraae Wllr. 8; per ccni; i> n-numili Si nor vcnl- arw / ,«»» nnarlmr »«■«* 

Homo lm Rains ipaNi'Jv-d t»- the Finance Houses Assnoaitoqj \ BSiA. R s. 

Rates if.ir -maU wo* Ji hwpb days’ ihUhtO fl ycr cent. Ocarina BwM KasB K ““ ror ,raorac * m Trt »«* ,T 
Average lender rates of discount S.Wti per rent . ._ . . . - 


Morga n Stanley & Co. The First Boston Corporation Bache Halsey Stnart Shields Blyth Eastman Dillon & Co. 

Incorporated Incorporated 

Dillon, Read & Co. Inc. Drexel B nmham L ambert Goldman, Sachs & Co. E.F.Hntton& Company Inc 

Keefe, Brnyette&Woods,Inc. LazardFr5res&Co. Lehman Brothers Kuhn Loeb Loeb Rhoades, Hornblower Sc Co. 

Incorporated 

Group Paine; Webber, Jackson & Curtis 

SLASchapiro&Co,inc. Smith Barney, Harris Upham & Co. Warburg Paribas Becker 

^esnuatfA incorporated 

Wertheim&Co,Inc. Dean Witter Reynolds Inc. Shearson Hayden Stone Inc. 

Alex. Brown & Sons LF.RothscMld, Unterberg, Towirin Thomson McKinnon Securities Ina Weeden&Co 


Smith Barney, Harris Upham & Ca 

lUIBpUMtd . . 


Paine, Webber, Jackson & Curtis 

Incorporated 

Warburg Paribas Becker 

Jneorpimied 


ABb Securities Corporation 
Basle Securities Corporation 
Robert Fleming 

XBcwpomtod 

Moseley, Haflgarten & Estabrook Inc. 
SoGen-Swiss International Corporation 


Dean witter KWioiasinc. Shearson Hayden Stone Inc. 

ild, Unterberg, Towirin Thomson McKinnon Securities Inc: Weeden&Co. 

Xatorporaied 

Advest;Ihe. American Securities Corporation Atlantic Capital 

Corporation 

A- G. Edwards & Sons, Inc, EuroPartners Securities Corporation 

Jaimey Montgomery Scottlnc. Kleinwort, Benson 

laeoirponied 

New Court Securities Corporation Nomura Securities International, Inc. 

Tucker; Anthony & R L. Day, Inc. Wood Gandy Incorporated 



28 . 


Financial Times Wednesday May -TMSftr? 




INTERNATIONAL FINANCIAL AND COMI'ANY NEWS 




Ki 


AMERICAN NEWS 

Citibank 
reduces 
Iran holding 


Seven-Up agrees increased offer 


BY STEWART FLB41NG 


NEW YORK May 16. 


By Andrew Whitley 


TEHRAN, May 16. 

CITIBANK lias sold a 30 per 
cent equity shareholding in a 
medium-sized Iranian bank. 
The Iranians' Bank, for 
S 128 .5m (Rials 900m), it was 
announced to-day. 

The 300,000 shares, sold through 
the Tehran Stock Exchange 
yesterday, marked the biggest 
ever sale on the Exchange. 
Citibank has retained a 5 per 
cent equity stake, which, 
according to Mr. Ama Saiman- 
pour. Iranians' president in- 
dicates the New York bank's 
interest in maintaining close 
relations. 

Citibank took a 35 per cent 
stoke in the bank (total assets 
in 1976 were listed at S365ra 
or Rials 25.5bn) in 1969, in 
what was intended to be an 
injection of modern banking 
services. It was the bank’s 


PHILIP MORRIS, the leading 
US tobacco and beer company, 
has reached agreement on a 
S514m. takeover of Seveu-Up, 
the third largest U.S. soft drinks 

producer. 

The announcement of agree- 
ment between the Boards of the 
two companies follows two weeks 
of argument about a fair price 
for the deaL Philip Morris 
launched its move into the soft 
drinks industry, in which it cur- 
rently has interests, with a $41 
a share offer valuing Seven-Up 
at some S440m. 

The Seven-Up Board promptly 
rejected that move and also 
turned down the increased $46 
a share bid. But yesterday the 
two companies agreed on a 348 


a share price for all the 10.7m 
Seven-Up shares. 

The deal will bring members 
of the Grigg. Ridgeway and 
Gladney families who founded 
Seven-Up in 1920 some $23lm 
for their stake in the ~corapauy — 
approximately 45 per cent, of tbe 
equity. The joint announcement 
said that the families, who had 
baulked at earlier offers, had 
a creed to tender their shraes to 
Philip Morris at. the S4S a share 
price. 

Philip Mom's chairman. Mr. 
Joseph F. Cullman 3rd. said that 
the acquisition was a “further 
constructive step in the diversifi- 
cation programme" of the com- 
pany which is the second largest 
U.S. tobacco producer with major 


brands including Marlboro, 
Benson and Hedges and Virginia 
Slims, 

The company also owns Miller 
Brewing which this year has 
emerged as the second largest 
UU. brewing company- When 
Philip Morris acquired Miller 
In 1970 it was the eighth largest 
brewing company, a long way 
behind Anheuser-Busch and 
Joseph Schlitz. 

But Philip Morris’s aggressive 
management and marketing of 
Miller beers, coupled with the 
successful launch of a low 
calorie beer, has enabled it to 
displace Schlitz 

Philip Morris shareholders will 
be hoping that the company can 
mount as successful a growth 


campaign for Seven-Up. a lemon- 
ade-like drink, in competition 
with the giants of the U.S. soft 
drinks market Coca Cola and 
Pepsi Cola. 

Seven-Up is already sold as the 
" unco la." a marketing theme 
designed, in part to promote it 
as a more healthful beverage. 

To become a serious rival to 
the industry leaders, however. 
Seven-Up has a lot of growing 
to do. Its sales revenues last 
year of S25Ira are small in rela- 
tion to the S3.5bn plus recorded 
annually by its two giant rivals. 

Seven-Up earned S2SRm net 
last vear (S2.3S a share). Philip 
Morris had sales revenues in 
1977 of S5.2bn and earnings of 
S335m. 


New loan 
for Hydro 
Quebec 


Call for oil concerns 
to retain coal stake 


ii* 


fiy Robert Gibbens 


Coal strike 
cuts Dresser 


Brazil problem for Elliott unit 


.MONTREAL, May 16- 
HYDRO-QUEBEC, the provin- 
cial power utility, is negotiat- 
ing a CSoOOm syndicated loan 
with (he Canadian banks. 

The package includes a six- 
year line of credit and a sub- 
sequent six-year loan. Interest 
charges would be at prime rate 
the first three years and one- 
quarter over prime in tbe next 
thrw years. 

The term loan portion wonhl 
earry an escalating interest 
rale up to 1 per cent above 
prime. It is helieved all the 
banks will participate. 

Proceeds are to be used for 

the CSITbn James Bay hydro 
project. The amount will 
cover the utility’!; balance of 
borrowing needs Tor 197S. 


DALLAS, May 16. 


BY DIANA SMITH 


RIO DE JANEIRO. May i6. ^ir Canada talks 


major entry into tne Iranian REFLECTING THE coal miners’ Elliott do Brasil Equlpamentos. factnre of steam turbines of up through oil to steel, fertilisers, 
market, ahead of many of its .. d ^ h d other in local subsidiary of the U.S. to 9.000 hp. has been unable to and pulp, absorb about 80 per 

rivals. . f. parent company, is having some get it approved so far. cent, of all the steam turbines 

Mr. Salmanpour is reported as the earlier part ot the year, difficulty getting past new Elliott had be'Tiii negotiations sold in Brazil and are therefore 

saying that Citibank had de- Dresser Industries, the oil, gas Brazilian regulations. with the Brazilian company a vital market Ironically, Elliott 

eided to sell a year ago. fol- aQ d chemical equipment con- As a way of stimulating Dedini (in which Kawasaki bolds first came to Brazil several years 

lowing a policy decision in c reports a 6 per cent rise in national industry, the Brazilian a 25 per cent stake) for joint ago (when there were few re- 


New York that equity holdings ^ . authorities now demand that a manufacture of these turbines, strictions on the operations of 

in non-American banks had to £ r 4l * high percentage of the content . Talks broke off, however when foreign companies! at the ex- 


involve either a substantial per share for the second quarter of ij eaV y equipment sold to the Dedini insisted on free and press invitation oF Petrobras, the 
majority share or else going against the $1-8 a share State-run enterprise must be of unrestricted transfer of not only national oil conglomerate, which 


management control. Iranian f or the same period of last year. Brazilian origin and, if foreign manufacturing but also develop- became one of its major clients 

banking laws do not allow Revenue was ig pe r cent higher companies wish to make sales ment know-how for the turbines. fo r lower horseDower turbines, 

either position. S734m. For the six months on this market they are advised Elliott — arguing that to hand Elliott is now seeking a 

Although this was the public ® * to operate through joint ven- over all its desiens to Dedini D ... . ■ ■ . 

reason, banking sources be- the company managed a 14 ^per tu res with Brazilian companies would be against company policy Bra ^ lian , P turhinp* 

lieve the critical factor in the cent rise m net profit to $88m, in the same field. and also harm Elliott's assoeia- venture in high-power turbines 

decision may have been the or $ 2.24 a share against -the Furthermore, official policy tions in the UK. Holland, bur, as its experience with 

* — .» today’s bargain- 


recent change in tbe owner- gl 97 for ^ same peri£K i ] as t also calls for example know-how Canada and Japan not to men- Dedini proved, 
ship of the bank. A majority f Revenue was 20 per cent t ransfers . preferably without tion its position on the world ing conditions are tough, so 


Air Canada, the national air- 
line. is holding talks with Cara 
Operations, one of Canada's 
largest catering and fast food 
groups, with a view to the nlr- 
line participating in the air- 
line catering side of Cara’s 
business, reports our Montreal 
Correspondent. Cara operates 
restaurants and concessions In 
major airports, an airline 
catering service, fast-food, 
tobacco, gift and drugstores 
and also manages motels. Cara, 
reporting the talks with Air 
Canada, said it was “some dis- 
tance" from reaching an 
agreement. 


BY DAVID BEU. 

THE U.S. Justice Department, 
is a significant exposition of 
administration policy, said last 
night Thai oil and nuclear fuel 
companies should not have to 
divest thi-mseives of coal hold- 
ings and that their presence in 
tUc ciiiil fields materially in- 
creased competition. 

This view appears in some 
conflict with the Federal Trade 
Commission, which has expressed 
disquiet about too much concen- 
tration of energy resources in 
too few companies. This was 
also a theme favoured by Mr, 
Jirnniv Carter when he was run- 
ning for President two years ago. 
although He has since seemed 
lukewarm about divestiture. 

In a report ro Congress the 
justice Department said th.it oil 
and nuclear concerns provide 
“considerable now competition" 
in the U.S cu:i! industry and to 
forbid such companies to enter 
the market would be to restrict 


WASHINGTON, May 16. 


the companies "that seem mast 
able and eager to invest is coaL" 

However, the Department said 
that some guidelines should be 
adopted to prevent any company 
having too dominant a position 
It said that it would be " into* 
si stent " with existing anti-trust 
laws if the Government leased 
some of the ~<GO&l-e&tnt&s land 
that it owns to oil and nuclear 
companies so that they came to 
have more than IS per cent of 
the market. Such a standard' 
would also apply to public 
utilities and natural gas com- 
panies. 

By concluding that oil and gas' 
companies would Inject a com- 
petttive note into the coal Indus- 
try the Justice Department if , 
seriously weakening the case of .? >* 
those who argued that anti-trust ' W = 
policy would eventually fore* ' 
divestiture. But It is an Issue 
that has yet to be tested in the 
courts. 


Bid rejection by Dymo 


BY DAVID LASC6U-ES 


NEW YORK. May 18. 


of the shares used to be owned 3 ? ar ' w *“ “ u pci tcul payment of 'royalties' and with- market' —"refused - to content- tough that it has dropped mean- 

by the bank’s founder, Mr. ahead at s>i-4Do. out restrictions on the degree of plate such largesse. ingful hints that “other Latin 

Abol Hassan Ebtebaj. Marion Power Shovel, technology passed over to Subsequently, Dedini began American companies have less 

The SO-yearold Mr. Ebtehaj one acquired in August 1977, con- Brazilian manufacturers. negotiations with Siemens, which rigid standards for foreign com- 

of Iran's pre-eminent banking s64ra to the second All this means that Elliott, appears to have a more open panies operating in the capital 

figures, founded lne Iranian which has presented a proposal mind about such proposals. gods sector." However, it says. 

to Brazil’s Industrial Develop- The State-run enterprises, goods sector." However, it says, 
ment Council, for local manu- ranging from electric energy despite the difficulties. 


Bank in 1959. But last year. Quarter revenue, 
sources here say his entire 54 Agencies, 
per cent holding was bought 
out by a controversial, rapidly 
rising industrialist and 
banker. Mr. Hozhabr Yazdani. 

Meanwhile, it was announced 
that Bank of America has sold 
two of the three banking in- 


Dollar lifts 
Carnation 


U.S. interest in aluminium plant 


BY OUR OWN CORRESPONDENT 


RIO DE JANEIRO. May 16. 


LOS ANGELES. May 16. 

stitutions in the Wobaro group CARNATION COMPANY reports 

Financiere° Europeene^The a 7 per 1:6111 rise ln first quarter AN ALUMINIUM plant worth when the plant starts operating making running costs high and 

total asset of the banks con- net P rofit at S30.4m or 81 cents S120m planned for the Santa in the second half of 19S0. spending precious foreign 

cemed are S677m. The sale a share against the 75 cents a Cruz industrial area of Rio de Meanwhile. Sr. de Varvalho exchange, 

leaves one Wobaco group bank- share for the same peirod of last Janeiro is likely to have the par- said. Billington appears prepared However, CVRD has remained 

ing unit in Bank 0 f America's year. ticipation of Billington NV. s*b- to take up to 40 per cent of the „ h an r fc _ 

hands, which might be sold in The dairy an d food products sidiary of Royal Dutch/Shell, and shares, leaving Valesul. CVRD's nf tS°Wortd Bank to advance 
f u^e- Bank of America concerni whose MlCT In the Reynolds Metals of the U.S. newly-fonnedlubsidiary. with 55 v a wd a S75m lMn on favou^ 

would then be left with noth- quarter were 9 per cent ahead Sr. Eduardo de Varvalho, per cent ab?J rerSis as Ion “ as foreign 

ing but the trust companies a t S622m. says that there was a senior executive of Brazil's min- The project has come under nartnpns mu Id hp found With 

_ in the group- gain of 81.25m (against a loss of ing conglomerate Companhia heavy fire from financial and in- R. e n- V nnld« guarantee and thp 

B of A bought Full control of S4S0.0001 in tbe peirod due to Vale do Rio Doce (CVRD) has dustrial circles mainly because fi™; Sd- 

Wobaco earlier this year— it foreign currency fluctuations disclosed that Reynolds Metals its location places it at a good vXSJJ Jo? LJm? 
had previously owned just along with a charge in the latest has guaranteed a 5 per cent distance from Brazil's bauxite e a bbuieu. 

over 50 per cent with Toronto quarter of 81.5m for estimated shareholding in the Valesul pro- reserves in the - north, and 


Investors Group bid 

Investors Group, controlled 
by Power Corporation Ot 
Canada has increased its offer 
by CS5 to CSI00. to acquire 
the shares of Great-West Life 
Assurance it does not already 
own, reports our Montreal 
correspondent. Investors owns 
50.1 per cent of Great-West 
The company is filing the 
revised offer with the slock 
exchanges in tbe next few 
days. 


DYMO INDUSTRIES, the Call- in the midst of a record year 
fornia-based labelling rompany. and is actively seeking acquift. 
todav rejected the $45m take- tlon opportunities. Only last 
over bid bv the U.S. subsidiary' Friday, he pointed out. Dymo had 
of the Swedish paper and pub* repurchased 28 per cent of its 
lish'n" company. Esseltc. stock from its principal share- 

After a long meeting yester- holder. Price!, the French con- 
day Dvmo's directors said today corn, and was now in a position 
that Ewire's offer of $24 a share to pursue development as as 
wa< inadequate, and that they independent company, 
would recommend shareholders There was no immediate reac- 
not io tender their shares. tion from Essie's subsidiary, 

Mr. Clause Ganz. Dymo’s presi- Oxford Pendatlex, to th® 
dent, said that the company was announcement. 


EUROBONDS 

Debut of Canada issue 


BY MARY CAMPBELL 


Champion Spark deal 


Champion Spark Ping has 
agreed to buy a 94.4 -per cent 
Interest in Anderson a major 
maker or windshield wiper 
parts, repo ns AP-DJ from 
Toledo. The prices was not 
disrlosed. Anderson is privately 
held. The shares are being 
purchased from the John W. 
Anderson Foundation, a charit- 
able trust established by the 
founder of the company. 


Dominion as the other sub- costs in settlement of litigation, ject. with the possibility of in- because it will operate on the {jrSOTfrC MfCfflUO 

stantial sharebolder. Agencies creasing its share to 15 per ceat basis of imported alumina. GAMBLE SKOGMO the retail 

‘land mail group, reported a net 


Carter Hawley upturn 


New Issue 


All these securities having been sold, this announcement appears as a mat ter of \ record only. 




Gestetner Holding B.V. 


May 1978 


( Incorporated nith Hmitoi liability in the Netherlands) 


£10,000,000 

11 per cent. Sterling Foreign Currency Bonds 198$ 
Guaranteed by 

Gestetner Holdings Limited 


( Incorporated with limited liubiliiy in Enghmd) 


N. M. Rothschild & Sons Limited Morgan Grenfell & Co. Limited 
Manufacturers Hanover Limited 
Credit Suisse White Weld Limited 
Dresdner Bank Aktiengesellschaft 

Kredietbank S.A. Luxerabourgeoise 


Afin S.pJL- Rome 
AJgemene Bank Nederland N.V. 

A. E Ames & Co. Limited 
Amex Bank Limited 
Amsterdam- Rotterdam Bank N.V. 

Amhold and S. Bleichroeder, Inc. . 

Astaire & Co. Limited 
Banca Commerciale Italiana 
BancadeiGottardo 
Banca Nazionale del Lav ora 
Banca della Svizzera Italiana 
Bank of America International Limited 
Bank Julius Baer International Limited 
Bank Leumi le- Israel Group 
Bank Mees & Hope NV 
Bankers Trust International Limited 
Banque Bruxelles Lambert S A 
Banque Frangaise du Commerce Exterieur 
Banque Gen&raledu Luxembourg SA. 
Banque de I'lndochine et de Suez Paris 
Banque Internationale a Luxembourg SA 
Banque Louis-Dreyfus 
Banque Nationale de Paris 
Banque de Paris et des Pays-Bas 
Banque Populaire Suisse SA Luxembourg 
Banque Rothschild 
Banque de L'Union Europeenne 
Barclays Bank International Limited 
Baring Brothers & Co., Limited 
Bayerische Hypotheken-und Wee hsel- Bank 
Bayerische LandesbankGirozentrale 
Bayerische Vereinsbank 
Berliner Handeis-und Frankfurter Bank 
Blyth Eastman Dillon & Co. International 
Limited 

Caisse des Depots et Consignations 
James Capel& Co. 

Cazenove&Co. 

Chase Manhattan Limited 
Chemical Bank International Limited 
Citicorp International Group 
ConvnerzbankAktiengesellschaft 
Compagnie Mortegasque de Banque 
County Bank Limited 


Credit Commercial de France 
Credit Industrie! d'AJsace et de Lorraine 
Credit Industriel et Commercial 
Credit Lyonnais 
Daiwa Europe N.V. 

D G BANK 

Deutsche Genossenschaftsbank 
Den Danske Bank af 1871 Aktieselskab 
Deutsche Girozentrale 

— Deutsche Kommunalbank— 

Dewaay & Assoc ies international S.C.S. 
Dillon, Read Overseas Corporation 
Dominion Securities Limited 
Eurogest S.pA. 

Euramobiliara S.pA 

European Banking Company Limited 

Finacor 

First Boston (Europe) Limited 
First Chicago Limited 
Robert Fleming & Co. Limited 
Antony Gibbs Holdings Ltd. 

Girozentrale und Bankder Osterreichischen 
Sparkassen Aktiengesellschaft 
Goldman Sachs International Corp. 
Greenshields Incorporated 
Groupementdes Banquiers Prives Genevois 
Hambros Bank Limited 
Handelsbank N.W. (Overseas) Limited 
Hessische Landesbank 

- Girozentrale - 

Hill Samuel & Co. Limited 
Hoane Govett Limited 
E F. Hutton & Co. N.V. 

JBJ International limited 
Isthuto Bancario San Paolo Di Torino 
Kidder, Peabody International Limited 
Kjobenhavns Handelsbank 
Kleinwort Benson Limited 
Kredietbank N.V. 

Kuhn Loeb Lehman Brothers International 
Lazard Brothers & Co^ Limited 
Lloyds Bank International Limited 
Loeb Rhoades, Homblower Intemational 
Limited 

Merrill Lynch International & Co. 


Samuel Montagu & Co. Limited 
Morgan Stanley International 
Limited 

Nederlandsche Middenstandsbank N.V. 

The Nikko Securities Co., (Europe) Ltd. 
Nomura Europe N.V. 

Nordfinarjz- Bank Zuench 

Nordic Bank Limited 

Sal. Oppenheim jr. & Ciei 

Orion Bank Limited 

Osterreichische Landerbank AG. 

Peterbroeck, van Campenhout Kempen SA 

Pierson, Heldring & Pierson N.V. 

PKbanken 

Postipankki 

Privatbanken Aktieselskab 

Rea Brothers Limited 

Rothschild Bank AG 

Rowe & Pitmaa Hurst-Brown 

Salomon Brothers Intemational Limited 

J. S. Sassoon Inc. 

Scandinavian Bank Limited 
J. Henry Schroder Wagg & Co. Limited 
Singer & Friedlander LimKed 
Skandinaviska Enskilda Banken 
Smith Barney, Harris Upham & Co. 
Incorporated 

Societti Bancaire Barclays (Suisse) SA 
Soctete G6nfirale Alsacienne de Banque 
Society Generate de Banque S A 
Societe Generate 
Sofias S.pA 
Strauss, Turnbull & Co. 

Sumitomo Finance International 

Sun Hung Kai International Limited 

Svsrtska Handelsbanken 

Swiss Bank Corporation (Overseas) Limited 

Tokai Kyowa Morgan Grenfell Limited 

Vereins-und W&stbank Aktiengesellschaft 

J. Vontobel & Co. 

S. G. Warburg Co. Ltd. 

Westdeutsche Landesbank Girozentrale 
Dean Witter Reynolds International 
Wood Gundy Limited 
Yamaichi International (Europe) Limited 


loss of Sim for the first quarter 
of this year, compared with a net 
loss of 82.4m. in the 1977 quarter 
reoorts AP-DJ from Chicago. The 
1978 quarter loss is equal to 19 
cents a share. Sales increased 
to S4 15.1m from 8376.7m. 


Carter Hawley Hale Stores has 
announced net earnings for ihe 
first quarter of 26 cents. a rare 
against 22 cents prcriously, 
reports AP-DJ from New York. 
Total net earnings were 56.2m 
against $5.3m. Sales of $244Jtm 
compare with 5307.9m pre- 
viously. 


THE U.S. dollar sector showed 
few signs of weakening yesterday 
despite the gloomy forecasts 
being made by some com- 
mentators on U.S. dollar interest 
rate trends. What was difficult to 
judge was the extent to which 
the hopes for a rise in the dollar 
on the foreign exchange markets 
were offesetting interest rate 
considerations. 

The D-Mark sector by contrast 
remained relatively flat, despite 
dealers' expectations that prices 
today would react to the tem- 
porary stop in new issues. 
Yesterday was the first full day's 
trading in Germany since the 
decision to impose the stop was 
taken on Friday. 

Two new issues formally 
started trading yesterday. One 
was Norway's 5250m issue which 
had been priced at 99 J. Well over 
90 per cent of this Issue had been 
left with the underwriters, and 


the price foil well beyond tlu 
limit of the selling grouj 
discount. 

The other issue was Canada’) 
DM 600m blockbuster — thl 
started trading dealers said, a 
the limit of the selling group dir 
count, bui more because of th> 
largo size of the issue that 
because the terms were coo 
side red inappropriate. 

The Canadian issue hat 
attracted adverse comment it 
some quarters at times durini 
the offering period. Dcutschi 
Bonk said on Friday that tlu 
allocation averaged about 35 pci 
cent. 

Eurofima, the European rail 
ways institution, has launched it 
YlObn foreign bond issue on th> 
Tokyo market. Tbe issue terra, 
include a coupon of 6.3 per cen 
and an issue price of 99 * on a t 
year maturity (average life 10.3: 
years). Nikko Securities is icai 
manager. 


UNION MINIERE 




Registered Office: Ruedela ChanceUerie, HtXJO Brussels, Trade Register No. 13377 Brussels —VAT No. -I oiUV;". U;i. 
Co-ordinated Statutes have been published in tbe annexes of the "Mooiteur Beige" on March 23, 1968 and April 4, 1968. 


BALANCE SHEET AT 31 DECEMBER 1977 Men 


ASSETS 
HI. find ants 
A. Land and EoWirc 
C. Fomlma. aftuctes and sundries 
F.Gavs&judaaec 


(*) 


59.177.477 

16.908,434 

5.1SS.0S6 


fV. 


lUH'Tlfflfntl 
is con pa nos 
l.mveawm 
Amount to heeded op 


81.234,007 


10573.403.611 
- 68.546.886 


L Capital 

A. issued apfai 
HI. Resents 
ALepliesew 

C CapcdieiersTsniitsubi^.Ilttjw: 
D. teem amiable It d^i.auiwi 


UABtLITIES ("> 
areoAXLOOOiq 


anomjXHi 

3S.OT.I92 

11.536,952.873 


Z. Receivables 
B.AisoaaedawipMies 
L Imestments 
/tooDM lobe called op 


I0.KWit56.725 

138.097.483 


(3} 


984J67J27 
- 7.926750 


C. Otter long^enn imestmarts 
1 . antes 

1 Kba recavabfe deposits 
andguaraiittss 


976,440^77 

76.649J70 

1,919.190 


(a) 

(a) 


V. 


B 


rnxenaUes 


W. 


B. ifeUs amt oftar praduds 
*11. SboHra receiables (one year ud less] 

A. Vis'cE Imm flefcvfnc 
IP goods B9SW8S 

B. Otter reteitflbies 
Z Other debto 


11.750.963.345 

164723.070(0) 

lJ25.9£^7Sfr) 


N Profit caniedtmad 
V. Gins no rmloallon 
V)l. Ptwkhkk for expeases and lanes 

Hll. lowt-imapapWai'MieflbjnBtKyear) 

A Subc’dmatodluaii 
lNjti»T;erl!W! 

K Stol teiB papaUes i one rear and less} 

C rivalte arning Irmu goods 
and servxe; 

S. Tax de Ms aad pr Downs, social 
secwitusatanes and roses 

F. Other kon r . and piarantus 

C. Outer pejraWts 


(0 

1ZJ75.I6Z065 

51797,795 

620J15.365(7t) 

i.isij37jBan 


I3J93J00 


au5s.au 


1374)18.025 

5.85S.736 

l.I6IU56in) 


XJbcotjrisaSon accoonts- 


85^15340 
4.736 j£4.3Gl 


(0 

1323^92.102 
77 .5093070 


Vm.SborMBtndBposfc 

KCtsb 


•Bn a 


<C!.7M.S0Ira) 
4,559.402.61270) 
162.594 UW0) 
476.615.1:1 re) 

23^42308.114 


1 *d .23^808,114 



PROFIT AND LOSS ACCOUNT 1977 


EXPENSES 


1. Purchases 

B. Semes aad saidnes 


251,327.765 

I . Pordiases ami deiueries 

ICfStSlKOUEttlflfKrt 

Cost Ui carj lonrard 

4aj.;<55,449 
+ 2.845,459 
- 25J3I.636 

> 

C. Ppwud 


477.969^72 

1 RenciBffli'joJi.pacidK and ottw ppsonw) expenses 

1. Deprecaian and anortiabsn 

2. nKMows d siadis 

i. Provisions for losses and expenses (apprapnaSon +, disposal-) 

9 386.375 
55.138.10/ 

- 21 309.325 

705.561.931 

E Otter operatateespeua 


4a7l5 157 
I9.99ZJ2I 

Cost td Site tad semes 

1.441666.446 


JlatiiiigjBBaiai 

Imnr 


MBKmria7gpadiiaiR0ness,finab(d8Wls a tei^and 
«QU id profi7Cn 

opening mom 


REVENUE (•) 
1.M3.645.625 


(«cnsse+,dcoBJS 8 -) - IfifiJlMOS 


Sabs and snras IfiUXUH 


A. LonE*m debt aptnses 


B. Sbvrt lent debt daws («» yen and less) 

C. OOter Bswial npeiMS 

1. tWwtams on mwuments. loflg4era Miu.slntt-im 
hnestmuts and csrtenl suq 


671.683 

ZJMJ2S 


II. Finjna.il Hems 

ferae boa hnt-ltnn amstaeals 


2tt.7H.177 


— AnaibsMirtn al uptotanaii and pro peeing eaiRlKBS 
-WStdoisB oa jiksObhib 


2b7 121301 

341.713 MJ 


assets 

Olltn fiBJttcalrewB M 


.McDSaKou-fiMnoalctHiKs 


n08.Mi.iM3 

».')58.a56 


m 

(ml 


796.339.452 

(i^/.IKOW 


(n) 


668.S99.599 


nuKlaldtai^i 


A DejrscaSnn, 3*eifca*on,TBttt-dfl*ns, aroitJOBL tor 
cqmses tosses and pHBlgas 

3. Pimnsinm (or ewenses and tosses (awraorabna +,dRpaaJ-I 
B. Lass oa dapouts vt fiied assets 
C OtoaeazobmlEkarees 
0. IraosiK to resaw not subject to bcufiai 


tictptKmaldui&s 


67I.8S5J07 

III. Exceptional iIl-itis 

DepndatM.aavifiijKiorLmile'dnnaaEdpeusiojatoi 

- 30^20000 

5 Bnmuniaistirfcn lnt;» ntnjHhr sate 

39 fif-s T- fo) 3 131 

7C OT PibHI on dhnsaltd fiied asks 

WKieuejUtaml revenue 


FtantUmea* 


1.14U76.H9 


3.5M.077 

53637^54 


A PnH e( the petiOd 


luLrl 


C ^BfiitobecsTieljlorward 
0 Otwbwds b itwdnUm 
E-Dkedas 

fOCter ffla n priafa Ka 

H The letten reter to bn notts hi tbe aeeoaius. 


Total 


9 301.135 

V Ri.->utts or riu» xcouitrinn 
fJit.tt’O.CM 
2. 727X93 402 

Approorution of results (p) 

5I.,9( 795 Pratt ubied ta 

l. faMte BlIltCmiiw 
ISTxSi ifesotetowaWtawid 

6738223Q0 


».«: 911 
tf 8.019 
S.NftlJ* 


ticepbondmenM 


65453.534 


total ' ZT27JM3JU2 


•VfOlJHIW 
4 72.7H4H6 





<%■ 

/ > 


3 






Financial Times Wednesday May 17 1978 



29 



IN I KKN \riO\Al, I- 1\ \\jr l u AM) C OMPANY 


ENI takes up $250m Libyan loan 




may force 



BY DAVID CURRY 

'SOME SORT of legally-imposed 
lOiution, temporary or definitive, 
a the problems of the Boussac 
extile empire now appears in- 
vitable Col towing the declara- 
jon of a virtual state of war 
letween the group's managing 
lirecior, M- Jean-Claude Boussac, 
nd the family shareholders led 
,y the concern’s 89-year-old 
odnder M. Marcel Boussac. 

The rescue plan unveiled 10 
laya ago by the younger M. 
loussac involving the injection 
f family finance into the group 
, -filch is losing FFr 10m a 
oonth. further public subsldv, 
Dd the cutting of some 1,400 
pbs in the Vosges region has 
iOW been rejected by Govern- 
lent, unions and shareholders. 
The shareholders' meeting at 
be end of last week, in fact, 
ever properly took place. Share- 


holders disputed M. Jean-Claude 
Boussac's claim to command a 
majority of the votes and with- 
drew from the meeting. They 
then unanimously rejected the 
plan in informal session while 
M- Marcel Boussac associated 
himself with worker hostility to 
the proposed job reduction. 

M. Marcel Boussac was asked, 
m the rescue plan, to put some 
FFr 200m ($42.6ra) into the 
group via the abandonment of 
existing credits or the realisation 
or personal assets. While it is 
not excluded that he could 
swallow the further financial 
sacrifice, he apepars totally un- 
willing to collaborate with his 
nephew and there is even specu- 
lation that he is In private con- 
tact with the Government over 
the installation of a new manage- 
ment team 


PARIS, May 16. 

This would be very much a 
repeat of previous history, since 
the last few years have seen 
numerous new managing direc- 
tors who have all been refused 
the family co-operation neces- 
sary to take the group effectively 
m hand. 

The two main Government 
demands are for a further family 
contribution to group finances 
and the final appointment of 
professional management. It 
has shown withering contempt 
For the rescue arithmetic 
recently unveiled by Jean-Claude 
Boussac and his recently 
appointed right-hand man 
M. Jacques Petit. The first task 
of any new management would 
be to draw up a realistic rescue 
programme which might then 
qualify for state aid. 


Interfood to maintain profits 


Bk 


BY JOHN WICKS 

ROFITS Of Interfood SA. the 
ausanne parent company of 
ie Sue hard and Tohler choco- 
te concerns, for the financial 
'ear ended March 3 are expected 
■ be about the same as the 
wFr 7.73m ($3. 9m) recorded 
ir 1976-77. Shareholders have, 
ierefore, been told that it 
jould be possible to recommend 
nchanged dividends of SwFr 20 
er “A” share and SwFr 100 
er “B” share at the next 


annual meeting. 

While group turnover for 
calendar 1977 rose by over 7 per 
cent to SwFr l.lJHm, the group 
was affected both by the sharp 
rise in the cocoa price and the 
strengthening of the Swiss Franc 
exchange rate. A decline in the 
profits of various group com- 
panies was offset by an overall 
rise in sales and hy a continua- 
tion of rationalisation efforts- As 
part of further rationalisation. 


ZimiCH. May 16. 

the running of group activities on 
the Swiss market is to be 
centralised at the start of 1979. 

The shareholding in interfood 
owned for over 40 years by the 
French chocolate manufacturer 
Poulain was recently trans- 
ferred to CM Industries, a 
French group active in the 
cheraicaf. pharmaceutical and 
foodstuffs sector. Interfood is 
investigating the possibility of 
co-operation with this company. 


German 


raise more 
overseas 

By Our Financial Staff 

BORROWING by the West Ger- 
man corporate sector rose 
marginally in 1977 but the pro- 
portion of company debt raised 
outside the Federal Republic 
showed a sharp increase. 

Overall borrowing by com- 
panies moved up to just 
DM 63.8bn f$32bn) from 

DM 61.5bn according to the 
latest monthly report- from the 
Bundesbank. Borrowing outside 
Germany, however, rose to 
DM 18.7bn from DM U.4bn— 
or from 18.5 per cent of the total 
to a full 30 per cent 

The central bank said that in 
many cases the rise in such 
foreign liabilities reflected early 
payments for German exports by 
foreign customers to hedge 
against exchange rate risks 
rather than active borrowing by 
German companies in foreign 
markets. This is especially true 
for financing long-term delivery, 
where German companies often 
grant a fixed price in Deutsche- 
Marks. 

Meantime the latest pro- 
nouncements on capital spending 
by industry in Germany come 
from HWWA Institute for 
Economic Research. Investment 
in capital equipment may rise 
by 4 to 5 per cent In 1978, com- 
pared with a 5.7 per cent increase 
last year. Spending is expected 
to vary considerably from sector 
to sector. The construction and 
auto industries will benefit from 
a large rise In capital equip- 
ment spending. 


Bid Offer 

tkaichts 

leas Australia 81 Of 1889 9M 97] 

HEV 8 pc 1887 Sfii 97} 

HtHlU SiPC 190= BSi Mi 

satra&an M. & S. ainc Vi yj 871 

Midars Bank Si pc 1W-! ... 981 B7j 

nraier Sipc X9tt 971 9S| 

an. V. Railway Sipt I9S6 97 97; 

radii National alpc 19Y6... 971 98 

- enmarfc Sipc 19S4 190 lWt 

CS Bpc 1993 SSI 99i 

CS Sipc 1997 - • 951 Mi 

ib sipc iw: - -.- vs: »i 

MI 91PC 1989 ..... 98 Mi 

.. ricsson SIPC 1999 9*1 97 

Lgn Bpc |0S8 Nov 1811 192 

lflt7La>es paper SJpc-lflSS S3 981 

amerslra 9’nc 1982 • — 994 1«U 

rtro Goober Bpc 1992 .. 953 961 

3 »|ic 1987 97 99 

5E Canada 91 dc 19*6 ..... Wti M5 

tarminan Blnedol Spc 1992 953 991 

tjBseyl Ferausnu 9! pc *91 961 «7i 

Dchclin 91pc 198S ... . 102 1D2J 

BdlaDd Ini . Fin. Mpc -92 97i 931 

stfncal Coal Bd. Soc 1387 MJ 951 

stimuli Wsimnscr. 9 pc 'SB 101 191 i 

wftnmdbnd Spc 1939 . 1*9 Ml 

«nl)c lav. tm. 9*Bc 19M 9s\ MV 

MXH Rom. Blr. Sipc 1992 97} SKI 

unripe Sipc 1999 901 97i 

out Hydro S.'pr 1992 ... 96 96, 

-ho 9pC 1988 W»! W1 

: «m AWWWEMM flee 1931 VU 99 

*07. Owbcc 9pc 1995 951 M 

or. Saskaieh. Sloe 1930 W M2 

I Mtem jUonal Spc 1997 92 » 

. _J 9pr 1992 91 9ai 

dmtan Tnwi S2 pc 1989 . VI 9: 

.mod. Ensfcilda Dpi. 1S31 .. WJ !«** 

«r 8« 1957 irn 91 

Mini (K'di-nn :'1 «n s9o" 9i"- 97 

mod Dltvnr-. Spc 1953 . . T-> 951 

Mvo 8pc 1987 March ... 93 9J1 

-ores 

'osraiiv 7'jrc . 1555 ... S3; - 96 

« Canada VJpc JSF? ... . 9J; ?3; 

• r. Columbia BytL 71pc '35 9’> «4i 


SELECTED EURODOLLAR BOND PRICES 
MID-DAY INDICATIONS 


Bid Offer 

Can. Pact. Sipc 10S4 83* 09V 

Dow Chemical Spc 1986 ... 96 SSi 

ECS- 7ipc USS .... 9« 97 

ECS Sipc 15S9 954 96 

EEC 7ipc 1981 884 97 

EEC 7ipc IBM 854 Mi 

Enso Cutzelt Sipc J9M ... 96i 974 

Coiaverken 7Jpc 1982 934 SB 

Kockums Spc I9«ri 974 99 

MiLhelin Sipc 1B83 994 1D0 

Montreal Urban Sipc 1881 lM 1DD2 

New Brunswick Spc 13S* . . 97 97! 

New Brum. Prov. glpc m Wl VMM 

Now Zealand Sipc 1986 ... 98 98! 

Nordic 1BV. Bfc. 73 pc 1954 964 97 

Norsk Hydro 7;pc 19S1 97i 38 

Norway 71 pc 19S2 99i Vh ' 

Ontario H>dro Spc 1987 .. 95 D5J 

Sinner S’pc 1082 1D«4 301 

S. of Scot. Elec. Sipc IVSl 99i lOOi 

Sweden iK'domi <:pc 19«2 07 972 

Swedish Slate Co. 7iPC 'S3 974 SS 

Tclnicx Sipc I9S4 994 Ml 

TfiHH-cn Tire 1W7 May ... Ml 91 

VolkswaKc-n 7»c 1987 MI 954 

STERLING BOND5 

,UUi-d Bn-wcnca lOJpc HO 90 90! 

Ciluvrp Idpc 1393 91 911 

Court- -salds Sipc Wv9 £9! 904 

ECS Hlpc 19S9 94 95 

Eli: 9lyc 1953 M 95 

E1R B.'jc 1902 934 Ml 

(•‘manic (or Ind. OIpc TORT 804 PH 

Fidmi/m for lnd. inpc 1989 91 92 

Ftsons -lO'nc VJ?7 “MV 934 

itt-Kieii-'r Hpe 195* V\ 9*2 

IN V I '.pc Mi . 91i 

Rnwnin-A Wipe 19SS SOI ' 3D! 

Sear; 102 pc 1»S>S 871 ■ !' n 2 

Total O-l Pipe 19SL SJ ; P-l . 

DM BONDS _ 

.\siatt Dev. Batlii 3;pc 1998 9« 9>s 


Rid Offer 

BNDE Blpc 1(«fi 96| 971 

Canada i.'pc |9M 98 tei 

Don Norfke Id. Bfc Spc 90 98 983 

Deutsche Bank 4Jpc 1P83 .. 9S BSI 

ECS 5‘p,' 1»9B 9A4 

EIB 3»pe 1990 93* snj 

Elf Aquitaine Hpc 13SS ... 951 964 

Euratom 3;oc 1987 98* 094 

Finland Sip,- 1986 98 Mi 

Forsraarks Sipc 199D 98 98| 

Mexico 6 pc lBSfi 9a* 96 

Norcrnt Sipc T«S9 B9| 71*01 

Norway -line TO »4 l«t* 

Norway 4!pc 1983 974 984 

PE B.inken 3!pe WSS 93J 864 

Prnr. Ouchec Spc 1996 W4 974 

Rnutaniukki 5 >pl- 19k8 ... 96 97 

Spain (pc ]9<iS 95 951 

Traiidh-'-im 5 ;pc lvSf 97! 9S4 

T\’0 Power Cv. Hoc 19SS ... 974 M 

V.?n«-v»la Hpc 10ri 974 Ml 

World Bank 52pc 1990 98 9Si 

FLOATING RATE NOTES 

■Bauk or Tol-yo 19S1 7l3i„pc 99| IWi 

P.FCE 1994 8 '.PC PM 1004 

BNP JW1 S' if pc lOOi 10 If. 

CCF 19W Sp.- 100 1001 

CGJ1F 19*1 71pe »i 10“ 

Cn-iiiiatistall 19R4 7int- SMI 1601 

-Lyonnais 1892 Spc... W 1*01 

Dtl Bnak M3? 7l5j»pc 1064 1 M; 

r,?.b ivsi si| V pc 1004 ioi 

lntl. Wcsiminsirr 1931 8pu 9v! 1004 

Uovds 1083 72pc 1004 10W 

LTi.'B 1987 spc 931 1004 

Midland ’08-2 Spc Ii>l 30li 

.".lidljnil 1937 7U| b pc 992 1002 

one is?3 vtpc ion iw 

SVCF. 1J»5 Ripe 992 iVM 

Sidi anT CSrrrt. ‘SI Tlli&pc ' V**; luOJ 

Woa.aM Giya’s ’Stl 81 lb pc 094 1001 

Sour. - ?: While Weld Sccunhes. 


Bid Offer 

CONVERTIBLES 

American Express 4 4 DC ’87 89 901 

Ashland 5 DO lBSS 95 B6I 

Babcock A Wfioox S3 pc V7 1 034 102; 

Beatrice Foods 4 3 pc 1092 .. 984 190 

Beatrice Foods Upc 1992. „ iim l(u 

Bcccham filpc 199! 971 9SJ 

Borden 5pc 109! 1004 102 

Broadway Hale Cpc 19S7... 70 SO! 

Carnal ton 4pc 1987 78 1 80 

Chevron 5PC 19S9 137 13SJ 

Dan 4! pc 1987 Sti 83 

Eastman Kodak 4? pc 1988 S64 S8 

Eranonuc Labs. 42pc 19S7 7B S0| 

Firestone Sac 1988 84 854 

Ford Spc 1988 014 M 

General Electric 42 pc I9S7 88 

Gillfffe 45pc 1987 79 804 

Gould 5 pc 1987 1174 119 

Gulf and Western Spc ipss 06 914 

Harris 5pc 1992 179 1?1 

Honeywell 6pc IBM 90 011 

ICI S2pc \M2 S74 88i 

IK A tfpc 1907 9B1 9S 

fnthcape 6ipc 1992 1192 1202 

ITT 4.'uc 1M7 934 85 

Jusco 6pc 1902 Ill 112 

Komatsu 7Jpc 1990 1234 126J 

J Hay McPccnon 42 pc -87 17J* 173J 

Matsushita 6,’pc 1996 1642 lnsj 

Mitsui 7‘pc 1999 120* 12U 


J. P. Moreau 4*pc 1987 ... 161 

Nabisco 52pc 1988 101 

ftwens Illfneis Ijpc 1997 ... m| 

J. C. Penney 4!pc 19S7 ... 79 

Revlon 4}pc 1997 1194 

Rcynnlds Metals 5pc 19S8 87 

Sandctk dm- 1038 109J 

Sperry Rand I’pc 1987 . .. 93 

Squibb 41pc 18S7 82 

Texan* 1' : pc 1998 821 

Toshiba 62 pc 1992 124| 

Ty Co. ape 1994 ITS 

Union Carbide 42nc I9S2 . 9fl 
W'arucr Lambert tine 1037 834 

Warner Lambert Atpc 1988 78 

Xerox ape IMS SO 

Source: Kidder. Peabody Securities. 


BY PAUL BETTS 

ENI, the Italian state hydro- 
carbon group, has successfully 
negotiated a 5350m five-year 
loan with the Libyan Arab 
Foreign Bank. ENI confirmed 
to the Financial Times today. 

The Libyan bank is already 
the second largest single share- 
holder in fihe Turin Fiat car 
group following the celebrated 
S450m deal finalised In 
December 1976. The hank has 
also effected a number of other 
investments in Italy, especially 
in the tourist sector and in 
real estate- 


ENI said today that the loan, 
negotiated by the Italian 
group's Nassau-based com- 
mercial banking institute 
Tradinvest Bank, was mainly 
aimed at increasing the oil 
company's activities in Lihys, 
currently one of ENIN 
principal sources of crude and 
an important supplier of 
natural gas to Italy. 

. The Italian company said a 

□umber of Italian banks were 
also involved in the funding 
which is understood to be at 
current rairket rates. Over 
the past few months, ENI has 


ROME. May 16. 

raised some SGOOm on the in- 
ternational market. 

The Libyan bank loan is 
believed to be the biggest so 
far made by the Tripoli-based 
institute set up together with 
tile National Investment Com- 
pany to manage the North 
Alricau country's petrodollar 
surpluses. 

Tbe Italian oil agency also 
reported today that its engin- 
eering subsidiary, Sal pc m, was 
grouted a S20m. six-year loan 
Irom tbe Milan branch ol 
Citybank of the VS for its 
activities in Algeria- 


MoDo sets capital yield target 


BY WILLIAM DULLFORCE 

MR. MATTS CARLO REN, man- 
aging director of MoDo, has just 
outlined to his annual general 
meeting the strategy and condi- 
tions required to bring the hard- 
pressed Swedish pulp and paper 
company out of its current finan- 
cial trouble. Last year MoDo 
slumped into a Kr.229m (S49_Sm) 
loss and passed tbe shareholders’ 
dividend. It will sustain another 
big Joss this year. 

For a heavily indebted com- 
pany — MoDo’s current interest- 
bearing debt is around Kr2bn 
(S435m>— the key indicator was 
the return on total capital em- 
ployed, according to Mr. Carl- 
gren. During the next five years 
MoDo’s target had to be a mini- 
mum annual return of 10 per 
cent 

A sharp curb on investments 
and a reduction and speed-up in 


the turnover of working capital 
could cut the outstanding debt 
to Kr500-700m in five years. 
After spending Krl,4bn on 
capital investments over the last 
four years, there was little risk 
in taking a breather on the in- 
vestment side. 

Assuming an average rate of 
inflation of S per cent a year 
over the next five years and a 
capacity utilisation or S5 per 
cent in the company’s mills. Me. 
Carlgren gave three alternative 
developments in pulp and dollar 
prices, which would allow MoDo 
to meet its 10 per cent capital 
yield goal: 

An unchanged rate of Kr4.60 
to the dollar and a S90 increase 
in the price of bleached sulphate 
pulp to Kr410 a tonne: a return 
of the dollar rate to Kr4.90. the 
level at the time of tbe krona 
devaluation in August, and a 


STOCKHOLM. May 16. 

pulp price of $385 a tonne; and 
bn increase in the dollar rale to 
Kr5.20 and a pulp price of 8360 
a tonne. 

Mr. Carlgren helieves the pulp 
price will improve from its 
current level of around $320 a 
tonne, but "a rise in the dollar 
rale is highly uncertain and less 
likely in the short term." How- 
ever. the purchasing power of 
the krona in Sweden was at 
present about 20 per cent lower 
than that of the dollar in the 
U.5. and a re-adjustment of rales 
would eventually have to come 
about. 

MoDo’s first quarter perform- 
ance was “strongly negative" 
but some improvement was on 
the way, Mr. Carlcren said. The 
liquidity situation was under 
control and the cumpanv had 
sufficient reserves to cover the 
loss anticipated this year. 


Modest rise 
in Heineken 
first half 


UkJlJLA^h 

By Our Financial Staff 
NET PROFITS higher by just 

2 per cent at FIs 37.9tn are 
announced by Heineken the 
Dutch brewer for the first half 
of the year ending next Septem- 
ber. 

The result represents a signi- 
ficant slowdown in earnings 
growth compared to Heineken ’3 
performance over the previous 
year when net profits rose by 
almost a fifth. However, the 
company is " reasonably opti- 
mistic" about the outcome 'of 
197T-7S as a whole. 

Trading profits for the first 
hair, rose to FI SB. lm from 
FI S0.9in on sales 13 per cent 
higher at FIs lJbn despite first 
quarter held back by dock 
strikes in North America. 

Heineken is Holland's largest 
brewer with a share of the 
Dutch beer market which ex- 
tends lo more than SO per cent. 


Peugeof-Citroen 

IMPRESSIVE DIVIDEND state- 
ments emerged yesterday from 
the motor division of Feugeot- 
Citroen, when* profits rose 
sharply in 1077, uur financial 
staff writes. Automobiles Peugeot 
is lifting its dividend by more 
than (wii-tifilK to FFrs 17 while 
at Automobiles Citroen a return 
to dividend payments is being 
made a Tier an absence of four 
years. Citroen is nay mg FFrs 3 
acnfnst the FFrs 9 last paid in 
1972. 


MEDIUM TERM CREDITS 


Size of Mexican loan doubled to 


BY MARY CAMPBELL 

THE SIZE of the three-year ex- 
tendable Euromarket credit for 
Mexico's Banco Nacional de 
Comercio Exterior will be more 
than doubled from the $250m. 
originally scheduled, banking 
sources said yesterday. Tbe 
books are currently in the course 
of being closed and the amount 
of the loan will certainly be set 
at more than $6Q0m. 

Sharp increases in the size of 
loans have recently become a 
regular feature of the syndicated 
lending market. One of the most 
extreme examples was the Philip- 


pines loan of $500ra.. originally 
scheduled at S25dm. 

The Bank of Greece has also 
increased the size of its loan 
from the S25flm originally 
scheduled. The ten-strong man- 
agement group for this loan is 
now complete, and a particularly 
noteworthy point is that it is 
being put together virtually with- 
out the help of the U.S. banks. 

Apart from Bankers Trust 
International, there are no 
U.S. banks in the group, although 
several are understood to have 
been invited. It is thought that 
the U.S. banks" objection stems 


from the fact that the margin 
being paid over-inter rates has 
been s.et at the relatively low 
levels of B of a percentage point 
for the first three years rising to 
3 fur the remaining seven. 

The nine-strong management 
group has tidw also been fixed 
for the Iranian National Gas 
Company's 8300m loan : again, 
apart fromChasc Manhattan Ltd., 
the lead manager, no U.S. hanks 
are involved. 

Korea's two-tranche loans is 
being raised from the S30Qm 
originally scheduled to S500iu. 

The large increase in the size 


of the loan for Banco Nacional 
de Credito Exterior is due par- 
ticularly to demand from smal- 
ler banks, including regional 
banks in the U.S, which are not 
normally large-scale lenders fa 
the Euromarket, banking sources 
said yesterday. The particular 
attraction is the banks’ option 
to get repaid at the end of three 
years v»r to renew for further 
periods up to ten yars— many 
hank* apparently are wary nf 
committing I hem selves for the 
long maturities common in this 
maTket now. 


SOCIETE ANONYME 

Registered Office: Rue de la Chancellerie 1. Brussels 
Brussels Resristre du Commerce Nr 13.277 


NOTICE TO SHAREHOLDERS 

Shareholders aie invited to attend the Annual General 
Meeting which ’.till be held on Thursday. 25th May. 107S. at 
.10-30 a.m. in the office of the “ Societe Generate d»* Belgique." 
30 Rue Ruyate". Brussels. 

AGENDA 

1. Reports- by the Board of Directors, the Auditing Com- 
mission and the Legal Auditor for the financial year 1977. 

2. Approval of the . annual accounts eloped as of 31st 
December. 1977. distribution of the profit. 

3. Discharge to be granted to the Directors and Auditors. 

4. Statutory appointments. 

In order to be admitted to this meeting owners of bearer 
shares must deposit their shares not later than Friday, 19th 
May, 197S, with any one of the following banks: 

In Belgium: with “Societe Generate de Banque." in Brussels 
or any of its other offices and agencies; 

In France: with “ Banque Beige iFrance)," Rue Volncy 12. 
75002 — Paris: 

. In the Netherlands: with “ Amsterdam -Rotterdam Bank. 
Hercgracht 595, 1001 Amsterdam. 

Owners of bearer shares will be admitted to the meeting 
on producing a statement from one oF the above banks 
mentioning the identity of the owner of the shares and 
certifying that the shares will remain deposited from 19th 
to 25th May, 1978, inclusive. 

Owners of registered shares must advise the company not 
later than Friday. 19th May, 197S. of their intention to attend 
the meeting or tn be represented. 

Proxies, conferred according to Article 30 of the Articles oF 
Association, must be deposited not later than Friday. 

May, 197S. at the company's registered office. Rue de la 
Chancellerie 1. Brussels. Proxy forms arc available to share- 
holders at the company’s registered office, and also at the 
above-mentioned bonks. 

THE BOARD OF DIRECTORS 


EUROPEAN OPTIONS EXCHANGE 


CREDITANSTALT — BANKVEREIN 

U.S.$40.000,000 Floating Rate Notes 1984 
dice is given pursuant to condition 3 ld> of the terms ah 
editions of the above-mentioned Notes that the Rare 
terest (as thereon defined) for the J^terest P®nod ( 
man defined) from lSth May. TVS* to 20tb November, IS**- 
at the annual rate of Si per cent. The US. Dollar amouP 
which the holders of Coupon No. 3 will be entitled on duty 
renting the same Tor payment on 30th November. JJ 
U.S. Dollars 43.92, subject to such amendments theret 

ido by European- American Bank & Trust Compaq 
incipal Paying Agent (or appropriate alternative 
mts by way of adjustment made hy the Principal Pa> i 6 
tent, with the consent of Lloyds Bank Limited '.as TWstee) 
thout further notice, in the event of an extension 
irtening of the above-mentioned Interest , Period^ ■ 

EUROPEAN BANKING COMPANVLMTED 
h May, 1978. — 


| Oinhm 

1 Mm: 

Avfiy 

j Voi. 

Oil. 

Cl. ft- V.J. 

5nD. 

i Close Vol. 

Kiimtr 
• fli*ti 

| E. K-.«uk 

.*00 

13ij 

’ — 

151- 



! 15>., 


J f55l 8 

B K. Kl.Ih k 

S45 

105j 



11 

2 

i 115; 

1 3 


3 E. k<«l»U 

K5G 

, 

; ea 

71: 

8 


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$60 

1»* 

, 1,9 

3 

5 

I 37b 

! 23 

1 » 


PSD 

14>| 

1 - 

IZh 

2 

! 141* 

1 - 

P633b 

8 CM 

$60 

Si, 

- — 

bio 

11 

i &i* 

I 20 


B (;31 

$70 

'* 

! 5 

1U 

3 

! 15; 

1 - 


3 IBM 

$240 

28ii 

. * 

31 

5 

| 34J, 


526814 

8 IBM 

$260 


3 

165, 

1 

20 


— 

Q IBM 

S280 

3-a 

35 

7j,a 

6 

11 

It 


H AtamiiMip 

FSS'J 

2b 


27.00 

— 

26 

6 

F348 

g AJ^vmtno 

FJ40 

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— 

19.00 

— 

: 2i.oo 

3 


g AlyninellB 

PS 50 

12.00 

6 

12.00 

— 

, 14.00 

1 


g Amn- 

P70 

8.50 


6.50 

10 

’ 10.00 

9 

F76.90 

3 Am iv. 

F75 

4.00 

— 

5.30 

— 

S.80 

3 

.. 

1 Awn. 

V80 

2.S0 


2.60 

— 

2.60 

4 


y x*i Noi 

PIOO 

13.50 


13.80 

4 

15.00 

1 

*i l.io 

B \ai .\4il 

F1I0 

5.70 

10 

B.OQ 

6 

, 8.10 

10 


H j'hilii- ■ 

1-22.50 

3.4P 

— 

3.70 

— 

4.00 

— 

FSS4.90 

fl I'lUU|-i 

F25.00 

1.10 

14 

1.B0 

18 

: 2.io 

10 


H Pliiliift -F27.5Q 

0.3Q 

5 

1.00 



1.40 

7 

P 129. 50 

l(. U. Slrrll 

PI 20 

10.00 

7 

9.80 

6 

10.00 

4 

Jf. (». Slirll 

nso 

2.40 

6 

3.60 

107 

4.70 

61 


M. n. siicit 

T140 

0;50 

- 

1.10 



2.00 

— 


l ni Icrtr 

FUO 

5.50 



9.70 

3 

6.20 

• 6 

F 114.50 

l nilt-ier 

P1ZO 

0.60 

l 

1.70 

IB 

2.SO 

1 


Lmleier 

P130 

0.50 

— 

0.70 

— 

1.70 

— 

M 



May 

Aiunut 

( Xweraticr 


HP 

700|. 

— 


— 

— 

— 

— 

874p 

BP 

750p 

— 

— 


■ 



1 M 

BP 

BOO|. 

— 

— 

- 

— 


— 

„ 

It EC! 

2O0p 

— 

— 

— 

— 


— 

250p 

CEC 

225(i 

■ 



— - 

— 




„ 

GKO 

250(i 

— 

— 

— 

— 

f 

— 


l.T fcilJ 

275(1 

— 

— 

— 

— 

■ 

— 


HU 

300(1 

— 

— 

— 

— 

— . 

— 

362 P 

9 ici 

325(- 


— 

— 

— 

— 

— 


1 HI 

350p 


— . 

— 






8 lci 

375 p 


— 

— 

— 


— 




THE LONG-TERM CREDIT BANK 
OF JAPAN, LTD. 

Negotiable Floating Rate U.S. Dollar 
Certificates of Deposit 

Maturity Date 18 th November 1980 

In accordance with the provisions of the Certi- 
ficates of Deposit notice is hereby given that 
for the six month interest period from 18th 
May 1978 to 20th November 1978 the 
Certificates will carry an Interest Rate of 
eight and nine-sixteenths per cent (8 ^ %) 
per annum. 

Agent Bank 

Manufacturers Hanover Limited 


0STERR5ICHISCHE KONTROLLBANK 
AKTDENGESELLSCHAFT 

U.S, $40,000 ,000 Guaranteed Floating Rate Notes 1982 
Notice is hereby given pursuant to Condition S of the Terms 
and Conditions of the above-mentioned Notes that the Rate of 
Interest (as therein defined.! for the Interest Period (as 
therein defined) from 17th May, 1978 to 17th November, 1978 
is at the annua] rate of Bg per cent The U.S. Dollar amount 
to which the holders of Coupon No. 4 will be entitled on duly 
presenting the same for payment will be U-S.844.0833 subject 
to appropriate adjustment thereto (or the making of other 
appropriate arrangements of whatever nature) which we may 
make, without further notice in the event of an extension or 
shortening of tbe above-mentioned Interest Period. 

