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Telephone. lor information 
Hendon; 629 8151. Manchester 236 8827 




No. 27,666 


Tuesday September 19 1978 


.1*75 



Mens Quartz range from around £49-50-£75. 



CONTINENTAL SELLING PRICES: AUSTRIA Sch 15; BELGIUM F r 25; DENMARK K r 3.5s FRANCE Fr 3.0t OERMANT DM 2.0; ITALY L 500; NETHERLANDS H 2.0; NORWAY Kr 3-Sj PORTUGAL E»e 20: SPAIN Ftp 40; SWffiBV Kr 3.25; SWITZERLAND Fr- 2.0; EIRE 15p 


SYRIA HOSTILE TO CARTER PEACE PLAN: WARMER WELCOME IN ISRAEL 






Saudi backin 



BY JUREK MARTIN, U.S. EDITOR; WASHINGTON, Sept. 18 


5SIDENT CARTER today 
• "'red. swiftly on the second 
. of his Middle East peace 
’ • ifltive— rto persuade other 

b nations to jo-in in the 
less whose framework was 
. -ked out at Camp David'Witb 
sjdent Anwar Sadat of Egypt 
• Mr. Menaheim Begin. Prime 
'lister of Israel. 

- ha afternoon, Mr. Carter was 
' to talk to King Hussein of 
l ' dan, whose’ participation in 
/ negotiations is crucial to 
ir ultimate success. Contacts 
the highest level were also 
.f ' ug made with. Saudi Arabia, 
. .*. : »se backing is deemed 
- '.’•..ally essential, 

;: '--.lthough Washington was 
:.‘used today with euphoria. 

ut the Camp .David outcome, 
> h the President basking in 
' vise from , .all. sides of the 
itical spectrum, both Mr. 
."■ter last might and other senior 
•rials today. were at pains to 
' ; - !ss that Camp David had pro- 
' -ed only a blueprint for peace 
1 not peace itself, 
resident Carter is to due 


- u:<rp iddress a -joint session of Con- 


ss tonight and is expected 
* again to emphasise that 
icalt j: — ,: “ 

‘ T ‘ - ':-;ad 


discussions still Jie 


At a White House briefing 
this morning, a very senior 
Government official, tacitly 
acknowledging that the agree- 
rnenls dramatically uriveileiMast 
night have been much .'more 
warmly welcomed in Israel than 
in the Arab world, pointedly 
listed all the advantages the U.S. 
-thought President Sadat had won 
for both Egypt and -his Arab 
neighbours at Camp David; 

The official emphasised seven 
areas in which he suggested the 
Arab cause had been advanced- 
including the end of Israeli mili- 
tary occupation of the West Bank 
of the Jordan and the -Gaza 
Strip, the return of Sinai, and 
Israeli recognition of full 
autonomy for West Bank" an.d 
Gaza Arabs and of the legitimate 
rights of the Palestinian peoples. 

In addition, he disclosed that 
Israel would in the next few days 
be cutting its military presence 
In the West Bank and Gaza from 
10,000-11,000 to 6,000, with the 
remaining troops being with-; 
drawn to specially designated 
areas away from the most 
recently established Israeli 
settlements in the two areas. - 

The Arab reaction to-the Caipp 
David accords has been generally 
adverse. Damascus Radio, 'which 


MAIN POINTS OF THE AGREEMENT 


SINAI 

0 Israel will withdraw from 


WEST BANK AND 
GAZA STRIP 


Sinai over period of three 
years in return for security 
arrangements. 


• Israeli military government 
to be phased out during 
transitional five-year period. 


8 Egypt to establish normal 
relations with Israel. 


p Local Palestinians then to 
obtain full autonomy. 


) Israel’s reduced military 
presence restricted to de- 
fensive strongholds- 


9 The Knesset will vote on dis- 
mantling Israeli settlements 
In Sinai. 


| Jordan and residents to be 
invited to join negotiations 
on final status of areas. 



generally reflects Syrian Govern- 
ment thinking, charged, for 
example, that Israel was the only 
victor. 


The summit had failed to 
recognise Palestinian rights and 
the necessity of total Israeli 
withdrawal from the occupied 
territories, the radio commentary 
said. 

From Moscow, a Tass news 
agency commentary in its Arabic 


service, said that Camp David 
■ was a plot against the Arab 
nations and amounted to 
“ approval of Israel's ambition 
of a unified Jerusalem remain- 
ing capital of the Zionist State." 

In EgypL the reaction was 
reportedly muted, although pos- 
sibly due to the late timing of 
the agreements announced Jasl 
night. 

But a real question over the 


unanimity .'of the Egyptian 
Government still existed this 
afternoon when it remained 
unclear if Mr. Khamel, the 
Foreign Minister. whc> had 
attended the Camp David Ses- 
sions, had actually resigned in 
protest. 

The future of Jerusalem was, 
in fact, one of the areas whicb 
the Camp David accords skirted 
round to" a degree. Officials 


revealed today that President 
Sadat and Mr. Begin bad 
exchanged letters on the future 
of ihe Holy City, the contents of 
which, it was hoped, would be 
made public shortly. 

