Skip to main content

Full text of "Financial Times , 1978, UK, English"

See other formats





No. 27,571 


Tuesday May 30 1978 


lop 



CONTINENTAL SELLING WICB, AUSTRIA Sch.TS, BELGIUM Fr.25; OEHMABK Kr.3.5, FRANCE FrJ.O; 


<%> 

1975 


Ilf Travis 
& Arnold 

Timber, Building Materials, Heating and 
Plumbing Equipment for the Construction 
and Allied Trades. Northampton 52333 



GERMANY DM2.0; HALT U500; NETHERLANDS BAP; NORWAT KrJJ; PORTUGAL ScJP; SPAIN WB, SWEDEN KrJJS: SWITZERLAND fr JJfc EIRE iSp 



warns 
war 
risks 


of 


GENERAL BUSINESS 

N. Sea 
oilfield 
costs 
go up 

• PIPER and Claymore North 
Sea oilfields will cost the con- 
sortium headed by the Occi- 

SSu r™? th - vs - ssr-sss s;is 

*u - j- L nion du Pl«cIiv in went costs, according to an 
tneir disarmament proposals and industry report 
nas predicted that one of the The report comes at a time 
super pouers will eventually go " he n recoverable reserves are 
to war against the other. * being down-graded at Claymore. 

“-V H,,=„ b Hup. China's Back Pase 

Clt l n Minister, told the UN © OECD member countries are 
fcpeciai sessmn on disarmament meeting in Paris to discuss 
inar Russia was the “most measures to give a . moderate 
au ngeroux sourre of a new world boost to economic demand. 

“ chief Jr 'insii';alor’' ?1 ’'of t0 another own* 11 e ™ virth fo * 01 e 
global conflict Jnoiner OECD area this year is esn- 

. . mated at 3.5 per cent, and a 

une superpower is bent on sharp rise in unemployment is 
expansion." hr said. “The other expected unless action is taken, 
has ns vested interests to pro- Back Pase 
tect. An tne struggle intensifies. C **** 
they are bound to fight it out © OVERSEAS earnings of 
sonic day. Britain’s main service industries 

. should grow by about 0 per cent 

Terrorist inquiry this > ear - according to the com- 

af! __ „ riarm . , . mi t tee on Invisible VExports. 

After a storm of outrage over page 2 
the freeing of alleged terrorist 

Til! Mejer, West Germany’s Jus- • INDUSTRY SECRETARY and 
Uce Ministry has announced the the Agriculture Minister are to 
arrest in Yugoslavia of four be asked to take action on 
people wanted fur last year’s alleged EEC discrimination 
series of murders of prominent against New Zealand produce, 
people. following reports that a £40m 

West Berlin’s mayor has asked shipbuilding order frwn New 
for a full renort on securitv at Zealand will go to Poland, rather 
ihe city's Muabit J’rrson after ,han yards, as Poland has 

Mover's weekend escape. Page 3 forced to take more New Zealand 

produce. 

Policy query p 

Tory Ml's are i«» ask the Shadow vyrOCGHCS 
Cabinet Tor a definitive statement . V 

on the part> ’> policy un industrial cost more 

rel.ii tons .uni tin- utnnns. A Tory 

report leaked to The t’cnat'im>t O PRICE uf meat and vegetables 
put forward proposals for rose sharply during May. afid Cite 
denationalisation and listed Financial Times grocery jindex 
unions with which the Coti«ena- rn>i? 1.3-1 points to 103.11. Page*'’ 


Americans accuse 



ussia as 




BY REGINALD DALE: WASHINGTON, May 29 

Western Baders gathered in Washington today for their two-day spring NATO 

^ s *S ns of a toughening in US. amtudes 


toward the Soviet Union. 

dill a M T’ e -"--- eleVi — " Pact . in the nest decade and be- 

President 


S. Africa 
foreign 
company 
curb 


vi.w Hr. Zbigniew Br™. ““ ~ 


. Carter’s national The NATO leaders meet operative aspects in U~ S -Soviet 
security adviser, accused Moscow against a background of efforts relations. The romnaiKS 

!nH V «u^ S r th « cod ® ? f d * t - ente ? b , y P 1 ® tw0 ^Per-powers to con- aspects were now surfacing “ dim 
and called for “an international elude a new strategic arms limi- to the shortsighted Soviet «,n 
response” to Soviet and Cuban tation agreement {SALT 13). duct in the courae of the Si 
military activity in Africa. After a week-end meeting in two or so years." 

Mr. Brzezinski, who has just Carte J! a? 4 It troubled him that Russia 

returned from a visit to Cfcna, So " et “had been engaged in^a 

gave a clear warning that Mml5te t both sides sustained and malsWe effort to 

Washington would form® closer 35ft build up its conventional forces. 



..«M.U 8 LUU WUUJU ionn Closer nn sBr B »m»nr.lmV,7 ----- oudid up 

ties with Peking if Moscow did nmmhs Ifertue. U ^ Wght Particularly in Europe, to 
not exercise resriaiuL The U.S. t* w __ _. ea nn h«. i, stren 3th®n the concentration of 

interests^ he ^ b'M, "T/e. ^ “•*■« “"the **■*■• of 

nierests. he i said. Gromyko will hold further talks China » l ° maintain a vitriolic 

. further gesture of with Mr. Cvrus VanceTthe US Probanda campaign against the 

American disapproval of Mos- Secretary of State, In New York ?’ s - 10 encircle and penetrate 
cow s policies. Mr. Joseph on Wednesday tho M id d le East, to stir up racial 

SSSL" 0 *-?® J?* S * of Although they do not neces- ^c^^s in Africa, and to make 

i ^° ucatl0D aQ d Welfare, sarily reflect the views of the more ififflcult a moderate solu- 

a nicely to postpone a visit to entire Administration, Mr °f those difficulties, perhaps 
Russia in protest at the Brzezinslti's comments are t0 seefc ra o re direct access to the 
maximum sentence imposed on thought here nnlikelv to improve Indian Ocean." 

SLi® 1 0rl . ov - toe dissident the atmosphere for the SALT In another U.S.-Soviet incident 
Physicist, for anti-Soviet negotiations. Nor ari the Rus- at the weekend Mr Vrnltl 
actlv,tles - sj ™ f J}kely ^ be pleased by bS publicly SSSrithS’i^gSS 

Mr Califano had been due to ^ 1 P fi k !TI - h f had aCted on ia correct i'nforma- 

«at Moscow on June 10. 1ST™ ttaSSfi- critidsin S Cob m support 

Mr. Brzezinski s remarks come Last week Mr. Carter while ? r Pf recent mva5ion of Zaire 
as the Vestern allies prepare to stressing the continuing 'impor- by Katan8ese rebels - 
-,ive the go-ahead to strengthen- tance of a new SALT agreement. 7116 White House sharply 
mg and streamlining of NATO warned tLat Soviet policies were storied fiiat the President's in- 
SKSF" i 0 u meet the growing likely to make its a beep tance by formation was correct 
military challeng e of the Warsaw the US. Congress more difficult The West dos es ranks Page 12 

Print union chiefs in new 
talks to end disruption 

• SCOTLAND'S 7.000 b.l»la art BY PAUIJNE CLARK. LABOUR 5TARF 

w to arhilrstion or whether an agreed to meet at TUC head- prompted by what is seen aTa basis that*^tw ° D 

"Uicutl over lime ban should be quarters on Friday at the start Jew climate of ro^perationb? S hoods j£? r in t £? a U .? i0n 

introduced. This follows five °f w ^at they set as a new con- Fleet Street manaseE" y F «n danger.” 

fun til clear befnro lili'mnu t:p ucvkn vf unofliciel action in the ? e *I ted dr . Ive *® restore order to Mr. Bill Kevs General secre- lost betwem^iii baVe 

the T ,; -i lh- Cv.’k w r t i>f Scouund which has cur- mdoGtnal . relauons in Fleet tary of ie l^geft SSin^con Se Sriren^keme?' ^ 

t.i lifter M.-m \ a, I. Ml supplies. Street. ceroed. the 200.000-strong Sodetv ~ "■ 

Pace 6 


lives could 
Back Page • 


hate a .sIuiwiUhwl 


Eleni V delay 

Kny.il Navy explosives experts 
were waitin’: \e>i«-rd.i.\ f*»r thick 


I The print leaders' concern to STS J5L* 5od«y Bat with the recent upward 
War crimes retrial tackle the problem \pf repeated emiainPri V 1 “reflation, Mr. Dong- 

. ® POLAND’S trade deficit with rebellions against union disci- traders hari y oftpn d hL.n^fniL-»ri!. 0n pa |l er,s P° sitiQ n 

Duic.i Sup iv iik* i . 1 : 1:1 quaxlieil w es'^m industrial countries was pline among Fleet Street chapels to 3 comrot P th* e «lS? bas changed significantly.” and 

\-k* ci»nv:eti.i:i ui imlli.*n:.uv art ,. u! ^ j ia jf i ast year to Slbn, follows last week-end's crisis on ^. hpn "l t ^® t . past ? plans t0 puraue the claim with 

culhvtar Pieler Men ten ,n w.r « tTt> vdini to tbe Gennan Insti- The Observer, when striking SSnS!? 8 !^^ J-f 1 

ermirs rhar:c< nr.J onierrd j „f Economic research in machine-minders decided to re- j ® as,1 y union leaders are 

re l nol. He wj» found cutlly i.'»t \\ o>t Berlin. sume normal working only just l+-«?LJr e demands of a'M drawing encouragement from 

” - 1 - ‘ ! - unomtiai strikers. a similar strong stance beine 

ys strong taken by the Mirror Group 

ann tatpn hv t ho Hhcorrmr XT^ . — . . F 


December uf inv.uvemeni :n |he 


ni.i>!. execution in imi 
Polnh Jew*. Pa«e 3 


of 9 UK TYRE manufacturers are 


in time to save Sunday’s edition. 


Labour lead 

L^fv.ur emerged uiiu 
veal icjd over I lie 
Natiunj!:>t J’.irty m .i 
Herald pull on lu'.ilii: 
Hamilton Iiy-eleeuun. 

Briefly ... 


I’P per 
S.-ntii.-li 
l.il.d'-JUU' 

in the 


The Observer mana»«nent y weicomea me strong taken 

ru seek anti-dumping measures] which had threatened national Siri d t hft e tL b n^nn??.™« e L® nd ^ ainst ^ Nati °iia] Graph ici 

from the EEC against Eastern onion officials with closure if r^t Association machine-minders, 

l = : res ,m P° r ted mlp Britain-| disruption caused *y » * fi ES»* ".‘fccS™ SMBM SLSS "of 0 ^, 

„ . . ...... a JSFS& „“J .. RccBlIle magazine in paJdTg 

Earh loan £ a r J e e e r k er f 0 1 8 c . k [r ^: - , . • “ e t ^g de ' s morning news- 

repayment Ttt. Nicholson, joint S’ fi™’ an? now T “^'Sreets wSerta? 

‘ BnCT %r%£ Sffls sr-srs.-LSS ^ 


BY QUENTIN PEEL 

JOHANNESBURG. May 29. 
DRAFT legislation which could 
be used to prevent companies 
operating in South Africa from 
complying with orders of foreign 
Governments, as we’l as the 
judgments of foreign courts, was 
tabled in the South African Par- 
liament today. 

The Protection of Businesses 
BIU. presented by Mr. Chris 
Heunis, Minister of Economic 
Affairs, cuts directly across the 
UK Government plan for tbe 
subsidiaries of UK companies in 
South Africa to report regularly 
on their industrial relations prac- 
tices and black wage rates. 

Observers here believe it 
could also be used tn prevent the 
subsidiaries of foreign companies 
from obeying the restrictions of 
tbe UN arms embargo on South 
Africa. 

The Bill says that no order 
given by a foreign court or Gov- 
ernment shall be enforced In 
South Africa without the Min- 
ister’s permission. 

Nor shall any person in South 
Africa supply any information 
about business operations either 
inside or outside the country 
without such permission. 

The legislation is a combina- 
tion of two previous laws, and 
does not introduce any new 
principle in tbe protection of 
South African companies. But 
observers believe that the scope 
of the law will be considerably 
wider than before. 

Subsidiaries of British com- 
panies have been allowed to 
report details of their operations 
only with Ministerial permission 
since 1974. 

In effect, that has meant that 
only those companies with more 
than 50 per cent British interest 
have been allowed to do so. 

The new Bill would give Mr. 
Heunis an opportunity to recon- 
sider that ruling and perhaps 
extend it to all companies with 
local operations 

The other existing law, the 
Reciprocal Enforcement of Civil 
Judgments Act already pro- 
tected South African businesses 
from international court orders. 

But a provision for bilateral 
agreements between South Africa 
and other countries appears to 
have been dropped from the 
latest legislation. 

Tbe provisions of the new Bill 
will apply to virtually every 
sphere of economic activity, 
including the production, import, 
export, refinement, possession, 
use, sale or ownership of "any 
matter or material . . . whether 
inside, outside, into or from the 
Republic." 

The proposal that no “order 
or direction . . . emanating from 
outside the Republic" shall be 
enforced without Ministerial per- 
mission, is seen here as cutting 
across directions by Western 
Governments to international 
companies not to supply any 
military material to the South 
African Defence Force from their 
South African subsidiaries as 
well as from non-South African 


Hill Samuel 
loses battle 
over Herstatt 


BY GUY HAWTIN 


FRANKFURT May L’9. 


WJOTHER chapter in the saga tail, although there are plenty 
of the Baokbaus Herstatt col- of examples of the reverse." 
lapse was closed today, when the Observer* hav* Fnr- com. 
West German Federal Supreme timrSt tiie case seemed to be 

aoSSl a£a^t he th? Un a d w^ri llk of g0ing both Hi >l Samuel 

appeal against the award of an£ j Merck Finck. desuite iud*’- 

n^Ph^t l0 htllL Samue j tb « U “ents of the two lower courts.’ 
merchant bankers and Merck. Indeed relief at thic , 

nrivate bank*" ° leadine Gern,an Supreme ’ Court decision uphold- 
private hank. ,ng the lower courts’ judgments 

In its judgment, the court would have opened the wav for 
over-turned the decisions of two a whole host or cases that could 
lower courts which were highly have seriously hampered the 
critical of the Bundesbank’s central bank’s operations 
handling of the affair. 

Two years ago. the Higher f'lrirrinol 
Regional Court in Frankfurt v^llglllai 
rejected the Bundesbank’s appeal .. _ 

against a Civil Court’s decision <,,5^1" 5°’- tb ,f . Su P rerr, f Court s 
to award Hill Samuel DMlOm IS S.reeted *£tl» 

f£2.3m) plus costs against the S£m,.ni t w the forei ^ n ? ank,n S 
Central Bank, for failing to halt " f lty , 1 . here ’ partlc , uIar, , y ln 

the clearing of a foreign ex- Ylf.V . the extremely sharp 
change transaction although it nfflL 1 i > l i Sm J ev *l! ,c ? at ® un ^ tfS bank 
already knew that Herstatt had °^S‘ a,s by Iower courts, 
collapsed. y? e Frankfurt Civil Court, in 

Hill Samuel, which sued lhe . ori Sinal award of 

through its Frankfurt-based sub- the Bundes- 

sidiary, said that it was accepting action four days prior to 

the Supreme Court’s judgment l a drawin S three major 

as final. banks into moves to save Herstatt 

Sir Robert Clark, the chairman, los'ses'^of ovir y mS U iK Sed / k 11 * 

»^ t S?eo 0 to 0 !f er,e8aIclia ” ,ie,s T bn> Eave ,h ™ a " »*«” 

were open to it. advantage over other banks when 

There was no official comment rescue talks finally failed 
from Merck Finck and Co., to Thic rnmnmm 
which the lower courts had heart of the West f>™nn f«t tbe 
awarded damages of DM 880,000 of rescuing companies in finan- 
Plus costs. cial difficitities. 

IlirlcrmPVlf «« In r e * ecl ? n 3 Bundesbank’s 

if UUglfJEUl appeal against the Civil Courtis 

According to Hill Samuel !S rt . , ?‘® her 

today, it had recovered some £9m findfa^f* a ° r ed w,th jnost 
of the original £llm foreign i r Ja? d "that ihe R„n^ch l 
exchange transaction with had* a dutv to ?JS^5S? a t 

Herstatt. Its net losses, includ- a il banks i nvolvedTn p 
ing lost interest and legal costs, exchanS " *5® fore<g - , l 

amounted to £i *»m after tax C: c gearing as soon as it 

amounted to £l_!m after knew that Herstatt was insolvent 


No further provisions for this broken down M ' e ** bad final,y 
loss was necessary as the money it had known tw 
had been set aside before March latest, by 23)0 pm mi June 26 
31 last year. 1974, although tbe closure w-i«l 

? ot finally announced until at 


Leimier prcimnni l—iul miml-cr Chmago Merchant 1 bank SrS tiTi^fucatioS * n ^l" s n ? e ans € e ^” . . . After delays in getting the 

j*XK 75S0S5 won weekly f5U.iH«i years before the loan falls due r th« S5f™ “ “ unpucations The Observer has ^ setung.tne 


Supreme Court said that the least oneWdlZithauVslltev 

!S?£S5l nk .A W ^.» ,Uia T er n ° There couJd ^ no logical 
obligation to halt clearings reason for treating a collapsed 

which would hasten the collapse bank as if it were fully func- 
of a bank. tional for longer than reallv 

Such responsibilities lay within necessarv. 
the jurisdiction of the hank- The court harshly condemned 
niptey courts and the Federal senior Bundesbank officials for 
Banking Supervisory Office. not withdrawing Herstatt for the 
The foreign exchange clearing foreign exchange clearing opera- 
system was operated in the tion on the day it closed, 
public interest and responsibility It said: "The culpable negli- 
for the functioning of trans- gence of tbe president of the 
actions lay with the participating Bundesbank (then Dr. Karl 
banks and not the central bank. Klasen) and some Bundesbank 
On the matter of the timing of directors in not doing ihis, has 
the closure, the court ruled, in been held against tbe Bundes- 
effect, that someone was bound to bank in the rejection of Its 
suffer, whether the closure came appeal against the lower civil 
earlier or later. It was not for court j’udgraenL*’ 

the Bundesbank to demonstrate 

bias and decide who was the ? In New York 

most worthy of suffering. ( , . 

In its judgment, the Federal 
court’s decision has taken the 
banking community by surprise. 

One banker said today: “ There 
are no recorded cases of tbe 
central bank being twisted by the 


MflvSS 


Ptviinu* 


Spit i 

_1 month i 
5 month*: i 

12 I] n^Ilt I is ‘ 


Sl-?ieOE17u . 

O-So-O.K .tis. 
1.20-1.12 it in 
fr.3O-E-.20 | 


SJ.8156ai« , 
awui-sodi. 
L2S-1.I* .lis 
fr.4fr<.JS rtn 


VfTT fa l " l,,d rn V ' t h ' ^ ™' BaCK Fa " C ^“Sfere^fs an important g SStSTSf* 

-VfKliaiiistaii '•.'Vfrimn-.it has 9 GOVERNMENT plans new pnnciple to be established. Graphical Association for man- and Media WLi »r,?J 

•illnwod foi'iicitu'ii »’i the logiKlaiion to control the build- which is the men’s guarantee to ning levels to be restored to pre- machine room S 

c.umry’1 tir-i traili* ummis. msJ societies to bring the UK their union of uninterrupted 1976 levels before the paper was extra hour’s orortSe »av whlS 

A diamond the >in* a match- system into line with EEC production, he said. ■ taken over by the U^. Atlantic management refused P 7 * ° 

“ ‘ .Tlie general secretaries’ talks Richfield oil company of America, Later. thiT were five breaks I 

at tbe TUC. which have been Mr. Jeffrey Dongworth, father ip the papeTrolfs prJS? 


l*ii\ ;ind worth more than any renuirements. Page 4 

'•tiler sain in nmderr hn-lnry has , uiuiiffirTinirun _ lr , j — — v. iauier id me paper roils 

been fniintl ;, i ' 'h H ina n. ^^^^sfgn 0UtSl6e ** ° f ** ^ tone-minder* chapel, tion was cance lled. 

■luhanne'diurt: D»; l. ,,| *r> has .-‘•Id ^. vjvmp . lhe CBl Wiiras ,* its l 

V' '! n j latest monthly trends inquiry’, 

a-veral nullum i<.>uinl». Total orders have increased, and 

Eritrean ivIm’I- h.n« - _ et-icu.ited mitput expectations are better, 

:fr.- town ut m.i;mIi*:V'T 4 after |, ul none of the indicators point 
-.ivy K:hui;u.i:i raids which trt rapid growth in the mouths 
L.lh-d at ItM-l I'W pm; *lc. ahead- Back Page 

ranadiaii ilr.irnniicnl has K£C £]v£RGY Ministers fi** withdrawal of the that the last of the token force I 

approved adoption Seet today to decide on a *™? ch lesionnaires ^ Kol- of 150 . legionnaires left in' 

f icphani advertisin'.: s>mhot tor enirn., n ac kaee w 


Fresh attacks feared in Shaba 


BY MARK WEBSTER IN KJNSHA5A AND DAYID WHITE IN PARIS 


, r|h -'.point energy package which ou^oJ^re? Sh^nrn^ ^ )(lf , p - _ ^ r Kol we2i had pulled out on Sun- 1 

?iie Mira he i -urpurt wj J Jould involve the Community in w S-Y 1 ! 8 ? rcste ^ iay , for «*ay night leaving the town pro- 

Montrea:— \ot..d hy pa>>mj.i rfr .is p ndinR £gQQm in the next five wi tacks Morocc ° “ toe legionnaire force tected only by 1,000-odd Zairean 

t he count i.v>- I.’-isi iwpular ■'"“"JgT ve would be launched by rebels on was being regrouped in soldiers. 

■ ' the copper town of Kolwezi. Lubumbashi. Most of the 650*trong legion 


if a Scotsman 
swallows 
his pride... 


British -..if,. r Nick Faldo won • SPIRIT clearances from bond TJe Zaire Govermnent, anxious President Mobutu, who stayed unit bad left Kolwezi on Sam£ 

c'l.rlr p.;.\ ch..n.|.ioi*linw rose nearly 40 per cent in the quell rumours of a panic in almost a week in France while day night and made ite way to 

ark. Ilk* Pace HI first quarter of 1978 compared *e provincial capital of Lubum- French troops established con- Lubumbashi The remain- 

; ■ , , , have with toe depressed first three bashL denied that the first trol over the rebels in Shaba ttoops had barricaded tWiSS 

hriti!»h l-wn^r months cf last year, according refugees had already left for province, is expected to seek into the motei n^r tofreStre S 

tnclu'il a ,,m.p.«!Vii fur a ni.t- |N Custoins and Excise statistics, safety. , , „ , military support from Morocco the town with ortera i Lf to hofd 

Page 6 However, two plane-loads of against further incursions on their eround. t 1 "° ld 

Erii.un -:nm*: :m*iru. women and children were flown Zaire's southern borders. Three , - 

Wni'Ul Chi' tiMin have • BRITAIN’S muunUun of surp- out to Kinshasa on Sunday The Paris evening newsoanpr w? 16 ^ 0f Bel f ian I 

•H-.i that the bedi m lus barley, rbu 20.000 tons or n ] ght and flif . hts from Lnbum- Le Monde. ve^rday ^iKi ’ paratrooper have also moved to 

w *■* “ ' " , rna J!l c J ba^hi arc booked solid. — 


Ilal>’ 

,I;J 


in lus barley, tbe 20.000 
; „'.,r 'iiiie to.-, Aires Imlel are ion qrain bought off lhe 
• ■■in * K.iilo-r. the l-’rencli team 
. <-:i;p'ui:ie.l tlial the Italians had 
| \-« - ii t!i.* lie.*! rooms. 

tv «>il«i i'ui» preview. Page 10 shortage. Page 4 


-ram nought »ne marker » b a«.hi arc booked solid. j senior MorocMn s ourre as" ralm? iSSina^EarW ' 

earlier this year urrier the EEC The government explained out another solo integration bv there tostthey 

intervention suupori system, is I that the Europeans were start- Rabat. * y ,e _ r ?._rr®T e assw l with an 


be 


support 
sold to meet 


current 


JSUJSBJSTSLE S SH , gaKs5SsSi' 

st come *- 
iwever, 

transport extremely tense 


CONTENTS OF TO-DAY’S ISSUE 


! that tbe Europeans were start- Rabat, 
ing the summer holidays one 
week early, but observers in 

J Kinshasa feel that the holidays a year ago.' France then'll ited tusT come 
tnar well become permanent. its participation to logistic cun. Affi 33 “ ere suggest. 

Meanwhile President Mobutu port" in tSe fSrl° 5*gSL!S & ®!L. ft 




«l«er«*a< news 

World trade news 

.Hume news— general 
— lalmur 

Irrhuiral page 

NlanaRemeiK page 


4, ! 


Arts page 

leader page 

U.K. companies 

International companies 
Foreign exchanges 


11 

12 
38 
41 
44 


of Zaire continued his anxious aircraft. ,«<! that it 

search for a foreign power will- The French embassy SS European^™,?!! to .P anic 
ing to fill the security vacuum announced in Kinshasa yesterday Sassexod^f pOBUlat,on ,ntn a 


Mining notebook 


FEATURES 


The NATO summit nii’i’i* 

iiii: 

At hud lr City: The new Las 

Vegas 

Ranking aulnmatSon in |bv ^ 
I'll! led Stales 


Week In the courts JO 

12 Film and video w 


FT SUJRA'EY 

World Banking If 13-36 


Left MP urges workers’ co-ops 

BY ELINOR GOODMAN 

ORTHODOX IDEAS on national!- fledged works r-on-nnprari™ v 

ration have had their day and proposed. P ^ be 5 b JP - « W i i h the rallying! 

should be replaced by new radical This call at , £ a H ?* labours Left in the pre- 


Mr. Norman Atkinson, Tribuneito JUli .reaffirmed his 

treasurer of the Labour Party tioJ * & lST SJ*? p ?^ SnitL oSS?- n, ? Ufitry out of 



VMMIUUnrltl* .. -• 

funding Holes .. 
HllWII OoBl*. 
-uiiBnumon’* Ol* 11 * 

a 

IrttKWOrd , ■ 

Ottrtoiiimrnt GuWb 

oHMnarMi* 

uimitM DUhv 

•MKery Price* 

For 


39 Injur Mice 

S Loner* . — 

C LM 

<U iHilunt 

S Men ami HHWh - 
U Shore ti«*rfnwuin .. 

U Sew* 

AS Today** Ewonc* 

A} TV Md it ad to 
unit Trtau 


39 

37 

OS 

U 

12 

aW7 


work done by the vehicle for achieving this in 
Future prime 'candidates for ^m^ihe'LahSS? LJe. worker co- 


ownership, said yesterday. 


various ad 


S| public ownership did^notTbe said, how . 0p f- ra *^f«t^? er *** old-style 

^ lend themselves to conventiraS iiSSU^ ®LJEtf tan of 


A unit Trtau ~ 

laiast Share Index ’phone 01^6 80-6 


Weather 

World Eco it. led. — 

World Value o H- 

» c ^:r LirA ™ E " TS 3« ?■ S? e d nt , ™lip TPi-fiysal 

S BSJS== 3 CMperatrre rett^wnageineia.- SSSS3T *£*£!“ *21 Se” C«P. "«ie^ 



it’s 

BELL’S 


For a- Start, British Leyland could mean that worker 
dlould te turned into u full,- t£n”s£te r SS 


Continued on Back Page 
Call to close ranks Page 4 


ARTHUR BELL & SONS LTD., ESTABLISHED 1825 
AND STILL AN INDEPENDENT COMPANY 




Financial Times Tuesday May 30 197S 


UK LI) I K.AUL \ L YV S 


Service industry earnings 
abroad should rise by 9 % 


Tokyo to urge restraint 
on export of cars to UK 


BY DAVID FREUD 

OVERSEAS earn intis of the 
l K's major service industries 
should ?rmi’ by about 9 per cent 
this year, according to the Com- 
jaitieo on Invisible Exports. 

In n report published today, 
trii:- imimninee — which comprises 
irainr foreign exchange earners 
h the insurance. banking 
a:-.l commodity trading Indus- 
;jys more than half the 
predicted rise would be due to 
an 'veroasp m volume. 

H.- never, the report is less 

ri \ <*ic ahout the prospects for 

a;’ p'<p:.n-<ion or world production 
sni: Ta.le. It also suggests that 
; ::. , .i!inn :n the UK will continue 
higher than that of most 
competitors. 

>v:mrt W based on a sur- 
vr 'f urbanisations respon- 
‘‘•ir nh-»ut RO per cent, of 
• riv's invisible earnings last 
ye. *r. 


The airlines are expecting the 
biggest rise in earnings this year 
due to the recovery of traffic 
lost through industrial disputes 
last year, the favourable effect 
of currency movements on Fuel 
costs and the effect on the 
volume of traffic of lower fares 
on some routes. 

Lower fares are also expected 
to he a significant factor in 
attracting more tourists, and 
earnings from inward tourism 
are predicted to show a healthy 
rise. 

There are differences In out- 
look about prospects in the 
insurance industry. Companies 
arc the most optimistic about 
i?3 mines. and brokers also 
expect an improvement. 

However, respondents from 
Lloyd's of London look for a fall 
in earnings due to the effect of 


competition on premium rates 
and of inflation on claims costs. 

All three of the banking groups 
participating in the survey, the 
Accepting Houses Committee, 
Committee of London Clearing 
Banks and British Overseas and 
Commonwealth Banks Associa- 
tion, expected a rise in overseas 
earnings. 

Consulting engineers expect 
earnings to grow as a result of 
an increased volume of business, 
although members of the .con- 
struction industry predict only a 
small rise both in volume of work 
and earnings. 

The export houses are fairly 
optimistic about earnings, though 
the shipping industry. Stock Ex- 
change and commodity dealers 
all expect earnings to remain 
close to. or even a little below, 
last year’s level. 


THE JAPANESE Government 
plans to increase pressure cu 
Japanese car makers to cut back 
vehicle exports, a spokesman for 
the International Trade and 
Industry Ministry said. 

He said the move was aimed 
especially at reducing exports to 
Britain. Earlier this month, the 
British Society of Motor Manu- 
facturers said that sales of 
Japanese cans in Britain rose 66 
per cent In the first four months 
of the year compared with the 
same period of 1977. 

The spokesman said the 
Ministry will ask for export cut- 
backs at a meeting this week of 
the export committee of the 
Japan Automobile Manufacturers’ 
Association. 

Despite the Government’s aim 
to redace vehicle exports under 
previously announced guidelines, 


TOKYO, May 29, 

Japanese car and lorry exports 
are steadily increasing. 

■The latest available figures 
show Japanese vehicle exports 
in April were up 19.8 per cent 
over April. 1977, including some 
14,000 vehicle exports to Britain, 
up 43.4 per cent 
• The most difficult part of the 
Tokyo Round of multinational 
negotiations on international 
trade is now problems concerned 
with trade of agricultural pro- 
ducts, Japanese External Econo- 
mic Affairs Minister, Mr. Nobu- 
hiko Ushiba, said. 

Mr. Ushiba said on his return 
home from the U.S. where he 

had discussions with U.S. Special 
Trade Negotiator Robert Strauss, 
that the U.S. had pressed Japan 
for freer imports of 80 agricul- 
tural products including beef and 
citrus fruits. 


World Economic Indicators’ 


cd dental in $lbn chemicals agreement « 


OCCIDENTAL PETROLEUM of 
has signed a prelimto- 
ar;. jcrcetnent with Poland for 
i.i i-wjy supplies of chemicals 
v: .-’i nver *lbn. The Occidental 
cav:-;'-,..n. Mr. Armand Hammer. 
an:;.iunoi.-d here. 

Mr Hammer lold a news con- 
fi?:v!K’e That be had signed the 
aarcemeni with Mr Macicj 
W:r deputy chairman of 

: ; *c P >;:sh Slate Planning Coni- 
iu>-:i.R. It is understood lhat 
a jirevinent will be signed 
in :n n month or two. 
l/ndcr the agreement Occi- 


dental will supply Poland with 
lm tonnes of phosphate rock 
annually and purchase 500.000 
tonnes of molten sulphur 
annually over 20 years. 

Since sulphur is currently 
worth about $67 per tonne deli- 
vered, and phosphate rock about 
$33 per tonne, the value of the 
deliveries roughly balances out. 

Mr. Hammer said prices would 
be determined annually accord- 
ing lo world market prices and 
it was hoped deliveries in both 
directions would start this year. 

Mr. Hammer said Occidental 
would help Poland finance the 


WARSAW. May 29. 

opening of a new mine with a 
500.009-tonne annual capacity, 
taking about three years to move 
into production. 

Occidental will use the sulphur 
to make fertiliser, including 
su perphosphoric acid, which it 
supplies to the Soviet Union in 
exchange for ammonia, potash 
and urea. 

Poland will also use the pbos- 
phate rock, from Occidental’s 
mines in Florida, to make ferti- 
liser. The deal will provide one- 
third of Poland’s phosphate re- 
quirements. 

Reuter 


UNEMPLOYMENT 


May 77 
1,315.9 

5.6 

April 77 
199.8 
53 
1,039-3 

4.6 
1,039.4 

4.9 

6.737.0 

6.9 

March 77 
252.6 

9.7 
1.270 A 

2.4 
Jar. 77 

1.459.0 

6.8 


April 78 

1387.1 
5A 

March 78 
198.7 
5.0 
1,098.9 
4.9 

1.086.1 

5.0 

6.148.0 
63 

Feb. 78 
290.9 
11.8 
1360 A 
23 
Oct. 77 

1.598.0 

8.0 


March 78 

1.400.0 

5.9 
Feb. 78 

202.7 

5.1 
1324.9 

5.4 

1.0503 

4.9 
63)9 0A 

6.1 
Jan. 78 

2993 

12.1 

1360.0 
2A 

July 77 

1 392.0 
83 


May 78 
1366.4 
53 

April 78 
201.9f 
5.1 
1,000.4 
4.4 
1,105.7 
5.1 
5,983.0 
6.0 

March 78 
284.1 
113 
1,410 A 
23 
Jan. 78 
1320 A 
8.0 


.K* 


000s 

% 


0009 

% 

000s 

% 

000s 

% 

000 % 

% 


France* 


000s 

% 

OOOs 

% 


OOOs 

% 


Seasonally adjusted, t Provisional. 


AIRLINES 

MEA makes a comeback 

BY MICHAEL DONNE, AEROSPACE CORRESPONDENT, RECENTLY IN BEIRUT 

EAST Airlines, the passengers and 23,777 aircraft carriers las Alia lof Jordan, Syiiaa 
flae airline of the Lebanon, has movements, about half the 2.Sm Arab, Kuwait Airways, Gulf Air, 
now achieved a virtually com- passengers and 44,407 aircraft Saudia of Saudi Arabia, JSgypfedr 
plete recovery after the near- mov6 ments ^ 1974, before the and Iraqi Airways, 
total disruption ofits schedules ttouhlfia began . Bacll airline would maintain 

durinE°the “vti war that not* Most of this traffic was tin- its existing identity and net 
nniv destroyed much of the doubtedly business, for tourism works, but under the title of 
heart of Beirut but also severely remains low. Tourist revenues of p an Arab Airways would jointly 
dimmed the Lebanon’s position L£967m in 1674 dropped to concentrate initially on provid- 
a _ , ^Middle East business and L£670m in 1975, nil in 1976. and j n g non-stop flights between the 
Kurist centre. recovered to L£200m last y«ar. Middle East and New York on 

Mr Asad Y Nasr chairman A further rise is hoped for this ^ routes — Anunan-Beiret-New 
nf MEA reveals In the latest year, York, and Cairo-New York, using 

annual report that in 1977 the At preesent, the hotel initially Boeing 747s or other 
airline earned a profit of over occupancy in Beirut itself is wide-bodied jets. 

L£20m (about £4m), and about 20 per cent, of the pre* Tb e U.S. Civil Aeronautics 
eliminated what remained of the trouble period, with about 121,700 B 0ard is believed to be in favour 
losses incurred in the two years visitors last year against the 0 f an approach from an Arab 
of “ disturbances." 1974 total of 645.669. Of the consortium for U.S. flights, 

During those two years, for luxury hotels, the SL George’s, ra ther than face a large number 
some months of which Beirut the Phoenicia Intercontinental 0 f separate applications from 
Airport was shut and the country and Holiday Inn are still shut, various Arab operators, 
cut off by air, the airline kept awaiting extensive repairs, and _ . ]an ^ t0 be 
alive by removing its fleet over- the few that are open, such as ^ Jun( T at a mee ting of the 
seas, notably to Paris (with the the Carlton, are thinly populated. “ em ber-ai dines, and it could 
help of Air France a 28 per cent Bat MEA itseIf ^ confident. Its well be implemented later this 
shareholder in MEA). fleet ^ in^ct and its network is year. 

Most of the aircraft— three expanding. Of the 42 destina- Eventually. MEA sees the 
747s and 19j07-320C&— were tem- thras served before the disrup- p0RS jbmty of a Concorde service 
poranly wet leased, that is, ton, all have been restored with haking the Middle East with the 
including crews and mamte- the exception of Vienna. Berlin, rj s nyjnjj supersonically the 
Dance, on charter to a wide Brussels. Warsaw, Accra. Free- w i,oIe length of the Mediter- 
vanety of other aiximes, and t0 wn and Monrovia, and Mr, Nasr then subsonicaily into 

the fleet was thus able*to remain says that the airline will T OU louse. France, for technical 
virtually intact. definitely be back in Brussels and re f ue mng and then supersonic- 

Viemia Bext year - ally across the North Atlantic 

whiiP°a hit Beyond this, MEA plans to to New York. 
wSribition 5 000 suff 6tar * ^ bts 10 new polnts ‘ Q This - Caxmoball" service, as 

fr^mtheJj 0 salaries 6 also helmed Europe and Africa as soon as meA calls it, was the original 
SSainSfnliauidftv MSvof possible— .Amsterdam, Stockholm, brainchild of Sheikh Najib 
the^Sff stavedTn ^'iruL^iard- Dakar. Tunis ‘ MgieTS ' Morocco Alamuddin. for long the presi- 
S* thfSort SsStotiorS^id « and Nairobi lo the dent ^ chairman of MEA, but 

thp airline’s stores East. Of three Jumbos wet- w ho bas now retired to become 

Todav desoite some continued leased - one has been returned, honorary chairman and advisor 
unrSst and ^he LSli S is now flying on the routes to the Board. The plan is being 

into fte^outh LrtMon i s C tryine to London a P d Parl s f f? m Beirut kept alive, however, by the new 
to recover its business and tourist and pomts m the Gulf ‘ . chairman, Asad Na», and is 
status. Traffic passing through The airline also has ambitious likely to be considered seriously 
Befrut Airport last year plans to become part of a major by Pan Arab Airways, now that 
amounted to just over 1.4m new Arab airlines consortium Concorde flights are being 
— ■ 1 — ,.i - — — -« that would also include such accepted into New York. 


“Without ECGD’s insurance we could not have developed as 
we have. Two years ago we began a programme of exploring new 
markets which has taken us into areas as diverse as Eastern Europe 
and South America. 

“In a period of rapid change and growth ECGD have backed 
us all the way. 

“From simply supplying glass work plant we have expanded 
into the provision of complete back-up services to glass manu- 
facture.That is why we have made use ofE£GD’s special Services 
policies and performance bond guarantees^ as well as the basic 
policy to insure payment for the goods”, 

Stuart Johnson is Chairman of Penelectro International Ltd. 
of Leigh-on-Seaj whose exports of glasswork furnaces account for 
85 per cent of their turnover. 


Contracts 


• British Ropeway Engineering, 
in. a new collaboration agreement 
with tbeir Indian associate, 
Usha Breco Ropeways, of 
Calcutta, has undertaken an 
export obligation of £3.2m which 
covers a wide range of 
mechanical handling systems in 
addition to aerial ropeways. 

- 0 A £2m contract bas been 
■ awarded to a Staveley company 
i for electrical installation at the 
i Port Rashid Extension. Dubai, 
\ being built by the Costain-Taylor 
Woodrnw joint venture. The 
electrical contract will be 
handled by Zener-Colston. a 
company’ recently established 
with local partners Zener Elec- 
trical Services. Dubai. by 
, Colston Electrical, a member of 
the Staveley Industries group. 


0 David Brown Tractors of Hud- 
dersfield, has won an export 
order, worth approximately 
£400.000. covering the supply of 
50 tractors, technical assistance 
in establishing service/repair 
facilities and a substantial con- 
signment of tractor parts to Sri 
Lanka. 

O Orders received from the 
Arabian Gulf by Ptessey Private 
Communication Systems of Not- 
tingham has topped the fljm 
mark in the past 18 months. The 
latest sale is for private auto- 
matic branch telephone ex- 
changes from Qatar and previous 
orders for manual switchboards 
and telephones are still being 
shipped to the United Arab 
Emirates, Bahrain, Amman, and 
Kuwait 


SHIPPING REPORT 


Tanker rate boost 

BY LYNTON McLAIN, INDUSTRIAL STAFF 


z'ZJip , 

E CCD irsuresfrom date cf contract or despatch of goods. Caver is availa ble for co ntracts m sterling or other ap^v^d currencies for: Continuous sales worldwide of raw and processed am- 

ECOD 

. * INSURANCE FOR BRITISH EXPORTERS. 


BUOYANCY in the dry cargo 
market helped boost oil tanker 
rates last week as owners of 
combination carriers opted for 
grain, iron ore and other cargoes. 
This had the effect of reducing 
competition in the oil market 
leading to firmer conditions in 
tanker trade. 

Trading in tankers was not 
very active but for the first time 
a large number of charterers 
sought very large crude carrier 
tonnage. One company feed 
rates on four vessels totalling 
lm tons, for a charter from the 
Gulf. 

Elsewhere rates have been 
slow to react Most of the units 
have been at Worldscale 19 for 
the larger VLCCs and World- 
scale 20 for the smaller vessels. 
One 220.000 ton ship was fixed 
at Worldscale 23 for full sptvd 
steaming, or Worldscale 21} for 
slow speed. 

Two ultra large crude car- 
riers were fixed, a 395,000 ton 
vessel at Worldscale 17 for 
Mediterranean discharge and a 
310.000 tonner on reduced cargo 
of 295.000 tons at Worldscale 
18} for a voyage to Europe. 
Several smalled vessels bad suc- 
cess in this area -with a 93,000 
ton ship bound for the east fixing 
at Worldscale 40. 

In the Mediterranean and West 
Africa there is now a dearth of 
Ti earl y tonnage, and owners noted 
several gains, as combination 
carriers moved to dry cargoes. A 
U.S. oil company fixed a 104,000- 
ton part cargo from West Africa 
at Worldscale 3&1 for discharge 
in the West In the Mediter- 
ranean a typical fixture was a 
97.000-tonner at Worldscale 45. 
for U.S. Gulf discharge. 

The stronger dry cargo market 
has also affected Caribbean 
trade. Rates firmed up moder- 


This advertisement is issued in compliance trifli the require- 
ments of the Council of The Slock Exchange. It does not 
constitute an invitation to any person to subscribe /or or 
purchase any Preference Shares. 

LIBERTY & CO., LIMITED 

(Incorporated in England under the Companies Acts, 
1362 to 1890 ; 

Issue of 577,500 9.5 per cent. 
Cumulative Preference Shares of £1 each 

The Council of The Stock Exchange has admitted 
the above-mentioned Preference Shares to the 
Official List. Particulars of the rights attaching to 
them are available in the Extel Statistical Service 
and copies of the statistical card may be obtained 
during usual business hours on any weekday 
(Saturdays excepted) up to and including 13th June, 
1978 from: 


ately. A 76,000-ton cargo from 
the Caribbean to the U.S. Gulf 
was fixed at Worldscale 55. 

Shipbrokers were optimistic at 
the end of last week that there 
will be a substantial rise in rates 
for VLCCs when Japanese imple- 
ment a storage scheme, perhaps 
in the autumn. This could in- 
volve between 20 and 24 vessels, 
John I. Jacobs said. 

Other brokers, including Gal- 
braith Wrlghtson. said there was 
likely to be stiff er competition 
among charterers for smaller- 
sized VLCCs during early June, 
as Middle East capacity moves 
from surplus into moderate short 
supply. 

On the dry cago market, de- 
mand for Panamex bulkers has 
continued to strengthen. For a 
60.000 tonner the rate reported 
last week by Denholm Coates was 
about $6,500 per day for a trans- 
atlantic or River Plate round. 

Financiu, Trvffl. paMIriicd dally except Snv 
dan and bolldan. U.S. Bubscrlpuon £200-00 
•air frctsbli SMO.OO (air maili per annua. 
Second clan potuwe paid it New York. N.Y. 


Al Saudi Banque 

announces 
that the second half 
ot its capital Increase, 
i&FF 25 Million, 
was called on April 35ft. 1P78> 

thus nuking 

tfie total authorized capital amounting 

toFFIOOMdlioa 
fully paid in. 


Baring Brothers & Co., Limited. 
88 Leaden hall Street, 

London EC3A 3DT. 

30th May, 1978. 


Caxenove St Co, 

12 Tokenhouse Yard, 
London EC2R TAN. 








- Financial Times Tuesday J£ay 30 197S 


SlffiTiRSEAS NEWS ; 


Japan to 
boost 
aid by up 
to $!bn 

By Charles Smith 

TOKYO. May 29. 
■TAP AN is believed to have 
decided in principle on a major 
increase in jls contributions to 
development projects sponsored 
“>■ the World Bank and a new 
system of financing which would 
effectively untie this portion of 
its aid. 

The scheme, known as “joint 
financing " calls for Japan to 
make available a pool of money, 
possibly (between S500m and 
t-lbn. which could be used on 
soft loan terms for World Bank 
projects alongside similarly 
untied funds contributed by 
other nations. 

Japan would be consulted on 
the choice of projects which 
would receive money from the 
fund hut would have no subsc- 
nuenr control over their imple- 
mentation. 

The “joint financing ” pro- 
posal was put to Japan last 
December by World Bank 
officials who argue th3t it offers 
a means for Japan to step up 
its aid disbursement more 
rapidly than would be possible 
if the Japanese Government 
retained direct control over the 
implementation of aid projects. 

Japan seems initially to have 
heen hesitant about the World 
Bank proposal but to have deci- 
ded in favour because there 
appears to be no way in which 
directly implemented Japanese 
overseas aid projects can be 
increased rapidly enoueh over 
the next few years. Boosting 
multilateral aid therefore rep- 
resent the only obvious direc- 
tion for Japan’s aid planners to 
lake in their efforts to increase 
aid disbursements as a matter 
nr urgency. The urgency arises 
from Japan’s embarrassingly 
large current account surplus 
and from tbe public commitment 
made by the Government that 
the nation will double the size 
of its Overseas Development 
Assistance (ODA) over the next 
three years. 

Japan’s ODA in 1976 totalled 
f 1.1 bn or 0.2 per cent of its 
Grns s National Product, an ex- 
ceedingly low ratio by the stan- 
dard* of Western aid-giving 
countries. Last year ODA is be- 
i.i-Mvl to have ri«en to $2.-!bn. 
hui it probably still amounted to 
oMv 0.2 1 per cent of GNP — 
v wily because of the growth of 
OPA in lerms or dollars was off- 
l bv the fall in the value of 
tV dollar compared with the 
.w*n. 


EEC Ministers may 
decide on 

joint energy package 

BY GUY DC JONQUIERES, COMMON MARKET CORRESPONDENT 

BRUSSELS, May 29 

ENERGY MINISTERS of the the Community into national 
nine Common Market countries policy-making, 
will be called upon tomorrow to Italy, on the other hand, 
decide on the most com prehen- believes that the refineries plan 
" Slve ' an d controversial — pack- j s not sufficiently far-reaching. 

£?**»£ e 5E3? r Era. pr S. p “ s ? d Unless it obtains substantial EEC 
in the EEC since immediately aid 4o finance closures, it may 

^1**r rld on Sack a pr^Sral^Ta £7 P eV 

pnees tonne subsidy on coal used in 

whinh muuTfn^ivo Power stations, wbdeh both 

ing of as iuch as fMto 'S' 
the next five years is claimed 

by its backers to offer a major Hi*. sabsidy P. la ^ expanded to 
opportunity to lay the founds- ste2m coa *: ^ resisting 

tions of a genuine Community pr °P osa ^ s for EEC funding of 
energy policy before the seven- enfir 8y'^*ving demonstration pro- 
nation Western economic sum- j** 5 because these would divert 
mat to be held in Bonn next funds earmarked for similar 
July. national ventures ait borne. 

Chances that the measures will Germany and Britain are 
be approved in anything like united in opposing a proposal 
their present form appear slight, for EEC financing of hydro- 
however. A number of govern- carbon exploration projects, first 
merits, including the U.K_ have advanced more nhan four years 
already made it plain that they ago. Bat Ireland has indicated 
consider that the advantages that it may block other parts of 
being offered them ao not go the package unless this proposal 
far enough or are outweighed ^ approved 
by the concessions that they are ^ final proposal is for a 
b< Mr G SE* HUE rJearcb pro imfo alter- 

W.£. S q«ial to esprS 

strong opposv^on to proposals to S^thennal energy and toe 
cut back excess refinery capacity labefaction of sohd fuels. This 
in toe EEC estimated at about eDjoys considerable support and 
75m tonnes, and to ban new could be approved if it does not 
refinery construction until 19S2. become bogged down in disagree- 
Voluntary monitoring of refinery meats on other issues. The pro- 
throughput and if imports of oil posals have been laboriously 
products from east Europe are assembled by the Danish Govern- 
aJso envisaged. ment, currently President of the 

There are no immediate plans EEC Council of Ministers, in 
to build any new refineries in close collaboration with toe Com- 
Bratain, and toe EEC has pro- mission. They call for the spend- 
raised to exempt the two projects ing of about £450m, but this 
already on the drawing board could be increased to more than 
from toe proposed ban- But Mr. £900m if toe package is modified 
Bean insists that toe proposal is to meet different national 
an unwarranted interference by demands. 


Halt called to pyramids tourist development 

BY ROGER MATTHEWS CAIRO, May 29. 

THE EGYPTIAN Government The Pyramids oasis issue co- Osman Ahmed Osman, a close guarantee the rights of share- 
has ordered that a luxury hotels indded with Mr. Sadat's attempt personal friend of President holders and in vstors toe 
and villas development near the to introduce slightly greater Sadat. At least 400 building plots authority said. Southern Pacific 
Pyramids of Giza should be political freedom and rapidly have been sold and Trust Houses Properties, a Hong Kong-quoted 
abandoned. Tbe decision came became a stick with which Jjis Forte had been chosen to operate company, would be able to 
after an intense controversy opponents sought to discredit the the first of the four hotels to he develop sites anywhere else in 


over toe estimated $5O0m pro 
ject which was being developed 
with the Government by 
Southern Pacific Properties. As 
its 40 per cent participation in 
toe venture, toe Government had 
provided 400 acres of land. 

The pyramids oasis, as it was 
generally known, would have 
accommodated up to 40.000 
tourists and residents grouped 
around an IS-hole golf course 
with views of toe pyramids. 

Cairo opponents of the 
scheme levelled a series of 
charges against toe developers 
and the Government, claiming 
that it would ruin the historic 


Government. Mr. Sadat referred constructed. 


THE Middle East situation and 
growing Communist bjoc influ- 
ence in Africa are expected to 
be the main items in talks 
today between King Khaled of 
Saadi Arabia and President 
Glscard d’Estaing, David White 
reports from Paris. Questions 
of economic and military co- 
operation will be dealt with 
in a wider forum including 

key members of toe Sand! 
Government The talks are 


nnllkely to result In firm con- 
tracts between the two 
countries, hot the French are 
hoping that they will clear the 
way towards important civil 
and military deals. France 
would like Saudi support for 
the future generation of 
Mirages. Anti-aircraft radar 
networks, anti-tank helicopters 
and tanks are also believed to 
be under discussion. 


Egypt provided that their plans 
did not affect areas of public 
1 interest. 

Share dealings in Southern 
Pacific Properties were sus- 
pended in BoDg Kong last week, 
due. it was stated, to toe possi- 
bility of a bid for a majority 
holding in the company by Mr. 
Adnan Khashoggj, tbe Saudi 
Arabian entrepreneur who heads 
toe Triad Holding Corporation. 

In a statement Issued from its 
London headquarters Southern 
Pacific Properties said the 
Egyptian Government spent more 
than three years exam in in 



site, deface the setting of the to tbe matter in recent speeches. Announcing the decision to toe implications of toe project 
pyramids and cover up arebae- stating first that it had been abandon toe project after the before toe infrastructure con- 
logical sites. A number of news- decided, then that it would be report of a special parliamentary tract was signed last year. »rP 
paper articles suggested that the investigated, and finally that it committee to the Prime Minister had fulfilled all its obligations 
Government was selling Egypt’s might have been a mistake. and to Mr. Sadat, toe General under the contract. The corn- 
heritage for private gain. Work estimated at S7m has Arab and Foreign Investment pany was one of the first western 

The official reason given lor been carried out on tbe infra- Authority stressed that it would concerns to make a major invest- 
the decision to halt the project structure for the development have no bearing on Egypt's over- ment in Egypt after toe estab- 
is the preservation of national and was undertaken by Arab all investment policy. lishment of President Sadat s 


archaelogical wealth. 


Contractors, founded by Mr, Procedures would be taken to open-door policy. 


W. German 
terrorist 
suspects held 

By Adrian Dicks 


Italy’s deficit under 
ministerial review 


BY PAUL BETTS 


ROME. May 29. 


Hanoi offers 
olive branch 

SINGAPORE. May 29. 

1! WOT today proposed talks 
v. :i!i China early next month on 
i;v I'Xudua of thousands of 
Cl* ucsf refugees from Vietnam. 

!Ijm*i Radio, monitored in Sin- 
tra :*orc*. said Vietnam's Vice- 
Premier for Foreign Affairs. 
Iloang Rich Son handed over a 
net.* proposing the talks to the 
rHinesi* ambassador in Hanoi. If 
i !;■• pri»pi**:il were accepted, a 
merlins couM be held in Fckinq 
i-.irly ivxf in o nth. Pekin? has 
licensed Vietnam or persmitine 
:!.sd expel line some 90.000 
«i raining relations be- 


IT ALLA N economic ministers tnic ministers are now expected 
were meeting here tonight to to intervene on various key con- 
examine further measures aimed troversial sectors like the pen- 
at containing the deficit of toe sion system and local authority 
country’s enlarged public sector, finances which effectively repre- 
including the health' services sent among toe major strains in 
and the electricity board, to toe, State Budget. 

L24.000bn (£19bn) this year This Sig. Pandolfi said decisions 
is the level understood to be must be reached before toe sum- 
acceptable to the International raer if the objectives of the 
Monetary Fund (IMF) and all-party programme for an 
which toe Italian authorities economic recovery are to be 
believe can allow an economic achieved. The immediate target 
recovery without the rifle of a of the programme is to reach 
sharp increase in inflation. by the last quarter of this year 
The cabinet approved over the a growth rate of about 4.5 per 
weekend by decree law a pack- cent annualised with Inflation 
age of new'tax and public utility running at no higher than 14 
tariff increases, including rail per cent 
fares and electricity charges. The economic ministers are 
which arc expected to raise be- expected to discuss this second 
tween them some L1.600bn of series of economic measures 
fresh revenue, according to Sig with the main political parties 
Filippo Pandolfi. toe Treasury and the trade unions, which have 
Minister. At toe same time, toe both complained \of not being 
cabinet allocated some lire adequately consulted over the 
2.9flflbn of subsidies to promote fi rst package just ‘approved by 
job-creating investments and to the Government, before present- 
help reconstruct financially ing them to the cabinet early 
troubled State sector enter- next month, 
prises. Tins would coincide with the 

However, to keep toe enlarged arrival here of an IMF, team to 
public sector deficit down to review the commitments Italy 
about L24.000bn. toe authori- took in a letter of intents last 


BONN; May 29. 

IN THE MIDST of the outrage 
in West Germany over last week- 
end’s freeing of the alleged 
terrorist Till Meyer, from a West 
Berlin remand prison, the justice 
Ministry in Bonn suddenly 
announced today that four more 
suspected terrorists have been 
in police custody in Yugoslavia 
for the past ten days. 

The four latest arrests include 
those of Brigitte Mohnhaupt and 
Rolf Clemens Wagner, two of the 
16 . most wanted German ter- 
rorists accused of responsibility 
for last year’s series of murders 
of prominent figures. The 
circumstances of their detention 
in Yugoslavia are not yet known. 

Despite these apparent suc- 
cesses in the anti-terrorist cam- 
paign, there is considerable anger 
at the freeing of Meyer from 
bis cell with demands for the 
Berlin Senate to take the 
political consequences. 


Saudis sign £200m deal 
for telecommunications 


BY JAMES BUCHAN 


JEDDAH, May 29. 


CABLE AND WIRELESS was ment can run beyond five years 
to-day confirmed as winner of and might ultimately be worth 
a Saudi Arabian telecommunica- double that,' ’be said, 
tions contract worth more than The final scope of the British 
£2Q0m in the first instance. involvement will depend very 
Tbe agreement for a complete mnch on the performance of tbe 
telecommunications system for contractor and on when toe 
Saudi Arabia's National Guard National Guard of 35,000 men 
was signed in Riyadh by Prince feels ready to dispense with 
Abdullah ibn Abdtrl-Aziz. com- foreign assistance. Tbe agree- 
mander of toe guard and Second ment carries the regular stipnla- 
Deputy Prime Minister. Mr. John tions for performance guarantees 
Wilton, toe British Amhassador, and progress payments usual in 
signal on behalf of the’ British Saudi public sector contracts. 
Government. The State-owned Cable and 

The agreement implements an Wireless will be responsible for 
expression of intent signed on design, installation, maintenance 
March 19. It covers five years and operation of the system and 
in the first instance and is worth for simultaneous training of 
U3bn Saudi riyals with an addi- National Guard personnel. Under 
tional £40 m for Start-up and the terms of the March 19 agree- 
purchase of equipment in the ment tbe company will act as 
UK prime contractor for the British 

Mr. Wilton pointed out that the Ministry of Defence which will 
final contract value could be a monitor progress over the five 
great deal more. “The agree- years. 


Court orders 
retrial 
for Menten 

By Charles Batchelor 

AMSTERDAM, May 29. 
THE SUPREME COURT to-day 
quashed a 15-year sentence im- 
posed on Mr. Pieter Menten for 
his alleged port in toe mass 
execution of Jews in Poland in 
194L The Supreme Court said 
the Amsterdam court which sen- 
tenced Mr. Menten in December 
had made a procedural error and 
ordered a retrial before a court 
in toe Hague. 

Tbe court in Amsterdam dis- 
missed Mr. Men ten’s claim that 
he had been declared innocent 
of other war crimes in 1949 and 
that three years later toe 
Minis ter of Justice had said no 
further action would be taken 
against him. The Amsterdam 
court decided that this did not 
amount to a formal declaration 
of freedom from prosecution 
The Supreme Court said to- 
day that the lower court should 
have carried out an investiga- 
tion into the Minister’s reason 
for his decision 


President Sadat 


Dissidents 


in Egypt 


Moscow refuses to estimate gas deal cost 

BY DOUGLAS RAMSEY TOKYO, May 29. 

THE SOVIET UNION has again market prices for the needed recoverable deposits (although a firm cost estimate for the 
refused to put a price-tag on the equipment between 1980 and Soviet geologists are still work- Yakutsk project in order to 
multihttUfra - dollar Yakutsk 1985 < wben the project, it is ing to “ prove " toe full amount), expedite financing negotiate 
SSL whUfr hoped i wouW be undertaken). So far, proven amounts are with toe Japanese and U 
a *„ fiUniTpi Tk e n * w estimates will be dis- 340bn cubic metres at tbe Export-Import banks as well 

cussed at the next joint meeting Botsbinsk field and 460bn cubic Western bank consortia. But 
1 is? °-rv, i f ™ !?.!? .T in S 311 Francisco in the autumn, metres at the Soldone Vilusk Moscow is wary of Under- 
Sis'?; ,2“ fiS a i5SSSt £ eluding the talks on Friday, field, Mr. Osipov said. estimating toe cost of the project 

SSSHHH *SS5ESfi -mb a £?££&» 

£2 Z SfESSS! .0™ e e““ee« £ 

At talks in Tokyo last week, Tokyo gas company, signed on SSJJJJJ 0 s, P° v centre on pipeline routes 

Soviet Deputy Trade Minister behalf of Japanese utilities, Mr. SiPrt!n Ce 1116 fields other than the one most com- 

Nikolai Osipov told Japanese and Howard Boyd, chairman of El g0 10 P roQu caon. monly assumed for transporting 

U.S. businessmen that any cost Paso Natural Gas Company. The Japanese and U.S. par- the gas from Yakutsk to toe 
es tima te is impossible just now. signed for the U.S. developers ticipants have done their own Eastern seaboard- Western con- 
Instead, the Russian official put and bankers involved in the separate cost analysis of the sortia have bo far based their 
forward three alternative pro- Yakutsk deal. project which will include pipe- estimates on a 3^23 km pipeline 

posals for the rakutsk project Tbe broad outline of the lines and a coastal liquefaction route to Olga, a port north-east 

each assuming a different pipe- Yakutsk project has been known plant Tbe Tokyo Gas-led con- of Vladivostok. Moscow is 

line route. Each proposal carries since Moscow began negotiating sortium puts the project cost at seriously studying a much 
with it a list of required equip- it with Japanese and U.S. S3.9bn, and the El Paso estimate shorter alternative route of 2,175 
ment and the two Western con- businessmen in 1972. Mr. Osipov is only slightly higher at S3.9bn. km to Magadan on the sea of 
— -j.v .. Ticcc-uim ftw. j sorlia must now analyse for asserted in Tokyo last week that The Western companies have Okhotsk, as well as a 3.248 km 

expenditure by an estimated 5 1 themselves the alternative costs tbe fields sit astride ljQOQbn been trying for at least a vear Hue to port De Kastri on the 

per cent. To this end, the econo- Editorial Comment Page 12 [ f 0r each project at expected cubic metres of potentially to pin down the Soviet Union to eastern Siberian coast. B 


l ll iV'i 1 , .... . . „ , 

i iv i r-n :!».• riHehbourinc Commu-jties still have to _ lower_ public at a^time of f further draw- 
;*:-t csinlrios. “ ' “ 


THE CLAMPDOWN on political 
dissidents in Egypt is now concen- 
trating on 150 people who are 
being investigated for allegedly 
threatening national security. 
.More are expected lo be added lo 
tiie list or cases that has been 
handed tu ihe Sociahtt Prosecuiur 
by the .Minister uf the interior. 
General Alohammed Naluwi 
Ismail. Roger Matthews reports 
from Cairo. 

Direct action has so far only 
been taken against five journalists. 
alL of whom have been forbidden 
to leave toe country. The best 
known of these. Mr. Mohammed 
Heykol. a close confidant of the 
late President Nasser and for IS 
years editor or Hie newspaper A1 
Ahran. commented that although 
be had disagreed with President 
Anwar Sadat on the best way of 
achieving j Middle East peace 
setdemenL he thought this was 
toe basic right of every citizen. 

Some 60 journalists — 26 work- 
ing inside the country and 34 
abroad — are under investigation. 
Another 90 people, mainly politi- 
cians, are expected to be called in 
for questioning. 

Amputations ordered 

A military court in Karachi 
yesterday ordered that three men 
who tried to rob :i bank should 
each have a hand amputated, 
Simon Henderson reports from 
Islamabad. It will be the first 
time the punishment has been 
carried out since it was intro- 
duced by the military regime of 
General Zia ul-Haq last year. 

Meanwhile the Pakistan authori- 
ties say they have reached 
agreement with journalists and 
newspaper workers to reopen the 
pro-Bhutto daily paper, Mussawat. 
More than 140 trade unionists 
have been arrested in the past 
month for attempting to hunger 
strike in protest at its closure. 
The agreement has been made 
with journalists who do not 
support direct action. About 100 
journalists have been released 
from jail. 

Rhodesian emigration 

There has been a sharp fall in 
the number of whites leaving 
Rhodesia according to official 
figures, our Salisbury correspond- 
ent report-!. Net emigration of 
whites, which averaged more than, 
900 a month last year, fell to only 
560 a month In the first four 
months of I97S. 

Eritrean claims 

The Eritrean Popular Liberation 
Front claimed yesterday that it 
had wiped out gains made by 
Ethiopian forces in Eritrea earlier 
this month. James Buxton reports 
from Khartoum. Observers in the 
Sudanese capital believe that the 
Ethiopian offensive two weeks ago 
w;as one of a series of attacks 
aimed at widening the area under 
Ethiopian control. 



n-'iytr •»; »■ .yy « s v; 



v-v'-'cT • » ‘ \! ’•* •• . •• !’• 



\ 


□ 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

□ 

0 

m 

□ 

0 

0 

s 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 




■ Deutsche Bank's balance sheet total rose by 
16.7% to DM 78.6 billion. Group balance sheet 
total expanded to DM 124.2 billion. 

■ Capital and reserves amount to DM 3.45 billion 
after the transfer of DM 110 million from net income 
fertile year to disclosed reserves. 

■ A dividend of DM 9 per share of DM 50 par 
value will be paid on the capital of DM 960 million, 
payable from May 19, 1978. 

■ Our lending business increased by 8.7 % 
compared with the year before. Total credit 
extended rose to DM 45-3 billion. 

■ Savings deposits expanded to DM 18.1 billion. 
Savings certificates in circulation grew by 

DM 650 million to DM 1.3 billion. 

B Turnover in securities business with our 
customers (excluding banks) rose by 19% in 1977. 
Deutsche Bank maintains 930,000 customer 
safe-custody accounts with a market value 
of DM 60.4 billion. 


■ Our international activities were further 
strengthened, numerous contacts with foreign 
business partners intensified and new customers 
acquired. 

■ ^ Our bank's foreign turnover expanded more 
rapidly than the Federal Republic. of Germany's 
foreign trade, which meant a corresponding 
increase in our share of the market 

El Our Paris branch was opened; on July 1, 1977. 
In 1978, we plan to set up branches in Brussels, 
Antwerp and New York. And since the merger in 
spring 1978, the branches of Deutsche Ueber- 
seeische Bank in Asuncion, Buenos Aires and ■ 

Sao Paulo have been operating as branches 
of Deutsche Bank. 

■ Newly established representative offices in 
Milan and Osaka have strengthened our presence 
abroad. Since April 6, 1978, we have had a further 
representative office in Lagos/Nigeria. Our bank 
now has a total of 74 bases in 47 countries. 


■ In the international issuing business, our bank 
has been able to further expand its traditional role 
as a leading issuing house. 

■ At the end of 1977, Deutsche Bank employed 
36.034 staff. Group employees totalled 40,614 

in 1,279 branches and offices. 

■ The Deutsche Bank share is proving to be 
more and more attractive to international investors: 
a good fifth of our capital is in widely dispersed, 
foreign holdings. 


Deutsche Bank 

A century of universal banking 


0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

m 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 

0 


E30B00iaSES® s00a0aaBa ^ B000000I3!Z,l3B0EIEI13013I3EIEBai30Iai3I3 l30000iaiZ!0000000000000I3l7ii3izi0[Z100000IZ!0lZI0a 







Financial Times Tuesday May 30 1978, 


HO Ml. :mf.\\s 



‘Subsidy’ 
plan for 
UK mail 


attacked 


New bid to sort out 



.S. shipping tangle 


BY IAN HARGREAVES. SHIPPING CORRESPONDENT 


I A FRESH initiative bv an and the collective planning of on non-U.S. shipping lines to 
1 alliance of I- European maritime investment. Tbe Justice Depart- avoid direct contact with their 
i States and Japan, to sort out a ment regards these organisations customers, the shippers. 

< tangled relationship with the as anti-competitive cartels. In Europe, shipper-shipowner 

| U.S. over regulation of liner There are seven so-called contact is formalised through 
I shipping, opens in Washington “ open " conferences on the shippers' councils, which are 
THE Miil Users* Association the today. North Aatlantic, involving seven illegal in the U.S. 

indpendent Post 'office pressure; The meeliiyj Involving the shipping lines, four American The net result of the tangle. 
;roup. has accused the Post Office 


BY JOHN LLOYD 


Building 
‘in need 
of new 


Co-op congress 
hears call 


work’ 


BY DAVID CHURCHILL 


uf usinu an “accountancy device" 
which "disiTi mi nates against the 
larger users «»f overseas mails. 

The association claims that in 
its fortliL-oining rcpuri for the 
financial year 1977-7S. the Post 
OfliCL- means tn transfer £ 10 m- 
£]'J:n of the profits generated by 
• i verse as posu tu the inland 
;-uMal business. 

This would avoid an “ciu- 
ii.arrassingly high” level of profits 
in overseas mails — and bring 
inland mail profits up to the 
target of 2 per cent on turnover 
set by the Government. 

The Prist Office's standard 
practice is to charge a fee to the 
overseas postal business, payable 
;n the inland postal business, for 
wor’; dnne on overseas mail 


alliance— the Consultative Ship- and three European. which has worsened since the 

ping Group-^is attempting to The US regulatory body for Grand Jury investigation began 
clear the air in a prolonged con- conferences is - .the Federal in January, is, shipowners say, 
frontation which shipowners say Maritime Commission, hut this a climate of instability . and un- 

agency's work is subject to certainty coupled with a loss of 

scrutiny by the Justice Depart- efficiency because lines are pro- 
merit, whose actions in a number hibited from planning invest- 
or matters which European ship- ment and services' together and 
owners regard as routine have with their customers, 
delayed developments within The group is asking the US- 
conferences by months and even to re-write its shipping law. and 
is costing them millions of years. is not optimistic about progress, 

pounds a vear, and which has More seriously, the Americans But it does hope at least to 
resulted in" North Atlantic ship- arc accused of attempting to improve the climate in which 
ping lines being brought before export their domestic anti-trust shipping lines in the North 
the Grand Jury on criminal legislation by putting pressure Atlantic are working, 
charges. 


More Home News, 
Page 39 


EEC anti-Soviet 
plan hits snag 


BY OUR SHIPPING CORRESPONDENT 


Today's meeting will be the 
j first time that representatives of 
[all the States involved In this 
row have met formally for a 
broad discussion of the problems, 
before it leaves the UK. The ill is well timed because the 
Mj:l Users' Association is claim- j White House has recently 

in’ that this charge is to bej announced a comprehensive 

rai^-d by us much as £l_m. > inter-departmental review of 

In the financial year 1976-77.1 maritime policy, 
overseas mails made a profit of; Although the Europeans and 
Ilff.-Sm — S.3 per cent on a turn-' Japanese Have agreed not to raise- THE EEC's efforts to forge a Since the Commission pub- 
mvr of The figures for j the question of the Grand Jury common policy on rate-cutting by lished its ideas, which were felt 

the last financial year are thought i investigation as a specific item, the growing Soviet merchant Beet to be far too weak la some 

tu shuw an even higher return. ] it is certain to he referred to has run into difficulty within a European shipping circles, the 
Mr. Julian Blackwell, the | as an example of the point to fortnight of a meeting of Com- proposition has been modified 

a Social: on V vice-chairman, said (which the situation has munily Transport Ministers because of French insistence that 

yesterday that “the Post Office J deteriorated. which is to discuss an anti- no specific reference be made 

wiil be levying a tax on exporters i A numher of witnesses from Soviet plan. either to the Soviet . threat or 

if n goc- ahead with its plan to! the shipping companies involved \ proposal on Soviet shipping "State trading" fleets, 

place a bigger cost burden on have already been subpoened to published bv the Commission a Instead, the French Govern- 

overseas posts." - - !J 


( give evidence. few weeks ago centred on the meat wants -to substitute a phrase 

the difficulties monitoring of Russian ship move- ^hjch jvill cover flags of con 


OBITUARY 


Sir Harry 
Jephcott 


is the attitude of the US Depari- ments in European ports. venaence. 

ment of Justice towards liner The French amendments 

'shipping conferences, the bodies Shipowners hoped that this would not. in fact, destrov the 
i which fix rates in the case of would be the first step in a technical function of the propo- 
I .services to the US. but which ou tougher policy which might lead sitiort. which is to permit aad 
j other trades have wider functions to quota restrictions on Soviet encourage member-stales to take 
i involving the pooling of ships ships. action individually. 


SIR HARRY JEPHCOTT. who 
wa* chairman of Glaxo Labora- 
tory and then tin* Glam group 
between 193rt and IjHW. difd 


Talks on Africa air links cash 


yesterday m a London hospital, 
lie wj< ?7. 


BY MICHAEL DONNE, AEROSPACE CORRESPONDENT 


Sir Harry joined Glaxo as us 
first thoaii.M in 1910. and 
pkinncu the company's transition 
fi'un being primarily a baby- 
ft’ud mamilacturer 1 u becoming a 
major international pharma- 
ceutical concern. He was 
knighti-d in lEKfi. 

Aiming the many posts he held 
were the ihuiruiamhip of the 
Association of British Chemical 
Manufacturers, a governorship of 
th*’ London School uf Economics 
“~d the presidency of the Royal 
inMitute ot Chemistry 


A CONFERENCE aimed at 
raising SI 10m cover £50mt in 
new aid funds for civil aviation 
development in Africa in the 
next five years is to he held in 
Geneva this week (May 31-June 
"i under the auspices of the 
International Civil Aviation 
Organisation. the technical 
aviation agency of the UN. and 
the Organisation or African 
Unity. 

It will be attended by 42 
African states and other in- 


terested countries and organisa- 
liuns. They will discuss how to 
raise the cash needed to improve 
quality and quantity of civil 
aviation in Africa. 

Training alone is estimated to 
need S61nt. while specialist 
aviation equipment, new airports 
and other facilities will 
account for the rest. The sum 
estimated does not include 
money to be spent on new air- 
craft. 

Hitherto, conventional aid to 
African developing states has 


THE construction industry is 
In w-gent need of new work 
to prevent long-term damage 
to its potential to meet future 
demand, according to a report 
published today by the 
National Economic Develop- 
ment Office. 

The report says that the 
“ dramatic decline in demand 
since 1973 bas wasted con- 
siderable resources in idle 
capacity, reduced efficiency, 
and caused much individual 
hardship.” 

While some capacity has 
been permanently lost, it says 
that a “significant amount can 
still he retained if it can be 
utilised again in the near 
future.’* 

It Es (be latest report pub- 
lished by the Building and 
Civil Engineering Economic 
Development Committee for 
the iVEDO. The document 
urges a more rational approach 
to demands put ou the con- 
struction industries. 

In particular, it suggests 
that the Government should 
avoid rapid changes In demand 
for construction, “ as such 
changes are very easily 
economically and socially." 
Yet I be report acknowledges 
that there are exceptions to 
utilise spare capacity or cure 
overheating in industry. 

To create a more stable 
industry, the report advocates 
a regular assessment of future 
construction demand and 
capacity. This should be car- 
ried out by the Building and 
Civil Engineering EDC with 
the help of the Government 
and industry. 

How flexible is construc- 
tion? SO. £3. 


to close ranks 


BY EUNOR GOODMAN, CONSUMER AFFAIRS CORRESPONDENT 

SCARBOROUGH, May 29. 


qn? ARTHUR SUGDE.N’. chief intimated that the question, 
executive ot’ the Co-operative which dominated last years 
Wholesale Society, yesterday congress, is likolyto arise a£»in 
called, on the Co-operative move- today. This is whether the two 
ment to close its ranks and draw central governing bodies should 
un a olan for the next 10 years, be merged. He believed, however. 
Unless this was done, he warned, it was only °f secondary import- 
the Co-operative would lose its a ace. compared with the need to 
market share to private traders, plan effectively for the future. 
Sid with that its ability to catry A thorough review of the Co- 
out its wider social purpose. op's existing operations was 
A- .hi. v*,r'e nrojsident of the needed with close attention to 
Sir such areas as future market 


Barley 
mountain 
offered 




for sale 


By Christopher Parkm 


! 5?thu- in^duredTmS’mo’re trendy " financial requirements 

‘ cobfraercial tone to the pro- and plans for new types of ven- 


in is usual at this lures. The Co-op must, he said, 
igT cS5p?“pAiSSl- ' for example, decide what to do 


hu sneech "which touched bn with its several thousand small 
al 1** th p S p roWem^now* f achi^ the -*JS ^sSS d£ 
movement — both commercial and ° that thn “ease solu- 


movement — ouui cununcra*i -iuu h(S ,5 " that the “ easv solu- 

“c^ur b e was eithe/appro- 


a *•?“?£ KiJfJ I,e move " priate or should be accepted, 
meat s 109-year history. . . . K 

Alternatively, it could be like p_j 
many other rallying cries which xXICC Vfdx 
have been made before at Financed by a special “ 10-year 
Congress each year by kind con- plan levy” on the movement’s 
stitutional. nit-pickers wjbo oQ9 autonomous retail societies, 
demonstrate the unique organi- a team of full-time experts 
sation of the Co-op — Britain's should be recruited to carry out 
largest retailer. r this review, from both within 

Within the movement, the job and outside the Co-operative sec- 
of president of congress L is tor, he said, 
regarded as one of tbe highest While multiple retailers, such 
honours and has rarely before as Sainsbury’s, increased their 
been given to an executive, of sales by 17 per cent, the Co-op 
the CWS. tiie central commercial managed to boost its by only 13 
body. Sir Arthur used the. plat- per cent. 


form to ram home choices facing In spite of the price war 


the movement and to call for a started by Tesco last June, the 


“ radical new approach.? 


Co-op managed to bold its share 


Planning for the future, be of food sales at 11 per cent. But 
saidj was the “supreme .central its share of non-food sales fell 


i issue facing the movement." He again, -to 2.6 per cent- 


BRITAIN’S “ mountain ;of 
surplus barley is up for sale, Tfci ■ 

20.000 tonnes of grain, bought off 
, the market earlier in the year 

; wheu prices were low, is needed, . 
'by farmers and animal. feed 
makers for converting into feed- 
stuff**. 

The Hotne-Grotfn Cereals 
Authority has called for tenders . 
for the grain, which is stocked; 
around the country. M-ost — about ; 

8.000 tonnes — is held iu Lincoln- 

shire. and much oC the rest lit-.. 
Common Market bonded stores . 
in East Anglia. - 

The EEC’s intervention buying-' 
support system cainc into opera-, 
tion in the UK grain market lot-' 
the first time in January. 

A bumper harvest last - year 
had raised fears that most of 

250.000 tonnes of official storage 

space might be needed. But . in - 
the event, heavy exports, of 
barley to the Continent easefrtter 
situation. >• ' '\\ 

Now barley is hard to find ip. 
Britain and prices are climbing* 
The price for home-grown barley, 
has now climbed to £83 a tohn& ' 
from about £70 in January. . 

indeed, so much barley his 
been exported that it now 
appears likely that Britain, "will 
have to import extra supplies 
back from Europe to fulfil its 
needs. ’ „j>. 

Barley exports are estimated - 
at l.95ni Lonnes — 600,000 tonnes 
more than forecast in February.- . 


Brick output 
goes down 


been concentrated on agricul- 
ture, health, education and other 
basic needs. But an ICAO- 
sponsored study has shown that 
aviation can provide vital com- 
munications links, and tliut to 
provide air services is often I 
cheaper than building road or 
rail links. 

Aviation has been growing in 
Africa at a faster rate than any- 
where else in the world. Demand 
is still large and has outpaced 
ability of African countries to 
finance development 


ABOUT 401M BRICKS were pro- 
duced last month, a decline of 
17ra on March, but 2m higher 
than in April last year, says the 
Department of the Environment. 

Deliveries, 440m, were 17m up 
on the March figure and 58m 
ahead of April 1977. Stocks fell 
to 982m from 1.02bn in March, 
and represent about 2.5 months 
production. 

■Output seasonally adjusted 
and allowing for working-day 
variations, was 4 per cent lower 
in the • three months from 
February to April, than the pre- 
vious three-month period. 


Labour call for EEC reforms 


BY PAUL TAYLOR, INDUSTRIAL STAFF 


THE LABOUR PARTY should 
enter the next General Election 
pledged to “ fundamental 
changes " in the EEC. says a 
pamphlet by the Labour 
Common Market Safeguards 
Committee. 

Tbe pamphlet third in an 
annual series to mark the 
anniversary of the June. 1975. 
referendum, is edited by Mr. 
Hilary Benn. son of Mr. Anthony 
Wedgwood ' Benn, the Energy 
Secretary. 

It is highly critical of the 
benefits to Britain of being an 
EEC member, and calls on the 
Labour Party to commit itself 
to a series of reforms to the 
Common Market structure and 
working practices. 


The Committee attacks the 
impact of the EEC on Britain's 
trade balances, energy, indus- 
trial and regional policies. It is 
particularly critical of the 
Common Agricultural Policy, 
which is described as “ a disaster 
for Britain." leading to higher 
food prices and “main- 
tains." 


The Government is accused of 
defying Us own parly's opposi- 
tion to direct elections and 
bowing to pressure from “big 
business the establishment, and 
e EEC bureaucracy." . 

The committee lists a series of 
measures which it thinks the 
Labour Party should adopt for 
the General Election, and which 


P! 


it claims “would win a wide 
measure or popular support.” 

On democracy, it says, the 1972 
European Communities Act 
should be amended to restore 
power to the House of Commons, 
and the. Treaty of Rome should 
be rewritten to curtail the 
powers of the Commission over 
-national policies. 

Agricultural policy should be 
reformed to permit Import' of 
cheap rood from the world mar- 
ket and any moves toward a 
monetary union should be re- 
jected. 

The Common Market — Labour 
and the General Election. Labour 
Common Market Safeguards 
Committee. 72. Albert Street . 
jV.W.J. 50p. 



~ J . William D. Baird. Jr. Vice -President Chemirai 

Photographed in Florida crop beds prepared by International 1086 tractor.' 


Chemical Bank relationship has been 
buttressed by the fact that both enjoy 
a strong physical presence through- 
out the world. 

So when Milnor and his team saw 
an overseas need. Baird and his team 
could provide quick response. With 
financing for International Harvester's 
exports to I ran. Colombia and Wsne- 
zuela.With lines of credit for Interna- 
tional Harvester's subsidiaries in 
Canada and the U.K. And with foreign 
exchange assistance out of Chemical 
Bank’s Zurich office. 

At the same time, U.S. needs 


haven t been neglected. Recently, 
competitive pricing and fast turn- 
around have helped Baird fumistLa 
multimillion dollar financing package 
for the International Harvester Credit 
Corporation. 

While theirs is a professional 
re ationship. Milnor and Baird will 
tell you that it's also personal and 
rewarding.That's what usually hap- 
pens when corporate officers get 
together with Chemical bankers. And 
what results is bottom line benefits 
tor both the company and the bank. 


The difference in money is people. 

ChciTUjI R.mk UAiett ltmek. . ■ 


SSssKsssr. ssraffisaBss-— 

J* 1 - B J t ra,n . F*"™- 3irrrnnfr„-,m Botqi j. Bruwols! M* 1 " *"<<? Ycrk. N Y 


E J.nuupn FranWurr. Hoi* Cf W"rwi (slwdv.Chicwo 

R<0 ce Jjreira Rome. Sjn Francises. Paulo. Sinsaporc.Sjenqi Tiupl^^ran'Tolvki^rontft 


?L- 


k- 


- j - 


i 

i-I'T-*' -■ 


; - 

iiWr J - -- 

{d : >. 

sJ Vi' 


C*' 


i-.: 

vTjl 


11. 






- •. 
'*4“* . r 


•v> 

'•V* 


























Financial Time's Tuesday May 30 1978 


FT GROCERY INDEX 


F- .V.: . w ,f»r- 


Meat and vegetable 
prices again push 
tip May figure 


LABOUR NEWS 




BY DAVID CHURCHILL 


on pay 



BY OUR GLASGOW CORRESPONDENT 


SiMRP RISES in the cost of was cheaper this month in a | SCOTLAND'S 7,000 bakers are 

,jtr il jni l \«L*'ables led lo an number of shops. j being asked to vote by their 

", -r. , in thr Financial Times The r,s, -‘ 10 meal PM«* Ulls union this week on whether to 
*; "* V ? “LVffn month is seriously worrying \ lake their pay claim to arbitra* 

i..:nscr> index oi i-o* potms butchers who claim to have been > tfan or introduce an official over- 

The index, which was holding prices down to limit the time ban through the country, 
re, ued in March, now stands at effect on demand. But with I The ballot, expected to be 

liivll. meat still in shortsupply. prices completed by Friday, follows 

Th,. - tic increase in the arc expected to rise further in five weeks of unofficial action in 
I'lsios bonder i - , •iiightlv lower the next month. west Scotland. 

; , : The Mav rU was . The other major price increase The bakers, represented by 

; -.'-r cent compared with ihe *n the ba3ket this month was t h e Scottish bakers section of the 

-7 ’i mi increSs In the fruit and vegetables. Old pota- Union 0 f Shop. Distributive and 

fufhnumh of the new Index. tocs w ® re W. by abou J }* p t0 "P Allied Workers, are demanding 

... . iu.i mt n n ; a pound, while new potatoes were fu n consolidation of a £6 supple- 

r.iir.u-r ihis year Ihe preuuu* C05 ij n g between L’p and 3 p more men t j Dto their basic wage This 
^dex duetuated. with small rises a p0unfli But cauliflower and would make overtime work more 
. nd F.ilis. aiihotign in .uaren it tomatoes were down in price. 


. no i.iiss. ;nmouun in .Marco n tomatoes were down in price. 

*<y just over 2 per cool. Tomatoes fell by an average 15p 

Since March the FT has been a pound. Prices of apples and TTto *~H .1* 

l.fiti a larger sample of bananas were up, with oranges g-Cflll IliJFSCJ 
-luiiis and a slichtlv bigger list fluctuating. A^|AlluXil& 

y -„ i-cric-.. Smite 25 shops of Frozen foods were also more 9 

sves are included in the costly in May than in the pre- 

vi grocer, prices each vious nmnth. with the main cul- _ _ _ * _ 

:’i priis frozen fish and chips. Ice Cljgf* | AA I 

. .. ,, i.t ,L f „, w cream prices were also up on’ vjWlv^ T 

Are.. riling tc-ilic !>T poppers averu ., 0 ' The hread. Hour and " ' 

«n l risu cereals sector of the index was _ 

■.i^.jbl<> vonwnued lo ri i a | s0 up slightly, with higher 
diijn 5U> j 3 they hjd , r!l . es rather Ihan bread 

;h.* prcvn.us num h The he ma ' n cause . JilWO 

■ v nv r h n-. rn > IhH 1" the rest of the groceries | J 

\ ^,,'n hv f| “ nJ thC '" overed b . v the basket the con i # _ 

~ r '" 1 ■*' 111 • ~ u ' tinuing keen competition among] 

'.li.'f cui> «*f meat niil sub- supermarkets has kept prices j flifilfrjf Br 1 |J 
■’li-'lij more in May. A leg relative Ij stable. But lower egg 
of lamb wa< up to lOp a pound prices helped cut the dairy pro- 

m.'W expensive in many shops, dure hill this month. _ w . . . . „„ 

. !:h<»uvh .some prices were up Some copies of the list now By ,ck ® mett. Labour taff 
by much a> between ROp-lOp used by the FT grocery shoppers 
;-iiund. Topside was up by 4p are still available from Miss THE National Union of Bank 

5;» n pound in many shops Icgaret Eden, Financial Times. Employees has asked Mr. David 

.i'!d rim, c i,. .. "liuhtlv smaller Bracken House. Cannon Street, Basnett, general secretary of the 

.■Vi.-in Leg Ilf purk. ' however. Lundon. EC4. Genera! and Municipal Workers' 

| Union, to explain why his union's 
. . ■ . "j white-collar section has appur- 

FINANCIAL TIMES SHOPPING BASKET ‘-‘ntJy started recruiting within 

u . v the Woolwich Building Society. 

MAT - I Vi o 

Mr. Maurice Reed, national 
A P nl officer for the ManageriaL 

L 1 Administrative. Technological. 

_. ____ and Supervisory Association — 

Dairy produce .... the General and Municipal's 

Su ? ar. tea. coffee *oft dnnks 179.92 179.6* white-collar section-said at the 

Bread, flour, cereals 231.72 week-end that there might have 

Preserves and dry groceries 84.41 84.18 i )ee n some recruiting m the 

S-uco. ard pickles 40.80 40.58 Woolwich, but toe Association 

Canned food* ‘IS was not mounting any national 

Frozen JCOV.J '-ampaign within the finance 

Meet, b.icon. ere. < fresh) 424. <6 412.08 jnduslrv 

Fruit and vegetables 238 79 227 JO ... 

Non-foods 18238 181.08 “ IS un,on d,d not want 1° 

_____ recruit in finance companies 

TomI 1 l°l_33 2 l*i79 where oilier anions had an I 

‘ already established membership. 

!MD=X 197P: March 103; April 101.77; May 103.11. Whether or not the Associa- 

lion, which has some finance 
members, set up its own finance 
section would depend on develop- 
ments in recruitment within the 

Spirit clearance up 

a close working relationship 

• 'LL UtANilliS fr.iiu bond of investment in the market well j with the bank employees* union. 

. ic.ili lie *pirii« mso nearly 40 mlo the following year. j and had always tried to give it 

;.,t tens, i ; i th,. first quarter of “Although the first quarter of! assistance within the financial 

• . ..., r ei , m u;rvd u-,th i hr iy " s indicates sonic upturn in I field. The union had about 2.500 

market, it is too soon to members in building societies. 


lucrative when meeting increased 
demand in the aftermath of the 
recent bakery closures by 
Spillers-French. 

Bakers rely on overtime to 
make up their earnings to 
industrial levels. 

The two main baking groups. 
Rank Hovis McDougnli and 
Associated British Foods, have 
offered a maximum consolida- 
tion ' of £3.50. 

Their main bakeries in 
Glasgow and Ayrshire have been 
hit by unofficial industrial action 
which has cut supplies over some 
weekends by two-thirds. 


The union was urging mem- 
bers not to take action while 
negotiations were in progress. 
But after a series of fruitless 
talks arranged last week 
through the Advisory. Concilia- 
tion and Arbitration Service, 
union officials have now decided 
to find out the view of all 
Scottish bakers. 

If the ballot opts for arbitra- 
tion over the consolidation 
claims, the union plans another 
vote to find out whether bakers 
want the 40-hour week now be- 
ing worked in some bakeries 
to be extended nationally. 


NOTICE OF REDEMPTION 
To tiie Holders of 

Occidental Overseas Limited 

1 0% Guaranteed Notes due 1981 

■vrvrrrF 7 * WFREBY GIVEN that in accordance with the provisions of the Imleiitnw dated as of 
n^utlOfti^ Limited and Occidental Petrol coin Corporation to Harm* 

al p l«)% ofdie priucip aUnipmit thereof without premium pursuant to the Slating 

of ± e tidcm«ii£ A* i-rividcd in die Indenture, die .Notes selected for redemption by the Tnuaw 

Lear the iollo win 5 distinctive numbers: 

COUPON NOTES OP SI, 000 PB1NCIPAL AMOUNT OUTSTANDING 


1C- 16 1667 3666 5WSD 
“ ifi 18M 3680 M*» 
55 1898 3697 5475 
72 1914 3715 5494 
89 1933 3731 5510 


3 8?57 IDS? 13454 14156 1S961 17718 19474 51M0 W» =48M 26S« M34I. 


136 1963 3775 


■.i.ie «f ihe meat bill 


I , , ,-ei 1 ,u. In the rest of the groceries 
hv i-ii“ nJ thC <overed by the basket the con-i 
^r*. ini . -ii. linuing keen competition among] 

"li'-f »-ui’> «*f meat nisi sub- supermarkets has kept prices j 

-’V'ltj more in May. A leg relative tj stable. But lower egg: 

■'? lamb was up to lOp a pound prices helped cut the dairy pro-| 

rr.T'. - expensive in many shops, dure hill this month. i 

. tthmivh .st'iiie prices were up Some copies of the list now 


Miners to end 
strike action 


FINANCIAL TIMES SHOPPING BASKET 
MAY, 1978 

Kay 

L 

April 

£ 

Dairy produce 

471.24 

475.93 

Furar. tea. coffee soft drinks 

179.92 

179.66 

Bread, flour, cereals 

231.72 

229.65 

Preserves and dry groceries 

84.41 

84.18 

S'ucos ard pickles 

40.80 

40.53 

Canned poods 

155-32 

155.70 

Frozen roods 

183.49 

177.43 

Meet, b.’con, etc. (fresh) 

424.26 

412.08 

Fruit and vegetables 

238 79 

227 AO 

Non-foods 

182.38 

181.08 

Total 

2.192.33 

2,163.79 

!?:SSX 197P: March 108; April 101.77 

May 103.11. 



BY OUR LABOUR STAFF 

A TEN-DAY strike by 1,100 
miners at Derbyshire's largest 
colliery at Markham, near 
Chesterfield, will end on Monday 
— the day the men finish their 
holiday. 

The strikers, numbering fewer 
than half the colliery's 2,300 
miners, were protesting because 
they were not paid for two days 
last month, when an engine 
winders’ strike prevented them 
going underground. 

The National Coal Board said 
that although three pits bring 
coal up at Markham, the colliery 


was one undertaking . and all 
members of the National Union 
of Mine workers were equally 
responsible for strike action. 

At a mass meeting in the 
middle of a week's holiday, union 
members voted to return to work 
next week. 

Mr. Tony Maxfield. union 
branch secretary, said they would 
now pursue the claim in a 
different way. 

Guarantees arc to be sought 
that wages will be paid to a group 
not responsible for any similar 
stoppage in the future. 


w M72 3B55 5652 7343 <1036 10813 12SDU 14307 1GI47 17882 13C29 214t0 22884 24917 26705 3B473 

MM 3870 5667 7363 911+ 10828 1CE17 14313 1G15? 17888 13C44 =1426 =2895 =4923 S6721 »«7 

2™ 3105 3887 5688 7373 3139 10831 12631 J432S 16167 17WH 19653 21442 23922 34929 26TC8 28MS 

3nq «I23 3904 5706 7380 9153 10838 12646 14334 16179 17B99 19665 "■’»’* MOM. 36739 

3M "140 3017 5725 7401 9175 10841 12653 143+0 16131 17903 19677 

S "156 3933 5742 7408 91B1 10848 12663 1+359 16200 17912 19717 ^=7 

"171 3950 3753 7433 0190 10856 12672 14379 16203 17924 19731 21911 23965 24570 26806 2567* 

361 5 ill 3965 5774 7478 0206 10861 12683 14408 16224 17932-19745 21527 2297 5 24963 ££822 385« 

379 2206 3976 5793 7488 0=22 10860 12700 14440 16239 17944 1S754 21543 22985 24993 2663i 28fil» 

397 2223 3994 5808 7498 324S 10571 12707 1+463 16255 18011 1S766 21567 22996 24995 2SM0 28631 

414 2238 4010 3838 7508 9276 10925 12738 14483 16271 18029 19778 21584 23006 =6002 26881 2864* 

X 3 I £55 4038 5846 7536 9=96 10933 12766 14496 16SS5 18041 19818 2160 

44B 3270 4045 5864 7536 9311 10940 12775 1450= 16313 18055 19832 21GI 

4C4 2268 4060 5870 7552 9330 11027 1=791 14507 163=9 18067 19846 216=8 23066 250+f -J>jg3 28689 

484 2306 4075 5880 7369 9363 11028 12814 145=0 1633B 18087 19855 =1644 23107 =5061 2g»33 =8721 

520 232-1 4031 5889 7M9 9391 110=9 12822 14545 16365 18115 19B6S 210138 23128 =3076 26941 “8733 

536 2341 4109-5906 7G00 9392 11030 12831 145C8 16378 18131 19879 =1685 23147 =5088 2C9S3 amg 
555 2359 4125 8918 TG18 9393 HOBS 12849 14582 16390 18146 19919 21699 23167 2SI03 26968 3g76S 

571 237B 4140 5925 7649 9400 11100 128BB 14610 16411 1817= 19933 =1713 232M 2SU7 2700* =8776 

589 =337 4158 5937 7659 9401 11110 1288+ 146=6 16421 18188 19948 21729 =3229 2S132 27021 38790 

605 2413 4181 595 1 7C79 9411 11120 12907 14636 16436 18200 19969 21745 23248 

623 2429 419B 5900 7691 9422 11131 12938 14640 16445 13213 19960 =1769 =2=73 

G41 2445 4214 5975 7701 9438 11143 12950 14661- 1S46L 18223 20001 =1TOC =3303 -gjg. 

658 =461 4231 5996 7702 9459 11159 1297S 14672 10496 18238 20012 21798 =3330 =£189 3SS1 

674 2475 4243 8014 7716 9486 11176 1209= 1468+ 16505 18352 2004= 21814 =3349 =S=04 27115 =3877 

693 =490 4265 6030 7741 9508 11212 13017 14712 16516-18258 =0056 21830 23375 =S3« =7lJ =8391 

708 =510 4285 6044 77S9 9528 11225 13018 14751 165=6 16264 =0080 21846 23410 =5333 27TD 2892+ 

726 2521 4304 6061 7781 9530 112177 13020 14755 16532 18303 =0092 21870 =3431 J5348 StlSS 55251 

741 2538 4320 6076 7782 9540 11=08 13035 14777 1C536 18307 =0102 218S7 23450 =5263 27177 28949 

758 2556 4337 6092 7812- D573 11309 1307L 14790 1CS41 18317 20113 21897 =3477 =8278 -i!9 1 =8968 

774 =573 4354 6103 7824 9580 11318 13078 14796 10603 18378 20143 21915 235U 25390 =7226 =8979 

791 =584 4371 6121 7837 9617 11331 13121 14814 1662S 1B382 20157 21931 =3532 =5305 272=8 28M3 

307 =539 4388 6138 7857 9626 11338 13137 14860 16646 1339= =0181 =194, =3551 -6320 27230 29001 

823 2615 4406 6153 7373 9650 11357 13151 14891 1666+ 18423 =0X93 21971 23578 3SM+ =7248 =9011 

840 263= 4423 «70 7892 9653 11361 13157 14891 16681 18440 20203 2198B =361J 2S350 =7272 39018 

S57 2646 4441 6183 7917 9663 11373 13168 14915 16685 1B442 20=1* 21996 =3633 25364 =7287 29031 

376 2665 -4457 6200 7937 9676 11400 13107 14926 16718 18458 20244 23013 2o663 2S3TO =7323 29043 

894 2683 4474 6312 7951 9696 11420 JTJ1L 14939 1673= 1S470 =0=58 —0=3 2*235 £££££ 

909 2700 4493 6229 7964 9715 11428 1323* 1+943 16751 18494 20282 =2033 =3713 254-1 -7337 29063 

926 2717 4512 6242 7981 9730 11447 13=35 14951 16766 1850+ 2029+ 2204* =373* =6435 =734+ 2911S 

945 2734 4529 6262 7991 9745 U472 13255 1496E 1678* 18509 =0304 220S6 237S4 25431 =7367 29U6 

964 2751 4549 6278 SOU 9760 11473 13=83 14984 16794 18518 20315 =206* -3782 35406 =7382 29142 

960 =770 4567 6291 8019 9775 11486 13286 14992 16812 18527 20345 220.6 2381+ 35480 274UI 29151 

936 2789 4585 6307 80+1 9783 11499 13303 15001 16313 18534 20360 2=087 23833 25508 27439 Mira 

10 1= 3807 4601 6316 8068 9816 11321 13316 15011 16845 1S547 =0383 2=134 2385* JMjg =7441 29166 

1030 28=3 4618 6326 3076 9821 11531 13346 15D21 168+7 18621 =0395 2=12* =3884 2653S 27448 29169 

2045 2843 4636 6346 8091 9831 115*8 13371 15041 16857 18627 20405 22134 23915 25652 27461.^200 

1061 2858 4655 63E9 8116 9861 11S73 13391 15061 1G870 13667 =0416 221+5 23936 25S67 27477 2m* 

2077 2875 4671 6386 8132 9877 11589 13393 15071 16904 18676 =0446 221S7 10955 2&M1 3751S 382» 

1094 2893 4688 6401 8144 9689 11631 13108 15091 16911 1808* 20+61 J=lh7 239{g 35609 27535 39265 

1111 2310 4703 6414 8158 9907 116+1 13413 15110 16919 lBl>38 =048+ 2=J77 24037 2SG23 =7546 Zgg* 

1131 2927 4725 6438 8180 9908 11663 13428 1515G 1G3S0 13708 =0496 22188 2+050 25637 275B6 29298 


Wage deal threat 


1148 2942 4744 6443 8200 9927 11686 13440 15171 
1164 2960 4760 6468 8=05 9972 11701 23445 1518 
2179 2977 4776 6473 8215 9987 11708 13463 1519' 


169== 19734 =0506 222 L5 24061 25653 37559 =9299 
ItSWT 18747 =0517 22225 2+074 2SfiS8 =7572 =8309 
17007 18772 2054T =2235 24084 =5683 =7811 39302 


Spirit clearance up 


BY OUR LABOUR STAFF 

UNIONS AT the British Sugar 
Corporation are threatening to 
withdraw trom the national wage 
agreement and negotiate at 
factory level. 

They claim that this move 
could delay the autumn's sugar 
beet harvest and lead to the wor- 
kers withholding B5.0n<l tons of 
unrefined extract, now in store. 

Their protest follows a joint 
negotiating committee meeting 
to fix terms for special payments 


for next year's thick juice run. 

Mr. Bobby Smith, national 
industrial officer of the General 
and Municipal Workers’ Union, 
said that the unions were told 
that a special payment to refinery 
workers was to be stopped from 
early August. • 

The company says that it told 
the unions earlier this month 
that the present juice refining 
agreement should be terminated 
and three months’ notice given. . 


skta mi t Hi lo mij 0*13 308# u-ibj xaixt aiwt'i zxSlz rrxrr 

1194 2891.4785 6478 8229 9993 11724 13523 15209 17017 1878b =05b3 .2346 2*093 25710 £7629 2930S 
1214 3007 4817 8494 8230 10009 11738 135=4 15236 17026 18798 =0535 2 ==jB 24138 =572+ 27648 29328 
1230 30=2 4835 6502 8266 10025 11738 13539 15=47 17052 18811 20o98 22=68 24151 26739 276SO 29351 
1249 3037 48G2 6519 8281 10045 11780 135S6 15=78 17065 186=6 =0607 £278 2416= =575+ 27666 BTCO 
1268 3052 +868 6530 8313 10064 11794 13573 15316 17078 18839 20bl8 22289 241,5 25769 27 670 29381 
1284 3572 48W 6550 8314 iooli 11808 13576 153X7 17088 188M =0U« £3X6 =4185 =5783 27706 ^3 
1302 3090 4304 6S5S 8348 10063 11819 13583 15333 1710= 18871 20fib6 223=6 24194 25811 =77 23 29400 
1317 3106 49=0 6585 8349 10100 11836 13589 15339 171=1 18892 20CT6 22336 =4239 =5825 277*1 M411 
133= 3133 4938 6612 8363 10105 11868 13604 15375 17133 18917 20699 £347 24JB2 =5840 =7756 39441 
1351 3140 *954 G62B 8364 10136 11B94 13614 15369 17133 189=5 20710 =359 24263 258S5 =7761 29466 


1368 3156 4971 6644 8365 10151 11912 12bl6 15405 1 

1384 3168 4981 6657 8+05 10174 11921 13623 15417 17178 1396+ =0749 S33TO =+»« =j»»; jSTBOi 

• 1403 3188 4999 C678 8426 10190 11940 12631 15434 17194 13?b5 =0,68 £390 24295 25913 27817 =9482 

1419 3210 5016 6679 8454 10205 11941 13667 15451 17=07 1S0GG =0787 22417 24340 =5926 =7835 29494 

1439 3229 5032 6701 8455 10216 11967 13671 15469 17=09 19010 =0800 22427 24363 =5941 278® 29503 

1456 32+5 5050 8742 8480 10217 11968 13721 15516 17=10 190=1 =0811 =2438 =4364 25956 27B60 29531 

-—11 19033 20820 =448 24377 25971 =789= 29540 


1476 3=63 5065 6787 8490 10=56 12010 13728 1551 
1494 3=84 5084 6788 8524 10291 1=041 137=9 15544 



^ ». u ........... markets strength of weakness— drive in the cement industrv 

J lt ' r t,lL ‘ mim-Budget or and that is nearly 7 per cent! with Mr. John Lyons' Engineers' 
ii -ivnibcr. HITS, held down down.” i and Managers’ Association. 







The search tor minerals has revealed substantial gold ore bodies 
midwj\ between Mecca and Medina. The site, believed to be the lost mine 
of king Solomon, could yield deposits worth $200 million. This fascinating 
Ntory is in the latest issue of MEED. 

Dubai poised to sign contract for 
construction of Gulf’s biggest port 

Hie way is now cleared for the Mina Jebel Ali construction joint-venture 
contract to be finalised. The port. 35 kilometres south-west of the city, will 
hu*. e more than 60 berths. More details in the latest issue of MEED.' 

Arab plans to develop pyramid 
site as tourist complex 

Hie pyramid oasis project has aroused intense feelings in Egvpt- The 
latest issue of MEED gives the background to the controversy. 


These are typical of the major | 
Mories to be found in the current i 
edition of Middle bast Economic . 


To Dept AS. MEED, 
21 John Street, 




Lumwn oi i’iiuuiv uu.u ULUiiuniiv ■ _ l JklUlk JUCCl, f 

Digest -6S pages of essential read- I London \VC IN 2BP, Jft ^ II 
ing for an\ one doing business in the | England. ^ I | 

Middle East. g * . fl | 

Every week MEED provides a J a % 

unique digest of news, analysis and I - M& " 

forecast, covering every aspect of | » f 

business, industrial, financial and ■ YOU NEED | 

economic development. Vital J n n 

information includes calls for ten- 9 H aafe Mg 

der. followed up by details of con- | SnB 

tracts, trade, oil and buduet figures, | : ; 

; >nJ a re. iew of book, and docu- , Plcjs<; me a free speamen copy of | 

riienls rclevani lo readers' interesLs. J MEED plus details of subscription rates. | 

MEED deals with all Arab coun- I Namc | 

tries, plus Afghanistan, Cj’prus, | I 

Iran. Turkey and Ethiopia. | Address 

Discover MEED for yourself - it 2 *. 

w il! cost you nothing. Simply com- | • I 

olete the coupon and post without | | 

delav. ™ ™ ™ 


T § 


Name 


Description 

AUTOMATED FOUNDRY' Ready for production 
box size 1850 x 900 x 700/300. Suitable for 
large tractor or similar castings., 

9 DIE, 1750 FT/MIN SUP TYPE ROD 
DRAWING MACHINE equipped with 3 speed 
200 hp drive, 20" horizontal draw blocks. 

22" vertical collecting block and 1000 lb 
spooler. (Max. inlet 9 mm finishing down 
to 1.6 mm copper and aluminium). 

8 BLOCK (403 mm) IN LINE, NONSUP WIRE 
DRAWING MACHINE in excellent condition 

‘ 0/2000ft./min. variable speed 10 hp per block 
(I960). 

24" DIAMETER HORIZONTAL BULL BLOCK 
By Farmer Norton (1972). 

SUITING LINE 500 mm x 3 mm x 3 ton capacity. 
TWO VARIABLE SPEED FOUR HIGH ROLLING 
MILLS Ex. 6 JO" wide razor blade scrip 
production. 

MODERN USED ROLLING MILLS, wire rod 
and tube drawing plant — roll forming machines — 
slitting— -Rattening and cuc-co-length lines — 
cold saws— presses— guillotines, etc. 

1974 FULLY AUTOMATED COLD SAW 
by Noble & Lund with batch control. 

1970 CUT-TO-LENGTH UNE max. capacity 
1000 mm 2 mm x 7 tonne coil fully 
overhauled and in excellent condition. 

1965 TREBLE DRAFT GRAVITY WIRE DRAWING 
machine by Farmer Norton 27" — 29"— 31" 
diameter drawblocks. 

STRIP FLATTEN AND CUT-TO-LENGTH UNE 
by A, R. M. Max. capacity 750 mm x 3 mm. 

6 BLOCK WIRE DRAWING MACHINE equipped 
with 22" dia. x 25 hp Drawblocks. 

2 IS DIE MS4 WIRE DRAWING MACHINES 

5.000fr/Min. with spoolers by Marshal Richards 

3 CWT MASSEY FORGING HAMMER 
— pneumatic single blow. 

9 ROLL FLATTENING MACHINE 
1.700 mm wide. 

7 ROLL FLATTENING MACHINE 
965 mm wide. 

COLES MOBILE YARD-CRANE 
6-ton capacity lattice jib. 

RWF TWO STAND WIRE FLATTENING AND 
STRIP ROLLING UNE 10" x 8" rolls x 75 HP 
per rail stand. Complete with edging rolls, 
turks head flaking and fixed recoil er. air 
gauging, etc. Variable line speed 0/750fi./min. 
and 0/1500 ft. /min. 

NARROW STRIP STRAIGHTENING AND 
CUT-TO-LENGTH MACHINE 1 1973) by 
Thompson and Munroe. 

BAR PEELER-4" CENTRELESS. RecondltioneT 

BENDING ROLLS 8* x Excellent. 

CONOMATIC 6 SPINDLE AUTOMATIC Fully 
reconditioned, will turn and index to maker's 
limits. 

SCHULER 200 TON HIGH SPEED BLANKING 
PRESS. Bed 48" x 40" 200 spn. Double roll . 
feed stroke 35 mm excellent condition. 

TAYLOR & CHALLEN No. 4 DOUBLE ACTION 
DEEP DRAWING PRESS. Condition as new. 
VICKERS 200 TON POWER PRESS. Bed 40" x 
36 . Stroke 8". NEW COND. 

MACHINING CENTRE. Capacity 5ft x 4ft x 
3ft. 5 Axes continuous path 51 automatic tool 
change;. 5 tons main table load. Main motor 
27 hp. Had less thin one year's use and in 
almost new condition. For sale at one third 
of new price. 

WiCKMAN 21 6SP AUTOMATICS 1961 and 1963. 

EXCELLENT CONDITION. j 

4,000 TON HYDRAULIC PRESS. Upstroke 
between columns 92" x 52" daylight 51", 
stroke 30". 

COLD HEADERS BY NATIONAL 
J" and J" DSSD EXCELLENT 
ANKERWERK 400 TON INJECTION MOULDER. ' 

Reconditioned. J 


WANTED 

MODERN U5ED ROLUNG MILLS, wire rod 
and tube drawing plant— roll forming machines 
— Hitnnc— flattening and cut-ro-length lines— 
cold saws — presses— guillotines, etc. 


Telephone 

08893 3841 
or 08893 4638 


0902 42541/2/3 
Telex 336414 


0902 42541/2/3 
Telex 336414 
0902 42541/2/3 
Telex 336414 


0902 42541/2/3 
Telex 336414 


0902 42541/2/3 
Telex 336414 
0902 42541/2/3 
Telex 3364M 

0902 42541/2/3 
Telex 336414 

0902 42541/2/3 
Telex 336414 
0902 42541/2/3 
Telex 336414 
0902 42541/2/3 
Telex 336414 
0902 42541*2 3 
Telex 336414 
0902 42541/2/3 
Telex 336414 
0902 42541/2/3 
Telex 336414 
0902 42541/2/3 
Telex 336414 
0902 42541/2/3 
Telex 336414 


0902 42541/2/3 
Telex 336414 

0902 42541/2/3 
Telex 336414 

01-928 3131 
Telex 261771 
01-928 313) 
Telex 261771 

01-928 3131 
Telex 26177? 

01-928 3131 
Telex 26 1771 
01-923 3131 
Telex 261771 
01-928 3131 
Telex 26177? 


01-928 3131 
Telex 261771 
01-928 3131 
Telex 261771 

01-928 3131 
Telex 261771 
01-928 3131 
Telex 26177? 
01-928 313? 
Telex 261771 


1509 3300 5103 6783 8531 10300 12061 13778 15550 173=1 19055 =0869 2=470 24396 =U01D 27911 =0567 

15=5 3315 5133 6813 8502 10310 12088 1373S 35585 17331 19066 =0888 221B0 =4442 36043 37929 2958S 

1540 3331 5140 68=3 8563 10311 13089 15797 1SS9B 17351 191 U =M99 22491 34+54 =6056 27950 29595 

1555 3353 5158 6843 857= 10315 12090 13313 156=1 17300 10123 =091= 22513 =4465 Mill 27965 29610 

1574 3370 5173 6873 8616 103=4 12103 138=1 1SW36 17366 19136 =00=1 22528 24478 2614+ 28000 2962T 

1592 3386 5189 6893 8634 10330 1=123 3383* 15u71 17376 19148 2095= =539 =4488 26157 28011 29638 

1610 3405 B203 6898 8648 10346 121=4 13835 1S08S 17387 19160 20970 23550 24497 26213 28025 29652 

1625 3421 5221 6905 8656 10371 12150 13871 15700 17414 19171 2TO90 =561 24543 2624S =038 =660 

1644 3439 5=36 €925 8671 10415 12165 13888 15701 174=6 19=12 20997 22571 =4555 36259 28058 2968T 

1664 3456 5253 6955 8684 10438 121B3 13903 1570= 17437 19=25 =1006 22SBL 24666 =6301 28069 2969S 

1679 3471 5268 6980 8715 10446 1=1= 13904 15715 17456 19237 210= =592 =4579 26313 =069 39705 

1694 3488 5286 6981 8730 10466 12=1 13905 15716 17500 19249 =1038 =619 =4589 26335 28114 29715 

3710 3507 5363 6995 8745 10476 12232 13917 15745 17308 192C1 21062 22629 24598 26333 28126 39 741 

1726 3525 5318 7003 8760 16511 1=347 139=3 15752 173=1 19272 21078 22640 24644 S6346 28139 3974T 

1746 3545 5334 7015 8775 10525 12263 13996 157G1 17540 19313 21094 22651 24656 26300 =159 29761 

1761 3561 5351 7016 8790 ,38527 ,22=8= 14001 15821 17560 19326 21107 22662 24667 26402 28170 =779 

1778 3578 5356 7017 860C 10532 123=1? 14013 15844 17377 19338 21123 2267= 34680 26416 28183 29 7 9 5 

1795 3595 5361 7053 8817 10541 l=3=.i 14021 15856 17531 19350 =1139 2=682 =4690 26426 2=15 29796 

1812 3612 5398 7091 8828 10580 1233'. 140=6 15870 17611 193G2 21163 22633 =4699 26435 28227 29821. 

1828 3630 5415 7133 8851 10591 1235H 1404= 15880 17627 19373 21179 23720 24747 26447 28240 298*1 

1847 3651 5432 7145 8870 10606 1236= 14072 15893 17647 19414 21195 =730 24757 26461 28260 

The Notes specified above are lo I h* redeemed for the said Sinkiim Fund at the Corporate Trust 
Office of Marine Midland Bank, 140 Broadway, JVew York, IVcw York, the offices of Marine 
Midland Bank in London and Pari*, ifte main office of Swiss Bank Corporation in Basel, thajnam 
office of Dreedner Bank AC in Frankfim/Maiu, the main office of Krcdiethonk N.V. in Brussels, 
the main office of Banca Cominerriale Italiana S.p.A. iu Milan, and the office of Bnnque Internationale 
a Luxembourg's. A. in Luxembourg, as the Company’s paying agents, and will iiecome due and pay- 
able on July 1, 19TB. On and after the .Redemption Date, interest on the said Notes will cease to accrue 
and the voupnns appertaining thereto shall lie void. 

■The slid Notes should be presented and surrendered at the affine* set forth in the preceding para- 
graph on the Redemption. Date with all interest cniqion* maturing subsequent to the Redemption. 
Dale attached thereto. Interest coupons payable July 1, 1978 should be detached and presented for 
payment in the usual manner. 

-MARINE MIDLAND BANKr 

May 30, 1978 .Trade* 


Notice of Redcanph'on 

Massey -Ferguson Nederland N.V. 

9 J 4 % Guaranteed Sinking; Fond Debenture! Due July 1, 1982 

NOTICE IS HEREBY GIVEN that, pursuant to Ihe provisions of the Fiscal" Agency Agreement 
dated a+ of July 1. 1975 under which the above described Debentures were issued." Citibank, XA, as 
Fiscal Agent, has drawn by lot, for redemption on July 1. 197S, through the operation of the sinking 
fund provided for in the said Agreement," 51.000,000 principal amount ot Debentures of the said issue 
of the fallowing distinctive numbers: - 

COUPON DEBENTURES OF 81,000 PRINCIPAL AMOUNT OUTSTANDING 
M 1 287.1 5426 8003 1 0144 12705 14818 17002 1 9438 22353 24806 2 73 2C 20800 32335 35214 37268 

W 2WW 5437 8070- 10273 12740 14824 17203 197+4 22367 24810 27354 29007 32340 35257 37289 

79 2947 5494 8086 10253 12767 J 484S 17=07 19642 22376 24B41 27382 29948 3=342 35J6I 37288 

310 =95.3 5585 BUS 10301 12706 14862 17422 19805 22386 24937 27402 30088 32351 35206 77358 

199 2974 5804 8135 10307 1=808 14897 17444 19896 =422 24952 27474 30115 32367 35278 37411 

.3=8 3060 5832 8143 1 0334- 12813 14020 -17474 19914 22435 =4983 27514 30122 32439 353 U 37426 

433 3063 5632 . 8161 1U345 12819 14933 17513 1991H 22443 24936 Z7532 30140 3248S 35322 37427 

463 3074 5762 6169 103B8 128=4 J4939 17516 19356 22515 25048 27784 30163 32526 33334 37438 

4.0 3154 5.69 SIiO lOllifO 128S7 149+8 17935 19969 22756 =5130 27825 30165 32927 35364 37441 

47B 3186 5770 82QB 10488 12888 1+957 17985 20049 22757 25179 27828 30214 32328 35439 37549 

486 3130 5780 3M7 10510 1=389 15126 1700= 20074 =850 25201 27305 30229 32551 35442 31600 

49fl 3240 56=9 . 8273 10539 130=4 13161 17627 20033 22902 25217 27924 30240 33554 3S475 37740 

579 32+7 5940 8301 1056+ 13031 15182 17657 20103 22908 2529S 28058 30268 3=563 35521 37767 

i3S9 34=4 5976 83=0 10639 13092 15253 17658 20107 2=943 =5300 28081 30300 32583 33581 37779 

76= 3+27 6004 8347 106+3 13099 15347 17606 20110 22909 25375 28086 30361 32684 33612 37B02 

866 3458 60=5 8358 10657 13151 15343 17097 20174 2=!W4 25417 28112 30428 3M32 33C20 37813 

882 3503 6100 8303 10607 13201 15358 17739 20180 23011 25487 28122 304+2 32847 35655 inns 

800 35.13 6104 8376 10683 13209 15366 17747 20=56 23059 - =5503 28143 30448 32911 35666 37872 

895 3559 6206 3475 10788 13211 153 DO 17751 =0283 23082 =5544 28162 30483 3=048 3370 B 270SO 

809 3560 63=5 8486 1Q9S3 33254 15408 1761 L 2rn->2 aSm OriSrr SSZX? 


99L 3643 0500 8681 11050 13+00 155+9 1787C =0+25 =3215 237=2 =8432 30605 33137 3M35 -§274 

lSai S er* STM 11185 13441 lUS tarw^ TlStSS 2^2 “g 85 3*559 30617 33276 35927 38310 

lino ?7B5 MSI RTM lli£« ltlri JPi? ?5?TI 23335 =5833 28561 30640 3331+ 35928 38313 

3809 CM* SraS I12W SSS \U% S dSwr S S S S 

1441 3831 6782 8796 31303 13497 15639- 18217 20617 234*7 25934 SRSre T&So TW2 ri«n7T 

1456 3883 6843 S824 11343 13523 35716 16222 2075-i M43t aOWM MM? S 

1494 3975 6005 . 8853 11385 130=9 1571a 1*55 20863 =3463 25973 2861? 30842 33642 3617+ THB40 

1552 3992 6967 8900 11400 13R46 20887 =3531 2507 s 38732 30809 03648 30187 38849 

3560 +006 7050 8901 11+W Ills? 3^2? ~£5~ 26040 287KI 30925 337=5 30102 30886 

1367 4010 7062 aJJ-l JJ.55 1831= 2 0970 23566 26191 28771 30937 33801 36201 387=8 

TS}? 4^7 SSsl IS 186 18315 21070 23590 26203 30793 30950 38305 38224 38768 

Tgjjg Sis tow <wrk ii^S SUil 23608 28229 28821 30972 aasia 3623? 33770 

IR+T- 4151 Tim JUS H-lSS 18504 21229 23618 26254 28865 30978 3385+ 38=8* 38835 

3632 4138 71=8 9 5-j jiiai 13TW 28874 30 2™ 33805 38309 38906 

5670 4,73 iiSsi Jg5£5 21268 21737 26270 28907 31090 33920 36347 38941 

3773 ^285 717+ ]=flni J2S8 21272 Sf 424 28949 311+4 83937 36359 39098 

1801 42S9 7210 9wii iSqm Sf? 213 !A SI 98 s 6461 29001 311 72 22972 36424 39036 

1871 4=80 7=20 9439 1*0+5 wm SS 35 26+73 2601R 31179 34011 36443 39063 

1971 4339 7225 94^3 i^nea 141 m 23840 20502 29029 31240 34045 36446 3924ft 

19R7 44T9 797a isHg JUS'S iff 91 13760 2 1 3 °5 23B53 26612 29096 31272 34057 36505 39369 

2127 t££ raiK. 95+1 SIS 18787 S 13 ;® **** 26frt5 29130 31328 34079 S 39402 

2128 4626 7276 ttfJ) rm Mrs ?IS?? 23873 26740 20478 31334 34004 36303 39417 

2 ,<U arir, inn.’H: Jj&Z 35.125 J 60ll = 55 ] d 239 7+ =660= 20197 32341 3+154 36K13 3942T 

■ 3 “ +66= 7377 9076 lS?7 3^1? 18820 2 Jg;» =3»lg- 26813 2023S 31554 3«?0 3^1 3W36 

493 owl S325 9 26832 29266 31559 34223 38823 39535 

‘“40 J4JI4 16288 18955 21603 23936 26910 29294 31583 +1423* 39695 

2317 +781 7569 »7ro 123=1 1SS2 2 “J 6 ® 4 “«53 26932 2MBS 31G15 342« 3G6BT 39697 

2369 4834 76« 97jm 216t ’ 3 24148 86048 . 29307 31650 34295 36728 3978T 

5aR7 4ass 7738 1803 1^7 I'.'S?! 21 8 W 24183 26084 29481 31 7 13 3+299 36736 38785 

7(1 r- *5” 1 14+21 lfi+OK luou 2=011 ?4?in 77nia mm +i7nn wk -mm annas 


0902 42541/2/3 
Telex 3364)4 


2556 jniii 7 -mo ihi'b 7^77^- 27221 ;«'■ asuo mjss nura atuai 81973 a+'fiil- Vi u» 

26M +94= -Jaw biwS 18 §«! 19274 22135 24395 27094 20553 32003 34885 37011 

27+0 aiau 4 ?jS }^v2 14577 l 88 ! 5 imoo = 21+2 24523 27120 20001 32094. a+Sw stub* 

2764 Ism 7^05 -inflU J 4 ^. 1 "IHaOR =162 24578 27123 29705 32170 34984 37098 

2781 53$ inm.. 1 9333 22219 24812 27133 29712 32218 33003 37105 

2790 5405 79^ iSSfin ,, 4 J 4 J 88 * 7 1M57 22288 24756 27270 29B31 3223C 350H 37134 

' 10 - H>0 J-* 02 14724 I69H8 19414 22304 24761 27302 29849 32289 3si3 87170 

The Debentures specified above, arc to Be redeemed fqLSinb'ng Fund (a) at the W.C.G.-A*«ney 
lVZ! Ce t D f e P? rt ? ,!,,t of JS 4 Agent, 1 I I Wall St., Bond Window— 2nd Floor, in the 

, Man .t atta "’ T ^.° Cl *y ot New York or lb) subject to any jav\-s or regulations appli- 
cable thereto, at the mum offices of Citibank, N.A. in London (Citibank" House) j Citibank 
S £‘ ! Cr «‘^ t ® ItaJiano MiUn; Dreadnor Bank Aktiongesollxcliaft, 
WR fr' P'erson, Heldring & P.er«on, Amsterdam; Sod etc Gonerale, Paria 
Swiss Bank Co^orat.on, Basle; Credit Suisse. Zurich and Socicte General, de Banqno 
®, ru “ ,*■ ra > mt ‘ nl , at , lh . c w*w»wl to in tb) above will he made bra United States 
dollar check drawn on a bank in .New York City or by transfer to a United States dollar account 
b >' j he P 3 -' " kank in New York City on July 1. 1978. the date or which they shall 
hocome due and payable. LPO\ PRESENTATION AND SURRENDER THEREOF, at thcrodfimp- 
tion fxice oi 100 per cent of ibe pnndpai amount thereof, toother with accrued inrerest to the date 
nxea lor redemption. On ana afLcr said redemption dare, jnicrest on said Debentures will •****• to 
accrue. 

pe Deben tares should be presented at the offices set Torlh in the preceding paragraph on the said 
date with all jnLerest coupons maturing subsequent to the redemption date. 

coupons due July 1, 197S should be detached and presented for payment in the usual manner. 

For MASSE Y-FERGUSON NEDERLAND N.V. 

By CITIBANK, NA. 

Fiscal Agent 

May 2 1.197S 











Financial Times Tuesday May 30 197B 




IRI 


ISTITUTO 
PER LA 

RICOSTRUZIONE 

INDUSTR1ALE 


IRI 5$% US$ and DM Bonds of 1964 Due 1975-79 

lie c N i^o«L her ^ b ?>& iw ^«« t . h 5i« the annual '■edemption instalments due on 30th June. 1578. of 
u “ * 2749.000 and DM 8.991 £00 principal amount have been satisfied by the market purchase 
?* a principal amount of US S 197J300 and by drawings for a principal value of 

US S 2.552.000 and DM 8.991 £00. 

The Bonds drawn for redemption on llth May, 1978, in the presence of a Notary Public 

US$ 1,000 Bonds 


are the following : 

Bondi bearing the following last two digits : 

01 04 06 07 13 

27 32 37 40 43 

59 63 64 67 68 

75 76 84 85 91 

together with those ending in 15, excluding number 1,415 or higher. 


17 

46 

69 

92 


25 

47 

70 

93 


26 

SI 

71 


DM 1,000 Bonds 

Bonds bearing the following last two digits : 

M 03 10 12 14 15 17 19 

25 30 31 33 34 35 36 37 

38 49 50 52 53 54 59 61 

67 70 71 72 80 84 86 88 

99 

together with those ending in 22, excluding number 48,122 or higher. 

On 30th June, 1978, there will become due and payable upon each Bond drawn for redemption, 
the principal amount thereof with accrued interest » said date at the following banks: 
Banque Internationale i Luxembourg SA. — Luxembourg 
Hill. Samuel & Co. Limited — London 
Banque Bruxelles Lambert SA. — Bruxelles and branch-offices 
Berliner Handels-und Frankfurter Bank — Frankfurt and Berlin 
Citibank N A. — New York and branch -offices in Amsterdam. Milan and Paris. 

Interest will cease to accrue on the Bonds drawn, for redemption on and after 30th June, 
1978. Bonds so presented must have attached coupon n. 29 maturing on 31st December, 1978, 
and ail subsequently dated coupons. 

The undermentioned certificates which were drawn for 
redemption on 30th June, 1976 have not yet been presented 

for encashment. 

US$ 1,000 Bonds 


1431 

1433 

1438 

1441 

1448 

1450 

1633 

2109 

2111 

3609 

3611 

4677 

6577 

6682 

7666 

8541 

8781 

8782 

8850 

8852 

8871 

9024 

9624 

9650 

9652 

9655 

10748 

11233 

11238 

11252 

11255 

11338 

11341 

11348 

11350 

11352 

11355 

11611 

11631 

12548 




DM 1,000 Bonds 




15024 

15658 

18189 

18194 

18218 

22032 

23673 

24458 

30294 

32477 

32611 

32613 

33294 

35058 

36294 

36297 

36307 

39873 

40497 

41377 

42889 

42894 

42897 

55111 

55113 

58148 

S9126 







The undermentioned certificates which were drawn for 
redemption on 30th June, 1977, have not yet been presented 

for encashment 

US$ 1,000 Bonds 


60 

65 

72 

73 

74 

78 

80 

83 

86 

87 

94 

95 

100 

102 

105 

110 

120 

122 

128 

160 

165 

172 

173 

174 

178 

180 

183 

186 

.- 187 

194 

195 - 

200 

202 

205 

242 

328 

378 

380 

383 \ 

386 

387 

410 

420 

422 

428 

472 

473 \ 

474 

620 

622 

660 

705 

795 

820 

860 

865 

920 

922 

939 

942 

960 

972 

973 •. 

974 

978 

980 

983 

994 

995 

1000 

1072 

1073 


1074 

1320 

1539 

1610 

2039 

2142 

2383 

2600 

2686 

2980 

3028 

3142 

3272 

3294 

3328 

3460 

3595 

3828 

4105 

4172 

4373 

4505 

4787 

5439 

5574 

5602 

6020 

6078 

6102 

'6183 

6210 

6320 

6572 

6722 

6778 

6802 

6860 

6887 

6973 

7242 

7287 

7465 

7680 

7805 

7872 

8078 

8128 

8278 

8520 

8805 

9074 

9486 

9794 

9880 

990S 

10387 

1049S 

10587 

10802 

10960 

1T300 

11700 

12510 

12673 

13073 

13228 

13320 


15207 

16376 

18190 

21882 

28964 

30506 

32029 

32692 

33306 

36305 

41442 

45329 

51328 

51468 

54306 

55128 

59128 


1080 

1386 

1542 

1700 

2042 

2165 

2386 

2665 

2687 

2983 

3039 

3183 

3273 

3295 

3339 

3465 

3605 

3983 

4110 

4173 

4374 

4510 

4910 

5442 

5578 

5605 

6022 

6080 

6105 

6186 

6220 

6360 

6573 

6728 

6780 

6805 

6865 

6894 

6974 

7272 

7294 

7483 

7694 

7810 

7873 

8080 

8172 

8280 

8522 

8872 

9102 

9487 

9795 

9883 

9910 

10394 

10500 

10705 

10860 

11005 

11302 

11802 

12520 

12674 

13087 

13242 

13322 


15221 

16382 

18192 

2SJ76 

29290 

30508 

32302 

33202 

34263 

36306 

42876 

46576 

51421 

51476 

54308 

55129 

59129 


1102 

1428 

1574 

1702 

2094 

2205 

2387 

2672 

2802 

2986 

3042 

3186 

3274 

3300 

3360 

3520 

3610 

3986 

4120 

4174 

4420 

4520 

5010 

5528 

5590 

5610 

6028 

6083 

6110 

6187 

6222 

6383 

6574 

6739 

6783 

6810 

4872 

6895 

6983 

7273 

7295 

7486 

7722 

7820 

7905 

8100 

8173 

8283 

3600 

8965 

9122 

9S22 

9820 

9886 

9973 

10395 

10502 

10742 

10865 

11160 

11339 

12139 

12522 

12865 

13120 

13294 

13328 


15628 

16742 

18202 

25382 

29292 

30876 

32390 

33242 

34264 

36308 

42890 

46590 

51428 

51482 

54342 

56302 


1110 

T439 

1578 

1705 

2075 

2260 

2394 

2673 

2928 

2987 

3072 

3187 

3278 

3302 

3378 

3522 

3694 

3987 

4122 

4187 

4422 

4522 

5120 

5539 

5583 

5665 

6039 

6086 

6120 

6194 

6228 

6394 

6578 

6760 

6786 

6820 

6874 

6900 

5986 

7274 

7300 

7487 

7760 

7822 

7910 

8102 

8174 

8473 

8601 

9028 

9205 

9539 

9822 

9887 

9974 

10400 

10505 

10783 

10872 

11165 

11342 

12142 

12528 

12910 

13122 

13295 

13339 


1220 

1442 

1583 

1886 

2100 

2265 

2395 

2674 

2972 

2994 

3073 

3210 

3280 

3305 

3380 

3539 

3695 

4074 

4128 

4280 

4494 

4739 

5202 

5542 

5586- 

5722 

6042 

6087 

6122 

6195 

6239 

6494 

6605 

6765 

6787 

6822 

6878 

6902 

6987 

7278 

7342 

7580 

7794 

7828 

7920 

8105 

8178 

8474 

8728 

9039 

9210 

9628 

9872 

9894 

10302 

10472 

10510 

10787 

10873 

11187 

T1365 

12280 

12539 

12920 

13128 

13300 

13342 


1222 

1505 

1586 

1887 

2102 

2294 

2400 

2678 

2973 

2995 

'3074 

3242 

3283 

3310 

3428 

3586 

3700 

4078 

4139 

4360 

4495 

4780 

5205 

5565 

5587 

5728 

6060 

6094 

6160 

6200 

6242 

6495 

6610 

6772 

6794 

6828 

6880 

6905 

7087 

7280 

7360 

7600 

7795 

7839 

7994 

8110 

8272 

8478 

8739 

9042 

9328 

9720 

9873 

9895 

10305 

10473 

10522 

10794 

10874 

11239 

11483 

12287 

12542 

12922 

13183 

13302 


1228 

1510 

1587 

1910 

2105 

2302 

2594 

2680 

2974 

3020 

3080 

3260 

3286 

3320 

3439 

3587 

3702 

4100 

4142 

4365 

4500 

4783 

5239 

5572 

5594 

5739 

6065 

6095 

6165 

6202 

6260 

6510 

6686 

6773 

6795 

6839 

6883 

6910 

7095 

7283 

7365 

7660 

7800 

7842 

7995 

8120 

8273 

8480 

8742 

9072 

9394 

9722 

9874 

9900 

10310 

10474 

10539 

10795 

10878 

11242 

11605 

12502 

12573 

1292B 

13186 

13305 


1260 

1528 

1605 

2028 

2110 

2305 

2595 

2683 

2978 

3022 

3139 

3265 

3287 

3322 

3442 

3594 

3705 

4102 

4165 

4372 

4502 

4786 

5242 

5573 

5600 

5965 

6074 

6100 

6180 

6205 

6286 

6542 

6695 

6774 

6800 

6842 

6886 

6972 

7239 

7286 

7460 

7665 

7802 

7865 

8000 

8122 

8274 

8483 

8783 

9073 

9442 

9728 

9878 

9902 

10386 

15494 

10586 

10800 

10939 

11286 

11610 

12505 

12672 

13072 

13187 

13310 


DM 1,000 Bonds 


15662 

T7462 

19606 

26542 

29321 

32005 

32392 

33262 

34976 

37706 

42892 

47576 

51429 

51490 

54502 

56768 


15663 

15664 

15967 

16102 

17463 

17464 

17467 

17468 

20542 

21167 

21168 

21876 

26992 

27482 

28962 

28963 

29682 

29690 

30092 

30292 

32006 

32008 

32021 

32028 

32402 

32421 

32682 

32690 

33263 

33264 

33276 

33305 

35064 

36290 

36292 

36302 

37708 

39008 

39876 

41202 

43402 

45308 

45321 

45328 

47662 

47663 

49608 

50302 

51442 

51462 

51463 

51464 

51492 

51502 

53276 

54242 

54505 

54506 

54776 

55121 

56790 

57890 

57892 

58062 


[CITIBANK’S EXPERIMENT 


Automating bank clerks 


By DAVID LASCELLES. in New York 


" FRANKLY. I think the 
standard of New York 
retail banking as awful” 

! BLUNT WORDS, all the more 
I striking since they come from tbe 
bead of the retail banking divi- 
sion of one of New York's 
larger banks. More blunt words : 
“ In large metropolitan areas 
such as New York, consumers 
have plainly told us that tbe 
j transactional dimensions of 
financial services stink." This 
time from Mr. John Reed, a 
vice-president of Citibank, the 
l second largest bank in tbe U.S. 
[Retail banking has a bad name 
' everywhere. 

To bank customers, it means 
long queues, rude tellers, meagre 
services, and tough conditions for 
credit. To the banks themselves 
it means costly and unprofitable 
business, restrictive legislation, 
and a perpetual and wearying 
struggle for deposits. However, 
retail banking cannot simply be 
scrapped because no one likes it, 
and its future has become the 
subject of much current scrutiny 
and discussion — and costly experi- 
menting. 

Few people dispute the reasons 
why U-S. retail banking is in a 
bad way. Unlike British banks 
which have been free to develop 
enormous branch networks over a 
long period, U.S. banks are tightly 
restricted by law. They are con- 
fined to one state, and some states 
do not permit them to operate 
more than one branch. Further- 
more retail banking as a profes- 
sion has littld attraction. Again, 
in contrast with Britain, there is 
no tradition of local bank service 
In the U.S., labour turnover is 
high and expertise low. 

Most banks have views on what 
should be done. But the boldest 
steps so far have been taken by 
Citibank which over tbe last few 
years has spent some SlOOm 
installing a sophisticated elec- 
tronic system of "automated 
I tellers’* at its 365 branches in 


New York in tbe belief that part expensive, and not unnaturally 
of the answer at any rale lies in the rest of the banking corn- 
automation. munity is taking a very close 

These machines, which . it interest It is now almost exactly 
developed with the help of its a year since the first machines 
subsidiary. Transaction Tech- were installed, but Citibank is 
□ology, are linked to a central refusing to give out statistics on 
computer and consist of a small their use. The only comment It 
video terminal and a set of will make is that it is “heartened" 
keys. Tbe bank customer acti- bv results so far and believes it 
vales the machine by inserting is - on the right track ” to win a 
into a slot a small plastic card larger share of the retail deposit 
bearing nis name and punching market and increase the number 
out on the key board a six-digit 0 f transactions made with each 
identification code.. Tbe terminal customer 

then lights up with a message other ' banks are sceptical. 

°^??JL c « h01ce of traDsact *?. ns: Some say that the cost of 

withdrawing or depositing Citibank's programme would 

money. transferring funds have t0 produce a very large 

bBtW « 1 “Jw IV* 3 t l d ■ ac- -ncrease ?f business to justify 

counts, and account information. itself . others poiQt out J tha { 

Citibank increased the number 
rvnnnriim of ils customer contact stafF by 

expensive Merest. The machines enable 

The customer punches a key u Sadl tbS^nmas^wbi?" it cusromcrs to switch funds from 
for the function he wants. If « a v? artuaUv £2 it mni Than eurrcnt to savio “ s “^counts 
he asks for money, the machine KSallta* the * machines— but Ujendly minute h - v ralnule. The 
checks his account and then JSws S'up Vs further mS™* mfty kee -*? ;,tl , lheir funds 
passes out dollar notes via a Jf its deSSminaS!? to *mpro“ ,n "W until the last moment 
revolving drum. If he wants lo tl f™ vESSS improve Deeded t0 meet an incoming 

deposit cash, he puts it into a cSS,m«aSotance is an- ebeque ' 0nce *** bab 't s P rpads 

specially designed envelope and other pr^Wem iSS which ** current amount would serve 
drops it through a slot. All cfflf holdin- back do ga in ?he ?° raore 3 

transactions are recorded on a belief 'that account hSders fu t nct > on - L ™ ,tb a lar S er sbare 

receipt printed and issued on J5JJE dea? uith nennle of bank J unds “ ? v,n ? s 

the spot would rawer oeai wim people acc0 unts t tbe profile of me 

Apart from bv-nassin? the lba ? Wlt * 1 mac *\lnes. and that money supply — which dis- 
Apari ,rom . bypassing me customers would fear for ihe rinpuiuhec hPtuwn monev 

eue « In ba E k bra J ches - confidentiality of their accounts SSSS2 d on tad a Sd ?n 
this system offers the customer : n a highly comouterised svstem aep . asuea on . . demand ana in 

a big advantage. Most machines £,? S SER™** ° ^ ^ 

are accessible -4 boars a day. expressed, it is pretty obvious c Oujf e richtlv the savings 
5» ve n4ays a week meaning that ^ most people believe ’hat banks fe^ the consenuenws 
a cardholder can obtain banking reta ji banking must inevitably because aUhouch thev are oer- 
sennees when he wants them. g0 Citibank's way. with more Stilted by ESJ to offer hieher 

2" fartiifn I, ?t r S!Sde? 1 to auto ™ ation “ d electronic fund interest than commercial banks, 
* Dd ' br *“* fashion it decided to transfers, even though the they cannot yet match the flexi- 
instal not one but two machines implications are complex. hility of the Citibank system 

at every branch to ensure con- paving aside P all tbe ind/etL the savings taniulSw 
tinuous service, and the whole possibilities for electronic fraud already gone to court to fore- 
back ® d by a standby. or errori j t WO uJd fundamentitily stall a reform to banking regula- 
rorihennore. the system is on alter the character of retail t ions which would allow commer- 
line, which means mat all tran- banking, and even affect the cial banks to transfer funds 
sections are instantly recorded, money supply. One feature of automatically from u customer's 
rather than summed up at the the Citibank system is the so- savings to current account in 
end of the day. called day-to-day savings account, order to offset an nverdraft. 

AJl.of this has made it very which pays some 5 per cent In the looser term, though, 



Citibank's innovation could prove 
to be a step towards severely 
reducing or even eliminating 
cash transactions altogether. The 
haul: currently denies that this is 
its intention, in fact ir claims tbe 
exact opposite: the machines are 
there to make cash more avail- 
able. 

However, Citibank has already 
installed small terminals in 
selected New York shops which 
make it possible for the shop 
assistant to verify on the spot 
whether a customer’s account is 
flush enough to cover his cheque. 