EUROPEAN BANKING COMPANY LIMITED 
on behalf of 

EUR OPEAN-AMERI CAN BANK & TRUST COMPANY 
17th May, 197S. (Fiscal Agent) 


(£ millions) 


Combined 


SALES TO THIRD PARTIES— Combined 

— Limited 
— N.V. 

OPERATING PROFIT 
Non-recurring items 

Concern share of associated companies' profit 
before taxation 

Income from trade investments 
Interest 

Interest on loan capital 
Other interest 

TOTAL CONCERN PROFIT BEFORE TAXATION 
Taxation on profit of the year : 

■.Parent companies and their subsidiaries 
Associated companies 
Taxation adjustments previous years: 

Parent companies and their subsidiaries 
Associated companies 
Outside interests and preference dividends 
Outside interests 
Preference dividends 

Total concern Profit attributable to ordinary capital 
at rates of exchange ruling 31/12/77 
Difference arising on recalculation of 1 978 results 
at end March 1978 rates of exchange 

TOTAL CONCERN PROFIT ATTRIBUTABLE 
TO ORDINARY CAPITAL 

— Limited 
— N.V. 

Earnings per 25p of capital 


1978. 

2,289 

1977 

2,222 

988 

1.301 

961 

1,261 

106.2 

118.0 

16.8 

0.3 

(12.7) 

13.4- 

0.3 

(7.7) 

(10.9j 

fl.S) 

(11.5) 

3.8 

110.6 

124.0 

(50.7) 

(8.5) 

.(61.6) 

(6.2) 

(0.2) 

(2-0) 

(3.2) 

(3-2) 

(3.2) 

(2.3) 

(0.9) 

(2.3) 

(0.9) 

46.0 

49.8 

1.4 


47.4 

49.8 

28.4 

19.0 

31.3 

18.5 

12.76p 

1 3.41 p 


Increase/ 

(Decrease) 

+3% 


-00?*) 


-(11%) 


-( 8 %) 

-(5%) 

-(5%) 


Exchange Rates As has been our practice the results for the q uarter a nd the comparative figures for 1 S77 have been calculated 
at comparable rates of exchange. These are based on £1 =* FI. 4.36= U.S. si. 91 . which were the closing rates of 1 977. Total Concern 
profit attributable to ordinary capital for the first quarter has also been recalculated at the rales of exchanne current at the end of 
March 1978 being based on £1=FL 4.01= U.S. 41.86. 


Results 

Although sales value was up by 3 per cent, the volume of 
sates was about 2 per cent lower than in the corresponding- 
1977 quarter. 

In Europe both consumer and industrial markets remained 
depressed. Our businesses in edible fats and detergents 
achieved improved margins and higher profits in total, but 
in other consumer groups profits fell short of 1 977. In the 
industrial groups such as chemicals and paper, plastics and 
packaging, results too were lower than in the corresponding 
quarter of last year. 

In North America, total results were very close to the 1 977 


level. In other overseas countries last year's good 
performance was maintained. 

In the UAC International group, results of consolidated 
companies were again goad. j 

Sales and profits of associated companies, particularly 
those in the UACI group, were well above those of 1977, 

With lower interest earnings on cash balances there was a 
net deduction in the quarter in respect of other interest. 
Taxation adjustments in respect of previous years were the 
result of a tax increase in Nigeria. 

16th May, 1978 


Unilever Quarterly Results are reprinted in leaflet form. 

If you wish to be included in the mailing list for these leaflets please write to : 
Information Division, P.O. Box 6fi, Unilever House, London EC4P 4BQ. 


Part of everyday life, in 75 countrlel 





«rV 


v ** yq .,- 


IMKRWnOWl, FINANC IAL AND COM PAN V NEWS 




Bid activity maintains 
fast pace in Australia 


BY JAMES FORTH 


SYDNEY. May 16. 


TAKEOVER ACTIVITY in AUS- that if Dalton holders re-invested tics and packaging group, Aus- 
tralia has been maintained with the AS1.40 in bank-backed tralian Consolidated Industries, 
the diversified industrial group, finance company debentures, is being mentioned as the 
W. R. Carpenter Holdings, mak- they would lift their return from favoured candidate, 
ing a bid for the paper and print- 9 cents a share to 15-4 cents. The SA. Cold Stores counter- 
ing group, Dalton Brothers Hold- The offer price was more than bid came from Metro Meat 
iwgs. double the 66 cents prevailing which is a large exporter of 

At the same time the electrical In the market 12 months ago and carcasses and boneless meat to 
appliance group. Vulcan Indus- 55 per cent higher than the price the Middle East The bid was 
tries, announce that it has held at the start of 1978. The offer somewhat of a surprise as P & 0 
talks which could lead to an represented a continuation of already holds about 21 per cent 
offer, while P. and 0. Australia action in recent years to expand of the capital of SA Cold Stores, 
has found a rival bidder for SA. Carpenter's profit base Of its P & 0 already bas cold storage 
Cold Stores. Australian activities. interests in Brisbane and Sydney 

Carpenter already holds a 38.2 Apart from island trading and is interested ■ in SA Cold 
per cent, stake in Dalton and has activities, the group is involved Stores to increase its penetra- 
two representatives on the Dal- in signs and lighting, finance and tion in South Australia, 
ton Board. If the bid Is success- property, insurance and apparel. Metro revealed that it was 
ful it would cost Carpenter about and wine. already studying the possibility 

SA9.5m. (SU.S.10.7m.). Vulcan directors gave no indi- of building a cold storage works 

Carpenter is offering SA1.40 a cation of the identity of the at Adelaide, and sees the 
share which compares with to- company it was holding talks offer as an alternative strategy, 
day's closing market price of with, but said that an offer for It is seeking a minimum of 51 
SA1.25 and a net asset backing ail the shares may be forthcom- per cent of the company, 
of SA1.50. ing. The Metro offer Is SA2.25 cash 

Carpenter's directors said the Vulcan bas 22.3m shares on a share, and values SA Cold 
Dalton Group would continue to issue which have moved up on Stores at compared 

operate as in the past with no the market from SAI.60 to SA1.85 with P & O's bid of SA2.17, or 
management change. They were over the past week. An offer SA4.33m. 

confident a closer relationship around the current price would SA Cold Stores directors will 
would work to the mutual advan- require more than SA40m. which meet on Friday to consider the 
tage of both companies. would require a major company offers and make a recommenda- 

The Carpenter Board added as the bidder. The glass, plas- tion to shareholders. 


Sime Darby is 
U.S. $12m in 




e 


SINGAPORE. May 16. 


Alliance Tire 
earns less 

By L Daniel 

TEL AVTV. May 16. 
ALLIANCE Tire and Rubber 
Company — Israel's producer and 
exporter of tyres — reports a 
decline in profitability for the 
first quarter of this year, despite 
a 45.4 per cent, increase in sales 
from If 186.3 m to l£27lm. 
(SI7m). 

Net consolidated profit came 
to t£S.5m (S520.000J, against 
L£9.3m. in the same period of 
1977, and I£3.99m one year 
earlier. 

The marked growth in the sales 
reflects primarily the rate of in- 
flation and devaluations, while 
the lower real profit is the result 
of deteriorating conditions on 
international tyre markets, 
according to Alliance president. 
Mr. J. Ra'anan. 


TOKYO, May 16. 

NIPPON SHrNPAN, a pioneer in Net income per share rose to 
consumer credit in Japan, raised Y2U51 from Y17.26 . ' 
its net income in the year to .The company, which is tapping 
K .. 0R , the international caoital market 

v-> ? L 1 Nn rr P ^r wlth a DM 50m convertible bond 
31on (S10.3m>, from Al.SLabn due j n 1955, sajj that credit 

in 1976. sales revenue was up 38 per 

Revenues increased 32.9 per cen * to Y266.658bn, or 72.6 per 
cent to Y353.02bn fSl.fibn) from of thp down from 

Y265.594bnv JJ* per Cent m ** P rev,ous 

The company predicted that. Consumer loan business was 
net income in the current year up 37 per cent to Y47.06bn, while 
will rise some 26 per cent, to housin'* related husin»ss rose 2 
Y2.910hn on revenues of per cent to Y39.1Sbn. 

Y441.5bn. up 25 per cent AP-DJ 

Profits fall at Komatsu 

TOKYO, May 16. 

KOMATSU, the world's second machinery increased 6.9 per cent 
_ • I largest producer of construe- to Y321.12bn. equivalent to a 

l^ianon gain tion machinery, has reported a 75.7 per cent share of the total, 

CLARION Company net profit in- 1 15.2 oer cent, fail in consolidated against 74.5 per cent a year 
the half-year to March 31 rose to; net income for 1977 to Y12.79bn earlier. 


Y7S9ra (S3.5ra>. from Y774m in 
tbe same period a year earlier. 
AP-DJ reports from Tokyo. 

Sales were Y25.71bn (6114m), 
against Y22.73bn. 


fS5S.9bn). from Y15.09bn in the Sales of industrial vehicles 
previous year. fell S3.2 per cent to Y4.56bn. 

Consolidated sales were up AP-DJ. 

5.2 per cent, to Y424.46hn * ★ * 

_ . „ J (Sl.flbn) from Y403.38bn. 

The company, tbe top maker of j Domestic sales rose three per Komatsu Forklift, the Komatsu 
car radio and stereo sets, forecasts (cent to Y244.S2bn, and overseas subsidiary, has boosted its 
for the full year net profits of! sales gained 8.4 per cent to net profit from Yl.Mbn to 


NZ Forest 
Products 
raises 
dividend 

By Our. Own Correspondent 

SYDNEY, May 16- , . . , 

NEW ZEALAND Forest Pro- {THE DISPUTE over ownership Tiu and others, the group added, 
duels has raised its dividend ! of Golden Bay Realty (PTEl be- Of the area of the complex, 
despite a 19 per cent decline ! tween Sirae Darby Holdings and 45 per cent, has been sold in 
In earnings for the year to • Mr. Chug Heng Tiu and others line with (he original intention 
March 31, caused mainly by j has been settled out of court, of the vendors, t no group said, 
depressed local conditions and Sime Darby said today. Shares totalling 4m sot asl .,^ 

lower prices and margins on The latter's appeal against an for the purchase of the realtj 
export markets, particularly j arbitrator's decision m 1977 that company, plus 1 a bonus «««. « 
for pnlp and paper. |Sime Darbv was entitled to retain 4m shares. n J \ c net n s ns a to 

Profit for the year fell from \ ownership of Golden Bay Realty. Pcrmodaitin N as tonal Berhad for 

** n ” * ““ “ 1 xas ntTkh*»M Hti Binoannr* High nnjSlb ( L .S.- i — nil. 

“ The ^harc sale and the 

Under the agreement. Sime settlement ““ 

Darby has received SSJDm locked more ihjn Win ringsil 
(tLS.Si2.3m) in cash, while ( , . , .S.,S!b.hin) for further imtfbt- 
shares in Golden Bay Realty, ment in areas where higher 
which owns unsold portions of returns are aiatlab ic. SWJJP 
the Orchard Towers office com- chief executive. Mr. James Colt 
pies, have been re- transferred said, 
to the vendors, Mr. Chng Heng AP-DJ 


NZS 25-3m to NZS SO^m, ' was upheld by Singapore High 
although sales edged up from j Court. 

NZS 267m to NZ$ 284m. The ; ,: - J 


from 


dividend is increased 
14 cents to 15 cents. 

Steps taken by the 
Zealand Government to make 
finance more readily available 
should provide some impetus 
to home building and home 
improvement, and create a 
higher demand for building 
materials and supplies, the 

company’s directors said. 

The international surplus 
stocks of pulp and paper, 
especially pulp, were diminish 


Share offer at Edworks 


JOHANNESBURG. May 16- 


BY RICHARD STUART 

ing and by the end of this year ; EDWORKS, tbe South African is attempting to settle 
a better balance was expected, j footwear group, quoted in fair price for the bid to be 

London, bas suspended its shares nL .{ assel value of Edworks 

as a prelude to a bid being made is nou . over 330 cents a share, 
by tbe controlling shareholders 0 f W h;ch iwn-t birds consists of 
for the minorities. Edworks is net current assets- 
one of the few local groups A severe slump in profits over 
which has both- voting and non- the past two tears is responsible 
voting ordinary shares and is For the differential between 
controlled by the Dodo family. share price anti asset value. But 
There are 2.5m voting and interim profits announced in 
3.5m non-voting shares in issue. February showed the^com party as 
Edworks shares were suspen- recovering, with a 50 per cent 
!ded yesterday after last trading rise in profiis. 
a! a price of S5 cents, more than 


Howard Smith 
riphts issue 

By Our Own Correspondent 

SYDNEY, May IS. 
HOWARD SMITH, a mainr 
shipping, sugar, engineering 
and coal group, plans to raise 
A$20.8m through, a one-For- 
four rights Issue 


This recovery corresponds with 


Shell Refining setback 


to share- _ _ _ 

holders. The directors said i double "the** lowest ’level - Tn the other Footwear groups that have 
the issue was being made to | pasl year _\ 0 price for the pur- recently reported either good 
provide funis for the seneral .'chase' has yet been announced, profits or strong recoveries in 
expansion of the cornea nv and ! nie merchant bank involved earnings, 
to nronde additional working 
caotial. 

Two weeks ago Smith nicked 
no 4 per cent or the capita! of 
New Sooth Wales coal sronD. 

£S! tts d equ»y V^ner^eni! | BY WONG SULONG KUALA LUMPUR. -May 16. 

CAIL faces a laree expansion ! TRADING PROFITS at Shell crude, and was burdened by 
orngramme over tne np\t few . R^anins Malaysia fell by 46 per fixed price .-nnsraet to a major 
years lo hnns a new mat l cenl | a5t year ‘ t0 ringgits Malaysian consumer. 

its rate of 

prices for its products, although return *>n average capital em 
sales registered a 21 per cent ployed fell to ti.6 per cent from 
increase to 610m ringgits 11 per cent in 1076. and if its 
C$255m). assets wore based on the Decera- 

The company cited three ber 1975 valuation, instead of 
reasons tor this seihack tn hook value, the rate of return 
profits. Unlike E*»o Malaysia would iu* only 4.3 per cent. Tliis. 
BerhadL which made a sub-dan- tbe company added, is **in- 


Y1.6bn. compared with Y1.4Sbn a 
year earlier, on sales up to 
Y54hn. from Y497U»n. 


Yl79.64hn. Net profit per share Y1.45bn (S6.4m» for the year 
fell to Y1S.2 from Y22.ll. ended March 31 last reports AP- 
Sales of construction DJ. 


years 10 anus a new roai \ cenl | a5t .. ear t0 ^ ringgits Malaysian consumer. 

"s^.-r4 ! • ss07n '< •»">*«. «Mlnj Shell said that II, 

hart been waiting nTmo«* 'dnp 
months for aporni-al to make a 
toiit KM for TAIL wf»*- Tnn- 
7(nc Ri ,,T info or Aas^I'o. ‘bp 
’"'al nfCchnot of R‘o T^'o-Z^nc 
rornoratinn of the. ITf. hut 
PVPR'naltv calt®d"tt off bccnwsp 

*Kn dtreciors ihc j t j a J ga | n because ti paid for its adequate for' a healthy refinery 

.overtime o did not CPA : 0 j| import- in devalued U.S. operation.” However, the com- 
rair 1 Iarse s ® are hclc er in [dollars. Shell said that tbe OPEC pany should find 
tiT- ...in i__ . jtwu-Uer pm* system in the first when the fixed-pri 

«rI£ C ftf S *i£»Xn a bl ha,f adversely aftecred the cum- its major ronsunn 

I P an >' in lh:it ir *» «« n 8 expen- August this year 
no tndavs market price of I -i v - Ktiw-.iri nnH ntni.r Itirfrlln Till. Hn.-i! 


. c , nn Tnr c-i.i. !«>ve Kuwaiti and other Middle The final dividend of 7.5 per 

5” ! Eastern crudes, while its own cent brings the year's total to 

{selling prices were geared to 12 5 per cent, and this is cquivn- 
j cheaper Arabian crudes. lent 10 last year's 25 per cent. 

7 The company also suffered as dividends are paid on the 
' from the high price of Malaysian enlarged capital. - ■ - - 


rheo«*Mcai value on the rights 
Is A Si- 29. 


This announcement appears as a matter of record only. 

u.s. $200,000,000 

EIGHT YEAR FLOATING RATE LOAN TO 

HIS HIGHNESS THE RULER OF SHARJAH 
SHEIKH SULTAN BIN MOHAMED AL-QASEVH 

on his own behalf and on behalf of 

THE EMIRATE OF SHARJAH 

unconditionally and irrevocably g uarant y by 

THE EMIRATE OF ABU DHABI 










Financial nraes 

appointosents 

Executives 
new Glaxo unit 

;u v r C Farmer has been Mr. A. J. C(1Wi- IWl 9. - 

niVrun and Mr. R. H*. Stone have WSUftied from tbe 
cd Commercial Blakcy Board. Mr. 

Mask cl 1 be \vnviST which has chairman and ducf executive of ■ ^ 

S ,recw ?2LSt 10 mart ret elhic «1 Allied Tnswtatw?. hcwsiw_H*X 
been . fonnod jo mun ^ by man of Wakey'v and »r. &7 f 

S en W, 1 »!SmS?MiBthi , UK. SummrrftrW, also of Ahhxl 1^: - 
Sr^Fhmwrut director latora. Joins the Plakey Boatd^ 

of Glaxo Operations UK. * 

1 * Sr. F. M. G iMIe has been 

R---V stuttard has been appointed chair ma n al th,. 
Mr, Bany =»««•-*« d COUNCIL OF INDSPKNDENt ‘ 

STBS Uarv. ^irocror of pro- INSPKfTTINfl A WWOMIg R : 


’or the recently 


new honorary secretary a 
Andrew Hodpr. 

★ 


Mr. Peter 

duct strategy. -- - _ 
formed RAt'-'L .DATA WJ 
VUYIU VTiONS GROUP, par! of 
Racal Electronics. Mr. Ronald Mr. John Ni»h has been 
VILitt has become deputy manat:- unpointed managing director 6t 
in “director- ' v,r - Jobn RtaHp*"- newly formed NASH H.\NDUJVfi 
engineering d.rertor. Mr. Derek KQl'lPMENT. a company set up . 
Kanes operations director, and to supply specialised attachments' 
Mr. Malcolm Hearn, sales director, arM j components to us parent ... 
of Racal-MUao- company. Ihmver RnpfneermK. He '• 

* was previously manbRlnK dirvcior 

The Secretary for Industry has 0 f Hercules Hydraulic, 
appointed the following new 


members 


DESIGN 







BP*#*.. ^ 




Mr. H. C. Bowroa 


Arranged by 

BALL (MIDDLE EAST) INC. 


Provided by 


BAJLL (MIDDLE EAST) INC 


CANADIAN IMPERIAL BANK OF COMMERCE 
(BAHRAIN BRANCH) 

MANUFACTURERS HANOVER TRUST 
COMPANY 

SECURITY P ACmC BANK 


THE FIRST NATIONAL BANK OF CHICAGO 
(SHARJAH BRANCH) 


BANK OF AMERICA NATIONAL TRUST AND 
SAVINGS ASSOCIATION 

CITIBANK, N.A. 


MORGAN GUARANTY TRUST COMPANY OF 
NEW YORK 

THE HONGKONG AND SHANGHAI BANKING 
CORPORATION 

THE TOKAI BANK, LIMITED 


Agent Bask 

BANQUE ARABE ET INTERNATIONALE DTNVESTTSSEMENT (BALL) 



Barnett, Christie limited 
Bankers 

to Babi-ic} : ulvl LonJ-.-iiU lX \ J iE 



Barnett, Christie Limited announces that 
with effect from the close of business 
on the 17th of May 197 8 
and until further notice, 
its Base Lending Rate will be 9'/:%. 


Wasseli and Dr. P. .V Allaway. WM previously with G. D. Scajig 

An part of n divisional re-orwtni- al| d Cfl. ^ 

nRo£p“ f Mr° H°C. to Mr. John H«bo. ho, bw, 
been appointed chief executire of appointft! an additional director 
the en-inccrrna division which nf ihc IDINU COMPANIES 
will now comprise the original INVESTMENT TRUST He u a - ' 
Low and Ren.ir cnsinecrintt com- local director of Simjer and 
panies and the recently acquired FnedlnnUer. rnrestment numagerg . 
UHP Group Within the packag- of the Trust, 
ing division. Mr. (1 C. Cnnar and * 

Mr. R. F. Dent have relinquished Mr. M. I. For>j [h Gnmt retires 

os a director nf RAGAL ELEC- - 
TltONICS on .May 31. 

Mr. VV. C Mink has been 
appointed a director of H. 
CLARKSON AND CU 

* - :■:* 
Hr. Harold R. Phllpot has been 
elected president of the UNITED - 
KINGDOM AGRICULTURAL 

SUPPLY TRADE ASSCICIATtnN 
and Mr. John G. Keeling: has be- 
come deputy president Mr. Tom 
Skelley has been made vice- 
president of the Seed Trade - 
Executive Coranuttce. 

* 

The Sccrelary for Enerfry has 
appoinlrd Mr. D. W. Atklnsno os 
u part-time member of (he NORTH 
EASTERN KLKCTKiriTY BOARD 
for three years from June l Mr. 
Atkinson is a chartered engineer 
with Mere and MrLellan, 

* 

Mr. John Woodford has been 
appoinied chief executive nf 
OPTREX following the resigna- 
tion of Dr. G. T. BavdL i 

★ 

Air Vice-Marshal Geoffrey Ford 
is to take over as controller of 
heir executive duties, but remain engineering and supply for the 
or the group Ro^rd. Mr. T. M. ROYAL AIR FORCE on June 3 
Agnew has become director and with the acting rank of Air 
eneral manager of Bibby and Marshal. He succeeds Air .Marshal 
Baron. Mr. \V. A. Jones has been Sir Herbert Durkin, who retires 
made chairman of Gravvre from the service at the end of 
Cylinders. Mr. M. Watson is now this month, 
managing director and Mr. A.’S. * 

Donald a dirertnr Flnfex has been The Secretary for Trade has 
integrated into the textiles appointed Mr .Michael Vivian as 
division with Mr. S. G. Robinson deputy chairman of the CIVIL 
remaining Flolox managing direc- AVIATION AU IIIORTTY for two _ 
tor. years. He Lx a full-time member of 

....... * .. the. Board- and previously. held ihc , 

Mr.- Brian -M. Jeffrey has been position of itroup diroesoc, safety 
appointed' managing director of services. As deputy chairman. Mr. 
SWIFT AND CO. from July SI. He Vivian, succeeds Mr. Robin 
siirneedx Mr. R. C. Joscefyne. who GoodisAn, who has retired- ^ 

uill continue as chairman until * 

his retirement. Mr. E. ML J. Besnard has been 

* appointed general manager of tbe 

Mr. Eugene P Foley has been London pffices of ALGKMENE 
appointed vice pres'dent. Europe. RANK NEUF.HLAND N.V. in sue* 
of RCA GLOBAL COM MU MCA- cession in Mr. L. J. Von Helten- 
TIOA'S. !\C., and he will be based berg Hu bar*., who is to take up an 
:n London. appoiniment<m Pans. 

* ' * 

Mr. T. R. Wright has been Mr, I^o Wills, chairman and • 
eppomied purchasing director of numagmu dir'icior of NEWMANS 
EDMUNDSOX ELECTRICAL, a TURKS retire 4 on June 30. He wHl 
mpmhcr of Iho Charmriiotixe he sneevedod 'by Mr. Norman T. 
Groin, and Mr. G. M Bovd has Uukts. who nl chairman af-the 
neennte the company's North West Ductile tube . and stockholding 
regional director. divisions. Mr WUIs is to be made • 

*■ first honorary president of- the 

Mr. Francois 31. do Maurissens company. At thvisame time Sirs, 
has been appointed to ihc mwly- Dorothy L. Wbitefitnise will bere- 
creatr-d posiiion nf director of the firing from Nr unfens Tubes and 
RELGIAN CHAMBER OF COM- alMi from the Ro0tds~ of Atlantic . ‘ 
MERGE IN GREAT BRITAIN. Tubes and Abbey^Tules . 1 Th e 
» n . * . parent concern fes - DUCTTUF - 

Mr. David J. White has joined STEELS, 
the Board nf the WELLMAN * 

BIRF.Y COMPANY as technical Professor L. F. Oral 
director. the Sir George White’ 

... „ „ „ * Aeronautical Engmj 

Mr. It. C». Newton has retired Bristol University. 

• r 1 n ,5V nf LAMBETH as president of the RUT 

KUILPING SMflEn. He has NAUTICAL SOCTETY 
deputy chairman for the last annua! meeting tomor 
<i\ years. Sir. P. R H. Mullins, a retiring president is 
oiroctnr, has been appointed Davies, 
deputy cliaiim.in. * 

■* Mr. Jes.sc! Harrison, fch airman 

Following tho acquisition of and chief executive of Slim urn 
^LAKEY'S <A1AI.LF.AP.LE CAST- Group Holdings, has been elected 
TAGS! br ALLIED INSULATORS, p residen t of the CLOTHING 
'■r. N. N. Kay has retired and INSTITUTE 



March, 1978. 


May to, 197S 



ssen A.G. 


has acquired 


The Budd Company 


The undersigned at ted. n fn.incut ad risor to Tbe BuJJ Com btuy 
in ibis transaction. 

Smith Barney, Harris Upharn & Co. 

Incorporated 






-• j 








Financial Times Wednesday May 17 1978 



VVAIlj: STREET + OVERSKIS VIA RK ETS 


Wow 7,5 higher in 48.2m volume 


+ FOREIGN 


Pound erratic 



GOLD MARKET 

, Mil) In Mav ir 


l^li : 1 ;■ ,1 ■ . 


BY OUB WALL STREET CORRESPONDENT 


>'3s the most depressed 


Sterling plotted an erratic from S9.ST- U.S. ccnl< previously. *175175+; si75 175** " 

NEW YORK Mav 1G course yesterday’s foreign ex- Gold was quietly firmer during n,« r,iVi-. !" n?6ii 17?\- >174*; 175* 

’’ * change market. After opening the morning hut showed a weaker M.irnm*; i»t‘k <177,10 *175,00, 

stronger ai siimn.i .g ygn in terms tendency during the afternoon to .«i - 97.i9pi 

and Hongkong Bank put on 10 cents d °bSi>ra "ggR! trS-rS**** fr ° m Monday al S£»«. J 

d sharply around mid morning lo >■ — ■ — . li'wu-IiMlV/ 1 

’ s ™ (i„,i<""i .i™'? 0 ' d a .^S SlJiI25'l.S135. A large commer- ftOVr , K nW n»»i . mbou lea-i -lai ias . 


The Doty .tones Industrial encouraged by the dollar, which to 407 si “ me back 4 07 s «ior. but BSN I advanced 3U to Matheson 30 cents to HK 13.30, c aT^Ting order out or Swiuer- 

1 ve rage finished 7. .74 stronger at rose in Europe. JaPrly on rtrenmh , .. 21 S ™ ** gJ5£-®- l^d was died as the main cau* 

new dosing 10<S peak <>r 8e4.30, of the Carter Administration's , 3nd Cameras were tirst quarter. andWT ie elock-.acenLs to HRS2.45. t ^js in turn created further 


. — 4^1 s|riun<\ 1 , _ , .'uiuilgi'i di JIA IVI lllA 

Spsy higher on Wall ' Stfm b^pel^ceiSuo an ad hSed anniSl Thl 0, \^-kL-? 1^ Im T S ^ en \ T ™^ Mechanicals, Electricals and Hongkong Bank put on 10 cents sI-SwI-lJjsB ^before* "Sun?* 
oday in heavy volume in a con- rate of 219m unit? S f J «2* K A i«** e Jle,als - lo HKS15JS0, Hutchison Whampoa Snd midSornin- ft 

• mualiun of a month-long raHy. The market was further TnUvr^ce 5 °u 0 415,83 . an ? Foods was the most depressed 7.5 cents to HKS4.45, Jardine si£I2a-lSl% a | ar "c commer- 

The DOW .lone;. Industrial encouraged by the dollar. wS?h to 407 SI L ' ame back 40 ‘ s «l0r. but BSN advanced JO to Matheson 30 cents to HK 13-30, dal ^lling ordcr ouKr?KS- 

1 ve rage finished 7. 14 stronger at ro.e in EuropJ. SJnJ rtranmb , , • 2Z £?,,?" h ‘ sher ^ ** I a "d «« cited as the main cause 

new dosing 10. S peak or 8e4.3o, of the Carter Administration's , 3nd Cameras were first quarter. an ?„ W ?5^ !k »r n ce I l ifJ 0 HIv ®?- 45 - and this in turn created further 

{ter reaching Rfil.O.i. The NYSE plan to trim and delay by three Dementiy lower, with Pioneer Thomson-Brandt lost 02 to lit acme Secpnd-lmers. Hong nervousness. The marker seemed 

,11 ■ Common Index recorded a months its proposed tax cut. n^nES'S;, I / oUowl , n S disappoint- FFr lS3.u on announcing stagnant Wh"f row -80 cents to undecided as to how the record 

re°ii nse_0f 3o cents tu $35.33, Analysts attributed much Of the I’MuIlS. down U00 sales. , Hotels 30 UK trade surplus for April, bear- 

. fter ST>5.65. while rises out.scored enrlv stock market -dvance today Canon receded Yfl to Also sicmGcantly lower at the cents to HK813.S0, and tThlna j n g j n mind the various cxeep- 

eclines by »7M to 54«. Trading tn demand from Europe, where Pho ' M Y2 ° to Y5r A E"<*° r -^ er l F S? n ,5 le s rc Eng,neerS 10 cents t0 HKS2.925. t ^ nal items. should be 

• olume came to 4S.18m. shares, the Whit Monday holiday inhibited \So to V?Jn ' 1,T80, and TDK •>%»!!' AMSTERDAM— Stocks were in- interpreted. Business was at a 

tie /ourlh largest days total in trading yesterday. *=>0 to \ 1.960. Kali. Borcl. Prlntemps. and ChR. clined t0 ga j„ ground. fairly low level for most of the 

istory and up sharply from l)i mo Industries jumped 51 (o However. some specula t i re* E2E2&. Among Dutch Internationals, morning and the pound recovered, 

esterday s ngurc of 33.«0m. S27I— the Bnard has rejected an ? n d Commodity market-related ™ e , n v “ e ^ V „ Royal Dutch gained FI 1.4 at with a little help from t ho Bank 

Analysis said the gain wns offer of $24 for each share from firmed. iflSSISSr m S F1 129 - 3 . but UnHevcr was an of England, to S1-S150-I-RJ.0. How- 

ucled by news thai poinij to Esselte, of Sweden . C.ERMAN1— Continued selling r*Si easier exception, losing FI 0.5 lo prer , aft . er _, lhe opening of 

irength in the economy and a Despite the housing start prest-ure, chiefly from foreign , - h a r B eut * -ws nossignou F1 1141 fln njponjng [ Qu - er f iret . markets in Now Aorfc further 
erception oniony investors that figures. Housing issues were investors, caused a further wide- AUSTRALIA — Leading Mining quarter results. selling saw the rate slump to 

Vashinglon will" act marc de- easier, U.S. home shedding i to (Tread retreat in stock prices, and Industrial shares led markets Elsewhere. KL.1i strengthed S1-S0JW-1.R090 and it finally closed 

isively against inflation. SSL and KauRmaii and Broad i ,e 2 v ' n S the Commerzbank index forward in further lively trading FI 11.3 to FI 157.5 on Wall Street at SI509a-l.R10o. a loss or I.OiC 

The Federal Reserve reported 10 S7— a published report indi- 4 1 weaker at a new low for the 10 new highs for the year, but influences. Ahold added FI 1.6 at and Lne worst closing level since 

' bis morning that U.S. April in- fated that rising mortgage *f 3r of Brokers said that gains were pared in iate dealings. FI 1MJ2. Helnekun FI 1.7 at early November last year. 


SWISS FRAjYC 


ec nes oy ms to .n«. Trading in demand from Eurone where 1 *noio vzu to Yaw. enq 01 me aay were rinaociere 

• Sme came to 4S.l*n. sharer, {he WwSto^hSS? inhS S Yl * 780 ‘ and TDK JTSrt 

He lourl h-Jargest days total in trading yesterday. 'so to M.960. Juili. Borcl, Prlntemps. and Cell. 

. . ... i>ia4 _ 1 1 _ . # .. _ ■ _ _ t ■ ... . _ _ . 1 # riv in it n ir» nA r nrt\i"AP»*r 11 ■ »» rr* 


-t(in«> *bn hn - 
S&UurimcMinluuj 

^klQll^llVt CVIMW) 


Deo Jan Feb Mar Apr May 


usirial production rose 1.1 per irilcrest rates could^ depress” the v^ c .i f ^f l?ngt w of ,he . ^ 0,Jar and Th e Sydney All Ordinary index FI 104-5. Brcdvro Contracllng Using Bank of England figures. r ,. DD rMrv dktcc 
pjij, while yesterday U.S. .Motor h' ,,, sine mnrke* !a*er this year. ” all btreet has caused the current ended a oet 221 firmer ar a 1078 FI 5.5 at FI 268.o0. and RSV Ship- the pound's trade weighted index U»*JrsrxtPlv*T HA lea 


■£39.^100^ ‘.■99-iOO’ 
A'n Sii'gii-.. *54VSb'* >54!--56:a 

iVJCHj 51 4) iSO-il' 
DM sm'mik.'VSlii 56-i SS4ii-S'6'-i 
-31-V £50-51. 


(j-llfl I ■•III-- .. I 

ilnlvnm'l>\ • 

Kiiu;fria<i>l .. .“10O:i-I62;. <181- 163 
L-99.^.10a.- s £99100 
.)■>* S'< 'rsii »o4'r b6'i 

•£dOi;-5l'i i£5u- 3 l* 

<>i,{ a,,i‘rjn- * , a>4. , 4 1 NS4I.' E6ij 

>£30i|.5t',|i £30 51' 
Ijiuii-. . *>27 p 279 .*277 28J 


FOREIGN EXCHANGES 

ImUIIw 


I S on Monday. 
.6 at noon and 


U IS DAY'S ACTIVE STOCKS 

M Chan » ,: OTHER MARKETS 

KUicXs Dosing on 


advancing 7.4 more 
the year of 1.110.5. 


cros 

rad Mirror 

:aia Rutbaik 
B. t:r-ivc 
ynci Iin!H’*!rlf*i 
icM- vai Pcirlm. 
jta-c.d 

Ml. Ilndu Prdis. . 
1TI Pjp.r 
CDonnr t-D0U5!9S 


ir.'di-J prii-i? 

4j3.'.UO rii 


— — — — — — — and B\SF DM 1 in ? ' improve on nrairr imeresi rare* 

° UM 1J0 - for speculative®. the year of l.lIO.a. Metals and an d encouraging economic -‘-"‘"is 

OTHER MARKETS PARIS— Market was mainly BHP rose afresh to a new 1978 Minerals rose S.J further Jo 938.2. pointers. Against the West Ger- 

easier, depressed by expectations peak of AS6.7S before ending Banks L27_*p_ *.a7.99 and Utilities m an mark it strengthened lo ' 

' ” of capilal gains tax legislation in only 2 cents harder on balance at I^I to 172.0S. DM2.1335 from DM2.1187! and iV-'-mn InliiV- 

TOKYO— Market sustained a the near future and nervousness ASG.70. BRUSSELS — Mostly lower In SwFr li)942j from SwFr i.99 in I'nuHi in 

sharp reaction in moderate ahead of Prime Minister Raymond Banks remained strong on re- ■modt'rate trading, ‘but Banque terms of the Swiss franc. On I'f'n-viivm'ik 


PARIS — Market was mainly BHP rose afresh to a new 1978 Minerals rose 8.J further Jo 938.2. pointers. Against the Vesi 
iier. depressed by expectations peak of AS6.7S before ending Banks 15" to 257.99 and Utilities man mark “it slrenethem 
capilal gains tax legislation in only 2 cents harder on balance at I.2I to 172.0S. DM2.1335 from DM2.1187? 


insiie inaev The U S. dollar continued lo 

a high for improve on firmer interest rates 

Metals and and encouraging economic 

Ier 938.— pointers. Against the West Ger- 1 

nd Utilities maT1 mark it strengthened lo \,„in« ..•V. ” 
DM2.1335 from DM2.11871 and iv-< Hinri intiii- 


_ . . _ >■- 
Special Eurouean M»>iii,v. 
Drawing Unit oi AiM.ii-i.im 

Right* _ _Apcoont_ 

Alai lr- ’ " 111 | JS “ « •■|»-iitii*L , l 


7 I. 033 l.tlj-S I . : 035 i.« IC5 
Si? Ji 4S ..IfVii ,'.J0.5-:.L0ij 


jiij 4j to liquidarions- and cash position although some resistance to the trading, with Blue Chips leading with interest concentrated on 5.08 per cent. The Canadian »i«'*> 

341 -{ adjustments by institutional in- lower trend was observed in the rise. Bearer shares and Participation dollar showed a strong improve- 

“ — Certificates. ment to close aL *10.21} U.S. cents 1 2-1 

q i. N.Y.S.E. ALL COMMON u. «„ i? MILAN — Bourse prices were 

often higher, operators being 

■ MB ivww 1 : I ]q7F . . . oaunlln »nmimna4 W.> . 


I ment to close at 90.21 ;■ U.S. cents 


<EW YORK -DOW JOKES 


M»v . Mm- 
IS 12 


llir i Mit« 
io : 9 


M nee iviupKM it 


uluiirul... S54.JD B24.M P40.70 I54.2D BM.16.BZ2.07 B&4.SD 
’ (WlOl 

'uieB'nti'-* 88.53 SB. 39 83.31 83. 8D 88.74. BB.SO- 3U.30 

; .4.1i 

mnvi-«... 723.65 925.41 £27.75 224.6B 222.DB 22 1.51 , 229.B5 

ilO'oi 

iililir* 104.09 105.48 104.60 1D4.47 104.63' 104.84. llU.u 


49, 180 S4.b60 46.600 36.630 35.330 50.660! — 


„l Iii.Ii-n Iiiiili . i mm \iijii I 


ln>l. ilir, yicbl % 


; H'Kt* ] 

la." 

I05I.J 

41,22 

t iltiL7d) 

c2i7,Jin 

J <78.88 

15.24 

: nrd,VSt 

101750, 

1 163-52 1 

1038 

(2O/4/bUv:(2Bi4|A0i 

t " 

— 


35.53 55.18 54.85 54.38 55.53 

I . i!6l3l 


UONTitEAL 


1 n-in-r rtMl 


1— him. i ih'Ii* 1 1,957 

lti*«?v 979 : 

l'*ll- 546 | 

L'lii-liniiuifl 452 { 

New Hinliv....,...' . 284 


i 160.67 173.74 1 73.25.' 177 . ft I MnlKi 
• 188.30 105.58. 188.68 185.61 188.50 lift;*.) 


J.924 1.915 
803 1.014 


MhvT? Finiitiiiii |\i 


I 1110.5 1105-1 1100.8 1055.8 1110-5 ilft, 01 


Certificates. ment to close aL 90JI;. U.S. cents . 

MILAN— Bourse prices were 
■ lai lb Mot l\iim 12 often higher, operators being 

1.957 1.924 1.915 generally encouraged by the CYf'UAWfse rprtee BATPes 
B79 : 803 1.014 results in the Italian administra- tAOHAniiat. bttU&o-HHIto 

■ $! 3 1 ,1 'ias. W c-n., d sha „ s ■ ^ 

‘ “(|g 45, " 35 were harder, following the up- VntnUiiti ; ! C, 1260-70 ( • 

ward trend in Bullion prices. Y.wi. j 4t^i M - ! it2£M 

Mining Financials were mixed I r t i.i 

|,#/ ' m modest trading. Platinums Dimimi.. -.w?. 1 ?' ilicttklic* ?.i;i • 

■ ..... , ~ featured strongly on the com- .\iiwii»«iii..ijA 99 7.«''# — it. 49.-4 ? 

1 * raodity's sharply higher free y -‘ 1 H 1 93 .ft47-7,v! i. agy^S Q liaftVcC'it 

i'i»*i market price, wifii local and over- , 

Jilfi;5) : uitli seas demand pushing Ruslenburg .. , ' * ,M T.w.mw-v.-s -.l 1 

— U T r rr r » ^ms up to ri..w. s ,M ■T.lffi.f,: 


0.068339 

1.21337 

1.S453B 

18.52S1 

40.2395 

6.63107 

2.57514 

2.75617 

5.68282 

1059.30 

274.828 

6.63107 

98.9042 

5.65734 

2.41643 


0.668197 

1.2 1416 

1.34342 

18.5168 

40.2555 

6.96577 

2.57513 

2.75633 

5.68303 

1058.60 

275.00? 

6.63516 

98.8957 

5.65466 

2.41688 


I 1 a | - ’ll tll*Z. a L-|l 3 
f in tit. ttii t ... i 
I.tsl-.II ... IS 


IS sl.tiSd.VOu 

a 1 47.5 1- 14-.8 
1 1 1.3.0 1.384 

J 3.BJ i.ii 

»i? c 49 -.-4. 

7 t.ai-'j.S’ 

at- 411-^11 


4.15 J.l? 4.13 3 

eC.55 ftO.t-J iC -Q 

1C. 4b 10. j7; • IU..*4i 
i.JS'. i.-e :.t.’ 

a.i.Cu a2.i0 f J 20 

Ur. 8*1 ur.M Uf 85 
l.acO I.5.-I 
• rs 9.6- ; r.'rn-, 

*.-■4. )«.49-: s.eo; 

^.52 a .45 ?.<6, 

4 'll 412 414 


2i.8V27.5IJ 27. 65 27.75 

t-4 i.fO i-5 ll i 


* Bjli-s <iii-n liir i-ii.iv. Nihl. 
Fiiijinrial Irjnir ini ."ij-wi 4<i. 


OTHER MARKETS 


IiiIIiIkII Jill 


.\«-«i*iiiiiiii I.J99 I.4C2 v mi 

.Vii-trntuv .. l.bvSl l .c 13; Vim ttii 
I'rrt. i'. 3rU.6ftjl.a6 l‘. i-ii.in 

t‘iiimu.1 . i./2 - ,'..4 I'm il 

li mi- i- . . ?7 5H4 r .5i7 : nlm-'n.. 
m /.nri.-li Iti'HS k-iiii !«v'j »'• un-ik 

1 1 *li . .. 1 29 Id I • un.i 

i tyr'.tvi fVl U bUL U.5 1? 

I r4i"v>i*V 1 ji\i-iiiI.‘i” tiO. ll- 60.2 • l ■ i , 
44 L : 4 i'.i ■i. Ml -I". 4.i5.‘ 4.7i . Iiji\ .. 

li'.i. ,'. K X. <«-«li!i|.l. 1.7. ?ll l.»DS9 l «|nll. 

|. iiii-li \nil i.i'Jft.rj \i.lli.-ii'i> 


I0Z.5U 1 1 rtiUi 
I7ft.i2 .>> h 


fiMiikiuri i C. 1260-70 I r .594 4fti j..-4i.r."3 ii-.m <■ lyr'.7 v i fVl ■ 0.5U2 u.612 

\««. Y.irk i 4t£l E4 — 1 Zt2S 30 j^CAi-.-i l.-i4».-lvS* a3.iit.-a ^i.iV.« 4 lji\fin»-‘»a 

I*nri- 1 K.U«'- 9.- - 4.P77!-.«?96 ja.liK 142 .494ii M4U 2: r-.lU.^ 4J AVl.f.i ji.-rt M ilm i«. 4 ;5; J..T. lun .. 

Uni-r»l-... | lf.40.rj : 3. 14 19 I.-7 |,l h.i .13 2 j l4.>-, 1 i.~.-k '. oitaiH. l./.Cil l.»DB9-l «|mi. 

l/iniimi.. '.rft- s 7 l.cCftt-ciif ;.4:i • -r'. ni.IMOJ ' - 4 II l i -• * l 1 --- I - '’n* V-IIi-ii'h 

.\iiwi.i«iii..lj6.99 7.i'># — 4t.49 .-4 ?.B5w 666 j ». 1235-129: 114.i9->Hi- 4/,4f 4.25, 

l. flgy^ p JLaftVrt*? _ - -..Me? 4-1 U K7.?'7 r..-j .. Ain ». , l.bJDu l.btj' C. niiii.-. 

r.K. S t» V.< III) r* 72 \ iomili»n .fill- J iiii , i. , ii .. 

VmiA.IUH S in .\rn V.-il. sMl.33 36 a-rlll- r.4. S II) Mllnll <73.0^ 45 , i . ’ ' , tan m 'XI 'l 

ricrlma In Milan 16i3.ttMSW.E0. 1 ‘ - SD - 20 M -' S ' 


\..ii • ga-i-i 
V ..i-iii in* i?C2 1!C5 
Vim IT! i .1 2k, 

i*. i-u.ii. i 5.-. El 
I'ni il ' Ji J6 

: mm. in., j 2.01 2.03 

iiii.ni k .[ IU.yj.-55 
. uiin | S 4U i.55 
'•■ -iii-iM . | 3.(0-5 93 
i ■ i h...|. , , I 8 *. 72 
Iiji» .. '1584- lr2J 

•I l|nll, - 4 l3 <25 

'i-lli. I i'll. 4. Li 4.20 


i-iii.Ii (ml 3.L-J ft.rj N illi.-i I'm 4. Li 4. 20 
4.;i> 4.25, Ni.i « «, :.S9-'0.05 

^..\«ri*. , l.bJDU l.btLiJT. ■■ lx it 01 

t .- -(Kill. . 14? 149 

laiiN>ln.. — »• -| . '»"in.- i.55 3.(5 

I >1 I .-. ... 1.50.1.82 

l.*. ••hi-.. JB 0.20 30.23 In;.. -U.m i4.j(, 
Rjh-s uiu-ii tor .Init-uniia !i j rai*. 


200.3 200.7 201.5 
222.9 222.8 222.8 


218.7 iliEi 
222.9 riai.) 


H8.0 I'A'.a) 
H4. J iU/5) 


TAJJDABD AND POORS 


.Mat . Slav May 
k : 15 12 


■bilu-lrml-. 108.99 109.51 108.44 107.48 185-96 105.P2 109.98 

.Ift.-i 

->.4B|v»ttv ; 99.55 SB.io 96.07. 87.20 95.52 95.50 99.35 

i 4i ; . 


|8. illi-. i will 
,1'V. V-b Ilnliii 
4‘; tii*»4. Ik .ii.l \ n-lil 


V fcnr ot{n \o (vyrux.) 
A70 


-'iiu.-ecunni'iiai n 
• HirIi I i»i» 

) IS4.M a .52 


Belgiam 10C. 47 
JJonmark'" 96.04 
France *-a4 
Gennanyi::i ieO 7 
Holland «i}». ttv9 


PlV 

. W/o 

le/5 


Mav . 

l*i e- 

• 137V 

107V 

111 Hi" 

Hiah 

l»«v 


: lfi 

1 i.'in 

Hi!:!, ! 

l*ni 

«7.sT 

4V0.42 

44I.U 

Spain 

,Jy 104.44 

id 

1 llu.7if 

ci.ec 


(16/M 

< [IdU 



; H/t>i • 

i17'4i 

in 

lul.16 

99.78 

Sweden 

Ur *3.7; , 

ir» . 

. au7.*, : 

aCa.74 


(b.aj 

(Jt-i5i 


1 


la/m 

,3-1. 


'■wlufli- I orwniuui bt-iKun dividiiKk EURO-CURRENCY INTEREST RATES' 

iiiv jfli-r ivnlflholrilris la* 

» PMaO rtrawn. unite- otherwise dim: Mm ir i S| H rtiiin vaiuunai. thii-n 

vicMk Daicd an net itiviri^iirf^ plus i al 1 * • Ikiiinr l . Ik.iim i,uili(i.'n- , 

V hi as Mo di-nuoi. uuU-as nuu-ru-isi.- suit*] — . 

■A Kr nw drruirn unji-«s oihi'ni un naiiit t>li"rt irnn... 7-8 VU-'/i- 1 4t-j4J^ . 

■5 Krs 500 di-liom and Koari-r shares J ii*v» imur-o X..V. I 7i* 7Sg 4 1?-4 ^ 

iinlins MlierwiSf siaied. n yrn 50 denum Uunth esg lOig 7i 4 .7afl 7i* 7j» 


ac.li (m.lO Swilaei-l'di/i ifflfl.6 1 


ir* • ■=“'-* of susjwxuiwn. uHurins r.Schkllmus Siv iiunmi,... lOij lH* b-Bss 

i Sfi' ■■O-’iiu i/ Dividend ali^r tK-ndimj rUhi« Uuc V«r 1IU J Ii 4 B.i »;* 

' anil -or acnp issue. eP-r rtiarv • Francs - - 


| aiierUi'K 

v.aiiai)ia» 

Ikiilitr 

ihil-ii 

l'.''. liniiAi liinhlcn. 

•-«i" ' 

ii’im- 

A. A. . 

78 

VU-Vli 1 4ln*lJ; ■ 

; . 

X.A. . 

7-8 

788 41 2 -4!’; 


OSg-lOig 

71;.7ftS 

7*2 -7-'; 4 jj 

1 1 6 i'li 

: 101; 103; 

7ig 8 

7 ”8 -8 * B 412^4; 

lie-li? 

101; 111; 

b-Bis 

B'n-tie - 

Ii3 l>f 

llU-lli; 


6-'h-85b 5-Si; 



t'L-l lllHII 
inni'L 


FORWARD RATES 


•\i'« t'-ik J.53-U.43 -. | in 1.45 1.55 ■ .j-m 
.tl.'iiiiii . J-SD -'^O 1-in 1 45 1.35 • .| in 

filial'. |'ii 7 6 . | in 

Urn— . 30 20 '-. | .in 80 ?■>!-. |.in 

V'm-'iili s'v ; iti* il,. 71; 9';- ■-)<.■ n» 
Kmaikiitn 5 2 m |<m 8 7 | i ,-in 


| i 1,6 6l aRnKS din ii Assiimiii dividend aliei 'Euro-French depocli rales: rwo-lay 5-Si ikt ceni: seven-dar B*ii.-si7| 0 m-r veni: Mum 2'MOO*- illi 

— — — — _ wrtp and or rlRhu niuc b Alter local onc-momh Pl-Bi per cent: thrv-monJh PJ-97 ikt ccni: six-momh 0i5n,.ioi lt , Mum a 6 ,u- 

, _ ^ »»% ta* iri-e u Francs- inrtMlni! Per ceni: one-year 101-10J nor cwii. 21..4J 

innu-es and DMSeflafi.'s tall nase raiut» Unilac dtv. pNnm uSharv spin a piv Lonc-iLTni Eurodollar d.-poslls. two n-ars 57|k4i'iit per o.-nt: ihrit- iL-ars i*,n." ' 1 


Euro-French deposit rales: iwo-day S-Si ikt ccni: seven-day 0 Om.-si;| D wr •eni: MniIV.".! 2'.» ioo'vi!!i. 


ill'O <16-5' 


■ O . 1 111 

80 |.iii 
71; 91; •■)«.• >1)k 
8 7 | 1 ,-in 
12i 52U. .I.I. 

1 

1M6 hi.' 'it* 

7I--91.' ''ii-.ii' 


100 eiivui NV’SH All Comumii - Vi and yield exdiidi. special paymmi. 1 Iran 
ftiaunards ana Himrs - in and ramum JSled div u Uneffinji iradinu rjjmunir 
Wi I non, ihe last rurm-n nased -m 1975# '•aiders only, u Merger pnr»i1lii« ■ AMred 


13.31 im.m 3.3a \ w.s.j , i-/-"i w ■ 'wit, .He u3i uaiimi njM-ii mi i»at -n'lji-rs pniy. u fiercer pcrailDK ■ AMred one- 

iftii) !iil.'lr75i|ia0/6;a&i Hong Eon? Ji.7.96 45T.A' -k-J.-iS JZ.-.M r Eitlurtmv punas » 4«i liwiiistnals • Bid. {Traded r Seller -Assumed per 

4o.jQ 1 125.45 1 4.40 (* r i <trai vlo-ilt ». 4mi liuts . w» Uuiitu-s 4 q Finance aim « E* nuh\&. sd F,% dividend *1 K» 


i"i3j all-l-iJi 1 ilrt>/31) Itp.lv 
V.nr Hc.i iMiH'h'v.i Jopa-n 


.; Mav 10 : 

Slav •' 

• Apr. 16 

Year Htt'i l«|H'hil.i 

! S.04 "" j 

5.02 

S.14 

4.40 

. 9~16 

9.10 

a.94 

- 10.22 

1 8.45 

8.50 

~ eTio 

7.80 


ItB.lv .jj. r2.!0 hi. 92 Kj.c* SC-4e 2" 

10.i1 lie, li 'in 

Japan .... wjfi 4H.88 'am. il r^.m 

1 HH 1 iMi * ! 

Siiwapore oli.4? 5ll.u7 3U.« as3.o 


”!! TrunSDort. 1I1 ftvdnei, All Hrd scrip issue, xa Ex all. a Inu-rim slnccMav*' uniinp rnc cni'ders and «wu- franc-' 
■ l|i Keieuai. sf .tl iJ-fft 1 ** 1 OnK-nnauei' increased 1 - 


Sh'in-ienn ratte an* rail Inr sirrlinK. V.S dnllarf. and Canadian d .liars: 


Sis •mini! li for.urd dollar ? u:>~. pm. 
U'-inemli '..W- 7 ;u-.- pm. 


SE I •! -77 Hu H«r» Hiiuriu. HMI 

I!* • Oimmerahanh Di-v. HUB -v,» Ainster GERMANY ♦ 

flam Indus' rial Hull .i«I> llanu Serta _________ 

Hulllt XI -7 04 illlli Milan J.-I-TS 'in 1'iikvn 

Ns-* SF 4-1'ds -in Mrans rimes IMGo M«v 16 

ii iClm."! idi At«drm <h inll'fi — 

in Shi.ii holm inni^ns' l/l » «|i Sioi.. 

Han* Corn 'in i:navM!*ni* 1 ,u,„, \ 


TOKYO 1 


AUSTRALIA 


BRAZIL 


Ml 44'V 

- t 


i-l'n.v + "i 1 ini . 


+ ■* l*i> . \ M. 

— - Viu. 


SEW YORK 


in si.iKiMim inmiNtria 1 in .« «|i Awi«. 80.6-0.6 — - i^miiu., 

Han* Corn •«< rnavallahle A <mii> Voi^hHi... *163 -2 ' 18 2.0 a "ZZ. 

OM\Y_ 224 -0.91 18 4.0 fl-h. 

H t-'F.... 131.6-1.1; li.fh- 7.1 inn.ui 

„ . U«v«- 137 — 0.5' Ie-- bn .\t|-i"h I'nui 

Inv. S Prem. S2.60 to £-^l09J-% (1095% J 274 -3 i ib 3.3 -'kh in«a. 

ri omm »iir ricnrv er. iii.i.k.. 284»d-3.5 18 ' 3.2 Iiik- lit 

LHccrne rale C1_SI00) 45J% (46J%) v;.u.j.n,.\e.i.un*i 178 -3 • - - 


l««‘ Nic 65'a 63J* 

• .tHMuerapir. . 25 . b 

lui DleJlarr 40^4 401/ 

I'KiiihT*.. .. 2b*: 28 fj 

»’• 50 t> J 

anAl'iiuiiil.mi geSft SBsq 

’« 47-8 , 405., 

rp- Lbluini.. • 18'; i lbofl 
iVlvnv lAuun 175s I l7in 
Ihl t ln-llil «!.. fl2>* 42i0 

If I pi "in. . 24 b . B4l« 

is i.'bainikik. 32 -v 32't 

• 1AX - 37U ’ 3b 

»m.V» Hihi* 41»a ; 32' i 
Hr. An mu-.... 131) Id l D 

lur. bian.i-... 50 'e 40>c 
wr. Ui'H'liasrl 3 1 -* 5l*s 

wr. lift 41 >fl ■ 4013 

*r.« vsiuniiiil' Z8J3 i 20>2 

, KT. Mm*. IW Zlir 21-8 
usr. K\|wi— ... 5838 38k' 

lO-.Himiel'i.al 20 Ib i 29^ 
ier. Mfiiun ,. Bb's ; 26'j 
wt. Vlidm- . .. 4?u 4 Tb 

; lie. Nut. I in*.. 43 ij 43 1 a 

m. rUiMHiil. 46 -j 46U 
hT.MiitT. . 32 u 327 h 

m.T,-i..v 6Bi, 1 6a U 

■rick. 35 1* 34 la 

!*■' • n. a 17-4 

3a I? 33U 

’P«. IS'-. 15U 

rWH»'lm». 20 30 

•wium l«ii—l., 24 Jp 25 'r 

iiavhlwl.. .. 31 > . 50ii 

, -4 IS. a 19 : a 

*nwni 1111.. . 131] 13 ‘n 

*°v lu;. I7.H) 

hbranlii, . 30<n 30 

BirJiiu al. 52 6i; 

I" Obiu l*i..,. . 31^j iOifl 

1 to • I0<8 

•V 4.7 27 

mi FnatiM- . 551.J 5S i 3 

« «iH% K.«sa.„ 24l b • 24 -Hi 
ok Allien, k. . 25 24 >j 

li. . SB's 58 

"'■r"il 29l 4 29U 

JAvt Tiav .-in H.. 41 '4 .404® 
— * ^Ufv-v 24'./ ■ 24 

Hill h I.iii-..ii 39 f 39« 

■' * H.mell... . 20 ii 21 ij 

47lj : 37b 

W Anil- -u - 514 1 31" 

diwfacm Meet. B3i.: = 22m 
A Ui-hvi .. 2C^| v 201'/ 

-'"'k 48. a 48'ai 

29 s,, 29 1.. 

28.) 1 28as 

■* »«i*i ■ 31 ia '■ 31 

wh Ini 137J 14 

1 lb 15 

n, ■ I 'liw. 3S : t . 35'» 

•- I'ki. vm: .. lpij ; X5.ij 

wlu.riln.4-... J3 : 3ii 4 
Xul* 151; 

anp... 19 j 19 

3d:« . 33. s 

N,r » »1 *ii-ii . bie 6 v 
H1iiL;i.a, Xi|,n 39 39i) 

74 . s 731;. 

.u|0«-ii ^.l||p.. 34i,. 34 ^ 

'biaibu IV-Kh' 171; . 17 
w Kawbuvlt.. ll'; 11' 4 

im h.ii ; 28. Si : 20. „ 

-"li Ain-Iienn- la.'; la:- 
rtur Hnnii-v . , 20 ' e 19V. 
null.; 58-; 57'; 

: 541; ; 54l« 

aii.-v' .1-14! 411- I 41 

HWIA.S.W..I l6l ; , is,, 

1 11 1 11 1 1- - 1 2i"„ , r '3.; 

•Ill l-l Mil., ds.'i : 35'; 

Mimlistu,, 3d 1, i jj -., 
fiMClIh.W 42-1 1 4.1* 
l-.iirvli Ikni.l . B4 1„ 24.] 

^'4-?.VvU„,.... 323s ' 32 
> *Ui» Hrblpv...: ti4i) 1 b4ln 
19i» ; 18 • i 

"^UIIH. ...„• 2.d ! 

11 1 1*11111,.. .! 28 "n i 2Ban 

r*i- - i K6 I 25^ 

•naim-irv ft 13a 5 Ha 

Xlmiwnois-.i jbjg • 15^ 

435s 42I S 

■nicltain ■ 2 1 >8 211; 

“in-. VlkumK,; lEjg { IZin 

fins • 37 v„ . 27 

luiiiii, IS;) — ' i0» a 1 iBdn 

"'•'UiCimh til.- 18 3a 181* 1 


16 K.h lima inn-.... 55ia 

„.t. IH. Ii(i*ii*ii»nn 49's 

63Ja «■ -it.- ' 29>a 

25. b •-'■•■-ki-r .\sl„... i.0 

401/ 1 i»«i 11 /s-ler'Mi-lii' ajlfi 

2818 k-'ii 111,11, if bnisiiii 413* 
SJ i-iiniv W 1 ■— lil .. lo'; 

2 0 »n |I*IW 27 

IMri 1 11.111*1 nr-.. 45 

J2 3 * 1'ivr. 307s 

j,*? 1 H..-I M. hi able 

44. fl ur„,iui 12k: 

lb-in '|i|, I liter.. 19 U 

Uiin.|| h'li-i'i. . Is*, 

L'iN,i,iH,'>Min,iti k 283e 

a * lR Isjj 

ldlp Ui^iu, 1 49 i, 

401; lilriieviUalli.... 39 1;- , 

51*a l«fi-w Vxr) 1, M3 ! 