By the same token, the two 
documents signed last night left 
open the role to be played in 
the peace process by the Pales- 
tinian Liberation Organisation 
and the ultimate status of the 
Palestinian entity on the West 
Bank and the Gaza Strip. 

U.S. officials were adamant, 
however, that such critical 
subjects were very much in the 
negotiating court and noted that 
the Camp David accords in no 
way excluded participation of 
Palestinians, regardless of their 
political affiliations and beliefs, 
from the subsequent negotia- 
tions. 

The considerable Israeli satis- 
faction evident here today 
clearly stems from the fact that 
Camp David resulted in Egypt 
accepting the principle of a 
separate peace treaty, which the 
two heads of state said last night 
could be reached in less than 
three months and which, accord- 
ing to the documents, is due to 
take effect no more than three 
years after the signing 


It emerged today that a critical 
element in forging the Israeli- 
Egyptian agreement was the U.S. 
offer to build two airfields for 
Israel in the Negev desert to 
replace those surrendered when 
Israel withdraws from Sinai. 

The U.S. made clear, however, 
tbat its troops would not form 
part of the United Nations peace 
keeping force that will ensure 
that the Sinai part of tbe 
accords is observed. 

One element of uncertainty 
stemming from Camp David is 
the Israeli insistence that the 
question of settlements in Sinai 
could only be resolved in the 
Knesset, the Israeli parliament. 

However, both U.S. and 
Egyptian officials seem con- 
vinced that in spite of opposition 
from both the Left and tbe Right, 
Mr. Begin has the votes to carry 
the day. 

For President Carter. Camp 
David is already being inter- 
preted as the greatest success of 
his Presidency and one which 
will dramatically change his low 
standing in the public estima- 
tion. 

This morning he was showered 
with praise from all sides of the 
political fence, but particularly 
Continued on Back Page 


AFTER GAMP DAVID 


PAGE 16 

Anthony McDermol analyses 

the chances of the agree- 
ment's success. 

Editorial comment 
PAGE 2 
FEATURES 

• Sadat's gamble: how will 
Saudi Arabia and Kuwait 
react 7 

• The Knesset vote: defec- 
tions, but Begin likely to 
win. 

• Carter’s triumph: a 
much-needed boost for 
the President. 

• Details of summit agree- 
ments. 

NEWS 

• Egyptian Foreign 
Minister reported to 
have resigned. 

0 Syria and tbe PLO con- 
demn the package. 

• Jordan braced for U.S. 
diplomatic pressure. 

• Uncertainly worries the 
Sinai settlers. 



riRERAL 


BUSINESS 

Jltiinatum Market 


o Times 


Mons 


response 

cool 


ies Newspapers — publishers 
• - . The Times, the Sunday Times 
t ' three . supplwnentsr-gave 
- mal notice last night of its 
“entfou to suspend publication 
" November 80 unless unions 
"" iran tee industrial discipline. 
. -Notices of dismissal will be 
■_ .'it to staff on November 30, to 
' '~.e effect fr pin December IS, if 
—h unions -do not agree- to 
- operate. Period of notice 
Ties from two weeks to four 
-jrtths. 

The National Graphical Asso- 
" .ition has so far refused to 
'gotiate ' under threat of 
spension. Back Page 


• EQUITY' leaders ‘ made 
modest improvement -on early 
reports of the outcome of QPv 
Camp David talks, but the-FT 
Ordinary index dosed osdy'-’tof. 
up at 530.8. 


EEC exchange-rate compromise 
leaves UK as sole opponent 


BY GUY DE jONQUIERES, COMMON MARKET CORRESPONDENT 


BRUSSELS, Sept. 18. 


• GILTS were’ .unsettled, and 
sbdrts closed 2/16 fewer. The 
Government Securities index re- 
mained unchanged -at 70.58. 


• STERLING lost ID Points to 
$1.9595, its trade-weighted index 
remaining unchanged' "at 62.8. 
The - dollar’s depredation 


narrowed to 8.9 pereent (9.1). 


• GOLD lost $1 to 92111 in 
London. 


jidge orders 
ecrets retrial 


• WALL STREET was 5.11 
down at 873. U just before the 
dose. ". 


ie Old Bailey secrets trial 
.ded suddenly yesrerday. Mr. 
-istice Willis discharged the 
ry and ordered a new trial 
Jcause - of “ gratuitous journa- 
itic gossip ” on last Saturday's 
ossell Harty TV programme. 