The bank also says that its 
machines are desigend in such 
a way ihat more functions could 
be added later. As it is, custo- 
mers can use them to make 
mortgage and other regular pay- 
ments. and they can settle cer- 
tain credit card accounts too. 
In the not-too-distant future they 
will be able to pay their electri- 
city and phone bills through the 
machines. From there it will 
only be a small step to tell the 
machine to transfer money to 
any account you like, for 
instance, to settle a shopping 
bill on the spot, and a new era 
in banking could be upon us. 


{Advertisement) 


' 

DKBS ECONOMIC JOURNAL 


De™mn!^par™lated ' 

with publife works starts 
to show some brightness 


Sv. 

-*T 


Year-to-Year Changes in Value of Construction Orders Received 


Japan's business has begun 
lo show signs of gradually 
starling a partial rally. Along 
with the start of the fiscal 197B 
budget, demand closely related 
to public works projects has 
begun to stiffen steadily. 
Production also has turned 
bullish as inventory ad- 
justment has progressed. 

However, private final 
demand still has stayed in the 
background and Ihe program 
for eliminating the external 
equilibrium has not progressed 
smoothly. The pattern or 
domestic business thus has 
continued bearishlv mixed 

Enterprises, on Lbeir part, 
have been taking counter- 
measures for coping with the 
upsurge of the yen exchange 
rate since the turn oF the year 
by raising tbe prices or 
products, streamlining 
management and utilizing ihe 
merit of the higher yen. They 
thus are facing the latest rise 
of the yen value more calmly 
than its previous upswing in 
Ihe autumn of 1ST7. 

For all that, the deflationary 
effect of the soaring yen is 
likely to become more tangible 
in the ful ure to offer a new 
brake to the pace of business 
recovery. The corporate 
management climate and the 
employment situation thus stiU 
have continued severe as to 
darken tbe future business 
outlook. 

Production activity 

The moderate rally of 
production activity is probably 
oneo[ bright aspects of business. 
For instance, mining-manufac- 
turing production in February 
registered a znodest increase 
of 0.1 per cent over the 
previous month on a seasonally 
adjusted basis for the fourth 
consecutive month. According 
to the manufacturing produc- 
tion forecast index, it is ex- 
pected to show a sharper gain 
of 2.9 per cent In April after a 
0.8 per cent slump in March 
with steel and machinery at 
the helm. 

Shipments in the mining- 
manufacturing sector in 
February also gained 0.2 per 
cent over a month before for 
tbe fourth consecutive month 
since last November. 

As a consequence, in- 
ventories in the same sector in 
February decreased by 1.3 per 
cat from a month earlier. 

Public works projects 

The recent improvement in 
production and inventories is 
ascribable principally to the 
rally of demand for goods 
closely linked with public 


works projects. 

Fiscal expenditure has been 
in smooth swing following Diet 
passage of the second supple- 
mentary budget for Fiscal 1977. 
For example, the public works 
expense in February 
registered a sleep 46.8 per cent 
increase over the year-ago 
level, followed by another 
sizable gain of 22.2 per cent in 
March. The public works 
outlay thus continued (o eclipse 
the year-ago level in .March for 
Ihe eleventh consecutive 
month 

Following Diet approval nf 
the iiscai iy7K budget, the 
f.toveminenl placed Ihe target 
of public works comracls lo be 
concluded in the lirst half 
i April- September) of the same 
iiscai year at around 73 per 
cent of Ibe total annual {Millay 
with heavier stress in the 
Aprii-June quarter. Against 
this backdrop, fiscal ex- 
penditure is likely to continue 
lo lake the leadership of the 
business recovery, at least for 
ihe time being. 

Major indices related to 
Iiscai operations accordingly 
lu»vc been showing tangible 
signs of stiffening. Starts of 
public works projects and new 
orders for construction jobs by 
governmental and public 
agencies have increased more 
conspicuously than a year 
before. 

Shipments of products 
catering lo construction and 
civil engineering projects 
naturally have been in- 
creasing. 

Private final demand 

In sharp contrast, however, 
private demand has continu- 
ed dull. In the phase of plant- 
equipmenL investments, for 
instance, some encouraging 
signs have become evident. 
Orders for machinery <con- 
i rads awarded by private 
industries, exclusive of ship- 
building and electric power) 
have continued to increase 
consecutively since last 
December, giving a hall to the 
slump from April through 
November, 1977. Private con- 
si ruction orders also have 
tended upward. 

However. Ihe shipment index 
of capital goods i exclusive of 
transportation machinery >, a 
leading indicator of plant and 
equipment investments a few 
months later,, has continued 
stagnant, registering a 
decrease of 1£ per cent in 
January and 2;i per cent in 
February from a year before. 

rteceni surveys of plant and 
equipment .investments also 
have shown a discouraging 
outlook. According to such 


surveys, such investment 
outlays in the manufacturing 
sector in fiscal 1978 are 
estimated to register a 
decrease from the previous 
year. Even taking into account 
a sharp hike of capital outlays 
by the electric power industry 
in prospect, the combined total 
of such investments by all 
industries, manufacturing and 
nun-manufacturing inclusive, 
is estimated to register only a 
moderate gain of H-IO per cent 
in fiscal 1978 over a year 
bcinre. 

Considering that the overall 
equipment operation rale, of 
major industries still stands 
low at around 80 per cent, it 
appears virtually difficult for 
plant and equipment in- 
vestments to sLart a tangible 
rally al JeasL in the very near 
fulure. 

Personal consumption ex- 
penditure also has stayed 
modestly in the background. 
For instance, sales of principal 
retailers in February and the 
Bank of Japan note issue in 
February and March suf- 
ficiently served to endorse the 
Still sluggish trend or personal 
consumer spending. 

On the other hand, housing 
investments appear bound for 
a moderate recovery on the 
strength of supports, such as a 
sizable increase or private 
housing loans by the Housing 
Loan Corporation for fiscal 
1978 and the reduction of> in- 
terest rales on housing loans 
by private banking institutions. 

However, housing starts with 
private funds still are not 
expected lo make a vigorous 
recovery in view or the 
protracted standstill of per- 
sonal income and the continued 
advance of land prices. All in 
all. housing investments as a 
whole are expected to continue 
lo slay in the background for 
some time. 

External disequilibrium 

While private demand tins 
has continued to stay sluggish 
on the domestic front, exports 
have been increasing soundly. 
The continuously brisk keynote 
of Japan s export trade , has 
owed principally lo the 

favorable performances of 
automobile and precision 
machines. 

At the same time, hasty 
moves to make shipments by 
exporters from fear of the 
further Upswing of the yen 
exchange rale and the possible 
curb on exports also are. 
considered mainly responsible. 

In contrast. Japan’s imports 
have been continuing lo mark 
lime bearishly. 

Consequently, Japan's cur- 



-io 1 


Apr. May Jim. J«|. Aug. Sept Oct Nov. Dec. Jan. Feb. 
L 1977 * f-1978-1 


rent balance of payments in 
fiscal J977 ended this March 
registered a sizable surplus of 
S14.IUU million, up sharply over 
the governmental target 
earlier set at $10,000 million. 

The impact of the yen rate 
upsurge is likely to begin to 
brake the quantitative growth 
of Japan's exports sooner or 
later. However, its current 
balance surplus is not expected 
to dwindle easily. With this 
external disequilibrium still 
left virtually unrectified, the 
export environments, including 
the yen surge, are threatening 
to worsen to offer an additional 
brake lo the domestic business 
recovery. 

Linder, the pressure of ihe 
weak demand trend, the rally 
of corporate earnings has been 
bearishly marking time, 
serving to induce enterprises 
lo streamline and diminish the 
scale of transactions. 

Against this gloomy 
background, the number of 
completely jobless in February 
reached 1 .369.000 to come close 
to the March, 1959 high of 
1.46U.0O0. The unemployment 
ratio in February also' stood 
high at 2.08 per cent on u 
seasonally adjusted basis. 

Prices 

The continued calmness of 
prices is one of the favorable 
conditions in the current eco- 


nomic picture. 

Wholesale prices in March 
declined by o.i per cent from 
the previous month partly 
because of the yen rale up- 
swing. As a result, the 
wholesale price index in fiscal 
1977 tended March. 1978) 
registered a 1.8 per cent 
decline, the first dip. in six 
years since fiscal 197J. The 
average increase rate in fiscal 
]»77 siood at 0.4 per cent lo 
stand al a level lower lhan the 
governmental target of 0.6 per 

cent. 

The advance of the consumer 
price index in the Tokyo 
metropolitan district in March 
was restricted to u.8 per cent 
over a month ago and 4.8 per 
cent over a year earlier. The 
average hike of the same index 
during fiscal 1977 registered 7.0 
per cent, down from the 
governmental goat of T.6 per 
cent. 

The overall price keynote is 
expected generally to continue 
stable. However, the market 
prices of some specific products 
have begun to stiffen on the 
strength of brisk public invest- 
ment projects. Idle funds with 
corporations also are swelling 
due to the growing excess of 
payments over receipts in the 
Treasury's accounts with the 
public. Hence, the future trend 
of prices demands closer 
watching. 


The interniatibiial bank 


at heart, 


We have your inhere, m at heart. 

DAI-1CHI KANGYO BANK 

London F 1 W 1 Floor, P ft O Bltfe. 1ZM3B U*S*nhaM Strew. 

London EC3V4PA, England Tol. (DII-3S3-W® 

Hood DHta! SS. Martin auetti l-dtame. Ciwyoda-ku. Tokyo TOO. Jsain BfWdiK and 
Agaoeiaf at: Nan York, LnAngem, punaldorf. Taipei. Sroul. SuiBWra Rammncauwi 
OMIew m> Chicago, Hoimon, Toronto, 53o Paulo, Mexico City, Caracas. Fr*iklurt. Pern. 
Beirut, Jakarta, Sydney ftiMB mit Chicago, Amsterdam. Singh. London AffiUsmJ 
and Aotwatad Companies *r Hid da Janano. London. LM»*rHt*ug, Hong Kong. Bangkok. 
Singapore, Kuala Lumpur Jakarta. Uvula. Melbourne. Sydney. 


V 


•I 










I uinlneenn 


£4im. offices in Trinidad 


Over f 5m. contracts for Laing 


THE ' SPANISH Ministry of 
Education has awarded contracts 
worth over £4.7m to Laing SA, 
Spanish member of the Laing 
Group, for building eleven 
schools. 

One of the contracts is for six 
schools of industrialised con- 
struction— four in Madrid, and 
two at Valladolid, about 120 
miles north west of Madrid. 
These three-storey schools, with 
structures and installations 
designed by Eurostudios, will 
each have 24 classrooms. Work 
includes the construction of in 
situ concrete columns and pre- 
cast beams, floor slabs and 
cladding panels, and internal 
block partitions. 

Under a further contract, five 
schools in Alicante province of 


south eastern Spain are called 
for. Two will be built in Beni- 
dorm, two in San Vincente and 
the fifth at Villajoyosa. They 
will be of traditional construc- 
tion with in situ concrete 
frames. brick cladding, 
aluminium door and window 
frames and tiled roofs. This 
contract also includes service 
installations, the provision or 
sports facilities, and landscaping. 

In Macclesfield, council houses 
and two blocks of maisonettes, 
are to have fiat roofs replaced 
with pitched ones, under a con- 
tract of £274,000, awarded to 
John Laing North West region, 
by Macclesfield Borough Council. 

The Council’s project forms 
the final stage in a two-phase 
re-roofing programme on 162 


houses, and the maisonettes, on 
the Upton Priory estate. This 
nine-month long job involves 
the removal of existing felt and 
decking to flat roofs, building up 
gable and party walls, erecting 
roof trusses, tiling roofs and in- 
stalling guttering. 

The company’s engineering 
division has won a £400,000 con- 
tract to rebuild the Dunham toll 
bridge over the River Trent on 
the A57 Lincoln to Worksop 
trunk road. This 15 month pro- 
ject for the Dunham Bridge Com- 
pany. involves erecting a steel 
beam superstructure with a rein- 
forced concrete road deck, the 
new structure occupying the 
same piers and abutments which 
supported the original cast iron 
bridge erected in 1832. 


Planning a 
big project 


Port power 
job in 
Dubai 


Jarvis wins £3m work 


A £2M contract has been 
awarded to a Staveley company 
for electrical installations at the 
Port Rashid Extension. Dubai. 
being built by the Costain-Taylor 
Woodrow Joint Venture. 

The Port Rashid Extension is 
due for completion early in 1980 
and all works are under the 
supervision of Halcrow Middle 
East. 

The electrical contract will be 
handled by Zener-Colston, a com- 
pany recently established with 
local partner Zener ElectTicai 
Services. Dubai, by Colston Elec- 
trical Co. i Staveley Industries )- 

This contract will extend the 
Staveley group's activities in 
Dubai, where it has already 
received orders worth £9ra includ- 
ing the supply and commission- 
ing of machine tools for the re- 
pair workshop of the Dubai dry 
dock and ship repair complex 
being built adjacent to Port 
Rashid by the Costain-Taylor 
Woodrow Joint Venture. 


WORKING TO the designs of 
A. H. Brother: on and Partners, 
J. Jarvis and Sons is to double 
in size an extension which it 
is currently building for 


Boddingtons 1 Strange ways 

Brewery in Manchester. This 
contract is one of several worth 
a total of £3m won by Jarvis 

In Southampton, a workshop 
and two-storey office block are 
to be built as extensions to the 
Lex Tillotson . complex at Totton. 
The Raymond Spratley Partner- 
ship has designed these facilities 
for the construction of special 
vehicle bodies. 


In London, Jarvis is adding 
a six-storey extension to Wigham 
House, Barking, Essex, which it 
built in 1975 for Wigham Poland 
Holdings. The Owen Luder 
Partnership are the architects. 


At Basildon. Essex, a workshop, 
and other facilities are being 
built for Gilbarco, which manu- 
factures electronic petrol pumps, 
while for the Clarke and Spears 
Group, Jarvis is building a ware- 
house at Burnt Common 
Nurseries. Soad, Surrey. Con- 
sulting engineers R. T. James 
and Partners have designed a 
two-storey offee building to be 
erected within the warehouse. 


SECOND YEAR- extension of a 
planning and estimating contract 
awarded to Frederic R. Harris, 
consulting engineers and Logics, 
management and systems consul- 
tants will bring in close on £l.fim 
to the partners. 

Tfcey are working on budget 
evaluation and cost estimation 
for the two major cities of Juba) 
on the Gulf and Yanbu on the 
Red Sea which will eventually 
house 150.000 people each. 

There will also be extensive 
industrial and commercial- 
developments. 

This is the world's largest con- 
struction project and the UK 
team's services are aimed at 
systems to cover some 200 dif- 
ferent kinds of construction pro- 
ject including roads, power, 
water, bousing, schools, hospitals 
and shopping centres. 

Desalination projects are also 
on the stocks. 

The first year’s work of the 
team provided the . Royal Com- 
mission for Jubal and Yanbu. 
under Dr. Farouk Akhdar. with 
a complete set of single para- 
meter cost estimating rules for 
the budgeting of the variety of 
construction projects involved. 

Detailed cost models are being 
developed and a start is being 
made on a computerised version 
of the whole system. 


A CONTRACT for the construc- 
tion of a 14-storey office block 
located at East Dry River. Port 
of Spain, has been awarded to 
Engineering Enterprises, the 
Higgs and Hin Gronp's associated 
company in Trinidad. 

The Trinidad and Tobago 
Government has committed £4jm 
for the building which will be of 
reinforced concrete construction. 
Extensive use is to be made of 
exposed aggregate finish to pre- 
cast panels and in situ walls on 
all elevations. Fixed glazing, 

full air conditioning and elec- 
trical installations are included in 
the work which has already 
started and is due for completion 
in the summer of 1980. Archi- 
tects are Newell Lewis Broad- 
bridge Associates. 


900 metre long conveyor to feed 
coal into a new rapid rail I pad' 
in? complex which include? a 
storage bunker of 1,800 tunne 
capacity, a rail batching con- 
veyor and automatic sampuns 
equipment. 


Tunnelling 
work for 
Mowlem 


Marylebone High Street ski V* 
Cavendish Street. Maryleho-.v, to 
provide new telephone duet worn. 
Completion fc due 
In Southampton. A. Maihola. 
main contractor to the J.iA 
Council, lias awarded Muwuin ,i 
contract worth i'JOWW to con- 
struct a 4 ft diameter tunnel av 

a Hoodwalcr relief sewer .it 

Bitterne Park, cm the e..sti-rn 
edge of the River lichen, ttnrk 
lius just started and cmnplciitia 
is due in late December. 


ESP1EY-TYAS 

rONSTBUCTlONIJO 

r vb«jf 

->v*i ■( 

" Eng* 

* j 

Idin 

rivil 

nee 

g* 

ring 

•••••I” 
-ou. « “I 

+'r «•»*■»-“ J 
rrtti 

si 

,.rrT«,i M 

■» *-o 

*!!»•« t r. 

0? AVC'H. 

V i rnfll 

ii 


£ 2 m coal 
plant 


THE NATIONAL COAL BOARD 
has awarded a contract worth 
over £2m to Bovis Civil 
Engineering which is to build a 
coal handling plant for the 
Opencast Executive at Maryport 
in Cumbria. 

The contract includes the 
design and construction of crush- 
ing and screening plant capable 
of handling a 250 tonne/bour 
input of coal delivered to the site 
by road. The new plant supple- 
ments existing equipment. 

The company will also build a 


THREE tunnelling contracts, 
valued together at about £2£ni. 
have been awarded to John 
Mowlem. 

The largest, worth £l.Sni and 
for the Thames Water Authority, 
is to build two sewer tunnels in 
Rotherhithe. London, as part of 
the infrastructure for the Surrey 
Docks redevelopment scheme. 

Involved in this job. due to be 
started soon, is a 940-yd Ion? 
tunnel. 5.5 ft in diameter, a K0- 
vd tunnel. 6.5 ft in diameter and 
a short length of pipework to be 
constructed in a trench. The 
work also includes access shafts 
and in situ concrete lining to the 
tunnels. Completion is due in 
spring 1930. 

Also in London. Mowlem . has 
just started on a £350.000 con- 
tract for the. London Telephone 
Region of the Post Office. This 
is for a tunnel about 1.200 yds 
long and 4 ft in diameter, under 


Big move on 
the Thames 


THE BIGGEST and most difficult 
operation to be earned out by 
engineers at the Greater London 
Council’s Thames Earner since 
work started at Woolwich id 19# 4 
is scheduled for June 1. 

It involves the movement nr 
a barrier sill across the river t« 
a resting site near the harrier 
position. 

The sill weighs 10.000 turns, 
stands as high as a three storey 
building <30 feet high) and 
would take up the whole of Pic- 
cadilly Circus (92 feet wide and 
200 feet long). 

Four, tugs will tow the sill 
out of the dock on the north suit* 
of the river at Silvpriuwn to a 
spot just upstream of pier seven 
on* the south side at Woolwich 
where it will be moored until 
required. 


Kt.-nKijiiy l he sill will fee 
ft: m li-il tie; went the filers car. 
iv ntly umfi’!' cirn.-mwtmn un the 

M n,i*i .it W««»lwii-h and 

-mik snu» Jre*l.:t*d in-m-lwi. h 
urli rt'.'t itlTP m the ntrr betf 
wiUi il« curve.! rnw ready tg 

huu>i‘ unr of the barrier'*; nus* 
sue steel Mates wlurii will arrive 
later, Ihe -ill will enable the 
u.itcv when u»l in use, la he 
jinn/i isst.it in the riser bed and 
beneath nas-an--; -hips. 


IN BRIEF 


Lovell £2^m 
for housing 


£ 2 |m brick plant 


Warehouses 
in Devon 


SEVEN attached warehouses in 
Plympton. Devon, are to be built 
for Stubher Securities by Costain 
Construction. Value of the con- 
tract is £330.000. 

The steel-framed buildings will 
occupy 3.705 square metres at 
groundfloor level and 300 square 
metres of office accommodation 
on a mezzanine floor. Architects 
are Hedley Greentree Partner- 
ship. 


THE MINISTER of Housing and 
Construction. Reginald Freeson. 
officially opened last week the 
largest factory in the country 
specialising in the production of 
engineering bricks. 

Howley Park, near Dewsbury 
in West Yorkshire, is a £-.75 m 
complex whose plant incorporates 
some of the most modern brick- 
making equipment in Europe, 
producing over lm. bricks a week 
for George Armitage and Sons. 
Although the emphasis is on 
engineering bricks, the company 
also produces smooth faced bricks 
which are widely used In housing 
developments as well as in tbe 
industrial and other non-housing 
sectors of construction. 

The message— brick is beauti- 
ful — is underlined throughout 
Howley Park. An exhibition of 
external brick walls including the 
structural brickwork “ pocket ” 
retaining wall, all built with the 
company’s products, is displayed 
outside the factory's offices. 


A brilliantly sculptured panel, 
“ Sport in the Ridings,” by artist 
Walter Ritchie, ia a specially 
designed brick display by Andrew 
Bain, is featured in the reception 
area of the offices, aad would un- 
doubtedly enhance a wail at the 
Tate Gallery. 

A workforce of 70 operates on 
a two-shift system, covering a 
24 hour a day process. Green 
brick production is on a five-day 
week cycle, with the kilns opera- 
ting round the clock throughout 
the year. 


TWO CONTRACTS totalling over 
£2Jm have been awarded to the 
Lovell Construction Group, both 
for building houses and flats. 

At Inkerman Barracks. 
Woking, Surrey, 151 houses and 
flats are to be built for the 
Guinness Trust at a cost of 
£1.8m. in traditional load-bearing 
brick construction. 

At Masons Hill, Bromley, Kent, 
55 aged persons’ fiats are to be 
built for the Moat Housing 
Society at a cost of £539.360. A 
single storey building there will 
house the warden’s flat and com- 
munal facilities. Construction 
throughout will be in loadbeazing 
brick with in situ concrete floors, 
and is scheduled to be completed 
in 78 weeks. 


Ordnance for £700.000. awarded 
by tbe Property Services Agency. 
This work in Reading will take 
78 weeks and, in addition to the 
construction of the building, will 
Include all external services. 

The second job, worth £320.000. 
is being carried out for Municipal 
Mutual Insurance, for a new- 
office block in Maidstone. The 
company will carry out all 
external services together with 
the construction of a concrete 
access road at the rear of the 
new reinforced concrete-framed 
3-storey building with basement. 
Work here is scheduled to last 
for 50 weeks. 


transformation into the Gravelly 
Industrial Park, now a model in- 
dustrial estate. 

* The main task for Bryant, in 
addition to some culverting and 
drainage works, involves clear- 
ing an accumulation of an esti- 
mated 200.000 tons of industrial 
and domestic sludge and distri- 
buting it uniformly over the 
major part of the site. It will 
then be sealed to contain known 
contamination and, finally, 
dressed. 


at Trebor Sharp's factory at Col- 
chester. Essex i £300.000 > amt at 
Lowestoft where a slipway is In 
be provided for George Prior 
Engineering. 



Pentos £2m 
at home 


Mr. John Walke refine, chairman of 
Wm, Walkerdine of Derby, who 
to-morrow will be invested a* 
president of the Institute of 
Building. 


New life in 
a derelict 
centre 


Mixed run 
for Tilbury 


and away 


The commissioning of the pro- 
duction units at Howley Park and 
its sister factory Swillington has 
coincided with a renaissance in 
brickwork as the prime building 
material for cladding throughout 
the UK, and. because of this, each 
factory devotes considerable pro- 
duction facilities to the manufac- 
ture of special bricks. These are 
either pressed or extruded to 
meet requirements of BS 4729. 


£lm worth 


to Mears 


TWO CONTRACTS worth to- 
gether over £lm. have been won 
by Mears Construction Tor office 
building in Reading and Maid- 
stone. 

The first is for Phase I and II 
of a new two-storey 1 administra- 
tion building for the Royal 


MORE THAN 100 acres of dere- 
lict land in Birmingham, site of 
the former Yardley Sewage 
Works, is to be reclaimed by c. 
Bryant Civil Engineering, for 
Birmingham District Council 
which plans to use the land for 
leisure and industrial purposes. 

The award of tbe £Jin. contract 
to salvage the site, won in com- 
petitive tender by Bryant, 
follows a successful design 
scheme for reclaiming the old 
Saltley sewage works and its 


A VARIETY of contracts has 
been awarded to Tilbury Con- 
struction. 

In London, the group is to con- 
struct a road along the line of 
the old Surrey Canul in 
Lewisham (£800.000). undertake 
cable troughing at Hackney for 
the Central Electricity Board 
(£390,000), and build roads for 
the London Borough of Rich- 
mond. 

Further afield, extensions are 
to be carried out at the Courier 
printing works at Tunbridge 
Wells. Kent, at a cost of over 
£400,000 and work carried out 
in connection with the Tow- 
cester. Northants, flood relief 
scheme (£400,000). Other work is 


CONTRA' :TS for over £2ni have 
been won by Pentos Construe! mu 
Group lor work in the Middle 
East and Wales. 

The company will build a 
£1.1 m extension to the Toft con- 
st ruction village at the Suliuni 
Voe oil terminal: an ovierivuti 
to the British Embassy in 
Bahrain, a £.6m housing project 
for the Auru.il Housing Founda- 
tion: workshop and canteen 
building at the Gulf Oil refinery, 
Milford Haven, for Beehlel Great 
Britain* and a further phase fur 
the C.E.G.B. pumped storage 
scheme at Dinorwlck. Wales 

The majority of the eons! ruc- 
tion work involved in ail the 
contracts will utilise different 
variations of Aufctin-Kall pre- 
fabric tied building system manu- 
factured at the company's fac- 
tory in Huddersfield. Export 
work :s being handled by Austin* 
Hall International. 


ft The National Building t'am- 
nun lily Centre i4. Catherine 
Street. London. W.l> has issued 
in i he Architects’ anil Specifiers 
Guide Series uf y* Vinnik*, 
•' External Walls 1H7S-79.” at a 
cost of E:».5U i including p and p). 
The publication is said lu con- 
tain a mass of uiformaUun for 
use as a quick source of reference 
for primary research and speci- 
fication for all sectors nf the 
construction industry. 


• A specialist UiWsion to handle 
office and shop-fining projects, 
from initial advisory stages to 
detailed project planning, manu- 
facture and installation, has been 
sei up by New Dimension, lfij. 
Upper Ileath lane. Hartford, 
Kent. 

• Two cm i tracts together worth 
out i' 157.1100 fnr the construe- 
turn of staff quarters fnr two 
children's welfare organisations 
»n different parts of the l" K., 
have gone In Guildway of 
Guildford. 


EDITED BY ARTHUR BENNETT AND TED SCH0ETERS 


• SERVICES 

Short-cuts 


• ENERGY 


• POLLUTION 


Safe disposal of 
toxic waste 


on demand 


Big battery under test 


WITH THE growing emphasis on 
regulation of the disposal of toxic 
waste, especially in the U.S. 
where the Environmental Protec- 
tion Agencv has been given 
extensive powers, there is great 
interest in methods of treating 
this type or waste so that it can 
be handled safely and disposed 
of in such a way as to present no 
hazard to the environment. 

One method, on which patents 
are held by Lcieh Interests, con- 
sists in mixing the waste, in solid 
or liquid form, with other in- 
gredients. including u powdered 
plastics material, which causes 
ihe whole mass to polymerise 
and. after a brief period, form a 
dense homogeneous mass which 
can he shown to be impervious 
to water leaching. 

The company has called the 
process by the name “Seatosafe.” 

First step in the treatment 
consists in analysing the wastes 
for their exact chemical content 
and blending the waste after the 
addition oT certain chemicals. 
The next stage is the addition 
of the plastics “starter" and a 
powdered material which is itself 
a form of waste. 


During the process, the 
soluble waste forms strong 
chemical bonds with the process 
chemicals while the insoluble 
material is trapped within the 
polymer lathee. 

Disposal by burying, the com- 
pany claims, holds no dangers 
since even should tbe plastic 
break up under earth forces, the 
chemicals would not leach out of 
the shattered material. 

Exceptions to the treatment 
are plastics, greases, organic 
solvents and paints. But work 
is in hand to extend the Sealosafe 
treatment to these substances, 
which can already be dealt with 
provided they form no more 
than a small proportion in a 
mixture. 

The Sealosafe patents run till 
1990 and the company has. in 
addition to the oricuial plant at 
Aldridge in the Midlands, 
recently brought on stream a 
second plant on the site. At the 
same time, in a joint venture 
with Tunnel Holdings, a plant 
has been set up at Thurrock in 
Essex with an initial capacity 
expected to be about 100,000 tons 
of waste a year. 


BELIEVED to be tbe first 
optimisation programme of its 
type available in Britain, the 
Compact microwave optimisation 
package now offered by LUCS 
as an interactive design service 
can do two very important jobs. 
One is to analyse performance 
of complex high frequency and 
microwave circuits and the 
other is to isolate, during a 
design operation, proprietary 
circuit components which offer 
optimum performance charac- 
teristics for a stated situation. 

Layout oF microwave circuitry 
is not easy and companies which 
have been involved in this 
particular area of electronics for 
many years have a number of 
solutions which are not generally 
known, other than through the 
products they have developed 
primarily for military use. 

It follows that, since Compact 
includes a library of parameters 
for such products, it will quickly 
span many years of research and 
development at one pass. 

A circuit designer can learn 
to use Compact In a few hours 
without any knowledge of pro- 
gramming and can tben go on to 
carry out a complete circuit 
optimisation in a very short time, 
spending a minimal amount in 
sterling. 

LUCS is at 39. Gordon Square, 
London WC1H 0PD. 


IN A MAJOR step towards the 
development of a high energy 
electric battery, scientists in 
British Rail’s Research and 
Development Division have 
activated a 10 kWh sodium 
suipbur unit at the Railway 
Technical Centre, Derby. 

The project is aimed at produc- 
ing a reliable rechargeable 
battery which can produce the 
same output as a lead acid 
battery of five times the weight 
This battery is expected to find 
considerable application in 
transport systems, and British 
Rail is particularly interested in 
its use for rail traction. 

British Rail first started work 
on sodium sulphur cell tech- 
nology in 1967. Since 1974, BR's 
work has been part of the 
nationally co-ordinated pro- 


gramme of research sponsored 
by the government Under this 
programme, research being 
carried out in Britain at three 
laboratories. Chloride Silent 
Power, Harwell and British Rail, 
was co-ordinated to make the best 
use of resources and create a 
fund of common knowledge to 
ensure tbat Britain's knowhow 
in sodium sulphur Ceil tech- 
nology progresses. 

Until now, the work ©f BR’s 
sodium sulphur cell project team 
has concentrated on developing 
tbe technology necessary to 
build individual-cells and acquir- 
ing a fundamental understanding 
of their operation and perform- 
ance. 

The 45 volt 10 kWh battery 
now under test uses 176 cells 
built from components designed 


by BR to be easily manufac- 
tured using mass production 
techniques. The battery has a 
capacity of 2S8 Ah and an 
internal resistance of 110 milli- 
ohms. Sixteen different experi- 
ments within the battery are 
being monitored by recording 
instruments as the battery is 
charged and then discharged at 
differing rates. Initial tests have 
demonstrated the safety, 
reliability, ease of assembly of 
the current cell design and also 
shown tbat cell capacity is not 
affected by charging and 
discharging. 

Work, will continue towards 
the construction and evaluation 
of an 800 Ah capacity battery 
and ultimately in the further 
study of rail traction applications. 
More on 01-262 3232. 


o MATERIALS 

Synthetic 

paper 


LAING 


• DATA PROCESSING 

Chip guards 5 
secrets 


COMMUNICATIONS 


Data with images 


DYNAMIC Technology. of Aclon 
(a London Weekend Television 
company) has developed equip- 
ment based on ;he Teletext idea, 
that will enable crass-country 
and international programme 
material 10 be accompanied by 
essential written information 
for production and administra- 
tion purposes. 

Before the introduction of 
satellites and modem terrestrial 
links, film or video tape was 
transported physically together 
with written information pro- 
viding cueing data, identification 
picture informal 1 on — known in 
the industry as " dope.” 

The new* system is thus called 


“dope ota vision" (DOV1. The 
data is digitised nod inserted 

Into the picture signal at ihe 
point of transmission, using the 
normally unused and unseen 
lines at the (op of the picture. 

ASCII code is used, and a 
simple decoder at the reception 
point delivers its output to a tele- 
printer, producing a permanent 
record. 

More from the company at 
Alliance Road, Acton, London 
W3 0BA <01 993 2401). 


able glass material; the com- 
pleted assembly is finally vacuum 
impregnated with res to. 

Materials used in tbe windings 
and for encapsulation have simi- 
lar coefficients of thermal expan- 
sion. 

Of importance to the company 
is that standard mould sizes do 
not determine electrical size: 
wide varieties can be catered for 

without incurring hiah tooling 

costs. More on 0843 602121. 


Carries 

engines 


FIND POWER IN THE 
JNITED KINGDOM. 
i one day seminar onThurs- 
iay l3th July 1978 in London, 
peakers from: Imperial College, 
rEGB, Cavendish Lab.. Rending 
Ini vend ty and other leading 
sstitutions- Details from: 

Wind Engineering”, The Old 
fill. Dorset Place. London 
• 15 1DJ, Tel: 01-334 48S2 or 
end cheque for £2 7 (includes 
'A T) with full name and 
ddress. . . *— 


• COMPONENTS 

Transformer 

improved 


GEC DISTRIBUTION Transfor- 
mers has devised a way of mak- 
ing its product which, although 
use Is made of modern resin 
encapsulation, does not entail 
the manufacture of a large num- 
Iber of different moulds to suit 
different electrical ratings. 

Using the technique, high voir- 
age windings are assembled in 
the annular .«rpace between two 
concentric regin glass cylinders, 
which is then packed wiib suit- 


AN ENGINE mounting, moulded 
in specially formulated rubber, 
iu tbe shape of a large, hollow 
triangle has been added to the 
Delta range made by Silentbloc 
(a member of the BTR group). 

Together with associated 
clamps and bolts, tbe mounting 
will be used to support Turbo- 
Union RB 199 engines while in 
transit to countries operating 
Panavia Tornado multi-role com- 
bat aircraft. 

i Designed to provide complete 
protection from shock— particu- 
larly to the turbine's vulnerable 
bearings — the mounting is said 
to eliminate the need either to 
dismantle the rotor or to keep It 
turning while it is being trans- 
ported. 

More on 0293 27733. 


INTRODUCED by Intel is an 
integrated oircuit chip tbat 
codes and decodes data in 
accordance with the U.S. 
National Bureau of Standards 
recommendations. 

Basically tbe method used is 
“ scramble ” the data before 
transmission and unscramble it 
at the receiving end. 

The Intel chip makes decoding 
by en-route interceptions vir- 
tually impossible. The chip codes 
and decodes 64-bit blocks of data 
in accordance with a 56-bit user- 
specified key, to produce 64-bit 
cipher words. The same key is 
used at both ends o.f tbe line. 

This means that there are 
well over a -thousand million 
million ways of encoding the 
data, so that, even with the 
services of a large and fast com- 
puter it -would be virtually im- 
possible. for an unauthorised 
person to hit upon the right key. 

More about the 8294. winch is 
designed to act as a peripheral 
chip In a data processing system, 
from 4 Between Town Roads. 
Cowley. Oxford OX4 3NB (0865 
771431). 


The 2451 is a microprocessor- 
based device which has a high- 
level instruction protocol similar 
to that found in large IBM main- 
frames. 

It is designed! to control up 
to eight Calcomp Trident 
removable-pack disc drives in 
any mix of the five models 
offered. This will provide 
Series T users with up to 2400 
Megabytes of on-line storage. 

Among the characteristics of 
the 2451 is an automatic error 
detection and correction facility, 
which will correct errors without 
any main processor intervention. 

Calcomp. Copy House, The 
Ring, Bracknell, Berks. Bracknell 
50211. 


Husky ns in 
hardware 


KNOWN SO far mainly as a 
computer services company, 
Hoskyns Systems Development 


has launched itself into the hard- 
ware market with a hotel 
management system which it has 
designed, built and will support. 

Based on Intel 8080 micro- 
processors and floppy discs, the 
equipment is boused in a simple 
filing cabinet and has a visual 
display unit for check-jo. enquiry 
and control. A matrix printer 
produces bills and other paper- 
work. 

Availability of rooms can be 
seen at a glance, and the reser- 
vations system includes forward 
capacity and room status report- 
ing. From the audit point of 
view the system is self-balancing, 
and sales analyses are produced 
automatically. Clerical effort is 
compiling arrival and departure 
lists, guest credit exhaustion and 
similar data is eliminated. 

Back office problems of food 
and drink control, stocking and 
ordering can also be accommo- 
dated. 

Prices start at under £10.000. 

More from 145, St. John’s 
Street, London, E.C.1. (01-251 

4581.) 


IN THE late 196Qs, serious 
interest was shown in plastic 
papers which, like most plastic 
materials, are based on petro- 
chemicals and are a natural 
development for manufacturers 
of polyolefins, such as high 
density polyethylene and poly- 
propylene. 

In conjunction with Union 
Carbide Corporation. Bakelite 
Xylonite of Clacton-on-Sea, 
Essex. started to produo? 
bi-axially oriented film suitable 
for printing by conventional 
printing machinery, especially 
litho presses, in late 1067. The 
film was based on filled high 
density polyethylene, and was 
essentially similar to Polyart 1 
as now produced. The company 
wished to cheapen the process 
and improve the properties of 
this product, with the result that 
it has now munched Polyart 2. 

The qualities of the newest 
product Offer many applications 
where the choice of synthetic 
paper has usually been pro- 
hibited because of its expense 
or difficulty in use. This latter 
material’s writeability is a 
significant feature for business 
forms, documents and envelopes 
— it can also be perforated and 
punched for business form 
end-uses. 

Its absorbent surface, foida- 
bility, printability and easy 


for tomorrow's 
BUILDING, CIVIL 
& INDUSTRIAL 
ENGINEERING 


handling makes fur happy u<e 
by small jobbing printers and in- 
housc printing departments, it is 
claimed. The small offset printer 
can more easily produce litera- 
ture. factory documentation, 
folders, aad similar commercial 
print to staad up to rough 
handling. 

Obvious applications arc for 
technical manuals.-, restricted 
circulation documents, and 
because of its waterproof quail* 
ties, it can be used for maps, the 
pages of cookery books, ttluca* 
tional books (replacing the old. 
expensive, -linen-books for. small 
children), a one-off- job for seed 
manufacturers who, hithertn, 
have had_tn enclose seeds in foil 
within an" outer envelope, and in 
the label market, it can be used 
for chemical labels. 

Durability being an inherent 
feature, the product could be 
used fur driving licences and mav 
even serve for the producliou of 
luw denomination currency in 
countries where humid climates 
reduce conventional paper notes 
tu a soggy mess. More on 
01-629 S1U0. 


• PROCESSING 


Colour bank for paints 

4 PAINT MTYTNC n,oxhi n . . . . . - - . 


A PAINT MIXING machine said at James House, Rookery Street, 
m Ttrhms ^frnm ATI C ?' 0Ur Wctlm-SfiPld. WolVCrhaPiptfin. 

matches from 40 to afl basic West Midlands WVU 
colours, is introduced by Joniunt (090° 731K451 
of Wolverhampton. " 

Covering cars dating back to A ' 

1948, from any country of origin 9 HANDLING 
the electronically calibrated mix- 
ing unit called the Euro-Matic 4 La 

200. allows quantities or paint J> 9 ICS Ill 6 ■ 
down to a quarter of a litre to *'* ■ 

be mixed to give an exact shade 
time after time FUDUlSlI 


CONSTRUCTION 


Precast floor advantages 


Memories 
for small 
machines 


IN A bid for a share of tbe 
growing auxiliary memory sub- 
systems market, Calcomp has 
announced it Is shortly to make 
available in the UK a new disc 
controller .for IBM Series 1. 


IT IS said that over 50 per cent 
of all problems experienced by 
occupiers of new homes are 
directly concerned with failure of 
ground floors which have sunk 
or lifted through subsoil contrac- 
tion or expansion. Quoting these 
hazards and attendant dangers of 
wet and dry rot, attack by 
destructive pests and fire, the 
Federation of Concrete Special- 
ists, has launched a campaign 
aimed at selling pre-cast concrete 
floors as an essential adjunct in 
house building. 


Because of the standards 
demanded -for hotels, ■ schools, 
blocks of flats, pre-cast concrete 
floors have had a- ready market, 
yet in the domestic field, British 
builders have stuck resolutely to 
timber and floating concrete for 
the construction of floors, says 
the Federation. A good reason 
has been centred around cost, yet 
the pre-cast concrete suppliers 
say that recent studies show that 
pre-cast compares favourably 
with traditional alternatives and. 
in many circumstances, proves 
leas expensive. 


The unit's operator consults . • . ,.v 

the company’s master colour WHER E BULKY materials 
formulation, from which Is sped- Car dho:ird. polyethylene wrap- 
fied the exact quantities of base P' n 3 s . cartons, etc. need to be 
colours needed for the required efficiently and with HU** 
shade, and' then dials the“Tintn- labour, the “waste roller" * l!! 
meter"— this sets a level indtru- tl,rn them into cylindrical bales 
lor for any size container, and weighing from 20 to 30 kilns, 
the colorant is added until it A 2 hp motor drives hisl".'’ 


unui it - up muior anves ■ 

comes up to the indicator, a stretched, toughened, non*UP 
second number is dialled, and and materials cun be con- 
the procedure repeated fur Unuously ij| L . pressing 

the second and subse- chamber. The rolling actum of 
quent base colour which means the bulls can bo stopped and re- 
turn no actual weighing i s re . started at any point in ihe balms 
quired by the operator. cycle. 

Unbreakable nylon pouring Completed bates arc secured 
neads on We base colour tins jn- automatically bv TOiraUins 
corporate shut-off action levers twine around them, 
preventing dripping and sirnul- Operating rate is about 300 
taneously allowing either left or kilos per hour, 
right hanLed operators to pour More rrom Portable Baler*. 
pa i. i n . ' Summit Works. Smith Street- 

in&TOatlo°i ir from e th» nd fl,rlhcr Hockl «>'. Birmingham B19 SEW- 
informaUou from the company 021 554 7241. 





srr 


Cospa 
Direct! 
M you ! 
fad a s, 

mcrai 


r i 

















i :• * r 


,, ! sjj K nancial Times Tuesday May 30 1978 


■'.^4 



EDITED, BY-GHfUSTOPHER LORENZ^T 


Stripping an untidy conglomerate 
down to its key essentials 


MAX FACTOR 

.'Ass.: 


tCAN&Si 


Geoffrey Owen examines the record of Norton-Simon 


J* WHAT BUSINESS are we 
in?” Some companies answer 
this question in such general 
terms — “we’re in the transpor- 
tation business,” “we’re in the 
business oC manipulating 
metals " — that it is not much 
help to strategic planning. 
Others regard the question as 
irrelevant, since they want to 
be free to pursue opportunities 
outside their established fields. 
Yet it is arguable that those 
companies which can answer 
the question in a dear-cut way, 
and accept its implications, 
enjoy a stability and a con- 
sistency of purpose which is 
a source of strength. 

This appears to have been 
the case with an American com- 
pany. Norton Simon Inc. 
(NSI). which is better known 
in Europe for some of its indi- 
vidual businesses — Max Factor 
cosmetics, Canada Dry ginger 
ale. Avis car rental — than for 
its own name. 





lx JiHi* 

* gp r 




DAVID MAHONEY. 54-year- 
old chairman and chief execu- 
tive of Norton Simon lnc M 
started his career in adver- 
tising. He was an account 
executive for a New York 
agency, Rnthrauff and Ryan, 
while working his way 
through the Wharton School 
of Business. He then ran his 
own agency before •* going 
legitimate.” as be pats it, 
when he became chief execu- 
tive In one of his client com- 
panies, Good Humor. He later 
joined Colgate Palmolive and 
in 1966 was appointed presi- 
dent and chief executive of 
Canada Dry - which became 
part of NSI. 


Boro in tbe Bronx district 
of New York, he has made 
himself a rich man: bis salary 
and bonus amounted to 
$800,600 last year. In NSI he 
believes in paying exception- 
ally well for exceptional 
performance, with a combina- 
tion of above-average salaries, 
large bonuses tied to achieve- 
ment, and stock options. 

Mahoney is a strong advo- 
tate of social responsibility in 
business: “Tbe bottom line 
is no longer tbe sole indicator 
of the quality of corporate 
performance.” He has recently 
appointed a vice-president to 
handle NSI's corporate social 
responsibility programmes. 


and Mahoney himself Is 
heavily involved in various 
non-profit institutions, especi- 
ally concerned with mental 
health. 

After 10 years at tbe top of 
NSI, his zest for business 
appears to be on diminished. 
The idea of moving to Wash- 
ington. as some businessmen 
have done at a similar stage 
in their careers, does not 
appeal to him. “ What 
should I do in Washington, 
except spend 80 per cent of 
my time talking to Con- 
gressional committees? I just 
enjoy wbat I am doing, it's 
the most creative job I can 
imagine.” 


appointed Trustee (holding Ibe 

shares hived off by ITT) and ^ Si— 

part by the public, was paying I * vv ~ 

appreciably higher interest 
rates than its bigger rival, \ 

Hertz, which is a subsidiary of 
SC A “With our credit rating, HHHHL 
that was something we could KpYjVl 
put right immediately. As for 
the marketing, we thought with I nl 

our experience we could do that fcfc « — — — i-»f 

as well as they or better." I icw kuk 

A major step take nsince the Some of die well-known brand names associated with Norton-Simon 
take-over is the switch from 

Chrysler to General Motors as it has a slake in fashion, through studied several possibilities, 

McCall Pattern and Halstnn. none of which matched up to 





?ph iri??*nn p McCall Pattern and Halstnn. none of which matched up to 

CM-, ?;.°? E r ^enXT„ £ «>honoy think, he can handle the criteria he had ,ot- 

truck field which is seen as a big or "*• »««" <•”“ "f 1 "n^rkelf " has" 'bien 

area for expansion. He has kept his head office JV . h . IT a ;. b * ” 

Mahoney is very conscious of ?.?. ,all 7" about 140 pe . opIe - ar Vj pa nies wirh‘ strong overseas con- 
the poor image which con- “I d have fewer if at .weren’t Sections ciiada" oor 

fnr all thorn Iawvpi-c spndin?? in- “ e cuons. Uanacla Ur>, on cof 


• glomerates have traditionally th e or i gin alN S Ico ra p an ics. bad 

Tbe first question we asked penple there are. of course, a some strong brands like Canada analyst described it at the time had in the financial community, . nn . T . f i n ! a big network of frandii.ced 

selves” says Mahoney. “ was number of manufacturing Dry itself, Hunt's tomato-based as “the shell of what was once and their reputation for issuing *. s ® F ha bottlers overseas, while Avis and 


ourselves ” says Mahoney, “ was number of manufacturing Dry itself. Hunt's tomato-based as “the shell of what was once an ? their reputation for issuing j * n „ti- ..n th P bottlers overseas, whi 

— what business are we in? We plants, especially on the food products and Wesson oils. The a strong company”), it had /Phoney paper. Nothing gives p or w hPnVhinPR are anin* Max Factor greatly 
decided then that we . were in processing side, but they are first part of the strategy was to successfully passed through that ^_ a _ n wrnne for arouisirions he NSrs exposure to i 

the consumer -marketing busi- seen as a necessary adjunct to * ' ' L “ 


lAiai ui LUC an ALL'S? auu.»»w 7 ^aaocu uuuu S u ut«[ — “ ” ~ I — , wrnne? Ac fnr arnuicitinnc he 

back them with massive adver- transition from first to second NSI’s steady progression from wrong, as tor acqmsmons ne 


'actor greatly increased 
exposure to world mar- 


Norton Simon is an unortho- ness. Our long-range commit- the main business, which is tising and to broaden the range generation which had almost a triple “B” rating for its long 

iv U ^ _ ... • j _ m « ^ it. taMn rfaKt in 1 ORQ 4f \AT.-. wii r 


. is a man who reacts to oppor- ^ets. This > ear ® bo,,t 23 per 


, ge generation wrnen nad almost - ™ w mug- ™ a “ corporate of NSTs total sales ami 21 

s kks 55 

TBSSTamw. winch nicks M? 2d jfcT’SftS ta ratteg. Fiscal responsibW is *» ■« -** ■* ™>» ?i TnMSl 5 P " reSP<!C ' 

he spent heavily on Max Factor t^e basis on which we can He has not yet made a really Mahonev would likp thn nnu 

ith since the acquisition; profits last develop our business. It also large foreign acquisition, though nnrt i ftn tn « n Lfh. 

It year were well below the 1973 means Mahoney sleeps better at not fo rwant for of looking. P °“ • . **?*”}*» "P 1 ®® 

I L. TT_,_* .i.ktc '> AHL.....L MCI -i: J ~ noi set lax^et 10 aim at ana 


. but bi shly successful ment was to build a majot inter- marketing. with a stream of new products, defeated other cosmetics *™ m ®5**? r J™ tt .“ w * ' ^ planner! The Avis deal showed P er cent of earnings will come 

S=H er i Wh °„ te f r ,t arS - a f° nalional marketing company A major task after 1968 was to generated internally or by c . omp ““ e f- _ rt was . s ^° n S flliJJLS C ^f n h i0 J "tnlfh?! 111 “A“ that he moves fast and aggres- from overseas, compared with 

decided to pull together into that sold premium-branded con- hive-off manufacturing sub- acquisition. side the L .S., especially in tiie sively to get what he wants 3 per cent and 5 per cent respec- 

one organisation various com- S umer products and services.” sidiaries which did not fit “We Norton Simon, which ranks UK and Japan. Mahoney has rating. Fiscal responsibility js * . .. lively in 196S. • 

parties which he owned or ■ . sold 21 businesses in publishing, just below 100th place on the spent heavily on Max Factor basis on which we can He has not jet made a really Ma honey would like the pro- 

controlled — Hunt-Wesson Mahoney began his career in Anting Mda-in- and other Fortune 500 list, is the 16th since the acquisition; profits last develop our business. It also large foreign acquisition, though . y on °rowin" bu?hc 
Foods. Canada Dry, McCalls advertising; the marketing of K Ws lot ?5Snt iith oS largest advertiser in the U.S. It year were well below the 1973 means Mahoney sleeps better at not fo rwant for of looking. JJ™ set lw^To ai^' a and 

Corporation, and a big glass consumer products is what consimer-orieS operation' is normal for an NSI company level. He brought in Halston, nights.” Although NSI did not join in a inlv doc S not intend to 

container business. The result makes him tick. The same is J d franchised 17 P Canada ti> spend 5 per cent of its one of 1116 Baders of American NSI today is in four big con- the rush to buy European com- de _ art f ‘ hj -stahli-died 
was an untidy conglomerate true of the recently appointed D bottline olants.” About the revenue on advertising and pro- haute couture, and has capital- sumer sectors— food, drink, cos- panies in the late ‘sixties and aC p Uisitjon Doli ,.; u! ‘ 
which had considerable assets, president of the company. Timm JL mR f 0 f manufacturing motion and to derive a large ^ hls name - deploying it metics and vehicle rental— and early ‘seventies. Mahoney N £ r t be be tter known outSde 

but lacked a sense of direction. CruU; now 47, he had spent business whicb stands on ^ proportion of its sales from new Jn — the U.S.; that is partly why he 

Simon himself soon withdrew most of his career with Carna- own W ith most of its sales °oin- products. st° ns original area of interest brought his directors to London 

from the company to devote tion, a dairy and food products ou tside NSI. is glass containers! The second part of the growth ^ 19F6 he acquired Orlane, NORTON-SIMON REVENUE AND PROFITS IN 1977* earlier this month for their first 
himself to his artistic and company which is- about the oniwino vnnric nnt Awtnrioc plan was to seek acquisitions in the Paris-based manufacturers Board meeting mitsidp thP it <; 

cultural interests. The business same size as Norton Simon. . other consumer industries to of skin treatment products. „ REVENUE OPERATING PROFIT B 


,at ransumerKiriCTted operations is normal for an NSI company level. He brought in Halston, nights.” Although NSI did not join in ^certain y does not intend o 

Jj "frSSd ffoSZ ^ spend 5 per. cent of its one af the eaders /of American » 


himself to his artistic and company which is - about the 
cultural interests. The business same size as Norton Simon. 


uuiiutui iiucinu. a iic uuamcaa mjuc due « iiuuuu giuiuii. - ^ nhint • 4 ‘Rr^nH uinn wuduuitu luuubincb LO »/auuuv.uj. 

w'as run at the start by a troika These men do not feel comfort- n, h hrir-tc which NSTs marketing skills There is still some way to go 

which included Harold Williams able with capital-intensive ” d SSS were relevant. before the investment in ;« 

t now chairman of the Securities manufacturing industry. “We A i ea der«ihin brand “ We wanted a business with cosmetics shows a satisfactory Fisb j' on 

and Exchange Commission) and don't know a lot about it," says p Pfl erates strone «aeadv cash a quick turnover - advertis- return, but Mahoney is confident ^ drinks 

the man who rapidly came out Mahoney “ its a different | nw „ n(1 in r i. p i flrep markPt< in S eonteot and low capital- that he has in Max Factor a Distilled spirits 

..n top, David Mahoney (see psychology.” - we Se a fei^SS intensity. We wanted it to have world-class business capable of Packaging 

inset) In a ernnn pirmlovine 36 000 * 6 - * rve a . ; e ^ percentage a large presence in international exceptional growth. Other 

,n * eW - ln a gr0UP empIOying ' points m market share can mean ma3 .^ et £ lr had t0 have a The second big take-over was. ^ T 

millions of dollars in profit. critical mass: it needed to be at first sight, a very different - gyHf - - ■ J 

The company started life with big enough so that we could proposition. When NSI joined barf revenue* of f433m ami 


REVENUE 


Conqiany 

Directors- 1 

can you real ’ Y 

afford a salary 

7 


— build on it and really do some- the list of bidders for Avis, the ■». 1 ^ 6 . 

thing with it" * second largest car rental ‘ 

TurSrTA Max Factor, bought in 1973 in company, some outsiders m 

JllllJdv UlUUC a S4S0m share exchange offer, criticised Mahoney for going for . 

0 fitted this description. It was a capital-intensive business 

nr ! nr in the beauty and personal care which would weaken NSI’s 

WllIiS lillZv field which was seen as “one financial base. “ But car rental 

* of the highest-growth. highest- is noit ; . capital-intensive," says rj 

HEAVEN help Geoffrey Coller’s return businesses among all Mahoney. “ It's a distribution N 

boss. Cqller is a very determined consumer products.” Although and marketing business, 
and ambitious young man. The its product" line and its manage- dependent on consumer aware- Earning 
latest arrow He has added to his ment needed attention (one ness. It's in a market which is Primi 

quiver is that qf “ Buyer of the growing twice as fast as GNP Fully 

Year." a relatively new award and Aris is very strong outside »Avis 

presented by «, Kavensdown U S." purpose 

Metals, the stee^ stockholders B8NT ^ Mahoney points out that Avis, figures 

and the magazine 'Modern Pur- i py yr W part-owned by a Government- 

chasing. ' W f \ ■ 

His tactics for winning the ■ / 1 ■ 

competition were determined, 
hard-headed and professional — 
quite un-Britisb in fact. Asked 
why he thinks he won, Coller, 
aged 37, and group purchasing 
manager of a chemical company, 
says: " I was competing to win, 
in a professional sense. I ap- 
proached the competition in the 
same way as I approach my 
job.” 

In the final round Coller 
assessed the competition. He 
found out who his six rivals 
worked for. and what they did, 
and drew up a profile of each 
of them, listing their strengths, 
and weaknesses. 

For instance he realised that 
a competitor from an engineer- 
ing firm would be good on 
detail, or one from a multi- 
national would be quick on his 
j feet But Coller went much 
further in his research, assess- 
ing the thoughts, whims and ^ x 1 

foibles of the judging panel. . :Z Jgiw o 


30. 1977. Avis, which was acquired In Jot 
pre-tax income of S36m In the rear ending l 


If. 1977. 
December 



A TEN-YEAR RECORD OF GROWTH 

Year ending June 30 9 months ending March 3 

1968 1977 1977* 1978 

Sies 51,087m $1 ,808m 51,666m $1.756m 

Net income S24m 5102m 578.4m 583.9m 

Earnings per share: 

Primary 50.86 $2J2 51.66 51.77 

Fully diluted 50.79 $1.98 51.47 51.62 

•Avis was acquired after the end of the 1977 fiscal year. For 
purpose of comparison, Avis results have been included in the 
figures for the 9 months ending March 31. 1977. 


operating profit Board raeetin S outside the U.S. 

°/ He is open 10 ^ussestJons on 
6 y 34 joint ventures with European 

23 12 companies, in the U.S. as well as 

11 6 in Europe. Through its various 

15 8 subsidiaries NSI represents a 

28 15 powerful distribution organ isa- 

^ tion for a European consumer- 

1 — products company seeking out- 

W lets in the U.S. 

■h was acquired in July. 1977. • Mahoney judges his operating 
" rMr end, °* companies on the basis of mar- 

■■ ■ 111 ket share, profit margin and 

return on grass assets, but foe 
NSI as a whole his key measure 
GROWTH is earnings per share which, on 

9 months ending March 31 a £ ully diluted absis. have grown 
1977* 1978 at an annual rare of 10-12 per 

51,666m 51.756m whether NSI will ever catch 

578.4m $83.9m up w ith the champion of con- 
sumer products marketing, 

51 A6 51.77 Procter and Gamble (sales of 

Sl-47 51.62 S7.3bn, net income of 561m 

s 1977 fiscal year. For S461m), remains to be seen. But 

i been included in the Mahoney, like Avis, always tries 
977. harder; the momentum of the 

past will be maintained. 


europcar 

L To renta car in Lo ndon.. - 
' Bristol Southampton, . 
. Manchester, Glasgow, 
Edinburgh, Biitnlngham^ 
: : Gatwick. Heathrow, 

U : ' ■ Brightorr. ■ : ; 

01-848 3031 

[ - Or your travel agent . 

Juihc L’5.7:‘o NcfJOJial Car Sent j! 


_ , , hara-neaned ana proi^ssionai— 

’s an oleft DrODlenL quite un-Britisb in fact. Asked 

douuiupuviv why he thinks he won. Coller. 

The more you receive, the more tax you pay. Up tow. aged 37, and group purchasing 

if you receive an increase in your salary or as much as 98°/* u manager of a chemical company, 

you also receive dividends from your company. If profits arc says: “ I was competing to win, 

left within the company they sutler corporation tax. in a professional sense. I ap- 

_ M m proached the competition in the 

The new solution. w «y 35 1 approach mv 

I fill Samuel Life Assurance can now help you plan tax In the fi na i r0U nd Coller 

efficient rewards for directors and senior employees using assessed the competition. He 

their newly designed Executive Retirement Plan. found out who his six rivals 

_____ ,| • jw. a worked for. and what they did, 

Wnat does this Otter. and drew up a profile of each 

T T MAts. . . of them, listing their strengths, 

Money invested in the Executive R etirement Plan ranks Md weafeesses. 

as a fully deductible business expense forthc employee For instance he realised that 

Moreover, assets within the fund to which it is linked a competitor from an engineer- 

accumulaic free or capital gains lax and taxes on income. ing firm would be good on 

The Executive Retirement Plan provides a very wide range detail, or one from a multi- 

offitland Revenue approved benefits such as a tax free capital national would be quick on his 

sum ‘in d a pension which can increase.The Plan could also feet. But Coller went much 

provide substantial capital transfer lax advanbigcs.To find ^ . 

out how the Executive Retirement Plan can help you, fofbles of the judging panel. trAl 

please return the coupon. H e j-eg^ a n three books on pur- A i ^ J 

. — — —— — — — — *“ “ *” “ “ “j chasing by one of the judges & ^■^b / |0|A 

a- Peter Morris,TIill Samuel Life Assurance Ltd., I and read through 15 months 

I N L \ Tower. 12/16 AddiscombeRoad.Croydon CR9 2DK | back . copies of Modern Pur- ▼ < yWi t l/y, 

» Tclenhone- U1-6S6 4355. Please let me have details of ■ chasing to gain an insight into + ' j 

I yournew Executive Retirement Flan. | 

I Name — — — I is why I won.” / 2 - ■ f 

I I He sees this as a lesson for I ^ 4 b 

■ Name of Company — — “ i the buyer: “ When you are nego- ^ / y 

1 Position - — i tiating with suppliers you U 

■ ” ‘ I should research them in just \ LW* 

I - ! all your enemy’s strengths and 

! I weaknesses, and I did not view Promotional and technical 

« — - , , 'r« rrn r rcr nir: . ' | the competition any differently literature for export 

I ]f> on ar« Ldc policyholder, T L ! than my work.” sales to the 

| pkMNctickl.i _ — . _ I V I For his efforts Coller walks ^ . 

1 g* < T j i, J off with a sculpture, and a Arabic-speaking countries j 

I UmJX* ■■ ZZZwm * cheque for £1,000 presented in oi the Aliddlc East and. Iran 

! -mgyarJ HaJ1 by Sir mu ^ be translated and typeset 

t *""" — 1 1 111 — - in second place, a close run m ^ idiom and style I 




Name 

Name of Company. 

Position 

Address- 


ll‘>oiui'rT.rrfiil Samuel Life policyholder. 

Hill Samuel Life 


a " tv A 


1. MANUFACTURERS HANOVER 

2. CHASE MANHATTAN 

3. CITIBANK 

4. MORGAN GUARANTY 

5. CHEMICAL 

6. BANKERS TRUST 

7. IRVING TRUST 

8. CONTINENTAL ILLINOIS 

9. BANK OF AMERICA 

m 

11. FIRST NATIONAL CHICAGO 

12. FIRST NATIONAL, BOSTON 


Promotional and technical 
literature tor export 
sales to the 

Arabic-speaking countries 
ox the Middle East and Iran 


Catch the sun 
dail via London. 


Only N,nfi.>iwl flics non-slops Healhrciv- 
IU-,:ui - Tampa and unvraidsseven days 

Canl.ici xonr bawl agent or 
Niil'dijl A'» S 1 Fi'Cjdi'fv 
LonJontt'] V PHF iOl-tCO SJ72X 
Airline? Inc Ls 

me j'rpL'raJcd in llif stale cf 

FJonda U.S. A . v .*: 

America’s " v w 

sunshine .y^i 

airline. ' 


thing by all accounts, was Brian 
White o£ the Warrington com- 
pany Joseph Crnssfield, a part 
of Unilever. And third was 
David Potter, head buyer of 
Hanesty Machines. 

| Jason Crisp 


in the idiom and style 
the market demands, 
by specialises 

BRADBURY WILKINSON 
(GRAPHICS) LTD 
NEW MALDEN. 
SURREY KT34NH 
TELEPHONE: 01-94.7 3-7T 


Nowone telephone number 




Can you name 

the 1C TH largest 
correspondent bank 

in the U.S.? 



Aatiaaal#Airiines 


MEETMG POINTS 

01 - 5673444 ® 

Meet uig Point Trust Houses Forte Ltd 71/75 Uxbridge Road London W55SL 


To give 3 'ou some hint of who we are, banking- 
professionals in over 1,100 banks— both in the U.S. and 
thnoughont the world— have chosen ns as a 
correspondent We have 300 offices in New York State 
and key [people in 22 of the world’s major financial 
centers. 

Were the 12 th largest bank in the U.S. with 
8102 billion in deposits and total assets of $121 billion. 

Far years, weVe been involved in foreign 


exchange and foreign currency management. So, not 
only do we have the capabilit ies, we also have the 
knowledge to provide you with direct loans and to 
manage major in LemationaJ credits. 

Maybe it’s because of what we have to offer 
worldwide that more than half the companies on the 
“Fortune 50CT list do business with us. 

Now you know everything about us except our 
name. Were the Marine Midland Bank. 


Cat«^an^ < t B t ian ] n - l|B ^ tllt[e j <1BtB |,| ) | e p 0S j t8 g llBClt ] ier | |an j Ba3n £ DeMaB ] g g| > mj^ 







and* 


10 

LOMBARD 


Financial Times Tuesday May 30 1978 


{THE WEEK IN THE COURTS 


Deep breathing, 
U.S. style 


Dilemma of sentencing 
the ‘Hungarian Circle’ 


Cutting down on pipe 
and porridge picnics 


BUENOS AIRES. May 29, 


BY ANTHONY HARRIS 

XT IS not only in this country 
that the unemployment figures 
arc becoming something of a 
mystery. In the U.S.. where some 
9m jobs have been created since 
the recession bottomed, the dis- 
parity between jobs and recorded 
real growth is so great that fore- 
casters there are saying that 
Okun's Law has gone the way 
of the Phillips Curve The curve 
is familiar: it once related the 
level of unemployment to the 
rate of inflation, but it disap- 
peared. a« >ueh relationships do. 
just a< everyone was beginning 
to think ihai it was funda- 
mentally important. 


BY JUSTINIAN 


surrounded 


Scotland's Work! chances ofsneaKing mm 
team since it fell Cup finals instead of one. 


sharpen tbeir studs for what 


Distorted 


Okun's Law. the work of 
Arthur Ofcun who wan head of 
PrpMdcnt's Johnson's Council or 
Economic Advisers. looks 
simpler, it relates the level of 
employment to the ernwih of out- 
put. Xtiiv it is possible that the 
operation's of trade unions mono- 
polies. in ila nonary expectations 
and the like have <n distorted ihe 
old Phillip^ relationship that it 
is Still lurking around in some 
unrecognisable form: but it is 
almost impossible to think nr 
anything that would distort 
Okun s law . 

Things are made by people, 
and making more things needs 
more peopie. Automation might 
account for output rising while 
employment stagnates, but no 
one has c»me up with any sen- 
sible suggestion why employment 
should rise while output 
apparently stagnates. You dua'l 
hire people you don't need. 

Daniel Brill, the U.S. Treasury 
Under-Secretary Tor Economic 
Policy (and titles like that may 
explain a rise in job opportuni- 
ties for U.S. .*ignwriter«». who 
passed through London last 
week, seems morally sure that his 
old friend Art Okun wa« rieht 
all along, and still i-: in other 
word«. if the output figures 
(Which are estimates i do not 
agree with the employment 
figures thased on fairly exact 
records), then the output figures 
mu>t be wrong. 

The emnlox merit figures are 
not the only sign. The Federal 
Reserve index of capacity utilis- 
ation — '• I helped to construct 
it. so I'm sure it's the best index 
there is" >:,ys Krill — is still in 
the lows SfK which suggests con- 
siderable slack. Rut other indi- 
cators. such as shortages of 
material*, and one which surely 
deserves to be written up as 
Brill’s Law. the movement of 
wages in mnimerrial laundries — 
suggest the economy is quite 
stretched. 

This again would nuke >.en«e 
tf the output volume figures are 
too low: .md the fact that Ihe 
balance of payments is wx*r>e 


than recently expected, and the 
inflation figure higher, also make 
sense if you start by assuming 
that U.S. statisticians have some- 
how missed a slice of real growth. 
The question is how such a thing 
can possibly happen. 

One explanation was offered 
some time ago by William Jane- 
wav. the economic analyst at 
E. ‘B. Eberhardt of Wall Street, 
who has such a deep mistrust of 
official figures in general that he 
habituallv draws a distinction 
between what he calls “the 
statistical economy "—the num- 
bers the forecasters feed into 
their machines— and what is 
really .going on. It is a distinc- 
tion ’worth remembering. 

Jane way's suggestion — another 
Law? — is that at times of reces- 
sion. manufacturers start offer 
ing disemints on list prices: that 
is ’ the form competition takes. 
Officials, however, get no dis- 
counts when they enquire about 
prire.s. and base their indices 
on the lists. Then they divide 
the turnover of' an industry by 
its price index to get a figure 
for "real" ouLput. IF the aver- 
age negotiated discount is only 
3 per rent, then industrial out- 
put is understated by 3 per cent. 
It's quite 3 thought 

However, if Brill is right, and 
the economy is now getting 
stretched, jou would hardly 
expect to find the discounts 
which ruled during the recession. 
On the contrary, you would 
expect business prices to rise 
faster than list prices, so that 
official growth estimates would 
he too high, not too low’. 

Suggestion 

However, the resourceful Mr. 
Brill has a new suggestion on 
somewhat the same lines He 
reports ihat U.S. businessmen 
arc totally convinced that Presi- 
dent Carter will sooner or later 
impose price controls, however 
often this is officially denied: so 
like a clearing bank guarding 
against u future imposition of 
vhe corset, they inflate their 
figures deliberately. If you can 
set a price list a few per cent 
above the level at which you 
actually do business, controls 
won't him — and the official out- 
put statistics will stay wrong. 

The whole argument is not 
only an interesting sidelight on 
the U.S. economy, but should in- 
spire the brokers and others who 
think that our own output statis- 
tic are too gloomy. The ex- 
planation could even be similar, 
if Anns make a habit of getting 
the highest prices they can out 
of i ho Price Commission, even 
if for actual business purposes 
they charge less. 1 must add 
that the only evidence for this 
i* the fact that the figures don’t 
add up: but this must mean 
something. 


convicted of the internaoonai a ad tney been, mere is no siaerauon m oewtimiuKs ""•"‘■'"x " merchant as ti Rioch who was born in Ataersnot 

bank drafts fraud (known under guarantee that they would be sentence. as auch Me snowflake has :J nd talks more Hampshire than £U»ne about Scotland s ^ chances 

the soubriquet of the ma de available to the victims of The Court of Appeal thought pr » Jl it “ me in the Sauchiehal Street, -are here of folding becoming the butt 

Hungarian Circle) he will be the frauds. that taking other offences into JJ?' teeshirt bearing firmlv saddled with the past of competition— the fom 

faced with evaluating two factors indeed two decisions in the consideration meant what It con- “ Scotland forever 1 '’ f 00 thall crimes of the entire UK. for the anti-European -feohtng 

-the threatofrepetihonof such TOurts last week demonstrat ed veyed in ordinary parlance, and ^ S4vengratis to pressmen These may not seem to amount that mor* 

crime in England by the con- . defective English law still for the purposes of the criminal ana vva ® ® , h } h 0xe c nf m m nch more than a 90-rainute bad shown signs of being more 

victed men and the law’s attitude J3gJ victi^f criminal takrupii* order took into by a company that sells boxes « “^derSing someW years aware the Problem exists. But 
to punishment the excepU on- condu ct to recover their property reckoning the other £23-000 lost m ? l *i wear jt'as often as a ago. when England beat Argen- t0 9- sp f^ 

Sy’ V the C i a iaL e ***** or compensation forte loss, as a result of the offender’s *m- * sensitivity and a ffi 1-0 at Wembley on the way "£**** Sish S Sad 

If this country has been in the In M. tj. Commissioner far the bezzJein , deep-rooted cowardice 1 to winning the 19W World Cup. ^ mean j ng ] ess j, onie 

past complacently assuming that Metropolitan Police* police The House of shall wear it not with prade, but During that same theArgentine match to practise 

the sort of organised crime that officers had lawfully- seized limitation fa sa ying rather a sense of' obUgahtm - • - captain, Rattin. was ordered off. now-necessary art of winning 


has threaten^ the American money when a^fing the other offences into consideretions £ r tt,e Scotland team newly j t was 0 rwell „ gJJ.S. or “J walking Tow? 

political and economic systems offender. The pound notes J tU- as they are known In arrived here \ a Argentina for the some otber gifted know-all who L whn ho]da iti 
sin.ee the lS30s could not arise (£7,000 worth) were not alleged the legal profession) is a term slart of tb e World Cup this aQce Dp i ne d that international m In th _ ir f avour certainly is 
here, that has proved ill- to have been stolen, or to be of art. For courts ^ act upon weeb wU3 need w be able to look gp0 rt was mj unfailing cause of fh fact +hk is a much 

founded. Organised crime has the proceeds of stolen property, 0 Jf ffj? l as not around and count on every friend m ^ between nations. 'The ?eam in the Individual 

decidedly come to Britain, but but to be for use in paying for Mtl been ■ wnvwted i of or has not ^ ^ muster . aftermath of the Rattin incident g"? d AMiouBh tte Scotland 


criminals organised for expedi- For that ' Limited reason the ^8 criminal bankruptcy). with the slogan hen or. our .. .. ... 

tions into the lucrative business police were held entitled to . nation is th . e Y c f“ 

of robbery and burglary But retain the money. But the court streets and the stands. W com- natiiral a P8 r . eS3 'hAn*?r« 

there are signs that confederated refused to allow the money to memals that show itmai dmere lUAni n CUP their uncertain shootine, aim. - 

crime along the lines of the be detained for providing restitu- The prosecutor's dilemma is fulling iwUKL.ll \n thetr fi ® fi 1 ® 

Mafia is an exportable commodity tj 0n 0 r compensation. Only if It clear. Either he must bring in explain the menus, to bemused ANDREW CLAIRE fact that not more than a lew 

and that the Hungarian Circle had reasonably been required as a large enough number of foreigners - are one example. hundreds of their notoriously 

may have had financial hacking mate rial evidence at the trial charges to cover the £15,000 street posters showing a cartoon ; unstable fans wUI be following 

from America and elsewhere. could the police detain it qualification for a criminal bank- character with a scowl over- »rw 0 „ tbem to Cordoba despite allthe 

The strikinn feature of ttie The Court of Appeal coo eluded ruptcy order, or he must bring printed with the word PnXiUMo conversation. They hear your wi j d t a ik of a year ago, when 
Hungarian Circle Is that tb a j yj e powe r to deprive a specimen charges sufficient to are another. accent on a bus . . . shake a anything that moved from 

- — • — - vac # - " .. i «-» . .i > i.l La aIaa. Lam fliMDntTtX/l IK* TiApAr An. rr Laa»a f r\ mnnalma warn 


WORLD CUP 

BY ANDREW CLAIRE 


< — _ - m m ret . i n ^ uuii^i xv yit, ii| i v v* a, ijccri uitTU ( ii.u sjco auuiuiwii x. li# v •••••* — - - • _ , . . w « . «■ — j , 

roreieners not ordinanlv resi- person of property, even for a indicate a system but not so Scotland, let ua be clear, have disapproving finger . , . Ah, u-boats to zeppehns were 

dent here chose this country as Uniei for the p Urpose of punish- many that he’ overloads the trial, not been excluded from the Ratttn I supposed to be pressed into 

the base for their operations all ing him by forfeiture or com pen- The latter is the common pro- benefits of this stage-managed Those with whom you share a service to move Aliys Tartan 

over the world. sating the victim of his wrong- cedure these days, and it was bonhomie. Indeed, the only re- language may even ask you was Army, that army will be present 

_ , doing by any form of restitution adopted in the instant case. cent scene to rival in eccentri- >t true7 The question they do only in platoon strength. 

Rpnpfir could be conferred only by ex- c nf41 . lin( , n rharees were brou-ht c ' f F Scotland's departure from not even bother to put because So the widely publicised threat 

OeUClIl press and unambigll0us language w mo the i^d“e Glasgow was that which greeted you have both heard.it so oEten of Glasgow Goths taking 

Any prison sentence designed 0 f a n Act of Parliament. No such Ihf t tnni? into accnunt their arrival in Cordoba; 40,000 before ^ whether it IS true that Cordoban monuments apart like 


to protect the banking com- provision exists in our law. but s , obtained by the other nut s at one end 50P t0 Senor Ratdn was a victim of a sonie MesvM j e gg 0 set now 

munitv will be largely for the cases like the Hungarian Circle rf P f a i,Jj?i 0ns rhouah > these were wave at the squad in Hampden, plot involving Bnhsh pia>ers recc . de s. 

benefit of the other European trial might stimulate Parliamen- „p[fh^ U charged nor admitted 'W- 000 more t0 cheer as the and politicians, the German The hosts. Argentina, remain 

countries. Are we thus to use lar y action. " takS imo team’s bvoken-dmm bus was re/eree and the Queen, who the favourites. Four of The 


our penal system for the benefit Parliament 


of others ? 


nor consented to be “ taken into : 
5®“ bt consideration.” 


respond also to a decision last ** sensible as'the device was that HQ at Alta Gracia. _ 

Or should we sentence simply week of the House of Lords in th i OW er courts adopted, the Cutting down on the pipe-band “f* _ ®l ,a - picked up the bill for staging 

on a nationalistic basis, leaving th e allied field of criminal -riminal bankruntcy order was displays and porridge picnics , Again and again the nations the thing, and twice more the 

it to other countries to apply bankruptcy. invalid Th* employers will be offered by stalwart emigre have come together in friendship local team has come second, 

for extradition after the English i n Director of Public Pmsecu- t0 ' their civil remedies to groups are Mr. MacLeod's only and barely has the make-up One man who has been declar-. 


pushed the last kilometre to its knighted Herr Krcitlejn prev ious ten tournaments have 


and awarded him vast estates in been taken by the country that 
East /yiglia. picked up the bill for stagDig 


iniemaUonal crime. offender who had dishonestly may f ape the problem that anv could earn a stern lecture in an In Europe and Britain especi- won the 1966 cup for England. 

The insistence upon extradi- obtained money from his em- bankruptcy order against anv of Aberdeen temperance meeting ally, the laws are the barriers I do the same job as Stiles . . . 

tion arrangements tends to sug- ployers by deception could be the mem b'ers of the Hungarian or a sound kicking in a Glasgow to keep in check the fast but I am much, much bigger.” 

gest that each country must deal made bankrupt through the more circle is unlikely to produce any pub for saying as much, the physical content of the game as Not wanting to do yet more 

with its own criminals. If J u u6 e direct route of the criminal asse ts that may be secreted world generally does not make it is best loved: in South damage to Anglo- Argen tine 

Hines adopts that approach the courts. But the House of Lords abroad. International crime is much distinction between America the laws are the frame- relations I shall record without 

sentences may be shorter than held that the technical language now s0 prevalent and pervasive Scottish and British. work on which the Latin foot- further comment that this hero's 

some people might think appro- used by Parliament made that international action is re- The world of football, indeed, bailer likes to. construct his play- surname, which he shyly exhibits 

priate. ...... impossible in the circumstances. q Uired | 0 gamer the ill-gotten rather suspects that the terms ing patterns at a tango tempo, on a silver bracelet picked out 

Once the court is satisfied that The swindle had resulted in a gains of crime. are interchangeable and that we As recently as last month in diamonds, is . . . Killer. 

there is little risk of future loss of £30,000. But the prosecu- * _ ^ 

similar crime by the members tion. in order to limit the scope “ ere 15 some effective 

0 f% r o^rfp 4 n pinhsirra of rirhrc 

sity for the infliction of a penalty volving only some £7,000. The wiroinal courts will perforce A vl X 

commensurate with the huge criminal bankruptcy jurisdiction, re? ort t0 longer terms of un- 

sums derived from msssivc however mav b0 exorcised only prison tnent- imprisonment (loos 

frauds. If there were prospects where the aggregate anrnunt of nothing to help the victims of THE ENGLAND selectors had Edgbaslun is exceptionally adapt to the demands of our 

of recovering a large proportion the loss or damage caused by the f n me and m general is futile only one problem when choosing docile. ...... p , ^ 

of the £100m . suspected of having offence and other relevant t0 anything other than the 12 for the first Test against But it should h e harder than In Pakistan. Abdul Quadir 


been lost to the banks, that offences exceeds £13,000. 
might reduce the need for long “Other relevant offences” are 


a neutralising interlude upon the Pakistan on Thursday— an era- the onc-duy internationals, as our worried our batsmen last w 
activities of those imprisoned. barrassment of riches. ' ’ young visitors have yet to come with his flight and spins 


Quadir 
winter 
is and 


prison sentences. defined as offences of which the *The Times Law Report, May They have included Hendrick, to terms with that type of game, they also had difficulty in picking 

None of the moneys from the person in question has been con- 26, 1978. more penetrating In England his^googly. • j ? i 



BBC I 

^Indical«-« programme in 
black and while 
1.40-7.3,1 a.m. «»p«'ii I'nivi-ryiiy. 
1.30 p.m. Ragtime. 1.43 New 5 . 2.30 
Teilhfr Tir. 3.20 Your Soncs ol 
Praise t:hi>u-o. 3.53 Regional New*, 
for Knclainl 1 except London 1 . 
3.33 1Ti\ Si-honl 1 . 1 - RF.C-2 11 (III 
a :n ». +4.2» i.'h.mipion Hie Wonder 
Horse. 4.43 ('■•ioImt .md the ('.ho - 1 
Chasi.T'!. 5.U3 Sli.|iuali-t) (series l . 
5-35 R/H>h.<rb. 

3.40 \«>w>. 

3.35 N.iiinnu ide 1 London and 
S»ulii-t:.id onl> 1 . 
fi.20 Nalinmvide. 

6.43 

T33 *’f,irr> on t'nn- me.” -I.ir- 
rmc Sidney .lame-, Kennel h 


Williams, Kenneth Connor 
and Liz Fraser. 

B.tlO News. 

9.25 It's Many Feldman. 

9.33 The Cii> on the Border: 
The Bfir-I Doeumemary: 
Londonderry. 

It. (JO Tonight. 

I1AU Play Golf. 

12.03 a.m. Weal her / Kegiomd 
News. 

All Regions as KRC-t except at 
the folio wing limn,.- — 

Wale.v— &55-6.20 p.m. Wales 
Today. 9.23-9.53 Wales Down 
Under: Wale-. \ Sydney (high- 
liglllsl. 12 . 0.1 a.m. New* and 
Weather for tt.de-. 

Scotland — 3.33-U.20 p.m. Ucpnrr- 
Inu Seal land. 12.05 a.m. News and 


Weather for Scotland. 11.15 Queen of Hearts. 

Northern Ireland — 3-33-3^5 p.m. 12.15 ajn. Close: Xanthi 

Nnnhem Ireland News. 5.55-6JJO Gardener reads a poem by 

Scene Around Six. 12.05 a.m. News Angelene Paterson, 

and Weather for Northern All 1BA Regions as London 
Ireland. except at the following times: — 

England — 5.55-&20 p.m. Look 11urrT . 

Ea.st (Norwich): Look North AJ’OXJA 

(U-eds, Manchester Newcastiel: 

'lliHl .nHc .Rirmlnchoml- S*"*”- TaI ?5. WartiniSlOT IrVlDK. 


now worth £1,000. But he might 

11.15 Queen of Hearts. htv reflect on the fate of a great left- 

12.15 ?^- cl ose: ^ an, h l NeWF d dlon t 4^1 ' hw Mawr. ar nj opening bowler of an even 

Gardener reads a poem by seren wu>. sjhmiJs y Drdd. ncher era. Bill Voce, who made 

AH ^f ,e M rS . 0 , n - Loadna **K 

iccpt at Ihe following Un.cs:— S™' W '“ “ SSg"nd 

ANGUA SCOTTISH I , ^ ie P^ ace in the team 

JMB s^-rsay ioso F eawre will _ presumably be between 


than John Lever who. because their Packentes Imran, Majid, He has found our wickets tuo 
he is left-handed, has proved Zaheer. Mushtaq and Asif, they slow and short of bounce— unfor- 

more effective irt conditions might have won their first series tunate, as he is a fine spinner 

abroad, where difference in line in England. They have been and overseas, one would put him 

gives him the rdge. further handicapped by the into the same category as Gupte. 

It Is hard luck on John, as father andjaofc otjnirtlce. He „ now Mub | eiJ bJ a 
each international appearance is shoulder, probably the result of 

now wortb £1,000. But he might ET trying to push the ball through 

reflect on tbe fate of a great left- vKIVilft I more quickly, 

arm opening bowler of an even RY TnPvru , Rancv Their lett-arm spinners, Iqbat 

richer era. Bill Voce, who made • ur Quassim and Naeem Ahmed, have 

three trips to Australia, but . : met a snag over here which I 

never played in one Test in Fortunately, the sun has been have never considered before. 
England. shining at Canterbury and gave The lush grass of our outfields 

The final place in the team some players confidence after helps the ball slay shiny. This 
will presumably be between scoring runs In the middle. means that, unlike in Pakistan 


BY TREVOR BAILEY 


F.T. CROSSWORD PUZZLE No. 3.679 



South-West (Plymouth). 

BBC 2 

fi.40 -7.30 a.m. Open University. 
10 JO Work talk. 

11.00 Play School. 

2.30 p.m. Having a Baby. 

4.55 Open University. 

7.00 News on 2 Headlines. 

7,05 A Woman's Place? 

7 Xcwsday. 
r *.10 Airport. 

9.00 Rhoda. 

9.23 The Man Alive Report. 
10,13 Living on the Land. 

I 10.40 Late News on 2. 


tramcnUK- Kami. 6J» AbirtH Anglia. 

tSJ* ““ —■ v i!S W^iJ^iBSS 

^ Plwhoiuw. lilS a.m, Lale Call 

9 -JO a.m. AmUuV Today. 9A5 Tbe SOUTHERN 

Fliniiitonob. 10J0 Unv vt ihe Dolphins. 9 -» “J"- Reiarn id ihe Planet of the 

U.UJ Cavern Deep. 1-20 pan. A TV New*. SlnDad Junior. 1IL05 -How 

di-sk. 505 LavijiTK and Shirley. UH id Succeed in Buslnoss Without Really 
ATV Today. 7J0 Emm-irdak- Farm. 7 JO Trying" siarrtns Rohon Morse. 1.20 p.m. 
England Their England: -Lile la Won urn SouUlem Nows. 2J0 Hous-Tparty. 5J5 
Now . . ." Bciiy Boop. SJB Craasroads. 6.D0 Dx- 

ny-in nrn by Day Indudln* Souihsport. 7.00 

dUKUcK Emmenlale Farm. 7JI Tbe Callao and 

9 JO a.m. World Uadi-rs: Winsron Sixnpwn Playhouse. 12J5 a.m. Souvhem 
Churchill. 18-30 Certain Women. IL25 Ncws Extra. 

The UntarziL-d World. 11-50 Undersea TVIVt, TC1TC 

World of Captain Nemo. 1.20 pjn. Border A I i v C; 1 ttJ 


whar’s Your problem? 74» Emmerdaie England, short of class bat- bowlers lack pace and experience As a result, they are not only 
pjayhiwnoiziu^a m >ll Li l ie“ciU. Sln,,,80n 3part froni Boycott and the for this level of cricket. Tbeir having trouble imparting as 

Promising Gower, have plenty two slow orthodox left-armers much spin as usual, but are also 

SOUTHERN of depth and should beat Pakis- and their collection of leg-break tending to stray down tbe leg 

9jo ajn. Return to the pianci of the tan inside the distance, unless and googly bowlers have yet to side, which is fataL 


Faldo gives British golf hope 


9.(w Rhoda. Churchill. 18.30 certain women, xus News Extra. NICK FALDO won his first the inward half as did his burly Thereafter Clark never got a 

9.23 The .Man Alive Report. worid^rToMin'vemo TYNE TEES victory over 72 holes by running rival. look In, as the tall -20-year-old 

JJ-'J Living on tbe Land. n,-ws. zj» Honsoparty 's.15 nut ot Town, vjo ajn. The Good word foUuwed by awa y with the Colgate PGA There was little doubt that in pulled further and further away. 

L0.40 Lale News on 2. too Lookorounu Tuosd.iy. 7J» Emmor- Nonh East Nows Headlines, sjo suu- Championship here at Royal these perfect weather conditions I have soent considerable tiiue 

n JS S c 40 CIo G sSow? sVr Hu“h ***££ roPwi-Jf i±Ss Vi wT™ ^ H tourna ™ eat fl w ° u . !d . de - with. Faldo this week, and I am 

llJ i' sL nhm'ir 1 Sv“»n)ary. North Eusi News and LooKaround. *!« His rounds of il. 68. 70 cided over the first six holes or convinced he is of championship 

wth Vlh- T rJr *"■ ruAiMMC, w.Bwnn Farm, and 69 gave him an impeccable the last six. The first six are potentiaL On Sunday be played 

C:harnbers. Ch b> ^ 2**2 ^ * briUiant *"«bS Vo “tfi ^ast 

BBC-2 Wales onlv— 7.05-7 JO what's im whore. *J» iivpon ar si*. left him comfortably clear of ugures; the last six are signifl- green, having been considerably 

p.m. Heddiw. UJO-UJS A If 0 Treawre Hum. «o irh.- uahon and ULSTER another “ ri ttsn player, Ken cant because four of them are disconcerted by a television 

tt’onian'.i Place. ^ ClS wh^w^ftw^und^ 0 ^ = , 

LONDON ■ U VT?! U :L . .. =■ it a British 1-2-3. J HL 6 J™ e J *5SSS 


GR.AMP1AN 


Lanchilmu. qjs Ulster News Headlines. 
5JS Friends of Man. 6.80 Ulster Tde- 


At last one sees some hope 


9..|0 a.m. Beany ana i.ectl 9.55 First Thine lOJO Conquest vision News. LOS Crassrauds. 6JU ‘Reports, for British golf. Gary Player 
Cartoon . 9Ja Canada Five PDr- of tho s.^. U-DO Cash and Compjny. 7.00 Emmerdaic tarm. 7J8 GaiWa and was 20 Years of aSC. as Falrin is 
trails. JOJS -Taraan's Three Chal- ^ »>-™- Grampian Km Headline* Ua Simpson PlayhDuao. xlis a-m. Bedume. 


trails. J0J5 - Tarzan’s Three Chal- v-". J UMtnpian m Headline* ua 

lenri'c " starrinre Jnrk Mahonev J jram D |an Yuday. M5 Out of Town. 

starring jock iwanoney. jjjjs ajtl . R 0 nr«ioni. ujj Grampian 

12.00 Issi Noho. 12.10 pjn. Pip- Late Nisht Headlines. 

kins. 12J0 Parents Day. 1.00 News rr , 

plu a FT index. 1J0 Help! 1J0 GRANADA 


WESTWARD 


t.55 a-m. Shippy. ujo Clue club. U-45I really achieved 


when he woo tbe 1966 Dunlop 
Tournament. So Faldo has 


GOLF 

BY BEN WRIGHT 


Vi’ooblnda. LLOO 
Cus Honrybun' 


momentous 


disconcerted by a television 
camera-man. 

I asked him at dinner whether 
he had been upset by continu- 
ally having to tell the person in 
question to move away, and be . 
replied: “ No. I have got to get 
used to this kind of thing, and 
as long as their feet are not in 


■ rt Peuise-HJr pjn. f r i un inh in British golfing par-fives, which can easily fall m y eyesight, I will go ahead and 

wytJIWS Birthdays. La West- U .,.Z. 3 tr. oaalec -.nrl hirHiae nlnv " 


| Crown Court. 2.00 After" Noon. sj"- S vwmu subvi. tiejs Holiday ward "News"“Heacmncs. “Sloo westward history. to eagles and birdies. „ 

2.23 Racing rrom Sandown Park. ™ “ a ^. L ’ . Diary. 7.w Treasure Hum. 7J0 The His task was made easier Faldo bad started four shots Faldo told me that because he 

*2 &>■ 1,3 SSMTSSl srst IS 5?Sf* 5SS* ISS? ".“S* 5S! «5*S«> *5? {LSS 


play.” 

Faldo told me that because he 


and Mr.*.. 

5.43 News. 

6.00 Thames at C. 
fi-35 Crossroads. 

7.00 The Six Million Do 
Mail. 

8.00 The Benny Hill Show. 

9.00 Best Sellers, part L 

10.00 News. 

1IL30 Best Sellers, part 2. 


Granada Ropon*. ' K, l ® N,ws ' a * ra ' Africa, and another British green at the 4th hole and he will ride a bicycle— at which 

■ n,L * Bionic woman. 1205 «.m. vno^cuiDt: player. Peter Townsend, playing chipped up to 8 ft Meanwhile he was near to Olympic standard 

xORKaWIKti together in the penultimate Clark was nestling 12 ft from —in the days ahead to keep him- 

HTV io!^Th l i m undera;a L ^*Mtm^ or cumS CTOup. took 82 shots each to wipe the hole for a marvellous birdie self in. good shape for the Open 

mo a-m. Sesame street. io.4o "Tarian's Ni-rao. 10J s Lassie. iBJts once upon a themselves out Hayes tangled two, so the pressure was very championship, 

CtfralCSl AaVCDUln. 1 '’ 5'arnruz CorHrm rirv-ita m r.mb. 11-50 Cartnfln 4 mimKai* nf huchnc if! w.n m rink nn VnMn 4 in n.iiJni. i ... A n _ 


YORKSHIRE 


llrpon Weal. 605 Rupori Wales. 
Etnracrdale Farm. 


ACROSS DOWN 

1 It appears in identical silk tt>) 1 Weather ^ signal from the 
4 Chaff for the Hfj.i:hi-»alcher South— it's a piece of cake (5 > 
• Si 2 Thw ciickuil could make 


** SSJSSSI^IS^SSi 7 uLis T ^m C ^Dri* 1 *?n? back six ’ 5ix * five * and finally ahead. The putt went unerringly the Americans, hut have a chance 
simps oa Playhouse. UA5 aan. Drive in. ran up a score ^ 44 snou . forinto ^ centre g f the hole. of catching up in the near future. 


16I 

8 Extravagant -unictures or 
absurdities t7l 

9 1 hastened in mud cuiifiicinn 
tn the girl in play (7> 

11 Realise your vocation and the 
ring is yours (3. 3. 4» 

12 The Irishman returns to post 

13 Thi« sirl is a* sixes wtih 


Lester Piggott at his best 


things hot lor you t7j 
3 “ Youth's — made fur joys " 
(Gay) l3, li) 

5 He said liv'd put a girdle 
round the earth |3) 

G One who follows gives a taste 
of things m come t“» 

7 In flagrante delicto, like 
Tommy at the strawberry jam 
(341) 


mother »5 » 

14 le> eld age or trouble to be 10 "Charmed magic — opening 
found m ‘.1 Utopia? tSi un the fuain ” 1 Keats) (9) 

16 XoboUv about the French 13 A short time to go up to the 
town?’ What rubbish |S> headland. That's debatable 

18 Summoned »n the hotel when H. 5) 

oi.mnc nn (S t 1 b \null hnd Hoot Street 


RADIO I 217m Prchrttni iS*. 1.M pun. Sws. LOS The 5J5 Weather; programme hews. 6JH 

s»L«taole hnudeast ^ L2S Bloch aod News. I J9 Many a Slip. 7i» Neva 

_ _ <S) Sasmanowski Surys , Sl . in5 Schubert 7^ Tho Archers. 7 JO Time for Verve. -w- . U-fc. a _ - _ 

5 .W AS Radio S. 7 J 2 Dare Leo from Brisioi <s.. 3 M A Link- U&ht TJO Jusucu for All. 805 Gentle Glanu: fl _.>L _ B r _ A A i | • 1 A 

Travi*. 0.00 Simon^ Bates. IU ^Paul Music «S- a.oj cor' Dolmeisch and the story ot Ihe heavy hone. 8.05 The H QT BTBC? 

sn^T 1 S Haneoud concert, pan I; Bach Romantic Sichftca*: -tt> account of WilUani S JS 5 S, eM I 

LOO Tom- Blackhum. 4-n km ‘S>. ajs in Shan. 4J5 Cart Paimetxh £«3fford 1 S 1 . 9JB KaieMotcopv: The Wi AUU fil'VkJl. 

in.-Iod.ni J-O %«rtbMI. IJB Spmw ami Elizabeth ilarv.-ood. part 2; Stamit*. Cannes Film FestlvaL 9J9 Weather. 

,loln^ Radio - -. 10SS2 Joan Poel B.-remu, Maw. Telemann 1S1. Jib U.OO TTie World Toniafal, 10.30 The NViv« » T>rnirr>T-n . . „ . . . 

is-. iLoo-2.02 a.m. as^ Radjo Today .s>. sjt5 Home^ani aounfi. Quia *si. lLM a Booh At Bedanic A ®^- T ® IPER crowd at Sandown The big disappointment of the Although the two miles of this 

‘‘i „ r ‘ v ‘ ws - Homeward Bound ius The Financial worm TomghL ujd yesterday was treated.to a superb afternoon was the abysmal show- afternoon’s Henry II Stakes may 

¥^ bltl £ n of ittip'tota of Mu,.c Maestro i "tta he™tt°ht“S n ul optlmam. ; 
With Radio.’. Uve from mo Royal Festival Haiu pan BBC Radio London Lester Piggott on Elland Road. Temple Stakes. This Newmarket- intend banking oil the class ot 

RADIO t 34 Mm and \*HF Ji ®S rkuI , oy ; i J 1 ? 206 m and 945 Vmr Pl gS 0 tt kept the Red Go d bay trained three-year-old, rated by Lord Porchr^er’fi Smuggler, who 

“w S summary s.02 Rjs ffi' *S' ErS' Kadi? 2. aS covered up in the five-runner his able young trainer. Michael bids to confirm York superiority 

>si with The Early show inciuj- Hvaiih .vet naik by tan Kennedy ». ujo Ljvv - p «- Cali in. field for the Whitsun Cap until Stoute, a leading contender for over Music Maestro’s stable 

iiw j Pause far Thoaihi. 7 J 2 T..-rry Bcvlhovcn cooccn «S). 1 L 05 “Brilannicus 1 ' a J" Sp®* Ron. UQ a furloog from home when he Sprint b 00 OUTS. fOllowine an mat(> qhmpamnyn 

S’ ST af-BJ 23? BUS « ^ S 1 ; *«*»«>* •g.&SZXl n.n ,° b ”'°P E a ia« tw 


Youths (S-. 12-15 P.m. Wassoncrs* Walk. Tmuahrs Schubert Sons 


UJO pvt... Murray k upon House .Si Radio J VMF on.»— a-m.. 5.8#. « , n , tn tfie front on the nost tn heufl 

includma ;.4j Spans Dusk. 130 Du id 1-30 P-m- H-85-12.BS ajn. upon University. LOndOll Broadcasting rv^nhili P ° bl 10 neJ “ 

Hammiin 1 S 1 inL-miiiai =.« and ajjSpons ‘•film and 97 3 Vnv ^reennin uoo. 

SS?£ RADIO 4 MO a.m. MW M« lc VS am/Z ^.Thirty-five minutes earlier 

Swrs D^fc' bLs Worw Cq 434m, 330m. 2$5m and “S "*** owl s»rt and Piggott never really looked like 


London. 12.B0— Close: As Radio 2. 


run that took the four-year-old 
to the front on the post to head 
Greenfaill God. 


RACING 

BY DOMINIC WIGAN 


tr ,etiv getting on tS > 15 You'll find Fleet Street 

*»n \ "cm to bo found in nu indeed dispirited <flt 

“ paltn- setting (4i 17 Outstanding foreigner in the 

•1 Pirturc position in u game uf .street 1. 1 
" rnookor <2. 3. 5) 19 Amalsamatmn of European 

23 Subtlety expresses di>- and Oriental can bo relevant 

.‘tI 21 An’ «iilu.n [or ohildrco . . . 

II ?j-!, b “do : “ l ”’h«?' ! - 12 ■ J " d ™«ril..,l.o ns 

* "[..HOP If* « IP— win be puhliohod 

with names of winners next Saturday. 


Crepello filly. Glinting, should be 
good enough to land the 
Chequers Fillies’ Srakes. pro- 
vided that there is a reasonable 
amount of cut in the ground- 
Should the course be riding con- 
siderably faster than it was 


5 U.'»- q-o apOrtS [lflSK .. . » “A - m.-Iawk In on nil,. .. r 7 . ““'-“.’.A. TT iajhp* Z.. . . . v l 

i "kvc ■ ironi Buenos Aire*. 7ja Koin 7 s • L 5 J E ° “"“f- ^40 Now*. ^ • W® J*™- r ^, ow - lifting the biggest prize of the Should the course be riding con- 

£!;, w 1™™ mb ?f£n. sjo’ ^T« iS ,r inc“S- SH?* ■’W’rtog Call. 160 lbc Report* °° the Esher course, tbe siderahly faster than it was 

8.03 Amors vow souvcsi.-> 9js News buadunos. u-uathcr. paperu, A1 V !r ,ilB Niptii. Brigadier Gerard Stakes, on House Srakes, was not ouirkiv yesterday I would dissuade an^- 

SP...TS D«t. uun 7-rreu m a r«*. u3o wjrt „,««««! sw and Ew. 3.0 a SSL. ** i?“ s v-, n i ,00J - 00 “■ Uncle Pokey. Although this awav. and never looked 1 nf h « one from taking an interest in 

Tiio sippmc SMI. H_QJ Brian Maniicw ?* n * , fi , J tl ar Jg"**.. 9 -*® 'cu.1. 9JJ5 Tu-> * usm EllTJ '* 1Ul A,an Kin*- T uea r.ii mm i four-vear-nlri whn n7 , °7 ed capa . ble Peter Wilwi-n's npwrnmer 

inirwivir-s Round jiitfcisht incUiiuiw fiw Cau. ULBo News, u.85 Rem [ 0P j-uca Yumanj soar j ear-qrn, who of retrieving the lost ground. fl*?® . waiwyns ne * con '.,; 

Li.o« Nuwi. 2.00-2J& a.m. News Summary. * T ! aie -_ u - 3 ® Daiir Sonrice. 10A3 Uipliai Radio recently ran second to Scrubbed alone bv Grevlle Martingale a Luthier filly out 

radio 3 5!SK , Sy*»Wffir , h « e SS £S? y £3i^ , 1 ta, 1 Ss,r£S * Tom s^o m w 

overran: U4i. U8 News. US Xortiac Up Tbe Arcbere ll« ^ L® 0 !®" Today <SI. 7J8 Sm ^ oirD J' n S tne tavounte. Lunoer held OUt any hopes Fflr his 9<ui I.b.ni. 

Cjiin-rr .4. a as -.v n us Thn ■ . grs - Woman* Hour Boot Re-Dual — "BrlEhun nnrii ,, / l ' , nii, n.u., B who W.-ie fnllnurincr n two. t , 1 .. — Like UtT 


ovkR-are i.hi. us ncwp. us xorniac us Tbo Arcbore ijb a v » Loa l on <si. 7J8 s w U ouu L ls IW tayuunie. uunoer held out any hopes For his 

c-'io-n ..4., M9NWP. wS Th.iWwi.-s inuuciM tSSw”' * ihS l? u fc P I ? w ^‘ Bl Wg l g Bock ' ,/ " TBo om« ?■ who was fallowing a two- backers. I cannot now him 

!‘". s w aru: p-« or f.rroi>.-aa Kusir Om-.-ifon 4'22. ‘'i* c,^ 05 }!2? h . <?r WnoMil't Like It fSi. 11 J» Kerry Cesa ,°’ er ^ ncle Pokey. The King s Stand Stakes at Royal 

ms sue u, fc ™ 1 „ 1 SiSi G 'i-S l Sf^a; »“ D ““ reSly'ttreatened’to’tai’e a han[L iVng-1™ f MW ^ 1 


SllQstiotcjr Tune. 5X0 PJ4 


SANDOWN 
2.00— Plwtlna* 

2J0— Lake City 
3.05 — Smuggler 
3.35— Glinting*** • 
4.10— Deepwater Blues 
4.45 — -GeraJda 1 * 


Q. 








jfcjMIVfR 








'.' *»* 




Financial Times Tuesday" May ‘30 197S 

Ss ■ 5 s3 -— -3 wa . §ss. 

:ii f33s 3 KISS Es 


tfSp ■ Ts 


jSSXL-- 


^ ■‘ US© 


(jgjgfts 


w- 







Glyndebourne 

Die Zauberflote 


by RONALD CRICHTON 


Glyndebourne's second post- spot> but in other respects there and gravity of the Zaitbcrfidtc Pappycno m-ilh those long, arch- 
war Zauberflote, a blue-green Is plently to show that Messrs, texture as surely as designer ing phrases for the soprano that 
fairytale by Enriquez and Hockney and Cox enjoyed read- and producer. reveal so much so quickly i it 

Luzzata. lasted for 10 years. The ink Schikaneder's libretto — and. of the more experienced WaS t '* car lhat Miss Buchanan 
third and newest one. raptor- provided you get one with the soloists Benjamin Lux on's Papa- has . a Ionc \ ° r J>' n cal sweetness 
ousJy received on Sunday at the full stage directions, a sur- geno was outstanding for the w>th a good middle register, that 


| David Hockney, the sponsors are r not muel1 . 01 ,? n a . 
Imperial Tobacco. Since the for °P era in ^ original. 


something more lhan an ordinary *' ei lo . a . tuiiy-uctiged rarnrna 
little fellow who happens to be (notoriously rare birds* but the 


Peers Spiritual from a painted vellum roll showing the procession of Ki ng Henry Vlll and the Lords spiritual and temporal to Parliament in 1512. jessed was the instinctive 

understanding here shown of the 


the understanding that the team excellent and captivating per- clown without forcing— if only *JJ ra *Y ,tn a welcome full- 
of Cox and HockLv formances by artists new and be could have borrowed some of ihroatedness: elsewhere lhe 

obviously worked in dose accord well-tried, the general impres- the natural, melancholy charm timbre probably because or 
ind fSt the haSo^res^fts Sid *»on not so uniformly high. oF Leo Gueke. the Tamino land first-night nerves, was unappcal- 

" The London Philharmonic in- Tom in The Rake » and lent Mr. mg. 
n 6 | n frfi on 1 i E deed gave signs that later on Goeke. who is attentively and The forces of Reason anti 

. "t '*.1 nspirataon. at ier ms the already superior playing will not unsuccessfully increasing Order were strongly buttressed 

-,i a ^T. deb |^ t i 3 ^ ° P p' ra _ e 51 gn f r (like the herbaceous borders) the weight of his voice, some of by a new Sarastro, the German 
v ^ t * 1 ■* Kfl kc s Progress, to J,loom | n way n always does his dignified authority in return! bass Thomas Thomaschke. who 
offer Jiockaey another and during a Glyndebourne season. Of the newcomers the most re- has a warm, well-knit voice and 
greater opera so well fitted to his Andrew Davis conducted (Hai- markable is the Pamina- Tsobel youthful (surprisingly early- 
taleots, where his wit and tjn j- ta jj es ove r on July 1> and Buchanan is a young Scottish Wagnerian j appearance, and by 
humour, ms curiosity about d j d many things unobtrusively soprano now with Australian the admirable Willard White, 
people and things, ms voracious we jj without catching for long Opera. Her voice toJd at once- making his Glyndebourne debut 
feeldng for styles past and pre- the essential lucidity, sparkle By the end of the duet with as the Speaker, 
sent, his technical ingenuity and 
adroitness, could have full play. 

What one might not have Coliseum 


British Museum 


Pride in the past 

by DR. ROY STRONG 


clarity and luminosity of 
Mozart's score through which the’ 
different layers of experience 
and meaning, while remaining 
ultimately as mysterious as ever, 
can be tan talisi ugly perceived. 


Stuttgart Ballet 


ultimately as mysterious as ever, At the end of the first scene beneath this surface elegance he Moniagnon is in mice ill, appeal- 

can be tantalisingly perceived. in Onegin a stream of dancers, shows the unfeeling, uninvolved ing. 

The General smnearsmee of girls held in broad leaps by heart. It is the especial distinc- The Sluiigart company are. of 

»hi«eJtinn- their partners, speed across the tion of the evening to bring us course, dedicated lo the matter 

P ^T ted °° sauzes *2 a diag 2 nal| and tben a partnership unique in its in hand: the later repertory, 

^ S , irfpnt h on 6 *Hp return in a seemingly faster line sensitivity: TI ay dee and Cragun which will include MacMillan's 

S? H C i,ti S dashing across the stage. Last dance together as one being, and Requiem. Song oj the Earth, and 

night this was greeted with a the choreography acquires an a brand new work, as well as 

?n S fS?s?coSri Pe JIt 1 I whiS l,a MJ prolonged burst of applause: the added eloquence because of this, ballets by Stuttgart's new lalent 

m that second act Which can L ...... k. .V- In T r.y,_ Ac T .onebv pnnn Mnrican rav»llc Pnrvi-lh.. ...I D.iln.ia 


twa i.,.* ■ _ _ . . . ....... .1 „ , - . , . nroionsea oursi oi appiause: iue nuueu ciunucmc umauoc ui uio. uuimis uj is new laicm 

British 1 M«? I L- ex ^ bl ?o5\ oi destro - ved , b >' the modern move- Here Henry VIII wends bis way task was to re-erect the mvstique iL| th fL«r° n iK^n* , ' t C3 ;° Stuttgarters were back in Lon- As Lensky Egon Madsen reveals —William Forsythe and Pairice 

i he rnlllipiirm 3 t ‘ , 1934 at Jnent . in the = rls \ The on,y dls ' 10 Parliament preceded by bis of the monarchy. Lely's elegant v5n.If vLf don. and back in the hearts of once again that mysterious Montagfion— will show them at 

inm« h-ZZ ° « Ar,n V T"° « en ®f a ' appointment is that space has lords spiritual and temporal rich drawings with their muted ^® yp 2*?,‘,n oc ‘~ le - y f- j 2 ?? 1, the London audience. poetry of temperament that is full stretch. 


new towns, 
knights. We 


m _ . — — . - — I--. . r* ui luu luuuiuiuj. J-.C 1 r a cic^jul P ir I.. •_ », . nnn. ailU uala iu ll»c uwita wj 

. , Two genera- appointment is that space has lords spiritual and temporal rich drawings with their muted “ 87 Phan* Hockneys Egypt, .. L ondon audience. — ...... 

VvTnt ha j' e pas f e ^ , s,nee tilat not allowed the organisers to in crimson velvet and ermine, baroque rhythms of heralds, t ^ ough * u - of perspective tncks rran u n ._ adaD v alion 0 c p uS h- so essentially his; as Olga. Lucia 

event unda wealth of new coats lake the story in any detail down The perspective is that of rank Knights undeletes in billow na at on - ce ^rousand entertain- ^. a i?h as ever^ been 

of arms have been granted to lo the present beyond a photo- so .hat the heralds form an rob£ are a testament to Ash- mg ’ ,s ° ot ™ld, monumental ffl^ rtw m3 

** Pe er s and graph of the Queen enthroned at escort of midgets. Elizabeth mole's success in putting back andratheroff-putting like so ^urtainlhantbe 

seen the the Coronation. But this is a Tudor swceos bv attended hv her the .-Jock- These are the much EgypUan art in museums, ask lor a_Dener curia in Loan ine 


CLEMENT CRISP 


A. ' ; v.' " ' 


British love of hierarchical nrinsreT^afonc. ' bearing the w; 

feudal splendour, nor much . „ ' . . robes flanked 1 

reduced tin* national worship of T^ ll - S marvellous evocation of S j 0 n ers. their 
titles. As Ion? as •• Everyone early Tudor court pageantry and pike tQ ^ 


hierarchical 


minster alone. 


lost in the world of romantic 



^ - V 


unique m<tiluUon it is. A herald nmi»n mswry vuura nave - |n ^ Age of the Enlightenment sreat historian oi Gloriana's and something new yet charac- ^ „ 

i- part scholar, artist, actor and [ ar different. Nothing captures uiere was ^ obsession with the golden reign, his successor, lerlstlc to the whole. The gym- !? e L, c 1 0 ? peil f lngI \. ; V ^° 1 ^ 

business man. (iaru-r and his thc Saudy magnificence of this p ano p| y 0 f medieval chivalry William Segar, who sold arras to slj ps for the three Spirits are a 1 “i* way she hides in bed 
: - nMejcuo.s cr?ani*o slate o.-ca- cru so weN a s whea Henry the public hangman, or Sir minor disaster but not, one before the letter scene, when 

mns With Mich Hair and di-mic- deliberately set out to emulate Every Ascot Week at Windsor William Dugdale. He. sensing would imagine, a difficult ong Haydee’s eyes do more than most 

iron th.it tlicv make Max Rein- lllr L ' ourt of Burgundy. The is still prefaced by the Garter that civil war was near, toured to put right. dancers entire bodies; infinitely 

harm* the Suwh ■ look like a km « hl * are . arrayed in puce, procession and service. The London and the Midlands to The spectacular side is richly toueblng her duet with the 

provincial pageant. Thev provide emerald, crimson and. sold, history of any institution which record monuments and stained furnished with a fantastic “dream Onegin, in its youth- 

l he mmi.i 1 p;urai us the iconu- baldichinnos a ire borne over their includes " 


simultaneously the n] ass 


the end that the Carpacdo dragon and other fulness and trusting passion. 


Marcia Hay dee and Reid Anderson 


lb. , OLD VIC. 


■ MH to the MMTdllcd tfsaliicrlan senlaiions. and relics of I he EliaJbethVto ^ VrederickTl of This is not only an exhibition GUIDE I 

present, li 1^ an expluMoii uf speeiacles t»F slate which were Denmark is e'kcrusted with rich in historic and aesthetic cc-~Th«c >>gw i acctw ceru.n eiwut 
riL*hin*». ol jewels, badges. r«»bes. organised and marshalled by ihe diamonds and rubies bordered interest, a delight, but it is much a bT le ' epho “ e or “ l ,hc bo * 0,,,£ «- 


CC — These Meflrei accrol ceru.n credit [ 


LESLJfc PHILLIPS 
in SIX OP ONE 
•'VERY HJNNY." sun. Tel. 
SfcCuHD MlwARIOUs YEAR. 


u , «Z* 7616. TALK OF THE TOWN. CC. T34 SOSl. 

a - 00 - U'nlng. OiiKing. 9.30 Super Re*ue 
__ IPFFERNATIONAL SEASON (Bars open 7 IS pm.) 

_ The lnic/nat,oni,l , ^Tklsh Players m razzle DAZZLE 

THE TURKISH CLOGS bv Neuti Cumth. ana at 1 1 p.m. 

A musical Cbmcav ^Jll ^BlUA. based on FRANKIE 5IEVENS 

Today at 7 0^ Weo_-Ll. 7.30. THEATRE UPSTAIRS. 730 =554. 

A*w£k C 2. Sundays n'.i 7 1976 vcmIhc" wwteiS'pestival 

Innocent! 3 Derefc Ull jacobL l0 ^ John Rowd! I VAUDEVtLLE. B36 |9BB. CC. Evos. 8.00. 


dluininah'd mamivmpls puree- be raids. It made me rcraentber with 


secured more. It is proud and patriotic. 


l.nn. pur'.raiv- mt'tl.ds ;.nd -•eal'*. a bail el critic who remarked that by jewelled and\ enamelled Pride of birth, pride of family, 
and nil vovoahii? ih:ii fiats ■'*f ihelAikeff Norfolk in his role cl as ns. The handsome presence Pride of achievement are what 
anus haw scried the decorative as Bari Marshal was the worlds of Elias Ash mole with Windsor it sings. These are virtues or 
.iri» Ilian well. Heraldry greatest choreographer as re- jn the distance reminds one of vices llaunLed unashamedly and 

remain'- b»d.i> one td ihe tew I'Kivil in the stately on/(ef de bis stupendous effort to recreate whose visual trappings are the 
■it'difs iefl in i!te ravaged reper- tviir of coronation and royal the Garter after the disasters of language of herald ry- We should 
lory of decora: mu. ibc rcM funeral. the Civil Wars. He it was whose salute and pay homage. 


OPERA & BALLET *Snt i moT M ati. 

COLISEUM. Credit uiih Ql-jao S2SB. A CH< 

ftTMTyjtions 0I-B36 3161. Until June A rare, devasut 
TO. Ergs. 7.30. Mats. Weds, and stunner." 

STUTTGART* BALLET DUCHESS. 036 

Tout, lamor. and Tnur. Onegin: Fn. £*«*">» 8.00. Fr 
and Sat. Flore. Dcr Fall Hamlet. .. Th _ Nurt ^li 
Man ne»t Innerc NoL New The N 

MacMillan Ballet. 5org of Ihe- Earth. Bib Sens 

96 Balcanr seats always available from DUKE OF YORK'S. 

10 a.m. on d»r of pert. Evgs. B. Mat. 


DRURY LANE. 01-B36 BIDtl. EverV 
Rignt 8.00. Matinee WCd. and Sat. 3 .rU. 
A CHORUS LINE 

"A rare, devastating, loro la. astomsnmg 
stunner." Sunday Times. 


DUCHESS. 836 6J4S. Mon. lo Thurs. 
Evenings B.00. Fri.. Sat. 6.15 ana 9.00. 
UHI LAUufTA! 

"The Nudity It stunning-" Daily Tel. 
Bib Sensational Year. 


THEATRE UPSTAIRS. 730 2553. 

Evening 7.30 P.m 

1976 YOUNG WRITERS FESTIVAL 


Festival HaS! 


Christus am Oelberge ^ M 

Beeth'H en's. erj'om. Christ uu mood into one of exuberant of Reelhoven. but not an 
jj.v \i, nut .H i.'J.-.v li.i> had a cheerful new. r»f florid sallies unworthy kind. 

■-■‘■'•‘•I'.ilty had l'ress "it is jboye the stave lo top E. in a Q n Sunday une was less con- 
niiKjiie in Breth-iM’ns output for work whose subject hardly scio(ls lhan UiUa , of lhe d| 
■I-, i i lack of interest: it admits of such gaiety. Further crepancies in lone between text 


CfP'ENT GARDEN. CC. 240 1066.. 
(Gardencharge credit cards 836 6°03.) 
, , THE ROYAL OPERA 
Tonight and Sat. at 7JO; Madama 
Butterfy Thur. at 600: Tristan und 
Isolde. Fri. at 7 JO Rlaoleno. 65 
Amnni' seats ayaH. for all perts. fiom 
10 a.m. on Oay ol perl. 


JUKE OF YORK'S. 01-816 5122. 

Evgs. B. Mat- Wed.. Sat. at 3.00. 

JOHN GIELGUD I 

In Julian Mitchell's 
HALF-LIFE 

A NATIONAL THEATRE PRODUCTION 
" Brilliantly winy ... no one should 
miss IL” Harold Hobson iDramai. Instant 
credit card reservations. Dinner and i 
top-price seat £7.00. I 


Prunella Scales. Timothy west. 
Timothy West as Sydney Smith in 
SMITH OF SMITHS 
THE GRAND TOUR 
. Oevck Jatobi as Bvion tn 
THE LUNATIC THE LOVER & THE POET 

°ra N_ AIR._ Repw fa Park. 7 C I 486 2431. 

NIGHT’S DREAM Red. 
Price Prevs. Tonight. Egrs. 7.4S. Mats. 
Thur. & Sat. 2. 3D with RULA 


W«|,. Th» r J sat. 2 3D w',!h RULA BJrkcr 

ESTENSEN. ' A DAvm kL W&ton L1Z hIlEN VICTORIA PALACE 
WEIR. ANTHONY SHARP ^ r iSS. 


Mai. Tues. 2.45. sat. 5 and 8. 

Dinah SHERIDAN. DuKlu GRAY. 
Eleanor SUMMERFIELD. James GROUT 
A MURDER IS ANNOUNCED 
THE NEWEST WHODUNNIT 
. by AGATHA CHRISTIE 

■ Re-enicr Agatha with another who- 
dunnit hit. -Agatha Christie Is stalking the 
Wes: End vei again with another of ncr 
fiendishly Ingenious murder mysteries." 
Fell* Barker. Evening News. 


by MAX LOPPERT 


COVENT SUNDAY CONCERTS FORTUNE. 836 223B. Eves. 8.00. Tnurs. 3. 

LUCIANO PAVQRQTTI. AM^atS sold. MUHel RavSow « MISS^MARPLE In , 

Philharmonic Orchestra. Tonight. Thur. I Third Great Year 

H 1 at “ -30 i. Die Zauberdotc Fn. I HliilCK r 


Use 

1/c 

Uhl nl l 

•.•fill 

•i’.i 

lly lutti 

iil’m 

i'ik v 

in Brcfl 

!> *• 

1.1! 

i:*l lack 

.illil* 

f*>l 

IlfXtT 

IIHTl'lx 

i •Hlll'Clt 

II." 

lx 

t:h;irl-.'s 

Imn 

■— »iir r! t 


an fundity. nobility, 
completed an 
in _ Beethoven concert. 

^ Peter Dvorsky, 


and ' poetry, 
excellent 


l* on. the chorus of the soldiers and nms j c jf on iy because the Czech tenor wfa o drew attention 
iv arresting Christ is similarly dis- RPQ a rQ n r ' amme failed to orint 10 faimseif in tie recent Decca 


C’l?. ._? un . at S : S0; Don Giovanni. 
Fosslble rctuna only Boa Office Glynde- 
t Jurnc. Lewes, E. Sussex f0273 812411) 
SADLER’S WELLS THEATRE, Rosebery 
Are.. E.C.T. SS7 T672. This WwToV^ 
BALLETT INTERNATIONAL D€ CARACAS 
Tonight. Fri. and Sat at 7.30 and Thur. 
» «»e Children 

Waited*. Ariel. Rodin 
^nd Thur. 7 jo and 
Sat. at 2.30: Shadows. Wwia, Scriabin. 

T e R MSi'rr JB 2S 5 fo T7 £P NG SAWAN 
Music and dancers from Ball. 


THEATRES 

\»-iv often: in-fove Sundays per- allowed the worth of the best musical* proportions without second, the impression he left A e , »« p, 7 . so^Mia Thu«. sifsatsVi' Lb** c en l iovabVe 0 cyen°'gJ' el 'sunua l y 1 time^. 
ihrmjpi «• inn>al Phil ha no Di’ii - among the 13 inoveineni* to be- ever inflaiin^ or underlining ? as . PV^ed. Mr. Dvorsky is the best 6 musical Greenwich theatre. ass 7755 . 

• 't.-lK*!ia and Rnchlun l-eslival iT.nie so severely under rated. In them, drawing supple and handstm 1 *- with a thick crop of 01 197 s. 7977 aid 197 a Eve ? 3 S* Z-£..ioru-. SHfei 10 - 

1 ' in ■ ? : j -i 1 miilil' ini by An Li! till’ E flat minor Prelude, the .shapely piavins — the Havdnish ^ ar ^' curly hair and a slim London’s- be!7 E night out a play b»oon Ta.ior 

Ifor.fii. lj.a.i heard it .-nly »n nvilative and nria_ of Jesus colours in the opening 'move- f? u ^ h _ e ..PV! ;c . Mar, ^ a ^ already 5 ^ ^? plf ov E R one XSS&tU&tt 

ii'iMitis Hi-' t eel mg it left was t tenon, the trio for lhe three ment were particularly sinking Sts» from such lb»n b >. The voice. million happy theatregoerI. half moon~theatre — 4 bo 646 s“jb 8 

r 1,1 di.sicreement with soloists ll’eter. basf. makes up _ and jjght-hodied but fir m too, is basically handsome, more credit ca rp book i ngs bss 7 6it. half moon theatre. 4bo b465-4BB 

, mi;, al .1111 honiy— rare, anda- the tliirdl. and the final C major cbora i singing Sheila Armstrong ‘'southern” in timbre than the alhrv. .a»i87i 1 w* Rate*. crea.t '' wc jjJmVW IJZF £¥*£***" ! " 

M-Hh.«i«on :— mid sh.-er .hmu-s. the music is nut only (soprano) und Gwynne Ilowell n,ost famous Czech tenors, with 5*3 “^on! 97 ^^." 0 ^ iV Tn 1 

that the nl.viuus broad of manner, lorty or style, (bass) were in aood form: the a rraging top and an appealingly I 

>iiniilt! have bliinled and beautifully worked in tenor, Robert Tear, coni muni- ,m P®tuous «iaj of throwing it LioNEL 1> B 4 uiT's cLt:OME 15 ingrid oergman 

Iv-i'iluM eii MiidenH in s>i much detail, but creates a uniquely cated his involvement rather 0IJ f- miraculous musical- r,n«n. Time*. derek wen do y ris HILL£r Frances j 

r..t rich and interesting mixture of ctronnnuciv iMtr ih a mucio m-iiii. But in a role of which elegance w>:h rot hudd , ilh ■ Da xi TiiDiitb GODFREY HARE CUKA 


GARRICK THEATRE. 01-836 4601. DELIGHT ' E. SlandJrd. 

Evgs. 8 0. Mai. Wjd. 3.0. Sat. 5.30 f.SO. CONTINUOUS LAUGHTER 

TIMOTHY WEST. GEMMA JONES 1 - 1 cfl 

MICHAEL KITCHEN PICCADILLY. 437 d > nr. r-.*. 

in HAROLD PINTER'S 836 1971-3. 8 M a n 

■•.RILLliWJfSr^^^ EXCEL. 

™ e ouT *£^°jrziB 

Gdn. - NOT TO BE MISSED." Times . PR I VATESoN PAR 

GLOBE THEATRE 01-437 1592'. ’ K^rnilinv'" ne 

Evgs. 8.15. Wed- 3.0. Sat 6.0. 8.40. f v B |£ r 

PAUL EDDINGTON. JULIA MCKENZIE. Pleaso not^ tSm ^ 

BENJAMIN WHIT ROW »n NlTbD SSain » S 1^ U S 

ALAN AYCKBOURN'S New Comedy m ? * p m WvJ^Sav 5 ! 

TEN TIMES TABLE 8 p.m. Wed. Mat, a 

"This -must be the happiest laughter- paiNcr fnw«on Tr — 
maker In London." D. Tel. " An Irreslst- P S'™ C 5 rl ,% D *fARD. CC 01 
'bly enloyable pyen.ng."' Sunday limes. a ^?n p i, c ,5o Pr v7 4 ' J ' 


PHOENIX. 01-B36 2294. Eveninas 8.15. | 
PHJ 6.00 and 8.40. i 

rIiS!trx. 8RO ? KE TAYLOR. GRAEME 1 
garden make us laugh." D. Mail in 
Th ™E UNVARNISHED TRUTH 
.. W..M. Comeov dv ROYCE H Y TON. | 
Mi5e C i?; c S , ?1 Y 1 THDUGHT I WOULD • 
nr^YjLP 1 ? 0 * Sunday Times. " SHEER : 
DELIGHT E. Standard. ■ Gl°R:OUi . 
CONTINUOUS LAUGHTER." Tunes. < 

i” 4506? Cred.l taro 1.1% 
e “6 TBTI-S. 8.30 am. -8.30 n.m 
Evgs. B. Sat 4 AS 6 8.15 Wed. mat 3. 

J 1 ?. VJ DC * irc Company m 
THE OUTRAGEOUS ADULT COMEDY 
P«er NIchOK 

- d PR i VAT£S ON PARADE 

5 Express. 

r- 8 !? CGMEDY OF THE YEAR 
6V. Std. Award and S.W.E.T. Award. 
p, ,7i“*x n 2 c , ' om S June perl, times 
Will be Mon.-fn. 730. Sat. 4. SO and 
- 8 P.m. Wed. Mat at 3. 


Eoov New. 828 4735-6. 834 1517. 
STRATFORD JOHNS 
SHEILA HANCOCK 
ANNIE 

I Evgs. 7 30. Mats. Wed and Sat. 2.45. 

WAREHOUSE, Donmai fhcolie. Corent 
Garden 336 6BQ8- Rovai Shakespeare 
Company Ton t 7 30. David Rudkin's 
THE SONS OF LIGHT. "Sheer poetic 
energy. ■ Guardian All seata £180. 
A dv. bk-gs. Aldwvch Si g den i standby £ 1 

WESTMINSTER. 01-834 0383? 

SENTENCED TO LIFE 
Ov MUGGER I DGE and THORNHILL 
" TRENCHANT HUMOUR." D. Tel. 
"SHARPLY TOPICAL." F. Times. 
"TREMENDOUS IMPACT.' Ng.W. 
Ergs, 7.45. Mat. Weds. 5.0. Sat. 4.30. 

WHITEHALL. 01-930 6692-7765. 

Evpis 8.30. Fri. ana Sat. 6.45 and P.OO. 
Paul Raymond presents ihe Scnsalicrtai 
Sex Rene of the Century 
_ DEEP THROAT 

Due to overv-helminr) public demand 
Season extended. 


GREENWICH THEATRE. 858 7755. 
Evenings 7 0. Mats. Sat*. 2.30. 

THE ACHURCM LETTERS 
A play bv Don Taylor 

" Sura Kcsielman Is superb as Achurch 
. . . Julian Currv is a splendid Shaw." FT. 


Red. price prevs. June IZ/tS and 2D ai I WINDMILL THEATRE. CC 01-437 6312. 


i-iu.al .iinhuniy — ran,*, .nida- ihe third t, and the final C major choral Binclnu Sheila Armstrong “southern in timbre than the albery. Bsssaja part* nates, credit I 
M*ib*.«iinn ■ mid sh**er iht.ru.s. the music is nut only (soprano) and Gwynne Ilowell most famous Czech tenors, with S' so “S: Mor.!f 7 Tu4." Fn ' 

i ha l the nliviutis broad of manner. loTty- or style, (bass) were in aood form: the a nDqing top and an appealingly '.^tvou^mb J0[1 c -°^ 

si.ittH >iiniiltl hav.* blunlcd and beautifully worked in tenor, Robert Tear, conununi- ,m P®iuous «vay of throwing it lionel^ bart^s cU:ome 15 

It* -i *i lti*i c ii MiitlenH in s>i much ilctail, but creates a uniquely cated his involvement rather ou 4 ' , , .. . , miraculous musical- r,nan. Times, 

hi'antifiil niusir. rich and interesting mixture of strenuously (but the music rcallv Sut in a rule of which elegance SroJ^neB^nlP.pK - JR AN turner 

Tt„. il.'tws ..re lb i'M* nr tone, intisical manners. The worlds of wants a Florcstan's weight, ^umld be the slarUng point. Sir A e£c*fo* kiVSKm.^BS I 
V.rr ;!»«■ hi 2 It sonoii-n^s njipn- Uu* a.s yel unwritten Fidelia , of though not the wrong bind of " lorsk - v * ras "?* a .consistently uo «t¥ch. essTiai — imo ut 5332 
,n' Ttmvi'iui'ni >. Hit- lengthily Micarl's Flute (in the trio) and weightiness-). The Egmont Over- cl . c Sant or stylish singer. The “«l f 

.".d-i'iaic aria fur the Seraph Cleniema (in the final chorus), lure and then the E flat Piano UrT 3 ^ 3 E *’ so * dcll’anima " 


1 -Min si»pr.>nn ». in 
burns later juins. 


WATERS OF THE MOON 

"Congr-»t , jiationi on complete cap^utv 
and rpcoto making Show. TAU&t Unlor- 

tunalelv ftnbh on July Irl cwlng to 


8.00. June 17 5.30 ana 3.30. Opens 
June 21. 

EVITA 

ryjwg OF WAUL CC. 01-930 8681 ”. 
Monday to frt<uv at B p.m. Saturdays 
al 5. 30 and B4S. I 

LONDON AND BROADWAY S 
COMEDY MUSICAL HIT 1 
1 love my wife 
.. . . .■tarring robin ask with 
ALL JUST GOOD CLEAN FUN " 
DalJr Expro^L 

CR EDIT CARD BOOKINGS 9 30 0846. 

QUEEN'S THEATRE. CC. 01-734 1156. 
E.9S- 8. DO- Wed. 3 00 Sar 5.0 8 8J0 
ANTHONY QUAYLE 
FAITH BROOK MICHAEL ALDRIDGE 
and RACHEL KEMP50N 
BENNETT S 
THE OLD COUNTRY 
P,„ .BEST PLAY OF THE YEAR 
” a iS* anl * havers London cni.es Award I 


Twiee Nightly 8.00 and 10.00. 

Open Sundtvi 5 00 and 8.00. 

PAUL RAYMOND OnsenU 

THE EROTIC EXPERIENCE OF THE 
... . MODERN ERA 

Tales to unprecedented limits wfiji is 
permissible on our stage, 1 E»g. News. 
You may drink ana smoke In the 
Auditorium. 

WYNDMAM S. 01-836~0=8. Credit Card 
Biffs 836 1071-2 Irom 8.30 a.nt. lo 
8.30 p.m. Mon. -Thors, a. Fn. and Sal. 

SIS. 3.30. 

"ENORMOUSLY RICH 
VERY FUNNY." Evening Ncw.t. 

Mary O' Mai lev s f.masn-fi.i Comedy 
ONCE A CATHOLIC 
'■Supreme comedy on icv and religion." 

Daily Telegram 
"MAKES YOU SHAKE WITH 
LAUGHTER." Guardon. 


commitments n Mlu Bergman and Dam" ! D.re«-ted by CLIFFORD WILLIAMS 
Wendy HIrinr * o.»unu» ~ 


alters the meet. This is a different kind a soloist of Shakespearian pro- a » rea, £r St a f. e * pu ! .'? ere 

out effortful ly. Likewise, the 


FINANCIAL TIMES 

KR \CKKN IIUUSK, 10. CANNON S'JKtBT. LO.NOON EC4P 4BY 

TeleL- Lditurial SS6T.41'-. WWJ9T Advertisemems: SS5053 Telegrams: Finaatimo, London PS4 
1CI Telephene: l):-24« 8000 

t-iir Share Index and Business New* Summary in L ondo n. Birmlngliam, 

Liverpool and Manchesler. Tel: 2-16 8026. 

INTERNATIONAL AND BRITISH OFFICES 


\m™rtl *n: I’.il. run 1296. Amsterdam-CL Manchesler: Queens House. Queen street. 

Telex l "l?l Tel: 2-10 KZ Teles 6«58!3 Tel: 061-834 9381 

Kiriniii shim,: Geunse Hoiisv. George Road. Mdscuw: SadovojSamoteelinaya 12-34, ApL 35. 

l ,Tx' MB* Tel: 021-154 0922 Tele* »»&«»■ „ _ 

Huntr ProN-sliatis 3I.TIM Huusaaliee 2 -10. New ' Plara. N.Y. 10019. 

TL-I. V 8869542 Tel: 210039 Tele* 6090 Tel: (212) 5*1 4625 

itmssols 1 39 Hue i>u 4 t:i 1 c. Paris: 36 Boc dn Sc ntie t, 7S002. 

-MB2 Trt- siunv Telex =20044 Tel: 2365743 


Kiriiiiu shunt: fifiiijw House. George Road. 

1 HpC itSSWO Tel: 021-154 0922 _ ^ 

Ko nit: I’rcssiiaus ll. HM HeussoUee 2-10. 

Telex 8869542 Tel: 210059 
BmxNCls: 39 line Ditrale. 

Tele* 232W Tel: 512-9037 
Caim: P-O. Itta 2W0. 

Tel: 938510 

liiihiiii: 8 Fit/. william Square. 

■| ,'k-s 5414 Tel: 785321 
r:d n th ura It: 27 Gcurse ^trrrt. 

IVlex: 72484 Tel: 1151-226 4120 
Frankfurt: tut SachxcnlafUT 13. 

tlfil'fiS Tel: 535 *-0 
J{*!i:innc*-bi»ra: P.O. Bo< 2128- 
Telex 84S57 Tel: S3H->54o 
1 i short; 1’rova da Alesria aS-lD, Lisbon S. 

IV lex 12533 TeS: 362 508 
Madrid: fcNpronrtcedu 32. -tiadrid 3. 

Tel: 411 6772 

ADVERTISEMENT OFFICES 

B:r.ninj;!ia.ii: »?“ s ^ e ° rBe Koad * 

I‘i-le*\ 335650 Tel: 021 -4M 0922 
l-ilitihuroli: 3“ Georr.e Street. 

Telex KISI Tel: 03I-22C 4139 

Frankfurt: !m SachsenlSAer 13. 

Telex 16203 TH: 5*i66< 

! pmnnneui House. The IleaDrow. 

J,.]: 11532 45WW 


a yreaier grace, but were pushed SOT HZ, 6 3 !gg: 

out effortiuily. Likewise, the u. ■!!ii£ E rm?0sst H -rd 

Dukes ana was lustily hewn y i h c r ".t r !i ,, ?n r p<X#i mS. ?* i*' wtMdli’iy anthony newlex's 

instead of delicately shaped, the rES EZ PR,VATES ON ,RA ^ t D*5 ek 'G , r^n* SMOW 

cabaletta went better. Despite a almost free. .uTC — 57 sy an t . D |r ««ed by burt shevelovf 

more even command of the last s^t C0 ^s^. b lJZ *3 0 M^ d L v S u ^' PM^iIre’.^ Aw tSm 
act, the final effect was Of decent No Show Mond ay, p -“- Forsyth." Sun.. ^ press. • The auoiencv , 

provincialism when the sinqer’s ambassadorsT oi -836 1171 ‘ '~* r ' — ^ P 

pgS" 1 talents rs Y cJ S3SiS" 2 « : m ja 

promise rather more. Patrick cargill jn tony anholt the rocky huixoct show 

The rest nf lhe nerformanre Th.. wJi.% EUTH .. NOW IN its 5th FDLKIN6 YEAR 

tae rest 01 me penormance it* ^''jrid. famous Thniirr the great rock 'n- roll musical 

was as reported by Ronald - tn£^>2? > iT.. SHAFF £ R 

Oif-hlrm Pnr'iPr in ThP tnnnlh utur and ratal l2L ■? D 2i n * J" ■" LONDON PALLADIUM; CC. C1-437 7373. 
v-nciiion ear.ier in ine momn. I'turjro ^“JJoy-'Puncn. scat Pnres-- now until august *9 only. 

Bui there should be a word of ~~ seaitroi ,M T ° 3 Fr,e<? Mon -- rtws^ iByr». «m ki. « c weds 

praise for Edward Downes' con- KJeb 8 

ductiug. which, urgent and for- Ma-S ' T " ^ ^ 60 n al fi « den and 8 ' 00 ' comedy sT 4 GE l, 'rEvut 

KS ““ s sTrp?„T-“°jV“" asi 5 6 

nre m tae third act. >vith the shut youreyesand june 4 . 25 and july ie» 5.0 and 

outstanding Sparafucile of S* wSmI? «« 


Dukes aria was lustily hewn wiecr mo and at me eiccjdiiiy , 

instead of delicately shaped, the ' RtSSSt PR,VATES ON | 

cabaletta went better. Despite a almost free. 4rx~~ b .'-- t ~ ' msTAHT 
more even command of the last ITl 1 1 3 * w I*feJ“**'* 

act. the final effect was of decent no show mow^n?^ zo a 5,00 p - m - 
provincialism when the singer’s A £ ,B *? 5a ? 0 . RS C oi-ass 1171 

vocm and physical talents v **»?**. s.oo intim w “ ! ' 2 "* s ' 

promise rather more. Patrick cargill jnd tony anholt 

Toe rest of the performance Tne woria-blSus 1 Thnitn- 

was as reported hy Ronald - sremg^ne^S? M, s ” A f F P . 
Cnchlftn earlier iu the month, uti.r and tatai jS-.- ?i pJ,T ic * sLt 
Bui there should be a word of ■** a to LaP' f n 7 7„ * nd 703 Pr,cc 


ward ail evening, seemed to take 
fire in the third act With the 
outstanding Sparafucile of 


RAYMOND REVUESAR. CC. 01-714 1S93 j CINEMAS 

7 oaiVi IOB,?n Sun.). | ABC 14 2, ShaftcSbnry Ayo. 826 8861. 

PAUL RAYMOND prM^ri! . Scd- P.-rts. all SEATS BKBLE. 

TH£ I 1: GRAY LADY DOWN (Al. Wk. A 

r li . , ^ EROTICA . S un . 2.DO. 5.20 B.20 

>u»y ABVCQPB 1 Uongn. You mjy orinl 2: THE GOODBYE GIRL tA). Wk. 8, 
ann mtump ,n the audnonum. I Sun. 2.00 . S.WI . B.10, 

E C. . 9865. CAMDEN PLAZA r OP D. Camden Tovm 

h..S2? 7 '° an ^. 2°- Tube'. 485 244 J Bngille Foucy In 

tleaint. good humoured enug ing. Gan LES ENFANTS OU PLACARD IAA). 

A^new 'SlSkhl 3.05. 5.D0 7 OP. 9.0S 11.00. , 

" S^JfVco^S 1 ■n'sSnae ■^'d'tcI CLASSIC 1, 2. 3. 4. Oclord St. (Opo. 

Linda Thorsen^ ■■ rlmm* Tottcnlum Court Rd. tube). 636 0310. 

"WELCOME' TO ThPqHub"- tijf'TlE* B.l!°° *** * tX '' Pr °"‘' 

ROYAL COURT. 730 1745. Last week. 2s Charlton He, I on GRAY LADY DOWN 

Evenings 8. 00. Saturdays al 8.30. (Al. Progs. 1 10. 5.35. 6-05. 8.30. 

h. S„ ’HE, GlA 5 Hand 3: Wan Dane* s jungle book tu). 

aStu .. W4f(<J Premiere. WAHOO BOBCAT lUi. Progs. 1.30. 

BrrlHant comic writing." Tines. 3 45. 6.00. 8.20. 

Credit Cards. 01-405 8004. j'sO^'V'zO^' b TS 9 °° 

Mondav-ThurKtav evenings 8.00 Fr.oav f 2 B.is 

a.ou and Saturdays 3.00 and 8.00 j CURZON. Cur=On 5!reet. W.l. 499 3737. 


Robert Lloyd. Gillian Knight’s! '^ >< - DLY bunnv." Times. 


>. 25 and JULY 16 at ! 
8.0 EACH EVENING 


London critics »ote 
BILLY DANIELS in 
JBL'NG brown sugar 


PARDON MON AFFAIRE >Xj. English 
BUBBLING ■nnwu'cl'.'r.D mMHIo. Praos 1.50 ic» 5un.). 135. 

■St *?«fcW N 1 |J?? AR 6.10 and 6.30. l4t. Wer-Ys. 

S B t-5S52 U! f.. M*'°r credil Lards LEICESTER SQUARE THEATRE 1930 5252) 

i.£KL ra,e ,or matinees lor a COMING HOME {XV Sep. props. Mon - 

- ‘United period only. SaL 1.30. 4 45. 8.10. Sun. 3.30. TJ5 

theatre ' . Seats may bo booked in advance lor 

sSflSEll.. rpM^cgiVfn 88 ' |aI D ^^ MOn - Fr '- 3Bd ■“ 


Speciai Booking HoUlne 01 -437 2055. 