40lj l>"» rUmil'-Hl... 27 U 

20la Uiaii- 29 'a 

kl'8 UlfKT 44 in 

301s 11111*1111, 1181; 

29m ii.vniu IiiiIiikii in- ai >'e 

26 K*u".- I*if»l.-l 19 ji 

4 t b AnmiM . .. IO 

43 'n I Im-i niHii K.nuk,. 35 
46 1 ; | Kai'Hi • 3B^j 


Ji'iiii* *Imii* mi-.. 533n 

J 'ln.rs'i, -l.'l.n*",,' 79>; 
-l.'liii-cii L'miiii'i. a3'« 
i". .UiiiiiiiHei m'l: a4:s 

11. Mail Lull, 26 J ; 

»mni A i'iiiiiii'ih 34 

kni-i-l I ii'liii-lii'.i- 2 

I\him.-i Miw 221; 

Iv-iv 12 

Ht'iniv'.'ll - 22 'b 

hil? >|.<is-v 407 b 

li I. • Wi.irr..,. 12'B 
•tiinln-iil tV-ik .. 40 'a 

lii'l'pi-r* 23^8 

mall 461 jc 

miltri V'" Jfti, 

Umimis'i** 371* 

Lil'I'i U8.r>**i .. 27>t 


£2 ''b 1 02^8 
40 -s ' 487a 


I k. (*. k • 

1 Kl l*H!*l >«,. Illi- 

I hiln 

KlIllTM'll J.llVI I «'• 
l-.iiiiTj An Fr'iulii 

hilili.il 1 

k. M.l : 

hiiuvilisnl 

Kiiui-k 

h i I'.I I 

hi v ill 

j r ini )'. i-l ( nj<i.-n< 
i till. II*, -*l 
r'liiM-ui.- I in-. . 
»'*». Ail. I •.*.!. -ll.. 

r'li *1 V in ; 

Fin, I kl;,- 

r'li.ikln IV'Mvi... 
Flieu ’ 

1AM 

rn,.l M.it.ii 

r.-ii'in.-i Mek.... 

f-.isUl.. 

j r'muk-iti . 

! I 'i*i«i|1 Vllnt-ia : 

ftiirlwil ; 

*'n.|iia Ifi.l- ■ 

• 

l. 'miin-n 

iirti. Vine. Ini... 
••..Wl. A ... 

• •el». t»l'«' 

lieli. I*> in, min w . 

• •i-n- hlu 11 «— • 

Ill'Hl'Cll. f'.sil*. .. 

I I •iii-in- VI. n*- . . 

1 . ..'iii'iu VI. am . 


151* 1 1..-M ISMs !•»'.. 

19* >.«ibii- 

35 e Tel. I.leil.. 


26>a 1 26 li. 


7*1, |(«I1 U^M I-Iii-Hh .. •.<*; 

14^ ..«»* ■ !*>»* 

\\ '.llll'JU “04 

O >■ l». 1 22«» 

t?." l uv- — 17'j: 

IS-'- lli'M.1 »V U. . 28-; 

Pi* 'III, .Vllittl l*M. IV* 0'4 

Il.li- Inn - 23'i 

J 1 ■ rx-A lii'if Hi • J* 

, 5 1 1 mil A AVe-jeili. 74-’; 

“ 4 'i Ill'll, I'l 241a 

35'; | liiliifliiimi. 64 Ir 

- i ' S 'v Hahum Mniitiu." 32!i 

4-iio Iliann-.-lnusi'l... 15>e 

*J®'i Harm- t-'in*d 5Z ?B 

?? Hem.- H. J 

llenlihin 28>; 

lli! Hew mis I 1w«iiil.; SM- 

jn Hullilay limr -llH* 

20an Himii Wnhe 

ilium w 1 S»*A 

siij Hisiiei : *?:0 

15m H,MsCi«V-\»,ie,. 

4211 HiniaU»u Aai.lin l ?7 J 4 

2]i. HiidIiF1i..\H.'Iiiii| 12'j 

12v« Hultnu IK.K.i JT j 4 

m * I.C, linl,i*l,li~... 85 U 


1701* * 169»i 


Uri.ii|r.... ' 5558 

Lilly ■ Cl I 47 

Uiifii lii.in-l.- . 1954 

l*i/klii-i*,.\lni'lli 255 b 
I j'llr MAI- IniV.. 2038 
M’Iil - I - in ii. I l.l'l.j 185; 

L'lii-Mim I aii, .l.-l 23 

l.lilnluil 1 307* 

IjM-hv 1558 

l.'Ve Y'l.lic-rnn' 6*8 

M* Mi'inn \ 121* 

.lie v If. H • 48 

Hi 1*. IMii.'ipr . 381; 

Jl-,*' 1 38 

VI* r; 1 1, ..|| HU 465; 

Uniiiit- \IhIIkii.I.| 15>s 
Vlsi^tinii Field ...J 231; 

V|8V I’lji. •'-I'TI- 247fl 

VII ! V 50 

VK-I't-Iflk'ii 29I4 

,| I'.iiiueii Ik.iiu. a4Sa 

M limn Ifni 23l s 

tllllMM 47 

Mein* S77a 

Vlelll" 1,1 ll'-l 201; 

.l|l*» IVl,I«H'l,lll.. 38ln 

.Ml. .VI 36 

.Vllllli VTinyi, 111" 55<; 

Vl.ii'i' V'h-ji 65>S 

; &4?j 

AtsiKAii J.l*. 49 

Vlnliinns ; 401; 

lliiH'liV I WSfl 

Vil'lW ’ 4012 

NahiiLliemivMi.- ' 30as 

Aiuii'nai Vim | 17 lg 


Vtl. tHelil.k-r-....' 225* 
.\nl. M-nei- I ii-l. 1 6*8 
.Vnlli-JIHI MRI d 1 1*1 

.Natn'iiH'. J 417 8 

xlJi • 

i"'i l8: i 

\e« hujlnfi'l Kl.. 211; 
\,-« f.ii»inlii< li-i 331* 
.Sind*™ .*!• linMk 14 
Ml-IKII Sl"!l.... 10 

> I, III"II-J|'I~. 1S, 5 

i>»k\ u s- u-i 11, 2o>a 
.Ski in .\nl. lm ... 41'e 

Mini Mali-r I'm 24,a 
\,li«i-«l .Inline*.' 29 
VI In, l"M Hum inf * 275* 
Vnrtin "•Illi'H. ••• 

I, -i-l'li'llln I VI »»■! 26 

i»i;il,l .Vlnll's" 521; 

dim - 157 a 


35Ss ! 335a 


465; 1 465a 

15i 3 ! 151* 


157 a 1 16/b 


luniim jSi, > j®;, 

"’•hivCiMi, tin. tasH 
mining.,, 2 „m. 40 ; v 
""■ i-Um t (| ... ie-,4 

" Hi Ulivai. 27i] 

''I’ll'.,.,,) I};-, Hi J 
"nil. Mili-im,.. ^3 
"'li'liT'i hM'V ] l’| 

««- Xju- ll... „• 36 -1 
; ,n 5 ; 25s« 

-Asad Kii>.|. I " 41, 

"i-w Nnl.lins.' at,',, 
t-nui-r 21:3 
‘"Uli-iila, 1 n-ji.' 3H; 
"'line, 1 1 nl till... 301, 

•ni iiTiviim Ti-u- ' 16'; 

■"".■I Ib,u ‘ 30>, 

A1«T Ill.lufM...^ 50 ' 


I.W : 4i:« 


■hka-im-41 IIhiiiI.-.-! 61-'; 

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I II, 1 'ii.il 11 hlift;'. I'4 J 

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tun. FiHl.tiH. .• 
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,'tll. Vl.ii'n...'.,. i4»; 
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In,. Iliiiiilii • IS 

In,, lv*. A lei,—* 42 

lm.",, I'i 

l"«0Mi"« • i8 5 l 

II luien, nluuiai. 11 j 
'Jim VVnltei- -.J 30 s ; j 


61-'; j 5»B ; » 


01) ,»v,-i-u«-"iii!*-..; I® 

2* unrli-. I ".inn--- .. 31!« 

14lt HI* 

as $ 

as tv-,-."., i«" : » ; g®l* 
IVll. i*«r.A IJ ■ ■ 

5a!? lV»m4.C « 

““ 1Viiii.-»«' I f2'= 

0OI B I'ii.,.,er IHiiB j ]0 

18 rtiaili"- O h« ; 

H>2 I 32i = 

55 

|l?2 ivnnii Ulmer.....) J2-8 
27^8 J!? 1 '" 33J; 

XL? fh„i!'«i»*b,«--*v-i ig a 
s? 1 * n.ii.i M.nn- 

gi ? yss^.zi 0s 

7U |<C4r Ll* 1 A ,, »* l7 ' s 


I « 'ii 47?a 

i .:mt,,iiil-. vieibi".- 3314 

lleviinl.lk I:. J 62 

Kii-ir-mi llei-rell. 27'; 

1 l."...fc •> eh I, ilir... 1 33?e 

1 K> 1I1 in a Hite | 361* 

il.i\n. I mu ll • 37 

If rt 16i; 

liuw Lo 121* 

1','lel 4,-Mnjn. 80<2 

•wti in, -'inn.“,..| 415; 

->l. Jne Mlm-nin. <3 -a 

•n. lieu 1- IV, «r ... 301; 

—ii' 1 h F> I ii.Ii,.... ' 371, 

-uni I uv 1— 1 ; big 

Jftivmi l,ni- ■ 6U 

-H.-I|l||/ I'lVUIliv... 131; 

wliniiiiis’i-.f-r ; 77 

H.M 1 191* 

MiH, Pk|u-I 1 16 M 

.vvil Allis 213; 

■-h.-u.Ii’ I 'in' j V e-li 81* 

-caLl'niHinei-.... 325; 

Snsniii F6 

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*enr Kuet'ii'-h 24\] 

iKDl'ii ' SB's 

blieiiUH 34 Ij 

Miet'lniii-iaii-i..,'. 41 

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*i^n»leL<iri>. 35ls 

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11 HIT VIii’iiiilh j 445; . 

■leriiiia IJiu-.... 16 

-Vu'ivAinUei ..._. .1 66 

fill t>i I S3 

iil,r' Iran.' I 481; 

MIlll'S J 285; 

liiliiiwi'," 10"g • 

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leir-'i iif j 03 iq 

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tin, 1" I'll n'lmiiil 11 i 

li-vH.ii. 25 >j 

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li-\i- 801» 

li-M.iSil i"iii..i 401; 

IVxHr I- 1 ill! lei.... 1 19'r 

llnii- In-- I 475; 

lliiii-- 'Ilin-r.. .. 301; 

Itlnhrii 32 

1 m,,'- ! 587a : 

I rmi'.im-i 11* I I6>; j 

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lr*>- VV.vi.1 An ! 2,1; 

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VlDi.nimik )... sli *a 

ll.A.U ' 281; 

l- .1 Id.' (I : 26 Ja 

t u« 21 ?b 

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mi evtfi j6l* 

w (ll ten ,V, ..1 605; 

L‘ liii hi unn.-rp.i 15 
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U lllllll Vl'IIIIINrlll ■ B 

UithHi Ul- Lh 11 ,J 519b 1 
Lnum HhchIi- I 503fl j 

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uu'Vfiil bmnria....! 8'a 1 

Ub tkuiuirjs I 34 ig J 

L>3M , I 275a | 

! 271; 

wb biee •• 2B«9 . 

1. I ivflii" "uiiT. 1 465s 
l V Ini1lMnei.....l SI 

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47 ?a I 48'; 
33,4 52i a 


215, I 2ii* 


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l .'.ln*- l; l.-v. T04I; 
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L.8. «L%v f'lfl-., 6-35i 


CANADA 

ll'lllln f'M|«i IBTj | 123; 

AitHl V b«3 e ; 4.6, 1 4.70 

-.W.*ll V iliKIIlliuu 4 ISfl , 315; 
V ’-JIIIIIM 3,0- ' 191* 19 ! 8 

|39lj 395, 

iktnk.il VI "til 1 sn 19%; 19*) 

UhHK ,\'H4 »ii|,*' 201* IU Jl; 

Uii-» IImiiipv-. 5'a 61; 

ilr-' leie,di-ine....! 57 56's 

li"w Vh ue, lint...: 201; ■ 30U 

HFVhimiIh ‘ 145g ' 147 b 

Urn-4* II Ibi; I I6V3 

Url, in* ) "4.30 j *4.60 

LH'Kir, P"Wel....i 371; j 371; 

innt.n 'lino... laij [ 125; 
Lkluvlu i.Viurlil . 1C , t j Ill's 

Vnihvih MV i*n. • isi; | 1 j}. 

'.fill 111,. Unki "in 1:8 27Je 

saiiaila 'il'tii-l. TIBS; j ,18'] 

Lai, Hm-im- I9i« 1 181a 

sail. I’b id'.- lm.. S0'2 j SO'b 

- Hit. fltltrl « l| .... 301; . 59 1; 

sir""- ii liii'ie... 4.29 1 4.20 
'.H—all .\l«*l'*- 07a 1 07fi 

l.iM,a„i 18 J 17 70 

(V 'lllni' 281; . 27,; 

1 ■"'- mi inn— , .... 29lg ; 291$ 

■ *"ir.. 1 lit • 17 lg 

si*vlu, likii'nicvT 5sa ' 55g 

s.'-lBlll i;i.Hi _ 13V* 131 2 

I'ihi lH.i 1111 .... '9 9 

L's'iii-iu Mini- . 67't I 67 1* 


l'"Hiiiif«l«i,k • 212.1— 12.9 17.8.1. 

L"inUuinnu • 72.5 T u.a' — 

tiamiler Hen/ 2^5.9 -0. 1 ; 28. 12 4.8 

l>ei!iiM~a 242.5m— 3 ] 1# 


idriiw- 149 —4 I 

f>n 1 iTlie liauk.... 260 -5.1 1 
l)i«Ml„ur Hank.... 7239,0-1 I 

llvchei li.4T /pin, 146.0' I 

U>iU-)|"Qriiiim 189.2+0.2) 

Ha)a-_> Ui'V'l 114 -0.5; 

Hurjivuer. ' 376 -2 ■ 

H-wIm 162A-1 • 

; 46 — J.2 ■ 

Hi'nen 110.7 -0.1 1 

I Kan unit Sul/....,. 120 —2.2 . 

I Kur-iH.il • 293.5 


■ I'Ml.ln Al.ani* 5c5 — 1 

I.IIH-F.Hr. 1.160 1 

. I'.di 213 -2 

•"■Y.iKh 1 1,330 -10 

‘1-' ' 674 +1 


4.'; I.A.U 2.650 


Kaiilli..| 1 198.5-0.5; 12 

Kiivkuc, IOI IU0..I 90.1-0.01 - 

ivHU 1 173 12 

■ih>|i,< 9a -1.6 i - 

i*ii,-le , 227.Bal + 1 1 

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iHiiilmu.u ; 109.3+0.8 

'I VA ; 174 -1.5 

,U;iine iiihii 11 [ 146,1—2.7 

Mrta'iue- ] 198 

Ai mis-iieuei lliH'k.) 530 • 

k'.k-keriiiHIHI J 116 

fien^OK I>.M ltX>.{ 109.0 

■fueiiiVVerl.Kin-] ,1 180.5 —0.3 

?eli|.ni|. 4 1 230 —1.3 

■I, "lieu. I 270 — 2.8 : 

’mi" ZuvWci 243 —1 

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l«H" ! 167 -1.7' 

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v eivm .v "Vi Hk. 284*1 —1 i 


5.0 

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+ 10 

Id 

4.t 

6-9 

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2.6 

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2.1 

3.0 

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55 

0.5 

a.* 

•l-flfii luin In ... 729211 


1.4 

3.5 

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lb 

1.8 

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•tvv u'te'i. Vie i, v 134 

-2 

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4.6 

4.4 

■In iil.i'tii . . r, .. 4al 

— 2 

13 

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4.0 

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-3 

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liliiii.i- In.. b40 

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i.8 

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—70 

Is 

J.6 

b.J 

M|i|.m il, iii,iii ■.. 675 

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-4 


1.0 

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•"V K n-ln. .... 247 

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2.4 

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- 14 

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1.7 

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4.0 

1.7d0 

—40 

4. 

1.1 

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.ii- Im Almne..... 039 

-1 

ii 

2.3 

4.8 

■ -,hpn.t Un nun,-. 350 

-10 

IS 

2.1 

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l»K 1.960 

— BJ 

a. 

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j j vrAltl. iUp n-iiTi : 

do 2 1 An-lia:iu..__ 

do 2 9 ''"e 11 '*«K- I ml* Ml 

JB l" t AlllJH,' L.'<L|lllin,l 

| 3 • i'4 tiii|*" IVtn ileii, 

14 K.z '•""■c- Almeraif | 

lo 1.3 A'w.-. l'nl|. I'ajH-r >1 < 

33 1.5 A !»■.-. f..ii. |ii>lii-.iric* 

12 1 2.7 Vn»,. FeHiUilHlI'iii luvmi...' 

50 1.1 A.M.t I 

13 1.0 AiiitiuiL-". ! 

— - Aim. V»ii Js li„. 1 


[ll *.u . .. 

*0.72 I .mu. ii. i,m.;i .. 

to.ai 1 - Htii.it tin . 

Jf-^o • I Hifl" viiu.-iin t.i| 

J4.27' +-i.i5| i..m- Ol‘. 

!V'"A - ‘villi’*- rt* 

•L30 1'iri'iH . .. — 

fl.18 " .. . . -"ll -I rn. Or. .. 
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• U.-iU Sonrr.. M., 


to.40 

11.. 9 +u.K 1 OSLO 


‘a - .. l .Uw . . . 0.12 12.0 

2.19 —0.040.1? ;7."6 

- ' 1.2'J ... 0.16 15.53 

■ n U I 1.94 .. .. U.12 6.I3 

3.. 5 -0.02 0.2tl 6.5s 

l-"- IM* i.97 +0.Ii 3.10 3.3? 

1 • 1.72 -0.020.16 '9.5o 

U'kOr... 2.34 -0.010.23 e.io 

1*1. 7.95 . ... 3.20 2.5J 

l.v li.*. l-l 1 .So ... 1.13 8.6/ 

Vol. Cr 1 !« ini Sh.irci c? .'m. 
Source Km d.: Jjn-.iro SE. 


• n-IHIII A us, re I in 



l*n*e 

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5.1 

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57.5 

* 1.25 

9 

; 9.2 


JOHANNESBURG 

I MINES 


T2.13 Mu- t« 


23 o.b 
do 4.0 

10 3.0 
17 3.5 

11 4.7 
14 1 4.2 

12 • 3.8 

id ; 3.2 


•••i'll IdS 10 

VUrm.. 498 —5 ii 

'""■•Kavi liin'i 1.06U o 

" h '" a 305 Id 

• 'kl.,.,.. 1 whim... 14 4 —2 l'. 

'uv 144 -1 l 

- M 956 -3 i 

Source Nikkiv Seconiies. Tokyo 


| Y i.i fc jTiui ^..... J_195.0 , Mi BRUSSELS/LUXEMBOURG 


AMSTERDAM 


! + H»| U, *-.Yl'l. ,V|.^rx" iriVt’il.'"! 1! ;70 4 20 6 

_ “ 1 : i dL’ken --M" 1.850 -30 116 

i.,r ihTTe „ , ~Z . %.u.U.Vi*ni»iM..., 1.358 — 2 luu 

• tn"? ' 1,551 ; 44 fl5D -JB - 

lis' 7 u l ..r. I „ KUK- 1 2.296 a! -a .1/7 


17 I S ! I7ss 


3Z« 1 '"’ai !(} . 

42/, I'mI.'II,*'. Kl+- .^. 1" * 

b: §s 

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ll„ AniiTR*i- 

38i« Km-ll.ein, ^ 

32.i« I Ifepuliiw Sl*ei... i 2fii< 


iV III; I ill, 

‘I iniei- tiiiii'". 
■V u mi- l/i iiiih^i 

'V l»ll- V| H 11*11 111 

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iVinli 1 11 Ihiri • |i 

VVi~l» i,i N. Vm • 
•'i'Miiii 1 iii.iii. I 
,V +1 lll/IlM' B'l 1 | 

’Vc«»h * 

lAen-ltmeTiMi .. ! 

VWnr.|... ' 

" In!<t'"ii. hiil.. 

tv, Mini 


40*; I *030 
SQ^e 


Lkmi Vlnie, ; taoij , 80'; 

u«.iiie iMi.aei.i,.' b37g 63se 
Lkifiiiiniiii Hrutu, ' 24,2 • l241i 

ik.niLar 17Sg 17‘? 

' 13 131; 

runnier .Vli-kn-. 20-B • 2U 

F..nl Sir il.ii lull. , 78'; ; 781* 

■"'‘"‘•i 27^ 271; 

Jiam Vei Mkmit fil *8 til*; 
jii.i 1 *11 Lnna-ui L6A, . 2bVa 
i.Uii,.; /Afl 7i0 

■ "Un t ss 33 

rl.-mr ),n "A 4U; 411; 

•" *i"" iw, VI n. 17 16», 

'..i".ii I’n .... 19 Jo ISig 

'•*« Hi *«.•• 411; 4 1 ia 

'••V.i lain lBi, 


14 A; 14 i, 

in',! lif'lHim- 1470 14i, 

. flii 0JJ 

l»Ui h„ t, ni.’l- . 4.5U . 4.53 
■4 mil -|! IIUV’I . 191; lei. 

Ill — 1 Fer.-IIM-I 14 If, . 131 J 

■I.. Ini, n t3i; ■ 21'a 

«l.» n v. ii.,, • 56 : ss 

V.ilHii.m lliite*.... 1,6 25)i> 

' -nwi tiiernv ...! lsij Ibio 
■mu„. luHTidn... j 30 295. 

llllll*'- .v <>H 1 a8i; 36i" 
'HkllfkM Pel' 'ill ■ 3.95. 4. Liu 
■'ai-ine Liipi+e Al : 1.99 , 2.10 

-■l-llii.-rcili'M'„li.. 061; . 36^8 
•-Hi. ■ ill. I'H'll' 52i; 

■NiiU" ; 16 rlaa t 

*i-| . • a.85 3.95 

■ ni" , an A : 0.99 I.„Q 
1- n-erlii veu,| ni- 221* - 22 
•■"wei-V.iTeniV }>&g 1 i 3 j. 

**r*«r 14 14 

Juriiev simsei.i , 1.24 i 1.24 

iiiMV.-, Un *3^ ' i45. 

.teft flan j Id lu 

ifMi.Viyni^ ' £8*; I 29 

iiir)'ai Uh.m i_h|i ; 2fll; ; 293g 
.1">-1. lruul 181; j 181; 

1-0(41 e K'HruirL-n 7J, I ?J. 

-oil'll,, ll- 181; I 28 

I 'll.- vauifli 14 J; ; J4 

! 'iwnH li.Mu h- 5.2a . 8.25 

I wlilirU. Vi ifil? 3612 

iKlf-vll- 3J0 31; 

j tH+- 'III.hIh.. 23*2 ' 26a B 

•i-r, I''-'"’ lii»*. . 2.6j 2-53 

I '•' ■ 1. anti'ln .. ; 6 -j 47 1-; 

""■"M- **i-,ii.L». 18»i JUIt 
I — J... lg 141, 


A I In 6.2 

Vk/'MKl^U] - c8 

Aiui-m Biik'KiUXi. 348 
AVJKV (Fi.lv 1 ,.. .. 86. 


eken -M" 1.850 —30 116 o.3 

■U.IhLcniiin.... 1.358 — 2 lui, ■ 7,a 


4.0 11.111-k, I <1,11.1, I 

1 -1 I Leii'uini U,l 

VleiHl- Ki, Ai >na, i"n i 

^-JJ HIM H.i.Iiii-h ; 

Slyer Knifununi 

O-0 St-V- 4 

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1 •nkl'i'iu'* . .... 

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- Kn-kiii A V.'imuK... ' 

j H. • 'ii-ijli 

' '"'MIiIhii.I lliniiiL' 

1 i|nta'«> tk|'l.rB,h-n 

tS, 

r a "yi,",m 

^-“1 Vfinioni Vlmiiiu itt'i-riili-ii 

S-? VVu.'lH, n lbk 


7 1 H-ta?' 6 .d 0 *j — 40 ,43 1 


86.^1 4 U.4 ’A*44 12.6 v ; ui, r , Mlll . a'.auO - 5 


Ampiinnk i Kl.'.Vi 76.9«— j.3 ' AS.a- p.b 


ilijoiikiin 91.2.+ J.7I 23 J a.l 

Uub"Wmi'iii||.-|0)- 120.3 +0.2' 8d [ 6." 

Ui irlirii i Tol 1 enule 70.0' j 26 

Klx-iierV ii i.a.".- 269m — Ojb , a7.y 2.C 
famiM \.V.Uiniiri| 144.4— 0.5 j 37. a p.S 

Kund-'iinTil H.lu oon I 94.oi 3.4 

(ild BueM.Ht In’ 31.5m— O.l | 23 , 7.C 
HeniukeiiiFiJ.i>>. 104.5 + 1.7 | 14 a.a 
ri""i"rfli>' iKiJIli 83.0 +4.4 [ — I — 

riuuler U.iK .HA>I 26.4 r .3 12 14.6 

K.L..VI. iKi.IlA'i.... 157.5 + 11.3 -I- 
i„i. Aliillej ilau,.. +7 +1.3 18 I 7,7 I 

Viurneii (Ki.IOi 53.3UI l2.i 3,7 I 

Aal-.'pi Iii-.'KiK' 111.1 . -^.1 +a ' 4,3 

'Ml ivl IlkiKiJAi 53. Bin 21 ' <.9 

.'«•! All. I 1,1. 'Kl.ou.19 ..0*1. + 1 I 22 ; J.b 

• ItiVi.ai ' 147.k(- 1 3o . H.a 

\h,i ' >,iniiri' ii. 124 —1 ' io ' 6.4 

I'akfl'Hil iK,. S».i.' i0.7 + u.9 . ~ 

I'lillll** I Kl. IU’.... 23.1. M +0,1 J', | B .a 

ifjnnilil enKi.!i*>’ 84,o- ■* 2^ — 1 _ 

li-illTii iti SI I i6U +2 !\2ili t.b 

Hn-lllli' 1K1. Wi... 1/.7 +8 | _’ 

llinvn," 1 FI. 3W» .. 131.9 +o.l It 3.> 
iwijunliiiu-li-.F'.-i'' 129.3+1.4 a.3 

"aii-dlmr; 247.3m —2 , lu 1,1 

*,li» III fil-).' ,'i.d" ISO ffn’. 4 £ 

l'+Vrti-. II '1: ..-"109.5m + .3 ' 3v ! -.7 
lilll'-li-i 1K1. Wi. 1 *14.1—0.3 42. • i . 6 

' 'niiKlter., I ul .-* I '■ 40 +0.2, 2d • l.i 

" ciIliui'ilH.lWiuk'. i8a.5ai +U.5 $5 . 4.1s 


li.D. iiiiM- Uiri^.. 2.C45 — 20 l9u 7.3 

tii-vai-r, 1.320m —2 1 8a j t.4 

Hi* «iken 2.26 J \+10 -l/w’7.5 


JJ.'S •• • . AnsIp-Ami-rh-an Corpn. . 
12.22 -rj.uS I rhjriiT iV.rjiPiriJ jiL’d 

10.26 ' Fjii On.-loiiii-in 

,1.28 .... I Elshure: 

,1.26 -0.04 ! Harm-mr 

Ul. 23 .. . 1 

10.16 ... K ' n,,, 

12.U3 ... ■ Kiwi.-chiira Klannum . .. 

11.79 -rO-Olii 1 Ht'v'U 

,2.30 . SA "ih ' ajl 

10.85 I - " f iis S\ ; 

,1.17 rd-di , 1 n,na l - i>rpr.r,»ien 
,1.65 r * DiK-rn d . . 

fO.09 ’ i n>vtni»n»,J,i-W ... ... 

•0.25 K w -’"-* f' v ‘ 

,1.35 1 '' r -i" S:j "' li.-dunj -. 

t2.85 • ,,f ' 3 *1- n * R rjnd . . I 

10.73 fii.-ii *'*•'” J -'"' s,, >' n ’I 

10.21 • S' Kom- in 

10.25 . ... w '-l*4)ni . ... 

,1.80 -J „1 0rwl6nt*-,n . .1 

;U.o5 rU.Ol 1 "V'sieni ttpiflim:; 2 

11.35 +0.06 j Wt-iii-m Deep > 

t l -ba 1 1 INDUSTRIALS 

I .. . . 

Viuliv.Vmi r. Indusmal . . 

1 liar on- Kind 

.... ■ CNA Icreftim-niK . . . , 


91.2.+ d./i 23 J a.O " 13aS 

l ~2-2 ; + 0 - 21 Sr 1 e ’' H.*.iken 2L26J 

x+Srt Zn'h' 1 fnA ••••e-tei.rn 2 .l65 

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Vow ° 94 * 0 4 
s 1 . 5 m — 61'i" 1 23 ro ^ Ir « 

104.5 +1.71 14 3 3 4.300 

83D +J 4 , in- l*e, 1 Huiuiur.. 2 .b70 

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1; ,i * 3 7 -? Hue, I.»1I K eel 2.785 

IVll 964 

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COPENHAGEN * 


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ft '. ' K ,vl"-»i«tl l.GaO +20 lv ' 3.0 rem.it.CJnm. 1 .. 

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\ rifle (l-l. I'M'... '4.470 i + 40 3..: 2.5 -■ *'"l«li' 144.5— O.A 


-S 112.6 £.7| I**' 

155.5+1.5, 5 1.9 

^ft'sZiVS.' 1 rT? 'f'o ' SPAIN V 


Securiliea' Hand l!.S.S0.73 
(Discount of 3G.5«7i) 


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.ilimu'o IV 

1> HI -hr 8a. -III... 

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c'vr. Hf|iu 


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14., 3. 

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J- 3 ! wunt, ifr, SV-! 6250 +3 


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3>i l«e 1 He. F,*u>. 4.600 '+ luOi 4u ! 2J1 
L iiiiiii Dank i3.080m-+3O 1 du • 4.3 


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$2 


Rates: why Mr. Shore got it wrong 


Financial Tiines Wednesday 


BY ROLAND FREEMAN 


THIS MONTH'S announcement 
by Environment Secretary, 
Peter Shore, that rating revalua- 
tion will lake place in 1982 on 
the present rental valuation 
basis has dashed the hopes- of 
the professional bodies who, to- 
gether with l he Layfield Com- 
mittee on Local Government 
Finance, strongly recommended 
a switch tn capital valuation. 
The Conservatives firmly 
rejected the idea last year, so 
nnw hoth major parties are 
ranged against it. But the 
underlying problem remains: 
how can property taxation, rais- 
ing some £2.n00m. from house- 
holders. be based on an out- 
moded method of assessment 
hearing little relation to the 
reality of properly tenure in 
Britain to-day? 

Over 55 per cent, of houses 
and fiats are nnw owner- 
nceirpied and in southern 
England the percentage is much 
higher. .About 35 per cent, nf 
accommodation is council- 
man ed tor otherwise in the pub- 
lic sector) and nn more than 10 
per cent, is privately rented. 
Most of the latter properties 
are renl controlled or regulated. 
It is doubtful if more than 1 
per cent, nf the total housing 
stock is let on open market 
rents. How ihcn can the Inland 
Revenue valuers arrive at new- 
rateable values, which are sup- 
posed to reflect “the rent al 

which the hereditament inieht 

reasonably be expected to he let 
fmm year to year." when there 
i« a natinnv'ide absence of 
reliable evidence available to 


When Henry Brooke (now 
Lord Cumnor), as Minister of 
Housing, postponed a revalua- 
tion for two years until 1963 
he explained that it was essen- 
tial to have at least 10 per cent. 
Freely negotiated rents to enable 
the valuers to make accurate 
assessments nf the rest. It 
seemed an aston ; shingly small 
proportion at the time, but 
valuation is not an exact science. 
The present situation is so much 
worse that even the Valuation 
Office and the Department of 
the Environment, in their 
evidence to Layfield. advised a 
change to capital valuation for 
residential property. 


Unexpected 


The Government appeared at 
one stace to have conceded the 
pnint: indeed Brian Hill of the 
Paring and Valuation Associa- 
tion wrote t Financial Times 
May 8) on that assumption. The 
latest announcement will shock 
the local authority associations 
and certainly indicates that 
something went wrong in the 
Whitehall decision-making pro- 
cess. 

A likely factor, which also 
helped to turn the Conservative 
Party against capital valuation, 
was the information studied by 
Layfield on the probable con- 
sequences of the reorganisation. 
This revealed that occupiers of 
homes at each end of the spec- 
trum. the very expensive and 
rhe very poor, would he sharply 
hit by the change. Families in 
l he cnuntrvside would lose coni- 
oared with residents in urban 


areas. Wales and tbe South 
East would generally face steep 
increases while the Midlands 
and the. North would enjoy 
lower rate assessments. Flat 
dwellers would normally bene- 
fit in relation to - house, 
occupiers. 

Electoral ly, the swings and 
roundabouts of this upheaval 
would probably cancel them- 
selves out, but politicians have, 
perhaps inevitably, shrunk from 
a disturbance of such magni- 
tude. Ministers could have 
provided a transitional period 
so that assessments were 
adjusted gradually to their new 
levels Instead of abruptly on 
1 April 1982. But they evidently 
funked the issue. And by stick- 
ing to rental valuation, in spite 
of almost unanimous advice to 
the contrary, they have merely 
postponed tbe day of reckoning. 

Is there any alternative to 
valuation, rental or capital, as 
the basis of property taxation ? 
In essence Valuation attempts to 
relate rate demands to ability to 
pay, although at best this can 
only be rough justice. Ironic- 
ally it is this very defect in 
rating, as perceived by the 
public, that attracts such bitter 
criticism and has led the Con- 
servative Party into its hasty 
election pledge to abolish 
domestic rating altogether. Rate- 
payers do not see valuation on 
hypothetical rentals as a fair 
means of sharing out the burden 
of local expenditure between 
them. Nor does the Rate Sup- 
port Grant, which subsidises on 
average 6! per cent, of relevant 
expenditure, smooth out the dis- 


parities and hardships of the 
system. In practice it distorts 
the final rate demands and 
obliterates the decision-making 
functions of local councillors, 
favouring urban areas over 
rural, or vice versa, according 
to the party complexion of the 
central . government. For 
example. Conservative govern- 
ments have tended to favour the 
shire counties, while the present 
Government has tended to shift 
the balance of distribution 
towards London and the big 
cities. 

Given a not wholly dissimilar 
standard of local services, for 
example, education, police, fire, 
main roads, social services, etc., 
the justification for annual aver- 
age domestic rate payments 
(19rr-78) of £260 in the London 
Borough of Camden, i‘148 in 
Manchester. £100 in Liverpool, 
£74 in Carlisle and only £33 in 
Montgomery is hard to discern. 
These statistics correspond more 
closely to a set of random num- 
bers than any credible measure- 
ment of ability to pay. 


Key factor 


Can valuation.be dispensed 
with while not actually making 
the position worse than ever? 
The key factor seems to be the 
size of the rate burden itself. 
If more local expenditure. (i.e_ 
that part of it which is largely 
nationally determined > were 
shifted on to general taxation 
the rating system could be seen 
in a different light. 

Abolition of the education 
rate and all county council pre- 


cepts. together with some addi- 
tional revenues from transfer- 
red taxes (land development tax, 
stamp duties) and new charges 
(tourist taxes, planning fees, 
etc.) would reduce the district 
rate to the rale of an annual 
household subscription towards 
local services. For most people 
it would amount to no more 
than the £50 they pay for their 
Road Fund Licence. 

Instead of valuing property 
one need only measure it. Rat- 
ing square metres of living 
space, plus garden area over a 
standard plot, would be simple, 
readily understandable and 
cheap to administer. Once a 
country-wide measurement was 
complete (without the need for 
highly qualified valuers) no 
" revaluation ” would be re- 
quired and the elaborate appeals 
machinery could be largely dis- 
banded. A definition of living 
space, on similar lines to the 
concept of beneficial occupation 
under existing rating law. and 
the accuracy of measurement 

are unlikely to produce as many 
disputes as arguments about 
what constitutes value. Com- 
bined with a tax relief scheme 
to spread district rates over the 
population as a whole (replac- 
ing the Rate Support Grant), 
square metre rating could be 
more acceptable to householders 
than the present discredited 
rental valuation system. It is 
also perfectly compatible with 
the rate rebate provisions 
designed to aid low-income 
families. 

Factories, offices and shops 
would remain unaffected by 
these proposals: they would be 


assessed on net annual value. 
But in order to iron out the 
huge differences in rateable re- 
sources produced by the loca- 
tion of industry and commerce 
— areas with a heavy concen- 
tration of industry command 
much greater rate Income than 
farming, for example— a pool- 
ing scheme is essential. It can 
be organised entirely within 
local government although the 
formula, based on the " re- 
sources" element in the Rate 
Support Grant, would need to 
be given statutory effect. 

By using the global sum col- 
lected in non-domestic rates to 
level up uneven resources rhe 
local expenditure options on a 
given rate poundage would be 
broadly equal throughout the 
country. Special regional needs 
could best be dealt with by 
specific grants from the 
Exchequer.- 

If the die is now finally cast 
on the nest revaluation, pres 
sure may grow for outright 
abolition of domestic rates re- 
gardless of the lack of any 
viable substitute. My radical 
alternative has naturally 
alarmed some professionals in 
the rating and valuation field. 
But it does maintain rating as 
an independent, local property 
lax exclusively concerned with 
financing district council ser- 
vices. It is that tier of govern- 
ment which is closest to the 
consumer and where effective 
local democracy and account- 
ability resides to-day. 


P-land Freeman. Uk* (■n.-nicr London 

CurMrii nii ■inh’r tar FinrUUy. tn mtUlnr 
nr n rra-iil Row Ciriwp pain pfi lor on 
rtilfk. 


saviLlLS 


in many 


gaps 
os 



We at Savills acquire commercial and 
industrial properties for Pension Funds and 
Insurance Companies, and see a good many 
portfolios in the course of a year. 

A curious gap often strikes us. 

Many substantial investors have 
surprisingly insubstantial direct holdings 
of commercial and industrial property. 

That’s curious, because such property 
has often shown the best average 
performance of any investment medium 
over the last ten years. 

Of course, you have to pick the right 
properties. And that can be difficult 
without help. 


Savills apply three principal criteria in 
assessing commercial and industrial 
properties for investment: 

1. The location of the property. 

2. The quality of the building. 

3. The covenant of the tenant. 

We look very carefully into all three 
before seriously considering any property 
for our clients. If it measures up on all three 
counts, there's a very good chance it will 
give £t>od long-term performance. 

With the help of professional evaluation 


SAVILLS 


of this kind, our experience shows that 
Pension Fund and Insurance Company 
Investment Managers do well to put 
between 15% and 30% of their portfolios 
into the direct purchase of Commercial and 
Industrial Properties. 

In-re turn, they get a good return. 

They also get total control of the 
properties they buy, and a total 
man agement service from Savills if they 
want it. 

It could make very good sense to plug 
that gap without delay. 

The partner in charge of the commercial 
investment department is Tim Simon. 


The complete property service 

20 Grosvenor Hill, Berkeley Square, London W1X OHO.. 

Tel: 01-499 8644 

Banbury Beecles Chelmsford Colchester Croydon Fakenham Hereford Lincoln Norwich Salisbury Wimbome 

Paris & Amsterdam 

Associates in Scotland. Represented in Guernsey. 





WIGHT 


Annual Report 

31 ST 1ANUARY. 1978. 


KigiiligMs Horn the 


tottints SUtcmfft K Ih* Cnwra* »• ■&«■* **»»' 


1978. 

£8,140.256. 


1977. 

£9,394,918, 


£572,645. 
20.69p. 
7.5p. 
89p. 


£562,911, 
18.09p. 
6.71 Sp. 
76p. 


Turnover*. 

Profit before 
Taxation. 

Earnings 
per Share. 

Dividends 
per Share. 

Net Tangible Assets 
per Share. 

■ Increased Profit Before Taxation despite Reduced 
Turnover. 

■ New Record Earnings Per Share. 

■ Maximum Permissible Dividend Distribution. 

■ Continuing strength and activity of the Group s 
Subsidiaries. 

C-W. of :w Report jni Account nu. hr ft.:j *<fd "o-n .he ber/eur* 

WIGHT CONSTRUCTION HOLDINGS UMTTEO, 

P.O. Box No. 1. Polmont. Falkirk, FK2 OPP. 


• 9 

Hi i 


m 

! 


*> V - 


Sheffield 4919.144 

Windsor £.62.636 

London SWI £21.377.274 


3IJ2.77 

11.12.77 

31.12.77 


London NWI 
London Wt 


£161.297 

£2.731.277 


jl 7n 
». 1.71 


ton don Wi 
Sunderland 
London N>5 
Birmingham 
London SWI 
London SWI £10.514.772 
London EC2 £4,601.909 
London WC2 £42.789 


£147.341 
i 528.133 
£35.000 
£2.080;j67 
£645.449 


31.12.77 
31.1177 
3I.I2J7 
31.12.77 
31.12.77 
31.12.77 
31.1277 
31.12 77 


Birmingham 
Marlow 
London EC2 
London SWI 
Brentford 
Nottingham 
London WF 


£1.097.742 

£454.R45 

■739.265 
£7. 335.544 
£1.494.099 
£160.0011 
£57.612 


31.12.77 
31 12ri 
31.1277 
31.12.77 
31 12 77 

31.1277 

11.1277 


London Wl 
Dundee 
London SEI 
Halifax 
London EM 
Manchester 


£4.745.828 
£205.727 
£2*2.073 
£3-0 050 
£398. CSQ 
£47.273 


1. 1 70 
24 2 78 
3!. I 75 
31.127? 
31 12 7? 
11 12.77 


Publ.shed by the Treasury us required by Hie above Act 


Record Turnover 
and Profits 


Highlights from the circulated statement of the 
Chairman, Mr. N. H. Gardner, T.D., B.A. 

Turnover of Cl 2.652m (1976 £10.507m) resulted 
in profits of £2.069m (1976 £1.01 9m) as a result of 
strong demand for space which reflects the 
confidence of agencies and advertisers in the 
medium of outdoor. 

Our standards ol construction and presentation 
make the Group's products acceptable in the 
urban environment of the late 1970s, both in U.K. 
and Australia. 

Proposed final dividend of 6.794p per share Hi 
maximum permitted under dividend restraint and 
includes 0.0923 on an A.C.T. adjustment. 
Prospects for 1978 are most encouraging. 



London & Provincial 
Poster Group Limited 
78/86 Brigstock Road, 
Thornton Heath, Surrey 


WINN INDUSTRIES 
LIMITED 

FURTHER RECORDS IN SALES, EXPORTS AND 
PROFITS 

FIRST CLASS IMPROVEMENT IN LIQUIDITY 


Chairman Cyril Kyme reports that in 1977 rernrd proiiis 
wore achieved, the programme ur rationalisms exuding 
activities wa< virtually completed and the Group now. lw* 
a much firmer base on which lu build fur the future 


Turnover 

1977 

£000 

1970 

£000 

Profit before Tax .... 


1.137 

lift 

Profit after Tax 


Dividend 


Earnings pur share 
Cwpiex of rej/f.rt 
The Secretary, 73 

per share per share 

find Ui'L’ouuls ure nhtipiinMr irt»w 
Grasvenor Street. London, WlX o£Q. 


The war that never ends 



• . We Bril Mi arc a peaceful people. When a war is J 
.. o\ cr \\ c like lu cuilshn ii t.u he history books - and 
forget u. ' 

. . ,lw li' *■' on- The disabled from 

win world Wan and trom lesser campaign*. no«£i. 
loo easily lorgpttcn : ihc u ido\\$. the orphan* and 
vnikiren - lor iliem their war lives au.meryda.v3Pu 

ail day. * 

I n many cukcs, of course, die re is help from a 

. a limit la wlku any Go>ernrw« 

noparmieni can do. 

1 h!s i> where Army Benevolence steps in. With. , 


,, i " ivncuncncc steps in. w "" ih 

Xil"? 1 *®- w . 111 ' a of uigcney ... and »irt» 

pi.isiK-al. financial help. 


mi.ineisu nolp. , 

‘ V " s !‘ is a . P ' h >•*■■*» tn helpilKNtf brave mw -.gw 
mils In , i 1 "' 1 ltf - ,v "dl you Mpu^Lodonwre.We 
must not lei om soldiers down. ' . - 


The Army Benevolent Fund 

n » v? ® x “ so,diers «««! their fnmfficsindfc&ff: 
Dept. 1- r. Duke of Voi Vs HO. Limdon S^^V - 1 


/ v 


3 

f 

*'■- 




COUNTER-INFLATION ACT 1973f 

The Treasury have given consent to the declaration by Che following ‘ 
companies oF dividends ol the total amounts specified lor the 
financial year ending on the ipbC'fied _daics: 

Aurora Holdings Led. 

Reed Executive Ltd. 

The Bowater Corporation Ltd. 

Intorcuropcan Propci cy 
Holdings Led. 

Lex Service Group Ltd. 

Estates and General 
Investments Led. 

Canire - * i Holdings) Ltd. 

Tern-Consulate Ltd. 

B5G International Ltd. 

Chamberlain Group Ltd. 

Dunlap Ho’.dingsLsd, 

Lead Industries Group Ltd, 

Toye & Company Ltd. 

Amalgamated Power 
Engineering Ltd. 

Royco Group Ltd. 

Triccntrol Ltd. 

Babcock & Wilcox Ltd. 

John Mowlem 8 Company Ltd. 

Albert Martin Holdings Ltd. 

Corinthian Holdings Ltd. 

Laporcc Industries 
(Holding) Ltd. 

Scott & Robertson Ltd. 

Garnar Scotblair Ltd. 

Fmncis Industries Ltd. 

Burrell & Co. Ltd. 

Lindsay & Williams Ltd. 











Financial Iftnes Wednesday May 17 1973 


33 


FINANQAL TIMES 

Wednesday May 17 1978 




Like Britain, Norway has high hopes pinned on development of its North Sea oil 
and gas finds. But meanwhile its economy is overheating, forcing the Government 
to introduce restraints, major industries are struggling and exports erratic.. 


jailing 


n 



V- 


eas 


y William Dullforce 

trdic Correspondent 


JE NORWEGIANS have had 
confusing year since they last 
lehrated their May 17 national 
y. After reluming the min- 
ily Labour Government to 
mt in the September general 
ection most of them assumed 
at filings would chug along 
; : usual. Nothing of the kind. 
' January the first steps were 
. ken to cut back private con- 
niption. In February the 
■one was devalued. In March 
« Ministry of Finance altered 
* long-term economic pro- 
vnme it had tabled leas than 
year previously towards lower 
Dvth targets. Then the central 
lge negotiations broke down, 
id in April the Government 
fled further bell-tightening 
casures, when it tabled the 
vised national budget 
It has been a peculiar expen- 
se for a nation which had 
me to believe that its North 
)i oil resources cushioned it 
llnst the effects of the inter- 

Atonal economic recession. 

ie delays and increasing costs 
.getting the oil and gas out 


of the continental shelf have 
been partly responsible for 
creating the present difficulties 
but, inevitably, the Labour 
Government, and in particular, 
Mr. Per Kleppe, the Finance 
Minister, have come under 
heavy fire for allowing such an 
awkward situation to arise. 

The Government has also had 
to negotiate some tricky- pass- 
ages in its foreign dealings. 
Most of these have stemmed 
from its fisheries policy. This 
led first to an agreement with 
the Soviet Union over fishing in 
the Barents Sea which, contrary 
to Norwegian tradition, was 
voted against by the non- 
sociaiist opposition. In addi- 
tion it prompted a word of 
warning from the UA Secondly 
the declaration of a fisheries 
protection zone around the 
Spitsbergen islands was not 
ouly not accepted in Moscow, 
but also drew' reservations from 
Norway's American and West 
European allies. 

While navigating these heavy 
seas in the past few months, 
Mr. Odvar Nordli, the Prime 
. Minister, has put in a solid, un- 
flappable public performance 
and refused to be panicked^ for 
instance, into abandoning his 
Finance Minister. On the other 
hand, the Government was 
clearly shaken when the cur- 
rent economic picture was de- 
tailed. Its measures to deal 
with the situation have not so 
far convinced its critics, either 
in the political opposition or 
among professional economists. 
This Js a sensitive point, for 
one of the Labour party's 
strongest arguments during last 
year’s election campaign was 
its superior competence in 
managing the economy. 

The September election was a 


cliff-hanger. After the first 
count it appeared that the non- 
socialist parties had secured a 
majority of one in the Storting 
(parliament) and would oust 
Labour. A recount in one con- 
stituency switched the seat to 
the socialists and Jeft Mr. 
Nordli’s Government in com- 
mand. Before the election it 
had been widely accepted that 
with the revenue from the 
North Sea oil about to roll the 
victors should be assured of two 
four-year mandates. That 
assumption may still be valid 
but the Labour party will have 
.to work harder than anticipated 
over the next two years to make 
it stick. 


Stabilised 


The election may be said to 
have stabilised the Norwegian 
political scene in that it empha- 
sised the polarisation around 
Labour and the Conservatives, 
the two parties which made 
substantial gains at the cost of 
the smaller parties. In particu- 
lar Labour recovered ■ the 
ground it had lost to the Left 
Socialists in 1973. The ad- 
vance of Labour and the Con- 
servatives can also be inter- 
preted as a setback for the 
environmentalist, new life-style 
and anti-consumer society atti- 
tudes which had been most 
vociferously advocated by the 
Left Socialists and -the Centre 
parties. But here some reser- 
vations are called for. 

The interest in environ- 
mental issues, doubts about in- 
dustrialism and economic 
growth— the so-called “green 
wave " — and the wish to pre- 
serve the present Norwegian 
way of life still have strong 
emotional force for many Nor- 


Milu 


It lactic 



nnmM Him 


wegians. especially among the 
young. What has happened at 
least for the time being, is 
that, pursuing good democratic 
practice, the Labour party— and 
to a lesser extent even the Con- 
servatives — has been able to 
absorb and cater for these 


trends. Labour brought off a 
coup against its opponents on 
the left when it appointed 
Mrs. Gro Harlem Bruntiand as 
party Vice-Chairman and 
Minister for the Environment. 
But Labour is committed to 
spending part of the coming 


oil revenues to meet demands year. In per eapita terms Nor- still arrive in Oslo offering 
which will not appeal to hard- way is running by far the loans, “crisis'’ is the wrong 
headed businessmen. largest payments deficit in the term, although one suspects 

A further reservation con- OECD area. The reason is that that the bankers would like to 
cents Mr. Remit Steen, the this Labour Government, follow- a mure determined defla- 
Labour Party Chairman, to i°6 a Keynesian Line, decided to tionaxy plan from the Govern- 
whom at least part of the credit spend Norway out of what it ment The currcnl problems 
must go for bringing far left ejected to be a temporary gre majTageable> if , he Labour 
voters back into the party fold, international recession. Its p rt t [, e noiiticat 

In the anathema of the Right policy of maintaining full em- a ^ u lhi, anLr. tha 

Mr. Steen occupies a similar pioyment, expanding domestic “ * ' f ' th h “^, h J* J!?? »?ni ii ih ! 

position to that of Mr. Anthony demand and providing for real J a ' e V* “ 1, ^ 

Wedgwood Bean in British annual wage increments was “ e xt budget is puolishtd ,a 
Conservative Party attitudes, wrong in retrospect, but in October before we can be sure. 
The minor cabinet reshuffle Mr 1975 could be morally and soci- The compulsory Wage beitle- 
Nordli made after the election aUy justified by reference to ment Board will have fixed the 
reinforced the moderate stance the anticipated income from 1978 wage levels by then and 
of his cabinet but the revised North Sea oil and the belief trade union attitudes should 
national budget presented in that Norway could afford a have clarified. 

April appears to have been maverick policy. The relevant long-term quos- 

heavily influenced by the views The strategy was defeated by yon concerns the wide range 
of the party Left as well as of the prolongation of the reces- ^ intentions formulated m the 
the LO, the trade union federa- sion, the soaring cost of oil Government’s programme fur 
tion. development and the delay in 1978-81. including those summed 

As argued in the article on bringing the North Sea oil and U p under the general heading 
the economy in this Survey, the gas discoveries on stream. But 0 f a “qualitatively better 
revised budget does not live up the Labour Government could society.* 1 The net foreign debt, 
to some of the aims listed in be blamed for not realising in j t ^ now calculated, could rise 
the Finance Ministry’s long- time that in a relatively small t o as much as Kr.l5«bn. before 
term programme, issued in the economy, in which 30 per cent j t can 5 e amortised with the 
previous month. This called for of the net national product help of the oil revenue. The 
cuts in private consumption and comes from exports, its policy obvious conclusion is that over 
public expenditure, coupled was putting impossible cost four-year period the Govem- 

n a ™ nncuTnH Pressures on the export. Indus- ment will have to work out a 

ductivitv Political conddersT tries ‘ and dur * n5 strict schedule of priorities and 

Sons Sin P to have Seventh **** big debate about how t0 Postpone some social reforms 
* L yrS .b»rb the oil revenue, Norway’. a „d improvements. 

these intentions fullv in the re Konomiste “ d I Politicians were Some shirt of emphasis in this 
vised budget which hardly most concerned t0 av0ld over- direction was apparent in the 
adds up to the strong defla- heatin 6 ^ir smaJ! economy by 1978S1 programme, which did 
tionary policy anticipated and 100 fast a development 0 f the give weight to “renewing” 
foreshadowed in statements by ° n resources. Last year they industry: it also suggested that 
the Premier and Finance were introducing just such over- introduction or the new sick- 
Minister. heating by, borrowing against ness benefit scheme would be 

The most flagrant svmntnm nF futur6 oil income. delayed. In the revised budget, 

the malaise into which the Nor- The word “ crisis " has 56611 nevertheless, this scheme went 
wegian economy has fallen is eschewea »» this article, even through and will become effec- 
the net foreign debt, which is 5f ix has been a PP ,ied by thc live from July 1. The hope 
scheduled to reach some Labour Government’s domestic within Norwegian industry and 
Kr. lOObn. f£10bn.). or roughly critics. While foreign bankers among many senior economists 
half of GNP by the end of this CONTINUED ON NEXT PAGE 


■ f ‘.mover 


i 


sIKH* 


I l 



.ft 1 ': 






Are you sure you're "au fait" with developments in 
the business world? If not, maybe we can help you 
with a few facts about ourselves. 

Bom in Norway in 1905. brought up on hydro- 
electric power, best known for synthetic fertilizers, 
our main product for many years, we’ve grown a lot 
since those days. 

Still a Norwegian company, but with a strong inter- 
national flavour. Our shares are quoted on stoerc 
exchanges Hi Norway, the UK, France, Germany ana 

Switzerland. „ _ . . , 

Still energy-based, but as well as hydro-etedne 
power, oil and gas now provide the feed stocks tor 
many of our production processes. We went . Into 
the North Sea oil from the start to secure our 


supplies of vital raw materials, and you probably 
know us best for our participation in the Ekofisk 
and Frigg fields. 

Still big in fertilizers and industrial chemicals, we 
recently celebrated a quarter-century in magnesium 
and PVC and a decade in aluminium. Oil refining 
and petrochemicals have been added to the list too. 

Jn Norway we've been a household word for years. 
But now we have factories in many countries in 
Europe and sales offices around the world. We export 
some 75 per Cent of our production. 

If you'd like to know more, contact us in Oslo, or 
Bangkok, Copenhagen, Hong Kong, Kuala Lumpur, 
London, Madrid. New York, Riode Janeiro, Singapore 
or Stockholm. 


mm. 

fefr^v' 




1 /; - Suv 


It**' 'irV 

\?j-. '*r ■■■ 


What makes the ES Group 
animportant part of the world of metals? 


Noo^is a«mah country, but h\ine 
wortdof metals It lsa major power. ‘ 




int 

^^^^^^QJV^tet.alsocalled trie 
tQtiay. 


(((. Norsk Hydro 


facturedgoddi' 

\ ♦% w.*.. 


'of manu- 


res is a picTOar wWelting • wfredc»4ng todustry.togetber with 

of ores and metata. The Engineering . afulf range of carton steel billets. 

Diy/sion teslgns and supplies electric ’ Theaddcese la Manchester Steel • 

smelting furnaces tor the metallurgical Limited, Philips PsiricBoad, 

industry worldwide. .* •; . .Manchester Mil 3ET, tef. OSt-223 ’! 

Qkpm:Sp.tgervertceiwasfomwd .7282. . . ; 

though the merger of Bkem#*} ;• further Irriorrnali^ about the' 

Chri st ian 1 a Spige rv&rk — two leading': ■ . ES Group. please coritact ♦ 

nttnea in the wbrtd of metals. . Sitem-Spigeryerkaty Information 

inwBt moms abroad include the . . . • Department. P.O.Box 5430, Oslo 3, 

subsidiary Manchester Steel Umited, Norway. / 

who produce Wghflualtty rodsfoHhe ” ' •- • 


Bvgdoy alls 2, Oslo 2, Norway . . 

lei: (02) 56 41 flO - Telex: 13530 hydro n . 


Lv • 







. . — .. ... _v. 




jllnancfcS W(5CftBE**fcy ^ 


■BB 


ICING THE FUTURE 

through development 
of trained personnel 


NORWAY II 


Tbe central complex of 
Norway’s Ekofisk Field, one 
of tlie earliest producing oil 
fields In the North Sea. 

Production began at very low ff-v- sjBB I 

rates In 1971, but built up 

gradually until the explosion 

on the Bravo platform in 

1977 put the field out of 

commission for several weeks. 

However, production is again |3*- ■. 




. f • - . . T 1 *- 

•’•.••• ; •: .•*? . ■; -ft .r'j-.j:/?.' 




sssnpw* 

fcs-iew..', ?Sa 


v-;. * 




. i f S’. •- V- - -4 




&■■■-■ ■>*?! 


n8#9w!rls5 




However, production is again ^ i^V; 
on the Increase, and is -^;v wyl 


on the Increase, and is 
expected to reach about 
560,000 b/d year, and 
peak at 755,000 b/d in 1980. 






■ k&2r>£iFA 




1,1 ** ,= T .' V > ■*'- Wrj 








Successful Norwegian graduates who completed the first 
Offshore Engineering Training Course run by Brown 8- Root 
Norge A/S in 1977. They have taken up positions alongside 
experienced colleagues in our joint ventures In Norway: And 
the training programme continues, for the future. 


Supporting Norwegian Developments 
Brownaker Offshore A/S Brown & Root/ N PC 

P.O.Box 557 P.O.Box 535 

4001 Stavanger 1301 Sandvika 

In association with 


Foreign policy focus 


Browner Root Norge A/S 

a i < n:i o W 


on the north 


A Halliburton Company 


NORWEGIAN FOREIGN policy sensus on foreign policy within wegian foreign policy. The They have linked disarms- The temporary agreement 


30/32 Tastagaten, Stavanaer, Norway 
Tel: 22020 Telex: 33151 


This announcement appears as a nutter of record only. 



CORREIOS E TELECOMUNICAQOES 
DE PORTUGAL (C.T.T.) 


US $ 50,000,000 
Medium Term Euro-Loan 


Gu;rr»meed bv 


The Republic of Portugal 


Managed by 

Kredietbank S. A. Luxembourg eoise 


Banco de Vizcava S.A. 


Commerzbank 

A k: icngcscl lsch.it i 

Creditanstalt-Bankverein 


♦ Banque Internationale a Luxembourg 

S oci etc Ancrnyme 

Compagnie Financiere de la Deutsche Bank AG 


lt-Bankverein ♦ Girozentrale und Bank der osterreidhiseben Sparkassen 

" Aktiengesellschaft 

Lloyds Bank International Limited ♦ Midland Bank Limited 


National Westminster Bank Group . * Union de Banques Arabes et Fran^aises - U.B A.F. 