Rio de Janeiro: AvenuZa Pres. Vargas 41S-10. 
Tel: 253 4848 

Rome: Via della Merced e 55. 

Telex 61032 Tel: 678 3314 
Stockholm: c/o Svenska Dagbladet. Raaiambs" 
vaRen ”■ Teles 17603 Tel: 50 60 SS 
Tehran: P.O. Box 11-1879. - 
Telex 212534 Tel: 682658 
Tokvo: 8lh Floor. Nihon Keiul Rhbubun 
ituilding. 1-9-5 Otemacbi. Chiyoda-bu. 

Telex J-27104 Tel: 241 2930 
Washlnslon: 2nd Floor. 1325 E. Street. 

S.W.. WashlnRton D.C. 20004 
Telex 440225 Tel: (202) 347 S676 


ytaneh ester: Queens House, Queens Street. 

Telex 666813 Tel: 061-834 9381 
New York: 75 Rockefeller Plaza. N.Y. 10019 
TeleX 423025 Tel: (212) 489 8300 
Paris: 36 Rue do Sentler, 75062. 

Telex 220944 Tel: 23538.01 
Tokvo: Ka Sahara Building. 1^-10 Uchilomda, 
Chiynda-kn. Telex J 27104 Tel: 295 4050 


dark and smouldering Madda- 
lena. and the almost unbearably 
louehing Gilda of Ileana 
Cotrubas (even if. on this ocea- 


ARTS THE*; 


TOfci CTn«.—£l-* s * 2132. LYRIC THEATRE. CC. 01-437 3686. SAVOY THEATar 
»«d5!PrSftR? s ». 8-0- M»L Thure. 3.0. Sjr. S.O A 8.30 OBcnlnSTSS i 


DIRTY LINEN 


Ileana « | 

is ocea- Sjiur gjy at 7 0 mmi 9 . 15 f“' r J 

• . actocia THEATRy ri_TC: ■' -r ■ 


JOAN PLOWRIGHT 
COLIN BLhKbLY 
FILUMENA 


JBSSSS»SSS».. M*iar credit cards 

ppccial reduced rate tor matinees lor a 
limited period only. 

01-836 8888. 


°Sn3!S E J ??S- 1 ^ TOM CONTI m 
WHOSE LIFE IS IT ANYWAY? 

" A MOMENTOyf PLAY.^fuRGE YOU 


and Storm music-not always thp .. (ouS aBDN «^*s 
climax of the opera as it ouaht hcart-thumdirS:" * 

10 he and as it so fierilv became s^ E cric « ci 5 ^ts.» 
in this performance. When Mr. m« «w.«,gL5o. hum, 
Downes is in the mood, he is ■ Vw^aM^riT^oc 

a very fine Verdian indeed. E B vENiNG^AL2f . 


MAY FAIR. CC. 639 3036 Evgs. at 8 00 

Mon. to Fri. 8.00. all. 5.30 and d.4s. — 

GORDON CHATEH Brilliant." E.N. in SHAFTESBURY. 

THE ELOCUTION OF Snallesbury Av 

BENJAMIN FRANKLIN tvgs. at 6 OO. 

by Stere J. Spears JOHN REARC* 


_ TO SEE rr." Gdn 

Evgs. at 8.00. Fri. e. Sat. S.45 A 8-4 S. 

K\fT55 BUR Y- CC 8 SB 6596 


3DEON HAYMARKET. (930 2738-27711 
Jane Fomu. Vanessa Rodarave in a 
Frod Zinncmann him JULIA IAI. Sep. 
Progs Dly . 2 30. 5 45. BAS. Feature 
□ly. 2.45. 6.00. 9.00. All seats blrplc. 
at Theatre. 


a nd B.«. tan. A offi?. J S«.,s 

ELVIS I amusing." E. News. "Spellbindlnu.' Obs. 

oat prices ,51 50-E5.5O. Dinner-tow- 1 

Prise seat CBjSO. H.ir-hour belore^ show . MERMAlO. 246 7656. Restaurant 248 
env available tOP-OTKa en ilT > 3 835. Wed. to Sal. B.30. Mats Wed 


Stains bury Are WC2 .High Hdborri end. I ■*»„ * peJII,c : 

•nurir or V5rvy«, N, ?S' TJi 1 ?.- -S 4*2.^4 0 ?' ■ OOEON LEICESTER SQUARE 1930 6t 1 1 


t«9*. at B OO. Mats. Thun. 5a-:. J.O 
JOHN REARDOr^bnd^QAN OlENER 


** A SMASH HIT. THIS MUSICAL HAS 
_ EVERYTHING." S. M.rror. 
CREDIT CARD BOOKING 836 6597. 


LVEM'WCItANOARD AWARD 


2835. Wed. lo Sal. B.30. Mats. Wed JUS*?? 1 !' 


‘Fivine Blind' at 
the Royal Court 

Flying Blind by Bill Morrison c«ic«?™*% uSe , .. _ 02*3 atji£ 

II h. nfftanioS At thn T!«y.,t fDn iS«r,«ii“^/ Ji. ?;. 125* A . 2. 


SUBSCRlPTlOhG.^ nruxoceols and bookstrtls woridwlde or oa refToiar sntertptiiiB 

t(rpif < .ililaiiiRble fram^ Fmanrial Times. London. 


will ‘be presented at the Royal TD| a 5 ' womanV m importance 2 ' 
Court Theatre next month, with the 1 nconstaIv ..^^. £ « 2 . 

previews starting on June 14. outer. ^ oi-gso 2 s?a 

It is a comedy about life s -£Si,s»t- s.3d, t£io'. 

under the threat of terrorism mSS/m courten^^^tto^, 
and will -be directed by Alan Murder C a^^ J|Jimds r 
D ossor, designed by John Gunter ■■bimmi’*' 1 - f^gSL !«aenr7 S3S^ h| un 
with lighting by Jack Ruby. "« -" r St- 5 SSft, AJ?" dcal 


Fri. and Sat. ai E.45 
TOM CONTI. JANE ASHER 
WHOSE LIFE iS IT ANVWAT7 
Every Mon, and Tucs. at 8.15 p.m. 
Alee McCOwon's 
ST. MARK-5 GOSPEL 
I Suns, a: 7.30 d.l". all seats Ap'd) 
Pnrv. June 13. Opens June 14 
Subs 7.30 and 8-15. , 

EVERY GOOD BOY DESERVES FAVOUR 
A . Pitfc lor Actors aid Orchestra 
bv TOM STOPPARD and ANDRE FREVIN 
Seats £4. £3. £2 

NATIONAL THEATRE. „ 92B 2»2. 

OLIVIER tooen stage): Tone 7.SO t*ed. 1 
pr. prey.}. MACBETH. Tumor. 7 l note 
early start) Brand. 

LYTTELTON (proscenium stave,; Ten'T, 
7 AS Cred- or. prcv.J Tomar 7 trad. or. 
d penlngj PLUNDER by Ban Trarore. 
CGTTE5LOE cunaii audltarimal: Ton e 
and Tomor. 8 LOST WORLDS bv Wilson 
John Hal re. 

Many excellent cnjjp seats all 3 theatres 
day st pert. Credit card bkgs. 92B 2252. 


01-388 1394. I 


Evgs. 1.30. Mats. Tu«. and Thurs. 3-30. 1 
ROOTS 

Arnold Wesker’s Classic 1 

“ Still sure tnc rreart." d. Tel. . 

Low prices. Easy parking, Last week. 


[ CLOSE ENCOUNTERS OF THE THIRD 
I KINO <A1. Sod Proas. Dly. Doors onen 

| 1.Q5. 4.1S. 7.45. Late uv» Fri. and 

j Sat. Doors open 11 . 1 s p.m. All seats 
j may ae booked. 

| ‘ -F5N MARBLE ARCH >723 2011-2), 
I THE BETSY IX J. Sep. progs. Mon. -Sat. 
1.30. 4 45. 8.15. aii seab bUble. 
except 1.30 Perl. Man. -Sat. 

I •■MNCE CHARLES Le. C . So. 437 8TS1. 
I Met .Brooks HIGH ANXIETY .Al. 


STRAND. 0,-836 2660. Evenings 8.00. Brooks HUSH ANXIETY .Al. 

M.L Tfc % 3.0 fet S*u a a £ 5.30 a B.30 [ tts. pta. 0 '^" 


WE RE BRITISH 
THE WORLD'S GREATEST 
LAUGHTER MAKER 
GOOD SEATS £4.0D-£1 50 



ST, MARTIN’S, CC. 836 1443. Eves B 00 
Mat. Tues. 2.4S. Sats. 5 and a. 
AGATHA CHRISTIE'S 
_ THE MOUSETRAP 
WORLD'S LONGES1-EVER run 
2&tli YEAR 


scats BKaie. Lied Bar, 


CLUBS 

EVE. 189. Regent St. 734 0557 a u 
C arle or All-In Menu. Three Spectacular 
Floor Shotvs 10.4S. 12.45 and, 1.45 aiW 
music ol Johnnv Hawkesuvarth & Friends. 

GARGOYLE, 69. Dean Street. London, w.l 
NEW STRIPTEASE FLOORSHOW 
THE GREAT BRITISH STRIP 

S how a, Midnight and i a.m. 

•ri. Closed Si'urdays. 01*437 6455, 


, 







Financial Times Tuesday May 30 1978 


financial times I The West closes 


BRACKEN BOUSE, CANNON STREET, LONDON EC4P 4BY 
Telegrams: Fiuaatlmo, London PS4. Telex: 888341/2, 8838S7 
Telephone: 01-218 8000 . 

T uesday May 30 1978 

Challenging 
the carmakers 


ranks 

at Nato meeting 

By REGINALD DALE,. European Editor 

A N array of western leaders culmination of a 12 month Geneva negotiations for a com- 
i s in the U.S. this week for period in which the Allies have prehewive ban on nuclear tests 
u*w fojiw look like been conducting a mainr review have run into difficulties. The 


. . -LA. couid easily look like been conducting a major review have run into difficulties. The 

OXE OF the most important unlikely H Uie totally contradictory purposes, of their weaknesses and identify- Belgrade conference to review 

economic issues now exercising world moto industry is to avoid NATO's Washington summit fog areas for improvement. The the 1975 Helsinki Agreement 
European governments and_ the the retreat into protectionism . th»u urin exercise, launched by President ended dismally in early March, 


1 Uk — r at 3 riwai trat-hprinp in New ueience programme for tne wruen nas since Deen reimore 

from Japan, the Ui. and the Some . l ™***** in their market aDeeial session of the years up to 1990 and beyond, by the trial of Yuri Orlov, 

developing countries, will those share is likely and indeed wel- General immediate short-term measure® Africa, the Soviet Union 



A Soviet on manoeuvres plunges Into action. 


non lo the bisus overall craae “ Ul a **■«* — «i ew of Eastwest r**i»tions to ZeiJl -V 7 T " cal solidarity ot ay »«■ “‘^6 ^ 

surplus in manufactured pro- tive increase m exports to The contradiction is more aiss the tatentioM Sf PreS 55 * L %T?S%r -«? derlining the readiness with American combat aircraft in weapons based on the territory 

ducts continue lo hold their Europe would be self-defeating, apparent than real. Few western d^BrShnw m^his Utafly JStinVfar wWch the other members have Europe in one week and of the two superpowers, 

place in world markets? In the meantime Japan must Governments would want to J C( LJT ^ 7 dent responded to President Carter’s doubling ground forces in two There has also, of. course, 

(innliniio tn mmiinno imnnrtc . . . > •- SUltcSSOrS. . sj DflSltlTe reSDOQSe fTOHl MOS" r . _ - i . ..rnnVn V..; n >n'nn »ham AAA fVWl ku. 


It mav be that in certain co r n *i nue 10 ^courage imports fncr ease defence spending if 
sector™ such a.«; steel 1 the EEC of European cars; some pro- they had the choice . indeed, 
will have to reconcile itself to JITess ls t 5 eins bu * only a few days ago the- NATO 

Will be bearable as Ions as the “4 “iSely to^ much abaee 1° 

steel-using industries maintain 100i000 units for severa] years . tb * tn lead 

or enlarge their share of world . _ _ UN session would help to lead 


successors. a positive response from Mos- aDDea i f or greater efforts. weeks, bringing them to 400,000 been considerable dismay ' in 

™ . - cow to his decision to suspend ^ men. Europe, again mainly in Bonn, 

• . Clear Signal T^ UC S^idrat C ^S^°h« realise has been just about The NATO defence Ministers at the way in which President 

to n 1IC ^ ^1 offS^dV MrtSnde?w“ch both as good as Washington could have already expressed approval Carter handled his decision to 

KllSSia rides W 0 JS d renounce neutron have hoped for. It now looks of the way the programme is suspend production of the 

at thf. th* wMnnnc hut that is hardly a as if all the countries partici- shaping up. At their meeting neutron bomb— only -days :after 

Am slaved deaS’t^t maj£ concession. In the first pating in the long term pro- in Brussels earlier this mouth. U.S. officials had been i jdving 

® - . - .• i uni roonh /v>mo noar thpv WAro qIca pIaopIv crrottAorf tnA PlAar imnriwnftn That 1 rim. 


European industries; demand is «£ deterrent and defence portm" SKoKbi todSer a m^d integrated into the NATO mill- Boeing 707 s .(AWACS) ? work of d^sive leadership. T 

generally buoyant and profits of S3T pro In othe [ West arms control mStiations. tank attack. Warsaw Pact tanks ta ry structure, are not partici- with the British Nimrod force. B ut the darkest shadow loom- 

are reasonahlj satisfactory. But especially in quality and approacb Atraroi ament negoti The efForts of the West to on- in Central Europe out-number pating. Nor js Iceland, wlucb Provided Parliamentary ap- ing over the summit will be 

' h 3S tSSnta? sophistication. It is 2?2*h block staUed Vienna talks those of NATO by almost three ha® no armed forces.) Whether proval cap be obtained m the cast b y Turkey. All the 

S not at S clear how a European Strength ' aimed at reducing both sides’ to one. «“ keep »t up for Pupating nations, most other allieSi including the U JS.. 

Jarvm strategy for the motor Industry, NATO Governments have long force levels in Central Europe There has been no slackening the full five years is another notably West Germany, the m now seriously concerned 

in^eo-rts in Eurooe and^the co-ordinated from Brussels, deplored the widening gap (MBFR) have so far borne little in the relentless build-up of the ““Jf b “ r Washington clearly plans could be finalised within about consequences 

threat of over-caua^tv Partly couId contribute to these objec- between their own forces and fruit. Although Washington part’s forces in the last 15 ”® ards the inJtjal response *® S® next of the continuing American 

in resoonse ro ofoas for a more tlves - There m ** be scr,pe for the ever-increasing power of the and Moscow have made progress months. As Mr. Harold Brown, ?00(L f difficult arms embargo. MUitarily, the 

concerted Euronean approach co-operation between companies Warsaw Pact They have now in their Strategic Anns Limita- the U.S. Defence Secretary, SS l* Rrilccok embargo has led to a serious 

io the industry's* nrnhlerns the in the manufacture of compo- decided that something serious tion Talks, a SALT n agree- pointed out in Brussels earlier form », at Natos Brussels weakening 0 f Turkish armed 

Brussel^Co mm ission* ha^becun nents - to ach3eve economies of must be done about it The ment is now almost eight this month, the Soviet Union MOfl lerill h^quarters say that the ^“XjlSe^STltta driring 

to take soundincs amon" foe sca,e * but the industry does not Washington summit marks the months overdue, and the has been increasing its defence nlanc activity that has followed Presi- . . * reassess its whole 

ieading Zp"S. **• »«« — ; — — »R»^ «« » PfanS ** O*** UUta U, ‘SbZawSS 


leading companies. ” .suffer (rarn strnrtural weak. 

nesses such as might be said 
Diverted ta exist - for example, in steel. 

There may be scope for a better 
Last year Japan shipped 1.3m flow of information about plans 
cars, about 45 per cent of its f or new capacity, but this 
total car exports, to the U.S. should not involve regulation of 
and 660,000 cars. 22 per cent the market, 
of the total, to Western Europe. 

Some European manufacturers Management errors 
arc worried over the possibility 

that Japan's share of the U.S. >, , p ^ tw 
market could be eroded by the 

new American-built small cars 

l __ , there is no reason to suppose 

W fopf. nIL P that car manufacture in Europe 

oart l^ and J P fo a t ESISZL is n0t 3 Viab,e « ndustr y or t bal 

Si * il can on, y survive behind pr °- 

export will be di\ erted to the tpetive walls How much of it 
3 ® ^ will r cSNlabl? iu practlc" 

iSoin s' * Eur 2Ei»i25l depends - 0n actions taken in 
Japanist are exercising individual companies. Some 
r^traintin their export, tothe manufact 4 jre r S iTay run into 
IK. lJ"tthe:r share of the Ger- difficu i ti es, as British Leyland, 

” aI ln rL 'Jr h marketS ^ St L n Citroen and more recently 
There is no doubt Volvo have done, but this has 
rliat the Japanese industry will mnre tu wi ,h specific manage- 
bv under pressure to keep its Ine nt errors than with a general 
capacity fully utilised and that European weakness. If there 
a really determined onslaught \ s a mie for governments, it is 
could greatly increase its share to create the conditions in 
o. the European market. which companies are en- 

Even if the Japanese, despite couraged to modernise and 
the appreciation of the yen, make themselves more efficient, 
manage to hold their position not to . insulate them from 
in the U.S.. the spectacular internal or external competi- 
gains of the last few years are tion. 

Testing time in 
Italy 

HIE PACKAGE of tax and deficit, which until last Friday 
public utility tariff increases looked like running at 
introduced by the Italian L30,000bn. or even more in 


The Balance of Forces in 
Central Europe _ 


Short term 
plans 


UI UJC buuuuuiue iUUUlkOU 

2Suitto£“ 3™ embargo MUitarily, a* 

Officials at Nato’s Brussels en,b “ rB ? h “ '*« *?. f 
headquarters say that t he w^keurng of Turkish mied 

activity that has Mowed Presi- *?«“■ Pb'-bcally it a driving 

Ankara to reassess its whole 


spending by 4-5 per cent annu- . piMS -« Carter’s initiative has ^sMp < ShOi. -.Ute 

ally in real terms for the past There is also general satis- at ^ S f ,ven 1116 alliance a new The Turk ^ h Government has 

16 to 18 years, and shows no faction in the Alliance with the of pu U 5 ° se - Bpt 11 13 already ma de it quite clear that 

sign of altering course. Even way in which immediate action a^tied that the state “'Jgf not nuSdmfo to Ae 

if the NATO countries meet is being taken under the short- of the al fiance Is far from per- “ ot - pa !,^ ipa ~ 

their target of a 3 per cent term programme— often at little fect There has been so far 

annual increase in real expendi- or no extra expense. The short- fo^ow-up to Mr. Carter’s while the embargo las^it has 

ture in the five years to 1984. term programme, which is con- commitment to open up a real als ° 11 3ed 
“ we won't be quite catching up. centra ting on anti-armour CwaAwa y street across the ^^ter’s plans for a special 
or even quite keeping up," he defence, reserve munitions, and Atlantic for arms procure- Washington declaration re- 
says. what is known in military ment and European efforts to affirming faith m the ftinda- 

The sheer sire of the Warsaw parlance as “readiness and promote joint ventures through mental principles of NATO. Toe 
Part forees remains their “most reinforcement” is due to be the Independent European Pro- other allies will be appealing 
impressive characteristic,” ac- completed by the end of this gramme Group (EEPG) have to Mr. Bulent Ecevit, the 
cording to the latest Western year. In the British case, for not yet led to any substantial Turkish Prime Minister, not to 
intelligence assessments. Hith- example, it has involved increas- new developments, despite rock the boat too much over 
erto. the East's numerical ing foe amount of equipment more than two years of the next two days. 


NATO Countries* 


Warsaw Pact 
Countries 


1 Relative strength 
I NATO 
! Warsaw Pact 




TOTAL 

SOLDERS 


SOLDERS 
IN FIGHTING 
UNITS 


miDRi mm 

j 

MM MMi 


MAM 

BATTLE 

TANKS 


ARTILLERY 


FDCEWfflNG 

TACTICAL 

AIRCRAFT 


•1:2-7 






1.-2-4 


■WnckMOog RwS fore** in Aa Fadanl itapubOe at Gammy 


fiO AND MAHERS 


superiority has been balanced assigned to foe alliance, deploy- discussions. The other major concern is 

by foe West’s more sophistics- ing more anti-tank missiles, im- foe response NATO should 

ted weapons and equipment proving reinforcement and.’ j)PPQ COflCfim make to Soviet activity outside 
But there is now growing con- mobilisation plans, building up “ p . T _ NATO's traditional area of 

cem about the way in which foe war stocks and stepping up oper- OIL SAl /l ’ operations, bounded - in foe 

East is succeeding in closing ations by foe Harrier vertical south by the Tropic of Cancer, 

foe quality gap, whether it be take-off aircraft. Consultations between Wash- the Southern Mediterranean 

in conventional arms or tactical But it is the fotig^erm . pro- ingtoh and theJSuropean allies, coastline, and- foe. Turkish 
or strategic nuclear weapons, gramme that will be the centre- particularly on- SALT have on border. 

On land, at .sea and in foe air piece of this week’s meeting, the whole worked well under Pressure is increasing from 
It is foe same story. . It is a major hope that by plan- the Carter Administration. The the military for foe limits to be 

These pessimistic western ning for ten years and more on Europeans are now confident extended to take in areas like 
assessments mean that foe an Alliance-wide basis foe dupli- that foe U.S. has resisted Soviet foe South Atlantic, the Gulf, 
NATO Heads of Government cation of national efforts can pressure to close their option and foe Indian Ocean, there is 
are bound to give the go-ahead be avoided and . money saved, of acquiring American Cruise little . chance of foe heads of 
for a strengthening and stream- The programme focuses on ten missile technology in the SALT government yielding to these 
lining of Western defences in major areas, ranging from foe negotiations — one of their, pressures. But although the 
Washington this week, regard- modernisation of tartical major preoccupations only a ' Franco-Belgian intervention in 
less of the outcome of their re- nuclear weapons, through air few months ago. But European Zaire was not in any sense a 
view of overall East-West rela- and sea defences and electronic Governments, and Bonn in par- NATO operation and was pre- 
tions. The study, in any case, warfare, to the mobilisation of ticular, remain deeply con- dominently for humanitarian 
is said not to have reached any reserves and reinforcements, cerned about prospects for the purposes, it is also seen in many 
very startling conclusions. But Hie U.S. has already made it planned next round of negotia- quarters as .a signal to Moscow 
foe Washington meeting is not clear that one of its main contri- tions (SALT HI). It is at this that foe West will not put up 
intended simply to demonstrate butions will be a major stepping point that Europe-based with unfettered Cuban-backed 
new vigour on the military up of its plans to reinforce weapons systems could start to " mischief-making” in Africa. 


Government last Friday is a calendar 1978. the Govemraem New York eye back to the 18th century — 

first and welcome slop towards has been promising the aim or * deserved another fling. 

j reduction in tile country’s faster economic growth with a nn Efl&lish fOSeS I^slie Field was hired on foe 

massive public sector deficit, target rate of 4.5 per cent by & strength of foe relentless energy 

Bui the Government has still a the final quarter of this year Like the ruling class, its natural she has displayed since mlgrat- 
consiticrahU- way 10 go before It is doubtful whether Italy readership, foe Taller maga- ing here from foe U.S. magar 
■t can «atisry the requirements can in practice attain such a aine has been through many rine scene seven years ago. She 
m the International Monetary growth rate in the next six vicissitudes in the post-war >s aiming foe Taller simuK 
Fund, which will be necessary months. But if the Government years. Yet it is currently stag- taneously at the international 
for the negotiation of a SI bn feels that it cannot push ing a remarkable comeback, business community, the show- 
drawine. and thereafter for a through the required lax in- even if the style may jar for fit 2 world, and the old squire- 
renewal of the SI.41 .iii loan creases and expenditure cuts some of foe crustier subscribers. ?rohy readership. The next 
from the European i-omniumiy. without making conspicuous In foe Thirties, the last heyday will focus on horses, 

Tiu- second slice of expenditure efforts to achieve much faster of the Tatler, when life was though the editor is much 
cuts or lax increases, which is growth, then there must be a one long round of bunt balls m<>re at home in those London 
expected 10 be announced real danger of a renewed surge and coming-out parties, and Mr. rastaurants where celebrities 
shortly after consultation* with in prices and in costs. As it Baldwin was minding tbe shop, Sf n fie spotted at the next table, 
ollwr political parlies and with is. there are some indications foe first Fullpage picture always of her friends is Lord 
the trade unions, will be a that the recession may have depicted some dewy Englisb W | ,de ™ eld - . ' _ •_ ~ 

serious test of the Christian bottomed out and that the rose. The latest issue has on 5 ? e hopcs t0 devel °P a strong 


Weidenfeld. - 

She hopes to develop a strong 


Democrats’ readiness to recog- inflation rate may already be jits cover the wife of an readershi P among transatlantic 


executives and their wives, as 
well as foe old True Bine 


n that there must be starting upwards again. American merchant banker, of ex ^ nit3ves and 85 

fundamental changes in its whom it is said inside* “ She we .^ 35 tbe ^ rne ___ „ t ^ rf ,„ nfrnr 

nimtin- Opinion swing herself has a truly satisfactory n^e^und^rSimrte^bis^” “ 5 jnst want to cancel St Kruger, rather than foe uncer- 

n r ihiihto tn More serious, perhaps, is the Her husbantl ls success- nartine shot to Ms. Tropez and go to Skegness.” tain future, in foe shape of John 

SSTi 3 broad 'VS 3 «-"«*!“' "*« be": "g*- » - W" ■£ ^ 

support for tho sacrifices which l 5e ChriSt^ rJ he ^ friend^ d ^ sa \f Doubtless her compatriots th e day) in a manner appro- 1 

:he Changes will un^e. ? Democrats fnends - will relish not only the snappier pr iate to foe country’s prime 

wav tr ? n whiph^th? 1 * !I l the Th* cdilor *• also American— contents, but also foe pictures source of wealth: in gold. So Matter of tastfi 
End Of road " a .?* d Imivrj^ hav * Yorker named Leslie of our society weddings and the bluff features of Prime IWaTler OT T3Sie 

— pnpmiT-aoim* “lo vparv Mnci «/*«,■ past ^' e ^- and feminine despite foe newly-engaged young ladies Minister John Vorster are to British trawlermen- are being 

«i™. 'Political leaders on all has come fm RlSt ™ e; Ms ' Fieid re ^^s ^ ^ ^ handed down to posterity m urged to investigate unexploited 

T,™ roiiiv innrpncfl in i oni ‘ ot Du»W in the Charlotte - the form of a solid gold waters off the west coast, Where 

US rnTVKWtt £ S o'" tho hr c-SSSS 255* m t dau,on - Sp 


market, refers not only to foe 
• magnificence of foe coin, and 
HfnyT I I • the importance of foe anniver- 
\ "j 1 sary, but also to foe controversy 

over National Party policies: 
' “With foe significant role .that 
the National Party and John 
Vorster will play in world events 
/ Tw -^P over the next decade, it is felt 
jf \ ^ ba * ^h e Vorster medallion is 

.fKjm ■ an extremely important com. 

memorative issue.” foe copy- 
P\ writer de clares gamely. 

V' ! The National Party may well 

\ have to console itself with 

' \*y ;j VfSmi ratber Ie ss income from the 

exercise than it might have 
hoped (it was given foe gold by 
3 TPii^^Br 1 an un ’dentified donor). It will 
a ^ 90 P or, der on the significance 

- /IjMw of why buyers seem to prefer 

/ to commemorate .the distant 

past, in foe shape of President 
I Just want to cancel SL Kruger, rather than foe uncer- 
Trope* and go to Skegness.” tain future, in foe shape of John 
— Vorster.’ 


Trope* and go. to Skegness.” 



medallion. they will find foe rare director 

15m lhai’Sle ‘old’ ways" will "n» Party"' ' But thi* re «m“7^i *' l L, d0ul S eSs 1 . lake “ a com > ,1 i Almost a ietsot k ClMrly with an e ? e «» sw “‘ 

longer do. and that Italy has. in election? showed a swing away . n ?5* , . t ' a Sbe „ n pushed AlmOSt a jetSOt phenomenal -success -of -the n lb J y T ® hau - ,d 

some sense, come to the end of from the Communists back to a tbtaJ or«»Sn n ^ und The shareholders of ASL Air- ^riigerrand^ which has contri- fioats up the Thames, 

foe road. More concretely, tbe Christian Democrats and. P.^’ 103 ^ 0 ,? up f S,°° a 0 rf drc V,‘ floW . a Birmingham company. 5 uled t0 a notable increase in - np( , I1 i iin ? , ^, ri "I! r rnfaer . of . thi ? 
trade union leaders are openly interestingly, towards the at ‘? n ' , talk V of . 50 ’ 0 ^ ®f d Wl11 will be disappointed to read, in 5?®?* Africa’s gold exports, foe J?. 1 ? 6 ? . be „ fo V nd 

taking a moderate line, arguing Socialists. probably not stop there. the newly-released half-year i y atl0na l Party commissioned J alf a from the Pool nf 

for lower wage claims and lower Whether this swina was due Trafalgar House are watching report that no interim dividend , S 011 ^ 1 African Gold Coin ^ n o Dn -ofoce the fishermen are 
iabour costs as well as for more to a wave of sympathy for the foe Tatier’s progress with is being declared. But chairman ^tchsmse to design a similar U JJ®“ t0 _ start catching 
labour mobility. traditional representatives 01 "asclnatlon. since they have H. E Newton Mason is doing article. ™ ai 11 s] narKS * 1 ean teI1 them 

It is less clear that the rank government In the aftermath of 25 per cent of it. So wlH be his best to cheer them up. He Produced to proof Standards. JhnL, ■ IS are qi ! lLe . a few of 

and file, who would have to bear the kidnapping and murder of the Thomson Organisation, writes: “As a small compensa- containing only the purest' 0SC 10 ^ same .^ oca tity. 
the immediate costs of a more Aldo Moro. or whether i; which spent nearly £lm on a tion our many patient share- Sold, and selling at between — — - 

realistic economic policy, have reflects the fact that foe massive revamp ten years ago. holders, we are posting to each K3?G (£230) and R415 (£260), 

vet been fully persuaded of the Communists have a singularly rhen ended by selling foe title of them under separate cover the medallion has, in the words W ao -!,, _ - 

"lessons of foe energy crisis and invidious role as the unofficial to a Notts publisher for a one of ASL’s latest and most °f a Com Exchange spokesman ly a XrlUmPn 

the recession. The restrictive supporters of the Christian reputed £5.000. He did rather exciting products: a “ 500 ” one- **** a rip-roaring success ’’ The weekend reunion nr 

Policies imposed by the IMF Democrat Government is hard better, by packing it with p.nt hand sprayer.” Advertisements have promised British climbers who first eon 

restored to? I#' *nS2 *■"» «" the Chrislian D^mo- dill- ~ be^pr^ured^ 

KS =’• . “ d ra .e ta ;i TA Sl!SS^ d b U‘„ s Golden horizon? ^ ^ 

“ bu 4a"lh. the £* £ % ZLTSSJttJSa £ arfISSs? - w ° 

counTrt^art^toils undrttakinR latest trend 1« new genera P^fc-Jln. Ok old eommemorto 1-!^ SSfuTtafi?-!? , vt 

IO cumil the public senor elecuons next year. montuj-with a hetory S otng sary in power (last Friday was tisement, to t^to TSin Se Observer 


business 


The odds are your company is over- 
protected or under-protected (or even' 
-both at the same time). 

Bisk Management is the modem way 
to identify, assess and minimise all the 
risks a company faces in its every day 
operation- accidents, burglary, fire, 
va n dalism, loss of computer data, 
industrial espionage, loss of production. . . 

Glanvill Enthoven have pioneered the . 
risk man a g ement concept. Thro ugh it a . . 
company, can be sure that the rightrisks* 
and only the right risks, are coveredby 
insurance. Thus security is maximised 
and costs minimi^ 

Tb find out more get in touch with us. 
Write to or telephone 
Bob Richards (01-283 4622) 
or David Andrew (061-236 8192). . 




Risk Management Limited 

144, LeadenhaU Street, London, EC3P 3BJ. 


^1 






an^ ii:: 

foP> 


** Ku *t i i n'r' '_" T ' ’ . / r * ;L '. 


run 

i .? i r- 








Financial Times Tuesday Kay 30 1978 


13 


INANCIAL TIMES SURVEY 

Tuesday May 30 1978 



BANKING 


PART TWO : PART ONE APPEARED LAST MONDAY MAY 22 


Amid all the problems created by recession and inflation, both the developed and 
the developing nations have had to cope with fluctuating currencies and interest 
rates. These form the main theme of this section of the survey. 


Sterling 
and the 
market 
forces 


By Peter Riddell 

Economics Correspondent 

EXCHANGE RATE policy h3S 
proved to be the most intract- 
able of all the Government's 
economic problems in the last 
two years — whether the pres- 
sures have been upwards or 
downwards. Since March 1976 
sterling has fallen from $2.02 
to just over $1.55 in late 
October of that year, before 
recovering steadily during 1977. 
A peak of $1.99 was touched 
early last January before the 
decline to around $1.91 now. 
There have been similar 
fluctuations in the trade- 
weighted index of sterling's 
value against a basket nf 21 
currencies- 

These sharp movements have 
meant that the exchange rate 
and associated currency flows 
have become perhaps the most 
important single influences on 


monetary policy in the period. 
They have accounted for the 
larger part of the variations in 
the rate of price inflation. 
Exchange rate policy has also 
become extremly controversial 
while being one of the main 
battlegrounds for monetarists 
and non-monetarists. 

During just over six months 
of 1976 sterling fell by nearly 
23 per cent against both the 
dollar and a basket of other 
currencies. The crisis could be 
traced to the large cumulative 
current account deficits nf 1974 
and 1975, the erosion nf price 
and cost competitiveness in the 
period and to a loss nf con- 
fidence in the British Govern- 
ment's ability and willingness 
to control a number of key 
financial aggregates. 

The problems were aggravated 
by the initial mishandling by 
the V K. authorities This 
•suggested to the market that 
the Government was at least 
tacitly conniving In. if not 
encouraging, the decline: a 
similar appearance of •• benign 
neglect” by the U S. Administra- 
tion also compounded the diffi- 
culties of the dollar in the 
summer and autumn of 1977. 
The result of this erosion of 
confidence was that an initial 
packace nf measures in July 
1976 failed to halt the rforlfne 
and a turn round only occurred 
in the late autumn when the 
U.K. applied for a $3 9>«n. 
standby credit from the Inter- 
national Monetary Fund. 

Sterling then started to 
recover as exportations grew 
about the introduction of 


CONTENTS : PART TWO 


The Dollar 

XXII 

United States 

xx vm 

Turkey 


Black Africa 

XXXIX 

Euromarkets 

x~xnr 

IMF 


Israel 

XXXIV 

New Zealand 

XL 

Project Finance 

XXIV 

United States 

XXIX 

Greece 

XXXV 

India 

xlh 

Developing Countries 

XXV 

Japan 

XXX 

Arab World 

XXXVI 

China 

XLH 

South Africa 

XXVI 

Japan 

XXXI 

Arab World 

xxx vn 

Philippines 

xi.m 

New Centres 

XX YU 

Comecon 

xxxn 

Latin America 

xxxvm 



South Korea 

XXVII 

Caribbean • 

rmi 

Australia 

XXXIX 



CONTENTS : PART ONE 

OU funds 


City of London 


Switzerland 


Singapore 


Interest rates 


Multinationals 


Deland 


Denmark 


Monetary union 


Export finance 


Belgium 


Yugoslavia 


Regulations 


France 


Spain 


Finland 


Gold 


West Germany 


Portugal 


Canada 


International 


Netherlands 


Austria 


Hong Kong 


Foreign banks 


Italy 


Sweden 


Norway 



further large public spending 
cuts, and a safety-net arrange- 
ment for the official sterling’ 
balances. These events duly 
occurred in combination with a 
tight monetary squeeze, involv- 
ing a sharp rise in short-term 
interest rales and the imposition 
of the so-called “ corset " con- 
trols on the bank«. The Govern- 
ment's bartle for both internal 
and external monetary control 
was effectively won following 
the announcement of an agree- 
ment in principle with the Fund 
and the publication of ceilings 
for both borrowing and 
domestic credit expansion. 


The rise in sterling gathered 
momentum during the last few 
weeks of 1976 with a spurt to a 
peak of $1.72} in January, after 
which the Bank of England held 
the rate steady at around S1.71 
to $1.72. This involved regular, 
and often very large purchases 
of foreign currency with an 
underlying inflow of nearly 
$7bn. in the first eight months 
of the year. 

The pressures mounted during 
the summer as the dollar 
weakened: in late July the 
Government switched from 
maintaining a stable pound/ 
dollar index to maintaining a 


stable trade-weighted index. This 
resulted in a rise of 3 cents to 
$1.75 by mid-September, but did 
little to deal with the under- 
lying pressures. In retrospect, 
this appears as a missed oppor- 
tunity when the pound could 
have been allowed to float 
freely. 

Up till the late summer these 
inflows were largely absorbed 
by heavy sales of gilt-edged 
stock and did not undermine 
the 9 to 13 per cent, target for 
the growth of sterling M3, the 
broadly defined money supply, 
during 1977-78. But the con- 
tinuing inflow from September 


onwards appeared to be having 
a greater impact on the growth 
of the money supply. 

The result was that after an 
inflow of $3bn. in October, the 
Government was forced to let 
sterling float freely in order 
to retain control over the 
growth of the money supply. 
The immediate result was a 
sharp rise in the rate to S1.84 
compared with under $1.75 at 
the beginning nf October. The 
increase after the rate was “ un- 
capped ” was. however smaller 
than many commentators ex- 
pected. partly because the move 
was immediately followed by 


temporarily unfavourable news 
on the pay front. 

Sterling, however, appreciated 
during November and Decem- 
ber in response both to the 
weakness of the dollar and in- 
creasing optimism about the 
prospects for the UK economy, 
culminating in the January 
peak of $1.99. The strength was 
fuelled by a more rapid than ex- 
expected tumround in the UK’s 
current account, partly as a re- 
sult of the build-up of North 
Sea oil production. Instead of a 
deficit of £1.5bm in 1977. as 
projected the previous Decem- 
ber, there turned out to be a 
deficit of only £35m., down 
from f 1.1 bn. in 1976. Moreover 
there was a tumround between 
the two halves of last year from 
a deficit of £865m. to a surplus 
of £S31m. 

Overall there was a combined 
current and capital account 
surplus of £7.36bn. last year, 
compared with deficits of 
£1.46bn. and £3.63bn. in the pre- 
vious two years. After taking 
account of borrowing during 
the year, Britain's official re- 
serves rose by roughly Eve times 
to more than $20bn. 

At this point, when the 
pound appeared to be beading 
to over $2.00, the debate about 
exchange rate policy intensified. 
There were urgent complaints 
from the CBI about the impact 
the rise in sterling was having 
on the competitive position nf 
British goods. But the voice of 


business was divided and many 
in cummercc and the City 
welcomed the appreciation. 

A number of complicated 
technical points arise when dis- 
cussing competitiveness. One 
problem is simply defining the 
best indicator to use, since com- 
parisons can be based oil 
measures of relative expori 
prices, import prices, wholesale 
prices, unit labour costs and the 
profitability of exports. None of 
the indicators is wholly satis- 
factory on its own. 

The best general conclusion 
in early 1978 was that aii the 
relative price advantage secured 
in 1976 had been eroded, and 
indeed Britain was in a worse 
position than at any lime since 
1987. However, some of the 
cost and profit advantage had 
been retained, though it was in 
danger of being eroded by 
either a further appreciation of 
sterling or an acceleration in 
the rate of growth of earnings. 

The response to this trend 
ranged from the views of those 
who believe that competitive- 
ness is almost all that matters 
to those who argue that such 
indices are almost wholly 
irrelevant At one extreme Mr. 
Wynne Godley and his col- 
leagues of the New Cambridge 
School have condemned the 
rise in sterling as a threat to 
any hope of reversing the 
decline in Britain's manufactur- 


CONT1NUED ON NEXT PAGE 


s-_. I 

M 1 


- 


: ‘ *>-■ 















•Largest Bank in Saudi Arabia, with expertise in: 
International Trade Fmance*Loan and Guarantee Syndication and 
Project Finance • Bond and Note Issues. 

•Market Maker in the Saudi Riyal, Foreign Exchange, spot and forward. 

•42 branches throughout the Kingdom and correspondents throughout 

the work!. 

Summary Financials For year to 10th December. 


1976 1977 

(SR m.) . (SR m.r 

3,005 Cash ami near cash 8,288 

3484 Deposits with banks 2,229 

285 Investments 476 

3,038 Advances 3,842 

101 Fixed Assets 233 

474 Other Assets 311 

10,387 Total Assets 15,379 

8, 806 Contra Accounts 10,922 

19,193 26,301 


1976 
(SR m.) 

9,274 Deposits 
243 Borrowings 
318 Other liabilities 
152 Profit and Loss A/c 
40Q Capital and Reserves 


1977 1976 
(SR mj (SR mJ 


1977 
fSR mj 


13,976 

366 

300 

259 

478i 


10,387 Total Eguity and 
Liabilities 

8,806 Contra Accounts 


15,379 

10,922 


19^93 


26,3011 


449 Gross Income 
225 Expenses 
224 Net profit 

1 


m 



m 


*1 


THe DRTIOnRL COUIfTlERCIRL BRflK 


V. 









THE DOLLAR 


i ' Finance i »*•**»* . M «J 6{i 1SJ7S ?•:; 

WORLD B AMONG XXH 


\ 0*1 


||?^f . ■ - 






World censure cools down 


£ 


• v* w Even so it Is still anticipated to have reeowse to oil import 
IN A SENSE, Mr. Anthony Michael Blumenthal. something tion might like to claim that even Dr. Burns might envy an war’s deficits will be quotas or higher tariffs on 

Solomon, Under -Secretary at of a baptism of fire at the helm the improvement has come which the former ohzirm^n na anything, smaller than foreign crude, much as he is 

the U.S. Treasury for monetary of UB. international monetary about because the markets have wholeheartedly endoreeu. a 1977 m^eed the trade clearly loth to impose such sane- 




flfFfl irfii had a perfectly „ w ___ ^ uu _ - tr 

mate point to make in a speech allowed himself a" veiy brief ways, that would be only half has been that he has^launcnea ^T'has actually solation in the energy picture 

earlier this month to a group quizzical digression In this vein, the story. A critical element himself headlong inio me oxiu deteriorated from last year’s is that Alaskan crude is coming 


uiuucuuj — . _ . — . uiita- e«n*ess rnose oi kvn. mu' 

legiti- policy over the past 12 months, learned the errors of their foreip eyes the M . aecount m the first 

ipeech allowed himself a veiy brief ways, that would be only half has been that he . h “ Jf* this year h 


four months tions. Just about the only con- 


CU 1 IIC 1 una iw a. 6 ,u “i' — * uiio . , . — — . , . , . — . . nnchino UTJ aeierl U ia Le U Hum j ” - - — . — — 

of concerned American bankers. He then went on to explain to has been a change m the Admin- against inflatioi^pusnuis y levelSt . ^th exports remaining on stream (helping to create a 
Whv. he wondered rhetorically, his audience in patient fashion istration’s general and tactical interest rates, grappung extremely sluggish and imports glut in the West), combined 

* ai _u aUi. c a. Ai« n «« fn tho rlrtllflT nffihlpm TlllCP RTIT&feS IQ Ul6 UlUucj . *Vn #9ni1ai«*c tVo llttla faft toflt 


Why, he wondered rhetorically, hts audience in patient fashion istratura s general ana tactical interest ^ 

was* there all this fuss about the the “ fundamental ” factors that approach to the dollar problem, huge surges m 


costing more on the dollar’s with the little noticed fact that 


BANCA RAS1N1 

Established 1860 


currency naa doi uiuveu mutu ni mm wiauuu o hcb, uaa iuu j -- — — — ^ — . . olo _ t,.- c +-Y even u SUCCea . , . 

over the last five years: the often been ignored by the the underlying .U.S. policy reduce in s*ze and » >W1P t n work. the country has been declining, 

eight per cent trade-weighted foreign exchange markets. towards its currency up until stimulus package, xo aai • j t could be the overdue dawn of 

depreciation that occurred He was able to expound with * ate J* 5 ? yaar * ^ did convey a Millers ad ce t0 ri-.-i. self-awareness. 

March this Tear merelv offset «■. ^ ^l^co^dSce tie'LSr 6 £ StUCK - This has therefore been a 

March merely o * . than on the counties previous Q^^ai consequences of the said, now irreverently known Finally, the principal cause of rough year for the Carter Aff- 

tfae net appreciation that h d occasions when he had made dec u ne ^ the dollar's value around Washington as Dr. the deficits— die oil imports bill ministration’s policies towards 

h a ^L Pla n?p,«rr?JnS' o ? » miIat reraarks bccause T^e AdSinS^Son ha, noi StaS Miller -remains an unresolved prob- thc dollar and it is by no means 

broader measurements of the there are signs, albeit tent* gone * ^ ^ of its Generally the Administra- lejn. Thirteen months after he dear that the final corner has 

h“d“ S .SU SS ?uttto critics, W h7 tend to equate a tions recognition ol [inflation aa proposed it . President Carter's been turned. But it Mn at least 


eight per cent trade-weighted foreign exchange markets. towards its currency up until stimulus Package- To date mt- 
denreeiation that occurred ^th late last year, it did convey a Miller’s advice has been fol 


AH international Banking Services 
Correspondents throughout thetobrld 

Fully authorized for Foreign Exchange 
Transactions 


had if anything risen a little 
over the period: and in any case 


ifrf a^lTsi^e ** fiminS a j££, 3 moved’ pwitirei^'te tee ‘direc- though with a scepticism which there are today glimmerings of Messrs. Solomon and Blumen- 

^ mnee March, aided and t j on 0 j ac tj ve concern. is shared here that the ** volun- h ? that all but the tax on thal are not now so subject to 


istration’s policy messages are gtrong’ currency ^th national the principal economic problem energy programme remains he said that when the conversa- 
getting through at lwt The V j r ihty > would like, but it has has been welcomed overseas, stuc~ In a recalcitrant Congress: tion turns to “fundamentals" 


. da M-ic.inh.S 20123 Milano Tei. 8625*n (STmeel 
7ci :• ■ _--f r RjoitwinK Teka >?sie»o 25 540 Ras^etr 


But Mr. Solomon, who has abetted by a relatively low level 
endured, along with his of official intervention, 
simerior. Treasury Secretary But though the Administra- 


tf - Whether long , medium, 
or sj-ndicated, iVCiB can 
design a loan package to 
precisely fit your needs , 59 


46 Their long list of top clients 
in Japan makes them the bank 
to contact token you?re doing 
business there” 


££ Backed by $17 billion 
in assets and a strong 
groiclh record \ NCB 
offers exceptional 
reliability as a project 
partner in overseas 
development.” 


“NCB's long experience 
in foreign exchange 
and considerable sise 
are reassuring . It’s nice 
to deal toith a leader” 






■ - M \r 

v- -.>• < ■ . . • 


Sv > '"'X ' 




i&sr&i 




v ;> 


People talk about NCB for some very good reasons 


Nippon Credit Bank 


Formerly Nippon Fudosan Bank 


Hmi! Office: 13-10. Kudan-Ula 1-chomc. ChiyoUa-ku. Tokyo 102, Japan Tel: OS-263-1 111 Telex: J2692I, J2S78S NCBTOK 
l-.raJ.ni branch: W iivhcMvr liousc. 77 London Wall. London EC2N 1BL. U.K. Tel: 01-628 4685/8 Telex: 884968 NCBLDN 
New York Urureli: 2 Wall Sired. New York. N.Y. 1 0005 Tel: 2I2-2S5-8787 

lVic\: i Domestic) 11S229 NCBNYK, ( International' 232496 NCBN UR, 42362! NCBN UI 
Lo* Aajviv* OiJfce: :-tti Wihhire Boulevard. Suite 1460, Los Angeles. California 9001 7 Tel: 213-629-5566 Telex .-674 377NCBLAX 
r.^nL'ni; Office: Niedsnai: 61 -S3. 6000 Frankfurt am Main. F.R. Germany Tel: 0611-725641/2 Telex: 413387 NCBFM 
Paris rue Jo U Paix, 75002. Paris. France Tel: 073-0066,7 Telex: 212847 NCBPAR 

Beirj: Oflici: !£nh Fli-or. Centre Verdun Bldg.. Dunant Su, Beirut. Lebanon Tel: 341474/5 Telex: 22194 NCBBR T 
Si:V'i3iar> : r.ippca CisJii Inicriuiioiul [HR) Ltd., Rixim 519, Connaught Centre, Hong Kong Tel: 5-26434! Telex: 6S744 NGHKHX 
.tiiiiui^; Pari.. Zurich, Honolulu, Jakarta, S2o Paulo 


L ; I? h 


iiilH 


i 


; .’■'.V ■'< 

i 



v; v 

v7» 






m 

y-Zir 



';V r.^stf* 1 *** 














Mitsubishi Trust offers 
made-to-order banking service 
based on a thorough combination of 
vital factors. Nearly half 
a century of experience- Unlimited 
banking expertise. Long-established 
stability. A highly trained, 
capable staff. And extensive assets. 
When you deal with Mitsubishi Trust 
this combination works 
to your advantage. 

It T s what has made us first in 
international banking among Japan’s 
trust banks. It s the combination 
that gets the right results. 


^MITSUBISHI TWIST 

and Banking Corporation 




pi 

t:r r- ?r* 



LONDON BRANCH: V..r^c‘:: 77 tail. InniaB EK» 1BE. UJL 

’- :i 1Cil - : ulSlPJSUOSCa: TC?.1 iIb:M 72D8 FJIBaX B. 
head OFFICE: i i. 1 -ttom. CL^ia h. Tci.B IDO. PHcrai 

l'--.-. i«-'. CV:; TnciD t-:.-.- h—sb n«arit 


t--. c-V:: "irJBiiitmj.r Tociv. To: e -,: j:;:59 hetrust. osaka 

BRANCH: :: j^i i.+m. iu^da-ij, 5-1. Phsi: £6-32-1541. 

f-l-UiCnacr. 7c\--: new YORK BRAJfCH: Go* 


F! - J - Tat. SLf. U3JL paaet; Ciilrt 

sa? utab a. ins angeles r^hesehta* 

TtVE OFFICE: EuG V,:x 61 ft S*W, 5 j»l ?:a. in-; ibijsiBc, Ca!H:-nn QC9J7 
! VMF>: ::: JaSTO r,r e : wlirarcriA. Ttlo: 677137. htbisa! 
MTBC & SCHRODER BANK: fl-.: Gcituwj 1. e*i; 5. ;gi(| Bnyjll*:, 

fa«. L-|j>n £.-.£u ;..7.5iAAinirt£Ui;.idMi6*fial HSaJiLB* 





There have been several tary ” approach which has been crude oil will in due course be the verbal foreign assaults that 

instances of this: the agreement espoused may not be enough, enacted. If so the BUI will not were their lot for much of last 

with West Germany at the turn The underlying rate of inflation fee the magic panacea once year. The temperature of the 
of the year, doubling the size in the economy is now admitted hoped for it, but it will have debate seems to have been 

of the Bundesbank swap and to be about 7 per cent and has symbolic value and may be said lowered. 

promising to use if necessary been rising (with consumer to get the U.S. on the road to Jfurek lVfartill 

the resources of the full swap prices in the first four months responsible consumption. »r c 

network to smooth out going up at an annual rate of But Mr. Carter may yet have U.S. Editor 

“disorderly'’ market eondi- more than 9 per cent), while ■ ~ 


tions: subsequent active the trend in most of the rest 

intervention in the markets to of the industrialised world has 
prove the point; and later the been downward. 

Treasury gold sales, the first of Most forecasts suggest that 
which took place this month, the rate of increase will abate 
While essentially symbolic in i ater j n the year, particularly, 
value since the amount for sale ^ f 0CK j prices come down, but 
is not great, the first auction it is quite uj^jy that there will 
attracted considerable foreign he some nasty interim figures 
interest imd has clearly helped. which heighten the sense of 
in Mr Solomon’s words ‘to uncertainty about the effective- 


strengthen the tone of the ess of current programmes. 


market” It remains true that 
many senior U.S. officials are 


On the growth side, the U.S. 
economy is in patently good 


deeply sceptical of the efficacy condition, with thededineln 
2 “£• i nt !£f!!T: 2E? the fin* quarter Gross National 


«un^ d in 0 ThfnL f °^?^ S-5 ■ ^ *£3= 

2S2S*i n brought on by the coal strike 


prepared to engage in moderate ' Tr„J« n v 

|a,d carefuliy dmed do*, of U» 
same. 


tinued to decline more rapidly 
I TTnlnnri ^ban even the Administration 

|OLtlp0G anticipated. Given moderately 

Simultaneously it is clear that ^ ^ cal and m ° ncta 7 P° lic > u - 
e dollar has been enormously 5. ^ „ 4 - J ea „ SroW 

■Iped by the advent of Mr. G. ““ P robab,e ^ 
llliam Miller as new chairman A narrowing of the growth 


the dollar has been enormously 
helped by the advent of Mr. G. 
William Miller as new chairman 


of the Federal Reserve Board, differential between the U.S. 
Dr. Arthur Burns, his and the rest of the industrialised ; 
predecessor, had become the world should over the mid-term 
symbol of monetary rectitude, have some impact on the maani- 
The w ailing s and gnashings of tude of the American trade and 
European teeth that greeted his current account deficits, though 
immi nent departure from the of course failure to get a rein 
Fed denoted a complete lack of on inflation would work the 
understanding of the American other way. The official view 
political process, but reflected a again is that European growth 
concern that was heightened prospects do look better and 
when President Carter would be improved still more 
nominated a distinctly if West Germany applies some 
unfamous corporate head to extra stimulus in the course of 
replace him. the year (Japan, equally.- is ex 1 ; 

But in less than two months pected to do its best to meet its 
Mr. Miller has achieved an 7 per cent target though aftain- 
inflnence in economic and ine that figure may be another 
| monetary policy-making that matter). 


CONTINUED FROM PREVIOUS PAGE 


mg' base. Mr. Bryan Gould, a as shown by an underlying de- 
Labour MP, has persistently eline in the reserves of only 
argued that an overvalued S28Im. in that month. In April, 
exchange rate has been the in contrast the trade-weighted 
most important single reason index fell by less than 1 per 
for the poor performance of cent but the underlying decline 
the British economy this cen- in the reserve was $2.1 bn. 
tiny, and that there should be The authorities appear to 
a significant depreciation. have decided that the decline 
The opposite view has taken had gone far enough when the 
by international monetarists trade-weighted index was under 
such as the London Business 62 and the dollar rate was Fall- 
bcnool. They argue that what ing towards $1.80. The Bank of 
miners for the exchange rate is England’s intervention has been 
the growth of the U K. money quite open 
supply relative to that in the ' * 

rest of the industrialised world. 7 ^ e P r ** ent exc hange rat® 
They maintain that anv official pollcy 15 ,ess straightforward 
attempt to hold do'wn the th&D in the last two * ears - Thero 
exchange rate so as to increase ? oes not a PP ear t0 be a 
the competitiveness of exports 1Qterv ention level but rather 
is self-defeating and doomed tar # ef ra °S e which ** 
because the U.K. mice level is changed from time tf) to 
directly tied in with the world maintai " the competitive post- 
level. tion. The policy was binted ar 

_ , obliquely in the working 

argued ihafTh^ r Sc . ,orjl has assumptions of the Treasury’s 
srfpmnt Govern mentis Budget forecast which said the 

' w hoM UI! 11 ,l ast 0ctnijer exchange rate was taken as 
,i.n jL, d °^ n -sterling boosted determined primarily by market 

CTinni.F™ of J 11 ® mone y forces with labour costs com- 
i„o P ,:_ Wlt . h . . last- petitiveness improving during 

and int ®. ^ is year— 1978 to levels roughly equal to 

and resulted in a higher rate of those of 1977. The first part of 
p e inflation than need have this adjustment may have been 

, 6 ^ool has cal- achieved — somewhat earlier 
cuiated a level for the trade- than the Treasury may have 
weighted index on the basis of hoped— and the. implication is 
relative money supply, the that If earnings and unit labour 
c “ m “ la ^ ve current account and costs in the U 4^. rise at a more 
the flow of oil-producer sterling rapid rate than overseas, then 
balances. This suggests that the sterling will decline, 
actual rate in the third quarter 
of last year was nearly a tenth _ # 

below the forecsst level Jyl aiflMTPflni 

la the event the worries of „„ BX SecllDe in rter!ing 
those concerned shout coropen- Mn be interpreted in a nlimbcr 
w " e nsrt, if not o£ mTS , me maillstIeam 
recooted, when sterling started T^jy t hat by im- 

a° and prov-rig the competitive pnsi- 

Son 0 6 f exports and import 
recovery of the dollar bur also g^bstitutes the'fali in the pound 

L D0 ^al e ? eakneSS Should stimulate actirity and 

ries. The Dg r4u wa? thatbyX C 

p™ Tmx ^ rate ot 

SIS” “ fte leV ^ argu. 

. ments rage, perhaps the key 
■nus sharp decline can be ex- message of the last two years 
plained by a deterioration in is the power of markets As 
the current account in the first Mr. Denis Healey remarked In 
three months of the year of the Commons only a few days 
£550m, compared with the last before the Government was 
quarter of 1977 and by the con- forced to stop holding down 
hnumg and fairly rapid mone- the pound last October. “ one of 
taiy growth. The initial re- the lessons of people who hold 
sponse of the authorities was my particular job is that there 
to allow the rate to decline — by are fairly strict limits within 
more than 5 per cent in March which it Is possible to with- 
with only limited intervention, stand market pressures.” 








As central bank for the Swedish savings 
banks, which are spread throughout the 
country and hold one third of all deposits, 
Sparbankemas Bank has in effect 1 ,500 
branch offices - giving us widespread 
contacts at all levels of the community. 

Both in cooperation with the savings banks 
and directly, we are steadily increasing 
our business with corporate clients as 
weltas local authorities:- a trend that .is' :: w 
reflected in a marked rise of activity for 
our foreign and securities departments. 

Drawing .on resources inside and outside 
Sweden, Sparbankemas Bank is notably 
expanding in the foreign operations field 
— participating extensively in international 
bond issues as well as providing short 
and medium-term financing abroad for 
our Swedish customers, in part with the 
affiliated Banque Nordeurope, Luxembourg, 
as intermediary. 

Assets equivalent to U.S. S8 billion put us 
fourth among the commercial bank groups 
in Sweden. With Our wide domestic base 
and strong central organization, we are 
in the position to generate a considerable 
volume of international business. 


Sparbaakernas Bank 


Street address: Brunkebergstorg 8 
MafcS-105 34 Stockholm, Sweden 
Telephone: 08-782 1 0 00 
Telex: 19505 spbank s 
Cable: Uraonbank. SWIFT.SPAB SE SS 


Associated with 
National Westminster • Ltd. 
London. 


Specialists mall aspects ofi 
Foreign exchange and curo 
depasits. Corporate Finance, 
Snort and medium term 
lending. 

Private placements 
and Bond dealing. 

Head Office: 

Hoge Steenweg 27-31, 
s-Hertpgenbosdi, 

The Netherlands, 
telephone 1073H5391L 
telex 50122/5017 V 
50176. Branches: 14. 


London Representative 
Office: 

1 Princes Street 
London EC2P2AH. . 
Telephone (01) 6384724, 

telex 88536L 


Curasao: 

F. van Lanschot Curasao NA. 

WUlemstad.Ctoacao. 
Telephone 12350, telex 1065. 

Affiliated Institutions: 
Atlantic International 
Bank Ltd. (London) ; 
Greyhound 
Financial & Leasing 
Corporation A.G. (Zug). 


^ van tahschot 




^ I \ s 


W 


!■*•,• jj- ~ - 


J4 Ji 


l^e 


Financial Times Tuesday May 30 1978 

euromarkets 


WORLD BANKING XXD3 


re* -n*. 
'■*■*-+ \af 'vj 7 


Eyes on interest rates 


NEW INTERNATIONAL BOND ISSUES 
($m.) 


BANKERS INVOLVED In 
Euromarket operations are not 
happy people these davs. In 
the bund market the volume of 
new issues has shrunk in 
the first four months of this 
year compared with 1977 while 
in the credit market the high 
volume of new lending is not a 
source uf joy. 

Margins payable to banks 
over inter-bank rates on 
medi urn-term credits have con- 
tinued ( to shrink since -the 
beginning of the year — indeed 
it could be more accurate to 
say they have collapsed, J“he 


“ £ Per rent spread " club is 
becoming less exclusive by the 
day and threatens to make 
nonsense of all the theories or 
credit risk analysis vaunted in 
the past two or three years. Not 
only are margins shrinking; to 
add to bankers' pains, the 
tendency witnessed already 
towards the end of 1977 among 
countries to pay off debts 
before maturity dates and 
refinance at lower margins has 
turned into a trend. 

In South-East Asia most of 
the new credits negotiated 
since the beginning of this year 


fall into the category nf 
refinancing; Malaysia, to give 
but one example, is refinancing 
at a spread of * per cent money 
borrowed less than three years 
ago on a spread of -lj per cent. 

Maturities are also lengthen- 
ing. and grace periods. Ten 
and 12-year money, said to be 
impossibly risky a year or so 
ago is now not uncommon. 

These conditions have 
enabled some countries, in the 
words of the latest Amex Bank 
Review, to "enter a virtuous 
eircle uf growth and foreign 
borrowing-” with foreign 


EUROCURRENCY BANK CREDITS 
<®m> 






1978 



JaiL-ApriJ 


1975 

1976 

1977 

FcM 

Mar.S 

Aprils 

197SS 

1977 

Industrial countries ... 

7,231 

11,254 

27,255 

2.393 

1,261 

1.616 

6,538 

5.564 

Canada 

113 

S85 

3,292 

— 

— 

1,000 

1,000 

300 

Denmark 

341 

607 

868 

500 

35 



535 

168 

Finland 

3 99 

300 

314 

200 

_ 



200 



France ; 

719 

586 

2,325 

480 

145 

— 

665 

1,360 

Greece 

239 

323 

204 

— 

80 

— 

80 

94 

Ireland 

338 

433 

440 

— 

— 

285 

285 

40 

Itaiv 

129 

355 

1,024 

226 

160 

67 

473 

30 

Japan 

448 

370 

112 

— 

— 

— 

, 10 

37 

Norway 

159 

472 

182 

— 

600 

— 

850 

38 

South Africa 

510 

650 



— 

— 

— 

— 

— 

Spain 

1,147 

2.037 

1,973 

314 

— 

50 

729 

525 

Sweden 

302 

440 

1.446 

— 

— 

100 

110 

1.065 

UK 

160 

1.671 

1,992 

157 

— 

100 

657 

1,572 

ILS. 

764 

677 

826 

250 

70 

— 

400 

291 

Other* 

1,471 

1,447 

2,257 

266 

171 

14 . 

544 

43 

Developing countries... 

11.098 

15.017 

20,976 

2.677 

1.061 

1,735 

9.899 

5,633 

Non-OPEC countries . 

8.199 

11,019 

13.494 

2.021 

168 

1,617 

6,646 

3.233 

Argentina 

72 

957 

849 

40 

— 

— 

145 

231 

Brazil 

2.152 

3,232 

2.814 

405 

45 

— 

1,260 

633 

Malaysia 

425 

207 

212 

— 



— 

540 

1G4 

Mexico 

2.311 

1,993 

2,727 

1.065 



25 

1,360 

559 

Peru 

334 

395 

189 

— 

— 

— 

- - — 

124 

Philippines 

363 

970 

698 - 

66 

23 

432 

760 

262 

South Korea 

347 

73S 

1.265 

100 

30 

300 

530 

419 

Taiwan 

135 

219 

524 

— 

— 

— 

— 

144 

Othcrf 

2,060 

2.307 

4.216 

345 

70 

860 

2,051 

696 

OPEC countries 

2,899 

3.999 

7,481 

656 

S»3 

118 

3,253 

2.401 

Algeria 

500 

643 

723 

45 

468 

25 

657 

242 

Indonesia 

1.347 

469 

817 

— 

1S7 

— 

262 

— 

Iran 

263 

1,411 

1.220 

200 

13 

— 

250 

330 

Venezuela 

38 

1.185 

1.666 

— 

— 

— 

1.200 

1.200 

Other 

749 

290 

3.055 

411 

225 

93 

884 

629 

Communist countries... 

2.597 

2.503 

3,394 

153 

— 

89 

1,142 

3C7 

Intematnl. institutions 

65 

74 

190 

— 

— 

— 

— 

— 

TOTAL 

20.992 

28.850 

41,815 

5.223 

2,322 

3.410 

17,579 

11,565 


* Includes multi-national organisations, t Includes regional development organisations. 5 Includes 
COMECON institutions. 5 Preliminary. ? Revised. * 

Source; Morgan Guaranty World Financial Markets April 197S. 


borrowing allowing a higher absolute terms. Mexico and 
level of investment, which in Brazil have replaced them us 
turn raises the level of the key borrowers, accounting for 
GNP. increase domestic sav- more than a fifth of all medium- 
ings and opens up new export term credits both in -1976 and 
markets (the Review specifically 1977. 

quotes Taiwan and South Korea . The market also has a much 
as belonging to this happy wider catchment area, as 
category). Such has not been demonstrated by the fall in the 
the case elsewhere, however. s bare of the five largest 
In some cases, say Brazil, the borrowers from over 50 per 
economic performance has been cent in 1973-74 to less than a 
good but not so good as to sug- third at present. Some argue 
gest that spreads could fall that the more varied the banks' 
from over 2 per cent to under portfolio of loans, the less the 
1 per cent in a matter of fears of default 
months. .In others, Morocco, for 
example, little on the economic TlnpQcinncc 
or financial front now seriously 

m ™ -*■ *•*« «». ...» 

SLTiT S'* charged ^ Xch h”„ EL 

In the case of project finance, st »“ e ««<“*• *>° tS Political!? 
where the loan is repaid from and— economically,, than most 
the cash flow from the project. West European borrowers, 
longer maturities in particular when sc*t alongside the much 
are welcome, especially when longer maturities (five years 
they correspond to tbe length for over 50 per cent of all loans 
of time the project will take to in 1975 and 1976, less than 15 
complete. But there are per cent last year) does make 
grounds for questioning the for uneasiness. The borrowers' 
soundness of long maturities .market which at present pre- 
for balance of payments loans, vails has obliged even those 
Balance of payments loans banks which resisted strongly 
were anathema a few years ago when spreads were in the 
but the weight of liquidity in process of falling through the 
the market has made their j per cent floor to throw in the 
justification fashionable. Such towel (although a few still 
conditions as exist in the refuse to do business on the 
market today cannot be lowest terms now available in 
expected to last and a tighter market). Competing for 
credit market could reduce positions in tombstones and in 
both the gross and the net flow ^nous league tables has 
of credit to Less Developed become the cra2e . The serious 
Countries (LDCs). The ques- ^ js of ^ crediwvorthi * eS s 

°L b s— , ap r? nus 

refinancing of existing debt is the baekienSd! 

win increasingly 1 !)? at°ttefore- ' rhe freneti ? race meanwhile 

front of many bankers’ minds. show ®. n0 jj|S n of abating. 
This is all the more 

tK _ „ . \ April issue of World Financial 

« -SLm Changed M £ ketg $17 j bQ worth o£ Dew 

considerably in recent years - loans were ertended during, the 
A comparison between who fihjt quarter of year. $6bn 
borrows today and who up - 0Q ^ equivalent period last 
borrowed in 19/3-/4 (the last year. Developing countries 
time spreads fell and maturities accounted for most of this 
lengthened so much) is instruc- increase (over $4bn), non-oil 
tive. According to the OECD’s ldcs borrowing more than 
February issue of Financial twice what they had in the first 
Market Trends, during 1973-74 quarter of 1977. 
the five most important Despite the pick up in loan 
borrowers represented 50 per demand witnessed in recent 
cent of all loans extended with months in the U.S., many 
France. Britain and Italy the bankers feel this will not suffice 
three roost important. to. reduce the weight of 

White such borrowers remain liquidity. To which one can 
very important, the amount add that were the major U.5. 
they borrow has declined In banks to retire from the 






1978 



Jan.- April 


1975 

1976 

1977 

Feb.* 

Mar.t 

Aprilr 

I97Sf 

1977 

Eurobonds total 

(by category of 

8,567 

14,328 

17,735 

1.144 

1.626 

1,373 

5.332 

6439 

borrower) 

U.S. companies 

268 

435 

1.130 

64 

62 

175 

368 

370 

Foreign companies... 

2,903 

5,323 

7.284 

362 

272 

494 

1,345 

2,575 

State enterprises ... 

3.123 

4.13S 

4,707 

203 

392 

216 

1.067 

1,463 

Governments 

1,658 

2.239 

2.936 

373 

• 76 

439 

1.959 

1.226 

Imntni. organisations 

615 

2,193 

1.678 

142 

124 

49 

593 

505 

(by currency o£ 
denomination) 

VS. dollar 

3.738 

9.125 

11.628 

518 

835 

455 

2,233 

4,098 

German mark 

2,278 

2,713 

4,109 

467 

593 

807 

2.442 

1,354 

Dutch guilder 

719 

502 

361 

66 

46 

34 

146 

149 

Canadian dollar 

558 

1,407 

674 

_ 

— 

— 



371 

European unit of 

account 

371 

99 

28 

— 

19 

31 

63 

— 

Other 

903 

482 

935 

93 

133 

46 

446 

167 

Foreign bonds outside 

the U.S.. total 

4,884 

7,586 

7.185 

1.244 

618 

914 

3.764 

1.602 

U.S. companies 

61 

28 

40 

— 

— 

— 

65 

24 

Foreign companies... 

1,386 

1.654 

1,158 

330 

125 

29 

611 

203 

State enterprises ... 

1,314 

2,439 

3,909 

272 

355 

260 

1,116 

433 

Governments 

765 

1,307 

1.834 

626 

138 

550 

1.605 

261 

In tn tnl. organisations 

1,358 

2.15S 

2.244 

16 

— 

75 

367 

681 - 

(by cnrrency of 
denomination) 

German mark 

1.089 

1,288 

2,096 

63 


107 

500 

583 

Swiss franc 

3.297 

5,359 

3.463 

652 

265 

228 

1,596 

871 

Dutch guilder 

182 

597 

211 

135 

_ 



135 

106 

Japanese yen 

67 

226 

1,271 

374 

337 

54C 

1,464 

42 

Other 

24S 

116 

144 

20 

1C 

33 

69 

— 

Foreign bonds in tbe 

U.S., total •. 

6,462 

10,604 

7.286 

10 

1,050 

392 

2.035 

1,917 

(by category' of 
borrower) 

Canadian entities 

3.074 

6.138 

2.946 



850 

292 

1,380 

721 

Into tnl. organisations 

1.900 

2.275 

1.917 

_ 

200 

__ 

200 

675 

Other 

1.488 

2.191 

2.123 

10 

— 

100 

455 

521 

Intern at nl. bonds, total 

19,913 

32,518 

32J0C 

2,398 

3.294 

2.679 

11.131 

9.658 

of which issued by: 

Industrial countries . 

15.213 

24.082 

22,554 

1,907 

2,131 

2,060 

8.018 

7,162 

Non-OPEC LDCs ... 

760 

1,671 

3,000 

155 

6U5 

495 

1,494 

463 

OPEC countries 

67 

139 

813 

178 

234 

... 

459 

172 

IntntnL organisations 

3,873 

6.626 5.839 

* Revised, t 

15S 

Preliminary. 

324 

124 

1,160 

1,861 


Source; Morgan Guaranty World Financial Markets April 1978. 


market (as the regional ones 
have already done) that would 
not necessarily make much 
difference. The West German, 
Japanese and more recently 
Ulttdle Eastern banks would 
easily fill the gap. 

What could halt the present 
softening of terms ail round is 
a major default among the 
LDCs. Although not trumpeted 
that fear is shared by many 
banks: casting a glance around 
the world today one can under- 
stand why. 

By contrast international bond 
markets are having a quieter 
though not necessarily happier 


time. While the volume of floated as against $9.6bn for the 
Yankee bonds increased slightly same period last year) as it 
compared with the same period had a record year in 1977 corn- 
last year, the volume of Euro- pared with 1976. The more 
bonds declined from $6.1bn to stable dollar of recent weeks 
$5.3bn. A notable feature of the has resulted in a much larger 
market was the very sharp fall volume of dollar-denominated 
in the volume of bonds denorai- bonds coming on to the market, 
nated in U.S. dollars and the though more in the form of 
near doubling of the volume of Yankee bonds than in the form 
bonds denominated in Deutsche of Eurobonds. The launching of 
Marks. This was an accurate the first UK bond in New York 
reflection of the turmoil on tbe after Britain had obtained a 
currency front and the continu- tripIe-A rating was noteworthy 
ing weakness of the dollar. for its success. The greater 
Overall, however,' the bond activity of recent weeks has 
market has had a record first nevertheless had a cloud hang- 
quarter. ($11.1 bn of .new bonds ing over it in the form of higher 
' CONTINUED ON NEXT PAGE 


5 



of the 












iSSEM Tradition^ 
since 1780 



($• .. n 


W ^ "ZS- 


^ i . ,v r r.T?*)' \ 


65 


The BV lion will meet you . 
anywhere you want 

The BV lion is at home in many 
of the world’s financial centres. 
Branches in the USA, Tokyo 
and new in London. Of course, 
we’d be delighted to see you 
at our head office in Munich, 
that friendly city in the heart of 
one of Germany’s most 
dynamic economic regions. 
We’ve got a lot to offer you. 


The BV Hon is a double Hon 

Bayerische Vereinsbank 
combines the twin functions - 
granted by royal charter - of 
both a commercial and 
mortgage bank. This gives us 
added flexibility in investment 
financing. We are also »doubiy« 
active in retail banking through- 
out South Germany and 
wholesale banking nationwide 
and internationally. With total 
assets of DM 37 bn. BV is 
number five in the Federal 
Republic. 


The BV lion has a 
long tradtion 

BV’s roots are in Bavaria and 
its banking tradition goes back 
to 1780. And experienced 
partner in this important market, 
Bayerische Vereinsbank has a 
wealth of expertise and 
know-how in the field 6f 
industrial development and joint 
venture projects. 380 branches 
are at your service including 
offices in major cities such as 
Frankfurt, Berlin and Stuttgart. 


The BV lion and his family 

The Bavarian members of the 
BV-group are Suddeutsche 
Bodencreditbank, Bayerische 
Handelsbank (both in Munich) 
and Vereinsbank in Numberg - 
all with a sound mortgage 
banking background. Family 
ties extend to Luxembourg, 
Dusseldorf and Saarbrucken, 
the homes of Bayerische 
Vereinsbank International SA, 
Simonbank AG and Gebr. 
Rochling Bank. 


The BV lion never forgets: 
Your business is 
our business 

Over the last five years our 
consolidated assets have more 
than doubled from DM 31 bn. 
at yearend 1 972 to DM 65 bn. 
atyearend 1977. Capital 
resources exceed DM 1 .5 billion 
Our qualified staff of 10,000 is 
ready to serve you at home 
and abroad. 


Bayerische Vereinsbank 
Head Office, International Division 
Kardinal-Faulhaber-Strasse 1 
D-80Q0 Munchen 2 
Telephone (089) 2132-1, Telex 523321 bvmcT 
SWIFT-Address BVBE DE MM 



n Tk T"* if '4T* #“' 1 T T Bayerische Vereinsbank 

BAY b Kl S C HE 

-w TTr""i 1—1 -*■ T \ tt/ 40 , Moorgate, London EC 2 R 6 AY 

Vr §€ FI NSRAN K Teleph0ne 6289066-70, Telex 887876 bvlg 


INCORPORATING BAYERISCHE STAATSBANK AG 





r ■■ i : 


PROJECT FMAHCE 


Financial Times Tuesday May 30 19^ 

WORLD BANKING XXIV 


0 



For anyone in the export business 
the target must be increased sales. 
Reaching that target in this highly 
competitive field can bring financial 
complications. So it makes sense to 
take expert advice. 

Before you make any major export 
decision, contact the Co-operative 
Bank’s Export Finance Manage? 

Les Syrettj on 01-283 5691. 

He could help you bring your 
target into focus. 


The Co-operative Bank 
YOUR CARING SHARING BANK 

The Co-operative Bank limited, 

SO Comhill, London EC3V 3NJ. 


IT HAS been a relatively quiet 
year for project financing. The 
worsening recession in the 
world shipping 'ndustty, the 
lack of major mining projects 
and the highly liquid position 
of the majority of companies in 
the oil and gas- Industry has 
mean] that the levfel of activity 
has been -lower than for some 
time. 

However, the well-publicised 
problems of developing coun- 
tries such as Peru and Zaire 
nave focused attention once 
again on the very real risks 
involved in project financing 
and served to heighten the de- 
bate about what is, and what is 
not, an acceptable “ project 
risk." Even though the concept 
of “ project finance” has been 
around in one form or another 
for aver 50 years, bankers still 
find it Impossible to agree on 
what it means. 

To the purists project financ- 
ing in its truest sense means 
non-recourse financing. A bank 
lends money on a project and 
expects to be paid solely from 
the proceeds of that project If 
it does not work, or blows up, 
the bank does not get paid. Un- 
derstandably, most banks find 
this rather bard to swallow. 
Very few are prepared to lend 
on a total non-recourse basis 
except in specialised areas such 
as ship financing and U.S. oil 
production payments. Generally, 
they want extra guarantees and 
this is where the whole concept 
becomes rather fuzzy. If the 
British National Oil .Corpora- 
tion, for instan ce, raises produc- 
tion finance for an offshore oil 
field witb the backing of a UK 
Government guarantee, Is this 
really a project financing? 

Most bankers would accept 
that the latter is very much a 
case of "finance for a project" 
rather than true “project fin- 
ance.” But would it be the same 
if the present Government of 
Zaire gives guarantees to back 
the exploitation of an open cast 
copper mine? 

The terra ■ project -• finance 
tends to be bandied around 
rather loosely. It means differ- 
ent things to different people. 
UK banks, for example, tend 
think of project finance very 
much in terms of export credits. 
I? a steel mill is to be built In 
Brazil, a merchant bank will 
arrange the complicated paper 
work with the UK Government's 
Export Credit Guarantee De- 
partment which will guarantee 
the deal. The bank then rings 
up a few friends and puts to- 


amro bank 

for international finance, 
foreign exchange and 
business development 
services 


Amsterdam-Rotterdam Bank NV 
Head Offices: 595 Herengracht, Amsterdam, telex 11006 
119CoolsingeI, Rotterdam, telex 2221 1 
London Branch: 29-30 King Street, London EC2V 8EQ, telex 887139 


gether a syndicate. If the pro- 
ject then does not work or 
Brazil goes up in smoke, that is 
ECGD's concern, not the banks- 

However, it is not always pas- 
sible to get this sort of water 
tight guarantee. The size and 
cost of projects have been esca- 
lating rapidly and given the 
future financing needs of the 
world’s energy and mining in- 
dustries over the next decade it 
seems inevitable that increasing 
dependence will have to be pat 
on non-recourse financing if the 
projects are going to get off 
the drawing board. 

If this is the case then the 
banking community will need 
to give more thought to how it 
sees its future role in providing 
the large capital sums for pro- 
jects. In the old days, finance 
for big projects used to be pro- 
vided by private investors. 
Southern Africa was developed 
with huge amounts of equity 
capital from the UK, Belgium 
and Germany. The great min- 
ing finance houses, such . as 
Anglo American and Union 
Miniere, sprang up to funnel 
equity money into new mines in 
Africa, while one of the 
original ideas of the founders 
of investment trusts was to 
channel private investors’ funds 
into risky projects, such as 
building the Mexican railway 
system. 

Nowadays, however, equity 
finance is far less prevalent De; 
vel oping countries no longer 
like having their natural _ re- 
sources owned by expatriate 
investors. In some cases In- 
vestments have been expro- 
priated, and in many cases 
taxation means that the rewards 
are insufficient to justify the 
risk. Consequently, in the 
absence of large amounts of 
new equity capital, the banks 
are now being asked to provide 
the development funds. 

Admittedly, there are official 
agencies such as the World 
Bank. Eximbank and the Asian j 
Development Bank, but even | 
their resources are limited, and 
if it was left just to them, many 
projects would not come to , 
fruition. Like it or not the 
commercial banks have emerged 
as the most Important suppliers 
of development capital for 
major projects and, if anything, 
their role is likely to Increase 
rather than decrease. 

This presents something of a 
dilemma for the banks. First 
and foremost they are deposit 
taking institutions. They are 
managing depositors’ funds, not 
equity money. However, with 
the increasing complexity and 
greater involvement of the 
banks in project financing it is 
easy to lose sight of the distrac- 
tion; 

When BP raised its first 
massive financing for the Forties 
oil field in the North Sea, one 
big UK clearing bank was casti- 
gated for refusing to take part 
in the financing operation. It 
argued in its defence that 
although the UK Government 
has a large stake in BP and 
there were all sorts of extra 
guarantees it was being asked to 
risk depositors' money unneces- 
sarily. 

Much water has gone under 
rhe bridge since then and banks 
are prepared to be far more 


Rates 


CONTINUED FROM 
PREVIOUS PAGE 

interest rates: the prospect of 
further rises and the uncer- 
tainty as to what level interes! 
rates will erentuslly nse hangs 
over the market like a Darno- 
clean sword. 

The Deutsche-Mark sector 
which has been prominent since 
last autumn finally came to 
grief as the huge volume nf new 
issues and the orgy of coupon 
cutting resulted in sharp falls 
in aftermarket prices. Whereas 
“ exotic " names had already 
been affected by such after- 
market falls earlier in the year, 
the whole market was hit by 
late April and e*rly May, the 
strengthening dollar simply 
making matters worse. - . 

The market was closed fqr 
new issues on Friday May 12, 
and a decision on whether' or 
not to reopen it will be taken 
on June 7. Marty bankers would 
be surprised if matters had im- 
proved sufficiently to allow for 
a reopening so soon. 


adventurous about what they 
will do with their depositors 
money. The Piper and Claymore 
financings for the Thomson 
group, for example, were the 
closest thing to pure project 
finance yet seen In the North 
Sea. The banks that put up the 
funds accepted the technical 
risk (that the oil could not be 
pumped out); the reserve nsk 
(that there was insufficient ou 
to service the loan); and, to a 
limited extent, the economic 

risk (that the price of oil would 
drop thus making the field 
uneconomic). 


Justify 


Sought 



amsterdam-rotterdam bank nv 

Branches, subsidiaries or representative offices in Antwerp, 
Curasao, Jakarta, London, Tokyo and affiliates in 20 countries. 


The banks justify their in- 
creased involvement in project 
financing by attempting to elimi- 
nate the risks involved. If these 
can be identified and effectively 
removed, depositors’ money 
should not be at risk. That at 
least is the argument In prac- 
tice it is another matter. It is 
rare that the risks can be 
totally eliminated from a pro- 
ject So, banks try as far as 
possible to contain the risk. 

The risks fall into a number 
of categories. If it is a mine 
or natural resource project the 
bank concerned will probably 
commission an independent 
study to prove the presence of 
sufficient raw materials to 
justify the project Bankers 
established a number of rules 
of thumb to guide them in their 
decision making. OEten they 
will not lend more than half 
the value of the estimate d 
reserves and they like the pro- 
jec. to have a good and saleable 
title so that if the worst comes 
to the worst and the operator 
goes bust the project can be 
sold. 

Then there is the technology 
risk. If a project is using 
proved technology there is a 
far greater chance nf it getting 


financed. Enough risks are in- 
volved in a typical project with- 
out trying to push back the 
frontiers of knowledge with a 
new production technique. 
Normally a bank will require 
a completion guarantee which 
means that the sponsor will be 
responsible for cost over-runs, 
delays and start-up problems. 

Once a project has been con- 
structed. the next stage is the 
marketing of the product and 
with volatile commodity prices 
there is often an even greater 
risk involved here. A banker 
wants to be convinced that the 
: requisite quantity and quality of 
the product can be sold at the 
projected price. Normally, he 
requires that long terra sales 
contracts are arranged with 
creditworthy entities. The bank 
wants to eliminate as many 
marketing risks as possible by 
eliminating the circumstances 
under which a buyer can refuse, 
or fail, to take delivery. 

In Australia, for instance, ihe 
big mining companies are find- 
that due to the recession in the 
world' steel industry, Japanese 
customers are trying to re- 
negotiate their long term con- 
tracts and in some cases not 
taking the required amounts. 
Obviously, a bank wants to 
ensure that a similar occurrence 
does not jeopardise the financial 
viability of its project. 

The other risk that has to 
be covered is the operating risk. 
Once the project is producing, 
the bank likes to be sure that 
the operator is committed to 
staying with the project. Ideally, 
this would mean that the com- 
pany puts up a sizeable amount 
of the capital (say 20-35 per 
cent of the total). If possible, 
a bank will try to insure as 
many of the production risks as 
possible. As last year’s spec- 
tacular blow-out on the Eknfisk 
Bravo platform in the North 
Sea demonstrated, accidents can 


happen and they are very expen- 
sive — even for a company the 
size of Phillips Petroleum. If 
the operator had been a UK 
newspaper company, for in- 
stance, the project might have 
been bankrupted. 

Obviously, a project would 
not have been financed if the 
operator bad been a newspaper 
company since it lacks the 
necessary expertise. - For 
starters, a bank nomally insists 
that the operator is an experi- 
enced company. So along with 
the technical and marketing 
risks ihe bank can usually mini- 
mise their exposure. 

However, there is one final 
risk that bedevils many attrac- 
tive projects, and that is the 
political risk. A project's cadi 
flow projections may look very 
good on paper but they are .no 
use if the host country erupts 
into- a civil war or the power 
supply to the project is cut off. 
This has been a problem in 
countries like Zaire where pro- 
jects have required tong dis- 
tance electricity transmission 
lines. Like railway lines and 
pipelines, they are vulnerable 
arteries for any project and 
could be the Achilles heel. 

In the poorer parts of the 
world projects may also he 
jeopardised because the country 
cannot afford the foreign ex- 
change to import vital spare 
parts or will not allow -the 
export proceeds to be repatri- 
ated. Banks often ask for 
blanket commitments such as 
a promise by the government in 
power not to take steps to im- 
pair the viability of their pro- 
ject. But governments change 
and while one political party 
will be quite happy to work with 
Citibank and Chase Manhattan 
etc., there is no certainty that 
their successors will - be so 
inclined. 

William Hall 


With great uncertainty on the 
interest rate front throughout 
the last few months, Floating 
Rate Notes (FRNS) have been 
much sought after by investors. 
This month witnessed an excep- 
tionally Jong maturity floating 
rate note,. 12 years, for National 
Westminster Bank. That should 
not, however, meet with much 
resistance as the borrower is of 
good quality and the complaints 
about lack of high quality paper 
in this sector have abounded in 
recent months. 

Developments in the inter- 
national bond markets will be 
dominated in the months to 
come by two factors which are 
intimately linked— the value of 
the dollar and the extent to 
which interest rates rise. 

Francis Ghiles 


For business 
pick a bank in 


the U.S, 
i middle... 



If 






Ng h' ■ : * 


L-JiJ 






In a country as big as the United 
States, you can’t afford to be out of - 
touch with any location. Mercantile Trust 
Company — headquartered in the geo- 
graphic and transportation center of 
America — puts you right in the middle 
of your markets. 

Mercantile offers one of the largest 
international operations in the central 
United States. As well as complete 
financial services* including customs 
brokerage through Mercantile Customs 
Service,' Inc. There are-major facilities in 
St. Louis and Kansas City, with 26 addi- 


V*v. 

- 

- ’ v 


tlonal affiliates throughout'Missourf. 
And Mercantile is the largest member of 
S.W.I.FT. (Society for Worldwide Inter- 
bank Financial Telecommunications)^ 
this region. - 

. Mercantile 
Banc or po ration Inc. 

(as of December 31, 1977) 

Total Assets $3,371,091,095 

Investments 580,230,249 

Loans 1 ,492.240,226 

Deposits 2,383,723,932 

Sterehokters'Equity 192,288,907 


MsRCFHITlia 


Mercantile Trust Company N A 
Mercantile Tower • St. Louis, Mo. U.SA • Telex 44-2300 



DEUTSCHE 

SCHIFFSBELEIHUNGS- 

BJUUK AKTrEN-OESELLSCMAPT 

HAMBURG 

ESTABLISH ED -ISIS ' 

P. a Ba* V1 19 SO ■ 3000 HAMBURG U ' 
TitojiHrn>~ nf n rr . Tatax.- OSMOQ8 









K - 






i A 


1 ' V 


- : 'V 

-re W * » 




'J- 


■ rW! 


Financial Times Tuesday May 30 1978 

developing countries 


17 ! 


WORLD BANKING XXV 


Less debt than supposed 


ANYONE GLANCING at 
lati«si international ban 


the lower . interest rates on their backroom departments studying are that Turkey’s are on the grow less rapidly than had been countries which have already 


might lend. 


?c^ ll d^fon? 1 , elh0r , !". Ia r d the SS 

problem exists at There has certainly been a Investors are not in this posi- problem 

statistics show that durin- 1 * 97 " ? ,,bslJ ? nlia - elemeQt of provision lion, and for them to invest their sorted 01 


As an aside, one should note 


country where a foreign debt the economies of the OECD 

has already been countries will grow less fast iii ti i ^ ^ 

, - • - - out is Indonesia. Other than had been expected a year view thVftindamental issues of 

non-oil less devclooed mimiVim v ■ future in the LDCs savings in bonds issued by coun- countries where restructuring or so ago. It 15 argued from b(yw to finance the LDC deficit 
(LDCs) were autuallv net programmes of the tries like Brazil. Argentina and operations are under way or £jese premises that there will ^ unfortunately shrouded in 


national banking system, and 

f>n a scale which rivalled the money to pay off ,u 
oil-exporting (OPEC) countries, traded earlier which 
The figures are compiled bv 
the Bank for International also more expensive. 
Settlements (BIS) in Basle 
from reports by commercial 
hanks worldwide on the 
countries from which they 
rereive (heir deposits and those 
where they have money lent 
out. They showed that the 
nr.n-oil developing countries 


and 


a potential default situation. 


the immediate question for any 


refinancing— borrowing new year— is an act of faith which Egypt. Sudan. Sierra Leone. to the developed world 

money to pay off loans con- may be quoted as testimony of North Korea and Zambia. thus service their foreign ba ^ which ' has" funds out "on 

r „„ * re . due a changed perception of LDC It is no accident that three currency debts. ] oaD t0 ^ C0UDtTy concerned 

and are cr cdit risk. And this despite the of the countries named above At the same time it is argued is to persuade other banks in 
fact that in some cases had copper as their main by some that the current level the same position to avoid for- 

Some of the most striking (notably issues by Brazil potential source of export earn- of liquidity in the international mally calling a default. For 

examples of this kind of in Germany) investors may ings to pay off their loans. Of banking system — which is what the terms of international 
activity have been in (he Far be tempted , by tax advan- all countries which have relied has made it possible for LDCs loans are so worded that a for- 

East— in the case of a recent tages while in general the yields on commodity - based foreign to borrow enough in the last mal default on any one loan 

loan for the Philippines, the on LDC paper are attractively currency earnings to pay off year to last them through automatically means that all 

banks determined that they higher than on issues by more their debts, those relying on the next couple of years— is other loans to that same bor- 

would include a provision say- traditional bond market bor- copper have fared the worst, also temporary; that it results rower immediately become due 

, . mg that not more than half rowers. from the balance of payments to he naid even if the nominal 

SSSKS MMJS 1 * p*™ - «- ^ Collapse SS E*E ZJ3L2Z 

system by «,Jta ever UArt - «Jj. Mrig. TVoLT £ Tie renlpse of .be ««, * *T fc case * Turitey. which 

that th? baite thw doubled couId afford to d^thout the P ri <* s upturned the accepted caused money to be effectively is currently under negotiation, 

Ihe si^e of the IoarL money to the extent of deposit- ^dom among bankers a few gjjd * J* ***** of central it is essential tht all the 200- 

Depnsiiors in the LDCs placed The Philippines Is thus able in S m °re than they borrow. that lending to those banta outside the U.S. odd banks which have funds 

now money with the banks to repay loans to the ful] size gradually extending the countries with raw materials According to one monthly outstanding as part of the 

totalling S72 9bn makin° them of the loan as it was oricinallv maturity of their debt (and meant lending to good credit bank report *the effect of con- $2.5bn commercial bank debt 

net depositor^ to the tune of scheduled ° * thus putting off. if not eliminat- risk. (This is quite apart from turned heavy U.S. deficits being rescheduled should agree 

Rl.fibn: OPEC depositors placed ting, the day of reckoning) any problems connected with should ne_offset in the second to the rescheduling arrange- 


last year, exactly the 
amount of new money as was 
raised by the OPEC countries. 


new 

tnlall 
net depositors to 
92.11m. 


r money with the banks T&ATlffc 
illina Si3.4hn, making them 

the tune of One further development last This is of course by no means 
year needs to be noted when dis- whole. 

Moreover, the behaviour of cussing the rosy aspect of the The chances are that while 
the major commercial bank? in LDC deht position. This is the one newspaper headline might 
the last 18 months hardly sug- increasing recourse which LDCs read " OPEC borrows as much 
pests that they are ail that have ^ ad t0 tb* international as LDCs.” one has but to’ turn 
worried about the LDC deht bond market a page to find an account of 

problem. Essentially, the banks comparison with bank some LDC which has already 

have been falling over them- financings, the bond markels are defaulted on its foreign debt, 
solves to make new loans to relatively small- sources of For while some LDCs have been 
these countries at ever more funds except to a specialised model borrowers, others have 
generous terms — committing type of borrower. The size of been the very reverse, 
their depositors’ money for ever individual issues for inter- The cause celebre so far has 


and widening the range of political, economic or financial half of 1978 by tightening U.S. ments. This is because refusal 
markets they are able to tap. mismanagement within any of credit conditions, born of fears by one could trigger off a uni- 

Ihosc countries, or. in the ease of accelerating inflation. . Of versa! default situation of a 
of Zaire and Zambia, external course, should Europe and formal kind which would throw 
pressures such as the cutting Japan not tighten credit con- all the arrangements into con- 
of the Benguela Tail way and dltions at the same time, this fusion. The importance 
the Rhodesia problem which could prolong the period of attached to this cross default 
have reduced the countries' overall international liquidity, principle can be seen from the 
capacity tn earn even from the The timing of the reduction fact that there have been cases 
exports they were able to in liquidity is difficult to fore- in the past where, faced with 
make.) cast but is likely late this year one or two recalcitrant banks 

What is expected to happen or early next" (See Amex who threaten to take legal 
increasingly in the future is that Bank Review. May.) . action to recover their money 
those countries which were pro- This same bank argues .that forthwith, the other banks in a 
posing to rely on the proceeds such a tightening of interna- lending consortium have 
of earnings from non-commodity tlonal liquidity could coincide' actually bought out those 


1 ™^ periuds and « ever nation* MMh : like the bean Zaire, now r again ^ racked £ ■ySTSKSnSK *5 . SSSW to “pe££s£ In order to avoid 

,n, * n 5 r p , r ‘ ,ri ' mar « ,ns . . R ? .??? i y T nS,nE ° f tte Wral wl "? are going to face problems. Add of the risk of leading foes sued action being take™ 

I- nr our a soar now banks lie World Bank or top quality has been one cause of the .V.,.- is the Tn n ; „ uea where it argues that the fact that the The other big legal n 

ha vi* hven complaining that the govern ments and companies can failure so far to settle its K ^ 0 


EXTERNAL DEBT OF SELECTED COUNTRIES 


External debt* 




% of exports 


real growth 


billons of goods and 


of external 


of dollars 

services 


debt in % 


end-197G avg. 1974-76 


1973-76t 

3 lUexfeo 

27.6 

361 

3 Poland 

229 




3 Venezuela 

204 

3 Chile 

5.1 

242 

1 Portugal 

188 

3 Peru 

4.4 

226 



3 India 

13-6 

223 

1 New Zealand 133 

2 Brazil 

28.6 

216 

1 Ireland 

no 




3 USSR 

105 

3 Poland 

1L5 

193 

1 Mexico 

103 

2 Aragentina 

9.0 

185 

3 East Germany 97 

3 East Germany 6.3 

177 

2 Spain 

96 

3 Hungary 

3.9 

173 



3 Colombia 

3.8 

142 

2 France 

89 




3 Taiwan 

86 

3 Turkey 

5.7 

12S 

3 Hungary 

86 

3 Philippines 

5.5 

121 

3 Korea 

73 

3 Indonesia 

10.8 

118 

3 Malaysia 

73 

3 Korea 

9.5 

111 



3 Finland 

9.0 

109 

3 Philippines 

: 67 




3 Finland 

67 

t Algeria 

6.7 

88 

2 Brazil 

62 

3 Canada 

45.1 

86 

1 Peru 

61 

3 Yugoslavia 

8.0 

84 

1 Thailand 

50 

3 USSR 

16.0 

80 



3 Greece 

3.9 

78 

3 Turkey 

33 

1 New Zealand 2.8 

1 1 

3 Colombia 

31 

3 Denmark 

9.5 

61 

3 Denmark 

29 

3 Thailand 

2.2 

30 

3 Canada 

26 

2 Spain 

10.2 

53 

2 Yugoslavia 

25 

3 Iran 

6.1 

46 



3 Venezuela 

7.0 

45 

3 Italy 

21 

3 Italy 

20.0 

44 

3 Greece 

18 

1 Ireland 

2.3 

44 

2 Argentina 

0 

3 Taiwan 

3J) 

43 

3 India 

- 9 




3 Chile 

-14 

1 Portugal 

2.3 

38 

1 Algeria 

-36 

3 France 

26-2 

34 

3 Indonesia 

-46 

3 Malaysia 

L9 

29 

3 Iran 

—54 

1 Nigeria 

1.0 

11 

3 Nigeria 

—68 

" Three different levels of debt comprehensiveness arc nsed in 

calculating 

ratios: -highest of three 

levels for a 

particular 

country is shown above 

in case where more than 

one is re- 

ported or estimated: 1) 

total long-term public and publicly- 

guaranteed private external debt, pins IMF drawings: 2) total 

long-term external debt. 

public and private, plus IMF draw- 

ings: 3) total long- and short-term external debt, except that 

the short-term external 

liabilities of 

commercial 

banks are 

included only to- the extent that they exceed their external 

assets. 





f External debt outstanding deflated by export prices- 

Source: Morgan Guaranty, World Financial Markets June 1977. 



*— big legal problem rescbedu ^3 n 5 operations are nr the LDC debt itself the banks 

fireiii margins they ci. get fur equal many medten-tenn bank economic and flnanriaipreblems f'^S'sts^TreTke'y tn°i»te fotofinr'^taprere^nrfn Soiste U^os’Sbfiiwaa/lMd "Sn also Jet^mine the years with the following situa° 

h™™ ,u "he luwc^qualily .'“everefS'untred SSta drtiS " The’proWem 'oTz.^though 2U*52. STL ,« “Y iLSS o'STla.T week Pe” ended "-Most LDCs to which the 

LDl\ are hardly profit margins at a throw, the less favoured difficult if not impossible 
at all but jii.nl sufficient to cover borrower may be restricted to an solution, are small in size from 

th '.r custA But they are mine- issue of under one hundred. And the point of view of the banks tect their own industries ana deficit this year to a projected kind have been taken in the Z “♦ . 

ihoJe,s Luiiimfii.n? new money that same less favoured borrower and other creditors by com- therefore employment against *33bn again will mean that banks U.S. and the possibility means F hrea i e ? Jn , e t0 pu , f , all J te ,oans last months to bpr- 

for over Urn years in some might have railed 3 billion did- pa rison with those of some the development of competitive and the agencies which that a high priority for banks as wellasto ensure row more than they actually 

*>:"*• n lars from commercial banks the other countries. Zaire s total industries in the developing regulate them will suddenly get in the forefront of the inter- which had money need now and to improve the 

U ihc LDls were in dreadful week before. ’ foreign debt (including the world. One is Brazilian shoes in worried about these borrowers national lending business is to ? utsUl l dmg 5 Peru have ™ aturity structure of their debt 

.draichis mvr the prospects fur The real significance nr the short-term debt often omitted the U.S., another is Moroccan again: (Amex is after all in cover themselves a-ainst such t0 set 351,16 “ uch lar * er , b - v ra,sin = long-term money, not 

.-eruemg ami repaying (heir increasing access of selected from published debt figures) is tomatoes in the EEC. So far the the delicate phraseology of the action, both in their original f eserv es to cover their potential infrequently using this longer 

<iW.i. one niisln have expecitd LDCs to the international bond almost certainly below S3bn. effect on the foreign currency bank seeking business in the lending initiatives and in the than would be the case if term money to prepay loans 

Them I.. !m budding up borrow- markets is the cachet which it Published figures on countries earning capacity of the LDC's LDCs as hard as any) course of trying to sort out a c “7 e, l t s*^ 13011 of P° fen ' whlch would hav e matured 
•::c ago in -t a rainy day. re- gives. Banks are in a position like Turkey and Peru show has been small compared with “become less willing lenders." default situation baJ default and rollover were sooner. 

deponing the money until they l<» get access to the necessary in- debts many times this level. what it might be if the trend To summarise: In circum- These legal considerations co " tl " ued - . ^ 4 , 2— On the other hand, under 

it. Such a programme formal inn and use it tn analyse Neither of these two latter becomes general. stances of rising current often determine aspects of the Ketuni3n S to the fundamental present forecasts, the opportuni- 

vu.siid mean sustaining a small (he details of credit risk.— Hie countries has had its problems It is now generally accepted account deficit, any shut down banks’ treatment of their LDC quesUon of 016 serjousn ess of ties for LDC borrowers to repay 

running loss— they would get bigger banks now Kaye vjst solved. Though the indications that world trade is going to in -lending by the banks to portfolios, particularly where 



Deutsche Bank; a century of universal banking 


Sometimes the right direction 
means a change in course. 


"When you encounter too 
many obstacles in doing 
business abroad, turn to the 
Deutsche Bank Removing 
such obstacles and dis- 
covering new directions is 
our day-to-day business. Be 
it the orientation of an affil- 
iate company in a changing 
environment or how to 
choose a business associate, 
we can help you find the 
right course. Wherever you 
operate. 


And they require market 
knowledge that goes be- 
yond one’s usual field of 
activity Our experts at home 
and abroad have such, 
knowledge. 


Or import financing. You 
can count on us for all kinds, 
even those that require the 
most complex currency 
transactions. 


We operate as a universal 
bank Take barter transac- 
tions, for example. Increas- 
ingly, they are applied by 
importing countries for bal- : 
ance of payment reasons. 


Being present in all parts 
of the world, we are in a 
position to help you set the 
right course. And not only 
in money matters. 



Deutsche Bank 

Central Office: Frankfurt (Main)/Diisseld r»rf 


Deutsche Bank AG. London Branch 
10, Moorq3te. P. Q. Box 441 
London EC2P 2AT. Tblefon- 606-4422 


x. 








r i 




i 


:*** 


18 


Financial Times Tuesday May 30 19?* 


SOUTH AFRICA 


WORLD BANKING XXVI 


Dictated by politics 


„ ^ . mnS 4 Tmr Ban k from UDC Holdings Standard appears to bousing* 

the Orange Free State, and /tjdcH) The deal provides combination of the two. In U* 

recently, UDC Bub But the ™«»- Th» ftp ^ o{ 

fflejorreotsamssnoaoffteye^ 3 L sunbic shares, worth some Barclays 


Barclays National, 

„ 3.5m Stanbic shares, worth some Barclays International at 

was that of Trust MW. • on " ^,*5 ^ udcH has been forced present owns 64 .per cent Tbe 

considered one of the big five* - ^ because of its 14 per cent differential is worth 

which was swaUowedby the n i„ Ryan Nigal, the* some R27m. Although the Anglo 

smaller Bankorp in February esposu hish fly raoney mar . American mining house is 

* Trust Bank was the large* ket ' operation. against whose already a major (IS per cent) 

racnaltv of the property market doubtful debts UDCH has had shareholder in Barclays 
SpS. wfcch Sroulted in to make provisions of R10.Tm. Nataonal, a straight sale seems 

INTERNATIONAL BANKS are the terms for potential South largely by over exposure in the existing restriction of a 0.5 per to around 30 per cent two smaller institutions, The acquisition of UDC has un ey ' . _ 

f*irr»ntt« a »,«n K inh their African borrowers. property market. The question cent limit on monthly credit The trend continues at Ned- Bank and Rondalia Bank, being meant a small further step for Mr. Bob Aldworth. the mana®. 

“ =„ o i^rTpa as The international climate has remains whether that process expansion which has been in bank, the largest wholly South p Q t into euratorship (judicial standard on its promised path hig director, said recently that 
JL-Xi nSiiiiMl ores, certainly had a dampening Is now complete, and the sur- force since February 1976. Dur- African bank, for example, the management). The takeover by t0 reduce its foreign holding to a rights issue “could fit in 
™ «n fwdtmf thiir commit- effect on the domestic banking vivors able to look forward to mg the whole of last year the proportion fell from 23.2 per gankorp effectively meant that go per cent The share issue -will beautifully with my plans.' He 

10 _..j nr hatlks scene in South Africa— although renewed growth and better supply of money and near- cent, to 19 per cent between Trust Bank was being bailed out tfc e current shareholding would anyway go to the market 

w “i , ho tt c * the banks themselves maintain earning in an improving money in the economy increased 1976 and 1977. Thus the banks by Sanlam, the insurance giant of standard Chartered from its for an amount in line with 

u h i n , hoi? tn further that there is no restriction on economic climate. by only 7 per cent compared have had to pay more for their ^ flagship of Afrikaner busi- present 57,4 per cent by a fur- capital requirements for the 

to S sStli African their oun lines of credit But The first sign of some relax, with 9 per cent in 1976, and an deposits and therefore use their ness ^ ^uth Africa. . ther 4 per cent Last year Qa vt few years— although preh- 

rminmpn! h and iis instim- the primary concerns have been tion of the G^venSSit’rtiht mflati0n of aro^d 11 per money more profitably, leading Details of the reorgamsation, stanbic offered 7i7m shares m a a bly not before 1980. Aa for the 

h^h financial 5 and more obuously parochial; how monev DOlicy t^^on May 18 cenL t0 more *5 announced in October; ^ rigbts issue . of which possibility of local acquisitions, 

ooliiical reasons While other to weather the prolonged ^ £ rom Dr. T. W. de Jongh, The squeeze resulting from ? one £ market - gave some indication ' of the standard Chartered took up Dr even a merger with another 

bankers fnTs? thaT^lS economic recession, the after- S^veS of the SouthMriSm the Gov^nmenfTti^money £ *“**? of the bank, witi only. 3.8m., thus reducing its south African bank. Mr. 

reasons atone will not decide math of the collapse of the Reserve Bank, when he . aa- policy has been abated by °* eri “ g ®“ °* tSjSFS the holding - Aldworth said: “ It’s an interest- 

the", continue to pro- South African property market n0UI ,ced that hank credit ceil- the continuing tr£d of bank ™ i sbl o£ . Trust - , ^ ■ j- ins ttaougllt Bat . ?* h ™ di ? 

vide credit * the large iradi- and the Government’s highly logs were to be raised by 4 per depositors away from cheque **”• Nedbantfs executive direc- orl gmal one-for-three offer f^anVaSSed cused Wlth “ST South 

tional flows of foreign capital restrictive monetary and fiscal cent. Although quantitatively accounts to longer term savings t0 Ei , DnrQCC , om has made in February. The new African bank." 

into the region have dwindled policies. the move is still very cautious, accounts. Over the past five th^bSks having^o corf- management P^mired a The way in which Standard, Banking sources believe thirt* 

to a trickle over the past two The past year has been one of providing between RgOm. years the proportion £ deposits JJJJ 1 to pJoviLn for “SS^SnSS^eMrves ^Sd and Baretoys, South Africa's a i* 0 ugb its attitude is uX 

years. Only in recent months painful re-organisation and t £1 °6m > and RSOOm- (£lS7m.) held by the commercial banks business failures, particularly down Trust’s biggest bank, will run down standa ble, the Government is 

has there been an appreciable, rationalisation n the wake of a in additional credit facilities it in cheque accounts has declined badto Mt wnstruction their foreign holdings remains a over-hasty in its desire-to 

if fractional, improvement in second a ry banking crisis caused ,s a notable departure from the from as much as 50 per cent. not ^vestment portfolio. e matter 0 f considerable specula- red^efore^ o^ershiptotte 

surprisingly, the smaller banks Baj ^ was ab j e t0 announce that ti on - ^ to” 118 °f a J978 banking sector. They must be 


Time tells 



At the turn of the century this historic clock served students 
at the Sapporo Agricultural College who were busy learning 
skills that would contribute to the development of Hokkaido, 
japan's last frontier. 

At the same time-in 1 900 -the Hokkardo T akushoku 
Bank mos chartered to finance development projects on 
japan's northernmost island, and continues to serve local 
industries and communities long after the successful 
completion of its original mission. 

Today our operations are world-wide, ranging from the 
routjne issuance of letters of credit to the provision of funds 
and advice for international trade and development projects. 

Time tells. A success story that began over three-quarters 
of a century ago attests to the competence and reliability of 
the Hokkaido Takushoku Bank and endorses the steady 
advancing of the Hokkaido Takushoku Bank. 


& Ny Hokkaido Takushoku Bank 

^ — Sapporo, Japan — 

International Dept.: 3-13, Nihonbashi 1-chome, Chuo-ku, Tokyo Phone: 03(272)6611 Telex: J 22804 
London Branch: 6 Basinghall Street, London EC2P 2DR Phone: 01 (606)8961 Telex: 884353 
Other Overseas Offices: Dusseldorf, New York, Los Angeles, Seattle, Chicago, Houston, Hong Kong 
Subsidiary: Takugin international (Asia) Ltd., Hong Kong 


have been most severely ^ Kg5nJ - lifeboat ” support m e n t to the South African ^ankful, however, that they are 

affected. Shaken by the collapse fun(J up 5^ Banks Act, they had to lodge a not ^ neighbouring Mozam- 

In the property market, smaller banks t * support the smaller Plan with the Registrar by April b i quei where the Government 

banks have progressively been haTlkc , in face of a run on tost year for reducing their ann0 unced in January that it 

taken under the umbrella of the deposits could be disbanded, foreign holding to 50 per cent bad nationalised or closed all 

major banking groups— Barclays after threatened institutions by July 1986. but on e bank. That ironically. 

National, Standard, Nedbank, bad stepped up their ratios of Mr. Anthony Tuke. the was the one with a South Afri- 
Volkskas, and the Sanlam and long-term deposits chairman of Barclays, confirmed can interest. Banco Standard 

empire represented by the Bank ^ short-term. .at the last London AGM that it Totta de Mocambique, in which 

Holding Corporation of South The reorganisation of the was doing just that. Very few Stanbic and Anglo American 
Africa (Bankorp.). . sector has continued, however. South African institutions could each hold 5 per. cent, Standard 

The year has seen continuing with Stanbic, the holding afford a straight purchase. The Chartered 30 per cent and 
rationalisation and acquisitions company of Standard Bank, other ways of carrying out the Banco Totto Acores 40 per cent 
among secondary banks, includ- announcing its latest move this operation are.<by rights issues 
ing Concorde, San tarn, Bank of month with the takeover of or by local acquisitions, and 


Quentin Peel 


DEVELOPING COUNTRIES 


CONTINUED FROM PREVIOUS PAGE 



% of Australia’s 


their loans out of foreign ex- and among the international extent to which the need will be In these circumstances prob* 
change earnings derived from financial institutions but they met. That it will be heavy there ably the most welcome develop* 
exports to OECD are more prob- are mainly directed at the is no doubt— one estimate, meat of the last year has been 
lematical than was thou^it poorest countries. which claims to be con'serva live, the increasing commitment of 

some time ago, as a result of a At the last UNCTAD meet- suggests that by 1930 for the sLx German, Japanese and Swiss 
fall in the expected growth rate a couple of months ago the major LDC borrowers bantos to the Euromarket and 
of OECD countries and of world developed countries moved a (Argentina, Brazil. Korea, particularly to lending to the 
trade. step forward further towards Mexico, Peru. Philippines! of LDCs. It is significant that. two 

3 — The extent to which LDC an initiative on the debt prob- every two dollars borrowed from Swiss banks are included In the 
portfolios may prove an embar- lem of the poorest of the LDCs. banks, one would be to service consortium of eight -which are 
rassment to the banks in the Tins took the form of a reso- old debt. spearheading the reorganisation 

future will therefore be deter- j u tjon stating that the developed That the US banks at least of Turkey's debt (well over half 
mined by the extent to which countries would “seek to adopt" are so committed to this market of the convertible lira accounts 
further refinanci n g is available measures adjusting the terms of as to make it essential for them — the debt, being rescheduled— 
in a couple of years time and aid given in the past to bring that the debt be rescheduled to thought to be denominated in 
thence forward. it into line with the current i f necessary there is also Swiss francs). The increased 

The indications are that the practice whereby most aid takes no d 0ubt The most extreme involvement of the surplus 
bulk of the refinancing would the form of gifts rather than example so far is Citicorp, countries in this busmess. is 
have to come from the banks, loans (Le., in the case of some- whicb last year earnei i more t n crucial: what it means is that 

S" JSSEE' . £2 countries , at Jeast waive repay- W1 3lone ^ it u the full burden of financing any 

occurred at governmental level meat of the principle and ug (Us forei&n Mrnlngi as a ldc problem which emerges 

interest on past aid loans). And wbole were more tban four will not rest merely, on the 

sr^WTssnsi “ 0£ *** ri ** a 

■ Maty Campbell 

- . ■ — " •• ■sorted out 

However, since the poorest 

LDCs have not been significant 



are st^fiMed by Olivetti. 
Banks Ikaow whom to trust. 


The problem 

To assist Australia s financial institutions in serving the country’s fast- 
expanding economy with flexible and reliable terminal systems for on- 
line handling of all banking transactions. 


The customers 

The biggest savings banks and building societies in Australia, including 
the Commonwealth Banking Corporation, State Bank of Victoria, Savings 
Bank of South Australia, State Wide Building Society, Hindmarsh Build- 
ing Society, United Permanent, Joint Services Network, and others. 


Euronuir&'eis 'Editor 


borrowers from the inter- 
national banks, tins initiative — 
if it materialises in action — 
would not alleviate the debt 
problem of the countries they 


have lent money to. 


The solution 

The new Olivetti TCS00 intelligent terminal system. In a country where 
80% of the banking terminals already in use were supplied by Olivetti, 
today's market eagerly welcomes the TC800, reaffirming the success of 
earlier Olivetti systems. An outstanding example: at the Commonwealth 
Banking Corporation, which uses one- third of the systems installed in 
credit institutions throughout Australia, all the terminals were supplied 
by Olivetti. 


The choice 

Olivetti TCS00 terminals are being chosen in preference to those of other 
major manufacturers because they are intelligent enough to function 
outstandingly on their own, yet can be adapted easily to join any network. 
The high reliability of Olivetti after-sales service is another important 
factor in their selection. 


Companies everywhere are choosing Olivetti systems 
Here are the latest world-wide totals: 330,000 accounting machines; 
140,000 data processing systems and personal mini-computers; 65,000 
terminals and data collection units; 150,000 teleprinters and telecom- 
munications units. 


THE INTELLIGENT CHOICE IN DISTRIBUTED PROCESSING 



There are other potential 
sources of funds for these 
countries, notably he Witteveen 
facility and emergency loans 
given for political reasons such 
as are currently under discus- 
sion for Zaire. And indeed the 
political factor should not be 
overlooked. It is difficult to 
believe that it is a coincidence 
that the US banks have most 
money at risk in countries which 
have dose political ties to the 
US, notably Brazil and Mexico. 
But basically, unless major new 
initiatives are taken by govern- 
ments, the refinancing burden 
will fail on the shoulders of the 
banks. 

The question therefore is the (I 


THE BIGGEST BANK 
THAT KNOWS TAIWAN BEST 



Trading with Taiwan is always profitable. This has been aptly proved by the facts that 
Tm wan has now trading partners numbering over 100, with a 2-way 
•trade volume exceeding USS 17.87 billion Iasi year. If you want to join others • 
to tap the enormous lucrative business sources but do not know how to start with, ' 
let Bank of Taiwan helps you. We are the country's biggest end most experienced hank 
with branches in evwv Taiwan population remar and i 

cofrwpojrxienfis in many major cities of the worlds 



BANKOFTAIWAN 


P.O. Box 30S, Taipei 100. Taiwan. 

Cabfc: TAIWAN BANK, TAIPEI 

Phone; 371-9111. 371-7171 TobsmiMLlHiatt 

CJuinnaa: C. K. Mi/freditcnt: C. H. Y*ng 



International 



Whchester House' DO Qd Btoad StBetlmJonK2M 1BE 
Telephone 0-638 3588. Telex: 88H91 
883458 (Fdeign Ekharge) 


The specialised bonk 
for financing energy 

requirements worldwide 


diaehddeffi 

BarkcfSmfondBanqjeWsffrBBad^Bc^ 

fepi*: Ndhnd Bonkof Daks Qhajgh fa Sod^ 







■T—Z-. -v v -r. _ 






...\ 1 


■ 

n" 


r - 

« 


v- 


s‘ ■- 

i- . 


i-. . ■ 
»■ • 


-T . 


^ViV.V.V.V 

M 


i 





V J 











I 


i 


Financial Times Tuesday May 30 1978 

NEW CENTRES 


19 


WORLD BANKING XXVII 


Challenge to establishment 


WHILE LONDON remains the 
unquestioned leader in the 
Eurocurrency markets, its over- 
whelming pre-eminence has 
been increasingly qualified as 
competing financial areas have 
built up their share of this 
business in the handling and 
investment of international 
funds. 

Not the least of these rivals 
have been the various so-called 
offshore centres in regions as 
various as the Caribbean, the 
Middle East and south-east Asia 
which offer the attractions of 
tax-saving and of lower operat- 
ing costs. Some of these, such 
as the Cayman Islands, have 
been of such comparatively 
recent growth that as late as the 
beginning of the 1970s they were 
virtually unknown oil the bank- 
ing map and not instantly 
recognisable by everybody on 
the geographical one either. 

In an article in the January 
1978 issue of The Banker, Mr. 
David Ashby, senior economist 
of Bankers Trust Company in 
London, estimated that between 
1973 and 1977 London's share of 
the total Eurocurrency market 
fell from 40 per cent to 38 per 
cent. In absolute terms, of 
course, that development repre- 
sented a considerable rise, since 
the gross size of the market 
worldwide went up during the 
four-year period from $317bn to 
$614bn. 

Non-European participation 
in the market, however, in- 
creased much more sharply, the 
joint share of the Bahamas and 
the Cayman Islands alone, for 
instance, rising from 8.3 per 
cent to 13.3 per cent, while that 
of Singapore — a key element in 
the new Asiadnllar sector — 
moved up from 2 per cent to 3.t 
per cent. 

In a market whose pattern 
never stays still, the latest 
thought being canvassed is one 
which, if Translated into reality, 
could add another important 
chapter to the story in which 
the big U.S. and other inter- 
national banks first set up Euro- 
currency operations in London 
and afterwards also started 
bonking large business through 
offshore centres in the Carib- 
bean and elsewhere. The new 
idea is that a new low-tax or tax- 
free “ offshore " banking centres 
might be set up in New York 
itself or in other American 


cities, so promoting the repatri-what restricted last year, as the 
ation of much international profitability of international 
business now handled by U.S. business was considerably 
banks and others through eroded. A squeeze on the 
centres abroad. spreads obtainable between 

Such a development would re- borrowing and lending rates be- 
quire tight controls to prevent came sharply apparent as a 
tbe tax benefits seeping out into result of tougher competition 
the surrounding domestic bank- and of the world recession 
ing system for which they were which made for a borrowers* 
not intended, and the move is market, 
not thought, even by its most . . . . e , _ 

optimistic proponents, likely to ,_ A stu< *7 Salomon Brothers, 
become reality in less than two- the P^nment New York invest- 
to-three years’ time at the least bankers, has noted that 

of Nl Z the f rsi' 8 o b n ‘“fmer- 

possibility should be enough^ natl r orfal 1 business by only 8 per 
make rival centres examine de- in 19 ^ 7>w hen their business 

fensively the adequacy of their f. ° f 

own appeal. 11 per cent in earnings. 

Just how quickly the position This was in contrast to the 
in the fast-fluctuating and ever- average showing over the years 
growing Eurocurrency market 1972-77. when the U.S. big ten’s 
can change is shown by the rapid international earnings showed 
expansion of the Caribbean an average annual growth of 
centres, the very areas whose -2.8 per cent, as against a 
position would he most meagre 4.4 per cent on the 
jeopardised by a development of domestic side. Tbe pattern bad 
“ offshore ” centres “ on-shore ” already been changing to the 
in the U.S. disadvantage of profitability on 

The rapid expansion of the the International side in 1976, 
Bahamas and the Cayman when average domestic earnings 
Islands over the past few years rose 5 per cent and those 
as the main Caribbean offshore abroad by only 1.7 per cent. 

SS** srs? 52 b,nta -r-r sr ° u T: 

in expanding their international branches and offices which 
operations as a buttress to the big mteraational banks 
somewhat stagnant profits on n J amta >" ^ offshore centres has 
their domestic business. a ^ s0 tended to slow down with 

These banks have now for the recent d 1 uII ? r economic 
some years booked a great deal though increases are 

of international business being seen, particularly m 
through so-called shadow fast-expanding situations such 
branches in places like the as Bahrain and Singapore. 
Bahamas and the Caymans which significant pointers to The 

? S* ^i®V 0! V nd growth in the offshore areas and 
which offer attractive tax advan- ^ relative shifts in importanre 

tages. The system allows the ^ be se £ ^ 

wiih i* 8 £ ldr ?Z* statistics maintained by the 

AmpHnai b L Bank of England, in sterling 

American authorities as an t f British banJcs . deal _ 

overseas branch but does not J” ’ 

require the full panoply of the !”??■ boUl “ I " dm . aod 
normal kind of overseas opera- '> or ™were. with the yanons 
tion H centres. Given London’s leading 

As a result of these arraoee- place in * he worldwide Euro- 
merits the American banks business, its trans- 

whicb. as Mr. Ashby points nut, acl,,ms musl certainly be an 
had only S2=hn of dollar assets important gauge of the evolym- 
in the Caribbean at the end of role » f «be various offshore 
1973, when their correspondin' centres. 

London holdings were $40bn. In terms of lending to UK 
had by September 1977 banks the Bahamas— acknnw- 
muitiplied the former total ledged as the second largest 
some three times to $67bn, a Eurocurrency market after 
figure surpassing the $B4bn they London — maintained its posi- 
then held in London. tion as the biggest source of 

Growth of business in the offshore deposits to UK banks, 
offshore centres, as elsewhere, although UK liabilities to it 
tpnded, however, to be some- at the end of 1977 were, at just 


under £3bn, some Ilbn lower 
than a year previously. Some 
of this fall was balanced by 
a smaller rise in business from 
the nearby Cayman Islands and 
a slight increase in that with 
Bermuda. Tbe total for 
Panama declined somewhat to 
£947m. 

Hong Kong held its position 
as the next largest offshore 
lender after the Bahamas with 
a slightly reduced total of some 
£1.8bn funds placed with UK 
banks, while the trend for 
Singapore to grow relatively 
was reflected in an increase of 
£45m to £8G0m. The large 
increase from only £31m in 
1971 highlights the rapid expan- 
sion of Singapore in the Asia 
dollar business which it has 
made such efforts to nurture. 

The Lebanon, where financial 
business is reviving after the 
troubles, raised its importance 
as a source of funds for London 
with an increase of f86m to 
£94 Sm at the end of 1977. 

On the other side of the 
account, the Bahamas also leads 


as The major taker of funds 
from the London market, 
though again the total in 
December, 1977, at £5.9bn, was 
less than the £6.9bn or so a 
year earlier. 

Tbe Cayman Islands also 
showed a fall of over £{bn to 
£1.6bn as a borrower of funds 
from the UK Singapore's role 
in the A.siandollar market was 
represented by it with second 
place among offshore centres as 
a laker of funds from the Lon- 
don market, though with a 
slightly smaller total of £3.1bn 
than 12 months before. Hong 
Kong came third, with an 
increased figure of £2.1bn, 
against fl.Sbn. 

The Netherlands Antilles and 
Bermuda were centres to record 
some increase, against the 
generally lower 1977 tend, as 
borrowers of funds from 
London. 

Naturally, the new offshore 
centres pay close attention to 
the tax and other regimes they 
operate to ensure these are 
reasonably appropriate for the 


Eurocurrency-type business. 

In Singapore, geoerally 
regarded as the centre of the 
recently-expanded Asiandollar 
market — which is also active in 
Hong Kong — certain concessions 
have recently been made to 
assist tbe growth' of the busi- 
ness. The stamp duty on negoti- 
able instruments has been 
adjusted from th<& previous 
general basis of 0.5 per cent, to 
include a maximum stamp fee 
of S$500, while the conces- 
sionary 10 per cent tax rate on 
the offshore earnings of Asian- 
dollar dealers has been 
extended to cover the results 
of certain additional services 
provided by such operators. 

In Hong Kong, often con- 
sidered to be complementary to 
Singapore as dealing .mainly in 
non-bank loans, though inevit- 
ably a competitor to some 
degree, the trend has been, how- 
ever, towards some limited 
stiffening in tbe 1978 Budget of 
tbe previously very liberal tax 
regime. 

Margaret Reid 


SOUTH KOREA 


Ventures to aid 
export drive 


IN MARCH the Korea Exchange 
Bank (KEB) and Banque 
Bruxelles Lambert set up the 
Korea European Associated 
Finance Company in Brussels. 
Then, this month, a consortium 
of Korean and Arab banks set 
up a joint-venture merchant 
bank in Cairo, the latest in a 
long line of Korean Initiatives 
to “ internationalise ” Korean 
banking. Next on the agenda is 
a Panama venture with Latin 
American interests. In short. 
Korea is expanding its financial 
presence to keep pace in growth 
markets with Korean exporters 
and construction companies. 

The push follows soon after 
the rapid creation of merchant 
bank ventures with foreign 
partners In the Korean capita J 
Seoul. The first such under- 
taking. Korea Merchant Bank- 


ing Corporation (KMBC) was 
set up in September, 1976 (with 
Lazard Brothers and Co. as a 
50-50 partner for an assortment 
of Korean banks and industrial 
companies). Some of Lazard's 
holding has since been taken 
over by Barclays, and others 
may want to join the bank now 
that KMBC’s gamble has paid 
off handsomely. 

Meanwhile, the Korea Kuwait 
Banking Corporation was set up 
with Kuwait interests in 1977, 
and last March Mr. Ghait 
Pharaon’s massive Triad Hold- 
ing Corporation of Saudi Arabia 
has pnt up half the funds for 
the Asian Merchant Bank. Set up 
as a joint-venture finance com- 
pany with a group of Korean 
businesses and banks led by the 
Daehan Group (34 per cent), 
the new merchant bank is seen 


as a major attempt to funnel 
petrodollars into Korean indus- 
try from the Middle East 
The 14 internationalisation ” of 
Korean banking has neverthe- 
less run into some problems. 
The domestic banking system 
remains very backward, not least 
because of strict government 
control of interest rates which 
has permitted the growth of a 
massive “curb” market. Gov- 
ernment regulation (via the 
Bank of Korea and Ministry of 
Finance) has also kept a lid 
on the activities of foreign bank 
branches-., in Seoul, especially 
since late 1977 when Korea's 
international borrowing position 
improved so drastically that the 
Administration was forced io 
clamp down on foreign currency 
lending by bank branches inside 
Korea. 


Foreign banks have made 
clear their displeasure at the 
new controls on dollar as well 
as local currency <81 equals 
local currency won 484) lend- 
ing, but the fact remains that 
the foreign stake in Korean 
banking bas risen rapidly since 
tbe boom began in 1976. Total 
outstanding lending by foreign 
banks grew especially quickly in 
tbe second half of last year; 
it stood at $540ra or 5 per cent 
of total lending in Korea at the 
end of June 1977. By end- 
August the foreign share had 
risen to 5.4 per cent, then to 
6.3 per cent in October and 
6.6 per cent at tbe end of last 
November. 

Alarmed at the possible con- 
sequences on smaller Korean 
lending institutions, as well as 
the adverse effects of a too 
rapid foreign currency inflow. 
Seoul cut back “swap” limits 
(for converting hard currency 
into won for on-lending pur- 
chases) and put a ceiling of 
$2(K)m on the branches’ hard 
currency lending in 1978. 

The foreign banks in Seoul 
disagree on how best to secure 
concessions from the Korean 
Government, largely because 
they are divided between the 
bigger (usually older) branches 
and the smaller new entrants. 

Seoul, for its part has eagerly 
handed out banking permits to 
foreign institutions in order to 
(a) modernise the domestic 
banking system and (b) open 
up an important source of 
corporate dollar financing. At 
the outset foreign banks were 
able to dictate lending rates 
but this is no longer so. 

Most immediately, Seoul 
wants to make it possible for 
Korean companies to borrow 
foreign currency from the banks 
without a guarantee — a 
phenomenon unheard of one 
year ago but now quite common.. 
To entice foreign banks to lend 
unmortgaged, the Ministry of 
Finance permits them to over- 
shoot their individual lending 
ceilings by as much as 50 per 
cen: on condition that the 
increment of loans does not 
carry any guarantee to protect 
the bank. So if all foreign 
branches were to co-operate and 
lend to the limit, the combined 
ceiling on foreign currency 
loans in 1978 could be S300m. 
not $200m. On present form 
most bankers reckon the final 
sum will be closer to the 
higher rather than- lower level. 

“We have had to reduce our 
local currency facilities too.” 
s**ys one American banker, “and 
we don’t like it” The effective 
cu« in swap amounts has been 
20 per cent, from peak levels, 
despite the rapid growth in cor- 
porate demand for local cash. 


The threat posed by the ex- 
panding •* curb ” market is by 
□o means faced only by foreign 
banks. The big Korean com- 
mercial banks are not happy 
either. Government controls 
keep a tight rein on interest 
rates (typically at 16 per cent 
per annum on most corporate 
lending) while loan sharks out- 
side the banking system charge 
anything from 3 per cent to 4 
per cent a month (and at very 
minimum 25 per cent a year). 

The need for interest rate 
adjustments is all the more 
pressing because they hare got 
out of phase in the past year. 
After all. publicly listed com- 
panies are paying typical divi- 
dends of over 20 per cent., and 
bousing bank debentures pay 24 
per cent. So the 16 to 17 per 
cent rates which are prevalent 
in the banking sectors are just 
too low. 

Despite repeated rumours of 
deregulation in this field, how- 
ever, the most recent evidence 
points to a lower level of in- 
terest rates — albeit on foreign 
currency loans. In late April 
the Ministry of Finance pared 
the rate charged on foreign ex- 
change loans by up to t per 
cent. As a result. long-term 
loans, for over seven years for 
instance, now carry 1.25 per 
cent over the London interbank 
offering rate (Libor) instead of 
1.75 per cent. For maturities 
of between six months and 
three years the cost is five- 
eighths over Libor instead of 
the 1 per cent charge previously. 

Underscores 

The move underscores once 
again Seoul’s committment to 
make easy cash available to 
local businesses for financing 
imports (notably of capital 
equipment) as well as promot- 
ing foreign curemcy borrowing 
onshore rather than offshore. 
The paradox, however, is that 
Korea itself is now managing 
to borrow much more cheaply 
offshore than ever before — 
hence the ability to cut rates 
for onshore lending. 

In particular the Korea 
Development Bank and Korea 
Exchange Bank recently 
arranged with the top American 
banks to borrow SSOOro. in the 
Euromarket at a fraction of the 
2 per cent over Libor which 
was common only two years 
ago. The new rate of five- 
eighths (on a JO-year borrow- 
ing instead of the maximum 
seven years previously) was 
quickly taken up in the market 
and appears to have let Korea 
dump it? image (and penalty) 
as a risky borrower because of 
its security position. 

Douglas Ramsey 




•• 

•• 




>*• •••* 


From its newly opened Head Office in 
King William Street, Banque Nationale de 
Paris Limited has a fresh view of the 
world of international commerce. 

Banque Nationale de Paris Limited is an 
international commercial bank, matching 
business capability with the wisdom and 
experience accumulated from over a 
century in the Gty of London. 

As a member of the BNP Group, one of 
the world's largest banks, BNP Limited 
has direct access to a network which 
extends over sixty-eight countries. 

BNP is there to help and advise, wherever f if 5 

you do business. '***' * 


Banque Nationale de Paris L 



8-13 King William Street, London EC4P4HS,Telephone: 01-626 5678, Telex: 883412 BNP LNR 
■ ; ;H : AlsoinKnightsbridg^, Birmingham, Leeds and Edinburgh 

BNP Group Head Office: 16 Boulevard des ftaiiens, Paris 75009 

ViVMVWMVtVtWMVMVMV*VMV«V«VMV9V*V»VMVAWWMVWWW*V«ViViV*V*W*V^ 











Whether your market is Japan or international, you'/I want to 
know us— Toyo Trust. We're one of Japan's major trust banks, 
offering full banking services in Japan, especially long . 
term credit. We stand ready with the - knowledge 
‘ and know-how you require. 






TOH 






The Tovo Trust <& Banking Co.. Ltd. Tokyo, Japan 

International Dupan merit: --5. t-ciionv Nrhonbastii. Chuo-ku. Tokyo. Japan 

lcfaphuna 03-271-7881 Trtex J22123 7YTBKU 
New York Branch: Address !40 BmhcK.tv (37lh fl New York. NY. 10005 U.SA. 

T'jtnjilicnc" |212. 4301234 Teten. 222675 (TTBCUR) 

London Representative Office: Addr./Sb G»!leli House E5 Basingtiall Street London EC2V 5EE. U.K. 

TelepliC'W 0N3O3-2416 Telex S3561 9 TVTSK LDN 

Hang Kong Representative Office. AocIrciS 26th Floor. Ateondrs H.-tuse 16-20, Chater Road. Central, Hong Kong 

Telephone. b-265c57 Tele* S5198 TYTHK 





New way to Brazil 


2 Finch Lane 

the new premises recently inaugurated forthe London 
branch of BANESPA. 

One of Brazil's largest banks, BANESPA opened new 
offices in Paris on 25th May, and subsequently intend 
to have further branches in Madrid and Mexico City in 
the very near future. 

BANESPA has 450 agencies throughout Brazil, and 
foreign representation in Asuncion, Tokyo, New York, 
Los Angeles, Frankfurt and Cayman. 

We will be glad to advise you about the many 
business opportunities in the expanding Brazilian 
market 

2 Finch Lane, London EC3V 3NE 
Telephone: (01) 623-2291 
Telex: 886839/887996 
Forex: 8814963/4 


Banco do Estado 
deSaoPauioSA 










UNITED STATES 


Financial Times Tuesday May 30 1978 

WORLD BANKING XXVUI j 0 ^ 




IN 1960 only eight U.S. banks 
had overseas branches and their 
foreign assets totalled $3.5bn. 
By the middle of 1976 there 
were over 100 ITS. banks with 
branches abroad and their 
foreign-held assets had mush- 
roomed to $I 81 bn. 

The figures , are drawn from 
a Congressional study of the 
banking industry prepared last 
year, but the story they tell is 
echoed elsewhere. Thus a recent 
Salomon Brothers’ analysi s of 
the U.S. - banking Industry 
reported that during the first 
half of the current decade the 
international earnings of U-S. 
banks grew at an astonishing 
37.3 per cent compound 
annually. The result is that by 
the end of 1977 the top ten 
largest U.S. banks earned 
precisely halF their income fro™ 
foreign operations, and Citi- 
bank. the second largest U.S. 
commercial bank and the 
institution generally credited 
with leading the charge over- 
seas. drew a staggering 82 per 
cent of its net income from 
overseas. 

The massive build-up of over- 
seas lending in the past five 
years in particular, and 
specifically after the 1973 oil 
crisis, has been fuelled by the 
needs of many countries to 
borrow in order to cover their 
oil-induced payments deficits. 
Since the oil producers were 
placing their deposits with com- 
mercial banks to a large extent, 
it was the banks which did the 
lending to the deficit countries. 

The banks have been able to 
argue that recycling was thrust 
on. them and by undertaking the 
task they have done the world 
economy a service. As the 
figures indicate, it has been a 
highly profitable service to per- 
form but last year there 
emerged clear signs that US. 
banking has reached something 
of a turning point. 

It would perhaps be going too 
far to say that the big banks 
have become disenchanted with 
foreign lending but there is no 
doubt that a growing awareness 
has emerged that whatever the 
“ diminishing " attractions of 
_ this foreign business, the fact 
A remains that the big banks had 
p better get back to tilling their 
I own backyards more carefully if 
| they are not to lose out to 
| mounting competitive pressures. 
I There are many reasons why 
I the' leading U.S. money centre 
I banks like Citicorp, Chase Man- 
si hattan and the big Chicago 
I banks — are beginning to focus 
I more of their attention on their 
dotnestic markets. One is that 
there has been mounting con- 
cern from regulators and Inves- 
tors about the risks of some of 
this foreign lending. In addi- 
tion. however, in 1976, when 
international earnings rose a 
| meagre L8 per cent for the top 
1 30 banks according to Salomon 
I Brothers, and again last year 
| when they rose by 8 per cent, 
| there are signs, that foreign 
g lending is less profitable than 
1 it was. reflecting narrowing 
| interest rate margins and ris- 
| incf international loan write- 

I °ff s - 

| Many hanks, moreover — and 
| one could imagine Citibank in 
I particular feeling this way— 

I are beginning to wonder just 
I how dependent they want to be 
| bn foreign earnings. 

I But at least as important as 
g these factors has been the grow- 
I ing recognition among the big 
i banks that they are in serious 


danger of lasing out domesti- 
cally unless they come up wnn. 
some new responses to mount- 
ing domestic competitive pres- 
sures. 

The most obvious indication, 
of this danger has been the 
striking .performance, particu- 
larly last year, of the 
dozens of regional banks m 
cities like San Francisco, 
Dallas or. Seattle. There are 
over 14.000 banks in the U.S., 
most of them diminutive, but 
the top 150 all have assets com-, 
fortably in excess of $1.5bn. 

Last year an index of the 22 
major regional banki n g com- 
panies indicated that the banks 
reported an- average earnings 
increase of around IS per cent. 
But the eight largest money 
centre banks reported ear n i n gs 
increases of an average of only 
9 per cenL The difference 
reflects fundamental changes 
in the ftructure of U.S. banks’ 
operations and . it is these 
changes which are demanding 
that the big banks pay more 
attention to what is happening 
in their own backyard. 

Perhaps ' the most funda- 
mental change has been the 
lessening dependence of major 
companies on their big bank 
suppliers of. short-term credit. 
So large multinational com- 
panies now say that they no 
longer use shortterm back 
credit at all confining their 
bank business to medium-term 
facilities. 

They are meeting their short- 
term credit needs in the com- 
mercial paper market where 
interest rates on inter-company 
lending are lower. When credit 
gets tight again this alternative 
may lose some of its attraction 
but for the time being it bas 
had a marked* impact on the 
banking business. 

Thus In 1977 while loans at 
New York banks rose by only 
2.2 per cent to commercial 


customers, in other Federal 
Reserve districts loan volume 
increased by a fifth — as in San 
Francisco and Dallas for 
example. 

The regional banks thus 
profited from greater lending 
opportunities. Their lending 
margins improved too because 
unlike New York banks they 
are less dependent In general 
on money market funds to lend 
out. The narrowing of margins 
at the money market banks will 
also have reflected their grow- 
ing determination to try and 
meet the competition. Thus 
banks such as Chase Manhattan, 
and even the august J. P. 
Morgan, have begun to intro- 
duce loans priced at below the 
prime rate to their best 
customers in an effort to com- 
pete with commercial paper. 


Efforts 


Another indicator of the big 
banks’ Increasing attention to 
tbeir domestic business has 
been their growing efforts to 
woo the medium-sized company, 
the company with sales revenues 
under the $50Om mark that 
cannot readily participate in the 
commercial paper market. For 
this reason the regional banks 
have not been starved like the 
big money centre banks of 
commercial and industrial 
lending opportunities. But the 
big banks are responding as 
best they can within the one- 
State branching laws of the U.S.. 
by going out and trying to win 
a bigger slice of this business. 

Another indicator of the in- 
creasing attention which the big 
banks are paying to their 
domestic operations is the new 
emphasis they are placing on 
trying to turn their High Street 
retail bank branches into more 
profitable — and in some cases 
into profitable — operations. No- 
body pretends that this business 
is anything more than a mar- 


ginal profit maker for most big 
bonks like Chase, Citibank or 
Bankers Trust. ' ' 

Citicorp has characteristically 
taken the- most publicly aggres- 
sive approach and is spending^ 
millions of dollars installing 
automatic teller machines which 
can take deposits and pay out 
cash in varying denominations 
24 hours a day without aor 
human oversight. It is an entre- 
preneurial gamble because if 
customers do not use the 
machines and still demand the 
personal teller window service 
Citibank could be spending 
unwisely. 

Other banks too. however, are 
busy experimenting or develop- 
ing more automated systems in 
their domestic operations in 
order to up-date them and 
improve their profitability-the" 
buzz word is electronic funds 
transfer (EFT). 

These changes, the growth of 
the larger regional banks and 
the competition from the com- 
mercial paper markets are all 
changing the face of U.S. bank- 
ing. Whether these changes are 
as fundamental as some suggest 
remains to be seen. As credit 
conditions tighten and money 
becomes scarce there are those 
who predict that more tradi- 
tional patterns will reassert 
themselves, with the big multi- 
national customers turning 
again for short-term credit to 
the big banks on a massive 
scale. 

Some suggest that recent 
credit growth indicates that this 
could happen later this year 
and tbat in any case by next 
year some banks will be 
urgently needing new capital, 
loan or equity, in order to meet 
the demands for funds which 
the economy' will then be gen- 
erating as the recovery from 
recession moves through its 
fourth year. 

Stewart Fleming 


INTERNATIONAL MONETARY FUND 



of 


THE INTERNATIONAL Mone- 
tary Fund,. its power and influ- 
ence growing steadily, has been 
preoccupied in the past year by 
the problems of the world econ- 
omy, by fears of protectionism 
and by gyrations of several of 
Lhe world’s major currencies. 

Although the world has sur- 
vived the four-fold increase in 
the price of oil rather better, 
than many In the Fund and else- 
where expected. . there are 
several serious problems still in 
the process of being solved as a 
result of it. The price rise has 
been particularly difficult for 
developing countries some of 
which have found the medicine 
proscribed by the Fund not at 
ail to their liking. 

In its role as world economic 
policeman — a role that it has 
come increasingly to play in the 
past year — the Fund bas encoun- 
tered stiff resistance from 
Jamaica and Is currently very 
concerned about the situation in 
both Zaire -and Peru. 

This concern, of course, is 
shared by commercial bankers 


who have come to see IMF ap^ 
proval for the economic policies 
of countries as an indispensable 
sine qua non for further help. 
One example of a country 
where the Fund has had great 
success is Turkey, where agree- 
ment on a Fund programme 
was followed by a mew willing- 
ness to consider lending on the 
part of commercial banks. 

Fund officials are conscious, 
however, that the link between 
the IMF and these banks is 
open to misinterpretation. Time 
and again it Is stressed at the 
IMF’s headquarters in Washing- 
ton tbat the Fund is not “in 
league ** with these banks* that 
it does not want to be and that 
its objectives are by no .means 
always the same as those of the 
banks. Nevertheless, there are 
tbose, particularly' on Capitol 
Hill, who are sceptical about 
these IMF assurances. 

The Fund has assumed its 
role largely because there is 


no one else and no other 
organisation equipped to “hold 
the ring.’’ It is a very sensitive 
job' and one which is getting 
steadily more so. It involves 
decisions that are exceedingly 
difficult to make, and often 
have to be taken on the basis 
of faulty or incomplete informa- 
tion and. as the recent riots in 
Peru have underlined, there 
may be explosive political conse- 
quences as a result of the 
diagnosis made by the IMF. 

Yet even as the Fund con- 
tinues to “ police ” the situation 
in the developing world it Is 
now moving, albeit gingerly, 
into the whole issue of exchange 
rate policy among the developed 
nations. Under the revised 
Articles of Agreement which 
came into 'effect this spring the 
Fund has a new power, that 
of “ exchange rate surveillance." 

On paper this power, under 
which the Fund would monitor 
movement of exchange rates and 


CONTINUED ON NEXT PAGE 


Central National Bank. 

The international bank in Ohio -- 
at the center of industrial America. 


Central National Bank of Cleveland, Ohio, offers 
comprehensive international banking and financial 
services along with highly specialized knowledge 
of the areab major industries: automotive, chemical, 
construction equipment, machine tools, rubber, steel, ' 
.and glass. 

If you or your clients are interested in dealing with the 
leading companies in these industries, make Central 
National Bank of Cleveland your first stop at the center 
of industrial America, 

Headquarters 

800 Superior Avenue, Cleveland. Ohio 44114 
Telex: 980-174 CENTRAL 
Cable: “CENTRAL" 


Paris Representative Office 

33, rue Galilee,- 75116 Paris, France/723.72.24 
Telex: 620615 PARIS 

Mexico City Representative Office 
Paseo de la Reforma, 292-501 
Mexico 6!D:F., Mexico/905-533-4S-58 
Telex: 017.-75-722 CNECME ’ 

Nassau, Bahamas 

Central Cleveland International Bank 
55 Broad Street, New York, N.Y. 10004 
Telex: 12-7779 CENTRALINT 
Cable: “CENCLEVINT" 


Central National Bank of Cleveland-Consolidated Balance Sheet 
(In Thousands of Dollars! 

December 31. 1977 Liabilities n. 


Assets December 31. 1977 

Loans .'...$1,061,-129 

Due from Banks -Time 26.800 

Securities -486,631 

Cash and Due.from Banks 247,648 

Other Assets ; J 94.928 

Total Assets. . . . ; .81,917.136 


Central 

Central National Bank of Cleveland 


^ aou, i ties December 3 1. 1977 

Deposits $1,437,087 

Borrowed Funds. 308,347 

Other Liabilities 39,057 

Total Liabilities 1; 784, 491 

^P 1 ^ 1 "* 132,645 

Total Liabilities and Capital. . . .81,91 7,136 




<* 


1 ‘ J 

Li 



: 9* r- 
\ i 


a \ 
I 




© ' 
kN 




* ‘ 

■» ft . 







Financial Times Tuesday Mav 30 197? 

UNITED STATES 


S; 


WORLD BANKING XXIX 


Foreign lending 
may have peaked 


THE EXPLOSIVE growth in 
the overseas operations of 
American banks in the 1970s 
has not been accompanied by a 
corresponding surge in know- 
ledge uf these activities. The 
relationships between foreign 
subsidiaries and parent banks, 
the movement of capital flows, 
the analysis of risks are just 
a few of the aspects of over- 
seas banking which remain 
shrouded from the view of the 
public at large and to some 
extent from the regulatory 
agencies. 

These problems have greatly 
exercised the Federal Reserve 
System and the Comptroller of 
the Currency and in the future 
it seems certain that the over- 
seas lending by U.S. banks is 
going to be subjected to much 
greater regulation. Increas- 
ingly it seems that the regula- 
tory focus will be on risk 
assessment not least because 
leading Congressmen have long 
been exercised about the pos- 
sible exposure of large U.S. 
banks on their loans to less 
developed countries. 

Some light was thrown on 
the current volume of lending 
tu non-oil producing developing 
countries when the Fed and the 
Comptroller published u joint 
report earlier this year. 

The report drew no conclu- 
sions from its survey of “ coun- 
try exposure” which was based 
on returns from 119 banks with 
assets of $lbn or more. It found 
that total overseas lending 
amounted In S164.2bn towards 
the end of last year and that 
nearly a quarter represented 
loans to non-oil developing 
countries. Of this segment some 
95 per cent of the loans were 
n»t guaranteed, a higher pro- 
portion than some bankers had 
been hithcrlo willing to admit 
However. Mexico with Sllbn 
and Bra7.il with $10.5bn 
accounted for more than half 
of the total outstanding loans 
to less developed countries. 

About half the total 6ut- 
starnli v debt owed by the 
developing countries was short 
term with maturities of less than 
a year, although it was found 
that three quarters of the 
Brazilian debt was of longer 
duration. 


This survey provided some of 
the statistical background to a 
regulatory advance proposed at 
the beginning of January by the 
Comptroller of the Currency. 
The survey found that there 
were five leading non-communist 
countries — Spain, Venezuela, 
Brazil, Mexico and South Korea 
— who owed American institu- 
tions more than 10 per cent of 
the aggregate capital of banks 
lending to these countries. This 
has been taken as somewhat 
prima facie evidence that U.S. 
banks have effectively been able 
to skirt the law limiting the size 
of a loan to any one single 
borrower to 10 per cent of a 
bank's total capital. 

The regulatory authorities 
have felt that this law was less 
effective than it should be be- 
cause banks have often 
designated government agencies 
and state controlled entities as 
separate borrowers. At the 
beginning of the year Mr. John 
Heimann, the Comptroller of 
the Currency, proposed a formal 
interpretation of the law to 
establish a “means and purpose” 
test to establish whether each 
foreign agency should be treated 
as a separate client or as part 
of the central government. More 
specifically, Mr. Heimann said 
that loans to foreign govern- 
ments and agencies controlled 
by them would be regarded as 
one unless the borrower could 
demonstrate that it had indepen- 
dent resources and income to 
pay back the loan and that the 
proceeds of the loan would be 
used for the specific purpose for 
which the money was borrowed. 

One of the less publicised 
versions of the proposal was in 
the words of one official, la 
“ force some discipline into the 
system " by prompting banks lo 
increase information that they 
collect and maintain on foreign 
borrowers. Behind this regu- 
latory impulse lies the fear that 
banks are often less than 
rigorous in collecting informa- 
tion upon which to assess their 
risks. 

As a result, the U.S. regula- 
tory authorities look likely to 
step up their activities in risk 
assessment. Although Mr. 
Heimann says his proposal is 
designed to encourage banks to 



diversify their risks and that 
his offiee would be flexible in 
the implementation of its rul- 
ing, it now appears that the 
means and purpose approach 
will be supplemented if not 
replaced by a co-ordinating 
monitoring system to be set up 
by the regulatory agencies. 

The new system was outlined 
recently in an issue of the 
Federal Reserve Board of New 
York’s quarterly review and 
follows recommendations of a 
Federal Reserve System com- 
mittee on foreign lending. The 
New York Fed adopted these 
recommendations on a trial 
basis and then the Comptroller 
of the Currency and the Federal 
DeposLt Insurance Corporation 
joined with the Fed on reaching 
a broad measure of agreement 
ou a new supervisory approach 
An important element of the 
new regulatory system looks 
likely to be a common reporting 
form which will measure overall 
international exposure and its 
components for each bank. 
Based on the information on 
foreign lending which banks 
provide twice a year, the bank- 
ing supervisors will be able to 
evaluate more accurately the 
exposure which individual banks 
have in particular countries and 
of the U.S. banking system as 
a whole. 

Advantages 

The regulatory agencies be- 
lieve the particular advantages 
of the new approach, which has 
yet to be approved by the 
Federal Reserve Board, would 
be uniform measurement of a 
bank’s country exposure and a 
systematic bams for drawing a 
bank's attention to “any large 
exposure which might be 
potentially troublesome.” This 
approach would not, the New 
York Fed stressed, mean that 
credit ratings would be 
attached to particular countries 
and nor “should it establish a 
list of particularly risky coun- 
tries to which banks would be 
told not to lend." 

In addition, commented the 
New York Fed the new approach 
“should, recognise the great 
^uncertainties that exist in any 
assessment of country risk and 
{-should stress that banks . are 
best protected against adverse 
developments through diversifi- 
cation within their foreign loan 
portfolios." 

Many of the large U.S. banks 
would argue that such an exten- 
sion of Federal scrutiny is 
barely necessary from the point 
of view of encouraging them lo 
minimise risk. Since overseas 
lending has been responsible 
for more than half of their 
profits in recent years, and since 
loan losses have been smaller 


on foreign operations than on 
domestic loans, tbe banks would 
tend to feel that their own 
internal procedures cannot be 
found lacking. 

Because of the infinite com- 
plexities of international credit 
evaluation, bankers argue that 
they have, out of prudence, 
resorted to diversification of risk 
as a means of credit control. 
Most of the major international 
lenders have responded to the 
evident weakness of countries 
from Zaire to Turkey and from 
Peru to Italy, by establishing 
country risk limits, with grada- 
tions or sub limits within a 
given country by maturity, type 
of borrower and purpose of 
loan. 

An additional cautionary 
development, say the banks, has 
been their growing insistence 
on a direct relationship with 
overseas borrowers. Thus, the 
increasing emphasis in overseas 
lending has been on carving out 
specialist market segments, such 
as shipping, energy, project 
finance, correspondent banking 
or whatever, where expertise is 
built up in risk assessment and 
business attracted by virtue of 
the bank's specialised abilities. 

The banks, of necessity, have 
not made a secret of the import- 
ance of foreign lending to their 
balance sheets. Although the 
proportion slipped a little in 
1977 from the year before, 
profits on foreign lending still 
accounted for 49 per cent of the 
total earnings of the ten largest 
U.S. banks. While foreign loan 
demand at these banks is still 
growing at a substantially faster 
rate than in the US., profits 
suffered last year from a decline 
in international margins, reflect- 
ing a narrowing of spreads 
between the cost of lendable 
funds and the amount they earn. 
But foreign profits of the larger 
banks were also eroded by an 
increase in international loan 
write-offs and by substantial 
increases in overhead expenses. 

Quite conceivably, overseas 
earnings at the largest U.S. 
hanks may not this year match 
1977’s S per cent rate of 
increase, partly because of the 
continued relevance of the 
factors which have restrained 
the past year’s earnings and 
partly because of a possible 
increase in domestic loan 
demand. Moreover, there has 
been a marked tendency among 
some developing countries to 
repay some loans in advance of 
their maturity and then to 
refinance at lower interest rates. 
Malaysia, South Korea, 
Indonesia and the Philippines 
have all sought to reduce their 
debt burden in this way during 
the last few months and this is 
sure to hit the overseas interest 
income of American banks. 


John Wyles 


CONTINUED FROM PREVIOUS PAGE 


Last year 
we helped 
launch a |i 
tanker, a 
railroad and 
a fleet of 
bulldozers. 

If you've got a program 
that needs money, imagi- 
nation and banking expertise 
to get it off the ground, chances 
are we can help you. too. 

W p c<in anange financing for 
P p , >iecls in tins SI 0 to S30 million range, 
i, mi isi i iaf National Bank is one of the 
!e -US banks with the resources, expen- 
and knowledge to provide you with a 
luli i ai Kie oi precious metals sales and financing 
Serovs We can also give you special assistance m import, 
report i .nanang. as well as all olher international services. 

As the second oldest bank in the USA and one of Ihe 
I,* aewl banks m New England, we've got the stability and 
in uncial resources to handle sizeable undertakings. Wttji 
oiucos in London. Cairo and Singapore and correspondents 

ai ound the world, we can assist you almost anywhere- 
To find out how we can help gel your project afloat, 
•vuneor call Mr. Michael T. Young. Industrial Nation al Bank, 
i ondon Representative Office, 65-66 Oueen St.. London, 
tC4R IDR England, Telephone: 248-5281 . 


ik ii ii i 


INSHNK 




London, Caiio. Singapore. Providence, R.I., USA_ 1 


if necessary take up “ manipula- 
tion" of’ them if it thought it 
fit to do so, amounts to relatively 
little. While the Fund can refuse 
to lend money to countries 
asking for help, and thus con- 
centrate their minds, it has no 
such power over rates. 

But the Fund does have a way- 
in which it can embarrass mem- 
bers if it feels that they are 
using exchange rate policy to 
gain unfair trade or other ad- 
vantages. It can first take up the 
issue with an individual nation 
in private and, if that leads no- 
where, it can then bring the 
issue before the whole 20-man 
executive board. As a final 
resort it can publicly criticise 
a member, but that is unlikely 
to happen in any foreseeable 
case. 

Some observers have taken 
issue with the Fund’s willing- 
ness to “talk down” rates in 
countries with balance of pay- 
ments difficulties. Fund econ- 
omists argue that such deficits 
indicate a fundamental dis- 
equilibrium, often compounded 
by inflation and that the ex- 
change rate mechanism is the 
most effective way of restoring 
a balance. 

The Fund argues that it 
has the prime obligation to keep 
a balance not just in an individ- 
ual economy but also in the 
world economy as a whole and It 
has had reasonable success in 
this role since the sudden surge 
in oil prices. 

One reason for this success 
| has been the firm leadership 
provided by Dr. Johannes 
| Witteveen, the Dutch managing 
director of the IMF, who is re- 
turning to Europe later this 
I year after four years in the job. 
He has guided the Fund through 
a very tumultuous period in its 
| history and has resisted the 
pressures from the U.S. and 
elsewhere to react more 
stridently to the oil prices rise 
and its consequent effect on the 
world financial system. 

His most significant achieve- 
i ment may well turn out to have 
' been the patient way in which 
he negotiated the supplementary 
$10bn financing facility for deve- 
loping nations which bears his 
name. After months of intricate 


negotiations he succeeded in 
persuading Saudi Arabia to take 
part in this scheme, thereby 
cementing Saudi to the inter- 
national monetary system. 

Meanwhile Dr. Witteveen’s 
expected successor, M. Jacques 
de Larosiere, will inherit most 
of his problems. He will have 
to negotiate the next round of 
quota increases where there are 
more deep-seated differences 
between member countries than 
during previous quota increases. 
He will also have to decide what 
to do with a Fund study now 
underway which proposes tenta- 
tive ways to use SDRs to take 
dollars out of the international 
system and thus reduce specula- 
tive movements in the ex- 
changes. 

M. de LarosLere, if his 
appointment is confirmed, will 
also have to deal with another 
major problem that preoccupies 
the Fund and the World Bank, 
its sister organisation. In the 
past year the African Congress 
has been putting pressure on 
both organisations in a variety 
of ways ranging from the add- 
ing of "human rights’* amend- 
ments to Bills authorising U.S. 
contributions to taking issue 
with Bank and Fund salary 
policy. 

This has posed delicate 
political problems for the 
Fund's senior management and 
has enraged most of its em- 
ployees who resent American 
attempts to treat the fund as if 
it were an adjunct of the 
United States civil service. This 
is a potentially very serious 
issue and which depends on the 
report of a committee currently 
enquiries into comparative 
salary levels. The friction 
caused on this issue could spill 
over into other areas if it can- 
not be contained in the next few 
months. 

Yet so important has the IMF 
“ seal of approval ’’ become that 
the economic weU-besng of 
many of the nations with which 
the IMF deals has come to 
depend on the efficacy of the 
programmes that it recom- 
mends. 

David Bell 


GEOBANKING' 



The Manufacturers Hanover Way of Uforidwide Banking 


Geo banking. 

It is money moving and 
working around the world. 

It is the Manufacturers 
Hanover way of worldwide 
banking. 

Unlike most major international 
banks. Manufacturers Hanover does not 
enter a region or a country with a rigid 
operational philosophy. 

Instead, it adopts a way of banking 



that works best for a particular place at a 
particular time. 

Geobanking. 

It is wholly responsive, since it fine- 
tunes banking to national and regional needs. 

It is flexible, admitting swift adjust- 
ment to changes in prevailing conditions. 

And Geobanking is synergistic, 
enabling Manufacturers Hanover to marshal 
strengths from the worldwide resources of a 
$35 billion organization. 


MANUFACTURERS HANOVER 

The banking source.Ufc»rldwide. 


As Newark’s oldest bank, 
we financed the trade 
of our young nation. 


Now, almost 200 years later, 
we are financiers to 
the wide world. 


Our international involvement began early. 
Soon after our nation's indepen- ^ 

dence, The Bank of New York was 
founded to encourage the growth of ? 
America's Hedgling commodities trade. $ 

That was only 
the be ginning . 

Through the ensuing years, we 
have grown front strength to 
strength. Today, we have an im- 
portant global reputation for 
both the quality and scope of our 
services to our corporate 
customers. 

We can boast a uniquely com- 
patible relationship with scores of 
correspondent banks, both at 
home and overseas. • 

And we serve the diverse 
financial needs of American 
corporate clients and their over- 
seas subsidiaries, as well as local 
businesses all over the world. 

London Pride. 

Our London Branch at 





147 Leadenhall Street provides the Full range of com- 
i mercial ban king. services. 

h is actively involved in corpo- 
rate lending, export-import 
financing, Euro-currency parti- 
cipations, leasing, cash man- 
agement, corporate trust and 
investment management 
services. 

London is complemented 
by the International Divi- 
sion in New York, tbe Bank's 
149 branch offices throughout 
the entire State of New York 
and a complete branch in 
Singapore. 

Merely the Very Best. 

The Bank of New York has 
never sought to become the Very 
Biggest. Our aim is merely to 
be the Very Best. 

I n fact, we take pride in our 
rank as America’s twentieth larg- 
est bank. Not its Mass Money 
Mover. But its Finest Financier. 


There is only one bankthis old. And this nev« 


THE BANK OF NEW YORK 

London Office: 147 Leadenhall Street, London EC3V 4PN 
Main Office: 48 Wall Street. New York, N.Y. 10015 
Incorporated with limited liability in die Stale of New York, U.S.A. 


Member FD1C 
©1978 THE BANK OF NEW YOlflC 



r ■ i ■ 


• • -fcc’.r.; 




Financial Times Tuesday May 30 1978 j ,ip0 

world BANKING XXX I S'" 


A few words 

about Tokai Banks expanding 
international operations. 


at 


As you might know, 

Tokai Bank is one of the ■ 

I leading banks in the world 
with over 15.000 employees 
and 200 offices established 
\ in Japan itself. / 


M & k 


It probably doesn't surprise 
you we re modem 
progressive, and one of 
the first banks in the world 
to utilize on-line 
computerization in our 
\ banking operations. / 


What may ■ 
surprise you 
is our commitment 
to international 
banking. 


a- 







j/ Ar present use have over 
20 offices and affiliates 
around the world, and we just 
opened in Toronto. And ■ S' 
recently opened 
i in Hong Kong. / 


Currently we’re serving 
the world through loans. 
And also lending 
something as valuable 
as money, financial 
advice gained through 
over 100 years 
of banking 
experience. 


/ . So don’t just 
think of us as 
a Japanese Bank. 
Think of us as a 
bank that semes 
Japan and 
tlie world. / 


[Qj'V V 

^7 T^r. 
f r 


& 




TOKAI BANK 

TOKAI ASIA LIMITED 


Head OHiec: 21-Z-J. Niiinfci 3-chome. NaKa-Ku. Nagoya. Tei.: 052-21 Ml 11 Overseas Network: (Branches & Agencies) New York. Los Angeles. London, 
Frjn^urt; ( Represent.! t.vo Ollicesl Toronjo, Mexico City. Sao Paulo, Paris, Tehran, Sydney, Singapore & Jakarta; (Subsidiaries) Tokai Bank of California. 
Tokai Bank Nedei land N V., Tokai Asia Limited; (AHiliaces & Associates) London, Pans, Bangkok. Hong Kong & Sydney _ , 



a ■ 




r 








•:V.sLrL^ai 




fess 


l ag 




t&iM r V.tt? 






JAPANESE COMMERCIAL 
bankers are currently suffering 
from multiple Headaches aris- 
ing from their domestic business 
as painful as any they have 
experienced in years. 

For the best part of three 
decades of rapid postwar growth 
by Japan, the banks prospered 
above .all' on the relatively 
straightforward 'business of 
channelling the fast-growing 
savings of individual depositors 
Into fast-growing private sector 
capital . investment Though they 
were hemmed' in by a web -of 
official restrictions, on their 
activities they could 'not usually 
complain- about .the profits 
which flowed from the healthy 
gap maintained in their favour 
between deposit and lending 
rates. 

Now, however, that gap has 
more or less vanished. Besides, 
rates of growth in the banks’ 
deposits and loans have plunged, 
partly as a result of the con- 
tinuing sluggishness of the 
domestic economy, and partly- 
because of intensified competi- 
tion from the non-banking sector 
which is hurting both sides of 
their balance sheets. 

In addition, the banks are 
having to face up to the conse- 
quences of collapse by some of 
their recession-plagued corpor- 
ate customers. Bankruptcies last 
year rose to an all-time peak of 
over 18,000, and in recent 
months have been running at 
about the same annual rate. 

The vast majority of cases in- 
volve the smaller of the com- 
panies classified in Japan as 
u small or medium size." But 
there have been some hair- 
ra ising exceptions. Last year the 
banks had to write off Y191bn 
in debts owed by the now- 
defunct Ataka Trading Com- 
pany. In February last Eidai 
and Company, Japan's leading 
plywood producer and a manu- 
facturer of pre-fabricated 
homes, collapsed with debts of 
Y180bn. 

To help other major com- 
panies out of financial difficul- 
ties, the banks have had to agree 
to muratoria on interest pay- 
ments and extended debt repay- 
ment schedules. But the banks’ 
difficulties should not be exag- 
gerated. Japan has not had a 
banking failure since the war, 
and the ever-watchfol Finance 
Ministry will do its powerful 
best to ensure that the record is 
kept . 

The Banking and Credit 
Council, an advisory body to the 
Ministry, is currently studying 
an overhaul of the banking 
system, and its final report 
which may be ready in the 
autumn, is expected to contain 
some measures to ease the 
banks' burdens. Nonetheless, 
the difficulties at present are 
very real 

The reason for the disappear- 
ance of the previously favour- 
able margin on the manage- 
ment of the banks’ borrowed 
funds is the successive reduc- 
tions in the Bank of Japan’s 
official discount rate, part of the 
Government's overall policy of 
bolstering economic activity 
through both fiscal and mone- 
tary stimulus. 



Suburban branch 0 / the Fuji Bank t7i Tokyo. 


savings system which, unlike 
the banks, can offer compound 
interest calculated on a half- 
yeariy basis. On a two-year 
deposit, for example, this makes 
the interest higher .than can be 
offered by the banks. 

According to some estimates 
the postal savings system, with 
total deposits now standing at 
over Y38.000bn <up from 
YSO.OOObn- a year ago) can now 
claim to be the world’s biggest 
“ bank.” 

Another major problem for 
the banks — perhaps the most 
irksome of all recently — is the 
rapid expansion of the 
M gensaki ” market, a relatively 
uncontrolled short-term money 
market based on the sale and 
repurchase of bonds. 

Attractive 

Since interest rates are deter- 
mined by participants without 
official intervention (the market 
is dominated by the major 
securities houses) gensaki 
has proved extremely attractive 
to corporations with surplus 
funds and has drawn a consider- 
able portion of traditional cor- 
porate deposits away from the 
banks (which are discouraged 
by the authorities from partici- 
pating in getisufei trading on 
the grounds that the market 
lacks a lender of last resort). 

The volume of outstanding 
gensaki transactions soared 40. 
per cent during 1977 to top 
Y3,000bn and rose further to 
Y3,919bn at end-Marcb, making 
gensaki easily the second 
largest money market in Japan 
(ahead of the call market but 
still behind the bills market). 
Access to these latter two is 
limited to financial institutions. 


and rates are closely watched phasis on consumer loans and 
by the authorities. long-term housing loans. 

The gensaki market is now Meanwhile, the banks have 
having an impact on. the banks! been lobbying hard for some 
lending ..as .well as on their help from the authorities in 
; deposit taking, for the market the form of permission to offer 
has become an attractive place compound interest, issue certi- 
for some corporations to borrow fleates of deposits (CDs) (and 
as well as place surplus funds, possibly bonds), and to sell on 

the secondary bond market 
Most fundamentally, however, parf jjj e enormous amount of 
the fall in the growth of bank Government bonds which they 
lending reflects sluggish demand have b een ob iiged to absorb in 
for capital investment funds by t be pasL 
corporations, many of which are The burden of absorbing tbe 
still operating at way below bonds (the Bank of Japan buys 
existing .capacity. Where pos- b ack after an appropriate time 
sible, companies have been turned into something of 
repaying loans to lower their a blessing year, given the 
interest rate burdens, piere is s i ow demand elsewhere for the 
also a growing overall trend banks’ funds. But this situa- 
amrag major companies -- tl - 00 wiU change when corporate 
Mrtremely worrying for ^the fund demand gnaUy picks up 
banks— to try to reduce their ^ ^ ^ banlcs to 
reliance on banks borrowing b aWe freely ^spose of 
and increase the role played by t least some part o£ their 
internal financing. holdings. 

In 1977 lending by all They could well be satisfied 
Japanese banks rose only 8.5 on this score before the year 
per cent, the first time since is out. The authorities realise 
1955 that growth dropped below they need to make the presently 
the 10 per cent level. Loans rigid financial system more 
and discounts by the 13 city flexible for smooth absorption 
banks at end-March were up of rapidly rising government 
only. S.7 per cent from a year bond issues, 
before. Reflecting increased reliance 

The banks have reacted to on deficit financing by the 
their problems,' naturally Government total bond issues 
enough, by scrambling for new in fiscal 197S (ApnI-M arch) are 
sources of revenue and by seek- stated to nse to Y10,9S0bn 
ing: to make more profitable trom Y8.a70bn last year, with 
use of. their own reserves. One to* banks once again ex- 
result has been a reduction in pected to take up a major 
the free services traditionally chunk (during the past two 
offered by the banks and years have been required 
increases in charges on remit- absorb almost 40 per cent 
tances. Another, and the start of total issu es). 
of an Inevilable longer term Permission to issue CDs is a 
trend, has been greater era- more tricky issue. The authori- 

CONT1NUED ON NEXT PAGE 


Lowered 


NIKKO’S 

INVESTMENT 

KNOW-HOW 

A financial bridge between nations 


1 . 


dfc? & 




T'-.-V 


m 




Financial handiwork 

Sumitomo Bank. 

Where up-to-the-minute computerization 
helps make business 
easier and more efficient. 

But helpful hands 
will always play a prime part 
in getting a project done. 


!-<V* J 


$ 






The Sumitomo Bank, Limited 

OsaJu. Tokyo. Kyofo, Katie. Nagoya and other major dries in Japan 
London, Dusseldorf, Biuael?, Vienna, New York, Chicago 
Los Angeles. San Francisco. Seattle. Houston, Hong Kong. Singapore. 
Jakarta. Sydney. Mexico City, Sao Paulo. Beirut, Tehran, Cairo 






- 









Last year the rate was 
lowered three times, the last 
reduction, in September, bring- 
ing it down to 4J25 per cent In 
March this year the rate was 
slashed again, to a new postwar 
low of 3.5 per cent. 

At the “ suggestion ” of the 
authorities the banks have 
lowered their posted lending 
rates in line with the discount 
rate reductions, but their de- 
posit rates have come down 
more slowly. (Deposit rate 
must compete with those 
offered on postal savings, reduc- 
tion oF which is a sensitive 
political issue since the Post 
Office is regarded traditionally 
as a safe haven in which the 
savings of the small depositor 
can be protected against Infla- 
tion). 

This has meant that since last 
September the banks have been 
suffering from a negative mar- 
gin of 0.75 per cent between 
the rate they offer on one-year 
time deposits (now 4.5 per 
cent), and the prime rate they 
charge their best customers for 
one-year loans (now 3.75 per 
cent). The average contracted 
interest rate charged on all 
loans by tbe 13 Japanese city 
banks fell for the 37th con- 
secutive month in April, to a 
new post-war record low of 
6.102 per cent. 

For the six-month business 
term ended September 30 last 
five of the city banks reported 
a negative return on the overall 
management of their borrowed 
funds, with eight still reporting 
a positive yield. Figures for the 
latest term to end-March are 
not yet available but it seems 
almost certain that by now 
most if not alt of the 13 have 
fallen into the .negative yield 
1 category. 

In volume terms the growth 
in bank deposits has fallen off 
(to 92 per cent for all Japanese 
banks in 1977 from 12.6 per cent 
in 1976), partly because of the 1 
competition from the postal J 


m 






al. With, our many years of experi- 

TS+Sf ence as a broker, dealer, under- 

writer, and financial advisor in Japan, 
Nikko has developed know-how that 
22 tSjffSMF can help you make suitable investment. 
afi and financial decisions. 

Nikko’s worldwide network, including New 
York, London, Zurich, Paris, Beirut, FrankfurL 
Irjfflj and Hong Kong, is staffed with people whose 
V • services can serve your financial heeds. ' . - 
fsL// ' For professional financial and Investment- serv- 
jfsfsi ices that serve as a . two-way' bridge ^ ^between ■ 
y fj Japan and its neighbors, contact our nearest repre- 


An integrated approach to iiwesunon; jrtd taunt* 


iHENBaoaacunirEsaajm 

K«d Offices >1. Maraiwuchi j^home, OutoAHcu. Tokyo. |*un TeL- ZBVZTIt Tela: | ZWtO Cible NlkOsE TOCTO Oonnifc Brwbw SO In |«ii 
Oversea Kcprawntitne Otiu*: g^ Mollbeiwtrw M, 8012 2 -nd, Tel, 320050 hifc hie di- li P*r.T5 P«„ a- hm TcL 2*1-72; 

Belnifc 5L Ctules Oly Outer. Nth floor, Bmrut, Letuiwn • 

S?£55 !^y::.^?n"bury Square, London. EOV 711 England M ; 606-7171 THr*®M757 

^ ‘V5 J “ rt «■!" West Gomunv TeL. ZSXSl Telec UWMI The NILko 
luwemaiWH crancr Kne, Ummbpwg. Grand- Duchy ai Lujan boom Tet.- JZ384 TWcx rm Thr NU, SrtvJt-ft, iiu.„ L ,ri JIU | w . 

fig™’-'** Th.Nto5«c^QLlA^Ud.^? K o 0g NHJcn 


XI i > 

T * | 


.{)} t 
U l i 




you 


I' \ 

k-’ \ 








Vi t 

> n • ^ 


f\ 5 \ . • 

r \ » ^ ^ 

***Q i4 w_ A Y\ Financia* Times Tuesday Mav 30 1978 

japan 




:r ■ — V [ m. 

"... ‘ >, ' ' 
i * : *i ^ 


-*r ®r Mr _ , 


/' ^ V- 


r 


WORLD BANKING XXXI *par, s 

BRUSSELS 

JT* LONDON 

■ ‘ •• ' . • « jX DiiSSELDORF. 




Abeirut ' 

■■' 7 V* T ' ^TEHRAN. 






■> ^ 


r<, ™ 

vS\\. 












fc*U>. ■• a* 5? .5v 




' — 1 ■ Hi m i ^ n 

Japan Airlines freighter DC-8 after touchdown at Japa n's much troubled new international airport at Narita. 

Foreign business 
on the increase 


AFTER TWO or three difficult 
years fallowing the 1973 oil 
crisis Japanese banks have once 
asain begun to expand their 
overseas operations. Syndicated 
overseas loans, which were 
banned by the Finance Ministry 
in 1974 (when the banks faced 
difficulty in funding such opera- 
tions!. are mice again permitted, 
ituuich subject in guidelines de- 
signed to prevent the banks 
fr«un having to horrow too 
heavily in short-term overseas 
money markets in order to 
h nance long-term commitments. 
The opening of overseas 
branches, which was subject to 
a do facto ban during much of 
1976. is also once again possible, 
though again subject to casc-by- 
ca«c approval. 

The banks arc thus free to 
start pursuing overseas business 
again i if " free ” is an 
anprupriair word to describe 
the activities of an industry' 
which is subject to dose and 
ciMiiinmnis supervision by the 
i;. went mem). They are using 
I heir freedom with moderation, 
lion ever. There has been and 
will be no mart rush into over- 
seas dollar lending of the kind 
which earned notoriety for 
Japanese banks in the early 
7iK As far as overseas branches 
gi*. it would seem that the 
emphasis remains more on 
raising productivity from exist- 
ing brandies than on opening 
large numbers of new ones. 

One of the const ramts on 


Home 


Japanese banks in building up 
overseas loan portfolios is the 
difficulty of finding willing bor- 
rowers who have not borrowed 
too much already. Another issue 
is what currency to lend in. 

Until very recently most over- 
seas loans by Japanese banks 
were dollar-denominated (the 
outstanding balance of such 
loans, other than short-term, at 
the end of last year was “about 
$9bn ” according to the Finance 
Ministry). The instability of 
the dollar and increasing over- 
seas use of the yen has en- 
couraged banks to start offering 
yen loans, but customers for 
these are not necessarily easy 
to find (given the general ex- 
pectation that the yen will 
appreciate over the medium to 
long term). Broadly speaking, 
it remains true that Japanese 
banks still pla.v a smaller part 
in medium- and long-term lend- 
ing to developing countries (in 
relation to their own size) than 
do European or .American 
banks. 

Overseas business probably 
accounts for between 15 and 20 
per cent of the profits of the 
leading “city" banks (with the 
exception of ihe specialist Bank 
of Tokyo) which is chartered 
under a special “foreign ex- 
change banks law’* and has far 
more overseas branches than 
any other Japanese bank. The 
ratio of foreign to domestic 
profits is expected to rise gradu- 
ally but will take many, years 


to reach American levels (if it 
ever does). Meanwhile much, 
of the. business done by foreign 
branches of Japanese banks 
would appear to be with 
customers of the same bank's 
Tokyo head office which have 
invested overseas or require 
trade financing. 


Presence 


CONTINUED FROM PREVIOUS PAGE 


nc.s arc still studying questions 
o i definition — whether CDs 
should he a form of deposit or 
:i Hilly imirkelablc secuniy — 
ami wiial the maximum period 
sb'iuld be iniuM likely less than 
mil- \oar m.» iluii I hey would not 
compete with the debentures 
v | ln.h lour non-governmental 
banks are sit present allowed to 
,. M n* — me three lone-term 
t-M-tiii lisinks and the Bank of 
T.'kyn). 

I ‘mrign banks in Japan have 
Tt't i>nUy weighed m with their 
.iwm requests for permission to 


issue CDs. and Citibank raised 
a ruckus by asking if it could 
issue a yen bond on the 
Japanese capital market. 

The foreign banks’ moves 
have been quietly welcomed by 
Japanese banks since they could 
help prod the Finance Ministry 
ini it action. But the home banks 
would be wise to be patient, for 
when it comes to major changes 
in the financial system the last 
thing the Ministry is known for 
is acting hastily. 

Simon Tait 


The big Japanese banking 
presence in Asian centres like 
Hong Kong and Singapore 
originated for the purpose of 
servicing existing Japanese 
customers rather than to pro- 
vide a base for new business. 
The loosening of Japan's tradi- 
tionally tight foreign exchange 
controls could eventually under- 
mine the necessity for this type 
of off-shore servicing of 
domestic customers, in which 
case overseas branches of 
Japanese banks could be 
obliged to become more aggres- 
sive. There is evidence that 
the Hong Kong branches and 
affiliates of Japanese banks are 
beginning to take the initiative 
in looking for new business in 
their region rather than con- 
fining themselves to servicing 
domestic customers. 

The move towards a more 
independent posture has 
coincided with a greater stress 
on wholly-owned or at least 
majority-controlled overseas 
ventures. The Ministry of 
Finance, which initially gave 
“ guidance ” to the city banks 
to join consortia rather than set 
up wholly-owned operations in 
many centres i other than the 
major ones like London and 
New York), is showing greater 
flexibility than before. The 
result has been a growth in the 
number of Japanese-controlled 
ventures and a fading interest 
by many Japanese banks in 
international ventures where 
the Japanese stake is rather 
small. 

The freedom of Japanese 
banks to build up a large and 
visible overseas presence seems 
likely to be linked to some 
extent in future with the facili- 
ties which Japan extends to 
foreign banks operating in 
Tokyo. The principle of 
reciprocity is not enforced by 
more than a handful of nations 
with which the Japanese do 
banking business but the notion 
that too sharp a disparity in the 


treatment of two nations’ banks 
in each other’s territories is 
undesirable does appear to be 
gaining ground. This explains 
why the Japanese Government 
has come under pressure from 
the U.S. and Europe to 
liberalise some of its restraints 
on banking and in particular to 
give foreign banks more free- 
dom to open branches and raise 
yen funds. 

The foreign banks' call for 
more freedom has not fallen on 
deaf ears in Tokyo. It was in 
fact explicitly supported by the 
Japan Bankers' Association. Hie 
international departments of 
the Ministry of Finance and the 
Bank of Japan also seem 
inclined to liberalise the treat- 
ment of foreign banks, although 
they may yet have to convince 
colleagues concerned with the 
control of domestic banks. 

Another field of interest for 
the international sections of 
Japanese banks is relations with 
Communist countries. Japan's 
trade with them has np to now 
remained small in relation to 
its global trade. But the recent 
signature of a ?20bn eight-year 
trade agreement with China 
could change this situation. 
There also appears to be scope 
for growth in trade with Viet- 
nam. In both cases the role of 
Japanese banks will be all 
important since trade will not 
(initially at least) be evenly 
balanced and credit will have to 
be forthcoming from Japan. 

Two recent missions of 
Japanese bankers to Peking 
have discussed the question of 
how and on what terms Japan- 
ese banks should help to finance 
exports of plant and industrial 
materials to China. Agreement 
on this is handicapped by the 
reticence of the Chinese (who 
officially do not accept loans 
from overseas sources) as well 
as by the OECD guidelines on 
the minimum lending rates 
attached to exported-related 
credits to developing countries. 

Japanese banks may adopt 
the expedient of “depositing” 
money with the Bank of China 
as one means of financing ex- 
ports. Whatever approach is 
decided upon it seems clear that 
they have an important role to 
play in building up trade 
between Japan and China. 

Charles Smith 

Far East Editor 


$28,000,000,000 in assets 
Jells you what kind off banjr 







. Taryo'Kobe Bank is a dynamic bank. 

A growing bank. A bank that makes it a point 
to stayefn the move. In Japan, our branch offices 
reach out to over 300 locations nationwide. 

White around the world we -go to key financial centers. 
So no matter where you do business, 
chances are good we can lend a helping hand, 
if you travel as we do, rt-sgood reason to get together . 
You'll be - traveling jn the best of company. 


A name you can bauifc on. . 

TAIYO KOBE BANK 

La minn Ifci i refc : 02 Cti London EPVBEA. UWwdTQPBdani 

HudOtHen Koto HMwne TMyo,KaQ* 

tarn' *»*,- Lot AAgJo, Bab. Howtsu Onaga. Torann. 

*■»** IhtA FnrtOgn. Bnart. Honfi SnffMN. Svdnay 

Wu O » o— ^ I | ; xa»i> Kobe Faro Montana LmM 


.A RIO DE JANEIRO 
SAO PAULO 

t CARACAS 

j^NEW YORK 
»___J^TORONTO 

HI ^CHICAGO 


<o 1 


SINGAPORE— 
J* JAKARTA 

HONG KONG. 
A. SEOUL 

TOKYO 

J* SYDNEY 


*/ izj 


- O i 


— ^LOS ANGELES 
.^SAN FRANCISCO 


In a rapidly moving world, 
Mitsubishi Bank's international network 

keeps you up-to-date. 


Mitsubishi’s global network 
keeps track of changes in 
industries, of significant 
developments, of promising 
opportunities for its clients. 

They are equipped to offer 
financial services specifically 


tailored to your needs as well 
as general banking services, 
including long- and medium- 
term loans, placements of 
bonds, investment, trade 
development information, lease- 
financing and introductions to 


Japanese joint-venture partners. 

These Mitsubishi services 
could make a substantial 
difference to you in time, 
convenience and profits. Talk 
it over wi th your nearest 
Mitsubishi man. 


A 


MITSUBISHI BANK 


In all Ihr Rro»t cities of the world 

Internationa) Financial Consultants 


LONDON BRANCH: No. 6, Lombard Street, London EC3V 9AA, England Tel: 01-623-9201 Telex: 886409, 888230 
Cable Address: BISHIBANK LONDON 

HEAD OFFICE: 7-3, Maiunouchi Z-choma, Chtyoda-ku, Tokyo, Japan OVERSEAS OFFICES: New York, Log Angeles, Chicago. Toronto, Sfto Paulo, Caracas, London. 
Dthsaldorf, Paris. Beirut, Tehran, Seoul, Singapore. Hong Kong, Jakarta, Sydney. The Mitsubishi Bank of California in Los Angeles, Mitsubishi Bank (Europe) S.A. in 
Brussels, Banco Mitsubishi Brasitelro S.A. in Sio Paulo, Mitsubishi tnlarnauonal Finance Limlled in Hong Kong ASSOCIATED BANKS: Japan International Bank m 
London, Orion Mu/tinafionar Services. Orion Bank. Orion Leasing Holdings Limited in London, Libra Bank in London, Auslralian international Finance Corporation in 
Melbourne, Thai-Mrtsubishi Investment Corporation in Bangkok, Diamond Lease (Hong Kong). Orion Pacilic. Liu Chong Hing Bank in Hong Kong. P.T. Indonesian Invest- 
ments International In Jakarta, Ayala Corporation. Ayala Investment & Development Corporation in Manila, Amanah Chase Meichanl Bank in Kuala Lumpur 


mrp 






iTUf? 


Consult the IB! Banking Group in Europe 


London. 

The Industrial Bank of Japan maintains a London 
Branch office which undertakes -cr complete • 
range of banking services. In addition, IBJ 
operates JBJ International Limited, a wholly- 
owned merchant banking entity which arranges 
term loans and provides underwriting and 
advisory services. 

Frankfurt. 

The Industrial Bank of Japan (Germany) is a., 
majority-owned subsidiary of IBJ. being jointly 
operated with Deutsche Bank AG. It offers full 
banking services with main emphasis on loan 
and underwriting businesses. 

Luxembourg. 

The Industrial Bank of Japan (Luxembourg) is a 
wholly-owned subsidiary of The Industrial Bank of 
Japan (Germany) working in close cooperation 
with the parent company in providing rriedium- 
and long-term loans and handling securities 
transactions on the Euro market. 

In addition 

IBJ maintains representative offices in Frankfurt 
and Paris which act as information centers, 
providing access to the comprehensive knowl- 
edge IBJ has accumulated in serving Japanese 
industries. 



- v> v - • *• > - -- 


THE INDUSTRIAL BANK OF JAPAN 

Japan's oldest and largest long-term credit bank. Assets USS35 billion. 

Head Office 3-3. Maranouc^i CV/oda-Vu.Tofcvo Phona 214-1111 Telex J2C325 


NfiW York. Loa Angeles. Singapore, Sydney. Sao Paulo. Beirut. Hong Kong. Toronto, Jakaru, Curacao 









. • . • l . ■' 

financial Times Tuesday May 30 1978 

WORLD BANKING XXXH m 


Ready and welcome borrowers 


THE MAW El? in which 
Western financul markets have 
smoothly integrated Comecon 
burrowing into their overall 
operations over the past five 
years is in itself a rather 
eloquent testimonial to the 
usefulness and flexibility of free 
markets. 

All the Comecon countries are 
m the middle of their current 
tin-year plans which involve 
major investment programmes 
including substantial purchases 
of equipment from ihe West and 

subsl a mial burrowing on 
Western capital markets. Bad 
harvests in the Soviet Union and 
Pulnnd have also added to their 
Imr rowing requirements at a 
time when the unexpectedly 
stubborn recession in the West 
has reduced their opportunities 
fur sales to the hard currency 


area. 

This is relleeted in an actual 
decline in the volume of Easi- 
West trade Iasi year. Il hit 
Western exports hardest as the 


centrally planned economies 
made a conscious effort to 
reduce their trade deficits. 
Imports from the West last year 
actually declined 5 per cent, 
while exports rose 3 per cent 
This year higher grain imports 
and the continued need for 
plant and machinery to complete 
projects under way point to a 
resumption of higher imports 
from the West. 

It is interesting to note, how- 
ever, that while the' overall 
volume of East-West trade 
declined by around 3 per ceaL 
last year the volume of Comecon 
debt continued to grow, albeit at 
j somewhat slower pace than 
the peak year of 1975. 

According to the UN 
Economic Commission for 
Europe, the net borrowing in 
Western capital markets last 
year was around $6.1bn., 
roughly the same as 2976 but 
well below the 1975 peak of 
SS.6bn. The commission esti- 
mates that gross debts— original 


borrowings minus repayments 
and minus foreign currency 
reserves kept in Western banks 
— rose last year to between 
$37bn. and $40bn. compared 
with $32-35bn. in 1976. 

As recently as two years ago 
a certain amounr of disquiet 
was shown in some sectors of 
the market over the rapid 
build-up in the Comecon debt 
position, especially that of some 
countries like Poland which 
faced heavy repayment 
schedules towards the end of 
this decade and into the 1980s. 


Reassuring 


Closer examination of the 
overall debt position, however, 
has tended to put a more re- 
assuring gloss on the situation. 
Roughly half is govemment-to- 
goverament debt of various 
kinds arranged through export 
credit guarantee departments 
or their equivalents and the 
remainder is spread among 
European, Japanese, American 


and to a lesser extent Arab 
banks. 

European banks are more 
heavily involved than Ameri- 
can, reflecting the much higher 
volume of trade between 
Comecon countries and trade 
partners in Western Europe. 
According to American bankers 
the lion’s share of Comecon 
financing is borne by West Ger- 
many, partly because of its 
special financial relations with 
East Germany but also because 
of the sheer volume of its own 
East-West trade. Some Ameri- 
can bankers estimate that West 
German banks or Government 
institutions hold roughly a 
third of total outstanding 
claims against Comecon 
countries. 

Against this the U.S. Comp- 
troller of the Currency recently 
put out a report which sbowed 
that the 119 largest U.S. banks 
bad a commitment of only 55b n. 
to Comecon at the end of June. 
1977, which represented only 3 
per cent of their outstanding 


global claims of |164bn. These 
figures hint at the considerable 
potential for U.S. bank expan- 
sion in this area before coming 
up against their legal lending 
limits. Chase Manhattan calcu- 
lates that up to SlObn. could be 
potentially forthcoming. 


There still seems to be con- 
siderable scope, for further 
growth is Comecon lending and 
bankers also point out that 
Comecon’s outstanding debt to 
the West is still small in rela- 
tion to the size of tbe econ- 
omies concerned, taking into 
account their excellent credit 
record and their proven ability 
to sbilt resources into debt re- 
payment quickly and effectively 
if needed. 


This is particularly so in the 
case of the Soviet Union and the 
point was forcibly- made by the 
deputy chairman of the State 
Committee for Science and 
Technology. Mr. Djermen 
Gvishiani during his recent visit 
to London at the bead of a trade 


Grindlays 


A name you can bank on 
around the world 


Banking on Grindlays means more than taking advantage of the 
Group’s network of branches In some 35 countries. It means working 
closely with our specialists in such fields as export finance, foreign exchange, 
eurocurrency finance, and corporate banking. They take full advantage 
of the regional knowledge and support provided by over 200 Group 
branches and offices located in most of the major world markets* 

This teamwork provides the right financial products and 
packages at the right time. 


delegation- After ru nning 
through the familiar list of 
Soviet mineral, energy and 
other wealth — inducting gold 
and diamonds — ■ he pointed out 
that foreign trade accounts for 
only some 4 per cent, of Soviet 
GNP and that 60 per cent of it 
was mtra-Comecon trade- There 
was he dearly implied, con- 
siderable room for an expansion 
of trade with the West and of 
the kind of financing which 
went with it in the next five 
year plan period starting 1980. 

Any other positive .factor In 
Comecon lan ding is that, unlike 
Britain, Italy and several other 
countries in recent years, a high 
proportion of Comecon loans is 
linked to specific investment 
projects, often tied to compen- 
sation agreements which 
guarantee a hard currency 
market for the end-product 

That said, however, the stub- 
bornness of tbe Western reces- 
sion and the growth of protec- 
tionism in areas like textiles 
and steel has adversely affected 
tbe performance of several 
Comecon countries, particularly 
tbose without indigenous energy 
supplies. The latter have 
suffered a substantial deteriora- 
tion in their terms of trade 
generally. 

In total, however, lending to 
Comecon countries has clearly 
become an established part of 
the international financial scene 
and is recognised to be an essen- 
tial lubricant of mutually bene- 
ficial East-West trade. 

All the signs are that 1978 
will see a further increase in 
Comecon borrowing. The mar- 
gins the international banks 
ebarge on their loans bave been 
f ailing as a result of the gener- 


ally high level of liquidity, and industry which designated tha 
Comecon borrowers have been Lubin Copper Iffiniag and 
quick to seize this opportunity Metallurgical Combine as the 
both to raise fresh funds and, borrower. It was recognised as 
where possible, to reschedule a separate boirowmg entity 
their existing borrowings under U.S. regulations after a. 

here has been to even out the Comptroller of the Currency. . 
sort of bundled repayments Comecon borrowers are 
which Poland, East Germany dearly taking full advantage of 
and some other countries face abundant liquidity in tie 
at the end of this decade and market and are busy signing up 

nrs, 01 STM 3£?y£ 

JTZ pace'eMly in "=“^2“ 


January by coming on to the 


=«= sa« — r -a* » 


ratL: ttelS to Co*n« m m I n aeBi my 

£rro°^ ne V y ™ °o“ ‘ W^volu™ 

scribed even though below the of Comecon indebtedness to tfcs 
1 per cent spread of the pre- seems destined to grow 

ceding 5800m. loan arranged for further. The OECD, which 
the International Investment calculates the 1977 debt at 
Ban k around $42bn.. expects to see a 

further growth in borrowing 
CLq V a this year and has prepared 

OUAVC some longer term projections 

But it was the National Bank which show a further climb 
of rTungary, which enjoys an throughout the 1980s. 
enviable reputation for financial One of the main imponder- 
sophisticatlon. which sought to ables in making such eatcula- 
shave rates even finer when tions of the future' trend of 
seeking a 5300m. eight-year loan indebtedness concerns the 
with a spread as fine as § per future course of agricultural 
cent for the early part of its developments, particularly In 
life. tbe Soviet Union and Poland. 

Poland has also been active. More resources are being 
with Bank Handlowy working poured into Soviet agriculture 
hard to raise funds from a wide than ever before and some 
variety of sources to cover recent academic studies indicate 
Poland's still substantial pay- that the Soviet Union could well 
raents deficit and fund its ex- be a net exporter of grain in 
pensive long-term mineral and the 1980s. But such high hopes 
energy projects plus further have been expressed many 
grain imports. New ground was times before, 
broken with the $250m. 

medium-term Eurocredit for the Anthony KObinSOO 
expansion of the Polish copper East European Correspondent 


THE CARIBBEAN 


Region of mixed 


In the Gulf area Grindlays has one of the largest branch 
networks of any international bank with 20 branches serving 
the U.A.E., Bahrain, Oman and Qatar. Major project business 
in the Gulf keeps them in close touch with Grindlays offices 
in London, Tokyo, Dusseldorf and other international centres. 


fortunes 


In Hong Kong, the Group has a specialist merchant banking 
team serving the Asia Pacific region and supporting our offices 
in places such as Australia, South Korea, Japan and Singapore. 
Here the head of the Eurocurrency team in Hong Kong works on 
a project with executives of the Grindlays Dao Heng Bank. 


• "" ! -»’-i ’ ■ •'f S-t : •• 

•- : >r \ ■ • 

~ T~ , / ■ » ■ 




■ • 4, 




mm 


Sill 


rnH 




Pi"' ^ 


I mn 

L 


0M 




pH 


wsr 

i 




«fl Grindlays 
» Bank 




-Cv. -! 3)/*. 




23 Fenchurcb Street, London EC3P 3 ED, 


Eh. >4, ‘ ■ -• ■ . 




ECONOMICALLY, the past 12 and public displeasure in recent Only .three of the nine corn- 
months have not been easy ones years by pushing up property mercial banks on the island 
for the Caribbean region. In a prices on the island at a rate made a profit last year— largely 
musical comedy about it per- that would have occasioned because of a widespread unwil- 
formed recently in London one comment in the gold-rush towns lingness among Jamaicans to 
of the characters summed it up of the Wild West borrow. In sharp contrast to 

well in a humorously pessimis- The banks’ lower interest Trinidad, the banks are 
tic calypso. “ The inflation rate rates on loans and advances extremely liquid. Neither con- 
is rising." he sang sadly. “ . . . were designed to encourage new sumers nor businessmen, bow- 
but that GNP is a-sinking in the borrowers. ever, have made many demands 

West” In the tight credit situation upon the funds and there is 

The fortunes of banking In prevailing for most of last year, a widespread view that the 
the area have naturally tended the banks were also urged by economy needs at least several 
to reflect this, fluctuating over the central bank to ensure that years before it will begin to 
the year roughly in step with the productive sector did not pick up. 
tbe economies in which the lack finance and about 59 per Last year the commercial 
banks operate. In Trinidad and cent of net credit expansion banks’ loan portfolio grew by 
Tobago, which thanks to its oil during 1977 was directed to the only 8 per cent — a sharp 
and gas wealth is the one business sector compared with decrease on the 18 per cent 
economic bright spot in the only 39 per cent the previous by which it expanded even in 
region, the nine commercial year. 1975. Legally, . Jamaican banks 

banks all made handsome profits must observe a reserve require- 

last year. In the depressed JTp ment ratio of 29.5 per cent of 

Jamaican economy, by contrast, ® their liabilities. So limited, 

only three out of the nine com- The main reason for the however, were the outlets for 
mercial banks succeeded in slower rate of deposit growth investment in the country last 
ma ki ng a profit and the banking last year was the leakage of year that at one point the banks 
system as a whole showed a funds from the Trinidad com- had handed over some 42 per 
combined loss of J$13m. mercial banks to finance houses, cent of their funds to tbe Bank- 

While Trinidad’s banks are The latter now outnumber of Jamaica, the central bank, 
booming fthe Royal Bank of banks by 11 to nine (three new At the other end of the 
Trinidad and Tobago boosted finance houses were established Caribbean, meanwhile, the off- 
its pre-tax profit from TT $14.6m last year alone) and the fierce shore financial centres of tbe 
in 1976 to TT $22.9m last year). competition for deposits from Bahamas and the Cayman 
the country’s bankers have, how- these companies obliged tbe Islands continued to play an 
ever, had to confront other banks, in addition to raising increasingly important role fn 
problems. Principal among their interest rates, to call upon international lending activities; 
these has been the fact that their special deposits with the especially those of US. banks, 
loan demand threatened to out- central bank to try to remedy Seventy -nine of the 97 Euro- 
pace available funds. tbe situation. The advent of currency branches of foreign 

The banks’ excess liquid tb Maceb 0 uses has also wor- banks now doing business from 
resources dropped to 9.1 per ” ed “ e Tri ^ dad Government- the Bahamas are American, 
cent of deposit liabilities by tbe , ncerne<1 ? bout th e lack of Since 1975 more offshore 
end of last year compared to govermn S their operation, loans by U.S. banks have Men 
17.1 per cent at the end of 1976 . ll P«>™f®ed to bring in recorded in the Caribbean than 
and they were forced to raise f; glsJa . a . to remedy in London, with most of them 

their interest rates on deposits. “ e orrussion - being booked through the 

Unusually, at the same time, Trinidad’s banking problems B a hama s. At the end of Sept- 
they eased slightly their charges are those of a booming ember 1977 tbe Ba h a m as and 
for money lent (from a weighted economy.' In Jamaica the banks Caymans accounted for 38.8 per 
average of 9.8 per cent at the have been operating in a much cen t the total compared With 
end of 1976 to 9.09 per cent at less healthy business environ- 23.5 per cent in London, 
the end of' last year). meat Despite a devaluation IMF figures show that 

The latter move was caused three weeks ago (forced by the external claims by U.S. bank 
by pressure from the central hi return for a U.S^240m branches in the two Caribbean 
bank towards the end of 1977 l oan )> do bankers expect a centres (excluding claims on 
to make the banks choke off miraculous recovery and tbe banks) amounted to $33bn at 
funds to some of their most deprcssed economic conditions the end of the third quartet of 

valued customers Trinidad’s have 116611 reflected by 1977, up $6bn from the year 

property speculators. Hie latter the banks’ performances. before and $14bn more than in 
have excited much governmental , CONTINUED ON NEXT PAGE 


Trinkaus&Burkhardt 


Bank seit1785 



Dusseldorf * Essen * Frankfurt - Stuttgart 


Subsidiary: Trinkaus & Burkhardt (International) S.A. 
Luxembourg 


As a private bank with wide reaching international 
connections Trinkaus & Burkhardt is your partner. 
International payments and trade financing, sound 
financial counseling and traditional securities business 
are the strengths of a private bank which combines 
flexibility and customized consulting with a full bank service. 





* 


: fill'll 


HK-^S 


k : 


K 5 f < 
■ 1 1 









K '\i; 


i i. 1 I \ 




$J4>U 




Financial Times Tuesday May 30 1978 

TUBKEY WORLD BANKING XXXHI 


Plan to relieve 
debt burden 

expected to have to be done about the be submitted to the ratification perspective of the economy will 
TurWi mT!!1«* S0 i 0 v. , T ' ve *- n CTLS which had grown to in- of the remaining 212 “strictly come forward. “This will be 
_ ■ ” ntr “ b anh and eight volve 221 banks and approxl- on a voluntary basis.’* As one difficult but not impossible," 
fnrrn»j!f lt ff natlo ^. al J? an ^ s ? n a mate *y ¥2bn — figures which banker said: “ Our hope and said a banker about the chances 
. . restructure short- stand witness to the success the conviction is to convince all of the syndication. 

,L n „, rtJiriush debts totalling system had once enjoyed. banks that our formula is the The difficulty over the con- 


The $2bn — the biggest re- key been wise in its borrowing 


.,r, 1(lh1pinB - <= According to this formula, worst year the Turkish economy 

hi?* An ln 016 P0llcy - The GoverameDt made deposits in the convertible has had. Import transfers had 

resin*?! Eurodollar rep- crucial mistakes when it Turkish lira accounts will be t0 be suspended in February 

cur ' introduced the system in 1975. extended for three years as ^77 because of lack of hard 
fn S ~ y for !i^ ? 8W8rded a constant spread of they mature— with noWhow- cash- Inflation went well 

kish° C0 °'' ertJble Tur ‘ Per cent to all degosits ever, being extended beyond beyond 30 per cent and unem- 

tPTT a F 0U, S? irrespective of term and took juneJuly. 1985. The extension Payment to 3m. Exports 


ivri orating lareiga exchange three to 12 months, 80 per cent due last year and have not been from $5.1bn in 1976. 
situation, the Government of it in Swiss francs and “epaii At the end of last year Mr. 

started offering attractive Deutch e-Marks. In other words, Suleyman Demirel’s inefficient 

spreads to Eurodollar deposits although the country could CfahilSc?^ Right-wing coalition, which is 

in Tor^sb banks. easily raise medium term Joans greatly to be blamed for the 

For about a year die system at favourable rates and in At ♦].„ end of *i, e thjrf i vear current mess, was overthrown 

woijed without creating any favourable currencies It in- ^nsfo ° 25 percent oE in Par^ent by Mr. Bulent 
headaches. The foreign banks curred short-term debts at the each deposit wiU mature and Ecevi t- Mr. Ecevit, whose Left- 
were happy because they re- most unfavourable rates and in 25 “ P cen ( JfL ^iSrative of-Centr e Republican Reoples 

ceived an attractive spread over the most expensive currencies. year It is hoped by hankers Party is the biggest in Partia- 

the London Interbank offered The mistake was further com- that by the end of the third menl ’ forced a Government 

rate (Libor). The central pounded by the fact that the ££ after aliment toe the support of a dozen 
bank was happy because it used Turkish lira equivalents of toe Tu rkish eco “ Will rtabiLto defectors from Mr. Demirel’s 
the deposits to finance the trade deposits went not into produc- go lha 7 f0 «iS banks : mav wart Justice p arty- 
defied. Turkish banks and busi- tive fields but into current t J i^tb^enS toTuriSJ The new Government quickly 
nessmen were happy because expenditure. In effect, because Sstead Siting to?m ou? addressed itself to the task of 
the Turkish lira equivalents of of ignorance of the interna- 0 , ...“r m ^ . stabilising the economy. An 

the CTLs created a welcome tional monetary markets and epaym - ”5 made in agreement f or a standby loan 

now source of credit their mechanism, the Govern- » he c urre ° cles “?« «■“ ae P oslt s was signed with thTntF mid 

-*■ t . , ment used a most expensive raaa *- I “ T . e y e ® t appears p i edges 0 f increased loans were 

Unable set of currencies to finance the J® a “ atter Jj/ 1 * has not yet received from the World Bank. 

«^UaUiC least productive endeavours in g 888 Failure of some A CDmpre hensive austerity 

However, the happiness did Turkish business. “Foreign ?^! t ^i >arttc fl 1 S ate ap J >ears package, which included 30 per 
not last long. With the foreign borrowing we could not see be- be ? n y fJ *° ^ cent devaluation of the Turkish 

exchange situation deteriorat- yond our noses.” admitted a W8 lira, was introduced. Import 

jng rapidly the centra! bank Turkish banker in Istanbul. majority of toe banks will were partially 

found itself unable to sen-ice Last April, after the new participate in this programme, resiuned j n tbe beginning of 

the CTL deposits, or for that Government completed Us pro- said one of toe representatives Many Govemment-to- 

matter anything else. By toe gramme of economic austerity of “ e e, W" L Government contacts were 

end of 1977 the central bank measures, talks started between More ihan half of the CTL initiated to secure loans, with 
had been unable to service the central bank and eight in- deposits have been placed by success in this field being 
&M53bn of debts which had temational banks on restructur- larger banks which will pre- recorded with, for instance, 
fallen clue under three short- i°S the $2bn debt. sumably all ratify the restruo- Libya, Romania and West Gei> 

term categories: $289m of CTL The banks, which formed a Some bankers believe many. 

deposits. $35ii m to Iraq for so-called co-ordinating commit- ^at the restructuring may get i n jess than five months Mr. 
crude oil and S1.5bn of cash tee, are Citibank. Cbase Man- underway by the end of next Ecevit took many steps in toe 
against import of goods and re- hattan. Morgan Guaranty, Bar- inonth - right direction but it is not cer- 

unhursement claims from third clays. Dresdner Bank, Deutsche The eight banks will also tain whether these will suffice 
parties, mainly under letters of Bank, Swiss Bank Corporation spearhead a syndicate to obtain to extricate Turkey from its 
credits. At the end of 1978 and the Union Bank of Switzer- $5Q0m or more fresh money dire straits. Most bankers and 
tins figure will have risen to land. These banks took the for Turkey for financing the industrialists agree that it will 
S3.6bn. Sl.-tUn of it alone in lead because their exposure is 1973 trade deficit Although not be until the end of Jhne 
CTL accounts. over 25 per cent of the total, whetting the market appetite before new trends appear. 

As early as the beginning of The agreement they will reach will not be easy it is likely that Mimic 

1:im year it had become with the central bank, probably hanks which have large stakes ivieim lYiunir 

apparent that something would by the end of this month will in Turkey and take a longer Ankara Correspondent 


THE LEADING 
COMMERCIAL BANK 
IN TURKEY 


tOrkIye 

iSBANKASI 



Established: 1924 

Has over 840 Branches, 

118 participations in major Turkish companies 

HEAD OFFICE: 

Ankara 

HEAD OFFICE FOREIGN DEPARTMENT: 

Istanbul, P. O. Box 241 Karakoy 
Telex: 23681 Isfo Tr Cable : FORENTAB 

As at the end of 1 977 

Paid-up Capital and Reserves: TL. 1,869,933,754 
Total Assets: - - - - TL. 83,578,649,761 
Deposits: - - - - TL 55,395,408,614 

International network of correspondents 

REPRESENTATIVE OFFICES 

FRANKFURT MAIN, GERMANY LONDON EC 2. ENGLAND 

Kaiser Strasse 11 65 London Wall 

Cable : -Isbank Cable: Isbank 

Telex : 4189385 1S.CH D Telex : 8812853 TIBANK G 

Foreign Branches 

Lefko§a (Nicosia), Magusa (Famagusta), Girne (Kyrenia) CYPRUS 

Cable: ISCHBANK 

BUREAUS IN WEST GERMANY 

BERLIN, Yorckstrasse 90 KOLN, Kaiser - Wilhelm - Ring 15 

HAMBURG, Steindamm 47 MONCHEN, Lindwurmstr 35 


THE CARIBBEAN 


CONTINUED FROM PREVIOUS PAGE 


Dcromhcr 1975. By comparison, 
similar claims by U.S. hank 
branches in the UK increased 
by »mly *3 bn to $201 jn in the 
iwo-vear period. 

At the end of 1976 some 
StSTIm » ur mtc-lUird of the 
assets ot all foreiqn branches of 
IS. banks) were* held by 
branches in the Bahamas and 
Caymans, or this amount the 
va*r majority 1 355.4 bn.) was 
a.-Mgiied tu the Bahamas. 

Lower operating costs, no 

direct taxation on persona] or 
corporate income and liberal 
exchange control regulations for 
offshore operations are the 
principal inducements for bank 
location in tl>‘-’ Bahamas and 
Caymans. Bahamas offers, in 
addition, good communications 
and a growing pool of trained 
personnel to meet the needs of 
i he industry. Given continued 
political stability. offshore 
business there can be expected 
to grow at the expense of the 
Caymans. 

Ketcmic from the financial 
scrtor ha.s become an integral 
element in the economic 
planning of both countries. 
There is >01110 concern there- 
fore over the proposal to create 
a tree -tv a vie bunking zone in 
New York to recapture the 
international business lost over 


the past 15 years to offshore 
centres Hkiv the Bahamas and 
Caymans. .A 

The U.S’. Federal Reserve has. 
however, by no means given its 
support yet to this plan and it 
may well be many years before 
such a plan is put into effect. 
Nevertheless bankers agree that 
such a move could not fail to 
lead to a sharp contraction in 
the level of offshore banking 
business conducted from the 
two Caribbean centres. 

Elsewhere in the region, 
banking last year has been con- 
ducted in a business climate 
not quite as monotonously 
benign as that- which natuie 
provides for the many tourists 
in the area. In Guyana, still 
largely dominated by the 
branches oE foreign interna- 
tional banks, informed sources 
suggest that if the banks did 
not actually lose money (as in 
Jamaica) they certainly did not 
make a great deal. 

The country’s depressed 
economy (again, like Jamaica, it 
has sought relief in the form of 
an IMF loan) has made life 
difficult for the five foreign 
banks operating there. The 
banks also have toe threat of 
nationalisation by the Govern- 
ment of Mr. Forbes Burnham 
hanging over their head. 

Some selective nationalisa- 


tion, with the bnying-out of 
individual branches of banks, 
has taken place and the Guyana 
central bank has been asked by 
the Prime Minister to conduct 
a study on bow “ consistent with 
the developmental objectives of 
Guyana " is the operation in its 
present form of the country's 
foreign banking sector. 

Instructed 

-In Barbados, which is faced 
with a worsening balance of 
payments situation, the eight 
international banks operating on 
toe island were instructed last 
year by the central bank to 
increase their reserve require- 
ments. This reduced their 
lending capacity while at the 
game time there was a sharp 
drop iu deposits. As in 
Trinidad, the banks' response 
was to raise their interest rates 
on deposits in a bid to attract 
new funds. 

In toe Eastern Caribbean 
islands (Grenada. SL Lucia, SL 
Vincent Dominica. Antigua, St 
Kitts-Nevis and Anguilla) the 
Easter Caribbean Currency 
Authority (ECCA) reported 
that bank liquidity, especially 
in toe first half of last year, was 
high. Interest on loans fell 
from an average of 11 per cent 
to around 8 per cent but the 


m.w * ••• ■* 1 

'■•hh.- > '•-** -• - '•"'I 




: ■ 

• : -0mM 

• v- • 
l VX : i" vV 'H: 

W -■ ■ ;-r; - * 






effect upon demand was re- 
ported to be slight 

Banking, finally, is not with- 
out a sense of humour in the 
Caribbean, as the saga of one 
financier and fugitive from jus- 
tice demonstrates. He came to 
live on a Caribbean island 
where, employing some of his 
ill-gotten funds, he gained con- 
trol of a local bank. 

Within a short time, a large 
number of the island's poli- 
ticians were clients of the re- 
vamped bank and had run up 
impressive overdrafts with it 
Quite satisfactory to all con- 
cerned while it lasted, this 
situation unfortunately changed 
when after a while toe hot 
breath of pursuing Law enforce- 
ment agents made toe finan- 
cier’s continued presence on the 
island a grave embarrassment to 
toe political party in power. 

In a swift move one day 
therefore toe politicians inti- 
mated strongly to the financier 
that it was time he -moved an. 
Simultaneously, they dosed 
down his bank. The closure 
was necessary, one of the 
(somewhat over-drawn) poli- 
ticians later solemnly ex- 
plained. because of the 
institution's -'unsound banking 
practices.” 

John McCaughey 

IB 


Mi 

• ■ : ■ . 1 '-. 

‘ ■ ■ - - V:*Vr^. v vl 

'. v 


■ ■■-*>■ r*| 
-..-v ii 


- • ; s' - ■ -T!, 

; •„ • • W. . I.* . 


■'4 ‘ 1 













ft LINK BETWEEN 
TWO W0R1DS . . 










0Li J>P. 


mmm 






i m./ 












TuRKiYE PgRETMEIMLER BA1MKA5I 

an important organization 
connecting the world & turkey 


HEAD OFFICE - FOREIGN DEPAFTTMEN1 
(P. O. ban 152 Ulu» - ANKARA) 

AtatOrfc fcjJvan 163 Ankara - TURKEY 

Talephones ;25404T - 7547.90 
.Ohio* . TOBANKUM - ANKAPA 
Total : 42 S 82 OBGM - TP 


Part of the banking quarter in Port of Spain, Trinidad. 



r 'i 


ISRAEL 


Financial- Times Tuesday May 30 11^ 

WORLD BANKING XX3® 


Outstanding progress on all fronts 


LAST YEAR was one of out- 
standing progress for Israel’s 
hanking system. In contrast to 
some branches of the economy 
which have been marking time 
for the past few years, Israeli 
banks expanded their activities 
substantially both at home and 
abroad. The combined balance- 
sheet of the major Israeli banks 
just about doubled in terms of 
the Israeli pound, while profits 
in most cases more than 
doubled. However comparison 
of figures in a country suffering 
from inflation and rapid 
devaluations calls for a more 
painstaking analysis. 

The results must be viewed 
against the background of the 
rapid grmvih or the banking 
system over the past two 


decades, when the expansion of 
the banking industry was much 
faster than that of the country's 
GNP, Whereas in 1964 the total 
balance sheet of Israel’s banks 
was about 60 per cent of GNP, 
the ratio rose to 90 per cent in 
1970 and jumped to 244 per 
cent in 19//. In other words 
the growth of the toral balance 
sheets of the banks was four 
times faster in this period than 
that of the economy in general, 
as measured by GNP at current 
prices. 

The total balance of the 
Israeli banks at the end of 1977 
amounted to I£328bn or some 
U.S.$ 2 1 bn compared with 

some I£134bn for GNP at 
current prices. { Comparison 
with GNP overcomes the prob- 


lems created both by the 
general economic development 
and local price increases, which 
have been very pronounced — 42 
per cent in 19/' and 38 per 
cent in 1976.) In real terms, 
after allowing for these price 
rises, the growth rate of Israel 
banking was 19 per cent in 1977, 
10 per cent in 1976, 20 per cent 
in 1975 and 10 per cent in 1974. 

The rapid increase in the 
balance sheers of the Israeli 
banks reflects the fact that they 
arc linked to the cost-of-living 
index and to the rate of ex- 
change to the extent of about 
85 per cent — i.e.. 45 to 46 per 
cent of the balance sheet is 
either in foreign currency or 
linked to the rate of exchange 
while another 40 per cent is 


linked to the cost-of-living index 
fboth on the liability and asset 
side), leaving a very tiny sur- 
plus of linked assets over 
liabilities. Thus whenever tbe 
cost of living goes up, or there 
is a devaluation, tbe balance 
sheets of the banks grow 
accordingly. 

Last year, with its accelerated 
rate of devaluation (78 per cent 
in relation to the dollar}, in- 
cluding the devaluation (nomin- 
ally of 42 per cent) declared 
on October 28 as part of the 
"New Economic Policy,” was 
a case in point. The increase 
in the foreign exchange com- 
ponent in the aggregate balance 
sheet of the- banks was 126 per 
cent — compared with a 67 per 
cent rise in the local currency 


portion. Altogether, over 
I£150bn (out of a total of 
I£32Sbn) is quoted in or linked 
to the rate of exchange tas 
against only J£66.3bn in 1976), 
whereas I£177.5bn are in local 
currency (I£106.Bbn in 1976}. 
wheres I£177.5bn. is in local 
activities of Israeli banks only 
and do not include the balances 
of foreign branches or 
subsidiaries. 


Congratulations 




m -4 


m *.t 


.jU 





mr 


mm 

w&' 


Mk'M 





*■.. v .. m 




This year Israel is 30 years young 


Young, dynamic — and 4000 this reality; proud to share with Be in touch with us at any of our 

years old. A modern miracle. Israel the same young dynamic 360 branches in Israel and 

A dream realized through the spirit which has helped build it, across the world because we're 

pioneering spirit of a determined, which continues to develop this the Bank that knows Israel best; 
people. Bank Leumi is proud to old-new land.its trade, industry, after all, we were here 46 years 
have been a partner in creating agriculture, building, defence before it was born. 

and education. 


Bank leumi (fft 'I3 in5 1332 


_ LE-lSRHEl B.m. nU2 SNIUJ'i 

Hoad Office Yenudj Halevi Si. larul Tei-A-,, v . Tel. <03; S7 1 1 T Tere* 32MS Leumi. !L 


Subsidiary: BANK LEUMI (U.K.) LTD. LONDON 


Head OIK*- J-Id tvm EndBrancn- AaMSIuch Street. London W1A2AF. Tale.. 27J:9.Bankis-jr!uh London ttl Th.iOii 629-1205 
Cilv Office. S»an House 34 5 ttu-en Street. FOB 103. London EC4P 4BT. Leur-.ban* London EC4. Tel. \01) 248-7712 
ucridefa G/wri Pmo IQ! Goiders Green Hoad. London Nwi 1 BEN Toi ;01| 455-3472.3 


Olfter SubfrdUluffs BANK LEL'Ml TRUST COMPANY qf NEtAi YORK - 12 Brjncnes jne T Reo Office in Toronto 
BANK LEUMI LE-I3R *EL t Switzerland l — Zuricn and Geneva B/arrcnss. LU/iNVES' SA Brussels 
BANK LEUMI LE-iSRAEL (France) S A. — 2 Brancr.es 


Branches and Bod. OWcmj in Cf-c.wo. Beveri, mis Miami. Cavman Island. Curacao, rrani-fun Ha In. Milan, Antwerp, 
Buenos Aires, Carac-i',. Sao Paulo. JohanncnOurg, Hong Kong , Meiaoarne (robe opened soon) 








• 


A ' ’ -3«. * 


Sanpaolo and its many-sided services 

For all your banking requirements in Italy and worldwide 


ISTITUTO BANCARIOSAN fWLO Dl TORINO 

A Public Law Institution Head Ol five in Turin and main branches in Bari. Bologna. Florence. Genoa, Milan, Rome. 



The linked items in the 
balance sheet include more 
specifically on the liability side 
foreign currency deposits of 
foreign residents, current and 
fixed-time deposits, foreign cur- 
rency deposits held by Israelis 
(e.g., deposits derived from 
German restitution or pensions) 
and local currency deposits 
linked to the rate of exchange 
held by Israelis. As to deposits 
linked* to the cost-of-Jiving 



Yotvdta kibbutz in the. Negev, some 15 miles north of Eilat. 


index, whereas current accounts 
are not linked, 90 per cent of 
the fixed-time deposits, pre- 
dominantly the large range of 
special five-year savings 
schemes, are so linked. The 
same goes for virtually all fixed- 
time deposits of public institu- 
tions deposited for the purpose 
of lending by the banks. 

Another conspicuous feature 
of the Israeli banking system 
is its high rate of concentra- 
tion. The number of banking 
institutions had fallen to 27, at 
end-1977 from 32 in 1974. 42 in 
1970 and 50 in 1960. Moreover, 
four are quite small credit 
co-operatives and one a medium- 
sized institution with 23 
branches. The " Big Three ” 
banking concerns, which control 
12 out of the 20 banking insti- 
tutions, account for some 92 per 
cent of total banking business 
in Israel. Between 4-0 per cent 
is handled by two medium-sized 
banks, while the remaining 2 
per cent represents the balances 
of tbe five small concerns. It 
should be noted, though, that in 
restricted fields where competi- 
tion is fiercest, the ratio of the 
medium-sized banks is slightly 
higher. 

The trend towards concentra- 
tion has slowed down recently. 
The authorities would' like to 
see more rapid progress on the 
part of the medium-size banks 
and favour the merger of the 
small banks with the medium-, 
size institutions. 


promote and succeed in mobilis- 
ing large amounts of money 
from the public for their special 
savings schemes, all linked, 
which range from deposits 
providing for higher education 
to savings plans assuring the 
depositor of a mortgage at the 
end of the five-year savings 
period. 

These schemes play a vital 
role both in syphoning off 
surplus purchasing power and 
in providing the Government 
with funds, since they are 
backed by linked Government 
bonds — a major item on the 
income side of the Budget. The 
total amount accumulated in 
these cost-of-living linked 
savings reached I£371in at end- 
1977 t£2.4bn), an increase of 90 
per cent over the preceding 
year. Half of this increase was 
due to the opening of new 
savings accounts (which protect 
the holder against erosion of his 
capital) and half to linkage 
differentials. 


Exchange is in. the issues of 
financial institutions, this multi- 
plicity of functions made the 
banks the subject of attack 
during the sharp fluctuations on 
the exchange during the second 
half 'of 1977, fluctuations set off 
by indiscriminate buying — even 
though such reckless purchases 
were not made on the advice of 
the hanks but usually by self- 
styled " investment advisers'* 
or “ portfolio managers.” 


share of foreign business m the 
total balance sheet oF tbe banks 
may be put at 20 to 25 per cent, 
with further expansion planned- 
for 197S. 


' The volume -of trading on the 
Tel Aviv Stock Exchange 
reached unprecedented levels 
last year, while the general 
share index jumped by more 
than 70 per cenL Banks took 
advantage nf the wide participa- 
tion by the public by floating 
shares, rights issues, and capital 
notes and succeeded, overall, in 
doubling their capital. 


At the same time the intro- 
duction of the Government’s 
‘•New Economic Policy” (NEP) 
at end-Ocrober 1977. involving, 
the floating of the Israel pound 
and a substantial casing of 
foreign exchange controls, pre- 
sented new challenges, and 
opportunities. The NEP opened 
up new avenues for depositing 
and borrowing in foreign ex- 
change. and for free operations 
in international money markets. 
The banking industry adjusted 
itself with great efficient to 
this entirely novel situation and 
it is hoped that it will make The 
fullest use of its international 
contacts. 


Attack 


Stiff 


The high rate of concentra- 
tion is of course typical of many 
other small countries such as 
Ireland, Greece and Holland, 
and similar to that of Britain, 
but is very different from the 
situation in some European 
countries and in the U.S., where 
most Israeli economists receive 
( their higher education and 
‘therefore tend to criticise this! 
development. Objectively, how- 
ever, one may conclude that; 
competition among Israeli 
banks, particularly among the 
*■ Big Three,” is very stiff, even j 
if it does not always take the 
form of price competition. 

Again similar in pattern to 
the UK but unlike most of the 
U.S., is the large number of 
branches operated by Israel's 
banks. Including some in major 
hotels and a few in. the occu- 
pied territories, tbe aggregate 
total is just under 1,000. The 
Bank Leumi group has 312 
branches in Israel. Bank 
Hapoalim 284 and the Discount 
Bank group 218— i.e., the three 
big concerns account for 814 
out of the total of 964 branches 
of the commercial banks and 
the 28 operated by the credit 
co-operative societies. 

Opening of new branches is 
subject to apprnval of the 
Examiner of Banks of the cen- 
tral bank, the Bank of Israel. 
Because of the sensitivity oF 
the issue, a public committee 
was appointed to recommend 
the licensing of new branches, 
which have averaged 10 to 20 
a year over tbe past 15 years. 
It would appear therefore that 
tbe number of branches per 
thousand population, which used 
tu be very high, has been 
gradually reduced by the small 
number of permits granted by 
the committee. This despite 
the fact that— in contrast to the 
practice of the 1960s— 70 per 
cent of wage and salary pay- 
ments and a similar proportion 
of social security benefits, are 
transferred directly by mag- 
netic tape (via the banks* com- 
puters } to the recipients* 
accounts. 

Research by the staff of the 
Examiner of Banks indicates 
that there are 3,883 inhabitants 
per branch in Israel, compared 
with 1,407 in Finland, 1,763 in 
Canada. 1.878 in Sweden, 2,037 
in Austria, 2,207 in Holland, 
2,301 in Japan, 2,383 in Britain] 
and 4,457 in Italy. 

Some of the new branches are 
efficient, modern, well fur- 
nished, spacious and to a cer- 
tain extent ‘‘luxurious,’* some- 
thing which has attracted 
criticism in certain circles. 

Israel's commercial banks 
might be termed “supermarkets 
I nf finance.” Not only do they 
1 provide the necessary working 
i capital for production processes 
and trade against collateral of 
the type of “ self-liquidating 
assets;'* they also, encourage. 


But commercial banks in 
Israel, unlike their counterparts 
in many other countries, also 
own and operate a large range 
of financial institutions — 
mortgage banks, industrial 
investment banks, agricultural 
development banks, investment 
and finance companies and so 
on. The commercial banks, like 
those on the Continent but 
unlike banks in Britain and the 
U.S., are also extremely active 
in securities trading and on the 
stock exchange. They act in 
various capacities and fulfil a 
number of functions such as 
advisers to individual investors, 
brokers’ underwriters of shares 
and bonds, owners of investment 
companies and managers of unit 
trusts. 


Nevertheless, in new of the 
rapid rise in - the balance sheets 
the banks' capital is very' small 
in relation to assets — some 2.3 
to 2.5 per cent and much smal- 
ler than in most countries. 
Needless to sav, in view of their 
favourable results for 1977, 
bank shares were least affected' 
by the fluctuations, and the 
banks plan further issues for 
197S. 


The past few years have also 
witnessed a substantial expan- 
sion of foreign business. Over- 
seas operations of the “Big 
Three” are very; large in rela- 
tion to the small size of the 
country, with Bank Leumi rank- 
ing among the 100 larglst in the 
world! ” .Isra&rr batiks have'* 
branches and own subsidiaries 
in the U.S., Britain, France, 
Switzerland and elsewhere. 
Agencies and representative 
offices are located in many 
European countries. North and 
South America, South Africa, 


Finally, there is profitability, 
a very hot issue in Israel. Most 
banks doubled their profits (and 
their capital) last year. ■ A 
closer look at the figures indi- 
cates that that was so not only 
in absolute terms but that also 
profit per share also rose by 
some -0 to 20 per cent. How- 
ever, profitability per share, in 
real terms (discounting infla- 
tion) was virtually unchanged 
or slightly down, depending on 
the definition adopted. • Taxes 
on inflationary profits on 
Israeli banks are higher than 
on any other branch of the 
economy. It is essential for 
banks to maintain a high rate, 
of profitability in order to 
enable them to -accumulate re- 
serves. -In a country like Israel, 
this is of the utmost importance 
in view of the political and 
economic situation. There are 
signs that the authorities are 
beginning to realise this; ' 


Since over SO per cent of 
trading on the Tel Aviv Stock 


Hong Kong and Australia. Sub- 
stantial progress haring been 
made abroad last year, the 


Dr. Asher Haiperin 


Director-General, Association 
of Banks in Israel 



There’s more to BCC than 


you see in British High Streets 


The Bank or Credit and Commerce Group has 156 offices in 32 
coumnc4.No less than 45 ol them arc in Britain, and thev could be 
remarkably hclpiul iq you, whether your business is at home or overseas. 
All your banking busings can be processed at branch level, no matter 

vom Pk* ! l W or . j 10 "' wide the international ramifications. 

And you will lind that besides our knowledge and cxncricnwof 
uonimcruyl banking, we have an extra commitraeuttopcrsorui I service, 
uur qn-line, rcal time-computer system is nn adiimct-to this, not a 

su stmue lor it- it puts our whole worldwide network iusuintlvatyour 
service. * - J 


Contact ns at the address below. 



Bank of Credit and Commerce 

Internationals^^ 


Sr"? I*"* 1 - ? iibo “ ti - E S>T»- France. Gabon. Gciramv West). Ghana, 

} .'hai.™ 77 d h* I,ldo rr- Ir,,, \ , r OT > *>1™ .Ionian. Keiija/Kona iSouihj. 


} ■ , r "7 — . Jjpun. Jnruan. (vrma. Korea laoulhl. 

S »«? 0 ii Kt“ n " ,IV N'S-ma. Oman.KikiMaiL SejvhrfK Sudan, 

2>.>UA.iLmd, Limed Arab Emirate,, l mted Kingdom, Vcnomda, Yemen (.North;, 




i 


! 7 r 

i jfli-r- -r-.-. 


fern. 

'■•4 1 H/, , 

Securitt 







'\W 

\w 


-CT* * 











1 4 * M e 



•\v 




Financial Times Tuesday May 30 1978 


GREECE 


WORLD BANKING XXXV 


Checks on credit and money supply 


It Ms 


S ; ;vp 


i;:; 

; ‘-a** 1 **. 

.• -iw- ' 




_ V-C-V • •'■•. 'i 


MNE NEW Greek commercial 
bank and branch offices of two 
mure foreign banks have been 
added in the past year lo the 
i«*n Greek and 12 foreign com- 
mercial banks already operating 
m the country. The new Greek 
bank is Bank of Macedonia and 
Thrace and it is the only one 
tu have its head office located 
at Thessaloniki. Its share 
capital is being subscribed by 
legal entities and private indi- 
viduals in Northern Greece who 
wanted to have their own local 
sources of financing. According 
to present indications, the new 
bank's share capital will total 
about 1.5fan drachmas, welt 
above the paid-up share capital 
of 500m drachmas now required 
for establishing a new Greek 
bank. 

The two new foreign banks to 
establish full branch services in 
Greece are Barclays Bank Inter- 
national and Bank Saderat Iran. 
The latter is the only non- 
European and non-North 
American bank so far operating 
in Greece. Talks have been 
going on for some time for 
establishment of a Greek-Arab 
bank but these have not yet 
been completed. At the moment 
there are six American banks, 
four British, a Canadian, a 
French, a Butch and now an 
Iranian bank with a total of 35 
full-service branches in Athens, 
Piraeus and Thessaloniki. 


Attract 


Last year these foreign bank 
branches were handling about 
13 per cent of all deposits and 
15 per cent of all credits out- 
standing with commercial banks 
as a whole. Besides Greek 
shipping with its international 
business connections, wbat 
appears to attract these banks 
tu Greece is the country’s grow- 
ing transactions with the Middle 
Ea>t. its forthcoming accession 
(u EEC and sizeable capital 
inrtuws from Greeks abroad as 
well as from foreign business- 
men. 

A broad series of measures 
.ire due l" be taken soon to help 
>iab;li>e the economy, fight in* 
llaiiunary psychology and 
reduce the trado deficit. Smite 
of these measures would have 
been announced in inid-May but 
for the recent change in 
Ministers responsible for 
economic policy. 


The monetary authorities 
believe that the persistence of 
relatively high inflation rates 
in recent years (12-13 per cent 
annually) has been due to the 
rapid growth of money supply 
and credit One of the measures 
proposed aims at checking the 
low rate of increase in bank 

deposits and the trend in 

higher spending on consumer 
goods as well as extensive in- 
vestment in property. Bank 
deposits between October 1977 
and March 1978 went up by 
only 9.5 per cent against a rise 
of 142 per cent in the 

corresponding period a year 

earlier. 

As an incentive to help 
channel deposits back to banks, 
one proposal is to raise, at least 
provisionally, interest rates by 
as much as 2 to 3 per cent. Thus 
basic interest rates on simple 
savings deposits with commer- 
cial banks, which since the be- 
ginning of 1977 are a tax-free 
7 per cent, would go up to a 
maximum of 10 per cent and 
time deposits from 8.5 to 9.5 
per cent to 11 to 12 per cent, 
depending on the time period 
funds are deposited. Commer- 
cial banks believe that such a 
rise in the cost of deposits 
would mean an annual burden to 
them of approximately 8bn 
drachmas. This would have to 
be met by a narrowing down of 
the banks' profit margins but 
also by a rise in the cost of 
bank credits to enterprises and 
individuals. 

The monetary authorities, 
however, would be reluctant to 
see an increase in interest rates 
on credits exceeding one to two 
percentage points. If such a rise 
is finally approved, it would 
mean that rates on long-term 
loans would go up from 11 to 12 
per cent per annum (Including 
bank commisisons), on export 
loans from 9.5 per cent to 10.5 
per cent, on short-term lending 
for working capital from 13 to 
15 per cent to 15.5 to 17.5 per 
cent, and on interesting-bearing 
Treasury bills from 7.75 to 8.25 
per cent to 9.75 to 10.25 per 
cent. 

The authorities appear 
hesitant to sanction These in- 
creases in the cost of money, 
fearful that they might con- 
tribute l» a further rise in in- 
dustrial goods prices and ulti- 
mately to a rise in the cost of 
living. According to the exports 


who proposed the readjustment 
of interest rates, the higher cost 
of bank credits is not Likely to 
affect the cost of industrial pro- 
duction by more than 1 per 
cent and will not feed inflation 
by more than 0.3 to 0.5 per cent. 
Experience, however, indicates 
that inflation psychology tends 
to carry away upwards the cost 
of many goods and particularly 
services in chain reaction, thus 
defeating the purpose of interest 
rate adjustments. 


Demand 


Besides interest rates, the 
problem facing banks is the 
volume and type of credits to be 
extended. The Governor of the 
Bank of Greece, Professor Xeno- 
phon Zolotas recently pointed 
out that inflationary conditions 
inevitably lead to a large in- 
crease in demand for credit to 
finance speculative investments. 
This requires strict control over 
bank lending so as to meet tile 
requirements of productive sec- 
tors (such as exports and new 
investments) and restrain 
leakages of bank credit to non- 
productive and speculative 
activities. “It seems,” he said, 
■' that the banks under the pres- 
sure of abundant liquidity, have 
relaxed the criteria applied in 
selecting their loans.” 

At the same time the new 
Minister of Economic Co- 
ordination and Planning, Mr. 


Constantine Mitsotakis, has an- 
nounced tbat “ the banking sys- 
tem will have to be changed, 
because it is inadmissible tbat 
it sbould be allowed to burden 
— perhaps excessively — the cost 
factors of the economy and at 
the same time tread the rosy 
path of certain profit" 

The Minister did not expand 
on the changes he bas in mind 
but as tbe system stands to- 
day. almost 85 per cent of the 
country's banking is under 
State control, with two giants, 
tbe National Bank of Greece 
and the Cozmnercial Bank of 
Greece, dominating the scene. 
Bank rates, therefore, which 
are lived by tbe central bank’s 
Currency Committee and which 
apply to all banks without ex- 
ception, are invariably geared 
to tbe requirements of the 
National Bank which has to 
cover excessively large over- 
heads and finance many Govern- 
ment-sponsored projects which 
are deemed socially expedient 
but are rarely profitable. 

As a result, an efficiently run 
private commercial bank can 
produce handsome returns as 
proved by Erg ob auk, a rela- 
tively new Greek bank set up 
two years ago. Ergo bank’s 
first balance sheet showed a net 
profit of 50.15 per cent as a 
percentage of gross profit com- 
pared to an average of 12.65 
per cent for other banks while 
net profit as a percentage of 
net worth worked out at 12.83 


per cent compared to an 
average of 5.94 per cent for 
the others. Ergobank was also 
able to distribute a dividend of 
£1.54 pe rsbare or 14 per cent 
on the nominal value per share 
and bas announced a dividend 
of £2.16 per share for 1977. 

Total bank credits increased 
by 232 per cent in 1977, com- 
pared with increases of 24.9 per 
cent in 1976 and 23.6 per cent 
in 1975. Bank credits to the 
private sector went up by 25.5 
per cent in 1977, the highest in- 
crease in the last 20 years. As in 
previous years, credit to manu- 
facturing increased much more 
rapidly than production and in- 
vestment activity in tbat 
sector. Long-term loans for 
investment financing increased 
by 20.4 per cent in 1977, while 
short-term credit to manufac- 
turing grew by 25.4 per cent, 
sufficient to meet working 
capital requirements. Bank 
credits to agriculture were also 
particularly high, while credit 
to trade increased at a slower 
rate than in 1976. 


Target 


In order to bring tbe rate of 
inflation down to the Govern- 
ment’s target of 10 per cent 
this year (from 12.1 per cent in 
1977), the monetary authorities 
have decided to hold total credit 
expansion to the private sector 
at roughly 18-20 per cent and 


the growth rate of currency in ment. When investment begins 
circulation at around 16 per to pick up, then, the authorities 
cent These increases are con- suggest, certain moderating res- 
sidered adequate to support tbe traints should be placed on 
5 per cent rise in gross domestic 
product envisaged fay the Gov- 
ernment As a further measure 
to reduce liquidity, banks may 
no longer extend to individuals 
personal loans exceeding 100.000 
drachmas. Previously the ceiling 
was 150.000 drachmas. 

To encourage the financing of 
productive investment, tbe 

authorities have approved 

credit and investment 
programmes by investment 
banks for the current year total- 
ling llbn drachmas, of which 
9bn are intended for financing 
industrial investment 
Furthermore, llbn drachmas 
out of funds expected to be 
mobilised through commercial 
banks will be earmarked for in- 
dustrial investment, while the 
Agricultural Bank’s lending pro- 
gramme provides for a 28 per 
cent increase in new long-term 
loans for financing investment 
in agriculture. (The Hellenic 
Industrial Development Bank is 
raising an eight-year $10m loan Xenophon Zolotas, Governor 
directly from Banque Bruxelles of the Bank of Greece: 
Lambert SA and Banque Inter- “Banks, under the pressure 
nationale a Luxembourg SA.) of abundant liquidity, have 
The new investment incen* relax ^ d the criteria applied 
lives being enacted, plus ex- selecting their loans, 
panded trade with the Middle bousing construction. Although 
East and expected accession to contributing to the national in- 
EEC. sbould contribute to a come and particularly to em* 
recovery in industrial invest- ployment, housing construction 



has also become an unwelcome 
source of inflationap' pressures. 

Meanwbile, certain measures 
were taken by tbe Ministry of 
Commerce recently as an in- 
centive to raise more funds 
through the capital market In 
accordance with these measures, 
at least 35 per cent of net profits 
must be distributed as dividend 
each year by companies whose 
shares are listed on the Athens 
Stock Exchange, instead of 30 
per cent as previously. In case 
no dividend is distributed, a 
decision to this effect will hence- 
forth require the consent of 85 
per cent of shareholders instead 
of 75 per cent 

At least 25 per cent of ail 
ordinary shares of companies 
whose shares are listed on the 
exchange must be made avail- 
able for negotiation. This mini- 
mum is raised to 30 per cent in 
cases where the share capital of 
a company listed is 500m 
drachmas or more. 

Pension and insurance funds 
as well as other institutions may 
invest part of their reserves in 
mutual funds, following per- 
mission from the government's 
Currency Committee. Every per- 
son insured with such funds will 
enjoy a 1.000 drachmas tax 
rebate on dividend received 
from such investment. 


By Our Athens 
Correspondent 


M 




To Future 

Generation^ 

Security 












Hon uji 







7* 




Money alone won't get you into the “Club” 


Social u rlt.iro is a subject of serious 
conbidor.it ion in most modern societies. Man 
in i in.* twentieth century accepts his 
i,;'.|ViMMhi!iry to bequeath to the nc\t 
M.’iu-iulioji a society better than his own. 
Hama bank is not unique in accepting Ihis 
responsibility. but Daiwa is unique in making 
ao-i’i'lJnco ol this role in socic-tv an integral 
par! i heir b. inking service. 

Daiwa is the only Japanese city bank to 
combine banking and trust business. Dam a is 
umr- . 1 1 ullv integrated banking institution, 
compiling banking, international financing, 
trust pension trust, and real estate bu>ine^. 
Tin*, integration is part of our effort to lulnl «»ur 
sockiI responsibility consistent with souci\ s 
needs in a contemporary em iron men i. 


f„|| v integrated banking service 


People tend to think its only money that counts. 
True, money is important But it is not enough to 
be big, strong and beautiful. There are a few 
more criteria for being admitted to the top ranks 
of the international banking community. 
You have to be a fair partner. Somebody to rely 
on. An expert and a friend, who knows when 


a deal is a good deal for both you and your 
partners. 

And you must have partners who are not just 
business partners but more than that You've 
got to have friends. All over the world 
Then, perhaps, you’ll become a member of the 
Club. We are looking forwardto meeting youthere. 





I. . |.J Oliicv: Os-ika. Jjpjn 

. |, ,ji (tr.iiiih; U inctawr House. 77 London Wall. London 
'"n IBP 

' ' ] •(,;* f.f.m. lv ISvhiTiJwinuT U»d-lfJ>sc 14, COCO Frank! urt 
Vi.iim ! I li- Gorm.iiw 
\.<rf: .ind Los \ngi’k"i V-Jf.T «•’- 

... Swim \ S.io P.siilw. Hung kons and Houston 

. t 1 "'-'.' . 

I% : J iv.nl. Trufl Company, New iu»- 

■in! \ . IIIU'I’ P.mks. f.T. G.ink Perildni*. Idkjrtd, 
ili-jiution.il cifdit Lit!., Hong Kong 


Ginozentrale Vienna 

Your friend in Austria. 

Girozentrale Vienna, A-10U Vienna, Schubertring 5 r TeL729 40 

Dealing in Securities: Mr. VOMACKA, TeL 72 94 670, Telex 1-3195 
Clean payments and checks: Mr. KONIG, TeL 72 94 240, Telex 1-3006 
L/C, collections, doc payments: Mr. GOTTLOB, TeL 72 94 250, Telex 1-3006 l 
Foreign exchange dealers: Mr. RAMBERGER, TeL 72 94 441, Telex 1-2911 / 
International financings: Mr. ANTON. TeL 72 94 750. Telex 7-5445 / 1 
New Issues Syndication Dep.: Mr. NOWAK, TeL 72 94 634, Telex 1-3915 1 
Non-recourse financing: Mr. SCHUBERT, TeL 72 94 329, Telex 7-5445 1 
S.WlF.T.-Code: GIBA AT WW ! 


7 Name: 


Position: 


I want to know 
more about GZ. 
Please send me 
a copy of the 1977 Report, 


Address: 


1 1 To: Girozeacale Vienna. A-1QU Wien, Schubertring 5 






VJ 


■ v . 



I 


ARAB WORLD 


FfnaHdal Times Tuesday May 3CTt97S; , . ; 

WORLD BANKING XXXVI 



Gulf States show 
two-way growth 


hi llic long term, the best choice 


THE 

LONG-TERM CREDIT BANK 

OF JAPAN, LTD. 

H*ad Office: OlWdChi. Tokyo, Japan Tel: 211-5111 Triex: J2430S New York Branch: 140 Broadway, New York, N.Y. 10005, U.S.A. 
Tel: 70"- 1 170 Telpc 425722 London Brandi: 3 Lombard Street, London EC3V 9 AH, U.K. Tel; 623-951 1 Telex; 8S5305 
Los Angeles Agency: 707 Wilihirw Boulevard, Los Angeles. California 9001 7. U.S.A. Tel: 488-1766 Telex: 673558 - 

Amsterdam, Sydney, Seo Paulo; Singapore, Frankfurt, Paris, Hong Kong, Brussels ■ 



tv#** 



Bank eetabllshed In 1846 in Genoa (Maly) 


REPRESENTATIVE OFFICES 

FRANKFURT /MAIN 

Rossmarkt 21 
D-6 Frankfurt/ Main 1 


LONDON 

Wax Chandlers* Hall 
Gresham Street 
London EC2V 7AD 


NEW YORK 
375 Park Avenue, 

New York, N.Y. 10022 



Kuwaiti dinar among the Bahraini OBUs. rebuilding of the gold souk at 

THE PAST year has seen some first major Kuwain Earli | r ^ year BAD also Deira in Dubai. 

remarkable doveJopmente m toe ry notelLues in arranged a SR 100m five-year Dubai has traditionally been 

??“!m “ i a sa. sS ro«°M^ Na s s^assrsrSE-. 

s Et s smm sa eels 22 . “ d aagg 

m z '■ ssssjs s±Lr*zaz s aw-ST-m = 3 ssiQRS 

Settlements. Deposits with BIS- Kuwait— the Arab Company for nyal financings. National Com- smelter. Wow imoa s iiraer 
reporting banks amounted to Trading Securities (ACTS)— mercial Bank and the relatively th* markets 

only 5400m in July-September, ^ first floating rate CDs in new Saudi Investment Banking “ hvdS^rtSns^prSetS 
while borrowings reached Kuwaiti di „ a rs f the first floating Coloration have both emerged hydrocarbon^ 

$2j2bn. (Overall, of course, . CD in doUars done on the recently as lead managers in Together witn a tax, jsznmxL 
OPEC deposits still outstripped Ba v, ra i 0 market and the first deals, NCB in an interesting and the United Arab Shipping 

their borrowings.) international borrowings bv bond issue for the Korea Company, owned by six Gulf 

This reversal of the normal sector e"^ from Exchange Bank. States, it is se^ng newiwnns 

trend in the oil-exporting States j? audi Arabia ^ Kuwait The Kuwaiti dinar bond on terms for Arab bnnwe . rs - 

was repeated in the last quarter market has been enjoying a new Abu Dhabi Gas Liquefaction 

of 1977. In the year as a whole, boom, Mexican and Finnish is raising $100m at a spread 

the BIS reported, these nations OplCaU borrowers being the latest to above Libor starting at 3 per 

recourse to the reporting banks , banker<l have have recourse to it The quality cent Qatar Steel is borrowmg 

was at 51 1.3bn. the same size as International Danners nave market has imnmved $100m over ten years also 

that of the non-oil developing had ’■“£ ‘I. ^ sinc^ACTS hegan operating at 8 per cent UASC 

countries. and Bibor— the baud! ana “ h _. * is raising a similar amount on 

At the some time. OPEC Bahrain interbank : offered rate “JJJA SI IU« terms, except that the 

deposits with the international respectively— added to their P maturity is eight years. Bahrain 

banking system have continued vocabulary, as deals have • ^ . ‘ National - Oil is getting $S0m 

to slow down. At $13.4bn they started to be done on a basis 10 absorb some or tne over years starting at f 

were only marginally higher of a spread above these rates, excess local liquidity, interest p er cen ^ Emirates Telecom- 
than those of the non-oil just as Euromarket deals are local investors in longer munitions — majorityowned 
developing countries — a done on a spread above maturities and provide banks United Arab Emirates 

development which, the BIS London’s rate, Libor. with a better base for medium Government — is paying 

notes, “scarcely anyone would The general liquidity among and longer term lending, a s ij g htiy more for $100m over 
three years ago." banks S ] oeally and inter- piamber of Kuwaiti banks have eigtlt yoars; * per cent rising 

During 1978, the OECD has nat ] 0na i] y h as contributed to jJJ 0 ®* cD , s SI . nce last a i ltuI J5f' to l per cent 

predicted, borrowings by the erowin® use of Gulf The ftrst tap lssue was for Ae 
oil-exporters could establish a rarrer f?!<; ° jn international Industrial Bank of Kuwait the _ x . 
new record of some 58-9 bn as lendin g operations. Increasing tranches issue for the Gulf Batch 
these nations embark on costly sophistication among bankers in Bank- 

development projects. OPEC the Gulf particularly Kuwait The maturities on the CDs The arrival of a whole batch 
borrowed $6.3bn in the medium- anc j offshore banking units have been stretched out to three of Gulf borrowings on the mar- 
term market last year. Iran and (OBUs) in Bahrain, has pro- years, and the first floating rate ket at rates on a par with those 
Venezuela, with several major tfi e framework for this. CD — KD5m for the Kuwait obtainable by prime European 
loans under their belts, The Saudi r j val is ma king Real Estate Bank — has made borrowers has coincided with 

“°re and more appearances in Us appearance. Partly as a rising aggressiveness on the 

tlus. and these two countries, internationa i lending, despite result of the growth of CDs, part of houses such as Abu 

together with Nigeria, will con- ^ attitude of the Kuwaiti banks are becoming Dhabi Investment Company, 

tmue to make significant use of Saudi authorities. The Saudi “ore active in floating-rate (ADIC), Kuwait International 

Arabian Monetary Agency syndicated KD credits, a Investment Company (KEfC), 

recently sent a letter to certain number of which have been Gulf International Bank (GIB) 

international banks asking them completed for important local and National Bank of Abu 

to restrict their use of the clients. Dhabi in seeking to lead- 

currency in their offshore lend- Nevertheless a number of manage Eurodeals for local 
More interesting, however, is jng. It may have some effect — major companies from the Gulf clients, 

tiie rise in tempo of borrowings most big banks do not want to have been attracted ,to the adIC’s competitiveness is re- 

in the Gulf States — where the upset toe richest central bank Eurodollar markets for- funds, markable since it was formed 
hard core _of the OPEC surplus in the world— but other factors The Emirates haye been parti- only in February 1977, with a 
is situated. Last year these wiU play against it, especially cularly active in the last few 60 per cent stake from the Abu 
countries’ recourse to medium- the Saudis own insistence that months. Arabian Development Dhabi Investment' Authority, 
tern bank credits— at about all contracts awarded m the corporation of Dubai raised Already it has clinched deals 
51-obn rose faster than any- Kingdom be paid in nyals. ?20m through Interunion for a wide range of borrowers, 

one’s in OPEC. This year, the This requirement, together B anque. BAH, Banque de ranging from Hungary to 

OECD estimates, their demand with the strict reserve require- n n dochine Credit Commercial Mexico, as well as for more ob- 
for funds will probably be “ents imposed on banks de France ^ UB AF Fincancial vious clients such as Abn Dhabi 
lighter, though still substantial UV h*. SSivrth nf Services at the beginig of the Gas Liquefaction. Qatar Steel 

The advent of a far wider Fear. The proceeds o?^ie loan and Brirtel. 

range of international F Bahrain^ It was 'from here were t0 30 towards construction Gulf International— owned by 
borrowers from tiie Gulf “ Babram . It was from here of executive honjes itt DuJia |. tte ^ States indoding 

countries has paralleled the (Midd j e Eas .^ ^ ^ Paris- I^ater the Dubai Aluminium Saudi Arabia and Kuwait— has 

emergence of several local based Arab-European con- Company, Dubai, announced a suddenly entered the limelight 

banks and investment com- sortiuixl baaK Banque Arabe et ®2 5m credit through a syndi- this year, after a couple of 

panies as important managera i nternationaIe d'lnvestissement cate led b F Arab Bank, years of dormancy since its for- 

and lenders of syndicated arranc , ed th e gR 300m floatin® the institution formed last year mation. It is involved as lead 
credits, is as well as greater rate j oail for B e( j ec , the conT- f r0ra 1110 ashes of merchant manager in the UASC, Qatar 

use of local currencies and pany owne d by Saudi entre- bankers Edward Bates. and Banoco deals, 

an Increasing variety of preneur Ghaith Pharaon, ear- Members of the ruling Most of these newly emergent 
instruments. ^ ^ lier this year. families in the Gulf .are also houses (KIIC is well estab- 

A whole series of “firsts” From Bahrain, too, Banque proving ready takers of Euro- lished with Arab personnel) 
has been registered in the past de l’lndocbine et de Suez lead- funds as they finance their own have recruited top syndication 
12 months or so, among them managed a SR 50m deal last private projects, usually in the managers from U.S. and British 

the first Kuwaiti dinar certi- year for the Saudi firm property field. One of the big- banks and companies in 

ficates of deposits (CDs), the Amiantit. with syndication gest such loans so far has been London. That is one reason for 

the $19m credit arranged by the the regularity with which their 
Abu Dhabi Investment Company names are now appearing at the 
for Sheikh Surour,- a cousin hea dof bank syndicates. But 
| of UAE President Sheikh Zayed. the governments behind GIB 
The funds are earmarked for an and ADZC must have taken de- 
international trade centre in cisions to channel more of their 
I Abu DhabL surplus oil funds into medium- 

Sheikh Mohammed of Dubai, term risks on the Euromarkets, 
who is related to the Ruler, is as well as to build up local 
borrowing $ 16 m over seven banking reputations and pro- . 
years' at 3 J percent above Libor vide a framework for training 
through a group of banks led their own personnel 
by National Bank of Ahu Dhabi. 

The purpose of the loan is the Brian ThompSOQ 


the international capital mar- 
kets in 1978. 


Tempo 


BANK OF KHARTOUM 


That’s where we come in. The National Bank 
of Abu Dhabi has the resources a businessman 
needs to trade in the Middle East Not justfinance 
but the practical, down to earthhelp business 
requires to be successful in one of the world's 
most exciting andfastest growingmarkets. 

Ifyouthinkwe canhelpyou, please contact 
our Head OfficeorourBranchinLondon. 


TLATL Head Office: 
Sheikh Khalifa Street, 
Abu DhabL 
Postal Address: 

P.Q BoxNo. 4, AbuDhaH 

United Arab Emirates. 
Cable Address: 

AlmasraS Abu DhabL 
Telex: AH 2266 and 2267. 


London (City Branch): 
90Bishopsgate, 

London EC2N4AS, 
Telepho ne: 01-626 896L 
Telex: 885782 Masrafg. 
Cables: Masrafrity. 

Extensive branch network 
in the United Arab Emirates. 


Overseas branches: 
Alexandria, Bahrain, Cairo, 
Khartoum, Muscat, Port Said 

To be established: 
Amman;London (West End), 
Paris, Port Sudan, 

Sanaa, Tunis. 



NATIONAL BANK OF ABU DHABI 


“The businessman’s bank* 

Total assets at 31st December 1977 Dfu 14,00S,704J26(US$l=Dirham 4 approximately) 






There has been much talk recently about trans- 
forming THE SUDAN into the bread basket of 
the world. 

If yon want to open doors in the Sudan— 
Bank of Khartoum has the key 

Whether your business concerns you with exports, 
imports or investment, consider first BANK OF 
KHARTOUM who offer you the best in Banking 
Services through 26 Branches and 4 Agencies 
covering the main towns and production areas 
in the country. 

Being OLDEST in the banking business in SUDAN, 
we offer our customers the cream of 65 years of 
experience. 

We enjoy a vast number of business connections 
with correspondents worldwide and hence facilities 
on a global basis. 

MNK Of HUBTOUM 

Sharia El Gamhoria, P.O. Box 1008 
Khartoum - Sudan 

Cable: Foreign - Telex: 244 Khartoum 
Tel: 81071 - 81072 - 78071 - 78072 









i\ ? \ . 







> i z 
I \ \ 


Financed Times Tuesday May 30 1973 

ABftB WORLD WORLD BANKING XXXVII " 

Algeria back as 
lead customer 


OYTTR THE past three months 
the borrow iny pattern of 
Maghrib countries has “returned 
to normal." Algeria, which 
burrowed less than Morocco in 
1076, has rc-e merged not only 
as the major North African 
customer for the banks but as 
a major customer in the market 
as a whole. Morocco has bor- 
rowed much Jess in the first few 
months of this year than it had 
in^ihe corresponding period in 
1977. Tunisia meanwhile raises 
small amounts, a course of 
events which was widely pre- 
dicted. 

Algeria raised S500m., 8643m. 
and S723m. in medium-term 
credits in 1975, 1976 and 1977 
respectively. Now that the 
country’s major gas liquefaction 
plant at Arzew, in "Western 
Algeria, has c<3ine on stream 
and the 30-year Sonatrach- 
Bcchtel projections on oil and 
gas production and financing in 
Algeria have been published. 
Sonatrach has re-entered the 
market in force — albeit, as has 
happened before with Algerian 
borrowers, in a none too orderly 
fashion. 

Sonatrach intends to raise 
$3.lbn. in foreign loans this 
year, a figure which will rise 
to $3.2bn. next year and fall 
to $2.Shn. in 1980. 

By the year 2005 it will 
have raised S17.3bn. in hard 
currency. About twe-ibirds of 
this figure will come in the 
form of export credit guaran- 
tees: the rest will be raised in 
the international financial mar- 
kers. essentially in the form of 
medium-term credits. 

The Hydrocarbon Develop- 
ment Plan of Algeria — Finan- 
cial Projections 1976-2005 — 
carried out jointly by Sonatrach 
and Bechtel Corporation, a 
major U.S. contractor for 
Algeria's gas liquefaction plant 
building— is based partly on 
figures of a DeColyer Mac- 
Naught «n report completed last 
summer. Report nn Oil, Gas. 
Condensates and LPG Reserves 
of Algeria. The Sonatrach- 
Bechiel report was presented to 
bankers, ofllcials and central 
banks throughout industrialised 
I'nimtne.s in April and May. 


i^^pBmrfrereiuLSLS 


»l rnmnrt, H i w mwaf«— yj 


SONATRACH 


currency; the Banque Centrale 
does. The nature of the guaran- 
tee thus hardly gives a greater 
assurance and the circle of this 
particular argument is thus 
squared. 


Order 


^EXCESS OF FOREIGN 

OVER FOREIGN DEBT SERVICE 




_~Bifems at \fk UsTOfftaT 
us r “ ■■ “j 




‘“i, 

&Costal operations <■ 


Defat service 




'.‘^HRovWiues 

N '/'«•' "v " 

*|gPg» 


i 


Help 


There is no doubt it will help 
Algeria's massive programme 
.■'.or tlie next few veers but it 
has not answered all the ques- 
tions. For instance those banks 
which are called upon in finance 
l ho buying of LNiG tanker* are 
c< .uurued that further delays 
i >!’.'• Aivi-w plant opened IS 
m.mlhs. late i will result in hefty 
lay-up mst-?. Other hank-, say 
that they are not worried by 
Sniiatraih's full in.- hm I eel the 
level of imports ut fr«id<tufTs 
into Algeria is too hijrii for 
comfort. They would like In 
kn<iw mure about the economy 
.is a whole; thus they are not 
keen to participate in synch- 
i-.i’.cd credits. As it u they have 
ilu**r work en( nui to support 
th.'MV clients who have business 
ns Algeria. In no sense Thus an* 
they buy .M*. line the country, 
'imply taking a mure lautious 
V:v- *.han sumo uf their conv 
peliSni*.«. 

Attention is also focusing 
mere than in the past on ihe 
nature nt tlie guarantees given 


by Algeria, in particular when 
the size of the credit is fairly 
large. 

Banks are divided on the 
question of whether in a 
country like Algeria, where all 
major companies (and certainly 
all companies which borrow in 
hard currency) are Stale-owned, 
it really makes much difference 
whether they get a sovereign 
guarantee or one from the 
two leading banks, Banque 
Exlerieure d'AlgMe l BE A) 
and Banque Natkmale 
d'Alftvrfc (BNAi. Hath of which 
can only provide suaraniees in 
their own name. Only the 
Banque Algerian lie do Dcvelop- 
pemem can provide a sovereign 
guarantee. 

Those banks which insist that 
a sovereign guarantee is of 
higher quality have good rea- 
sons. One is that it makes the 
package look more attractive in 
tile market. Secondly, it wakes 
i he bank's management's task 
with its board of directors, in 
i ho ease of the F.S bunks, much 
easier. 

Other hanks are more relaxed 
about the whole issue: their 
lawyers are ton. They argue 
that all is in the hands of the 
State in Algeria. If an Algerian 
borrower failed tn pay, particu- 
larly Sonatrach. it is by no 
means clear that those banks 
which have loans outstanding 
under a sovereign guarantee 
would be at an advantage, and 
be repaid earlier than those 


which had loans outstanding 
with a BEA or a BNA guaran- 
tee. They also point out that 
any hiccup in repayments would 
have immediate consequences 
through the play of cross default 
clauses; supplier and export 
credits would dry up overnight 


Default 


M. Seghir Mostefal governor 
or Algeria's Banque Centrale, 
argues strongly that in the 
event, which he regards as un- 
thinkable, that an Algerian bor- 
rower should default, the argu- 
ments about the respective 
values of the guarantees which 
the different Algerian banks 
provide are legal niceties which 
mean little. 

He argues that banks which 
know Algeria well view it as a 
serious partner which has 
always been scrupulous in its 
behaviour. 

Some bankers who agree 
with this point of view still 
wonder why, since sovereign 
guarantees are so much of a 
sticking point for some banks, 
the Algerians do not give them 
what they want. But that would 
mean changing the statutes of 
the two banks which cannot 
provide sovereign guarantees — 
no easy task, particularly in a 
context where the banks are 
fiercely competing among each 
other. 

As it is, none of the three 
banks has its hands on the hard 



An Arab and International Association 
in Banking and Finance. 


- ; k 1 ■ 


! wrwsrifti. * \ 


France : IW’ION DU BASQUES A RAPES UT FRANCISES - U. P.A.F. 

Blanches 


London : . .... 

Ub.Yl- BANK LIMITED 

lionK— Milan • 

I’NIONli DJ BANCH K ARABE 
HL) l:U ROPLE-U.ILA.1L 
l i:.«li-|S.p.A. 

New 1 urk. : 

FBAI- 

ARAB AMh RIGAN BANK 


Bahrain 
London ; 

UPAF FINANCIAL 
.SERVICES LIMITED 

Luxembourg/ Frank Furr : 

UNION DE BANQUES ARABES 
E l" F.UROPEENNES S.A. - U.B.A.E. 

Hong Kong : 

UPAN ARAB JAPANESE 
1MNANCE LIMITED 


t7ciur.i! Rcpfocnum fi Oflicc for ilic MLUL* En-i: Beirut 


Major banking unJ financial insiiiutiuni hum 
all the IweiUv Arab countries 
anJ 


- France 

- United Kingdom 

- Ink 


- Wc'i Germany 

- United States o! America 
“Japan 


« 6 . fc 

*v r ■ • ■. 
i 

,* 3 '\«U 


ar J shareholder* in one or more of the seven independent companies. 


•J If the Algerians could intro- 

* duee a greater element of 
timing into their deals and the 
order in which they appear in 
the market (four nearly at 
once, as at present, complicates 

; matters) they would do wonders 
for their image. Despite the 
creation last year in Algiers of 
a committee to co-ordinate 
foreign borrowing it looks as if 
confusion will continue to reign. 

However, this has not pre- 
i vented Sonatrach. the Algerian 
state oil and gas company im- 
proving quite substantially the 
terms on which it can raise 
money in the international 
financial markets. 

It has just given a mandate 
to a group of eight banks to 
raise 8350m. The banks are 
Amrobank, Banca Commerciale 
Italian a. Bank of America. Ban- 
kers Trust International. 
Banque Europd&nne de Credit 
Credit Lyonnais. Instituto Ban- 
cario San Paulo and Long Term 
Credit Bank of Japan. 

This figure is made up of a 
S210m credit in two tranches: 
on the eight year tranche. 
Sontrach will pay a spread of 
1| per cent over the interbank 
rate, on the ten year tranche a 
spread of 1J per cent. The 
shorter tranche will be syndi- 
cated in the market, the longer 
one among the eight co-lead 
managers and a group of co- 
managers which has not yet 
been completed. 

ag The rest of the 3350m is 
n- accounted for by a private 
at placement of $140m. There 
Id will be different tranches with 
es maturities running from 10 to 
lit 14 years and the interest rate is 
rt expected to be just over 10 per 
it cent 

The terms on both the private 
placement and the credit do not 
proride a yardstick for prime 
ar Algerian risk today. Indeed, 
e * ENI. the Italian state oil com- 
ie pany, will be contributing to 
n- the costs so that Sonatrach will 
ir_ in effect be paying less. Look- 
u * ing at the various other loans 
fC fox Sonatrach currently being 
-h negotiated or in the market. 

this represents a marked ira- 
; h prove me nt for the borrower. 

This improvement is con- 

* firmed by the long maturity on 
a one of the tranches of the 
as credit, the longest ever ob- 
is tained by Sonatrach in the cur- 
rent cycle. 

Of the eight banks involved 
^ in the club deal, two are 
> n Italian, which is not surprising 
a as the funds being raised will 
■s* help finance the S3bn trans- 
Mediterranean gas pipeline 
l ° from Hassi R’Mel. in the 
Sahara, to Bologna, in northern 
01 Italy. Italian export credits for 

— Sonatrach worth over 8500m 
a and earmarked for the same 
■J- project are currently being 
■h negotiated. 

w Credit Lyonnais is co-ordinat- 
^ ing the whole operation, while 
Bank of America is running the 

— books. 

Morocco should need to 
borrow as much this year as 
last, in view of its worsening 
balance of trade and the low 
price fetched by phosphates, its 
main hard currency earner, 
which is expected to continue 
this. year. The Moroccan phos- 
phate company OCP borrowed 
8300m. in February 1977, a 
further 8200m. in September 
(though much of that was made 
up of French export credits) 
and is back in the market for 
more money. Though the 
amount of that loan has been 
increased, its unrealistic pric- 1 
-ing (J per cent over Libor for 
8 years) has led to many banks 
turning down offers of partici- 
pation. 

The 8300m. loan for the 
Kingdom raised last December 
was a success aud Morocco has 
succeeded in raising money on 
lower spreads rhan Algeria so 
far. But the dive to | per cent 
could hit future loans, especially 
if economic conditions in 
Morocco continue to deteriorate. 

Tunisia had a successful 
maiden voyage into the mar- 
kets last December when it 
raised $125 m. for seven years 
on a spread of 1J per cent 
throughout. Since then it has 
raised some smaller loans on 
cheaper terms. Tlie extent to 
which the country will want to 
tap the market is unclear. In- 
deed the ambitious development 
plan launched last year sives 
little indication of real needs. 

In any case it would be a flawed 
yardstick, as few in Tunis 
believe the high figure of 
| investment it quotes as a target 
| can possibly be met in present 
, economic circumstances. The 
country is widely expected to 
, raise at least 8lOOm on a spread 
of less than 1 per cent in the 
nest few weeks. 


2ST 

3 


jjta 

UNION BANK OF THE MIDDLE EAST LIMITED 

Balance Sheet at 31st March 1978 


Share Capital 
Authorised - ordinary 
shares of Dh. 100 each 

Issued - ordinary shares 
of Dh, 100 each fully paid 

Reserves 

Profit and loss account 
Shareholders 9 Funds 
liabilities 

Current and deposit accounts 
maturing under one year 

Deposit accounts maturing 
after one year 

Accrued interest payable 
and other accounts 

Proposed dividend 

Confirmed credits, 
acceptances and guarantees 
on behalf of customers 


Dh.000 

500,000 

159,200 

8,100 

470 

167,770 


671,796 

82,192 

11,331 

11,940 

945,029 


419,885 

1,364,914 



Dh.000 

Current Assets 


Cash, balances with banks, 
money at call and short notice 

304,608 

Deposits with banks 

Loans and advances 

46,334. 

repayable on demand and 
under one year 

570,757 

Accrued interest receivable 
and other accounts 

7,195 


928,894 

Other Assets 

Loans and advances repayable 
after one year 

8,280 

Investment securities 

Premises and equipment 

4,803 

3,052 

945,029 

Inabilities of customers 
for confirmed credits, 
acceptances and guarantees 


419,885 

U£. SI -00^- U.A.E. 

£ih.3.S8 approximately 

1,364,914 


Principal Activity : 

The Bank carries on the business of 
international merchant banking, together 
with full retail hanking facilities to 
individuals, firms, corporations and 
government departments . In particular, 
special emphasis is given to short and 
medium term finance, promotion of import 
and export trade to and from the United 
Arab Emirates, corporate finance services, 
foreign exchange and money market 
transactions, short and medium term 
lending in local and major world currencies, 
.investment banking, and private 
.placements. 

Bank Foundation Date and Results : 

The B ank was incorporated in Dubai with 
limited liability in March 1977 by decree 
ofHis Highness Shaikh Rashid Bin Saeed 
Al-Maktoum, Ruler of Dubai. After 


transfers to inner reserves the Bank declared 
a profit for the first year of Dhi 20,510,000 
(U.S. $5,286,000). 

Shareholders : 

The major shareholders of the Bank are 
Abdul Wahab Bin EbrahimGaladari, _ 
Abdulla Hassan Rostamani, and Saudi 
■Arab Finance Corporation S.A. In 
addition, there are approximately 130 other 
shareholders drawn from the U. A.E. 
merchant community. 

Share Capital 

The authorised capital of the Bank is 
U.A.E. Dirhams 500 million (U.S. $129 
million) of which U.A.E. Dirhams 159.2 
million (U.S. $41 million) has been 
subscribed , issued and fully paid up. The 
Bank’s capital is one of the largest in the 
Arab world. ■ 


Registered Office : 

P.0 . Box 2923, Dubai , United Arab Emirates 
Telephone: 435545 Telex: 6425 UNIDUB (General) 6426 UNIFEXDB (Dealers) 

Telegrams : UNIONBANK , DUBAI 


The 

British Bank 
of the 


Middle East 



A Member of The Hongkong Bank Group 


Branches in 

Bahrain * Djibouti • India - Jordan - Lebanon 
Oman • Qatar • Saudi Arabia • Switzerland 
United Arab Emirates - Yemen Arab Republic 


. Other Gro up Interests in the Gulf 

The Middle East Finance Co. Ltd. 

Dubai ■ Abu Dhabi • Ras alKhairaah 

Wardley Middle East Ltd. 

- Dubai 

The Hongkong and Shanghai 
Banking Corporation 

Ollshore Banking Unit - Bahrain 

Head Office & London Main Office 

99 Bishopsgate London EC2P 2LA 
Telephone; 01-638 2366 Telex: 884293 

and at 

Falcon House Curzon Street London W1Y8AA 
Telephone: 01-493 8331 Telex: 27544 


Francis Gbiles 





r ■■ i ■ 



DEVELOPMENT BANK 


Nigeria's Premier 
Industrial Bank 

NIDE represents a unique experiment in the co-operation 
uf N'ji'iTi.m and foreign enterprise in fostering profitable 
investments in manufacturing, mining and first class tourist- 
hotel projects in Nigeria 

XI DB holds resources in excess of N1B0 million 

in your next move to set up or expand an existing industry 
in Nigeria 

TAKE ADVANTAGE OF NIDB 

Contact 

The Managing Director 

Nigerian Industrial Development Bank Limited 
Mandilus House. 96/10:1 Broad Street. P.0. Box 2357 
Tel. 57630 (6 lines) 

LAGOS. NIGERIA. 


LATIN AMERICA 


Financial Tunes Tuesday May 30 iW*’.-/. 

world banking xxxvth 


LATIN AMERICAN BALANCE OF PAYMENTS 


Exports of Imports of 

goods (fob) goods (fob) 


Latin America 43.253 52,645 

Oil-exporting countries 13,653 14,675 

Bolivia 568 650 

Ecuador L296* 1,526 

Trinidad and Tobago 2,370 2^00 

Venezuela 9 >419 10,200 

Non-oil-exporting countries 29,600 37,969 

Argentina 3,895 .5,300 

Barbados 74 75 

Brazil 94)88 12,500 

Colombia 2,390 3^00 

Casta Rica 589 770 

Chile 2,077 2,173 

El Salvador 731 L250 

Guat em ala 794 1,170 

Guyana 272 275 

Haiti Ill 140 

Honduras 403 .525 

Jamaica 660 760 

Mexico 3.977 54150 

Nicaragua 542 656 

P anam a 254 300 

Paraguay 181 300 

Peru L361 1,735 

Dominican Republic 716 ' 880 

Uruguay 565 610 


43,050 

10,010 

562 

1,060 

L$44 

6,544 

33,040 

2,784 

195 

124182 

1,676 

696 

1,412 

646 

905 

330 

158 

427 

792 

54U3 

498 

765 

230 

2,100 

764 

537 


Visible 
balance 
76 1 


47,608 

12.790 

670 

L500 

1,770 

8350 

34,818 

3,396 

220 

12,100 

2,100 

840 

2,090 

865 

1,100 

320 

175 

530 

730 

4,967 

6S0 

840 

300 

2,095 

820 

650 


Service 

account 

ha mrfl 


35 -4,094 
65 —1,878 
87 -117 

82 -244 

27 -17 

69 -L500 

70 -2^16 

69 -39 

55 52 

80 —1,922 
40 -219 

34 -47 

78 -281 

72 -95 

35 -57 

56 -60 

25 -27 

42 • -51 

61 -37 

77 715 

47 -67 

69 363 

38 -63 

36 - 205 

21 -129 

37 -47 


Trade 

balance 


12 943 

78 8 

51 -137 

54 -218 

J9 513 

96 -150 

10 935 

(2 1,865 

56 -93 

74 -1,522 

74 981 

U -117 

57 -198 

53 290 

16 13 

14 -105 

72 -62 

56 -56 

53 -7 

59 998 

3 -91 

12 -177 

57 -63 

75 -565 

59 -69 

■9 -87 


Net payment 
of profits 
and interest 
1977 


5,982 —$4)97 
-411 -351 

-50 -92 

-200 -254 

-266 -238 

105 233 

W71 -8,646 
-450 -484 

—4 -6 

L248 -2,975 
-293 -329 

-76 -99 

-357 - 368 

-42 -61 


Current 
account 
balance 
1976 1977 


Movement of 
capital 
1976 1977 


Balance of pay* 
meats before 
compen- 
sating factor* 
1976 1977 


-10.145 

1.4S2 

-128 

-132 

223 

14519 

-11,627 

616 

-57 

—64516 

332 

-206 

24 

18 


-7,633 

-483 

-224 

-457 

264 

-66 

-7,150 

1,405 

-86 

-4,492 

682 

-205 

-560 

256 

96 


13,614 

-954 

1M 

318 

38 

-1,494 

14,568 

303 

37 

8,629 

278 

271 

238 

66 


13,703 

562 

273 

519 

131 

-361 

13.141 

300 

86 

7,000 

144 

312 

510 

50 

100 


— 

—24 

-136 

-130 

33 

95 

-103 

-35 

—9 

-48 

-38 

59 

48 

11 

U 

—76 

-118 

-12 

157 

190 

39 

62 

—139 

-307 

-126 

47 

96 

-260 

-30 

-3,139 

—3J>06 

-2,001 

2,521 

2,251 

—985 . 

230 

-90 

—72 

-173 

95 

183 

23 

10 

-218 

-210 

-407 

179 

407 

-31 

■' — 

—15 

-99 

-59 

135 

156 

36 

97 

—337 

-L232 

-883 

911 

831 

-321 

-52 

— 103 

—222 

-136 

233 

150 

11 

14 

• -77 

-82 

-165 

159 

232 

77 - 

67 


Sources: 1976 IMF; 1977 UN Economic Commission for Latin America. 


ona 


In Australia, people know us 
simply as the National. And know us 
extremely well : we've been a major 
force in Australian banking for well 
over a century, with almost 800 
branches throughout this vast country. 

But international would be a 
more apt description of our standing. 
We're in the business of banking on a - 
worldwide scale, so you'll find our 
presence spreads far and wide. We 


have offices in London, New York, 
Los Angeles, Tokyo, Singapore, 
Hong Kong, Jakarta, Bahrain, and 
the New Hebrides. 

On Australian matters in 
particular, we're the bank to consult. 
We welcome enquiries on Australian 
business, investment, trade and 
immigration. 

From wherever in the world 
you may be. 


One of the best bets 


LATIN AMERICA was one of 
the bankers" best bets last year 
if the statistics are to be 
believed. While much of the 
rest of the world was still 
plunged into a recession or was 
trying to ease its way out of it 
Latin America grew, and indeed 
grew faster than in either of the 
two preceding years— by 5.2 per 
cent in 1977 as against 4.4 and 
&2 per cent in 1976 and 1975. 
At the same time inflationary 
pressures abated a little, from 
an average of 64 per cent in 
1976 to a mere 45 per cent for 
the year 1977. 

The region's trade did well 
Though the volume of oil, the 
most important single export 
item for Latin America, sent 
abroad by the region fell, the 
receipts from oil sales were 
maintained. The physical 
volume of the rest of the 
region's exports was- weH "main- 
tained and their unit value on 
average rose by 19 per cent 

The region thus found itself 
in the happy position of enjoy- 







Rio de Janeiro's new cathedral (left) with the National Housing Bank to the 
right. 


faction in the immediate future. 
The Congressional treatment be- 
ing given to the UJS. Foreign 
Aid Bills is not such as would 
endear them to the Bank. 

Fears among some lenders 
and borrowers that this sort of 
argument might spill over from 
the sphere of government rela- 
tions with the multinational 
financial agencies to that of 
government relations with 
private banks were partially 
relieved during President 
Carter's recent visit to- Brazil 
where be came out most 
strongly against any pressure 
being put on the private U.S. 
banks to lend to some- conn- 
tries but not to others. If Con- 
gress suggested such a thing, 
he said, he would most strongly 
oppose it. 

It did not take Congress— nr 
at least one very powerful voice 
within Congress— to make the 
suggestion. Congressman Henry 
Reuss, of the House Banking 
Committee, recently called for 
an inquiry into the way in 


ing a virtuous circle in which expe ri ences . some countries of the U.S. Congress that U.S. governments they could be j^jch U.S. Pnvate 

exports were buoyant obliga- were able t0 ^se hundreds of funds should not be made avail- loaned to. this situation pro- 

tions to foreign bankers were „|j]ji ons 0 f dollars at a time— able to governments with bad duced problems for the IDB. inmi 

able to be met, these bankers ^ ^ case of Venezuela and human rights records, it also Despite a postponement of the . - 1 a ' 
were content to renew or m- the figures were more confronted the feeling on Capitol closing date by which new X™? *55 -Tj 

crease then- lines of credit ^ a billitm do uars-while Hill that the US. would do money should have been paid in- i^S^SInSSli^SSn 

growth rates were similarly ^ more unfortunate countries, better by making more of its to the Bank there was no agree- 1“ i?!!i !25? ^nShw 

maintained or increased and ex- notab ly Peru, saw their access foreign assistance ■ available on nient between the U.S. and the 1 5. ,* 

ports conhnued to find maxkete. ; to ^ world - s financial markets a bilateral basis and not through Bank, and Washington was 

restricted as bankers took a the multilateral agencies. deemed by the Bank to be in S^VatenT Europe^— wflTbe 

exercising closer scrutiny of 


mares which plague the sleep of ... 
the Latin American economic , 


export As the U.S. is the major con- arrears with its contribution at 



AUSTRALIA and 

SOUTH WEST PACIFIC 



StoSS came to pr0Spe< f “ ^estic tributor to the IDE, as the Bank the time the Bank held It. ^SSUSilgSSSmS 

am*o^ ties came P economic pohmes. needed U.S- funds urgently for annual meeting in Vancouver banfcj oper ating frtm their 

’ j - The total inflow of capital to its replenishment exercise and last month. mmactiw 4nnntriaq 

tn^? t S?r?d i Thiph rSd hare the regi0Q amounted t0 * 13J l> n as it professed it could not There seems little chance at tj , n ,c, ' , 

“ 1977, T0V ^ bi ^ 016 s*™ accept funds which bore limtta- the moment of this situation be- Hugh O’ShaughneSSy 

ESti ~ n f f rmr," amount 83 waa attracted m ^e tions regarding the member ing resolved to everyone’s satfe- Latin America Correspondent 

tumties of earning money from prev j OUS year . of that total . . 

exports did not become an mQre balf (j^n) we nt to / TTTTTTTT X 

actual threat, though it remains Brazil a fact whicb pointed up / 

a sword of Damocles hanging once ^ bankers’ pre- / 

over the Trade Ministers of the diIection the prospects of / > ' 

region. Nor did the foreign Brazilian economy and their / 
bankers decide that enough was apprt) val of the economic line 
enough and start to withdraw f 0 u 0 wed by successive govern- 

their loans. Finding it difficult raen t s since the military take- / 

to lend In the developed world over in 1964 . Massive as this 
they were only to 0 grateful for j n fj ow was. it was appreciably 
what they considered the good ^Her than the $8.6bn which 
opportunities offered in Latin entered the countrv in the 
America. The balance of pay- previnns year, 
ments of the region ended more 

than S6bn in the black, more T n fT rtWC } 

than $21 bn up from the pre- lllilUWb 

vious year's surplus. a long wa y behind in second * 

Within this overall norm place came Mexico where \ : 

there were naturally a number prospects of greatly increased 
of very different national oil earnings helped to sustain 

inflows at around the $2}bn [ 

mark, slightly down from the * 

1 previous year. \ 

From Venezuela, the richest \ 

country of the region on a per 
capita basis, there was a net 
outflow of 3361m, not a great 
_ worry in the capital Caracas. 

■■ where the current figure for 

the international reserves is 
officially $SJ22bn. 


PAPUA NEW GUINEA U 



FIJlV 


AUSTRALIA 






NEW .' ; Q 

ZEALAND m 


At Bank of New South Wales we 
really know this area... we should— J 
we've been here fori 60 years and are 
the largest commercialfinance, ■ 
Investment and banking complex In 
the region.- 

So if you need advice, guidance 
or information about: INTERNATIONAL 
TRADE. BUSINESS, INVESTMENT... 
ask us.. .we could help you make a 
success of your dealings with Australia, 
New Zealand, Fiji, Papua New Guinea 
or the islands of the Pacific. 

Our hel p is yours for the asking. * 
Tell us what you want to knout 
plus something about your own 
organisation. We will do the rest 
Write to: 

Chief Manager 
Bank of New South Wales 
29 Thread needle Street 
London EC2R8BA 


lia Bank of 9 New South Wales 

The bank that knows Australian business best 

n*er 7300 offices. Austria. NewZvHatKi. S.™ Francisco. New York. London. Frankfurt. Bahrain. Tokyo. Hong Kong. Singapore, 
Jakarta, Papua New Gdneo. Fiji. New Hebrides, and other islands of ihefiaa fie. boorpad^inAicsra£aMCh unwed cjtntiy. 


Peru attracted 8831m in new 
capital but this was not enough 
to tide that country through the 
foreign exchange crises that are 
still besetting it Similar 
stories can be told of Jamaica 
and Guyana. 

When the history of the 1970s 
in Latin America comes to be 
told it may well be that 1977 
and 1978 will stand out as the 
years in which there was a 
marked swing towards the 
politicisation of financial trans- 
actions in the region. 

Evidence of this is to be found 
in a number of quarters. Most 
important perhaps were the 
travails suffered by the Inter- 
American Development Bank 
(IDB) in its dealings with the 
U.S. Administration. During 
1977 the bank approved a record 
51.8bn in loans, a figure 18 per 
cent higher than that of the 
previous year, and consolidated 
Its position as one of the most 
important sources of develop- 
ment capital for the countries 
of the region. 