Dean Witter Reynolds International, Inc. 


Provided bv 


Kredietbank S.A. Luxembourgeoise 

Banco deVizcaya S.A. • Banque Internationale a Luxembourg Societe Anonyme 
Commerzbank International S.A. * Compagnie Financiere de la Deutsche Bank AG 
Creditanstalt-Bankverein ♦ Girozentrale-und Bank der osterreicbischen Sparkassen Aktiengesellschaft 
International Westminster Bank Limited * Lloyds Bank International Limited 
Midland Bank Limited • Union de Banques Arabes et Frangaises - U.B.A.E 
Dean Witter Reynolds International. Inc. 

European Arab Bank (Brussels) S.A. • International Commercial Bank Limited 
Lavoro Bank Overseas N.V.. Curasao * Midland BankTrust Corporation (Guernsey) Limited 
Northland Bank Calgary. Alberta, Canada ♦ Oberbank Linz, Austria 
Osterrcichische Landcrbank Aktiengesellschaft * Societe Generate deBanqueSA. 

Tokai Bank Nederland N.V. 


over the past year has focused me aiorung iraruaraemi uennan uuups auuu< » — ", — - 

mainly on the ansa north of the which has prevailed for the past Barents Sea fishing agreement Norwegian interest— aid for the many Norwegians as conceding 

Arctic Circle and on relations 30 years. They also produced a reflect the balance Noway has Third World— by proposing io too much tn the Russians and 

with the Soviet Union. The reminder from the U.S. that to maintain between ns own the UN that it should study establishing an awkward precc- 

arrangements made by the Norway should not forget the security interests and those of how to switch resources re- dent for the delimitation 

Labour -Government with the strategic importance of the its big neighbour. leased by disarmament nwas- negotiations, even though in an 

Russians over fishing rights in area. The difficulties of maintaining ures to development aid. Nor* accompanying appendix it was 

the Barents Sea hroke the con- Recent Soviet tactics towards the right balance have been way itself is allocating one per eX p ress i v stated that no preiv* 

— - NrTTTrn- have followed a blow- increased in recent times by the cenL of its GNP to uovclopment was intended. The thri*e 

hot blow-cold pattern. Russian growing strategic importance to aid this year, even though it is ma j n parries voted in 

■ -■- leaders and newspapers have the Russians of their nuclear having to retrench in its own lhe s !urt j n j, aB3ins t the agree* 

accused the Norwegians of submarine and military base nn economy. mcnt . 

“militarism" and of raising the Kola Peninsula and by With lhe recurd having been _ 

tension in the area bv their developments connected with set straight it remains true The two countries fixed a 

co-operation in attempting to the International Law of the nevertheless that the most sen* total allowable cod catch winch, 
improve the reinforcement Sea conference. The worldwide sitive area of Norwegian foreign provided for fishing by third .* 
capacity of NATO forces in move towards offshore economic policy for the time being is in country — notably British— 
Northern Europe. But the and fishery zones has forced the the north. These issues stand trawlers but at a reduced level. 
Russians did come to terms Norwegians into negotiations out— delimitation of the Norwe- The division of the catch was 
with the Norwegians over fish- and closer contact with the gian and Soviet continental accepted by the EEC. But 
ing rights in the Barents Sea Russians. Olso has also to bear shelves in the Barents Sea and neither the EEC nor the Soviet 
and are offering to settle other in mind that in the longer run the accompanying question of Union has fully acquiesced in 

outstanding issues on a bilateral exploitation of the economic fisheries jurisdiction; Norway’s Norway's declaration of a 
basis. resources of the northern areas, claim that its continental shelf fisheries protection zone round 

mf * particularly now that they are- extends round the Spitsbergen • Spitsbergen. The Norwegians! 

PHPQ T3 ntpoof likely to contain oil. wiU. -add Islands and its unilateral decla* justify this move in practical 

yV-FJ-iO IVCIICdl further problems. ration of a fisheries protection terms by the need for control of 

In January, shortly after the The flurry of activity' in the zone round them: the attempt the common fish stocks which 
visit to Oslo of Mr. Igor north over the past year to apply Norwegian admims- move between the Spitsbergen 

Zemskov, the Soviety Deputy attracted most news space but tration nn Spitsbergen, where f rea n an d the Barents Sea and 

Foreign Minister, the Nor- should be put into perspective the Russians, because of their legally by the claim that the 
wegian Defence Minister. Mr. — first with the underlying con- coalmining operation, are in the Norwegian continental shelf ex- 
, Rolf Hansen, announced that tinuity in Norwegian foreign majority. tends round Spitsbergen. The 

West German combat troops policy and secondly with the P 3 !!! 0 !! ^ e!rterr J countries' have 

would not be allowed to take country’s wider interests. Nor- OPIUR rCftfiOIl tabled resenations about this 

part in NATO exercises in way joined NATO in 1949 after £ ,a * m w ! u,e | he Russians hav* 

Norway, although medical and the Communist takeover in Establishment by both Norway flatly rejected it. 
signals units would participate. Czechoslovakia in the previous and the Soviet Union of 200- The Norwegians have 
The Norwegian Government year- Nearly 30 years later the mile zones in the Barenis Sea declared certain areas in the 
had never made any formal Defence Commission White revived the unsettled dcmarca- zine prohibited for fishing from 
commitment to NATO or Bonn Paper published in March re- tion issue. Norway claims that May 15 and have announced 
about the West German troops affirmed the t0 a median line principle should regulations, involving reporting 

but the announcement was seen NATO as the keystone of Nor- ^ applied while the Soviet of movements and catches and 
both in the Norwegian Press way’s security, it proposed to Union has stuck to a sector net mesh sizes, for the remain- 
and by West German opposi- raise the levei ot aerence Une claim w hj C h would put the ing area with effect from July LL-i 
' - tion politicians as a retreat by fpend 11 }^ and anaiysea wa>s ot delimitation well to the west. The EEC countries will 

Norway under Soviet pressure. Ur® fL c„ JuJohS The difference involves some ably follow the Norwegian rules] 

Norwegian diplomats were *=___ Nnrwesrians are goine 155.000 square kilometres of the but it is by no means dear that; 
KKlr £ more inclined to emphasise the JLrfj with _ ]a £s t0 st0C kpjie continental shelf. The Russians the Russians will. If they dfc 

Finnish interest On a visit to hea equ i Pin ent for the NATO have consistently underlined not. the Norwegians will face att 
Sank AG Oslo last year President Urho forc / B committed to the rein- tbe.spedal security status of an extremely delicate enforcement 

Kekkonen oF Finland had put f orcen ient of Norway in a war which covers the sea ap- problem in July. . U 

ischen Sparkassen the introduction of West Ger- situation proaches to their Kola base. The 1920 Treaty of Paris gave^ 

- * man combat forces Nomay Later this year Norway is Th e need t o assure th e rinht s Norway sovereignty over SpibsS 

Wpd l n - .rr Rhely to take its seat on the UN of £ei? fishe™™ tedthe NoS bersen ^ ^^-ed the right^.. , 

Finnish treaty.. Under this the security Council as one of the wesi , . M , Q , a , of the signatory countries, noww. 

, . ^ Soviet Union can call for ^ non-permanent West Euro- anS ^ t0 conclude in numberin g 41 t0 exploit 

ran^aises - U.B AJF. consultation With Fin- pean representatives. The “®* c r ^ a rTlTS economic resources.- ^ie RuS 

land .should there be any threat nameg 0 f Trygve Lie. the first c ?. ver,D ® fisheries.. This s i ans have a big coal-minina 

to Soviet security from Germany Secretary-General of UN. and of allows ]° lx * jurisdiction in operation on i da ad. Aft^ ,. . 
in the area. Fridtjof Nansen, explorer and a s<> ' ca ti e d S^y zone. The a ver y ^jeguitp™ ^dmiuistrarie^ - ■ 

Mr. Knot Frydeni und, the leading actor in the old League z “ ne - however, was so drawn for aoine .gu ^ NoiS • • •. 

Foreign Minister, has con- of Nations, are enough to recall 23,000 square kilometres of wegians have io recent years] 
sistently underlined that the Norway's long-standing efforts feI l t0 'b e west °f the sector been trying with modest but faq 

paramount objective of Nor- to bring about international claimed by the Russians— that f rora total success to exert theiq 

te Anonyme wegian policy m the northern settlements. More recentlv the is. within undisputed Norwegian authority Like the Barents 

. , i, , areas is to prevent unrest and Norwegians have been very ten-itory— while only 3,000 Sea delimitation the 'qtustianU- 

caeoankAG, tension. He has also emphasised active in the preparatory com- square kilometres lay to the east remains to be solved- 3 

ssen Aktieneesellschaft membership of NATO as form- mittee for the UN special ses- of the median line claimed by w 3 - 

if. . . ^ ios tiie foundation for Nor- sion of disarmament the Norwegians. William DliUfaFCfif.' -■ 


Seas 


CONTINUED FROM PREVIOUS PAGE 


Agent 


Kredietbank S A, Luxembonrgeoise ‘ 



April 19TS 


Telex 19470 felba n -or TeI^?hone 1472) 419580 
or write Kirkegaten 14-18, Oslo 1, Norway- 
and you will get in contact with Norwegian 
business life. 




Do mesne numc Fdlokinken aj. 


ls * t ^ at ^ e J ja J 0ur cabinet ™" or protection zone around the have left some untidy ends the 1973 referendum, vducffl ' 

rather the Labour movement as Svalbard islands. The first move which still have to be dealt split the nation and keot it ouB' ' 

a whole - will emerge with led to negotiations with ihe with, but the fundamentals of the KFC NniwtefJnS ’ 
the nght priorities from the EEC over reciprocal fishing Norwegian foreign policy have of tE U. Norway has wor **§.. . 
trauma into which it fell when rights but also necessitated an not changed. They still call for working relationship-, 

the facts of the economic situa- understanding with the Soviet a judicious balance between N llw - 

tion were made evident. The Union overfishing rights in the national security, based on the * hc Norwegians cannot influerwf : 
alternative would be to move Barents Sea, where the two Nato alliance, and the need to deci ® 10,1JJ ~' t ? n Brussels ou| 

; into the lop-sided, Kuwait-type countries had so far failed to live with a neighbouring supoi> w J} lch affect their 

economy which all Norwegians agree on a maritime dividing power. The feeling in some Ik h thG s*" 1 * e> ? ent 

swore they would avoid. line. Soviet security interests Western capitals that Norway' SS „ n a , S" 1 

Foreign relations have been in the area . covers the m *i\ Have made too large con- iTwort that " 

going through a lively and more se * P® ssa S es 10 tiie strategic cessions to the Russians re- . „ . . '«-A 

controversial phase than usual. mi,,tar y base on the Kola penin* cent, y should be corrected by ™ ,y attumpfts to analyse • 
The immediate cause has been sula * * re involved. the long-term defence commis* u i m 

Norway's own efforts to safe- r* -a- * j s,on re P° rt Presented to the hiEhHght the economic d fficuK. 

guard its fishing interests vi^a- CritlClSed Government earlier this year. ' 

vis both the EEC and the Snvipt rri». After analysing the options, the direction in Labour Gmen^. 

Union ‘But in second-half ® so< ^ ed zone” report came down firmly in ’ mem policy, but Ir is impnrUtdJ 

of hut* year Sovi« poSVr«- agreement obtained by Mr. Jens favour of Nato membership, ad* 10 those problems in perj 
sure on 8 Nmw — the Mi * ister 5n ctx ^S e mcreased spending on f^ ve - Tlc m 

mostiy by statements T tot ^ t! }e " Law of the Sea ” affairs, defence and greater efforts to and , wtlwut mUl J 
Sovief Press anTfrom rL£ been Crit »sed both at home prepare for the arrival of Nato T d . oubt ln an income nnrH 
Srs-^af^o sLn^ m and ,n for giving reinforcemems in a crisis, . ' han , sufficient to pay off Nrtf 

-*u.u 0 S - pe T up ’ a w ay too much to the Russians <n. * « * . ways current debt, even if 

* p B p ^ nt,} Wlth ■ lh . e ai “ of P re - On the other hand it ha^ pro- „ to obtain a clear “ couId > further unscheduled ' 

v nr ? a L “ y * In + crease in vided a workable temporary agre . emL ’ nt the delays. The Norwoglatw do ni>| v. 

commitments to arrangement for Norwegian fish- ^ ?, be , en du ® not to un ’ face a disastrous or even a pan^ 

N S a ing in the ar« anT tas been from n Norw ^ W «ut in living standards. oU 

The two moves which sparked credited with winning crucial over 1 rv!! 416 in J? w F h tl,e olhcr hand - is arguabUW 
things off were the extension fishermen votes forth! th c e „_ Co ™ m0n Pishcnes that they still have to find tiwfi 

to -00 miles of Norway's fishing Parly during the SeMemhrr P® r cent - of rigbf formula for coping wltml 

limits and ihe decision takeS elation September Norwegian trade is with the both the eeonomie Tnd - social W 

last June to declare a fineries Recent developments may S? cS? 6 !..™!." 1 '. egea ? ° f ^ Nortt Sca oll d* X 


any increase 
commitments 


may maiam# EFTA countries. After coveriea. • 











seesaws 



fe» 


O 



Financial Times Wednesday May 17 197S 


NORWAY m 


to cool the economy 


■ 

> > 


rgg OVERHEATING or the 
cpnomy. which a year ago was 
een as the main threat to the 
twdy growth in Norwegian 
ffloence on the swell of North 
ieo. oil, has become reality, 
'tie Government has had to 
produce demand - curbing 
ie a 5 Ures and to switch From 
B . expansionary, counter-cycli- 
st policy towards a moderately 
eflatioDary line. The Nor- 
remans have been warned that 
fter four years of regular in- 
resses in take-home pay most 
f. them will have to accept 
temporary cut in disposable 
Homes. 

The big question now is 
Aether the Government action 
ites deeply enough. The steps 
r far taken 'add up to a com- 
rpmise between the sterner 
inscription of the Finance 
(mis ter, Mr. Per Kleppc, and 
ip softer, politically sensitive 
sproach of other members of 
is' Labour Government. Mr. 
leppe has had to take the 
!ame for forecasting develnp- 
icnbr. wrongly last year. Now 
lat he wants to correct his 
intakes he has been hampered 
f his loss of credibility within 
ie Cabinet The present 
inger is that the deflationary 
loves will not go far enough to 
store the competitive power 
nd viability of the export jn- 
ustries. 

The alarm bell which Anally 
-arned the Government it had 
j change policy was the pay- 
icnts balance. An optimistic 
^recast of a volume growth in 
xports in 1977 was belied by a 
[uw per cent, decline at th? 
one time as import demand 
emained high. The payments 
Bfieit. successively upgraded 
hrougiiout the year by the 
Wecasters, finished at a mas- 
foe Kr.26.5bn. f£2.7bn.L By 
lie end of the year it was also 
parent that the initial 1978 
fltional budget prediction of a 


decrease in the deficit to 
Kr.lfibn. would not stick. 

Norway's 1977 -payments 
deficit equalled 14 per cent, of 
fiNP. the largest ever recorded 
by an OECD country. In abso- 
lute figures it was second only 
to the U.S. deficit and far ahead 
of the rest of the world-in per 
capita terms. Moreover, by the 
end of the year the net foreign 
debt was around Kr.80bn. . It 
may well reach- Kr.lOObn. or 
half annual GNP by the end of 
1978. 

The foreign debt jn itself is 
not a major problem so long as 
there is plenty of capital in the 
international money market and 
Norway can pledge its future 
oil income. More disturbing, is 
the fact that an increasing part 
of the debt has been falling on 
the so-called “mainland" 
economy; rhat is, it has not 
gone to finance oil investments 
or shipowners* orders for new 
vessels but has been used to 
boost domestic consumption 
and maintain full employment 
By the end of this year, it is 
calculated, about 30 per cent of 
the foreign debt will be on the 
mainland economy. 


BASIC STATISTICS 


Area: 

118,914 $q miles (307,988 km 

Population: 

4.03m (1976) ‘ 

GNP: 

Kr 146.03bn (1975) 

Per capita: 

Kr 36^16 

Trade (1976): 


Imports: 

Kr 60J>ba (Kr 68^bn 1977>- 

Exports: 

Kr 69.31m 

Imports from UR: 

£473,4m 

Exports to UK: 

£623. 1m 

Trade with UK (1977): 

. £761 -9m 

Imports: 

£76L9m 

Exports: 

£84 5"m 

Currency: 

£ Kr 9.85$ 


The Norwegian Government 
can fairly claim that it has been 
thwarted by events largely 
beyond its control — the. slow 
recovery from the world 
economic recession and the 
delays in getting the oil out of 
the North Sea. Nevertheless, it 
was obvious by the end of last 
year that its expansionary policy 
had got out of hand. 

The unexpectedly poor per- 
formance of the export industry, 
which is estimated to have lost 
S per cent, of its foreign market 
share in 1977, highlighted the 
disproportionately rapid rise in 
Norwegian costs and prices. 
Analysis showed that industry's 
relative wage costs bad shot 


ahead 20 to 25 per cent, faster 
than the average for Norway’s 
main trading partners in the 
1974-77 period. 

Id January the Government 
took the first measures to curb 
domestic demand through credit 
policy. It raised interest rates 
and reduced the 1978 lending 
ceihng for the banks. In 
February it turned to exchange 
policy, devaluing the krone by 
8 per cent, against the other 
EEC “ snake ” currencies. 

At the same time Cabinet 
Ministers were promising strong 
deflationary measures on the 
fiscal front when the revised 
national budget was submitted 
to the Storting. These pro- 
mises were supported by the 
revised long-term economic 
programme issued in March, 
which cut the growth target for 
the 1978-81 period. It fore- 
shadowed a return ro a normal 
level in the fiscal balance and 
measures to restore industry’s 
competitivity as well as reducing 
the payments deficit 

In the event the package of 
measures announced In April 
together with the revised 1978 
budget plan fell short of this 
build-up. The credit ceiling for 
the private and savings banks 
was cut by a further Kr.Llbn. 
while lending by the State banks 
was only marginally reduced. 
Fiscal measures were aimed at 


curbing private, consumption, 
which is now. expected to grow 
by two per cent this year com- 
pared with the S-2 per cent 
allowed for in the original bud- 
get Public consumption is 
scheduled to grow by 3.6 per 
cent 

The claim that the package 
would take Kr.lbn. of purchas- 
ing power out of the economy 
this year rested mainly on the 
“ saving " in Government spend- 
ing caused by the breakdown in 
the annual incomes settlement 
negotiations. The Government 
will not now put through the 
reduction in taxes which was to 
have been its contribution to the 
annual wages agreement The 
total effect of the package, it is 
estimated, will reduce the deficit 
in the State budget (Le. exclud- 
ing the social security budget) 
from Kr.8hn. to Kr.Tbn. 

Now one of the strongest in- 
flationary elements in the econ- 
omy has been the acceleration 
in the State budget deficit from 
a surplus in 1974 to a deficit of 
ov»r Kr.2bn. in 1976 and 
Kr.5.5bn. last year. The growth 
in the public sector borrowing 
requirement has been even more 
dramatic, rising from Kr.3.5bn. 
in 1974 to Kr.lObn. in 1976 and 
over Kr.l4bn. last year. It will 
decline only slightly this year. 

The growth in GNP in 1978 
is uow targeted at 4J2 per cent. 


roughly the same as in 19<r, 
against the 6.8 per cent, esti- 
mate of the original budget. 
Excluding oil and shipping, 
growth is expected to be 1.2 per 
cent compared with the earlier 
estimate of 2.5 per cent. Never- 
theless the measures in the re- 
vised budget are scarcely cnm : 
patible with the stronger defla- 
tion indicated in the revised 
long-term programme and fore- 
shadowed in Ministers' earlier 
statements. They may also not go 
far enough to help the export 
industry. 

The official line in the 
Finance Ministry is that more 
restrictive * action can be 
expected in the 1979 national 
budget, which will be submitted 
to 'the Storting in the autumn. 
Rather than employ shock 
tactics, it is stated, the Govern- 
ment has plumped for a gradual 
tightening, which is more com- 
patible with the political aim 
of maintaining full employment. 
At the same time employment 
policy is to be “ more flexible ” 
with less State support for 
companies in financial trouble 
but with an increase in spend- 
ing on retraining schemes. 

The failure to cut public 
spending more sharply is justi- 
fied by the argument that a 
Krlbn. a year reduction in 
public consumption would save 
KrlOOm. on imports but make 

10.000 unemployed, while a 
Krlbn. cut in private consump- 
tion is calculated to cut imports 
by KrSOOm. and affect only 

3.000 jobs. The Ministry antici- 
pates that it will have obtained 
a zero growth level in import 
demand and private consump- 
tion by the end of. this year. 


Accurate 


Curbs on bank lending 


MOST significant single 
opment affecting Norwe- 
an banking during the past 
til year has been the Labour 
wenunent’s decision to shift 
va .its low interest policy, 
ie move was made early in 
scember as part of the Gnvern- 
infs belt-tightening pro- 
amnie. It marked the end of 
strategy, successive Labour 
vernments had pursued ever 
ice the war— holding interest 
ies well below European 
-els in order to encourage the 
rate of investment which 
s been a feature of the 
irwegian economy in the post- 
i period. 

The disadvantage of keeping 
grest raic-s artificially low is, 
course, that not only indus- 
al investment is encouraged, 
niflies and individuals are 
npted to “invest" in costly 


consumer durables financed by 
borrowing, particularly when 
the rale of infiation is so high 
that it actually pays them not to 
delay their purchases until they 
can pay cash. Add to this a 
tax system which makes interest 
payments on loans deductible 
and it soon becomes folk wisdom 
that saving is out. 

Faced with a soaring pay- 
ments deficit caused in large 
part by the consumer boom. 
Labour's economists reluctantly 
decided that interest rates 
would have to rise. On Decem- 
ber 2. as pan of a package of 
austerity measures. Finance 
Minister Per Kleppe announced 
that the State banks* interest 
rates would rise by 1 per cent 
He also announced that the 
Government would end its 
••understanding" with the 
private banks which obliged 


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London — Representative office. 
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Balance Sheet as per 31st December, 1977 

On millions of Norwegian kroner) 


Liabilities 

Capital 

Reserves 

Deposits &C. 
Other liabilities 
Total 


For business with Norway — contact 


150 

Assets 

Cash & Banks 

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Investments 

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Loans & Disc. 

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241 

Other assets 

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4.482 

Total 

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them to hold down their 
interest rates on advances and 
deposits. 

For a while at least they 
would be allowed to fix rates 
themselves, but he warned that 
the Government would watch 
developments closely, and re- 
iropose regulations if this 
seemed necessary. An import* 
ant proviso was that the banks’ 
interest margins- must remain 
unchanged. 

In the event the banks prac- 
tised their newly-won freedom 
with great caution. Their two 
associations ( for the com- 
mercial and savings banks) 
agreed to recommend member 
banks to increase rates by only 
1 to 1} per cent When a few 
savings banks and one com- 
mercial bank in the counties of 
Agder and Rogaland began 
exceeding these limits, in an 
attempt to win new customers, 
the savings and commercial 
banks* associations urged them 
to reconsider, and called on 
other member banks not to 
follow suit So far the interest 
rate “war'’ has not spread 
significantly. 


Batch 


By end-January Government 
concern at the worsening eco- 
nomic situation led to a new 
batch of austerity measures, 
again designed to curb borrow- 
ing and encourage saving. Hire 
purchase rules were tightened, 
and the banks were asked to 
be stricter about granting loans 
to finance consumer buying. 
Most- of them responded 
promptly to this appeal — among 
other things by temporarily 
suspending the special borrow- 
ing privileges granted to 
customers with “ wage 
accounts " (accounts into which 
wages are paid directly). 

Previously, customers with 
wage accounts were allowed to 
borrow one to two months^ 
wages without security and 
without the loan having to be 
approved by their bank 
managers. 

One of the few banks reluc- 
tant to suspend tbe “ wage 
account" borrowing facility 
was the Norwegian TOC's own 
bank, Landsbanken. Eventually 
it fell into line, under heavy 
pressure from tbe Bank of 
Norway. Its resistance illus- 
trates, however, the trade union 
movement’s latent hostility 
towards any significant restric- 
tion of consumer credit, some- 
thing it regards as “ unfair ” to 
the working dass. 

Tbis month a further drastic 
step is being taken to cuTb 
bank lending, by a Government 
decision to impose additional 
reserve requirements. Banks 
exceeding their new, reduced 
lending quotas will have to pay 
an amount corresponding to 
50 per cent, of the excess into 
a special non-interest-bearing 
account with the Batik of 
Norway. It is worth noting that 
the banks themselves believe 
this regulation is necessary if 
they are to manage to keep 
withiii the Government’s lend- 
ing limits. 


Perhaps as a concession to 
critics within the Labour and 
trade union movement, Prime 
Minister Odvar Nordli 
announced last month that tbe 
Government is to appoint a 
Royal Commission to study the 
role of interest policy in eco- 
nomic strategy generally. 
Specifically it will report on the 
role played by interest policy 
in this year’s series of austerity 
measures. 

The newly elected chairman 
of the Commercial Banks’ 
Association. Mr. Tor Moursund, 
believes the commission's man- 
date should be widened to 
include a study of the whole 
structure of Norway's credit 
market He pointed out that 
circumstances have changed 
considerably since the subject 
was last reviewed by a similar 
commission 14 years ago. 

Among other things the State 
banks have increased their share 
of the total credit market at the 
expense of the private banks. 
Now that the private banks have 
acquired a new character, with 
the enactment of the law to 
make them moie democratic, 
they should be entitled to 
recover some of the market 
share lost to the State banks 
over the past two decades, 
Moursund argued. 

An important step towards 
implementing the bank demo- 
cratisation law was taken last 
month, when the Storting 
appointed some of tbe “public 
watchdogs ” who will hence- 
forth have a majority on the 
commercial banks’ representa- 
tive councils. The Storting 
appointees will sit on the repre- 
sentative councils of the 11 com- 
mercial banks whose interests 
span several counties or the 
whole country. Selection of 
public appointees for the more 
locally based commercial banks 
has been delegated to county 
councils. 

The likely longer term effects 
of the new law remain to be 
seen. Of particular interest is 
the extent to which bank share- 
holders will exercise their option 
to sell their shares to the State. 
They have three years in which 
to decide whether or not to sell 
—either at the market price on 
January 1 last, or at the average 
price over the preceding three 
years, whichever is the higher. 

It is -clear that both the banks 
and the Government are hoping 
most shareholders will not sell. 
The banks hope to avoid being 
gradually nationalised. The 
Government hopes to avoid the 
enormous cash . outlay which 
such a development would in- 
volve. Even if only a fifth of 
shareholders should decide to 
cash in their shares, it would 
cost the State Kr.500m. In prin- 
ciple, the Government hopes to 
re-sell any shares it has to huy, 
provided this can be done with- 
out sig nific a n t loss. But would 
Ihere he any buyers? KrJiOOm. 
corresponds to the past . five 
years’ turnover of bank shares 
on the Oslo stock exchange. 

Fay G jester 

Oslo Correspondent 


The Ministry further believes 
that its forecasting is now more 
accurate and more cautious. - 
The Kr 5bm reduction in. the 
ail income estimate made in 
the revised 1978 budget could 
well be too great, while it is 
confident that tbe Kr.20.8bn. 
payments deficit forecast will 
not need to be revised upwards 
again this year. 

As far as the export industry 
is concerned, the Ministry ex- 
pects tbe compulsory wage 
settlement court to plump for 
only nominal wage increases 
this year. Wage drift which 
was running at 6.5 per cent 
last year, could still be a prob- 
lem while the labour market 


remains tight but the Govern- 
ment's position is that em- 
ployers could do more them- 
selves to hold back rises, while 
the devaluation is thought to 
have improved their relative 
costs. 

The suspicion remains, how- 
ever, that the Finance Ministry 
at least recognises the inade- 
quacy of the deflationary 
measures so . far taken and will 
be pressing for tougher action 
in the 1979 budget. There are 
some signals in the support pro- 
gramme for the shipyards which 
the Government has just tabled 
in the- Storting.-. If followed 
through, this would have the 
effect of cutting the level of 
Government support and forc- 
ing yard managers to be more 
chary about keeping on wor- 
kers therdo not strictly need. 

In their public statements 
Ministers continue to give 
priority both to maintaining em- 
ployment and to the importance 
of bringing about structural 
changes in industry. They do 
not explain how they hope to 
attain both goals simul- 
taneously. It would seem tn 
call for a very high level of res- 
traint on the union side. 

Looking back over the de- 
velopment of the Norwegian 
economy in the past two years 
one gets a picture. of growui:. 1 
payments deficit, increasing 
costs, a high .consumption rate 
and steady growth in real in- 
comes, and a dramatic increase 
in the State budget deficit. One 
can hardly avoid the assump- 
tion that these factors are inter- 
related and add up to a conclu- 
sion that the Labour Govern- 
ment has established an income 
level and standard of living for 
its people which the country 
cannot yet afford. 

To restore equilibrium, con- 
siderably greater cuts in in- 
comes and consumption would 
be required than the Govern- 
ment has so far decided on. The 
majority of the Cabinet may 
possibly speculate that the long- 
awaited upturn in the world 
economy is finally within sight 
and that Norway can continue 
to rely on the complaisance of 
foreign bankers until things im- 
prove. In the medium term the 
ail revenue would be big 
enough to restore the Govern- 
ment’s options. Such a policy 
could be very unfortunate for 
Norwegian industry. 

W.D. 


Nordic Ban 


London 

Specialist 
finance and advice 
in support of 
Anglo-Nordic trade 

EUROCURRENCY FACILITIES 

EXPORT FINANCE 

INTERNATIONAL LEASING 

EUROBONDS -FOREIGN EXCHANGE 

DEPOSITS & GUARANTEES 

ADVICE ON NEW VENTURES 
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You’ll find us in London, 
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Please contact 

Christen H . Solem, Regional Manager. Norway 
Arild Nerd rum Regional Manager. Norway 


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Nordic Bank House 
41—43 Mincing Lane 
London EC3R 7SP 
Telephone: 01 -626 9661-9 
Telex: 887654 


Shareholders of Nordic Bank 

Copenhagen Handelsbank 
Den norske Creditbank 
Kansallis-Osake-Pankki 
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Copies of the Nordic Bank Guide to Investment in the 
UK and the Nordic Bank Survey into Experiences of 
Manufacturing Subsidiaries of Nordic Companies in 
the UK can be obtained from the above address 


It takes a Norwegian tp# 

export sand to the Sahara! 

- Bell ei/e ;-.i t or Vi '9 1 , . rwa>r e x p o rts sand to Algeria for sandblasting Giltanks!)S^[; 

■ .We think this .is ' a. 'good exa nip I e • of Norwegian initiative. N 0 rway ls¥u II of bust n ess^b? 

“ surprises lika 'thjs/b.nd as the country's largest commercial bank.-we^know all. thereby M 
• \ -7 to 'know bbout. the financial side of Norwegian business?- . ^ 

\ Our International Dep.'artmentgs your- financial gate way to -N 0 r\vay f % ^ 

•’bvf Awn ;■ A; Ask us.-K's our job to know. • % \ - A#: 


• •“;> 4 vr.-r- •; 7Ty 

Den norske Creditbaqk-**^ vp^c?.VV ; W 

The largest comrnBrcial ba^k' m’b orwaA'"^A. 


' ‘ - ' : : -Vi, v-w ^ ^ 

Kkkea: CHi-'j Norway- fc; -{i8 10 SO - To!ex 18l7i> DmC n Cal)teii:'CH!;!)l ; rBAN:K 





56 


Financial Times Wednesday May IT IS?$ 



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A fi.enpo.sten. Norway's leading newspaper, reaches more top salaried 
consumers than any other Norwegian newspaper.* Afterrposten also 
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business magazine. 

Alienposteri's leadership in business coverage is substantiated in, among 
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* Source: IFM’s Media Index 1976/77 


NORWAY IV 


-■O'* 




Complex decisions on 


North Sea finds 


FROM THE BEGINNING of supporting swifter development Norwegian companies ’’ in fields Tlic ‘'gold block, 34/10. will development costs for the . 
this year Norway has had a are the reduction in the esti- other than oil. be the next major landmark in fjord could *' ve[ M 

separate Oil and Energy mates of proven recoverable A second line the Oil Ministry Norwegian oil development The total Kr.lHobn., a colossal 

Ministry committed to speeding reserves and the failure to meet is considering in its efforts to geological prospects are very crease from the ciitretit. jid' 

up the pace of North Sea oil de- production targets. The Oil speed up the pace of oil develop- promising, the block is dose iedly 


too low. estimate 



" tli r the «,, Ph Jn d and than the oil companies’ own developments to make them start on 34/10 this summer. The jecled internal rale .»f rei 

tLri will K* ™ l „.t hront^Tn estimates. The Oil Ministry has commercially attractive. The three Norwegian licensees are on their investment m i 

mere wm oe no gui-oreaxin*, production Ministry is now “seriously seeking a technical assistance fjord— the biggest discover? 

TTI 01*1 AO rt-CTlf I A nVlt'A in OAT Tnd * . _ _ ■■ . . ■ . > ■ • « ■ 1 


imprioan ctvla rfri tn oof th»a ^ UL wiiuv ua ioic [iiuuuwuuii — -» — 

i 1 i wf fowrast by 6m. toe and the 1979 examining" ways of offering agreement with an international the North Sea— h.is .shrunk 

oil out of the continental shelf. ^ orecast the licensee companies incen- company for the exploratory nificantly. 

But with the support of the Norwegians’ change of tives to exploit the so-called drilling. Nine companies have For the record, by the en- 

Conservatives, the largest pj^ centres on ^ new blocks Frigg satellite discoveries and shown interest but the exact March 4n.Sm, tonnes ni ml 

opposition party, ensuring them n0U . up f 0r allocation and for the Odin, Heimdal and Slcipner nature of the international’s 5.5bn. cubic metres of cos 

a majority vote in the Stort- w hj C fa the oil companies have fields. Incentives could include engagement — whether it should been pn>duccd from I he : 

ing. the Labour Government is t0 su bniit bids by June 1. This reduced royalties or even tax have the right to buy part of wegian continental shell', 

opening up new blocks for ex- fourth concession round covers concessions but one idea mooted any oil or gas eventually dis- overwhelming butk from T 

ploration at a faster rate than 15 blocks and the so-called is that companies holding covered — has still to be clarified, fisk. Production was scliedi 

bad been anticipated a year “gold block." 34 TO, which is licences for marginal discoveries to reach over 30nt. tonnes 

ago- being reserved for an all- could be given preference in T-VhcflinnpQ year. By the end of 1977 

The reasons are the delays Norwegian group comprising allocating new blocks if they x waipuuvu Norwegian Slate had ear 

and soaring costs of bringing SiatDil f.S5 per cent.), Norsk agree to develop marginal fields. The move northwards of the some Kr.S.ubn. from oil but 
the present discoveries into pro- Hydro (9 per cent.) and Saga As in the licences issued in the 62nd parallel has now' definitely income should now g 

duction the downgradin' 3 of I 6 per cent.). Originally, the third round, the State will take been postponed until 1980. The quickly to give Kr.16 to ISbi 

' 0 "id 011 Ministry intended to alio- at least a 50 per cent interest original plan to open up first 1981. when Ekofisk will stil 

cate only a few of these blocks through Statoil in the blocks the area off Troms and Vest by far the largest cnntribi 

to begin with, reserving The allowed without having to pay Finnmark for exploration with — a reminder of the lime sj 

“ f UL rh^ 11 others until the results of the any exploration expenses until two rigs each drilling two holes involved in getting offshore 

? L drilling on the first allocations a commercial discovery is still pertains, but the Storting coveries inio production. 

had come in. Now the plan is declared. wants more reassurance of pro- Under present plans 

to allocate all 15 as fast as terms Until June 1, when applies- tection for the North Norwegian Ekofisk fields are expcclet 

ions have to be submitted, it fisheries and of anti-pollution reach a peak output «>f fifi» 


future production estimates and 
the country's swiftly growing 


medium-term income i-s being 
mortgaged to maintain full em- 
ployment and Norwegian living 


* * nun can be agreed. Staff limitations tions have to .. 

standards during the worm an( j companies’ greater in- is difficult to assess how the control before it gives the final barrels of oil a day and 17-1' 

onomic recession. terest for some blocks than companies are reacting to this go-ahead. Local interests are cubic metres of u:is a jcai 

The Government has no inten- others will mean that allocations combination of incentive with divided, the decision is politic- igso. The oil pipeline tn T 
tion of breaking through the will be spread over a period of the Norwegian authorities’ ally sensitive but the odds are side and the gas pipeline 

guiding ceiling of 90m. tonnes a time but the Ministry is pre- efforts to link concessions with that a cautious start will be Emden are now in use. Of 

year for oil output laid down by pared to release all 15 before support for Norwegian industry, made in the early 1980s. satellite fields production f 

the Storting. Nor will it need any drilling results are in. Initial interest has been keen The blow-out of the Bravo West Ekofisk and Cod starlc 

to, so long as there is no ’ with several companies new to platform in April. J9n has cer- the en/1 of last year and 

dramatic collapse in the price T-fpHryp the Norwegian shelf — German, tainly delayed the start of drill- Tor field is now linked 

nf rtil Rut thp mnet rr»ri>nt nrrv O 


of oil. But the most recent pro- o- Swedish, Canadian and Spanish ing norlh of the 62nd parallel Three more minor fields. 

duction forecasts result in a It is trying to hedge aaajnst — apparently ready to bid. but in other respects the ripple fisk, Edda and Albuskjvll, 

curve which would peak at the possibility that too many The exploratory drilling on effects of that accident may be scheduled to contribute 10 
66m. tonnes in 1981. settle on new fields may be discovered the fourth-round blocks will said lo have affected the cost put in 1979. 

a slightly lower plateau through by including in some licences almost certainly determine the but not the pace of oil develop- Gas started to Dow from 

tbe 1980s and then plunge a clause giving the Norwegian Norwegians' attitude towards ment on the Norwegian shelf. British side of the Frigs lid 

precipitately from 1990 on- authorities the right to delay the building of a gas-gathering The authorities were "lucky" St. Fergus last year and pro* 

wards New fields must be di*- development of a discovery for trunk pipeline, through which in that the blow-out did not tion is scheduled to start f 

if nilt _ m tn up a period of time. Other innova- Norwegian gas could be pumped cause any fire, explosion or loss the Norwegian side, which • 

lorn .,4 tions in the Norwegian approach into the Continental network. An of life and that the oil spilt was tains 61 per cent. »»f the 


maintained afti»r IQQfl and after l,u,,s 1U u,c ; ' u * wcgiaii appiuaui mui me l.uuuiii;iu<i iiciwvik. ah »mc auu m«i me «« apm n*o iaiIIS 01 per 

.. riicarmrtmt-ino rfrti’av- in thp ,0 the fourt h concession round alternative proposed is a joint no more than could be coped coverable reserves, later 

tne disappointing aeia - 1 J are t h a t the applying companies, British-Norwegian trunkline, with by the natural forces of year. Frigg is »*stiniai«M 

on revenue now over tne past which have already been opera t- Proven gas reserves on the Nor- the sea and wind. Safety mea- give the British Gas Corn 

two years] t would odviousi. oe ing Qn ^ ]\j onv . e gj an con tj. wegian side are so far insuffi- sures have been tightened and jj on uver 8bu. cubic nietic 
better policy to nave discoveries nenta j S helf, are asked to detail cient to warrant the investment the Oil Directorate has stepped year in the next decade. 

in the purchases they have been in such a lengthy sub-sea pipe- up its demands on the basic Further delays are an 


and income can be stepped up ma iy n g from Norwegian line but if the reserves were security of production plat- pjted in getting the Sioii'j 

towards the 90m.-tonne margin, industry and that each applicant doubled by new discoveries forms, thereby raising the cost field on stream. The " A " p 

if necessary. i s a^ed to indicate its plans financing the pipeline to the of development. form, which has a <\ip:n «i> 

In the new long-term for "setting up business in Continent would take on an- Recently the Aker shipbuild- 300,000 barrels of oil a ila\ 


economic programme the fore- Norway or 
cast gross oil income in the 
1978-81 period is Kr 115-120bn. 

(£11.5-12bn.) or some Kr 25bn. 
lower than that given less than 
a year earlier. The anticipated 
State oil revenue has been re- 
duced by ahout Kr I7bn. to 
Kr 52.5bn. for the same four- 
year period. These predictions 
assume that oil prices will rise 
in line with the rate of inflation 
in the OECD area and have 
taken into account the effect of 
the devaluation of the krone in 
February. 


co-operating with other aspect 


ing group calculated that the scheduled to be ready for 

duction next year hut a «i 


Feedstock plants 


hit problems 


R . . - ltr7 ■ _ A NEW 360,000 tonnes-a-year stad’s ownership structure, giv- With this agreement sewn up, 

“vKI hiln inpnt nn OTethano1 P^ot using gas from ing Hydro and Statoil. the Stale the Government planners 
Nnrwpoi an E North Norway's Ekofisk field as feed- oil company, stakes of 30 per reckoned they could not go 

e^ an 0 in gtoc ^ CO me on stream this cent each, with Norol holding wrong. Norsk Hydro, in whicn 

month at Delft in Holland, the remaining 40 per cent. tbe State has a controlling in- 
There will be no festivities to Mongstad was an expensive terest, would have liked to have 

mark its opening. An executive refinery. It cost NKr lJ2bn.. handled the project on its own. 

only NKr Q.3bn for Instead it was obliged to form 


tion mark still hangs over ; 
date. In December ihe ? 
wegian Oil Direct male fin 
approved the blueprint fur 
integrated drilling pro due; 
and living quarters plat form 
the second phase of deve 
ment. The order for this 
platform of Condeep type 
gone to Norwegian Contract 
It will have a capacity 
180.000 barrels -a day and 
scheduled to deliver oil in It 

w. 


Kr 32bn. had been spent on 
developin, 

Sea oil and gas and the total 
costs for bringing the existing 
commercial discoveries into pro- 
duction were then put at 


Kr 78bn. But this figure is cer- of P^ 0 J^ustrier. a Nor- again* 



tainlv an underestimate weS 1311 partner in the enter- Esso's 5 million tonnes-a-year re- a partnership with Statoil, and 
There have been several warn- P rise - explained why: “ The finery built some 15 years earlier Saga, a new private enterprise 
ines recently that further in situation in Europe’s chemical in eastern Norway. Burdened oil consortium, and work began 
rrea^PK ran he evnertert in the industry just now doesn’t ex- with high depreciation costs, it on Norway's biggest ever indus- 
Statfjord [costs ! FiSnclally actl y w «rrant celebrations." was an expensive refinery to trial development, 

therefore, a strong case exists F °r technical reasons produc- operate. This was a handicap for it was to include a 300,000 

for trying to maximise oil t*°n wU be brought up 10 s _° . was h i? h v c ° st of tons P er >‘ ear . ethylene cracker, 

income. capacity during running in. t'* 1 ® ■Ekohsk crude which along- as well as facilities for the pro- 

Among the other factors Thereafter it will be reduced stad j efi " es ‘ Nor . 01 a ? d duction of propylene, polypropy- 

again to run well under capac- ar 8 ue “ about crude prices while lene, chlorine, vinyl chloride 
ity, like most other methanol . ® ro V s Josses mounted. It had and low and high density poly- 
plants in Europe at present. i nher i te , ,. a , 39m ,l ? 5S on ethylene. The industrial con- 

Potential output far exceeds Br8e od sel °tie s 19< 5 operations, a cern Borregaard. which took a 
demand. top-heavy administration follow- 50 per cent, stake in the 

The Delft factory is one nf in ®, the three-company merger chlorine plant, indicated that it 

; Lfui. ZH I! obsolescent distri- mi-ht Inter be interested 


the smaller downstream deve- Z ■ v . mignt later ne mteresiea in 

loptnents built to add value S "L' SSS ^ - lant 


;o Norway’s North S e a ga s finds. After furth ° r losses in 1976 and 


expanding, as well. 

Its situation is, however, sadly Vq^X* *JT.” ,1 ? „ 1 ®,' 6 a ° d Costs climbed steadily, and 

typical of the petrochemical ^ ’ Jt _ was ahnust ^solvent are now expected tQ exceed 
projects spawned by North Sea rjaSlIPQ Kr.4bn. — far above initial esti- 

discoveries. They were planned w ... mates. The big shock came, 

when consumption was booming r Worci1 s b^ard hoped that the however, as the ethylene 
and prices were rising. They lj0ver 22}5 nc _ rt _ wou ^ d provide cracker neared completion, 
were built during the cost ex- Sl>rn . e NRr . 300m - additional while Pbillips still could not 
plosion which followed the i973 e 9uity capital to put it on a firm promise a firm date for the 
Middle East war. They are *‘ conora,c footing. Last month, start of ngl deliveries, 
starting to produce in the J 0 ™”- 1T these . were 

middle of a severe recession da -bed. Using its dominant 


It claimed unavoidable de- 


— - — “* - -TWW.W J . j. comoaj . V ’_ mhare- lays in building a separation 

and excess capacity looks like plant at Teesside. and the 


7““ ““ — ~ sj holders’ meeting tHp Minittrw i-eessiue, ana tne 

being around far into the 1980s. “ nd £nerS cracker had to be run in using 

In Norway itself two major in- through the sale to Statoil 0 f substitute feedstock bought at 
dustnal undertakings owe their Norol’s 40 per cent, stake in hlgh pnces on the open mar ket. 


existence to North Sea oil-the Mongstad. The final 


price was 


The Rafnes partners threatened 


4ra. tonnes-a-year refinery at only NKr. 250m — NKr ->5ni less t0 sue for sr,me S75m - and 
Mongstad in west Norway, and th! ^ that ap p roV ed bv“ Nnrol's H^P^dent Johan Holte re- 
the petrochemical complex at board and corporate as s en iblv marked bitterly that the separ- 
Rafnes-near the east Norwegian The deaJ which also obli g es ating plant could have been 
mdustna 1 town of Porsgrunn. Norol l0 buy refincd predl ^ u built faster at the Norlh Polo. 

hnih lyinvo * ved ™ solely from Statoil in future. R now seems likely that an 

both but bath have been dogged demotes the company to a kind out-of-court settlement will be 

pAnJtirti 6 ™ 5 ?? m . the * tart ~ of subsidiary of Statoil. It has reached, and ngl deliveries may 
nvpm^Li e nc yS . t u d cost already provoked the protest s tar t this autumn. There is little 
/’ atMongstad resignation of Norol’s deputy doubt, however, that the feed- 
siwiWav in S Ep # l n ’ Board ^airman. Jen Halvard stock dela y has cost the Rafnes 

rhpan f 0 | f Brat ^ and considerable criti- Partners a tidy sum. On top of 

lioiilds cism £rom ^ Opposition. that, prices for Rafnes finished 

^ fiik -, Wh i5 h T be story of the Rafnes petro- products have been declining. 

™ Prowde the chemical complex is hardly a Another recent setback was the 

ahitifv f ° r the plants profit ' happy one either. The sole refusal of planning permission 
‘7' „ j justification for building it was for a P vc Plant which Hydro 

. /he Mongstad refinery was the promise of artificially cheap hoped to build in Denmark, 
initially owned 60 per cent, by feedstock from Ekofisk. An with Sweden’s Kema 

Norsk Hydro and 40 per cent, undertaking to provide the Nord. The plant would have pro- 

by Norsk Bnendselolje, HP's natural gas liquids (ngl) for at v * dcd an nutlet for part of the 

Norwegian affiliate. In 1975 the least 15 years, free of transport vinyl chloride. 

m^rnf^RZi' SJifp^w 0111 charses and ar below mai-ket Not surprisingly, neither the 
wPd a n°inip B rS«^ e ? price - W3S S*™" by the Phillips Government nor the companies 
Stfdrn*« ° f N ° rsk Gr0up ' l,cei "ce-holdera on Eko- involved have yet concede^that 

and , a , sma11 c °-opera- fisk, in exchange for Norwegian Norway might have been better 

siSii s£ = 


Ring 

930 6666 

for fast 



service on 

all business 
& holiday 
travel 
by Air and 
Sea to 


ing concern. This altered Mong- 


had ever been built Norway 
CONTINUED ON NEXT PAGE 


Norway 
Sweden & 
Denmark 


Norwegian 
State 
Railways 
Travel Bureau 


2T '24 Cockspur Street 
London swiv 5 da 
Telex: =8380 


Aemia Kir all *, Iml'itnl aitlinrr, '! ilppinc 
Jlhl rj|l« jr . | „w ■ -rcrali.i-- . 111 J jtniu 
l*a rj 111 l^>IKl.>n It-r I'm j. inr .. 





•Financial Times Wednesday May 17 1973 


NORWAY V 



to be rebuilt 


Aluminium 
•more and more a 


"WE CANNOT live off services 
md oil revenues. If we are to 
maintain and in time improve 
'•£ welfare society, it is vital 
- e iave an industry capable of 
3.t> ng its own on the world 
“ :et with good products at 
‘“■etitive prices." So says Mr. 
_Haukvik the new M-niHer 
dustry appointed in the 
DL Labour Cabinet reshuffle 
mary lasL 

could be regarded as a 
■.pnp'aeu statement for a 
- i his job but Mr. Haukvik 
fact signalling a change 
wiiphasis in Government 
™ r . The intention is to 
.artcrish the conditions for the 
cwdnicturing of Norwegian in- 

y which has ioug been 

outpfj about 

TjHJJc need has become com- 
tota ,n S- Industrial production 
TTstagnale for the fourth year 
finning in 1973. The export in- 
**©trk*s arc* estimated to have 
8 per cent, of Lheir uirtKel 
p e ircs last year and anticipate a 
l.fLher six per cent, reduction 
Mis year. Their pour perforin- 
ice iu li#T7 negated the Govern- 
-lent economists' forecasts and 
} -roduced the surge in the 
u reign payments deficit which 
.in ally convinced the Govern- 
ment it had to change its econ- 
omic policy. 

Three general influences have 
been at worn on Norwti'puii 
industry. They are the slow- 
down in international economic 
growth, the disproportionate 
increase in domestic costs and 
competition from new producers 
— which implies that some sec- 
tors like shipbuilding cannot 
continue to operate at their 
present capacities. 

Not aii Norwegian industry 
is doing badly and even within 
some exposed branches indivi- 
dual companies still manage to 
turn in profits. But traditional 
Norwegian exports are concen- 
trated within a very few indus- 
tries. some of which are in bad 
trouble while others face limits 
to their expansion. 

Capacity utilisation in the 
puip mills la»t year was not 
much more than oU per cent, 
while the paper and board mills 
operated at 70 to 75 per cent, 
of capacity. The industry is 
estimated to have made losses 
of Kr.l-iom. in 1976 and 
Kt\2UUm. last year. 

.Exports of non, steel, and 
ferro-alloys have fallen by 20 
per cent, between 1974 and 1977 
and producers arc running al an 


average capacity utilisation of 
70 per cent. The aluminium 
plants are still making profits 
but have not reached their pro- 
duction targets, while exports 
of other non-ferrous metals have 
dropped by 3n per cent, since 
1974. The big advance in 
engineering exports forecast in 
1974 has failed ro materialise. 

Set against this sombre record 
is the growth in the offshore 
construction and supply busi- 
ness prompted by North Sea oil 
development. This is a field in 
which Norwegian companies 
have shown both vitality and 
technical ingenuity and where 
prospects remain good, even 
though expansion has not so far 
come up to expectations. 

Elsewhere, the chemical in- 
dustry has defended its posi- 
tions, even if fertiliser exports 
have declined, and fish products 
have given both larger exports 
and good earnings. There has 
been a surprising recovery in 
textiles while the " sheltered ” 
branches have benefited From 
the strong growth in domestic 
consumption. 


Credited 


The Labour Party is generally 
credited with having laid the 
foundation for Norway's indus- 
trial development while reject- 
ing outright nationalisation. 
Socialist steering has been 
exercised through credit policy, 
corporate taxation and control 
of the cheap hydro-electric 
resources which motivated the 
development of the aluminium, 
ferro-alloy and other metal- 
working industries. 

In recent years, however, 
many industrialists have felt 
that the extension of social 
security charges, Slate subsi- 
dies and other instruments for 
steering the economy has 
inhibited industrial change. 
Labour Ministers’ latest state- 
ments indicate a wish to return 
to the former balance, but they 
have yet to be followed by con- 
vincing action. 

Mr. Haukvik makes the 
following points in explaining 
the new direction for Govern- 
ment policy: 

State support will in future 
be aimed more at companies 
with growth potential. Operat- 
ing subsidies (to maintain 
employment) will be cut back 
sharply: — 

0 Greater mobility of labour 
must be achieved. 


O Companies' profits and equity 
are too low and must be allowed 
to grow. 

• The tendency for companies 
in trouble to rush to the 
Government for help must be 
resisted. 

Some figures illustrate how 
pertinent these points are. 
During the September election 
campaign Labour Ministers 
boasted that one-third of the 
jobs in manufacturing industry 
benefited from State subsidies 
— a sad comment on the via- 
bility of those companies. A 
Federation of Industry survey 
of 1.122 companies showed that 
in 1976 their combined operat- 
ing income was Kr.797m. on 
total sales of Kr.8l.6bn. Net 
earnings after tax were 
Kr.l.27bn.. boosted mainly by 
various Slate subsidies tutailmg 
Ki\2.3bn. At the end of 1976 
the equity ratio of these com- 
panies had fallen to under 17 
per cent. 

The Government has made 
two moves towards fulnlling its 
now policy this year. A Bill 
before Parliament would pro- 
vide KrJWOm. in Stale credit 
guarantees lor company loans to 
be used for raliondlisatiun and 
development and Kr.oSm. for 
largely Stale-conducted research 
projects. In addition companies 
would be allowed to convert 
Kr.200m. of loans taken to pay 
for environment investments 
into share capital and would get 
a one-year moratorium on 
interest payments and amortisa- 
tion of Government loans 
granted in 1973. 

Then, in the packet of fiscal 
measures accompanying the re- 
vised national budget, the 
Government abolished the tax 
on company investments, a re- 
lief worth some Kr.630m. in a 
full year. It was. however, 
offset by an increase in the tax 
on electricity and in sickness 
benefit charges, leaving a net 
boost for industry of only 
Kr.l80m. 

In answer to company com- 
plaints that these measures do 
little to improve their relative 
cost position, the Government 
argues that the S per cent de- 
valuation in February should 
soon take effect, that nominal 
wage increases this year will be 
held back by the compulsory 
wage settiemeni court and that 
the employers themselves can 
resist wage drift. 

This last admonition ignores 


the tight labour market situa- 
tion brought about by the 
Government's commitment to 
maintaining full employment 
and its pressure on companies 
to retain workers, even when 
capacitv utilisation is low and 
lay-offs called for. Mr. Haukvik 
has stressed that the Govern- 
ment drive for industrial 
change is long-term ' and will 
not be affected at the cost uf 
employment in the short term. 

Ambiguous 

The Government's labour 
market policy remains ambi- 
guous, perhaps designedly so in 
view of its delicate relationship 
with the unions. The puzzle 
remains of how Norway is to 
retain its present full employ- 
ment and at the same time effect 
the changes within industry 
which are needed to .enure jobs 
in the longer term. 

The psychology implicit in 
the present situation is hardly 
favourable to industrial innova- 
tion. " Companies which are 
condemned in the market place 
can always appeal to the higher 
Government court," as one 
industrialist put it. The mes- 
sage from the Government is 
rhat it will no longer listen to 
such appeals but there is much 
scepticism about the ability of 
Ministers to resist calls for 
State subsidies backed up by 
local union delegations. This 
will be one test of Government 
intentions to watch over the 
next two years. 

Another concerns company 
profits and share capital. The 
Oslo stock market in its present 
depressed state is scarcely a 
promising source of new capital, 
and even if companies were 
allowed to retain larger profits 
to pay shareulders taxes on 
dividends are so high that they 
cannot compete with the return 
savers can obtain from bank 
deposits. 

The problems facing Nor- 
wegian shipping arc a factor 
here. The shipowners, tradi- 
tionally one of the raosL 
dynamic elements in the Nor- 
wegian economy, were for long 
substantial purveyors of risk 
capital through the stock 
market. The shipping business 
has shrunk and its profits 
declined. The Government has 
here again still to explain its 
new attitude to company 
finances. Prime Minister Odvar 


Nordli has reiterated that it is 
not Labour Party policy to 
nationalise industry. 

A third foggy area concerns 
the directions in which Nor- 
wegian industry may be sup- 
posed to develop. Oil-related 
industry is obviously one. al- 
though there Ts little chance of 
further petrochemical develop- 
ments in the near future. But 
for the traditional Norwegian 
industries the question meets 
with a different answer almost 
each time it is asked. 

The numbness over future 
growth prospects may be 
explained by industry’s present 
cost predicament which makes 
It difficult for companies tr. 
pinpoint profitable fields for 
investment. A determined 
Government effort to stabilise 
the economy and restore the 
relative cost situation would in 
itself stimulate thinking and 
release initiative. 

The fog would also disperse 
if the Government would finally 
settle ils energy policy. Until 
the argument over the prope" 
price for power and the avail- 
ability af new energy sources 
is settled, the energy-intensive 
industries cannot really plan 
future investment. 

It would be wrong to end on 
a negative note. Although 
industrial investments are 
expected to fall by 12 per cen«. 
this year, they have beenu ar 
a very high level for the past 
three years and many branches 
have considerable idle capacity 
for both production and pro- 
ductivity increases. This could 
be released if the Government 
succeeds in deflating the 
domestic economy, restoring 
cost levels and perhaps even 
casing the labour situation. 

For the longer terra restruc- 
turing of Norwegian industry It 
must be said that both the 
diagnosis and prescription 
appear to be agreed. The 
question is when the treatment 
starts. 

W.D. 



£nyu»»'«n..'dvs:'jf»cr. and architects are pflyrng 
mcn?a-;inq attention *.o tlx- valuable properties ol • 

• aluminium- Us good formabiMy, concision ic-.wtwigc. 
high thermal and electrical conductivity, low wejght 
and attractive an pc a ranee. In the transport .sector. . 
Its high strength-weight ratio has resulted in - 
' substantial sayings in fuel- whilst tts low milling 
point reboot 660- C) maVet? recycling worthwhile - 
a further -contribution to resourceV-cenomy. 



The ASV Croup es an .nlegrated group cl industnol 
enterprises .r. Norway. Sweden and Derrruirk, 
annually producing end marketing some 3GC.0O3 
Ions of aluminium products ia at> phase* from 
primary metal to firjahurt goods. TheGrs-.-p 
some 7.300 employees, ar.d sales in *976 exceeded 
2.000 min kroner (equivalent to US S AOO tn.l'-. 
ThwGroup gives high priority to product develop- 
ment. ond feels conv meed thatm yearyaheed we w.ii 
see wider and wider use oe'ng medc ci aiummium 
- to t he berwl it 61 us an.’ 


Ardal og Sunndal Verk a.s. 


GROUP 


'Its V5V.,* '■/CKiS.Ji 




MEW ISSUE 


All ol these Bonds have kvn sukLThis announcement appears as i matter of record only. 




April -0, 1978 


Merchant fleet cut 




AS THE world shipping crisis 
enter.*, it.s fi.lu vc.tr, thcie me 
signs that some .Norwegian ship- 
m.ncr-; are cutting their losses. 
Si.\iy-tv:o Norwegian ships 
tol.iiiiiig nearly 2m. tiwt were 
sold out or the country during 
the first quarter of tuts year. 
Seventeen of them, totalling 
l..‘5m. dwt. were tankers, anil 
seven ol the tankeis were sold 
fur scrapping. 

The figure*, show a dramatic 
rise from la*t year. Unit in 
tonnage suiu and hi me number 
of ianktrs scrapped. in the 
whole ol 1W7# uiuy three Nor- 
wegian tankers were snapped, 
ami total fainter sale*, readied 
only annul li.oui. d.vi. 