As the year went by, how- 
ever. the IDB came up against 
the growing -insistence not only 
of the U.S. Government but also 



International Finance 

Established in 1967 to provide medium-term finance 
throughout the world, I.C.B. has since then assisted 
borrowers in some 93 countries. 

Our services include loans at fixed or floating rates, the 
discounting of export paper, project financing and leasing. 

Please call us if you need our help. 

TOTAL ASSETS £487,753,054 
Shareholders 

The H ongkong and Shaqgbai Banking Corporation 
Commerzbank A. GL Irving Trust Company ' 

The First National Bank of Chicago Credit Lyonnais 

Banco di Roma International Holding S.A. 

^International Commercial Bank Limited, 

N. 9-10 Angel Court,Tbrogmorton Street, London EC2S 7HP / 

\ Telephone 01-606 7222 Telex 88 73 29 Cables locombank London EC2 / 


*} * ’ ’ 














ets 


, ; f 0 


; ' . H.* 


L J^J i c ^ 3 




Financial Times Tuesday May 30 1978 

AUSTRALIA 


WORLD BANKING XXXIX 


Still grappling 
™ _with inflation 

S' SSk 

Sr HK t i55»5 sa-SSr 

lending and the amount ^of event that^nwmi in **“ jolted on the question of lend- th ^ noV %r r factor constraining 
advances they can have nut oart of th* prov ®J? cor fect. As mg rates. They maintained, Performance of the banks 
standing, it is all nart of thl" * t bank * 'V considerable justice, that ? ver tbe P**t 32 months h*s 

Federal RovAmmir of **** )? ere told . 11131 during the run- tb ey had been forced to carry ben a heavy. flow of capital out 
i„flV^«-.. Gove ™? nts “«*■ duwn period they could lend the brunt of a previous misW of the country. Pm£ 


GET MORE OUT 
TRADE WITH 
NIGERIA 
THROUGH 



Federal"' Gowr^i^t? 01 ^ 7™ told . 11131 during the run- they had been forced to ’carry ben a heavy.flow of capital out 
inflationary nTeS '£? *7° period *** COuld Iead ^ b ™t of a previous miSS the country. From abSSt 
Govern mSt brfiJS?' - J he J?. sp ° nse J t0 T genuine In $ on interest rates by the Gov- September last year there was 
must be DuLri hi l f mflation demand beyond levels cur- emment m February 1976. On 3 surge in outflow as speculation 
ship wJUTw bck man3 ^ Permitted of about *£« occasion the Government burft U P that the Government 

able levels before any sustain- ASlOOm a week. through the Reserve Bank] would forced to devalue the 

th»L_ recove fy from the ddw The liquidity pattern should lower ed some bank overdraft Australian dollar. The specula- 
ar hio y r ^° d re cession can be be smoother from June 1978 rates - The banks can set their ti° n was so intense that the 
cnievea. onwards as company tax coilec- P™ 0 rates on jaT S« overdrafts Government was forced to 

The banks are in agreement tions wC1 be ma de on a j J 01 * ntes on 5311311 over- mount a heavy programme of 
witli the need to curb inflation quarterl * basis. controlled. overseas borrowing. An ori«>i- 

althougb most feel that there w T v & cut 111 ^ Nation rate / ebrua ?J 1976 ^e con- nal target of A$S50m was set, 
has been too heavy an emphasis has accompanied in recent J™S,i ° verd f a « rate was but was doubled when it became 
on monetary load- in other ^ by **** Merest rates. 1 ^* ered fr °m 11 - 5 P 3r cent to apparent it would not be 
words, the banks have been The , Governn »ent has played “ d 11,6 Iimit for ® nou sh- Early in 1978 the 

asked to carry more than their L SJgaificai]t P a « in the rate JgfrnSS TS?™^**** 1 G ° vernme ™ enounced that it 


a- aa jjari 

■t ederal Government’s 
inflationary policies. 




asked to carry more than thVir a SJ " nificailt P a * in the rate JRJSS - * - S?” Governme ™ enounced that it 

fair share of ih e anti mDVeme ots through the mZ^PSJ 0 . A$1 °2; 000 - consider- was prepared to borrow what- 
^ inflationary load. manipulation of the long-term S* V s - "«**»“* to shore up 

boad rate — the interest rate £ J™ 1 0 overdraft rates. The the official reserves and stave 
Whether or not this is the benchmark. banks were led to believe that off a devaluation, 

case, the policies are now work- th e Government would lower -m, a . 

ins. Two years ago. the TV 51 lima interest rates and were encour- *“1 ?!2rr owi 1 " gs 11376 now 

inflation rate was running at aged to lower other rates. One P 5f Se , d A J lbn b| U m the past 

more than 17 per cent It is Since October i 3 *t or two temporarily, but f°“ p ?! months there has 

fw.T. s a £“^£5 

5 wjat-sr* aa-aaatfts S?vSa arts £ S 

irasTja ££E*ss£S = asaa 

depressed -“SS" BiJSSJS Si 

but there ere signs of .nereased for Sm ^ tused *° The the past «uple of nonS S 

economic acUvity: new capital bo"owe?s have «me bTtal Government desisted but tried foreign capital goinf - Sto 
spending figures are up and the around 12 SSv!?/™® ? gain “February 1978. Keen Australian fixed interest securi- 
latest production statistics. ?o ^ between W a bOOSt ' m demand ’ ties, including govlr^ent 

while patchy, indicate improved L and 10 ‘ 5per cenL Go7e ™“ent wanted interest bonds. ^ eovernment 

output in some kev areas v Lne Jn ^ rate movements rates on housing loans reduced, m. 

Company and provisional tax ^ U.°e h»SlT ith ^-. ,ra T a £°?„- t0 .'“■“■date the ailiS ,J?^ r are therefore hopeful 
paj-inents arc made in the June ™ * e . While the building industry and to boost , e ^ ,1] be 3 reasonable 

quarter resulting in a seasu3 ™ 1*7 auth o n t3os are con- consumer spending, and to IqI? ? f capitaJ lnflo w in 3978- 

?on" aciiuT in flQuidin- Thii « rned W lowering reduce overdraft ratex l 979 , »? ^ure there is su£5- 

£3S SJrr.Fisrjs a sla s sjra 

«ow m 'Airjffis » Arjssi aas ss.-sx’s a 

Despite its best endeavours, 

BLACK AFRICA r " 17 

Wknvn ni IHUn least A$500m above the“ esti- 

mate ef -A$25bn, largely 
because tax revenues have 

_ fallen short In 1978-79 the most 

r ■ i • *T| -g optimistic forecasts are for a 

■ Towards local ■ 

by sales of Government securi- 
^ t0 ihe non-bank sector. This 

T I , b f n P° ssi hle because of the 

I f IT] I | Ml almost non-existent demand for 

CX vXX funds m the private s& ctor. 

However falhng rates and 

BANKiNC; IN biock Africa, the merchant senior .here is instability „ banking, for the « 

5r5i?-w r sz » more a cosraDPOlit “ =•* s&saf ■* j: a=st2r*uaS 

KJT organised “ 

V™ - n .'If?" LontrDl of corollary of it. has gone increas- by 311 . international banking crowdmg-out effect in the capita] 

1 'j 5 * - ins Government pressure on consor tium. market leading to upward 

s>i nee independence. Tanzania, hanks to adjust their lending Even before the latest inva- P ress P re again on interest rates 
ilk 1 budan, Ethiopia ami Somalia policies to the State's economic slon * the word Zaire must have ? nd jeopardising the thrust of 
have all nationalised their com- targets. This can lead to a con- bee n engraved regretfully on its “Gnomic strategy, 
mercial banking sectors and at diet of interests, for while it is th® heart of many an infer- 
tile start of this year Mozam- only natural for these develop- n atJonal banker. Because of the recent half-yearly 

bique finally moved to in- States to want to keep a serious financial mismanage- profit rep oris from the banks 
nationalise all but one of the close watch on the sectoral dis- “ent, exacerbated by the ? bowed soll d growth, the main 
remaining private banks in that tribution of credit, banks will sharp drop in copper prices in ln,pr °veraent came from their 
country, and replace them with equally naturally be disinclined recent years, its official and finan ? e company offshoots, 
a second State bank. to lend to the weaker sections commercial debts are estimated ® anlt “o activities were more 

Many other countries have of the economy. at between 82m. and $3m. restrained. Moreover, tlv 

moved cautiously towards a _ ... . . Zaire’s debt scheduling nrob- ??“5 ler ? "* “ ot t0 ° sanguine 


When we started we were purely Bankers 
to the Co-operative Societies and we 
imprinted our footprints on the sands of 
time; the Co-operatives acquired strength 
and viability. And today they are forces 
to be reckoned with in Agriculture, Trans- 
portation, Wholesaling, Consumer Re- 
tailing, Printing and of course 

Banking. 

But this is not all. We have since 1962 
added some notable feathers to our hat. 
And, today we are fully commercial, 
offering our services to other Commercial 
Entrepreneurs outside the Co-operative 
Movement alike. 

As specialists jn a wide range of banking 


services and being authorised dealers in 
foreign exchange too for the Central 
Bank of Nigeria, well develop the right 
programme to help you get more 
° f fading opportunities in Nigeria. 
NIGERIA — as you may know, has tre- 
mendous advantages for International 
Trade and there are numerous Investment 

Opportunities only trustworthy 

and reliable investment or trade advice 
is not easy to come by. 

At CO-OPERATIVE BANK LIMITED, a 
full service bank with in-depth know- 
ledge of the Nigerian market, you are 
assured of reliable trade link with 
NIGERIA. 


Towards local 

control 


Co-operative Bank Limited 

— the people's bank 

Head Office: P.M.B. 5137, Ibadan. Tel: 23314-6. Telex: 31115 COBANK NG. 

Branches at: Jbadan Oje Agodi, Eruwa, Shaki. Lagos, Yaba, Abeokuta, Ijebu-Ode lle-lfe Ife 

University Campus. Ikirun. Ondo, lle-Oluji, Akure. Owo. Benin, Ado-Ekiti and ldanre 

Fore,gn Corespondents in: London. New York. Frankfurt. Rome. Tokyo. Zurich, Amsterdam. 

Brussels and other World Financial Centres. 


Many other countries have of the economy. at between 82m. and $3m. restrained. Moreover, tlv 

moved cautiously towards a T . . . n ... Zaire’s debt scheduling orob- are not t0 ° sanguine 

fireatcr stake in the commercial c °? credJt *° Jems and the twvinvadoZI of S. oat mediate prospects, 

banking sector, be if the State ™} “2SS? 1 * ,s a ^ ase * Shaba point up some of thf ■ are bavia S no trouble 
taking an equity rnle or the r n - t us > fu°f f :ountri * 3 861 reasons why black African attract3n 5 ^ nds b ut because of 

local private investor. The If /“S states tend to be regarded^ ? p ” ssed demand ^ flndm 

motive is understandable — to and rt the,r t i^ d poor nS5 rLks bf fS EurS U difficuU 10 «H«d. - 

follow political Indepcndence by ^ and b no 7^ credit market poking ahead, the banks 

a ^ menls * produce collateral diffi- A ereat deal of homework is £S uld face considerable changes, 

pcndence— -and if is a motive calties K now done by Euromarket ^ government recently au- 

aeeepred for the most part lenders before they will con- “ounced that it would undertake 

philosophically by the expatriate State-aided or State-controlled slder committino an inanirv into th* ZT? 



The movement to war as Ain- ««»e boh prepared to accept new m “ e system were desirable, 

causation of the banking sector diffioulty in credit control and borrowers that are politically T^re has not been a serious 

may have slowed somewhat in JJF'JJJS 10 lh e smallholder stable and have sound econo- review of the Australian bank! 

recent years, but that is under- ™Sht increase their problems, mies. “ eC ° n °^ ing system for 40 years d«Ste 

,ttiidaw«f. elrenltat «w mm- Ute fornMn. ttis ?. e J a "’ operaU.n, 



ami may simply not have the re- JJ 1 * 7 ban .f 

sources lo buy into the com- 11 profitable to enter 


mjuzwl' iu niiv me Hu. w cunsiaeraoie variation — ^ - me controls 

mrmaJ banking sector. Further- Even in a country where In the extent to which central ° n the banks - 
marc, m such hard times the land-holding is based on indi- banks pursue an active mone- ' luerc hant banks have 

accumulated expertise of the virtual title deeds, there can be tary policy and wide differ- done reasonably well from their 



Nevertheless the process does example. Here the Government ratios. Soiqe countries are *5 tere ff rates - In recent months 
nmtinue. This year it was has set the commercial banks a simply run on extremely tight tbere bas been a sofge in take- 
Mnza mlu quo’s turn to act. In target of 17 per cent of their hues, others much more loosely ?if r acti ' iIy wbich 15 keeping 
1976 Nigeria ruled that all net deposit liabilities for lend- with high debt servicing ratios ™* f , l r 9*" t banll ers busy, and 
foreign banks operating there ing to the agricultural sector, and heavy recourse to suppliers 1 ^° 3t ? elieve lhat !t wil I con- 
wouJd have to be 60 per cent Yet by June last year they had credits. unue *° r some time. Australian 

Incallv mviied. a •iitualion which only reached II per eent. though But one major different SEX ? ~ ie ? - are ..becoming 
involve, l no drastic changes for there are signs that the position should perhaps be mentioned— 2m SlSj" f rpai,d . ,n S bu t are 
the major commercial banks. In may now be improving. that between central bantong Sant Si ! new 

iriiieli Nigerians already had a Rural credit is one example m Francophone and considerable exceL capacltv in 

*;}? Perwn c * , “ , t y .’?l ake - °f politico-economic factors at ^JgJMh^peaJang Africa. the economy Th/alternative i* 

With ns great od wealth. wor k Dn banking in Africa. Unlike the English-speaking to expand ^ thro J^b takeovers 
Nigeria may at present be some- painted on a small canvas, countries, the Former Fpen?h Merchant bank executive ™ 
ihmc of a country span inthe Recent event* in Nigeria and colonies still maintain strong PO n that there is nowincreat 
African bankin*. context, but as zaire have shown them painted banking ties with Paris, having in S interest bein' 7 shown h« 

3 lrenJ-*iler it ™y well point largc . bedded after independence to eompanies in reiSne fn™ s 

up thf direction other politically remain within the French frane G ne are a of possible chanop 

cent riil countries may take. AT Earlier this year, the Nigenan zone. In return for French which vitally concerns thf»l 
ic th* r^irt.winn tiovernment announced that it r r * cn i . concerns the I 


Mates «i niav-R .-vniirt r „ , „ l'r w ine African CFA franc, the «• government has hMn 

have moved must strongly P* 0 ““tro 1 banks for West and studying the question of esfab- 

aeainst the foreign comnierciai Nigeria and ordered a reduc- Central Africa -have to keep a lls bing a foreign exchana** 

Nectnr. tK? *a t** tte^tank? 'p oU» i" 1 ® Percentage of tteir a .3rket and has received ^ 

Nigeria is also a trend-setter al * e b J n ^ s P ob ^ foreign exchange holdings in ®“ sl ° n s from interested parties 
as regards the other emerging towaros South Africa. It was Paris. The main question is whether 

development in African bank- m JoIiCT^ Bnt bere a 8 ain - the last few **"** win ^ able t° 

ins— towards a more cosmopoh- 78875 have SPen £omo move- f^P** The Reserve Bank 

tan banking structure than the “jg" gSth «wt. at least symbolically .^ °J setlins ,,p a 

one mhiTited at independence. Ponies dealing with ^ □ towards greater African control market - but the Treasury j s 

when tin* foreiun bank.s operat- •' ir]ca ' with the two Central Banks °PP°^. and is strongly pushes 

tni: in each cinnitry were those The invasion last year of moving their headquarters from r*^ u,ere are moves to estab- 

of the colonial power. This Zaire’s Shaba province and the Paris to Africa. 1, . sn a a,3 rK®t, it be confined to 

largelv holds true now for the second rebel attack this month « the Australian banks. 

•High ' street” banks, hut in points up the effects of political ny a Correspondent James Forth 


TNERS 

the strong link 

for your international business 

BANCO Dl ROMA- BANCO HISPANO AMERICANO • COMMERZBANK ■ CREDIT LYONNAIS 

Branches in London : 

r K : 21 ^ ■ l A Ea ? tcheap > EC3M1JY, Tel. 01 623 1681 
COMMERZBANK, 10-11 Austin Friars, EC 2N 2 HE, TeL 01 638 5895 
CREDIT LYONNAIS, Main branch 
84-94 Queen Victoria Street, EC4P 4LX, TeL 01 248 9696 






f 

0 


Ji -J 




32 


NEW ZEALAND 


' Financial Times Tuesday May SO lST?,!.^ 

WORLD BANKING XH 



Greater freedom for the banks 


PARADOXICALLY, the internal 
problems such as the decline in 
consumer spending, high infla- 
tion. and depressed business 
activity which have bedevilled 
the New Zealand economy 
for the past 18 months have 
resulted in more freedom of 
operations and an easing of 
restrictions over New Zealand's 
trading banks. Indeed, Govern- 
ment control over the banks' 
activities has diminished to such 
a degree That the banks no 
longer find this a major inhibit- 
ing ractor in their operations. 

The most significant develop- 
ment last year was the freeing 
of interest rates, the relaxation 
of controls, and the raising of 


the rates for Government 
securities. These introduced a 
considerable amount of competi- 
tion so banks are now able to 
compete for deposits to a 
greater extent than ever before. 

As an example of the relaxa- 
tion of controls, the Treasury 
bill rate just two years ago was 
only 2 per cent. Now it is 8 per 

cent. — still not high considering 
New Zealand’s official inflation 
rate Tor the past 12 months of 
14.6 per cent., but still a big 
improvement from a banking 
point of view. 

Government efforts to stimu- 
late the economy, particularly 
in the building and consumer 
sectors, also gave more scope 


to the trading banks. For a 
number of years New Zealand 
trading banks have been com- 
pelled to maintain a fixed ratio 
of their reserves in Govern- 
ment stocks. A proportion of 
these were in the Treasury bills 
with their low 2 per cent yield. 
Last year the Government 
reduced the ratio so as to allow 
the trading banks to have more 
funds available for housing 
loans. 

The building industry has 
been one of the worst hit by 
recession. Its troubles were 
aggravated by the tight Govern- 
ment monetary measures 
applied in 1976. 

High house prices and a 



BANK MELLI 



The Largest 
Commercial Bank 
in Iran 


Head Utiice : Ferdowsi Avenue, Tehran Telephone : 3231 (60 lines) 
Telex: 212481 and 212890 BMIT IR Cable Address: Bankmelli 
For International Dept. : intmelli 

In millions 

Capital and Reserves: Rials 21,996 (US$.313) 
Total Deposits : „ 583,032 (US$.8,288) 

Total Assets : „ 818,114 (US$.11,629) 

(as at February 1 9, 1 978) 

Bank Melli Iran handles all commercial banking transactions through a close 
network of over 1 .760 branches at home, together with many offices abroad, and 
its connections with leading banks all over the world. 

For further information please contact our International Department in Tehran or 
any of our branches listed below : 

- Offices abroad: 

: 113-116 Leadenhall Street, London EC3A 4AR. 

98a Kensington High Street, London W.8. 

Holzbruecke, 2,2000 Hamburg, 1 1 West Germany. 
Kaiserstrasse 47. 6000 Frankfurt (Main) West Germany. 

8 Munich 2, Lenbachplatz 6. West Germany. 

43 Avenue Montaigne. 75008 Paris. France. 

623 Madison Avenue, N.Y. 10022, U.S.A. 

44 Montgomery Street, San Francisco. CA, 94104, U.S.A. 
1 5 Kasr AI-Nil Street P.O. Box 2654, Cairo. Arab 

Republic of Egypt. 

P.O. Box 2656, 1 6 Shaikh Khalifa Street. Abu Dhabi, UAE. 
P.O. Box 1894, Dubai. United Arab Emirates. 

P.O. Box 459, Al-Urubeh Street, Sharjah, United Arab 
Emirates. 

P.O. Box 785, Government Road. Manama. Bahrain. 

P.O. Box 1 686, King Abdulaziz Street Jeddah, Saudi 
Arabia. 

P.O. Box 410. Muscat. Sultanate of Oman. 

333 New Tokyo Building, 3-1. 3 Chome. Marunouchi, 
Chiyoda-Ku. 

Representative Office 807 Shell House. 24-28 Queen's 
Road, Central, Hong Kong. 


LONDON. City Office 
West End Office: 
HAMBURG: 
FRANKFURT: 
MUNICH: 

PARIS: 

NEW YORK: 

SAN FRANCISCO 
CAIRO: 

ABU DHABI: 

DUBAI: 

SHARJAH: 

BAHRAIN: 

JEDDAH: 

MUSCAT: 

TOKYO: 

HONG KONG: 



'C 

BRANVEST 

Iran Overseas Investment Bank Limited. 


Sliareholders: 

Bank Melli Iran- 

Industrial and Mining Development Bank of Iran. 
Barclays Bank International Limited- 
Midland Bank Limited. 

Deutsche Bank AG. 

Socicte Generale. 

Bank of America NT & S A 

Manufacturers Hanover International Banking Corporation. 
Bank of Tokyo Limited. 

Industrial Bank of Japan Limited. 


Bankin g sendees include: 

Eurocurrency Credits ■Export Credit 

and International Loans. and Trade Finance. 

I Project Financing. ■ Foreign Exchange. 

■ Private Placements. 


120 Moorgate, London EC2M 6TS, Telephone 01-638 4831 
Telex 887285 and 887307 (Dealers). 



shortage of funds forced many 
home owners into costly second 
and even third mortgages. With 
the setback in the economy, 
home buying slumped. 

Lest October the Government 
moved to stimulate tbe building 
industry by allowing banks in 
lend more of their deposit 
funds for housing loans. By 
cutting the official reserve ratio 
by 5 per cent, tbe Government 
freed NZ$50m. specifically for 
the building industry. Banks 
are now taking some credit fnr 
easing the pressure on the 
demand for costly second and 
third mortgages. • 

Consumer spending in New 
Zealand slumped last year. 
Retailers and manufacturers 
were both overstocked. This in 
turn led to sudden reduction 
In orders, an industrial slow- 
down and rapidly increasing un- 
employment The. jobless figure 
is now tbe highest since tbe 
worst days of the 1930s. 


Abrupt 


The sudden cutback in retail- 
ing and manufacturing was 
even more abrupt because the 
situation bad been cushioned 
for a time by consumer spend- 
ing in anticipation of rising 
prices. The effects of tbe 
sudden halt in demand were 
felt first in the cities. 

New Zealand’s export prices 
for the 1977-78 season opened 
on a low note and added to the 
consumer slow-down. Weaker 
export receipts also meant con- 
tinuing pressure’ on interest 
rates. 

Last Dcember the Govern- 
ment paid a Christmas family 
benefit bonus in the hope of 
stimulating consumer buying. 
It has also relaxed some of the 
more stringent hire purchase 
requirements on household 
durables, motor cars and motor 
cycles- 

Then in February this year 
came a 5 per cent reduction in 
personal taxation.. This will put 
NZ$200m. into circulation in a 
Full year. These efforts to 
stimulate consumer buying did 
not at first have any great effect 
but later banks were given per- 
mission to increase their per- 
sonal loan levels J^This : was of 
particular help to tbe building 
industry. 

The Government has been 
anxious to get interest rates 
down and although as yet there 
has been no great movement in 
this direction there has been 
some Rasing. Some bank 
interest ' rates are down from 
13 per, -cent last year ’to 11 per 
cent, this year. A slight lower- 
ing of rates has been noticeable 
in the fringe and non-banking 
financial organisations. 

With freedom to offer better 
Interest rates for deposits, the 
banks have campaigned vigor- 
ously to attract more deposit 
money. As an indication of 
their success bank term deposits 
over the past year have gone 
up 30 per cent Most of this 
has been at the expense of the 
fringe market. Some collapses 
among finance houses, including 
Securitibank. a non-banking 
organisation, also encouraged 
depositors to put their money 
into “ safe " deposits. 

In earlier years when interest 
rales were tightly controlled, 
big depositors could get 11 per 
cent, or 12 per cent, from non- 
banking organisations but only 
3 per cent, from trading banks. 
Now, with banks able to offer 
10 per cent, or even slightly 
more in a competitive situation, 
investors are not prepared to 
risk thc-ir funds for only a 
marginally better return. 


agency deposits — was 132 per 
cent at March 1978. In the 
previous year it was 20 per cent 

Another major development 
in the New Zealand banking 
scene last year was the entry 
by trading banks into the com- 
mercial bill market Trading 
banks are now free to endorse 
or accept commercial bills — 
something which they were not 
previously allowed to' do by 
Government regulation. TTie 
banks bad only about six weeks' 
notice of their opportunity to 
operate in this new area and 
have been generally slow to 
develop this field. 

The Reserve Bank indicated 
It did not want too much up- 
heaval in the bill market and 
banks generally have tended to 
take up only new business. How- 
ever, trading banks are confi- 
dent that their dealings in bills 
will grow significantly over the 
next twelve months. 

The Reserve Bank, which 
operates Government financial 
policy, itself bought some bills 
in March this year to ease the 
pressure on the money market 
at tbe time when trading banks 
were faced with the annual 
March tax drain. 

Last year the huge outflow 
of funds from the trading bank 
system caused what one promi- 
ment banker has described as 
“chaos.” The money outflow 
from the. trading banks to the 
Treasury put a great strain on 
bank liquidity. To remain 
liquid last year the banks had 
to buy deposits at a high rate 
of interest Some of these 
deposits had to go into the 
Government securities earning 
a much lower rate of interest, 
causing a loss to tbe banks on 
their operations. 

This, and the banks* inability 
to find surplus funds for lend- 
ing. poshed their own and non- 
banking finance houses lend- 
ing interest rates high over this 
period. 

This year the Reserve Bank 
moved to prevent this. As the 
money flowed from the trading 
banks to meet income tax de- 
mands the Reserve Bank put it 
back into the banking system on 
a daily basis. The banks had 
two months to clear it Both 
the bankers' • and • tfie -Reserve 
Bank were extremely pleased 
with the way this operated this 
year. 


The lower demand for 
imports should’ continue. New 
Zealand Industry still has con- 
siderable idle capacity which 
can cope with any renewed 
activity and production for 
some time ahead. 

One of the biggest factors 
affecting next year’s inflation 
rate will be the extent to which 
wage demands can be 
restrained. The Federation of 
Labour at present has an appli- 
cation before the Arbitration 
Court asking for a 14 per cent 
wage increase. The Prime 
Minister, Mr. Robert Muldoon, 
has already said this is far .too 
high and that the economy can- 
not stand a wage increase of 
this size. 

The balance of payments 
deficit, although still high, has 
been reduced from its previous 
high level. The current account 
deficit has declined each month 
this year. At NZ$5 10m in March 
last, it compared to NZ$992m in 
March 1975. 


especially in an election year. 
The Prime Minister has 
reiterated on every possible 
occasion that there will be no 
NZ devaluation at this time. 

Two of the biggest problems 

far-ing New Zealand trading 
banks in the year ahead are 
both domestic ones. The first 
is that of manpower. New 
Zealand recently introduced a 
new type of superannuation 
scheme which has induced a 
large number of senior bank 
staff to retire earlier than they 
would otherwise have done. 
This loss of experience, added 
to -the "relatively new trend in 
the turnover of lower grade 
bank staff, is creating problems 
for all trading banks. Last year 
for the first time. New Zealand 
trading banks experienced an 
industrial unrest with stopwork 


meetings, and threats of strike^ 
by its bank officers. ^ 

The other major intern*! 
problem is that of profitability 
The margin between deposit 
and lending interest rates it 
very fine. With original bank 
costs increasing through -info, 
lion, the banks have a squeet* 
on their margins. Bank charge* 
to customers have not increased 
since 1967 and banks Would 
like to put these up. However 
they cannot do so without 
Government approval, and thg 
is unlikely to be given this yeari 
One result is a very rtringeat 
effort by all trading banks ft} 
become more efficient, to keep, 
a tight control over overheads 
and to woo tbe smaller investor 

Dai HaywanJ 

Wellington Correspondent 


Borrow 


New Zealand is still forced 
to borrow considerable sums to 
balance its books, hut its credit 
worthiness is high in the inter- 
national money market. Indeed 
the Prime Minister recently said 
that the main problem in 
raising overseas loans is in 
fighting off the would-be 
lenders. The monetary system 
and fiscal controls introduced 
last year to relieve the economic 
ill*; did not go unnoticed, and 
met with general approval from 
international financial experts. 

Prospects for farm exports 
for this year are encouraging 
although there is a big worry 
over the future of lamb ship- 
ments to Britain and the EEC, 
If the EEC common sheep meat 
policy forces up the price of 
NZ lamb and’ restricts its entry 
this would be an economic 
disaster for the NZ industry, 
which provides more than 40 
per cent of the country’s export 
earnings. 

There have been some calls 
for a further devaluation of the 
NZ. dollar but all the sigris -indi- 
cate that this is unlikely. 


'OOOOG 00000000000000009000000000090000 ' 

OUR NAME : 

jj The Bank of Iran and the Middle East 1 




OUR MARKET: 

Iran 



There’s a little more than meets the eye in our name— | 
The Bank of Iran and the Middle East. a 

Associated with The British Bank of the Middle East, a member | 
of The Hongkong Bank Group, we offer a specialised banking « 
service, not only in the Middle East but also world-wide— a § 
total banking facility wherever your interests lie. u 

For further information on- how. we- can help you, contact « 
any branch of The Bank of Iran and the Middle East. 0 

S 

Head Office: Ferdowsi Avenue. Kucheh Berlin, | 

P.O. Box 1680. Tehran, Iran. n 

■ Cable: IRANMIDEST. 0 

Tel: 314355/9. 2 

Telex: 212656 EAST I R. 5 

Tehran Branches: Bazaar, Shah Reza Ave.. Pahlavi Ave.. Takhte § 

Jams hid. Shah Ave.. Fa rah Ave.. Karim Khan 0 

Zand. Takhte Tavous, Tehran Now. Cyrus * ® 
*•_ - - the Great. Baghe Saba. .. . .. ® 

2 Provincial Branches: Isfahan. Khorramshahr. Ahwaz (3). § 

O Abadan (2). Mas had. d 

feooo®«ooooeooooessoooooooo©ooooooooooooeooo 


Reform 


Difficult 


The major finance houses 
should continue to increase 
their business in New Zealand 

but the smaller operators will 

find lire increasingly difficult. 
This will apply particularly to 
the solicitors’ mortgage market 
which grew rapidly in New 
Zealand a few years ago. 

Banks are now able to lend 
money on a much wider front. 
For a number of years the 
Reserve Bank has indicated 
which areas should receive 
priority in hank advances. T*iis 
was generally in the farming 
and export industries. Now. 
however, the Government and 
the Reserve Rank want more 
stimulus in the consumer area. 
Whereas personal loans were 
formerly given low priority 
they are now far more readily 
available for manufacturing and 
trade purposes. 

Despite this, business confi- 
dence has not picked up as 
much as might have been ex- 
pected, so the demand from 
manufacturing and industry for 
bank advances is still sluggish. 
Many shops and factories are 
concerned to run down stocks 
before re-ordering. 

The demand for credit has 
fallen substantially in the past 
year becaus#? of the decline in 
the economy. Growth of 
domestic credit is much slower 
than Last year. The annual rate 
of growth for liquid assets— 
shown by deposits in banks and 
on deposit with finance com- 
panies and in stock and station 


New Zealand Bankers have 
joined with practically every 
other group in New Zealand, 
ranging from the trade unions 
to manufacturers, in advocating 
taxation reform. Various 
groups put the emphasis for 
reform in different areas, but 
all are united in the need for 
some alteration to New 
Zealand’s high tax structure. 

There is a particular clamour 
for some reduction in direct 
personal taxation. Over the past 
ten years the share of total tax 
received by Government from 
direct taxation has grown from 
69 per cent, to 76 per cenL, 
while the proportion of indirect 
tax has fallen from 31 per cent 
to 24 per cent. 

Tax penalties on overtime 
earnings and secondary employ- 
ment are severely limiting pro- 
duction. The high personal 
income tax restricts savings 
while the relatively low propor- 
tion of indirect taxation stimu- 
lates spending on consumption. 
All these factors hinder 
economic growth. 

The Opposition Labour Party 
is comeiitted to some system of 
tax reform which it has not yet 
made public except to state it 
will include a big reduction in 
personal income tax and the in- 
troduction of some form of 
capital gains tax. 

Some minor tax reforms are 
almost certain to be included 
in this year’s budget due 
around about June, but It Is 
unlikely that these will be more 
than a few minor steps which 
could be followed by a more 
comprehensive overhaul of the 
tax structure at a later date. 

Confidence is slowly return- 
ing to the New Zealand busi- 
ness scene — mainly because 
companies have found that they 
can weather the economic storm 
much more easily than a year 
ago. FTowever. the return in 
confidence is still not strong 
enough to show through to any 
real stimulation of the economy. 

The Reserve Bank and other 
observers are reasonably opti- 
mistic about the prospects for 
an improvement in New 
Zealand's economic scene over 
the next 12 months. 

Inflation, although still much 
higher than the Government 
would like — and indeed fore- 
cast it would be — is coming 
down. While the annual rate is 
still 14.6 per cent, the rate for 
the December quarter was only 
2 per cent. 

Less inflation is being 
imported from overseas and 
import costs themselves have 
declined, partly as a result of 
the fall in inflation overseas 
but more particularly because 
of reduced orders from New 
Zealand importers. 





THE 

INTERNATIONAL BANK 

OF 

IRAN AND JAPAN 

(Associated, with The Bank of Tokyo, Japan) 

A major bank in international finance, dealing with most 
prominent correspondents throughout the world 


Capital: 
Total Assets: 


Rials 3,000,000,000 
Rials 57,000,000,000 


55 branches in Tehran and most major cities throughout the 
country providing complete banking services in business and 

investment 

Managing Director: 

Mr. IRAJ AZARM 

Assistant Managing Directors : 

Mr. Ahmad Zeini -Mr. Ahmad Habib Pour 

Mr. Bijan Etemadi Mr. Hajime Wakayama 

Bead Office: 

57 Takhte - Jamshid Ave., Tehran, Iran 
Telex: 215008, 215009 JIR IR 
Cable: JIRBANK Tehran ^ 

Tel: 668551-4, 66946S : 

London Representative: 

Suite 202, Salisbury House, Finsbury Circus London E.C.2 






* 1 W| C »r» W I!t 




RpmcwI Times Tuesday May 30 1978 





BANK 

THE FIRST IRANIAN BANK 


ESTABLISHED 1925 


Paid-up Capital: *Rls. 8,000,000,000 
Total Reserves: RIs. 1,356,852,544 


Total Deposits: 
Total Assets: 


- 1 ! 

•i ' 


_ , . s . 

r. '* \ 


As of March 20th, 1978 

(* RIALS 70 =1 US. $) 

President and Chairman of the Board 
Mr. Manoutchehr Nikpour 


RIs. 288,098,416,385 
RIs. 312,906,995,030 


? •; r» 

• 1 r • 


Head Office: Sepah Avenue, Tehran, Iran 


Tel: 311091/9 


Telex: 212462 


Cable: SEPAH BANK 


The Bank has more than 650 Branches throughout Iran, over 200 of which 
are equipped to handle all kinds of Foreign Transactions 


Branches & Agencies Abroad 


BANK SEPAH-IRAN 

5/7 Eastcheap 
LONDON EC3M IJT 

Tel: 01-623 1371/S 
Telex: 885343 


BANK SEPAH-IRAN 

21 Kensington High Street 
LONDON W8 5NP 
Tel: 01-937 2840 


BANK SEPAH-IRAN 

One World Trade Center 
Suite 8935 

NEW YORK. New York 10048 
Tel: (212) 9381070 
Telex: 427245 


BANK SEPAH-IRAN 

Via Poll, Number 29 
00187 ROME 
Italy 


BANK SEPAH-IRAN 

17, place Vendome 
75001 PARIS 

Tel: 260 3257 
Telex: 210674 


BANK SEPAH-IRAN 

Cicy-Haus 

Friedrich-Ebert-Anlage 14 
6000 FRANKFURT am MAIN 
West Germany 



"S^^'Wedenver 


[M 


Y 


i’\\ 


Curasao as an offshore financial center. 

Because of its geographical position at the crossroads of 
Europe and the Americas; because of its political stability as part of the 
Kingdom of The Netherlands; because of its special tax concessions 
and tax treaties, Curasao offers an ideal climate for many businesses. 
Particularly for investment and financial holding companies. 
^Also for businesses involved in real estate, shipping, aviation, 
insurance, industry, hotels and land development 

PHP as Curasao's oldest offshore bank. 
Established in 1952, Pierson, Heldring ' 

& Pierson (Curasao) is a subsidiary of 
Pierson, Heldring & Pierson N.V.- commercial 
and merchant bankers in The Netherlands. 
Backed by a staff of 80 professionals and 
by PHP’s worldwide resources, PHP Curasao 
has developed into a leading offshore bank. 
And serves as a base for this North and 
South American commercial 
. banking activities of its parent bank. 


FfXZIKISTOpEELBERlJ ; 


JBmJkGhus 







Jt*trGt*vPUvmt 3 mha.on i. 


.StJWBdrwww 




U4. ./""S *•- 


MtorMmt 


PHP as a trust company. 

PHP Curasao’s 
trust department can help 
you establish a corporation that 
benefits from the tax advantages 
offered under Netherlands Antilles law. 

ur^ ai- —X 


ROKDCJ 


A range of International 

services no other bank can offer. 

Competitively. 












wnuoi 1 1CU 191 lw ruw m iuiiww iuiv, a ; 

We use our 25 years of local know-how,' 
our international connections, the expertise of our — , 
own staff, and working relationships with internationally 
oriented legal and fiscal counsels. 

PHP Curasao has already guided hundreds of 
international companies in setting up financial structures precisely 
tailored to their needs. 

If you'd like to know more about the climate in Curasao, 
contact General Manager J.H. Brinckmann, Pierson, Heldring & 
Pierson (Curasao) N.V.; John B. Gorsiraweg 6, Willemstad, Curacao, 
Netherlands AntiIles.Telephone: 13955. Telex: 1069 or 1147. 

We'll be happy to send you a booklet with complete information. 




JB: 



Pierson, Heldring & Pierson NY 

Head office: Herengracht 214 , Amsterdam.The Netherlands. 

Telephone: 020 - 21 11 88; ask for Mr. A. van Marken. 

AflfStod companies In Luxembourg, The United States, United Kingdom, Switzerland, Bermuda, Indonesia, Hong Kong and Japan. 


International Finance. Competitively, 
by ECGD guarantee^ ratcmcdium - term *>““ 

Negotiating or discounting bills. Acceptance credits. 
Eurocurrency finance. Export factoring. 

International leasing and Instalment finance. 
International Branch Network. Competitively. 

T Bcmg * , U.K. member of European Banks 

Midland can offer their dSnts UK 
ramplete fattfib« of seven major independent European 
banks with 10,000 branches throughout Europe and a worid- 
wide network of joint ventures. 

International Transfers. Competitively. 

Foreign exchange, spot and forward contracts, 
drafts Can PaymentS ’ JnaU - tran,fa * telegraphic transfers. 
Bills for collection, documentary credits. 

Internationa I Corporate Travel- Competitively. 

larJrttravef ****&. direc ^ ac f ess to the world's 

cook - a maaba ° fthe 

firovdn S company in business travel provid- 
ing the most comprehensive business travel service including 
foreign exchange in^] 50 currencies, travellers cheques. VJ P 
Service cards and 870 offices in 145 countries. 

International Merchant Banking. Competitively. 

A complete range of international financial services 

Sbe“ and a 


I* ™ 0 ' !*™'* CTeditSj bond issues, corporate and 
investment services. 

. Monta S u are also major market makers in 
bullion, foreign exchange and Eurobonds. 

International Insurance. Competitively. 

Comprehensive insurance and reinsurance broking 
service through Bland Payne -a member of the Midland 
Bank Group. 

International Marketing Services. Competitively. 

Limited, operating in over 100 countries. P 

°*. n relations, tariffs, documentation 
procedures and exchange control. 

To ensure your company makes 
the most of its inte rnation al 

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. TEST TJS. 


iWitagsdl Bank International i*^: Delivers. 

lmrauiioaaj DMUHi, feO G«o«isirdi 5<rea,L(XKtooEC3P3BN. TcJ:0I-*06 9944, 





-ISUST . . 

S ; - ' ^‘GHipiNGJ IGHT FOR lAPANKSK INUl'STKIKS 


TXMIT30l.1TUSTfc.BANKlW> CWPANX llMITTO 


■■ .. > ' ?? **<' . t 

-I,.- * 


:&SK; 




mu 

**♦ 

*, •; *■&*•*. 

•* * * . 'v.ir::'. •:; 


*>**;£■: 


SS&& 




mmm 


VWGnNh 

IPRE! 

TOJDUR C 


on New York, 

3 dMorn^g 

MHongJ(ong 


FteBKiM' Times- Tuesday May- SB' 

WORLD BANKING 


Problems of excess 


liquidity 


H ,PM , 

HmCQHii*. l3l|U. IM> 


(]| | W 4 mil I Ilf ~.O.I3 Ml RU'jI {, unit Atfrfnr.. ISUjiUif UlRUOfi LI/ G-im.i Unw 'Jun.i rjiradi 
Jk - lnir.I»ii:;£C-, jfl>. lopgan RcpnMtnm OIIM. Irff* . Zi7Sii UinjITB KS UmAMnu. UITUITRUSI SjNGATOOB 

<iAuiu IBU-l’Jir JflK>0 


THERE WAS considerable hope 
that banking and credit policy 
in India would receive fresh 
orientation when the new 
governor of the Reserve Bank, 
Dr. I. G. Patel, took over this 
key post late last year. There 
was the problem of correcting 
the distortions in the banking 
system introduced ■ during Mrs. 
Indira Gandhi^ Emergency 
rule. There was the hope that 
the Janata Government's new 
policies of promoting rural and 
small-scale industry would get 
due attention from the banking 
system. And finally^ the estab- 
lished-corporate sector hoped 
that Its long lament for quick 
credit on less onerous terras 
would be answered sympathetic- 
ally so that the 'investment 
climate could be improved and 
the prolonged recessionary 
trends eliminated. 


Perhaps it is too early to pass 
judgment on Dr. Patel and 
perhaps it was -too much to 
hope that this distinguished 
economist would be able to 
galvanise a system which has 
got used to operating in con- 
ventional forms and is unused 
to meeting new challenges 
through novel methods. Yet 
economists and commentators 
are clearly disappointed that, 
but for minor changes intro- 
duced last December to help 
agriculturists and a recent 


marginal reduction in interest 
rates, little has been done. 

Partly, this is because excess 
liquidity continues to be a 
major factor in Indian banking. 
This has been sought to be 
checked by the Government and 
the Reserve Bank over the past 
many years by transferring to 
banks responsibilities which are 
not traditionally their ■ own. 
Banks, for instance, finance food 
procurement at a time when the 
country bas a grain surplus, so 
purchases frpm farmers are 
largely for stocking and tie 
massive amounts of funds. The 
Government has transferred to 
the banks the function of 
providing working capital to 
public sector undertakings. It 
has also taken heavy overdrafts 
for itself for budgetary 
purposes. 

That the banks are flush with 
funds despite the additional 
tasks alloted to them is the 
result of the rapid increase in 
deposits. Between October, 1977, 
and March, 1978, deposits of 
scheduled commercial banks 
increased by Rs Ifi.Sbn (El.lbnl 
to Rs 216.8bn or by about 8 per 
cent. In the corresponding 
period of the previous year, 
deposits increased by Rs 15.7b □ 
to Rs 179bn or 9.6 per cent. 
While the growth rate of 
deposits has tended to drop in 
absolute terms, banks hive 


sucked in massive amounts. mittee. reveals a « banking. 

In the same period bank is lacking m ^ there 

credit to the commercial sector It rejects the f 

(not including food procure- is no need to deh " c .J ^ is is 

ment, which accounts for a huge the ban ^ s , sinc L ma de account- 
chunk) increased by Rs 12bn done can they Other °aps 

to Rs I27bn compared to able to Parliament- Government 
Rs 10.3bn in the corresponding noted are that the UO ‘ dit 
period of the previous year. Yet has no in form; aun i<jn 

the deposit-credit ratio dropped needs of .^..L^Sit^Mtogories 
marginally from 62 per cent a particularly different ca teg 
year ago to 59 per cent at the of fanners and artuaiML in 
end of March. 1978. If food pro- suggests that the h ^®^„r icv 
curement is included, the claim to make hankane Po«c. 
credit-deposit ratio dropped orientated to its socio^conoraic 
from 75 per cent a year ago to policies is somewhat hollow an 
59 per cent at the end of March, that the Resen- e Bauk rea 
lora cannot do credit planning of the 


1978. cannot do cr< 

From April to October, 1977, kind needed, 
the traditional “slack" deposits 


increased by Rs 79bn and other 'Dnnifl 
credit soared by Rs 5.1bn. 

Investment in Government and while in quantitative terms 
“approved" securities went up ^ spread of banking in India 
sharply by Rs 5.8bn and has |j eeTl rap id — the number of 
balances with the Reserve Bank branches opened during the two 
rose by Rs 5. 3b el Such massive years en ded June 1977, was 
investment in the “slack" 5794 against the target of 5.000 
season was followed up by a committee points out that 

Rs 7.7bo increase in banks’ tte had outstanding 

investments in government j icences /or 3,004 branches at 

securities. The conclusion is ^ end of j une 1977. This sug- 

unavoidable that banks are not pests that branch expansion 
able to use funds available to have been even faster. 

them - particularly in areas which are 

Despite this, the norms being clearly “under-banked." 
used to examine excess liquidity That large areas are "under- 
are traditional ones. This will banked" is clear from the find- 
obviously have to be corrected ^ ^ as maU y as 544 cora . 
since the corporate sector insists munity development blocks had 
that it is being starved of credit, no banking facilities, the situa- 
that credit is still expensive, tj on being particularly bad in 
while it is widely recognised lar; , e mraj sta tcs ;-s 

that the banks have not res- Madhya Prade sh, Bihar. Uttar 

ponded to the Government s 0 rissa and West 

policy of diversion of bank Benga] . Th Commitl ee also 
financing to the new priority" that in thc 237 dislri els 
sectors such as the/' backward Identified 35 industrially back- 
anis-of.aeeoiiiniyaiid iral^ , he ratio 0 f advances 
l ndust £’ Concessions to banks extendt . d in these districts com- 

Rptw t?-! Pared to all India credit slipped 

Reserve Bank to promote this 143 Dpr cent in limp 1074 

policy have not yielded results. fi L P r y. Pn tii w iq-fi 
There is now k debate in nrn- t0 13 . per Lent * ,n June ,9f6 - 
grass on how far banks should JJoting that the credit-deposit 

serve the Government’s socio- ! n n the r ^ rai 1 Q™ as at , the 
economic policies. This is diffi- ^ d °f December 19< 6 was less 
cult to judge in the absence of ““ that of metropolitan 
any clear-cut statement by the areaSi tbe committee has. called 
Government itself on what it upon lbe ba ” k ? 10 identify the 
expects from the banks, which ©uouomic and industrial poten- 
have been forced to adopt ad Ual of backward and rural 
hoc policies and are .being, areas " in conjunction with the 
pilloried as a result Parlia~ state authorities and assist 
ment’s Estimates Committee them in availing of credit faci- 
receotly said that the Govern- fi Qes “ larger measure to im- 
ment's view seems to be that Ploment suitable development 
there is “no need to define in schemes.” This unconventional 
detail the objectives and obliga- recommendation is a recognition 
tioas of the nationalised banks ’’ uf the belief that bank credit 
(the 35 Government-owned can only follow development 

banks dominate Indian bank- and not initiate it. Many 
mg)- economists have pointed out. 

Indeed, the Estimates Com- however, that in certain 




* * * « ■— » 






favoured regions, banks 
extended development cr«Ht 
They say that, at i-tiou ■Stkat: 
the banks face a resource*.*^ 
a corrective reaUoeirtia&£%; 
credit to rural areas could li®. 
achieved without adverse effect* 
on credit availability 
commercial sector. “ ‘ : :7 . 

In any case, the 
has now asked conunerdk. 
banks to concentrate in/atu, 
where banking facilities 
adequate so as to impzoW-tJ^ 
flow of credit to rural, afeu : 
where about SO per cenfjjf^fci 
country’s population lives. 'The 
banks are also e.\pecfed ft 
select the centres fpr brajR^ 
expansion during the Curreztt T 
year in districts where the-pbpo. - 
lation per bank is higher than 
the national average. ' 

Simultaneously, nationalise 
banks have been asked .to h* 
crease lending to “ priority* 
sectors, including 33 per cenL 
of their total credit to agri- 
culturists. They have been sk 
structed to ensure that 60 per- 
cent of deposits mobilised ia 
rural and semi-urban areas'll 
deployed there, a move-obri- 
ously intended to check the' 
flow of savings from these anas 
to urban concentrations as has 
been happening. Yet this wffi 
not tackle thc problem of the ' 
lack of capacity of India’s ruraf 
population to absorb credit, a-' 
contradiction that the Reserve 
Bank will hare to resolve ia 
co-ope ration with the Pfenning 
Commission which is ul chaise 
of the country's overall develt^. 
ment. 

This new aspect of banking; 
will have to be dovetailed into 
traditional ways of functioning, - 
especially as the credit needs 
uf industry and exported: wiB 
need to be met. With the recent 
import liberalisation, raising of 
the exemption limit for -fndu* 
trial licensing and lowey interest 
rates, demand for bank credit 
from usual sources is expected 
to increase. This may help te' 
tackle the current excess 
liquidity, but the basic issues of 
resources development can only 
-be resolved by the Reserve 
Bank in consul ta£(6i(-with : plan- 
ning authorities :aM depart- 
ments of the goterinrient con- 
cerned. This is essential. if 
credit policy is not to'-^e just 
an arithmetical exeieise in' 
adjusting liquidity. 


K. K.SKarma 

Keu> Delhi Correspondent 


CHINA 


Signs of possible 


•• »: 

V " 






mm m 

■ 9 . . 


* H ' w*. 


Our customers operate worldwide, and so do 
v.-? r "jsicera ihe clock" - from our headquarters 
in Frankfurt or through bases and affiliates in the 
most important centers of international commerce 
and finance. 

in New York. DG BANK has its own branch 
and a representative office: Gur customers in the 
Asia-Facmo Region are served through DG 
C AFiTAL COMPANY LTD., a wholly-owned subsid- 
iiP/ in Hen? Kong. In Luxembourg, we have 
sii'er.ctr.ened our Euromarket presence by estab- 
Issmrg DG BAISK INTERNATIONAL In Lcndcn, 


we hold a major stake fn LCB - London & Conti- 
nental Bankers Ltd.: our affiliate in Zurich is Bank 
Europaischer Genossenschaftsbanken (BEG). 
With five large banks in Austria, 'France, the 
Netherlands, Denmark and Finland, we cooperate 
in the UNICO BANKING GROUP, and our affiliate 
Frankfurt Bukarest Bank specializes in the finan- 
cial aspects of trade with Eastern Europe. 

With consolidated assets of DM 43.3 billion 
for US $20.6 billion), we are one of the large 
“universal" banks in the Federal -Republic of 
Germany. DG BANK acts as liquidity manager 


and “international arm B for almost 5,000 local 
and ten regional banks in Germany; this system 
operates 19,500 offices, the most extensive 
national banking network in all of Western Europe, 
and commands consolidated total assets ap- 
proaching DM 240 billion (the equivalent of 
US $114.bHlion). 


DG BANK Deutsche Genossenschaftsbank, 
P.O. Box 2628, WiesenhuttenstraBe 10, D-6000 
Frankfurt am Main 1, West Germany, Phone: 
(0611) 2680-1, Telex: 0412291. 


DGB4NKIM 

The broadly based Bank 


AFTER 18 months of Chairman 
Hub’s rule, China’s antipathy to 
any form of borrowing except 
bank deposits and "supplier 
credit" for purchases of com- 
plete plant seems to be soften- 
ing. Hitherto Peking has 
steadily reiterated the need for 
independence and self-reliance. 
These ideals have meant avoid- 
ing outright loans and most of 
the wide range of financing 
available in the West for woulcT- 
be purchasers of capital equip- 
ment. 

However. Peking has a massive 
programme of investment to 
put through by 39S5, and 
much or It is dependent on 
the buying of imported equip- 
ment. This is essential if China 
is truly to modernise by the 
end of the century, as it hopes 
to do. The basis of the techno- 
logical leap is to be laid now, 
and while Pelting has at present 
a healthy bank balance, the 
scale of its needs are likely to 
outrun the $l.dbn-$2bn surplus 
observers believe it earned on 
trade in the last two years. 

Reports from both Hong Kong 
and Europe suggest that the 
Chinese are rethinking their 
policies. WhHe " self-reliance ” 
remains the motto— and of 
course for China trade will 
always remain a fringe activity, 
though an important one since 
it can provide a short-cut to 
vastly increased production— 
there is a dawning realisation 
that some new form of borrow- 
ing could be advantageous. 
Peking, some observers believe! 
has also begun to recognise that 
the rate of inflation in the West 
is higher than interest rates. 

Some bankers already feel 
that China is a distinct possi- 
bility as a candidate for a 
modest syndicated loan. 
Recently. Dr. Hans Kippen- 
mana Sing director of 
the Banque Europeenne de 
Credit, said be thought China 
would be the next interesting 
borrower on the Euromarket 
In the project-related loan 


emergence 


interest tesTveai^aff fl t 1 ? rry . of altogether: besides the sw>* 

to Pekin* Vtbe Went r* V1Slt pIlers credit which il faas,b< *f 
Foreign MitoateJ S£ st £.™ ai1 U5in S since the early 1970s. U 
Genscher whos**’ <Sn Di, " Dletr,ch has boo* 111 grain on credit and 
^n^y\^°Z^cSL WRS fflakin * “* receiving of 

accept such inanP u would deposits on the London inter- 

ha " k H 

in that direction. moves individuals and companies 

The general’ view m *y now make fixed deposits 

bankers is that China's with ^ Bank of Ghina ’ 11 
step to a freer attitude wnnirf has recenLl y Htarted issuifl * 
be to go for “ buver ^credits ” tra y ell ers’ cheques. This latter 
rather than supplier’s aL ‘ tJvi ty is not seen as bomnf- 

Poking has seemed to Feel «,5 1113 at aH > however, since as the 
supplier credit came with ie« ch e Ques are only available a 
odium attached since it was Hong Koq S* the la Ese of tune 
to the supplier actually tn between buying the cheques 

the borrowing. However and cwMng them in'Chiw 
adoption of the buyer's’ credit llke,y 10 ' 

system would not actually make Even if Peking .were to 
borrowing cheaper, it would exteni i the range ; of credit 
certainly bring other advant- facil ‘ties it uses, it would d0 
a S es - so with the utmost caution. The 

j Chinese are unlikely to land 

WlCtCr themselves in the same boat as 

Comrade Kim U Sung of North 
The Chinese would be able to Korca ’ who unwisely 
see much more dearly what large quantities of tadusffB 1 
they were paying for, and they S°° ds which he was SUM* 
would have a wider range of <* uentl y unable to pay 'TW- 

from” F™« PPUer5 t0 ch ™S6 Chinese eschange re*7» ^ 
creS't £« ti, Pre er buyer’s Probably of the order. ^ 
stS C f U ■ 0 iJ Uiey themselves adequate for a count# with 1 * 
wuti eS of at " sk and the P°ssi- gradually rising espe rt 
oavmpnti ai J ang . mg Progress a variety of export Rams 
flowT probleo^ er Thr. e3Ses cash 00 er eat seasonal fluctuation ^ 
SSL 1 “JJV, J he f s e can be Ha sales. Last December *5 
tracts !? rge con ' Wash ington-based China »u^ 

breads thJ n a vT edJt 3180 ness Review estimated that ^ 

BE? pSVE"."!!.-!* - ba!is nr ^ 


lnns»pr us over lfle nasis of the past two ye**,. 

attractioS^t d ou fl h? . ® ddition ^ ***** surplus. th e P Chinese eoiflj 
sible for the chbS ^ b f pos_ reaso «ably buy at least $7bn of 
S C /ni MPiUl goods over the next 


sible For the rhino, . . pos - ^asonably buy at least 9t° a “ 

Uife aS Xr S B t0 . dassif y capitaI Eoods over the next 

S “ noraal banS ° f / rodit More 

merciai c ° m * tlvel F' they could at a minimum 

haveTeeS ”Sor^ h * h6y *P end arouftd 

It is the den^? eyears ’ T The December. 1977, Bank oT 
foreigiltretbat boS?w" Ce - 00 ? ter «ational Settlemehts figures 

ptieSpSg^JH* -thi healthy Picture 

has some reason to J to so finances WfitS 

its experience with The ^ 


OUII1C ICMUU 10 tin Kfl .ft.. , . r — - . 

its experience with the °S^>t Ii h ^ adc statistics. Chines* 
Union In the X960s. Is “ ^ T ^ nrtiag ^ 

colonial; past, and £ oS 


colotoal ** pMt. ana S S’ SR"?** 

ance of. thelfcte o f °£ Jiff* le ^ing by banks tog 

countries which get into a?bt Was 0^5266®* 

It has not avoided horrowiS E ' ^ Ur€s not M, ? ple S 

CONTINUED ON N7 X T frAG£“ ClUdC ton 


” 

,(! r . 

f 

!v 1 fc. r . r 

^ * - 
A ^ » 

ill -flM 
\tte. ■** 




,A 

•k ‘ 

* 

N-1 J >1 - 













^ N U | \ - . i Financial Times Tuesday May 30 1978' 

* MI v_ TIBET. BU!l BRnBassBA 





WORLD BANKING XLIDI 


35 


V V / 


- * , ' 

\ V v 


Favourable loan 
prospects 

Phillnm^o H nS b , e ft l Sl r f ? r has affected merchant banks, the central bank. Under its in which the Government has 

JvIlS bnr?owini -t« dC,| E5 b * kn#WB . ‘ n consolidated 1978 foreign substantial exposure. 

, , • rowing coats but as investment houses. (Jomouied borrowing profiramme the bank , , .. 

, for duilar .loans, thanks ucpusjt su»«muie noicuugs of had wanted* tomorrow' SUS250m It has already decided to 

b«!k.- y l ° expa f SlI>n °* onshore me la-memner mercuant uana- iu the nrst hah 01 this year and * ,5>m 40 Jf e 

banking operations and mcreas- mg system declined oy ljwiin another $250m in the second ^ velopmt;nt ° £ 

in* availability of consortium pesos or 4.id per cent to oon half When a consortium of p b Ui PP mes iDBr') and $6am 
banking facilities. Just the p«u 3 as of end-Maxch from foreign banks led by Manufac- Co State-owned Pniiippine 
* a ? ltfi lhe thrust of monetary o.iou pesos as oi ena-uecemoei, turers Hanover Trust Company ^a&onal bank (PNS). The 
policy is still towards further wane uieir aggregate trading of New York (Mantrust) allotments will come from the 
lowering of loan interest rates, account securities contracted uy brought the issue to the market combined $14Jm loans arranged 
inis has spurred a shift frum So. L eu pesos, or la.ud per cent recently, there was such a rush «■«“ the Bankers lrust-led 
lending to investment activity to 4U&jzu pesos from £4i.im of subscriptions that the entire consortium and from Bank or 
oynmd sources. It is also pro- pesos. $500m was arranged -in just one Tokyo. As sub-borrowers DBP 

viding stimulus to the develop- Despite or probably because P ack *S®- and PNB will in turn reieod 

mem ol a new market in bonas. of n'rst-auarcer trends f,irm commitments from the the foreign credits to their own 
The local rmancial system has uuiuencea in large part by the coasortium members amounted clients or the final end-users. 

, bl?e “ Eene 5 auy . hquid, eariy January interest rate Private banks will have a 

bei ' a “* c 01 heavier man restructuring, the monetary SS**? tjSf m »hi ai tSS P 4606 ot lb€ a4 -‘tion too. Unuer 
tunas j Inj ^ l,ms external authorities last Monday reduced arranged a syndicated loan of aiready approved guidelines 

The prinaS SSreS tne L ' e,ltraJ back redjscouflt raie *l3ta L a con^tiL led * ey « aaUiy as Su ^ 0rT f ^ e ” I 
transactions of sbra ffLS ^ export loan papers from o i 0 by Bankers Trust Company of l ' ae P reference in so far as 
uims and drawdowns from 4 puc teQt — aiia whjie New York, and a solo loan of access t0 funds 13 concerned 
syndicated 1 foreign creditsb? cenj:al bau * reujscoum rate ljr from Japan's Bank of** being given to borrowers 

bbrn were in bod5 Se nubim food »»««“ *«“ Papers was Tokyo. engaged an pnonty enterpnses 

and private sectiire P retained at l per cent, banks —while the preference in so 

Another lactor is the were rec l Uifed to cuttneir lend- f?Q C 5p r far as private releading outlets 

deliberate lending slowdown 1Q ® ratw irom n t0 10 per Cent . is concerned is being given to 

JubfS ,™U.1S„I." o( 1SS ««u». The lee* term, are cempara- “ 1 ° DS ' 

situation of uie country's top Tne resulting effective ratjs lively easier. The jumbo loan, term b naQcin S- 
ten coiouiereial bamts in terms for loan end-users have tnus so-called because of its sire’. What is in prospect then is 
oi iuan purtioiio show that their been siasheu ui id from 11 per fr0E1 the Mantrust-led con- some brisk lending activity re- 
combined outstanding loans etui viuciuding charges) iu uie sortium carries an interest valving originally foreign cur- 
stood at 14.3uu pesos i the peso case ot exporters and to id which is 1 per cent above Libor, rency lunds. They will come at 
exchange rate to the U.S. dollar llolll io ptl Ct:al ,^o including wilh a maturity of ten years a time when offshore banking is 
is i.3K:) as ot eud-iiarch tms charges) m tne case ot ioou “ d a grace period of three beginning to hit ns stride In 
year, down by ol^m pesos, or 1)lllu l ws in brin eme down years - The Ioan from fte « rou P three months the 16 offshore 
b.3d per cent compared with Lrrowiae’ costs fur^er central beaded by Bankers Tmst carries banking units (OBUs) operating 
I4.3bn pesos as of enu-Bucember same *«*««*. but ** a U» eoantry built up their 

ast year. Ddn om ais Ui y nop 10 shoner seven-year maturity, assets by 27 per cent to $961m 

As u has turned out the ten Spur mvesu “ enL The loan from the Japanese as of end-March this year com- 

bauks sim ted their attention . AlK muuelary move cop d m ' bank is payable in ten years, pared with the end-December 

trZ, Ln" to inSm dS 3 ' S ” St 1 “ Dt Ub0r - 

this years first quarter Their Ir aU> de ' e ! 0pmi . 1 tre d ‘ D The central bank has indicated As to fund sources, $57Sm 
aggregate investments in bunds aiaae availaoie oy Uie • ecun M« that the jumbo loan completes came from deposits by non- 
and uihi seeuriues av wrtl S auu ****** commission snow its borr owing programme for resident banks, SoWm from de- 
in ™rp„ rJ J «,^ s U1 AoS u«tia««iudiUina e wcMP».»- uu, year. posits by residt-nl bonks, 

totalled -i.abn pcius at March Ujil ° as ' veil ^ r ein ve3UoeUbi About half of the 5643m made S 24m from deposits by non- 
31 Iasi an increase of 23S *m ejcteiiiig corporations reaacnL-U available to the central bank resident non-banks and others. 
pc<os »r C.oj nor cent over lul1 in ja “uaiY-April tni^ under the programme will be as to fund applications, *46 fm 
tfgbii pcmis as n! last December yeaf * a Jump of 3iii,ni peS0: *’ ur used t0 pre-pay. existing oblige- was i en t out to resident banks, 
31 ‘ *» — •» ,dSt > LBI *» tions arising out of loans pre- s ,m m to non-resident banks, 

tour-cionui toiai of 6 jH.hu viouslv obtained by various §26m invested in bonds and 
1 1 t a P BaJ * , , borrowers at either higher 0ltlef sec ur,ties. Witn *J64m of 

Waned i.wov»?rall situation has also interest rates or for shorter total deposits generated from 

provided a start towards devel- mahiriD’ periods or both. The OQS dore sources and $583m of 
T lie January ‘March quarter is >>,*.. uuu«. uiiAeu luc «wk remaining half will be for total loans given to onshore 
normally not a busy time for inmcuin Development oorpura- development financing: the borrowers, OBUs have expanded 
burrowing. Smirking up and non. the couni ;y s lop invest- central bank will relend the tl]eir ,jj are 0 f the local market 
rcurdormu usually si art near ment uuuso, l.utiaied trading in money to Government agencies 
the nud.iio ol lhe socinid convcrtjJic suouraiiiatcd deuen- and Government-owned or con- 
quarter. i here are »t her i actors lures issued ny Taper industries trolled corporations as well as 
dupre?'in-j loan demand. Uno Corporation of the Philippines, to selected private corporations 
>ij them involves finance com- tile lone ioial newsprint pro- 
panic*. which used u» be rtucer. bancom announced mat 
iiiiii-ng lhe h;gge*l borrowers, it will later expand its new ap 


‘1 l.eir age re.ssneness has waned to issuc-a oi other prime 

au-.r a high incidence of re- voiporauons. w 

pus session*, and debt write-oils l£arly tms week the central 
m liieir cmM'incr appliance and hank antmuncOu tuat it will sell 
nw*j«r vcmvle financing opera- by auction all . ouvcrnuieut 

, , , sec urines unuer lit poruouo Japan, Switzerland, in the banking sector as 

AiioUiit tactur. this lime oil Starting laej ihis year in nne si n g a pore and Hong Kong as in other areas of life, 
the U. ml id’4 mvIc. ;s ilu- loueruig w«m tne p.og.amiuca develop 


CONTINUED FROM PREVIOUS PAGE 


much 

apore and Hong ivong as in omer areas oi me. Any- 
, , ... ( except American banks), they one who wanted a loan could 

<•1 .,iaii iniorwi ceilings which iiuv.i oi .i aeiunuuty marivet in ,. CVeJjl tJie ma j fl tren^. get it. Banking regulations 

t.i.ik cl. cci last January. The suen seciinncs. L'liuer teula- 


icniral b.mk. by deelanng basic live auction rules already 
imnicy costs as cffi 


In tune with the pragmatism wer « IrequenUy broken. Too 

much money in circulation I 


feeme railier urtuica. me bank will be the evident in every sector of the = portages anS 

than nominal, has !:.mred the w^osaier ui Government •«»£ “ d SSpient iniation. PlLnlSg 

r.uin Jor manoeuvre on mark- Securities which are to ne re- tn^ly so in the B nk ol wag disregarded and the Bank's 

•■I* , .il«r iijin-inU'iv.t v vario.* finanua. I»£ fWMM. » 

i , *ii | i , n*i , s charged bv len.icre on ruii»i*is. bancom is one of P normally very strict, evaDOi lied, 

bnii.ourv The resi.lt. n seems, ihuKt being considered for this readily rationalised its opera- ^ p y h '^, S ^ 
is that hanks have mcivasmg.y put pose. The ultimate aim. say tions m the 18 months since the to 

lurnrd i<> invest me rather than the monetary authorities, is to f*N th e radicals. Last ha\e been worse thmi m the 

, ,‘i ‘.. . I. . , , ..ni^ larun-iiK ihe different rates September an important con- Cultural Revolunon of the late 
; ‘ . o“*y EiJSST r®™™* held to Prtta*. 196W. Tte collap* of.cowro} 

i- ,. L . ? ostensibly to criticise the Gang meant soaring corruption and 

? ’ ; l ■' Vi in.'.L , hmr ‘ s/vurities wholesaling is just of F °ur but in fact to reimpose embezzlement, not in the bank 

v A ^ on? of ^c latest underti^ings control on the banking sector, itself but among its customers. 

rf ‘be centra, bank ibis year. Under the Gang's rule, con- 
these money market malm- Anuilier is direct foreign bor- tnrf ofi he money supply appears £ fxtr^asSt 
nu-nt, were also reduced by the rowing ^r local re lending, to - have completely broken 

central bank starling last Availability oi consortium down, to the pom : where i other a SluSS? 3Ss S 

January. Combined deposit sub- banking faciliues is now being currencies were being issued. 

suture holdings of the 33- consolidated more and more in The report did not give details, ^ had 

member commercial banking the bank instead of being frag- but had this not been so. it JJ* tte Banks 00111x61 *** 

sy-duni dropped by 336.1m mented among various public would hardly have been neces- situation 

pesos or 3.15 per cent to 10.3bn and private sector fund users. W to stress that the People’s yea V 

peaos a* - o' (.-nd-March rhi*? year. Overseas fund sources seem Bank is the only arnnef L SK3 

from 10. “bn. pesos as or end- to like it thi* way. judging issuing organ iin the nation.” fiL ? eSS ti? elL Zel9T5 

Dc.vn.S-r last year. from the way they have been The breakdown of authority 

The same yield reduction fac providing accommod ation to under t he Gang meant anarchy ^ increaS? m ?ewnut 

for last year. Savings also were 


Fixed Asset Financing 
•Working Capital Financing 
Repass of Foreign Funds 
1 Repass of Government 
Financing Programs 
Open Market 
Underwriting of Shares 
ami Debentures 
Certificates of Deposit 
Portfolio Management 
Leasing 

Insurance Management 
Pension Funds 


3AKCO 0RASCAN ^ de INVESTIMENTD SA. 


up. and both increases should 
have boosted investment funds j 
for the coming Long March to, 
modernisation. 

The importance of the i 
People’s Bank as a regulator of | 
the economy has been high- 
lighted twice recently. Once! 
was at the September confer- , 
ence last year, when vice- 1 
premier Li Hsien-nien, fourth 
in the hierarchy and himself aj 
former Minister of finance, 
took pan. 

The second was at the j 
National People's Congress in 
March this year, when the Presi- 
dent of the Bank, Li Pao-hua, 
was ranked in the new list of 
Ministers forming the State 
Council. While the Chinese 
have previously explained 
privately that the bank was ! 
directly under the control of the 
Prime Minister, not the Ministry 
of Finance, this appears to bel 
the first time that its import- J 
anee and. independence has been 
publicly acknowledged. 

Li himself, now aged 73, is a 
former top official from Anhwei 
province who fell in the Cultural 
Revolution. He is the son of 
one of China’s original Com-j 
munists. More important, how- j 
ever, for the Bank, is probably 
his long-established association 
with Vice-Premier Teng Hsiao- 
ping, author of the famous 
remark, “It doesn’t matter, 
whether a cat is black or white , 
as long as it catches mice.” In 
view of that, pragmatism is ; 
likely to be the keynote of the 
operations of both the People’s 
Bank and the Bank of China. 

Coiina MacDougalll 


NYSCs FulS-Sp0Ctrum 



NYK. Japan's largest and most versatile shipping company, integrates every detail 
connected with your shipment. Here is how: 

First, our on-line computer system. We can now coordinate shipping activities all 
over the world. The location and details of each ship and each container are instantly 
displayed on the central computer screen. The latest word in customer service. 

Second, 350 ships and 40,000 containers at your service. The most complete, most 
adaptable shipping service going. Anywhere. 

Third, through its affiliate companies, NYK controls a comprehensive network of 
warehouses, container yards, air agencies, trucking services and port facilities for ex- 
pediting the onloading, offloading and forwarding of container cargo. 

Or maybe you need a specially designed container. From horses to helicoplers, 
wines to wire, NYK’s 90 years' experience culminates in our containerization know-how. 

The NYK container system . Lets you move faster and mote efficiently when your 

markets shift or new trade patterns emerge. 

NYK. You can’t beat 
.. the system. 



■ Hmd OtHca: Tokyo. Japan 

■ London Brandi Office: Beau ton House. 15 SL Botolph Street, London. EC3A 7NR, England Tel: {01) 283-2W9 Telex; 884396-fl 
Ottwr Overseas Offices in Europe: ■ Dttueldorl Tet: 84151 ■ Hamburg Tel: 35 93-1 ■ Paris Tef: 285-1900 ■ Milan Tel: 803346 



Bucklersbuiy House, 11 Vtefbrook, London. EC4N 8HP.Tetephone: 01-236 1066-TeIex: 887012/3. 
Representative Office in Brazil; Av. Rio Branco 115.7° andar Ftio de Janeiro. 

Tel: 263-7937 2637997; 232-2740, Telex: 2122825. 


j- 



;tl 



Its strategic location and modern 
communications facilities are also 
among the major, factors that make 
the Philippines a logical choice as a 
Southeast Asian base for operations. 

But what you’d really need are some 
hard facts and figures about this new 
offshore banking center before moving 
in yourself'. 

Bank will be glad to 


A fids i/oi multi-national firms— 
^ank^industrial giants, 
'financing and investment outfits 
have set up shop in Manila, 
Philippines. Making it a fast 
emerging Southeast Asian 
financial hub. 


. Jbey^began taking a serious second 
■ipqkMncI they : ve been moving in, for a 
number of good reasons' 

‘ ‘ . • • 

■ ; Fg}f,in stance . the Philippines today 
>qn^0ys; one of the highest credit ratings 
iryhe»Mird World. This favorable . 
dntennai[onal credit standing has been 
greatly/ aided by a series. of financial;', 
preforms which have created ‘/one of the 
most •active, sophisticated-secondary. • 
^pney-markets in all of Asia:/V- ; . v ; yc. 

The 'Philippines ranks as the r r v k 
.•educational center in Southeast Asia,:. / 


The Central 
advise you. 

The Central 
Philippines.; 


Bank of the 




•v, ' 

4 J 


t* V 




'••V- -V 




'■t '* 




. .r • ' . 






















p^vr,._ 


> '■ « r ; >- V; . 

5 v^k; =?>' 








:-^ r ;-p 


■Nsa 


' l*5&v 



71- 

•*.>■»■ 


•%o,sr 

^ -'irtv* 

. j^:r^ 


.“ -■ 
•T 

>?• ,:s f 


| . | A 

i."T •< 




* V 


^ f 


,■>■*•>£* p--’. 
-acsagaaa» 






Financial Times Tuesday May 30 1978 




s answer 




- BY DAVID LASCELi.ES in Atlantic City 

fcMMtoeTu woman change a S 100 hill into Las Vegas company. Its 1977 problems of- uthan decay wtoxfo fact- almost bait the croupiers 

£L?i2r Quarters to give. her 400 pulls revenues of $60m come almost- had-driven auaythe more pros- are women. 

in Atlantic Oiitv Si»S2S ‘ “i-"*" 1 "f 0 *? 1 ?'.. enurely from casinos in the perous population and left it to However the onenine itself Gan,wjn S a t tt e ne w Resorts international casino in Atlantic City, New Jersey. The Stuffs 

resortirTN^i^iv^ " 1 Parents with children below Bahamas,, the closest gambling the less fortunate. By the 1970s was -1*0^ dela ,f ed b e v wi legisUtfon of gambling has ended the monopoly held for so long by Las Vegas and the 

on an in eu jersey. admission age too* turns to resort for most U.S. east more ifcan half the inhabitants m Tf ute wranfiUn- over the ore ‘ State of Nevada. 

At exactly 30 o’clock last look after their offspring out- coasters.. were either black or Hispanic. • C i se terms of Resorts’ licence ' 

Friday State governor By me side so they, both could have a Resorts, which dearto wanted The Slate carried out a refer- ' licence. threw its doors open to -the every gambling table from though in the latter's case a 



■*fe 


_ - , - ■ - — - — vuuuiy.i. iriic-«uui wiiuiij WWU 1 Lane- •» m J»cn »u*n, lui cAaiuyic, „ _« - . , ~ Wall Street. ■ For a riav Ihf Plf.-r 

first favour or ft dasserwee. and other bag intend centres was • Meanwhile, Resorts had ran- anything from 5 cents to a 100 miles to the north, start un j®^ J* e authorities are actively de d • stuck v.—. 

had Unsuccessful attempts to losing out to more glamorous barked ou a programme costing silver dollar (a rarely seen,' casinos of its own? or . 1S “ c ’ ean -” Caesar's World Tnc r,r t.i* 

legalise gambling— which falls , • As far as New Jersey is con- f" “i d ‘ ti0 .1- ?' -it" Angeles, which " «r,« 


resort in New Iprpv . ~ uie kegs wuuuaic. ay me imvs was almost delayed bv last- , *ai»nvpoiy neiu xer so umg oy juas \egas anu u*o 

on an in eu jersey. admission age took turns to resort for most US. east more than half the inhabitants m Tf ute wraneUn- over the ora ‘ State of Nevada. 

At exactly 30 o’clock last look after their offspring out- coasters.. were either black or Hispanic. • C ise terms cf Resorts’ licence ' ' ■ 

Friday State governor Byrne side so they , both could have a Resom. which deaxW wanted The State carried out a refer- ~T 1 boris ucence - threw sts doors open to -the every gambling table from though in the latter's case a 

snipped a ribbon and declared flutter. Two pickpockets were to break nrem *h P irs ‘market endum-nn casino eamMim? at Tbfr - State authorities were public on a gala day that .was several angles, and' most slot State Assemblyman said it 

open 60.000 sq.ft of pi ushdy arrested, and. several people had made a bold move' since it the end of 1976 which showed anxiou ? t0 P reserve Atlantic marred only by drizzle and a machines as well. Security men would be at least IS months 

decorated casino crammed with benefited from the fact that was still not dear whether New a majority of voters in favour Clty s ^f 1 ® 6 of * fanH,y resort, group of ethnic minorities, in both uniform and plain before anyone .could sv.y 

gaming tables, roulette wheels croupiers had been trained in jSseywwW SfSl *£££ desSte^re tforiS about insisted that minimum members of whom claimed that clothes patrol the floor, and the whether gambling, would roach 

and slat machines. And as the resuscitation. iS^Xtion Moreov^Se Set ^mVbsfem £ et * *“ ?? 35 - ow f Possible, they had been discriminated entrances are carefully watched the Big Apple. 

doors, crushing security men in remember. But; since- this is building with little -vo recom- exaefly i year ago,- lie State tebiggsmblerand wSed is Nw Jm“ "Ely to To in 0ne , of the more than mZAJI 

ptrfv'fcSrf ® an ^ ,a S nM»°- only the beginning; many mend ft. And Aitfantic City, once Assembly approved a casino permission for high stakes. The allowing gambling to spread. peop^ employed at the there V was a rush fnr 

^ i0a ^J? y ^ ^e wonder whether New. the lure for mOlitMB from New gambling BaH — by a sroaU resu lt was a compromise with and will other states follow? c *\ mo has becn investigated, ^blin- conroanv shar^ - 
J Sta ^ e c , oE Nevada, Jersey has. done the nation a York. PWladelphia. Baltimore majority. r one-smh ba-ndits which take Will New York, for example, “f ™ croupaer gets a licence ^SteeeL For a dav life nu-r 

* t>r * V£T - -Ppriiie firsx favour or a dasserwee. and other bag intend centres was ■Meanwhile, Resorts had ran- anything from 5 cents to a 100 miles to the north, start unbs ^ J* e authonties are active!v , .traHed ' stuck v - 

i G i- anotbM State had Unsuccessful attempts to losing out to more glamorous barked on a programme costing silver dollar (a rarely seen,' casinos of its own? or sbe 1S “ dean.” r aesar ' S World Inc « r Lo- 

legalised gambidog. legaUse gambling — which falls As far as New Jersey is con- In addition, the new law which on -a- -s 

Jingling thwr quarters and ■ un, | er State rather than Federal — ■■ -— . . • ■ : ■■ ? cemed. the undoubted success P^PO^are tbe Gambling Com- c aesar » s ’ p a i ac e one nr •*fi« 

silver dollars, the small time legislature— have been made m , - r- t ... t ‘ j j. 01 Resorts’ Investment— which mission to control not just the largest cams 'in I-ic 

gamblers - mostly feLle - «■*« »* Nevada’s 66 There WQTC StOUOS Ol TOUlettC plaVerS dOWll tO « expected to gross SlOOm. this ™ but also all the a T readv £s nn inters 

raced for the one ann bandits. mon °P ol y f°. r years.- But New • . ■ year— is bound to be followed businesses which provide it in a ^ in At Tantic Cirv. 

Ot-liers. ipaiting thick wads of ^ e r> e y> which lies - on the fTlPir lciQt dfllljlT ^lawinff tllP'ir WJ1V hflrV intfl up ' At ^ east two u 10 , 1 ^ casinos with goods and services, to Resorts, meanwhile v.-ill 

notes, settted into well un- Atlantic seaboard between New lUCIT.Iabl.uUUar LJaWlllg LIlCU Way UllO are due to open in Atlantic City prevent pressure being exerted enjoy a temporarj- mnnnnnV un 

bolstered chains at ttie roulette Yo, J 506 Philadelphia, has ^ j j ,, , , within a year, and more will from outside. the east coast which will be 

.□a card , a bi a3 . wheels spun, ®^ ed , h har f est , , a t m,lng the thousand s,and others who weren t so lucky? 9 . .. TT n j« c : P QW 0 c dwir «mw«d w u, \> .... 

cards ft] eked, dice roiled, as over ot her things, it sees itself as a " • - -p 11 * *“e ststc being UnG0Sir2DlCS Resorts claims that its gaming 

two years of work, and teas of ™ sort are a (it calls -itself the — ■■ -r- — ; 1 ' ■■ ■ " ! l r ■■ ■ "" y e Utlf>U «' JJ- W *i And to discouraae undesir- haU ls bigger than any in 

* anvestmem Inlffftto Jersey State con- th ? u S h . f wideI y arable large Atlantic^ City/and it ^has ^awTysl^n^deSTe V^wstom by deSn- the 

sUtution was amended to allow P“t witibn people's reach. Tbe casino m the bowels of tbe -coin with an aliure reminiscent appointed a tough five -man tne law jaysdown detail the casino without wjndnws (l ^ 

rarnfroo gambling to take place, but city was beginMog to Mok run' Ctatfonte-Haddon Hall ( which of stagecoach days). Roulette gambling control commission Bn ? 0E balding m which a eJocks t0 | |lH 

this was not followed up with d °wn„ and tbe famous Board it had meanwhile renamed the tables also take 50 cent mini- backed by stiff laws to keep casino must be housed: it must s0nse of t i rae | essni?ss Anvon<* 

There were big winners— the necessary detailed legisla- Walk - or Pranked promenade, Resorts Hotel) and refurbish mum bets on numbers. less on out organised crime, which it be a hotel with at least 500 p i ayin „ at fhe taTl]r . s " is 

and losers, too — over the week- tion. bad clearly seen better days the rest of the building to “the outside" (red, black, even, admits is a real danger. bedrooms, providing the fuil entitled to free drinks 

end. But since it was the first In 1976, Resorts.Interaational. with its bras, b but tatty enter- accommodate guests and provide uneven, etc.) Although the U.S. Press has ra og e services. In other B[lt otherwise, the st-le is 

time most of them had been a U.S. company with gambling lainment balls and abandoned all the necessary facilities like Bigger stakes are reserved carried reports about the New words casino operators must be different. Hardened gamble 
able to gamble legally within interests, took the plunge and h «ete. bars, restaurants and — most tables . J^l h T!lt a l> J everal wns over tbe weekend said it had 

an hour's drive of home, few bought the Chalfonte-Haddon But Atlantic City’s very plight important - security. "S!ht5^SS for blackiack^nd the piettire °Uiere ^becomes ^ th ^ none nf the brash ness nr vi am: r 

people seemed to care. There Hall Hotel in Atlantic City, worked to Resorts’ advantage. Resorts also trained hundreds S TbL iS emSs dearer they miX find U™rd of Wp*; instead the dnrnr and 

were stories of roulette players New Jersey's major resort The New Jersey Assembly was of croupiers and dealers from saidthat Resort^ ^uld^JSt to move in ‘anyway. be watSlifi pro^IS in SSSSed^Bu? 0 12 

down to then* last dollar who perched on a long narrow sand deeply concerned about unem- scratch, being careful to produce match Las Vegas in stakes. Resorts’ gambling hall has AtlanuJ QtyVefSSy BwJS ended ^n bv narinc tfl uln 

clawed their way back up into dune connected to the coast by ploymer* there (which was the a well balanced mix of race and there is still scope for the dozens or silver domes fitted to include other raort timed Ci^ ?he hiehe«t SmSlim^i ? 

the thousands, and others who a ttiree-mile causeway. highest in the State - 20 per sex to satisfy current equality of bigger gambler. the ceiling containing hidden states Kke Florida w big busi- 

were not so lucky. I saw a Surprisingly Resorts was not a cent out of season), and the opportunity requirements. In Finally on Friday. Resorts TV cameras which monitor ness- centres like New York, ?Jmpa?gnof “t s USJ tu p Ml 1 ‘ 


... V mi no n « cj .it* ^uii- • Hnupfpk fi'n f*M Mn.iM r i>e 

— — ~ 1 — cemed. the undoubted success eD }Powers the Gambling Com- c aesar » s ’ p a i ace on e nr -fi« 

, y rpi , . i ... j • , of Resorts' investment— which mission to control not just the carinos 'in " I v« \ 

66There were stones of roulette players down to * t» gro SS sioom. th is ™ ^ an ^ Ca |^. s a T re n ad ; in ; 

■ J . year — is bound to be followed businesses which provide ^ in a site in Atlanric Cifv 

their last , dollar clawing their way back into are due to open in Atlantic City prevent pressure being exerted enj^^t^mporare'nuinnnnlt' .ijj 

.i . | ' < j ,, , i ? r \ t , hij1 a year * and more wi,! fr ° m 0utSide ' the east coast which will be 

the thousands, and others who weren t so lucky?? «&■ the state i% bfin . Undesirables a*SK*3,S 

— - : : . . — S; y c “ fl " e n,, i; m hHn g w « isj? S!fr e , r , ,i n . 


Letters to the Editor 


A cnnntc want, employment because their by nature developmental and assurance would be considerably 

/\3pvLl^ Ul forebears were persuaded of the joint problem-solving. smaller, possibly in the region 

_ _ . moral value and necessity of In this way, people are given of 10 per cent of current figures. 

rfPVnlHtinn employment when this was vital a realistic and controlled Savings of any son should be 

'wiuuuii for the efficient operation of measure of involvement without encouraged both from the per- 

From Mr T Dal yell MP Viclorian industry. management having a revolution sonal and national point of view. 

Sir.— In his perceptive article As soon as people feel free to °n their hands. Properly oiga- The life assurance salesman 
••Scottish National Pam- on a say that what they want are ™sed. . this will preserve the makes an important conmbu- 

Flinperv slope " (May 24) Ray goods, services and leisure, authority structure of both the bon to the welfare of the nation 

rermun 4 «£» Mrs. Marfi »£. nthn S ? n_ .It.nd.nce ,t « pb.ee •««! “K ( *??. m ”*”?>■ 


tv>i . n „ mn , themselves to the pursuit of the “f P |aoni “S 1°. do by allowing policy should be as long as pos- 

< inn real benefits that industry can his views to -be heard in a con- sible up to anticipated retirement 

1 «"n ?•£$„ ^I r „ r n« dCl r« H .K provide, with less hypocrisy all structive way trough irdproved age. This is the ideal age for 
S| ' *Jd their working lives in the r0 und. Two problems will then two-way flow of communication, maturity, since it is the one time 
world nv money and finance. Sup- j, ave { 0 be solved. lor the information and understanding, a person can be reasonably sure . 

uithcfSnln n ,a i° r ity of people: how to This procew takes time— for' of a loss of income^ and tbe 
llic ac'cranlj at the Hi^b SihooJ divorce the payment of wases which the White Paper allows, maturing policy will be there to 
in Edinburgh. Dunne the pro- attendance nt work and y* due course. “ bellies " will fill replace the loss. In the mean- 
ccsses of selection as a i candidate. to-do with desired but un- democratically with a corre- time, after the first two or three 


GENERAL 

North Atlantic Treaty Organi- 
sation (NATO) two-day summit 
opens in New York. 

EEC Energy Ministers meet, 
Brussels. 

EEC Environment Ministers 
meet. Brussels. 

King Khaled of Saudi Arabia 
continues visit to France. 

Mr. Michael Foot, leader of 
the Bouse of Commons, addresses 
Hamilton by-election eve of poll 
meeting, Lark-hall Miners’ Wel- 
fare Haft, 7.30 pm. 

United Nations special session 
on disarmament continues. New 
York. " 

Chinese agricultural mechanisa- 
tion mhfiton continues UK tour. 

London Chamber of Commerce 


Today’s Events 


trade mission to Spain begins (un- 
til June S). 

National Association of Head 
Teachers* conference continues, 
Brighton. 

COMPANY RESULT 
Northern Foods (half-year). 
COMPANY MEETINGS 
See Week's Financial Diary on 
Page 43. 

OPERA 

Royal Opera production of 
Madame Butterfly, Covent Gar- 
den, W.C.2. 7.30 pm. 

Glyndebourne Festival Opera 
performs Die' Zauberflote, Lewes, 
Easr Sussex, 5 JO pm. 


MUSIC 

Verona Ensemble, conductor 
Brian Brockless, St. Bartholomew 
the Great, West Smithfield. E.C.L 
7.30 pm. 

Marianne Boettcher (violin) and 
Philip MoU ( piano) perform works 
by Dvorak, Brahms, Ravel, Bartok 
and Falla, Wigmore Hall. W.l, 
7.30 pm. 

Royal philharmonic Orchestra 
and London Symphony Chorus, 
conductor Sir Charles Groves, 
soloist Heather Harper (soprano), 
in programme of Berkeley (world 
premier of Symphony No. 4): 
Britten (Les Illuminations); a nd 
Holst (The Planets), Royal Festi- 


val Hall, SR.], s pro. 
EXHIBITIONS 

Airmails from famous fli-.-his. 
Gibbons Gallery, 339. Strand, 
W.C2 (until May 31 ». 

The 62 Group (textile artists) 
summer exhibition. Common- 
wealth Institute, Hich Street, 
Kensington, WB ( until June 1S>. 

Anglo-Jewish silver. Victoria 
and Albert Museum, South Ken- 
sington, S.W.7 (until July 9». 

Royal Academy summer exhibi- 
tion, Burlington House, Picca- 
dilly. W.l (until August 13>. 

Josiah Wedgwood exhibition. 
Science Museum, South Kensing- 
ton. S.W.7 (until September 24). 
SPORT 

Tennis: Surbiton tournament 
(1.30 pm). 


and election to what will cer- n ccnstomed tenure. These prob- spending increase in ability and years, the loan value of tbe 
tainlv he called The Scottish Par- j cms are great hut not experience, both of which are policy is available, if necessary, 
ii.iniont. you wjii nave made a impossible tn solve and 1 would essential equipment in the board- for such things as early retire- 


bust of promises — to modernise ra ^ r see our generals moke room, 

schools, build more homes, up- ( 0 5n ] V ine them than to r. c. Coke Wallis, 

dale hospitals, provide more l | 0vi '; nQ s tr S io=les for fighting _ . „ “*• 

home-helps, etc. fhe battles of a bygone age. {?*!* 

Within weeks of election it will ^ Wittenberg c.gnam, Surrey. 

become painfully obvious to you. 0 ^. ^ \y 3 

not only if you are SNP but if - 31 ’ ine la,c ' ' lcrOT ' ' ' 

you are Labour. Cnnsenative or T^aniAnef 


ment, children's weddings or 
children’s house purchase 
deposits. 

It is quite possible with cer- 
tain companies, that the length 
of the term makes the difference 
from when the client can sur- 


Lthcral, that, dependent on a 

Consultation m technology 

your prom iso. ’ V. . . the reasons why they are a poor 

What then do you do? Wring L.vIUJJwUlv.3 From the Managing Director, short-term investment Experi- 

your hands and say that you can . SumePlatt Fluidfire. ence dictates that one be ex- 

do nothing? That will hardly From the wrecror Sir.-One is very encouraged treniely suspicious of a ctient’s 

satisfy your supporters. SfJI? to see the Government’s massive recollections of an interview 

\o whatever Political colour Nations umstrni. suppon reported on May 25 for seventeen months after the event. 

you are. you would demand more Th * PE Cohsulti ng G "™P technological development that e5? rt it w IL I l UT 55 si "l n ^?ii v Hj: 

powers m genera) and in par- i»r. — In my experitnre. tne will surcessfully exploit coal by Short wastes nls sympathy on 

t'cular mere monev from a par- majority of captains of industry conversion to gas. oil and eiec- !onie,me ' however young, who 
s*ni<iniou> English' Treasury to actively wish to encourage the trie energy. C u nf ! s ! es , t0 n f nin 3 do ^ en ^ 

implement \mir campaign extension of consultation and Justified as I am sure these ?(* e d,d not read and understand 
nk-dees. You "would hardly be communication in their com- projects are we trust that tbe s *mply to get nd of Lhe salesman, 
thonpht to be worth your salt if panics. This desire is directed Department of Energy is going "■ Parvtj L 
vmi did nnt. at both blue- and while-collar f 0 gj ve pq Ua j support- to develop- Tudor House. 

In I ruth, is there any way in employees, whether they are j D g similar efficient conversion KorthfieUl Ace.. WS. 

which you, as an assemblyman, members of a trade union or not., techniques in industry. 

could I »v satisfied short of full But you cannot build democracy Promising though the pres- 

fin:un-i:il control and the disap- (industrial or otherwise) on sucked fluidised bed combustion -r* v 

pea ranee nf all those elements - empty bellies. projecr is. nobody will disagree KlirGSlilY Qfi 

which distinguish "devolution n At the same time, most' work- tiiat It will be five or 30 years uv 

fr<.*m the creation of a separate pe ‘ 0 pi e d0 no t wish to make thoae before.it will be producing elec- _ 

Scottish state? decisions for which their man a- tricity for industry. Atmospheric COaOSc 

1< it po^sihle to have a sud- s are rggponsible and for fluidised bed combusters that 
(irdm.-itc Parliament in part — t hey are supposedly paid, show very efficient conversion Front the Marketing Manager. 

though only part—of a unitap.’ p eop | e at WO rk, however, do feel, (typically S2-88 per cent, depend- Oiequepofrtt Seroices 

state and expect it to remain willing and are a bi e to influence ing on size) are being developed Sir-— The letter by Sir Geoffrey 


m HUIU WUH1 uuc UJC1M KOU aur- 

. Demonstrating 
Consultation m technology 

pnmnonipc C . the reasons why they are a poor 

LUIUjiMUItJ From the Managing Director, short-term investment. Expert- 


There’s only one way to take Glenfiddichl 

t 

Seriously. 

You can take it straight 
Or with a little plain water 
But do remember that you’re 
tasting uo ordinary Scotch. 

Glenliddich is a pure, single malt. 

Distilled in the ancient way, in 
traditional handbeaten copper stills. 

The result is, perhaps the finest 
whisky the Highlands have to offer. 

Tike it slowly. Take it seriously. 

'Glenfiddich’ in Gaelic means 
Inlley of the Deetf 


o;i:ipwn pnini' Z job content, layout, nietnoos, mausir)’ mar generally has de chanee. 

a'MunMy is established in tnc working pracuceSi ncw equip- very poor energy conversion . xtr 

lh -h School Is this not inevitably and so \ o0- equipment much of which (s contrast Mr Rost s letter of 

the end of 1 he British slate. , „ ^ d antique needs the cncouraae- purports to reply to our 

Turn IMurll. forbid, com- me ™ 10 i"v«t in modern equip- challenge that be produce 

House of Commons. SW1. tk ,\ p i te T^I; c n hv ontuie^titis ^ent The only Vay an Sdufr evidence ttat some bureaux de 

— - — polled to do so by statute— uiis . o 0 i no ' tn ui noraiadori change charge 20 per cent. His 

can and does lead to disaffection ^wn^ to be persuaded rep jy lB . no way provides 

C* An fscrlltinOr nnd dctorioralion 0. relation- sbowittE e fc ltn simUa- equiome^ evidence to support, his original 

MOD II 2 HUng ships. Either cooperation with 8 ***'"* .S?**?,®? assertion. Instead he merely 

V , employee involvement is with- sUua ' instances at great length par- 

rfclH hiltflPS drawn, usually in pursuance of pj nlease can we have 1icuJar iB which Cheaue- 

OIQ DflllJlft some ™ ain bv minority sectional ci^nls towards the cost of "P 0 * nt charges a 5 per 

f'r.-ini u.r .)/.m.i.;:«!7 Dirvelnr Interest*; or else, middle man- d „ m o n ^L t ;„ n n |am s renL conlEnission rate - Readers 

Fl ZL-u rnrnuT*. ats-ment and supervision fed t ”hnSloe^ are riSble wil1 no doubl be reassured to 

Su — rrofv»or Chri.-iophcr threatened or alienated, resuftin^, industrv i?, a leara ^ a retail business opera- 

Krl-rVisan'* article Creatins in confusion or. worse still. bed ,ina on 1bat 50 ^ 2 f mar 5''n- if 

n,..n jobs ihun ..the micro- sabotage of joint problem-soinng tepl ^ 0 j^. d Those companies^in somewhat surprised to hear a 

P-ueevor destroys. May M) initiatives. this fiekl ^ TargS" have hi? “ Conservative MP adopt so cen- 

much inore vonrereed lt .„ QOt at aU blI n P )e to avoid ]o * k _ ** the fi U .S ag enci« for so ^ DU£ 3 *?*** llttle - 

well the cm merit ‘ronn. t jj CSC and other negative factors support of the development. By way of general information, 
iikelv to ho uwiriated « tn tne (lo w l,icli John Elliot refers In. u ^ a measure of their stature -however. Mr. Rost should know 

jpnliration of Biicroprpcessors hi( . lucid aft | ele 0 f slay 22i. In ^ ^ technology that some that tbe clearing banks them- 

:h.in with thetr poteiinai inr (irtler however, to spread light support has been forthcoming wives offer considerable yaria- 

, -real ing belter products ano rj ^ cr lhan (here are at The UJ\. Department of tions of rates. In particular Mr. 

:rrvirrc. 11 ' , * ,ab ‘’5 n f V^,2*' Q ^2^t )c*a5t four important ingredients Energy, however, should support the Februan - rates 

for the umpteenth tunc what fnp t hc successful development British industry first on reason- Midland Bank. Mr. Rost 

industry is for- Is it for , ruduc- n f pinployce involvement. ably comparable terms. should know, for example, that 


industry inr. is “ J“ r ' h rr ‘ r of employee involvement. ably comparable 

• nr more. s. f of . Npw consultative structures Michael J. Virr. 


should know, for example, that 

i^'Und i-nT^-cV U i. for New J- Virr. 'SmETSS 4*^ 

•.Tovi linc einplovmcrt . lj for *hu«ld ^e clwirl ^.nS business ^'adimgtrm Street. Naherton, Argentinian pesos 850 to the 

the lajirr. ndr efforts at tnndprnt- and ouliiide the form ji • Dudley, West Midlands. public, on the same day that its 

-ii inn .■lutainalion and raising orconisation— whicn is 1 _ • ■ - - own subsidiary Thomas Cook was 

:.V-..Wtivity' are tn.ipprepnaTe, make decisions. . quoting pesos I.3QQ. A difference 

• i In- other hand, w want morns must no\ ri A * .0 f over 40 per cent, between 

i,,» proved 6»mta and wnrinu. «r ttrtdermine the formal mdu^ • rtf -them ! Hpw did -this escape Mr.- 

m«it ;rayn,f rom jaa«ii; j j*« » «jSg” g!- ^SrtiS Kfe . drat Mr' l5bL°(£r“SlrTSi 

^ J5a,*fcJPaSi c“ TO ‘ m ' 5.S& J Tf 

'•If ?, P ? «.ld SS SU..-EHC Short . Uu> 30) 

miiplnrmtnt O’jwirtunitip •leciSmafe" for discussion and If people were left to them- to either htmself or his business, 
•heir voters ho Hevine ! rh«| MhJs * ec,t t ^ lrn£im m3feinE it clear selves without the help of a M. A. Jordea. 

TOtcra want' Vr a^east s ay they that these new institutions are salesman, the sales of life 47, Old Bnmptm Road, SW7. 







COMPANY NEWS 


Assoc. Sprayers gift 
instead of cash 


Greater demand for EDITH services again passing its interim dividend qqjidq MEETINGS 

'■«- despite a £30,000 increase m first- BUAKU Wtt ■ w 

iN INCREASE in its directors' would be in line with his state- February It published its first US ins the winter owing to the JS* SSJj are™oS>e rairta’iMte The foUowJns 

Rvcstmem powers is proposed by ment in the annual report that mail order catalogue and dirtri- extremely Jow prices realised for snaret^ders ■« Baa ^ a ^Sga 

fetate Da tics Investment Trust in the continuing businesses and buled 350.000 copies. Capita home grown vegetables and P 1 ^ JS LwiSf also ^receive a 5f SSo^^sl^ring divj- 

_ i » . r .... I ...J oil... inracrmaMi- « ha nnmnuhnnntii fnr ihlr vnr total DntatAK AltllfitlPtl ChA VOllItTlG Oi &Qi±rcD01QerS CLC . . .. . 1. L_ J -..loo. am nnl an - 


AN INCREASE in its directors' would be in line with his state- February It published its first ut> ins tne wimer owmg » sharobokiers are to be sent a one ^ *e a*k 

investment powers is proposed by ment in the annual report that mail order catalogue and dirtri- extremely Jow prices realised for sharei^ders ^ U a ^Ss aiTmMiii! 

Estate Dmics Investment Trust in the continuing businesses and buted 350.000 copies. Capita home grown vegetables and consma a 5f SSo^tf^idcrtns divj-, 

the lieht of the greatly increa>ed other investments -should be commitment* for this year total potatoes. Although the volume of ^reboid^ some ofthe ml otfld»liaSSati«HB an? miMjit, 

number of enquiries received this transferred to a new company." £0.7lm (0.1 7m). rales increased the turnover was J»«t ttmntittB some ^ ^ 

year from "ml, Med companies Thc fu „ ^ MnDOt be The company bought into 110 VZ*&gS£± SSiAE 1 "SE £ ' 

■*"* ™cmbcr."* arc looking for Jeered yet. “Until we know stores in the U.S in July 1976. SSfSmS ^SiSTEr because •' ST« 2*.^ 

sumh or Om. or more. H approved how much the compensation is and 70 per cent of its merchan- ™ gPW “ inATrirnTrornMned today 

the mi.<t would be free to acquire |0 b e. we Mtft ti e U p the disc Is now branded Mothercare. Profi ably. SStf^a^SKtivelv low cashflow Interim*-- Northern twdfc ToUemnche 

.1 holdinc m a company, worth up details," Sir John said. Wr Zi ,kha savs that the early 11 1* t0 ° ear ^ to 0351110 a reiI ‘ V th ? relatively lOW casn Cobhold Breweries. . _ . 

to in per cent, or the trust’, port- a ’ .. t<| pnmmt , nt th „ “J fn the U R l ote of able forecast of the results for they feel it would be unwise to ^ ***«, Aiued m. 

frtiin at [hat lime He declined to comment on the years in the Lho. are ope6 ot -ujL ^ chairman, but declare a dividend. Warnford investments. 

■f,*. 6 -wm. lb. airman suRcesiion ^tiat ^the _paxen t com- trial an _d error. The group s gen- ^ corntTinetPeffect of the loss on Dividends totalling 14Tp '.net future dates 


Lord Scebohm. ihe ehaimwn, be puf into fiquidation era! sirate^Is concerned with affitatt f^nter* an d the «SSh Te£W paid to 1M£riin ^ FUTURE 

explain- ,hai it remains the [three- as a means of returning ihe sur- laying a solid foundation for the SSSu^tion m2?wUI orobaSy 1973-74T \Jhek profits totalled s/jcSTd'H Per Minina June 5 

tors’ policy 10 restrict individual plus cash t0 shareholders. This future. The computer programmes 223?^5^S W nJ!:JK «S iiSnrn ILVu. 7 tcnnmoorai — J™ 3 

in-.i'-tmeuis in normal 


p us casn iu anaremnuers. inis iuiure. me cumpuici fitvK'fuuuira ~ n.,. n >^r the cisraimn 

ein-um- {ncThod could ensure that the d is- reproduced in the U.S. from the H r?^hV *S- 


Smart w-i 
February 28 . FtoJb T 


Anderam’s Bnbbtr - J“* * 

BIUoo iPercyi - 

Barnett and BaUamsUire Jane 23 

Calten-S Sioma. - * 


doc*! no; caier for the occasional Q • 

Inroe applirmion of csceptionallj .^11X11% 
hi=h quality. 

In November the company „ — 

i--ueri on.Ofl.v new shares in part |T1§ f— 
eon- iiler.it mn for a 3S.S per ccni. 
equity -fake in A. P. Burt and n -r t 
S on*: anil elc.irjuee has been I I 

oh i innl from Ihe Inland Revenue JLvFJl V»/ 
fur rollover relief io ihe vendors mup, r\tE 
m re-pei-t nT e;. pi la I coins tax on s , renElh ' aUJ 
ihe exchange of shares. f^irkci 


Signs of 
more growth 
for UniChem 


the U.S. market are not under- brighter prospects from 1978-79 tax of £53,000 (£37.000). For all Finlay — “ May 31 

' .1. J . (V7I* rrr c. £190 000 Simile! IB-.I .d 


estimated. 

In Europe last year four new 
stores were opened and the Bel- 
gian mall order operation com- 
menced. In the UK five stores 
were opened and two more re- 
siled. 


onwards. 


Grampian 
a little 
uncertain 


1976-77 profit was £139,000. *“2j e L B - J ■— J““ * 

Directors say trading in the waxtrtt* piiduSs - - J««e Jl 

period was far from easy ana wtieway waison - — ■I“ DC 


period was far from easy ana 
sales volume was reduced. 

But the pruning of its product 
range combined with . severe 
operating economies provided an 
improved profit level. 


nbtiiini’d from Ihe Inland Revenue JLvrJL UIA^UVAli For the year profit was £IS.SSm. CL JJ.m.V' In the past monU 

for rollover relief 10 ihe vendors THE RAXE of Browt h and After additional depreciaUon of . . has sold its sabsidu 

>n re-poet nf e.-ipiial cams tax on strenglh attained by UmCSiem, f 9 G i > . n l^ a costof sales adjustment impp|*fQlY1 when the diveistmen 

the oxehance nr shares. Jhe yKs largest independent °f IlJWin. and a gearing adjust- UlivCl ldlll £150.000 is expected 

Two -innlar share- Tor-share pharmaceutical wholesaler, over JT eot pro * xvrm OPERATING costs set to t0 working capitaL 

-:sue- are current (v al an rhe last live years can only be ** »* 5ho »° at fl201rn - cSent 

r-dv.'ox-eil s i .me of nncotia lion and main lamed if it continues to Meeting. 100, Old Broad Street, th _ . • . 

M-vewl nmro arc under eonsidera- receive support from members EC, June 22 at 11 am. ? D nnAir 

top and >* able to convert a reason- ?/ FEPJ? ivllllClL 

“The new provision is an able number of non-members. The “ r^imi>lIn n Tele^ 

smnortam come-sion for share- signs are clearly there that both Ciwi/vno ,!L coainnao °f Grampian Teus- l ■ • 

hr»Mer- in unlixled companies will happen during the current ITIC I llS vlskm. says he would not like to C|1 |T\T1]T1 

u I.y.1 m remain independent 1 rodme year. Mr. Peter Dodd, the forecast, so early in the year that 3Ul]fpAU 

a- f.»r Ihe (i rt-t Hmr. rollover managing director, told the to e, 1977-78 level of proOtabilny TOE gfnPPING si 

relief ran be obtained wilhmir annual meeting. S>l 11 Bli TiS IO will be maintained. Run dm an and Co. 

vlhnc wniroi of the -company." ,.\ B already known sales in 1977 Jt^ As reported on April 28, on ward off the effects 

lh*» i.-h.iirman wive. were ahead 33 per cent to t* £ turnover of £3.33m. (JE2.74m.) pre- sion which is now 

"MV have mil relaxed our £72Jim and taxable profit leapt T,^ T f 1 1 tax Profit rose from £394.778 to parts of the world a 

M-md.inls and do not intend io ss.» per cent to a record £3^9m. VF a 0{ £372.183 for the year to of the cargo markel 


Wtieway Waison - 

Whittles (B. S. and Wj — . 


Since Marc* the group has 


im £ r ibe past month the company made an - "SonSSf a strengthen 6 

“at-ssa 10 M,e ^ sr sss. 


jf a srotrth m ii' t «d»Sun8 revalue RnnClLDflll WRI T1S fif 

is tailing off, Mr. Ian M. Tennant, JLV tt v 

the chairman of Grampian Tele- ■- • « a 

vision, says he would not like to ChlTYfTITlO' I OVs 
forecast, so early in the year, that LfLfJLU.& IvFmiJ 

the 1977-78 level of profitability ^ cmppnvin side of M'alter that tfce figure in lie accounts of 
will be maintained. Rirndman and Co. can no longer £34J22m (£225701) is matemUy 

As reported on April 28, on ward off the effects of the races- higher than AtM lat whkfcrthe 
turnover of £3.33m. (£2. 74m.) pre- sion which is now affecting all flee* couidbe bow to-day. Even 
tax profit rose from £304.778 to parts of the world and all sections so the directors have no intend cmi 
a peak of £372.183 for the year to of the cargo market Unless there of disposing rfwy fcirtter *®ssels 


.<i nu.inis ?nn no nm inicna to .-is.g per cent to a recora xj— am. 7— — — a peas 01 lor uie year 10 01 uie cargo uhuwl — — .IT . rr - 1 , 7 ' "v , 

:i<i. tor Board representation The basic rebale for members is ac [ ABDICATED in the chairman's February 28, 1978, struck after an is a much more rapid and susr at these escepaotwKy aepressea 
when invc*t." . held at « per cent but the total sta temem last year, p “tax pro- Exchequer levy of £53.000 (nil), tained recoven; thm there 1 is yet ?™«<mce fte of 


Nd revenue befnre tux for the u.oon. interest paid is geared After (ax of £35.920 (£65591) which has b^n greatly eroded by activities which, by a whisker, man comments, 
’.-■r in March 31. 1U7S. was up at ro the highest level of Bank rate and including a £26.180 deficit inflation The company believes were 11,0 major conteibutor to tne re Dorted i 


year in March 31. 1U7S. was up at ro ihe highest level of B _ 

4-i-nm .C.sm) and the nrt effective during any year. (half of which was due to the that the threshold “should be record group *«*«»• pnjnt ^ 1^7 wra up from £2.49m. to Blackstone subsidiaries which projects" 

te.jdend KefformrJ rajwdt a s !? strengthening or the pound) from linked to the Cost of Living Index “"yjj®* 1 ' “^Sg^^nle *2-39«°- 00 turnover of 08.65m. manufacture diesel engines and {he Middle East andounSS 

reported on April 2fi. the Spanish associate company, a i n the same way as the rental trom . l,iit vTS" insur- (£38.6Sm.) and the net dividend diesel generating sets. ctoud ^ lookiiu: to expai 

‘ ,l TS l ‘r,inds P -»r ! wa/«d v"Jre MofhPrP/irP net loss of ?°- 3fl0 (£38 ' 0S9 profi0 w*™* ^ the IBA, and on this p^flf of £974.764 on is lifted to 8.16p (7.42p) per 25p Hawker says in its report and ^er engineer^ market^ 

ct-S " 1 Am ‘ hi S S iTlUUICItdlC was incurred. basis, the present level would fie fJmovw of SStn and recurity «*«•• accounts that profits and sales of other emergent nations-n 

r ;'h ■ r hint dnJ-o from hspott , , The loss per £1 share is given about £500.000. IS £834 317 on SmoSi of Mirlees Biacfcstcme (Stockport) & south America. 

t,» ’'.i? c.tn:.' Tiic company invested f H TirOlTlOf^^ there is *no^ rilv^end^LaSt 5 war’s Opeirating costs rose consider- £i7.65m. less holding company * ii Q w ®™ record levels _ la s t year, in addition to its 

a rrvnrd ^ fim in IDTT-TS-niore W UIlIUlV there is no dividend. Last years ^ during ^ r deficit of £205,460 on £164^33 AcfrllirV Xr although “ world trading condt- engineering interests the 

&, ? ;™ 'il-W Tic , rv M ^ Crrrf* ® saJ5Th.SSffJS.as 

u .N. side hifseS rsitenSg Madeley ^ mawr a v, mu .u S behind ^ slst, gs&’gAz 

Swan Hunter »?KSr3^lM'a Wt2T&*J?urss *gs3 - -Sf £ Jg & 

O 1 let Ihe U..S. in the autumn. Mr. Selim and the company has concen- Brommos record last time, and security Ci’lllPP'/Pfl sidiarvMB (Stamfort) came from stay of profits for some tirai 

»■ .. Zilkha. the chairman, says in his trated its storage and delivery Over the past 12 months. .Mie should show further improvement. DU UCCtivU rj t i P 

nationalisation annual statement. base for deliveries to the Wool- company also spent over £200,000 The balance sheet shows share- Tm Jw r ar Asthurv and 

Ktuiiv/uaiiaailUii Hp Mys ^ M , CJJ in ^ us worth stores in one depot. on new equipment holders’ funds at- the end of 1977 t* Sv 

so far have* not come up to ex- The two moves have meant con- -Members are toM chat in con- ahead from £8 8 7m. to £I2.4Im. «r 

aistnoution peciauons, and resulting losses siderable cost. On the other hand, nertion with the group’s sub- and short-term loans cut from **®®P ^ 

have been greater than budgeted, the depot in Yorkshire can now sidiary, Glenbuntle Properties, £437.000 to £67.000. This reflects / 

Further details nf ihe riistri- In the March 3l, 1978 year the be sold and negotiations are in work is now under way on the not only the impact of the e ™ oe “ 5°™, (“v 1 I m ■ 

button nf Suan Hunter’s nation- U.S. side conlributed a £281,000 progress at a price higher than construction of the three-storey successful rights issue but also artSH3 f. “J® I V Van Avlm AUAJHilMi 

.•«i:*'»lii'n proceed-! will be givrn loss (£84.000 pro6t) on sales of the original cost, and future office block on the FountainhaJI the adoption of EDI9 with regard I I ItIh W 1 Btt® f I | 

wih ;hc interim report due £S.66m. c£3.l7m.). operating costs wUl be much Road site. The butitHn? should be to deferred tax. the chairman, says in his annual I | |V| V VI I V 


and including a £26.180 deficit inflation. The company believes weretno major CT ”™ U ™®S; As reported May 17 profit for 
(half of which was due to the that the threshold should be r r roff 1 71ft 1977 was up from £2.49m. to 

strengthening of Ihe pound) from linked to the Cost of Living Index f 2 ^. A iSL £2.59 m. on turnover of £38.65ra. 


Swan Hunter 

nationalisation 

distribution 


Astbury & 

Madeley 

squeezed 


fbtazCM Turns foegtfay JfejF 30 19*3 

Work for emergent 
nations boosts 
Hawker Siddeley 

THE INDUSTRIAL ASPIRATIONS increased demand ^ 

ofSeOffiC countries and other emergent nations. Therepmt 
emergent nations has provided says: "The majority of busmen 
some fairLv subsrantial contracts for land based power RPnemba 
for British construction groups has been secured in the Mt&Be 
and has also provided major busi- East and Africa with South 
ness for companies like Hawker America making a very usef^ 
Siddeley which supply the ncccs- contribution . . . significaut pro. 
sary equipment io allow utese gregg was made m the South 
countries to generate their own jjJastern territories.'’ 

P° wer - _ Last year mechanical ^nginefr, 

Hawker’s latest report and ing rales of Ha* ker— <rf which ch& 
accounts, published . tOKl ^f' around a quarter— -increased by 
illustrates the increasing onport- generator side Contributes 

ance of these markets to the 3 g ^ ceht 10 fSIT.fkn vfJnh 
group now that its aerospace profits rose almost 22 nw 

Interests have been nationalised— WJ>f io First time profit 

compensation for which still has f ro m new acquisition L. GacdUnr 
to be agreed. included for four months, 

Power generation . equipment— also have helped, 
from standby and portable genera- Profits from electrical eagioKn 
tors, transformers and alternators jng -rose almost 30 per epat teat 
through to massive turbine-driven year to £36J2m while.- sde« 
generators for power stations— is increased 25 per cent to £335£tn, 
a common factor running through Here too. the growing fitvnawai 
Hawker’s remaining engineering demand for power ccoerafidn and 
interests and has, to date, pro- ancillary equipment was a~ major 
vided a more than satisfactory factor. 

cushion against the loss of aero- finish Electrical Jjactunw. 
space earnings. manufacturing alternators, u 

Last year group turnover— with singled out as another Hawker 
aerospace sales included for only company to produce excellent 
four months— fell almost 6 per results on -the back <m this 
cent to £9 12m. However, profits demand. _ 

after tax still managed to finish Hawker Siddeley Power Triw 
around 4 per cent higher at formers also illustrates tile San- 
£S0.8m. port once of overseas markets ta 

k ‘saJS iss£«a 

aerospace loans— with a turn- y «^L° n 

afmSam a «° un .^" “■S.'S” 

ss- 

trxnch* p of ^ comnensation of Hawker m recent years has 
£3lm now stand at £114rn undertaken several amblQouspro' 

£3.im. now stana at ±ii4m. jecls to provide complete power 

. Some of this cash has already generation schemes through its 
found a home with Hawker pay- Hawker Siddeley Power Engineer- 
ing around £22jm for 52 per cent subsidiary, 
stake in Carlton Industries,, a group is now war conn 

move which will combine pi et j n g- a com project tor Oman 
Hawker's Crompton Parkinson w hich has entailed the construe- 
Jead-aoid battery business with t ; on an( j equipment of 39 power 
Carlton’s already substantial stations for the country •invnlvhw 
battery interests. installation of 3& SGrtora 

Among strong performers last Blackstone diesel generating- sets, 
year were the group s Minees World competition for these 
Blackstone subsidiaries which projects is intense particularly in 
manufacture diesel engines and the Middle East and currently the 
diesel generating sets. group is looking to expand its 

Hawker says in its report and power engineering markets among 
accounts that profits and sales of other emergent nations — notably 
Mirlees Blackstone (Stockport) in south America, 
were at record levels last year, in addition to Its power 
although “world trading condi- engineering interests the grotq> 
lions in both the industrial and -will be seeking to expand its 
marine markets were far from battery interests with Carlton and 
easy.” still has plenty of cash around 

The major stimulus behind the should it decide to look' for otter 
increased profits for both MB outside interests. However power 
( Stockport) and its sister sub- engineering is likely to be a main* 
sidiary MB (Stamford) came from stay of profits for some time yet, 


In the year Just ended Mother- reduced. 


completed in December. 1978 and The market value of ships of all statement 


S:r John Hunter, the chairman, care opened 34 stores and plans to Turning to the current year, a substantial part of the accom- types has fallen steadily over the He says .the economic outlook 


? >r«: »*i:ii ihe propo-alsjipcn a furthe r 14 this year. In earnings have been^reduced dur 

Notice of Redemption 

SLATER, WALKER INTERNATIONAL 
FINANCE LIMITED 

7l”n Guaranteed Sterling/Deatsche Mark Bonds Due 2987 

NOTICE IS HEREBY GIVEN to bearers of the above Bonds that pursuant to the pro- 
vision!. of paragraph 6 i.A) of the terms and conditions applicable to and printed on the reverse 
of such Bonds, Slater, Walker International Finance Limited has elected to exercise its option, 
to redeem, on 30th June, 1978, all such Bonds outstanding at the redemption price of 102JV 
of the principal amount thereof (namely £511.25 or, on election as provided below,, 
I)M 4.204.50 in respect of each Bond), together" vith rite amount of interest accrued in respect 
i-f each Bond to the said date. 

Payments will be made at the main offices of the Paying Agents in Sterling or, if the bearer 
snail so elect as provided below, in Deutsche Marks (at the fixed rate of- DM 840 to,£i), 
upon presentation and surrender of Bonds together with all Coupons in respect thereof matur- 
ing alter 30th June, 1978. The face value of missing unmatured Coupons will be deducted 
from the sum due for payment. 

Bearers .-.hould note that the Principal Paying Agent and the other Paying Agents arc now 
those mentioned below, and that some of these differ Irom those mentioned on the reverse of 
the B*mds. 

STERLING PAYMENTS will be made in Sterling in London or, at the option of the 
bearer, by transfer to a Sterling account or by Sterling draft drawn on. the Sterling account 
maintained by ihe Paying Agent from whom payment is required. 

DF.l’TSCHH MARK. PAYMENTS will be made in Deutsche Marks in Frankfurt-am-Main 
or. :it the option nf the bearer, by transfer to a Deutsche Mark account or -bv Deutsche Mark 
Jr.it 1 drawn on the Deutsche Mark account maintained by the Paying Agent from whom 
payment is required. 

TO OBTAIN PAYMENT IN DEUTSCHE MARKS BEARERS MUST DEPOSIT 
Till: JR BONDS AND COUPONS, TOGETHER WITH FORMS OF INSTRUCTION 
FOR PAYMENT IN DEUTSCHE MARKS (AVAILABLE FROM THE PAYING 
AGENTS' DULY COMPLETED, WITH THE PAYING -AGENT FROM WHOM 
PAYMENT IS REQUIRED NOT LATER THAN THE CLOSE OF BUSINESS ON 
ic-TH 1UN1£. 10-8. FAILING WHICH PAYMENT WILL BE MADE. IN STERLING 
AND HEARERS WILL LOSE THE CONSIDERABLE ADVANTAGE OF THE FIXED 
RATI: OF DM S.40 TO £u 

Alter 30th June, urS interest will cease to accrue on the Bonds. 

PRINCIPAL PAYING AGENT 
The First National Bank of Chicago 

Frankfurt-am-Main London Brussels 

Paris Milan I 

OTHER PAYING AGENTS 
Deutsche Bank Akticngescllschaft 
Frankfurt-am-Main 

Krcdietbank S.A. Luxembourgeoisc 
Luxembourg 

First Chicago International Banking Corporation 

New York City 

T.':h Mav. 1 07S Slater, Walker International Finance Limited 


£imited[ 


Manufacturers of foundry binders and ccacinr-,, resin treated papers and conversion products 
intiudin; barter* separators, automotive filters, decorative laminates and synthetic veneers,. 


medallion will be available for IeL post 12 months with the result is clouded by uncertainty and that 
■ - — — — « ■ ' ■---■■■ It would be foolhardy to suggest 

; the extent of any -improvement on 

EvR JSL — ^ group .profits, 

yi** gvlgfl But if present trends are main- 

f ■ BOvllvV \ tained and the newly acquired 

f j f| \ Btantogiwn Steel Company per- 

forms to expectations an adequate 
koprovemen-t is expected. 

As reported on April 20, pre- 

B Ia w/wt 1 m ' tax profit in 1977 advanced from 

PPrCV 1 j 2I1G I TrOUn «. £0.78m. At balance date 

-*■ VJ1 t/uil net current assets were up from 

£0.93 m to £124m and fixed assets 

International manufacturers of factory glazed w ^e a.58m (£o.56mj. 

aluminium windows for the caravan, transport , at n oom *“• une 13 


Everything for the mother-to-be and her 
baby. . . and children up to ten. 

FINAL RESULTS 

(53 weeks to Friday 31st March 1978} 


Percy Lane Group 

International manufacturers of factory glazed 
aluminium windows for the caravan t transport, 
portable building and construction uuiustries. and of 
disposal chute systems for multi storey buildings. 

1977-A record year 

• Maximum permitted Dividend of 3.28p 
per share 

• Record turnover of £15.7 million 

• Pre-tax profits pass £1 million for the 
first time at £1.25 million . 

• 42 per cent increase in earnings per 
share to 14.4p 

197S— “The company is activety 
seeking fresh opportunities for 
investment including further product 
development a^d acquisition." 

Peter Lane, Chairman 

Copies of the 1977 Report and Accounts 
can be obtained from The Secretary'- 
79,83 Colmore Row. Birmingham B3 ZAP. 


with the requirements 

of the Council of T he Stock Exchange 


f 


Summary of Group results 

year ended 3lst December 

1977 

1976 

1975 

1974 

1973 


£000 

£000 

£000 

£G00 

£000 

Turnover 

5.776 

5,962 

5,187 

4.032 

2.830 

Profit before Tax 

213 

233 

343 

372 

253 

Frofit after Tax and Minority 
interest 

87 

105 

147 

158 

112 

DIVIDENDS PER SHARE (net) 

Wp 

27p 

24p 

2.3p 

2.1 p 

Earnings per Share 

S.4p 

6.6p 

92p 

S.Sp 

/ .Op 


to the A.GJVI. held on 2 6th May l97S ‘ 

In comparison with 1976. activity was at a lower level for the year. This was entirely due to the 
loss of the major account reFerred to m my half-yearly statement. Some ground was recovered 
during the >oar but not sufficient to make up for the loss. Sales were lower than anticipated in 
the second half as two of our major outlets, namely furniture manufacturers and ferrous foundries 
were m serious recession. Exports failed to improve as expected with the result that over the 
whole year exports were down slifihtly- 

As forecast the cash situation improved substantially during the year with the result that when 
•he opportunity arose to purchase the Resinfilms business there was no difficulty in raising the 
liectssary funds. Your Directors believe that this purchase will add significantly to the strength 
of the Group. 

A revaluation of the property gave a large surplus of £510.170 which was transferred to the 
reserves, bringing the property to a value of £12 million and the shareholders’ funds to £1.89 
million. ... 

In view of the earnings results tor 1977 your Directors felt it necessary to recommend less than 
the maximum permissible amount, making the total dividend for the year 2-36p. 


BARLOW RAND LIMITED 

(Incorporated in the Republic of South Africa) 

Rights Issue of up to S^ftjN Preferred Ordinary Shares 
of TO cents each at 370 cents per share (in the currency oil 
the Republic of South Africa) 

The Council of The Stock Exchange has admitted the above Preferred 
Ordinary Shares to the Official List. Particulars relating to the 
Preferred Ordinary 'Shares are available in the Statistical Service 
of Extel Statistical Services Limited and copies of such particulars 
may be obtained during normal business hours on any weekday 
(Saturdays and public holidays excepted) up to and including 
13th June 1978, from: — 

Laurence, Prust & Co, 

Basildon House, 

7-11. Moorgaie. 

London EC2R. 6 AH. 

30th Hay. 1978. 


FINANCE FOR INDUSTRY TERM DEPOSITS 

Deposits of £1.000-£2o,000 accented for fixed terms of 3-10 
yeans. Interest paid rtoss, half-yearly. Rates for deposits 
received not later than 3.8.78. 

Terms (years) 3 4 5 $ 7 8 9 10 

Interest % 10J 11 11| H| HJ nj is 12 f 

Rates for larger amounts on request. Deposits to and further 
information from The Chief Cashier, Finance for Industry 
Limited. Si Waterloo Road, London SE1 SXP (01-828 7S22. 
Ext In). Cheques payable to “Bank of England, a/c FFI.” 
FFl is the holding company for 1CFC and FCI. - 


Wadham 
Stringer in 
strong position 

With a sizeable fixed asset 
property base, the balance sheet 
of Wadham Stringer is very 
strong with good financial ratios, 
and also considerable unused 
financial facilities available to it, 
says Mr. F. C. Stringer, the chair- 
man, in his annual statement 
During the year, the group took 
up a £4m term Joan with its 
bankers and (his had the effect of 
moving debt from short to 
medium term, while net current 
assets were substantially increased 
to £10. 19m (£5^8m). 

The • company's freehold and 
leasehold properties were re- 
valued and showed a surplus of 
£3.747,000 at £16.349,000. Ordinary 
holders’ equity interest now 
stands at £18,6)7.000 and net 
assets at 59p per lOp share. 

As -reported on May 3. group 
pre-tax profit advanced from 
£2,246.000 to a record £3.355.000 
for 1977, oa turnover of £L3453m 
(£107.67m). Base earnings were' 
6.57p (4.02p) per chare and 5£7p 
(4p) fully diluted. With Treasury 
consent, the dividend is lifted to 
24lp (L3585p) net. 

On a CCA basis, taxable profit 
is reduced to £2 J2m, after adjust- 
ments on cost of sates of £2Jm, 
depreciation £U-35m, less gearing 

5122m. 

Mr. Stringer re ports that the 
first four itfonths of 1978 have 
shown improved resutes compared 
with 1 9n and with prospects look- 
ing good, he is cautiously 
optimistic that the outcome for 
the year will be satisfactory. 


■Sdios 

(excluding VAT.) 
UK 

Europe 

USA 

Profit before tax 
UK 

Europe 

USA 


1978 

£'000 


1977 

£’000 


Increase 


88,692 70.001 
10,714 7,735 


Tax 

UK 7,122 5^825 

Europe 408 538 

USA (194) 35 

7,336 6,398 

Profit aftertax 6^45 5,548 18% 

Earnings per share midp 8.62 p 

$ Wa are pleased to announce record sales and profits 
again. 

* A final dividend of 1.90365p (1977 1.733250) Is 
recommended making a maximum allowed total for the 
year of 2.92l65p (1977 2.84475p) per share. We wffl 
propose a further 0;02884p per share with the following 
interim for each 1% of any reduction in ACT 

>k The comparative figures for dividends and earnings par 
share have been adjusted to take account of the 
capitalisation issue on 23rd June 1977 

* European accounts are for 52 weeks (1977 52 weeks) 
and USA for 60 weeks (1977 24 weeks). 

* Profit before tax Includes investment income less 
interest paid of £297,000 (1977 £832,000). 

4^ Total exports exceeded £10.9 million, an increase 
over 1977 of 29%. 

* During the last six months new stores have been opened 
in Canterbury, Dartford, Greenock, Runcorn, Stirling, 
Graz (Austria), Brussels (Belgium), Bern and 

St Margrethen (Switzerland): in the USA for the same 
period 13 new Mothercare stores opened and 3 Mother- 
To-Be stores were closed as planned. 

* Number of stores trading at3lst March 1979was: 

UK 171 (1977-167) 

Europe 17(1977- 13) 

USA 1380977-110) 

Copies of the Annual Report may be obtained an 
request to the Secretary. 

DSlothercare Limited 

CHERRY TREE ROAD, WATFORD, HERTS WD2 5SH 
Austria - Belgium * Denmark • The Netherlands 
Norway - Sweden • Switzerland • United Kingdom 
united States of America - West German? 


8,657 

108,063 

13,093 

1,069 

(281) 

13,881 


3,167 

80,903 

10,811 
1,051 
• 84 
11,946 


Profit after tax 
Earnings per share 


5,825 

538 

35 

6,396 

5,548 

&62p 


FT Share 
information 


The following security has 
been added to the Share Informa- 
tion Service appearing io the 
Financial Times:— 

DoIoswefJa Holdings (Section: 
Trusts— Finance. Land). 

CABOT AMERICAN 

The buying price of Cabot 
American Smaller Companies 
Trust « 49.8p, and not 48 2n as 
shown in the authorised unit 
trusts section. 


SIM CO MONEY FUNDS 

.'Saturn Invcstmejii 
Management Co. Ltd. 

. CANNON STREET K.‘4\J fe\D 
Telephone: ui-ltii 


Rates paid for W/E 28-5.78 
CaH 7 day 3 month 

to p.a. % p.2. % pa. 

Mon 7.999 7.963 — 

Tues. 7.747 8.164 — 

Wed. 7.730 8.409 8-625 

Thurs. 7.846 8386 . — 

Fri-/Sun. 7.980 8.190 — 


LOCAL AUTHORITY BOND TABLE 


Authority 

( telephone number in 
parentheses ) 

Barking (01-592 4500) 

Barking (02-592 4$<KJJ 

Barnsley Metro. (0236 203232) 

Knowsley. (051 5486555) 

Oxford (0865 48811) 

Poole (02013 5151) 

Poole (02013 5151) 

Redbridge (91-478 3020) 

Thurrock (0375 5122) 

Thurrock (0375 5122) 

Worthing (0903 37111) 

W rekin (0952 505051) 

W rekin (0952 505051) 


F * * 

t^ Ul 


SCENT ISSits 


fi’e v . 




U- hi, 


Annual 

gross 

interest 

Interest MinimumLifeof 
payable nun bond 

% 


c 

Year 

105 

i-year 

1.000 

4-6 

IU 

4-year 

5,000 

4-6 

ll 

4-year 

250 

5-7 

m 

4-year 

1,000 

3-7 

10T 

)*year 

5,000 

5-7 

10i 

i-year 

500 

5 

«» 

i-year 

500 

6 -7 ' 

ioj 

4-year 

200 

5-7 

n 

i-year 

300 

4 

IU 

4-year 

800 

5-8 

9k 

i-year 

500 

'2 

11 

yearly 

1,000 

5 

10§ 

4-year 

1.000 

3- 


• 3 





' r ' "Ht,« 




u *tiv?i 0v 


\t nprrrif! 

“ * ”■ i I **‘ ; W W r 


. »* 


Financial Times Tuesday May .30 : 1978 

Pending dividends 


39 


j timetable 

' s ® r .»« «*»» important company dividend 

' (ilimvinr* ,-mZ i, e* peeled in the next few weeks are given in the 
Cities shown are those of last year's announcements. 


o hn S^i pu ^.» lshed - U shQU,d tte emphasised that the dividends 

nr alSSf” 1 l " 0t ” ocessariJy *» at the amounts or rates per 
nr mioud hi the column headed “ Annaunramont taa* 


“■ X"' m ucuucu Announcement last year.’ 

Jr iii in mao profit figures usually accompany final 
announcements. - 


dividend 


Dale 


M-'Xjnitor*: 

nisu>um...Jutr 4 
Mliwl En-vm. ..Juik’JI 
An Klo-.Vni vrtca n 


Aiiaauniv- 

■ih'iii ijsi 

Year 


Date 


lut. 45 
lm. 1.25 


Announcc- 
mc«u last 
year 

F&lal 5,37937 


. t-'nrwn. Orp. .Juno 9 Bits, due 
luulo Transvaal 


. Com. Cm. .Juno s Floats due 
prbuibnat 

; J.alhaci June £3 Final s oil 

Xcwspapora. July 4 Final 3 SIS 

*y JuncS* Final 3.147 

jKi-r Pita ms . June SI Final 2 .2338 
arc'll itioo.l ..June 28 Final 4.B33G 
Ih and 

Portland July S Jnt. i.S 

i ■S. an 


Final 3.M6 
Final 3 JLM 76 
Final s J3S 
lm. l 

Final 3.3894 
Final 7.44 
Final 2.89 


■s. and W.i...Junr 13 inf. 3.5 
gilm 'For on ...May 31 Final 3-J362 

Imia. . ..June 28 Soc. iltt. 3.CS 
Fra and Comm. 

. Shipping.. June Id Final 4.3545 
BTOm iJuhnt .. June 24 See. int. 5J8 
Shipley ..Juno B Final 4.79 

CcnsoUdmcd June 6 Final 4.08242 
Grp Jme 1 Int. 1.18 

"VUDVde June 15 Sue. Iol 3.4 

i.'hulM Juno 15 Final 2.2355 

"I'oaHi- and 

Cncml cal.. June I Final 02SS86 

VTnmpiir June 1 4 1»L 1J 

Bait sir Mari aud 

Gen. Tst...July 7 Final 7.312 
fau-Fn Inc. .. Juno 20 Final 1.8SZ3 

"tii' Rue Juno 6 Final 6.4 rest. 

D..h-,ni Park .June 14 Jnt. BJ03 
EW-iud 

Gen. Inv... June 21 Final 0.S 
ElccUnmc 

Rentals ....June 6 Final 1.4515 
'Ensltfa China 

Clays ..June 15 Ini. 1.73 
-Flnlas fjas.1 ...June 6 Sec. int. 3.11 
-"Gnld^-'iPUfc of 

Group . June 13 D|vs. doe 

Cenenl 

llcctnc . July S 
Cun. lm. Grp— June 1 

Grauriu June 30 

Grun-iMet June 2 Int. 1.6 

Gi. IJrrUand 

• Exiaiea June 14 
"fiunoes < A. • ..June 16 
-C.uihrai Ccrpn. June s 
flam lets . .. . Jane 21 
Harmons and 

rrusTu td .June V5 Final 10.43 
Hl<4s<an Weli-b .June 7 Itu. 3.634 
SUl fkmucJ . liar 31 Final 2.7653 


Final 1 JB 02 
Dlvs. due 
Inr. 1 0648 


Final 2JM37 
lm. 2.3804 
Final 6 
Final 58.75 


1C Cas June 28 

Jo 1 burn 

Consolidated.. Jane 8 Int. doc 

Johnson 

MaUhey..June 14 Final 7.1028 

"Wad Secs. Jane G Final 3JM 

"Lindunnvs June 21 

•" LOFS ■■ June 14 

Lyons < J.i Juno 28 

"Martcy May 31 

Mercury Secs. .July 21 

"Metal £h» .Jane a 

MK Electric June 22 

N&l Bank 

Australasia ..May 11 lm. 6.3 cents 

Nl-ws lm June 29 lm. 4 

•Norton. Foods .. May 30 lm. l 

Pauls and 

Whites.. June 10 Final 2.414 

"Pcfilcr 

Uattersley .June 13 Final 4.831 
"PtlUnffton 

Bros.... ..-June IS Sec. itu. dne 

Plessey June 21 Int- 0.48707 

Powell DuKryu June 21 Final 5.13054 
Prop. Bide, and 

Inv. Tst. .Juno 28 Final 3.708 

■Ratal 

Electronic.. June 22 Final 1.154 
Rediitusian .. .June 24 Final 3.413 

“Reed int. May 31 Final 7.0<Na 

Rothmans 

interna clotul.. July 7 Final >.1515 
•Samuel <H.i ... May 31 Sec. int. 6.4 

"600 Group June 8 Final 2 

SGB June 28 lm. 2J 

Sheepbridge 

Eng.. June 23 Final 7.1756 
Staffer inL ....May 20 Final 1.61 
Standard 

Chartered . Jane 28 Pinal 10.325 
Siavelcr inds. ..May 12 ML 4.4 
Swan Burner ..May 34 Sec. tot. 3J 

Tescu June 22 Final B.S2G7 

Triplevest Mar. 81 Final L90t 

Triples Fndrs. .June 15 -Final 2.739 
Trust Hooks 

Forte.. July 5 tot. 2.23 

"HEM _.Jone 1 Final 2.44123 

VI KO Inr May 31 Final 5J3 

Vans Brows. ..June 24 See Ml 8.03 
Ward (T. W.i ..June 10 Int. 1.21875 

Wedgwood Jane 10 Final 3.7 

"Wott. and Dudley 

Brews... June 1 ML 1.7 
Wood head 

iJonaiL. June 17 Final 4.6305 
" Board meetings Mtixnaledi 1 Rlchis | 
issue since made, t Tax free. C Scrip | 
issue since made from reserves. 




MINING NOTEBOOK 


New fishing grounds 
‘should be exploited’ 


Where you had to wear 
shoes and socks 


BY LODESTAR 


BY CHRISTOPHER PARKES 


“ GENTLEMEN are requested to tion. Fingers singed in the past One survivor from the nickel 
put on their shoes and socks had cooled down sufficiently to be boom. Tasminex about which I 

before entering the dining room.” itching for another go. And it did wrote recentiy. has actually 

LOUSY BANK, Bill Bailey's pared with the fisheries usually flavour.’’ It Is unfortunate that So said the notice on the door, not Lake much to get prices of revived its fortunes sufficiently 

Bank, Foula, Tory and Rock ail visited by the deep-sea fleet off so far commercial quantities * was 00 '* a 3 r to a supper the penny stocks quickly on the to declare a dividend (5 cents) 

Bank may soon be yielding Norway Iceland and in the have only rarely been located." p 3 ^ with **** ehainnen or senior run. Once this starts the move- our of profits from its Tasmanian 

valuable dividends for Britain’s Barents' Sea the report says. management officials of no less ment soon begins to feed upon wolfram mine in which Canada’s 

— s -“"JSLMra: aS-jsss ■2KT S ~ 

I wanted to find out whet her of rumours. was SOp. bo here are certificates 


gests they should 
these unfamiliar 


trawler men. These are ones- are comparable’ with tbos7 in the r £ e smoothhead. common in a wailieu lu „„„ uu , W11CI , W1 

W^CoaS'of St^Mn D whi?h ^“ onal Series from which S^^ntwZer And a°SS ^ £5 “S". had a^ually dis- Ye t there is no firm evidence that can be rescued from ihe old 

F v2!2f^w2L2!2 U K - boats now lar 8 e, y es - 2 toSrSS « covered anythmg- Unfortunately that any of the junior exploration oak chest and at least dusted 

K.?* 8 en 0Ura£ed eluded. “But the species are ^, c , n , lhB Vmic/Jihint lh . ey 3,1 seemed to be much more companies have come up with any down, 

to try their band. new tn Britain ” the reoort savs. P'. eas#nt ' t V e Ministry thinks interested In whether 1 could pick new discovery of imoortance nor ... 

•jlished* sue- - are lts 7ery sloppy texture would ou ' them the share that was ihev ^moreTiffi tt^do so J . Th,a ye3r s Platinum industry 

2“ “f . JSlSir 1 ?-? make il unacceptable for food." likely to become tbe next "higb- than fh^v wero a few montS dinner was Particularly well. 