Usio (Use reel's uoiic-.e the 
trend will cunu.iue and even 
accelerate, ana mat .xurwav *, 
merchant fleet may tali ,roiu us 
level at Januar* i last uf 
4S.75m. dwt. lu 43m. or even 
less by lue end oi this year. 
Deliveries ol new tonnage, 
ordered during the contracting 
■oum some years a.-,o, art now 
spering off. At Hie end of 19i7 
ply 4.ini. tonnage oi new snip- 
ing was still on urtlei iur Nor- 
|-gi3n owners, 2— m. tonnes of 
a-ior delivery tills ywt. l-uin. 

jjk i y ib unci a main jjuu.uuu 
J5« JHSU- 

recent sale for scrapping 
“it made headlines wnen u 
as announced concerned the 
L'Dr.GOU-lunne* turbine tanker 
“Dyvl Nova," believ.ii to be life 
first very large crude carrier 
lY'LCC) "to go undamaged to the 
breakers' yard. ’the ships 
recent history epitomises the 
problems faced yy many tanker 
owners as tilt* value or their 
idle ships has pkmyd and lay- 
ing -up costs have mounted. At 
end- April last S3 Norwegian 
ships totalling 12.5m. dwt were 
laid up. 


The “Dyvi Nova.” built in 
Japan in 1968, was bought 
abroad in October iy76 for SSsn. 
When it v. as sold to Far Eastern 
ship breakers — it fetched only 
§3. Ini., delivered to the 
breakers' yard. It had been laid 
up since its purchase, so in 
addition to the loss on (he ptir- 
ehas? price its Oslo owners 
(Jan-Erik Dyvi) had to meet 
sixteen months laying- up costs 
a^ well as the cast of sailing it 
to the Far East. 

Norway's State-backed Guar- 
antee Institute for Ships and 
Drilling Bias, furmed in 1975 
to help the country's ship- 
owners hang on to "valuable" 
tnnnace during the crisis, has 
recently recognised that not all 
of the fleet is *till worth keep- 
ing. Its annual report said that 
the value of tanker's built before 
1970 had dropped to a level vir- 
tually equal to their worth as 
scrap. Even the more modern 
vessels had fallen in value by 
up to fifty per cent. 

Tankers were hardest hit by 
the crisis — even at to-dav’s low 
prices there was almost no 
market for them, as shipowners 
and bankers alike fell it was 
mure sensible to scrap them 
than to have to meet interest 
costs and layms-up expenses for 
an indefinite period. The falling 
value ut ships had considerably 
increased the risk that the 
Institute might face a loss on 
sunie of it* guarantees, the 
report conceded. 

The scale uf the Norwegian 
shipping crisis was revealed to 
the general public in December, 
when the results of a confiden- 
tial survey by the Shipowners’ 
Association were inadvertently 
leaked to the Press. 

Replies tu a questionnaire 
which the .'.ssoeiatinn had sent 
to H* member* showed that 


sixty Norwegian shipping com- 
panies. owning about a third uf 
Norway’s tonnage, would be in 
serious financial dihiculties by 
1979 unless there was a substan- 
tial improvement m the freight 
market. By then these sixty 
owners' commilmeuts would 
exceed income by Kr.2J3bn. 
($4 Sam.) and they would find it 
extremely difficult tu meet 
running custs. interest payments 
and instalments on shipbuilding 
loans 

Repercussions of the shipping 
crisis have hit other sec furs uf 
Norwegian business and indus- 
try. Last year's steep fail in 
share price* on the Oslo Bourse, 
for instance, was due in large 
part to heavy selling of shares 
by shipowners trying to raise 
liquid funds Ship yards have 
in several cases heen forced to 
take over whole or part owner- 
ship of new vessels because the 
companies that ordered them 
could nor afford to take deli- 
very. Banks and insurance 
companies have had some heavy- 
losses on shipping loans. 


Tackle 


CONTINUED FROM PREVIOUS PAGE 


now has substantial excess re- 
finery capacity and Rafnes is 
losing money. Yet the optimists 
insist that in the long run these 
two big investments will prove 
io have been worthwhile. 

?Jr. Odd Gnihe. a senior civil 
servant in the Ministry of In- 
dustry (now moved tu the new 
Oif and Energy Ministry), did 
warn in a recent public lecture 
that Norway must avoid becom- 
ing a " line-sided a 11 economy" 
On petrochemicals. he the 
main task now would be tu 
••consolidate" what had been 
created at Rafnes. " Unfortu- 
nately.” he added. “ the bottom 
Iih> just about dropped nut <»f 
the market for these pro- 
duct*. ...” 

An Oslo University economist, 


Sterna r Strom, says Rafnes is 
an example of the sort oT 
- strange results " wnich emerge 
when industrial and resource 
planning is dominated by tech- 
nicians and engineers. Writing 
in an academic journal recently. 
Strom pointed out that the giant 
project was entirely dependent 
on receiving feedstock at a 
special low price. The alterna- 
tive of selling the ng! on the 
world market, at its real value, 
had nut oven been .seriously con- 
sidered. If was typical, he said, 
of the “ engineers' belief that 
a raw material found in Norway 
must be processed here, even 
if this is net the best solution 
fur the country." 


F.G. 


The Norwegian Government 
dues not yet seem to have 
denji-d hnw it should tackle 
the situation. An ufilcially 
appuinted wurking parly which 
recently studied the matter re- 
ported in January last to the 
Minister for Trade and Shipping. 
Mr. Hsllvard Bakke. So far how- 
ever. none of its recommenda- 
tions has been implemented. 

The group, chaired by Mr. 
Her mod Skaanland. a director 
uf the Bank uf Norway, stressed 
the significant role played by 
the shipping industry within the 
Norwegian economy. It said 
that m the lunger term a major 
reduction of the Norwegian 
merchant fleet would also 
weaken the environment which 
has been built up around the 
indu>rry — in chartering, in The 
sate and purchase of shipping, 
in technical research and 
development and so on. This 
would mean that the remaining 
fleet would have to operate on 
an impaired working base. It 
was both the expertise and the 
experience of Norwegian ship- 
ping which had kept it in the 
furefrnnt of international ship- 
ping. the report pointed out. 

One of its general conclusions 
was that use should he made uf 
the existing Guarantee Institute 
to help owners. The Institute's 
rules should be changed and if 
should be granted an e::lra 
Kr.ibn. uf State money to 
enable if to offer guarantees on 
less stringent terms. This would 
permit a far more i.-iinipreh-n- 
jive restructuring o£ debts than 


was at present possible, parti- I 
euiarly for combination and 
bulk vessels. t 

The report also recommended 
relaxing the resiricliun* on the 
registration of Norwegian ships 
under foreign flags, and some 
Sax concessions to investors 
willing to put up funds so that 
"worthwhile" ships would not 
have to be sold to foreign 
owners. It urged the Govern- 
ment to do its pari, nationally 
and internationally, to curb the 
building of new ships and to! 
prevent the subsidising — for! 
employment reasons — of excess ' 
shipbuilding capacity, since 
new tonnaee coming on to thei 
market aggravated the crisis, j 
Not all Norwegian shipping 
groups have been losing money, 
however. Several achieved good 
results !a«t year despite the! 
world crisis. They -.vere mainly 
companies w:tn a wide spread] 
of interests, including some- 
profitable areas such as thei 
cruise trade or car-carrying, i 
Some companies are still tick- 
ing over with the help of| 
favourable long-term charter.?! 
eonciudsd before the crisis: 
began, nut most of these are) 
soon due to expire. | 

Mr. L«;f Lueddcsocl. man-j 
aging d: rector of U'ilh.j 
Wil he! m =en. Norway's !a rs?e?t 
shipping group, has predicted* 
that ihv Norwegian shipping in- 
dustry will survive the present 
cri.N's. but probably with a 
different structure. 

He foresees a steep reduction 
in the number of shipping com- 
panies — perhaps by a third orj 
even a half — over the next ten I 
years. M-.ny shipowners now I 
active would become investors! 
in ships operated by others. | 
adopting a far more passive role] 
than previously. The newt 
operatin’ uni;? would have to 
be large enough to achieve 
economies of scale in marketing 
and other fields. 

Mr. Loedde-'oel said he did not 
:indere.'t:nu:e trie .-eriuusness of 
the crisis or the difficult times 
ahead. ••v:;h many companies 
losing their abil.ty to rc-invcst. 

To date Norwegian shipping had 
been in tile forefront Oi develop- 
ments, replacing old tonnage 
with new more rapidly than 
mo.-t other m:.ri:;me countries, 
i he big MUe* f !on was whether 
Norwegian shipowner? could! 
mobilise the resources needed! 
to maintain re-invesrmcnt. Most! 
companies won hi emerge from} 
the crisis far leaner than when' 
they entered i;. Ho 'tressed the! 

need To '-apitj-.;. 1 on Norway's I 
expensive bu: highly offineni • 
crew*, and the general need to I 
develop tccr.nicji and manage- . 
Went resource*. J 

F.G. 


CITY OF COPENHAGEN 

30,000,000 European Units of Account ' 

7% 1978-1993 Bonds 


Kredietbank S.A. Luxembourgeoise 
Algeraene Bank Nederland N.V. 

Bank of Helsinki Ltd. 
Deutsche Bank Aktiengesellscha ft 
Nederlandsche Middensiandsbank N.V. 


Privatbanken Aktieselskab . . 

Bank Brussel Lambert N.V. . 

Credit Commercial de France 
Kuwait Investment Company (SA JC.) 
Smith Barney, Harris Upham & Co. Incorporated 


Westdeutsche Landesbank Girozentrale 


AJahli Bank uf Kuwait fK.S.C.) A. L. Ames & Co. Amsterdam- Rotterdam Bank N.V. Andelsbankeri A/S-Dancbank 

( •■<■:«] • 

AndreMins Bunk A/S Arab Finance Corpora t ion S.A. L Astaire & Co. Bdche Hulscv .Stiurt SltuUs . Badch C biiunetdaTe Italisna 

... . luiaiiJ _ ln.«n>«irf»l 

Banca del Gotta rdn Banco Ambrosia no Banco di Roma Bankers 'Irust Inccmaripnai' Badic of America International 

ImniJ l-inoirf- ... 

Bank Gutnvillcr. Kurz, Bungcner (Overseas) Bank MeeS & Hope NY' Bartquc ArabeetIniernationaledTnvestissemeiic{B.ALL) 


Amsterdam-iiottcrdam Bank N.V 


A ndelsbankeii A/S-Dancbank 


Banquc Europcennede Tokyo 
Banque de llndochine et de Suez 


Banquc Framptise du Gimmercc Extericur 
Bunquc Internationa lea Luxembourg SA. 


■ 'Banque Gm^leduLoxembourgSlA. 
Banquc IppaSA. Banque Loais-JDreyfus ■ 


Banque Nationalc He Paris Banque de Neufli/e. Schiumborger. Mallet Banque dc Paris et des Pavs-Bas ' Banque de Paris et tles'Pavs-Bas - 
Banque del Union Europeenne Banque Worms Barclays Bank International Baring Brothfers& C6^ . K. Albert de Bary & GorN.V 

. . . Vl lin.lid . ■ • -• - 

Baverische \ereimbank International Bergen Bank Berliner Handels- und Frankfurter Bank '. BlytfrEasrmap EHiloo &Co. : 

' 'Jnu-mdmcnl Lniunl. 

Cai&se des Depotser Consignations Cent rale Rabobank Chase Manhattan . . Cbristiabia BankoeKrwGtkasse 

lx.TLtik, oluuL U V . Libiimi ... ”... . 1- . ■ -- • — - 

Citicorp International Group Commerzbank Creditansrait-Bankverein Credit General Cr&ntTndustrield'Alsaceetde Lorraioe 

m SiAdrlUfcfr . ■ 

Credit IndutfricluK Commercial Credit Lyon nu is Credit du Nord ‘ Credit Suisse Wbl re VfeLI " Crediro ItaUana 

Daiwa Europe N.V. Den Danske Bunk Den norskc Credit bank Deutsche Girozentraie- Deutsche Kommunaibank- 

JI |S"1 Uii.-.'liil. • , ... ....... .. 

Dew-ajv & /U-Mwim International S.CJS. Dillon. Read Overseas Corporation Dresd ner Bank \ . Effecrenbank-Vferburg 

European Banking Oimptiny First Boston (Europe) First ChitaST”** - * Robert Flemini; , & Co. 

1 _ __ I niBnl . JjmhiJ ^ ■ 1 ' ' ' **. ^ 

Genossenscha 1 1 1 ic he Zcnt ml bank AG - V ienna Antony Gibbs Holdings I.td. Girozentrale »">i Bank dcr osterreiebischen Sparkassen 

• • vVlgiwi O T i lhf kiir 

Gowhanken HambrosBank R. Henriques jr. Bank Hill Samuel & Co. Industriebankvon Japan (Deutschland) 

luurnl r. ,UiKTO«cfr<f«at 

Inter- Alpha Asia (Hong Kory) Lstituto Bancario San Paolo di Torino Kansa llis-Osa ke-Pankki • Kjobenhavns Handelsbank 


Kieinwon. Benson Kredietbank N.V. Kredietbank (Suisse) S. A. 

Kuwait Foreign Trading Contracting & Investment Co. (S. A.K.) 

Landesbank Schleswig - Htilstein Girozentrale Manufacturers Hanovi 


Kredietbank N.V. 


LandesbankNihleswig-HtilsteinGirozenirale Manufacturers Hanover 

Merrill Lynch International & Co. Samuel Montagu S: Co. Morgan Grenfell & Co. 


National Bank of Abu Dhabi Ncue Bank The Nikko Securities CdL, (Europe) LtiL 

The Nippon Kangyo Kakumaru Securities Co.. Ltd. Nomura Europe N.V Nt 

° r o5.5 ,nk PKbanken Postipankfci Salomon Brothers Internal 

Skandinaviska Enskildd Sunken N.V. Sla\-cnburv\ Bunk t™**.’! _ 


Ncue Bank 


Kuhn Loebfj^iunanBr others International 
Kuwait- International Investment Co. S.a.k. 


Me Leod, Young,Wrir International 

Tjn*fd 

I. idorgan. Stanley International 

niran.il • 

ctL Nippon European BankS A. 

Norddeotsche Landesbank Girozentrale 


S<Ktvtc Europwnnede Banque Societe Genera ic SocieteGenerale Alsadennede Banque • . Sod^i&hu^edeBanqueSA. 

SuciutvScquaiMiMfikr Banque SohasS.p.A. Spariun kerrus Bank . • , SiumtonmKn^ 

Svcnska Handel.sianken Swiss Bank Corporation (Overseas) . Union Bankqf Rnlaud Ltd. ' 

Union du Bath, ik-s Arate « ^ Europeennes-U.B.A.E. Union (teBtonques Arabes « Ehuip&&-UB^ 1 , ^stbank 

J. Vomobel & Co. \\ illiams, Glyn & Co. Dean Witter Reynolds International Wood Gandy . . In£ernktia^l(&uope) 


Socictc Ctnewlc 


pankki Salomoa Brothers International Scandioffrian Bftnk 

v ., Liibu*.,! LhnkiI 

iN.Y. Slas-cnbui^’s Bank. ... • Sc^iBaincairpBarcUys(SmsseJSX 







financial Times Wednesday May 17 197# 


NORWAY VI 




ffl direct flights / 

from the UK BERGEN 


^ffuthcni 

* Nanny 


Growing 


on energy 


-I' 1 *: 

.m 1 " 


,.! Ji I 


to Norway 

each 

week 


.SUMMER 


k ...*<> 


KRISTIAN SAND 


NEWCASTLE! 


MANCHESTER 


If you j 
haven’t 
got the details 
ring 01-680 1011 


’Piratisgiiim% 
Cardiff * 
Bra ruin with 


‘ Htw route (row 
1st April 1978 


, LONDON (Gatwick) 


, DAN-AIR 
routes 


NORWAY IS a country 
exceptionally rich in energy 
resources. It has oil and gas on 
its Continental shelf, coal in the 
Spitsbergen archipelago, and on 
the mainland its mountain river 
hydro systems provide nearly 
60 per cent, of total energy 
requirements — some 75fan. kWH 
annually. This is more than 
twice as much, per head of the 
population, as world's other big 
hydro power countries — Canada. 
Iceland, the U.S. and Sweden. 


much households and industry 
should pay for it. 

Norwegian environmentalists 
and the technocrats of the State 
Water Resources and Electricity 
Board (NVE) have been 


quarrelling about these issues 
for years. The energy “hawks” 


mmm BraathMS 
routes 


. I J 




M9SS 7978 

Flew 3 million passengers last year. 


Abundant energy supplies not- 
withstanding. energy policy is 
a very live issue. A recent 
Government decision to seek 
Parliamentary approval for two 
highly controversial hydro- 
electric schemes has sparked 
renewed debate about the whole 
question of how much energy 
the country actually needs, how 
it should be produced, and how 


of the NVE are always warning 
that power rationing is just 
around the corner if this or that 
new scheme is not promptly 
approved. The environment- 
alists. opposed to further regula- 
tion of Norway’s rivers for 
power production, say that the 
NVE predictions assume a rate 
of growth in energy usage 
which is both unlikely and un- 
necessary. They claim that 
more realistic pricing of elec- 
tricity would curb waste and 
stop further expansion of the 
power-intensive industries 
(which account for over a third 
of Norwegian electricity con- 


sumption). thus permitting 
stabilisation of usage. 

The NVE has always had 
powerful allies in the Ministry 
of Industry, the power-intensive 
electro • chemical and electro- 
metallurgical industries, and 
the country's two largest parties. 
Labour and Conservative, both 
of which are traditionally 
growth-orientaLed. The environ- 
mentalists, on the other hand, 
have until lately fought rather 
a lonely battle, with only the 
politicians of the small political 
centre to plead their cause in 
the Storting. 


Voices 


MS NORSK JERNVERK 

INTEGRATED IRON AND STEEL WORKS 


- Iron Ore - Pig Iron 

- Steel Semis, Bars and Sections - Wire Rods 
- Electrical Sheets and Tin plate 
- Wire Ropes 











Main Sales officer 

Drammensveien 40, P.O.B. 2595 - Solli, N-Oslo 2, Norway 
Telephone: (02) 60 38 90 - Telex: 16068 jverk n 
Telegrams:Jemverket, Oslo 


Wire Ropes: 

A/S Norsk Staaltaugfabrik, P.O.B. 371. N-7001 Trondheim. 
Norway. 

Telephone: (075) 25 560 - Telex: 55068 wire n 


U.K. Agents: 

Norsk Jemverk (UK) Ltd. 

Nicholson House 
Maidenhead, Berkshire SL6 1LJ 

Telephone: (0628) 29 323/29 324 - Telex: 848801 njverk g 




The only thing you need 
to know about Norway 
is 'Christiania Bank' 



they'll do the rest 


±?l 


Christiania Bank og Kreditkasse 88, Grand'rue. Luxembourg, 

is a full service commercial bank Representative Office: New York 

with branches throughout the country. Address: 75 Rockefeller Plaza, 
Head Office: Stortorvet 7, Oslo. Suite 1006 

Subsidiary: Christiania Bank og New York, N.Y. 10019. 

Kreditkasse International 5 j\.. 



CHRISTIANIA BANK OG KREDITKASSE 

KREDITICASSEN 





a - : 


Telex: 11043 xiabk n - genera! business - 19810 xiaex n - foreign exchange - 
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Cables: XANIA BANK - Telephone: I4r2j 48 50 00 


2 M 








Just recently, however, new 
and prestigious voices have 
joined the argument. In news- 
paper articles, public debates 
and TV interviews, several of 
the country’s most prominent 
economists, plus a former 
Director of the NVE, have main- 
tained that Norway is realiy 
lover-supplied with electricity 
already, that the power- 
intensive industries are basic- 
ally uneconomic, because they 
could not operate without 
“ artificially " cheap power, and 
that the country's GNP would 
actually rise more rapidly if 
the resources now devoted to 
hydro-electric development were 
employed in other sectors. 

The economists who have 
taken this stand include Mr. 
Hermod Skaanland. deputy 
governor of the Bank of Nor- 
way, Professors Tore Thonstad 
and Tcrje Hansen, aod uni- 
versity lecturers Finn Foersund, 
.Steinar Stroem and Lars 
Mathiesen. The biggest sur- 
prise, perhaps, is that they 
have been backed — at least 
part of the way — by the former 
XVE Director, Mr. Vidkunn 
Hveding. Conservationists have 
always regarded Hyeding as a 
supertechnocrat and one of 
their chief opponents. He was 
one of the first Norwegian advo- 
cates of nuclear power, and 
resigned his NVE job three 
years ago because he was dis- 
heartened by environmentalist 
opposition and by politicians’ 
“ prolonged indecision and 
vagueness” about future power 
supplies. 

In a recent newspaper article 
which has attracted wide atten- 
tion in Norway. Heeding said 
that the country could save 


millions of kroner if the power 
intensive industries could be 
persuaded to release for other 
purposes, some of the. billions 
of KWH they now use ‘every 
year. These industries, he 
pointed out. paid far less for. 
the “old” power they used 
(electricity from older hydro 
plants, with Jow or non-existent 
depreciation costs) than it cost 
the community to produce addi- 
tional power. 

Hydro-electric projects now in 
hand would produce . elec- 
tricity at a cost of some ten oere 
per KWH (ten oere equals one 
English penny), and within a 
few years Norway might- be 
building fossil-fired plants pro- 
ducing at fifteen oere per KWH. 
There would, moreover, he a 
market for electricity at this 
price — household, users, busi- 
ness and non-power-intensive 
industry. The power-intensive 
industries, on the other hand, 
could not stay in business if 
they had to pay much more than 
five to seven oere per KWH. 

An incentive scheme that en- 
couraged the big power-using 
plants to relinquish only 3bn. 
kWh. annually- (roughly 10 per 
cent of their current consump- 
tion) could save the country 
between Kr.2l0/270m. per year, 
compared with what it would 
cost to put that much “ new ” 
power in * the nation’s grid. 
Hveding claimed. Part of the 
power thus made available 
could be used to supply new in- 
dustries in the neighbourhood 
of the power-intensive plants, 
as the latter cut back output 
so there would he no net loss 
of jobs in the areas affected. 

In the past, the power-inten- 
sive industries have always 
warned that local jobs would 
be lost if they did not get all 
the cheap power they wanted — 
a potent argument when deal- 
ing with politicians. Many of 
-these plants are sited in out- 
lying districts where they are 
virtually the only source of em- 
ployment. 

Hveding, and the economists 
referred to earlier, believe the 
power-intensive industries 
should be given the alternative 
of selling to the State or local 
authorities some of the power 
they now use. They Would' be 
offered a price slightly below 


the cost of “ new " power, but 
well above what they now pay 
for their supplies, under long- 
term contracts which the critics 
regard as a bad bargain for the 
nation. 

The ••radual contraction of the 
■power-intensive sector, together 
with an increase in electricity 
prices, would curb the vise in 
Norway's power consumption so 
sharply that the need foe in- 
vesting in additional power 
production would be drastically* 
reduced. Economists Thonstad, 
Foersund and Stroem believe 

it would even enable the 
countrv to postpone for a time 
the start of all the new power 
projects now in die planning 
sta°e. Instead, the resources 
which these projects would 
have required could be 
channelled into other and more 
profitable investments. Hveding 
points out that money saved in 
this way could be used to sub- 
sidise other Norwegian indus- 
tries threatened by foreign com- 
petition because of Norway s 
high cost levels. 


Expertise 


The debate has uot of course 
been all one way. Spokesmen 
for the power-intensive indus- 
tries have pointed to the tradi- 
tional role of these industries 
as bis foreign currency earners, 
and to the valuable expertise 
created as the industries have 
been built up. 

Mr. Haakon Sand void, presi- 
dent of ASV. Norway’s largest 
aluminium producer, put the 
case for hi* industry in a news- 
paper article last week: "Nor- 
way has developed its own 
aluminium technology, so that 
Norwegian companies can 
supply practically every kind of 
equipment [needed], from elec- 
tric smelting furnaces to 
purifying plants and computers 
for process cnnfrol. In an im- 
portant ba-'ic global industry we 
have independent know-how 
which extends from planning, 
building and production to mar- 
keting. In few other branches 
of industry do we hold such a 
position. Instead of contracting 
we should accept the challenge 
of exploiting this position.” 

It remains to be seen what 
effect if any these theoretical 
exchanges will have on Storting 


ra cm be ns when they come to 
reach their verdict on, the 
Government's two latest big 
hydro-electric schemes. One, 
for edevelopment of the Orkla/ 
Grana River system in central 
Norway, is due to be debated 
before the summer recess. The 
other, concerning the Alta- 
Kaulukcino system in Woo- 
mark, north Norway, cannot be 
considered until the autumn be- 
cause of the Storting's full tune, 
table. 

Both projects are strongly 
opposed by conservationists anc 
have aroused controversy with 
in the Labour Party itsofcf. Th« 
youth organisations of si> 
political parties, representing 
the vounger guard of parti e? 
from the Communist to the 
Conservatives (but excluding 
the young Labour movement) 
recently urged the Storting’s In 
dust rial Affairs Committee t< 
reject both schemes. They sa; 
the . Alta development woulc 
ruin important reindeer grazinj 
areas and threaten sainioi 
fisheries, white the Orkla pro 
jecl would involve flooding i 
large area of arable lam 
(scarce in Norway) and wonh 
probably lead to cliraaG 
changes that would also hi 
farming. 

In addition, the statomen 
urges the. Storting to giv 
greater priority to cnerp 
saving and lo research mt 
alternative energy forms, an* 
it advocates stabilisation n 
energy consumption in Norwa 
by 1990. 

Last week -Norway's Envirui 
mental Protection Associatioi 
with a membership amountin 
to almost one .per cent of ih. : 
population, demanded that th, , 
Orkla project should be droppe 
in the light of the figures pi 
forward by Hveding and other. 
Earlier, in an open letter t 
the Storting's President, it ha 
described the scheme as one c 
the biggest plans for dehberat 
destruction of arable land i 
Norway's history. It added th: 
as a general rule hydro project 
should be debated by th 
Storting's Environmental Con 
mittee. because of thei 
environmental aspects, as we 
as by the Industrial AfTaii 
Committee which normal! 
deals with them. 

F.G 


capacity 


'Voo.rv 


»*:• * * * \ 


to be reduced 


SHIPBUILDING capacity in — pruning number:; by 12,000 in employment is available. These deliveries to the oil industr; 
Norway is going to be reduced only 8,000. Significantly, one of yards will also continue to be and that a significant part t 

drastically and rapidly. This is the two urging the more drastic eligible for special help from these orders are channelled 1 

the message of the policy docu- cut was the Finance Ministry's the Regional Development the shipyards, 

raent on aid to the industry representative in the group. Mr. Fund, in the form of loans and ^ recent annual report r 


published by the Government Arne Oien. 


| earlier this month. If the guide- T he new policy document Sl0 » ™ activities, inis Z^lledlor Vn ii 

tines it lays down are flowed skirt s the touchy question of just *• les f Sease in the pace of Norto Se 


guarantees, to finance eonver- u 

sion to other activities. This N o rway f largest shipbuildin 


=Vf iTficrthr^e S£ a " SXSt “ SrtCSSfi S 

new ships aitt u£d to. As a re- and b^tiie ext^t towhidh Both uaions employers sttS^'thft^ro 

can make yards tinned development in the No 


workers now engaged in build- competitive, 
mg ships are likely to be doing 


« Lma - nn#% j ucvciwjiuicm in uic livi 

ins Jobs wouJd soon have tj on T tan^le^basT P S 0 X 
vanish. Nevertheless, the Gov- ™ ?,*■ 


psa i JAB Bates 


something else (or unemployed) T vanish. Nevertheless, the Gov- “ I Tj jL « 

in about three years’ time. lSnOFCS eminent's May proposals seem without 'th!? S ' ' 

The Government plans - 6 , v u to have come as a shock to many 

which require Parliamentary On “the whole, however, the jjq the industry. troughs which play havoc wit 

approval— include some measure Government is even more pessi- m per An^er-Nilssen chair- ° atJOnjU °P eratlt>0S -” 
of continued financial assistance “W *r“ ut ln ““W* man ’ of the National’ Ship- If is not eas Y t0 see bow t! 

to the shipbuilding industry, prospects than the Ulveseth com- bu y ders - Association said the Government can take Aker 
The aim is. however, to start mission was. In particular, it help now ^ offer ’ ed was SQ advice. With oil prices stagnan-^ 
scaling this down from next warns that the scope for switch- mueb less what ^ and North Sea developmei 

year. The new strategy repre- ing capacity to production of oil ulveseth Commission proposed costs sowing, oil companies aC--. 
sents a complete break with the industry equipment is probably t h at j t could put ^ end to new in no hurry to begin developin 
stop-gap policy— followed dur- far less than the Ulveseth re- building activity — at least of Norway’s marginal fields. Dev 
iog the past couple of crisis port assumed. It also ignores j ar ger ships. This would hit lopment plans for the Jargf 
years— of keeping yards in busi- or reduces some of the report’s yards -along the Oslo fjord in finds— Val hall/Hod, and ti 
ness with massive injections of proposals for State aid over the Bergen, Stavanger and Forde second phase of Statfjord— ar^_ 
public money. next few years. The conclusion t near Haugesund). already in hand, though it is m ' 

To d ate, state aid to the in- .is clear: Norway s present Regional policy considerations yet cer tain whether Aker, f 
dustry has taken several forms, economic problems simply do could help to maintain buildins Kv *rner. wiU get the covete 
including loan guarantees and not allow the maintenance of of smaller ships by yards contract to build 'the steel dec'*^. 
loans to the yards, interest sub- state hand-outs at the previous outlying districts for the Statfjord field's secon 

sidies for shipbuilding loans to level. The industry’s last survey of P^onn. ,? »S 

developing countries, and attrac- Among the aid measures the its order books, on October l 
tive tax concessions to domestic new document does propose are i ast year indicated that shin- np 
companies willing to place ira- the following: on new ship con- building capacity was 80 ner 1 SiCtlCS 
mediate orders with the yards, tracts, provision of 80 per cent. cent, booked for 1978, and onlv 

Taken together, the various credit over 12 years,, with no 30 per cent, for 1979. Since then By leaning heavily on the o^"~. 
measures have cost the tax- interest or amortisation pay- few> if ^y, new ship orders had companies, the authorities wi 1 

payers several hundred million ments for the first (three years, been booked, while some con- etlSure lha ^ an increasing ” 

pounds. but without interest subsidies: a tracts for export to Third World Iarse share of all Norwccia 

The Ulveseth ComraissiOD. a ten per cent subsidy on the countries, included in the sector "work does go to Nonw' -. 

Royai Commission which re- price of ships ordered by Nor- statistics, had actually been lost. S«an companies. The ooL 

| Ported last January on the in- wegian companies between May *^16 situation is’ now that trouble ta- that the Britis 
; dustiy’s problems, estimated 31 this year and December 31. hardly any ships are being authorities are adopting thv 
, that in I9i 7 the flvp.ras»p amount ioro tn-» rinu., nn . . ... .... . r w,, o. 




j that in 1977 the average amount 1979. for delivery within two ordered,” Anker-Nilssen told same tactics on their side o 

an additional the Oslo newspaper ,1/len- sector bon ndar^-. thus virti 


, r V q T y ears of ordering: an additional the Oslo newspaper Affeti- 070 wct or bonndarj*. thus virti 

orders for Norwegian yards was Kr.lOOm. (£10m.) allocation to posten. ■•The few orders that eluding Norwegian con : • 
about 20 per cent, of the con- subsidise ship exports to devel- kre being placed are She xo panies *«* winning orters i > 


zzr z — f— *- — auuaiuuc amp uj tievei- are oemg piacea are aoinc to *rom winning orders 

tract price. This must have oping countries; Kr.40m. fur countries with costs far "owe? seclor. 

HI fin & thfl flnlMliiPn wiwVorc' i . _ _ ■ ■ kb ’ 


made the i shipyard workers jobs j oans to finance conversion to than Norway’s. It is now nos- Karri™ - 
cSncL tTL° St he ^ ly ' sub - other activities than shipbuild- sible to get ships built in the coverv inrt \ 2T^° r . 
s dised in the countty— even i ag; an d Kr.lOm. to finance re- Far East at less than half the exnloit It ^ o deL,,s,0, J x 

allowing for the fact that many search and development in the price Norwe gia n vards must men* a ’ ® ea develof 

IPS a ten ... . \ . 41 meat as SUCn nmhtKIi, unnrf. 


other Norwegian industries also industry. 


1 Sndor f* “ teidies 0f 0,,e The policy document particu- You^muid “say 'that No™S foTlforoegC 

^ srss "Spi^s Sr-.. Vk 

industry employers and unions nroblems which the anticinnted hoped for much mow evtp.n«;,-o COu d .. * ,e a promisin; 


*T. 


inuusrry employers ana unions problems which the anticipated hoped for much more extensive market nlrt- » f p . rom,sin; 

-were represented on the Ulvc- ]ay . offs in the industry may support ... in order to keep thi? ,f •W'n 

seth Commission, as well as create. It does not say specific- market;" T s ^ c ludustiy fori 

senior civil servants from rhe ally which yards should be kept In its comment, the powerful r 5P ld corrosilrfS, 

Mimstnes of Industry and in business, and which should Iron and Metal Worked Union lhe Sea 

Finance. All of them agreed on be allowed to shut down. It says that the jobs which shin. 11 fQ 

the need for a steep reduction comments, however, that in for- building can no longer provide Norway's Shipyarj ^ C 


longer provide b smpyan 

in shipbuilding employmeoL A mulating the proposed aid must be replaced bv a switch lb?!?- m8y He not 80 mud 
majority advocated a cut by measures the Government has to other forms of production Jt ,n new platforms as il 

6.000 to 14,000 over three years, been particularly concerned to urges the Government to ensure " ly palchin 2 U P rhe olt 

while a minority of- two coun- help yards in underdeveloped that Norwegian industry ^ 

selled much stronger medicine areas, where little alternative secures a growing share of 


1 




TX&s * 









Financial Times Wednesday May 17 1978 


39 


FARMING AND RAW MATERIALS 





t 

l 

! 


More use 
of derelict 
land urged 

By Christopher Parke* 

DERELICT and underused land 
: jn towns and cities should be 
' used for building before there 
'■is any further spread of develop- 
nieDt into the fringes of urban 
"■ areas and into land better suited 
• to farming, the Advisory Council 
for.-Agriculture told the Ministry 
jpf Agriculture in a report pub- 
ashed yesterday. 

.. ‘ihe council also said the 

• Ministry should take charge of 
. ^landscape and wildlife eonserva- 

tJonraod suggested that ADAS 
—the formers' advisory service — 
: would be best suited for this 
.task- 

.The Ministry replied, however. 

• jfiat it had no intention of taking 
brer from existing countryside 

-■'■'agencies. 

The report. Agriculture and 
.the Countryside*, makes special 
^mention of the clash of interests 
.between farming's needs and 
-. - those of city developers. 

“We were profoundly de- 
pressed in the course of our 
visits to the urban fringe to note 
■' the large areas of land which 
had been allowed to go derelict," 

• the council says. 

Much of this could be brought 

- back into agricultural use, and 
it is suggested that the Environ- 
. meat And Agriculture Ministries 
'should work together to en- 

• "courage the j'estoration of land 
^threatened by dereliction to full 

farming use. 

* And- the council recommends 
that similar co-operation should 
be applied to ensure tbat de- 
velopment on quality fanning 
: iand should not be allowed in 

- the urban fringes unless it has 
been shown that there is no 
suitable under-utilised or dere- 

- lict land elsewhere in the conur- 

• bation. 

•MAFF Publications. Bloch C. 

' -Government Buildings. Tolcame 
Drive. Pinner. Middlesex. HA 5 
SDT. £1 (£MS4p ; bH postj. 

BRAZIL BEEF 
HERD INCREASES 

. WASHINGTON, May 16. 
Brazil now bas about 100m. 

- head of beef cattle — up from 
• 97m. last year, according to the 
.U.S. Agriculture Department 
office in Sao Paulo. 

Beef slaughter this year is 
estimated at 11.6m head, as 
cattlemen are now rebuilding 
herds. The heavy slaughter of 
. . 12.5m- head last year was due to 
: ,.tbe slaughter of breeding cows. 
r --- Beef exports last year totalled 
J»-19LQOO tonnes (carcass weight 
-r equivalent) and are expected to 
' decline sharply this year due to 
. the high internal price of beef, 
f-tUie department said. 

Reuter 


Britain’s butter surplus 
starting to build up 


BY CHRISTOPHER PARKES 

j RECORD TONNAGES of British 
butter are being sold into inter- 
vention stores and stockpiled in 
the Common Market's butter 
“ mountain.” 

In the first four months of this 
year more than 9,000 tonnes have 
been bougbt by the Intervention 
Board for Agricultural Produce 
1 under the EEC's support-buying 
programme for surpluses. 

Board officials expect even 
larger amounts to be taken off 
the market in the coming 
months. 

So far this year, intake has 
been running at about twice last 
year's level, but there is still no 
evidence to support claims from 
the Milk Marketing Board that 
" every drop " of butter produced 
is going into store. 

UK butter production in 
January was 13.900 tonnes and 
11.600 tonnes in February, but 
• sales into intervention last 
month, when butter produced in 
January would be starting to go 
into store — were 3327 tonnes. 

Exactly what is happening in 
the butter trade is not clear. The 
market is certainly oversupplied. 


but .last month, for example, 
while producers were delivering 
therr 3.000-odd tonoes of butter 
to the bonded stores of the Inter- 
vention Board, traders were buy- 
ing 1,420 tonnes out of store and 
paying more than current market 
pnees for it 

As butter production builds 
up. so does the creameries' out- 
put - of skimmed milk. The 
amount sold back to farmers in 
liquid form for feeding to their 
stock bas slumped badly and the 
national stockpile of dried milk 
power is now only a few hundred 
tonnes short of 60,000 tonnes. 

Beef_ stocks in intervention 
were 15,540 tonoes at the end of 
April. 

The amount of barley belne 
sold to the Board tailed off 
rapidly durng April as supplies 
grew scarcer on the open 
markets. The Board bought S.187 
tonnes in March, but only U352 
tonnes last month. 

The total slockpile at the end 
of April was 21,233 tonnes. 
Officials expect that this may be 
released back on to the market 
before the current season is out. 

The Common Market's poultry 
industry is also threatened by 


over-production. Mr. Len Wright, 
chairman of the British Poultry 
Federation told its annual meet- 
ing in London yesterday that 
gluts in Europe could threaten 
the viability of the British in- 
dustry. 

The rise in the number of 
chick purchases in the EEC in- 
dicated that There would be 
over-production of eggs later this 
vear. This did not necessarily 

mean cheap supplies for the con- 
sumer, however. 

The EEC had become very 
adept at disposing oF its over- 
production in Don-Community 
countries and to food manufac 
turing. "But unless the indus- 
try can continue to work on the 
exporting job there is a danger 
of an 'egg mountain 1 later this 
year or next," said Mr. Wrighl. 

Community exporters of 
broilers were having a difficult 
time competing with Brazilian 
and U.S. traders in the lucrative 
Middle East markets. High feed 
costs in the EEC put European 
traders at a disadvantage. 

Export subsidies on broilers 
shipped to non-ECC countries 
were increased on Monday by 3p 
to 9p a pound. 


U.S. wheat target price raised 


THE U.S. Agriculture Depart- 
ment has announced an increase 
in the target price for 1978-crop 
wheat from 83.00 to S3.40 per 
bushel. 

Carol Foreman, Acting Agri- 
culture Secretary, said the 
higher target price for wheat 
should encourage more pro- 
ducers to participate in this 
year's wheat programme, includ- 
ing the acreage diversion and 
grazing provisions. 

An extension was also 
announced, until May 31. in the 
sign-up period for farmers to 
participate in the acreage set- 
aside programmes — originally 
due to expire this week. 

The Acting Secretary said that 
the extension would give pro- 
ducers time to assess the impli- 
cations of the increased wheat 
target price before making their 
intentions known. 

Wheat in the grain reserve on 
IWav 12 totalled 328.8m bushels 
and maize 37.5m bushels, the U.S. 
Agriculture Department said. 

The grain reserve takes wheat 
and other grains off the market 
for a Derind of up to three years, 
or until market prices reach 
stated levels. 

The inpn.Rsed wheat target 
price follows the signing by 
President Carter of the 


Emergency Farm Bill, which 
gave the Agriculture Secretary 
discretionary authority to 
increase target prices for wheat, 
feedgrains and cotton. 

The Bill also increases the loan 
rale for upland cottoo from 44 
to 48 cents per pound. 

However. President Carter 
said that he would propose legis- 
lation removing the minimum 
support price provision for 
upland cotton. 


WASHINGTON. May 16. 

The American Cotton Shippers' 
Association recently urged the 
President to veto the Farm Bill 
because of the minimum man- 
dated cotton loan level. 

The association claimed lhal 
the Bill established a price sup- 
port loan formula designed to 
keep prices at unnecessarily high 
levels and would imperil the 
ability of U.S. cotton to compete 
in world markets. 

Reuter 


Tin prices fall after U.S. 
move to cut stockpile 


BY OUR COMMODITIES STAFF 

TIN PRICES fell on the London 
Metal Exchange yesterday 
following the approval by a 
Congress sub-coramiuee of a Rill 
to authorise the sale of 30.000 
tons of tin from the U.S. stock- 
pile. An overnight decline in 
the Penang market, and an 
easing of the nearby supply 
shortage, also helped lower the 
standard grade cash tin by 
£67.5 to £6,307.5 a tonne. 

The approval of the tin stock- 
pile release Bill, linking the 


sale of 30 000 tons to the 5.000 
tonnes contribution by the U.S 
to the International Tin Council, 
is ao important step forward 
But there Is still a long way to 
go through Congress, including 
consideration by the House 
banking sub-committee later this 
week. 

However, it seems clear that 
the proposal to link tin sales 
directly with purchase of copper 
has been dropped for the time 
being at least. 


Free market 
platinum at 
new peak 

By John Edwards, 

Commodities Editor 

THE STERLING price or 
platinum rose yesterday to an 
all-time peak on the London 
free market, gaining £1.95 to 
£127.55 an ounce. 

The dollar price was also 
higher rising by $125 to S231, 
still well below the “ high " of 
$240.50 reached In March. 

The sudden surge in 
platinum prices, after the set 
backs suffered since March, Is 
attributed to a shortage of 
Immediately available supplies 
at a time when there is good 
consumer buying interest. 

Japanese buyers are reported 
to be back in the market and 
speculative interest bas been 
encouraged by prices breaking 
through chart points. 

Previous *' short ’* sales, 
which helped drive the market 
down to $205 at one stage, are 
now waiting to be covered 
by matching purchases. 

On the supply side, the 
Soviet Union fs still said to be 
holding off the market as 
sellers and there are even 
reports of Russian buying in 
Switzerland — possibly to 
acquire extra supplies for tbe 
minting of Olympic coins. 

Canadian output has been hit 
by tbe nickel production cuts 
and it is claimed (hat .any 
increase In South African mine 
prodnetiuo has yet to show 
through. 

However, it is thought (hat 
the South African producers 
may be wary of raising their 
official producer prices from 
the present level of $220 uu 
ounce. In view of the sharp dip 
In the market in mid-April. 

Warning of 

rubber 

shortages 

SINGAPORE. May 16. 
WORLD DEMAND for natural 
rubber could rise from 12.35m 
tonnes Iasi year to more than 
20m tonnes in the 1980s causing 
shortages unless smallholders 
and other producers are given 
sufficient incentives to increase 
production. 

This warning was given by Mr. 
Tan Eng Jon. chairman of the 
Ruhher Association of Singapore. 

He said tbat price stabilisation 
through the proposed interna- 
tional scheme financed by both 
producer and consumer countries 
would help to avoid shortages. 

However, operation of an inter- 
national natural rubber price 
stabilisation scheme could in- 
volve heavy costs. 

Reuter 


CHINESE AGRICULTURE 


Peasants mobilised 
to beat drought 


BY A SPECIAL CORRESPONDENT 


CHINA'S RICHEST natural 
resource— human muscle— has a 
good chance of beating the 
drought which has threatened 
grain crops lor -the second suc- 
cessive year. 

Peasants and Communist 
Party officials have responded to 
a plea made last month at an 
emergency meeting of China's 
State Council for an all-out 
effort to save this year'6 crops 
and ensure the safety of future 
plantings. 

More than 100m commune 
members are engaged in urgent 
rescue operations, watering 
thousands of hectares of maize 
and wheat by hand and building 
small scale irrigation schemes to 
bring previously unused land 
into production- 
The Chinese peasant carrying 
water in pails on a shoulder pule 
is no cartoon character. He is 
the first line of defence in the 
country's agricultural criris. 

In two counties of Yunnan 
province. Southwest China, 
farmers have germinated 5.000 
hectares of maize by giving a 
cupful of water to each seed. 

the New China News Agency 
reports that since last autumn, 
irrigation schemes have been 
built or improved in 3.6m hec- 
tares of farmland throughout 
China. A further 2.7m hectares 
of waterlogged or alkaline land 
have been made arable. 

The anti-drought offensive 
involves Chinese people at all 
levels. Several provinces — Hopei. 
Shantung. Szechuan. Hupeh and 
Kwnngtung have each sent more 


than 100,000 cadres f officials) to 
villages to advise and help in 
drought relief. 

The south-western province of 
Szechuan, the home of one tenth 
of China's 900m. pcuple and one 
of the country’s richest agrlcul- 

‘Bid to boost 
work rate’ 

THE drought In China is not 
nearly as serious at It was last 
year, when grain production 
dropped as a result of the worst 
dry spell in several decades, 
lhe Asian Wall Street Journal 
reported. 

Analysts in Hong Kong say 
that, while there nmy he con- 
cern about Lhe drought's effect 
on sonic areas. Peking's 
primary moth c- fur sounding 
the alarm is to mobilise the 
nation's 500m peasants to work 
ha rdt-r. 

tural arcus, has been dry since 
Iasi autumn, in that province 
alone iltn people work in the 
fields, each day. carrying water, 
building irrigation channels and 
fighting to save crops on 126m 
hectares of parched countryside. 
Workers are digging wells, dam- 
ming streams and planting dry- 
land crops in areas that arc 
normally soggy rice paddies. 

Some 90 per cent. of 
Szechuan's cultivated land has 
heen affected by the drought. 
The Szechuanese have responded 
to adversity with ingenuity. 


PEKING. May 16 

Small-scale irrigation plants 
have brought water to uti addi- 
tional 23U.OO0 hectares iu the 
past six months. 

The use of modern farming 
methods has accelerated. Rural 
areas are using more agricultural 
machinery and mure chemical 
fertilisers. In Hunan and Hupeh 
provinces, in the Yangtze River 
valley or south China, communes 
are experimenting successfully 
with greenhouse and soil-leas 
cultivation. 

Ip Kiangsu province, in east 
Chima. plantings of a hybrid rice 
which yields 2U to 30 per cent 
more grain have been lnerea-ed 
tenfold since last year to 600.000 
hectares. 

In southern China, ejrly rit-e 
seedlings have been transplanted 
and work ts starting on the next 
crop of ** semi-iate " rice. .Maize, 
tobacco, sugare cane and potatoes 
are also in the ground. 

In the north, farmers have 
completed the spring wheat .-.ow- 
ing and are concentrating on 
later crops such a.- sorghum, 
maize, millet, peanuts and cotton. 

Five new industries have been 
established to support the spread 
of irrigation. Communes are 
producing their own supplies of 
irrigation sines made of clay, 
content or stone. 

The result, even in the face of 
drastically bad weather, has 
been an increase, of 400.000 hec- 
tares of wheat in the province 
this year and double cropping m 
many areas' that formerly pro- 
duced only one harvest a vear 
Stirlncu Hern nig Hrmltl. 


Silkin promised hero’s welcome 


BY ROBIN REEVES. WELSH CORRESPONDENT 


MR. JOHN SILKIN. UK Minister 
of Agriculture, is being promised 
a “hero's welcome" when be 
attends the annual meeting of 
the Farmers’ Union of Wales in 
Aberystwyth today. 

The promise comes from Mr. T. 
Myrddin Evans, president of the 
union, following the outcome of 
last week's Brussels annual farm 
price negotiations safeguarding 
lhe future of the Milk Market- 
ing Board. 

In an eve nf conference state- 
ment. Mr. Evans said: "The 
future of the Board was the most 
important issue, as far as Welsh 
farmers were concerned, at the 
Review talks in Brussels. 1 am 
delighted that Mr. Silkin has 
said that he has won this battle." 


Mr. Evans said that details of 
tbe settlement in Brussels had 
not yet been fully clarified, but 
be understood that the EEC now 
accepted the essential functions 
or the Board and the case for its 
continued existence. 

AH Welsh farmers would hope 
that the settlement represented 
a lasting solution and that there 
would be no question of the 
Board continuing for a transi- 
tional period. 

.Milk production represented 
the lion's share of the Welsh 
agricultural economy and the 
Board played an essential part 
in safeguarding the interests of 
Welsh producers. 

Another factor guarani eening 
Mr. Silkin a warm welcome will 
undoubtedly be the Govern- 


ment's recent decision to extend 
formal recognition to the Far- 
mers Union of Wales. This 
marks a successful end tn the 
union's 22-year- long fight to 
establish an independent voice 
for Welsh farmers, with the 
same Government consultation 
rights and obligations us other 
UK running unions. 

The National Farmers* Union 
England and Wales is still re- 
fusing to accept the cun- 
sequences of the decision. At 
the first routine meeting with 
Ministry of Agriculture officials 
in London, following recognition. 
NFL! delegates, together with 
those of the Scottish and Ulster 
farming unions, refused to sit 
round the same table as tbe 
FUW representatives. 


COMMODITY MARKET REPORTS AND PRICES 

BASE METALS 


In to 123 following an castas in the near- 
by supply situation. Turnover 1.123 tonnes. 


COPPER— Slightly flruter on lhe London 
Metal Exchange. Forward metal rose to 
UH w the pre-market n-ncctuu: the 
situs Han In Zaire but then vised in 
on Bk- mo rums kerb following bt-rtse 
sruhic and profh-iatdnB- tn the ortore 
*wn H» values moved ahead again In 
Iim with l be opening on Comes but as 
rhe Utter fiued to bold the price here 
Ml back to due at < 719.5 on itae late 
kerb. Turnover is.t* 7 j iowk-jl 



t .UU 

| ■■!! | -III. | 

If 'IH 

UN 

1 tlffl M 

l — fty.uffi in 

— 

nurn 

tiratte • _ 

: i 



on the morning kerb. In tbe afternoon 
It declined farther ro end at 1310 an tbe 
Sate kerb. Turnover 3.450 tonnes. 


L'bbT 


| i.ra. '+ 
/.I St | ttfUi-ia — 


I i .«n. |t+» 

I l.nnfflH) • I — 


GRAINS 

LONDON FUTURES (GAFTA 1 — OW 


SUGAR 


o«r tonne notes* nrtterwtsv 


-OT .5 

— 62-6 


.CUPPER 


•.in, 

Oflk-ta 




wm. 

I'nmUris 


;*4-* 

i “ 


701 8 
780 . 6-1 


691-2 


14 - 1.76 
, + 2 


|+-5 

i+l 


' l £ ! C 

■ Wnwsara I 

C»-b 708.5 3 +7 , 

i month— 721 . 5 - 8,47 i 
703 -+7 : 

- Qgtbocte*-’ i ! 

'.»*• 69 X. 5-2 +B .75 

flmouthw 710-1 + 6 * 710 . 5-11 
.tal-'m’at! 598 1 + 6.5 - 

- J m 

: 'Auatsaramed Metal Trading n-poned 
™ In tbe morning cash wrobars 
% gaded at ITOU, 3 , 2 . 5 , three months 

BU- 21 5 . Caftmdcx. cash 1895 . 91 . 3 . 

- thfw mamba 1711 . 3 . 11 . Kerb: win-bare, 
■ndtkBe Map £ 79225 . three months 
CSL 3 , a. 20 . 3 , n, 21 . 3 . Afternoon: Wire- 
ban. three months £ 724 . 2 *. 2 S. 3 . 23 . 
S, SIA 21 . Kerb: Win-bars, tbrw- 

.UHttfaS 1719 J, 20 . 20 . 5 . 2 L 10 . 5 . 20 . 
Cathodes, three months £ 710 . 

, H— tJWl Second In line trlth pfw faD 

M-tho Penang prices which fntlnved the 
UtMt m-ws on tbe proposed USA socK- 
Mtt r eleases. Forward metal owned 
wwind DW« but subsequently hardened 
n sum owing to covering osaiiM mmim 
E uropean physic aj bosuns and tbe 
veune-u of sterling. Thereafter the price 
. moved narrowly to close at 03 . 59 ) on tbe 
; Uie Kerb whir the backwardation coming 


> oertitli'j c 280-5 — 1 4 , 6275-80 - 

•*e»<eni*i.' t 315 — Bj ' - ! 

Standard! i 

C,«Ji - 63 ID - 5 - 82-5 6305-10 -874 

5 rnontVia ' t. 27 B 80 - K> c 375«0 -45 

M-ll-efii'i.' fc 315 - 85 ; — 

shrill K..I elbl 2 —IS — I 

Sen V.irki — 1 

Morning: Standard, cash XS.S 10 . three 
moil lbs C 6 . 2 S 0 . TS. Tit. SO. Kerb: Stan- 
dard. cash M.W 5 . 10 . three months 
numo. 75 . « 0 . 70 . Alicmoon: Standard, 
three mouth* < 0 . 300 . < 6 . 290 . SO. Kerb: 
Standard, three mouths 16 . 270 . 

LEAD — Lower. Forward metal rose to 
<306 on Lhe pre-marfcct influenced by the 
Initial upturn in copper. However, In 
the rings profit-ukUm and Lick of foi- 
low-tnrongh cauaed the price to dip to 
£3013. In the afternoon values came 

under rnrthor pressure which took the 
forward material down io EOT on the 
late Kerb. Turnover 4 . 2 S 5 tonnes. 

I R.m. !«’ ih I i-.or. it^or 

LbAI* I ' ‘ilk-in j — | LmiUiei* j — 

j 7 ^ 

Udi I 294 . 26-.75 +.6 i 290.6 1.5 - 4 .M 

5 moot lik.. i d 02 .r -3 — .5 j oOO -.5 — 4 
'■eu'iAt'nii B 94 . 7 d |+ J 5 — • — • 

V.y ppM«_i __ f --I 1 -- 

Mortifng: Three months < 303 . 4 - 5 . 4 . 
3 . Kerb: Three months £ 382 . 5 . - Alter- 
noon- Three months 303 . 3 . I. 

< 380 . 3 . Kerb: Three monilis < 300 . ew. 
Wi. 97 . 9 S. 97 . 5 . 

ZINC — Barely charmed, and mafiuy 
following the trend lu other base-menu*. 
Forward metal row to < 3 X 3 in the morn- 
ing rings prior to easing back to tawa 


Owh J 303-.5 -.26 i 302-3 -.5 

£ tiemini-..) 312.5 3 • 511 . 0-2 '—.6 

j 3 u 3.5 -.8 i — 

Pmi W-.ll 1 -U I .. .. 

Morning: Three months £ 314 . 74 j. 13 . 
J 4 . 3 . 13 , 13 , 3 . Kerb: Three months 
£ 312 . 5 . Afternoon: Three months £ 3 U. 
12 . 3 . 12 . Kerb: Three months tatO-S 10 . 

“ Cedis per pound. * On previous 
official dose. SOM per picuL 


PKIl'fc CHANGES 

Zealand: Stunner Pippins 163 7 . 30 . 173 
7 - 2 U. Cos's orange Pippius 163.294 7 ^ 0 - prices 

LONDON DAILY PRICE miw aucori “"“g 1 - Saartans Balert 

crop barley saw substantial shipper £ 98 . DO > 06 . 50 1 a tonne cif for M>V-Junc “- 1 *-! 0 - 12 - £' lu ' s—S African: Canons. 

short-covering and a steady volume shipment. Vfhlte sugar dally price was th‘ ur ^’ 

changed bands St 5125 higher. Old crop fixed at £ 103.00 rgamci. Wb "* r Nclu '-O-.-HK Dutch: Per 

wheat, after initial gains of 3 Q points, The mark.-i remained locked within 

cltMed 5 points lower m rhin and res tun.- narrow limns, although the undertone jw « -W- vnwisui. Josephines 
Iwi. enndittuna. Ach reported. New vraj sieady. possibly as a resutl nf SSr uLriink?"?^ Ei C I^ 
saw good hedging pressure ihroughout currency considerations. C Gurnlkow w-j.-d. unidcn Hill s.io. 

lhe day. prompted by good country ninvc- reported. 

mem Despite sieady Jobber and Pro- — ■ — — — - 

fcsslonal buying, values by the close .. . ! „ ... ,, 

Khnwcd lu>aea ol between 10 and 23 . , Plv f. i 7 «ienla.V*i Prelaws 1 Uumum* 
points Cumin. [ lln*e | Ui-e I la-uo 

' — f.'iiu. . ! { ' 

WNEAl 1 8ARLEY ' 


Uny IF 

*r. 

i 

JliviMi 

Ifl? 

“ 

4 J -0 


SILVER 


Coffee gains 
-precious 
metals up 

NEW YORK. Mjy 16 

,v. :*«*,- , — •as%sa*aaL23Ejs 4 a ar*! S!^“j£ u ^.r n is‘ , 4S 


Chilean- 3 klki«. Alnu-ria 6 . 30 . Ri-d _ 

Emiw-rpr 4 h 0 . Apricots— Spanish ■ S Rikw » 

3.50-4.30. Bananas — J jiiUIqh 
0 . 15 . Avocados— Kt- 
-t.lKM-d: S. Alnvaii 

Strawberries— CnlttannaP. .. ... 

0 . 2 WI.W: Spanish: 0 . 30 - 0 J 5 Onions- '-"i I" W. ...... .,i. 6 Sl.o + 0.5 LP 82.3 

: rju^B 4 . 2 iM -Ml- Canary- 4 . 50-1 CD: •' •[". >t,*. C 7 X 0 ./ 6 i+ 1.0 f 699 . Zb 


“2 , Uao ( -U680 

r-Hia Kui-rtv 14 - 4 -k live nunhei r.-i*. ? -fi-Iw. 1 . .. »i 
Vm PuJn" 4 fllM 20 1 ‘•liwr vnkli W.Uai«!g 701 .b .+ 1.75 CtroO .25 
inuaR- "SKI; Itahair f Vi ?U ./6 + 2 .U «: 707.£5 


U;S. IVInrkets 


Sliver wan fixed « 2 . 13 p an ounce 
higher for spot delivery in the London 
bullion market yesterday at 280 od. U. 5 . 
cent equivalents of the itttnB levels wisn:; 
■not 910 . 0 c. up 3 . 0 c ; tbree-momb 5 lK 2 c. 
up 3 . 6 c : stx-monUi 528 . 1 c. up 3 JC ; and 
12 -monlb up 2 . 3 c- The meiat 

opened at 280 j- 201 i iSiH-stSc) and dosed 
at 2 SU- 2 KUP i 507 M 0 Mci. 


M‘n*l' 

.- ^ 

' ~ J 

*i"»- 

JUi 

98.65 

— .Cfi 

63.85 

aevA. 

US. 10 

— j.a» 

79 70 

Ain. 

67.30 

-J.I 6 - 

uz. 3 D 

i+ii. 

9 U .10 

— J. 1 B 

e «.70 

JJ-u. 

90.65 

1 — - 15 ! 

87 . 3 J 


| wcx. .... iur.avur.eu ieo.+^-ue.i 3 ua.un-oa./a A mvncan n 4 s 4 iD -7 lilt Petataes— •* Mil- ui 

> 0.10 [jr: j 1 1 . 25- 1 l.aS I 1 U. 5 J- 1 U. 5 b I 12 .eu-lii.ua canary- 4 ^ 0 : Euyntian ■I’iWtHl- Crprus- -'"■kv 

kn?'"' iaf'r'tt.'gR iMhtllre! <a,76 " k ‘" DD Ban.vlona- Maiaros 4 . SO: Malnren: 

S'S'S-fi S'S- 5 4 -£S “ Tpmatoog-Caiuir: 5 . 60 - 2 ) W): 


'L30u.25| — 4.0 C0U6./9 


SflLVRK 

pw 

troy ub. 

nu UiU 
Rain: 
i«-M-inc 

4 -.« 

UM.h. 

tfMiV 

+ Oi 

dmDntbi.. 

* muoibtu. 
IZmunrb'-. 

S 80 . 7 Gp ' 
287 . ISp 1 
295p 
' 312 . 4 p 

5Saa 



2S6.3fip 

2 b 6 ^p j 

+ 0 . 4 & 

+ 0 J 


.96 | 1.93 

■ 2 .Jb , - 2.03 

- — - - — — i. uiiPm- v iw-ajq; cuenw-v. Ptaimum im- •uJettOuBC *> 1117.56 

Business dene- Wheat: May 99 . 00 - 9 S. 75 . *»'«= LW lots of 50 lornies. ’ S. i m ., hw: + 1 - 

Sept. 8 i. 35 -S 5 .lfl. Nov K 7 .flW 7 .-W. Jan. T «'* 3ntf Lyl« ex-refinery price for n U £l? i ror i?-»t,. 1 ^ 127.52 13 -at> 

90^89 95 . March M 50-02 65 Sales: 153 wanulaied basis white tu^ar was JHC.W S ^ 11 Kanan. per bundk ?iiu-i inn* ne , 200.76 . + 2 . 16. 7 r.l 

lots. Barley: May S 4 .fl 6 -S 3 . 80 . Sept 7 « 8 D- *JE?* Tnr honw lra<to *** ' EmUsIi produce: Prt»w»-Pnr 3 r-ih ■- •*!« + 2 . 56 . « 2.4 

79 . 65 . NOV. 65 . 25 - 83 .W. Jan S 4 - 90 - 84 . 70 , Zla OJW i Jai aQi jor export. Unties Reds 2 102 30 Lettuce— P>-r 12 1 40 

March S 7 . 40 -S 7 40 Sales: 186 lots. Intumaitonal Sim* Agreement: Indi- Coe J. 4 B Beotrem— FV 

IMPORTED — Wheat: CWRS No. l 134 SdnSS? CeruLJFilJriaFSS if. SiT?S!X *T"i ps -' rVr 

per cenf May fta .73 TiHrory, U.S. 0 s rk nuiv 7 m /nim.. «aj 1 aa ^ f fflMjW Onions— SBlh " IHW , 

SSm sZno jZSZ SS.*" ^ ‘ veraB * 7M ’r ** 

< 37 ^ 3 . June and July < 30-75 mmsWomem * — * — 


Rant Coast U.S. Bard Wloter ordinary un- 
quoted. Australian wbear nnowwed. EEC 
wheat unquoted. 


WOOL FUTURES 


0.65. 

English produce: Petarocs— Per 3f~ lb. -n„ iv.i. 

Whites ■ Reds 2 102 30 Lenocc-P-r 12 1.40. iSS'lw'5“« S 

Coe 1 40 HeotraM— FVr MUMO 

fP* - ' cw !'- j £302.5 —0.5 «:2cW 

ssrsBJWBsJS Sr£ ^--dSBA 

12 ' 24 - b 150-2 so. Mushrooms— Per pound Oils l / 

0 .W- 0 . 40 . A pples -Pw ■ ported Rnmlr-r'i L'r«.nnut iPluli -»B 10 a I flc 4 D 

Ori -017 Peart— Per ouunrt Conference UnwibHiui. : C 744 


... ms 


Maize: U 5 ./FrendJ May < 10540 . June . „ 0 nut IS Twww w Per pound Rmrlhii UuHee-i L'niiteivi..>£oe 5 " nao 7 

id July rtOS.OO transhiptneni East Coast. .,, f~P .P D . 0N ~ Pia wtd lealureless. Bache 0 214|!3 Greens— p»r croie. Kent n.«n rm. Pa Ini .Ma lot mi Ij? 58S« 5.fl J6U0 


LME— Turnover ISO «U 5 i lota of 10.000 
ozs. Morn Ing: Three mootbs 287 .S. «7 
874 , 87.7. Kerbs: Three months 287 . 8 . 
7 . 7 . Wunm; Three tnomne 287 £. 87 J. 
87 , ST". 86 . 7 . 805 . Kerbs: Throe months 
280 . 8 . 287 . 


CLIVE INITESTMENTS LIMITED 
I Royal Exchange Ave., London EC3V 3LU. Tel.: 1201. 

Index Aside as ai lOlh May. 1978 (Base 100 at 

Ciive Fixed Interest Capital 

Clive Fixed Interest Income na.fa4i 


CORAL INDEX: Close 480485 


INSURANCE BASE RATES 

t Property' Growth 

t Vanbrugh Guaranteed 8 i ° 

t Address shown under Insurance and Property Bond Tabic. 


LG. Index Limited 01-351 3465. September Coffee 1439-1455 

29 Lament Road, London, SWJO OHS. 

1. Tax-free trading; on commodity futnres . 

■ 2. The commodity fnnires market for the smailcT investor 


THE C-C-S.T- 
WEEKLY MARKET REPORT 

Sc--., free lo TraJing Clients, this Report gives fundainentai 
r*ww«b iOamkik future price movements, and makes Jftcc«, y 
opifon wctuimentlations. Aided by selected charts, he teehnic^ 
situation in each of the major London Markets is also anaiy 
lr you would like free copies of the next two issues or me 
Report please nnu 014S0 B841, or write to: 

C.CS.I CtwimodWesLU. 

Waislnghara House. 33 Seething Lane. London EC3N ***_ 


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COCOA 


As consumers bached away, the In- 
creasing vkiuingnesa of produven 10 meet 
the marl: ei heyi prices under preusure. 
OW and Dun us reported. 

Vnjcnliii "* -r ur duaiocs* 

IWIJ.1 i Clnsr' — I U«l. 


and July rtOa.M transhiptneni East coist. 

Sooth African White June/Jaiy JS 0 23 repon d 

Glaa+iow. South Afncan Yellow JnnfJuly 

< 80.00 Glasgow. Other grades unquoted, .tunnli 
Barley: unquoted, 

HGCA — Ex-fgrm spot prices May 10 . 

Feed wheat: Humberside £ 96 . 50 . Glou- 
cester £ 94 . 90 . Feed barley: Humberside 
SK.l®. Gloucester 132 4 ft. 


account per lonne 1 : Common wheat — 
65 . 63 . nlL nIL ml iSft.S!. 0 . 66 . 0 . 65 . nil): 


■ Peace utT fcllg) 


RuvIUew. 


GrouvIVii'L 

Clime* 

' - j 

Dull*- 

JR— J 

Z 2 BJI-S 7.0 

Ui.o! '■ 

—l.O- 

^- 0.5 

— 

LWolw 1 

2 c 6 . U- 58.0 



U 1 X 131 ll»-) ...1 

JS 6 . 0 -S 8.0 

— 1 . 0 . 

_ . 

Jlrin-ti ........1 

■ 46 . 0 - 48.0 


_ 

M«\ 

/ 46 .U -4841 




Jun 

4 B.C- 4 fl.il 



IHriniiei 

47 .U-& 0 .D 


— 


SaJrs: Nil 'name i lots nf I ..VO kilos. 

SYDMCV CREASY lln ,-rvlr.r 1 irr..r 


CauldHwre— Prr 12 I.i r n-n|n"t in Kent i$ 58 Sk —5.0 ^650 

L 30-2 .30 Celery— Per 12/|S 1 

COTTON fuj-ra Philiji. lX410.tr ‘ e-420 

COTTON -Liverpool. No spot o r »htp- 'V.is.i...^ -ifl 303.5*. + 5.3" »30J.5 

m-’rn sail's m-re rernnVd- Ivsiing the 111 

i"tnl far ilw urecR so lar ai inn lonncs. Grains ! I ! 

Minor replenishment m-ris were uori.-r iwitv EKL • ; ) 

revti-w. but trading lros vinuaJlv haK.-d. H-me huuirre.... 1:79 7 dll6 U85.9 

F if Talir-reall ri'noned Engun I v ting- J 

centred on various Midd Easnm si vies. u*:b X.j. s Am'i:i06A —1.0 Cl.'b.fs 

. lVImi 

I Ife: S|.r.iu!i:aS .75 , + 0.96 s 95.3 
H+r i IVmier ; 

hueiikit ’ll i.iiu j-.Cl . j tlOO 

J-7« "NU wik-iii .... | L" 1. : 32 _4a.O-..a.Oit7 


DUNDEE JUTE^Qwel. Prices etfUR 
f»r lia> -hipnirnt: HWC H 2 B+. HW'D (be. 
Tu-.sa- IITH Caff.'. KTC RB 2 . HTD C«S 4 . 


.Nt+aU'tuir t 

tlgv_ Id IS. 0-14.0 

July IbSJ. 6-62-0 

lcDfl.B-Dd.0 

Dec t7b0.u-5i.E 

Uiirob 7 ffiJJ»-«.o 

iloy^ 1 & 96 JM 705 

Julv < 187 ixJ 5 - 7 B.il 


— 46-6 1 : 70 JHJ 6.0 
— 36.7 IS 12 . 0 - 1 M 6 
—£8.7 1 B0JI-1B 0 
— 17 . 7 , 1 80 S JM 76 fl 
- 22.0 > 760 . 0 - 22.0 
— 16 . 61740 . 0 . 10.0 
— UJ.I 71 DX-IH 86 J) 



■wy'l »<■«?> .Ijf 1 !* "f 336 . 1 . 3 IM. 356 . 3 - 358 0 . lit' Mai 3693 . 


Soles: 5.619 tIJMi lots of 5 tonoes. 
IttomfliHl Cocoa Orgaulrattnn i U.S. 
cents per pound*— Dolly price May 15 : 
144. 07 ihu 7 ). IdcUcbiot prices May 10 : 
15 -day average 148.10 UttJAi; 22 -day 
average 149.73 1 160 . 69 ji. 


seeding)— 70 . 00 . OjC. 0 . 82 . 1.15 ( 712 B. 
0 82 . 0 82 . 1 J 21 : M 01 c<— 81 . 06 . nil. nil. 
nil fsame): Crain sorpUum— rfi. 74 . oil, 
uU. utl «S 0 . 40 . nil. nil. mil. 

Also for Boor: Wheat or- mind wheat 
and rare — l*L 9 fl 038 . 56 ) : Rye — 128^9 
(212.281. 


UMJt. nit: July 3S3.0. 363 S. 363.0^62.2 
T. OcL 363.3. 360.0. 3fl5.M65.fl, a TolaJ 
sales: 43 lots. 


U- ! a3L 

shtpmeni perli>ds. Yarns and cloths firm, -m -ar iKhm > gg 

— — — U' nlrni* -rf* kIi, aatJr 


RUBBER 


Disagreement 
meat/ vegetables Qver Brazil 

soyabean crop 


* Vnniioot. ■ it nun'll «i . vtov-xun* 
I Mo* g'ui H June • <tDnl-dnne * nnv 
U Mav-Juiy. rJunesIuly. a Per ipb 


COFFEE 


By Sue Branford 

SAO PAULO, May 15. 


ROBUST AS opened steadier la line with, 
overnight New York pricc-v and on re- 
newed Cuiuaii-.MOD House IniercM. Dresel 
Burnham reporliiL Values maintained the 
advance with little or on re»piie (hrouch- 
uui lhe entire se-^lon. a» local Mhori-cm-rr- 
Inu was eonilnupfly forced by die ucr- 
sikIbucl* ol the buying iirdere Oe*ler^ 
<afd that there was "Utmc MitaB-i'Calc 
roaster Imereti, bin altrihnu-d the rise 
niaioiy to chari buying and *JMrt-currr- 
ing prom wed by the find triune of annuel 
weather turves. 


SMITH FI ELD i pence per pound: 

■oof: scotch hilled fades 53.0 tn 57 0 : 

, . , , , EttgUah hlnduoartere Tfl.Q to ??,«: Inny- 

EASIER opening on the London phystal onarlers 37.0 to 41.0; Ulmer hfndauairers 
ourttl. Fair demand througboui die »g t0 ng; furequaners 37,0 to 41 a 
day. closlnc on a Steady note Lewis v<*J: Eiwltshfau 7i0 to 5P.0 

VT vf* Lamb: English small new season R 6.0 THFRF IS ’ considerable dis- 

^ 02 ,m> wms a w* 0 to 78.0, inedium flfl.0 to 7B.o. imported THERhi is TOnsiaeraoie aifr 

(borer. Juki. frozen: nz pl soj) to BL0. pm 4so to agreement between the vjrtuus 

» i 50 . 0 . „ ^ _ Government organs here as to 

Park: En cJ is h, u nder 100 lb 38 0 in .k- ri^mirr drtne bY the DrD- 

46 8 . 100-170 lli 3B.0 10 45.0. 120-160 lb , lRe « dI » a ? e , ule 

3o.o io 43.0 longed droughts to this years 

; Rabbits • skinned >: Emumh unie ei o Brazilian soyabean harvest — 

L. E M e . M « 0 ®.® : i^ llieie 4iD 10 4tfl: Au * ,ra,i " n now drawing to a close. 

June..—' S 4 . 75 . 54.20 5 iJt 5 - 54 .M 64 .«- 5 i.M ! A , Ule en{i 0 f | ast we Ck. Sr. 


>0.1 lYOil'nllV'l pKntlUr 

it. if.S. i cbne clime 


Uuxlueu 

done 


Jui\ ■ 54 .Eo-b 5 .U 0 b 4 . 2 U 4 .fiO — 

l<v acta 65 . b 56.20 M.riJ+ji.Bfi 56 - 20 - 06 , 
U-t- Lhsr M. 66 -P 6.10 5540 3 O..-U 66 . 1 a-fc 6 , 


MEAT COMM ISSIDH— Avcrast talsloch 


■i& al , n mflrhui*. Mn> to. Alysson Paulinelli. Am 
-49 S5 J 'r*.®;!: Minister, estimated lhe 


Agnculture 
crop at 


iYoiuntaya l 
L'uFt-'Ub 1 ’ + ur ; 



— I Unlit 1 


iX (A-T ttmiic 


Unv-.^.M- 1577.1680 +-4B.O, Ifi85-lb46 

July 1 1B4U-154S +69-5' 154A.1486 

'Optoinber - 1 1445-1449 + 83.5 1448 . 1:58 
S-ntmuer... 1586 -ldfiO +65 1291-1535 
l-tnutn-— . 1345-1340 +72-0] 1340-1.96 

^refa 1 1293-1294 +HI Xta&VSl 

Uu 1245-1863 +3B.0| 1950-1230 

Sales:' 4.138 (1.4241 kxs of 5 ramie*. 

ICO indicator prices for Mar IS (D-S 
cents per pound).' Colombian MQd 
Anbicos 181.36 1192.00)-. unwafctetS 

Vrablna 135 00 txainci: other ndkl 
AraWcas 10SJ1 1108.01 1: Robnsias 132 JO 
(191.301. Daily average 15041 (I4fiifli 

ARAUCA5 remained quid bul muady. 
Dre.vel Rnnduun repen(d. 

Prices < lit order buyer, seller, change. 
lnistnc*.i— June :38.3friBfl to. +SK iSfiW- 
183.00: August 118.00- lSfl.OC. +6J0 uti- 
traded: October W7.00-U9.D0. +fl <3. 
,116.00! Decumbur 151J6-133.W. +«'D- 
’■51.00-1 50 Ai: February 13SJW-156.no. +5J4. 
umraded: April 13700-147.00, +5.00. 'in- 
traded: June 133.50-143.30, +5.00. nntraded. 
Sales: 8 (U luu of 17.330 Ulos . 


t Jin: 

! ilm 'ViTmib'Y 

iiuuiv 1 * ; is 

[ 15 ' - | , 


Jan- Mar ,11.60-61.20 jn.60-bi.Hi 81.4Q Pi ES '"d<wii i^i'pcr’nwL alcraKi.'sjTi’o the figure of 8.Sm. tonnes given 

or 5 WWies and 129 % jS SSiSl? Sh^'l^T.^V ** CaCEX ' U,e Ba , nC0 ,, d ° B J as! * 

,! ptinunfl HMhtB D ^rin4c ccaL nvcrzxc JjJ.Sp t+10J3); Piss dawn B^POft SgCDCy, 3t the end Of 

Physical rinsing prices (buyers) were: i» s p-r I-I-JU. aver+itc 851 b i+n 4 . Anri! 

?5S MD <l S%»f IIB> *** 'nS,l?tafp e i£d Sr. PauloViana,dirccLorof the 

pradKx: Oronacs— Cyprus: Vafepda Laics Production FjD&QCing GomtBiiS' 

. _ * kilM 3.40-3JW. uu tod sun Jaffa: sion, had intended to rriease his 

SOYABEAN MEAL vSS tSf imSk t ieS f "lSt oew crop esti “ aCes at « nd of 

Martel opened so peace lower doe to H*** ®gft E?**: s'sM.oo: the week. He postponed the c _ lltR 

technical corroctioo alter lhe sharp rise announcement, though, as his F ‘ rvkuTffi t Tf a> ? t<i i. aw> 

njnsss.enss£ erst Ztt.jsri.'ersss.*™. au«. srsjsSsS^st&jft? 


financial, times 

•Uai 16 M»i 15 MiiSJitT »iiu VreT+eT 


W 5.19 1845 . 68 » ri 4 Q. 7 g \ 27 Z .14 


1 Rum- Inly 1 , 1 952 = 100 1 

REUTER" S 

Mhi 16 , Ma« 15 tTi-niiriui j’t wTmIv" 


I -< 6 j.b 1 10 61,1 ! 4 bZ.U 1 i 678 . 2 _ 

1 Rase -W-uii-mfu-i 11 , ie 1 i'eiihI> 

DOW JONES 

'i">"i "xi.5jri,“) ,v.r 

i-»i- 1 Ifi i 16 


■'I-m ... 559 88 '-61.9a £61 J542 1 50 
r inure Jgg i a ->Sj+ ,a ag 18 ay 2. 70 
i Avvrauc ii »4 idOi 

MOODY'S 


liny f. uu, S 18 . 8 9 1 B.B 1 uOA.l JJ.B 
iDcrmhci 1\ iopfTiwir 


iini^hi-d jiudiily lower on niwinu.-d :rj-ic 
hi-d^r-hL-Ulm;. while Coroa .. a+nl un rrjde 
a rb: trace Scilinc Coffi.v fiiuiti.-ii hmn up 
on i-.*iari|)i and C>imii):++i><ii Hounc I ■■)>-- 
mg. Prnv moc-.-ini-uii m gram-, were 
in sed on roininiiisioii Hqum.- .tiid .om- 
menial atuviij-. 

Cocoa— Muy 14 -. IO iU 4 4 il>. July lt<M 0 
iI-W ! 5 i. Sept. I'W. 73 . Pei. 131 . 90 . Mart* 
12 s 53 . May t‘<fl.Qfl. July 1 C. 13 . S.-pv. nil. 
Sales: flSS luls. 

Coffee—- r. •• L'onrraci: May iru.lD- 

176.75 1 174 . 581 . July 163 . ilMin b» 1 :«-• — 1 . 
S* pr. T 31 . 75 . Dec. 1117 . 54 . Mart'll If* 5 C bid. 
May 125 . 0 U bid. July 121 . -0 bid. S,-pi. 

bid. Sales: .UP [of*. 

Copcct— M ay jA.M ,jS -o>. Jun- Wrii 

■ 59 . 50 i. July 50 J 0 . S< 'p|. Cl iV. Dec. C2U. 
-Ian. 61 10 . Man* 41 ID. May C. to. July 
K 10 . Sepl. 07 .I 0 . Dee. «S,M, Jju. tia. 18 , 
March <U 10 . Sales: 3 ..VW ti-»s. 

Couon— So. •.*: July W.M <AHi 0 i. rtet. 
6 -J.S.T-n.BO ( 62 . 52 i. Dec. 83 . 00 + 51 . 11 *. March 
fl* 97-65 DO. May Cj.d 5 -fli.fl*. July Ji.iJ- 
w 211 . Oil. 65 . 25 - 14 . 00 . Sail'S. 3.13 IWU hah-I. 

■Cold— Jtay 17.10 •lio.lui. June 17 . SO 
HURi. July lift . 70 . An*. 1704 ( 1 . Oct. 
ISS.30. Dee ls*.rn. Feb ISf.-U April 
1 S 9 > 0 . Juile 1*2 M. .)ua |ri» 2 d. 0 . 1 . 
107 M. Dei*. CW. 7 U. I eO JUi.eu. Sjk-s. 

>.IHI 0 lOlB. 

7 Lard — Chicago loujt unavailabk- 

■ saluei. NY prune kieam 25 jy iradt-d 

1 22 . 7 5 asfciil'. 

tMalro— May 2 s 3 .- 26 n; < 2 c?i. Juli »*- 
35 fli 1 .'.i: 1 . Sept. 23 *',, lire, 

Man* ■JC:!- 2 d"':. May 2 63 . 

iPloKnuin— < July ' 2 V 2 M-- 2 ;:i.iM « 2 :u «■. 
iK't. 231 30 . 2 . 12.50 1 231 JUi. J.vn writ's. 
■\nril 'Xti.UU- 25 * on. July ' 2 .": IU- 2 XI 111 . o.l. 
' 233 . * 15 - 231 M. Jan. '.TJ.IKK^.'.O. Sales. 
7.300 lnt». 

'Silver— Slay SlJ.aO i 305 .se ■. June JlLihi 
• 500 IS 1 . July 3 i;. 3 v. Sew. 524 ••■>. Uu. 
573 SO. Jan. 3 'i!i mi siarcli 5 *;.hl .May 
333 . 90 . Ju.y 564 . 5 n. Sepl. J 72 . 70 . Dee. 3 v 7 . 60 . 
Jan. 390 00 . Alarjl 5 B 0 .nl. Sales: .-.UuO 
tuts. Handy anj Harman bull.un spot 
305.90 1307 . 401 . 

Soyabeans— Stay 7 j 7;-;27 *n 3 «ii. July 
7 IK- 7 IA 1 72 1 1 . Aug. 71 * 1 - 71 * 2 . S-.-pl. riA:jM 2 . 
Nov. 629 i-oJt). Jan. 634 . March t)*u:-u 41 , 
.May 643 !. 

USoyabaan Meal— May Ii 9 . 4 u ilsnjQi, 
July >SN 2 Q.li 2 jO 1 HC.IDi. A UR. JS 3 . 0 P- 
lfll. 30 , Sepl. lib.IO. Oil. lfll. 30 . Dec. Inn 30 - 
1 6 & . 00 . Jan. Ktei. 50 -ii 3 .iM. March I 71 .CU. 
51 ay 171 . 30 - 17 t.tM. 

Soyabean Oil— Mar 2 r. 93 . 2 s.u 5 i 2 S. i 3 *. 
July 2 r. 03 - 27 . 9 a 1 27 - 13 1 . AUK. 2 fl.]U*-.M.tW. 
Si PI. 23 IM. Oct. 24 . 00 - 21 . Uj. Dei. 2 't 23 - 
2 . 7 . 2 B. Jan. 22 00 - 22 , 03 . March 22 jn. May 
2 .‘ 50 . 

Sugar— No II: July 7.23 7 25 t 7 ' 2 iK. 
Sepi 7.32 'T. 54 i, Ovl. 7 . 1 > 4 . Jan 7 7 j-> 2 D. 
March > 45 - 0 . 47 . M«r > is-S.Al. July ' 75 - 

«:o. .“hpi. s 9 V-a.a*. Ul-i. 9 . tv*. .Mks: 

2 125 lots. 

Tin— 320 . DO 5 * 3.00 asked 1 523 . 00 -.i 43 00 

asked* 

'-Whcai— May :i 2 | July .i 2 li;- 72 U 

•Till. Sept. 3341 . Dec. 329 . 31 arch . 1297 . 
May 5 SU:. 

WIXNIHEC. Miy W. TtRw— May Maflu 
bid U 03 . 3 U bid*. July tus.stj ivub .70 
asked i. Oct llHI.no asked. Nov. IU 7.50 
D.il. Dec. ior.su bid. 

ttOaw— May m .80 Old iS 3 .su >. July 
tfr* 30 i MJH> hldi. Oct. ;sf. 40 . Dec. Tu.BO. 
March Tfl.uo. 

rtBarfey— May so .60 CHl.flO.. July Ni.on 
iSOsOi. Uti. 90.10 bn!. Dec. SO.UO risked. 
Mirth MOO. 

SFIaUMtf— May 263 . 0 U bid 4 - 264,50 bid*. 
July 266.00 1 266 . 80 * 2 fl 7 .Ni. On. sno.gp, 
Nov. 2 63 . SO asked. Dec. 263.20 iiked. 

rTWtea— SCWRS I 3 .a per cent, pruicin 
coni eat dt Si. Lawrenco 162-61 nsa.au. 

All cents wr pound ex-warehouse 
unless pihenrrse sialcd, **a p,T troy 


s. African: wntj^'a commission is estimating in e a •*£+.««; Mnnwn I j & V a &iSik*i « 

3.WK1 fti. AprtcwKronrh- rtpMm crop at between 9Jrn. and 9-*m. mwS,w,T l n*»: tarsi- 1 w arehuuw 3,000 bushi-l lots jei iu 

ton " es SSTU5^IS?BiBf« w,UOi *** ,rw « S 

r Cniilh d OA> Trurfers here peneraNv favour ' ™ .vm puriu- ti-ir\vr«l ST. ■: C>.-nis m 


■luu*- -131-Bo-su + 1.65 iai.5<so.6h cntnnr snin** upe- Taomanixnf csro's Tradera here generally favour 

Aun-t i{3.4 *38^ +i jo I5a.ro 3i 40 onnoe pippins 7.iM7a. rinHen *vi>r»»R the commission's figures, which 

iicu<«i I 5 l. 2 i-ilfi+l Bfil 5 U>ej^. 4 SA«. 30 . Jtrijiteirt 7 KWM: Yunnan- hnvi* nroved reliable In the oasl 

Uea+iu«t ... 12 B.U 0 -VW +ti.Wl£ 6 J»-S 4 .H Orarniy Smlih fi.Mkrn: Rome Hu P PFD . T . .v. . Vk 

Fri*ni«n 1S6.5A48.0 - M '*"' 

A|*n 126 . 6 J- 3 fl .-0 

June tf 6 . 5 fl- 50 Jl 


rw;5.MisAo£SS n™ smi.h su- rX prove “ ™ 

48.0 - nriidflitt They point oui that the Minis- London palm oil~cimiw siav 

^ - S r Jr,; h s 7 ^l!r’ wZ! s vi^ v ^ r ‘ nnnv tor's esUmates are believed to be 3unv. July ana \:ik Tooto-wo w. 

, • • - — X.M. st»rti,r ^^TSo" b3S0d on -surveys carried out as "" 

sues: 291 (190| lots of 1W lonw*. catUcsn: Cranny SnUtfi 6J54HLT8; New long ago as the 6Dd Of last year, salca: nfl 6 W ' Jan ‘ 


pur 
nor 
_ PL*r 

troy wvnw rx-wsrotmMbv. H Ni-vv - b •“ 
■tminici in is a %hon *pn (or bulk hnx 
oi IW -jhuri ions <ii'llvi>ivd I o b. cars 
Chiraco, Toti-do, St. I.uuis and Alion! 
-* Outi> ui-r bb lb hiudu-i iil store. 

0Ji-r ?* “h im-.ii.-i. • .-. ms pgr 
,u ’h fi ■- '}• ; * v'*.*irv j* .-'■••it's per 
111 )• --* • -- ' Iv 1 uuu busih-l 

.OlS. ,'V. J. 



40 


M OCK EXCHANGE REPORT 


Financial Times Wednesday May 17- 1978 


• * . * 
■ r ft — ' *> ' 


i* 


Reservations about trade figures curtail enthusiasm 

Equity leaders above lowest— Gilt-edged also turn down 

Account Dealing Dates Sceptism over the way monthly A well-matched business in a erratic. Tailing to I3Rp despite around midday in sympathy with penny to 114p, Elsewhere, land 

Option trade returns are compiled and reasonable turnover left the the sharply higher profits and a decline in sterling and dis- Investors, 40Jp. held a modest 

•First Declare- Last Account especially the reservations investment currency premium J proposed scrip-issue before rally- appointing company anounce- improioment following the 

Dealings lions Dealings Dav accompanying the record April higher on balance at 109A per ins late to finish 2 harder on ments. Prices picked up a shade interim statement. 

May 2 May II May 12 Mav23 fipures failed to discourage early cent. The rate had dipped to balance at l«p. Foster Bros, tow-rads the close but Unilever . , 

May 15 May 25 Mav“>6 Jun 7 Gilt-edged investors. An extension 108} per cent on sterling's initial Clothing added 3 to I12p follow- ended 10 down on the day at OllS mixed 

Slav 30 Jun. 8 Juii 9 Jun. 20 of re . CBnt p , ersis !. ent . switchin C intD ris c but subsequent weakness of mg the results and Austin Reed 3l2p. after 504p. following profits Fn n owini r the reaction in 

.■ . , the long tap Exchequer 12 per the pound saw it touch 109} per A firmed 5 to 91p in response to which were some £lSm. below ex- hu\-l n / leff British 

from HZ tv^SjT'daifLHi'c? Mnt 1998 b f r< ? u g ht fresh * ains in cent in the later trade. Yesterday’s the chairman's optimistic state- potations. Trafalgar House were JO h icher at STSo but 

" T IT, the sector of i but the subsequent conversion factor was 0.6843 merit. Following its recent re- ^ wea|c In reac:ion t0 the ££2? to In Sr 
pc validity of monthly trade move by the Government broker (0.68251. jection of Mooloya's bid worth 20p 3 ^* 0 x 111 which accom- r!i quarter fi.mrS due 

balances and in particu an last in activating the stock, supplying per share Cnstomagic made pro- ^ ied ^ ^rim results and, Shere Utofi? 

months record surplus of £»6m. a nominal amount at 65 J. soon C. E. Heath please Sress 00 hopes of an increased Jftertouehm* 132p. closed a net San Td Siebens tS, 35^oS 

was questioned firstly by foreign changed the market's mood. * „ “ “ ** , offer to finish ij to the good at 5 draper at 133p Beechara ^ To rSSJjiiiTin EE 

exchange markets, where sterling Domestic and overseas selling C. E. Heath stood out in Insur- 23p. A. and J. Gelfer put on 3 mov^tetiveen exSemes of 667p WMfahSSfResourcM 

became unsettled, and then by f 0 Uowed and, in sensitive condi- ances with a gain of 10 to 2»a P to 38p and Sumrie revived with Sh beTore S tUn- at 660p ™d e Si)5Siv to S 

stock markets which, after early tionSi few were courageous “ response to the sharply higher an improvement of 4 to 26p. The ^ J^n the dliy whSe n^inui riai’? r£* Si xL 

firmness, drifted lower m subdued enough to take up stock. The annual profits. London United leaders drifted lower in thin losof-jon weaay, wmre previous day s rise of 33. 

trading. longer maturities closed a net Z Investments werewanted at Map. trading Mothereare lost 4 to 16Sp _were^n m Stin reflecting news of a 

Initial business in leading lower. In fine with the general up ?* but General Acddent rehn- and Marks and Spencer shed a *“■ > Kowloon development, Hong Kong 

equities was evenly matched with trend, the shorts were unable to quished 4 to 218p, after 216p, in penny to 141n. F. W. Wool worth rtt°monov.s annual r^ ^ *&>wlotm Wharf rose T| to 

institutional interest again evident, maintain attempted rallies and front of today’s first-quarter eased a fraction to 65p in front suits. ni^neu a penny 307^ for a two-day gam of lai- 

but fading soon after the Coats settled with falls extending to *«««». Commercial . Union of today’s first-quarter figures. SSp" h J inLuhiri 4 £ Investment Trusts had a firm 
Patons' forecast of significantly Overall trade was pretty thin touched l54p before closing a net Electricals spent a quiet ses- J™ frtowS- details of appearance. sentiment being 

lower profits this year and being restricted by the presence 2 lower at 156 p and Royals closed S i on . A. B. Electronic stood out helped by the strength of Wall 

remarks concerning current trad- 0 f the new tap for which applies- 4 off at 366p, after 363p at 106p. up 6, on rerived -oe-u- gj = d vveb b^fvi e un Slre€l - Camellia Investments 

m? in Europe, later endorsed by t ion lists open tomorrow: the Home Banks edged higher in Jative interest, while Fidelity ^ t " p, ?“ 1 Sons , t an<1 4{„ improved 10 more to a 1078 peak 

Unilever, which reported first- sfoc k now looks a little dear in thin trading, Barclays put on 9 Radio contrasted with a fall of of 2S0p, while Bbhopsgate Trust; 

quarter results much lower than relation to existing issues to 358p and Lloyds hardened 3 to 3 to 78p on the reduced earnings, on ute results leu uimnee- 15Spi ftroadstiine Investment, 14Sp. 

market expectations. Corporations were generally 29Sp. while Natwest closed 0 Other dull spots Included Thorn Combes 6 lower at 13flp. s»narna an( j Investment Trust Corporation, 

A downturn in the funds, lower opart from a few nearer penny dearer at 293p after 295p. Electrical. 4 off at 342p, and Raral 4S ve 214^ all cl°^ 4 belter. &Pbm« 

initially a shade better in line maturities and the recently-issued Seccombe Marshall and Campion Electronics. 6 down at 232n b to 9Sp “ e busmg : in contmU ed firmly in Financials, 

with late overnight levels, also Tyne and Wear 12 per cent. 19S6 were dull m Discounts, losing 10 A combination of revived front of today's arniual meeting. risin g 7 t o 217p for a two-day 

deterred potential buvers of serin slipped to a discount again, to 220p in reaction to the dis- investment and speculative de- Cape Industries added 6 to LJp gaJn 0 f 15. btill refiecting the 

eauities and It was not until nub- at 33 in flO-paid from appointing preliminary results- mand helped John Brown feature following demand of a similar company's planned acquisition of 

lication or the monthly industrial 1 « „„ ;nn , Alexanders shed 6 to 244p but Engineers with a rise of 9 to a nature fuelled by vague sugges- the remaining shares in its sub- 

production index showing a more .j. 1 " KrfJJS slrntt^conuaett Cater Ryder improved 3 to 293p: 197S peak of 341p; the annual dons that Charter Consolida ted sidianr RKT TextiiM not already- 

encouraging trend over the first 'in ?raded onti?ns tota?iert MO J he ,a J tter s anj,ual fi S ures 3X6 results are expected next month are to launch a bid. Press pre- owned. R. Kitchen Taylor rose a 

three months of the year that hi ih i tn th. due toda y- 0ther leaders dosed mixed with dictions of bumper half-year to 80p for a two-day . rise of 

inquiries were resumed w h,C t nna" 8 ’^^ Breweries drifted «rently lower Tubes up 2 at 372p but GKN ■> profits when they report next 17. Speculative activity was 

The result of this was to lift M S^SSp “tSE 

^tatront Of today sprelinunaiy & * BbS'ldS *' " V wS SSAi ^ tavestaSt, P White GrlS 

oo\tn •}.*. st the — pm calculation active with 66 trades. Similarly, action to ttie dlsannolritin’"* half* fnllnurincr npuc a lar^e share* chAWC rose 3 to 20p and Stock- 

T°4 a at °thp °fi 1 ' 6, 3 net ° S ? °f '»ri y ^ BuOiJingS. AP Cement were year profits, but buyers came for holding 5 has changed ° hands, jobbers AJcroyd and Smithers 5 to 

3.4, at the first measurement of 900 senes showing aS deals, while again dull on lack of interest and Jones and Shiftman and Binning- hordanad 9 rn Q=5n in 223n 

*! en M 41. of a total of 112, were done Ssed 7 lower at 252p. Hsewhere. ZTv&lt *&gd£Si 7 K ‘SS? res^and ^ippi 


FINANCIAL TIMES STOCK INDICES 


, M*v \ M»v 


1«* 


la 


Slav 

l- 


iiiiv i May • :Ajwr 


u 


71.1* 71.47 Vl.USi 70.97 
72.40. 72.40 72.80, 72.25. 
481.6 4B5.D 489 3' 479 U 
1S1.3 149.2 148.0 JbOO 
5.52, 5.50 6.49 

16.75- 16.68: 16.65. 16,9-’ 
7.99 8.02 U04 7.91 

5.885 5.546 5.039 5.061 
93. 8fl! 92.76 80.2* 
17.883 18.425 IS.09tt_ 
n 4(11 414 4. Xoon Av’-S. 
2 IB1 E7D.J. * till 

Laipu Index 01-246 SOM. 

« un 52 prr l< i:s ^■o^pllr.llIo^! tnS 

hjsi-4 t,ui Uuvt. Si’iu. Ij 1» 26. KIWI Ini. 

UiMB 12 » K. 5E AuUVlty July-Ucc. IW2- 

HIGHS AND LOWS 


CnirniiiK"* 

Flxnl Int.Tt-i 

Iihluitrinl Utiliiwp’.. 

fiiiW Mini-*- - 

Old. I*iv. ' 

Bariiln^fA'’ I’l-r 1 1 1,, ‘ !■ * 

PfK llnii" uw* -''! - 

lkrilh<2* ••••n f**-' 1 

1m |iii iy l-im-'vr Cm ... 

Htjiiny 

■ " " in j.m 




I' 1 

710J 
73. IT 
475X1 
148.4 
5 64' 
17.11 
7 82 
6.435 
7242 
15.065 
I cm 


Tin 

72.30 
471.1 
144 1 
5 08' 
17.23; 

6.010 

71.13 

15.767’ 

4i7.4. 


*Mi-‘ 

71.29 

90.97 

468.2 

113.3 
4.93 

16-17 
e.oa 
6.787 
73 21 
18.4bS 


In-1. l>;d. l.T.x. fink! 


S.E. ACTIVITY 


Iffli 


IMIKV C-llllIlflMUH f 


lli^h i litvt I Uigl* I t* w 


Omt. Se«— • 

Fiwil lur....' 

I 

Ini. * ml - 

Ciakl JBiiwn- IS 8 .- 6 


78.58 

wll 

81.27 

ill'll 


497.3 


• 127.4 j 49.18 
; ,J;l^k>1 [ la.l'icj 

i 15U.4 ' 50.53 
^*,•11.47*. |3.1,aSn 

i 549.2 i 49.4 

| «U,4.7iV ,L\ji-.'40j 


70.97 
illiai 
72.17 
thiai 
433.4 
[ £ 

; 130.5 : 442.3 1 45.5 


Umiv 

i.lll-k'-lprJ .. ' 
I n> 1 1 1!- 1 i-tcs . . 
S|,i1ltitUM.. 

r-.lm i»‘niRi- 
4-llr -Kdgol—. 
It»iii?irmi- . 
iilnli«r... 




Mmt 

IN 


167.3 
216.8 

41.4 ' 
134 0 

153.3 

19S.B , 

37.5 
122.8 


3l»y 

iN 


144.3 
198.0 

40.8 

126.3 

•' 198.8 
; 199.5 
’ 37.5 
. 125.5 




JlllV 

itctnhei 

Jauuar> 



ts'reiw (.’Iiisiod 

VoL 

Clnalllf! 


1 Cfnrinai 

£>)iiitr 

«>litn*n 

l»ri«- 

rdTer 

• nfltr ; 

V.1I 

I ulTer 

. \ 01, 

el tv 

IIP 

750 

140 

5 

■ 154 

2 

166 

1 

i 873p 

bP 

800 

93 

g 

110 1 

3 

126 

! 3 

bp 

850 

54 

21 

. 76 

3 

96 


:: 

UP 

900 

25 

58 

- 49 . 

14 

69 

23 


Cum. Tninn 

14j 

31 

— 

i 27 | 

20 

29 

10 

155p 

Cnm. LmuD 

160 

8 

2 

! 15 

3 

17 

3 

0*1111. Held 

160 

23 

25 

' 31 ! 

20 

35 

5 

174p 

&<ns. I!. >lil j 

180 

ioi a 

26 

19 | 

21 

24 

66 

liMirlmilils , 

100 

25l S 

6 

23 ly 

10 

28 


124|> 

Ciijirtnul'K 

110 

16 1 

— 

181a 

2 

1912 

5 

Li.iirtnn'Hs 1 

120 

9 | 

6 

13 

13 

1412 



(.<Hirtouldn • 

130 

5ia 

27 


41 

11 

2 


UKU 

£20 

45 

12 

50 J 

3 

56 


257p 

nw 

24'J 

28 

18 

35i S 


43 

__ 

G KC? 

260 

14ij , 

12 

25 1 

10 

32 

10 


iimn.1 1I«. 1 

IGd 

19 1 



22ia ; 

6 

24 


115p 

fimnrt \|M. , 

11 J 

lll£ . 

5 

141*! 

6 

18>c 




l.mnd Met. ■ 

120 

6 

12 

10 1 

8 

14 

5 


let | 

33 j 

47 ' 

7 

50 1 

23 

56 

15 

361p 

ici 

360 

25 

23 

31 | 

30 

36 

33 

Luiil Sen. 1 

180 

35I 2 : 

10 

37la 

a 

42 

10 

211,. 

Laid Sets. | 

£UO 

17i 2 | 

9 

23 1 

12 

28 

2 

lam) avts-.j 

220 

7 , 

15 

14 

40 

18 

9 


)lnrk< .\( Sp. 

14u 

10 

16 

14I Z 


19 

5 

141,1 

llnrliA i: t>p.J 

160 

2*« 

11 

6 

5 

10 

10 

'liril 

500 

96 ! 

* 

103 . 


108 


562,. 

-hell 

5SO 

49 1 

9 

60 1 

1 

66 


sliell : 

T.iul* 1 

GOO 

19 ! 

31 

375 

27 ; 

8 

309 

38 

216 

* 


and 4 respectively in thin Sat it tadfiSd rtTlSr *7] *£*01 £S 5 DeSSd eased T to' W 

Se^ntinue^T^^renS' 0 ^ P 6 " “ ^ S ° the COmPar ‘ Y - Reardon Smith 5 to 82p. 

following the results and the 


In quiet 
McDougail 


_ __ and 

. . _ , . down 3. despite the announcement Reardon Smith 5 t° S2P- 

fads. Ranks Hods Q f increased earnings and capital Proceedings m Textiles were 
closed marginally resources dominated by the performance of 

- hich dropped 7 

profits warning 


chai-nc nlncwl n rwnnv oocior at resources. OlKIUIirticu uy uic 

32p. IhL J. Gleeson were simDarly “ 1 !?*J J”. n'r'f'-nm In 9 uiell - v traded Newspapers. F oa !S. P i 1 l ? n ?i, a '' 

£l S” d , od “i “K.. Sra lT the oplE" r?* 5 .t£ whleh P ae?Lpanled disappoinund 

SJnrt 3 ° S2p b ll“ ‘r° r ot “l 6 chaj ™-"' s r e, i 0rt V ffit tta tajre?iment'S P n ^ preUmrr'wry tl E LLr« CJrrlpaton 
uicapcneu o w o v ui uvm U i .c thp annual report lifted Associ- c Pearson East Midland Allied Viyella shed 2 to 41p and Trico- 

2 to 88D.J.N. Nichols ville receded 4 to BSp. W. Good- 


Sydney and Melbourne. 

Improvemenls were widespread 
and although ihe more exi»ensive 
quality stocks nil moved ahead it 
was the cheaper-priced speculative 
issues that were most actively 
traded. 

Among the latter. Mid-East 
Minerals ro>c 2 more tn 34p, con- 
tinuing to rolled its holding m 
Paucontinentai, while Ocean Re- 
sources, with leases adjacent to 
the JabHuku uranium prospect, 
hardened another penny to 20p. 

Similar gains were made by 
Metals Exploration, at n 1978 high 
of ISp. and Mount Lyeti. 24p. 
Pacific Copper put on 2 to 37p but 
profit-taking left Parings Mining 
and Exploration IJ cheaper at 
2Stp. 

In the quality stocks BH South 
continued to draw strength from 
last week's closure of its Queens- 
land Phosphate operation; the 
shares added 4 more at a high of 
SSp. 

Western Mining also attained a 
197S high, rising a similar amount 
to 138 p. P roil t-ta king caused Pan- 
contincntal to give up a half- point 


suits due at the end of the month. 


results. 


seen in J. Bibby, 230p, and Blue- 
bird Confectionery, 164 p. On 3 


93p. following confirmation of re- wmie - mm 

duced profits and T.ridant eased ^® n a ’ n rf 59^ ^ 

3 to 55p on small selling in a thin a ^. d 


In Chemicals, IQ moved be- note^Tate^md I^uT'eased 4 mark« P ““ aeuu, S a inm -- Soulh African Industrial's, 
tween extremes of 367p and 358p fo 182p a^uSflod 6 to l^p Following a reasonable turn- Primrose. 72p rerovered 5 of 

m, Supermarkets had an isolated over, leading Properties closed J h . e . If 

h feature in WilHam Morrison marginaUy lower after a firm foHow mg further consideration oE 

whi ? h rose 10 to 21Sp in a thin start. Land Securities_eased 3 to ^r^?' fo vSirites amang S 


a .yar sajjs mSS^iSA v&ii; haS » o P ^ sssr^sn . 

tail?- S Rw> - StaMs » Penny better at 42p penny to 39p. Secondary issues ‘“‘V™ ’"r ” 

FoUo b irin^ the^agi?ed k worn foUowin 8 increased first-half encountered some selective buy- gS? 5 rMoectire/y-’ 

rouowing tne agreed pt&m nrnfit _ ._j <orin inir interest, notahiv Alinatt. 2U2n Z92 P> lost . 10 and P respectively, 


ma puDiisners * r and Lvnloii. u?n hnth of which w»e latter s annual resuns wi 

A eased 3 to |] n i]p Vpr disatinflint firmed 4. Regional Property and P uWished on Junc 0 last year * 

cen “ Property Partnerships added 2 Austr alian s fintlPf 

A couple of pence harder at the apiece to 82p and S7p respectively. rt - uau * :ux<u13 uiiuc* 


Hutchinson. LVT 
129n: Hutchinson 10 ner 
preference rose 15 to SOp. 

Monday’s trend was repeated outset oh further consideration of Despite news that loan curbs 
Stores yesterday with secondary the April UK trade returns, mis- could hit the housebuildin 


Australians continued to attract 
most of the attention in mining 


Lee Cooper were a distinct turn for the worse S to llap and Fail-view Estates a night display of strength in 


at £11 j but PeKo-WoUxeml gained 
further ground to clow another & 
higher at 456p. 

Small Neleclive buying interest 
enabled South African Colds to 
make headway but tin* afternoon 
downturn in the bullion price > 
pared earlier gams. ; 

The bullion price wax finally - 
unchanged at 5l75..77.» per ounce, . 
after having risen to SI 77. in at 
the morning fixing, while the Gold. 
Mines index rose 2.1 to 15(8. 

Among the heavyweights. Free 
State tieriidd were prominent with 
a } improvement to £15i, while. 
Hartebeest added i at ill. 1 .,' 
Medium-priced issues were 
featured by Western Deep, 2d 
better at a high of 7S6p. white. - 
Uoomfontein advanced 16 more! 
to 302p. 

Soulh African Financials were ' 
quiet but among the fxmdoti-basvd 
issues Rio Tlnto-Zinc touched a 
new high of 215p before eaioug 
back to close unchanged nn 
balance at 212p. Platinums moved . 
ahead in response to tbe iirnmcs« 
of the metal price with Rustrn- 
burg 3 better at 8ttp. 


NEW HIGHS AND LOWS FOR 1978 


The loliowitnfl sacttrmcs quoted la ttw 
Slurc imorrn.Ttioa Service VKMly 
Mtaloctl MX Highs and Lews lor 1978. 

NEW HIGHS (199) 

AMERICANS |19> 
CANADIANS 14) 

BANKS 1 2) 

BEERS a) 

BUILDINGS 171 
CHEMICALS 12) 

DRAPERY AND STORES <15) 
ELECTRICALS 17) 
ENGINEERING (15) 

FOODS IS) 

HOTELS (S) 

INDUSTRIALS (3fi) 
INSURANCE 1ST 
MOTORS 1 6 ) 


CINEMAS ill 

Scottish TV "A” 

ELECTRICALS (1* 

Philips fin. S-ifK 

ENGINEERING 12) 

Concentric EXinim Cowcrton 

INDUSTRIALS (3> 

Dcntsplr 9pcCr-9) -96 Whltelcv 8. S. & W. 

Hn ‘ J,r PAPER <21 

Bunzl Pulp Tririunt Group 

SHIPPING 12) 

Lyle Shipping Rejraen Smith 


NEWSPAPERS (3) 
— -'ndite 


(2) 


PAPER AND PRINT!! 
PROPERTY 14) 
SHOES*!) 

TEXTILES < 3) 

TRUSTEE (36) 

OILS 14) 

OVERSEAS TRADERS 14) 
RUBBERS >3) 

MINES (R> 

NEW LOWS (14) 

BRITISH FUNDS U) 
Treasury 9>;pe S0-S2 Exchq. 9w 1932 
CHEMICALS 11) 

Burrell 


RISES AND FALLS 
YESTERDAY 



lip 

Down 5 mm 

British Funds 

Carpus. Dominion and 

3 

62 

U‘ 

Fnrdan Bonds .... 

W 

11 

«a 

Industrials . ..... 

331 

301 

SM 

Financial and Prop. 

182 

72 

265 

Oils 

10 

5 

10 

plantations 

0 

7 

22 

Mines — 

50 

11 

61 

Recent issues 

4 

5 

U> 

Totals 

648 

474 

LWO 


BANKING AND 
SOURCES OF FINANCE 
IN THE FAR EAST 

Published by the Banker Research Unit and now available, this new 
volume describes banking systems and credit sources in ten countries 
of the Far East. These are: 

AUSTRALIA, NEW ZEALAND, INDONESIA, 

THE PHILIPPINES, THAILAND, MALAYSIA, 
SINGAPORE, HONG KONG, JAPAN and 
SOUTH KOREA 

Written by experts in each country, each chapter defines and analyses 
the banking system; the different types of banks, the services offered; 
the system of bank and credit control; banking legislation, interest 
rates: near banking activity and institutions; merchant banking; 
investment banking; official and semi-official institutions; export 
finance: the money markets, the capital markets, and a summary of 
all short, medium and long-term sources of funds. 

Limp bound, 340 A4 size pages. ISBN O 90299S 17 X 
Price £26.00 in the U.K. $52.00 outside the U.K. 

Your order to: 

THE RANKER RESEARCH UNIT 
BRACKEN HOUSE 
10 CANNON STREET 
LONDON EC4P 4BY 

Registered in England No. 227590 


FINANCIAL TIMES 

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Telex: Editorial 386341/2. 883897 Advertisements: 885033 Telegrams: Fin anti mo, London PS4 

Telephone: 01-248 8000 

For Share Index and Business News Summary in London, Bir mingham, 

Liverpool and Manchester, Tel: 346 8020. 

INTERNATIONAL AND BRITISH OFFICES 

EDITORIAL OFFICES 

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Telex 12171 Tel: 240 555 
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vagen 7. Telex 17603 Tel: 50 60 88 
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ACTIVE STOCKS 


No. 


Denomina- 

of 

Closing 

Change 

1978 

1978 

Stock 

tion 

marks price (p) 

on day 

high 

low 

IQ 

£1 

14 

362 

- 1 

365 

328 

StaeH Transport ... 

25p 

14 

564 

-12 

586 

484 

BP 

£1 

13 

878 

+ 10 

878 

720 

Ocean Transport 

25p 

12 

123 

- 5i 

138 

117 

GEC 

2ap 

11 

2o7 

- 1 

278 

233 

Lucas Inds 

£1 

11 

314 

- 4 

318 

240 

BAT Inds 

25p 

10 

S42 

- 3 

345 

267 

Coats Patous 

25p 

10 

76 

- 7 

84 

67 

Grand Met. 

50p 

10 

115 

- 1 

110 

87 

Hawker Skkleley 

25p 

10 

214 

- 4 

220 

166 

Tarmac 

50p 

9 

157 

- 4 • 

160 

124 

UuiJever 

25p 

9 

512 

-10 

548 

476 

Beecham 

25p 

S 

660 

- 4 

678 

583 

Marks & Spencer 

25p 

S 

141 

- 1 

160 • 

136 

Thorn. Elect 

25p 

8 

342 

- 4 

392 

330 


FT— ACTUARIES SHARE INDICES 


f These indices are the joint compilation of the Financial Times, tbe Institute of Actuaries 

and the Faculty of Actuaries 


OPTIONS 


DEALING DATES 
First Last Last For 

Deal- Deal- Declare- Settle- 

Ings ings tion ment 

May 10 May 22 Aug. 3 Aug. 15 
May 23 Jun. 6 Aug. 17 Aug. 30 
Jun. 7 Jun. 20 Aug. 31 Sep. 14 
For rate indications see end of 
Share Information Service 
Money was given for the call 
in English Property, Dunlop, 
Avon Rubber, Ultramar. Bridg- 
end, Greenall Whitley, Newman 
Industries, P and O deferred. 


Paringa, Wit. Nigel, Carding 
Group, Coral Leisure. American 
Trust, Montagu Boston, Kwik-Fit, 
Harrisons and Crosfield, Pacific 
Copper, Pan Continental and 
UDT. A put was done in Lofs. 
while doubles were arranged in 
Lofs, Robertson Foods, Newman 
Industries, Burmah OH and 
Pacific Copper. Short-dated calls 
were taken out in Avon Rubber 
and ICL, while doubles were 
transacted in Siebens Oil (UK) 
and ICL. 


RECENT ISSUES 


EQUITIES 


, 1 3 £ s. 1 5 £ £ ] 1978 

. „ . 1 1 _» 1 

btodc J|i Sj+ nrj - 2 rs 

1 '* | i - 1 Hiub 

I/iir 

105 1 K. 1 '. Id6.4 1 143 -1115 

' 1 i 



FIXED INTEREST STOCKS 


5100 

HMH 

S'" 

£99 


* 

100.1 


r.i*. 
F.P. 
F.P. 
P.l\ 
Ml 
£50 

K.H. 
K.P. 

F.P. 

£100 i Nil 

£983; £10 

K.P. 


30(5. 


1 25/8 
litei* 
9/b 
387 
33,-6 
fl/a 
26.-6 

| t/B 


19TB 


Hitfli 


St*.., 

110 |> 

103 M 

£l lg| 

«91 4 

UMp] 

ll)3L 

IOJi< 

liYhi 

1(» 

I pm 

10 

UOIHW 


Law 


eiioua 


y||dAma.i. Imia. !XLm% SioO. I'll 

3*^4 Ainer. Kipras- Int Fin. Varnlik 1 e2.. 

109|i ArmiUge iG.) lOlaS Unrt Cunu Pr« 

I00y Llnttam-- tf£ Utnr. Cum. Kwl. 2n.J frel 

:1 Gwlrk MaUv. 10 * Uc llnrt. XO- 

48 lj Ownwiob (Lno. Rto. ff) lljJ^ Red. IA4J6. 

U)ly Jeoku 1 Catti-U 10^ C ' iiki . Prof 

lOli Jlonrw* (J.) Cun*. Prof 

101 UtM-suMOd Pit. IS 83 

97tj PiUanl hAJ L'unu I’ri 

*“ -^lue* U) Cnv. Un». Ln. 'ISSa 

eWHI loi l nv. to«. Ln.1333 

. lie i n«r 12% I tort. i*6 

lOljjiWddc Ptrttrrlps J')J ProJ 


in 
S a + or 

” 


B7A|jU He 

?99J, 1 

109p!— 1 
10 3 pi 

27 i 

48S B I 

lul|. : • ... 

1044P— l? 
tai — 

97lg pi 

97 

Ijj.m ' 

9Sai-*8 
101 


“RIGHTS” OFFERS 


In-iic , 
Friw! 

I’! I 


= -■ I 


Lim 

v _ | Ucuuia-. 
= 5 l LMe 
<£ 


1U7V 


SB 

50 

f<-24 

72 : 
345 

Ast 

152 

SOp 


Nil 

F.P. 

Nil 

Nti 

Nil 

Nil 

F.P. 

F.P. 

Nil 


j Hiqli J low 




j L'limius 4- ur 
i Prk-o ; — 


23,-Bj 23(6 204 
a«a; a 1(6, 

— Mpm 
— 2pin 
23/6.vKlpm 
23/6] 54 
9/D W 
13/6j IPS 


Uipml lSpui.UiT'wu Uorcrt Kcut., 
136 I 1L! Ipullmuib. 


26/5 

31(51 

la/D 

lb/S 


— i — l 6pml 


&>jira ll'aaiiduu) Imperial BnL.. 
Nil ’UteHuwt- tiuirt Uiniai>.. 
JGpmiUonxon llulla<h!r u .. 
|44l>ui|lii>wiitree MftcUlntinjJj 

♦2a*|3uiini....« 

163 jT'urnei £ Nemll 

34 pm Wflllw 


1. 8OI2 [Hil+1 

iae 

374pm] — n- 
1 

. r 2fllEpm 
. 5l4pru 

32 
J las 

..' 5 pm 1 4- 1 Is 


♦ Hj 


Renunwatlon dale usually lost day for dealing free of stamp duty, b Kiaunu 
based an proswcius psutoaic. a Assumed dividend and yield, n Knrecaai dividend- 
cover based on pttviwis year 1 * earamaa- r Dividend ana yield baaed on pnapuiius 
qr wher ottielal estimates for tW u Gross 1 Pigunts astiunm - • jivr « 

(or conversion of shares am now ranging far dividend or ranging only (or resumed 
dividends. 1 Plar-ne price to public, pi Pi-nci- unless odivn*uu> ipdicaied. 1 issued 
bv tender. j| Offered 10 holders of Ordinary shares as a ■■ nsbis.” *" tisum 
by way of upliallsarian, t + Minimum tender price. {| Relnrmduced. 55 Issued 
ui connection with reorganisation merger or take-over im imroducUon. 3 Issued 
to former Preference holders, ■ Allofmeni k-tlers tor ruiy-oald). • Provisional 
or pertly-paid allounont loners. * With warrants. 


EQUITY GROUPS 
GROUPS ft SUB-SECTIONS 

Figures in parentheses show number of 
stocks per s ect ion 


CAPITAL GOODS (170). 
BaildingMaterials (27X- 


Contracthi&CkJBStracfitHiQS) 1 

0cctricalfl(15) 


Engineering Contractors (14k-_ 

Mechanical Engineering 

Metals and Metal Forming 0.7). 
CONSUMED GOODS 
(DURABLE (S». 

Lt Electronics, Radio TV (15) . 
Houadudd Goods (12). 


Motors and Distributors (25) — 
CONSUMER GOODS 

(NON-DUKABLEXITS) — ! 

Breweries ; 

Winas and Spirits (fl) . 


EBtatalpment. Catering f!7) — 

Food Manufacturing (22L__ 

Food Retailing (10) 

Newspapa®, Publishing (13) 

Packaging sad Paper (15) 

Stores (39) 

Textiles (25) 


Tobaccos (3). 

Toys and Games (6). 


OTHEK GROUPS (97). 

Chemicals (19). 

Pharma ceut ical Products (7) __J 

Office Equipment (6) 

Slipping QU3). 

Miscella neons (5S). 


INDOSTRIALGBODPHSB- 


Tues., May 16, 1978 


Index 

No. 


213.93 

19252 

344.03 

447.09 

32L95 

17136 

168J7 


19731 

230.60 

17655 

12658 

20559 


23960 

26235 


26205 

19352 

199.67 

390.07 

13031 

18630 

18438 

258.70 


10453 


19535 

267.48 

25956 

33557 

43437 

20738 


231.56 


Day’s 

0*0* 


—05 

-13 

— 1.0 

-0.4 

+06 

-02 

-05 

-05 

-0.9 

-03 

-03 

-03 
-05 
-13 
-0.7 
-05 
+03 
-03 
-03 
-03 
-2.7 
-05 
-13 
-03 
-03 
—0-4 
+05 
— L7 
-03 
-05 


Oils (5). 


FINANCIAL GKOUPti 68) . 

Bonks(fl) 


Discount Houses (lOL 

Hire Purchase ( 
Insurance (life) (10). 


E33 




169.40 

20219 


-0.4 


-05 


Insurance (Composite) C7). 

Insurance Broken (10) — 
Merchant Banks (14) — . — 
property (31). 


MiscellaneoqsfT)- 


Investment Trusts (501. 

Mining Finance (4). 

Overseas Traders (19). 


ALL-SHAKE INDEX(|EF3) 


19837 

150.46 

140.74 

12956 

348.44 

8051 

23035 


30834 


20739 

9635 

319.45 


21753 


-02 

+05 

+05 

-0.7 

-03 

- 1.0 

+03 

-0.7 

-0J 

+03 


+0.7 

-03 


-0.4 


Bst 

Suntan 

Yield* 

OlmO 


Corn. 

taSK 


1747 

17.75 

19.44 

1530 

1732 

1832 
16.70 

1733 
1525 
1630 
2036 

1555 

13.63 

15.43 

13.46 

20.14 

1421 

10.00 

2033 

1137 

2055 

2137 

2024 

1630 

1833 
1134 
1332 
1827 
1623 


1635 


1431 


16.11 


23.41 

13.00 

13.93 

297 

2436 


337 

1737 

1532 


Gross 

Dtr. 