■Stif processing and. perhaps above ^ re port concludes that tbe flyer." SSwhen SL .Si m?riSf iIS tiraed - Not on, i’ did it take place 

nnrci.it «r ^ all, marketang problems to over- sensible use of the new As a clue to tbe time and venue in the doldrums As always they in a week which saw a speculative 

pursuit of unusual but edible come, there could be advantages grounds would be to fish there of this abortive meeting, earlier five on hone ^ always, utey uproar in the free metal market 
!^ ie j eB *** su 5^ “ !? e “ expJwting these new stocks.” on ^ way to or from other on l was walking down a street Moreover 'if their shares rise fauI the da y 1S - marked 

round-nosed grenadier, the The black scabbard presents more conventional deep sea which was deserted except for a too far too ’ fa . thej , are aurclcly the peak of a movement that took 

0? e fishermen with problems It s 5a te >s "and so eke out the “^5™^ 5US SSJ SwS B JKSK *he London price up to S251 an 

the small sharks which abound, black outer skin washes off to national quotas of cod or L ban stock exchances. And if their ounce, a dramatic change Trom 

in .i^^f per . wa t ers - make it more pleasant to look at, haddock.” that there had answers are nol considered to be the depressed conditions of only 

While it would be wildly opti* but gutting is made difficult by jf adds: “With tbe present acadent 1 burned to satisfactory dealings in their 3 short lime ago that threatened 

mistic to think that the opening its long sharp teeth and spines hi E h price of fish it is difficult ? i rn,,mi „ shares can speedily be suspended, to plunge it down below S200. 

up of these grounds would solve on Its body. ?o SeU?4 Siat given aToper JmJSS dSSrteS Jf a U?t of ^ 31 has a S vST>,aSie A speculative squeeze on near- 

■2““ ^ problems, whw - prolan, me of Varket re?ea?ch S 'SiiSS. MS vmSSl SrSftSJS^ more b £ supplies a nd^ the comini.ed 

faced with the alternative of Red and meaty aod advertising, there is do in a window. "What are Poseidon “iSIdtaSEB coloration rush ? bsencc “ r Russian sales caused 

scrapping vessels and laying off ^ aesh. the Ministry of market in this country for good now? ” 1 heard someone shout b! SrtnSn? iS tte^vSera randmjeni USt a?the dinnefbu" 

If' t Cf HBL r S; I or Coioinc Riotinto of AuslraJia they were beeping iheir Tuture 
was ui ivesiern Tanganyika Concessions and market intentions verv much to 

. , . - - popular in Madeira. than that of cod.” fl ust, ? u ? pn ?V 1 £ the anaWMn y of Northern Mining with the last- themselves. y 

culture study concludes. Virtually nothing is known * New Deep-Water Trawling the great nickel boom. named particularly prominent, is „ . . , 

One of the main advantages about the director fish, except Grounds to the West of Britain. .These events have been brought beginning to look distinctly odd ^? r ? n I u tJ,e sh ? rp '"a™* 1 v '® w ' 

In fishing the new grounds lies in that it is bright red and meaty Laboratory Leaflet 41, Lowes- ™ relation to the recent extremely p |I!|? t i. th .t. h "n™Jp r cn" 1 Th 

tteir closeness v> Britain com- with -a vent pleasant sweet tn/t S^ttSSfcSfffJSS SWr'M SS2JZZ.*2& 


Custom-built plants at 
no extra cost 


cetniODiTiES 

Flaxseed gains in Canada 


BY HONK MATTHEW 


^ ... ... „„„ mines. Rustenburg and lmpala. 

when old forgotten names are Carnegie as pointed lut in’ Satu£ ar J " oin ” 10 ffl« th , eir producer 

beginning to re-appear in the day’s mining column. P ri ££ another hoist It was raised 

price lists. But nickel is no longer ]n fact, it looks as though *° 5?“° in February. Last Novem- 

the target. The energy materials either Mr. Carnegie’s face is going ~or it was onry alE. 1 gather that 

oil, gas and uranium are the maJn to be very red or the fingers of ^ ” a “ 00 intention of following 

glamour objectives plus a distinct the share buyers are. So what f. °pen market upwards until 
dash of speculative sparkle from must be borne strongly in mind in ”,r an ,n *° the inevitable pro ht- 
tbe diamond search in the this kind of market is the cliche, taking and conditions therein had 
kimberley.s and now in the which many wish they had taken been me distinctly more stable. On 
Nullagine are a of tbe Pilbara. note of in the past, that nobody ^ r, day the London price had 
Geologists are once again went broke by taking a profit or ‘ a , en 10 Dealings were 

beginn-ieg to talk big and are that no harm is done by leaving calmer. 

even gening their jobs back. But something for the next man. Then Rustenburg will probably 

has anything really changed? It Look at Metals Exploration for asa j n j eat j t be way upwards as 
ail started off by pent-up invest- instance. Their shares have quad- lt W0Uld probab | v like to see a 


I A DEVELOPMENT company. Securities showed that there “The problem for these firms. , j . . . , _ , „ . _ WMMm lu „ 

founded five years ago, has were many companies in East is capital. Either they do not j me ^ fund* coming into the stock rupled in price. Yet the outlook i eve l of at least $250 in order to 
been growing in spite of the Anglia whose growth was being have it, cannot attract it from I m * r kM for the leading issues. Pro- for the strugglmg GreenvaJe restore its operations to financial 

° . T° . r . . ■ . . . . . . . ■ .. •- - » i . 1 wt I inriino man npir»ac onnfin.in nn latonhf* nw-Irol mino in Oiioanc.. ■ .... w«.. . ... . 



vnN:HPFG. Mar 29. rm»e— May EEC IMPORT LEVIES and primluma 

lRf.i'O * ins 50 bid'. July 107.60 aiferd far Kar 30. to order current tcvr ulus 

1 189.20 -liked > on. |«7J0 bid. Nov. W6.5D June, JulT. and Aueusi nremtams »urith wisroin-uuuj in crones «mu f*«i*ucuvm/. euapiujaue »u»aut- br ieh ter these had fallen tn that much brighter " In fact In i.. na mwie 

asked. At. iosjhi nom. prvrious to bradteisi. au to uoics of mercial premises at no capital ing technology. capital" 030 Iaiiefl lo in June. This could give the share 

rtOntJ— Mar S7.uu bid 'SS.OO' July accoum per tonne: Comma Wheat— t lh «iip n t . .. BrinBfno the two tnpether ic al aC ^? cllVe l®vels. March Freeport WpB Voicing market US next Upward push. 

S2.8ft-s.-ji i.sasni. orr. rs.so asked. Dec. so. IB. o.«. o.«. o.84 i8o.». flJ4. 0.34. cost t0 tPe client - According to Mr. Philip .^ e . er 1 s . , a ‘ Rising share prices soon doubts whether it will ever get its But the Russians still hold the 

75.30 bit. March tti.un nam. 0 61 '; Doras wheM— U3.99. all. ait. Loi Bildeston -Securities, of Ransome, file founder: “Specu- t°e root of the Budeston formula, captured the speculative imaging- money back. key. 


OBar&y— May S0J0 bid iSI.Wl bid', isaniL-i: RW-78J7. nil. DU. nil (game-: 1nD ^ n yT v,,„ u oaT% ' blI « i a Hv^lv ’ h.iiTt nrem inm together With cutting COSts which 

July SWO iM.oo bid'. Oct. KP.NI asked. Rarteir-n.52. nil. nil. nil tnniei; Oats- IPSWlCh, has been using a DUSl- lanveij DUlIt premises iniO ha , e r ed , n the downfall of manv 
n. c- MLiii tod. March si . jo nom. Ts.ir. mi. mi. mi tsame': Mkte (otter ness technique which has become which firms have to arrange pro- *Vh. LSLSS 1 * 


UI I same I ; nooe l Bluer UVSS iccumquc wiutuuw uti.uu«w fuhu w — J-' ^ rianalnnarc rfnrina Iho nMccinn I 

uian hybrid for swedins)— ©.s. o.©. ofo. increasingly popular in the con- dueuon and ail other functions INSURANCE 

Britiil UA commodity «L “■>= *™-- structioo ™n?racting sector aD d to Bt into shapK snd spaces Mr i^ e ™ aUKH "*' fc 

marioits were closed for the SAViilaii.'J SKR! has helped to attract customers unrelated at the design stage to ^ S2? hemeen^DnSecte^s 

nto-12434 '124.341: Rj^-ia© «22.«.. of 1u worst recessions. becoming a thing of the past- ?“ e ^ -JSlS^fSK 


. The company has a projecled probably nationally as well as s^t^Iabou^ decided t0 

s OUEY greasy.^ 0 ©^ M» 29 runjov^ this year of with m this region. 


§5Fl3?Sced — M:iy 2 m 7.M bid .2M.M bid', 

Jib -5 J 0 bill i"W 20 j<.ki-d-28ri..‘n) i. Oil. 

7..XIW Jid. Nov. *64 411 bid. Dec 2M.0P l|n ordi-r burrr. tc-lh-r. 

blJ - Micron Contract: July 342.B. 342. S. 342.3- nine 


r._.4 . , rill.™ ooiihou. jib, ju.% ii 

‘VWwI-JSinVRS 73 4 rvr i-Mt DfOtoiD nm. ©: Ort. 346.0. 548J. 347.MM.5. 15: n 
onr.-x I.f SI. Uwrrncv 16..S, lleu.TBi. Dev'. 350.0. 350.5. 351.0-350.0. IS: March t 
pvr 24 Ui buutii-i. it Lotus pet rats. -.isso. m May ra7>. 1 


Association’s films spread 
message of factory safety 


BY OUR INSURANCE CORRESPONDENT 


We use carefully vetted and 

further contracts in an “ Advanced technogoiy, involv- selected sub-contractors as re- 
advanced stage of negotiation, ing machinery’ which needs quired. or for major contracts 

. _ _ These involve two factories, setting into foundations, the substantial building companies. 

4s to.hTtiVi i-x-n-jn-tiiiuv. it iTt-mi pjr 3».si rasiMsii.o." n: "July 35aa 36ao!|three office developments, a medley of legislation which has but always under on-site and 

» it towto ' 1 ra.ujnbuusr. i.ooo bush.-i >M.o-3fiD.a. ► «• «a iw, 36= 0- { Marina project and three hous- to be built into factories and the very close supervision of our 

,L “»»»«»» * ing estates. need for higher productivity nucleus staff " 

These will be pre-sold to embracing all possible economies He adds: “ Our formula works ___ nnime ,„ , . „ . , ...... 

investors in accordance with the has completely changed the like this: A company approaches BRITISH Insurance &&$o- deals with the instructional dis- Do you keep — . — 

company’s formula. which pattern of the requirement. . . us for a new development We ciation introduced its film, Safe cussion that is necessary after the industrial hazards, and is tile in- 

divorced it from the speculative “But the biggest growth in undertake to find the capital. m film - has been seen ' ISSKlSlf 1 m^ii J? adl,y 

element that has brought down East Anglia is the .collective- design fe..their itemised specifi- **** In the past, criticism has often aV ml! ab L e _[ 0 a l eipp Dyees ' 

numerous building: companies growth of smaller firms (in cations: construct the buildinefst f n * iI l . “ ^ *¥-*1 ?~P‘ been levelled at insurers that 

durio? tbe slump. fnnwloh for A^mivt- ftiAi-- »«» — anJ ]pt it tn thpm nn » 95 nr 10 S filins wh,ch have been ma he - 

The East Anglia region 


DECENT ISSUES 

• 

EQUITIES 

i 

j.- 

* 


the file of 


The more negative answers a 


Isr :*|5: 

( ' i " . 


tSTH 




H«fh 


I«>» 


!?? i I .^1 .•iliasL * not, generally, attract 
r 5 ?&|+“») s .|3 .-3 Although it is industrially 

I I £ ^ .• * nnmmi»mdllv tho fflCtACf fffn 





commercially the fastest growing require new buildings taking pro- 


IJ» K.I-. 


IU5 I 142 ,Kim4bcnn M8ia!-5l:jft2.64i 4.0; 2.7.W.1 


region in the UK, its pbteotial duction and through-put as the of co 3 ts regardless of local cur- management and workers in tbe any real steps which their ? n conviction of having the 
is largely by-parsed by investors design starting point,, which is rent rental values, the rental can minimisation of factory dangers: collected and collective wisdom 


FIXED INTEREST STOCKS 


APPOINTMENTS 


£ ~ ~ . litoll | la>M 





5-1+ .ir I 
I ~ 


I tflp, \i)ia ,'l(l-l». 1-'. toi.i. ill 97|i- .... 

f.-* ■*.!, -. Initfi. rjiiitv lm r'm. \anii«e 

I I Mi 107_ | V 1 num it .. 1 l. l»" ii" ill 111 . Pwt~ !107j|i 

tOl 4 : via Hnnwt 12;-^ U.M. 1S87 

IAij. ' . 

' lu>: MijiKsm-n U«l» 

rw jAnm 


and Government. about as opposite'as you can get often be less than rental values lit also shows how safety repre- might suggest, to reduce the risks Pavement or prohibition notices, 

Regular research by Bildeston from speculative built units. for speculative units ’’ jsentatives can identify potential of injury at work. 10 ,«J e extreme case, the 

1 " tzards. _ , chance of Imprisonment for those 

— Even m the past, such responsible. 

“ so ^? n „? a l pre r°r U ? y critic i sm wa s not completely a nd the more premium it is 

made one ^minute Aim. Safety, fair, for the association has long likely to have to pay when its bad 
Everyone s Business and four had an industrial safety panel record comes up for considera- 
. 0-minute films dealing with and had contacts with the Royal tion at next renewal, 
breathing, seeing, hearing, and society for the Prevention or 
dermatitis. Accidents- 

Its films can be bought out- At the same time, a number 
this appointed group managing direr- managing director after 48 years’ I r ^ L J>ystems_of Work of individual insurers writing 


New chairman for Dunlop 


! ro!unS ) a^^o W sS cLmp£n tZ^rUKt^^ES^Ss:^ ^^;Snd“^rel^l tii/rom- «»t £150. Safety, Eve^one’s substantial employers’ liability 
" '"'l; I 1 ^- :::::: I been “appointed chair- ms previously managing director pany’s fim presidenL New chair- B«isme^£130 and the shorter accounts have, positively en- 

,- r 1% Beil. Fn-i. 1963 ■ 1014 [man of DUNLOP HOLDINGS in of COMPAJR INDUSTRIAL. man is Hr James Spooner, and films £80 each. These prices couraged nsk improvement by 

A, . ; in. 4i...i. .5 47 | | succession to Sir Reay Geddes. Sir » the managmg director is Mr. are discounted in the range providing expert advice for 


10U 1 


IO'2'i - 

u:« v 

HOfSvU'J 

*" i-.l- 

2j 6 Itf I- 
Jo.ti li'in 

1 9 «•> 

16 6 1**1 *31' 

fl it- l‘utKi-1 tuiu. i‘n 

Ili.ni Tv i it 11^. 1 Hv. L'lim. Ln. l«a 

? IViw .* 127, XiM. lrfc*i 

lull- if i.l»- «• ki**Hri>r 



ai 8 ' 

.. ,.*ioi 


<4 

RIGHTS" OFFERS 



i«M|) 

,- rM l j 

. Uir l 

>•*«««•■ 

«*«” ; 

(o.wlui: 

} PlM 

+ •" 

i •' ^ 

IIijji. ti'rt | 



Limited and Dunlop International porauou. 
Limited. Sir Reay has accepted- an London 
invitation to become honorary 
preadeni of the company. On the 


BentaU, eldest son of Mr. o per cent to 17} per cent, individual policyholders with un- 

Benlall and great grandson depending on bow many films satisfactory employment accident 

founder. Mr. F. Grenville are bought at the same time.' records. 

For . ,b ° se who d0 not necd But, particularly since the 1974 

in L® rna ^® frequent use of such Act became law, the association 

remaining sales director. films, hiring is possible at £10 take a much more positive stance, 

5 MPi 7 rn» B n* • , , a aim a week and here again aod the series of films is clear THE START of a roU-on roU-off 

of Mr. S. ENGELHARD, supplier of the range of discounts applies, evidence that insurers now con- ferry service between Heysham 


Delay to 
ferry hits 
TT fans 


The Earl of Canirit and Mr. 

S- A. Bowes Lyon have been ►«.«• w* «■*«*«». , f 

appointed _dirmon,_ of DE .■ , “r.”*7 s “«K Slfi»n”bta w 


ac i 
S' 

ct* 

a,. 


,1»: 

K.l*. 

F.»‘. 




\il 

K.l*. 


23/6 7.7 I'3>-iii- 1 >-|.ni-Urvai I'lic-niK-sJp - 

us ;a u &.-ij ">m*i Ikvni - 

a al 1» Ml. | 

1 — -ill ■■■i- t^^.iii >i-«fMiit|ii< lanMirw- HnL — 

1 -- | 5-j»» 53|>ui ivntmi JUaaufaciumip 

26 . & iSi6 1 J 2 38 Ui.. Mbi 

5X a. 2 3 6 Tijini 'tj|<ni 1!i'-»Jilrai- Him ktllliwli - 


‘UiatL 

140 +2 

46|.oi — 1 

37]tfi».— 1 
9B T 


MONCHY AROMATICS. 

* 


K operations, wiihrarSiff rtrni vat SSS 1 if 18 nopefl - ™ Port workers in Scotland 

Mr. -C R. be pa?d. 7 g h VAT 2-i2lSJ5S5SL and Thousands of motorcycle emhu- 


SKHF SmS general tgffT.JSSSt ST S > “fes for purchase or hire 

Mr. John Loudon, a director of manager-finance adi minis- Sj"na R ement of the three UK ^ OQld he m ade lo u, e assocta- Safety’s Sake, invites manage- LJOe for the start of the TT races 


severity of accidents at work. siasts who had booked with Manx 


N. M. Rothsehlidliod “SM*'has nation, tas b^n apohited to ti^at Aldem^ Ho.^. Queen SSK tSK ^“former 

°i STSLraS Group, the Metaflurgica, Group Undon TO®. poses eight questions requiring a 2?* 1 /j 


d W 


m i 

; to a. 

li.f IM 1 

IK# Tuiim 5 Ni-*tU 


... W U.... 

iOi' n. 



■ 




fc^^BoiDuJGSNv! R. G. adwfwho SldTh. SnSSTSSS: - %“b. With the litoT ni'coptes a SSpV-Jea/po 1 ‘ r"?* set ttp 

Utrecht. docks engmeer) >»co®w Ward is appointed chief executive set of speaker’s notes setting out Without stealing ail the Mans wno Just October lo com- 

* chief engineer, with Mr. N. Ahmad oi tbe Sheffield Group and sue- how the film can be incorporated association's thunder these pete * s e ^ an Steam 

BRITISH SHIPBUILDERS has as deputy chief engmeer. Mr. B. ceeds Mr. Waiter as managing into a training session, and advis- questions include* * Packet Company, which runs the 

made * the following changes. Ovase ^stant chief engineer director of the Sheffield Smelting ing how the training officer Do the safety officer and super- other service to the island 

.Mr. J. c. Murray, chairman and {structures) and Mr. T. A. Company subsidiary. Mr. C. K. should at tbe start exolain to his vivir have enouah authnritv tn from England 

KtfHHte-itoMi itoir usuatto 09 <u» wr tfwUns rrw ot tuiBp aprv. o rtaurat managing director of George Myicbreest assistant ch'^f Cnw i is appointed chief execu- audience the significance 0 ©? tile enforce safety pr^edures’ ^ The TT ”*« 

*SS*J*J*L llOarfc .and . has . been engyieer tplanri.^ t ive of the Metallurgical Group. ^evant provisSn S D/thel974 D^y?uh a ?r?s^lem 

® - • ^ - _--- n - rtn — !«, r— rtwte uoxioru ungmes iruai 4iue a. bb«sti m the new position Mr. Derek Johnson has been 

u, vnm-raioij I.'| >f , "; r 5 ii * *■ . 1 . .h* iuSS He wUl retain the chairmanship of chief docks manager respon- appointed operations director, 

nn,.n«i m nnKh-rv nr ••ntiii.irr >injr,n j -naw»“ '■»*•'"« of George Clark and Nem. Mr. sible for Avonmouth. Ponishead marketing, sales and distribution 

t» Minimum ipwtor Drier BS Brinirort'n^i n e. P. C rowdy, managing director and Royal Portbury Docks. of Lyons Bakery. 

of Hawthorn Leslie (Engineers), 


The TT races begin on Satur- 

[ relevant provisions of the 1974 Do you have a system for flay- The new company had 2,500 
Act monitoring your company's safety people booked to Douglas from 

The main part of the booklet performance? Thursday. 


to ii-u'i' 1 

It rttil'u-i 1 ii>*i »-i*h nurisainvaiiw' nivnjpr at tate-«wr ^ , 

I, (nttm-i iTriiTriMT hoMi-rs ■ 4ii.wnM»m Him i«r billy ualrti. • Pitiv»a«ma» 
,i alloiiteBi IpriiTa * Willi warrants. 


BASE LENDING RATES 


9 % 
9 

n % 

9 % 
9 % 
9 "T, 
9 

9 % 


A.B.X. Bank 

Allied Irish Ranks Lid. 
Amcncan Express Bk. 

.Amro Bank 

A I* Bank Ltd 

Henry Ansbacher 

Banco do- 5ilbao 

Bjsik or Crodsi & Cmce. 

Rank of Cyprus 9 

Rank of NAW. I » 

Rnnque Belcc Ltd J o 

Kami uc* du Rhone 9? ii 

Barclays Bank ........ ® ■ 

Barnett Christie Ltd- . 9» o 
Brcmar HoWincs Ltd 10 _» 
Brit. Bank of Mid. East 
Brown Shipley • 

C in.ida Perm *. Trust 
Klpiiol C & C Fin. Ltd. 

Ca'rer Ltd 

Cedar Holdings 

II Clmrt t*rliiiu.se Japhet ... 

CSioulartons 

C jr Coates 

Consul itla ted Credits... 

Co-operative Bank 9 ^ 

r«irinlhi.m Securities... 9 
Credit Lyonnais ...... 9 ^ 

Tin* Cyprus Popular Bk. 9 °o 

Ihincw Lawrie 3 9 j 

K-i ~ 1 1 Trust ® J 

Knclish TrawjemU. ** J ^ 
I ondnn Sees. . 9 

Kir,! Sat. /hi. Coran. 10 % 

, First Na! Secs Ltd. 
t Antony ‘tihhs 
tire) hound Guarani) 

• tiriiullj.v.> Bank 

t-Ciinmu^s Malwn 

^Hanihres Bank 


9 
9 % 
9 ^ 
9 % 

9 *r, 
gs'T, 
9 % 
9 % 

10 ^ 
Tilt 


I Hill Samuel 5 9 % 

C. Hoare & Co t 9 % 

Julian S. Hodge 10 % 

Hongkong & Shanghai 9 % 
Industrial Bk. of Scot. 75 % 

Keys er UUmann 9 % 

Knowsley & Co. Ltd. ... 11{% 

Uoyds Bank 9 % 

London Mercantile ... 9 % 
Edward Manson St Co. 101% 

Midland Bonk 9 % 

l Samuel Montagu 9 % 

t Morgan Grenfell 9 % 

National Westminster ? % 
Norwich General Trust 
P. S. Refson & Co. 
Rossminster Accept'cs 
Royal Bk. Canada Trust 

Schlesinger Limited — 

E. S. Schwab 30*2? 

.Security Trust Co. Ltd. 10 % 

Shenley Trust IfVb 

Sundard Chartered ... 9 % 
Trade Dev. Bank 9 J 

Trustee Savings Bank 9 ~n 
Twentieth Century Bk. 10 % 
itted Bank of Kuwait 9^. 
Wbiteaway L 3 idlaw ... 94% 

Williams & Glyu's 9 % 

Yorkshire Bank a % 


9 % 
9 % 
9 % 
9 % 
9 % 


91 Ti 

. 9 % 

. 9 
+ 9 % 
9 ‘V. 
9 % 


■ MNntera ol tbe AKepiina Hoasrt 
Commince. 

• 7-d af deoitotM 1-toMl# 

q>j. 

i Jstoy ilcPosli* on gum s of ftoJM 
nnrt ta«kr 6^-. W CS.080 
and over E 3.000 BJ'i- 
t Call deposits over fl.BW S'S- 
j Drmaiid dewsiis ffi'v-- 

•; PMiS Stop “ s,erUDi “ ■ 

Sees. 


. * 

{also becomes chief executive of Mr. Christopher Barrett has Mr. Johannes G. van Thiel, a 
.George Clark and Nem from joined SCANDINAVIAN BANK senior vice-president of the inter- 
[June 5, and will be responsible as manager of the new Issues national banking group, has been 
j for the operation of both department. He was previously appointed to head HARRIS 
.concerns. vvith S. G. Warburg and Co. BANK’S new representative office 

It is intended that both com- ^ in Paris and to represent the 

p allies retain their separate secretary for Employment Chicago bank as a director of 

Identities, but that any co-opera- has made tlire | appointments to Banque Hervet. Mr. Craig E. 
tion that improves their respective j. p HOTEL AND CATERING R ent, ®y . has been appointed an 
organisations be investigated and jmtiijSTRY BOARD Thev are - international banking officer in 
I implemented. states British gSm as «pl££ tte *** office. 


Shipbuilders. 


^ SwF’lStS^SSSSSi Mr - Richard Efleedi^ohitson 

Mr. George Colson, sales diree- ^ d J™^ ereiay TOstan ’ erapIoyee has been appointed vice-president 
tor of Mintox, has been appointed m ™ DWS - at CITIBANK. NA. He is based in 

president of the FEDERATION . the London office. 

OF EUROPEAN MANUFAC- * 

TURERS OF FRICTION CO^SOLTOATED Sir Frederic Bennett. MP. a 

MATERIALS. EaHlIiLaRDS as non-executive member Q f ,he G 0 vemin s Council. 

* director. has become chairman of the 


Mr. Ian Fowler has been 


FOREIGN AFFAIRS RESEARCH 


nowchtef 5 p^raenger manager.ER GROUP, has been appointed to abroad, win remain a member of 
Southern Region. “*• Board - . the Governing CpuneiL 

^ ★ 

Mrs. D. Merrill has become the The 


Professor J. M- Samuels, who is „ ■ wra - - u ' sr ™ oas Become i me l.ne apfxnmment of Mr. 
.TiLT M first woman -Grand Master” of Jari H. F. KSUer to FINNBOARD 


tn taka an jnrmmimml at the orsl nwm. ni uraua .naaior ui jun M. r. "UUicr JO JAriD 

lRNn™is?'n? o^TLlSyvk New 0,6 0DD FELLOWS in the 1G7 and the retirement of Mr. B. 

oEKS^uS SS from of Sodejys existence. Grimbagen will come into 

urieaia U^., is to rttignirom She wa5 a] so the first woman to on November L 1979. not th 

JS"rS ** e!ec,ed lo the Goar± - « « reported last Thursday. 

HUCTES at the end of this u, e world’s largest friendly * 

monm - society, tilth assets of more than Mr. C O. Yandle retires as 

. . MOm. and 130 branches through- managing director of LINDT 

Because of an increase hi his out the country. It was founded (ENGLAND), chocolate manu- 

oiher commitments. Mr. C. H. on contributions made by work- facturers and importers, on 
Tldbury is relinquishing bis tag people who banded together June 30 but will remain on the 
directorship of SPILLERS at the tn save themselves from the Board. He wit) be succeeded bv 

ebd of this month and will not be indignity of a pauper’s buriaL Mr. L AbboL 

standing for re-eJecrion as a non- T hc Society now offers a range * 

executive director at the annual of competitive insurance schemes The UK Agricultural Sunpjv 
meeting ha July. and arimess benefits, together Trade Association has elected Mr 

* with useful fringe benefits, such T. SkeHy vice-president weds 

Mr. Ernest Clare has been ^ aid for personal He is erow^minercial director 

appointed works director of cases - of Farm Feed Holdings. North- 

SCHRADER PNEUMATICS. „„ , - , , allerton. He . will also become 

At the annual meeting of general vice-president of 
„ „ _ BENT ALLS Mr. Rowan Bentall COSEMCO. the seed committee of 

lffr. Peter Bonner has been retired as chairman and joint tbe Common. Market 


This advertisement is issued in compliance with the requirements of the 
Council of The SUKk hichun^ e. it does not constitute an invitation to any 
person to subscribe for or purchase any Preference Shares. 


ROBERT MCBRIDE (MIDDLETON) 


LIMITED 

(Registered in England No. 220175) 


CAPITALISATION ISSUE OF 400.000 10 PER CENT. 
CUMULATIVE PREFERENCE SHARES OF £1 EACH 


The Council of The Stock Exchange has admitted the above Preference 
Shares to the Official List. Dividends will be payable in equal half-yearly 
instalments on 1st January and 1st July each year. The first payment 
amounting to 6.04p per share (net of related tax credit) will be made on 
1st January 1979. 


Particulars relating to tbe Cumulative Preference Shares are available 
in the Statistical Service of Extel Statistical Services Limited and copies 
of such particulars may be obtained during normal business hours on any 
weekday (Saturdays and public holidays excepted) up to and including 
14th June 197S from: 


~ SIMON & COATES 
1 London Wall Buildings 
London EC2M 5PT 
and 

HENRY COOKE LUMSDEN & CO. 
Arkwright House 
Parsonage Gardens 
Manchester M60 3AH 



40 

SIEMENS 



Information for Siemens shareholders 

Improvement 

in German domestic orders 


An increase in German domestic demand during the first six 
months of the current financial year was offset by a decline 
in international orders. Sales growth remained moderate 
with no general resurgence of business discernible as yet 



During the period 1st October 1977 to 31st March 1978 total 
flders_re.ce.ived. rose to £ 3,867 million as against £ 3,560 million 



Growing Market 
for Facsimile Terminals 

The market for facsimile terminals, for which international 
standards have recently been established, is expected 
to show a high rate of growth during the next few years. 

To verbal communication by telephone and written 
communication by teleprinter has now been added the 
communication of drawings, charts and texts by facsimile 
terminal. The Siemens HF1048 facsimile terminal (picture) 
complies with the recommendations of the international 
Telegraph and Telephone Consultative Committee (CCITT) and is 
therefore compatible with all standard equipment 


for the same period of the preceding year. However, comparably 
adjusted and excluding Kraftwerk Union, which has been 
a consolidated company since 1st January 1977, there was 
no change. Orders generated in the noticeably more lively 
German domestic market rose 9% but new orders from 
abroad were 8% below those for the comparable period 
of last year, when figures included a larger share of major 
international contracts. 

Business development varied from Group to Group.The Data 
and information Systems Group and the Telegraph and 
Signalling Systems Group experienced a vigorous growth 
in new orders. Orders received by the Medical Engineering 
Group and the Components Group were also ahead of last 
year's totals. However the remaining Groups did not entirely 
match the new order levels of the preceding year. 

Worldwide sales rose 3% to £ 3,513 millibn.This represents 
an increase over the preceding year of 3% in domestic sales 
and 4% in international business. The decline in sales figures 
shown upon inclusion of Kraftwerk Union is due in part 
to delays and difficulties affecting major contracts for 
conventional and nuclear power plants. 



31/3/78 

Change 

221 

219 

-1% 

98 

98 

0% 


In thousands 


Domestic operations 221 219 -1% 

International operations 98 98 0% 

During the first half of the current year the number of 
employees decreased to 317,000, a drop of only 1%. This 
reflects a decelerating rate of decline in the number of people 
on the payroll as compared with last year. 


Fifst half 

In millions of £ 1976/77 

bnptoyn»<rtt;eei^- : --- ; -ga y. - s&ZEejSiJS&Bm 

j Capriat exp 

(ind. initial addition KWU and TU) 1 (1 22) 

Wet 

in % of sales ] 2.3% 


Comparably 
First half adjusted 
1977/78 change* 


2.1% 




22% higher in compara|weterms tfran duringthe^rat half 
of the preceding financial year. The increase was due largely 
to acquisitions in the US of the order of £ 27 million. These 
were primarily in the power engineering and components 
sectors. The comparable figure for last year, £ 246 million, 
reflected add itions resulting from the inclusion for the first 
time of Kraftwerk Union andTransformatoren Union in the 
worldwide consolidated financial statements. 

. NfiL ia cpme after taxes rose from £ 68 million to £ 74 million. 
As a percentage of sales, however, this is a decrease from ’ 
2.3% to 21%. 


* Rates of change have been comparably adjusted due to the consolidation 
of Kraftwerk Union and Transformatoren Union effective 1st January 1977. 
All amounts translated at Frankfurt middle rate on 31st March 1978: 

£ 1 “ DM 3.755. 


Siemens AG 


In Great Britain: Siemens Ltd. 


FILM AND VIDEO 


Financial Times Tuesday May 30 3-978 

BY JOHN CHITTOCfc 


V V-:- • : -1^ 


Technological aid f< 

the deaf and blind 


OF ALL the blind and deaf 
people in the world, very few 
suffer total disability. In the 
UK. of some 150,000 registered 
as Mind, only 10 per cent can- 
oot distinguish light. Of the 
million or mote hearing 
sufferers, only about 10 per 
cent are stone deaf. The prac- 
tical consequences of this are 
that for the majority with a ves- 
tige of vision or bearing, an 
appropriate audio-visual aid 
may provide some improvement 

— often making all the 
difference between isolation 
from the world and some 
measure of communication. 

This has led to the creation 
of the low vision clinic, and a 
great deal of pioneering work 
in optical and electronic aids. 
At Moor-fields Eye Hospital in 
London, Miss Janet Silver has 
been something of a pathfinder 
in this sea of darkness— 
especially with clinical work io 
the use of closed circuit tele- 
vision. For some visually dis- 
abled people, the perception of 
printed matter becomes 
possible if the 'image is large 
enough and/or has strong con- 
trasts. By using closed circuit 
television, magnifications of 40 
to 400x are now being used to 
assist low vision people to read: 
and. of course, the contrast of 
a picture can be i acreased 
beyond its normal range. 


Low vision 


Equipment designed for this 
purpose is still relatively new, 
and the £1,000 price tax 
(including a TV monitor) may 
well be reduced in the future. 

Nonetheless, it is technically 
feasible for Teletext and View- 
data— the new domestic TV 
data systems — to provide text 
of a size that might benefit low 
vision people. 

The Royal National Institute 
for the Deaf (RNID) is already 
involved in the forthcoming 
Viewdata trials because the 
system can be used for two-way 
communication. With a viewer’s 
television set connected (via the 
telephone lines and special 
adaptor) to the Post Office View- 
data system, it becomes possible 
for one subscriber to call up 
another and— using a special 
keypad — send messages that 
will be displayed on their TV 
screens. At relatively small 
cost, the totally deaf at last may 
have a method of “ telephoning " 
other people. 

In the meantime, the BBC 
already sub-titles some tele- 
vision news programmes — 
specially for the deaf. The IB A 
also intends to start a similar 
service, but using their Oracle 


teletext svstem so that other 
viewers will not see tbe captions 
unless they are switched in via 
a teletext decoder. 

The IBA’s interest in this 
field has been extended further 
by the establishment, with the 
Independent Television Com- 
panies Association, of a research 

fellowship based at Southampton 
University. Awarded to Mr. 
John Tucker, this will examine 
various aspects of sub-titling for 
the deaf. 

One important development 
in this respect is the equipment 
already used in the House of 
Commons for Mr. Jack Ashley, 
the deaf MP. The normal 
Hansard verbatim reporting 
system, using Pal an type short- 
hand machines, is connected to 
an electronic visual display so 
that Mr. Ashley can follow 
debates. But the Palantype out- 
put is spelt phonetically and it 
requires training to assimilate 
this. However, a new develop- 
ment is on its way that takes 
tbe Palantype output through a 
small computer and yields 
98 per cent clear spelling. This 
innovation will make it much 
easier to use live broadcast tele- 
text captioning. It has already 
been tried at a conference with 
a large platform display, and 
deaf people in the audience 
were able to follow the pro- 
ceedings relatively easily. 

More extraordinary is the 
commerci ally-available Optacon 
reading system for the blind. 
This is a closed circuit tele- 
vision system that feeds signals 
from scanned images of text 
into a small box with a minia- 
ture array of 144 studs: these 
vibrate in a pattern correspond- 
ing to the image and can then 
be “read** through the finger- 
tips by a blind person. Although 
costing about £2.000. for some 
people it is an invaluable aid. 
especially for students who may 
wish to " read ** text books not 
available in Braille. 

Another example of tech- 
nology at work is the talking 
pocket calculator. This really 
does speak its answers (with 
synthetic speech ) . although 
because the currently available 
model comes from the U.S. it 
has a slight American accent! 
There are hopes in the far 
future that the process could be 
reversed— namely that speech 
input could be automatically 
converted into a visual text dis- 
play .for tbe deaf or even a 
tactile one .for the blind. 

Meanwhile, many simpler and 
cheaper aids are doing a first- 
class job and in some cases may 
be irreplaceable. ' The - Post 
Office, for example, provides 
special telephone bells for. the 


deaf and soon expects to hav > 
an adaptation to telephones ths t 
will enable hearing aids to b : 
used without a wired link. T h i 
ENID has many other ingeniouts 
devices— alarm clocks that flash 
lights or vibrate: even a bafty 
alarm that flashes a light 5n 
response to crying. Talking 
books and newspapers, recorded 
on audio tape, are another j im- 
portant service. J' 

For the blind, aucLble 
bleepers which book on tofiny 
place in the garden or bouse 
which needs to be located again - 
easily are available. A niiwer 
persion bleeps only in resj onse 
to handclaps within about JO ft 
— an invaluable aid for a >lind 
person in locating their -own 
gate in the street. 


Design 


The design of hearingtaids 
remains, for some, a vexed 
problem. The welcome minia- 
turisation of the electronics has 
yielded ergonomic snags-j-sueh 
as the tiny three-position switch 
on behind-th e-ear model! an 
impossible challenge for the 
fumbling fingers of the elderly. 
My own 82-year-old mother, a 
reluctant and in conseqnence 
only casual user of such at aid, 
invariably puts it away In its 
box switched on in erro^-the 
screeching noise of the result- 
ing feedback inaudible tolher. 

Additionally, her complaint of 
■‘rushing’’ noises when using 
the aid is a common roe— 
partly due to the complex 
nature of audio characteristics 
in amplified sound. The Human 
ear can be more selective -man a 
microphone, and the frequency 
of speech is high— the very 
part of the audio spectrum 
that diminishes most wi! a age 


but also suffers ' most j from 


reverberation effects in a (room. 

In some cases, these problems 
may be due to the use! of a 
hearing aid with too jrauch 
amplification. It underlines the 
point stressed by all blind and 
deaf experts, that no one should 
purchase or use direct aids to 
sight or hearing without con- 
sultation. Specification of the 
right aid can sometimes make 
all the difference, even if. the 
quality of hearing aid advice 
dispensed by our hard-pressed 
National Health system has pot 
been universally endorsed by 
the experts. 

Anyone wishing ■ to know 
more about these aids should 
write to RNIB. 224, Great 
Portland Street, London WIN 
6AA, or RNTD. 105, Gower 
Street London WC1E GAEL 


Warning on London’s decline 


A CLAIM that Greater London 
faces continued industrial de- 
cline is made to-day by the Lon- 
don Chamber of Commerce and 
Industry. In a report prepared 
by its economic department the 
chamber says that the fact that 
some of tbe main powers in the 
GLC Powers BUI were removed 
by the House of Commons last 
week illustrate that London is 
still viewed as a railchcow by tbe 
rest of tbe country. 

The chamber points out that 
if the PLA closes its upper docks 
the level of unemployment in 
the Stepney and Poplar districts 
could rival that in the worst 
blackspots in tbe UK. While 
some Government measures such 


as the partnership arrangements 
for Docklands. Lambeth. Hack- 
ney and Islington will help, 
there were, other areas of inner 
London which were not receiv- 
ing help, such as Bow and Step- 
ney in Tower Hamlets. 

The chamber has called for 
inner London to be designated as 
an assisted area for a limited 
period of.10 years. It would like 
to see more help given for pro- 
jects such as improved transport 
facilities and clearance of 
derelict land. . 

The chamber says that there 
has been a marked improvement 
in relations between the local 
authorities and industry and 
commerce with new factory 
schemes oow receiving priority. 


However, there is still a iresidie 
of planning problems in ar«»s 
such as zoning and access p 
premises. One of the 
serious constraints to industry 
in London is the growing 
shortage of skilled worters 
which is a reflection of |be 
national situation. j 

The chamber says that 
London this shortage is bang 


caused to a large degree by a 
drift away from manufacturing 


drift away from manufacturing 
industry to jobs in the sop- 
productive areas of the public 
sector. Pay, work conditions and 
a higher level of personal 
security are all main factor^ 
enticing the skilled worker airay 
from industry and weafib- 
creating jobs. 


This ojinaancentcni appears as a miner iff nxord on(y 


CREUSOT-LOIRE 


UJS, $ 65.000.000 
Medium Term Loan 


Managed by 

BANQUE DE I/UNION EUROPEENNE BANQUE NATIONALEDE PARIS 
COMPACNIE FlNANClfeRE DE LA DEUTSCHE BANK AjG 
CREDIT LYONNAIS CREDIT SUISSE. . SOCIETY GENERATE 


. Provided by 

. BANQUE DE L’UNION EUROPEENNE 
B ANQUE NATION ALE DE PARIS CREDIT INDUSTRIEL ET COMMERCIAL 

CREDIT SUISSE LONDON BRANCH 
DEUTSCHE BA NK AKTIENGESELLSCHAFT (Succursalo de Paris! 
MANUFACTURERS HANOVER BANQUE NORDIQUE 
MIDLAND BANK LIMITED SOClETE GENERALS 


1 '■ SL ' 


rt -jt f 1 

v/ i,ilV 

5 


1 U}\\- s 

ir- - J 


THE BANK OF TOKYO, LTD 
BANQUE ARABE ET INTERNATIONALE DTNVESTISSEMENT 
BANQUE COMM ERC-IALE POUR L’EUROPEDU NORD (EUROBANK i 
BANOUE DE VINDOCH1NF FT fiF kf rpr 


BANQUE DE LTNDOCHINE ETDESUEZ 7 

BANQUEDE NEUFLIZE SCHLUMBERGER MALLET 
BANQUE FRANQA1SE DU COMMERCE EXTERIEUR • 

BANQUE FRANCO-ALLEMANDE BANQUE GRINDLAY OTTOMANE- 
BANQUE NORDEUROPE S. A. BANQUE ROTHSCHILD 
BANQUE VERNES ET COMMERClALE DE PARIS 
BARCLAYS BANKS A PARIS CREDIT DU NORD 
LANDESB ANK RHEIN LAND -PFALZ UND SAAR INTERNATIONAL S A 
THE ROYALBANK OFCA NAPA (FRANCE) S. A. SOClETE CENTRALS DEBAjfQUE 
SOCIEXE DE BANQUE SUISSE (LUXEMBOURG) S.A_ 




in ■ 





Agent 

BASQUE DEmOMJROPEEME 



41’ 







r ; 


a 


nr- 


f ! M f*| ** 
.. W rt 


?faafleig<' Ttims ■ftest&y flfty gg I g 7y 


jM I..FINA\( IAI \M) COMPANY NEWS 


KSH sells 
out to 

food groups 
in Holland 


Japanese industry reports sta ^°p. ut 
results ahead of forecast steel group 



Arab finance Corporation 8^1. 

HaiNiiwad anC S^eofrad e»ww LLmxxmQOrjyPi^.Q WM i rM Wrgb»« JPCra ■ Pawl Bank V*aarl 

Audited T ina n ci al Stetemsate 1877 


BY CHARLES SMITH 


TOKYO. May 29. 


By Charles Batchelor JAPANESE industry performed Reasons for the unexpectedly depressed bright profits picture Hilary Barnes 

marginally better during the six pood showing to date include: confirms the impression that the 
AMSTERDAM. May 29. months ending last March than the impact of the Government's economic activity bas been reviv- COPENHAGEN. May 29. 

THE troubled Dutch stari-h and P r * 1 ‘. mina . r y forecasts suggested, heavy public works expenditure iog -slowly during the past few THE DANISH Government is to 
foodstuffs group Royal Scbolleo 3Ud *? n S °y aQ analysis of the on constTUetion-related indus- months instead of staying Dn a rescue the ailing Danish steel 
Hiinig | KSH) has agreed to and Ioss fi 8 ures °t com- tries: the effect of strong invest- plateau, or even .plunging back mill. Den Danske Staalvalsc- 

transfev u«s Dutch and %nm« nf P a0 . ,es which have so far ment 'by the electric power into recession as was feared vaerk. by providing the company 

- _ Ml,u awu, “ Ul rf daI -j eorl tknir KfiCinacC paeilllr inWuplm- AM A? nUnteiflq 1 n nan Y_'_ t nn /m/i ■ ■ l_ 


rescue 

By Hilary Barnes 


over lie substantial internets in “ uu octuuu "tiuuiis ui use duo Biearii-di inousiries iu ueai- ine ainerenve oeiwcen condition real snareOOJders raise 

i hr l'|\ V S South Afri^ and Tokyo Stock Exchange (just ing with the effects of yen appre- modestly rising current profits Kr 54m in new share capital. 

BrHimii " ” a u under half the total). It reveals ciation on their export profits: and slightly declining operating The move follows an earlier 

T?U* nolaio Star. h nn-nnerativ^ a 2 94 pcr cent tocreasc in the positive impact of yen appre- profits reflects the efforts of com- offer from the Norwegian 

Avetw> will iat mpr » h current profits (compared with ciation on the' profits of other panies to produce a good profit Government to acquire a con- 
nf KSH's companies in Holland 1)10 Se P tember - 1977 - business industries whose costs are picture at the end of the March trolling interest which was 


TOKYO. May 29. 


the aid of funds from the Euro- 
pean Coal and Steel Community 
and is now regarded as among 
the most modern plants in 


n-iiph wow npn£«.«^ number which reported rwn n nn • the aid of fu nds from the Euro- 

Suikcr SS' iVImi Iower Profit by 149 to Si. Com- I Ol^VO *5 F Cl 1 CTIP 1161 IIMC pean 0031 and SteeI Community 

fnrrt •« l Sn e panies which recorded increased A UrYU and Is now regarded as among 

food ni « d,V1 S'° n Whl,e sales number 158. against 72 *' F the most modern plants in 

a ‘.quire its wheat products sub wb * ose Sa - es sh0We ^ 3 1f c,I . ne ; BY YOKO SHIBATA TOKYO. May 29. Europ* Tuniover last year 

sidnrv 115 wncai P roflUtls su b- A cautionary note attacned to totalled Kr SlOm and the plant 

’ . Jr ' ■ . _ the Wako anaalj’sis points out THE Tokyo Stock Exchange Daiwa Bank) more than Y20bn produced 672.000 tonnes of crude 

iuini ivJiu'nd "tortnen company, that although nearly half of today suspended dealings in the of profits claimed by Fujisash steel and 552.000 tonnes of 

Avr.i 1 "essanen. Japanese industry has now re- shares of Fujisash Industries and Industries and YlObn of profits finished step! with a labour force 

C.„ ”■ lhe sugar producer, ported its March results, reports Fujisash Sales because of YSOhn claimed by Fujisash Sales were of about 2.500. 
ei’Vr-h unit [;. wtI1 take over the are still to coine from some of ffl3.3ra; of “ window-dressing " disclosed as “ excess statements " However, the steelworks, which 

iijn-n mniiHu activities of the “worst” industries (ship- by both companies is revealed of real profits in the company’s i s the only one in Denmark, has 

c . j Zetmoelbedrijven building and non-ferrous metals), in their latest business results, business reports for the period made accumulated losses of 

near Amsterdam. Whan tha immiw has Unn knth ramiunivc wptp rpwupli ^nrlinp Marph laSf vear. Kr 150m over Ihp n.ust thrfifi 


?ir " K whose sales showed a decline. BY YOKO SHIBATA TOKYO. May 29. Europe. Turnover last year 

ucls sub- a cautionary note attached to totalled Kr 810m and the plant 

the Wako auoalysis point* out THE Tokyo Stock Exchange Daiwa Bank) more than Y20bn produced 672.000 tonnes of crude 
company, although nearly half of today suspended dealings in the of profits claimed by Fujisash steel and 552.000 tonnes of 


When the average bas been Both companies were rescued ending March last year. 


Kr 150m over the past three 


T hp transfer of interests w'ill dragged down by results from from bankruptcy last February The new management has de- years. This situation led the 
UK e place on June 3 with the these sectors the overall level of by Daiwa Bank and Saitama cided to report these excess Norwegian Government to make 


take place on June 3 with the these sectors the overall level of by Daiwa Bank and Saitama cided to report these excess Norwegian Government to make 

purchasers taking over the current profits may show a small Bank: their combined debts statements of profits as a loss their offer to acquire the Danish 

2- uu* . u ‘ h ? ub_ decline from the September totalled around Y200bn last Feb- incurred during last fiscal year. plant to tine with their present 

sid. ariis which have arisen since term. It will be less; however, ruary. According to banking sources, policy of industrial diversifies- 

company suspended pay- than the falls of 5 or .7 per vent As a resuplt of check-ups by both companies' liabilities had flop- 
menrs in March. widely predicted before results a reshuffled management lead by exceeded their capitals before A- P. Moeller and the Launtzen 

I he new owners will 3lso take started to come in. Mr. Hiroo Horigomc t formerly of March 1977. shipping and ship building 

on me l.DOO employees of KSH groups, the mam shareholders in 


Allianz expects further growth 


V'K including the Isomerose fac- ®Y JONATHAN CARR MUNICH, May 29. j 

fnr’ ALLIANZ VERS I CHER UN G. dividend — nn top of which share- more significant to Allianz than | 

KSII I'henr cals- Coro of rS' West Germany’s largest insurance holders will receive a tax credit the figures at first sight migbl 

Now V™ KSH Inwa and company, expects overall bosi- rt r ,ltin S ’™” corpcratioo tas seem to indicate. . 

1 , ° 1 '.u v, e - reform. DM 65m is being added Group premium income from 

... ...j' h..'\ d hl e ‘ .Vina, a I e t 001 ness grow V 1 . of betwee " 6 dn J to reserves. abroad last year is given as 

™ ent per cent 11,15 y eaT ^ and another Premu , m incoGle ,>r The DM 2fl3m— an increase of 24.4 

itai-i-m 1 and hoom in its relatively small hut Allianz Group (not including life per cent in 1976. But this figure 


been shut down. 


Setback seen 
b y KHD 


from the motor vehicle insurance cspec i a iiy strongly — and is Allianz group business, 
division, where the company was 
faced with a steady increase in 

'Sim 1 'Shi' First quarter loss at Schering 

start of 1979. 

Against that had to be set BY LESLIE COLI7T WEST BERLIN. : 


BY LESUE COLITT 


WEST BERLIN. May 29. 


on the 1.000 employees of KSH ' groups, the main shareholders in 

in Holland and the 500 abroad — the steelworks, turned down the 

employed by these companies. In a • a A* j'M jV proposal and the Danish Govern- 

s?i ;^K r b,;r n e r s u s ^ anc,es Allianz exnects further growth 

A purchaser has sull to be AAAAWLMAJ O V T A ment will also provide credit 

found for KSH's interests in the guarantees 

V.K including the Isomerose fac- BY JONATHAN CARR MUNICH. May 29. 

fnr’ ALLIANZ VERS I CHER UN G. dividend— nn top of which share- more significant to Allianz than Cl^fTT WflflfPr 

fell Ghemb al^Coro SSS' West Germany’s largest insurance holders will receive a tax credit the figures at first sight mi S h\ WOrKCr 

New Jersc\ KSII Iowa and company, expects overall busi- re f J,tins rvx f . r0 J? t0 indica . te - rlivrvol-fvvcT 

T, not ness ^ of he,wee " 6 7 » ™ ,s s ^SFiSrtS erectors act 

Zl Kqnvf "°I per cent th,s yeaT and anol ! ,er Premium income oT the DM 2fl3m— an increase of 24.4 • Bv Kef)neth GDodim. 

Rcl-’i-m \v"w aDd hoom in its rel »tively small hut Allianz Group (not including lire per cent in 1976. But this figure industrial CurrwDomient 

£ 'Z'ESTiJ 1° iSS tost-g rowing foreign activities. insurance results) increased by does not include the results of lr,dustnal Corre *P ondelrt 
,_ v . m IT rniu-hhouJ i The pvenitivp chairman Dr 9 3 per Mnt la s l - vear 10 Allianz foreign subsidiaries. If TWO WORKER directors on tile 
r 'KnV uS M ilh! °M 5.3bn. Growth of domestic these are added in. then it is Board of SKF. the Swedish 

r.inrKn'-n.in urfih^in Sch ieren, said furl her cpnt Xo j)M 4.6bn. dear that foreign activities make engineering group, have formally 

h.-cn ih 1 1 i nln ^ c n Uolfr - has r ^^Ho^ n \ 0 n?tihfcin d <Snr-mcI Foreign business was growing no around 10 ocr cent, of registered their *’ reservations " 
SvhIok ™l% Ih1‘?omp. n v™ llrongly — ind ix Allianx eroup buxine SSf^fcEtaTlS »Mid?reS« 

Setback seen ro u-.-hk nnartpr ln« at Sohprincr th W^Goran' e Ss“o n » orr a OW fuii 

, tujv 2 »p— *»? ““ First quarter loss at ScRenng 

OV JVliU Awinst that had to be sH BY LESUE COLITT WEST BERLIN, May 29. t 51'. SVh™ 

COLOGNE, May 29. satisfactory results from other the West Berlin based Schering In the current year Schering suggested that the dividend be 
A QUIETER year is expected by ! ai'Tswns and an increase m cosis pharniaceuiit-js ani j chemicals expects an increase in sales of more than halved from the pro- 
KinPckner-Humbolctt-Deutz in • J°"' er lh an the rise in premium ■ Dav ine an 18 Der cent 4 to 3 Per cent following a weak posed SKr. 4.50 a share to 

IWTS after ihree clear years of . Developments so ar company to paying an 18 percent fim whjch MW - tbe cora . SKr . 2 . - 

growth. Ai a result npt pwfit I P 0J ”tod to a year of suitabh dividend compared with -0 p an y dip ’into the red. World This apparently is more a 
ia likely to drup from last year's j pronlauiiuy. percent. Worldwide group sales sales were hard hit by currency reaction to the current situation 

DM 46.5m nn virtually uu- 1 Last year net profit fell in rose 6.S per cent to DM2.l3bn changes which last year caused of SKF in Sweden itself rather 

changed turnover, management i DM 131m from DM 159m in and Schering AG turnover a DM 50m currency loss. than to worries about the group's 

Bi»ard chairman Bodo Liebc told f 1976. Despite the fall, matched increased 6.2 per cent lo Growth of Schering AG last financiaL -Position, during the 

sh (rehr.lders. •; by the domestic Insurance branch DM 1.2Sbn in 1977 which the year was almost Wholly due to comtA^year. 

I«ist year’s result, when third-! generally, ihe company ispropos- Board; describes as “satis- exports which rose from 01.7. to ~~~/ ' ~ ~~ 

party group turnover rose to i ing an unchanged 20. per cent factory." 63.5 per cent of turnover. r — ■ 

!.»VI 4hn from DM 3.5bn. featured! ; 

.« 'Significant expansion in turn- . • Mof 

S*H5£22 Alfa Romeo chief resigns Dividend ' , 

Mi'iTihirc for large Ipng-term • 1 Jvcw 1SSUQ 

pru/eru ilnmii’h thin trill becuin-l BY PAW. BETTS ROME. May 29. mPrPfl^Pfl 

pen -rt te.l by expected increased; VitO'ViX 

of -lanriard products. : SfU. GAETANO CORTESl. chair- representing an infringement . rrx . 

Parent cnipany turnover in i man of the State controlled Alfa against the National Workers OT B rtTlQ'OO'f 

fir t f-'iir months of 197S was i Romeo car group, resigned today Statute. 

DM Slum again v t DM dT4m. I following a suspended sentence The Alfa Romeo Board is lo B „ Richard Rolfe 

Incoming orders were DM W8m : of 40 days' imprisonment issued meet shortly to consider Sig. mHivvrsHnir 

enpj Pared <•> DM 863m. while \ against him and Three other Alfa Cortesi's resignation. Sig. Cortesi : y ^ 

I'-.Vrs nn hand on April 36 1 Romeo executives by Milan is widely regarded here as one : ° 5 'Y s;,rer ? up : 

I'daMr.i DM 2.36bn against , judicial aulhoriUes on alleged of the country’s leading State i ^ ““ a f^„, t ^ re u ce f n ,V y ac 9 n to e d 

DM2.Thn i rharyes of breaching the Italian sector managers. 1 D ‘ lhe b l r l? manufac- 

K-'irter ! National IVorkers Statute. One of the other managers r *' / r, ™ r ®f e inanstnal, has 

Sis. Curtesi denied today all sentenced by the Milan judicial' D10 fl 5t , *5 ST 0 !? 5 

\3FT 4 [charccs which resulted from a authorities is Sig. Domenii-oj > ea J eD “ e d March 31. On 

A j fc,A returns to profit u aw -suil brought against him by Segala who was shot and L u ™°' er “P from Rl45m to 
M l Dfj IK EAST AIRLINES made; trade union officials. The wounded by ultra-left “Red Rl* 

nci I'Pdit U f Lebanese £30. Im l charges, dating back to I9i6. Bngade terrorists in Mikm ; “ « R Jr-™ T1T7T' 


COLOGNE, May 29. satisfactory results from other Wps t Berlin based Schering In the current year Schering suggested that the dividend be 
A QUIETER year is expected by ! aivtsion* ana an increase tn cosis pharraaceuticajs and chemicals expects an increase in sales of more than halved from the pro- 
Kin*>ckner-HumbaMt-Deutz j n ' lower than the rise m premium . navine an i8 Der cent 4 to 5 per cent following a weak posed SKr. 4.50 a share to 

197$ after three clear years or *»«"»; . Developments so ar company to paying an 18 P« cent fim wW#b MW & tbe cora . S Kr. 2. - 

growth. A-s a result npt pwfltl P° J RWd to a year of suitabh dividend compared with -0 p an y dip 'into the red. World This apparently is more a 

:a likely to drup from last year's; profitability. percent. Worldwide group sales sales were hard hit by currency reaction to the curren-t situation 

DM 46.5m nn virtually uu- 1 Last year net profit fell tn rose 6.S per cent to DM2.l3bn changes which last year caused of SKF in Sweden itself rather 

changed turnover, management ! DM 131m from DM 159m in and Schering AG turnover a DM 50m currency loss. than to worries about the group's 

Ri»ard chairman Bodo Liehe mid 1 1976. Despite the fall, matched increased 6.2 per rent lo Growth of Schering. AG last financial, .position during the 


EXTRACTS FROM CHAIRMAN’S STATEMENTS 


O I «n p i — id to ripen dot AFC —M M—fuly in bulb 
l —w l)ir,liff.w»iimti(Miio«yi kJi m m e n u. 

9 In LifeMon. iMfor poiWcil pmfafcna m min ed unmotved, Aob 
d wmria era und n e l wi a iieebu nn uni pm of dieir 
hrf p— niBMri mrinneiB lo meet VMr amfiriiiMe ( — p —n t 
pMm. Fmftennon. Impen e d —1 I nOHmu m Mlanofi It 
—i— tr u i n g hurt tn on mw e — m PMier this downs 
— n ehelr me rr y. » o wu ie H and oebne down Ufa MmOM 
of —Ml dam. fmily. IhO HOtld anont>ni|r Mi allacnd try 
U*a fanmcleciHm (d «v» Inret mbooal rnoamry mum (aid rhm 
uneerertnoet anting metahom i— imniif by am Aamebc 
e» r e*n — of Me IAS. Doner on the uteoneiloml mvW. 
ponieiihtrty *IIK — and hrtl of — year. 

• AFC had ■> o mnmm e the aftarmaih of (he fawn year rue* In 
Lebanon, n f— III In mmlen end amducl tilidantoeeeioiH aa 
Mm Sum ebmn—ncM, and 10 imuane UiOy in operadem ar 
m heeae w enen an Bcmil nappertad by ha. EureeMe (Vruaa in 
Fma. The above whe n * lemon a m lwal hu t mhm . our 
Co'PBrnMM ha MaOB—M in nMidni As fcUomng 
■ccnmfiiihcnanci: 


1] Total —an In— d (ran LU 13 BKBABt to t-L. 
188.1 20, me in 1877: comri kcouib ILenen el Ciedh. 
Lea am of G—.J im r iaw d from L-L. MfiOO.Wl in 
19KaLL 74.IMUI13 in IS77. 

a The V— mails ineraaaad fiona l_L. 300JSG Is LL-35QJ05 
ahich nere trvabnvd ui toaaliiy to poveioa ioduqi lor 
pevuMe town on Ihm ead oanor t i nu aipaii r iu. Thai 
Irmwmti h>M provemm ha am from LL 6J?Cnj6a m 
1878 m l_L I.BMJIbl m 1077. Thaw ra—B law Mm 
pitrtnM rtlNMoh all acEaaaM inarm on all hue tah. hern 
eed wnm, tnduCM aa ilia ubanac portla'd. ha not 
ben aa tf adio earai— ue eu m ban matrt—d lo a nimiawi 


31 lia1B77. AFCIaad dna TntemMionrt ttan and maiaaerd >W8 
■•her «io end iyikEcihkI kMm, In addhlon m perde m e t hrt 
hlKIwa. 

4| To re— Hid ID emOHaar maacfMinni and valetae lorlunhtf 
ajavactilcMlnn a P mao, AFC haa daeMopart nawraoduct 
Nnaa oflami I n a — m en l OHM ipartaHy odcml tf tat* u> 
aha »mb ef lha IMdh Eariam nma a iou. nanniy: 
aj Tha •‘Loan Ineaineni Orulmw~ which arflaaF 
•mae^irad Rnarort hm-'uimm an imirumant lor 
BdHMrtdOMiaea in srncfcaaad aiaunaaienal haanh. la Mo 
acocaa u anhar anatituomal M iKbvimial iwarten 
loiucn haok 

falTho “Arab Finance Incoma Faxaf waa furred to oooa 
•men the aaarfc ef mil and rnnhunvaind Irai aama a. TN» 
Fund would become Operational h die lam hart of IB 78. 


B CuaMmoa — i n— acUvhiM and pro— n o hava oaqumlad 
lo Mte ml K mabrehing naiv conpain and concluding for 
ihe dam joaia acnwia apraamenia pah intemaOonil 
iimrnarr. Hanot eAUnp a nn* dimamien u horfurent 
•nanaffiran t aahmica lor bKbvuual cunona— and 
inaeiufiamaJ ewaaten. 

W DHiaianuM wadi tha ommolim of our FClivHiec, and in 
Una watfi ole policy. AFC haa cowed to funtaar rtranythan 
our bala m oHondl awvtcc netwmafe. It eominuad lo play a 
■nap r rail in ecOblaMnd nr* maniac lor Wa Arab Fwanca 
CreiM Dunng 1BT7 in centhbandn «uaa haVumoiBl in lha 
hemal Ion and artnng-up ol: 

- Saudi Ham CwnraMa BaanflSnl SA.- Caoa»a 

- CompapMa FoncMro Arab# at ImmaOOMhl 1FAHABI) — 

7 Art IS ■ 

■ Fteth—nora, the teoanaion of lha Arab Faaanar Group in both 
thauobmwol aciwnloi of lha wulouc rpdtMi ol lha Choup and 
M cr canon of ran wbm in Game —1 Balvan, an aUitoa 
to ttioae piaimad to be euabiiiMd an Lombwi and Amnun. wall 
mhinca an ihr luiarc rtie AFC eeiwiiy and parnM ll lo play aa 
ioc— ( rala ip fualaiiM dw Gra <9 vowth. 

Dr. C MAFIC AKHRAS 


ADDRESSES: 

Ww 

OamancdMi Stmt — GefTnor Cmtrs — Bloc D — P.OJBox 
It 3- 5537 - Cofile: FINAN CORAS - TtU 353020/23 - 
Tttox:ARABF12U97LE. 

RorfetR.0.) 

49 - 51 Avenue George* V 75008 -TdU 720.78.04 - 
Triw: S3088M1 1352/3 


BALANCE SHEET 

llBUban— Pooada)* 


ASSETS 

1977 

a Cash In hand and at binJcs 35,204,630 

a Dua (ram banka and other 
financial inctiniiiont: 

— Time deposits 

56.825,587 

O Securities 

—Trading account 

6,030,366 

— 1 raws mi ant account 

5.220.534 

C Bills receivable 

19.005.224 

O Loans and advances 

23JS20£71 

D Current accounts with 
related componiai: 

— Holding company 

2,696.704 

— Others 

957.067 

O Accounts receivable 

92.741 

O Participation investments 

140,283 

o Fixed assets 

704.632 

o Other assets 

1.621,387 


9.B25.397 

C.77CA35 


2.815,583 

4201^88 

866.470 

575.540 

1.461.767 


15S.1MJ2B 136.D33.46Z 
LIABILITIES AND SHAREHOLDERS EQUITY 


0 Due lo tun k* and other 
financial Institutions: 

— Cali accounts 
—Time depoirri 
D Borrowed lundi: 

— Fiend matuniy 
O Current accounts with 
related companiat: 

— Holding comfuny 
— Olhars 

O Accourns payable or 
accrued liabiiities 
oPiovhiom 


Shareholders equity; 

o Share capital — 150,000 
shares 11 S7B 60.0001 of 
LI- 100 racti fully paid 
o Legal reserve 
O Retained earrings 


9,585.267 17.133,243 
41.332.501 &5J2T 2.500 

4BJ55.296 43^22,167 


11.593.188 

12^92,172 


3,750,010 8,140.462 

7.884,651 6201,359 

139.798^85 129.711.721 


15,000.000 

37,174 

C84.567 


6.000000 
37.174 
2F4.5G 7 


o Contra accounts 


155,120,026 136J33.462 
74.198^13 34J000.407 


O Tool Balance Sheet a29J18^39 170.033,809 

STATEMENT OF INCOME 


INCOME 

o ImereR 
a Coanmnsions 
O Oltun income 


3^14^27 

1,467,060 

466.472 


6.181.491 

1335398 

24S35I 


EXPENSES 

o Interest 63S7.723 5335329 

o General and administration 
«p*nses 3349,436 2382335 

o Dtpi ecu tian and 

amort iration 121,966 106352 

—Pronsion securities 169.635 126328 

11306.760 8.052.444 

a Balance transferred lo 
pronsion lot posable loans 
and other contingencies 359305 ,300208 

11,568.365 8,352.740 

AudhceK Price Watertiouie.Abou Ctucakh and Co. 
•ILL s USS0JQ3 


Alfa Romeo chief resigns 


BY PAUL BETTS 


ROME. May 29. 


83.5 per cent of turnover. 

Dividend 
increased 
at Tongaat 

By Richard Rolfe 
JOHANNESBURG, May 29. 


All of these Bonds having been said, ibis announcement appears as a mailer of record only . 


New Issue 


30lh May 1978 


MEA returns to profit 


kr ) >«ir vomsKinrd with a total . relate to the alU-yed decision earher this year. > from 61 * rimu to ^ 

U.:s ■ j r U'lW.Sm in 1<IT5 and IHTfi.'by the sroup not to enrol three The Alfa Romeo group has , J™" St riw to 

to chairman Mr. Asad workers. increasingly become a target of , t he total (Sridend is uD^IroST^ 

V N.if!\ report-; Reuter from' The unions reportedly claim terrorist attacks, especially since ^ J 01 ® 1 “JL -f 

Beinir. Net profit for lasl year : that enquiries into the private it introduced Saturday overtime | 10 * , L ce "5, 

n-;»re-i'iiicrl four per cent of lives of the three candidates had shifts to boost the production ; cents, on a yield 

. . J J . I 1 K.. n -aha r\f « nnu , r- m nilol Ol 34 per CeDL 


Earnings per share have risen 


r«- i-mirt. Mr. Nasr added. 


been ordered by the car group, of a new rar model. 


He already has die biggest convention facility 
in Brussels. Why is he building more? 



v*t ' 





t*-*' *i 


He can't say no. Call him: 2193400. 


3 lo is Giovanni Oronia, -.Mr. Conven- 
tion" -«t our Brusscls-Sheraton Hold. 

) C ;m easily handle 2 to HOQ people 
at a meeting up lo 800 al any kind of 
:,n eating allair. Or at a ball - he has the 
hi eye s i ballroom in Brussels. 
j\yk\ after the ball is over, the chances 
arc small thatyou‘11 have lo move the 
«• ue>Ls to other hotels. He has hundreds 


of big, quiet friendly rooms upstairs. Plus 
a huge garage down below so that lhe 
cars don’t even have to be parked outside 
The most convention space in town is 
still not enough for Mr. C. He's 
standing in 600 sq. metres of further 
space we're building For him on the 
30lh floor. Ready in the Autumn. But 
don't wait until then to give him a call. 


People make hotels. 


Brussels-Sheraton Hotel 

.PLACE R0GILR3 - B IUW BRUSSELS •‘TEL: 2155400 • TF . I .EX:26SS7 



| of S.8 per cent 

-- Tongaat accounts direct for 
about 9 per cent of South 
African sugar output and has 
further indirect interest through 
its shareholdings in Huletts 
Corporation. A year ago how- 
ever. jbe annual report showed 
that Tongaat’s non-sugar side- 1 - 
mainl.v embracing bricks and 
textiles — had exceeded the con- 
tribution of the sugar side lo 
group proflls. 

The position as ar March 31 
this year is not yet clear, but 
the moves made to tie up con- 
trol of Primrose Industrial and 
to iierqe it wtih Coronation 
Industrial. Tongaat’s wholly 
owned brick producer, will 
almost cprtainly reduce further 
the importance of sugar. 

Lion Match 
profits growth 

By Our Own Correspondent 

JOHANNESBURG, May 29. 
LION MATCH, the quoted South 
African subsidiary of Wilkinson 
Match, has reported figures for 
its year to March 31 which com* 
pare favourably with those for 
the previous IS montb account- 
ing period, with a particularly 
strong performance in the second 
half year. Turnover was R36m. 
against RSSm. for 15 months and 
pre-tax profit R5.3m. against 
P.5. 6m. On an annualised basis, 
turnover is pot at R30m. and pre- 
tax profits at R4.5m. for the 12 
months to March 31. 1977, afford- 
ing a better measure of the 
apparent growth in the latest 
period. 

Earnings per share! -Before 
extraordinary charges of R0.7m. 
are struck at 34.9 cents com- 
pared with 34.6 cents for 15 
months and an annualised 27.7 

cents. The dividend is 17.5 cents, 
which compares with 19 cents 
for 15 months or 15.2 cents an- 
nualised. and the shares at lo5 
cents vield 9J5 per cent. Since 
June last year, the original Lion 
Match operations in lhe Repub- 
lic, controlled by the old British 
Match Corporation, have in- 
cluded the local operations of 
Wilkinson Sword, whose entire 
issued share capita] was- acquired 
for R50.000, and which, was not 
officially expected to have any 
material short-term effect on 
Lion Match. 


¥40,000,000,000 
REPUBLIC OF VENEZUELA 

6.4% Japanese Yen Bonds of [1978] due 1990 

Second Series 

Central Bank of Venezuela acting as 
financial agent for the Bepublic of Venezuela 


Yamaichi Securities Company , Limited 

The Nomura Securities Co., Ltd. Daiwa Securities Co. Ltd. The Nikho Securities Co., Ltd. 


The Nippon Kangyo Kakumaru Securities Co., Ltd. 


Wako Securities Co., Ltd. 


Sanyo Securities Co.. Ltd. 


New Japan Securities Co., Ltd. * 


Merriil Lynch Securities Company 

T'A-.b Branch 


Loeb Rhoades Securities Corporation, 

lotyo Brunch 

Doi-ichi Securities Co., Ltd 
Koyonagi Securities Co., Ltd 
Yachiyo Securities Co., Ltd. 


Okasan Securities Co., Ltd. Qsakaya Securities Co.. Ltd. 


Yamatane Securities Co., Ltd. 


Toyo Securities Co.. Lid. 
The Kaisei Securities Co., Lid 


Mita Securities Co., Ltd. 

The Chiyoda Securities Co„ Ltd. 
The National Securities Co., Ltd 


Ichiyoshi Securities Co., Ltd. 

The Toko Securities Co., Ltd. 
Nichiei Securities Go., Ltd. 


Meiko Securities Co., Lid. 


Koa Securities Co., Ltd. 


Marusan Securities Co., Ltd 
Tokyo Securities Co., Ltd. 


Kosei Securities Co., Ltd 


Town Securities Co.. Ltd 
Mammon Securities Co., Ltd 


Credit Suisse White Weld Limited The First Bos ton Corpora tion Morgan Stanley International Limited 
Solomon Brothers J. Henry Schroder Wogg & Co. Limited Westdeutsche Londesbonk Girozentrale 



r 'L ■ 




BUSINESS AND INVESTMENT OPPORTUNITIES 

READERS ARE RECOMMENDED TO TAKE APPROPRIATE PROFESSIONAL ADVICE BEFORE ENTERING INTO COMMITMENTS 



GRESHAM TRUST 
LIMITED 


Permanent and long term capital 
for die successful private company 


Also a wide range, 
of banking sendees, inciuding:- 
Sdcctivc finance for property development 
Commercial and industrial loans 
Bill discounting 
Acceptance credits 
Leasing 


For further information 
please telephone 01-606 6474 or write 
to Darrin eton House, Gresham Street, 
LONDON EC2V7HE. 


Cr-'-IurnTrii't LuHjaniDcron Hcwsc. Gresham Street, London EC2V 7HE 

TJ; 01-606 W74 


Orikc: EJrauiui House, NVwhall Street, Bir m i n g h a m, B3 SEW 
TuLlUI-1* 1277 


Cash Toucher 


This cash voucher 
entitles your company 
to an immediate 


75% CASH 
AGAINST 
INVOICES 


Subject to afiorovai 


Cash flow problems?Then cash this! 


Need Cash Now? You've got it right there on your 
books! Confidential Invoice Discounting Ltd gives you 
75% cash against invoices — money you can put to work 
today. Our invoice discounting system is entirely 
confidential. Your clients remain totally unaware of its 
existence. For the full facts post this voucher now or 
phone us direct 

Confidential Invoice Discounting Ltd. 

Circus House. New England Road, Brighton, Susses BNl 4GX 
Telephone; Brighton (0273) €06700. Telex: 87382. 

Also Birmingham, Cardiff, Leeds. London. Manchester. 

A subsidiary of International Factors Limited. 


LAND REQUIRED 


(minimum 3 acres) 


For Industrial or Commercial Development 
an a joint basis 


by an experienced Development Company 


Write Box G.2002, Financial Times, 
10. Cannon Street, EC4P 4BY 


ATHENS 


C a nrr* at 2 ready-to-wear manufacturing unit, eiubliihed in Athens. 
G’te^c. with 1 a contact icneui foreign businessman or entrepreneur with the 


^ur^aic c: pa-tncnhip. ‘ ... . . „ , 

The present turnover of the unit amounc* to U.5. 5 million dollars, or 
. irons exports to Western and Eastern Europe. U.S.A. and the 
Kiddie East. .. . - 

The lactory is housed in a modem four storey building covering 9,100 m 
ijily pwned by the p'opuctors and employs 300 skilled workers. 

The interested parties are kindly requested CO contact directly Messrs. 
Gcc'-.- Constandmids. Notary. 34 Thcmistaklcout Street. Athens. T.T. 142. 
C-rr:.\ for ill necessary additional information. 


Who wants to be a 


millionaire ? 


Should this cap happen to fit you, you would be well advised 
to fix your sights 00 real property, in which 90% °f all existing 
millionaires achieved their fortunes. All the signs indicate 
the imminence of another property boom: rising house prices, 
falling investments yields. City institutions buying farmland. 
To keep ahead of the herd in this fast-moving market you 
need to study the Properly Letter, which gets to the very 
heart of the property business with down-to-earth, pungent 
-articles providing you with information, ideas and unusual 
approaches that you won’t get anywhere else. The Property 
Letter could just possibly be a better investment for you 
than the property market itself! For details of a FREE TRIAL 

OFFER, write to: 

THE PROPERTY LETTER. Dept. ILG 
13 Golden Square, London, W1 
or phone 01-597 7337 (24-hour answering service) 


BUILDING 

COMPANY 


presently carrying out a £12 million 
Turnkey project in Nigeria 
has rude, avc* [be bast three years, 
f »:cn».»c connection* in that country 
and withes to atiociate with an 
established U.K. Csn*trucuon Company 
with c-vil engineering skills who have 
fhc necessary resou-aci to support the 
'inihc.al requirements oi contracts in 
the £5-£25 million range. 

Write Bos G.roic. Financial Timet, 
?£>. Cannon Street. E C4P 4BY. 


WORKING DIRECTOR 

Required lor retail fish company in 
:hc sou:h. Must be able to purchase 
halt sharp interest. Turnover in 
excess Of £300.000 p.a. 

Ss'arv S» agreement. Car provided. 
P'ecie Writ? 801 G.2006. Financial 
T,nct. it}, Canaan Street. EC4P 4BY. 


Old Established 
TRADING COMPANY 


Saw - uii.ul tu*i s- As trading 
^ n^ .iin. jin-li tabls m ispun. Aqul- 
•.•..11. or niTLVr I'lTinJiTiJ. Please 
1:1 !.tkt lu Chairman. Box 
' v :;i| Tuiil-., id. Cannon 
IV ,1* l”V. 


-NAMAC 


i 


ATTENTION 

PROFIT 


TO SELL OR MERGE 


your company ra your very best a d van- 
tage , you need the professional exper- 
tise ot the National Association of 
Merger & Acquisition Consultants with 
40 member firms in the USA and in 
Europe. NAMAC has had particular 
success with firms having a NAT of 
SIOO.OOO or more. For a member firm 
near you who can arrange a discreet, 
confidential contact with a qualified 
buyer, wnte NAMAC. 4255 LBJ Free- 
way. Suite 282V. Delias. Texas 75234 
USA 


FOOD IMPOSTERS 


Importers of basic foodstuffs for the 
Food Manufacturing Industry, wuh to 
acquire small companies with similar 
trading activities. Would wish Owners/ 
Manigers to remain. 

Write Box G.2005. Financier Time*. 
10. Cannon Street, EC4P 48T. 


CEMENT BSS. 12/58 


LIMITED COMPANIES 


FORMED BY EXPERTS 
FOR £78 INCLUSIVE 
READY MADE £83 
COMPANY SEARCHES 

FXPRtiS CO REGISTRATIONS LTD. 
30 City Read. ECI. 

:i o:a 5434/5/7361. 


available for delivery, subiccc to 
contract on C & F basis against firm 
orders and confirmed letters of credit 
shipments, tonnage dependant upon 
shipping arrangements, discharge port 
facilities and delivery requirements. 
Order details of tonnage requirements 
and delivery port to General Export 
and Trad Ins Company. London. 
Telex 23312. Telephone 01-580 483 0. 


IBM ELECTRIC 
TYPEWRITERS 


INTERNATIONAL 
HOTEL MANAGEMENT 
COMPANY 
jt» ally iiscir wuh a 
Mit:;-iv t'f tin :i ncc for liutol 
.11 it iiiH tiling hnlh in Iho U.K. 
.i:td flsewhfro. Write Box 
• i.liW. Final. cia] Tiling. 10. 
Cannon Street. KC41* 4BY. 


Factory reconditioned and guaranteed 
by IBM. Buy. save up to 40 p.c. 
Lease 3 years from £3.70 weekly. 
Rent from £29 per month. 


Phone: 01-441 2345 


CONTENTS OF 
FRINGE BANK 

(and from artier sources) 
Exceptional quality office furniture, 
uak desks, hido chairs, swivel chairs 
in tweed, film] cabinets, and filing 
cupboards. Adler and Olympia type- 
writers. 100s of other bargains. 
Phone for detnifi; 

Brian North or Bill Raynor « 
Commercial." 329 Grays Inn Road. 

London. WC«. 01-819 9663 


CONSCIOUS 


COMPANIES 


Don't write off any obsolete or slow- 
moving stock at your year-end. Sell 
it ail to us at book value. (Consumer 
products only please). 


Write Box G.2000. Financier Time*. 
10. Cannon Street, EC4P 4BV. 


HONG KONG 


Singapore & surrounding 
growth areas 
JOINT VENTURES . 
Manufacturing-Marketing or 
Service Industries 
Write Box G.20I5, Financial Times. 
f0. Cannon Street. £C4P 48 r. 


COMPANY REQUIRED 


WITH AGREED 
CAPITAL TAX LOSSES 
IN THE REGION OF £400,000 
Write Boa G.2009. Financial Times. 
10. Cannon Street, EC4P 4BV. 


SAUDI ARABIA 

Comoany Business Law 

UNITED ARAB EMIRATES 

Company *»slness Law 

LIBYA 

Comoany Bini-ieos Law 

QATAR 

Company Ouvicss Law 

OMAN 

Company Business Law 
Five complete expositions covering all 
Business Commercial. Tax. Oil. Banks 
& Companv Laws. Fttired t*v M A. 
Mata. Lawyer. Hardback — approxi- 


mately 44Q pages eai.11. Prinieo oy 
Oxford University Press. £35 each 
plus P. and o. Order I rone- 

ARAB CONSULTANTS 
FOR ARABIC LAWS 

1 A Eiuusoi ore Gardens Mows, 
LONDON SW7 1 HX 
I’d. 01-5*9 4295. Telex SI 6503 


STOCKBROKERS 


Long established firm with 
mainly private client business 
would like to discuss with 
firm of a similar nature the 
benefits which would accrue 
from a merger. Location 
immaterial. 


The Senior Partner. Bo* G-2801. 
Financial Times. If. Cannon Street, 
EC4P 48Y. 


CALIFORNIA 


Retired S.E. member, now resident 
California, offers personal, confiden- 
tial services 10 Individuals or com- 
panies Interested in this area- la 
London mid-June. 

Wnte Box G-2013. Financial Times, 
10. Cannon Street. EC4P 4BY. 


BUSINESSES WANTED 


W ell-established 


Public Company 


FRANCE 


F-enci indiittrial g-dup offer. fDr ute 
-d|P- p’ --iipr thi'Cha)d>ng in a pork 
t-. j; 5-?:.>M-ng campany which hai a 
*{'t l-’ir lit iiodtrn plant in the 
;ff; p! Frincr. 

W itt Spr F.fC20. Financial Time*. 
<0. Cannon Surtl. EC4P 4BY. 


CITV OFFICE SPACE WANTED. Sa«nt 
rul iwo-man selection consultancy vxkv I 
atttul JSO *a. I«. Would Share reception | 
Ijilllly cast. One vcjr tenancy would . 
cult Arm of accojnuntS or similar oro- i 
I leuional. Write Box 2012. Financial I 
Time*. 10 Cannon Street. EC4P 4BY 
Bahrain building exhibition nov. I 
197S. Comoany <?,hln,tinq offer* soars. j 
administration a.io marLetlnq to cam- 
Danin Iniwetinj ■» Middle East trading. 


wishes to expand by acquisition. If you 
have good products and would like to 
belong to a well-run Group, please write 
with relevant details. Management can 
be retained. 


LNERGETIC SCOTTISH WHOLESALERS 

■.-ib-.tJnt.jL it O'- Jr,,' Jiul dntr.hu! ion 
c.*r-»'tp» it!h io --anlacl manulac. 
•- nr-. cr ,-er. I -i-c. Conijct R 

V:Nc V 041 SE9 S114I5 


Reply 10962761 B71 Telex 477174. 

LI A WEEK Io, E C.2 jddrcsi or phone 
I i»«ui»m Comb. ned rate, ■»• tele- 
under ft a w<V* Prestipe a Pi -ex near 
I Stock ivchange. Message Minders Inter- 
' national Of ub-JU tele* on 1(725 
SMALL ENG. CO. With Spec Product* lor 
Chcm. Industry for sale Owner wishing 
to retire. Manchester Area. Freehold 
□remises Evoort connections Write Box 
G2007. Financial Times. 10. Cannon 
Street. EC4P 4BT 


BUSINESSES 
FOR SALE 


FOR SALE 


Expanding Engineering and 
Construction Company 
For Sale 


Box G2014 
Financial Times, 
10 Cannon Street, 
EC4P 4BY 


JEWELLERY 


manulattutinj finding, etc., 
it J-KS-a met all f-ar the Jewel Wy 
lxSu«;'y. Medetn tauth coatt lacto-v. 
7j-np»c- L "t per annum. Principal* 

only. 

V.*r-:e Sat G.7P04. Financial Time*. 
?2. Ccino.n Siren. £C4P 4BT. 


Main activity comprise* proviiion of 
lkilled labour, including coded welder*. 

for the pcrr-achemicjJ and allied 
industries. Cu-reot year’* turnover 
approaching £lm. G’eater turnover 
ponitrfc vritii infection of working 
capital. 


PUBLIC COMPANY 


Write Be* G.2000. Financial Time*, 
t0. Canaan Street. £C4P 4BT. 


without complications has £500.000 available to acquire 
profitable company for cash and shares, where manage- 
ment remains. Control is relinquishable if minority 
shareholders are suitably safeguarded. Reply i n strictest 
confidence, in the first instance, to our Accountant 


Business and Investment 
Opportunities 
Businesses For Sale Wcmted 

Every Tuesday and Thursday 


f? 3 te: £ 15 per single column centimetre. Minimum 
5 centimetres. For further information contact: 
Francis Phillips, Financial Times. 10 Cannon Street 
EC4P 43Y. Telex: 885055. 


01-248 4782 & 01-248 5161 

FINANCIAL TIMES 

EUROPE'S BUSTiESS f'EWSW’ER 


Write Bov G.1949, Financial Times. 
10, Canngn Street, EC4P 4BY. 


PRIVATE COMPANY 


Wuh to acquire a bun ness which 
ncods lewirt or rrtail finr and can b« 
controlled from the N W. o: England. 
Substantial fundi ara available to 
purchuc or acquire a controlling 
iharehaidin; in a small publie company. 


Write Boa G.70T1, Financial Times, 
tO. Cannon Street. EC4P 4BY. 


Group Seeks to Acquire 
MANUFACTURING 
ENGINEERING 
OR TRADING CO. 
with profit record — area 
£I0GK— £S00K p.a. 
Management Assistance Services 
Wrfta Box G. 7998. Flnano'of Times. 
10. Cannon Street, EC4P 4BT. 


PLANT AND MACHINERY 


M GENERATOR 

New 5C0 kVA Rotla.Rofch diesel. 
400/415 vales. 3 -Phase. SQHx. 
Suitable 'or all alianxe*. Immediately 
available. 

GENERATORS 

(New) 35 kVA. 25 kVA. 16 kVA. 
Parkins d*e«l «». 400/415 volts. 

3-Phiio. SOHx. Suitable for UK and 
orersau. Immediately available. 
Te(.: M.8.K.: Motor Rewind* Led.. 
Coventry B95I0. 


GENERATORS 


Over 400 sets in stock 
lkVA-7Q0kVA 

Buy wisely from die manufacturers 
with full after- ales service 

CLARKE GROUP 
01-984 8231 
Telex 897784 



Financial Times Tuesday May 30,1978 



WHY PAY HIGH TAX 
ON THE INTEREST 
ON YOUR CAPITAL ? 

(up to 98% 

on “unearned” income) 


Let it help children in great need 

Instead of sending so much of your interest 
straight to the taxman lend some of your 
capital to Action in Distress. The interest 
will be used to help give needy children in 
impoverished countries a chance in life — by 
teaching them a useful skill, and by providing 
supplementary food and clothing while they 
are learning. Your capital can be withdrawn 
at any time with one month's notice after the 
first six months. Neither you nor the charity 
pay any tax on such a loan. 


Guarantee of Security: Your capital 
will be held and administered by the National 
Westminster Bank as Trustees. On these 
terms you ran lend from £100 to £1 million 
in multiples of £100. 


Invest in Children’s Well being: 

Send your cheque, payable to Action in 
Distress, or ask for further details for 
yourself of your financial advisers. 

Please write to me: The Rt Hon. Christopher 
Chataway, Hon. Treasurer, Action in Distress, 
Dept. FTLOl, P.O. Box 69, 

59 Islington Park Street, N1 1QL. 


CONFERENCES 


The induistria! Society presents their 
joint conference on industrial democracy 


The Great Debate No. 3 


to discuss the White Paper 


INDUSTRIAL DEMOCRACY 


Tuesday 13 June 1978 — -0930-1645 
The Hilton Hotel. Park Lane, London W1 
Chairman: John R Pearson. Head of Management Union Relation! 
Department 

0945 The Rt Hon Edmund Dell MP, Secretary of Scat* 
Department of Trade 

1115 Peter laoter, Managing Director, Ellcrman Lines Limited 

1400 John Nott MP. Spokesman for the Opposition 

1515 David Lea, Assisant General Secretary. TUC ; 


The fee includes the attendance of one manager and one shop steward 


Enquiries: Bridget Thompson. Management Union Relations 
Department 


The I 

Industrial The Industrial Society. 3 Carlton House Terrace, . . 
CnCiflhfl London SWI. Telephone? 01-839 4300 Ext. ISA. 


30 May 1978 


The Mitsubishi Bank, 

Limited 


Negotiable Floating Rate U.S. Dollar 
Certificates of Deposit 
Maturity date 28 November 1980 


A 


In accordance with the provisions of the Certificates 
of Deposit notice is hereby given that ibr the sis month 
period from 31 May 1978 to 30 November 1978 the 
Certificates will carry an Interest Rate of 8%% per 

annum . 


Manager & Agent Bank 
Orion Bank Limited 


ORION, 


CONTRACTS AND TENDERS 


REPUBLIC OF PANAMA 


INSTITUTO DE ACUEDUCTOS Y ALCANTARILLADOS NACIONALES 
INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT 
IDAAN — IBRD 


PREQUAURCATION NOTICE 
POTABLE WATER PROJECT FOR COLON 
MECHANICAL AND ELECTRICAL SUBCONTRACT 


CONTRACT NO. COL 2A 

It a barely announced that the INSTITUTO DE ACUEDUCTOS Y ALCANTARILLADOS NACIONALES 
( !DAaN ) or the Republic of Panama will receive application! for the prequallfication of i nee rested 
contractors, estaslubed in member countries of the International Bank for Reconstruction and 
Development (World Bank) and Swloevlvd. tor the supply, erection and commissioning of all 
meclualctl «nd eicaricU equipment for a proposed new 4 million (US) gallon per dag water treatment 
plant, lake intake and pumping station at Colon. 

The equipment at cbe Treatment Plant will comprise the following: 

(i) Flat boitsomed vertical flow clarifiers. 


<*•> Rapid gravity filters with air and water backwashing arrangements. 

(Hi) Chemical handling and doting for lime, alum, polyelectrolyte, activated carbon, sodium silico 
fluoride and gaseous chlorine. Dry feeders will be used where appropriate. 

(hr) Instrumentation equipment to monitor, transmit, indicate and record tank water levels and rates 
of flow. 


( v ) 150 KW diesel generator for sondby duty, 
(vi) Internal pipework and valves. 


Tbe equipment at (fee Intake Panning Station will comprise the following: 

(vii) 2 No. 2.1. MGD electrically driven vertical turbine pumps with above base discharge: Total head 
70 nietrei- 

(viii) 2 No. 1.05 MGD electrically driven vertical turbine pumps with above base discharge: Total head 
65 metres. 


(ix) Surge protection equipment. 

(x) 250 KW diesel generator for standby dney. 


(xi) Switchgear and equipment to allow the pumps to be controlled remotely from the Treatment 
Plant.. 

The power supply for the above equipment will be 3 phase. 60 Hera. 440 volts. 

Tbe succctsfnl contractor will be nominated as a subcontractor under tbe Main Civil Engineering 
Contract (for which separata prequalification will shortly be invited). The conditions of Contract for 
both iha Main Contract (Contract No. COL 2) and for die nominated subcontract (Contract No. COL 2A) 
will be based on those published by the Federation Internationale des Ingenieura— Conseils (F1DIC). 

Payments to the nominated subcontractor will normally be made by the Main Contractor. Provision 
will however be made In the contract for IDAAN to make payments direct to the subcontractor in the 
event of the Main Contractor unreasonably withholding the paymenm due. 


Payment* for goods and services provided in tho Republic of Panama will be made in Panamanian 
Balboas (presently at par with the U.S. Dollar) while goods and services provided elsewhere, outside the 
Republic of Panama, will be made in U.S. Dollars. 

Funds For the project are being provided partially from Loan Number 1260-PAN signed wftii tbs 
Inter naoonai Bank for Reconstruction and Development (World Bank— IBRD). 

»* Presently expected that Tenders for the nominated lubcontract will bo invited in September, 
I97B, and chat an order for the work will be placed by the Main Contractor in about February, 1979. 
It w expected that a total period of about twenty (20) months will be allowed for the manufacture, 
delivery, installation and commissioning of the equipment. 

Tenders presented by Panamanian and foreign concerns will be required bo conform to the rales 
governing Public Tender procedures which appear in tbe Fiscal Code (Codigo Fiscal) of' the Republic of 
Panama. 

Interested firm* may now obnin copies of the prequallfication questionnaire on payment -of a 
n on-reimbursable charge of fifty (501 Balboas or fifty (50) U.S. Doltars to IDAAN at the address given 
below. Two (2) sea of tbe document* should be completed and sent in a sealed envelope to: 

The Executive Director 
Institute do Acueduces y 
Alcantarlllados Naclonalas 
Via Brasil 

Aparcado Posed 5234 
Panami 5. Reofibllca de PanxmS 


The closing time for the receipt of questionnaires, by IDAAN. is 10.00 a.m. local time on 10th July. 


CITY OF 
NEWCASTLE 


UPON TYNE 


Tenders for Catering Concession 
Banqueting Suite Civic Centre 


The City Council Invites tenders for 
the operation as from 1st Se p tember. 


tite Banqueting Suite. Gvfc Centre, 
comprising the Banqueting Hall with 
accommodation for. 580 peqpl* or 
600/700 people dancing, the Pandon 
Room with accommodation for .160/ 
200 people and tho Meiiiben Bif 
which, apm-troia its use by. Members 
of the Gty Count IT, is used In coni 

( unction with Banqueting . Hall 

unctions. 


The Banqueting Suite has achieved a 
notable reputation in the - fleW I of 
catering since the opening of the Q»ic 
Centre In 1968 and the caterer 
appointed will undercaka catering lor 
banquets, confer enc e* and similar 
function*, many of wMcb ire ■»» 
-regularly established occasion* in the 
social life of the North East. 

For further informa tio n and tender 
forms, returnable on or before 12 


noon. Monday. 19th June. 1978, «PPl7 
to L. Humphries. FRICS, FRVA. Gty 


to L. Humphries. FRICS, FRW 
Estate and Property Surveyor, 
Centre. Newcastle upon 


NEI 8PP. Tel. 0632.28520: Ext. 447: 


THE DEMOCRATIC REPUBLIC OF THE SUDAN 
RAHAD IRRIGATION PROJECT 
CONTRACT R9/5A — TELECOMMUNICATIONS SYSTEM 
NOTICE OF SECOND CALL FOR TENDERS 


Tender documents will ihortly be available for tbe supply of toleeommonin- 
tioiu equipment for tbe Rahad Irrigation Project, which ti a irrigation 
development of 126.000 hectares located on the ease bank of the River 
Rahad lome 180 to 3 00 km south-east of Khanoum. 


The contract is the subject of international competitive tendering under 
the termt of agreement! for financial aid negotiated, between the Democratic 
Republic of tho Sudan, the International Development Association, dm Kuwait 
Fund For Arab Economic Development and the Saudi Development Fund 
Organisation. 

A first call for tenders wa* nude in February 1977 for » turnkey. type 
contract com prising tho manufacture, delivery, erection and comm ran on ing 
of a complete telecom munkations network for the project. Tender* were 


received in May 1977 and were considerably above tho provisions in the 
Protect finaheina. It has therefore been decided to change tin procurement 


project financing. It has therefore been decided to change tin procurement 
to supply C-I.f. for teven groups of item*, with *uper*uion of erection, where 
ipprocriKO. by the manufacturers. Installation will be by the Sudan Department 


The procurement will eonaprlie che following groups: 


Group Description 

. I UHF radio system including matts/towers and antennae 

2 VHF radio system Including antennae 

3 Carrier multiplex and VF telegraph equipment 

4 Telephone exchange* and subscribers' apparatus 

5 Power plant 

6 Cable* and accessories 

7 Poles and fittings 

Tenders will be invited for one or more complete Groups In the 
contract. 


PROSPECTIVE TEN DEB EPS who should be Arms specialising In the design, 
manufacture and installation of telecommunications systems, or choir accredited 
*h* , ' l Pro‘ 5 f P ure ™ ie Tender Documents should applr in writing co 

« — Caansultam with purchase money (non-ofundable) equivalent 

Sterling Cheques. Orde-s or Bilb of Exchange sbouM be 
mad* payable to, and applications addressed to: 


Sir M. MacDonald & Partners, 

Dt motor Homo. Station Road, 

Cambridge C8I 2R5, U.K. 

™* r “ th ° Consultant's Khartoum 

«hn a Z'!' •** of charge » prospoctivo tenderer* 

P -oicc t CtimuLtari? d * B fir,t “ tenders, upon application to the 

period allowed for prooaring and delivering tender* will be twelve 

weeto from Ae date of first Issue, which is expected to be during funs 1978. 

° f Cc . n j Br period -II' be allow'd, to firms to whom nuc of 
documents ha* been delayed because of lace application. 

Signed: Sayed Ibrahim Mohammed Ibrahim 
Managing Director 
Rahad Corporation 
Democratic Republic of the Sudan 


HOME-GROWN CEREALS 
AUTHORITY 


Sale of Barley Ex Intervention Stocks 


The Home-Grown Cereals Authority oh behalf of the 
Intervention Board for Agricultural Produce has been 
instructed to sell by Tender barley from the Board’s 
Intervention Stocks. 


Sales will be ex-store and details of the stores, and 
other arrangements are embodied in a Notice of 
Invitation to Tender together with tenderin g forms 
which are available from: 


Home-Grown Cereals Authority* 
Bamlyn House, Highgate Hill, 
London N19 5PR. 

Tel. No. 01-263 339X 


Stocks for sale are approximately as follows: 


Store 

Ely, Gambs. 

Diss, Norfolk. 

Hadleigh, Suffolk. 
Hartlebury, Worcestershire. 
Manby, Louth, Lines. 

Old Dalby, Melton Mowbray, 
Leicestershire. 

Polmont, Falkirk, Scotland. 


Stock 

3,331 Tonnes 
1,550 ” 

2,121 ,, 
1,718 
8,076 


CLOSING DATE FOR TENDERS WILL BE 

23BD JUNE 1978. 



































I! 


Em °cracv 



* 


CiT> ;f 

, ?es tv 


JFinancMl Times Tuesday May 30 1978 


43 


Businessman’s Diarv 


Diie U * K - trade fairs and exhibitions 

•liH- 3 -' || C»r Sb o„ 

S=3 = SSks35E5£- 

^ go ;:; E: ss~'‘ 
s fc» :::::: KM BBU *.* §£g*— 

June II 15 Shopiliting, contract furnishing, kitchen and bath- * P 

j»-;5 m^saana ioiot “ iibiuon ays* cra,re - 

jsj £££ ■■'••" BmSXES?* and Eq “ ip - &bn - ijsssa, 

JuQc - L International Body Repair Industry Exbn. plus d b eb 

•« ... international Conf. on Crash Repair Heathrow Hotel 

JuSe fc! 5‘" T International Frozen Foods Conf. and Exbn. Olympia 

June -6— 2s Temperature Measurement and Control Ex. & Conf. Wembley Conf. Centre 

OVERSEAS TRADE FAIRS AND EXHIBITIONS 

g y„ l £ sKe 

t«il e l~*~?S I? 4 * Exhibition of Machine Tools and Tools Zagreb 

Juni tT 1 ?* British industrial and Scientific Technology Exbn. Seoul 

£"? JfeJf World Congress on Automatic Control Helsinki 

ifcil lot- Rubber and Plastics Conference and Exbn. Paris 

ft?! ^of ?olar El ) er fiy Congress Genoa 

sfcjf International Wire Exhibition Baste 

Tnnf -J 7 on International Dairy Equipment Exbo. and Conf. Paris 

June J7 — 30 Public Transport Systems in Urban Areas. Exbn. 

July 2 9 International Rehabilitation of the Handicapped.' Coteborg 

... Exbn. and Congress Ba<0e 

. ui> 4 6 Third Int. Conf. and Exbn. on Marine Transport 

T»iiv in_ja using Roll-on/Roll-off Methods Hamburg 

July 30 14 First International South African Training and B 

Education Symposium and Exhibition Johannesburg 

BUSINESS AND MANAGEMENT CONFERENCES 

June 1 2 EUROPMI (Organisation for small and medium 

sized enterprises in the EEC): The Future for 

r ltPI - , Smaller Businesses in the European Community Kensington Close Hotel W.8 

June Netherlands British Chamber of Commerce: 

Trading and Investment Opportunities In 

T,._* i .. . Dutch Limburg. King Street, Manchester 

June. 1—4 Assoc. Cambiste Internationale (org. of foreign 

exchange dealers): 20th Int Congress— address 
by Pres, of Deutsche Bundesbank on current 
T , tn- aspects of exchange rate policy. Munich 

June i — 4 IPC Business Press: Commercial Motor’s Vehicle 

- . „ _ Recovery Coni. Bordon, Hants 

June 4—8 British Association for Commercial and Industrial 

T.,™ x_o „ Education: Interpersonal Skills SackviUe Hotel, Hove 

June 4 8 Centre for Ecu*c. in International Management - 

The Senior Executive’s Opportunities for 
Innovation Geneva 

June 5—o Univ. of Pennsylvania: Management by Objectives 

tl , _ , —Pact versus Fiction Hilton Hotel, London W.l 

June 5— b Oyez: British and European Direct Investment 

_ , _ Chances in the United States Hilton Hotel, London W.1 

June 5— S First Printed Circuit World Convention Cafe Royal, London W.l 

June 5 — S International Professional Security Association: 

12th Annual Conference - ‘ Wembley Conf. Centre 

June 5—9 Kepner Tregoe: Decision making for senior 

management Famborough 

June 5—9 Abraxas: Synectics— Innovative Skills 8S Churchway. NW1 

•June 6 Canada-UK Trade Outlook Pall Mall, SWI 

June 6 Inst, of Purchasing and Supply: The Purchase 

Analyst as a Profit Generator Gt. Russell Street, WC1 

June 6— S Oyez: Ass. of Insurance and Risk Managers in 

Industry and Commerce — International 

Insurance Conference Hotel Inter-Continental W1 

June 6— S The Clothing Institute: Management course- 

introduction to I he Clothing Industry Alh«»rt Road nwi 

June 7 Anthony Skinner Management: Added Value Shar- ’ 

mg— Measuring and Rewarding Productivity Cafe Roval W1 

June S Inbucon Group: National Policy and Pay ’ Wi 

Kfi'Struclurinp Dorchester Hotpl WI 

June S Good Industrial Relations: Corporate Strategies for ’ W1 

Employment in the ISSO’s Moorgate Place EC2 

June S— 9 Oyez: International Loan DocumentatiAU and - 

Syndication ' InL Press Centre. EC4 


WEEK’S FINANCIAL DIARY 


The following is a record of the principal business and financial engagements during the week. 
The Board meetings are mainly for the purpose uf considering dividends and official indications are 
not alwujs available whether dividends concerned are interims or finals. The sub-divisions shown 
below arc baswd mainly on last year's timetable. 


TODAY MAY 39 
COMPANY MCtttNGS— 
Avssciun Book Puoiivnerj. 
fewer lane. £-C.. *2 


Bank Ai*irrlCJ 23.5 cts. _ Clupimn arm Co niaihami 

Bankers' In*. Trmt 0.5». dtjOcPf. 1.575 PC Ctuih.nbMv E*tM** “ 

11. New ■««;•»* •-■* 3 , 3 '» pc Doran* lunar Rubber Estates 

■ vuv o..^, .. wmi mm do. J ipc Couoh Bros. 

Coral Lciturc. Biaornsoury Centre Hotel, ■'52S2L. Morgan Crucible 

Coram Street. MX.. 11.30 % Fr ' 3o V 7S0e Mountvlew Estates 

il.rVOV Bur* Street. S.W.. 12 Boaolngions Brewers Db 3pc__ ^ Normand Electrical 


flnhinn nanluNn Bur* street. S.W. 12 uoaalngiom Breweries Db Jpc Norman 

Truest. 117. Ola Broad Street. E.C. dVb StDCk, ' 0,D “‘ 2 ' 7Sp ft» g? 

iftJW — ~ “ IS 


Upton 

Middlesbrough 

Board meetings — 

finals: 

l»'t M.dUtvo Allied Press 
Wornloia ln*S. 

Interims: 

Nannem Food* . . 

Totlcmacne ano Cobbo'o Breweries 


Tanganyika Concessions 
UBM 

Wh.utey CB. 5. ana WJ 
Young and Co's Brewery 
In ten ms! 

Chart ertousc 
Cent IT. i 
Pleasure ma 

Smart U.J (Contractors! 

Wolverhampton ana Dudley Breweries 
DIVIDEND & INTEREST PAYMENTS — 
A MAX UK. 03.75 cts. 


7'soe 


- . 17 cts. 

Bryant 0-9S38P- 3 pc Pi. Z.Bpc 
O urriHighs Macltlncy Db. 4pc. 

I'-is and 2 A«c 
Canning «W.> 2J6o 
C.’rtton Inds. lOpcPt. 3 Spc _ 

Carter Hawley Hale Store* 25 _CtS. 

Central and DIMncl Props. Db. 3'<oc 

DIVIDEND A INTI REST PAYMENTS— c mat rd k GCUrT'f Wq»" , 3.T 9 i‘e^ 

*§3?' 6 off** -■• Then** Co " wnw ' M Continental and md. Trust 5 >:pcP 1. 2»apc Allian 'Tn»."”obT i»..ge 
Alim 'b*mk BBS. Rco. 6 12TB 4i|*pc ^ :or ■ , i*)* 8 „ American Brands Inc. B7u cts. 

tSr&S&MTiu* ^ *• 

Ss ? 4,mpc 

c^?!dafc 8 'Vo>prBdr C ‘ i 'Rea' 3,78 6n'iToO k^ghsl eienrS* - Do. 3pc Blrafloghlm 12i?ai: Re? faBS 3 S'5: 

caiatrdeie io-spcbo* nea Euroocan f«rr« t.Bp Bourne end Homnoswortu 1.62 Sp 

4*—" * B *' 6 ’ 2 ' 78 ^ C B a r &,^-T^t 5B Db. U 2 and 3oC 

liJ-T Var. Rate Bds- tn. 4- ^ 43^.7*"- ^ 75 ^ 

eSfAnSrt’va 8 *^ Bd*. Rco. aesiliBi Tcmgraph Denmark ^ ^Jtjj.1 'f T J^, s ^ K 

’ “E Sflt— ■ - ** 

jrruino l>J_.S_S5Z g P - ICU Db. 3>1PC , , „ DB 5UPC 

Imperial Chemical Incw. Ln. 3VPC Hcrttordshlro 5'ree Red. 82-84 2\oe 

enterprises --So Hiltons Footwear 3.7 p 

Into Class A and 8 20 cts. 

jeraey C Mbral In erst. IriN * •» 'nwen '‘Vo^cBO^ Rci. UK S0;5'79‘ S jToc 


INTERNATIONAL BONDS 


U.S. interest rates upset Eurobonds 


BY FRANCIS GHIL65 IN LONDON AND DAVID LASCELLES IN NEW YORK 


demonmated in Saudi Ryals. 

Saidi authorities are known to 
have reservations over the grow- 
ing of non-Saudi institutional 
investors, whether they operate 
from off-shore financial centres 
in the Gulf or from elsewhere. 


A DEEPLY pessimistic mood The immediate reason For July and September. The fate in the three months to the end 
engulfed the Eurobond market tbis burst of activity was the of the Deutsche Mark bonds of June, 
last week. In the face of a further rush to beat the rise in interest however is uncertain to long as 
rise in U.S. inrerest rates, rates and inevitably the offerings the new issue market in this ® aaQI mOTe: — 
investors shied away from put- proved slightly sticky as a sector remains dosed. A decision a Saudi Ryal 200m for the 
ting their money into bonds, pre- result. on whether to reopen It will be Moroccan Banque Nationaie du 

ferring shorter term invest- This was far less true of the taken next week in Frankfurt. Commerce Exterieur was larger 
meats. Canadian issues which are so Only one dollar denominated than issues denominated in this 

The only buoyant sector was familiar that they scarcely issue is planned by a Japanese currency usually are. It was in taking a role in transactions 
Floating Rate Notes where the qualify as Yankee bonds. But company over the same period — also confirmed last week that denominated in the kingdom's 

Issue for Worms Bank was in- the Australian and particularly f or Tokyo Sanyo. the Saudi Arabian Monetary currency. Thus the latest attemut 

creased by S5m and the only new the Swedish ones had to be The total worth of these bonds. Authority has asked major inter- to curb the unchecked develop- 
issue of the week was announced, helped along with “overtrading, if they are all floated amounts national banks to seek prior ment of the Rval as a bond 

S30m for the Arab Investment the practice or issuing new l0 about S642m, a figure slightly approval before arranging honds. instrument docs 'not come as a 

Bank. securities in exchange for old QV er that for bonds to be floated or for that matter loans, complete surprise. 

Demand has also been strong ones at artificially high pnees- 

for the National Westminster Dealers blame this on several __ _____ 

floater and although no decision factors: ■ the unusually high . — _ 

to increase the amount had been volume, the lack of familiarity 
taken last weekend, the book of the borrower and the bonds 
would give room for such a, maturities. Tbis last point cen- 
.. _ . ries on the relative unpopularity 

Prices of Floating Rate Notes yjo moment of long-term 
held up much better than those bonds which are bought almost 
of straight bonds in the secon- exclusively by American in- 


CURRENT INTERNATIONAL BOND IS5UE5 


bonds which 


the 


T ”ii puiung power or roreign m- 
vestors wb 0 are traditionally 
3 discount id tiis sttcnziflrkEt 3D0 AMa arw » 1 . c & r j kiurinn »L n » 

AGA and Canadair. both priced * r na n« S S 

earlier last week, were no excep- Kmd 01 p per 
tion. On Friday they were res- Tbe Australians, sensing this. 


W j th to increase tbe amount of the 
short-term tranche of tbe bond 


Underwriters wer e left 

varying proportions of recent , J J 

offerings and tbe fall in prices f ronQ SI 50m to SJ75m and reduce 
reflected the liquidation of un- tb e long-term tranche by an equi- 
sold bonds in the secondary valent amount to 575m. - The 
market- A $60m bond for Com- Swedes by contrast offered only 
mission Federal de Electricidad 20 year bonds, 
of Mexico was nor confirmed Another factor, though less 
(tbis bond offering is part of a important, is the trend in yield 
much larger fund raising opera- spreads between Yankee and U.S. 
tion by the same borrower, the Government bonds. Tbe marked 
credit part of which bas been narrowing of y-ields visible 
confirmed: S400m for seven years earlier this month when yields 
on a Spread of I per cent on Yankee bonds rose more 
throughout, the lowest ever for slowly than on domestic boDds 
a Mexican borrower in tbe has eased and this week they 
present cycle, and a four year probably began to widen again, 
grace period. Lead manager is the non-dollar sectors of 
Westdeutscbe Landes bank and the eurobond market there was 
joint lead managers include Git- little activity. Prices of new 
eorp, Credit Commercial de Deutsche Mark issues fell to a 
France and Morgan Guaranty.) discount in tbe secondary 

C °?: market with some issues like 
! ast u - s '.. cred * t Industrial Credit Bank of Japan, 
M cordlD V° facing more heavily than others, 
some dealers, that the market There are now no new issues on 

fLh? 0 ? ^ orderly offer “ this sector of ** markeL 

By contrast with the un event- Prices weakened in the Swiss 
ful atmosphere in the Eurobond Franc sector also where two new 
market the Yankee bond market issues were- announced and a 
in New York had its most active further issue. SwFr 20ra For Oy 
week in most dealers' memories. Nokia of Finland is expected 
In just three days, tbe market very soon 
absorbed $650m worth of new The Japanese Finance Ministry 
issues, a figure amounting to six meanwhile has approved 
times the weekly average, and DM 920m and SwFr 395m worth 
at least two more issues are due of new bonds to be floated by 
before tbe month is out Japanese companies between 


Borrowers 

Amount 

Maturity 

Av. fife 

Coupon Price 

Lead manager Offer yield 


m. 


years 

% 


% 

US. DOLLARS 








Jtt Australia 

175 

1983 

5 

8.45 100 

Morgan Stanley 

8.45 

jttAustraTra 

75 

1993 

11 

91 

995 

Morgan Stanley 

9.17 

tt§fto-Yokado 

50 

1993 

— 

* 

* 


Ai 

fflto-Yokado 

20 

1983 

5 

* 

* 


• 

iffSweden 

125 

1998 

12.94 

9J 

99 

Salomon Bros. 

936 

ttCCCE (g’teed France) 

75 

1798 

13 

* 

* 

Dillon Read 

* 

j Canadair 

70 

1983 

5 

s; 

99 

Merrill Lynch Int. 

8.76 

tAGA 

25 

1988 

7 

9\ 

100 

Hambros 

935 

^Dominion Bridge 

25 

1986 

8 

9 

99 

Orion 

9.18 

tttNov* Scotia Power 

75 

2008 

30 

9‘. 

99 

Merrill Lynch 

9.72S 

IttOntario Prov. 

200 

2008 

30 

9i 

100 

Salomon Bros. 

9375 

ft Finland 

100 

1985 

7 

• 

* 

Salomon Bros. 

■P 

§Tyco Laboratories 

20 

1988 

— 

81/82 

* 

Kidder Peabody 

* 

«as 

60 

1986 

H 

Si 

diset. 

1st, Ban. S. Paolo 

m 

Nat. West 

75 

1986 

8 

9 

* 

County, CSWW. Orion 

* 

fNat. West 

125 

1990 

12 

541 

♦ 

County, CSWW, Orion 

* 

t Banque Worms 

30 

1985 

7 

sjl 

* 

CSWW. First Chic. 


tArab Int. Bank 

30 

1983 

5 

6*1 

• 

UBAF 

* 

D-MARKS 








rind. Bank of Japan 

100 

1984 

5} 

5 

99J 

Deutsche Bank 

5.10 

^••Danish Export Fin. 

100 

1983 

3 

5* 

100 

West LB 

5.75 

GUILDERS 








^Brazil 

75 

1983 

5 

7* 

994 

ABN 

7.62 

SWISS FRANCS 








JNorges Kommunalbk. 






Banque Gutzwiller, 


(g’teed Norway) 

100 

1990 

nj. 

41 

994 

Kiint, Bungencr 

4305 

JVorarlberger Kraft. 

30 

1993 

(M. 

4 

100 

Credit Suisse 

4.0 

KUWAITI DINARS 








JBan- Nac. Cred. Rur. 

10 

1985/90 

If 

81 

100 

KFT, C1C. Merr. Lynch Int. &25 

BNA 

7 

1985/90 



81 


KIC 

* 

SAUDI RYALS 








BNDE (g*teed Morocco) 200 

1983 

5 

81 

100 

UBAF 

8.125 


* Not yet pricad- l Final teim. •* Flanracm. t Floating rat* note. )l Minimum. § Convertible, 
ft Kegiitered whfc U.S. Seoiritiei and Exchange Connnhuton. « Purchase hjnd. 

Note: Yields are calculated on AIBD basis. 


BONDTRADE INDEX AND YIELD 


Medium term 
Long term ... 


Ed rod cor 
Cede! ... 


May 24 
W.41 7.76 

93.44 K.4I 


May 19 
99.42 7.97 
93.71 »J8 


High 


1978 


99.44 (19/4) 
94.07 ( 


19/4) 


Low 
99.15 114/2) 
93A3 (13/1) 


EUROBOND TURNOVER 
(no mini value in 3m) 
U-S. dollar boodr 

tort week 
1,434.5 
497.1 


pray loin week 
1,073.8 
393.1 ... 


Other bonds 
hit week 
3*5-2 
2 13 A 


prevlc 

310.1 

285.2 


LEGAL NOTICES 


NO. OOLif Of 1B7S 
IB ibe HIGH COURT OF JUSTICE 
Chancery Division Companies CtrarL In 
the Matter of INTEGRATED RECLAMA- 
TION AND DREDGING COMPANY 
LIMITED and In The Manet of ibe 
Companies Art IMS. 

NOTICE IS HEREBY GIVEN that a 
Petition for the winding up of the abore- 
named Company by ibe High Coon of 
Justice was on the 12th day or May 19rv 
presented 10 the said Court by FOSTER 
YEOMAN LIMITED whose registered 
office Is at Torr Works. East Cramnorc. 
Sheoton MalleL SomcrseL 
And that the said Petition is directed 
to be heard before the Court siting at 
the Royal Courts of Justice. Strand, 
London WC2A 2LL. on ihe ttlh day ol 


No. OBlaLf uf IK’S 

In Uie H1CH COL-hT OF JUSTICE 
Chancery Division Companies Court In 
the Miner of CRAWAY SECURITIES 
LIMITED and ID the Matter of The 
Companies Act. 1BW. 

NOTICE IS HEREBY GIVEN, that a 
Petition for the WtnduiK up of the above- 
named Company by [be High Conn of 
Jos lice was on the nth day of May 
1978. presented 10 the said Conrf by 
G & W. WALKER LIMITED whose 
registered offii* is situate a> 9. Chester- 
field Street. Mayfair. London Wix 7HP. 
a Creditor Of the above-named Company 
and that the amd Petition is directed 
10 be heard he fore the Conn suing ar 
the Royal Courts of Justice. Strand. 
London WC2A 2LL. on the L*ib day of 


KirKIn-y C .'^icBaL Red. 6il2l7B a’woe 

KinLAi -G and G.i lo 

M*r«,n. Black -p . Sd , JFB Invests Ln. 3 <:d« 

isnlnsoale 1 1 LpcBos. Red. 2511 di 5?»W6 j erl#y Electricity A 7p 
Njitnavon vai. Rate Bds. Red. -U.U BO Jcrwy General Inrrst. Trusi 6 «o 
La . 2 jonnson Mantiey Do. 1'ipt, 


Trost 3>jpEPf 1 .223 DC. 


Mien Stores in 

Hcaov MUeo Concrete 3.27p 

Rnvioo'S Cement 1 .3 CIL 


«no Cncmisal 40 cls._ 


KensliMTi 

28'5/SC 


On and COeJaea l2<iDCBdS. 

□ 6>,«OC 


8rrl *L.* l *P*^- ■?, cd :_ Keftwina Ta'wBds. Rea. id-S'BO 6>ioec 
5o^ r MnTl»iicBdi.^od. 6:12.78 4M.0C tg^s 0 Vi^-Bo 7 sf~^Q Lew., golm)_Partne«b.o SpcPI. 1.75dc. 

82X5" Sr-SlS: n S2*.*&h* SP* l 5tfe ^ Sn " Ratc NMes 1983 


str«incivdc flMcBda. Md. 4iHjpt London and European 

5uir^iL Var. R«w? !>*■ Rrt - 25, n «i London jnd Montreal 

Taipc*w Var. Rate Bus. Red. 26'iiiBO licCorauodale Ln*. 3 


Var. Rate Bds. Red. 


Kllscr Aiumlnym 
Kcrrier 

La _ 

ff. '2.B2SOC 

I In*. Trust OS. 2 >5 DC 

Ln. CL.OC Long aim vUmbW 0.45 b 

Ln. 5 uoe Lyons U-i I.7SPC 

Trust DU. Malawi Railways Db. 1 L pc 
McCorouodale Lns. 3'» anu JUPC W s *^5* tcr 1 “*• Bed- 

Mackintosh Uohn) and Sons aiiPcPf. ^ Canal DtL 2V>c 

ManBdd and Son* Dt». ape 


=4 yw A.OJSoc^ilmly. Simo ^c^.^'Tnv^TruirDb.^ '.PC 

Mecai nox 2.8oc2ndPi. I.dpe 

Of FI.100 w.-uiri-ins'lhN t"*’ *** m ** 3tae 


Moran Tea So 


Trust 4 i-ocPf . 1 .57 Sac 


Montrose Invest 

Ta.»e*i(K — “““ ~~ -« — — -- 8fcBd5ffiw""T6VeBdB. ’ Bed. SO .'ST 9 

t4.2 
Tnanrt 

Triple* foundries Db 3 '.DC ’ RedT - Pt. B0-B5 2.01 2SPC 

Unilever tN.V.i CJrd. Sub. 91.11 VSJWlBo. M<Her isUnleyl a75u 
c«i% to Br In >e»Pect at Fl.103 NC r Ln*. 2 and 4>*ec _ „ 

M.2J.8 5"**- “ Br - lo respect of National and Commercial Banking 5 4 pc SJJTS 

1.000 FI 336 Pt. 1.92SDC. HocPf. 3.85 PC SKSlInd lov 

Umled C.l* Mcrcnarrf* 0.45 b NewCV DP I-'-pc , -VI, 

wana BUVe Btarne 2 j» _ NUlisdale 9m>cBas. Re*. 31 ‘STB £4.7125 f^SkT'd^ta's* 1 6ocP f. 2-loc 

west Torksnire 3i»p*Bd». Red. 6 12;7B Noperos Ln JNue &Jr» (SaSaire) 7oePf. 1L4SPC 

WIMW var. Rate Bds. Rco. 26111.50 ^5, 2 f ,0, ' On S^tish An r«;»l rural Secs. TWacOP. 90-92 

M5 - - « ^ — 
"SfSWft v,f - ”■ w pass' 'rS&hsst 30,5,79 ^ 

Pres* S tWl»llamf 4.9 pcPt. a. a Spc. Ln. - <!l ***- 

_3 Lpc 


JuiH‘ 1978. add any creditor or comn- Jnue 1978. and auy creditor or comnbB- 
bmory of the said Company desirous 10 lory or ibe said Company desiroos in 
snppurr or oppose the making Of an I support or oppose the maltlnp oT an 
Onfer on die sard Petition may appear at ’ under on tbe said Petition may appear 
'he Vlnve ol beanoa m person or by hisl st the time of heme*, tn person or by 
Counsel Tor that purpose: and a copy of . his counsel, for that purpose: and a com 
:t»e Petition will be furnished by tbe ; of the Petition »ntl be furnished by ibt 
undersigned to any creditor or comn- ' undersigned to any -.Tedilor or eonlrihn 
•tutors - of the sard Company requiring | iub or the said Company reuuirtng soeb 


such cops on payment of tbe regulated 
charge tor the wme. 

ROBBrNS OLIVET 4 L.4KE. 

215 Strand. Loodmi WCSR L\U. 

Aaenrs for Burges Salmon & Ci»- 

of Bristol. 

Solicitors tor the Petitioner. 

NOTE.— Any person who Intends to 
appear on the hearing of the said Petfriob 
nrost serve on or send by post to the 
above-named, nonce to UTtUng of his 
■mention so to do The nonce must stale 
tbe name and address of the person, or. 
V a firm, the name and address of tbe 
firm, and most be signed by the person 
or firm, or bin or their solicitor Uf any), 
and most be served or. if posted, must bo 
sent by post In sufficient ume to reach The 
ibove-named not later than four o’dock 
m the afternoon of the 9tb day of June 
1978. 


copy on payment of the regulated ebargr 
for the seme. 

LEWIS. LEWIS 4 CU.. 
llale Court. 

24, Old Buildings, 

Lincoln's Inn. 

London WCIA 3 AS. 

Tel: 91-405 4©7. 

Solid tors for the Petitioner. 

•COTE.— Any person who attends to 
appear on (be hearing of the said Petition 
must serve on. or send by post to. the 
above-named notice tn writing of bis 
intention SO 10 da. The no Uce nuts’ Biati- 
ibe name and address of the person, or. 
it a firm the name and address uf tbe 
firm and must be signed by the person 
or Arm. or his or their soticUoi HI any 
and must be served, or. tl posted, most 
be sum by post in sufficient time la 
reach the above-named not later than 
lour o'etoefc in the afternoon ol tbe 
1 9ih day of June t&Tg. 


COMPANY 

NOTICES 


Var. Rato Bd»- 

Paterson Zocnonis 7*n «i- a.rouc. nw c*| 

COMPANY 01 sauriNG!^ ^ ’’aSJoe * Wl " Wm> 4 - 9pcPT- *- 4Sbc * Lb- SomhaSietin “tsirpour 5i.se Red. 85-90 

fc =, a'5 ,ou «^ y K- vbz t:vt 5ocp '' , ‘ 7SBe * “■ 5 ^^ , ^ie*"-* wei75 - flo> 

=S ' 3i> ' C ’ tV 9tSBi- ,n Rro - Tru il^^. g Wc 

CM 127. iS^B^d^rJLBJB £4.7.23 6 *“ 

Hi«i' umvli). WCKiOiPoroe Hotel. Bury Pros*. Ln. 3 .sc Trans- Ore* me Tr»l Do* 1 >• 2 2 T « 2n 

Monk.n^Jn?' CwiTHoteJ’ >t- Georg« |Mjhull Swlai RM. 31/5 7B SA.7I25 Tobago *8^oc 7B^B0 4 vx 

M 5 .?.""' Direr lor - * Su'.e. Swek.on on T B-.peBdv Red- 31»5f78 S^Smwt^LSTlo. 6oc« 

Brandi I no 1 House. M««rartie uson Tyne. _£4..12S, _ . _ 


Sioodarct SscPl. 1.73 k 

Br«. : ,20 21._K.no Street. Covent rS£' s'l^B £4-712* V 

Tra ^ l ^ r tC T , ,:£ 5P Ln a HOC. 13<iBC y* 1 ™® Wright and Rowland 
w . ThroHmo. ton Trust Ln. a'tpc. * j in Watnnv Mann niul Truman DA. a use 

Jr,, ... in*. Midland Bds. Red. 16 B'B2 6“'«f5 0 r7S^Ji ^ 

Tea»K and Arnold 3.1219s. 7ocPf, yJlalgw (Tlmotnyi Db. Vise 


Carden. V».t- ; 11.30 
Mvwn. QuaflUtto i. Bury Sirei 

RKharoik and" wamngwn inoi. 1 
Hptrl New Street Olimlnohaj", 

T:iour, Contraelirio S«- Ermir, * 

Cerlon Si reel. Wesingnaler. 12 


Royal Station 


Tran* and Arnold. Sa»on 
Mreet. Northamolon 
Week* Associate*. 

Hall. »2 
HOARD MEETINGS — 
Biltun tPercvt 
Br-ont lj.» 

Cro— n*vr tjono* 

□urth.ll i Alfrddi ^ 

Ldifburgn aen General in»*. 
m ana G Second Dual Tru*e 

Npiwevt Hoist 

Rred Inti. 

Cant,iel lU.I 

intcrimsr , 

Can \ Minina Inos. 

keljrv Ira. 

M .'n4 G Group 
Marie* 


HO,W ‘ Trui SC H(»»Cl Forte Ln- S-750C 
Silver Uston (£. ■ A 1.3s 

Vantona DO. Sdc. Lns. S’i 
Hotel. Waoou |R4. H:KPI. 1.75SE 

Walker and Homer 0 45s 

Went Yorkshire 9i»pc8ds. Rod 
14 7125 _ , 

WambwNI Foundry ano Engineering 

Wooo^ and Sons o.3322o. lyocPI. 

WooA2^ng 9>tpc8d*. Red- SUSTB 
£4.7125 


and 7oc 


31 IS17B 


Wtoolns Teaoe DB*. 2>i ana JSnc 
Youolul Corsets 8 PC PI. 3A21SOC (li _ 
Suss. Oral, ot O.B215oO No anal Dtm- 
dend lor the year onaed 31112 77 
Yeung and Co/* Brewery Db- JUsC 

FRIDAY. JUNE 2 
COMPANY MEETINGS— 

BanUonfs. White Hart HoteL uuoacior. 
Herbert (Alfred). Do Very Hotel. Fairlaa 

Street, Coventry. t2 
Lee RotrlarratflM, Shnpftby Works. Bognor 
mHE , Real*. 11.30 

muyinS? L, i , F "■ J - ceBtrtl HoW - ®**«- 

Ctlve DrtfOunC. 1. ROtbI Excnange Sujtllih Tcl«wi»ion N.VA. Cawcaodem. 
EurtSean FfSrtes! S wintseMw- How*. Old Ste^Sb*-. Sondes Mace. Westcott Road 

Broad SDect. EX.^ Uk«r, I 

BOARD MEETINGS — 


THURSDAY. 
COMPANY H 


FarntHi ETectroniu qu ean's Ho»L Leeds. 

OtVIOtNft 5blSn E 1 1 BrEST^and American Rim 

itts* w Q E ^. om s5.- H £f-7i TT ssiss wsr Drtw 
^ ■sSr- ? ® Sp, ^ i -” aL 7,:BC 58SBS- DIV ' D “ 

"■ i l -“ 5p t,u l i 3 30 Falkirk. 1* 

Sm'.rgamilcO W 

2SK r £Sg?Jl£»&n M.T1M 

AiTTTit jar Bruv M« 3 »PC _ 

Assaciaira Bobt Publ'tfg* 

Amamait^ S*«W«y P- 82 ?"- ,, *■ 

Baker Perfcina Dtu. 2 a and 3'*t* 


DIVIDEND^ A INTEREST PAYMENTS— 
rSw^ ConMtiBM Room*. Great Qi»an Hmmn°(t"F 1 .l *inc?*17 

^rd^eeVings^ " 


Finale 

Alida Pachagtng 

ClHW-Nnll , 

Coalite and Chemical Product* 


Senior Engineering (L553Sp 
Taylor Pail liter 2.075a 

SUNDAY. Jure 4 

DIVIDEND A INTEREST PAYMENTS — 
Walsall 9LPC Red. 77-7S t'uc 


ENERGY INTERNATIONAL N.V. 
(Incorporaied with limited liability in 
the Netberianas Antilles 
* Shareholders hi the Fund arc convened 
to aneoo the Annual Genera) Meeting 
of so arc holder* to bn held on Weone*- 
dav. 2 1st June. 1974, *i 10 a.m. at 
the registered o«ce oi Hus Fund at 
HandJcskade 24. Willemstad. Curacao. 
Netherlands Antilles. 

The items on the Agenda are: Report 
and Accounts ana proposal ol a divi- 
dend of * 0.20 "Of the business year enaea 
31st March. 1978. and election ol the 
Members of the Board ol Management 
la order to attend tne Meeting in 
Person or by proxv and to have their 
*ota registered at the Meeting, holder* 
t» bearer shares mu*t deposit their Share; 
certificates tor a deoosit receipt ter tbe I 
share certificates) meottenina their umes. [ 
addrcss<£ and nationalities at the reois. 
tered oflice ol the Fund not later than 
14th Jwe. 1978. • 

By order of tbe Board ol Management. 
Curacao. 

3001 May. 1978. 


PERSONAL 


World Value of the Pound 


Tbe table below gives the latest available 
rates of exchange for tbe pound against various 
currencies on May 26, 1978. In some cases rates 
are nominal. Market rates 3re tbe average of 
buying and selling rates except where they are 
shown to be otherwise. In some cases market 
rates have been calculated from those of foreign 
currencies to which they are tied. 

Exchange in the UK and most of the 
countries listed is officially controlled and the 
rates shown should not be taken as being 
applicable to any particular transaction without 
reference to an authorised dealer. 

Abbreviations: (S) member of the sterling 
area other than Scheduled Territories; (k) 


Scheduled Territory: <o) official rale; (F) free 
rate; (T) tourist rate; (n.c.) non-commercial 
rate; (n.a.) not available; (A) approximate rate 
no direct quotation available; fsg) selling rate; 
(bg) buying rate; (nom.) nominal; fexCi 
exchange certificates rate; (P) based on U.S; 
dollar parities and going sterling dollar rate; 
(Bk) bankers' rate; (Bas» basic rate; (Cm) 
commercial rate; (cn) convertible rate; (fn) 
financial rate. 

Sharp fluctuations have been seen lately 
m the foreign exchange market. Rates in the 
table below arc not in all cases closing rates 
on the dates shown. 


Place and Local Unit 


! Value of 
;£ Sterling 


Afghanistan Muteml j 

Alla nil Luk 

Algeria fiiiar 

Andorra .■ French Franr ' 

n ** T * loj-pUliPeaetm' 

Angola. Kwana 

■Vuiigua tS)... L. Cant'Unn S 
Argentina .... Ar. IV**) Free Ha 
AuMralia IS) . AuaLralian $ j 

Austria Stiiiliios 1 

Purtuij- F*cudo 

Rah a wm cy (S) Bk. Di'llar j 

Bnn)>|a,le 9 lii^) Taka 

tWirnin (Si Dinar I 

JBaImn,- hln &|«. Pereta 
BaiUtiji.a tSi.. Uartaiica Stt l 


81.00 

lo.tai 

7.53) 

8.441s 

146.85 

ns 

4.90 

1.400 

1.620 

27.65 

BS.Ifi 

1.6125 

28.025 

0.702 

148.96 

6-S5 


ReUtmiu B. Franc 

Vll/e B S 

Benin i'.i'.t. Franr 

dermuila ici.. U-la. S 

Bhutan IiiiImii Kii)4-e 

dull* ia ......... Bolivian JVhi 

khasiraiutr lS» l‘wla 

Bra>tl~ L'rtizrlnt ;; 

BrYirgljiLl&i 11.4 S 
tlrunet ufi.... Brunei S 
Bulgaria Let 

Burma. .... Kvat 


! Heint60JO 
! i.Hnu69.B6 
1 5.65 

422.26 
I L8125 

! 15.265 

! 36.M 

1-501 
61.94 
1.8125 
4.2573 
1.6561 

12.587 


Place and Looal Unit 


Value of 
£ Sterling 


Germany 


Wen 


Deutadiiuark 


Buminli ....... Burundi Franr I 164.17 


RUTLAND— MRS. IRIS RUTLAND WISIMf 
to express her gratitude 'or tne manv 
kino message* ol irmpathv following the 
death of her husband Mr. Ron PutJand 
former Assistant Market Editor of the 
Financial Time*. Soeclai thanks to Mr 
Rutland's many Ir lends and colleagues In 
the Clrv and to the Doctors and Staf 
el the Westminster Hosoitai who tough' 
long and hard against hnailv hoeelw 
odds. 


MOTOR CARS 



SCULPTURE FOR 
MOTOR CARS 
& MOTORISTS 

Sowar br b* OwW 

Hugin. u'vwf nrMr wvb. 
Cw Br wiiw 'a 
ANY HR CttlCS. 
nr tr h, n wra rww' •« 

“ ■V r> wwc WJB 
ibhvtW irrwrr fa rwrs, 
wrwd, baa 

-the oudrk colie mou 

FREtPOST n 

HOTtlhaHM' NGJ 1BR 


CLASSIFIED 

ADVERTISEMENT 


RATES 


Per 

hue 

£ 


Sfritfe 

column 

t 


CARS WAHrCD — we oar more man nns: 
tor anv Make or Model. Tel. 01-274 
MSI. Pride s Clarke Lte.. 103 Slotfc- 
*>C» Rd- S.W.9. 


ART GALLERIES 


BLONO • FINE -«l. U. SackvilK hu. 
WI- 01-347 1230.. MAXWLU. BLOND 
— Paintings and Watercolours. Until 
3 June. Mon-Frl. IQ^. gats. ID-1. 


Commercial & Tndastria] 

FJotH-nr ajg ltu0 

Hc-stdentui Property 2 Do s .80 

AOnointnu-nis CM ujo 

Bunn-fs E Investmear 
Opgortiuiilles. Corporalloa 
Loans. Production 
CasadSr. Bnsinesat-s 
For Salt-.'Wanred 35a ItDO 

&duca:u». Motors. 

Contracts * TprxWv. 

Personal. Gardenias 4.25 UJH) 

Hotels and Travel 2.7 3 2D . 00 

Book Pdfriiahers — 7.00 

presriam postthms avnfUble 
(Minimum sbx 4) calnmn cm.) 

S15D per stogie ooloran cm. extra 
For further eaoils isrtu to: 

Classified Advertisement 
Manager, 

F inan cial Times, 

10. Cannon Street, EC4P 4BY. 


BROVHERTON GALL R Y. t9lh Onturv 
British Watercolours. Until tom June 
on -Fn. h.»-s-3a _ Weds ~. 5lt» 
12.30. 77 Walt txi Street. SW3. 5B9 

6440. 


ROW5E & DARBY, 19. Cork St., WI 

FOR? - " • - 


I t0. l M?U30. MOn - Frl - 100 °- S - 50 '- 


Sai 


ICOlNAGW. 14. Old Bona Street. W.l 
; BRITISH .AND FRENCH PRINTS 19th 
j ona 20lh Century and L, S. LOWRY 

1 drawings. lOth-aott, W w£« 

9.30-6. Bats. 10-1.. Tel 01-491 740B 


GILBERT PARR GALLERY, 28S King’s 

Road. Clrolsoa, EW3. NOR ah GLOVtP 
—RECENT PAINTINGS. Until Juno 24. 
Open Toes. .Sat- 9 3Q-S. jp 


s ssjs i 

SraS: nSr" 10 "™- JD “ , - JW,v 6 


MALL GASXERIES. The Mill. SWI ROYAL 
SOCIETY OF BRITISH ARTISTS 2B I St 
EXHIBITION. Man.-Frl lS-5’ Ilf* Ini* 
Unnl 13Hr June A«nn. 2ol. 


OMELE GALLERIES 
French modern 


Fine Brtikfa and 


^SfLeT^iraSiiiu u- 2 - Alnemarl* 
Street- PKcajrlMy. W I. Exhibition ot Old ■ 

»»hhL,l 12? aB9rtl"9 and toso- 1 

madels * Df1nU ,nd 94«t»flns and *l»tn* 


uamero’aSp U.F. v. Freuc 

L'aua-ts ('aua.liaii S 

cAnao' l ale... bfmiilat, Ft-rela 
C«|e VenJI l. t'u|Kr V Kk-uiIu 
ay ms m NISi f ay. I. $ 

Cent. At .Kf.. t .P.\. Frew 

'lih'l C.F.A. Franc 

l lull* F. Pejjj 

Tiina.... Un Yuan 

L'Ml'MiiMa 1. I\ni j 

on,, .n * II, ... f.F. A. Fn, n>: ! 

L’.F.A. Fmuu | 

uHl If lilt •.'■■Inn I 

L'ul* ('ul«n Pe«» 

Yxvrua tb).... Cyprua Ji , 

Crei-lKolunk- Kiu-una | 

Denmark Danish Krone 

UjllhHltt Ft. 

ijnimnk* fpj E. CaillitieAri $ I 
Uoniin. Hep.. Jj>.<iuiuluu) i'esoj 

Ecuador Sum; [ 

FjO'lrt- KiO-pLian C j 

KlMnpia Eli)lf,|iian Birr 

Eq’t'l Guinea f’eveia 

• Falkland la. * 

Faro la......... Dauirli Khme ( 

Fill I* Fiji $ I 

Finland Markka J 

FtMk-e F eerivli Franr i 

Frt'TviuAI* tJ.it. Fmjic ' 
Fr.GniaiiH.... I*«l Finn,- , 
Kr. Far. Ih.... I’J'.P. Franc j 

Gabon f.F. \ Frauc [ 

Gumtiu ll*l... Uataai j 

Gernuuiv 

■ Haul 


i 4WL25 
I 2.0185 
I 146.95 
83.16 
1.615 
422.26 

422.25 

|DL> 49.58 
5. 1554 
iFi 89.02 
42U5 
422J25 
16.59 

1.5866 
D.7D76 
i h-pmiS-SS 
f-n .19.90 

* iT. 16.89 

10.3412 

510 

4.80 

1.8126 

■ IOI46JI1 
,iF»4«.15 

• |D)D.754 
i -T. 1.276 
lF>3.766 

146.8B 

1.0 

10.5412 

1.5B9 

7.85 

8.441; 

422_25 

8.441 S 

166.54 

422.26 
4. DO 


Oat mark 


5.84i, 


Ghana lb) Loll 

U Him liar (K). Gltneltar L 

Gilbert 1* Ansi. Ui.'llar 

llretr-e Drachma 

Gn.a-ulond Danish Kp.ni-r 

Gretuuin ib|... K. (Vtrrilmi $ 
Guadultiupe... Duel Fnun; 

Guam US 9 

Giiatfiniala— 1 / net cal 
Guinea Hep.. Siij- 
Guinea Bibwu 
Gnyaua.lb) ... Guianese S 

Haiti Uuntile 

HotiiJuiablleb Leni|4ra 
HiiQ^hinun (?) H.K. 6 

Huiipgiy Filial 

Iceland b5i... I Krtma 

JiiiIim i*<i Imt. Rupee 

lihluiicr-ia Ilupiah 

lie Ilial 

|T h'| lnui Dinar 

I Hr it Hep ik).. Irish £ 

I 'reel Israel £ 

DhI.v Lira 

»t,*0 L‘.«!*l... I.F..Y. Frank 
Jamaica ibi- Jamaica Dollar 

!«!«□...„ Yell 

J'.irdaii (t>i Jnnhni Dinar 

Kampuchea- ifiel 

Ken>a <»t Kenya Shrill up 

h’mua (\tlu... Wim 
Kurca istli-... Wmi 
Kunait iSrh). kiinult Ditiar 

Laos K ip Fm pm 

Wanoo... U.-hauew £ 

Afncau Rau>i. 

Idix-rla Ulierian S 

Uh.va Uh.vati Diuav 

Liei-hl’iisln... Su-Imi frane 
UixeuilHtura - Fnsa- 

M&C&o F«l sot 

'lauci ■« I*, si ■ 

JiNlapLr.v Up. Alii Franc 
Ualait-i |9l. ... Kuarlia 
AlDla.Vbla lh).. Ifin^yit 
AUliiitf [«.ib| Alai lOtjiee 

Alai i If .Mali Fran.- 

Malta iSi Maltese £ 

Mart iiii, ( lie .. l«n| Fraiu.- > 

Mauntaula ... Oiijjutja ; f 

Alamitlua <bi. 31. I(u)ee 

lli'lt" A1 exiie n Pe.-. a ] 

All,) in? inn ...... L'.F-A. Franc 

Franc 

Mungutla Yuprik 

Munaenal K. ftmlvan S 

Murvaviu Dirham 

ALuaiublque.. 31<«. llmidu 


Hanru Is — Auct. Dollar... . 