Yield* 
(ACT 
at 34%) 


557 
555 
3.93 

3.97 
633 
630 
831 

431 
3J2 
639 
.606 

558 
555 
550 
651 
5.70 
459 
338 
9.11 

432 
725 
724 

5.97 
5.79 
648 
3.93 
4.77 
723 
621 


5.62 


3.97 


537 


5.46 
533 
852 
5.45 

6.47 
658 
421 
5.99 
3.03 

734 


453 

735 

647 

5.40 


Eat.’ 
- P/E 
Ratio 
(Net) 
Carp. 
TuS% 


7.97 
837 
7.45 
926 
7.61 
722 
. 835 

835 

939 

8.43 

736 

858 

1132 

933 

10.75 

657 

9.70 

14.42 

7.07 

1328 

5.93 

556 

646 

839 

725 

1123 

657 

6.74 

835 


833 


732 


8.36 


6.47 

1138 

10.29 

6459 

5.73 


3150 

7.13 

826 


Mon. 

Hay 

15 


Index 

Nol 


214.97 

194.67 

34758 

448.87 

319.95 
17165 

36958 

19878 

23220 

17685 

127.95 

20735 

24139 

26525 


263.95 

19159 

198.97 

39433 

13127 

1B8JA 

189.43 

26039 

305.94 

19633 

26825 

26025 

33423 

44127 

20754 


212.76 


50051 


23639 


169.70 

200.92 

197.05 

15L46 

14121 

130.98 

34722 

8108 

23135 

10726 

28639 

9635 

31937 


21852 


Fit 

May 

13 


Tnrfor 

•No. 


21472 

19435 

347.03 

445.42 

31959 

17155 

17155 

19822 

23321 

17606 

12604 

207.45 

24135 

26336 

263.97 

195.01 

19857 

38836 

33231 


32878 

19190 

25929 

10555 

19571 

26650 

26052 

33273 

44928 

206.96 


21253 


49870 


23632 


368.95 

200.94 

19836 

14932 

13988 

131.49 

34554 

8152 

227.02 

10655 


205.75 

9531 

31754 


218.06 


Tbnr. 

u«r 

u 


Index 


No. 


212.42 

19233 

34732 

43932 

31358 

169.93 

26958 

19729 

23324 

174.09 

12456 

20558 

23952 

26L00 


26143 

19450 

19750 

38557 

13233 


185.73 

18757 

258.70 

10434 

19337 

26247 

258.01 

13149 

441.44 

20472 


21858 


497.05 


23433 


168.43 

19950 

20L09 

15124 

14003 

13186 


34525 

8052 

224.44 

10550 


20458 

94.01 

314.06 

21632 


Wed. 

My 

10 


Index 

No. 


210.40 

1B959 

34326 

43694 

31135 


168.01 

16752 

19573 

23237 

1TL94 

122.91 


ana 

23886 

2 HW 

26028 

19258 

195.40 

377.11 

13L42 

1B457 

185.01 

2S426 

10327 

19056 

25836 


25457 

13038 

<3645 

20LB2 


208.40 


49254 


23L90 


165.69 

19554 

199.75 

14441 

137.92 

129.78 

34238 

7932 

22L35 


10476 


20323 

93.10 

311.49 


ZM.82 


Year 

age 

(•WTO*. 


Index 

Nol 


18434 

15534 

25179 

35254 

247.4F 

16934T. 

15831 ‘ 

167.79. 

18847 

163-66 

11138; 

172-97' 

18279. 

2B254; 

22053-, 

177.98- 

1762C-. 
29954‘ 
12104' 
1475$ 1 
16850 
23L79- 
97.42 
185.09- v 

25434 '■ 
OlM 

10932 ■ . 

52734 

305J0; 


urn 


507.41 




24292 
158.83 
17052 
13551. 
lllffi ' 
11671; \ c 
2987* 

71.59 

19734 

95.93 


18658 

108.83 


193.75 


FIXED INTEREST PRICE INDICES 


British Government 

Tues. 

May 

16 

Day’s 

chum 

% 

xd adj. 
To-day 

xd adj. 

1978 
to date 

1 

Under 5 years 

105.76 

-OJA 

— 

343 

2 

5-15 yearn — . — .... 

moo 

“0.43 

— 

244 

3 

Over 15 years 

12105 

-0A1 

— 

4.97 

4 

Irredeemables 

328.98 

.-042 



648 

5 

All stocks..' 1- 

113J7 

-031 

— ' 

3.97 


FIX ED IN TEKJB8T 
YIELDS 

Br. Govt 'Av. Grose Red. 


Lev . 5 

Coupons 15 

25 


years.. 

years., 

yarn., 


Medium 5 
Coupons 15 
25 


years.. 

years.. 

years.. 


High 

Coupons 


years.. 

years... 

years... 


Irredeemables. 


Tiros. 

May 

16 


852 

1685 

1142 


1059 

124H 

1234 


XU9 

1237 

13-00 


1130 


Mon. 

May 

18 


8.43 

10.77 

1134 


10.75 

11.98 

12.17 


1106 

12.51 

12.94 


1135 


Year 

ago 

(approt 


736 

1038 

1158 


11.27 

1196 


1620 

1233 

1259 


11.71 




Tuaolay 

i Index I 
1 Nn. | 

. llxy IS 

\-L*li1 



r 

m 



5 

1 

PriiUy i Yiair 
lla> j ms.* 

• n JiRppm* 

15 

16 

17 

20-yr. Red. Deb & Loans (15) 
Investment Trust Prefs. (15) 
Coml. and Indl. Prefs. (20) 

67.87. 

62.17 

7D.3D 

1 12.83 

13.61 

12.08 

57.73 | 
5S.17 | 

70.6a j 

57.69 

52.16 

70.32 

67.70 J &7.6B 

52.26 | 52.40 

1 

70.32 | 7U.35 

57.77 

62.46 

70.59 

57.87 

35.27 

71.25 

38.43J 55.39 
54.23 | 52.01 
71.05 j 71.39 


t Redemption yield. Highs and lows record, base dates and wUnas e— on.^.. — ~ — — 

issues. A sew list of the constituents Is available from the Publishers, thc Fioanc 1 I 1 FuMstieif la Saumfa- 

Strecu Lfladen, ECflP «Y. price 13 p. by post 22p. ^ ^nanclal Times, Bracken Haase. Camw* 





7 




•> 





































































































IjSp 



financial Times Wednesday May 17 19?g 


AT 



PROPERTY, 



)&? Life Agsurance Co. Lid. General Portfolio Life Ins. C. Ltd.? VPi 


sSE^-gy 
glftcrlB 

SSreFtmd KL2 

SSuemnd.. au 
S S tSd . — . iao.7 
fefteperty 171 JS 

££35£— sm 

SwcStty 1B49 

Me I 

Sn.Ser 4 - 133.fi 
S&atof. 339 
2Spd.Sar.t_ 110.9 
S«nLScr.t_tPft9 


US -0 ll 
136 7 +0.] 
177J +01 

ua? -o.ii 
B76 . .1 
ico 

185 6 +0jJ 

1673 ~o_S 

ul* -oil 

1*3 Jj *Oll 

lit# +o.ii 
UA.M +fiil 


Portfolio Paiid,.™. 

Portfolio capiiiu 


-I*; 


U2-0 
13-7 57. 


014234300 

lusnipUBd tuti iazi ... .» — 

— ■* _ _ . . ftlws Map 2 Next dealing June L 

Creshao Life Ask. Sm. Lid. , 

= Prince oJ Rd, amouih. oats 7B7BE5 Nws Zealand Ins. Co. fUJD Ud.? 


Cl. latL Fund _ . 
G L. Ppiy. Fund. 


HO 

1035 

309.0 

U165 

[959 


- J^jiand Mouse, Southend SSI US 070382030 

— Kiwi Koylnr. Plan. 

_ Small Co's Fd. 

TbcVokAoi 

line. 


- Growth & Sec. Life Am. Soc. Ltd.? fKKSS.— wH 

WpirHaat. Bray-on-Thames, Berhs. TeL 34284 £Dt Edged Fd. 102.' 

“ - •• - __ Con. Deposit Fd. (95.9 


FiCxiLIc Dnsnc«„ 

LtruJuanhSecs 

LaoJbaPrt Scs. Ao 
C.iS SujwrPd. . 


! Mar Id. Valuation noiinali? The*. G.*S SuporFd””" 1 * 

fatty Life Assurance Co. Ltd. Guardian Koval Exchange 

{fed Burlington SL, W.L 01-U75&Q S®) -31 Exchange. E.C3 


I137J5 

741 ft 

IflLfa 

30fa9| *22 


330M-KL3 


1063+04 

!rrra 

UO+02 
lofad +oj 

M29 

XOfaS+OJ 

(95.9 

im9t ...... 


Abbey Incense. 

Abbey lnv.Ttt.FH.. 
Abbey Gen. Tst — 


Allied Ramtaro Group (at (g> 
Hasbro Rse, Hutton Brentwood. Essen. 
01-588 2851 or Brat twqod (0377i £11458 


BxIkdckI Fundi 

Allied 1st 

But. Xnds. Pond — 
Crth-falne..- 


30 81 -0 31 
,594 +04 
167 6 +18 
132 -o; 
646 +04 
765 +0.1 
24 65 +001 
93.7 -0.6 
39* +0.2 


01-2833331 48 Hart Si. Henley on Thames 


0.22 

349 


Abbey Unit Tst M Mgrs. Lid. (ai Gartmore PBnd Managers ¥ tajtf) Penwinal Unit Trust Wnemiv tat 

TM0. Gatehouse Rd_ Aylesbury- WS6SMV ZSt-Mary Ajre.KO.hBBF «-HU ITnst »ugmL? lai 

Abbey Capitol f»? M0| .._.J 452 uJAmericanTsl [28.5 

British Tst. (Arc.}— 55 1 
Co moodily Share. 155 9 
riiForEesL Trust— >0.9 

High income Tst. 53 2 

Income Fund. 7U 

In*. Agencies ^—.23 88 

tail. Exempt TO 562 

utlnlLTn. i Accj — 1322 


0+0126888 

FpemaiGpiJih.-. [3S7 41.4 1 3 66 

2 84 Piccadilly Unit T. Mgrs. Lid.? (alibi 

0X5 vcardc'io H*e , 5Ba Li-ndsa Wall ECS S3S0¥H 


165.7 

642 

362 



- Property Bonds ~_.flK 4 UUf .„..[ - RxidisLpCd: 
~ Bjcahra Uie Assurance Limited ? NSrutaftffi&iS 


7 Old Part Lane, London. W1 


Fixed la t.Dep. 



P*\y,->uty ! 

toianalCsp 

Kmu^odAce 

Cv*.-3cai 

Gib Edged 

American Ace .. „ 
IVisF l i+p C“fp._ 
PrB-P-S OtnAcr — , 


129.6 
m.4 

uaa 

1372 
169.9 
1299 
122 6 
972 
1272 
147. B 

jflgi 

Pcrv Pro iv. ACC. 2592 

P*m W2&.CMS 2352 

Pan, Mm. Act ebi 4 

Pra-GIitSdS-Cap.. UO.O 

Pea. uUtEa-i Ace.. 127.9 

Pvn.3S.C3p 

Ven. R.S. Ace. 

Pen. t> AP. C=P _ 


Brisatc 40:HL S? 3 — 



UL2f 

1K2.6 

U93 

1292 

UB2 

133.9 

& 

272.9 
Z17.1 
278.4 
1279 
133.1 
I29J 


01-4800031 


Norwich Union Insurance Group 

PO Box 4. Norwich NRl 3NG> 0008282001 

Ubnnced Fond [209 .1 mil -4. 

H9.5 337J +0. 

1252 1513 .... 

1499 157.7 -L 

105-1 sin* +0. 

P Z06A +15 




— Phoenix Assurance Co. Ltd. 


Elect. It Ind- Des J332 

Uarnbro Ace. Fd. _ |U95 
Imam Ftuda 

High Yield Fd I69JL 

Hip Income B»0 

AAEq-Inr &9J 

latenutlwil Finds 

In tern oti onsl pS 4 

Sees, of America—, gl 
l^rffieFUpd ,f38J. 

Specialist Fnndx 
Smaller Co. - s Fd. „ EM.6 
2nd Smlr. Co's Fd. _ (<ZJ 
Rnco+ery Slt» - 


4-3. King WHUamSL,EC41 , 4HR. Ql-SBOfflB 


!KBE^r~^=i = 


— f Expt. Smlr. ce's._.*f212A 



?5? Extra Incomr |3I9 

5 £2 Small Cos Fd SIS 

Capital Fubq .476 

" Uj Inv Ena fa Assets. . 483 

Gibbs (Antony) Unit Tst. Mgs. Lid. m5S£f&EZ «i 

23. BlomTleld St. EC2.M TNL 01-0884111 Trchnoloer Fund . SEJ 

!s»teascSi sa ssA-rt-ts 

mia. G. Ffer East*-.. p28 24.s| ...„T aj8 PracUcal Invest. Col Ltd.¥ (yMO 

44. Bloomsbury Sg. WC1 A 2Ra 0I4C3RS3 

PraeiealMevlO _ n.463 155 S ... I CIS 
Ol-588Sfi30 Areum. Units 1207 6 2195) | 415 


3KJ| +0.1 

U2 +01 

sites 

4D£ +0J 
27 6! 


9J5 

408 

340 

235 

291 

324 

400 

110 

1.70 


Dealing Tue*. TtW 

Gorett (John)? 

77. London Wall EC .2. 

SliJdr Mays {134 2 111 

Do. Aeciun. Unit — (1605 1M . 

Nest destine dsy Ma> 19 
GrievetMn Manag ement Co. Ltd. 
SB Gresham SL £CZP ZDS- 

Barrington Kay 10 .Ml? 

■ Ac cum. Uoltst —MU-6 

BlCrLH.5 d.Mny U .B*J 

lAcmm. Units) .—12904 


£06 

2JN> 


(Anderson Unit Trust Managers Ltd. 


Wealth Au_- 
Bb-r 
Ebr 

Prop. Equity Me LUe Ass. Co.¥ lSOFenebnrrbSLBCSMeAA 

1 10. Crmrtoni Street. W1H HAS. 01-4860897 And* 1 ** G.T. (47.7 5U( I 

SffiSgftJ*™! I ■} Z Ansbwrher Unit MgmL Co. Ltd. 

Flax Money Bd 1 1485 \ “ _ 1 NoBIeSt,EC2V7JA QHE5B3TB. 

. ,• Ine. Monthly Fund . Q6L0 17ZS) | 8.60 

Property Growth As* nr. Co. Ltd.¥ 

tem Haase, Creydoa. CBS 1LU 014800806 Art nrthfmt Sec Ori ties Ltd. (aMcl 


Endear. Slay 16— - 1765 

tAecam. Pnlt*) 182.7 

.17 Graebztr.Uay 12 — ra.7 

(Acciul Unit*) 1723 


21a ,n 
2284 
182.6 
209.9 
1643 +ZX 
191.0 +23 
988 
UL0 
728 
753 


Provincial Life lav. Co. Ltd.0 
222 Blstopscar ECl' 01-547 GW 

ProliOc I'nita B22 881o)|+D4| 313 

High Income JUM.S 116M -O.lJ 7.49 

Portfolio Mngrs. Lid.* (nHbHd 
HnlhoraBat».EClN2KH 01-4Q5RS2 1 

PrudenUoi (126.0 134.0c: -0 5J 4J2 

Quitter Management Co. Ltl9 
L75 The Stk. Ev chance. EC2V 1 FTP. Ot-SHUITT 

Quadrant Gen. Fd. .T1B47 IDS Oct 1 423 

J-g Quadrant lnraae_ |l232 U7J| | 7.91 

282 Reliance Unit Mgrs. Ll<L¥ 


4X7 
447 
7.03 
7 83 
1.75 


Life Assurance 

fetaidaeiiaaid.w.12. 
*fcFd£OJiit.|»A 


Property Fund 

!SS£ 

Aerie. Fund (At 

Abbey NoL Fund— 
Abbey N«LFdiAl 


\ ~ 

relays Life Aacracr. Co. Ltd. 
BambrdRd.E7 0I-SK55-M 

1« 


Pen. riAF. z+cc. 

Ecortc C f Oat Benefit Society 

01-740 Bin 01-8875030 brnredHim' 

01-740».ii Hssdcaoiuab |3SJ »4j j - . 

EiU SaxiceJ Life .Asa nr. Lld-¥ BSS^^SdSi"-" 

NLATaT.,AdituKambeH(L.Cr«7 . 014064358 M»ms Fuml— ,ZJ 


m I ~ 




53Sr±ld3?i 

'Currant unit relaa May J5. 
chive Life Assur. Co. Ltd.? 
Lombard SL, BC3L 01+03 1288 

I. Bnn Hay 2 — I 128-15 | j _ 

Bads life Assurance Co. 

BUh St. Po tt e rs Bor. Umta. pj&*r 51132 

Si Id: 



Money Fund (AJ 

Aeomrinl Fima_ 

^ssaisst,' 

eHetlrxi Ananltoi I 

filnuned. Annty 


Aaoaltte ‘ 


4-Preperi^ Cull: 1152-0 

P.-op+.-Ty Series A.. 100.0 

Kaacced Units 1653 

r;erj»E-d rorlea A_ !7.7 
Maatcpc.&5ri+aC.. HI 

IJewDrl-j 1196 

UwJJ S~rlea A 96.7 

Fxwflnt 5cr. A 993 

Pna t^naxMdCap.. 1385 
Pcb.>vauLttcd Act.. 145 5 

Pm. Gleed. Op IOC.9 

Pas Glued. Aec nt»2 

Pen* SjuiyCep 9S.0 

Pecs Snuier.ln: **0 

PrsFxXLi=LC£P— 45.0 
Fas PtnUntAfift— . 'T5.0 
Fett.Prep.Ccp — ».o 
Pins. Pre;. Aec 

Sx^irial life Ass. Co. of Canada 

77| .... j ™ rnobfaM Life Assurance Co. Ltd. 


Pl-Ci. FU Mi'/ 1~ — |Ls 1 

„ Holt iixtot Portfolio 

fBgE9BZ=r 

S+earaCap. Fd 

Eqn.ty?und ! 


.... UtsJ1275 

if All Weather Cap„ 
90BV.FA Uts 
Peasion FA Uts...., 
Caqv.ParJ.Fa. 

PmxPens.Cap.Uto. . 
ate Sot Pen. Ul| 
BMKTSoe.Cap.Ut_ 


222. Blshapagate, EC2. 



— [37. Qu«n SL London EC4R1BY 0143653SI 


..J Income Fid- 18510 

High Inc. Fond 91.0 

MAcCtun. Uni 111— 553 

M^ESSSL'SS 

(Accam. Units' 37.7 

Capitol Fond 1*3 

CmtuoodiiyFW- BJ 

. CnH*> 79.6 

.. - fcwLV.l — «M 

FlrLfaProp-Fd. I7J! 

Glonta Fund 90.7 

(Arcunt Units) 96.9 

Growth FumL. 345 

lAcen m. Dnlto i 90.0 

Small or Co s Fd. 77.1 

Eastern* In (LFd.. 29J 
lint Wdrwl.il l*. )..._ 193 

Foreign Fd. 82.9 

N. Anjer. fa lnL Fd. 30.7 


Si 

5Us 
85.9 b 
522a 
18.7 +03 
443 +0J 
50J +03 
36-7 +03 
432 +03 
293a +03 
265 
20J 
913 
33^d 


S+3SS1 Gnar ^«» E "y* J Ex- t’ntt Mgrs. Ltd, HelianecHsc.Tunbndic Wells. K l 08822227: 

Royal Exchange. BC3P3DN. 0 1-328 B0) ] OppomtnlW Fd 165* 7031+0 71 557 

(agj CnardhiiJ Trt.- 189.6 928) -D.4f 436 ffeSS ? i5S C -’~ if? 

Henderson Administration fa) «ci (g) RJ «*««»..«♦ t ja ^ 

Premier t)T Adjnln-SRicrltighHwtd. Hutton ™“ gcf ' eld Management Lid. 
Brentwood, Euex- 5277-217 SB PO Bor 4 IB. 38-40. Kennedy St_ Mancheslre 

it r BL.-JI. 061 238 8521 

- Ridgefield toL ITT .I96 0 10301 J 

3jj Ridgefield Income 196 D 103 0| ....J 

631 Rothschild Asset Management tgi 
BOB 7r^0.p«lchoi«eRd. Aylesbury. 03W5041 


Cap. Growth Inc.— ..I 1 
Cap.C 


1134 
931 
9 U 
933 
1219 
1234 

555 

5.45 
5.65 
3.06 
2-82 
2 82 
294 
296 

4.46 
248 
248 
280 
2N 


. ip. Growth Ace — 
ll ffft Hlf A ■ 

Sigh Income Fonda 

a&'sr.irrgl 

Sector Funds 
Financial A ITU— g*0 
OU fa Nat. Res- P6* 

Intern art on al 

Cabot W* 

internnhoiml—^h 


2 42 

S 88 


OFFSHORE AMD 
OVERSEAS FUNBS 


Arbuthnot Securities IC.I.) limited King St Shaxnon Mgrs. 

PU.Box2ei.Sl.Hclicr.Jerw. 04347217; 1 OuainsCrwt* st. Heller. Jerwy.xteai 


I..J1U0 119.04 1 

lealmjt dale May a ^ 


420 


"41 


Cap.Td (Jersey 
Next d_ 

San 41mJ.TsLiCri.fn2 0 119 0| 

Neat sub. MSy 53. 

Australian Selection Fund NY 

Market Dpporlunlclre. c.o Irish Ycuiu fa 

Chi tivr site. U7. Kent SI- SHlaer 

tTSSl Shores \ SUS1S2 J J — 

Bank of America International S3. 


Valley Hie, Si. Prtrr PtorL oms>. i»iSl> t4738 
I Thomna Street, Douglas, J.U.M. - rttM • +BM 

335 GUtFundiJorw.) -[9>9 9261+0.01(1206 

GlltT7uMiLo.se i- (1071 109 E 12 00 

Gilt Fad. Guernsey (£968 Mfl ■ .| 12.00 

Inti Govt. Seen. Tst, 

Fim Sterling ..|i|_22_ _1B29J-317( — 


First InU 


11*162 184001-0 71 — 


Klein wort Benson Limited 


1 


35 BauleWd Royal. Luxembourg G.D. 

VWnvesl Income.. tSLSUSO uiffli | .. 

Prices at May 11- Next sub. day May IT 


To. Fenchurch fit . EC3 
Eurlnrast Lux. F 
2® Guernsey Inc 

Do. Aenua . ... . 

Bnk. of Lndn. & & America Ltd. Staff FumT - 1. 
4060. Queen Victoria SI-EC4. 01830313 I3i Japan Fuad 
.xtexnnder Fund— .Bl'56 74 - | ....j _ n i'c • — - 

Net meet value May Iu. 


iCB.UAfawtn.Fd. 
Signet Bermuda ■ - 

■ L'nilcmds i PM' 


1.03*5 

|585 62 0 

713 7S5 

s(.'510 62 
n-SU 16 

51530 42a 
SIS114M 
SVS486 _ 
17 65 12601 


Basque Bruxelles Lambert 
2 Rue Dt> la Regeace B 1000 Brusaeta 
Hrnu Fund LF (2841 289B( «b| 

Barclays Unicorn 1st. (Ch. Is.) Ltd. 
l.Cbanjig Cross. SLHetlcr.Jray. 0334 73741 

Overseaa income -1485 51 M I 10 90 

Uludollar Traxt bcaUS U«j .. J 435- 


01-823 flpno 
137 
4 M 
462 
L32 
2B6 
053 
C79 
267 
9.14 


785 


*$ufc,ject tu fee and withholding twees 
Barclays Unicorn Ini (I. O. Mon) Ltd. 
1 Thomas Ft . Dougin*. I oJ2 08244858 


KB dci u London poring agents only. 
Lloyds Bk. (C.I.i V/T Mgrs. 

Pu Box IBS.St. Ilelier. Jcrsei OS34 -Tsei 
Lloyd* TSx Or se» |555 !Z At ..1 220 
Next dealing dale Jun— 16. 

Lltq-ds International MgwnL SA 
7 Rut 1 du Rhone. P.G Rox 179. 171 1 oornni IS 


Lloyds InL 1 nrame . ISFK7M 

NAG Group 


EBCOl 


Uaicorti Auflt.E»t WO 

Do. aub. Mid 293 

Do Crtr. Pacific.. .. UJ 

Do. loti. Income J88 

Do. J.olManTxL 473 

Do. Manx Mutual 253 


5271 .. 

32 Be +0.9) 

M.9 
41. Sc 
588 
270 


. n Three Oum. Tower Hill EC3R OBQ. Oidaa asm 
lu Atlantic May 18 .. 1U.51.72 29)1+009) — 

_ AuaLE* Hay 10. ISVKLSf 2U) 

■ 40 Gold EX. May 10 BILS7H !M 

■ U lilaitil — ..ul95 1272d tOi, 

190 lAccum Units i (1690 1790+101 


9345" 

9345 


E =! li 


World Wide Hay 1 
Onreeas Fmafa 

Australian 

European— — 

Far East 


^mr 0 : 1 ! 


4.49 

ZOO 


284 

261 


N C. Foultj- Fund— 1165.9 
N.C. Engj- Res-Tat. 1153 
N.C.lBeameFupd.. 147 9 
N.C. latL Fd (Inc 192 7 
N.C. loti Fd. i Ace i 527 
KJC. Smllr Coys Fd 1532 


176 4 —0351 
1225 +0i 
1573 -JJ.81 
98 7 + 0.1 
95 7 + 01 
163.0* +03 


296 
243 
658 
170 
i n 
4 13 


Rothschild & Lowndes MgmL la) 


. 124 

. 373 

M.l 

North American — *03 
AcGrxs. May 12 (U9.6 


345 

-OJ 

39Jn 

-P.7 

739 


43 -t 

+0J 

124A 


520 



445 SLSwlthinsLane.Lda.j3C4. DI-fi2gir+( 
lw New C9L Exempt --II1U.0 .119 01 . I 3.77 


533 


Price on — . Next dealing — 


3M Rowan Unit Trust Mngt. Ltd. Via* 
262 


City Gate Hae.. Finsbury Sq .EC2. 01-GOfiinaG 


67 2 


[ Archway Unit Tst. Mgs. Ltd.? (aXcl 

317, High Hoi born. WC1V 7NL 01-S31S233. 

Archway Fund — _JK2* 17.71 .. ..( 586 

Prices at May lON'en sub. day Mi»y IB. 


CalKSAmer^m-Co. 1495 S20| „.. | 05C Am orieo n May n . 

SlU Samuel Unit Tst. Mgn.f ta\ High Yield Mayii'dtV 
40 Beech 5L, EC2PZLX 01-8288011 i Accam. Uidlsi 


fM83 lS*7dl -0.71 


403) +DJ 


■yjlM 430 R * y, ‘ I Tsl - Cjm - Fd * Mg». Ud. 


-O.ll 


Prov. Managed ] 
Prow. Cash FU„ 
GUI rand 30. 


Fa..r 


mu Assurance Ltd.? 
gjnqptc wy.. Wambiey hasqnb oi-«E887e ^ lI ' e ^snxumce Co. Ud. 



Prudential Pensions iJaH*^ 

Holborn Bara, ECUS 2NH. 

01-8308353 gOJlfa Fd. Apr. 10. J 

j 4.aa Fxd.Int-Apr.10 . 

ZZi AM Prop- F- Apr. 10 jenao 25. 


Barclays Unicorn Ud. (aKg}¥(c) 

L'nltom Ho. 252 Romford RaL Kt. 
Unicorn America— B4.4 37.1 

Da-AasL Act S73 7. 

D14M7 89331 Do. AnsLlne 53.2 57. 

*Dol Capital 66.4 71 

Do- Exempt Tst. 12D3 114. 

Do. Extra Income .. me 30. 

Do. Financial HJ 6i 

Do. 500 


mi 


[Do. General. 


1 1. FI ssbuiy Ssuoiw, EC2. 

Blue Ctl" iby 12 ITU 

Mrir.-.+oa r-ind bn* 9 

SdL ^ r~ P«3 zS% "”!) — Reliance Mntnal 

Ka; & SitSKfiOD Ltd. Tunbridge Wells. KenL 

E2 Crminli. BG3. 01^05433 R* 1 - Prop. Bda. 1 196.9 

— R 0 t» Isc hiStl Asset Management | String Brothers & Co. Ltd.? (iHxl 

Govt Pec Ed I-19.S0 lSbO! — J— St Swithlns Lone. London. BCt. 01-828 4388 1 Ml Leadenhall St. E C.X 


01-40BBZ2SI Do. Growth Acc, to® 

Do. lacuna Tit- ,p3A 

-Do. PtL A'ra.Tlt.p5J 
Prices at April 2a Next si 

Do. Recovexy — _WL7 

Do. Trustee Fund.. 1113 J 

( Do and wide Trustliat 5 
BtaUnJVUnc-.J-El 65 

Do. Accuhl frZ2 75. 


ib) Brltlah Trust 

Igl Inll Trust 37.8 

rgi Dollar Trust — 78 9 

l bl Capital Trnxl 382 

ffa i Financial Trust 92.4 

lb' Income Treat 26.9 

(bl Security Trust— S28 

Dl-SHSMi l h I High Yield TxL. [303 
Intel-? »MgJ 
15. Christopher Street. E.C 2. 

Intel Inv. Fund— 1892 
Key Fund Managers Ltd. (aj(gj 


Z 563| 


-0.1. 


322) +031 


538 
3 20 


J75 7 

Merlin May 10 1766 

lAccum. Units i N3.5 


+20) 


092 

425 

7.n 

ra 

376 

3.76 


4. in 54. Jermyn Street, SKI 01-&S82S? 

733 Capita] Fd 1692 7291... I 3 58 

5 09 Income Fd. 174 2 Toil I 7 20 

7 fat Prices at May 15. Next dealing May 3L 


m 



Save ft P rosper Group 
01 24T7S43 «. Great St Helens. London FC3P 3EP 
960| -0.4| 6.40 88-73 Queen Sfa. Edinburgh EH2 4XX 
Dealings to: 01-554 88W or 10135* 7351 


2&,lfi!kSL.ECZV8JE. 

faSey&mmdFd- 1*4.9 
Key Income Fund.. 103 
Key Fixed lUL Pd._ 79.9 
Key Small Co's- Fd _|93.0 


sue 

723 

1543 

853 

63.7 

989 


01-8067070 Save ft Prosper Securities Ltd.? 


m 


345 Intcmallanal Fuads 

.. .. S3 __ 

+g a Unlv. Growth } 

.tnal (2 laoeastag IstuK Fund 
Kleinwort Benson Unit Managers? 

iSSSfitjSSt ^ ! 1 T 5 ! 2 &sr n — m 

*K-B- UnitFd-AC — 005.9 11S1 □ 4 97 F 

K.S.Fa.inw.Tsla..p3 57j| . .. I 438 
L ft C Unit Trust Management Ltd.? XKSfcs; * 


I Dap.Pera/Acc_p7.4 

t OS PBnsMcaM.fi 

kXRIF -UptO 

trsjj.s po 

- Cnrrentwahw May l(k 


gjjsSan Life Asoorance Co. Ltd. N2i Prep. urn-, si-liiu izumL J - 

L5~:hain Hi, Ealnbrooh Dr, NW4 OJ JOB 6211 Next Sob. Day June - 

&5(£jBcnd iS3 ""J - .Bos** Insurance Group 

i.SP) Mon Fd |75fa 79fa| ..— J — New Hall Place. L i» erpooL 0612Z74423 

i General (Unit Aim.; Ltd. B"?* 1 Shield f<l „(i324 M 82 J+ 02 J - 

Kii. .-rr»>S riwue. 

Rtirrf; 'TTSOSSU. 


Stratum Tst. QUO 1754 

Do. Accuhl — rautA afS ..-J 

Next subTdsy Kay 24. 


01-8883830 The Slock Echange, EC2N 1HP. 01-588 2800 Europe 


4.15 

425 


L&CInC-FU. 


:gS 7 


137.9 

972 


LfaCImlfaGenFd 
Lawson Secs. Lid. ¥(ai(c) 


Sector Fonda 

Bishopogate Progressive Mgmt Co.? w George SL.EdinburabEH22JG on-gas an i 


J1 :Tt'fa.’J 552 

Pv. AI.-C13C >5&.7 

MSL-.j»lr.-baJ-. 129.0 

I'i.Arrut. 1200 

Pried SU ill 11 5 5 

Do r.z cam. - 1172 

Imi.IailLsl 


5L1C1 


!nW Hltl 


fifed Life Assurance? 

nWon House, Cbspel Ach Wtou 03CC2SS1I 

S2S5^«:.| |::::i = 

ferterhonse Magna Gjn? 

OmpiereSq, Uxbridge UB8 IKE 
iflacBicxxy— 07.4 S'K' 

-BSSSzffi §|: 

nsaad.—i 1492 { .. 

iVertininster Aasnr. Co. Lid. Sri^T^x^riSti 

Book. 0 White torse Hard. IX- c:rmi 

0147+4 OSM. :b«d. JniLL 


DO. .VJCU3L 

tiOB+ced Icltifj. 

D^Accun. pic* 

Property initial,. -197.4 

Bo. Aresra. IC3.9 

& G<cerai a nit Peas) 
Krcri.pt CaJ> Inlt 

C*b. /.ecus. 

fcier..p. Sx^y. Lilt— 
t-o.jiarrin. 


Khw SS^ H 2SSa ®»« * r™** Gnrap? 



P*.-...C«S3. 

tl-.tr=F- Prop. J.nL 
on. .'.ccuri. — 



4. GLStJIefaRi's. Lndn., BC3P 3EP 01-554 8880 
Bal.Iav.Fd. B2S.7 13321 .....J 

j.Pd OKU) 1923 -lltt 

ens-Fd.* ..(ao.l 771 1 

.Pd- fes 974 +oJ 

DepMJV»sJUt— |Wfa 1021 —4 

Prices on May XL 

tWoeUy daaHnf^ 

Schroder Life Group? 

Enterprtae Bouse, Portsaanoth. 0700X77331 

^nSSs^dljaiO 21 ** 226.41 _... 

Equity 3 May 9 U7A 123 3) 

Fixed Im. May 0 DU X4L6I 

Fixed InL May B — IMA ISlS 

InLUTMayO — 134.0 UOA 

KfaSGUiMayo 1413 £443] 


O. Blahoosgote. £C2 
B’gatePr. -MayB.. 

Ace. Uts.“ltBy0..-_ 

B'gate loL Kay 10- p7J 
(Accuta.) BtaylB — pVSfa 

Next mb. day -May 31. 

Bridge Fund Man«gcrs?(a))c) 

King William SL.BC4R BAR 01-8234031 



“ g 

... 136 

+6 


-Growth Pend 55 

Units) 603 

I Warrant. 37.7 

iH. 2A7 

._ Units) ZS.7 

Yield 470 

—tAccttm UaiW __ ESA 



4201 

473 

60.S 

«0 ...... 

489+0J 

m 

723 


58.1) -02) 702 

7101+031 7 89 
46.7} .. ,| 837 

46 Bj ..._ | 5 00 

321 
1 


Bis hops gale commodity Ser. Ltd. Saisnrl Montagu Ldn. Agls. 

P 0. Box 4=. Douglas. 1.0. K. (MC4-03S11 114, Old Broad 6*.. EC 0. UI-S8844M 


ARMAC -May 3 , . 

CAMWO— May2_fdJ0« . . . 

COUNT—May 2 ..— |C23S7 247^ . 1 211 

Originally issued at -5)0 and —<1.00. 

Bridge Management Ltd. 

P t>. Box 90S. Grand Cayman. Cayman la. 
.VMsbi Mny3 I Y1S34T | — 



354 

Lib 

2B 

0.77 


GP.O. Box '900, Hong Kcmc 
Nippon Fd. May^u j533 ^ 16 45| j 0.76 

Britannia TsL MngmL (CD Ltd. Negit S_\. 


Apollo Fd May IO.ISF4B 75 

JmotesL April 13 UUG6U 

117 Grp- May 3 BTOTB 

1 17 Jersey Stay 3 -fee 93 
HTJrsyO's Apr ».|£1L9» 

Murray. Johuslonr (ln\. Mvimi 
103. Hope St, Glasgow. CS IH 1-321 J521 

-Hope fit. Fd .... | SUS3261 1 | — 

'Murray Fund . ^ Sl'S1065 


-NaV April w. 


39 Bath St . St Heller. Jersey. 

Growth I ni-est [323 34 

IttnLFd. Wt * 

Je-seyEneroTM..|l3a9 150 

U alraL Dir. Tst BU395 5W ...I 

L'nlrst. STat. Stg.- |C236 2Z7|...|_10O 

Value Kay 12 Next dealing May — 



«*™n 10a Boulevard Boj-al. Luxembourg 


Bnttcrfield Management Co. Ltd. 
PO. Box Ifij, Hamilton. Bermuda 

Buttress Equity —.1231 2551 J 

ButtresafaKOme.— p03 L96| { 

prices pi May & Next sub. day June 12 


Capital International SLA. 

37 rue Notre-Damo. Luxembourg. 

Capital lot Fund— | SUSU.93 |t0.16| — 

Charterhouse Jap bet 
t.PauuiHMterRow.ECl 01-S48 

Adlrow. — Buna 


NAV May 12 l SUS1006 J-0.V1 — 

Negit Ltd. 

Bank of Bermuda Bldgs. Hamilton. Brmdo. 
NAV April 28 £4 73 - | . ..J — 

Phoenix International 

P0 Box 77, St. Peter Pun. Guernsey. 

176 Inter- Dollar Fund .(230 2 4G] [ — 

Property Growth Overseas Ltd. 


28 Irish Town. Gibraltar 
US. Dollar Fund _1 5US85C9 

Sterling Fund- - U24.CS 


iClMOIDS 



Adi verba 

Fondnk - 

Foodie... _ - 

Emperor Fund 

Hbynn ' 

Clive Investments (Jersey) Ltd. 


Richmond Life Asa. Ltd. 
48, Athol Street, Dougina LO. M 

+0^9 5J4 SlS£mSdSSw;KS.7 193 


Do.Em.fl7/02Bd._- 


176.51 



2M 


P O. Bo= 320. fit Heller. Jersey. 


063437381. O.C.BqJV.i 


RothsehUd Asset Management (C.I.I 
P 0*1 SB. St Julians Ct. Guernsey. 0481 2031 


365 H -0 61 
520| -oij 


AmericsnfaGenJtu. 2U 

Income* 5M 

Capita] lnc.t M2 

Do.Acc.f_ 57.8 

Exomptf U6 l0 

, Interna lnc.t 15.4 

Do. Acc.f_._ ^_H£f 


5^+0J| 


'Dealing -Tne*. tWhd 

won 


JTtmra. 


Pric 


DeaL *1400. -Toes. ttWed. «SW *Pri. 

lq Legal ft General Tyndall Fond? . 
656 I8L CsnyngeRoad.BriStnL 0272322+1 

tHdAPriJia B6.B 6021 1 527 


237 

IM 

3.70 

3.70 

May 


CAccum. Unini— Tfe2 

Next Sdb. day May 1 

Leonine Admintstration Ltd. 


6AI Financial Secs 

H! Hlgb-AOnlmaai Fonda 
,3c Select bdernot. ..—1251.7 
Select Income |542 

|» Scot bite Securities Ltd.? 

ScotbUs 393 42 

ScotyieW-. |5L2 55.i , ._ 

Scotafaares— : |57J Ufaf +0J| 4J6 

Scot. Ex. Gtfa-fa. Q35A 246.74 } 295 

SeoLEx.Yld.-fi — |U02 167.q ... . f 771 

Prices at Kay 10. Next sub. day Kay 24. 

11/ Sehlestnger Trust Mngrs. Ltd. laKz) 
(lacorpormring Trident Tresui 


U73 

10.731 


140. 5outh Street. Dorking 


Lcs-i ft General Prop. Fd. Mgrs. Ltd ^ 


n.^uocn victoria St, EC4N4TP OI THSMT/B Ksnnted 
^.-GPr>Fd.r^y2p05d .U?.7|-..-( - { ““g£j= 

Deposit May! 


i; I? lit E‘|iS Set I.J b.4. 

1 1 .W fi '118'lMMrfl a M 


fcjJ.+cd - 

. - t - — ■ +LS1+H2J - 

. 1 ‘ :, «l cnrreitfty doeod to asw lavtulnumt. 
asm Qntts — 4 W7.7 \ \ - 

■ af Westminster Augur. Sec. Ud 
riWxmo 01-tm 0064 

•"^aerBS 4 Ud: 

•mercial Union Grecp 

__+**en'x. 2 Undezahitft, BOS. O1-23379C0 

,SSSgJift..a I. ::: | = 

' federation Life lusnrane* Co. 


1193 


Life- Aftsur. Co. of Pemitylvanla iroJcHarMwo 
2—2 New Botxi St, W17QRQ. •’■WwTSfSJHi 

LACCPUoils- P003 10501 ....4 - HpnJtelSSi 

Lior-ea BJt Unit Tst. Mngrs. Ltd. Mn.gn.cp.Mw »— |ii7o 

Tl.U'TCS-ixdSt..EC3. m«3l3» Mn.Pn.Ace.Kai#_b5JJl 

1960 VO* -4 820 5^5^ 




8 » 

1123 

usM 

uasl 


7BJS 

MSS 


Britannia Trust ManagenwntfaKg) 

3 London Wan Bull dingo, London WUL 
Loridoa EC2M SQL 


2 Duke SL, London W1M&IP. 01-4063001 1224 

LroDixL._— — ’ * * 

LeoAccoat. 




521 

404 


_ t Assets. 


712 
513 
. SSJ 
. 758 
-57.7 
.1843 
393 

. 193 

Financial Sees. £63 

Gold fa General— _ 0.0 

Growth— - 792 

Inc. & Growth— 74J) 

ZntT Growth 59 J 

InyestmShares- 455 
Minerals.. 532 



Lisyde Life Aeourance 
1*7. C Jlir: St. EC2A 4KX 

«*_.-!lh.M=.vS. I U9Z95 

OtJ-5Pivt .Uay]JL.UZ3.1 . 129. 
0723 Eto.S*7J; -£217 133.' 

CTt ' J. Sj? 11 B327 1MJ 

OT4'.-,Kan.Ms>-l’...K'?3JI 152 

0p!3i.i7t. idryii-11220 127.. 


[Not. High Inc 
New Issue. 



_ North Ameri can 30.0 

PO Box 902, Edinburgh EK185BU. 051^558000) FrG - , »iaI Z 5012 

Property Shares — 13.0 

Shield 453 

Status Oninge 29.9 

UnlrBaergy &29 


InvPty^eriea 1— 1 
Inv. Ply. Series Z_ 
Inv. Cash Kay 10 — , 
Ex.ULTV.MjyS. ' 
HvLtym-HaylO. 



Lloyds Bk. Unit M Mngrs. LttL? (a) 
01-838047^0479 RegiMraFs Dept, Goring-fay-Sca, 


76H +0.41 
5B3-0JJ 


g3I 


SS 1 


U9.Su 

423 

20.7 

783 

872 

852a 

79fafl 

63faa 

492 
3SA 
83.9 
382 

323a 

516T 

14d 

493 


+02 

-0.4 

+02 

+02 

-02 

+02 

-05 

-01 

-02 

-0.4 

+0.4 

+02 

+ 0.1 

+03 

+02 

+02 

+02 

-02 

+02 

-02 


524 

406 

4.42 

457 

.7.47 

934 

349 

439 

330 


6.92 

Z47 

360 

346 

IS 

4J0 
LB2 
428 
266 
4 AX 
423 
230 


Worthing, Wort Sussex. 
FtratfBahicdJ— [503 
DouiAceumJ- 
SecoodfCapj 
Do. i Accnni)_ . 

Third QncomeV 
Do(Accnm.)_ 

Fourth (Exlnc.1 
Da{Main.i_. 



283 

Exempt High Yld _. 258 
Exempt Mki.Ldrs. 25.7 
Extra uc. TSL. __ 286 

Income DM 39.4 

n.—,,— I"c. 1094 WdrwL__ 30 4 
OMBSXSBB intnl.Crowlh-,. ... 48.6 

__ Inv. Tsl Units. 25.4 

Market leaders 29.4 

•Nil Yield - 27.9 

Ret* Gilt Trim— 243 

Property Shares Sfa 

Spec iaISIt Tst. 26.4 

UJC Grtb. Accum. 213 
UJC Grtb. DisL ™ _)li8 


(03061 8M41 
236rf +03J 

30.4 +03 
27.2a . _ 

272 -02J 
30.7k 

421 

3KI . . . 

52J +83| 

273 +02J 

316 -0 2 

302 

253 ... ., 

27J +0ja 
28.4a +03 
229a 
203s 


tte Lloyd's Life Unit Tst. ttngrs. Ltd. 
7200, Gatehouse HtL, Aylesbnry. 

Equity Accum. [1513 1593] 

M ft G Group? (yXcgs) 

Three Qfan, Tower HHL BC3R BBQ. 01028 4588 


L60 
L73 
839 
4. IE 
966 
9.47 
9.47 
268 

1% 


I The British' Life Office Ltd.? (a) 


mnceryLana.W«A 1HE. 



11503 

PJ 


■airaa.nL-.pB3 


215.4 

m 

178.7 

150.0 

3876 


157X7 

■ri 


lull. 

TLM. J":c-dt.c.._— 
Fixed Itur.-ciL—.-, 


tnsPec-Fd... 

Mad In. Pol 

tUU insurance Co. Ltd. 

. JWUD.BCL3. 

'fth. Apr. IS. -.0143 _ I I — 

mSiJE «Jd = 

.^Bt.ft CfiBunerce Insurance 


2X&& 

120,0 

taq. 

M74 

1101 

132.7 

8L9 


Co? GrouLh Fund . 
fiEstanp: Pkns.Fd. 

Ci^+u/c prop. Fd. 

ASspLtev-TsLFd. 

nij^uin FieillKi; Fund 

OI-U0OUO ujy.TjvaFUad-..., 

Propaty Fcaa 

K & G Gruup? 

Three Outyis Teww HiD EOR fflQ 01-636 4088 

j^rentSL. Loodoa WLR3FE. DI-4S07DB1 Cw. 1^3 

Magd-FU. (U2 a 132Qi .. I - Eaul^r nm.t- hsjj 

f® LUe Assurance Co. Ltd.? Family £hd^~”E?78 

Blftt Use- Woking.GU21 1SW Offi32 5083 MP.Bur.d-" 1105.2 


M- 011 " 


- r. i ,A S ®**L Life AB *'™ nC * 1 . fa u l t ed I Reliance Bse.. Tunbridge Wells, SL 068222271 

fciO^OS (i GC-maCy ft GUI. UU. to. Lid. IWUHyFlac* London E2UN6XT. 0L242 30061 BLBritiah Life [506 5291 -021 569 

Solar Managed S — 1276 
Solar Property B — 1102 

SoUrEqmcrS. 1623 

Solar gd. fid. S — U4.7 

The Lor-^n ft Manchester Ass. Gp.? ioSar lad. 5o7 

The Lur. FoUteslane, Kent, 0303 57331 Solar Managed P _ gZ73 


nl tE-DJ.The Forbury. Reading 56351 V. 

01-24*033 km » _ 


in i=SI r 


Solar RropwtyP— 1102 

-Solar Equity P. 1622 

SUlar PkrLInLP- — 1144 

Solar Cash P RJ 

Solar Inti P Hoa.7 

Sun Alliance Fund Mangmt. Ltd. 


PtaadAcc... MS 
Pd. lndn. _ H3 
FdHuM. — W2 
OPd. Aoc. mj» 

ALIatL- 952 
Are.. — 952 

l ags HI 

-.ItetpiAcc.. 954 
Mmioem.. m.4 


, HI 

-IPtLInoB. BLO 

5SS-fc- K 

-fi£sr=&& 

. aBit.ln«.*A , ...|ma 


10161 —0.7} - 
5.53 




1201 

105.1 

1876 +0.61 
1342 -02| 

inj -02j 

1B7J1 +06J ... 

Growth Arena. . 

Growth Incona — 

Son Alliance Bouaa. Horsham. Q4tad4l*li ?ryi ^ IIWla>C ml 

sassfeS^ piasjMzjz 


BL Balanced- M63 49.7] +LA 558 

BL Dividend- J«.7 457| +02} 927 

Prices Kay 17. Next deollqg Kay 34. 


Brown Shipley ft Co. Ltd.? 
Kngrs ; Founders Ct- EC2 

BS Units Kay 8 ' 

Do. (Acc.) Uoy 8 1275 

Oceanic Treats (si 

Financial— 

General 


(Accmn. Units) ' - - - - 

Australasian - — _ 

(Accam. Units) 

Commodity — ,. 

■AccBJa-Onllal 

Compound Growth 
Conversion Growth 

Conversion lac 

Dividend i203 

(Accum. Units) 2233 

European 4T.4 

I Accum. Units) 48,8 

Extra Yield M3 

lAccum. Units) U2J 

Far Eastern.-—.. 513 


IcWrn.itnI Band". 

•jScnaoit art"- — , . 

Property Ed— hS47 

Es. VicldFd. Si- .lK.0 
Rero+oryFu 
AnKCtronFd BA-.jOJ 

ie?2J-FiS.lld* 1524 

iTint on -Haj 10 "May 11. 
Kerchcat -cveseors Assurance 



Linked Life In*. Ltd. 

Horsbam 040364141, 
0324 . 119* +03) - 

- 103.0 UM —02) 

- 187.6 553 . 

104.9 UB3| -02) 

- 960 JS3 . 

1064 11201 . 



01-8008820 i Aretua- Units) Bfc.4 

436 Fundtrflnv. Tsts--|n.8 

lAccum- Units! 1732 

General — flTOJ 

CAecmn. Units). — , 
HUtilWfff 1 " 1 *. i — _ 


(Accmn. Units) 

Japan In 


Japan Income .. 
(Accum. Units) 

Uog w ytt 

CAccum. Units)' 

Midland 

(Accum. Units)-- 


IS SgKta 


Canada life Unit Tsl. Mngra. lid.? 
B6 High SL. Potters Bar. Herts. P. Bar 51122 

Can. Gen Dirt. DU 4831-021 435 

Do. Gen. Accnm (464 48JH -02] 4J3 

Do.Inc.DioL B3.7 353WI -04| 765 

Do. Ine. Accnm (442 46.4) -034 7.65 


Second flen. 

(Accnm. Unifan. B53A 

S pecial - 0577 

(Accmn. 


829 


1ST, Htch Street, Croydon. 

Property 

Pror-^n;-' Pens. — 

EqLlrr 

EcuLy Pea'- 

tonc-i Caiint 

UcRLVrdin. Pena. _ 

Dt-parlt 

I'cpo-ill Hots. 

Managed 

Pens. — 
tnlL F-julQ) ... " 


5 lgtiS 3 S£f ,: ^84001^. 
gs?ggferj m 


01-6888171 


153.4 


157.6 


582 


3655 


140.1 

, wl „ 

ISO-5 

127.9 

LT." 

1 325 


1042 


13SJ 


1M.1 


1832 



Insurance Co. Ltd. 

■ikBonae, Tower PI ,eXXL 01-4BS6031 IntL Kaaagcd,. — 

- ten. May 2 — feM 763ni 1 - NEL Pensions Ltd. 

•* e Star lbanr/M idland Ass. KHum court, Dertdnc. Surrey. 


_ PennLPn. 


SI 




1 100 Old Broad SL, EC9N 1BQ 

( 2StTO..._ZmB90 



1184 
231 
2(6 
5.92 
5.92 

J. Henry Schroder Wsgg ft Co. Ltd.? 

02065041 120. Chennai de. EC 2. 01-2403434 

| 3.95 SpItalMoy IB @M5 JM2rf +2.5I 23fl 

- Accmn. 1 &24-0 IMAJ +2« 230 

661 
661 
3.44 


Income Mar M— ..1188.6 
(Accum. DdilBl 12745 



348 

232 

232 

422 

s.n 

524 


General May 10— EL5 

123 (Accnm. Units) 1004 

123 Europe May 4 30.0 

r Accum Unit*) *3 2 

-P*nfaCharPdAn25 163.9 
S-SpecJSx. May ITT 2562 

-Recovery Key 12... [165.6 ... 

-For tax exempt funds only 

8.M Scottish Equitable Fad. Mgrs. Ltd.? 
7.» 28 SL Andrews Sq.. Edinburgh 031-5560101 

775 Income Units HO 2 53 0 +0.71 5.C9 

Aetnun. Units |5I2 60.9] +0.9| 5.00 

825 Dealing day Wednesday. 

825 Sebag Unit Tst. Managers Ltd.? iai 

POBox511.BcUbry Hae.E.C4. 012365000 
5-5 Sebag CapiUlFd...ro.4 35.01 ....I 363 

Sebag Income Fd. ..[30.4 3LB| j 8X5 

569 Security Selection Ltd. 

15-18. Lincoln's Inn Fields, WC2 01-831 

Unvl Glh Tst Ace __|238 25.41 1 3.70 

Unvl Gth Tst Inc {20.9 22i| J 3.70 

Stewart Unit Tst. Managers Ltd. (a) 

45. Charlotte Sq.. Edinburgh. 03142363271 
tStewart American Fond 

Accum. Units .169.9 73/“ ' 

Withdrawal Units ,P12 
_7 -Stewart Bridafa capital Fnnd 

21 Standard M42 1441 

421 Accum. Units- ._.|1532 .."1 

Dealing tFn -Wed 


— Target Life Aasnrance Co. Ltd. 


Prices on Kay 17. Naxt deaUng Imre 7. 
Carilol Unit Fd. Mgrs. Ltd.? (aMc) . 


629 Snn Alliance Fnnd Mngt Ltd. 

1SLS Sun Alliance Hie .Horsham. M0364I4I 

5^} IS 

5 W Target Tat. Mngra. LUL? (aHg) 

Dealings. 0296 SMI 



vSSBSfi? 

; s^jftsy-iaa, iEiil si 

•..JJJLj ni43 12BJI-0.7I - Net Stcd. Fd. Cap — J7.7 

.StyPtt. -.pau XIOJU +0.11 — Nel.1rid.Fd. ATC.-.K7.9 

U.l H2.7j -0 St - Neat Sub- Day May 2& 

L5 U06j .. — Far New Chart P ro pert y see 

115 7| -0.4j — Sadischlld * 


Bs97 



I SI . 4 
120.7 

64.4 

67.4 
491 

50.4 
502 

ISOA 


-OJ) - 


— Prop. Fd. Inv D87A 

Ffcrod lot. Fd. Inc, 104,9 




01+4006487. 


_ 1302) 

~ Tranidntwriiatlanal Life Ins. Co. lid. 

— SBreamBIdjm+BOilNV. 

— Tulip Invest. Pd. _ I 

asssatttL 

Si 


Charterfaonse Japhet? 

1. Patera oner How, ECO. 

CJ. Internal 'I.. [721 

Accmn. Units- 76.8 

1 CJ IiunuiP , fXfp 

CJ.EnraFIn 363 

Accam. Units. 302 

CJ. Fid. Inv. Tit 24* 

Accnm. Units— — ps.4 

Price Kay 2D. Next dealing 


Unitsi {1984 

Specialist^ Ponds 

Trurtec .1146.1 

(Accum. Units)— 7813 _ 

OaribOOdMayfl.- 109.M 

CharifcL Mar 16 W5JB Ml 

lAccum. Unitsi 188.7 183. 

01-2686010 Pens. E*. May 15, — {1326 148' 

SSij 5ji StennLife Management Ltd. 31. Gresham st.Eca 

T7T* SL Geonte'a Way, Stevenage. 04385B101 Target Commodity .134 5 

Growth Units. |SL9 546(+0.4| 172 Targ« Financial— U 0 

Mayflower Management Co. Ltd. Ttotre^Mwif: ai7 

01-6068000 *Do. Are. Units..— 283 4 

828 Target Gilt Fund.... 1153 

519 Tars« GrtnnJi 283 

TBrfeilntL 28 4 

Do. Retnv. Units— 503 
01-6004635 Target Inv. 30.4 

S +3JJ 4.48 Swtra.Mspn+.B& 
+43 4.48 
+0-7 2-15 


RASE UEK3HKS KATES 


i-B.N. Bank 

allied Irish Banks Ltd. 

• iinerioan Express Ek. 

naro Bank 

;’i P Bank Ltd. 

. fenry Anshacher 

; Sanco de Bilbao 

lank of Credit ft Cmtrc. 

.lank of Cyprus 

• lank of N.S.W'. 

- 'lanque Bclpe Lid 

; anque du Phone 

. lardays Bank 

tarziL-tt Chriblie Lid.... 
ireinar Holdinyn Lid. 10" of, 
■ frit. Bank of Mid. East 9 

' irown Shipley 

-laxuida Perm'!. Trust 
:apitol C ft C Fin. Lid. 

: juner Lid 

ledar Holdings ; 

Charterhouse japhet ... a'^ 

^hdulartons 9 % 

-■ E. Coates 10 

' jonsaiidated CreditB... T4S 

jO-operatii'C Bank * 

jorinthum Securities... 

’rediit Lyonnais 

fhe Cyprus Popular Bk, 

Juncan Lawrie !J 

SaRil Tm« ............ 9 

English Tranficont. ... 9 ^ 

r irst London Secs 9 % 

•"irst 3Sat. Fin. Corpn, 10 % 
?irsl Nat. Secs. Ltd. ... 9*^ 

Vniony ftibbs 0 % 

jreyhound Guarant>’.„ ft Tt 

jrindiays Bank J ft l 7» 

iuinness Mahon......... ft % 

-iainbros Bank 9 ?o 


» ‘V, 

ft 

9 "7, 

9 % 

9 •»;, 

a ir a 

ft 

9 % 
ft "Ti 
9 % 
w 

9i«i 
9 "!» 
fti^U 


9 ‘7, 
9 % 
ft % 
9 f T* 


ft % 
9 <V, 
9 % 
9 

ft % 


10 % 
9 % 
Tlfln 
8 % 
114% 


... 9 % 
Co. 10* % 
.... ft % 
% 
tr. 


O Hill Samuel S 9 % 

C. Hoarc & Co t 3 Si 

Julian S- Hodge 

Hecgkon" '& Shanghai 
Industrial Bk. of Scot. 

Keyser Ullmann ' 

Knowsley & Co. Lid — 

L)' •>'(!$ Bank 

Londuu Meruanlile 
Lilv::;rd J.lanson & 

Midland Bank 

CT Shin uo I Muni n?u 

QMm;m Grenfell 

\,<iional Westminster 
jWr.vii'h Genera] Trust 
P. S. Refsoo & Co. ... 
Rnssminaier Accent' cs 
RnvaJ Bk. Canada Trust 
Schlesmscr Limited ... 

E. S. Schwab 

Security Trust Co. Ltd. 10 % 

Shenley Tnjst 

Standard Chartered ... 9 % 

Trade Dev. Bank 9 

Trustee Savings Bank 9 % 
Twentieth Century Bk. 10 
United Bank of Kuwait 9 «Si 
White away Laidlaw ... 94% 

Williams & Glvn’s 9 % 

Yorkshire Bonk 9 % 

C T.’i-mln-r.- oi tliv AvccpiME Houav.'? 
Catiinuit-.'L'. 

* 7-dav di'iiQ+its U‘". l-monih deposits 

■or.. 

T T Jjy deposits od (mK of C1P.0H 

ami iitKlfr 6“.. up to I5S.WHI 6)% 
and nvi'r O+.OtlO 62' o. 

+ C-itt Jipmslls ®wr £1.QM 6%. 
f D^manri dupostis 6?c&. 

’n fUdi.- alio appln-s 10 SlcHibg hid. 
Sees- 


9 
9 
ft % 
9 % 
9 % 
9 % 
9 % 
9 % 
10]% 



Merc. Gen. May !7- 1BU 
Act Uts. llSrl7— »52 
01-2483808 Mart InL May J7— fZ.2 
I 227 A«m.U(rtlSyl7- E5 . 