-Aetal Xvpdlna Rupee 

Xetberlanils- Guilder 
Xeih. Ani'lM. AuiilllanGuil.l 


3.64S4 

2.04ibKJ 

1.00 

1.020 

80.284 

10.5412 

4.90 

8.441s 

1.6126 

1.9125 

37.573 

83^5 

4.622 

9.08 

5.64 

8.454 

72.66 

i F El.-i5Q.55 

<70.00 
15.203 
762.2 
(A 1 127 
0.5336 
1.00 
31.51 
1.5S0 
4^2.25 
2.810 
403** 
0.565. v) 
2J7.5 
14.404 
l.6»49<Bl 
B76.Z8 
0.504 
362.5 
5.4U 

1^754 
1.0126 
. (F.OJ56 
3.555, 
64.45 

S.D8 

85.15 

422.25 

1.5735 

4.a54 

7.12 

044.5 

0.7280 

0.441s 
I 84.71 
i 1.6423 
41.07 
422.25 
8.401; 
‘Ui5.8444iOI 
4.90 
7.76c at 
60.243 


Place and Local Unit 


1 Value of 
£ Starling 


226.89 


PHtapiiay .. .Guarani 

D. Up 

•■f Yemen 1 S 1 S. Yenn-u Dinai-.AiO.6JS 
Peru .>.1 

Flilll p| -I lie*... l’li. 

Flies IrnlMdi , ■ 

■ Aew Zealand S' 

P.ilau'l ZIuty ! 

Fi.riuj?il I'gw. KsekiiU. 

I*i>rt Timur... Timur ItM-udn 
PrH»ei|.e I*le. Lmsi,Iu 

Hum.' Kin*.., I ..S. > 

Qatar (.S) Volar h>al 

Ifeiliiiriii 

Me ,lc la — ... French Frau..- 
WluKieMa iili'slebinu a 


Ifi'insinn 

II nan, la .. .. . 

St.CbriBto- 
pher(S) ... 


Ia*n 

U«K«iijL Vnuic 

. K. t'lnN-can S 

>t. Hdetia.... m. Hel.-iui iT 

'I. Lucia h. Carili)«Y.n S 

m. Fit-ire . .. f.F. A. fraiu- 
s|. Yliu-eiitiSi K. lHnl,l.tnn S 
Salvn.l’.r Kl... l'.,lr.n 
■lainua lAnu.. I'., -I. $ 
hau Marin, .... Jtslinii l.ny. 

Tunic PgM>. KmsiiIu 

Natali Arat'ls. lltsl 

S Vilena I f'.F.A. Fran.,- 

Sr\ uhi’lluB.. .. h. lf.ij.wr 
’MerreU-'iiefSi Ln'iie 
4 ii.sipn' |Sv. Siii^H|s,rc S 
SuLmim, lt.iSiSrslcnii.il l». }> 
--s.iuali Ke|».... Si -i n MiiIUuk 
■ stli. .lfru-s.h| |(aii,| 

**. IV. A In, si ii 

| Tcnil. -n» ih, S. A. I, ’ami 

j l|«ni IVri'la 

*S|MII. I'l'll. Ill 
Autth Airiisi I'evcia 
■*n IjiiiLh ib.i* 4. L. lni|«e 
■'ii'lau Up... . hu.lau £ 

SnrliLiiu ». GIMer 

S*«. iDU,l<.>.i Lijm^'eiii 

hweiU-n Knmd 

h>vil;i-i 4 BU,l .. Su'lir. Flane 

hyrla St rw £ 

Taiwan New Tauvsn 

Tan. -aunt l-S.i. Tail. Shiliiiu; 

Tiiailnnd Dali) 

T-ipij Kp C'-F-U Fume 

Tiiuiai 1*. i»|. IVanea 
TViniiladiS.i,. Trin. Jf TnhiRo , 

Tuni*ln Titnimn Ulnar 

Turkey Turkish Lira 

Turk* \ It's... r.S. S 

jTmalii Ausinilian £ 

Uganda. *S.i. !'«. Shilllm; 

J nileil Male* l ji. Dullar 


Netr Hebride* 


■ Fran.- 


lAustl. Duller 
X. Xcnlnini iSj AjS, Dullar 
Miarapi™ „ .. funlulai 
Mficr l(|> — .. L.F„V_ Franc 
Nljcrrui |S».... Xaira 
Sicnjf Xnajj. Xr.me 


■ Kiel L>mani 


Oman Sultan- 
ate el ihj 


Pakistan - - Pk*t. Rupee 
Faint me Ballkia 


. llipuH.X.G.iSi Kina 


1.602 
21.75 
4.111; 
5.244 
156.5 
1.602 
1.790 
12.72 
<27 .25 
1.10118 
8.921- 

0.676 

17.95 

1.0125 

1.3174 


exi'lA <271.05 
15.348 

1.798 

l (CniA6l.H0 

I 1 T 16 I.DO 

85.15 

83.15 

85.15 
1.8125 
7.02 

B.441* 

1.257 

’ i, -in ,9.49 

Sn.i-‘T22.79 

154.57 

4.90 

1.0 

4.80 

422.25 
4.90 
4.53 
1.612S 
1.600 

03.16 

6.25 

422.25 
13.33 
2.0 

4.2373 
1.582 
i i.Mll.41 
1.6734 

T.5734 

148.95 

146.95 
28.18 

i.\i0.6511 

5.244 

1.5734 

8.4S5 

5.5JJ, 

(A .7.114 
t1‘i68.9 
14.40 

36.75 
422.25 
1.308 
4.55 

0.767ISE) 

45.75 
1.8125 
1.602 

14.05 

1.0125 


I'niRiiay Uruguay Peso | { 5* 

L'M.ATiKmis. I'.A.U. Dithaiu I 7.02 


l' If I;, miiie 

rp|e*r A'ulu. f.K.A. Fra lie 

Vatioan Italian Lire 

Yeiiu/uela Bull var 

A'leinaniiXtlu Dung 

VieiuaiiiiSthi I'liiih 1 
Yiiiriul-. C.S. r.S. Dullar 

Western 

Somoa 1S1.. hainimu Tala 

Yemen Rval 

Yiift'ir.lnria.... >,«- Y Diuar 
Zaire Rp ..... Zaire 

ZaiuL'b, Ksiauiut 


1.27 
422.25 
1.500 
! 7.77 

1 ' fO 14.256 
iTi4.1503tl) 
1 5.555 

| 1.8125 

1.1054 

64.22 
1.484645 
1.496 


That Dart 01 the rreneb cn mm uni tv in Africa formerly 
part ot French West A’rlca or French BguiUMl Africa. 
Ha pecs per POomL 

Th” AuRUlya ha* replaced the CFA fFane The uchanac 
was made ai a rale 0 .* CFA Kr 3 10 one unit of the 
new currency. 


IT General rules of oil and Iren export* Tfl Ida. 

N Baaed on cross rare* ajunnff Russian rouble. 

*" Rate i* the Trarsfer market (contruihrd,. 
tr Rate Is now based on 8 Barbados I to the dollar. 
IT Now one offici* rate. 


Thomas 

Cook Bankers 


Thomas Cook Travellers Cheques 

The accepted name for money. Worldwide. 



r i 




Financial Times Tuesday May 30 107^^ 



OVERSEAS MARKETS 


MONEY + EXCHANGES 



Paris broadly higher in active trade 


i Sterling 
* Cmifl«ue 
t.o( deposit* i 


Interbank 


I/uail iLoml Aula 
Authority } uca«table 


' Overnight.—.- 

J da pi notice. -| 
? din or 

BY OUR OWN CORRESPONDENT PARIS, May 29. 

STOCKS ON the Paris market sidelines, partly because of the turned easier-inclined after recent 2.8 to U7M ancT Utilities 0.90 «£*}6 iSanfe eased 110 oente 

continued to advance across the Stock Exchange’s suspension of strength, but leading Minmg and to 172-ffi. to BK $15.40, Jvfcoe : Hath n 

board to-day in active trading, trading in Fujlsash Industries and speoilative shares pushed further Among companies reporting SO cents to HK 518.W HOW *vong 0ne featmtm „ 

the Bourse Industrial index end- Fujlsash Sales following a Press ahead, spurred on by increased higher earnings. Automotive Land to cente to elk 57.79. ana | RO 

mg 2.0 higher at a 1878 peak of report stating that the two com- overseas buying. Hardware “A" rose | to CS1«. Swire Pacific 15 cents m 

700 p anies covered up losses in false Among Golds, Consolidated House of Braemore 58 cents to HK 56.30, but Wneeiock Marten LoeaJ amt 


9-878 

wa. 

Ofi-968 


— j eic-ass 

aussa 

9,-1-9. w — 

9&9* SU-B* 

913-945 9* 9*8 

97 a .lbrV — 

■ 10-10 Is lt> 


”ESS te i !■»-*- :*i— 


. 74j-flta 

j 8'a-fllj 

Oaa-Bls 
8 38 


I ( ffltflMe . ... 

• Treasury | Bank FiwTwj. 
Bills* BUbi* BUIaJ? 


Among 


Hardware “A” rose i to C814J. Swire Pacific 15 cents to 
Consolidated House of Braemore 58 cents to HK 56.30. but Wheetock Harden 


LoeaJ amhontma «nd Bnurn 


UHigi-i cenn dan 1 mtles. «lh«n seno dW l&Rl. 

lii rSS HiMTMa: five wars 129-lU per cent. tOBu* biHrttva in nUua 
L22? JS2T X?iL£nJ£bA bank wn* »3 k 4H per cent: ftmwnwoOi trade BUto H pct mob '. 


closed for the memorial Day ^"^her. 14 cents to AS3.54, Bougainville tinued ’’weakness of ’the dollar Ptattaubis. Rustenburg shed ««* ATera *® 

Bonaay. GERMANY — Stock prices Copper 6 cents to A51.42, and against the Swiss fraoc, with ex- 4 cents to RU3 f while Coppers 

, . . . ~ ", generally made progress in light Spargos Exploration 7 cents to 48 port-orientated stoclb particularly were . between 5 and 10 cents _ rxCHANGCfi 

new measures to help investment trat j ing xv -|th the Commerzbank cents. However, Pancontinenta! undermined. lower. Sugar Issue Tungaat rose FOREIGN 

in shares, due to be announced indes c n m biag 4.9 to 773.3. relinquished 20 cents to AS1-L50. ^ Transports, however. Swissair 20 cents to R3.05 in response to — ^ — «--*■- » 

,a, * r '.r*”:,,.;,.. nn .r, Dealers said some of the bullish Industrial leader BHP rave up ro3e s t0 SwPr 829 on Us monthly the results. 

7 ^ n ~ iitt ilf n r ren'tion atmosphere on the market could ^ cents to AS7.Q2, while Bank of resu u^ while Financials bad MILAN— Easier in thin dealing 

™ be attributed to the slight fall- NSW shed 4 untojtoAfeMand Oeriabn-Buehrie up 20 at SwFr on profit-taJdng. but OUvetti 

v2rii min S index, which back of the dollar in foreign 2^20. bolstered by 1977 results. Privileged rose 18 to LUOO. Tork J 1 |uott-i.8MD|i.i 

rtS P l0 be a^nounred exchange trading. SaSS^S^S AS3W Moevenplck Bearer, traded for BRUSSELS-Local. Issues were 5-5fc L “gi8"M 

tomorrow This is outweighed shares led the market ,1° t'^asiqi tfc* first time, opened at SwFr mainly in_ easier vein after quiet AaunaJvn < U* 

l/SSS* 'resirllirig th? retSSi to Commertiaiik add- 0 /™ to ta £^ r 6 oF^Suw? but 3400 and closed at SwFr 3.050. In trading, although UCB appro- jg^SiSj « 

industrial price freedom, which i?S_ o _ DM1 J 0 ’ rw _£f ,rt8C V t^nlur the larter came back^eents to Insurances, Zurich Vereichcrang elated 16 to BFY 938 and Union B s.bsa-sjb* | 3. 

is due to take effect from June 1. DM3.20 and Dresdner Bank DM ^ cents, abuH i which sold a were quoted ex-rights at SwFr Ittinlere 26 to BFr 806. 

Gains ranged as high as 14 L50* __ large parcel of Courage shares to 1042 5. ■— 

per cent, and among the stronger Elsewhere, KHD, despite us Tooth> m oved ahead 9 cents to AMSTERDAM — Bourse prices 

movers were Mo mm, GTM. expectations of a quieter year < ^j2_25, tended to improve afresh, with HONb KONG 

'Peugeot. Kleber. Kali. Poclain. "with lower net proOts, gained The take-over prompted more Shippings and Transports leading ; ; 

Generate de Fonderle. Carre four. D 111 l .SO. while Schering, shrugging speculation about a bid for the way. Hone KqorS ; Usy 35 Al«r ifl 


several Pharmaceuticals were 10 cents to A$2.60, Peko-WaDsend adversely affected by the con- day in the UK. 8.«23pc. 

also higher. 14 cents to A83.54, BongainviUe tinued weakness of the dollar in Platinums. Rustenburg shed Aversute wnoer 


Market Rale* 


results. 


Financials 


MILA N — Easier in thin dealings 
□ profit-taking, but Olivetti 


NSW shed 4 cents to A55J6 and Oertkon-Buehrie up 20 at SwFr on profit-taJdng. but O 
AJJZ 5 cents to AS3JJ0, but (SR. 2^20. bolstered by 1977 results. Privileged rose IS to U.100. 

ehoori or uiTonni rortulTir niid Tnid ■ . r ■ m _ _ 


Bank- 
YUy 86 Bate | 


CURRENCY RATES 

““ Special European 

Drawhur Unit of 
Bights Accou nt 

I JlayES [ May 29 


movers were am mm, uioi. »iicL«uu»a H „ ■: j AS2_25. lenaea to improve airesn. aim rn/iaw nwi 

■Peugeot. Kleber. Kail. Poclain. "with lower net profits, gained The take-over prompted more Shippings and Transports leading 

Generate de Fonderle. Carrefour. D1II.SQ. while Schering, shrugging speculation about a bid for the way. Hone KoneS 

Saunier DuraL CEM. Marine aside news of parent company Tooheys. which rose 10 cents to Akzo added OR at FI 314) among — 

Wend el. Coielle. DoUfus-Mieg. WH net profite of DMofl.flm, a sjjo, while PhUip Morris, the Dutch Internationals, but Unflever Govu J«oWM 
1 metal. BSN Gervais Danone and compared j»1tb DM64.7m a year purported likely bidder, receded was a dull spot at FI 112.?. off 14. Aro^™ueri Bobber. 
— — rnun n\i3^ .» — — — **■» State Loans were. steady. 


Lii^boo 18 

Madrid 8 

Milan I1> 

Oslo 7 

fans Bi® 

i ; I 4ickfaolm_. 7 

: May 35 May 19 1 rokyo — 8>s 


7 IJ106&-1 1.B120.1.81S0 Sterling 

8la 2.0160--.JJ!lSa.DlM->J180 L'8 -toTSir 

< 4.I0,M.1%» 4.11-4.12 Canadian 

ito b9.9U-b0.10 89.80 -80 JW Austria ocb _ 

1 I0.53^-1D.5SaJ 10.M-10J8 JieiKm franc 

S 5.85i-i.8G4 3.8444.861 Danlati krone 

|8 82.7US3.60 82.90-eS.40 Ueut-cbeoi’rk 

8 T48.B6-147J& I4ES0-147.H Dutch mlWer 

Ilia 1^77-1.681 1,6784-l^iOi French 

r 9.89-a.M tL.82-8^6 Italian |tra._ 

J1« 8.434-8.48 Japanm yen. 

I 8.474-8.484 8.45-8.49 Norway krone 

Us 407-418 40M-410* bUmL. 


C1C. 

TOKYO — Share 


ago, rose DM3. 
BBC and BMW 


» . 10 cents to A57. OIOIC uwm ircic.BiMuj. China. LitrhtA Pnmr * 28.60 > Ul.BO 

firmed DM3 CANADA— Markers finished on . HONG KONG— Market con- §faJjC W3.2S , 40J15 
put on DM a mixed note again following a tinued to decline on local profit- uuenxmciittMi propertiBa^- i-7sa ; 21.S8 


12-20 < iZ.no 
22.50 ! 21.80 


Vienna. 5*2 

Zuufich. ....... 1 


Z7.EB-27.7G 27.60-V7.70 swedt^krone 
3.6MJ5G4 6-6Si-5.Mi S«r1» (tanc... 



gold market 

I MaySP i Maytt: 


Dold Bullion. 

(a fine (luocel 

*17915-18014 *178:1785, 

Openinc *17914-180 517914-1006 

MSSlngta T gSl78.BS ml* Z* 

^ * ,£98.0401 (£88-M^ - . 

AfternU fis-gl 8179.45 ««■»<• . 

jt£S8J>80) (£88^^:r- t 

OoWCotn.....! | • i •• 

rinumtlcalU'.I 1 J-- - ■ 

Krugerrand.. IS1&4-186 .3I83^-18Sl| 

!icioxa-i 024) Jicioitwaa 

VwSov , *t»..[S52 M - 

,(£30-51).:; . 


O U 5o v 'rsua.: JS54 is -56 la 
;<£30-31) 


!\£30-3l: 


i Bales irivrn for convertible francs. 
Financial francs 6B.1D-80.3Q. 


firmer for choice in very Ihin aplece< while BA5F put on DM a mixed note again following a tinued to decline on local profit- uuamopoittan properties^ 1 i-79fl 

trading, with speculativcs and ISO. but AEG lost DM1.20. quiet trading session. The taking in moderately active trad- cross Harbo|n-Tonnei-.-..ti 1.5- 

low -priced ist-ucs attracting the Public Authority Bonds sus- Toronto Composite index was 0.3 ing. The raising of US Prime rates ^J^*^**^ SiSu 


mo-it mleresi. 


i attracting me rums loromo L-omposite inaex was u.a mg. me isoiug ui uo mu.s rr . uh-ju < 60.00 I 

The Nikkei-Dow tamed fresh losses ex tend mg to easier at 1.122.0, although gains to 8& from 8} per cent and anti- SttSSlT ”1775 ! 4.70 EXCHANGE CROSS-RATES 


Investors generally sat on the AUSTRALIA — Industrials 0-73 to 273.16, but Golds put on bearish tone. 


Indices 


NEW YORK -DOW JOKES 


M«v . Mnv ! M«v , Miv J Mur , M*y 
»■ ' 2b ' 34 I 34 1 23 ' IS 


Indn-irial .. 861.69 834.41 837.82 846 J9 866.42 846.85 86BJ7 

: i iiiiDi 

H'liit-H'iuU*: 88.19 88.23 89.19, 88.31 8B.3i: 89.47: -Ki.to 

, ' i4/lt 

1 ian>|->rl.... 325.70 224.14 224.68 227.80 231.30 229.161 251.38 

. 1 22,0) 

I 1 dll it-" 1 04.47 104.53 104.03 I04.3E' 104.67 104.26! ||0 .j8 

. ' , • *A/li 

Trading i.il. , 

21.416 28.410 31.460; 53.230 28.700, 54.360; — 


jftinos uumpiiiit'ii 
1 Hipti I Low 


742.12 1061.70 41.22 

(UhlSi j ill, 1/73) | {2/i/52j 


N.Y.S.E. ALLCOKUOK 


Jlay j M«v i Mas- j May 

as ; 25 I 24 i as | Uiffta 

B<7l4j 64J4. 64JS5 64.30] 66.68 

! i I (17/6) 


Rises xnn Vaus 


JI»v £8 May 3b ■ M»y 84 I JanUne decs 

— I — . ■ — I ifubber 

Issues traded. 1,870 1^06 1.89B 1 sime Darhy...^ 

IUms 588 64B I 300 B — 

Falla 828 806 j 1.2146 

ijaetiuifled 463 458 I 340 

New H l^hs.. 39 10 I 21 

KewLomu.. 52 62 I 60 


EkmjrkoafEblhjjigiBiiHirtJil 14.60 : 13.90 
Uutidiisie Whampoa. ...' 4.9Sd 4.50 

inter. 1'acidc Securities.. . t5.75 ] — 

J online Jlstheaon *3.30 ■ 13.20 

JanUne decs to. 75 ! 6.B0 


ilny 29 (rtaimruiTjAea- iura 


t'nmJdun - 13.1118-1186] 45.48*8 

16.75 - .New York * »7A5-2B - 81^1-67 

i3.30 13.20 210JB4S ] 4.682^44 - 

1a.7S! 6. BO BrussoH-.! la.hl-68 ; 55JXMS I AIM 

3.20 I 3.125 Lon. I on* . .'tWSawJffla I .« 12-8 13 B. 44-46 

14.20 1 4 AO Ajnstrtam— W6ji8-7 ,(K2^602 2827 48.723-776 
— I — Zuri.-b 91.417-682] '_i33^37 41.75-79 


MONTREAL 


(7i2d« I i3m. 3Z) TOttONTO 


Hay May J Sfsy Slay 

28 26 ! 2S 24 Higti 

Imiustriai 180.74 180.88 181.7 V 181.02 185.61 (23£) 
Conihioe-1 ! 180.01; 183.97 180.6S 180.07 192.86 03ft 

Cumpnsite' 1122.o" 1122.5, 1125.4] 1127.01 1138.3(034)1 


162.411 llbiSl 
00.62 iJu lj 



210.6 

210.7 

2114 1 

211.91 

218.7(1/2) 

185.0 00/4) 

Industrial* 

, 223.7 

224.0 

224.61 

224.4; 

224.B (26/6) 

194.3 Maid) 


I n,1. iliv. yield % 


STANDARD AND POORS 


Year aao lavipnrt.i 


AuSEratiartl 499.75 > 499J65 ] W9.75 : 441.19 Spain 

1 1 (29*i J (l/3i 

Belgium <h 96^3 ‘96.00 jlOLlfi' 95.45 Stredi 

| (Uibl 1 1 25(0) 

Denmark!** 05.09 , 96.19 ' 98.Lt; 9*.00 Switx 
i ] «(l> (6/2) 

France (ttl‘ 70D 'tfi.0 70 0 1 4’i4i 


aime Darby ] 14.20 1 njiu 

xoitbo. Pac. Prop..-..— -i — *— 

ouuUmea 1 cxi lie i - “ _ 

awire Pacific A ! 6.45 6.45 

Luxtile Alltancs— —j — — 

L'axUlalkjrp '■! Hun* Kong, — 

Whealock Jlanieu 2.45 2.476 

Wheeluck Maritime.— ‘ 13.30 3^0 

iVinsor Lndiulria- — ..... ] 2.60 | 2.65 

4' VTKur ~ 

ro Kx-divtdend i Buyer. * Seller. EURO-CURRENC 

motes : Overseas prices shown below 

exclude $ premium. Belgian dividends — 

are after withholding tax. May 26 atorling 

• DM50 deootn. unless otherwise stated: | • 

yieWs based nn net dividends plus lax. ' ' . ~~ I 1 |‘ 

V Ptas.Stw denom. unless otherwise stated. term.-.j — i 

Kr.100 denom. unless otherwise suued. ll ^ ' j 

+ FrsjOO denom. and Bearer shares " ,n “ 1 — i i 

unless otherwise stated. H Yen 60 denom. “ ,I ** rno ? lbo -j ! 

unless otherwise staled- s Price at lime al * moniha.... llH-llfs 
of suspension- a Florins. b Schillings. One Yesr.~—l IHb-I BI* I 
7 Cents d Dividend alter pending rights 

andy or serin Issue, c Per share. I Francs. Euro-French deposit l 


e francs. RoM Coins : 1 

i Internal' 11 v>: 

Krugerrand S 1841;- 1851a 31831^-lBSl* 

>aw5oi ,, nnW|S51kl-53l2 iS5Bl*Ti44 : 

!(££8>s-29i*> ,(£20-50. 

_____ Old Sov'rgun S54is-56l3 [86414.8614 

-RATES (£30-311 i£30-S1j - 

533 liaph?a....'.S275U-37 6 U l S879V,-B7B4| 

Fans 1 *EnSei> j Lcuklun iNmn'd'Di . ZurSHa OTHER MARKETS _ 

> ‘ [ .YiTOI KstW 

45.48-68 I 5397-407 1 3.838-848 93.404)0 j 109.15-35 Arjjontlna., 1-538-1.402 ArnentlimJWVmB 
£1.61-67 iJLUSSOOSO L818O£170i 44J7-I0 I oL 56-60 Australia.. .1. 698 M. 64] 7, Auitrw — Bfll 
- -14.041-076 I 8.425445 f504JB 1-6^1239^38-78 llra/il j SJ- 4^6244 .JtelRTOm ..J Wi-Bl 


I - B9J5-60.il 14J9-63 17.0308 

I S0.9G-6Q.Gf - 4.U-12 3.53^641 

I BJ6054B63 - - llfi.705-75 


, 9l.417-b92j IJB3W I 41.7B-79 ji^428806ilA177^15i85.631-6I3 I - 
L'JS. S In Tonmto=lil.90-1IL94 Usnadian eentt. 

Canadian S In New Yort =89JS7-40 cento. Uu?. 8 in Milan 878.70-90. . » 

Storting In Milan 1^79.76- L580.76. •Kates for May 88. £EKI 


EURO-CURRENCY INTEREST RATES 


canadutn 

Dollar 


1014-1068 


U.n. Oollai 

LIUUU 

UuiUlera 

Sn-iM 
f nuir 

ill . Ocrmau 
| niark 

'tv-isa 

4l*-4i* 

12-121J 

i 

7 V 74* 

4i*-4ig 

2-2 1* 


8-81+ 

41*413 

Hs-JM 

*$*5. 

881* 

4V4V 

Ua-lfts 

1 

8v-b5a 


1/8-2 

1 “ i«r Si 

8V-85* 

BU-bV 

21 8-21* 

1 3;;-3;; 


I oL 55-60 Australia.. l.6S87-IA417,Au»tng — J 27-28; 

239J28-78 lha/fl j 81.44-62.44 .BuIrhiui 683-8! 

17.03-08 Fiuland....! 7.80-7.88 iBieril „.J «-« 

3.S3^64i liroece [67. 40048. 168IChnada_U.3Jn-2.0i4 

,116.705-755 Hon* Kornd 8.44-8.4876 [DenmartJ 

_ Ira?! .TJ 124-130 Fraace.._JMW,« 

— — — ’ Kuwait—.. I 0.498-0.608 (Germany 5 J84A 

Luxcnili'nri 69. 90-80.00 [Greece — 88-72 

Mala vwa_.j4.847M. 1885 Italy 1660-1818 

X. Zeaiaml 1.7892- I.SOTWapan — J 406-425 
£3&- baudi Arab! fiJU-fiJBl iNerberl'njUMjg 
Slug* porn . 4.2305-4 J2440|Xura ay ._ A85J8JI 
5. Africa ...> UB 15-1 .5886 Ptiriujsal ...[ 75J6 

C.S -J ]S|«sln .._...] 146-141 

I'anaiia J p» Ua' Samli S.M S.66 

lsi !j JUV-U2 

U.ti. ceuto.j 88.76-89.78 i ftffigW jjjjWr 
. Germau Rate given for Argentina is a free raiej 
FORWARD RATES . 

~ Oiui iumitli l" ^iieeTliontlw' 

3ri-3irr - ! ... - — 

New Yuri.. ,0.37-0. 27c. yin 1 1.85*1. 15 04101 
S.ifAfc M out rc«> . 0.45-0.3 5c. piu !l.37-l_27c.pni 
3|"i-a}i Auiat'danitS-l i-.|iin IGI4 r. |n 

3;&-3ii UniBsci*— 125-15 ' ,i'iu 175-60 r. pm 

Cop'nhgn.i3*4-5 3 4 ure»Ma ]8a*-KUi media 




— : „ I . . and/or serin Issue. cPer share, t Francs. Euro-French deposit rales: two-day 7M per cent; seven-day 71-8 per cent: Prantfurt 8as-15a l* pm 

bfl — 103-66 110-78] 6»-* <7 Gross, dlv. %. h Assumed dividend after on month Si-Si per cent: three-month 85-03 per cent: six-month 01-M per Lisbon _..[85- 18b c.dis 

i,„„ wo* {“if* scrip and/or rights Issue, ft Altar local cent: one-year percent. e. ilia 

(M.370.M 37L31 taxes, m % tax free, n francs: Indnllns ...r. »» »m*. throe «ur< Xi\mb !2-6iiredi* 


May | May 1 May ; May 


Hmcei.imipiiat'n 


■ May May 
! 2» 1 £3 • 


:ln.i.;rtmc 10B.7B T07-Qa 107.381 108.47 109-70 I08A2, 110.81 
I 1 : iD.-oj 

98.59 98.88 97.08. 98.0S; 39.09 98.12; 93.80 


Gennanyt") 773 A iBiA 
Houand <441 M& i t-3.9 


IIOLISI 95.43 Sweden (rt, 470.56 37L3I 387 Jft 325.74 

I KM 1 1 23/0) I fitfi j (8/1) 

98. L); 9«.00 Switaerl'd tf| 1»L2 281A 323.7 Z79.1' 

• Mil) 1 (6/2) I *14/2) I (25/4) 

70 0 1 47.6 

' SS*' • 7hoa Inhoes and base dates <aD base values 
!,m' ,,7x, 100 except NYSE All Common - 5« 


71g-61fi pf pm 
:tx3-6oaadi* 
14U-220 r. dim 
ID- 14 Itredis 


, . . taxes, hi t* tax iree. n r rones: inauains , J0 ,, o n ,, __ >.». aiua i*-o mrwi ;*u-« iireun 

Uif» 1 (3A) undue dlv pNora. o Share spilt. * Dir. gbwl ° ti " [l»*-3Uowdia 5U-54e orodis 

281A 323.7 2J9.Q and yield exdodo special payment tlndl- 8 n lfi-8 u l6 cent, tour years Si-Si per cent, five years 8W per cent. ttrts U 1 - - 

(14/21 I (25/4) cated dlv. a Unofficial trading n Minority The tallowing nominal rates were quoted for London dollar oemficaies Of deposit: at'ekholin'l 
holders only, p Merger pending. • Asked, one-month 7.40-7JM per cent: three months 7-85-7.96 per cent: six -month 8d0-8Jfl Ytenut....jl 


8Uis4U|» per cent: tour years 8i« per cent: five years 8W per cent. £S.“ 1 

The following nominal rates were quoted for London dollar aerttflcaien of deposit: at’ck-boiniflamim-l oiedtoiSU-lU me pm 
one-month 740-7JM per cent: three months 7.85-7.96 per cent: six -month S^O-S^W vienu*....]l3-3 Rn> pm tfB-28 pjropm 


ilOr/i i i17/Si ,uu «wepi man nil wim reran - i™. 

‘iaa tlS Standards and Poors -10 and romm.i 
1 /lo,'!. I 3UO-LB08, the last named oasea on 1075 1. 


xr Ex rl rius. xd Ex dividend xc Ex 
scrip issue, xa Ex all. a Interim vinro 


? Assumed. I per cent: one-year SL40-&ED per cant. 


Shon-term rates are call tor sterling, U.S. dollars and Canadian dollars; -two 
days' notice for guilders and Swiss francs. i 


7.ttricli .....!§• 2 r. pm _ Iila-7l3 c. pm 
Six- month forward dollar 5L53i.Cc pm. 
lMnontfa 5.445J0C pm. 


In>1. div. TieM % 
In ). 1* h Kali.. 


I ll7lt» I 
I May 3 


lii.rl. B-.ivi vii*l.l 


11=1*. rUiifMi TTnncr Knnfr' Afi4 Jl Affl 70 471 14 • 44 ^ Exdlldlng bDlKtS. t 4rtB Industrial? 

lialijf W “ il46a - , ° : Titii? 5 400 Imls_ 40 Utlimes. 40 Finance and 

riidifj /liSh Iraiv l (m 52 97 S3 IB , Ir K » Transoort (f) Sydney All Ord 

(W3t (l 1/1/73) | (L/6i42) xialv (1BI «■« 6318 'll » Belhkin SE 81/12/63. (— l Cooetdiagim 

, . . n,, 407^1 '407 08 it ii ' SB 1/1,73 rni Parts Bourse IBfll 

lenr *ao !apfin>x.i Japan iro 407.08 vie. 11 13 ^^“ («) CommerahanK Dec_ IBM itOAmster . 

— 1 — iiRvi «Sn <•»“• industrial twn. (11) Hang Seng GERMANY 

. 4.34 Singapore olB-71 316.71 316.71 W&a BatiK 31/7/04. i||||) Milan S/l/73 .aiToKyo 

— W - 1 ‘“' w 1 11/6 New SE 4/1/SS. n» Straits Times toft 

! l 0-« 7 rot Closed (di Madrid SE M/12/7V 

— — - «ei Stockholm Industrial t/|/n (f> kwiss 

• 7.72 Ban* Corn fui UnavailaUe. 


TOKYO 1 


' Prices ; + o) 
Yen ! — 


tf) kwiss - ajjj 


OVERSEAS SHARE INFORMATION 

NEW YORK I ! ‘S' I “£ v I u ^ I I » 


lnv. S Prem. $2.60 to £— JI0i% (1104%) 
Effective rate (JL8125) 46}% (46J%) 


AiiIkoz Vemicb...! 463.5 — U.5 

U.lfir. B31 +3 

BA5F_ ! 139.7 + 1.B 

139.9 + lJi 
25781+2 I 
292.5x114-2.3 


AiiU.il l*i- . ... 50 

\Mi*-*lmii*|i!i 22 

Aciim l.ne.lLa»» 40 

At- I'r.iiii’-lii 28 

Ai:C'» 50 

\)>'aii\iiiii>miiini 28 

A:.s* 44 

lil.-j. Li-Cmn...' 18 
Ai.eglh’iiv I'.-vi : 17- 

A.lir-l l lioriii-nl... 40 
Aliinl •Uatu-.. .. I 23- 
Mil- ( Imlnirr-... 51. 

AUW .| 34 

in-riili lin- .. i a2 
\iiit-r. A irmu-.. 11: 
Aiin-r. 8-^n’(»... 49 J 

Aiiiit, llriMilit-t 491 

Inn 40' 

AMipr.L'vniiniiii.l 28: 
Amvi. Kliv. I'.'x 21 - 

\’..n. 371 

\ii-i’'.ll..ii’i’l > r>-l 29) 
Mint. \lt-litB>... 24: 
Aimi. M.4.P)-, .. 5 

\ u’T. A«l. Ini«„ 45 : 
tn NT. -IKUilHIll 4b! 

33 1 

A iMt’i . I t-i. A li-i, bl 

Ai.ii lc- 53! 

AMI 18. 

AMI* 32i 


)i*j 

on 

May 

so.e 

30V 

■ 22 

22 

40 

40V 

28 

28 

50 

5b 

2B 

281- 

441g 

44V 

18^* 

}8V 

17J. 

17 T® 

, 40V 

40V 

1 23-* 

23.g 

31 V 

31V 

1 54 

0413 

1 a2lg 

31.0 

1153 

11V 

49V 

49 >* 

49 1„ 

4flw 


L»nuii)( L>iju-._. o54fl 
L HU Int'uTiiHMi. 49 tq 

CratM’ 29^4 

(. rocker Net - J461 b 


L'ruu ii ifelk-rlaull' 3334 33»« 

L imiimm. Hngliit 391: 39 U 

Cum- AVrt|<bi.,.| Id 181* 

Itoua kfiTg *61) 

Itori IniliiHinca.. 42 ig 42 U 

liven- • 291* 29*a 

Del Mimic kG 431) 

Uehuna lias 12^4 

Umiaply finer... 181* 181* 

Del roll BdiMin._l lbSfl laig 
UmnuTnildUnnirK' 27Aa 271* 

Diet splii 11 ic IS 3s 154 

Hlaito K-|iii|i_.... 47 461, 

liihuey (AVilt). 404 40 

Ui.iwCair|4i ....... 43lj 424 

1>mh CbeinlcaL... 854 85tj 

llravo 884 28-4 

DrvnMV 414 424 

Du nmi 114 13 lib 

U.i nn* IruliiMne- 30 4 30Sg 
EfLu-i' l a H > iira-..._. 821* _4 

to-l Airline* 1 10 9ig 

Kartiiwii kn>lak_. 54! a 544 

Kit nn ,J 391- 394 

K. fi.AC • 254 24 Tg 

III IMsu .NHL <>•» 16i's 17 

hllin 32 <8 . 334 

/iirifranri KVect rtc, 35 lg 1 J9>j 
Lihi'ia AirFrAglil. 46J« * 454 

bmlieri ; 36 1 b 561a 

8,11.1 Bag I 24 

liucellianl 24 -241: 

IduuirV. ’ 29 294 

Kiln 1 214 I 2H* 

t\A.in 46to 46 

I'Niictnl.l LAiuerai 03<q | 33l H 


261b 1 264 


Ciiniinin* Hiiglnt 
Cum- Wnplu... 
Umia 


Aii.-.i-ir f (■•'kmc. 

Ail'-.e.i-ei llii-a-li. 

Ai Mecl 

A.-. \ 

AvTiwa A»« . 

Ami 

AnliUl.'l I'll. . 
Ai 1 . L'i.-Ihh -I.. . 
Ani.i Hal* I’t’i. .. 
AVI . . 

Ai -ii I'n-iiii I- .. 
|I«.» Iirn ).in I... 
14m. Viii.-n ■». . 
IS.iiLn. I r. SA. 

IU.li.-r I'll 

H-nlrr I -Bn-u-.i.. 
l**-n: < 1 1- i— 1.. . 
ls>- l.-iil , i ki-nu’ii 
Iieli A Hi.«ei'.. . 
le*i'« 

Itf ii^ilr: t.-u« - U' 
l>i-tl»ie!n >i> Mir-. 
14- 1 a He Lit.. 

1* tiii.: 

|hii-r AB*--ii.ie... 

K’i Si-:i. 

H-'t Wnwr. 
hiafliir I nt... . . 
I'raMVI . . 
i:>i’.i.’i iliro.. . 
hr.:. I Vi. (UK.. 

]li>«-1iaBt liiBN- .. 
hmii.’.i'.-li . . .. 
A.li-l 1 IT hi 1C .. -. 

Sri-I’i 

f (V nI’.Ii. . 

tur.iiiikl-ii Mlm 

IVnliiiijLi- 

.«il|(rn 
1 .tMB’lmu IVciiic 
< iini ILiudi-li-li.. 

Lir!ii1i<il 

tiM‘ii-1 Alinnra- 
tastn l!a.»Ti.. 


284 1 2ai a 


Jolins llaoMiu^..' 314 
Joliranti Jnhnviju: 764 
Jutimioa Cnnln.ii. 324 
Joy UinulBCtiir'tt 343g 

k. Man Uitp. 1 24oa 

KalaerA.umiui'm 334 
liaiMn Imtustrie*! 2 

Kb liter 3 tetri- ; 331* 

ka>_ L24 

Kennec»tl 25 <8 

Kerr McGee.. ...... 474 

kidile YVmier_.. 315s 
k imlierK Ck/ra ..- 474 

k uppers.— 82 ie 

■vran... : 477 # 

ivroKei 32Sfl 

UwaeeiiivTniu*.. a3&s 
U:»l airomn*..-..,. 351* 
Lthby Uw.Fmi..., 261* 

LJjyjei Group— . 1 014 


Mevioo : 464 

lle.vnukls Metab, 3 He 
Kcynobik K. J— J 581* 
Klcb'oflo MerreliJ 244 
lb«.-fcwell Inter.. ^ 33s« 
■(ohm A Haas—. 1 33aa 

Ifvtyal Dutch_ I 66 >s 

KTK.._ I 154 

■tu*6 bun*...- 1 124 

Ryder synem.... 204 
Gateway riroros...' 401* 
m. Jne Siumiic 27 
st. Kept* hvper_ ' 2v)i & 

»nia Fe |nd» 36S* 

saui Invent. I 54 

siaxon Inris. 6ig 

Ocblii? Urea mg J lAtig 
Schiumhentw—.-l 743* 

SUM 1 1&4 

9«H IMficr-...— I 154 


Wouiwunb 
Wvbr 
Xerox 
Xnpau 

Xucrith Kadfn j 156s 

U.*i.rrwbi4*lMK 194,% 
l'S.Tiw4fl£7bi«j t807g 
U.b.90 DnrMII- .! 6.6B 


Demag- 

Deiit"cfa 
Dremiiier 
Dyckerfao 
G uteboffnu os 


CANADA 


Lilly (Ulii j 3415 | 441* |*ia-i lint I HU| 


23 J* 

23V 

IB L-: 

19 

471|] 

47 V 

291a 

asi* 

2B<2 

28b 

30 

30 

13 

131* 

14T, 

M3. 

3b i; 

3bb 

15', 

16 

33 ’« 

34 

16 * 

»6’* 

ld<, 

18v 

3310 

3a .g 

61- 

»'« 

301; 

301; 

71s;, 

731* 

341; • 

347* 


j 

t,|.val»p«Pl.iit , u..j 39 ic 
Li-ulial A >.W_..| 16 

U-rlaialiel 23an 

IVumAtwH..- 31S^ 
( IiaH-MauI-slUui, 31-4 
L In-ill »s< Ill.XY 414 
LliMiTiliPoX**.. 84 
».Sir*#icfrv*lfro..-: -SZai 
«. hkv;i> Brolsc- 55 

tiuuntolh’V 18!»a 

Liny to HU 

i utcranm 4|? 

Liu.-. Slihu-roti. .. 274 

CilKvri’N — . 2 5 J 0 

Liiie- Sci 52Sp 
(.ilt Invr-tmu... 154 

L«'.i* *-■'» 4Z -1 

L<nK*le I’M!... 21V 

L cl Ini’ Athinsn.. ll>a 

C.iiiir.i'ua lisr I 26 V 

C.’liimliu* 1'itl 19>s 

L«i|ii.lnvC’vM.\iii! 184 
l iinUnikliiUl ko.- . loij 
l ..iiihuMKii 16- »8 

C'i)i’«*"lh Hrli»tXi ZTSj 
L’Mii'w'tllOal.’cl. 2}S 

t mum. self Miu-- « : 

C.w^iktVifliW 114 

Ci Bin. Lile In 5SSB 



Wwn.I.V, 22 4 

(’.mao. f.»»i* 2359 

L -Jtwul Nai. lia*-. 
I'.oiorwr IVtwrr t8':1 

t ..intliwnia • Cini. Z9S6 
(■intincxuiltkl...' 39 
l '. ml mrmai Tfilt, 16 
l ,-clnil Ifot^ 2' 14 

LiX'por . 6* 


16*8 ; 17 

Hi.. Hi. 

294 Sfj-. 8 
124 1 125g 
193 b 194 

54. j 554 
534 ■ 644 
39 "e j 39ia 
16 • laJ, 

23ro • 24 
31 Se j 3 ISg 

31V - <Ha 
414 ! «0-B 
24-4 I 25 


KUxI 214 I 2U* 

t\A.in 46to 46 V 

I’Niu-tiil.l Lmue»«| o3'ij | 334 
Feil. 1 >p|>i. Miiiiva; 38Jo ■ 3BV 
Flimnir Hit. .. IS'b 13 ig 
i*i . till. Buxie, 294 ! 2yi* 

rlrvi Vnn I 814 1 214 

iiinihini- 1 26 ! 251* 

hluriiln ISiaer — 29 Sn 1 30 
Kilim 1 36-4 I o7Jj 

r.M.l 85 V j 254 

K.nl Mm.tr ■ 48a* 1 49 

Kiin-mn-i Ui-k.... KOI) j 204 

35 4 1 36 V 

Krailhiiil JltuU.. 1 9 | 9 

Fnr(i*l Minetai' 221* t 22 Vg 

Knjehaui.... ! 31 ij | 31i« 

1-BUuaIn.U. I 11 > 114 

U.A.F. 1 134 ] 13i* 

liuinctl | 43 434 

■ nil. Airier. I III... I 10 9?a 

(i-l.l.A — 28ia I 28 t b 

lieu, cm in' ; 164 l6"a 

■ ■ill. Uvnsnilcs...! 07ft ; 57 

fied.Kleettk-B j 62is I 524 

licuemi Fi>oda.._; 314 I 311* 
ili-nmi Mi I In 1 Mij 29:* 

lji.-iu.-nii MiSun...: 59>a ! &9ig 
tien. I'uk till. 18>u | 160a 

I. nl. Slijuill,, ■ 28*11 1 29 4 

lien. Tel. ElA-l...' !8S) ; 20.-io 

lini.Ti n>._ 1 264 j 26*i 

lliniwv oU j 6iu 

• •vorct* I'aellie. .! 2S4 i Zfiag 

•ritv 011 163 ] 163 

liiilulle [ 274 . 284 

.in. 1 n.-li H.F.... J 824 224 

fin>1)car Tite.—I l^* 3 ' ^^8 

1 .miIiI 281, 28 4 

lim* IV. It. 87 ! 27lg 

tiU Alton IVi-Tm 8 8 

l»rl. Vurth Iron- 234 , 83 

UrpyUiHiinl 133a 13aa 

Hull* Wealeni.. W ; 13 Ta 

■ ••111 _.. Z3Tj t 24 

Halibutnm 615e ' bl^g 

Urn inn Minlnn_.J *64 

rtaim-niueaer — 15 5a 15s* 

Unmn Curpn 1 534 1 bElj 

Ifclur H. J I 374 j 37 la 

Hnulnein 28 'q 1 

Hew let* I’wminl.i 774 ; 77 tg 

HihhIs.i- luuh. j 174 17i* 

iliinirolake 361* : 3Sv a 

1 |.-ur>-« el 354 

Hiw.lv. J 12 ! 12 

Hu isLIw-Lme*.. 334 , 33Sg 

I I, nj-u... A«t .*.«■: *bi? . 261, 
Hmit|l1i,A|Cbni- 11J« 1 11kg 


Knllmi ilLF.l— .. 16V 


I.C, lroiu»tn«n ..4 234 j 264 

l.\\ 51 *1 

IimuiN.iii ItowL— 1 81 h 611™ 

liiuum aiMw.......] M'b ! 39*1 

liwini. lo j 154 r t lliwv 40 

;■■■ « « . uto : ^ M ». a fSStauK 

lull. FtounirB—’i 43 ; -27 8 ' 

lull. Ha rv enter.. ■; 32*8 I 33 4 
Int I. MmKCbem! 39'a ; 48?a 
Inti. Mi)fti*y*-4 fj ‘ *4 

IPew- — J J jT 7 * 

lim. IVfXT ; 4X4 41*8 

334 33»j 

Int; Kectifler-.-.-l *34 | 13 U 
Ini. Tut. A Tel....' *04] 314 

Invrm- — j 14 £4 

luwa He*r_ i 3H. B 36 

IL' Inimui^jOil* 1 lUv , 11*4 . 

Jim Uauer J 305* | 31 4 ‘ BopuMio bteei_..i 255* 


Utinn Imlii-l...,: 16<a I 19 
IMbteillnT'lt 22 1 224 

Lone aiar IikIs...; 194 ■ 19 «a 
Lmiu Imann H.l.l 18ti - IB4 
Lmilulana ItoUii..| 23*8 ' hdjg 

— - 3»3] - 391, 

l*urK.i Sti.n b. lai.-i 15 lg 

L'ke Y'iiiiit*l l *n 7 6a, 

.Uac.Mlllaii 11 *b 114 

'lncy K. H 40 le 40*8 

illrv. tianuier.... 364 1 354 

'Iijmi 55 V j 59t| 

Mamllmii (tfi 44 Jg 44s, 

Martiw- Mliltou.1., 15*i) 16-1* 

Vlarahall FfeM..., 20^ 81^2 

Ikyivn. W"m 24ig ' 24 ij 

WLA 911* > 49i, 

Uelietinnli 30 1 2913 

ilclh hi iit-n Dmiu. a2*a ; 324 

\1 .4.1 raw Hi bo • 234 

Ht-tur.nn 45V : 45 

Mvu-h 37i, 1 584 

Menu. I.xnri 194 ; 194 
Urns Pen,. icu ni.. a5lg ' 35. u 

MtIM 344 344 

Minu Miiik& Mil o 24 - a34 

tIriliUci>r[>. 634 ; 63Ja 

Minimi nii •...._ no.* . alt a 

MiH-ipiQ J.p. 484 - 494 

Muiimiia , 46 > 45 

Mundt.vUii • 404 •' 411* 

N ' A Bob . 48(-* 

A Cbemii ati.. , 284 1 MIV 
-Nfttli.iiai Con ; 18 \ 184 

Vil. ItlHtllien 22 4 • 224 

.\«t. Servte lai> 16>« . 16s* 

AMfunai »iecl....' aO^t ol 

Aaluuian 45*9 . 45 

'UK B3V ' S34 

.Neptune Imp. ; 194 IS 

Aew Kiu'Ibq.) Kl.. 21V 21V 

Ne« hnt-lantl Tel, 3a4* 33*a 

NUgara Molina k! 14 144 

Nissxni >buiv. ... Xu 4 104 

N. I~ Imiusn-ipr. 18< a 19 
.iiei<nluWeiqni 26 2o 

North Ns). Ua*...' 394 391* 

NUiu suten Pwi| 254 25 

-NtliWo.1 Airline* 87T 9 2773 

Mlivcut tVfl.un..' 25Sa 25V 

Nm leu hiniun. .. IS 4 194 

l.l i-iilHUi iVin.i z4v 2a 

Oailv.v Mather... 5l«a . Dll* 

Dlno KiIisthi 174 174 

oMn — : lsv • i^i 

Oi-imwalii)*.... 257g 1 271* 
uweiu LwrolthiJ 31 1 all* 

Dwells lliinuis... 214 I 21V 

■Vl-U) Gan... 23ig ' 23 V 

Ik-iit Ltoblinji ,19 IB 
Pa . Pwi.i L(...; 2UV i 20V 
PkoAmWiiri.) Air &V 1 B4 

tVroin Hatunlln 254 ' 854 

Ptnloiv Ini «44 ' 244 

PMI. P».g Lt..J 214; 214 

Penny J. 364 , 373* 

Peunroli • ^8?a : 294 

Peupm Urua_._., I01g . 10 

Feu|4n Hu ...... | 394 ■ e*ii 

ftpitci< ! 29 Tg j 29 7g 

Perkin Ulmer 1 82 ; 823g 

Pol -.34 1 42 L, 

Piwet ' 324 | 62 

lTiol|*. U’hU’c ' 27 26 

Ptnia.ieii.htn fie. 174g . 171* 

I'ti)h|.ll.<rH* : 6S4 j 666g 

i , hUli|aiiN. > tn4'niJ 33ig ! 33*8 

PIIbIhhv 374 : 37V 

1'itnDv 8ofren._.. 23 ; /3v 

Pnuton 22 22 7g 


03V ! 
36^4 : 39 


17 T9 • ittb 
414 41*g 

034 334) 

154 134 

*04 1 314 
14 14 


Pmuimii 364 

1‘Otunue l*irc._. 14v 
PI*U lniiu>tnr>..! 284 
Proeiet uamtue..] 641g 
Pub mt hiecl.J 824 
Pn ■ 'wm j 30 

....' 174 

(Juti* 244 

Hnpt l iRHneth I14 

KnVlhf'uj 451* 

, KL'.V._ 274 

I Hepubbe MeeL... 291* 


364 I 57 
14V , 144 


tine Duo for. i 84 | «V 

senioiiuiiiiei>_.- 504 I 304 

'•eaicmin _l 251* ■ 25V 

searietU.D.) 14ig ! 14 

UtwLiH.-k 24V I »*V 

sKULU 36 I 374 

>nellUil • 331* 1 33 1 g 

?bcli Inni'tXHl... 40 40lg 

■swn* 425* i 43Sa 

aiKOuileLorv..—. 344 " 361* 
*4impiii-iiv PM....] 13V 13V 

dinner 82 V 224 

*niiibKiine._ 674 ; 674 

suhlivii 34 1 34 

-S/uth>icmn._._.. 39 324 

Ho.iliwni Chi. K><' £54 25 

tvmocni Co lal* 16 

*iLn. Aai.He .... 354 564 

Southern Pa<-lfi> . 521a { 32V 
>Bithern Uaiiwa^ ; 491* | 494 

27i* ; 271* 

Vn-'i Muroiurp. 1 27 *g 28 
aperrv Hulun.... 19 | 18 v 

»|«1J ICaiki - Hi 4 41*8 

*qi"t>..._ ‘ 27 V a7v 

itotuUiM Urauiie.l 264 264 

aul.UuCaiiionjw 4-llg 424 
tiiLUii liHiiaiH..i 5uv 5 w5b 

»ui. Uliuiuo 624 63V 

iiaufT Cncmnai-. 417a 424 

’teriinc Drue 154 l3i| 

■*IUiiehak«- 63 62 4 

sun Co 424 42 

aumi -uami..._... 43 43 4 

svntex 28*8 06 

l'ecnmen«jr.__. 10 V 1 lOJ* 
l'ekiriHiix 414* i 404 

lewiiyne 107»» 1102 

l"eiev. 64 j &4 

fenceo. 31V I 311* 

la>ir’ Potroieom' 111* 12 

I'enuu. J 24Sg I MSj 

Tavrupmu -' 21i* J 21V 

I imt .m | 76*s I 76 V 

bar Uil A. I I|W_J 31*8 ! 32 
re*v> LiMutoB_.i 201 9 , 20 

fimf Inc, • 4JD* «2U 

1 1 nnw Mirror..,...; 29 4 f 891* 
riuiken .; all s , B14 

franc... ! 37V | 37V 

frathuttoncu. 154 16 

I ranwu ........... 18 | 184 

I'nuu Unim 354 ■ 3Sag 

Iran-iray lutr’u’ 26 ; 261j 

IIwUb Wurlif All- 16Tg . 18 ia 
rmreliers 354 I 354 
fncntumiuin.i 194* , 19A* 

1.U.W 37 Tg ; 38 

^CQLcmiirv Oi* 1 32 301* 

L.A.L ; 27V ■ 271. 

LA KOI) 24 tg : *43- 

LUI 2OI4 ' <04 

! 2U»* 

, 36l s - 361. 

cm imei AV ...J 49 4 ; 494 
Limm ItoiM rp...[ 14** 14J- 

unum Latin. Jgj. . ggj,? 

L 11 wn Unumen-v 1 7J. 

wiimiO) La-li .1 49V ' 493. 
Uiinn hunm..„ ; 404 | *gi 4 

oninyiL Jt. • 

Lint hi kraim*_. 84 ' 9 

— ■-"! * 3l a i 534 
Lau,|n|im 264 *6 

L3.-b>*. 27 . 274 

=>««!■ 28V • 483* 

L. leu-tinuuitfM*...' 43 : 43V 

L * tiHluB*ne«....i 2Ii* I 214 

• •neiisia kxo< 133* I 13?a 

o t.-^teea < 354 , 454 

" wner- Uranmn . 416s 1 414 
k ViniM-Lununt.: 304 I 50V 
W'Me-iiwi-ir.M-'j 24V . 9«i t 
iVe.._Fnrou_.... 27i E ; 274 
Itnlrm linn .up 343, ' JSG B 
ii L'lpm >. Am*., *7 . 26t* 

•VeMrni Unii>ii.. 1 161* J iolg 
'V-.iin2iiFwj K.-e«-; 3iv : 214 


ADiCibl Paper - 123* 

Agukw Ka*>le._..[ 4.85 
DcanAliimlaiuuij 514 

Viuom. 6tee> 2i 4 

AalnlM 1 1594 

HanV at Uoattea I 2v7g 
Bank Nova tfr-utla 21V 
Bari 1 -- Kf*miP'W..I t34 
BeliTelevin.*ie_.j b7ig 
Bow Valiev lnrf...[ 283* 


6.58*1 6.50* H*l»a Lnw«1~. 

. Harpener 

Hoechrt. 

Hoech 

Horten _.... 

May 20] May 26 Kail <in>i {Mitr._ 
123* I 124* S*"** 1 ! 


Kaurhot 
Kloukoei 
KHLi 

Krutm 



HP (inau........ 134 

lb&s 

Pi-tuvb *4.60 

Oaiiotr* Power-.. 374 
CamOotv Miinsb..., 14 Tg 
Camilla Comem., lv-4 
Lai toils N n'kii..- lODg 
Can 1 nip boh Coni 284 
umal* Inla 1194 

Can Parliic. 19 

Can. Pa. -i Ho luv..' 203* 
Can. *1 per <Jli.... 564 
Carling O'Keefe.. 4.40 
Canalr Anentiiv.. 10 

i.iueiMiii..__ ! 1 l73« 

Con ill leu 284 

Lutm UaUmnc.. . 271a 
vuu writer Li a*...., 173* 
Cuaeha KesouM*.] B&a 

Cuitaui Iheii j la 4 

Oaen Ltevnii j 83* 

Uemimii Mine*.. I 70 

Lkvui Mines I t*8A* 

Oume 594 

UonunKio Urtriiji 243* 

Ui’ml*r 184 

Oupuni 15*8 

Kauxm’jrr .\n-klr.] 24-3* 

Konl U-Ttor L'an..; f7B4 

UMMLttl ■ 27flQ 

vruai Vei'w Hiun' fiaSg 
viuii Oil Caumia .! 46le 
riawker di.i. Can' 73* 

du-'IUHCC 323* 

dmue Oil - A' 39 V 

riiAiMHl Hay Miu 18 

4u.iacm day 19 4 

ttuiiaun On Alia) 401* 
i.A.U ltV 

I ireuvo J3T B 

imperial Oil lui. 

»"vo - 194 

‘■■•a 113* 

■ IMOllil :\ti. (jB>..| luia 
iui'(lv 1'ipeiAne. 14 7 a 
naiaer tuanwx,.' 1,5* 
IMUT1 Flu L nrp 1 BBb 
C obtaw tV-lu. tf.jja 
il/iii inTiDt.jv.il. 19 1„ 
•iBBaey Fen l u*.iu 13 

.leliilvre j 44^ 

•1 ->r '-|.||,. .1 3b5g 

Mount BiuSutelbv 3.60 
’ • - ■■ *».i. <84 

v.^jbu tneruy..., 147. 
Mini, letewm... j 29 v 
Aiiiimc Oi. A Unri 344 
idawiui Pef-'iu.: 5.7a 
'>vn.'Cup,*r 51 1.91 


137s | 14 


MAN : 

Mantle- maitn._, 

Metal lee- 

Muudlieai 

NoekeruMmi 

PrvuMU 
KhemW 

rolwnnis-. 

iienun- 
3ui 

riiy-ven A.G 

Vmru 

V 

Vv 


- AmlOi Litojw — 33B 1+2 | 14 

2.0 Cknon I .474 j— 1 12 

8.1 Cm*/ I 890 '—10 28 

6.7 Ohioan 340 1-9 at) 

6.7 Oni Nippon Frinfl 539 18 

6.5 Fiqi Hutto I 576 ; +l- 1& 

3.1 ditoehl 245 }-2 12 

- Honla Motora. — 571 1—3 18 

7 ja douae Fowl 1.120 j 56 

- v. Itoh.._ ; 222 1—1 ; 12 

llo-Yoka.Io 1.310 !— 10 50 

iav-s 651 -9 13 

4JV.L. 12.650 =.. | - 

iuut«aiKl«rt.Pir.|l. 140 I— 10 i J.0 

Kouavfan ___| 341 4 | 18 

Kutio(a...._..._...; 278 1 1 ID 

Ayoto-Ceramic.. .;3.S70 ]— 1. 55 
UatoUBhito In-l...' 711 t — 21 Bo 

Mitouhiabi Uank..i 278 —1 10 

ditaitlHabi Hoiia ] 155 1—1 j 12 
Miuublshi Uurp-I 421 !— 1 ! 13 

Mlbiil 4 Cu ' 531 l—l ! 14 

■litauaa>bl..._..., a43 i— 4 [ 20 

Nippon Deo»i.„..: 1.340 —20 16 

Aipiaa 8hlapan..l 679 — IO 1 12 

-il-iMJIutari ' 789 -1 | 16 

*oneer.„ -1.730 -30 | 48 

Jiiiyn KiecLrtc_..l 250 + 2 12 

mki-ul Prefab — ; 890 [ + 5 3U 

nii-eldo.... 1,080 j 2U 

2.7 illy'- ;i.770 -20 4o 

3.3 isWiu Marine 1 237 ' + 1 11 

5.6 lakeria Chetnlca.J 390 [+40 15 

a.4 lOK 11.960 1-80 3v- 

1.7 >eum... 1 121 : ... 10 

- rokio Marine ; 491 —2 11 

•ukioKieiti Pow'i; 1.060 J— 10 6 


AUSTRALIA 


14 2.1 

12 1.3 ACMlLBtrenti 

28 2.1 .lerou AuKt*/«_..— 


AuatSl- 

| derKon Bank... 
10.70 j— O.St itorteKnaro 

TV. 8 1 1 ul"HUtMDl» 


”Vr?i?o +"oT'JjiTjYE 
Krouei — * * 


la ! 13 .Vmpol PetWileum_.._ 

12 ! 2.4 Awuc. Mineral* 


IB : 5.2 
25 , 6.3 


rokvu wma | slS 1 4-6 I 12 

• •m.vo7hilmiira...| 146 ! — 2 1_ 

■•"*T ! 143 • ! lw 

■wren M..iiir I 945 '—8 1 2 

Source Nlftfco Securities. Tokyo 


BRUSSELS/LUXEMBOURG 


55 « L6 Assfc - I'ulp Hopes V 

19 a«kv. Lkm. IndiBtTie--... 
5U l"l A,l . a " Fbnaletiuri lmreel... 

i s b° 

10 4 4 Auat. 01.4 War _... 

18 SB aiue Metal Ind 

ii awasteT: 

“ UH South :. 

in i in Lulled Urewny... 

J® *- B UfRlM) 

iS o'? Loas - Oahirieldf .Lust — .. 

20 IB U « Wl “ r l9 l I — I 

15 I 0.6 L'tamne Ulannto ; 

12 1 O j) Australia 

16 J 1X1 Scog.“ aU ^!‘^ ■ 

12 2I4 ^Wi^rafrh 

5u 17 iMunrie# .... 

2u o!s Property Tn»i 

4u 1.1 

11 h -s HoaLer 

15 1 19 lCI ^hriralia 

3«' j u!e l 1 ntBr ,-°oi*per 

10 4J * eunln R* Lndusinea .. — -. 

11 ill lUavid) 

b a. 8 Unmwi on..; 

12 1.9 Meuua Exploration 

1_ a.4 lim UiMriIxip___._._ 

l w 3.6 .Myer Kmponum 

t 1.1 New* i ...... 

7— Niohoiad tatenudoaal— .... 

>kyo North Broken U'cUngB (hOl- 

OakbHdRe. 

Oil 8emrob_— — ■ 

UUer Uxoloratlou— — 

K — . Pioneer Concrete.—....-. — 

..M.. Kwaift A Oolmau..— .......I 


10.62 NonkHpluikh 

11.15 j atorefiranil.. — 

tl.20 I 

S:S !+"JS BRAZIL 

11.50 

ti'S M.*v 29 

tl.16 f Aoi Ap-jr- . . 

]\m 38 


MdOUjSj 9 
64.5+L8I- — 
B&ff—JP 1.33 
2.6n|— Q 20 


« < a.i .torou AUKim/tB_. — / w.o* 1 — . ... — _ — - 

at) . 2M Allied Man. I’toR. I"**" &> t2 - 25 | 24 ,$£!?“ a 

18 1.7 Ampol BxjJiMtion-..-....- U.30 1-0.05 }9®^| 


1 86.01... 
85.0 XU- ; 


33 H0.2 
2U 8.3 
11 lu.5 


Prkc“| -fat] DirJTkL 
Cnu . — IM £ 


Ti.10 it-J.01 AnwU 1 .00 t_=njr|M.U I UN 

*7"nl lj"n§ itoimooo lifinui... 2.28 +0.»|iLl7 7.48 

•7‘m n-S5 Btiiica Itou 1J45 +0.o23:ib H.W 

defhi) Miuelm Ot 2.15 -tfiS,.l2 538 

lo'on irSS Lojaa Amer. UP.. 3.25 — OJMjAJL 6.78 

iJ- 9 * Petrohnu- PP..._. 8.95 -0 .b5i.1l 3^ 

[S'?S Pirelli-- 1.73 UwfJ.ld 943 

lo'SS r 0 " 10 *n«a'.nixOP_.. 3.10 +0.0^3 7^2 

12.45 I-...- L'olp PK - 10.20 +0.3tt',«0 U6 

t2.65 H4UG Veto Kin fln,-e Pf 1.44 {-0.M ! .18 

tl.50 WU2 VnL ^ uajhn. Shares 55.8m. 

{m95 I Sootck Rio dc Janeiro SE. 

tfLIO 44J1Z 

12.15 1-0.06 JOHANNESBURG 

itl.68 \ MINES 

12.30 ]. — May 29 Rand +or- 

10.71 I— (LOT Anglo American Corpn. ... 640 * 

12.25 J Charter Consolidated T3J0 -+I.B 

1U.28 !+iL 02 East Drtefomoln ISL30 +0.10 

jl-ao I BIsburg - 1.SS 

Tl.33 j+fl.02 riS -IB 

10.32 +0-04 

I9'5| too? Runenhimi Platinum' L35 -8.0* 

1E.5B +3.01 s* HeteM tllw +BJB 

iS JjS S® 1 *****! 7.70 

Sal jlm GoW FtataB SA m w 

JlI? Com Uoim Carvonuon * 

IJ-SZ De Bwts Deferred 0.03 

Jr-,* Hlyvoonilizlchl 640 

Jo 12 tS^Si Ea ® RwHl Pty - H.» -O'" 5 

to.44 +0JS Free Sure Ceduld m» 

tl-55 President Brand 1640 +U5 

K'Sf President Sceyn 1240 -8.rt 

10.75 ....... siiifomein -LW -»JB 

10.25 WeDtom 4.48 „ 


2.15 -t.JISa.12 648 


1.16 945 
L2b 742 
.20 146 
.16 


AMSTERDAM 


A hold 0-1.201 
Akro O' 

Ameni Bnk 
AM kV (Fl.lur 

Vniralaok (K 

ilDeuhiit 

UukuWen 
HuriirniTel 
Eiaevwr V (F 
fcinnla .W “ — 
bunA'iiml 

filfll. BtVJHlicair 


,, - • ’ Difj KecUft A OoIhjoji!J-J'~--- 

May 29 I nce + or Pro. T-il ^ Bjeiuh 

| — Nei (■ aouritSand Mining. .... 

A^ed 2.330 i+10 ~~ 

64. Bra. l*unii-_ 1.685 |+16 72 34 AValtona...— 

tieken "B".- il,910 31t) o.3 M'estern MialxuiliOflColi 

C.B.li. Cerueni. _. l.lB0*d+4 ilou 8.6 worths 

UA-ion- 413 ,-9 - - 1 ■ - ■ -- - ^ v: 

I- KBke 18,226*1 + 10 |177 8.0 

,“•*? BiRtrobei ,6,320 j+20 43u d.B PARES 

'®'| F aim q ue Nat. 8.590 17u 0.5 r- pj,-- 

®-S O.B. TnnroUro 2.000 PlO I16U 7.5 „ **™» ‘ 


59 V 1 391* 


•'•l III- 1 

-‘cogiro UeiUA.-j 

■liuiLuii Ot-.J 

AUeerUereini nuj 
i*nwar L^Hpnral 'n| 
Vice 

.jUEhee MureROI. 


ln?i Tru-SI ! 

hcefCre K'ltaucer 

teagrania-^ 

ibe> Caoailn. 1 


17V » vaiiaei | 26J* 
ffl® - — -j s=T>*a 

HSfl Whiri-s-* 82a. 

w » Wnue cun. Ii *1,., 823* 

27Sg » ••■«i. ...„j istI 

26 H laopnaln Elect-- 27 V 


•imj)nu|to__ I ojg 

>imh ui Canada...; 85V 
leet 1 «w* Inu. J 24)5 
iexamuuia.ia..., 37V 

(•■nrniu Uorn.Uk..' XUv 

lirii&LaiiFn^L, | lw i fl 

1 'all* Miami Oi 1 . Bto 

"tort-. ril 

L *H> HI Uw lUSg 

t UL iI'h.'icMiiim'I 81b 
«.i act Hirmi.... 33 Id 

4— I Liawi Tin, 11 aa 

W— rm. I— lax. 


^ 8 ig 

28 

14V 

147g 

29V 

89i» 

34V 

35 

3.7b 

3^0 

1.91 | 

1.61 

aSv 

353* 

taala 

327s 

tisi* 

tlbU 

4.00 

14.00 

1. 7 

1.07 

94V 

24U 

157g 

16i a 

1 13 Tfi 

14 

1./5 

1.18 

9213 

53 


101 A 

131V 

3U* 

31i» 

31V 

19 j 

19 

1 83a | 

8 'a 

48 ! 

28 >4 

6 §h 

137s 

6.37 

e7 

cB 


rluoguveu- iF 

Hunter D.fF. 
a.l_i|. IKi.lQOi 
lau Muller 
-lumen (Pi.lU|, 

■NcIL'red Uk(Fi 
>^ed Mid Hk (Fi 

Owe (PI. 

Van 
Pak-L 

Philips (Fi. 
UjnBchVen 
Kohecu (Pi 
ik'ilnco (Fl. 
Koreutu CPI. 
Bo.vaiDutcfaiFi 
■arenljurg 
"tevin Grp 
rnnyoPae. 

U “ 

V 


■-'2 raunque Nut 8.391) i fw o.a 

r - g W.B. fnno-Bra ;2.000 -10 IlSU j 7.5 

g'® Uevaert .1.308*1 — B 8b o.b 

®-f Hoboken -J&200 +26 17u 7.7 

™ 1 men -ora.- 1.740 ^-10 |l4B | 

L'_k.i4A*h tL 9/iri r "■ I 4 A 


10 148 I 8.2 I 4*.. 

. Atl1gueOw3i.IV ( 


IbB.O' — U.3 [AKfit 


127.0nr 

250Jhd- + 2 
128 :+5 


AECI 

Anglo- Amer. Industrial _. 

Barlow Rand 

T.‘|T."| VhT CNA Investments 

£2: | * Currio. Finance 

■ * De Beers Industrial 

Edgars Consolidated lnv. 

II S 34 Gd8a!ra s,or “ ~ ; 

VfiTl EvwrReady SA 

.TT if I S~ Foderalc Volkabelcsginsa . 


i28.6.-Ul.7 4vj 

i : TT . T. r~J /Tien ” ijk. AtilqueuwiIV * 401.7 +7.7 21.$ 

ATftJtCtbUZii ...a...,D,74U 0-0 Al, I ies wmtA 3ISI UR tfi 

Snicr^fiteiio --J3:a a »?aS«— 

rt*rodua__.— .Ja.845 -40 179 ".a 861 tla «2 

_ io pffi&zz “ “5 :s to. 

=10 ire 7 i — ‘■5S« +8S 2? 

h*«wvi _«n a Jin n a. ^ aab.bi 31. 


-tinea. 3 .U) q —10 |eio ».js 43 n t: a-* 

UCM * — QSR TVS "I 17 6 B re- 333 

L'n ii in .""(T/"lO) = 806 +26 6u ».l SSiJo3?5i?S; lfl 

Vteiiie MantagneJ 1,505 1-5 1 - - hr?" 0 ?” J* » ^ 


;■! iuardlan Assurance (SA1 

5- g Eatons 

6- g TA 

4-6 McCarthy Rodway — 

8-8 tfedBank 


SWITZERLAND 4 


pure I +or| Dlv-Itt 


- i * 


Cus Banna ire- 

(Jiub Mod iter 

Credit Uom Kr'o* 
Cieuaot Lui re 

D unl in L 

t’r. tVlrohto. 1 

OetL Oacbtemait 

1 metal 

Jacques. Burei _... 


1 + 7 18 3.5 Premier Mining .. !.,..==!! 

427 1+5 11.45 8.6 Pretoria Cement 

1*2.4 + o.S IB 9.7 Protea Holdings ... 

82.6 +2.5 — — Rand Mines Properties . 

830 +16 7.5 0.9 Rembrandt Group 

130 +2.9 '14.10111.1 Reico 

18U [—0^ j 8.ZG] 4.3 Sage Holdings 


LL. [***‘wt> !.! 195.5: +5.5 


5.7; 8.1 
W.77! 8.6 


4APPI 

■+ G Smith Sonar 

5A Breweries 


/.6 

1.2 

i 33 | 4.0 


-ipnium. ! 1.275+30 

■A 1 11,725. +6 

GebuiFi .HM 1.14* xr! + 5 
Part. Cert- b53xrf-5 
Kes....-.— 604xn— 1 

«e [2.15 ) UlS 

1.565 | + & 


[1.585 |+& re I a. U 

ibem-Ed-i 66 j*|;+ 10 b a.8 

MOrt J 77.2B0j. as*, j 0.7 

Uo. i8ma>it.„.|7,75u ; 1 65 1 u 7 

U 3.860 20 I 8^5 


o ( 8.3 .1,173 [ + 29 30.76' 2.1 

lu ! 2.B J™" 1 ?* Himu.J 999 i+16 39.6! 4.0 

aa 1.6 JJWwlm 1,469 | + 34 3SL&6- 2.6 . 

aa x.6 511 +16 12jj 2.5 

aa ! 3.6 — — - 167 '+ia.9 3 1 1.7 

16 [ a. 7 16i.B,+U.2 lSJBia.4 

re 5.U SSSfSteS”" 3 a i + 1 -8 7A| bJ 

b a.8 — afl9 +1.3 7J 2.B 

5L 0.7 ^“few-Limwi- 377 +14^ 17J5I 4.6 

206 I + 14 — I — 


;i7 


Band 

+«- 

LSO 


T3J0 

■+I.K 

12.30 

I-S8 

+0.19 

. 


5.33 

8.80 

—0.05 

U3 

-a.oi 

113.40 

7.70 

+01# 

12T.B0 


446 

■ 

S.03 


340 


H.7S 

-0.05 

130.50 

+145 

1SJ0 

12.00 

-0.19 

■LOO 
' 4.40 

—MB 

3040 

2940 

'+049 

1340 

-049 

i 

2.70 

8.30 

34ixd 

-0.U 

140 

— B.SS 

0.87 

1940 

3.00 


3440 

11.75 


143 

t340 

+045 

L8u 

147 


148 

1040 


- 

tflJOxd 

+0.03 

547 

240 

+9.02 

143 

143 

+9.01 

3J5 

+9.05 

043 

-D.M 

L43 

+0.03 

140 


190 


1.28 

-0.19 

945 

LS7 

-o.es 


. Securities Rand USS0.71} 
(Discount of 37.8%) 


167 '+111.9 3 I 1.7 *™“ 

i6l.B i+ U.2 13JSia.4 «aim • 
90.2; + 1.2 7.5| bJ SPAIN w 


+1.3 7J 2.8 May 26 
+ 14JI I7J5I. 4.8 


a’b Tecbnique. 463 [+17 


16V I 1 64* 


•■BM. t Ass«L f Traded, 
stock. 


COPENHAGEN 4 


Aihiei^uanken ..., 
Uunn'icr W 
Diui'kcr Ban 
A-iaii U>. 
Pman Den ken- 
«'nr, Hyuener 
''ur. lipir 
Haclicsttuuk 
Cf.S'tli' 

.Nort Kabei 

OncCnif 
PiivmIku 
P rovuirfiuib 

■roph, 




VIENNA 


Crttlilaiistoit 
tfonnxnee, 

■eiOie*.,., 

-tom pent 
-teyr Daimiar, 
Vwt Muroestt. 


Pr. 100) . 1.405 Uio 21 1.6 SS"“R-; — ™ 3gJ+W 

Nestle fFr. IOOi... a,4.0a'— 4s 2.a !?" 

Uo. He*™ 3.196*1 g *./ bj) 

Jer’iUunH.fK.iol)) 2.520 +20 lb 13.0 =*““‘*Huno J — Ul ; 

Piioiii 61 H lF.10. 870 18 0.6 — 281.9.+5.9 

w fFr. xxh- 3.785 +35 2o 1.7 , i, TSf*"****-- <56 

Har^Ltorte 473tdi-li 86 2.8 Ml * art1, ^tno 

bimiiertJiri 100 89oT_ 12 4.8 24 j-f-0_g 

"is (F.LOO) 350*11+1 14 4.0 



27 5.5 
87 4.6 


Asia no 

Banco Bilbao 


Par rest 

[lit — 2J 


Banco Atlanilco CLOW) 2St 


• u SK 52222. 


PtatsLtorls 473nl|— 1 
binuusKltri 10O 2SO 

"is (F.100) 550*11+1 
iPr. Join 829*1+6 
nuik(F.100| 376 a -3 


130 9! + 3^4 1a£k 0*7 Banco Exterior 
ere ; ^ J-J Banco Cenoral 

fnMMS Su| 9.0 SSS S nJ00 ’ 

195 J+li”' iSSl 79 lw, ‘ m fijwn 

±5* -1 - ZMSsrrr 


iFr. ixnj 629*1+6 It) 
nuiklF.lOOj 376a—3 U 
tito. F.e&O) <4.375 [—25 40 

Hank [3.035 ffl|— 5 20 

!n*_. IIO.lZBxr— 5501 44 


I'ilH STOCKHOLM 

40 2.8 r 

20 3 J May 28 


MILAN 


VI IDit. ]V 
L.r+1 - r 




■a 1 — 4«a _ a " — i - 

L834wj)_ - 15b 8, 

Ou. Fnv— L.560&-' — 5 I0C1 9, 

• 93.5+1.6 - _ 

— .'nt..-_,_ 11.9901—860 dUU 1. 

174X6[+4^> - - 

— - 33.210 -90 l_atHM 3. 
- — 155.751-640 - - 
>...— 1.100 +18 - - 

« 2.160 —11 130 0. 

bps 988.0 -4.6 8L 8. 

I»om* 725 1-25 - _ 


iu —so lASUUj 3 . 
73]- -64fl - | - 
> +18 - - 
' —11 130 e. 

r* 1 ■ n. 1 n 


I AUA . Ab(Kr^U)_ 806*1 ajb j 8.6 

AitaLavat B(KraoJ 140 - 6 1 d b 

ASKA(Kr.6tO__ 83.0*4-0.5 
Adas CofwUKrfc 123*1—1 

ullleru.1 81 1 + 3.6 

L)it. >\ dofors...- .IIBbjL 

Lurr j - r 184*rf_a 

i— _ i^'nkMa +31 ! 

_ _ Htoet'Iux*Ji'(K3Q 133*1—2 
J _ - brtcoaoa *8'(Kr£C 134 1—1 . 

J5b| 8.1 B-»oite-*U’*._— J 260 +2 
1«»C 9.6 ►asrenAs 9U*i 

— range* (ireej — 45.fi +0JS 

duu 1.7 HandiOkbankon... 333ri +1 

— — Uamhou lu5« 

JBt 3.6 Mn Oeb Uom^toJ 61 J 

-- - Ssndvtk A.B 242 —6 

— - 3.K.K. Kr> 67 —1 

13b 6.0 BkaralBorUida— 163ai +1 

BLi 8.1 IVuxMiV *B‘ ErbC 72.0*1 

— - JAldehm 63 +2J3 

I Volvo (Kg. bQ)„J '75*1 +3 


jSH 70 S*°«o Urt. Cat. 11400) 
liia 7.9 B . ikj. Medics rraneo 
*~ 1 ~ Banco Papular 

Banco Santander ISO) 
Banco □rqulto (LOOfl) 
Banco Vizcaya 

7— Banco Zarasoxioo 

"* v * : ■ BankunJon 

‘ * Baous AndalBda 

.k "TTc Rahcock Wilcox 
s cic 

P 2 s Drags dOs 

® °-i: itmiobanlf 
f E I Aragoneses 


S22HO.B b 6., ESB-ZZZZ 

E l Aragonesas — 

iisJ +8 ' 6 5 a’t Eswmola Zinc 

«?Sh=-- J 4 . ** Erul no Tinco — 
2 g-5 Fecsa 0.0001 — — 

^ 7™ ffonosa fl.OOfl) 

133M-2 bJ S 4.7 Qal. Predados 

1 — l ■ 04./ Gnuxi Velasmez 1400) 


133*j—2 6 jS 4.’ 
134 Ul . o 4. 

860 1+2 6 3., 

»da« - 4 4.< 

45.fiJ+0J - - 


< 1 Hidrola ..... 
aa iheritaero 
_ Olarra ... . 


SS3d+i re 4.8 ReinMas ^ 

luAnl h PVrtroliner — .. 


Iu5*u„„ t ... u 7,6 r r ™L IDrr 

611—1 — - Pefrtw* — 

242 — 3 a. /s 8.4 P * B * rtera — 

isSJii H Vz sggflBj"-™” 

mrp 6 - a 

_ ~75*a| _+3 6 8.0 umon Elec. ' 


a 247 — 2 

1S6 +« 

1 221 - 

... 29 — 

7S - 

m + s 

. 89 — 

! M. +1 

MB — 

1 10045 -U 

— 7L25 + OJ 

75 ~ 

JH — 

(400) U5 — 

KL — 

>3 +2 

120 - 

las — 75 +5 

130 — 

199.13 — 85 . 

— 573 

si + a 

12s . — 

895 - 12* 

91 4* 4 

IU - US 

8ft — 




•.a 


• -? 























Financial Times Tuesday Way 30 I 97 S 


45 


viL n 


ft 




INSURANCE, property, 

BONDS 


AUTHORISED UNIT TRUSTS 


OFFSHORE AND 


is; 

lit 


146 7 

1545 


15i7 

160 8 


875 

97 5 


129 9 

1368 


152* 

177 3 


172fl 

IB) 1 


828 

87.2 


U51 ' 

1«2J 


t74 5 

1817 


155 8 

164 1 


125 8 

1525 


1318 

1306 


334 

352 

‘ 

1110 

1X6 4 


109 0 

1.. 

1148 



m i'-mphi 


Abbe? - Life AMuniicf Co. Lui 

*3 5t 1*an|'« l' huivli) un! Ev’« 

r qimyhtnij 

FVjuitj 4r<- 
lVnjwm K,| 

Pruprilv Jt.-r 
NclVluc Fund 
« -invert ill,- riind 

Fund 

iVn>. Property 
tens SvWIimi „ 

•‘■■u. fHvunH . 

'tanatod . 
i . in. r.uuii> . . 

*JT..|. V,| 4-r.-l . 

Minn Kit sit 4 
VKqiinv KU. !wi 4 
*1 'uns HI Si r 4 . 

♦ Mnni-V KiJ Scr 4 
I'nivi nl Mbj 23. V 

Albany Li/e Assurance Co. Ltd. 

•7!- 01.1 HurlingtcnSl ,\V J. OM3T5SCC 


S***? 1 , PortI ® U ° Ufe *»*- C. Ud.? SP I Pensions Management Ltd. 

*M Ban holonyw Ct . Walt bug Crew, WX3IP71 aa r--m. c 

Pen fulio Fund . I 1363 I +4 31 _ * **-Gf«((ehiirtS .sriP*HU 

PurUvIioCapKai.. {*17 «B( . _j — 

Gresham Life Ass. Soc. Ltd. 


Abbey Unit Tst.. Mgrs- Ltd. tat 
72-00. Gatehouse Rd, Aj lesbury 0296 SM 

Abbey Capuol ... .PZ * 3*31 -OJ 

Abbey Income.. ^.{3.9 4 l5( -1 

Abbey Inv. TrtFd..|34 7 36 

Abbey Gen. TM fOl 41 


Cart more Fund Managers V ta)tg> Perpetual Unit Trust Mngmt.V is) 

2. St Man AAf.EUjyanK 01 2S33531 48 Mail SI. Henler or. Thame* MSIsaWRl 


U 'American T*t , 


961 

in: 

104.3 

109.! 

109.6 

115.' 

1212 

127! 

«0 

MLl 


14LW .. . 
385.7 -4L4, 
110.1 -OJ 
106 D -QJJ 
1U.6 -03 
1166 4-2.4 

108.4 ... 
«1S .. 


VKquilJ Kd. Arc . 
*Ki.seU Ini Ai-r 
**•1.1 MnmKdJU 1 
Vlntl Mnn Kd-Atm 
ePrnp FilArr .. 
•SF pie Inv. Ace .. 
c -quite Pen Fd Acc. 
Pen Arc 

iildJIon Fell Acc 
lull Mn.FnFdAcc 
(Top ITr-Arr. 

51 r>e Inv.Pen Acc. 


179 8 
156 5 
113 8 
1035 
107 8 
160 7 
2116 
1719 
12B1 
1094 
121 3 
1959 


189.21 
143 6 
119 7 
100 9 
1134 
169.1 
272 7 
1809 
1341 
1151 
137.8 

206 i) 


AMEV Life Assurance Ltd.? 

AJma Hk-. Alma Rd.. Reigatc. Reicate-fOIOl. 
Managed . [1383 

— nn.1 

AME\ Money Fd. . . (1£W.5 


AMKV Equity Fd.. .llOOfc 
ASIEV Fixed Int. —[903 


Fd 


m 


AMF.V Med. Pen B M7 6 
Fleiiplau [98 2 

Arrow Life Assurance 

30. L'xhridfje Road. W.12, 

Sri Mk.Fd.Op Vnl. ,W*3 
J+.-l-MkFdSiVnt_..fifcO 


345* 

■*32 

113.8 

UOD, 

+03 

115.3 

-0.6 

95^ 

-0 6 

101^ 

lozi 


ID2J 

10IH 

01-7 

ps a 


101.3 

! . j 

121 a 


119.0) 



Pen Ifgrf Fd Eq 111175 
f't-n.Mgd Fd -F I...|u5 4 

Barclays Life Assur. Co. Ltd. 
252 Romlord Rd . E.7. 


it L Gill Fund .. 

Co La. Inf J Fund . 

O.Lrpi>.FuQd 

Growth St Sec. Life Ass. Soc. Ltd.? 

Weir Rant Bra> -on-Thamn Berks. 062& 34284 < : IM Bdsrd Fd T — Jlfl3.B 
Flr*JbivFiwtcr..| lira | I _ toolDepaMlFB -.(96.1 

r jurtbauk sckacc Jim.* 5 * u? si I ~ Norwich Union Insurance Group 

U *S. Super Fd.. 1 £7870 J ..."J __ 

Guardian Boyal Exchange Equity rand" 1 — 

R.« al Exchange. E.CJ 01-283 7107 Properly Fundl~l.' 

Property Bonds.... (I744- 18L6( .. [ ._ Fixed InL rand U*82 

Hambro Life Assuranee Limited p Noru" Fu 
7 Old Pork Lane. London. W1 0l-4f8 003l 

Fixed Int Dep Q2A8 U1.4| 

fcqciiv .. . . no.7 

Property 161.0 

Manned Cop . 1385 

Managed Arc 179.9 

•Jrcryeai 1209 

Gilt Edged 1227 

American Acc ._ IMA 
Pen.F I Dep Cop. .. 1273 
Pen F" l.DepAce... . 147.8 
Pen Prop. Cap., ... 2021 
Pen. Prop. Arc .. .. 2592 

Pen. Man. Cap 2862 

Pm Unit. Acc 264.4 

Pen. Gill Edg. Can. i?m 
Pen Gill Edg. Acc.. 1273 

Pun. BS. Cap. 12X4 

Pen.B.S. Ace. 1393 

Pen. n_LF Cap... . 18 

Pro ha F. Ace. 

Hearts of Oak Benefit Society 

1 .5- 17, Tavistock Place. WdS 8S3d 01-38 
Mean* of Oat ... .(J63 S8.4( . .. \ 

Hill Samuel Life Amur. Lid.*? 

N LA Tut , Addlscnmbe Rd. Cray. 01-flt 
158.61 


4R. Graceebuirb SL. EC3P3HH. 01 -S3 4200 

Manned FUD^ .^16.1 15221 ...I - Allied Hambro Groups (at (gi 

Pnc« May 3. Next d..U« June L ^ Hunon 

New ZfH lsirf ins. Co. (CJK.I Ud.9 oi-aas sasi or Breoiwpod 102m 211450 
0702*am Bxlxnced Funds 


-DJI 4 08 (ti 

-0J1 561 BmisOTst (Ace 

-dJ IS ^ 


Trow 


2*3 

546 
164 1 
318 


High IneomeTtn. . g82 


Income Fund .. 

Ins. .Agencies — 

InU. Exempt Fd 

irilnll.TM.iAf c. 


a 


_ Allied 1st 


iBrtL Indt Fund 621 

ICnh.jElnc O 7 

[Elect. 4c Ind. Oev. 329 



Ki«1 Key lnv Plan 1375 

Small Co’s Fd 108.4 

Technology Fd 1046 

Extra Inc-Fd — .. 188.7 
AmevieanFd. 187.9 

Far East Fd. HOB c 

Hambro Ace. Fd. 
income Fnda 

High yield Fd 168.4 

Hied inccsne 1673 

PO Bex 4. Norwich NR! 3NG. 060322200 AJH.EQ. Inc. 13*6 

[2083 219.2) —0.61 — IwierasdaBal Fundi 

W9.0 356 8 -0 9 — [aiemalionol 

1253 UL9 _ Sees, of America. .. 

(1482 156.0 -0.7 — Pacific Fund 

miMxvl&_ f* Z 20&6 Ua7 " ~ Specialise Fuad. 

nit Mar lb- .[ 206.6 — Smaller Co -*Fd.._ 134.9 

Phoenix Assurance Co. Lid. Fd "‘ SI 

4-5. King William Si- EC4P4HR 01-82C BB78 MeL tUn 4c C*dty ~.' 40 il 

Wealth Asa. IU15 117.4) .... I — Oversea* Earning*. 58.3 

Eh r. Ft.Aja. 1 74.6 - - - . . - - 

J" £ 1 1 *"' ~ Anderson Unit Trust Managers Lid. 

Prop- Equity A life ASS. Co.¥ 158 Fendmreb SL EC3M 6AA 

U B. Ccairford Street, W1M2AS. 01-4860S67 Aaderwn Vi.T WJ0 5216) I 4.43 

R. Silk Prop. Bd. j 1788 I. ...1 — 

oo.aiaitjSd. 718 — j — Ansbacher Unit Mgmt. Co. Ltd. 

FlexMOcey Bd 1 1488 | -0 J] — 1 Noble St- EC2V7JA. 01-6538378. 

Property Growth Asaur. Co. LULW Inc. Monthly Fund U620 1720) J 6.60 

L«m Bouse, -crojdtm, cm ilu oi-daoDeoa Arbuthnot Seeurities Ltd. (a i(c) 




305 
587 
176 4 
342 
626 
76 6 
14 72 
93.4 
34.4} 

Gibbs (Antony 1 Unit Tst. Sign. Ltd. 

S3. Blcmfteld Si . EC2M 7VL 01-5884 1 1 1 

laiAG laeome' ..M.7 41 7*1 1 820 

iaiAG.GroinlitT_.p91 42ffi -!20 . _ ... 

lajAG.FarEasi*., 22s 2*3 J 030 Practical Invest. Co. Ltd-T (yMci 


AecumUr Fund ,_i 

Tecbnoioj 

FarEaail „ . 

American Fund _ [25 J 


ofljlnji Market Opportumliev. n Insh Vounii 4c 

24 M *0 J 888 I 'lUlhwaMf. 1ST. Km Si Sydney 
2^-O.lj ""llSJliibares ... .. | 

Bank of America lnteruBtional SA 


18 24 18371 .... I _ 

18350 104201 J — 


Dealing "Tues. ftWi 
Goveit (John iT 

77. London Wall. Ei\2 
S'hldr. May 10 - .. 11384 145.' 

Do. Aecum Dnu . Il65 6 1 74i 

Next dealing day June 

Grieveson Management Co. Ltd. 

SOGmbamSi. E02P3DS. 

[203.1 


Barrington May 24 
(Acetnn. 1-nlui . . 

S1gn.H.V(LMa>25. 
(Arrum. Units! _ 
Endeav-KayO 

rAccum Udiui 

Grnrtetr . VtayOfl . 
cAccumu UdiIii- _ ... 
LnABrtls. May 24 . 
lAecmlMui- . 



44-BIoomsbnn Sq WCU2RA 01-623 8803 " ou ^Y ; ! rd R,f>a L i 
Praeiical Mai S4 11470 15621 I 421 bldlnv rot Income I5I SW19 1U2 -H 0!( 656 

01-5885630 STl mg „. :i2C7.4 SSf | 421 - Next aub. daV May 31. 

A | Lg Provincial life Inv. Co. Ltd.? Bntc - ^ Lndn - * s -America Ltd. 

-5T- -J RichftTugxiP Pr? ai-247^33 40-flB.Que^n VidoriaM, KCA, OJ-930 2^13 

c *■ MSSKhT-l-pr* 87 41 -0.2| 319 ^^derKund ftvsni 1 [ _. 

High Income |l095 117Jo? -6J| 7 49 Nrt xslue May 24 

PntdL Portfolio Mngrs. Ltd.? (al(bKc) Basque Bruxelles Lambert 
437 Bolbom Bars. EC IN 3.N H 01-4050332 2. Hue I>e Li Regenre B 10CU Broiwls 

791 Pnidemial - 11245 1320af.. | 4.40 Rcma Fund l.F . . .|1.B49 3.906} . I 785 

Ul Qnllter Management Co. Ltd? Barclays 1'uirom InL (Ch, ls.1 Lid. 

1 70 The Sik. Exchange. BC2N 1 HI* 01 -600 4177 1 . 1'hnnng >>osi. SL IK-1 irr. Jmy. 0534 7374 ( 

S Quadrant Gen Fd. {104.8 1881! .... | 4 23 Oversets Income; .. Ws 7 5L3| -0.1/ 1Q.40 

IS Qumdnnl Income... |l24 1 1280^ 7.85 i nidollar Tnix. . Ewn B* lliM . ... | 4 20- 

4.0? JBeliaace Unit Mgra. UtL? L-a.b-S’Tnm , u»5j . . i ooo 


lull. Del Sect. Tm 
F iryl Sii-rlin,: . 

FirM I nil 


Kleinwort Benson Limited 

20. Fenrhunrh Si . Ei?3 
Emmie*! Lux. F. 
ilui-rnfy-v Inc ... 

Ho Aecum. 

KB FSr Kasl Kd .... 

KBIml. Fund 
KH Japan Fund 
K H l's Uuih Fil 
Si end Bermuda — 

■l nilond' • PM. 

■KB act ai Lend 


1.043 
43 3 67 3l 

70 2 83 0) 

5VSI0 62 
SIS1L48 
SIS2926 
5LS11 40 id 
SIS4 85 , 

17 90 JB94 


01-823 8000 
3J5 
417 

4 17 
132 
260 

005 
0 79 
165 
099 


-001 


Ion paring agenU only, 
Lloyds Bk. (C.I.l ITT Mgr*. 

PO Hut 195 St Hfllcr Jeraei 053427561 
Lln> di Td . iT»e»* [55 5 58 4} . .1 2.20 

Next dealing dale June 15. 

Lloyds International Mgmnt. S-L 


■Subject to fee and withholding Lake 


Rue du Rhone. P.o. Box [79. 1211 


Royal Exchange. EC3P JON. 
tagiGusrithlllTst— [88* 


556 

556 


Rarcla.yboQds a 


edged 

Property. 

Managed - . . 

Money _ . .... 

Man fvfl.Arrum 
Dc. Initial. . . . 
t’.lllEdgPeti" Acc. 

Po Initial 

aliXiet Pen* Acc 99 7 
Do. Initial W7 2 


11225 
'114 1 
.6 

^ -6 

bin 9 

M2 

[93.8 

r91 8 


01-5345544 

1290] 

120.2) -0.1 

100 9 j 
98 a 
991) 

M 

ioz.il 


■ J 
*oj 

-01 

*0 2 
-ff'l 


'Current unit value May 28 

Beehive Life Assur. Co. Ltd? 

7 1. Lombard St ECS. 01-6231280 

Blk. Horae May 2. ..J 128.15 | . / - 

Canada Life Assurance Co. 

2-6 High SI . Potters Bar. Hen*. P.Bar 51122 

F-diy.Gth Fd.M«y2 .1 £63 | | __ 

RctraLFed- Apr. 6 . | 1161 | - 

Cannon Assurance Ltd.? 

1. Olympic Ky_ Wembley Hasokb 01-9028876 
Fault}- Uniu. _ _ 06.94 — 1*683 

E^slty^twid'&ec.. 0337 32oJ*o!oi} 

Prop Rodd'Ehct' C3 U 3387}.. 7 

Bel. Bd tXvr 'Unrt 02 94 13 Mi *0 Cl 

Deposii Bond- .. U0 5 
EquiQ- Atcum . 175 

Properly Accum.— 02.44 
MurA .Aecum. . . 1572 

2nd Equity .92 8 

2nd Property. . 103.B 

2nd Managed 96 1 

2nd Deputil. ... 96 J 

2nd Gill. . . _ E8.1 

2nd Eq Fen* Arc 94 6 
2ndPrp FcnVAcc W5 9 
2nd Msd Pen* .Arc 58J 
2nd Dor Pen*' ACC 97.6 
2nd Gilt Pen*. Acc. BPJ 
1.6ESIF . . 375 
ukmf.:... S65 

Current < slue May 

Capital Life Assurance? 

I'oniftiin Him mi, ChepcI Ash Winn osnz 2851 1 
Key InvmL Fd . [ 100.72 I .. ) - 

Pacemaherlm Fd | 10414 [ ) — 

Chaneritoube Magna Gp.? 

IS. Chequer*. Sq . I xbndge t'B8 INF. 52161 
I ‘hrthir Energy 
■rhrfhxr Monej . 

I'Sribic Managed [382 
■'firthfc Equity 
Magna Bid Soc 
Magna Managni 

City of West minster Assur. Col Ltd. 
Rmg'JrsdJIouw. 0 Whilehonv Read. 
■roydonCR02JA (11-6819664 

P, 

{ %i 

,1203 

17J 5 0 

j m 

Lo 


OPro perry unit* ._.nSLa 
Property Series A.. |1B0.D 

Man aged Dirff*. ' " 

Managed Serin A. 

— Managed Senes C . 

— Money Units. . 

— Money Series A 

— Fixed InL Ser A . 

— Pn*. Managed Cap.. 

— . Pm. Managed Acc.. 

— Pns. deed. Cap. 

— Pns (7 teed. Acc. _. 1103 

— Pen*. Equity Cap 

— Pecs Equity Ace... 

— Pns Fxd.InLCap 

— PBt FtdtniArc.-. 

Pens Prop. Cap - _ 


1353 . 

1725 -08] 
381.4 -OB _ 
99.7 -03) 

ia«a 

*03| 


Property Fund 

Property Fund lAi. 
Am cultural Fund. 

~ Aarlc Fund (Al 

Abbey Nai. Fund.... 
Abbey Nat. Fd IAJ. 
rum, Investment Fund 
,aoaj Int-c9tnMnlF<L<A,., 

— Equity Fund 

MsgES*- 

34335 Non ey Fond IAJ.... 
Actuarial Fund— __ 

— Gllbedgeil Fund 

Gill-Edged FcLtAj.. 

♦Rellre Annuity 

Olrnaad. Annty 

Pros. Growth Penal 
All Vlber Ac. Ut*. 
UAH Weather Cap. J 

qtnv Fd. Uia 

Pension Fd. UU. 

Conv. Pena. Fd , 

Cnv. Pit Cap. UlJ 
M2ui.Pen*.Fi!....J 
Man. Pens. Can LL 

Prop. Per*. Ft 

Prop.Pena.Cap Uia 
Bdga- Soc. Pen. Pi 
Bid* Soc. Cap. L'L. 


Prorlacial Life Assurance Co. tid 
222. Biabopsgaie. E.C2. 


9S2 
109 0 
Ul£ 
iol3 

932] 

106 li 

1I2.V 

104.0) 

1033 

93.4 

28 $ 


Pena Prop. Aer [95.0 

imperial Life Ass. Co. nf Canada 
impenol House. GuHdford. * 71253 

Grouih FdJJnv26. 1723 78.41 —0.4) — 

Pens Fd Way 28 — Mil 719j-0i] - 

Unit Linked PortioUo 
Managed Fund .—.(43.9 . 98. W ~0.1| — 

FixedlnL Fd 955 1M J -e0.il — 

Secure Cap Fd ..Mi 1«7) -eO.ll — 

Equity Fond J957 .... JlOdi) +D.1 Holbcrn Bar*. KC1N 2NJL 

Irish Life Assurance Col Ltd. 

ILFinsbuiy Square. EC2. 01-6288253 Prop F mSTi7 

Blue Chp May 26. —1717 75^-051 450 ‘ . 

Managed Fund - ...1220 3 232.11+0.6) — KdiaoCC Mutual 

ilJ- 235^^^ 

King & Shay son Ltd. ■ 1 

52 CorahilL EO. 

Bond Pd Exempt .. (10638 


1783 
1767 
7489 
74L1 
1525 
1521 
675 
675 
1695 
368.9 
3395 
1386 
U35 
3204 
1204 
1795 

143.5 
ft Aaonlll 

&& 

1 1326 

128.8 
1444 

1315 

1427 
332.2 
3445 
132.4 
1299 

119.6 


-05^ 
-05l 

-o3 ” 

+03 

— 0.4 
-a.il 


44.S 
591 +0.11 
54.9 +0? 
27 J ..... 

40.7 

6lob ::: 

F7ic 

573a 

185 .. . 
43 J -0 .4) 

44.7 -Ofl 
36 3 
4X7 . 

294a +0.1 
263 
J0.6 


w 

904 

9.09 

1214 

1234 


37. Queen St London EC4R LBV 01-236 5281 
Extra Income Fd — {385 6 113.M 

High Int Fund Gil 

♦'Accum. Unit* i — 155« 

?8«j% Wdriri.Lna«5 4 
Prefe ren c e Fund. . . ISJ 

I Aecum. Uni tai [371 

Capitol Fund 080 

C omm odi ty Fund _ 156.5 

lAccmn. Unitu S13 

1 10% Wdncl.L'.i m3 

Ft nA LPropFd QJ.l 

Glam* Fund _|39 7 

I Accum Units i [45.9 

Groa-lh Fund 133.6 

f Accum. Uni 1*1 09 & 


IV 

Cap. Growth Inr 
Cap Growth Arc. 
lucerne ft Assets . 
High Income Funds 


High Income .. — 1593 
Cabot Extra Inc. — 156.9 



563) 

349b 

« 
515 
27 7 


00244866 

Ift 


mm M SefiordeT.'i Arc. >_ |<2 0 44.91 +0i 

. , . 925|-05| 440 sddordeT. Inc. — 140.4 «37|+0J, 

Henderson Administrative (at (cl (g> ? mdxe{{Fld Management Ltd 
Premier UT Admin., b Rayleigb Road, Hutton, , 

Brentwood. Excel. 0277-217 238 F«^4^»4a Kennedy Sl. Mnncbrorer 

-Pal 447 Ridgefield Int CT.I99 0 106.0) | 2 42, 

HP *) 347 Ridgefield income. i960 »■“ Blsho?sgale Commodity Ser. Ltd. 

6-27 Rothschild Asset Management ig) 

72-80. Caiehouse Rd.. Aylesbury 


1 Thomas St. Douglas 1 1 . m. 
Unicom Aust. E*l . 522 
no. auk. Min .... 32 4 
Do.Gnr. Pacific . 61 1 

Do. Inti. Income 39 6 

Do. I. of Man Tsl ... 478 
Do. Man v Mutual .|25 7 


P.O. Box 42 Douglas. ] o M 


Geneva II 
...I 180 
..— 630 


-M 


25£<£ -D3| 

28.8} +03) 


FI nanclal ft ITU.-.. 123.7 
Oil ft Nat. Res |273 

iBlrramlmal 

Cabot — 

Inlenmlicma].. . 

WridWideMaySe 
Oversea* Flrot 
Australian — 

Eu 

FXr 

North Amcr... . . 

NAm.Gl*oJ4nj26._ 

C*boLAmer5m.Co. (48.2 
HOI Samuel Unit Tot. Mgrs.f (a) 



251 


N. C. Equity Fund... 

N.C. Eu ©-.Re* TwJ 112.1 
M C. Income Fuad 7)146,9 
N.C. latl. Fd. One 490 .0 
NC. Inti. Fd i.vsc i - " 
N.C. SmUr Coys Fd] 



02065P41 .\RHAC-Mar3 ...IJIS2733 J — -1UC 

-0«| 2 48 CANRHO-SSai-S.. CLOffS LM? j - 

-PJ ia COUNT-MM2 . |l 2J37 2.4791 ... 1 2U 
-Oil 663 Onelnaliy i»utd ai "510 aid ■•£! 00. if^; 


M Sc G Group 

Three Quart. Timer Hill FV3R 8BQ. 01638 tf|B 
— _ Atlandr ysy’ZJ. 

0 20 Au+LEv May 04.. 

850 Gold Ex. 31a«- 34. 

1.40 Island 

t Accum Unit*) 

Samuel Moutag gts. 

U. Ol,i Broad St , E 015806464 

Apollo Fd Mm 24 
Japfesi May is 


Bridge Management Ltd. 

4 14 I PO- ®° K 5°®- Grand i.'ayman. Cbrman I*. 

‘ 1 S'buhi May 3 .. .| V35S42 | | — 



Smaller Co'* Fd. ...H73 
Eastern ft InU. Fd..L24.1 
IB% W-dlwLUla.l—58.9 

Foreign Fd. ®9 91JJ , 

N. Amer. ft InL Fd.[M5 XL8j% -0.l| in 

Archway Unit Tst. Mgs. Ltd.? (aj(d 45Beech&_ E l 7P2LX 
317. High Holbom. WClVTVL 01-8316233. 

Aiehway Fuad — -JO. 2 M5| .. . | 5 7S 5 ‘iSuSR* ' ' 

Price* aL May 2sTNext sub. day June 1. (£1 Capita! Trt«t" 

Barclays Unicorn Ltd. (DtgWci ’‘j 

Unicorn Ho 252 Romford Rd. E7 01-5845544 ibi Sec only Trust . 
Unicorn America... 133 7 365x8-031 LU Ibi High Yield T*l_. 


m fkg New CL Exempt- JO22.0 129 Oj 

J-g Price on May 15 Next dealing 


| G P.O. Box 500. Hon^ Kojie 


1.64 Rothschild Sc Lowndes Mgmt. <ai ... . ... 

4-60 SL Swithms Lone. Ldn.EC-i. 01 -026 43»| Nippon Fd May 34 fsC 5H3i “ UD| | 0 78 

j 3 £1 I ijL-Sl.vk Spill 

ng June is [ Britannia Tsl. Mngmi. (Cl) Lid. 

0534 73114 


-OJj 3.67 Rowan Unit Trust Mngt Ltd.?(a) 30Baibst.,M.iieiier. Jenev. 

*5*2 City Gate H*e.. Fmi-burv Sq. ECS 01-808 1088 Sterling DeaemlnaW Fd*. 


030 American May 34... 169.0 
Securities May 22 . (162 0 
High Yield May 26 ,|m( 


01-8288011 lAccum. Unlt*i_ 


Pror. Managed Fd.. 

Prov.CoahPd. 

Gill Fund 20. 

Prudential PexMloau L ed* 

03-4058222 



.Do.AuM.Acc 71.9 

03-2478533 C>o. Axut. Inc lS7.B 

Do Capital 165 7 


Do. Exempt Tr 1M.7 

Do. Extra Income .. 27.8 

Do. Financial 99.0 

Do. 500 71.9 

Do. Geauxral 30.9 

Do. Growth Acc... . 905 
Do. Income Tot S3 .4 


Next dealing dale Jane 7. 


Grot. Sec. Bd. . . .. ju?52 :.i - 


'Da Prf. A'n*. Tst... fL35.0 

Price* at April SB Next sub- dev Hey 3] 

Do. Recovery. 1415 453) -BJJ 555 

Do Truxtee Fund. -1111.4 32UH -D.4I 512 

088222271 Do. Wldwide TroiamO 53.M ....J 1_59 
I 4 — B1*i InJdJnc.. J62J 64 9ul-D.3} 485 

01-6^35433 Rothschild Asset Management Do. Accum <JB 

1OT33) _ SuSwi thin* Lane, Lcrndon^E^. 01-8284330 ?^ in « & Co. Ltd.? (ftgxt 


196.9 



1463 

156 

-D« 

375 

403: 

-0.2 

78.0 

034 

-03 

29.7 

31-8 

-OJ 

898 

961 

-0.7 

264 

283^ 

-0.1 

5L9 

5*3 

-02 

28.9 

3 Ufa 



946 Merlin May 34 pa.S 

32 iAccubl U nlni |95.7 


715 
173 0 
570a 
BOO 
VLS 
1003 


354 +0.3 
791 -0.3) 
153 7 +ffS 
235 +0.04 

LM . 


400 

100 

150 

IN 

12.00 


Bqyal Tst. Can. Fd. MgrS. Ltd- 


472 * w - , “ * ■*' -■*»■»• | InL High Int Tat ■ .) - Sl’idMl .. 

4.74 StJwWBSn»uSWI. 01-6C8825C] Value May 26 Ke« Di-almg Mai 30. 


7 66 Capital Fd 169 1 72 9) 

538 lacomoFA 174 2 78J| .... .. 

8.U Prices •! May 15. Next dealing May 31. 
InteL? (aHgi Save & Prosper Group 

15. Christopher Siroei. ECi 01 3477243 4. Great St. Helen*. London EC3P SEP 

InteL lnv. Fund - ,[N2 95.0[ ... J 630 68-73 Queen St. Edinburgh EH2 4NX 

Key Pond Managers Ltd. faHgl Dealing* to: oi^M saso or 031-228 7351 


3 58 
730 


23. Mili SuECSV 6JE. 
tofcgghWl 

KmiKonr Fund E 
Kev Fixed lnl Fd J 
Key Small Co's Fd. 


01-6067070. Save & Prosper Securities Ltd.? 


154.1 .. 

5| -V 

98 if -jul 


N.C Prop. Mar. XL- DM J 12L6ri I - 

Next Sub. Day Jane 30 

Langham Life Assurance Co. Lid. Royal Insurance Group 

Langham K*. llolmbrook Dr.NWft 01-2035211 New Hail Place. U+erpooL 0612774422 

Wgmd! , “"^9 lSSvl~ Ro»al Shield Fd. — 11333 140^f . — | — 

wisp iSP Man Fd|75b 7t6| I - Save Sc Prosper Group? 

Legal & General (Unit Anar.) Ltd. a Gt-SLHelra'*. Lndn.. EC3P sep. 01-554 8888 
Kincmoqd House. Kmgxwood. T*d»orth. Bal lnv Fi 112&3 132.61+031 — 


88,LeadenbaDSl.ECJ 01-5682830 

Stratton TsL )167.> 175 JH ) 4 20 

Do. Accum. i20S.Z 217.0) ( 430 

Next *uh. day June S. . . 

^ 1AC Inti ft Gen Fd f965 99.5) 

Bishopagate Progressive Mgmt. Co.? Lawson Secg. ud. ?( a )| C | 


3 33 Inlenaknal Finft 

4_2 Capital 1363 

668 I.tTU— MJ 

BOB Unlv. Growth fei 

^ ® Increasing tncceor Fund 

Kleinwort Benson Unit Managers? 

20.FenebnrchS(-.ECJ. 01-8238000 H^b Return - .1656 

K.B VnilFd lnr . 154.9 92J +0.1| 5 06 IncSne... — 2—1 R5.7 

♦R-B. UnUFd Ac _ IlK 0 1153 +0Jj 5 86 

KR Fd lnv. TH* —1525 »3 «8 g * ^ 

LStC Unit Trust Management Ltd.? Oro5» pnSIw" 

The Stock Ecfaange. EC2N 1HP. 01-588 2800 Europe -to 4 

LftClne.Fd . {136.1 140 5 ..„..) 7.W IS? ■ 

Sector Fuad* 


n 04 Growth Invest-- - 
432 InlnlFd... . |73 2 

765 Jerocy Enctgj Tst 1422 
7 65 I'nUsl.STd Sic. £223 
4M High InLStlg Tit ■„( _ 

4.14 U_S_ Dollar Dcaeminatcd Fd*. 

(JmvsJ S Tsl |ns570 447|+B07| - 

. ... — Initial 

offer dost-;. MB- 31. 1878. 

Brown Shipley Tst. Co. (Jersey! Ltd. 
P.O Box 583. St Metier. Jersey. 0534 74777. 

Sterling Bond Fd. . |£944 9 58) . . . | 12.00 

Butterfield Management Co. Ltd. 

PO. Box IBS. Hamllion. Bermuda. 

Buttrew Equity ... p 33 255) ..... | L76 

Buttress Income . |203 1.96). | 7 33 

I Price* at May & Next sub. day June 22. . 
Capital International S.A. 

37 rue Notr^Dunr, Luxembourg. 

Capital In. Fund „l SU 516.92 ( ) _ 

56 9) -8.1) 7.16 1 Cbarteriiouse Japbet 

1 . PaLCfooner Row. EU4 


Grp. May 17 UL'SUTS 

in Jerarv Mas IT 
ll7Jr*>0's May 10 

Murray, Johnstone (Isr. Adviser) 

183. H«pe Si .Glasgow 1*2. 041-SI 5521 

■Hope St Fd | JUK3207 [....I _ 

■Hum; Fund . | SI'SIO 98 | — 

•SAV Mjy 15. 

Negit S.A. 

10a Bu-ulviard Rov*(. (.uxembourg 
NAV May IB ) SU510.16 | J _ 

Negit LUL 

Bank of Bertnudi Hldii-t Harm lion. Brtnda. 
NAV May in .. .[£4 71 — |+0J*[ — 

Phoenix International 

P0 Box 77. 51 Peter Pori. Gurrnxey. 

Inter Dollar Fund |2J4 2.53) . .. | — 

Property Growth Overseas Ltd. 

28 ln*b ToHn. Gibraltar >Gib>8108 

U.S Dollar Fund I 5U58S89 | .. 1 — 
SiertmgKund. .. | U24 05 ) ) _ 

Richmond Life Ass. Ltd. 

48. Athol Street. Douglai. f.O M 
i * The Silver Trust [1092 
Richmond BondST 157.0 
Do Platinum Bd . 124.2 13071 

Do Gold Bd 1039 109 d] 

Do Em 67 CO Bd. _ 166.5 175 Zl 


1U8) -1.' 
J9lS 


0824 23014 
1879 


- 2.01 - 
1156 


nst -o l) 
45.9| -0.1| 


831 1 AdiroPB- 
SJ2 Adn-crba 


Fondak.. . 


2.04 


45.9| -OJ) 

89.M +o.a 
99.S -O.a 
80.7 -0.1 


456 

339 


om 40 

DIKE JO 
DtSOW 
I1C150 
5TS752 
n'64045 


KMjvOJDI 
2M-03D] 

42^ 


SVS*J?? Rothschild Asset Management (C.I.) 

PO-Box 58. Si. JuIlanciT.Uueniiey. 048128331 


2.13 


384 

4041 . 1 

2*4 

31 0 


J82 

402 


344 

36 i 



124 6 | 



149a 



Writ Prop KUnd. 
grd 1' 


Managed llind 
Kqimar Fund 
Kartnian't Fuud .. 
M.«ne*- Fund 
• »lilund^. - - 

l't' LA Fund 

vrr* F.nRd Cop . 

Fen* Mncd. Acc 
Pen* Monro Cop . 

Pens Monro Acc . - 
P'-nr. Equnj Cap . BJ 


677 
179 6 
606 -0 4 
757 
1266 

, LVE -0.1 
1764 

ml 

m B 

561 -0J) 

, 50 ^ *0j 

ioxcil In new Imestmcnl. 

[ 197 7 J .. . I - 

City «f IVestmlnster Assur. Soc. Ltd. 

Telephone «U.ri|H PikN 

Firvl 1*n»t« 11186 174 5) .) — 

I'mperti IniL-i . |543 37 Uf . I - 

tTomreercial Ucioc Group 

SMn l.l ndenJiall.Ei'n iH-lSCI72M 
1'ar AnAcl't Muy 2 l' 1 54 45 

D" Annuity UL+ ..! 1803 


Pen* FquitjAc. 1 .. 

hand currently e\ 
verfenn Unit* 


55J 


Snrrcv K1HO BEL 1 . 

Cash fnilial [954 

Do. Accum. 168 

Equity Initial 1193 

Em Accum .. - 1211 

Fixed Initial 114 9 

Do Aecum. . — - 116.6 

Inti initial... . . .... 96.9 
Do Arrum- . . .. 96.9 
Managed Initial . 136.4 
Dc.Acrimt . -.1382 
Property Initial ... 976 

l'o. Aecum 99 0 

Lr*al ft General II 
ExempiCasb InU. 963 
n»* -ccum... ... 97j 
Eivnpt Eqry Imt.. 1185 
Do. .\cvum. - - _ 120 1 
Exempt Fixed Inti 1066 
Dp Aecum.. - . . 1081 
Exrtrpt Mnfid loll 1166 

D>«. Accum. 11U 

Exempt Prop Lnl. . 96.0 
EV- Accum . — .|97J 


h Heath 63456 Property Fd.- 



_ GUtFd..-. 


•Deposit Frft 122.6 

C«j»p.Pen*JM.t Q99.9 

iSSlOff— 1 *“ 

Gilt Pens. Fd. 

Depp* PensJ-ldt |97.8 

Price* on May 14. 
t Weekly dealing*. 

Schroder Life Group? 
Enietprlsa Home, Portsmouth. 

2273 

(216.6 228.1 


1595 
1233 -0 
1291 
2103 
1903 -0.8 

%\-a 

103.0 



idge Fond Hanagen?(*Kc) 

I King William St, EC4R BAR 01-0234851 


I American ft GeaJ. 
rncome*. 


_9.7 

SOU 

Capital lae.f 15J 

Do. AKt N7 

BxemptT- . 


Equity May 16 

Equity 2 Mai' 23 

Equity 3 MayS. 

Fixed InLlfay 23— 
Fixed Int. May 23— 

InL IT May 33 

KftSGilt Maya.. 
K ft SSe. May 23.— 
Mngd. FlxTMay 23 . 
Managed Hay 23— 

TbTnnj-y Mm* / 9*| 

Legal & Gecenl Prop. Fd- Mgrs. Lid gSSJJffig” 

1 1. Queen Vleiona St. EC4N 4TP 01-2480870 Propert/jSy 2a_ 

LA.-CPrp.Fd May 2- |1N0 10J.7| | - Propenvaj&y 23_, 

Next sub. day June 1 BS Pn. cp. B May 23i 

BSPn-Arc.B May^ 


Z LI/e A asor .Caof PennsjWU. fiStiSS SHma 

_ 3^47 New B^DdSt. W17QHQ 01-4N83BS Mn_PivAe«uBMayfflpi55 

- LACOP Units ..[986 1035J I _ S2-V , V£S"i C,p o 3 

- Lloyds Bk. Unit TsL Mngrs. Lid. rw r*£aS»_: 

7t.Lumhardbt.EC3 ‘ 01-823 12N PriJp.Pmi.ACC.B... 

Exempt. ... [968 101 ? .....‘.I 8.20 

. , . ... , _ Hon ey ren. Arc. o 

Lloyds Life Assurance 
CD Clifton St- BC2A 4MS 


lntenuLlne-t 

Do. Acc.t 

070537733 D ““ 1 * ’ 7ae *- ♦ 


[134.4 

0*43 

0367 

OCL4 

0193 

129.9 

142.9 
1068 
U63 

Si 

1503 


128.0 

1303 


1M« 

m 

iSa 

1368) 

1505 

112-3 

122.91 

119.2 

160^ 


209-5) 

247? 


54^ :d is 

374 338 

412 328 

145.0 552 

166 .... 366 

1BH - ..J 366 
jje^JjTtiars. Price* May 


iAmerion Fd . —.(24 7 26J( 

ffAcenmUniln .. .05 7 2731 

-High Yield _ (472 5LM ..... 1878 

•■tArcum. U'nits> . [66 1 72.6) I 18.78 

Deal, til bn. "Tue*. ttWcd. fThurs ** Fn. 
Legal Sc General Tyndall Fund? 

18 Con jage Roid. Bristol 027232341 


Dia April 12.. . ..156 B 60.2) .) 5.17 p-u ■ i. .. ■»■ , ... , incyiiKi loicremmucnuu an 

(Aceum-Uaixs-... Mi 76.4) ....J 5.17 Schlesinger Trort Mngrs. Lid. fa)(z) po Na53011 n . h . — 

“ ilaCOTPOrxling Trident Trust*! NAVMivSS. _. . fSl'SMB 152q-0O2) 


Fnndtx 

Emperor Fund 

Hicpano— 

lalClive Investments (Jersey) lftd. 

B 85 | P.O. Box 320. St- Heh or. Jersey. OKU 37301. 

. Clive Gill Fd if l.t .[968 9.89) | 11 N 

4 05 1 Clive GUI Fd. (Ivy.i.i* 86 9.871 ... ) 11.00 

3^|ComhiU Ins. (Guernsey) Ud. 

P.O. Box 157. Sl Peter Pori. Guernsey 

2 js | lntnl. Man Fd |1675 182_5j | — 

734 1 Delta Group 

PO. Box 3012, Maitau. Bahamav 

3W | Delta inv. May 23 . 1*1.78 187] [ — 

728 j Deutscfcer Investment-Trust • 

Scot Ex. G(h*9 B4U 252 7dl . ZM ( 

Dreyfus Intercontinental Inv. Fd. 


563 

615 O.CT+j.Fr Apr. 28. 
OC.lnc.F0. May 1 . . 

_ or inara t ... 

O.C.SmCoFdAprSS 
O.C. Cpminodliv*. _ 
DC Dlr ComdLv.l.. 


I5E1 

1508 

2348 
(1316 
1525 82 


54.1 

160.4V 

134 

142.8 

140.0 

2746 


301 

730 

131 

334 

461 


Scotblts Securities Ltd.? 

-* Scotblts — |3e6 4L5| 

Scotyirid W9.9 53. 

Scotsbarea [56 8 61 

2S27d| 
»3| 


m 

'4 —I 


Ne<i sub. day June 
Lmbe Administration Ud. 


(Britannia Trust Management (a) (g) 2. Dutest. London wimur oi-ibbnoi 


1 3 Loudoa Won Bufldinii. LondiiQ WjUL 


Scottish Widows’ Group 


London EC2U5QL 

AsseU 

Capital Arc.— 

Comm ft lad 

Commodity 

Domestic 

Exem pt— 

Exrra Income 

Far East — _ . 

Financial Seca 

GflldftGenerai 

Grovnh.. 

Inc. ft Growth- . ... 
Inri Growth.—' - _. 
InvemTSLSharcs 

Minerals 

NaL High Inc. 

New Issue 

North Amer) can— 

Profeamoaal 

Property Shares ... 

Shield — 

Statu* Change. 


01-636 0478.0479 


!' ?t 1 - 

Confederation Life Insurance Co. 


Bit Gth MjvB . . 
Opt. 5 rrnjaM.:> 25 
tt|i| f.Eutv «m' 25 
Opt. llv iiayJ .... 
OH..’ Mfln •IJ.i 25 
dpi ? Dt*p: May 25 


129=95 . 
1212 1291 

(1298 136 ■ 

,1528 160.1 

1466 154.1 

1212 1276 


_ PO Box 902. Edinburgh EfllBSBU 031455 BM0 1 Uo ‘ vE ” r » 



LcoDhL_; (733 76 M 

LeoAc naa - . |803 K.7) 

LIqydg Bk. Unit TsL Mngro. LhL? (a) Sgg.l" £t? 
Regimar'* Dept oonng-by-Sea. ___ inc. 10% Wdtvl - 
WonhiatWest Sussex. 01-8231288 lntnl. Growth- 


140. Sooth Street . Dot-fan*. 

a ESS5S&P' 

Extra lnc.Tn. .. — 


First (Bahicd- 

Do. (Accum.) 

Socoad (Cap ) (51B 

Da.iAccmn.1.. - 
Third ilncoaci 
Da.tAcctrm.]-. 

Fourth lExInc.i 
D«r (Accum) |66.4 


(#9.7 

S3. Adi 

68.4 

7X5 

518 

55.6 

64.4 

69 2 

SL6 

87 7a 

H 17 

120.1 


62 fed 

H.4 

715 


SI 


432 Inv. Tst Unit*. 

__ 432 Marta Leaders. _.. 

+03 1324 'Nil Yield- „ 

69^+0l) 324 PleLft GlUTrun 
623 Property Shares. ... 
6 2J Special Sit Tsl- -.. 
804 ILK. Grth. Accum 1 
8.04 U-K.Gflh.Di*. 


-03 


22.91-0 

2 ^:g- 


(0308)8844! NAVM *J ,2S - - 

173 Emson St Dudley TstJWgUrsyXtd. 
178 PO. Bo* 73, SL Helier. Jersey 053420581 

■ 45 ejjj c.T. 11X7, B 125.4) I 330 

9 5s F. Sc C. Mgmt. Lid. Inv. Advisers 
,71 1-8 JJurencePountnc, Hill. EC4ROBA. 

— OJ-623 4680 

IQ L’rnt Fd. May 17 .... | 5USSJ1 | .. ..| — 

432 Fidelity Mgmt. & Res. (Bda.1 Ltd. 

,7_. P G. Bo* 670. Hamilton. Bermuda. 

21B FjdeliK Am As*— .1 SI S2538 

F deltiy lnl Fund SUSH165 -OJ 
Iff Fidelity Pac Fd. ...I SUS435B 
Fidelity WrtdFd .. SUS13B3 


3i 

+8 2 


■Price on Slay 12. Next dealing May 31 
!Fface on May 22. Next dealing Jane 7. 

Royal Trust (CII Fd. MgL Ud. 

P.O. Box 1M. Royal Tm. Hue , Jersey. 053427441 
R.T. Infl. Fd . — t»l'592B 95M .... ) 3 00 

RT.InfLiJ5viFd.j91 953 . 1 321 

Price* at May 15 .Next dealing June 15. 

Save & Prosper lnternalioooal 
Dealing to. 

37 Broad Sl. St. Heller. Jersey 0534-30501 
UJS. fidliNlnmlailri Funda 

DlrPXdlni“Mario.|935 10.13 6.92 

InternaLUr.'t 674 7.29 — 

Fur Eaytem't . .. 3722 4824 .... — * 

North American *i 375 4 06 — 

Sepro-'i .. _ .. St SDO Ujq — 

Sterttng -den ami aalrd Fuads 
Channel Capualft... 1230.0 242.2) -OBt 3-65 

Channel Island*? .S46.6 154.« -02 5.03 . 

Coatmod. May 25 .. 124.2 120 M +2.« — 

St Fixed May 25 . .. |U6 6 3 17 (tel -O.sj UN 

Prices on “May ■■May 34. ■'•May 25. 
tWeealy Dealings. 

Schleeinger International Mngt. lid. 
41. La MoueSL.Si. Heller, Jersey 053473588 


Intel. Fd-L.'anbrg. ... S1034 
■Far East Fund. _ to 98] 

•Next sub. d«y May 3L 


1-2 Lloyd* Life Unit TM. Mngrs. Ltd. j. Henry Schroder Wagg & Co. Lid.? WdelityMgmt. Research (Jersey) Ltd. . . 

msbu, ZL w ffrT. Wmerioj Hw. Don Sl. Sl. HeUvr. lenev. Schroder Life Group 


LL09f+&U| 


843 

5« 

1977 

334 

336 


7780, Gatehouse R8. Aylesbury ICSeSMl 13C. Chet pride. E.CZ 


Equity Arc-urn .---[1557 163 ? 1 

M * G Group? (yMcgz) 

Three Quay*. Timer Hill ECTR 8BQ. 01828 4588 


M. Chancery Lxir. U't3.i tllF- 


01-242 t'ac 


?NI 5 

105 7 

120 3 

105 5! 

1950 

108(1 


loon 

450 

IMt 

952 

11*0 = 

m 

1U92 
130 7 

960 

101 0 

9*0 

1113 6) 

90 0 

1010) 

940 

*&.* 

94 0 

98* 

9S0 

300 u 

950 

IM 0 

956 

1C3 0 

954 

100 4 

Ss 8 o 

104 C 


105 7' -0 1| - 
105 -0U 577 

105 5j »0 :] - 


YEquiev fund . 150 3 157 
•Mnnngritraiid - U3 3 1« 

Personal pen Fil . JO 3 73 4] 

Fjuity Pen l und ill 4 

Vised lnl. Pen Fd MBS 

N image- 1 lYlt F.1 ITS 7 

prnpcrti I'rr Vu 1300 

VProlecled In Pol 3576 

Com hill Inauraucr to. Ltd. 

32. i ■.trnh-.IL F.C j. 01 -826 .ri iu 

»ipKrt>Ma»W )1?2 0 •— j .. 1 -- 

<*$nve Mavlh MI - | .. ( - 

Mb iJth F*l lljyat lite.O 177 o| .. I - 

Uredit & Commerce Insurance 
tin. Rnc+ni n . l.ondui: MTIthFE til-fteUlUl 
• ii'Ksifc.1 IV ;X22 0 13201 I — 

Crown Life Assurance Co. Ltd.? 

I n+T! Ulr llv . \V..Vl:uC.Gl'2! I\U .VWCrCO 
Vacgd fund act.. |1005 

Mans'll I d ln>m 
M ars'd I'd In:t 
Fc."l> *■'! All' 
t-q-.rtly F-J. lent. 

1 qudy Fd Ind 
t'ropert‘ 17 A vi 
P.Tperf- Fd Ir-'-fn . 

VlnwtH V-4 ,T.I 

la la iv W' i960 1010 +0« 

In» Faf Fd 1-K-ni . 9x0 Ml 0| +j» ' 

.'i» Tat !d lt.f »a0 10101 •[>' 

Fixed Int Kd Ace 
P - ’-! !nl Kd Invm 
Inirrl Fd Aer 
i ifrr'L Fd lih'in 

VisnryFd. \cr , _ - , - , 

Mrtin Kd Incm . (95 4 1U0 I 8 75 

l'.*J Fd lncm - -1951 1D4C[ | 0 42 

■ :.»>n Krl lnl '• 

Crusader Insurance Co. Ud. 

Vis.-ula ilitJM- iwtrrn.iiiT 01 -828. “WO! 

i,:ti Prat- Ma» - to 4 763x3[ { — 

pxpif Star Insur/Midland Ass. 

■ l-n.'ailneen.'<'>l 1)2 (I S8I212 

1 «fle Mt‘i i ■»■»«' 1519 5381 -DM 591 

Kquiiy & Law Life ,4si. Soc- Ltd.? 
\- H —t-aui llna-i. High H'jfomlH 
I ,in:n F I 
I r’rcri* V «! 

I i »nl Int'“vy V 
.,:d lu w«n 1 d 
Muni F.l 


Inv.pK-.Series 1 185.6 

Inv. Ply. Series 2..,. 19.8 
Inv cavil Hay38- . 97.4 
EsUfTrAccMayl?.. 1396 
. . ExUtTrlnc Mayn 1363 

I -on don Isdnantiy ft Gnl. In*. Co. Ltd toM » r3 ' l“ u 

ism 7i:e Forbian . Headlngbiosi i. Solar Life Asaunutce Limited . 

' 122-2 25il*2il - 10- 12 Oy Place London E.dN81T. OUHgOCNiy 111 ^ Shlpicy Sc Co. I6d? 


105.6 +o.g — 
105,1 -06 — 

2026 +9 J — 

Mil ; ... - 

263i)-4 0 — 


The British Life Office Ltd? (a) 
Reliance Ese~ Tunbridge Well*, KL 0682 22271 
BLBrillxb Life.— — to* 521 +0.11 5.70 

BL Balanced* — fe.7 Si — J 564 

BLDiridecd* 1*2-2 45. l) ..1 940 

•Prices May 24. Next dealing May 3L 


American. ._ 

'Accum Unh*>. 

Australasian. 

'Accum Uait*t_._ 

Commoduy 

(Accum Units) 

Compound Growth , _ 
Conversion GrwthfMT 


- UKftsS#- 

The London ft Manchester Ass. Gp.? soiarEquin-S- ... 


~ Tl«e Lena. Folkestone, Kent 


i'mp lirowth Fund. 
<f Prep Exempt Fd 
Or'.xrmpl Prop Fd 
g'Kxpt- lat T't- Fd 
v 1i-t iplfFund 
Im TrukiFund. 
Property Fund 
M ft G Group? 


220.6 
1316 
88.9 
1475 
1104 
133 3 
822 


030357333 

-oil — 
- 0.6 — 
- 0.2 — 
-OB — 
- 0.1 - 
- 0.6 - 
- 0.1 — 


Solar Fid. In'.S — ' 
Solar Carii 5.. .. 

Solar I atlS 

Solar Managed P . 
Solar pToperwP. - 
Solar Equity P. ... 
Solar FxdJntP.. .. 

Solar Cash P 

Solar Inti. P 


UMJ2 

Ufi0-5 

|U36 

*9.7 

1000 


w 

1180J 


1310 -0.4 
116.1 . - 

169.0 -06 — 

U9i -05 - 
US.I . ... — 
X06J -OJ — 

132.7 —0.4 - 

115.1 ...._ — 

168.7 -05 - 

1193 -0.4 — 
IQSJ „... — 

106.6 .... — 


r«-rs Petr-iim”" 
i«r.i Pop>.»sit' 

Euuii; Bend"’ 

Farnb WftQ" 

FumilvBJ-tC** . • 
iltlt Bold*** . . 

Inl.iujUil Hood** 

Mansged M ■” 

Property Bd** . 

E* YlWilFd Bd*. 

Krcwrfv Fd Bd.*. 

Imcnrar Fd. Bd ' 

Jap-r Fd Bd.* 

I'r-rcf on *Ma> 

Merchant Investors Assurance 


2260 

_ 

-l^f 

117 4 

123: 


1347 

14]_i 


1541 

ieoo 

1056 

ilLO 

+0J 

1016 

1061 


1350 

1419 

—04 

1536 

161! 


S35 

846 


62 a 

65 C 


537 

5fe5 


514 

541 


M -May 25. 



Sun Alliance Fond Man grot. Ltd. 
Sun Alliance House. Horsham 
Erp.Fd.tnt. Kay 10.1048.90 15650 
InLBn. May S3 ... ... | 0X77 | 


Mngrs; TUnnders CT. ECS 
BS Unit* May 22— ..12155 
Do.CAet)May22L_ ^8.6 
Oceanic Trsata taj 

Financial — 

General 

Growth Arena 

Growth Income..— 
ffigh Income 

Index 

Overseas 

Performance 

Recovery 


514 



040384141 fcxmps- April 10... 

I Canada Life Unit Tst. Mngrs. Ltd? 


Conveni on lac. 

Dlodeud .... — 

(Accum L'niUi... 

Eoropean. 

(Accum. UtUlsi— 

01-0008320 Extra Yield 

51A lAcrum. Uni ui 

FarEsMErn 

lAccum I'mw . 
Fund of Inv Tst*—! 

lAccam Units) 

General ... 

•Accum Units) 

Hi jh Income. — 

i Accum. UalUI 

Japan Income — 

■ Accum. UniD'— . 
Magnum - . — 

i Accum. L'nitat; 

Midland.. 

• Accum. Unimi.— ... 

Recovery.. 

ACC ran. L’n its I.— 


Iirn ftliimroiink-i Hi. in. im 25 High Si_ Poaers Bar. Hena p Bar 51 122 s^eimiGtn 

Sun Alliance Linked Ule Ini. Ltd. canOenDist.. ...13R2 4B2J-32 452 CAccSmt^uiT^ir 

Sun Alliance House. Horsham 0403 04 HI Da Gen. Accum ... M65 40l -oiT 434 ~ — 


(Fund. — 
InlereslFd-.. 

Property rand 

interna! tonal Fd. ... 
Deposit Fluid.. . . 
Managed Fund — 


U3.2 

1025 

1077 

106.1 


1^1 = 


I Da. Inc. Di*l 


l Do. Inc . Accum— 


533 

-ol 

WJ 

-0.1 

5/J 

+ 1J 

58; 

+ 1 1 

811 

+01 

■7J 

*02 

112J 

*0 l 

64 J 

+06 

66: 

+0J 

127- 

♦ OH 

2361 

+ L5 

SLO 


894 

+05 

1193 

+0i 


56 5J -r05l 

, mm 

644d +0JJ 
78.7( *0.1, 


IP 7j 


OBJ -H-fl 
1B9.S +06j 
17t2 
156 2a 
1573 
032 
2665 
1765n 
292.7 
«.1 
85i 

J69S 
.213 j 




111.71 —o sl Z Cape! (James) Mngt Ud? 
V J - 1 100 OU Broad SL. BOS LBQ 
-01} — j Capital [M.6 

Son life of Can ada (U-K.) Ltd 
— 3. 4, Cock* pur Sl. sVflY SBH 01-8305400 


Special 

i Accum. Unit* i 

Specialised Fonda 

Trustee [145 6 , 

<]] eaa min »-4r«Mi I’nlj*' — _ 2BB5 295 6 1 

Bill I CharthacdMnc «_ 109.5a 1 . ... 

. ?0-l| .. - 1 4.72 rhaj-JiJ Ifr. M lose X45.7nt . . 

Income [79.0 Sill. I 754 , A«um Unlist JI- 177? 

Pnres cm May li. Next dealing Jane 7. Perns. Ex. Mgy 22-., [1333 140.63 


3.92 Capital Mny 33 

(Arcuig.1 

Income May 18 

i Accum Unlaj — 

General May 24 

(Accum Units) . .... 

Europe May IB 

(Accum Unit*)... 




0 1 "i40 3434 JgwrJjmHae .Dm.SL. St. Helier, I««r 

Sene* Ailntnl.i .._( £366 

Series B (Pacihei. • £7.41 
Series D iAm.fas.4 £1759 
|J2 First Viking Commodity Trusts 


■For tax exempt funds only 


■0M| -- 


* 71 Fst.VitCm.Tcl... (1371 
$11 Fri \tDbl Op.lfa [770 


Co. Ltd.' 
01-830 7BS7 
230 


Enterprise House. Portsmoulb- 
IntenaUapa] Faad* 

{Equity — [116-7 

SEquity 

£ Fixed Intereat 

5 Fixed Interest 

Ulnnnged .. 

Stfanagrd ..... 


070527733 



J. Henry Schroder Wagg ft Co. Ltd 
l20.C7iespside.EC2. 015884000 


CheapS May 25 
Trafalgar April 30 
Aslan Fd May 15.. 
DariingFnd 


Japan Fd. May 18 .|$l'66J5 


SI'S11J4 1-0.03) Z51 
SU 5114.06 j .....I _ 
H«4W 15MJ ....I 3 20 
SA185 1963 1 530 


035 


1535) +L0 


^ :...j l* 

Fleming Japan Fund S-A. 

gjg Scottish Equitable Fnd Mgrs. Ltd? 37. rue Wotre-Dame, Luxembourg 

782 28SL Andrews Sq. Edinburgh 631-5509101 Flmg-M t y 18 ) JL'S45.04 [ .| — 

7^ income Unit* ,,....1495 52.71 I 540 Free World Fuad Ud 

346 ^ D^uig'^WednSi ' 5 Butterfield Bldg. Hamilton. Bermuda. 

*36 . . . _ NAV April 28_. SUS173J9 J | — 

856 Sehag Unit TM. Managers Ltd? <a) G T Management Ud 

PD Box 511. Beklbry. Hae,E.C 4. 01-3385000 u., .. Pm3b4 _. r,-,, V i-* 

isssssaa-B? si ^ is 

Security Selection Ltd Anchor jTuniu,. jumm IR-Mjl W 

13- W. Lincoln's Inn Field*. WCH «MBiaaSM 13.00 

855 ’ JJbvl Gth Tfa Acc — B44 25 71 J 4M Anchor In Jay. Tm 245 20 

14« . UnvlGtbTKlnr....£l 0 224x0 .. -1 258 Berry Pac Fd. SUS4L061 

,n Stewart Unit Tat. Managers Ltd (a) - TS3Tt\*3 12) 

353 45. CTiarioaeSq- Edinburgh. 031-2363271 GX Asia Slertiiig” 

ISWwart Aarrkaa Fund r t ndhr'm' 1 — 

fg 5 5gS^ :r.:gj Sg i 42 

25 Withdrawal Unit* -615 548) — | _ Gartmore Invest. Ltd Ldn A gts. 

f-S F ° n f„ ,, , ^S( Mary A\c. London EC3. 01-2833531 

is ssttewffiS, -i is iBBSjaaawasftii&K*-, 

Dealing tFn ‘Wed. HKftnm.u tu ....(HMUj* sew-DKfi 236 TSB Unit Trnol Managers (C.IJ lid 

637 Sun ADiance Fnnd Mngt Ud A^^can TM. (im S ."1 l^e Bagatelle Rd . SL gaviour, Jersey. 053473494 

■ — ’ *■* ■" Jersey rand (46 4 40. 


oj4 


Sentry Assurance International Ltd. 

PO. Box 328. Hamilton 5. Bermuda 
Managed Fund .. -)SU&U3» 1MH| ... .J — 

Singer ft Friedlander Ldn. Agents 
20, Cannon Sl, ECA 01-2488046 

Dokafond* -....{2440 25.80) ( 658 

TokyoTxt Apr 38.) 5US35O0 | ( 1.77 

Stronghold Management Limited 

P.O. Box 315. Sl Holier. Jersey. 0534-71400 
C om m odity Trum - (98.20 94.951 | — 

Surinvest (Jersey) Ltd (*) 

Queens Use. Don. Rd. Sl Heber. Jay. 0534 27348 
American lnd.TM...Kt5> X.551+01J1] — 

Copper Troat [pJ-96 l2_2*i+0-39j _ 

Jap. index TM (IL23 lL46(+J J3f 


637 
IQ 39 


Sun Alliance Hse.. Horsham. 