1 ro MertExtAnr27 - 2B.4 

Aecwa.UtaAcr27.p428 
Midland Bank Group 
Unit Trust Managers Ltd.? (a) 
Courtwood House, Silver 
Sheffield. SI 3RD. 
Commodjtyfai^m..J64 4 

Chieftain Trust Managers LtiLffaKg) uo- Areom. H 2 

HNewSLBC=M4TP 01^833832 gfj 

American-. hriSA 25.2 +0^ IU , CapltaJl __ "ai 

High Income — fifi.9 _ 4AM 934 ' ; afi 

International Tst_G&29 TM +06^ 327 - 

Basic Rexror. Trt{2>3 - 285) - ,ui 438 



. 292 

C-flriieGrmrtbFa^uIjS 



7.67 

4.44 

434 

369 

3M 


Trident life Assurance Co. LttL? 

RensladeBouM.Gloaeeater MBZ30M1 Confederation Fonda MgL Ltd.? (a) 

SO Chancery Lane. WOA 1HE 01-34203ffi 
Growth Fund. MU 433] +flj{ 431 

Cosmopolitan Ftutd Managers. 

3« Pont StroeL London SWiXBEJ. 01-236 SS55. 
Coawopota.GULFd.fl73 1B.M| 4.84 

Crescent Unit Tst. Hgra. Ltd. (a)(g) 

4 MeWHe Cre*. Edinburgh 2 Q3I-22S4B31 

Crescent Growth —127.2 292 | 432 

Crea. lutoaiiFL — {56+ 60^ -0.3 ®J 5 

&ea. High. DISL _fcl 4faM +94 8<B 

CTO*. Reserves {405 4931-03) 432 


Income. 



Do. Accum. - 593 

'BSWMhad - 4B4 

•o. Accnm. 513 

agh Yield -Els 


52? 


Target Tst. Mgrs. (Scotland) (a)(b> 

IB. Athol Crescent, EdllL 3. 0S1-22988Z1 2 

Target AmerXajtel272 29 3J +0SJ 130 
Target Thlm I c _ Boj <0*3 -o3 -567 
Head. Extra Income FU._,,fcs95 643{ +ol( 1023 

MjJZyfr'TS Trades Union Unit Tst. Managers? 

72B +02 560 700. Wood Street. EC2 01-628B01] 

42* 325 TUUT May 2 1490 52M -....] 542 

m :«+02 3^ Transatlantic and Gen. Secs. Co.? 

32j| +o3 339 Sl-flfl New London Rd. ChelmoTord 0345 51651 


„ Accum. . pd O 

Equity Exempt* — {}•?-? 

Do-Akub.* .pao.9 

-Price* at April ML Next dealing May 31 

Minster Fnnd Managers Ltd. 


h! iS-il £3 Barbican May II — 175.9. 

&? ■*^3 626 lAecum. Units) 114.4 

«2 H Bart^smAprie.. bs 

3M ifS BucJun. Majll . BD.6 

Si 5^3 (Accum. Unitai—. 983 

J0i + 0 - 4 S-iS ColemoMaylS-..- 1267 

isg-l 3-S* (Accnm. Units) 1528 

534 Curold. May 10. 1516 


lAccum Units) — 1565 


Glen. May]6. 


Growth Cap,; 1243 

Growth Acc. 177.1 

Hh0d.Cap.__ USB 
- 1173 

im a 
__ 1012 

1124 

Ufa? 

3U 

TtdLGLaond IT0 

■Cash value 


Tyndall Assuranee/Pensians? 

12 Canymte Bead. Brutot 

te-M-fc 

Bond May 11 

property May :i — 

DepoaltUoy-t 

3-w»y Pen. Apf.ao.. 

O'tv** luv. May Ll ,, 
MnJ>u3-WMay2_ 

Do. Equity May 2_ 

Do. — 


1223 



1620 


163.4 


1MJ 






164.6 

H“ u 

2532 


3742 


85.4 

J 


!On»erHse_ Arthur SUED.4. 01-623 1050 mSSSStoMwISI.; Si? 

IS KSaaKSti: Si 

MLA Unit Trust MgemnL Ltd.' VfiSSS-ffiSt— S5 
Old Ooaen Street. SWIHftia O14B07332 ti&To M.4 

MLAUnJts PM 41C|+04( 433 (Accnm Units.) — C2 

Motaal Unit Trust Managers? (aHg) JSgJS^iuZ no 

” " — *■ *■* 01-0064803 Wick Div. May 12— U0 W). 

^39 Do. Accnm. [75.7 7 

Tyndall Managers Ltd.? 
8.72 18. Ctttynse Rood. Bristol. 
Income May 10 Q0C.0 

2D2I (« 31, SL Andrew Square. Edinburgh 031 -5S5 0151 — " mS 

“3 * ** JEsante?.-— HM m— -i SKWiSrimg 

634 Exempt April 38 — 1U.0 

235 lAccum. Units! 1470 


DiseretionaTy Unit Fund Managers is. Copthaii Ave. ectr7BU. 

22BtemfleldSL.BC2M7AI_ 01-4384485 MMual Sec. Plus 1512 

Disc Income &50J Dljtaf .. ... | 526 Mntea) Ine. TsL_..._p7.B 

Mutual BlueCb' 

E. F. Winchester Fnnd Mngt. Ltd. itetaaiHighvi. 

Old Jewry. ECS 01-6002187 National and Commercial 

" 

Emson St Dudley TsL Mo grant Ltd. 2 ^ - 


’ll 

ii? il 
iw4 


561)3 


720 

S? 1 


5-2 

47.0 

47.a 


+0.7 

a 1 

tsl 

+13 


5J1 
5J1 
3.9E 
4.45 
4« 
5.70 
5.70 
627 
627 
534 
534 
267 
267 
352 
332 
249 
fa^l 
1 70 
S24 

hi 


HJ.7I - 


DO. Prop. May 2 

Vanbrugh life Assurance 

141-43 Maddox SL.Ldo. W1S9UL 

Managed Fd. 044.9 1526J 

OUuity Fd. 231.4 243.9 - 

Irani. Ftmfi- — , UXL4 1M.TI - 

Fixed InuntFUZ. 164.4 17331 4 

~ MfrBL 1M5 14faS . 

Fond U-|U27 123.9| . 

Vanbrugh Pensions limited 

41-43 Maddox SL, Ldn, W1B0LA OI-4B04823 

Managed — — „gjj| 91. 

Ftre^inteiwL.™ B 

Property— — ..{«.» 


— «U»~4 CMyngeWio.— 

UJ [ | 3 jo National Provident Inv. Mngra. Ltd.? (Atcttm. Units) — 

42Grae«IrnrebSuEaP3m 01-034800 JjgSftjj SSfc 

;■? TSH+Lfl 3.B &M4. Cap. May Id-, 

rfe +S-S +1 *. Mreum. I'oJtsi — 

270 


I 20. Arlington SL.S.W. I. 01-4M7SS1 

| Emson Dudley Tsl. [MJ 

[Equities Secs. Ltd. (a) fg) nj-LgulUb-TM— 

I 41 Elsbopagate. EC2 0I S883831 (Atyum. Unitsi- — 

[ Progress! *w {£65 T02A -OJJ U6 Tnist ... 


Equity & Law Un. TV. M.? 


w lAccum. Units)'’ Ufa«( 2.70 

(aUhVei “fttces on prll CT. Next doaUng Uov a 

' W[ « d» M6S L" Next doalha 


Fnaullagtou Unit Mgt. Ltd. (a) ggiaiwccuni. 

d-7. bel and Yard. EC4B SDR. . 0KK88971 FinanSi: 

American— 

iCapiuirat 

income tsl 

InL Growth FI 
Do. Accmn, 


&£SSS 1 ^BV EU W.' 





Scot Inc. May JO — PALO 

Louden WxD Groan 

Opllal Growth 5L9 

Da Accnm. — S3 .6 

Extra Inc. Growth... 37 3 

Da Accum. — 428 

Financial Prirty™. 163 
Da Accnm. ll« 


. ... UtdroraalFiSS— ^5 bfafad+D^, . 

128 NEL Trust Managers Ltd.? (sgg) 

Friends' Provdt. Unit IT. Mgrs.? »I1 ftyrsBGenmi:, 1 

pixbam End, Dorking. N^SmihtelT.^o tb,Q? '- ATOira - 


W. 9 

12D2 

240.6 

267.5 

134.2 

159J 


185.81 

mo 

129.6 

1*1.0 

110.4 

154.4 
1020 
1264 


5 JO HI chine Priority— *32 

4.91 Intomatteoai B17 

6.41 Special Sits. [303 

Ig TSB Unit Trusts tyl 

21 Chantry Way. Andover. Hama. 

to DS84 



CUvC G1K Fd. tCLi .19.85 9JB91 .1 UJ0 OTOnaFU 

Clive CUt FdtJwJ.iU* 956j ,._.J 


Apr. 28- fill 5S31 .. 

. -May 1 -CL508 16043.. 

it no O.C JntLFd.t 1311 

O.C£mOoFdApriS.p«6 142m .. 

O.C. Commodity* |J3lA 149.H .. 

O.C Dlr.Comdty T— IS2539 27.0Cn4 . . .. 

Price oti Hoy 12. Non deaUus Mas 21. 
— t Price on May 8. Ned dealing May ~ 


Cornhlll Ins. (Gnerniqil Ltd. 

P.O. Box 157, SL Pieter Port. Cuernaey 
! Inxnt- Man. Pd- 1 167-5 1*25] ..„.{ — 

Delta Group 
P.O. Box 3011 Nassau. X" 1 — 

Delia Inv. May L77) j — 

Deutscher In vestment- Trust 
PPatfacb 2B85 Biobergoaae 8-10 8000 Frankfurt. 

Concantra ...Rtt(U.n ».W .._.J — 

InL Rententonda [DHH.4B 7liq J — 

Drt)-foi Intercontinental Inv. Fd. 

P.O. Box N3712 Nassau, Bahaaiss 
NAV May ll ftlSKJO Uty ._..[ - 

Emson & Dudley TstMgLJrsy.Ltd. 

P.O. BoxTS. smaller. Jency. 0S34 30001 Scpro*^—— 

E.DXC.T. [1178 125.4J+43J 380 SKcrilaa-dnurehmcd Fand. 


301 

780 

134 

354 

461 


Boyal Trust (CD Fd. Mgt Ltd. 

P.O. Box 104. floral TSL Hae., Jeraev . 053427441 

H.T. Inti. Fd. IK1S920 95M +0351 380 

JLT. Inn. iJwj Frt . 192 ^ *3 321 

Prices at March 12 Next dealing June 15. 

Save & Prosper International 

Dealing to: 

37 Broad St. St Heiier, Jersey 
UJ1 DaUar-draMHntnrted Fnx 
DllPxdlm—MayM.p 53 10 

IoiernaL Gr.*t_ |fa70 7. 

For Eastern** {3745 O 

North American ■> . P.77 4. 


O5S42C301 
6.93 


F. Sc C. MgmL Ltd. Inv. Advisers 
1-2. Laurence Poontney Bill, BC4ROBA. 


i-i, i-ourrmo 

01823 4030 
Cent Fd. May 10. 


i 5US5L16 | 4 — 

Fidelity MgznL & Be*. (BdaJ Ltd. 

P.O. Bob 870. H amil ton- Bermuda. 

Fidelity Am. ASS.— | SUSM55 I I — 

Fidelity InL Fund _ JUS20A1 | — 

Fidelity Pat Fd — I SOS44J3 +02U — 
Fidelity Wrid Fd [ SL'SMJM [+55 q( _ 

Fidelity MgmL Research (Jersey) Ltd. 

Wate rloo H se., Don Sl. St HeUet. Jersey. 

0534 27561 _ 

Series A (Intal.) | £362 

Seriea BfParificl—. j E7J57 

Serin D LAmAss.j| OfaU 



Channel Capltalfi..C527 X& 

Channel IsIaiids4>_E«J 157. 

Cammod. May 11 01M 125.' 

St.Pxd.Mey ll —..hi* 4 Ufat 
Prices on -Kay & —May 10. 

tWecUy Draftnc* 

Schlesluger luteruathuul Mngt. Ltd. 

41, La Hone Sl, Sl Heller. Jersey. 05347338*.: 

SA.LL. 183 S3) +U B84 

S-AOJ SO *. O.llri +0JM 4.95 - 

BJlSrB ^+i ^ 

■Nert sub. day May l* 

Schroder life Group 

Enterpriac House. Portsmouth. 0TOS 37733 


First Viking Commodity Trusts 

2SL Grerge's SC, Douglas. LoJt 

SPLIPS 1 .W 1 - LteL. 

S3. Pall HaU, London SW17 SIH. 

FSLVltCnvTsL- 
Prt.VtDbLOp.TM -S55o 

Fleming Japan Fund Safa. 

37, rue Notre- Dame. Lcxembonrc 
PTmg.Mny W \ 5U84Bfafa 1-LU2) — 

Free World Fund Ltd. 

Butterfield Bldju Hamilton, Bermuda. 

NAV April 78 1 SU5L75M | 4 — 

G.T. Management Ltd. 

Park Hoe.. 10 Fin* bury Circus, London EC. 
Tel: 014130 BUL TLX: 886100 
London Agents tor: 


Intoraadanal Funds 

£E4uUy ,.IJ1S4 

SEquity -BZL0 

£FtX»d Interest — [J35.0 

01-B3078S7 SFtaed merest IJ053 

37.R ._..J 230 ^Managed [127.5 

MJM| — ] 120 SManaged DI29 


mr 

1320 
13U 
13J3 


J. Henry Schroder Wags & Co. Ltd. 

120, Chea pride, &.C2. 01-5684000 

ChtraoSMay 15 — 

Trabrieer April 30. 

Asian Fd. MAy 15 _ 

Deri tor Fnd- 

Japumr'd- May 4. 



-0-081 2*7 


329 

530 

625 


Anchor "B" Units— 
Anchor GUI Edge — 

Anchor InL Fd 

Anchor tn.Jay.Tst. 

Berry PscFd. 

BenyPac Strig ' 

GT. Asia Fd. 


BU5SJ1 

K9.66 . 9.W 

WJ54JB AM 

^ 5US4LM 4 _ 


G.T. Asia Sterling— (Q248 13L» 


G.T. Bend Fund .,_. 

G.T. DoUar Fd 

G.T. Pacific Fd 


su^2a 

SUS7.02 

JUS1264 


[+C-0C 




159 


Sentry Assurance Ictentattenal Ltd. 
P.O. Box 330. Hamilton 5. Bermuda 
Managed Fund — |KSUSS USD . ...| — 


12U Singer & Fried lander Ldn. Agents 
1*7 30. Cannon SL. EC4. 01-948S04S 

2-S Uetorfoads [MOMS S.W-0J« 6.69 

Jg Tokyo Trt Apr. 28-| SUSKU0 | L77 

£3 Stronghold Management Limited 

511 P.O.BoxSlB.SLltrilm-. Jersey. 0036-71400 

a.g Commodity Triist ...|90J5 9459] J — 


Gartmore Invest. Ltd. Ldn. Agts. Snrlnveat Ueraeyl Ltd. (s) 

2 SLMaryAxa. London, EC3. 01-383 3531 ft u ^^P? Lll 5^b 1 H * 1 ‘" , . i 5' 0 5^ Sf:3W 

(tortmorc Bad Mngi. (Far Baou Ltd. ri T,t - [“-*?- M 

sssassst-zr 

n . American TflZ °3o U® Unit Trust Managers (C.I.I Ltd. 

InU Bond Fund PUSMC2 UOSj J 820 Basatolle RdLSL Savloor, Jersey. 05W TM84 

Gartmore I nrostamt MagL Ud. Jersey Fund Mfa6 491! -1.01 4.69 

P n Ro. T! rmrt.n InM 0834 231011 GuosnoeyFUnd — J4fa6 4U| +L0| 489 ' 

ZLU J 11. i0 Prices on Mcy 17. Next mb. day May 24.. 

faS4 -- -I 4 60 Totyfl Held lugs N-V. 


. O Box 32. Donclaa, Ioit 
Imenintlonri Inc. -B0J 
Do. Growth. El 


Haujbro Pacific Fund MgmL Ltd. 
2HO. ConnaughL Centre, Hong Kong 

Far East May 3 B.TOU6 UJfai J — 

Japan Fund busfafz 7Jq J _ 


lntiBua Mmignma Co. N.V. Curacao 
NAV per shore May a SUS5Q.fi>. 


Bambm (Guernsey) LtdJ 
Hambro Fund Mgrs. (C.L) Ltd. 

r O. Box 88. Guornoey 

CJ. Fund J1905 

Imnl Bond SUSJ1D4 64 180 
InL Equity SUSto-B. 
im. Svas. a .v sueaaz 
Itrt Svgo. -B 1 suauw L12j+0 


Prices on May i 


. iso 

Next dealing May 34. 


Henderson Baring Fund Mgrs- UtL 


Tokyo Pacific Hldgs. (Seaboard) N.V. 

lutlmli Management Co N V, Curacao. 

NAV per share May 2 SUS3S88. 

^ Tyndall Group 

Oja 830 P-O. Box laaa Bamllien fa Bermuda. &3700 

fan! 250 Overseas Hay tO—Mjajl llfl I 680 

•JD lAccum UniU) PC5L71 lql .. ..J — 

- 3-way lot Apr. 33 (HJSLS25 20Mj [ — 

2_New BL, SL Heller.. Jerary ^ 0634 

64J 
845 
204J 
287J 
HW 
iCT.q 

Victory Hoiue. Dnuatoc, lair of Hon. CC4 SSaSS 

Managed Apr. 30. 11262 133 (H ... | - 

Utd. Intnl. MagmnL (C.I.I Ltd. 

tl , , __ . . , . 14. Mulcoster Street St Helicr. Jersey. 

Intern ational Pacific Inv. MngL Lid. uj.B.pund brytrae . ...| ais 

PO Box R333. 56. PIK SL Sydney. Anrt 


P.O. Box N4723. Nassau. Bahamas 

Japan Fd. BUSH* BM f_ 

Fncei on May a Next dealing mw M»y n 

aill-Samuel & Co. (Guernsey) Ltd. 

B LeFebrre SL. Peter Puri Cuernaey, CL 

GuernoeyTH. D48J 15BJa| -0.7] 3JSS 

HU] Samuel Overseas Fund SA 

37. Rue Notre- Dam o. Luxembourg 

ISUKKW 1938+0*91 — 


. auo 

American Mny 10 — ELS 
I Accum xharejl . — 31.0 
Jency Fd May 10- 1932 
iNoo-J. Acc. Ota.).... 2714 
r.Ul Fund Hay 10— 1038 
(Actuio. Shares) 1361 


7.00 

1083 


Jarelin Equity Trt.K2M 234) 

J-E.T. Managers (Jersey) Ltd. 

PO Bm 104. Royal Tst Hoe., JerseyOSSA 27M1 

Jersey Extra! Tst_ |lMfi 170 01 j __ 

Am 'at April 2a Next mb. dpj May 31 

Jgrdinr Fleming Sc Co. Lid. 

44th FUwr. Counaugbt Centre. Kong Kong 
Jordlae Eon. TsL _. j SBK3M.99 ' ' 

Jardine T pn Fd." _ ] SHK32L15 

JordhraS£A. 5HK1352 

Jordknc Flcmlm. ,| SHE9.46 ..... - 

NAV 

Eeyselez Mngt., Jersey Lid. 

BfaSLBaUcr.JfinMy.. (Eng. 0140670701 

ua 


417 

380 


■I - 


3.80 

-....I C.W 

— j 230 


vi-wiju: 

U r il: 


PCiI 


Foaaelex 

Bcodidn. . 
Beyselexlni'l.. 


Mpn Cdrftoito.-KUSUa 
” slex Japan — {qia 

AosetaCop...- 



+'6ta 


United States Tst. IntL Adv. Co. 

M. Rue Aldringer, Luxmnbours 

US Trt Inv. Fnd... I 5US10.58 I .| 0.95 

Net asset May 11. 

5. G. Warburg Sc Co. LUL 

30. Greobam Street. ECU 
Cnv.Bd.fd. May It. I SUS958 
EaarrelnL MnyI2.[ SUS1705 
Gr.StJ.Fti. Apr30_.l XUS685 
StrJSur.May 10.„. feusita 

Warburg Invest. Mngt. Jrsy. LUL 
I.ChartngCrom.SLHcUer.Jsy.a 053473741 
CHFLUL April 27».t 
COO U<1 AprU^—t 
IteelsTst. April 20 

TVTMO^ll 

TMTUd May 11 — 

World Wide Growth Management# 
lOo. Boulevard Soya). Uuemboorg. 
Worldwide Gth Fd| 5US14.40 |+fa33| — 



NOTES 


_ [Friends Prov.ua- U2J 44.0*1 -1.1 1 


Guaranteed one Too. Base Rotes' table. 

Welfare Insurance Co. Ltd.? 


Do. Arm 


-S4.4 


58.1) -0^ 


S3 


7.98 (bt TSB Income 


The Lc«», Folkestone, Kent 


G.T. Unit nuiutgera Ltd.? 

18. FI n«bmy Chens SC2M TDD 



' 0CC4 GSlSSj 

49 fij +0J1 
62M+0S 
64 7m — ]_H 

67.10 -I_S 
87 -2.-5 +0.1 
£3+0.2 


353 

351 

721 

723 

269 

269 


0303 57838 [G.T. cip. Inc 


Moneymaker Pd...- 1 1015 I — -J — [Da Arc pnon 

- — - Tie Lontton fal G.T. Inc. FttUn R63.7 


For other fund*, ptoaae refer to 
Msnchawer Group. 

(Windsor LUe Assur. Co. Ltd. 

1 High Street. Wtadoor. 
iLUolnv. Plane — WU) 71fa[ — 

FstaroAmd.GMa). lit) 
FntureAoadGUUb).] <L0 


Sot Aosd. Pan*.— I f24fal_ 
iPien Inv. Growth -pMJI . 109. 


G.T. DA a Geo . — UM2 
CT. Japan A Gen— 0695 

.♦GLFBrtBsJ'd §33.9 

mr— j ■■ » .,, IGT. Inti Food —{330.7 

Windsor earn i G T . VdsFd— .(Sfi 

I G. Sc A. Trust (a) (g) 

fa Rayleigh Rd, Brentwood 
G.*A— — (323 




01-6288331 


For New Court Fknd Hauagors Ltd, ' (bi Do. A^«un^— „ 
see B odhscli t M Asati Bfe n ag w u rat 
Norwich Union Insurance Group {b> mi 

P.O. Bo* fa Norwich, SlU 3NC. 08D322KX> 15**^““ 

Group Trt Fd [343.8 363.91+051 4.92 w »ringSlrtel,BcirML 

Peart Trust Hmtagers LttL (sXgMz) ^^"Growth.-ICT? 
35ZHighBdboni.WClV7E2i 01-405 sui '-' Tut Trust Account & KflSDL JU®. 

PWri Growth Fd_®fi 24-6rf -fall 4.96 King William SL EC4R BAR -OJ-SKMflSil 

Accom Unit* m;i M-oa i% Friara fire Fund.- [349 8 357.BJ J fag 

Pe*rljac._— — ..BJ S.M-8J fa74 Wider pith. Fhd.-B7.9 29.9 1 fa» 

raori U ttifry. — gg? »R-oS 4S1 no. Accnm. pj Mil ... ..I 959 

Pd& ffiiTAdndn. l2fmL 4Jfl Wider Growth Fund 

(0377)327300 2S £££ SJSSS flgSJs*, SSSS SLEC g, SAB n ra “Tg 

MS>d,-0J4 9.49 Pelican Uuitt- {823 *8-*d -0J( 53A Aceum. Cbila M1M l| fa59 



023S33S3l| 
90.71-021 521 


fS?.*! b« tedude prem ium, except where indicated I fi. and are In pence unless otherwise . 
InmcMcd. Vtelds % (shown In laid ccSunun allow lor all buying expenses, a Offered pnm 
prices cYWd based on oHnr wks. 6 Ehrimatod. a Todays 
opemn* prion, h Distribution free of UJL taxes, p Periodic premium Insurance plana, a Single 
Wggteg* ItwuM to a Ofireed price Includes all expenses except agent's commission. 

1 .555* »tt. «giwat’ « if bought Uirougn managers, i Previous day's price. 
Net olusao Hriued canHfi} Qdns intieos indicated ojr fa 9 Guernsey CTOcs. a Suspended. 
* Yield before Jersey tax. t Ex-sobdlnmon. 


BUELDSNG SOCIETY INTEREST RATES 


GREEBWIGH 


(0L8S8 8312) 

IM. Cr>-i-nu-icb Utah Road, 
tircvnurlcli SKID hJ{L. 

-ni-DOiii Kate si3 Sh^ri Accounts 5 . go. 
Sub'pit. Shari-H fi.Tii. Tt-rni Sfaoyi-a 2 yri. 
2' . abovr share- rate. J m. |*„ above 
share r,iti*. 


LONDON GOLDHAWK 


(01-995 8323) 

1* 17 ChlswIcP Hloh Road, 
London 1V-1 2NC. 


DcpOall Ra)-' 5. 
sub'pn- shares 


Share Accounts 5.1a. 


r.w. 













42 


Stewart 

Wrightson 


international 
Insurance Brokers 
for USA & Canada 


■ j-r? •( 

Lt-n-j;!*-: vWJ 

*/l <fJ375' 


^BRITISH FUNDS 


1978 

High lifff 


Suck 


102ft! 


“Shorts " (Lives up to Five Years) 


1051, 

97 

A 


ft 


102 v. 

9% 

% 

110*4 

lay* 


ft 


10 

a 

m 

3?* 


115? 

9b 




S> 


1141* 


9S-1 I K t f i i . 3 pc 76-ioTT 


944* 

95H 

101 

944* 

m 

99 

92 

94 

105 


(treasury ii!«c i»q 
measutySpT^i.^ 
Electric 4%pc 74-79... 


Elcctric'Siipc "7B-79 _.l 
Treasury OpclSSfti— 




[Treasury 3%pe 77- 
Funding 34007" 
no a Excbeuuer 13w 
IDllSrhcasuiyllfcpc 

rTreasu-TiStfc 19TML 
n"reasuij«ipclS81S.- 
[Exrfiffipc fflEI 


96*9 Rftas. Variable Hlft 
105% Each. IStpciSBItt — 
93 ii rreasDVzpcBMSX 
83% Treaauv3pcffl3„ 

109 Treasury Hpc"eri — 
Treai Variable '82ft.. 


9u! Treasury 8%pc 82 

M% Ereh. 9%pc 1S82 

— Qcfc Pj pc 2932 A* 

92 A Etch. 63,pc 1983 

8& Esch3pf83 

103%fTre*saiy 13* 1383ft- 



HOTELS— Coafinued 


FT SHARE INFORMATION SERVICE 


K15 &62 


AMERICANS— Continued BUILDING INDUSTRY— Cont. DRAPERY AND STORES— Cont. * ENGINEERING— Continued 


100,1 


10.47 

98i,‘ 

+A 

5.06 

102 

112/ 

' 95 , l * 


3.16 

95 -A 


4.44 

101 X 

-it 

1039 

95% 


366 

99 


9 09 

99 7 s 


951 

93%xd 


3.74 

94VI 

-u 

5.53 

105 A ni 

-i 

1234 

idU 


1130 

89% 


'l,9i 

9B k 

-,v 

992 

94A® 

-a 

872 

i) 


952 

86 


3.48 

96%m 


635 

105 6fi 


12.12 

9.06 

844 


355 

109,1 


12. B2 

95 Aid 


680 

ft 

-i 

9.01 

9 80 

EMi 

976 

92-i 


949 

B07g 


371 

1034, 

-h 

1X57 


10.98 

18.98 


10.83 

1(187 


7.88 

10.% 


100 % 

S3 

US 

6838 

i0t 

69 


ft 


ft 


95% 


821* 

613* 


Five to Fifteen Years 

[Treasury 9 %m TB3. 
jFundiDgSjpc T&Wft 
fTreasnoSijpc-SWeft. 

Funding ffjpc "8587ft. 

[Treasury TXpc "SMS# . j 
[Transpwt 3pc 7888 


655* Treasury 5pc '8689 — 
1071* Treasury I3pc 


1580ft- 

78V (Treasury 8%8+ »ft — 
96% Treasury lliipclMl— 

647. Fundi DSP.pc-BT.Blft. 

10ATws«I1'13Gpc , ®B- 

851; Treasury HJpc 1992 — 


99 ‘ [EidL Pipe’S;. 


95% 

-h 9.92 

841; 

-h 6.65 

92 

-% 955 

77% 

-% 8^3 

83% 

-h 952 

62' 8 

-h 4.S6 

66% 

-% 760 

109% 

-% 12A1 


-h W-29 

100>* 

-% 12.22 

65% 

-h 8.89 

105% 

-h 1255 

83 

-h 1X67 

101 

-h 12.46 


10.99 

952 


10.53 

W22 


10.90 

8.78 


1011 
i? wri 


1131 

1234 

10.91 

12.49 

1256 

1230 


Over Fifteen Years 


110 % 


a 


328% 

1141, 

ft 

W* 

1143s 

ft 

117H 

50 

1151* 

983b 

86% 

72'* 

135% 

65 

90*2 

%£ 

ft 


1101 


62% 

105% 

113% 

1001*1 

78 

98% 

44% 

35% 

222 


Treasury 12'jpc '93ft „ 
Fundi ogfipc 1S33; 
Treasury I3*pe T 
Treason- ]4%pc"Mft. . 

fitch. ISapc ISM 

TreasmySpc V4ft 

Treasury lipc $5, 
Gas3pc “ 


fTreasmy _ 


781. [Treasury 9oc 1 


10: . 

Sk 

n 

61% 

119 1 * 

65>a 


84 

57 i? 

63^ 


Each. 10»*pc 1895 — 


Treasury I 96ft _ 
rer l5.pc "96tt 


(Exchequer 1 


Treasury 13%pc ’STft .. 

itfjpcKSI. 


Exchequer 
Treasury 8'<pc lS37ft _ 
Treasury fflipcW " 
Trea5.15>dJc9aft 
Kick Ljpc 98 i565 


82% (Treasury Sij 


iTreasicy] _ 
Funding 3%pc"9WH. 
Treasury 3pc '(C-ffift 
4S£ [Treasury 3bpcW-U| 
67% [Treasury 7%pc 12-15J 


103?a 

627 fi 



106% (d 
114% 

-i 

12.87 

13.00 

101% 

7 lg 

: 

12.63 

1143 

12.49 

44% 


6.72 

87s, 

-% 

12.06 


-h 

1769 

78% 

-h 

11.64 

11&^| 

-h 

1313 

10^ 


12.76 

43% 

-h 

6.90 

107-5 

-h 

12.72 

S3Jg 

-h 


76^ 

-h 


617, 

-% 

10.96 

ft 




: 

||5j 

69*a 

-% 






1234 

1138 


12.72 

12.76 

12.64 

1198 

1235 

9.73 

1237 

7744 

1232 

1291 

1271 

9.60 

1271 

12.44 

1231 


1LT9 

1289 

12.63 

1216 


1245 

1037 

1185 

1159 

1178 


Undated 


37% 

37% 

39% 

28% 

* 


33% 

31% 

A 


Consols 4pc_ 


War 1/na 


Couv.Sopc 

24% Treasury 3j>c 86 Aft 

21 Consols ZjtfK,— 

20% [Treasury S-tpc.^ 


33% 

3 §* 

-ft 

20% 


1246 

10.97 

1033 

1242 

1200 

1246 


88 


INTERNATIONAL BANK 

1 82% |5pc Stock "77-82 ( 83 J -% | fi.02 ( 9.99 


94% 

107 

112 

93 

991; 

i 

EJ* 

87% 

73* J 

IS 

a 


‘•CORPORATION LOANS 

& 

102 


93 

a 

99 

91 

94% 

86% 

76% 

67% 

69% 

223* 

S'* 

102 % 


Bjna’nax9%pc'79-81- 
, Bristol 7%pc i98L— 
G-LC.UJzpCBS 


Do.l2*2PClS83 


Glasgow !P,pc TO-82.— 


Herts. Kite "TWO— 
;!5%pc 78-78.- 


Liverpod 

Do. rape "8084— 

Da3%pclrred, 

Lott. Carp, 6%pc "75-78 , 
DaS%pc"&W5 


DaS>«pc 

LC.C. 6pc 76-79 __ 
Do5%pe THU 


Do5 1 zpc'816l. 
Da5%pc’ 


bpc"8587 

DotRtpcIS^O 

Do. 3pc "20 AIL 

(Middx. 5%pc 1980 

Newcastle K.jkt 7W), 
I Warwick 13; c * l$&) 


-% 


Ha 


1.67 


i 

10.60 

1324 

634 

032 

630 

636 

7.17 

830 

10.05 

1338 

5.75 

9.64 

1239 


10.91 

10.81 

1161 

1203 

1130 


8.90 

1B.97 

10.04 

1037 

10.77 

1122 

11^ 


1037 

13.21 

1127 


COMMONWEALTH & AFRICAN LOANS 


1WF, 

95% 

83% 

ft 

f" 

70 

96 


98» : 

93% 

93J* 

9W« 

92% 

82% 

91 

53 

33 


"AcstSKpc "75-78 

"Do. 5%pc 77-8CL 

"Da Sjpc "Hl-82 

•■N24pe 1976-78 

"Pol toe 7680 

rno.7ljpc'®8S. 


. .. 'iPC 

SUi.Alna9%pc79-8I.. 
[Sth. Shod. 2'sc "E5-70 , 
Do.^icTMl 


99% +% 
?5% +% 


971. 


!fk- 




54 

83 


539 

5.91 

662 

430 

6.47 

197 

10.12 


9.60 

1038 

10.96 

833 

1055 

10.60 

1167 


LOANS 


64% 

90% 

33% 

139 

95% 


59 

80-1, 

29 

1107 

89 


AjTiC Stt. Spc "5&49 

AlesnW^ieSB* — 

"Mrt.Wtr.3FCB' 

VSSLC.9pt UK 

Pa wilboui Warrant.-. .. 


1 and Ind. 


60% 

-% 

852 

82ri 


12.80 

29 

-% 

1057 

137ni 


657 

89%sd 


10.06 


1175 

1320 

1225 


1220 


ion* 

110 

1141; 

85 

&7% 

9° 

99% 

101 % 

71% 

71% 

84% 

81% 


1103 

io: 

109 

79% 

73-% 

951; 

951; 

% 

65 

62 

74 

70% 


Financial 

"FFlttpeT.l i 

I». I4pc «7>. 


Do. HpC 8. 

ICFCSawD* W82. 


MNI 

Po.^pcDh "Sl-SJ 
Do. lOJ.-pcUni.LaTS. 
Da 1 Ipc Uns. Ln. "38 . _ 
|Do.lI-*pcl , nsLn.'S0.. 
Da7i*pcADeb 
Do 7%pc.V Db 91-9t_. 

DoSdcA'"9IS1 

Do8TrcU.-SC^i7 


1031; 

+% 

1256 

11.43 

103d 

1359 

11.40 

110% 


1332 

12.68 

83 

+f 

672 

10.60 



822 

1X60 

96 


1UV 

12.00 

% 


1X94 

12.30 

96% 


12,/b 

1300 

66 

+% 

11.62 

1310 

62 

11.94 

13.70 

741; 

70% 


1228 
13 06 

12.85 

13.70 


FOREIGN BONDS & RAILS 


I STS 

Hilth l«« 


Sum’s 


Price 

X 


[+ or Die. 'r Red. 
- Gran YMd 


191; 

3-1 

96 

415 

54 
50 
44 

55 


88 

91 

375 

ST 


360 (145 




94 


17 

33 

9S 

1350 

46 

4b 

40 

42 

67 

84% 

61% 

1265 

70 


, Intel. -.casta Klv . 
L»0 .ipc IT'S .. 
jChilean Mixed . 
toman Vn-iTjr* 
iGreei "k Ai, 


ft 


94 


GreesjK'Ai.- .... 
[h-,bw3JStjp :zr . 
Iip-ipi - Mixed ,W . 
u.,,5 —i «... 


HmiftTM.W 

!lcdand6i^>c'!5W3 
lrcfandTijie'Bl-SS 
ft.w.pe’Bi.j* . 
(Japan 4pe‘I0iYNS... 

! r«6pc SX88- 

Peru A».3pc 

lS.G16%pclSS0 

rronnSoc IS8|.,._ 


Dttt&hYsnntfaK MW— 


Lnuauid'jK... 


19 




34 


B- 

98 


3 

415 


4% 

54 id 
49 


v i 

43 


4 

55 


4«; 

67 


— 

84% 


7% 

81% 


9% 

365 




72 

+2 

6 

157 


3 

75 



59V; 


i 

DM81 


6% 

94 


3>2 


□ 10 


f6.48 
(6.25 
F4 76 
5.00 
12.80 
1234 
1264 


10.90 

1.92 

8.67 

9.52 

1070 

3.80 


.U.5. S it DM prices exclude inv. i premium 


AMERICANS 


1078 

nigh id« 


Suck 


17 

60% 

31. 

31 

35% 


19% 

31% 

19% 

10% 

11% 

59 

43% 

40 

4bij 

.27% 

20 

11 

ZO% 

W 

17% 

vi 

s* 

40% 

31% 

23 

39% 

12 

17% 


131; 

60% 


21% 

11 

i 

13 

625p 

857p 

41%i 

3^2 

28% 

32% 

13st 

765p 

13*2 

ft 

20% 


22 

17 1 * 

28=4 

670p 


VSA 


.[UFlM'om Jflw. 

AukxS! 

.Unenran Express 
.\mer.3kdir.In'._ 

A-snrco Lm!_ 

Baler Intel Core SI . 
iFarnesGnj S«t. _ 
BetnlixCore 55 

Beth. Steels,. _ 
Brmra!; Fer. cltFj . 
Brunymck Corpa.lt 
BurreuftbCrtp-SS 

ICBSSLiO 

|CP.C.» 

(Caierpillanu 

CbaseMbtuSlZS- 
(Che'ebrouDhSl 

[CluyslerStf* 

!cillrorpS4 

City ini. Sl 25 .. - 
PoCaPri B 51 
Coisato-P Sl„ — 

C»rttJrtd.*Sl 

Cont.niinoi*SU- 
C<mt •‘’ii Si , , 
Crt-wn Zell ii ... 


20% fCatler-K<usm<>rSS. 


lEatonCrp.SUJO— 

l&marii 

Exxon H 

FiresoncTircH— 


11% [First Chicago. 


16«d 

60% 

291^x3 

21%«d 

14id 

42?rial 

18% 

30*2 

18i3 


12 %u 
5fl 
435; 
39% 
46^3 
27% 
20 

907pid 

20% 

12% 

21% 

47% 

23% 

24 


31%J 


21% 

17% 


Dtt. rid 
i Grass Cxt Gr't 


+% 


:a 

i 4,1 ® 

i-% 


+% 


+% 


60c 



5 J » 



JL/S 

— 

SX40 



■flic 

— 

40c 



64c 

■M 

90c 

_ 

S228 


$1.00 


40c 


70c 


5100 

12.40 

— 

1250 

_ 

11.80 


5720 


94c 



SLOO 

— . 

SX06 

— 

51.00 

__ 

52 


SUM 


S3.15 


SI 32 


SL40 



SI 90 


S1.40 



$2.25 

__ 

SI .84 


S3.20 


S1.10 

_ 

SLOO 

— 


Sack 


lFhJorCorp.5%. 


Icatx 


Gillette SI 

HoncvellSLSO-. 

Hntln n ELF 

LBJLGarn.3 
Ingersdl-BSS. 
[nLSvstemilCaaSI 
T. II. Inten ufac 

Kaiser AL Si 

ManLHaa US57.50 
i lfcffgan(JPIUSS2a» 


i KKcens-HLSllSS . 
akerOatsUSKL 

. lianceJOS 

Rep. N.Y. Carp. S5_ 

ReniordB 

BkMsn.-MnUJl% 

Saul(B.F.lSl 

. 1 Oil Si 

Singer iSIOi 


1 1 Sperr y Rand SQjQ- 
[ nhwinc. 


I [TeflDeco. 


lS1% 


[Do. lift La. StL 91 -05 


> rramamericalL— 

Ctd.Tech.SUSa 

, C5.SUfilSl 

i Wool worths 

1 Xerox Corpi SI 

Xonleslnn 10c 

Zapata Carp. 25c — 



+ or 

[Die. 


£ 

— 

Grass 

Cn 

■A 


SL20 

S330 

- 


+% 

12.50 

— 


Si 

S22U 

5X50 

SL90 

- 

14 

+% 

5068 



2143* 

+3 

SiXb‘2 



47% xd 

+1% 

S3.UU 




+1 

+% 

25c 

90c 

5X60 

52.08 

— 


+% 

Sfe2U 

£0% 

— 

’W 

Ji, 

hS106 

5X04 

— 

26%i3 


15c 

$1.00 

— 

1 P 2 J 
ZIU 

494p 

: + + 

88c 

90c 

- 

27% 


h£L.6C 



18% 


60c 


34 

+% 

SI .17 



3» 2 al 

26%m 

-in 

SL80 

$2.00 

— 

160 

+2 

10% 


897p 
- 20% 


$700 

— 

38 

-* 

$1.50 



13 

+% 

HOc 



367, 

57.00 

_ 

Tt 

+4t 

A 

51.60 

SX40 

52.00 


735p 

13 

+% 

7%c 

s3oc 

— 


3.0 


2.4 


13 


SJE. List Premium 46%% (based on 8U5L8135 per £H 


Conversion factor 6.6843 (0.6825) 


CANADIAN 


' IKS 
High \jn 


Stock 


14% 

$ 

ft 

ft 


ft 


* 

v 

3E 

16% 

315o 

16% 

11% 

24% 


[BkHontrealE 

Bk-NovaScutiaSL. 
M Canada 25c 
BayViRgl— 

KarSpiii.'S2 


945p 


585p 

610p 

121%! 


5? 

m 


880p 


Da toe Deb. E100. 
OUCaaS. 


Golf 

Hanker SkLCanJI. 
|HoUiugerS5 — 
Hudson's Bay R. 
GudRjOilG.Cz 


11% (imperial Oilfl 


Inn. 


lnLNaLGasSl 


Pacific Pet 

Place Gas & 

Bio Alcorn 

Royal BLCan. 32 

Seagram CaCSl— 

%5pfrar!DoriLBb.a 
iTrans Can. Pipe 


aS 


+j; 


-% 


+90 

+ -i 

+% 


Dtv. YTd 
Gross Or Gfs 


SL06 
92c 
S4^ , 
10d 
31.00 
SL44 
97c , 
4%1 
SL14 
40c 
52.06 
69c 
SL60 
86.4c 
80c 
80c 


86.4c 


SL08 

5^56 

92c 

80c 

103c 


3.4 

12.4 

2.7 

3.7, 

4.1 

H 

10 

ZB 

4.9 


li 


4.6 


S.E. List Premium 46%% (baaed on $2.0095 per £) 


BANKS AND HIRE PURCHASE 


1978 l 
High Low | 


Stock 


PnJ + -1 


YTd 

Net |CVr Gr’s P/E 


280 

293 


.£133 
334 
183 
165 
£20 
373 
£168 
, 21 
170 
515 
315 
£32% 
358 
215 
1312 
B4 
227 
£19 

£22% 

•71 

£123 

83 

3% 

1 

12V; 

196 

46 

255 

29 

120 

40 


(166 

1210 

& 

£13% 

(315 

037 

15 

Jig 

JHl% 

265 

70 

(in 

,£12% 

18 

£13% 

32 

[£90 

60 

1% 

1^% 

[157 

37 

1195 

19 

99 

185 


217 (158 
81 


269 

86 


180 

49 


Arbuthnot L£L_ 
BankAaer. JL5EJ £20 
iBk. Ireland £1. 
DalOpcCanv— 

Bk.Letuni I£I 

iBIdLauni (DEK1 
Bt M5.W.SAZ- 
iBank Scotland £1 
(Bankets N.Y510. 

kiirc^rea 

CoolAns-SAlU 
[Com'zfakIRil 


74 

!ii4 


297 

.50% 


1134 
, 390 
£92 


V 

[235 

. 81 
298 


445 

255 


92 

427 


S10 

356 


4B 

£24 


67 


425 

203 

65 

[160 

37 

58 

92 

242 

42 

1106 

330 


■56 

H72 

166 

1254 

B50 

D90 

■70 

p78 

IS’J 


32 


60 


IANZSA1. 
lAlexandersD £1 1 
eemeneFUCO 
fen Harvey £!_( 
Irish. 


|Cred France! 

Dawes 111 R.) 

DedKbeBankDlBBJ 

tf-CFinaree-Jl 

CFlotNatlOp I 

DaWnti, 
.Fraser AnsLlOp.. | 
(Gerrard Natal _( 
Gibbs I 

tefflettBres-EI- 
H5o«IeDTMry5p 
|Grimflays 


HiflSamud — 
Da Warrant* - 
HongShngSLM 
Jwsei Toynbee- 
Joseph lLeol£I- 
KeyserUUtnum. 
KlneAShaxWp. 
aefiiwortBi.-- 
Uoydstl. _ 
MaasouFiaSOp. 
Merrury Se c s . . — . 
Midland £1, 
Da7M68M8_ 
Da»%%930a. 
DOnrter Assets _ 
KaLBkAustSAl. 


[NaLCom.&p — 


[NaLWesL 

BdirodersEl — 
SeccotnbeMCEl. 
Smith SLAnb — 
Sand'd Chart £1. 
cm (Trade Dev. 5L£0. 

290 fUmocDlscIl 

” DD.T 


£15% [Wells 


Wlntnist: 


IT* 


.4 J3 - 8.9 - 


-1 


if 




+2 


25i 4.7 


3.6] 


Si 


zti 




7.6 


6.1 


85 


35 


Hire Purchase, etc. 


$4 

8 


111 

13 


14 

102 


33% 

20% 


481; 


, 311 J 

B § 

85 

30 

9 

35 

23 

10% 


(Cattle's iHdgsi 10p} 34i 2 l 


CteB’creFY.lOO.I 
ttedit Dau lOp. 

IIoor£al!eMeic.l8 

Prov.FinaaciaL_l 

Strtg. Credit IDs. I 

Stum IG. i Kb— ( 


h2.03 

Q12% 


4.87 

htU 


39i; (Wagoo Finance-] 


6.« 9.9 


6.7' 


2Jl 7.61(7-2) 


-1 h2.06 j 25^ 7.4 4.4 


Ht8 

High In* I 


Stock 


[CxriGr'siKE 


IK8 
! High Lmr 


Stock 


26 

48 
58 
82 
58 
300 

41 

71 
99 

73 
105 
220 

72 
97 
84 
26 
79 
25 
23 
47 
35 
15 
47 

35 
66% 
29 

49 
58 
86 
37 

*66 

36 

74 
154 

62 

£270 

112 

92 

78 

70 




168 

136 

68 

30 
197 
118 
134 

17 

45 

03% 

165 

125 

104 
86 
69 
79 

761; 

90 

59 

202 

53% 

105 
325 

93 

101 

81 

31 
48 
87 

•90 

14 

68 

39 
103 
140 
185 

98 

250 

57% 

113 

175 

124 

139 

148 

86 

100 

112 

102 

41 

40 
89 

160 

37% 

50 

55 

9 

38 
160 
412 
282 
144 
280 

174 

39 


20 

40 

40 
68% 
28 

[236 

31 

62 

80 

65 
84 

[200 

53 

69 
68 
15 
60 
19 
19 
34 
21 
11% 
43 
26 
52% 
25 

41 

48 
74 
30 

54 
21 
59 

138 

49 

f?7tl 

64 

72 

66 

55 
J. 2 
1« 
125 
108 

51 

o| 

79 

12 

35' 

£18% 

121 

110 

89 

70 
57 
61 
61 
74 
38 

170 

42% 

, 85 
(224 

73 
88 
60 
18 
38 
73 

65 
9 

52 
37 
79 

112 

138 

J 9 

1210 

45% 

102 

U38 

82 

107 

116 

70 

94 


84 


}CruochtD.j20p— 
pnuch Group— 
Douglas RobLM. 
ITwmffitasOp 
Earns iQp_ — 
Ellis StEsmrd. 
tenth 


F-PACfflBt"n_ 

FairdatgbCoas. 

Feb. ML l£ l p 

Da 'AT to 

Fed. Land fc Bid 
iFisJsjjiJobntll 
FranrisPfa.il..., 
Fib oris i GIL) top J 
FrendiKier__ 
GaDifwdBr.Sp- 
GibtaD'th AlOp 
GleeHmiaJ.iIOp- 

QossopW.&J 

G"gb Cooper 20p. 


Hnaerin riiam 

jDaRes.\Tg.— 

(Howard Shut lCp 
LDC.ay 


Cal’nderiGSOlflpJ 
CarrlJohn) 
Cama 


■lemenrRiBdstiHM. 
jCambenGpL lOp 

CoGntryjideSp— 


HamsonJ.lOp... 
Helical Bar. 
Beufsn/ATOp. 

BemferTncli.W.u 

EevdenSL10p_ 
Da7ncCtrcv._ 
ReywlWm50p_ 
Higgs fc Hill 


IbstockJohaseo. 

,Int. Timber 

Ij-H. Holdings 5pL 


DareistJ 



llafarge 
Ming <John) "A"". 

Latham (J.l£t 

flavreace(W.i_ 
ILeechfWniiahi. 
land Paint — 
WFJ.C 

akm Brick 

DireHlY'.J. 
[McNeiD Group _ 
*Sthm. 
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53 4.a 
43t 4.8 
33j 2J, 
O 2W 

* 2H 

• 1 l.J 

4.3 ll 

3.a 3.7 




2 . 4 . 

48 iS 


INDUSTRIALS 

(MisceL) 


99 . 

66 

42 

IS- 

56 

61 

318 

67 

51. 

62- 

35 


92 

79% 

52 

35 

36 


50 

54 

& 


13% 9»j 
[216 174 


63 

1114 

79 

260 

J 

52 

82 

£38% 


45 

95 

63 


L45 


AAR 

I.VCBRMeareh. -! 90 
Urensraihoi- Wp 

Abbe}- Ltd 

AbraMMstotUfe 
.\iriixIiuKa*p- 


66 

u 

»SR3SiJ 

Ant Aju .Vpbad^i 51 
ArensomAilOp. 


51 

561 2 


AwK. Lci'oreip-l 
AiiSpn;cr?r 

AxOTRub&tf-l 216 


32 

12% 


HRAGrvup. [ _5W 


60 

31 

62 


RET. WA 

BOCintnL 7b 

HTR 260® 

BairiiWm.)£l— 175 

[ITB 2 I&S& «SF. 215 

Barr i WAT. *A" 93*1 

Barro* Hepburn 31 
Both k Portland . 65 

BarierTra+enol. £32% 

3)3 152 ReatowCSffli— 200 
678 583 Enchant — 660 
16 12% BeUairCos. IC5>-. 16 

28>a 24 Benmnfl 25 

62 54 Bertrfords 53 

" Berwick TSiapo_ ,52 

Bcstobell 364 

Biddle Hide. — 82 

BdnrcatcdQ*.. 48 

BillamiJ.tlOp.— 

Block .\iruwnto. 36 

Block Ede"tn50n U3 
[Black imDdzs- 337 
EodtroCelnfL— 63 

28 BogodPei’.VIOp- 34 

27 Booker McC. Sap. 258ri 

73 BoaseyfcHartes- 187 

25 (BoottHeaiyiSOp- U7 

1 224 

W.USStSO. £» 

a 198)8 

79 iBreby Leslie lOp. 88 

56 J Brady lads. 64 

110 htenneriiuaep- 133' 
101; IBndECBd Proow? 

90 

29 (Bndport-GOOp— 

56 IBB&EA 


"S 

265 


. 46 

"» 

45 

38 

26 

% 

125 

61 


231 


,£2SM£17V 
205 1163 


10% 


__ , 45' RntClaeT.lSjpJ 
2£ Py Brit Steel Coast. ( 

29% I 23 Bnaahis.- 


60 

59 

■* 

88 

28>2 


(615' 1385 iB.R.Prop.SA2_l 610 
55 tewkStBr. 


B -. lOpi 70 
at»p. 28% 
nr. Sent 55%fl 
iMnssL. 104 

™ 78 

iSp — — 171; 
udTatr 


32 
72 
26 
99 
90 
. W 
67 56 

124 108 
94 62 


(Bury Masco 17%pj 90 


122 

73 


96 

190 


142 

37 


74 

55% 


76 

146 

107 

30 

62 

41 


.RlmnsLlOp.- . 

4nauri2Dp 124 

DoB— 113 

r2to 68 

61 

ape Industries. 123 

“t** a. 

larltonlnds. 190 

Icawiods 134 

Celestion Ind. 5p 15 

iMfa-lOp. 71 


252 130 
56 44 

43 36 

47 -17 
23% 18 
77tj 65 
99 70 

140 111 
66 58 

130 103 


, mnGp. 46n) 

jChatabluPfeUiy 43 


3j 62 5.4 
■7[ 5.9 71 


FOOD, GROCERIES, ETC. 



■T.Wp 

.tInLlOp, 

JbubbSOp 139 

(demertt) 66ai 

lo(R.RV —108 
, _ WrtbaopL 
£205 2 JCoritXGrp.Sl— 
contSlatwayil ... 

AUmanSp.l 60id 




|S na tf 


DinkieHeelSp.. 
Diphsaalnvs. — 1 160 
kl(H>. 


CowadeGrUOp- 59 
i(J.150b...— IK 
NidtulOp. 77 
Bouse £1. 135 

bwldiSfffl 12? 2 

Dawson tins. ) 127 

- ._ .DeLaRae 320 

87 

£87i L 
21 16 

164 128 
85 67 

69 63 

£38% £24% 

38 30 Doras Snrsl 11 

27% 15% Drake 4 Scull. _ 
j 3% 27% DafayBitnm. lOp 31xc 
152 122 DunbeeCom lOp 130 

3)p_ 48 

[Duple lot 5p 14 

Duntpye— 105 

DrakUrtmplOp. 8% 

Dykes (J.) 30% 

" nU.4J.1__ 60 

"A" 59% 

CCanslOp 15 

PraLSp J 102 


DonaJUdgs. lflp_ 
r Corp. ESS) _[ 


£36' 


42 

12 

93 


53 
14 
131 
10 

31% 25 
60 54 

59% 49 
18 12 

102 80 , 

250 220 teUwInds.50p_ 250ri 
16% 12% WbiefSp 151; 

«% W%iecoi3pT^I 

47 36 (Elect Ind. See— ( 47 


ENGINEERING 
MACHINE TOOLS 


ACEJtoehmeryJ 

AP.V.50p 

Arrow 



168 

258 


46 

lb4 


76 

122 


47 

157 


160 

63 


152 

187 


78 

30 

137 

n* 

138 
6b 

[100 

40 

134 

140 

55 

114 

%63 


119 

243 


191 


158 (129 
83 


101 

133 


320 

460 


70 

71% 


106 

118 


100 

204 


172 


Border Brew s— 
Brown iManhewi 

Buckley’s Brew. _ 

BnlmenH.P.1 

iBurtonwood.- 
(cityLoa Del- 


154 


109 

270 

360 


62 

95 

94 

E% 

[185 

145 


Allied Brews. 

AiuL DfstPr.lOp . 

BassCharignm— 
Bell Arthur 50p_ 

Beiharea Brewery. 


X9) 6.4112.8, 


- oM - 


321 42h10-5 


^ 2-8ji53( CINEMAS, THEATRES AND TV 


[Clark iMatthewi.i 

IfiatfliersPOp 
18 teontomUlt 
Gough Bros.! 

93 WreenallWhitied 

213 [Greene Kug | 

Guinness- 


-2 


3.91 
3J0 

3.92 , 
+1.64 
U6.6 

[3.10 

Jtsiil 

1 634 


Highi'd Distafr 

Dnereordou 

Irish Wkiiters— ) 
X (j>CaRan Glen I 

HorfeiKi£]_- 


50 tjandesnas— ._ 


Scott 4 New 20p. 

Tonrilm . 

Vaux 

Whitbread 

Wolv. Dudley 

Young Brev A'Sftp 


>U%p. 
Assoc. Tooling— 
.\straIndllop-. 
Aurora 

Austin Uaa»s)._ 

Axerys. 


lAu^iaTV-A"— 

[Ass. Tele. “A' 

[Grampian "A" 10p 
(Green Group lOp 
HVrdWy'd20p- 
HTVNf 
LWTA, 


! BediTVPreLEl, 
1 Scott TV “A" 1 Op 
% TritftTVA’ ]0p. 

, ! Ulster TV-A"_ 
23); (Westward TV I0p_ 


-1 


+1 


-3 


r 3 


133 

+s6.6 

+6X9 

6.04 

238 

2.83 

T3.93 

+X65 


fa 


23| 8.6 
23 


Babcock &W 

Bailer 1 C.R 1 

Baker Pert. SOp. 

Bamfard$20p 

Banro Cons. 20p _ 
BaitoaiSons— 

BeaniordlOp 

BeraniDJ.)5p- 
BinnidQnakast 
BomghnLKnt 

B’bam Pallet IBp 

BlackWd Hodge 

Blaieys 


BouhoaWm l 

Rrn ham Mill 

Brailhwaite£l— 

iraswaylOp 

E’hooseDutLir 


DRAPERY AND STORES 


13.0 
1X9 
136 

12.0 
15.9 


[AlTied Retail lOp [ 


BUILDING INDUSTRY, TIMBER! 
AND ROADS 


95 


164 


17 




1272 


251 


34 


15 


49 


129 


27% 


, 81 
138 
13 

, 59 
220 
[203 
31 
10 
44 
100 
20% 
17 
47 
64 
64 
61 
75 
21 
24 
48% 
36 

190 h75 


31 


57 


69 


75 


67 


86V; 


32 


57 


58 


174 


25 


22 


[Aberdeen Const. 
AberthawCem— 
Allied Plant lOp. 
[AnnstageShoki. 
pLP. Cement £1_ 
BPEInds 50p 

leyBenlDp— ! 


Bairattl)er.lOp_[ 
Beecbwood lOp- \ 
'BenknSfa.- 
Brnford M. I0p_ 

Bed Bros. 20p 

Blockleysajp 

BlunddJPenn— 
BreedonLime _ 
BnL Dredginp . 
[Brown Jksn. 2flp 

[Brownlee-. 

Bryant Hides. 

BurnecAH 

, Smt Boulton £1_ 
|CRotwy , A , ll»>- 


+% 


*■7 


-1 


+2 


X2jl03!ilIXll% 


|AquaKUtoin5p._ 

utk A'Sp_ 

AlidiotnxiiclOp_ 
: Baker's StrelOp. 
BeattLtiJj'A'—. 

Beaalls I0p_, 

Blkmu6Coa.ahi_ 
BoardmanKOto 
Bolton Text 5p_. 
Bremner 

Ml Home Sqs._ 

Brown iNi 2 (|p„_ 
BunouGrixato. 
Do.'A"NV50p_ 
|CantcnTA’2to_ 
MattS.) lOp. 


+1 


xl 


■1 Dress 5p. 
Courts "A’ 

I Qv nys — ftft _, 
CuaomagKlfljl. 

I DebeobauE ft 

DewturstlOp I 

Dinas Photo lOp 
□list Golds?.. 
Emjdre Stores— 

| Fwiwi W r BOp _ 

' FairdileTest.Sp 


iDa-A'to— I) 
wAnDeis.5p 


: Fine Art! r 

i FordiJrtiailOp. 
FormuuterlOp. 
Foster Bros..™— 
KeaaiaasiLonj. 
GelteriAJjaop. 


+‘3 


+3 


133 

133 

43-J 

bd037 

2.32 

X18 

X04 

0.98 

062 

3.82 

bZ! 

<1235 

15 

13 

+2.M 


37 

3.24 

d0.48 


+3-18 

434 




+%' 190 5 
+1 4.82 2.6 


1.06 
106 
4181 
, 82.02, 
td3.78] 
1 23 ' 
5.94 
T237 


331 6.41 


is 


X9l 


iRi 


9 . 9 ( 35.1 

11 9| 5.0 


-I ±i - 


(6.8.' 


British Northrop 
Brit Steam Sip _ 
Brockhouse 

B