040384 141 InU. Bond Fund. JIS1 Cl 


737 £stZ$J3,X& 10 l3 , £ 2 ?Jf jjj _ 01 j SS Ltd. 


_ 125. High Street Croydon 

_ Property. 1516 

— iTcpcrly Pen* . . 157 8 

11JB Equity 575 

— equity Pen*. 163 J 

_ Minjoy Market. .. 1J9- 

Money tlU. Pcii .. 11JJ 

Deposit 128g 

Deposit I '■ms 138 J 

Moragcd _. 103 5 

Mncaccri Pen* 1343 

Inti Equity J03 1 

inti Mnnagcri .... 1022 

NEL Pensions Ltd 
Ml lion Court, burking. Surrey 


01-6888171 JfnpjelXCrtlL--..- 


+ 0.1 
+0J 
-02 
-0.7 
-D2 
-02 
- 0.1 
+0 2 
-OJ 
-03 
-20 
-L6 


MxpleLLMangd..- 




son 


1130 

US » -( 

J - 

105 2 

110 7 

— 

106 0 

HIS — i 

4 — 

956 

103.7 

— 

1041 

114 0 -l 

— 


S ?9 119.81 +0i| 

! E< 

JSS Si. 

Next Sob Day May 2a 
Per New Court Property see qndee 
fkubacUU A met Management 


Nifle\ yq cap - -. 

Vvirt tecum 

Xrlci Sinner Cap. 

Neiex Mon. Acc. 

Svlri Gth Inc Acc. , — 

MW 33377 Xrlex Gth Inc Car- 49.8 
Nul Mad. Fd Cap — " 
Xcl Mxit Kd Ace... 


Target Life Assurance Co. Ud ' 
Target House. Gatebmue Rd. Aylesbury. 

Butfta. Aylesbury 10288/5941 

Man. Fund Inc 101.8 186.91 

Man. Fund ACC 1155 1225 

Prop.ra.lne.._ . MA 1325 

Frop.ra.Acc. _ 336.8 

Prop Fd. Inr. 187.0 

Fixed Int. Fd. ine. 1052 11 1 2 

Den PdAcc. Inc.... 98.5 3MJ) 

ReTplaa Ac. Pen. 7J3 77.4 -0.M 

ReLPlanCap. Pen — 59.0 64J -0 j( 

RaLPlaaMamACC... 126.0 1X33 

ReAPlasMan.Cxp .. 1163 323.1 

Cl it Pen. Ace. ....... . 129.9 1372 

Gth Pen. Cap 123.2 J30J 


CarIJol Unit Fd Mgrs. Ud? (ai(cl Manulife Management Ud 
UifburoBanae > .V«rieastJe-upoii-7>ne 21165 Sl George's Way, Stevenage 
Car! to! jg^ TTUj . _j 4.40 Gro-tb Units. (515 


4.40 

850 

8J9B 


-05 


Do. Accum. Cala_ fSS.fl 855) 

Do. High Yield K15 44 lxi j 

Do. Accum. Uarts...l5U 543 . ..J 

Next deiCng date Hay 3L 
Charities Official Invest. Fd$ 

77 London Wall. EC2N IDE. 01-5881815 

Income Mny IS D35.2 — | . , .J 6J8 

Acrom. May 18 r36-5 - | .. .[ - 

4l na nth . Only available to Reg. Charities. 

| Charterhouse Japbet? 

I U Paternoster Row. EC4. 


787 9Tbe Family ra. — 1*52 101 

5J0 Target Trt. Mngrs. Ltd? <aHg) 

31. Gresham St. 6C2. 

.1 

i 77 


357 P.O. Bor 32, BouglisJoM. 
InlernaUonal Ine. (zl 4 
Do Growth _.)U.8 


043858101 Target Commodity . 
5451-061 3.73 Tstscl Financial— 
Mayflower Management Co. Ud i5'tSy5t'" 

]<'l8Gro*hani SL, EC2V 7AL'. 01-8D0SQM ODo. Acc. OsIU. 

Income May 23 [1853 1108 1 828 Targrt GUl rand... 

General May23_. -1*9.8 73^ „ ..J 5.18 Target Crmrth . 

Mercury Fund Managers Ud Dt^imTunttiT 

30 Gresham SU.BC2P2Ea. 01-8004555 Tarf« tavv 


p IH! i ■ 




l*. t. !*:• • 1 

r 


t.al.- 


rna- 


■a"' 1 


AL T 

.Un » j 

1KSES SYOCn iwuiwta 

1 ; '*z'7w~\ A izr 

70.10. 

7D.47' 

70.42 

70.39 

70.l9j 

70.45; 

68.83 

71.93 

72.10: 

71.95 

71.97! 

71.74; 

71.wj 

69.86 

475.1 

477.6; 

474.0 

470.6. 

468.8 : 

470.6| 

452. 8 

lh2 4 

162.9 

165.6' 

165.1 

155.2; 

153.2! 

110.6 

5 &5 

5.52. 

5.S6 

5.59. 

5.62' 

5.61,' 

S.15 

16.5= 

16.70 

16.02’ 

. I6.SS' 

17.04: 

17.021 

15.78 

8.13 

7.99' 

7.95. 

7.88 

7.83. 

7.86! 

9.19 

li.Sl>0 

4.479 

4.667 

4,965 

5.C40i 

5.646. 

6.249 


82.32 

64.87 

69-68 

62.46 

85.35' 

70.41 



16.599! 

15.118 

15.314 

14.083 

15.054^ 

17.500 


.VII J-'* 1 


■ |.J!- 

IiW <:.i 

v ."j. 


I! jit: 47-1 i>. Nnutl 41-1.3. 1 pm 474.1. 

2 jiiai 474 7. 3 1*01 4i« J. 

Latest Index B1-JJ6 BGT6. 

.in > n.-r.- • nl. «-on»*T-Aiun lax. r Nil' - •■»• 
sl-tC l!^ 1.1 :i Fim-d Ibi. IKS. lad. Ord. J 7 3f. 
Activity JUl>-D*'t. 1MJ. 


Gold 


highs and lows 


S.E. ACTIVITY 


l*i? 

• Hill ( a qUI\fUI«|l(|lU . 

Stay 

! »w 

Umii i-« 

• [(s>Ji 


1 


“78 .68 
1.4-1 . 
ei 27 

. I; 


70. 10 


71.74 


1> -J. i'l»l 


dy 1.5 . 4SJ.4 


*,(.!., . I6tf.h 


150.3 

f.-’ 


127.4 

r dM-iVi 

lbo.4 

Us I * *7 
349^! 
.lJ-:> .. 
442.3 


■4M.18 

.C-l.i-'t 

SD.bo 
« 1 .n 

49.4 
l7r->'4*'i 

45.5 
.'.'/• Ili ill 


4 • ill - ftxil;;ait ... 194.5 
Itkludntx...;, *^'1 

>treuti»iric...'. 40.0 

D'lnli. 126.7 

.•■'ayAt’tmie 
t;ut-lvilgeil... 150.0 


134.6 
J5S,2 

40.3 

1015 

150.7 


Inriustrul^., 179.0 1 J 79.5 
•fnvulallrc 36.0 35.7 

]/>lni« 1 15.3 j 113 . 7 


FT— ACTUARIES I NDICE S 

May 


3leV 




Jlnv 

L'4 


Mar 


Jlay 

19 


A Year 

ip) 


|„ i-.Ml • 

V- »U<u* 

Hi i 7 t« 
r H l(n> •• 
All >la.r t 


£1058 £11-21 209.48 208.20, 207.67 208.83 1BO.B1 


,i p .. 
• i n> I' 


*43 91 235.04 233.17 232-15 251.50; 232.51; 206.43 

" 5 42 S.3S' 5.43 5.45; M?| B '^l B ' 4S 

g U a. ID- 8.04 81OOI M7l e-Oi; 9- 21 

"15 29 216-31 315.16 21*.gB B13.39 g!4-S8 18B-5S 


C J. Internal'] ... __ 238 

AceumUnto zac 

CJ. Income S3 8 

CJ. Euro. Fin 2 62 

Accmn. Units 38 « 

Transinternatlonal Life Ins. Co. Ud CJ.Fd. tav.T« — 26 1 
3 Bream Bldgs. EC41MK 01rt«4(r| doling 

1125 
115.9 
1193 
1262 


01-248 


TuHp Invest. Fd. ~ 

Man.Pen.Pd.Cap.. 
Man. Pea Jd. Acc. . 




Mere. Gen. Urn £4. 1176.1 107.4 

Ate Ut*. May 24.>.bB93 244J .^. 

Mere. Ini May »..,.ta.7 667 

Ac cm. L'U Mar24_to2 715 

SrnfnJtaSS^BtJ 2Z3.0 -UJ 
AccumUt* Apr37.^j 2f*i|+U2) 
£77 Midland Bank Group 
ail Unit Trust Managers Ud? (al 
447 Coil rtuqod House , SUvec Street. Head. 
*47 Sheffield, Sl 3RD. 


£8 

212 


Target Pr. May 24 

TgL Inc 

TgtProf 


2.U CoyReGrowlhFd. -[1E9 


^ | HanJbro P^c"mc _ Fuiid i^ta. Ud 


550 

0624 23011 
110 
4.60 


2055 
as s 

283 

309 

29.9 

1560 

287 

13.7 


SJ=23 


i sa- 


1205 

305 

3?4 


165.0k 

softs 

152C 

201 


~4I 


-fl-a 


-0.11 


4.41 2110. Connaught Centre. Bong Kong 
5.M Far East May 24 — BH3UJB H« . .J - 
5 *4 Japan Fund (Sl’SUB 7J71+-0.071 — 

3M Hambros (Guernsey) Ltd J 
443 Hambro Fund Mgrs. (CJ.) Ltd. 

1. 63 

Y6?.„, 1517«d 

187.9* 

1126 
1.05 
113 


P O. Box BO. CunnKcj 

• ti C.I Fund ‘ 

2 >S lntnl Eond SU 
alfl InL Equity SUL,_ .. 
1154 lDL s -W. "A 1 SUSjlOZ 
- ~ s— * 'B 1 SL’Sll-10 


0481-28521 
3.90 
850 
250 
850 
250 


Gumwy Fund ’’ .)46 4 48 Bj 

Prices on Mny 24 Next cub. day Mm- 3L 

Tokyo Pacific Holdings S.V. 

lntlmis Management CO. N V. Curacao. 

NAV per share May 22. SUS4&22 

Tokyo pacific HJdgt (Seaboard) N.V. 
lndmis Management Co KV. Curacao. 

NAV per shore May 22- SUS30.16 

Tyndall Group 

P.O. Box 1256 Band bon 8 Bermuda. 22788 

Overseas M» 31 ._ 1SCS115 1211 1 6M 

■Accum. L'nrlsi ... HIS176 UU | — 

3-Way Iol May 1B._)SVS2J8 £7l] | — 

•.KESPfaBtjWlarJerafy jMWfmut 


TOFSL May 25 

■Accum. Share*' 

American Maj- 25 _____ 
lAccumsharesi. . ,«2 0 
" 1918 


£7.90 

,ai45 

too 


m.s 


Commodity ft Gen.. 
Do. Accum — 
GnrwttL 


Trident life Asgnraoce Co. Ud? 

Reiulade House, Gloucester 043Z38S41 

Managed 
oSgld 

EtS^SSeatt" 

'HUftyfeL 

GtftEdged 

Money 

MeraaUqnal — 

Ftscal 

Gt«rthCajv_ - 

Growth A* c. 

Peo«.MMd.Can...,. 

Pena. Mngd. Acc — 

Pens Gtd.Dep.Cnp- 
Pens. GtiLDejj-Aoc. . 

Paw. Ppty.Cap 




-G 1 . 

■Cash vfane 

Tyndall Assn ran ce/Pens ions? 



Chieftain Trust Managers Lld?(«)(g) gliST'.“"' 

llSeicSLBC2M4TP. 01-2832832 Do P Accian..--l"lT 

American ftzi23« 2521 -021 159 Income 

High Income W0 7 43. Sal ..TI J 4 43 Do Accum 

laternarioosj TsU_hy24.4 262) ..J 322 Intcraariogal 

Basic Rearee. Trt (2/8 29.0) +02) 450 Do. Accum. — jS0.6 

Caafederatioa Fuads Mgt. Ltd? fa) so a 'cum.T TTT S 5 

50 Chancery Lane. WC2AJHE 01-2420282 — 1?2-2 


act lDL Svg*. ... 

----- _ _ . „ _ Prices on Stay 24. Next dealing May 31. 

482 l y r8 f l , TsL (a'fbi Henderson Baring Fund Mgrs. Ud 



SEwH^-lsl *§3 -H Jl -«a- 5 fiss«,s!L."j^ ,. tBa’&stst- 

mw' 5 1 ^ Trades Union Unit Tst. Managers? ^ iGneraseyl Ud SKSShSKf"’®** 

6983 + 01 ) 5.W Z‘“~T l .y? Sl - 8 L * ,re0 ' T « ^ i«*r Fort Guemiey. CJ 

5^4 JW , ’’OM dL>Z Ul - o -^ 8011 Taf 1156 9 T rt r_x a *1 3 e n 

m T»nw_a. « 1 

37. Rue Noire- Dame. Luxembourg 

PHOIM 19391 — 0 MJ - 


Growth Fund.. .—(408 . 428) - -J 646 ‘^prices'at "ApriT 1 

Cosmopolitan Fond Managers. 

3a Pont Streec London SW159E7. 01-: 

CosmopolD.GdLFd.P75 IBJMf 


794 . ... 
431 -01| 
=25 -Oil 
295 _ T 

511 

Mi -0.2 
624 -02 
SU _... 
549 .. . 
648 -0J, 
68.7 -01 
1864 
1064 


522riJ I 

la Transatlantic and Gen. Secs. Co.? 

3 44 BI-OP New London Rd. Cbelauford 0245 51651 1 


.7.90 688 

875 - 

B7J J - 

700 

.... 107.60 11J5* 

1364 im| . .. - 

Vim cry Moose. Dooftlas. Isle sf Man. MS4 25NS . 
Managed May 18 ...{129 B 135? | — 


633 Barbican Mb., 
tAccmn-Unit 
?jS Barb.Exmjfa 
i f? BuehSL May £ 
5 S r Accum. Unit; 
I ® ColemoMayS 
5-54 (Acc am Unit 


25 


lAccam Unit!) — 


— I 4Jtf 

Crescent Unit TsL Mgrs. Ud (nKgi 
4 MclrUieCre*_ Edinburgh 3. 031-220 4B31 

Crescent Growcb (269 20.91-0.11 

Crw. InlernalT [563 60 « +07 

CTes. High. that. ...to* 4»ad +<U 

Cras Reserves _-|405 42*1-03 


— J Discretionary Unit Fnnd Managers 


Next dealing May 3L 
Minster Fnnd Managers Ltd 

Mutttor Hoe. Arthur Sl.E.C.4. 01-023 ION 

SOnAerMay 16.. — (360 3a Oj I S.47 

Exempt April 18 — (87.1 91 1J ) 552 

MLA Unit Trast MgenrnL Ud 
4 , e Old ffueen Street, SW1RBJC. 01930 7333. 

B75 MLAUniU ,J392 4121 . ... J 437 ___ 

«w Matual Unit Troa t Managers? (a)(g) KX;:" 
15. Copt hall Aye . ECZR7BL". O10M4883 WiekDl May3B- 


641 


Tyndall Managers Ud? 
825 ItCanrnge Road. BrinoL 


18. Cxnynge Raid. Bristol. 


IJ^ayi 

EqaitS 

Bondi 


r25 

tyM 


,KS»BS£r. 

3-w»yPc+rtTxy]BL.. 
ytrois* MxySS 

Do. Prop. Mays"''.' 
jVashnxgh Life Assurance 

41-43 aixddox SI . Ldn. WlH SLA. 


007=32341 


Mutual Sec Pluo.__{51 0 54 

==. Blomfield SL. EC3M TAL. 01-0384485 SjliSri Bluera5"fe7 46 

Disc Income P62.9 1730=0 +261 S21 SsSSfiitfl wTrA* 59 

EL F. Winchester Fund MngL Ud National and CammeTOlai iESK&S 1 ,- ' iron 

Old Jewry, EC2 01-8M21S7 31. St Andrew StjuarmEdiahergh oaiJNBjsi So 

Great Wlndtcser. _{1B 4 211X1 1 608 toame M«;17 g«7.o 1S.4J I 610 LAccmn-UnlWi 1766 

GLWiBCh er O sea*|l9 7 ZL5l . — 456 ffS ^3 j-Jg Exempt A nrilN.. . 105.0 

Capt abo 17 - — .[1 7ft z 13851 1 357 1 Accum- l’nitat— . 147/ 

& Dudley TsL Mngmnt Ltd. < AocomLmu., . tlss.4 I6l3 . .1 357 can^l£S«_ . 982 
=0. Arlington St, S.w.1. oi-tMTsei National Provident Inv. Mngrs. Ud.? [tan Own.. • - ig* 

Emson Dudley Trt.. 1640 69.7} J 350 48. GfWtechnrch SL, BC3P3HH 01-023 4200 - 


..(757 

803 


. 114.1 

120 t 


. as ft 

aaz 


799 

83 7 d 


.99.0 

183.6 


1263 

152.4 

1330 

1605 

-07 

-0.8 

5L2 

543a 


56.1 

59.5 


523 

»M 


673 

714 


STB 

S3 4 


Ml 

609 


49.0 

517 


Ml 

635 


716 

75 4 


M3 

47.1 


453 

oj 


MJ 



716 

75.7 


MB 

M3 

69.1 

-09 
— l.D 


Utd IntnL MngnuL (C.IJ Ltd 
14 Mukaxter Street. St Helier, Jersey. 


j * j International Pacifie lav. Mn g t. Ltd, imjs .rand pi'swa iujt]-02ai ai6 

United States Tst. Inti. Adv. Co. 


3.W PO Box R2ST SO, Pitt Sl. Sydney. Aust. 

45o Javelin EqulU' T sl. |S209 2.191*0 02| — 

5 68 J-E-T. Managers (Jersey) Ud 

5 63 PO Box 1B4. Royal Til Hml. JeraryfKM 27441 
fg Jersey Extrol Tst .[1600 1705) . . ..| - 

725 Aa rt Ap-nl 3B. Next »ub. day J" 

535 Jardine Fleming & Co. Ud 
£S 461h - F1o ? r ' c 'v nn » UJ <6t Ceetre. Hoag Kong 


,c« JardlnrEnn TM.. . 

iiJ JardtneJ'MlFd*.. 5HK316 , 

Ira JardmeSEA ...I SHK1340 
f-Ji JardlneFIemlnl. SHK9 46 I 
651 NAV Bay .28 -Equivalent si'SNIO 
Next sub. May 31 

5J6 Keyselex Mngt.. Jersey Ud 
I” PO Box 88. St Heller. Jersey. CEnp. 01-808 7OT0 


SHK740.W t ... .1 

L66 .. . 


in 

0.90 

2J0 


MU 

2289 

995 

1635 


1513 -Oil 
2415 -OiJ 
1843 +0.1| 
171 J +03 
1*7 J -01 
12*3 


01-498 4BC3 


Equities Secs. Ud (aj (g> to) * 

41 BtXhop3gaie.EC: 01-5882851 -NPI Ofsea* Ttun 

PTOpmata 166 1 69.74 40 J[ -09 Xf ix Nta *5Ha."iuie 257 

Equity ft Law Un. Tr. ML? (aKbKcj ;Pnce» yn _M»y 17. Next doling May 3L 

Antirtua Bd., High Wycombe 040433377 National ffe flml iatB?(a) 

Equity ft Law (661 695) -02) 413 8W0. 


1 Accum. Unlus' 


— FraznUsgton Unit Mgt. Ud (a) 

Z 5-7. Irelacd Yard EC4B5DH- 01-3480972 

— American (488 _5L2 _ [ 100 

— Capital T« 11166 IMS 1 S92 

Income Tst. g03.6 110 Jd .( 5.95 

1st Growth ns _P?2 1140m I 226 


Capita l i Accum > ._ (65.4 


j Int.. 652 

Financial 55.6 

Growth inr ..... — J9 4 
Income ._ — _• . .. 38.8 

Portfolio Inx Fd . . ML 

I'uiverial FdJdi....l594 


7t3ti 


7 Ota -03^ 


ME 

961 

38 S 
74S 


-0 3 


-01 

-0^ 


-t.T, 
-0 1 


427 

775 

513 

401 

654 

S» 


Scot. Cap May 24... .1139 8 
(AceuBLifntmi — (1664 
ScoLInr Kay Z4._|l612 
Uxdw WaD Group 
Capital Growth . .. . too 

Do. Arrum. g3B 

Extra luc. Growth. 137 4 

Da Accum. M3 0 

Financial Pr’rty — |162 

Do Aecum. 119.7 

High Inc. Pnorlty_|6|0 

LaiernsiJnnal „ — pH 
Special SI is {30 4 


2720 


771 NEL Trast Managers Ltd? faHgl 


TSB Unit Trusts (y) 


MwjwedM-- 

UESr-r-: 

Fbced Inurot Fd „ 

Property FU D»7 

Lara Fund [U7.9 


road. 

Vanbrngb Pensions Limited 
41-43 -Maddok St, Ldn. VnR 8LA 

Managed... 1956 

Property^ . _ _|962 . % 

Guaranteed see ‘in*. Base Rotes' table. j Do -Accum. }fi3 9 576) 

Welfare Insurance Co. Ud? G - T - Vait Ud.? Gsw, *» fb> uSr^'ii) 

jTheLeag, Fplhenoiie, Kent. ^s^U.FlaaWnyClreiaSCSMTDD 01«S8131 M Box<- NotwlelL^lSNG MD32ZS» Mn " 

Msweyptaitf Fd. ... | ' 1825 J . * 

bartond*, please refer la The 
Maacbcater Group 


1054 
188 4 

132.4 
1848 
1104 

154.4 
1032 
1218 
2563 
2856 
1460 
174 8 
1694] 

07 7, 
896) 

*o5 

46 g 
17 J 

m 


FVm»eloK. Frr 1G2 

Boodsrics ... Tr. 1M7S 

mn-rnii KcyselCt Jnl'l ... £645 
® 7:i3 2v E l Keiaelet Europe. _ £3.85 

g-Ef Japan Gth Fund. . SV5SI1 31S 
5-92 Kvvaelc* Japan . DO 70 11.', 

2S Cool A*sei» Cap ... £33303 

5 o 
7 92 
792 
5X0 
580 
515 


290 


14, Rue Aldringcr. Luxembourg. 

U.S. TIL lnv. Fnd... J SDS1069 | | O.M 

Net a*aet May 24. 

S. G. Warburg & Co. Ltd • 

30. Gresfenm Street BC2. 

Cnv.BdFd. May 2S. | SKS937 
'InL May 25.1 SUS16 85 
• iprJO... L. SL’S685 


was.i 

EnerO' InL May 25.1 3 
Gr.SLSFd Apr BO... 1 
Mr.Eur. May 2J (lOJ 

Warburg Invest. Mngt Jnty. Ud 
1. Charing Cross. Sl Helier. Jsr Cl 0534 73741 

CWFUd.Apn!=7...1Sr51226 1257) — 

CUT Ltd. April 27... [£1235 1266! — 1 

Metal* Tst. May i8_(oIS 1217) — j 

TMTM»i II {SU5NJ4 UJM — 1 

TMT Ltd. May 11 .... f£JDJ7 1864) — j 

World Wide Growth Managemen t? ■ 
10a, Boulevard RoyaL Luxembourg. 

Worldwide Gtn Fdl SL'S1«67 |+8.M) — ■ 



NOTES 


515 Frier* do not include 5 premium, exee, 
5 22 indicated. Vleld* 1 shown In ' 

522 inclnde all expenses, h To-day 




01-4M4B23 °° Aceua. JllOJi 117 _ 

TVl-ns.. yy, j, . , ■ ..... T , w __g. MiUonCourt.Dorfang.Sun*>. 

fTleouS Provdt. Lnit Tr. Mgrs.? Neinar tto.9 6* ir -ojj 

Pl xhac . End. Dorkict 03005055 NclflarHighlDC...[50 9 536} . .. ) 7.95 

Friend* Prov. its _(4LB 44^ri|-D4j 431 For Sew Ceurt Fund Managers Ud. 


21.CbanIrv Way. Andover. Hants. 0204 82168 
Dealings, id 0364 83432-3 


4J1 


see RothocliiM Asset Management 


h>ll IbiTSB General ..«7 
4.18 ibiDo. Accum.- . 567 
lb; TSB Income . _ 59 J 

ibi Do Accum 62.1 

TSB Scdttlsb 31.4 

rb) Do. Accum.. — . 87 J 



t London ft 


Windsor Life Ansar. Co. Ud 

1 High Street. Windsor. - Windsor 69144 

FuhureAmd Gitnb). 4L0 
ReL A*ttL Pens, — EZ4.61 
Flex. lnv. Growths 1046 


U-zlz 


C T. cup. Lk ..__J8L6 

Do Acc---- . — S3 

G.T.lsc.Fd. Ln. . 0603 
G.T.V3.1tGon_._M4 0 
G.T. Japan & Gen. -12673 

’■OLPens.Ex.Fd— - ' 
iG.TraivSfiH 


I -O K. 3.40 Group TH Fd. [3433 36L4| —0.9) 4 95 


Waring Street. Belfast, 

1 binster Growth. ,[37.4 


023235=31 

527 


W4 -14)' 2« Pearl Trust Managers Ltd faWjrMz) . . ^ 

7.® oeiu-hUaiMM irni*?po 01-4A88M1 Ullit Tru “ t Account ft Mgmt. Ud. 


.9_. 13*5 . j 4 do 
o'* E7.q+o.7| ' 


2.38 
7 DO 


G. ft A. Trast fsHgifr) 

S. Rayleigh Rd.. Brentwood 
C>& A !35L1 34345-OJJ 4.84 


SSIHigh Kolbora. WClViEB 
FeartGnralbFd._to9 Z4.7 k( +0J 

Accum Units v77 . 293 *0i 

Fearl Inc. .. — J3L5 33 9 +0! 

Peart Vim Tat ...1358 38_t -n\ 

lAccum. I «ut+> MS 5 O? d 


4N King William SLEC6R BAR 
499 Friar* Hac. Fund — [144.0 
6.74 Wider Grth. Fnd _b*. 4 

481 Do Accum.— 341 

4 81 Wieler Growth Fund 


01-8234951 

157« ( 432 

3L0 ( 435 

».« .....J 435 


Pelican Units Admin. Ltd. (gHx) 

81 Fountain Si. Manthn 

Fellcan L flits— +_[B2.4 asAi-Wl) 5.13 Areum.Lsiu 


KE77'22T300 81 FouufainS.. Hrarfaver W-SBMN KS2?jSSi5jSS“ 


01-6=34861 
3L0| J 435 


35.9j 


435 


i.G. index Limited 01-351 3466. Three month Copper 793-801 
29 La moot Road, London, SW10 OHS. 

1. Tax-free trading on commodity futures. 

3- The commodity futures market for (ho smaller investor. 


CLIVE INVESTMENTS LIMITED 
Royal Exchange Ave.. London EC3V 3LU. Tel.: 01-283 1101. 
Index Gaide as al 23rd May, 1978 CSase 100 at 14.1.77) 

Clive Fixed Interest Capita! 127.67 

Clive Fixed Interest Income 133.S1 


CORAL INDEX: Close 474-179 


INSURANCE BASE RATES 

t Property' Growth 9iT5 

t Van brush Guaranteed 

c Address shown under Insiir.inct and Property Bond Tabic. 











































































































































































































Financial Times Tuesday Mgy 30 1978 


MvUn* 

hU 


INDUSTRIALS- — Continued 


Sort 


Prior 


I Uni 


Aug. ULImT Liars 
Apr. Jna.LAC int.iiJp. 

May JancLawtn 

Jill? Nov. Lendltids- 

?“■ Aug. UadnhrtlS 

Oct. May LcBaiiEdi 

Nor. Mar. LfhotTFobellun 

April U'tm\Hairrc.. 
Jan. July Leigh Infs 5p .. 
Jan- Aug. leisure Car lOp 
Mir- Oct UpCnNiplOp.il. 
Jail. July lesm-v I*rodt5p 
Feb. Sept. Lflmwt iQp 

— Luton 10p 

May Nr, undsai ft Was 
prf. Mar Unduslnw.. 

Ju Ij Feb. u* ft Xrhn Crp_ 
Jan. June Lt-nq Hmlilr. lOp. 

Apr. Oct Loef.'ioo Trans 

Au(t. Apr. UiMdalf L'ttnTsLj 
nor June Low & Sonar 50p 

Juno Dec. IXY. Uan. IGp 1 

Jan. July Un-awe Ida. TDp 
May Sept. STc'rtbi- PB. 20p 
Ort MajiMnef silane Cp._ , 

May Oct MrBnde Rbt 10p 
Sopt. Apr. UcCleeiy LA. _ 
Aug. Mar. HarpberconiP.i. 
Oct. Apr. MtfiwjTnicIsRn. 
Way Sept. Magnolia Croup. 
June Jan. MngmLA^JUOp 


Dir 

Net 


INSTJRANCE---Con4miied 


47 


Ctrlortlp/El 


Diddnub 

Paid 


Stock 


OrL 

Feb. 

Dec. 

Jan. 

Dec. 


Apr. Mai Shipman. £i 
OcL MsrlinKlnd. lOp.i 
Jun. Marshall L'iy.-A r J 
July Marshall 'tOniv 

May Hartin-Blatk 

, - . HaJtaewasTkpc- 

Jane Nov. Maynard* 25p_ 
Apr. Dec. Hedminttrr]Dp_ 
Oct Feb. Mm lmw jp 
Jan. June Metal Box £1. 
Nov. June Metal Closures 


Apr. Nov. IfiloSlntn. 50p. 
Apr. Dec. MIL CMis Trtp L _ 
Mar. OctlTsBOtaSpcaM. 
_ — , MoaomenUDp 

J^n. July Horan CniciiL 
Oct Apr. M«nU (Abell— 
Jan. June MosSlBobtJIDp. 

— Uorltei lOp 

Jan. June MyjonGp. ]0p 

Mar. Sept Nash (J.F.l Secs.. 
Dec. JnaeMattaafR4L>_ 
Mar. Aug. NatCTrb’nsglOp 
May Not. N.CA4%Rta. 

October KepotlfcZiwbra. 
Apr. Aug. NaliSp'nrerlOp 
Oct Apr. New Equip. 10 jj*_J 
Sept, Mar. Newer Group 0, 
Jan. Aug. Noreros— __ 
Oct Apr. Northern &c _ 
Jan. Sept Nmtanft Wrt 10pJ 
May Oct Nome Sees, JOp 
OcL April NuSvriftSp— . 
Hay Not. Ore Finance Cv„ 

Jan. June Office 5c Eject 

Oct May0frex20p 

Jan. June OeustimelShc 
— PMACHaWingU- 
April Oct Parker Knoll -A'_ 
Feb. Aug. Puli & Whites.. 

Dec. July Peerage lOp 

■June Sept Pentium) l6p 

Dec. July Puins 10p__~_ 
June Dec. Da 1R Or. la. Iflffi) 
Jan. June PMrocon 13jp_ 
— Phillips Patents 

Jan. Jdm PbouKdoD) 

Mav Dee. Photo-BeSto— 
Feb. Aug. PilkingtaiBr.fL 
June Dec. PitnV Bowes La. 
Sept April Platt] c Coed. ldp_ 
Oct April PleBsnranLi5p_ 

Apr. N«. Polymark lOp 

Jan. JuIyfPKtaL 


Jan. Sept Powell Deft 50p 
Jan. Aug. Press (ffuiSp— 


Aug. ApnliPrestjge Group _ 
rlPritetaairi Sirs. 5p 


Not. 

Jan. 

July 

Jan. 

Jan. 

Oct 


Jan. June) 

Sept Not. Piw. Laumis. 5t>. 
Apr. OcL Pullman RAJ. 5p; 
Feb. Sept R-F.D GrouplOp 
Dec. July RTD Group 2 Dp_ 
Jan. Jnly Radiant MIL 12>vp. J 
June RendtU J.Llup_ 

Jan. June RandaQs _ 

Apr. Rank Groan 

July ScrltiUtoTsOp.. 
Feb. Reditara Glass- 
June ReedGue Sp— 

Aug. Reed lntl£l 

June RektraPBWS 

March R«hjwnInc.Y5a. 
Feb. OcL RemrictGroup- 
Mar. Sept Rgaror..— „ — 
JaAp.Au. Renucie— — — 
July J on. Riley iE JJ ]0p „ 
May Rockwarc — — 
Aug. RopncrlDdgs— 
Aug. Do. A-.7Ttr 
July* R«apnnt3Jn.._ 
Not, ftwoaft Roden. 
May Royal Wntrs . _ 
Sepi. Russell iA 1 10p_ 

— EyanCL‘5n 

Apt. Nor. Snqn Hobdnys— 
July a-Gobaiarmlttl. 

Dec. June Sole Tiber — . 

Jan. Apr. SnalkuniMsitd J 
Jon. Sept Sangcrs Grp— 
Jan. Aug. Snpa Group — , 
Jv.OJaA. Sciuombcrgcrn 
Feb. JulytSeotcna, 


Nov. 

Dec. 

Dec. 

Jan. 

May 

Not. 

Jan. 


Dec. June Scot. Rentable „ 
-Mur. Oct ScnLtun.lBvsJ 

July Sears Hid (ri. 

Aug. Mur. Socnricor Ga. 

fin 


Aug. Mw. Ua-.ViVV'. 

Aug. Mar. Smutty SmteiJ 

Aug. Mar. DaAN-V ? 

Apr. Oct. Jbarna W.wSCp 
Apr. Sept SirteGa-nt'io — 
Dec. June SilentnjgMMbJ 
Jon. June Siliunaic A'2)p J 
July^ptewlOpr 


Jan. 

July 

Dec. 

Oct 


Jan. Sfaupsaa i&rA_ 
JulylSkfSchky— __ 
May SmtUuNephlOp 
June D«. Smith* Tad* 50n 
Oct Mot Kobe. Law JOp 

Aug. Feb, Smur- 

Sept Feb. SotfacbyPB 

May Nov SpactwiG. W.UIp 

Jan. Aug SpcwiJ.Wl 

Stay Dee SbKsPaMa 

June Pec. OoKAQiv.La. 
Jon. Aug. StoflcxInL — 
Ort. May Stufi Furnitare _ 

Not. Apr. Steelier 

- flclai ilaai HKS1| 
Apr. Aug. StodiEg l»±i 

Apr. Dec. KtocUake 

Apr. Aug. Soochill Hldgs. . 
June Not-. SubuwiFJ 

Oct May SunJislrtScrr t$p_' 
Feb. Aug. SutcIiUcSprt!k_l 
June Swrduh Match ESQ! 
November Swire Picitic 60c 

Mar. Sept. Syllone 

JanunO' TalbraSp 

rchi-ittlOp — 
Mar. Aup TliKiaalSfnd... 
Jan. July(Th.Tunes Vn.5p. 


Nor. MayfPillttiET 23p — 
AUR.iT.vilhiU ltW 


Jan. _ 

June Tbyt* 

June Feb. rralalcarH C^p. 
Mr.JrtSU. Trans L‘a 1'SSl- 
Nov. May Transport Dev — 
Feb. July Tran wood tip 5p 
July Jan. TurwrftNe*£l J 
“ Tumrr Cura. 3p) 

VSOUl 


«3 

39 
58 

156 

107 

40 


laui 


1M737 




50i a au 
50 l 


157 
125 
240 
BO id 
134 
20 
42 
138 
27> a 
37 
59 
85 
372 
59 
20 
97 
67 
435 
341 a 
61 
M 
93 
75 
225 
24 
47 
154 
54 


2&U, 

lii 

a 

1U 

ltw 

ui 

37 . 4 J 

3jJ 

17.4 
17.4 
34 
77 2 
132 
17.3 
JJ 


132 

24 


dZ.60 1 
12.23 . 
91 


13 87] 


4.09 . 
LK . 
fl.62 
3.27 
o 55 
448 

£4 I 

b5J9 


HI 


i* 

zM 


3.00 

9.0 

2.0 
EL58 
103M 

4.63 
lO.gi. 

a* 

3.94 

3.84 

4.90 

0.25 

2.64 
K3.19 
d2.70 
t561 
1556, 
dbO.92 
9M9I 

7.02 

4.00 
Q7V 


zai 


5.8 

3.7 

23 

25 

39 

41 


* 


2.7 

Hi 

* 


* 

9(124 


fl(4 0^ 
,19.1 

♦ 

6.1 

* 

8.7 


8l 


10. 

u 

6'5| 


T 


108 

58 

75^ 

64af 




lS 


4.4 

11 


0.92 

212 

■MSa 


13Jjftt336 


DA 
133 
14i z 1212 
302 2811 
93 17.4 

55rt 153 
193 3.4 

82 

£126 16.lT 05' 

S 1073 — 
155 531 
SI 13J 242 

25 2.00 
301 5.18 
25 3.3 
272 132 
25 
221 
113 
133 0.' 
476 — 
33 4.02 ' 
25 6.00 
U td3.8 
3.4 22 
133 
155 
135 4 
17.4 . 

155 Q6c 
674 - 
133 ti24 
m3 4422 


4.8 

12.4 

19A 


34 

14 

65 

120 

49 

46 

£79 

83 

106 

12 

53 


2.7 


10 

5., 

8.01 

112 J 


a 


115 

10 jJ 


a 


Feb. Aug. EiF.fHMgs.i_^ 

August Fodensiscpi 

j, uune Feb. Peak Invests. J [to 
^ May Jan PtixUm^ZlZ 
l 2 July OctfYork Trailer lop. 

53 Components 

10 a Mar. Sept] 

a) 123 £* b - J, ol 7 

May Nov. . 

* July Jan. Assoc. Engg 
_ Sepifntber ftstrasotive. 

_ Aag. Mar. 
t 7 Oct June 
07 Mar. Sept 
a Apr. Sept Dowry S0p_ 

If San. July Dunlop Wp 

77 Dec. June] 


kI 


92 


0.9 
14 
2.7 I0-Z( 


IS 

12.? 


nob 

182 

19 

25 

£92*1 

loom 

Z33 

23nf 

40 

108 

126 


26 6 9 
33 8.3 
29 321 
0.9 274 
13 93: 

t9M 
3.7 5.9 
35 4.9) 
25 14.71 


38 HU 162 
19ad 155 0.66 
82 25 439 

£136 2832 Q25 


TO 

15 

3&d 

265 

475 

£75 

40 

75 

J 

17 =t 

160 


, 25 4.51 . _ 
11175 B— - 
155 d272 - 


63 44 
3.4 53] 

53 U 
3.0 74 
229 014 
13 9M 


1L4 

17.41 13.96 70 23 
12idtl05& 4J 3.4 
143^051}% 56 7.6 
274fad208 24 7.9 


132 202 
273 272 
17.4 738 

2831 tlO.D 
3135 034 

133 558 
34*i 1 1431 1.49 

94« 174 0.40 
" m M6l 0 
163 tL43 
1 12 HL 0 

33 tl.76 
577 4U7 
3130 td4.7 
303 7.96 
155 10.61 


85 

66 

20 

32 

108 



61 |Jan. July| 
FOlJuae Dec 
4.1 - Apnl 


Sun Alliance £Lm 

Sun Lde 5p 

Taf.-hi.Mar EDR 


MaJuScJV. 
Dec. Juuej 


Nov. M avfTrade Indemni p - 


|Trai<>ler*s:s<L_ 
WlILs Faber 



Lad 

Wv 


Price 

si 

Net 

C»ri 

522m 

153 

2035 

_ 

202 

23 

13.42 

_ 

846 

165 


sr 1 

— 

£281. 

25 

QSI .68 



255 

23 

9.0 

2At 


a- 


°A- 


lLfi 


MOTORS, AIRCRAFT TRADES 

Motors and Cycles 


) Rrit Ley land 5 Qn 
MrJe.S.D, Gen .Mis | 'pus. . 

Jan. July LotiuCarlOp 

August ReUant Mir. 5p_ 


24 

245 

49 

8 

92 

£13H 


Sept. M« 3 dR(>n*-itoy«sim.J 
May (Volvo ErSo 7| 

Commercial Vehicles 


Mw 


M5.16 

Q12%] 


17| 7.aj 


04 


24| 84 


5.41 


75 


14.6 

29, 


’3X3 


h217 

035 


^flj05 


tli3.9 

d234 


641 3.01 5.4 


03 


5.7 25l_ 
29 B 9 9, 
3.3 8.11 
55 5.1| 


Swire Properties 

December Town CenifT 

Apr. Oct Town & City lDp. 

Apr. Nov. TraSord Park 

— UJC Property 

Nor. April IMRea) Prop- 

Mar. SepL Werner Esnue 

Apr. Oct Warniad lav. 20p_ 

Aprtl Sept, WebbiJosiSp ' 

WnhurierP 30p. 
(July OctlWlostoaEat— 


Dec- 
Dec. 

July I . 

Feb. Turner M(g.. 


7.11 

^foct 

Ills’ 

a wail. * jujyTMrumuiuro«k 
icIFeb. Ang.p»oodJieadtJ.i 
5 jj Hay *•*“*■“- 


58 

W3 

d?64 

38 

«.« 

80 

I4Jj 

14.47 

35 

85 

6412 


1284 

31 

4J 

124 

3J 

14.69 

34 

63 

:rsr 

1 W> 

21 

2.04 

387 

ft 

26 

22 

84 



tl 06 

111 

61 

£215S 

m 

!Hl?4r 

37 

3? 

195 

IVl 

t4.21 

37 

33 

74 

7-5 

53 

23 

102 

228 

23 

?.m 

ft 

34 

ID 

1 «U 

0?5 

1 .C 

in 

49 

31.10 

0.99 

ft 

31 

307 

1A 

18.22 

43 

41 

52 

73 

tl 98 

4(1 

46 

136 

3BJ 

399 

5? 

44 

70h 

23 

3 OR 

3 1 

66 

97 

1 U 


53 

57 

87 

U4| 

4.4 

ft 

7.7 



152 


125 

45 


£ 7 ] 


52, 


a Sept AptiliAitaiis Gibbon — 
43 ) 45.6 — Alexanders 5 p__ 

— NOT. May Amdeyard Grp— 
«l Feb. Aug Arlington Motor. 

73 Ian. July BSGIntlJp 

4 1 , Aug. Mar. Braid Group 5p_ 
_ Uay Not. BriLCorAatlOp 

65 Mar. July C.GAB. lOp 

2 9 Jan. July Caffyns 50p _ , , 
164 Ian. Sept Cdnnwelnvs.__ 

mm Jan. July GmvielTjop 

>1 q Jan. Aug. DavisGodfrey— 

— Jan. June Dwada — 

y Jan. July Dutton Forahaw. 

n August Gttes(F.G.i_ 

March SmtiddLawr- 
May Hanger Inrs JOp. 
June Hamion (TDj— 

July HartWIc. 

Apr. HeuIyxSOp 

April Heron IQr. Grp. 

Nov DalOpcCbv. 

June Hnvt (Charier)- 

July IcwumlQn_ 

OcL HewningMtr.. 


Garages and Distributors 


73-7 


B 


fan. 


h 

4.8 


Kit 


t May Lex Service Grp.. 
,pnl Lookers 


MNi Apn 


on May Oct Ifoni Lyon — 
1 Aug. ■ Apr. Manchester 10 p„ 
70 — NrinultaridSp. 

7 > September Pennine Mtr.lto 
Dec. June PenyiHjIBn.- 
9 May OctQukMB.4J.l5p 
OctSw»MsWJ.5p 

RixfObw) 5p 

May JhtoafLeedi.— 
one Nor. WadhnStr. lOp. 
Juiyftfejsrnlfir. 


7.4 

92 


79 
20 
94 

12S 

*• 

48 

23 

127 

43 

42 
92 
77 

S‘ 

34 

41 

U7xd 

102 

132 

113 

073 

80 

43 
71 
84 
63 
76 
36 

e 

214 

55 

44 
7 

76 

45fl) 

90«f 


27J435 


D3 

1232 

3110 

m 

17.4 

san 
303 
2831 
14 
1433 
577 
30 3 
VA 
155 
1431 
303 
2721 
17.4 
25 
1431 
163 
135 
133 
173 
163 
1072 


SI 


M6JZ5 
t7.75 
233 
158 
13-98 
L42 
5.84 
dil7 
dl.70 
t3.03 
457 
2X1 
L43 
125 
dOA 6 
cM 32 
459 
659 
t3.23 

147 

2.46 

6.0 

tl50 


25 
265 
330 
574 
3 4 0.63 


558 

L65 

+ 0 . 6 Z 


2.2 

2^0 


32| 851 5.7 
^24.4 




a 




u 


21.S 

h 

37 

42 

52 

19 

62 


(27.91 

Ml 


10.1 


?.l 7S 


6.7 
7.6 
45 
B. B 
135 
55 

8.9 
62 

5.9 
UO 

6.4 


7.6 


2 j 
10 6 


82 

17.9 

45 

7.4 

Ij 

112 


35 

5.9 

41 

2 U 


38 

62 

55 

21-4 

3.0 


(64) 

1621 


35 

55 


77 

264 


y 93 I fji 


NEWSPAPERS, PUBLISHERS 


4soal 

295 

116 

76 

230 

65 

33 

132 

« 

44 


AugJAjsac.Ntews.. 

MayWBoekP.rOp 


3.61 4.61 mRi”' 

MHwia 


25(175 
1431 13.20 
^430 

mitd3.91| 


♦ 


26 

134 


58 

14X2 

137 


am iL «4 

2811 11.94 
2811 t 2.66 
17.4 132 
3.4 659 
11 f2U4 
L74 


4(o| 

h 


nd ^ [wvt May CcUimWiUum- 
Mj> Oct May Da’A’- 
2o8lFeb. Ang. DaHyMkfl'A’Sep., 
an. July E. Mid. Allied '.-V 
OctGanJauftGrtch. 
May Home Canities... 

Feb. Indcpcadent* 

Apr. L'jpou D. fust sop. 
July MarahaUCav.iOp 
Jane NewuM 


HLHHup, 


5^ M | 45| 1 ll| 4.o|oS: 


6.7 S.B 

84 ft*" 

7.2 2h6 1NOV '- 


«or. 


'Jan. 


July Ppmaul/wgpan. 
July Pyramid 10p, 


5^ UB. sSqEGSBK 


- 1675 


677 013i 
34 1024 
135 10.85 
1232 5.89 
1232 


May OcUSharpoSRf) 

H 1*7 1?'2 Xlec. June Thoms*)— 

, ? f 1 Nor. June Utd. Newmaners 

In S i I, FCb.wehstenPiKsp, «, 
3.QJ 54( 92 April SepqffDKHiBros. 20p. f~42 


£»7h . 

Sa lS|L35 


.94 


15 


XU 

6 D,ri 


lii' 

10 s 


114 

1X2 


209 

182 


91 
44 rd 
XTui 
99xd 
111 
69 
162 
54 
53 
290 
100 
235 
140x0 
£280 
8 


301 14.92 
155 258 

34 125 

272 1.25 

273 20 
27 2 200 
17.4 02.40 

33 t5.0B 
25 d4.01 
155 327 
155 dl 2 
155 3.81 
2811 14.26 

35 d2.43 
17.4 1725 

3i 386 
1232 236 
33 bB.25 
D.4 2.15 

«" 


5311.0 63 
2M 8.4 68 , 

0.0 31.6 
64 63 
5.4 « 

67 

Up 

12 67 Apt July Amu*. Paper — 
26 64 Jan. July DftOljpcCbnv.. 
27] 62 Dee. June Antt ft wiborg._ 
5.9 Dec. May Bemrose,... 
92|June Jan. Bril Mam# — 


156 

18S 

54 

62 


122 

145 

142 

288 

87 

85 

72 

135 

130 

5Dxd 

Z35 

194 
42 

170 

195 
250 
558 


2831 1523 
25 4.02 
34 2.87 
272 12.13 
174 4.9 
1212 t5.B 
3.4 4.68 
3.4 4.68 

33 tll.61 
1431 (3.65 
163 M2 64 

3.4 45 
1U 65 

34 7.26 
155 436 
25 89 
25 5.99 

1411 245 
303 t3.67 
133 td335 
174 1.97 
25 13.98 
17.4 134 
33 1128 


4JJ 5.11 
75) 33 


24 


29} 52] 

7; 


2.9 

29 

44 

43 

28 

26 

2fll 

5.0 

4.1) 

* 


8 .B 


61 

47) 
95) 
7 31 
8L5I 
13J 
s Il 

4.7] 

93} 

33[ 


73 

61 

6 J 

180 


U 


7.9 

7 - 7 .- 
181 U 

6 B 

7.7 

5J 

80 

7J 

73 

53 

80 

A 

120 U 


26)105 


PROPERTY— Continued 


XNV. TRUSTS— Con tinned 


FINANCE, LAND— Continued 


DWdend* 

Paid 


Stock 


Jan. 

July 

Jan. 

Jan. 

Apr. 


July PronHldB-Alov., 
Get Frp.lav.ftDD.tL-j 
A vie. Prop. Part ship— 
July Prop, ft Rev. 'A'- 
Oct Prop. Ste. Inr Sp_) 
Raglan Prop. 5p- 
Regxbaa 

April OcL RegujoalProp 

April Oct Da 'A' 

[Jan. June Ruth ft Tnmpfciw 

December Samuel (baps 

Aug. Jan. feci. Jdetrop 3to 
Mar. OcL Second City lOp. 

,Ocl. May Sleuth Esw 

[June Dec. Do.10%Cair.F0 
Apr. Aug. Stock Conversa _ 
April Oct- SonltyiBiInv 


Price 


m 


Df» 

Net 


Pn 


302 

110 

90 

288 

340 

iT* 

80 

65 

307x4 

81 

108 

37 

138 

£160 

244 

212 

52 

58 

ID 2 

102 

20 

243 

126tA 

262 

15»i 

18 

34* 




12521 
2 BJU 1L59 
lZj3d4.69 
MfltlSfl 


374 
ai4 
772 gLD 
712 gl.Q 
155 d2.37 

3130 JdZl 
17 JO U.94 
3 4 tl.73 
34 127 
14J3 QlD%j; 
D 2 M .0 
272 1.95 

201 
221 031 
3.4 1365 
674 — 
272 537 
155 t266 
133 14 86 , 
272 hd0.48 

375 - 
155 127 


15i 

X -2 

27) 

oij 

x« 

XH 

23.3 


u 


1.4 




DtvMaA 

PM 


Stock 


YU 

Grt PIE 

131 331 39.1 June, Dec.lCedarlnv 

55 otf May Clian 1 l 5 .Inc.O 

„ 23 28.9 — Do. Cap 

id 7.5 4X1 Aug. Mar. CharrerTnui 

XI — Mar. Sept. CliyftCwiLlot- 

_Do Cap. i£] 1 

Ckty&Fnr.tnv 

X9(tMP May Dec. CiiyftlMCTil'L- 

X3S64) Not. June Ciiy afOrfurd 

4.1 004' Mar. Sept Claverfjmije SOp. 

i OKI — LliftiinlDtslDp- 

28 483 Jan. May Clydesdale lav. 

7.1 112 — Do.-B - 

29 mi Aag. May Colonial Sen Mi 
f 6 J — Feb. Aug Coatuwui'1 A lad 

12 5X0 Dec. June Continenn I'uiM 
28 — — fte'nUapaaSOp. 

4.7 « Mar. Aag. Cro&rfriara 

22)583 January Cirmolujlnv 

— Feb. Aug. DaoBeilac.ii50p, 
531193 , — Do.iCap.iiQp — 

— Aag. Mar. Debenture Com. 
32 40 J Aug. Feb. Dertiyiw.inc.ti 
3.2^393 ^ — , . -JJoC-ap50p — 
28 33.4 Dec- July Dona nloa ft Gea. 
4.7(132 Apr. Oct Dnv-ion Corn'd- 

_ May Dec. Da Cons. 

5.7)183 Apr- Aag, Da Far Eastern 
Apr. Aug. Du Premier.— 
Dual rest Inc. 50p 


Rice 


(cyrlGrtllfEl 


Stock 


InSv" 


Apr. 

. - Du Capital £1 

SHIPBUILDERS, REPAIRERS {jas. JuljTEtendeefcLon. 


27 m 



XBl 7.ai20 


43] 45 


April {Edinteirga Ajn. TaJ 


\pr. 

Jan. 


NOT.tediuIav. Dt£l_ 
Jaly@eeuaiov.Ttt. 


SHIPPING 


Dec. 

May 

OcL 

Dec. 

Lion. 

May 


Ang.lBritftConi 50p- 
Dec. Ccnn>o«&ns.50pJ 
May FUhenJl— -Z- 
May Fumes WthyO , 

July HenHap ratmi M . I 

oct /acPbjy.DaiSJ 

July lna.WSees.Fnn4 
Uan. Jafyityle Slipping _ 
(June Oct Wan. Liners 20 p, 
— Mersey Pt Units 

July ttUord Docks EL 

Not. May Ocean Transport 
Mar. SepL P.ftO.DrfdlT- 
Apr. Oct Reardon Sm.5Dp 

Oct Da'A'SOp 

JulyjRttndaun (W.l — 


Apr. 

Jan. 


280 

323 

150 

269 

139 

36 

33. 

119 

200*1 

m 

76 

1258) 

95*1 

73 

35 

186 , 


IX? 

ltlli 

67T 


27? 

2 W 1 


tH.42 

5.81 

X53 

817 

5.00 

dl35 


337 

4.90 

610 


2.68 

825 

654 

fl-M 

tL64 

816 


58l Feb - Ang. fleet ft Gen__ 
4.7l zM 90 Nov. July Eng ft Internal! 

1 ^ -Oct Apnl Eng. ft MV-Tnut—j 
Sept Mar. Out ft Scot la v- 
Jao. Sept. Equity Coo»7 □ 
Sept Do. DefdSOp. 
May Dec. Ea 1 m 5 .-lnc.aip_ 
4JJ 4 61 80 Dec. Jane Estate Daties£l_ 
72 _ October F. ft C. EurotnuL 
X 5 8.8 May NOT.FamiNInv.Ttt— 
47 * Sept Apr. Rm Scot. Am.— 

54 a, Not. Apr- Foreign ftCoJ 

78 154 Jan. Jtuy F.U.GXTiR025) 
ilS5 (X9v ***7 Nov, Fuodinvesllnc. 

64 514 — Dc. Cap. 

M Oct Mar. G.T.J^n 

Not. Apr. Gw-ftCbnamd. 
X5i A lAug. Apr. Gea. CoasokUtt. . 
10 . 0 )i 43 l /Sept. Mar. Genera) Funds— 
10 4l (62l I — Da Cone, lOp 

'3 8.2 Oct Apr.Geo.Ijwettors_ 


I 2 J 


96 
U.4 
|052i 

slfe 


SHOES AND LEATHER 


___ Feb. AHebonellJpf— . 

Sept Feb. Booth ilnbiTi 

April Dec. Fontsnenrljm.— 
Oct Jane GanurScotblair 
December Headlni,Sbu5pJ 
Nov. May HlftonsJOp 

June Dec. K Shoes 

Apr. Oct Lambert Hth.*p_ 
Apr. OctlNevboldlt Burts 4 


jOrt. April OliverlGt'A’— 

wan. May Pfttard Grp. 

'Feb. Aug. Stead ft Sim 'A'_ 
Mar. Nov. Strong & Fisher. 

JuU Stytolboes 

51 JSept Apr. rurnerWftEIOpJ 

^ Sept K&yWsid White 

February [Weans 10 p- 


17*d 

62 

SB 

96 

37 

93 

63 

42 

49 

48 

52 

40 

56 

56 

28 

76 

25 


1551 LO 
3110 439 
27.2td3.89 
25 #30 
14.11 X23 

17.4 A90 
31 1227 

3.4 317 
272 X80 
133 1.87 
14X77 , 

161 tbL92 
133 t4.24 
22.8 172 
14 hi 16 
3.4 M3.96 
31 131 


80] 


4J| 

9 

*- 

3 -3 

m 

I 


891(781 


30 [Dec. Jnne Geo. Scottish-... 
* Jan. Sept Gen Sl'hidrtl^i 
*Mar. Aug- Cla?ovS(1lldn_J 
Apr. Nov. Glenderoniav— 

. - Da-B" 

June Feb. Glenmurraylnv 
Da'B'CW.., 

ug. SepL Globe lav 

e Hi H A~ JQ^ , Goveit Europe 

Z. 4 I 10 1 63 Mar. Sept Grange Ttutt— 
7j 4 6 MarJGt.NWnlnv- 
57 * march Greenfnarlnv— 

o n 4 Jan. June Gresham Inv 

c'-i fti Mar. Sept. Group investors,. 
11 3 5.4 Dec. July Guardian Inv.Dt—j 
ai. 50 July Dec. Hambm.. . 
ct nc Jan. June Hart roalnv.lOp 
nj 44 July Dee. HllliPhilip!— 
73 u 3 Apr. Oct Hum HMs. “A' 

ILS 5 I - Do “B“ 

4 jj a> June lctrfund( 5 )__ 

6.3 64 June DatD 

70 39 Dec. JunelndnstnaJftGen. 

80 7 A Sept Mar. InvenmT lnv 

0 . 1 a '^< 0 ^ MarJlnUnv.TjLJiyD 


SOUTH AFRICANS 


Apr. Sept AbecomBOait. 
Sept Mar. Anglo Am. In. R 1 
Fea Aug. AngiysIndSOe 
[May Nov. Edmaks lOc— _ 
ember GoW Fids. P.Zijc 
Dec. Grtnmi'A'SOc — 
Aug. HnletfsCjm-RL 
Dec. May OKBamaisSOc- 
'March Sept PrtxnwelOctx.-. , 
— Hex Traefora A'SH 
iDec, July SA.Btews.20c— 
May Nov. Tiger Oats R1 — 
[May Novjuaisec 


100 

535 

112 

48# 

67 

m 

112 

3COM 

70 

130 

£s- 

62 


_ Apr. lnv. in Sncces — 
uua NOT. Investor* Cfcp.— 
July tnvesnnLTa.Crp. 
May - JardineJapan 


[Dec. 


2721 

34 

M3 

XT 

7.4 

7? 

6J7 

Ql9c 

3.6 

.10 9 

UJ 

25 

5.0 

731 

d&* 

12 

7.1 

2111 

4Qw> 

06 

t 

3] 

1031c 

IA 


15i 


ft 

9.2 

133 

155 

ism 

Q28c 

QUc 

0.6 

48 

ft 

12.5 

RR 

13.3 

052r 

ft 

5.6 

34 

QllUac 

ft 

10 J 


68 1 - 


TEXTILES 


481 




63 


82 


6 | 

7.3 JJ] 
3.91 4 


TAPER, PRINTING 
ADVERTISING 








58 

f 17xd 




Feb. Seri 
Feb. Aug 
Dec. May) 
Feb. Aug 
Dec. Muyi 
DC*. May 
Jan. June 
Jnn- Sept 
March 
Jon. July 


Jan. 

July 

Feb. 

July 

Jan. 

Nor. 

May 

Apr. 

Feb. 

July 


Jul»i 

J.nn 

Aug. 

l'OT.I 


MayfWodr FotralOp.- 


Maj'l 

Nov 


jwjker Hrar 5p _ 
fwmorfordSp. 


OcLDVatsham's 


Aug 

Dec 


Mar. Sept 


May Nov 
May Oct 
Oct Apr. 
Feb. Aug. 
.Dec. 

Oct May 
Dee. June] 
Apr- CVt 
June Dec 
July Feb 
.May not 
J une IVc 
Juno Nov 
Apr- * Vi 
Novemheri 
Slav 

December 

November! 


(.'■urora bdatt's— 

V'sdlcv lOp 

I'nilerer. __ 
X'nvN.Vilia.., 
I : cd tamers lOp 
jUnitcd Gas lodt. 
V. Guarantee 5p_ 

Fnwbrome 

\ali>T 

Vucif ll>p 

Vmlcn Grp. 3Pp_ 
Ribbons I0p- 


iwauw 68 ) 

In'wdfiVMXXi 

(Fcstn Gcard lOp 
U'stmin LiTtf 
iu"ioek JIHKSL 

J flmanR.tip-l 
Ite Child ft- B 
iU-cnrfr 50p — 
tckyfiSftW 
!«-.,kv*J ' - • 

JWiliuis Mitchell 
[aitt'sr inchXl . 
Do iOprCM. 
WihiaflniJ.t.. 
W 1 llsu«f«W’ 
n.ivn Wallen I0p-j 
UiUmUtdaSOp — 
n'lttrrirnomnn. 
Wood ft Sona Sp, 
tt'wflArtlUiriSp 

IWowdllnll 

ZencraSp 


117 

17 4 4.8 
34 631 
9751 
132 

13J 257 

, 6 -° 
Ufe|5M0 0.7B 
— 3U) 1 .M 

3 j t;.r 

155 Q10 1 
9.5 (Q30i 
, 112 dS.O 
19i>23.11 [055 
- 1 574 
27.2 

2811100. 

34 ' 
776 

155 dl.26 
3J t5.16 
7IQSL92 
D5 3.19 
17t 

155 til. 5 

35 0.72 
1212 1812 

17.4 5.48 
677 d!7S 
17.4 1250 


6 I 6.71 t wan. July Bruoning Grp 
Ujlig 66 [Jan. Julyf Do BatrieVtg_| 

iBraulPulp 

3.7 5.1 69 Dec. JuneCapsealsfij 

X4 5 8 14.0 — CiastoiifSirJJ— 

18 53 7.7 Jon. Aug. Chapman BaLSDinJ 

19 67 7.9 Sept. May Ciar iHkhartD— 

1.0 108 14.6 June Nov. CoOert Dron lOp 
2.0108 69 — Culler Guard 

4.4 4.4123 April Delyn&p 

& 33 # Nor. July Dr 

16.7 L2 73 Sept Apr. Eattlano.Ppr. 

4.5 3.8 64 July Not. Eutsdywus 

2526 D .6 — Apr. Nov. Peny HeklOp.- 
0.1 t 16 Apr. OcLFhOnsHoldinR. 
33 7.2 6.0 Jan. June Geen Gross !0p- 
49 5.1 4.7 Dec. May Harrison ft Sods. 
XI 1X7 7.9 MOT. Sept. IPG lOCli 
16| 71 13.1 Apr. Sept 

48 45 Dec. Jnne L ftp. Poaer. 

9.9 4 July Feb. HcCarouod»le£i_, 
82 * Sept Melody Mill* — 
fan 9 May Nov. ttiUsft AilcoKtp 
5.7 9.2 July Dec. More OTtor.lOp 

4.9 9 FJ.SD. OgtivyftM-K-— 


JIB 


r 

id 

I! 


9 

119 


38 

49uf 

129 


£23: 

72 


184 


34233 SepL Apr.oGvesP.lBijaOp 
6 . 8 ] 4.9 Jan. Jnne Oxley, Prinl Gnu 
43/393 Jan- July SaatriuIDp-™ 
— Feb. Oct. Smith (Dndi 20 p. 
HI 8ti(67) Jan.. July Snmifi«JeHsB.l- 
Xffl 6.3 80 Jan. July Transparent Ppr 
36| 53( 63|Feb. Aug. Tridwd Group - 
Ian. Ju& lifter WaIko:i%J 
4.4f 3.9) 61(Jan. July WaceGnmp3)p. 
3 71 6_3 5.8 Feb. Aug Waddrogtonlli. 

30 — [Nov. May. Wfltmoughs— 

121 6.71103 Jan. SepLlWyamwaroaiSj)-] 


S 

35 

66 

54 

66 

64 


421 z 

U 

S 2 

73xe 

58 

18 

17 

USxd 

54 

6 B 

73 

317 

42 

62 

£27% 

73 

195 

272 

80 

165 

9ftri 

38 

55rt 

236 

81 

50 

50ss? 

45 

ZW 

B5m 

11 


.Ml 


31| 


133112-89, , 

17.4 3.83 
, UA 338 
28D 3.0 
ZSD 38 
1710 4.88 

24 }L90 

1274 - 
1212 3.98 

3.4 fa 253 

25 3X7 
677 L01 
275 - 
155 7.M 
34 33 
ID 5.08 , 

17.4 fh2J56 

132 b7.7 
,1411 K3.0 

25 4.20 
14.13 IQSLEO 
135 4.86 
25 9.70 
161 14.24 
59 29 

3.4 42.0 
155 3.40 , 

95 H)140r 

133 2.25 
155 848 

17.10 4.13 
301 tX42 

S & 

3 J 3J4 
155 3X7 
31 2.18 
3J F11.0 
155 3.S5 

1275 - 


2.1 

4.X 

10.51 

4> 

4.1 

L 8 

67 

34 

5-H 

ft 

k 

h 


661 72 
17.9 


ur 


68 | 


113 

53 

10.0 

10.9 

103) 

I 

4.71 

4.H 

53 

1XW 

10 X 

9.9) 

7.6* 

7.8 

6.9 


[Sept 3far. Allied Textile— 

Jan. Aug. Atkins Bros 

Dec. July BealesUJfflp— 
May Nov. BeckmanAlOp. 
June Dec. Blackwood Mart 
Apr. Sept BandSt-Fxij.l0p 
'Dec. July Bright (John)— 
— BrigrayGrpSp- 
May BritBitarinp... . 

Apr. Sept BriL Mohair- 

Feb. Aug. Emtaa-Lmaip- 
Jjm. July Calrd (Dundee). 
Dec. May Qflp«slnL50p_ 
May Not. Caxr'gtnViydE 
October Cawdawlmi— 
Dec. June CoBiiPatonK— . 

Oct May Corah 

Mar. Sept Cdurtmildu 
Mar. Sept Da 7% D»b 82.7 
July CbmrtherUj, — 

Feb. Sept Daawnlnti. 

Feb. Sept Da 'A' _ 

June Nov. Dixon (Darid) — , 
Nor. JalyEurfelCJftUIlfel 
Jan. July FotteriJota) — 
Apr. Not. Haggastfj 
Feb. Sept ffiddMrt 
7 “ July EriJ&oi5p_ 

££ Jen. Aug. Erframs 

Mar. Oct Hollas Grp 5p — 

Jnne Jan. Hondrap — 

Oct Mar. ffigworth Jt20pi 

Oct Mar. Da*A'20p 

[Jan. Aug. Ingram 1 RilOp„ 
Not. May JerooelHldgs.)- 
Jut July Leeds DyerC—. 
November tri eh Mills 
— LerexSp 
Apr. -Dec- Litter— 

Jan. July Uiesi&i 
May Dec. Markay H 

Apr. OcL Maddnoon 

Uan. July Martin tA.i20p— 


43 


72 


4.4 


93 


84 


45 




93 


5.7 


2.4 



7.9 


8.2 


66 


(601 


79 




73 


73 


Nov. Jnne UfllerlF JlOjL- 

Sept Apr. Mpntfon 

July Dec. Sotos. Manlg — 
Mar. Sept. Nora Jersey 21 ^. 

Mar. July Parkland 'A' 

July Pickles (W.i 4 Co. 
Jan. July) Da'A'NVlQp^ 


65 


75 


Apr. Sept|R^T.3gp. 

r Fashions 


12.9 

93 


23 


95 


Apr. 

'Aug. 

Mar. 

'May 

Mar. 

Dec. 


65 


July HadleyFas 
Dec. Bcedfffm.) 

Oct IXiww gp h Wlp -1 
Peb.Blchanislftj-J 

OctSiE.T.20p 1 

Mar. SeoaBohertKW- 


ms: 

Oct 


10 

157 

100 

42 

512 


25 95 5.6 
23 HO i«5> 
23. 7.8 82 
25 83 73 
10.7 


PROPERTY 


£243, lEllhMXffr. 


68 

5b 

20 

121 . a) 
44 
19 
IDS 
75 
27 xc 
12 
49 
221 

65 
22B 

66 
15 
43l a 

243 

83 

159 

40 

59 
<3 

173 

£95 

flftwl 

60 
68 
43 
47 
36 
35 


25)214 

31 $3.63 
132 0.18 
155 dO.JS 
2811 tl.91 
28U 0.95 
161 a54 
174 03 
2i hX10 
L5 d0.9 
25 Q130 
132 fMS 


291X7 3u, 7 Dee.jAB"d Iftpdra 10p 

ll fj liian. Sept 

fj 9 I 7 J Apr. Oct Apes. fteptWp. 
lie X4 87 M " r - OctAflBifcSeejft- 

34 SH 75 August Avenue erseMp 

IB tt t 58 - Bank t Com ]0P. 

* 74 4 S«Pt Mar. Bean moot Prop ■- 

50 22 131 Jan ‘ Apr EwrerltEriOp.. 
37 67 61^- JonelBellwwHIdgs.- 
3J 6 '2 58,.. - 
0.7 1X4 aw- Nov - 
ft 40 ft 

35 25(17-: 


12XdlriXl5 24) 5.0)125 


ami 16.80 3 « 451 


3W!td3J5| 23) 7 7 l 
974 


Inly 

Inn. 


171 tD15c 
25 405 
D 2 d4 .4 
1712 
677 
34 3.75 
31 IdOl 
30.1 1837 
14.13 


92 

57 


155 C7S 
1710 155, 
2511 T3 23 
IS 280 
272 3.14 
IS 0.66 
17.4 0.90 


Dec- BcatetoHiobro 
July Bite® iPerry.l — 
Dec- Aug BradfurdProp. - 
— BriLAszaalSp— 

British T awl 

Oct IhUSpeGreafflCJ 
Nov. Brixlon Estate-. 
July Cap: &Cnmttes- 
— Do. Warrants^ 
ii ^ Feb. AugOudiurCiwptoJ 

1° — CbmroSecs. 

22 1 7 j gi Pec. Ju nejtamrotih'rj BL- 

uikoj 


1 . 8 I 

« 


4.3 

x9 


1411 «J2' 
310 X26 


3 / 

271 

ft , 

1% 


8.7 62' 
4.0 ft 
7.2 fi 

9.8 551 
10.1 111 
25 621 

3.9 ft 
88 6 1 , 
31 183 


INSURANCE 

, Jiinc|HPMingiC T.u, 

Julv lErralnall Bi 10p - 


Nor. 

Peh 
Mar Scpi 
KB S D 
No*. May 
Jan. Jub 


June Per 

SMTOteuber 
Jan. Jul. 


Jan. 
July 
J-m 
*■»?! 
ill L 

Dec. 


Muy 
Dec 
Jul> 
Mar. 
Apr 
June I 


Jk-pl. Jmie] 
Not. MO> 
ia t Apr. 
Not. Jul' 
Nor. Ju"*' 
Mar. Auk. 
Oct. JU«‘ 
Drc. Jun*- 
Dec. May 
Dec. Ma> 
Nov. Sluy 
NOV. MM; 
Jaa. May! 
Feb. Ort 


n.-itaaoic 5p_. 
i'<nab'.Bed.4RSL-| 
li'oam I'iuod.— 
Va*l* Slar_ - 
WitlCB iir. 10 j> 
tusul-fill'clkr - 
.tfluitjftljwftp- 
|i A-3. Avridcftt. - 
[ijuanliM Royal . 
HambroLife.-^ 
liraiurK'ajp- 
Hn*xRijbinsKi- 
'HomJt’nt \ * 10 p. 
ILci^6U4u.5b.. 
IcsAintonlOp 

U'cdi’ulniiMSpJ 
'MB'lhewHr 2 ilp. 

SH<ruirarss< 2 lr. 

IVjriSp 

PhuTM--- -■ — 
; pnn iue.lt ‘ A“ -. 

. IV Tv' 

prctfccufll 5p — 
Refufcip.— 
Rcrau. — — — 

sedePnriH*W- 


ltWd 

40 

268 

£34»i 

146 

139 

23 

£ 12 lrf 


txt Ajir.iStitthoiiw 


164 
210 *d 
220 
330 
272xd 
lfiZ 
159 
156 
101 
Mb 
178 
177 
189 
57 
238 
230 uJ 
124 
124 
150 
142 
355 
390 
97 


XI H 195 


U, 


. — .1.28 
3.4) 9.18 
5)1051110, 
7.65 
613 
2966 


Oil 


H 

155 

374 

174 

165 

112 

133 

14 




6.69 
8.1D 
10.17 
200 
4 S3 
15.6 
7.0 


J7.0 
5.77 
d4.47 
16 4S 
4.21 
9.39 
333 
3.62 
12.59 
1035 
817 
817 
17.4 1. 65 

ll4 81 

3ft 1645 
13.3 939 
2734.05 


11 


2M 


111 




33 

23 


43 67 
4.E 93 
83 — 

3.9 — 

7.9 
68 

4.4 

a 

?! 

9.5 
2.7 ft 
4.710.: 
6 « 61 

IV* 


pr. Sept City Offices 
on. July Clarke MckoUn.. 

Control SecalOp 

“•>: ® Rgasm 

ebruary L 

ar. Sept DBejanflldBJL- 
Oftrescidatej IDp— j 
une Dec. twiincuffllOp- 
May £n*- Prop. »P— 
Sept DoSipCCov— . 
pril Oct Do-lScCur.-. 

July Ests-ftAgawy— 
tw. June Ests.ftGeu.20p 
pr. Nov. Est*. Prop. Inr— 
Aug. Enins Leeds — 
,pr. Dec. FttniewMaKip. 

Gilgale lOp 

pr, Dee. GUnfleld Secs— , 
Sept GLPonJjffldaJp- 
an. Apr. Green (R'lOp — 
an. July GroencoetSp 
June flamaersoB A 

Feb. JuJj ' -j 

Sept M»r. HSLana 

Mar. Sept Lmri Property — . 
Apr. Sept btaewroran 10p. 
Aiicust Jcnujii — 
uly OeLjUmd laresU 

^ i?g:|SS§SS^ 


^iSSSbz 


3.6 9. 

I? 

9.6 
801 
tJ 

106 
W .0 
6 ] 

86 
7.0 

Sx 


ih. 

June LwftwShplOp, 
Dec. Lco.Stopftt 
'Apr. Sept LvatffltHdd 
Dec. June JffiPt 



r. Oct HeEaySecj. 
pr, Nov. HMhnntWLi^M 

£“S6S32S2to 

Oct-Nohun 


IStwjPBSdajf- 


m hi « 


d3.86 j 21) 2.91 


272 35 
113 0.68 
677 15 
11073 
lli M3 51 
3 A tdd.O 
2811 12.87 
1411 Xfa 5 
1710 (553 
2811 1630 
1273 
374 
3.4 Q1296 
310 1.91 
28 JJ X7 


84] 5.1]: 


Jan. SrtenbtlOp— 

, Ang SJueCirpettWtiJ 
(June Dec. aHohSphm«s- 
Mar. Sept Suffaw Trerts 50p- 

May Sirdar- 

May Small iUdmas. 
Au£. Sa.VlseosaLlSOO_| 
Aug. Da ftit. L12D0— 

t . Oct Spencer tGeax— 

. Nov. Stoddard ‘A’— 
July StnnriRjfejDrd-l 
May TeroGnnsalate- 
Mar. SepL TertriJrsy.lOp. 

Febmaiy Ibmkiiwnnv 

Feb. July room] 


Apr. 

Apr. 


I|25.7 


rnrayYSO 

April Oct Trafinrd Carpets 

Jan. July Triwflle lto 

Mar. Sept Vita-TexZQp 

[ July Forts fine w.Sflp. 
I Oct MartFocgiml 


54 


20 

14 

47 

63 

44 

40 

96nl 

46 

56 

127x0 

40 

76 

14 

of 9 

92 

50 


43 

24«d 

56 

43 

28 

29 

23 

94 

73 

29 

if 2 

45 

30 

33 
52 
23 
52 
52 
SI 
28 
Sfes? 

41 

42 

34 


112 d649 
1212 334 
1411 238 
3.4 g4.90 
254 $0.82 
31 2.6 
I14D 246 
874 - 
T76. 

14 872 
2U13J3 
675 
1411 165 
272 210 




MD ^ 

, 133 LBS 
2811 7, 

14 H 
235 0— 

1710 L98 
155 25 
272 h0.67 
, 272 1648 
235 0.75 
;12J2 879 
301 t419 
. 31 d3J2 
1232 L34 
13232 134 
31 d2.81 
37.4 355 
,1212 hl51 
310}dl55 

, TO 

1232 0 J. 
28.U 45 
34 (133 
301 L65 
155 870 
25 146 
34 3.49 
155 324 
31 105 , 
1232 td 7KR 
15 059 
25 059 
133 14.69 
732 td3.94, 
2813 t4.D8 
2U 289 
355 tL03 , 
30 J 1dl65] 
2EJ1 274 
2811 tX12 
161 ifl.38 
25 164 
301 602 
341x232 
1X3 20 


in 
in 

14 246 
3X2 tU2 
363 tLOl 
25155 
133 KlO 
2212 875 
25 272 

■iff 

153x153 
1123-25 
13X82 
ion 255 


Jersey ExLPf.lp 
or. June Jersey Gen. £1 — 
May Oct Jos Holdings— .. 
it 7 May Nw. Jm-elav.lac.lllp 

□j — Do.Cap.2p 

a? July Frf>. Keyawielm.Sllp- 
* Apr. OcL fficgsidelm- 
20J Not. Jon. Lake View lnv. _ 
25 March Laac.ftLan.icr. 
ft Apr. Oet Law Debenture.. 

- LarardSUgBes. 
Feb.jLedalnr. .. 

Da Cap.5p.__ 

January LeValteoalnv. , 
‘ Sept Draft Abdn PfdSpf 
Juhr Lao. Allan tic 
Mar. SejA Un-AusLInvSAl 
351 65( 63 Octaber Lan.ftGart.50p_, 
27 95 60 Nov. Jnly LaflaftHolyrodd-J 
ft 68 ft lu ? e Jon. LotLiUmnox— 
1410 8 75 Feb. OctLan.ftIiv. 10 p_ 
18 i CMJi Apr- Oct Lon-ft Lomond _ 
29 Hi 45 M»r- Not- Loa&Momnae 

X 7 H 9 80 Nov. June Lcaftfrov. 

* 54 Dee. July Lon. ProdentW. 

II May Dec. LoaftSckda- 

3.71 2 d 47 3 n ne Dec- Lon.TsLMd 

ft 92 ft J QDe Dec. Lowland lnv — 
III Sept. Mar. It L G Dial Inc. lOp] 

31 84 (ftffl Jnly" 7 Jan. rSteriS.15 
ti 126 55 - Do.Cap.4p — 

q 33 67 l.fl Jan. June McaftLca.50p, 
'37 78 47 Mar - Sep, Ifeidnunlar— 
IqLZ 92 OUt Apr- Sep. tfercawilelnr- 
3 m eUi - Sept May MerehaaisTat- 
_ 22 _ Feb. July Hrata Invert „ 

89 3.8 45 ** “S^Sl 00 „ Wp 

8.9 3.5 4.4 - Do WnfeO— 

-- — MooSoyaffl- 

ram. Sep. Momwlelnr. 

* Aug. Mar. MoonJdeJSuS- 
Ifli 74 March NegitSA.SGSl- 
13(115 97 AprJlyDcL NewTbxw.Iac- 
98 * — Do.CUp.tI 

75 54 ~ DaNewWntx- 

XfcllXl (7 Si April N'.Y.&Gartmare. 

nftj 76 Ang Dec. lBBbvea 

63 69 May Dec. Nth. Atlantic Sec 
63 67 June Dec. Ntim. American. 

^ 1 July Northen tab. 

an. Ang Oil ft Assoc, lev.. 

une Nov-Ootwichlnv 

AugFentlmdlnv— , 

_ Aug Prog. So. lnv. 5Pp 

Q 3 Mar. Sept pronncJal Odes 

TT 5 93 Aug. Feb. Raetem) 

n 7 155 Feb. Sept. ReabrooklDr.— . 
62 52 Apr. Oct Rigb& ft Iss. Cap 
It Y OcL Mar. River & Merc. _ 
43 I Sept Mar. River Plate Det 
9 4 70 Apr- Nov. BoberoiBr.iFBO 
39 69 Apr. Nov. DaSahShsPB 
l"2 or - MinwNVjm 
55 37 — Da SohSh's FS4 

74 V Aug Mar. BonnuyTnttt— . 
ipa J, Apr. Nov. BoaetDinondlnc 

120 4 J Sep.^Dec, Bttb&InH^, 
70 85 £,ce ' Jane SalognaitUnd^. 
102 3 9 C,ct - April SL Andrew Tst_ 
79 7 ? July Mar.SMLAa.Inv.50pI) 
43 J December [SeotiConL Inr _ 




Zli 


PX- 8 j 


28 


XBl 

4.0j| 

5.01 

°-9fi 

Je.gji 

JJ 

■15 

62 

22 

02 

*1 


13-4 

83 

3.7 

7.9 


M Apr. 
Dec. 


6 Of 23.0 1 November 


1X4 ft I Apr. Oct, 
, — l Hr.Jn.SD. 
1(23.4] October 
15.4 


, May Dec 
6 5)215 June Nov, 

l|20.7 Nov. Julv 
. — Julv Dec 
1)40.6 Nov. May 

1(245 “ arChOCL| 

m Ap?fi 


5.4- 


5.0; 


IJIajedieraw!Bp_| 
fjSrtin i8P.'5p. 
Ma&Mrt 6 K'hv 
NMClnra uy^p , 
Nippon Fd. St E.lilp| 
ParambelDp.— . 
iPwk Flawiiiv_ 
PearsHirSiftSoti-J 
Preubis. Prttso- 

Sl George 10p 

Scot, ft Meir. 'A'. 
S.E £4Vpc Acn_ 

Smith Bros. — 

Srtn Far. BKSOc 
SnerFiaNFlOO. 
Tran*. JtttTtt. Ip 


— J — _ I — J ='.1^11 Apr. Ang.mtta Sri eft 20 p. 


19.81 Mar. OctJVert of England. 


1 K 105 m* Apn Au «^' u,ec:,ttaJOp ~- 


( Lari [ Div 
Price 1 «* 1 Set 


73 

49 

£1Q7 b 

16 

315 

13 

Z7 

210 

£57S* 

10 i z 

101 

£50 

57 

£$* 

53 • 

68 


lUl 0 bfl 

ltilsLUl 

2T1E 13 


674 

Diltl.O 
631 
165 09.4% 
25 0.48 
28 D 3.02 
17.4 Q4^5 
27 2 [4.91 




3 -m 


132 . . 

13J t!38 
DJ 139 


rw!S»|piE| 


jJ 


24) 14)42.6 


11 


0.7 


2-11 


1 .U 


6 ’ 

123|173| 


5.6 60 
4? 69 
5J — 
e.9 ft , 
4 5 19.6 
8.5 — , 
13 J 60 
- 4.1 1 
6.0 - 
4 


faie:r Xiong! 'ecn-.:m aitf 
. w.-i c.-f C5-...»-q 


The Nomura Securities Co., Ltd. 


- N0MUR4 EUROPE N.V. LONDON OFFICE: 
Barber SuKvoni Halt. Mon* «vril Square, London K'aD, 
London ECri*, BL Phone: iQli 606 3J11. 6?53 


X2(l2.3 10.7 1 


39103) 
3J 85] 


OILS 


MINES — Continued 


4255 


! January 
24.6 May Dec, 
25 9 Not. May] 
37;| Jan. July' 

ft Feb. Aug 


iS3’ 


17.4 4.0 
155 335 
28 1.7 

- .132 24 , 
92>2 14JJ fl -66 | 
87 1 — 

17.4 17 


*?2 


22.8 u43 
677 LB 
JSJ 21 
30J 3.87 
38.1 145 

, 155 2.70 
Mil 3.75 
KDltM). 
SJO 7.4 
272 t3.71 


253 j pec. Jane 
8X7 

iff JB * 

443 
<1 

27.3 1 December, 
28.6) — 

16.8 Feb. Angl 

24.7 
173 

ft I May 
435* 

22.7 
303 

115 ° CL _ Apr - 
152 Nov. May] 
- g [Feb. Aug 

23.4 (Apr- OcL 
213 |D«. July, 

Jul> 


[Attock20p, 

Brit Borneo JOp. 
HriLPetroTm.il 
Do 8 % PL El — 

BunnahEl 

Do 8>2 Ln51 06 - 
(WCPNihSMEI J 
lOuniryJOp — 
Chanertall 5p 
ICiefi-.ParalKBj 
mCUiffOtlU — .' 
fttCbde Petrol £1 
J Endeavour 50e.„ 
ECA 


— JtASMO. 


5.6 ft , 

19 1W9| 
3 8 35.6 1 

2.7 445 


fWSMO 14^1981-83 
LASMO-OpTBp. 
Masori Iftnate »tJ 
OilExpllOp— _| 
Premier Coot 5p| 
Ranger Oil.—™ 
Reynolds Div.lc. 
toL Dutch FL20. 
ScepueRei. — _ 
Shell Trans. Keg. 

urj ; 5>£l. 

*V%Cnv. 

TO! 

ar - 

Cnr.£l._ 

{VieduNM.lOctn. 

' Po m urt. t 0 c_ 
A'oodndcASfc.. 


76 

158d 


70 

72 

£ 6 H; 

875 

57 

24 

£214* 

400 

132 

ff 

162 

run 

366 

22 

240 

16 

£23 ft 
1U 
£4Sk«jaf 
620 
553 
61 
437 
£60 
ISO ul 
279 
157 
175 
175 
74 


1171 - 


1X5 

3.4 

1212 

1074 

31 


3.12, 


2012 ) 




37.4) 


15-5) 


sa 


6.74 

2230 


66 % 


Q 8 W 


1243 


Q14JJr. 


0.1 


Q14%j 


2.11 


Q53JSVI 


15.7 , 
499iJ 


w- 


7% 


QlMrc 


13) 65] 


4 - : , 
sn.4 


35) 


6 ^ 


3 01 




lira 


5.8) 


'2451 


3 8 

HI 


e!5 4, 


6 J 1 


Bli 


0 n 


el4ftf 


131 


5.91 


4 j| 
12.4 


6.4, 


5.2 


155 


9.5 

— J Sot. 


PiridendE 

Paid 


CENTRAL AFRICAN 

I Las) Div 


Suck 


Price 


Net 


May 
May 


4.5 

61.7 

95 


Dec. 
1 Jan. 
Nov. 


IFaJcon RhoOr 

RhiwJ'nCorp IPip 
Roan Cons K4 . .. 
JiilF[Tniiean>'ik33(>p - . 

Dp PTe:'. 80? 

WanbeGcl JUil.. 
7jm fpr.SHnftSi. 


July 

May 


175 

15 
75 

175 

85 

35 

16 


3ijQ50c 

17.4)056 

17 10) QUO 
1212 


212 Q9°» 


jra 

CrriGri 


“rl 


124.4 

5.7 


63 

55 

18.3 


61 


ft 


AUSTRALIAN 


_ j Nov. Apr. 


” l Oct May 


34 0 1 — 


_1 | September 


_ ] Dec. Apr. 


731 


5.7 


IJutte Nov 


_ | June Not.; 


164 

93 


Aor. ' Oct 
Oct- May 1 


AnnnSS? 

nBiisainnlleSOTcea 

BH Smith Me 

rnanncRittmloSUc 
[G3t KalyoorlieSl . 
Hampin Areas ip _ 

Metals Ex. SOc 

MJJAHldj;* 50c. 
MminUjdlCSc — 

Nea-metnMOe. 

North B. Hi I15&C 

Nth. Knlgurii 

JOaktndceiAl — 

[Tacific Copper 

iPancom lSc . . , 
Panncx M 4 Ev 5 p 

Peio-tthllseGdSOf. 
Wean. UuunG 50 c . 
RTjun Creek a)c 


15 

132 

101 

244 

55 

134 

40 

215 

32 

5 

116 wf 

14> : 

152 

47 

£1344 

29 

495 

130 

65 


2420 48c 
T74I 


Dd Q9c 


15S 


7.ai 


QlOc 


L45 


q& 


KJllc 


Qlfc 

?<J 6 c 


2.4) 3 8 


2 2 


4.11 


1.7! 


151 


2.9) 


2 .a 


16 


26 


43 


4.5 


1.9 


TINS 


1.0) 3.9^97 


OVERSEAS TRADERS 


June 


5.7 213 
4.4 243 

4.4 3X0 (Xpr. Oct 
MWJu, July 
2- ®-3 Jan. July, 
43 169 Nov. June) 
4.1 37A July Dec. 

5.4 ft June 
6 3 ft Aug Dec.l 

2.4 60.1 Apr. Sept 


rjilsl 


600 , , 
4ff>|3Ud 


- tort 


133 2.62 
Z72Q43 
133 2.90 , 
155 1X65 
14.1] 67 
34 035 
22 tQ47c 
474 _ 
155 Q13D 
133 th2.05 
UA 350 


13 

L 6 — May 
55 253 Apr. 
55 243 Dec. 
2320.4 Apr. 
35 40.6 
3-2 43.6 
5.0 4 
L 0 Dl 
4.7 203 


Apr. 

Jan-| 

NovJ 


.4£rkan Lakes. — 
AnsLAgricSOc- 
,BeisSortttS.kW.l.l 
jBanhBtrt UIu&l 9Bp 
[Bonstcad Glhii — 
Finlay (Jns}50p- 

jGlll ft Duffus 

[GLMJulDO— 

H'ris'ns.Cna.a 

HtfinonglSi 

ImrbcflpeEJ 

packs Wm. 

UamaicaSagar— 

'Lffluto - 

Mitchell CoUs.— 
Nigerian Bee 


JuIytGceanWIsns.aOp 


Dec.lftsteaZoch. I 0 pJ 


DecJDa 'A'NtVlDp-. 


SepL 


Nov. 


|SaagutJ£.M0p 
Sena Sugar 50p_ 
ASime Darby lOpj 


5^ * 


July{&eel Brox. Mp _ 


Jund 

Oct] 

Apr; 

Sept 


Titter Kens. 20 p . 
Da 8 pc Cm-. 7u . 
U. City Mere. lOp. 
Da Ufac Ul ]0p 


325 


129 

54 

36d 

340 

265 

£64 

475 


423 

28 

15 

68 

4212 

250 

94 

178 

177 

30 

5h 

139 
412 
55 
£91 
62 , 
62 


133 4.4 
3JQ35C 
13-2 154.13 
1232 6 2 


. 155 1-50 
3130 E6.54 

25 8.71 , 

26 Q 12 %j 
3UQ H2LBa 

132 426 
132 05.0 
1232 2066 
Tib - 

132 655 

37.4 3.4 

133 1 32 
2811 ta2.29 

V #7-7 

3.4 {7.7 
U 14.43 
674 B- 

17.4 1Q3.5 
25 13.0 
25 330 

135 f92 
3.4 th0.7Sl 
273 £3.4 


19.0) 2.0| 


XlllS.4, 


33 

64 

lfj 

110 

3X2] 


3.7 

6.U 

66 


, z - 6 

'374 

A 

ts 

224 

105 

60 

103 

45 


Nov. 
Apr. 
1 Apr. 
Jan. 
Feb. 


Apr 

OcL 

Oct 

July] 


June Dec. 


May Nor. 


Aaial. Nigeria 

Ayer lliiam S 1 U. 

iBeraliTin 

. [Beijubial SMI — 

OcuCeevor 

Gold ft Base I3jp_ 

GopeoKCons 

HongbroR 
IdriiiOp 


Jan. July' 
April 


051 

15.91 

7.9 

31 

3.0 

5.4 


Mar. SepL 
Jane. Jan.| 
Mar. OcL 
February 
Jan. July 
June Jan. 


May 


23)l9.1 Apr. OcL; 


JantarUiji 

Xansuitinj: nSI50. 

Rillinghall 

MiIaytiredgkagSMl.. 
l&Pahnna 


Pengkalen 10 p 

Priding SMI 

SmntPiran 

South Croftj- lOp — . 

g (s«i»hCinuSM05fl 
lay an Skil- 
led SlU— 
•Coxp. SSD 
15p 


J Sept. MarttrogkaitHrir.SMl 


iTrunahSMl 


26 

360 

57 

290 

142 

IB 

290 

165 

SB 

11 

68 

480 

400 

66 

62 

230 

54 

57 

205 

305 

208 

75 

92 

ICO 

220 


I3?]t2 51 


13.3 


843-75 


31, 

M 

lira 

17 4| 
1167] 
174 
4 67 


■a 

vi 

123d 

il 

3 3 


51 

■ss 


SJS'AJ; 


iQHOc 

h-5.51 


15.0 


12.0 


ZQ155c 

0125 

1Q93c 

w 

M33 

IQ77A 


34Jt03X3rf 


ZOlOc 

QritPi 

ZQSSc 


0.9) 


x4 


0.7) 

ft_ 

OBI 

10 s 

1 


146 


il0.4 


48 


7.9 


2X8 


4.9 

26.0 

5.1 
t 

15.9 

13 

56 

210 

82 

9.2 


2.9 

[10.7 

122 

8.6 


7.01 

ft 


7.6 1 June Dcc.|MessiiuR05O. 


COPPER 


99 1 1232) tQ 30c [ L9| ft 


RUBBERS AND SISAI^ 


MISCELLANEOUS 


6420.91 


; 123 nr 


DMdeadi 

Paid 


2SdL5 
, 133 233 
3110 3.0 , 

i®* 

, 19.9 3.60 
31IQ 25 
33 10.42, 
273 2.4 
132 t5.25 
. 19.9 140 
12811 285 

11431 82? 

£& 


7-4 ft 


August 

SepL 


— H _ | — | — [Bind (Africa)— . 


June 


Not. 

June) 

JDeci 


8.0 ft 
4.8 20.4 
0.81180 

52 ft 

53 ft 
26 425 

5.3 27J 

4.4 335 

5.0 ft 

6.1 ft 
50 3l5 

6.4 215 iN'OTamber 
"ay Nov. 


[Cons. Plants] 


XC 93 165 


- I ---- Match 


33 


as) 19.9 1 


Stack 


Price 


IT 


mv 

Net 


n& 
Or Gris 


(Aug. Ffeb. 

, Novemberl 
Jan. 


(Guthrie £1. 


Unison Hy. £9. lift 


JulyjttKnJiniM50c 

Ldn. Sumatra Up. 


Mnar River 10p_ 


90 

25.7 

254 

7.4 

90 

271 

35 

15 

16 

764 


50^2 

25 

1.7 

1.0 

245 

773 

s?.B 

10 

82 

,3.( 

7.75 

12 

>'T 

J6 

bUi.O 

OW 

L 2 

ft 

305 

31 

110.15 

Lfl 

93 

133 

ftt4.0 


204 

J 1 



66 

H2 


13 

48 

145 

U -12 

♦140 

h 

94d 

51 

153 

3J0 

Q 20 c 

h0.43 

t. 

73 

77 

153 

RIB 

hl5 

2.0 


4J 

5.9 


Not. Jul; 
October 


Bnrraa Mines ITijp 

16 

575) — 

. 

C<rar-. Mnrcb 10c 

240 

12 Q30c 

26 

NonheneCSl 

350 

305 - 


RTi„ 

Z 22 

25 9.5 

21 

Sabina lads CS1— 

40 



raraExptn.51 

£ 101 - 




TehidvSiiEcraUlOp- 

45 

25 133 

ft 

luknnCons.C31— 

165 

15.9) Q7c 

29) 


75 


20 


53 

17 

53 

12.1 

83 

5.0 
65 
43 

4.1 
53 
4.6, 
4.6 
13 
45 , 
3.0' 


NOTES 


Uuleas otherwise lodlcsted. price* and net dlridendo are la 
peace and den and nations ere Up. Eartaiatod priee/earntuaB 
nUlai and envera are based on latent cnnnaJ report* and account* 
and. where possible, are updated on hatf-yenrly Hgarea. P®i are 
ealcntaud on the baste or net dlotrihottois: bracketed fltfnie* 
Indicate M per cent, or more dlrtnesce M calculated on * 1111 " 
dittri bation. Caver* are based on ■‘tmuionm" dtetrlbotteo. 
Ylelda are baoed on middle price*, arr grnao. ad| noted to ACT at 
M per cent and allow for value of declared dtinrl battens and 
Hgbt*. Seeurtrtea wtih deoocri n ot tons ether Hum oterUug ara 
qooted Inclusive of the la vestment dollar premium 


1431 0.98 
272185 
133 125 
. 3.4 26 
47*2 1232 16 
3.4 038 


70 


6.6 
6-5 2 
50 24 9 1 
5.6 26.4 


i=y 


TEAS 

India and Bangladesh 


22)5 


19 


m -j - - 1 - 


Deeember 

0 ® 

• November 
ay Not.] 


12.6 


g Donustl- 
FrontierEL. 

Icvs.£J 

f Plants 1 0 p_ 

JoUlEI 

LongbooraeEl 

Mrlcod Rossetti _ 
Moran fl 




377 0.40 
155 875 
17A 2.7 
95^2 2331 235 
102 |2831 13.05 
1232 tl.98 
3130 153 
405 
280 
11351 
3.70 ; 

&“ 

au 

6.25 


Li 


117 

27i 

73 

1217 

25 

30J 

222 

JOJ 

39 

16.1 

28 

3.4 

it* 

272 

239 

212 

£60 

29J 

W7 

295 


0175 

452 

10*75 


10 


1.6 U(i 

45 30.71 

4.6 323 1 
45 23.91 
5.2 28.4 


pr. July 
September 


Junefelnitio Bldgs. Vjp - 


■Warren Plan ta 

Williamson £1 


208 

303 

128 

261* 

303 

315 

235 

385 

»: 

221 

169 


3110 4951 
132hl625l 
228 7.0 
1730 4198, 
1431 ♦12.00) 


173C 035 
25 15.08, 
2833 ftFLW 
133 P13.0 
22fl 9.0 


5.9 6.9 

4.9 8.1 
3.7 9.0 
16113 
35 6.0 


MauBSaS « 


27 8 7 
4.9 5l 9 
3211.3 
3i &9 
4.7 83 


92 I.ll 


ipr. SepL[Lunuva£L 


Sri Lanka 

1 185 


| 13J| 55 ) 15| 4.5 


t 


53 2 

6.0 , r 
82167 
4.6 293 
43 3311 


Africa 

Nov.|Blantyre£l 


OcL Etuo Estates ._ 


520 

170 


17.4)50.0 

272)13.0 


ft 14.6 
ft 115 


7518.6 
6.8 20.6 
5.2183 
53 18 


■11 45(3X1 1 


MINES 

CENTRAL RAND 


L0U.ai2.9l 


| Mar. 




Dec. Scot dries 'A'— 

OcL ScoLSaxtlnr 

_ July Scot European- 

13)10^111 ? uly Jan. ScottidilBi 
9 710 7 June Dec. Scot. Mart k Tsi 

ej 45 June Dec. Scot NatiouaJ— 

xSltLB 8.6 5 ,a , 7 D«- ScoLNmhern — 

_ July Dec. ScoL Ontario 

_ , __ Aug Mar. Scot Utd. lnv. 

8.7 8 l7 Apr. Ang ScoLWesraro-_ 
67 5 7 — _ Scot. Westn. Ti — 

A7 li Apr- OcL SetABteneeTa_] 
4 8 45 J fln - Sept Sec. Great Nlhc. . 

,A 6 B 7 - Do-'B 1 ’ 

10 9155 D<*- June Securities T.&. 
7 o 7 o June Setetffirtbv SFS5 
2J2 468 A .P r - Sept Shires Ipv.SOp— 
112 75 i'uvember SiieweD ]|^) 

02 k a Dec. Juno Sphere lnv— 

1 XD[ Dec. June SHJTInqlOp — 


2831 558 
23 35 
V2 4.15 

132 25 
1730 L2 

133 8.0 
, 133 4.05 

36ia 3130 15 
96 11232 t256 
23 330 
153 t3.45 
25 336 
153 4.10 , 
132 h!60 
272 220 


ioai s 

139 

95m 

134*1 

7Ul 2 

Bfilj 

283 


4.6 27.7 

7.7 1B.B 

5.4 27 2 

4.4 332 
25 45.4 
7.6188 
45 314 
64 ft 
4.1355 
45 335 

. 3.8 36.0 
X0] 5.4 281 
45 ft 

3.4 43.91 
35 44.2 


— [Durban Deep HI— . 

tag Feb. East Rand Pip. JU. 
tug Feb. Randfotu'n E*L R2 . 
tug. FebJ West Rand fit. 




EASTERN RAND 


. 132 15.67 
■W* MJ2 fl.79 f 
78 1 — - — 

153 610 
221 Q25c 
7X2 3.46 


ilSof 




65 

34 

1025c 

LSI 

-ebruary 


26 

31 

IQao 

12 

— 


356 




ug. Feb. 

Gnwtvlei30c 

97 

3] 

yi9c 

ii 

lay NOT- 

KnrossRl 

348 

3.i 

1Q34c 

1«3c 

xa 

CL Mot 
uig. Feb 


40l z 

JJ 

12 


. 95h 

3J 

Q46c 

u 

— 


48*2 

6'76 




u& Feb. 

f ■■ Sa’i'lrt 1 ‘ 1 1 * 

50 


Q25c 

04 

ay Not. 

Iv/n T'TTfliTipB 

631 

\a 

IQBfic 

X7 



42 

ff?5 




Sterling denominated securities which include investment 
dollar premium. 

“Tbp’ St oct 

Highs and lows marked thus have beep adjusted to allow- 
lor rights Issues tor casta. 

Interim since increased or resumed, 
t Interim since reduced, passed or deterred. * 
it Tax-free to non-residents on application, 
ft Figures or report awidUrd- 
tt Unlisted security. 
fi Price at tune of suapenaion. 

Indi c ated dividend after pending scrip and/or right! teanac 
cover relates to previous dividend or lore raw. 

Free ot Stamp Duty. 

Merger bid or reorganisation in progress. . 

Not comparable. 

Same interim: reduced final and/or reduced earning* 
iudicoiod. 

Forecast dividend; cover on earnings updated by latest 
interim statement 

Cover allows (or conversion of shares not now ranking for 
dividends or ranking onjj- for restricted dividend. 

X Cover does not allow tor staares which may also rank for 
dividend at a future date. No P/E ratio usually provided. 
V Excluding a final dividend declaration. 

* Regional price. 

II No par value 

n Tta\ tree, b Figures based on prospectus or other official 
estimate, e Cents, d Dividend rale paid or payable on part 
of capital: cover bused on dividend on Jull cnpiinl- 
r Redemption yield, f FTa yield, g Assumed dividend and 
yield b Assumed dividend and yield after scrip issue. 

J Payment from capital sources, k Kenya, m Interim higher 
time previous total, a Rights issue pending q Earn nig * 
based on preliminary figures. r Australian currency, 
s Dividend and yield exclude a special payment. [ Indicated 
dividend: cover relates to previous dividend. P>E ratio based 
on latest annual earnings, u Forecast dividend: cover baaed 
on previous rev's earnings, v Tax free up to 30p in the t 
w Yield allows for currency clause, j Dividend and yield 
, _ , based on merger terns, a Dividend and yield include a 
« | special payment: Cover does not apply to special payment 
A Net dividend and yield. B Preference dividend passed or 
deferred. C Canadian. D Corerand PIE ratio e» dude profits 
of I'X aerospace subsidiaries. E Issue price. F Dividend 
and jield based on procpectus or other official estimate* for 
1977-78. G Assumed dividend and yield after pending scrip 
and, or rights issue. H Dividend and yield based cm- 
prospectus or other official estimates for 19TB- 77. K Figures 
based on prospectus or other official estimates for I97R. 
M Dividend and yield based on pr osp ectus or other official 
estimates lor 18 . B. N Dividend and yield based on prospectus 
or Other official estimales for J979. P Dividend and yield 
bated on prospectus or other official estimates for 1977. 

Q Gross. T Figures assumed. V No significant Corporation 
Tu payabte Z Dividend total to date, ft Yield based on 


, 42 
(U.7 

55 

4.4 


. - I assumption Treasury Bill Rale stays unchanged until maturity 
83. | of stoct 


310 


i)13J 
73 
3.9 57.9] 
53 284 
43 92 


TOBACCOS 


Hi 


Apr. SepL fBA Finds. 

— Da Defy. 

Job. June pnnMU fAJ Mp_ 
Not. Mar. Imperial 


i Jan. Sept HotfcaiBnsEljp-, 
Jan. JulypcmsjtaEilift-] 


338 


350 

79 

55 

61 


U2J 23.01 


1232 +7.92 
23.2 5.66 

^gf 4 


6S. 


.3.4 


SHJTCSp-10p_ 
an. Aug Stanhope Gon_— 

Aug. Apr. SterlingTa 

Jane Jon. SuxfcbcaleslBv.- 
September Tedtaslopy— _ 
Mar. Oct Temple Bar— 
April Nov. ThniaGrowilt— , 

' - DaCap.a 

5 h Mar. Aug. ThrogniHton 

gj May Nov. (j)a_^fc Loan _ 


3130) 33 
155 1939 I 


5-J * 

4.7 ft t 
9.9i 28.0) 


Abbrevlaliiaur: riex dividend; ts ex scrip iasne, r ex rightr; set 
all: >* ex capita] distribution. 


FAR WEST RAND 


14 


43 265 
4830.0 
3.9 453 
_ 7 595 
7.7 183 


T3.4I SJI 58 „ “ 


0.9|12.7[12.7U 


15 


liios 


^95jJ58| February | 


1.9) 1.8)455 


TRUSTS, FINANCE, LAND 

Investment Trusts 


2.7 332 
4.9)20.6 
42|19.7, 


L 


iS" 

4.2 ft 
8.01X8 
7.4C33J 
tt.4 
03 J 
X4 558' 
75 . 
L7 252 
17 37.8 
7.0 lb5i 


Dee. June UraJeenlnTs.- 
Dec. June Aberden'ftuaL. 
Jaa. Sept Ailsa lnv — 

Dec. July Alliance tor. 

Oct Mas Alliance Trail— . 
Not. July AKifond lac. 50p. 
Not. July Do Capua! SOp. 
Dec. July Ambrose lnr. Inc. J 

- Do. Cop 

OcL Blay American Trasl. 


4.8 19 8 
2.0 39.7 
53 105 


1.4 615 
42 im 
19 M 
33 ft 
B8BS3 
05 

7.0 202 
25 5X2 

3.4 2B8 
D.7 
f45 

is m 

32 158 

Offi 7.4 00.4- 
25| 33 195 
1-9) XI 392, 
372 


MS 12)315! 


li 1^291 
Sfl 65472S 
ij|- 


AmencanTrt.'B' 
Ang. Mar. fcigto Am. Secs _ 

SepL Apr. Anglo-InLDir 

— Do AsMShi— 
June Dec. AnglfrSeot. Inr— 
Aug. Feb. Archimedes Inc.. 

Do.Cap.S0p— 

Dee. Jnne Arto lnv. (SUj_ 
[Aug. Mar. Asfcdcwn lnv. — 
January AlteniaBalLlOp 
November Atlantic Assets „ 

Dee. June AUoEhw 

October toLSIaUSOpi. 
Not. Jnly Bankers’ lnv— — 
December BenyTVnsi 

Bsbop^Bt« Prap-J 
Not. June BittwpBsnteltt. 
May Dec. Bwta-tS±n.5to 
June Brazil FnndCral 
Job. July Bmhlav.CzSI- 

Braaarftt 

Jan. Aug. Bridgewater lOp 

Apr. Sept SsLAnLiGea- 

Ap Jy O Jaa British Assets— 
Mar Not. irriEmSecsto 
Feb. Aug. Bj±Llnd.*Ce=_ 
Dec. June BnLfarett— 
Oct. Apr. EroodsteetJDpi 
Dec. June Bnumcrlnv— 

December EsjwrtSBp 

June Dee. OLRPiOT—_ 
Dec. Aug. Caledonialora.- 
Feb. bn. Cdedonfanttt- 

DfcT, 

Jon. Dec. DfflisiajffiriGtE., 

May Cg.Tflti'Icri.K^iJ 
D4C. JutieTm-tronagn — 1 
Apr. Not. C^lMftSa.— . 

Sept~ Mar. CantuuIKdZ^ 
Aug. AprjCarlJaHnr— 


49sS 

136 

105 

90 

22 ft 

71 Awl 

V 

42«j 

43k 

96 

133 2 

V 

13B 

Z23 

S' 2 

90 

57ul 

58 


iaS 


274 ■ 
■594. 
MZ 1 I 


25 

38^ 
7 *hxd 
Wl 
99 
159M 
148 
92 
70s) 
filuJ 

% 

74 

85 

252 

108 

118 

313 

105 

132 


155)235 

Htt 

2 « 


2831 


34730 


255[ 

1433 


3.4| 


m 




330 
1 3 33 
Tan 
1330 
155 


830 

0.42 

45 


135 


tL61 

535 


ar 

05 

0.41 

X90 


133 1X7 
, 17 .4 253 
3431 t0.37 
3130 — 
155 625 
25 t75 
6 76 QS0.44 
,1532 QS52L 1 
|2S13 T05 
43 0.32 
272 165 
155 280 

23 m 

1431 3.4 
155 485 
133 535 
1433 3.55 
155 C249 
!55 tX9 
ZSll t787 
1232 run 


2 BU 


. , as 
284 10 
143U38D 
JX3 45 


2T2j 3.9 
112 325 


lM 


i4 


ID 


7J| ft 


5*1 2 Qf October Do. Can. I 

2-3 * I Feb. May TranaOeeanie-) 
^*1 — Trihure Invest— I 

Oct Apr. rrpl^inc50p_) 

Dec. June ItautO aim. ~ 
Feb. Aug. TroatetaCwp— 

Apr. Ocl Irixtideljir 

April bpdownlnv | 

Feb. Aug. Utd. Brit Secs.. 
58 245 MV Not. IMCWtab- 
&0 23.9 Apr. AUK. GSDehCorU— 
42 362 Mar. JuS UiiGeoenaiiJ 
5.0 293 June IffiTnWFtadSL- 

102 ft July vmngHesoarKS- 

0.4 — March W.tSL4Teai% 

122) ft June Dee Wcawsslnr.£l— 
— Aug. Mar. wimerbotuan— 
48(308 Feb. July Witaninv. 

DOv “B" 

. 4Jt293 Apr- SepLlYeomaa tor. .1 

llUl33 July Dec.harks.&LznC9— 

, — — riorterenlig-J 

5.91263 Dec. JmsetYcaagGoUav^] 


17.4) 1 


9.7 12.71 
08 

4.6 S-It 
3.1 36.41 


X0|108)l4.0 (Feb. 


1081 |bXi 


fisSi 

5.3 26.1 
33 30.7 
58 30.7 

7.5 ft 
5.7 25.9 
4.9 273 
0-7 —v May 
18 67.6 “ ay _ 
X4 74.4 
55 24.4 

3.6 40J 
4^ ft 


BlyvwS 

Buffets R1 

327 

911 

m 

KM6c 

1tjl30c 

231 

X4 

Deelkraal R080 

77 

11 ‘ 




DoorofootanRl _ 

304 

3J 

KMSc 

51 

EastDrleRl 

708 

3J 

Q78e 

17 

BandsraadGkLSDc- 

194 

— 



HsbnrgRl 

109 

1?1? 

G&45C 

Ii 

HaitcbeertR] 

£124* 

32 

«J135c 

X5 

EfarafGaldRi 

510 

32 

L‘V<Tj 

Z3 

LihanGa R1 . 

534 

32 


3 2 

SonthvsalSDe. 

449 

31 

tv’-Wl 

Id 

Sti(foniein50e_ — 

235 

■? l 

022c 

23 

VmI Reefs 50e 

£3218 

32 

tfll5c 

3.3 

V'enltfrpofit m — 

202 

11 


71 

RDriefiE 

£21 

3.1 

Q280c 

X6 

Western Areas El- 

172 

\9 17 

OlV 

27 

Westero DeepB2_ 

785 

31 


24 

ZandpanRl 

202 

3-lJ 

tQ22c 

LtH 


“ Beeeait Issnea " and ** Bi ghts ** Page 39 

8.5 JtMs service is available to every Company rtvatt Is mi 
£9 stock Exchanges Ihrcaghotrt the United Kingdom for a 


6.6 


fee of £400 per annum for each security 


62 


2.8 

56 

5.7 

15 

7.9 

4J 


REGIONAL MARKETS 


fjj are as quoted on the Irish exchange. 
6 l 5 Albany fur. 20p 


London. 


OJ'.S. 


tun. 


30i a 281] 
16 1075 

74 2431 


7imi 

58)2X9 


[Free State Dev. 50r 

SO 

112 

Ollc 

24 


£15% 

?-! 

fliWOc 

27 

RS. SaA sriaa* B1 — 

84 

973 



Rjunrorny 50c 

304 

S‘ 

C/55r 

4.7 

LoninelU — . — 

84 

975 

Q6c 

05 

Pres. Brand SOc — 

891 

25 

{OlWc 

26 

Pres. Steyn S0c 

SL Helena Rl 

716 

785 

25 

34 

m 

99 

25 

(.'nisei _ 

welkmSOc 

164 

259 

1.5 

t035c 

Tu 


£1714 

25 

ICZBOe 

13 


Ash Spinning - 

Eenaiu. 

Bdg'wtr. Est_50p 

Clover Croft — 
Craig A: Rose £1 
b- Dj-son lit A. 1 A 
$2 EtrisiEMcHd.'-.. 
93 Evans Frit JOp. 

— _ Ei-ered — — 

108 Fite Forge....- 
43 Finlay Pkg.fip. 

1 i5rmg Ship. £1 . 
XT HipimtBrew.. 
a _8 1 O Jt Scm. £J ... 
Holt 1 Jos. 1 25p.. 

?Tibn.ColdaaUtii 


83 


D 7 i Pearce ic. K-i- 
’■ 7 Peel Milfa 


385 ) ft I 7.7| ft 


I Sheffield Brick 


23 


45 


22 


Z70 

-2 

22 


423 


34 


62 


57fi 

.. 

nar 

+«i 

24 


145 


(rant 


150 


263 


55 


155*1 


20 


46K 



Sbeff. Refrahmt . 
5 indali(Wm.i_J 


I i l=| 


IRISH 


Con v. 9®i ‘SP 82 

Alliance Gas 

Arnott 

CaxroUiPJ.i I 

ClondaUdn 

Concrete Freds.. 
Heitoa iKIdgs.i 

In* Carp 

Irish Rapes 

Jacob 

Sunbeam 

T.M.G.— 

Unidare— _. 


£90S, 

tSS 

3C0 

% 

93 

130 

41 

148 

120nl 

67 

33 

170 

90 




-10 


4.9 198 
5.0 3fi8 
13 78.0 
0.7 5B.4 Feb. 


FINANCE 


Rnance, Land, etc. 






‘lEIrM % 


53 


6AJ228 

?tlsaa 

..7 °tt Mar.{gmna«igcCrpil 

52 ft Mar. Aug. ChartHfimeCp 

6 .? MJ August Edin ImTL 12bp 
68 223 October BQralMaf^j_ 
43 32-5 Dec- July Enjuarfloas 
6.7153 Ort. July & Lauds I 0 p_ 
5J25J October OptosUoadaSp. 

4. { ft Dee. July FasMuBhCtn.^). 

53 29.1 July ffitoteft lalifo 

58 25.7 - fiaroytn«tt!Z 

5,4 222 . — Gnmttiamaop- 

4.7 258 Feb- Aug HnnhnjTnS— 

5. -0 24.4 - Hampton Taep. 

Z8J43.9 June aawfar.S.S 1 
, mt sr Feb. Sept. tsvertaeatCa.— 

64)22.4 Feb. Sept. E.iiiirtk$-. 

1 ^ # — KMULityeriflp, 

32 ft September EwaSsalflp. 
52)298 August lammiHIdtlBpi 
, — Jan. Hay Dm.Biro.*' 

5M268 Jaa. . Nov. Lon-HereL. 

5^.9 June Jaa4U.ftG.fiidEs.5tb 


155 20.0 

1274 - 

1275 — 
475 - 
W - 
273Q121* 
161 336 
S3 0256 
155 13176 

34 no 


4.711X5] 


677 - 
225 d0.49 
12332 172 
22J 132 
228 0.49 

au 4.94 

677 LO 
. S74 - 
1373 - , 
303 H64 


jat 

m fo .94 1 

303 uQliOr 
133 LO |: 
199 156 
117 03 
155 W , 
123S 1125 
UJ 3.46 


1.3 


43 fl.Ol 


33(232 


Apr. SepL Ang. Am Cool SDc- 
Jan. June Anglo Amec IDe— 
Mar. Aug. Ang Am. Gold Ri- 
Feb. Aug. Ang-Va.il SOe. 

Jan. July QarierCont 
May Dec. Cons. Gold Fiehl*_ 
~ July Hay East Band Con. lOp 
OcL May Gen. Muting B2 ._ 
Mar. SepL GoldfiSSbAScJ 
Feb. Ort. lo’burgCou.Bh— . 
Aug. Feb. Middle Wit Sc 
— fflaeorp. 

Mar. Ort. Mlnorcn JBDi.90— 
Mar. SepONewWitSOc 


! Patino SVflsJ — 

November Band London 15c— 

Jaa. July SelectiauTniai 

A 11 *. Feb.Sentnm]0c._ 

Oet SIvenuuMByi ■ 

! . Jan. rrad.CfaKJAfll- 
Mar. Sept G.C. Intertill— 
May Nov. i;:ihBjCorpii.&S5«. 
Sept Mar. Vngelsaijf — 



OPTIONS 

3-month Call Rates 


o II Indnrtriala 

ft fin A Brew.... 

X2 58 AJP. Cement .J 

22 a .1 B - S J* -I 

, , 24 Babcock 1 

r£ :■? Barf Jays Bank, 

Si Beecham 1 

„ 7 2-u Boots Drug... 

06 82 Bo waters 

ft„Z8 BAT 

3 0 113 Bnush Oxygen 
19 52 Brown i'J.i— 

23 B.0 Burton *A' 

X7 70 Cadnuws 

34 43 Comtaiilds 
12 8J DebenJjauis-. 


8.9! 


Distillers 


82 


DIAMOND AND PLATINUM 


JNot. 


May 

Jan. 

Nor. 

NOT. 



80 

3.4 

27.2 

Sn? 

XI 

20 


347 

i.4 


31 

1 J 1 ^ > 1 - ; Jy ^ 

OUz 

S3 

6300fL 

mi 

PftdenbarglZ^c— . 

63 

ITJIi 

W3c 

ID 

r|&s.P!aLiflc_ 

SI 

477 

wzw 

2-4 


Dunlop 

DagteStor- . 

EJJ2 

Cea. Accident 

Gen. Electric.. 

_ Grand MeL.„_. 

9.9 G.U.S. *A’ !J 

Uj 5.4 Gnardian - 

1 9.0 G K.N 

10.4 HawkwSiddJ 
+ HonseutFraser. 

il 


a 


I.C.I. 

In vanes k 1 

KCA 

Lad broke , 
Legal Si Ron. .. 
Lex Service.,, 
Lloyds Bank 

“Lo la" 

London Brick 

Leurbo... 

Lucas lnds._ 
LVOBsfj.i-— 
■■Mams’' 

Mrfci. ft Saner 
Midland Bank, 

NHL I 

Not. Wert Bank . 

Do Warrants] 

PftODfd. 

PI ewer - I 

fLHJH 1 

Rank Ots -a - 
Heed IninL 
SpUIera..-™J 

Teseo 

Thom. I 

Trust Houses. 


Tn bo Incest -J 


Unilever 

Uut. Drapery-] 

Vjekerr .1 _ 

Woolworthj— . 5 


jWtowty 

Brit Land,., 
Ce^>. Counties. | 

Intreuropean 
Land Sec*. ..._, 

MEPC 

iPeactacy ...._._ 
Samuel Props.. 
Town ft City... 


OUa 


BriL PetroteuuL. 

BuraxahOIL.. 

Cb»rtertall._. 

Shell. 

Ultramar.. „ 


Mines 


tl. 


Charter Cons., 22 i 

Coa& Gold 14 

RldT.Zlnc ]fi 




I 


Tarmac 

CONSTRICTION 

Builds for Business 


FINANCIALTIMES 


Britain^ Fmest 
Trailers 


Tuesday May. 30 1978 


Cranel 

Fruehai 


0 


Derehan, Norfolk. Ergtand 


Comecon 


‘tyre 

dumping 9 


Tories press leaders 
for unions policy 


Post 


THE LEX COLUMN 


protest 


GY PHILIP RAWSTORNE 


By Terry Dodsworth, 

Motor Industry Correspondent 


BRITISH TYRE manufacturers 
intend to present the EEC with 
an “anti-dumping” plea against 
East European products within 
the next few weeks. 

The move follows mounting 
criticism within (he industry 
about the unusually low whole- 
sale prices of Eastern bloc car 
lyres being imported into 
Britain. 

Some East German tyres are 
said to be coming into the 
country at a price of £4.80 
each, less than the cost of 
zusnofarturing In Britain. 

Anxiety over the problem 
has been increased by the 
sharp rise or imports this year 
from tbe Comecon area which 
has coincided with a spate of 
short-time working atari redun- 
dancies in tbr Industry. Only 
a few works ago. Goodyear cut 
its workforce by about 400. 

The British Rubber Manu- 
facturers' Association, which 
represents the big manufac- 
turers in Britain, has already 
taken up the issue with the 
Trade Department. 

Under the terms of new 
Common Market regulations, 
however, the matter now bas 
to be presented to the EEC 

in Brussels. 

Mr. Reg By ford, director of 
the BRMA. claimed yesterday 
that the Imports were a “fairly 
clear case.” and said the 
Association would be aimiug to 
bring all Eastern European 
lyres under the scope of the 
complaint. 


CONSERVATIVE MPs are to 
press the Shadow Cabinet for a 
definitive statement on the 
party's policy toward industrial 
relations add the trade unions. 

Influential backbenchers will 
warn Aire. Margaret Thatcher 
that such a move is vitally 
urgent if the party is to avoid 
serious political damage in the 
run-up to the General Election. 

Conservative leaders will be 
advised to get down to the task 
next week of reconciling their 
differences over the party's 
approach to the issues. 

The rift over trade union 
policy ban haunted the Tories 
since their defeats at the polls 
in 1974 and has repeatedly 
presented Labour with an easy 
political target. 

Now, after the political 
embarrassment suffered from 
leakages of two party reports 
envisaging conflict between a 
future Tory Government and the 
unions. Tory MPs arc demand- 
ing that the policy should be 
clarified. 

Tbouch tbe party leadership 
has deliberately shunned 
detailed policy commitments, 
both Right-wing and liberal 
Tories believe that it must set 
out its position in a full state- 
ment of intent. 

Sir Keith Joseph and Mr. 
James Prior have already issued 


a joint defence of the report of 
the party's policy group on the 
nationalised industries which was 
leaked to the Economist 

This report drafted hy Mr. 
Nicholas Ridley, a radical Right- 
wing Tory MP. made proposals 
for denationalisation and listed 
the unions which a Tory Govern- 
ment could take on in a show- 
down. 

Ministers vigorously attacked 
the report It followed leakages 
from an earlier report by Lord 
Carrington, who also examined, 
possible tactics in any conflict 
with the unions. 

Mr. Eric Varley, the Industry 
Secretary, called the Ridley re- 
port “ a blueprint for industrial 
civil war." Mr. Anthony Wedg- 
wood Berm, the Energy Secre- 
tary, accused the Tories of 
wanting to dismantle the Welfare 
State, and said that the report 
spelled out confrontation with 
the unions with the precision of 
a military campaign. 

Id their joint statement In 
reply. Sir Keith and Mr. Prior 
said that the report merely set 
out options for discussion. 

They added: “Of. course we 
want industrial peace, but not 
on terms dictated by union 
leaders alone, and damaging to 
the real interests of their mem- 
bers and of the country.” 

That was why it was right K to 


consider how to protect the vul- 
nerable if there were to be mis- 
use bf onion power,” they said. 
The denationalisation proposals 
by the policy group showed that 
the Conservative Party had “an 
open and creative mind.'' 

The statement, however, did 
little to satisfy many Tory MPs 
that the party would not con- 
tinue to be highly vulnerable to 
political attacks. 

In the nervous atmosphere 
already created by Labour's re- 
cent rise in the opinion polls, 
liberal Tories also expressed 
anxiety yesterday about a report 
that Mrs. Thatcher had removed 
Mr. Christopher Patten, tbe mod- 
erate-head of the party’s research 
department, from his other job 
as secretary to the Shadow 
Cabinet 

Mr. Patten’s successor will be 
Mr: David Wolfson, a member of 
tbe Great Universal Stores 
family, who has joined the staff 
of Mis. Thatcher’s private office. 

Sir Keith and Mr. Airey Nesve 
strongly denied that they bad 
been involved in any way with | 
the move. 

The official explanation is that : 
Mr. Patten, who ret ain* his re- j 
search department post, is being 
relieved of some 'of -his work 
load to enable him to prepare to 
fight as the party's candidate 
for Bath in the General Election. 


Office 
to repay 
foreign 


Conflicts within 


the company 


loan 


BY JOHN LLOYD 


Profitability of oil fields hit as 
development costs rise £215in 


Comparison 


BY RAY DAFTER, ENERGY CORRESPONDENT 


For the application to suc- 
ceed, the Association must now 
show that the lyres are being 
brought inlo fhc country at 
less than a fair market price. 
The usual procedure for 
cases dealing wilh Comecon 
countries is to compare Ihem 
wish products from free 
market economy countries. 

In addition, (he Association 
must prove lhat the imports 
hare arrived in sufficient 
numbers to have damaged the 
domest ir industry. 

According to association 
figures. Eastern European lyres 
captured about Gflfl.OOO sales in 
the UK replacement market 
last year, or 4 per cent of Ihc 
total of 15m sales. 

These imports have been 
joined by an Increasing num- 
ber of com pell lively priced 
products brought in from tbe 
Continenl. where Ihe lyre 
industry is also suffering from 
over-capacity. 

The result has been fierce 
price-cutting in ibe industry 
and the erosion of profit 
margins which have been 
under pressure in the UK in 

any case. 

At the rooi of these prob- 
lems lies slower growth in the 
motor industry, compared with 
the forecasts of the pre-oil 
crisis period when much of the 
present plant was put down, 
combined with the develop- 
ment of much longer-lasting 
tyres. 


THE PROFITABILITY of two 
important North Sea oil fields 
has been hit by a £215m increase 
in development costs. 

The oil exploration consortium, 
led by the Occidental group, 
faces higher costs on tbe Piper 
and Claymore fields at a time 
when the recoverable reserves 
are being downgraded, says a 
report published by stockbrokers 
Wood Mackenzie. 

Claymore's profitability has 
been affected most by the 
changes- The discounted cash 
flow rate of return has dropped 
from 39.3 per cent to 29 per cent, 
the brokers estimate. 

Capital expenditure estimates 
for the field have increased from 
S620m to S790m. The partners — 
Occidental (36.5 per cent). Allied 
Chemical (20 per cent), Getty 
(23.5 per cent) and Thomson 
Organisation (20 per cent) — 
expect to spend SlOOm of this 
additional money this year. 

The money is needed for 
improving living quarters, and 
providing new facilities to reduce 
noise and comply with new 
Government regulations on 
pollution and safety. 

Next year, the Occidental 
group might spend S75m on a 
new semi-submersible mainte- 
nance and diving support vessel 
and 930m of this cost could be 


allocated to tbe Claymore Field. 

The remainder of the extra 
Claymore expenditure will go 
towards drilling costs. 

Wood Mackenzie reckons that 
the rate of build-up in Clay- 
more’s production will be slower 
than expected with output this 
year averaging 60,000 barrels a 
day instead of 100,000 fa/d. 

Although peak production, at 
150,000 b/d could last only IS 
months, the period of decline 
will be longer than previously 
forecast As a result the field is 
not expected to cease production 
until 1999 rather than 199L 

Even so, the extra costs, 
together with the official reduc- 
tion in Claymore’s estimated 
recoverable reserves (from 410m 
barrels to 404ra barrels), will 
significantly reduce profitability. 

The Occidental group's sister 
field, the neaihy Piper reservoir, 
is also smaller than past fore- 
casts have suggested— 618m 
barrels instead of 800m barels. 

Likewise the estimated 
development costs have also 
risen, from 3750m to S970m. 


Attractive 


However, the brokers’ new 
estimate of Piper's profitability 
— a discounted cash flow return 
of 49.5 per cent as opposed to a 
previous estimate of 542 per 


cent— still makes it one of the 
most attractive fields in the 
North Sea. 

About SlOOm of the extra costs 
will go towards enlarging plat- 
form accommodation, reducing 
noise and increasing safety and 
anti-pollution standards. The 
increase also takes account of] 
the cost of removing one of two 
drillings rigs now sinking 
development wells. 

In addition, about' S45rn has 
been earmarked bv the brokers: 
for Piper’s share of the proposed ! 
maintenance and support vessel | 
with a further $25m allocated; 
for drilling six more develop- 
ment wells. 

The cost of a 16-inch pipeline 
to carry natural gas between 
Piper and Claymore (about 
S55m) has also been included; 
in the new estimate. j 

Piper is expected to reach peak' 
production later this year, giving 
an average production rate for 
the year of 250.000 to 300,000 b/d. 

On the wider front Wood, 
Mackenzie has reduced its esti- 
mate of average UK North Sea 
oil production this year from 
1.4hn to 1.2bn barrels a day. 

Bad weather, equipment prnb* 
lems on the Argyll Field and a 
slower-than-expected build-up in 
production on a number of fields, 
are blamed for the revised esti- 
mates. 


THE POST OFFICE is to repay 
a second major foreign loan 
ahead of schedule. It will pay 
back 9200m. to the First Chicago 
merchant bank three years be- 
fore the loan falls due in June 
19SL 

This is the second American 
loan to be repaid by the corpora- 
tion in recent months. 

In March, the Post Office repaid 
a 5100m. loan to the Chase Man- 
hattan bank, also three years 
ahead of schedule. 

Both repayments are in line 
with the general Government 
policy of bringing forward the 
repayment of Government and 
nationalised industry debt, to 
ease the burden on the peak 

1 repayment years in the early 
1980s. 

The First Chicago loan, agreed 
in June 1976, was an expensive 
one, at 1} per cent above the 
market rate- i 

It brings the total Post Office 
foreign debt down to around 
£600m, the bulk of which is owed 
to American and German banks. 

The corporation is looking at 
other possible early repayments 
on foreign loans, as well as ou 
its debt to the National Loan 
Fund, which stands at around 
£3.3bn. 

It is also understood to be 
seeking to re-schedule some 
loans which fall due around 1982. 

The immediate savings from 
the early repayment of the First 
Chicago debt are between £30m 
and £40m. 

The Post Office's ability to 
repay is a reflection of its 
present position of being wholly 
self-financing, a position it hopes 
to maintain in the current year. 

Post Office executives think 
the corporation fortunate in 
having agreed financial targets 
—of 6 per cent on net assets 
before interest payments for the 
telecommunications business and 

2 per cent of turnover for the 
postal business — which allow it 
to divert any surplus to early 
repayments. 

However, it is recognised that 
there are a number of un- 
certainties in the near future. 

The Post Office Engineering 
Union, with 125,000 members. 
has still to agree a pay settle- 
ment. 

More seriously, there is as yet 
no resolution on the engineering 
union’s claim for a 35-hour week, 
estimated to cost around £100m 
to implement. 

A compromise 37}-boiir week, 
thought to be a possibility, 
would still cost around £50m. 
above the cost of the pay settle- 
ment. 


Traditional economic theory 
rai-Pta a highly formalised view 
of the company as ran by a 
profit-maximising entrepreneur 
hiring and firing labour freely, 
and selling into an open market. 
This is quite different to the 
real world, in' which public 
companies are run by manage- 
ments only loosely controlled by 
the shareholders, while the 
interests of the employees are 
heavily protected. 

A new book* by Gerald New- 
faouid and George Luffman 
probes deeply into the motiva- 
tions and achievements of real 
companies. It is not enough, the 
authors argue, to talk about suc- 
cess in terms of the simple 
maximisation of profits. 
Different interest groups within 
--and outside — companies have 
different aims, and success must 
be measured bn different 
criteria. 


or executive ability. And when 
it comes to assessing the suc- 
cess of particular policies. It is 
not always clear whether any 
conscious commitment was ever 
made by the management. 

So the authors have arrived 
at something of a mixed bag in 
choosing seven key areas oE 
business policy to trace the re- 
lationship between strategy and 
performance. Of 1 these areas, 
acqui si tion, diversification, ex- 
porting and reliance on internal 
financing seem to reflect fairly 
specific corporate decisions, but 
automation might depend more 


Measuring success 


On this reasoning, four 
I groups are identified: share- 
holders, managers, employees 
and the public at large (the last 
being a rather woolly concept, 
which seems to be equated with 
the UK economy). Four specific 
ways of measuring success ac- 
cording to the interests of each 
group are then devised: -for in- 
stance, success for shareholders 
i is defined in terms of the over- 
all rate of return on an invest- 
ment in the shares, the change 
in the share price, the relative 
stability of dividends, and the 
change in the return on capital 
employed. 

Armed with these 16 criteria 
the authors have embarked , on 
a major statistical study of the 
results of large companies for 
tbe period 1968-75, the starting 
date reflecting the availability 
of additional information follow- 
ing the 1967 Companies Act 
Originally the 900 largest 
quoted companies were selec- 
ted, but after seven years only 
302 companies had survived ac- 
quisition, bankruptcy or data 
problems. For each company 
over 100 items of data were col- 
lected and used to measure 
“success.” 

At this point, however, an 
important assumption has to 
be made: that business policies 
actually matter. Arguably, suc- 
cess or failure for companies 
depends to a large extent on 
sheer chance rather than on 
specific management decisions, 



upon tiie trend in the com- 
pany’s particular industry than 
on the management's posture. 

As for profitability and re- 
muneration policy, companies 
which have achieved high profits 
growth or paid low wages to 
workers have not necessarily 
planned for these results. 

These quibbles apart, some 
clear and sometimes striking re- 
sults emerge from the study. An 
active acquisition policy, for 
instance, turned out to be bene- 
ficial only to managers. In the 
sense-' lhat -the size of their em- 
pires increased. Shareholders 
did badly; file 93 companies 
out of 302 classified as -having a 
heavy commitment to acquisi- 
tion performed dearly worse 
than unacquisitive companies in 
terms of share price and over- 
all return to the investor. Em- 
ployees appeared to get lower 
pay increases in the 93 aggres- 
sive companies, and there was 
no very dear impact on the 
national economy. 

Diversification did rather less 
damage, perhaps because in 
many cases it was achieved by 
internal expansion rather than 
by acquisition. Interestingly, the 


more diversified a company was 
at the start of the period the. 
more likely it was to diversify 
further over the next seven 
years. The major result of 
diversification, not surprisingly, 
was to bring greater stability 
to the company’s profits— 
treated in the book as a mark 
of success for the management. 
But there was no evidence of 
any benefits to shareholders, or 
indeed to employees or the 
economy. The authors suggest 
that diversification is just some- 
thing that companies do with 
surplus cash, rather than 
return it to shareholders. 

Exporting turned out to be a 
big disappointment During the 
period in question, despite 
devaluations, it was associated 
with poor management results; 
with a weak share price perfor- 
mance, and with a shrinking 
number of jobs (though there 
was no obvious adverse pattern 
in tbe trend of pay). 

Elsewhere, the authors con- 
clude that it is clearly detrimen- 
tal to the interests of managers 
to rely on internal financing, 
and therefore they are hot 
likely to be tempted to avoid 
the disciplines of the capital 
market. They might have added 
that those “disciplines." judging 
by many of the successful rights 
issue candidates of recent years, 
are scarcely onerous. 


Merger mania 


Inevitably, results obtained 
in this way for a limited period 
of years must be treated care- 
fully. The early 1970s brought 
a particularly large batch of 
expensive and foolish mergers, 
and it would be wrong to be too 
harsh in judging takeovers that 
came before or have happened 
since. Moreover, a number of 
chickens came home to roost 
around 1975. A list is included 
of the 34 companies in the 
sample which were above aver- 
age on all four managerial 
measures of success: along with 
Beech am, GEC and Thorn it 
embraces Burmah OH, J. Lyons 
and Ozalid. ' 

The book is a fascinating 
attempt to shed statistical light 
upon the shadowy area of cor- 
porate policymaking. But maybe 
it is rather more of a historical 
work than the authors would 
readily accept 

* Successful Business Policies 
by Gerald D. Newbould and 
George A. Luffman. Gower 
Press, £9.50. 229 pages 


OECD talks aim to boost demand 




BY ROBERT MAUTHNER 


PARIS, May 29. 


Laurie, Milbank&Co 


MOSTLY dry, .sunny and hut. 
Loudon. Cenl.S ami N. England, 
Midlands; 

Urv and sunny. * Max. 24 C 
<T5Fl. 

K.E. England, E. Angli.i 
Cloudy early, then sunny. Max. 
2SC (TSFV 

E. and N.E. England, Edinburgh, 
Dundee. Aberdeen. Glasgow, 
Highlands. .Moray Firth, 

N.E. Scotland 

Dry. sunny. Max. 23-25C 
Channel Isles. S.W. England, 

S. Wales 

Dry and sunny. Max. 24C 
\. Wales, N.W. England. Lakes 
Isle of Man, SAW Scotland, 
N. Ireland 

Dry and sunny. Max. 23-26C 
Argyll, N.W. Scotland, Orkney, 
Shetland 

Mostly dry. some cloud in W. 
Max. 20C 16SF). 

Outlook: Lillie change. 


BUSINESS CENTRES 


.U-ssina. 

AStU Jl «5 
Parc.-iUM 

Pe'.fas: 

Ki-hrjde 

Pi-rlie 

Ifenrire- 

Bnsie! 

Vne&vH 

Seda pcs" 

Cardiff 

reiotasr 

Cnpnhofa. 

DaM.n 

EdinSimib 

Kraafcfnri 

fuiirva 

*Uas«»v 

Ilf hint i 


Vdajr ! 
mid-fia*! 

•C 'r! 

S "t MjLKhmi 
S :■! sv.Loa.1rin 
K 'Ji TI -* 1 LUKi'Hlh'K 


V.lay 
miJ-U.iv 
-C r V 
S ■-'I 7n 
.S '.’1 70 
s :i m 


s 

r» 


K 

)!» 


I- 


7» , ?7Dnrh«r. 

s 

z\ 

73 

s 

a jZ 

TMUiljn 

s 

■J4 

75 

V 

:9 

frvMusiW 

s 


73 

F 


77 Mum,- n 

V 

l"l 

w. 

5 


Newcastle 

s 

'Si 

7!! 

s 

2’ 

TNiisin 

s 

■J.1 

73 

s 

:j 

TjiPans 

s 

C4 


K 

17 

i«IPraK»’ 

V 


70 

s 

"0 

ns;s«-»H.iYik 

c 


■M 


THE LEADING Western indus- 
trialised countries began a 
two-day meeting here today to 
discuss concerted measures to 
civc a moderate boost to demand 
in view of the increasingly 
pessimistic forecasts of world 
economic growth in the next 
12 months. 

Senior officials of the 24 OECD 
countries received a report by 
the organisation's secretariat 
which foresee an overall growth 
for the area this year of 3.5 
per cent at best and a sharp 
increase in unemployment to 
17. 5m — 500.000 more than 
originally forecast — unless rapid 
stimulatory action is taken. 

Prospects are particularly dim 
for West Germany, one of the 
world's strongest economies, 
which, together with Japan, is 
blamed by many of its partners 
for not providing a big enough 
stimulus to the world's economic 
growth. 

According to the secretariat’s 
forecasts. West German GDP is 
unlikely to increase hy more 
than 3 ’per cent this year unless 
the Bonn Government gives a 
substantial boost to domestic 
demand. 

The prospects for Japan are 


considered to be somewhat 
better following the expan- 
sionary measures taken by the 
Government, though these still 
fall considerably short of 
Tokyo’s own target of around 
7 per cent. 

The secretariat has revised 
upwards its original prediction 
of 4.5 per cent growth for the 
Japanese economy to 5.5 per 
cent 

The West Germans, however, 
are unlikely to agree during the 
present meeting to adopt more 
expansionary policies. 

If the Bonn Government has 
something up its sleeve, as a 
number of recent statements by 
its officials indicate, it is 
assumed here that it will want 
to wait until the Western econo- 
mic summit In Bonn in July 
before announcing any new 
measures. 

Though supporting in principle 
the OECD’s concerted growth 
strategy, under which both the 
strongest economies and the so- 
called “convalescent" countries 
would give a moderate boost to 
demand. West Germany and 
Japan are sceptical about the 
precise programme tabled by the 
secretarial to-day. 


It has indicated that raising 
demand by 1.5 to 1.75 per cent 
of GDP by Japan, 0.75 to 1 per 
cent by West Germany, 025 to 
0.5 per cent by France and Italy 
and 0.25 per cent at the most by 
the UK and Canada, would pro- 
duce an average increase in the 
OECD area's growth of 1.25 per 
cent by the second balf of 1979. 

Thus, instead of expanding by 
only 3.25 to 3.5 per cent this 
year If present policies remain 
unchanged, the OECD area's 
growth would rise to about 4.5 
per cent at an annual rate by 
the middle of next year, enough 
to prevent a further deteriora- 
tion in the employment situa- 
tion. 

The balance of payments 
effects of the secretariat’s con- 
certed action policy would also 
be substantial. The US current 


account deficit which, according 
to revised OECD forecasts is 
expected to rise to $