He said Mr. Christopher 
itebens, a NeW . Statesmen 
umalist, had disclosed matters 
tout the trial- which had taken 
ace in the absence of the jury, 


• CROWN AGENTS' difficulties 
were the result of incompetence, 
over-confidence and lack of con- 
trol.' the Tribunal investigating 
the Crown Agents £236m loss on 
secondary banking and property 
investment was told. Back and 
Page 8 


I 

~Vi 


p r .ifvaunda attacks 

1 ^IM (^aatino* 


IK ‘cheating* 

resident Kaunda of Zambia has 
ireaiened action against . the 
ritiah Government for “cheat- 
fg the international . com- 
lunity" over Rhodesian 
motions. Britain’s alleged com- 
licity was " all the more agonis- 
when you consider that the 
eople of Zambia have suffered 
i satisfy the madness of succes- 
ve British Governments." 

Local newspapers have hinted 
mt Zambia- might demand 
]m peculation for lost revenue, 
age 4 


• UNIT TRUSTS recorded their 
highest ever August sales last 
month, but — - repurchases — at 
£36m — were the Highest monthly 
total on record and brought net 
new investment of just over 
£9m, after £lS.75m in July. 
Page 6 • 


• GOVERNMENT working party 
report urges the Government to 
spend £100m on a campaign to 
promote the . use of micro- 
electronics in industry. Page 6 


• HOSPITAL works super- 
visors have started industrial 
action which could disrupt 
hospital services throughout the 
country, following a dispute over 
a new salary structure. Page 8 


‘roll remanded 


aader Meinhof suspect Astrid 
roll was remanded in custody 
ir eight days when she appeared 
l Bow Street magistrate’s court 
?sterday at the start of exlra- 
ition proceedings. 


• LEYLAND VEHICLES has 
announced a £5Sm cut in planned 
investment in its truck and bus 
factories up. to 1982,. at a cost of 
about- 3,000 job opportunities. 
Back Page 


}uake toll rises 


O DAWSON INTERNATIONAL 
and John Haggas share trading 
was suspended following an 
announcement of a possible 
merger. Terms are expected to 
be published this week. 

Back Page 




•t. least 12,000 people died in the 
arthquakc which . razed the 
Iranian town of Tabas. Page 4 


Krief ly 

lore than SO sirens will sound 
^ London next week as part of 
test of Thames Hood contin-. 
eney plans. 

ieith Moon,, drummer for The 
Vho, died of a “vast” dose of 
edalive _ drugs. Westminster 
oroner returned- ah open verdieL 

Tic Post Office is to spend £3,000 
ep lacing telephone kiosks in 
ianebester’s Piccadilly Gardens 
**cause they are covered with 
iird droppings. 


• ALLIED BREWERIES share- 
holders have given overwhelming 
support to the group’s £60m bid 
for J-- Lyons. Back Page 


COMPANIES 

• ROLLS-ROYCE Holdings re- 
ports profits For the 24 weeks to 
June 17 up by £1.7m to £5.41m. 
helped by more than trebled tax- 
able earnings at the operating 
level from the diesel engine 
section from £485,000 to il.Sm. 
Page 32 and Lex 

0 SIMON ENGINEERING profits 
for the first six months of ivto 
rose from £5-44m to"£fi-3 lnl * 

33 




- r - 


in f 



SHIEF PRICE CHANGES 

Prices in pence unless otherwise 
indicated) 

RISES , 

Uana 5G +' 4| 

laird (Wm.) 196 + » 

3rown & Jackson ... 215 + 9 

Jcycowt ' Inv.- I 28 f 

^owan de Grooit....... -70xc+.44 -, 

><<nks Gowerton .1 Its + 16. 

Javy IntL 2P7 + 8 

£MI 169 + 4 

£&ecutex- 64xd+ U 

Lister: 5S +-4 

>% L. HldflS.' 243 + 20 

Ailerr .185 + .7 


YESTERDAY 

P & Defd. - 9® t ij n 

Ransom fWm.1 13 

Ricardo 3Ufrr+ la 

Trarls & Arnold 19tod+ 13}; 

Wadhara Stringer **1+ ^ 

Yarrow ....i....... +*> ^ 


FALLS . 

Brent Chemicals 203 - l 5 . 

Cam rex " 2 

Slebens (UK) - 408 _ j- 

De Beers Defd ^ Jf. 

President ^tewt •*« „ f 2 ; 

Selection Trust 496 10 


BRITAIN WAS effectively 
isolated today in the face of 
broad agreement among its 
EEC prrmers to support* a 
Franco-German compromise on 
.the form of exchange-rale 
mechanism to be used in the plan 
to stabilise European currency. 

When a mei'tjng-.. of EEC 
Finance Ministers ended here, 
the 5 ik -was tku only country 
.••till j? •layta'j ‘strong recerva- 
tions abont .. the compromise 
formula and maintaining tbat it 
would continue to press for a 
substantially different 

mechanism. 


Key element 


The British delegation, Ted by 
Mr. Denis Healey, Chancellor of 
the Exchequer, was seriously 
taken aback by today's turn of 
events. Officials were particularly 
piqued by' the fact that it 
reflected a sudden decision by 
France to side with West Ger- 
many pn a key clement of the 
monetary plan after supporting 
the UK view, 

Mr.. Healey is understood to 
ha vtr complained to his colleagues 
this, morn inn that the UK had 
been, given no official report on 
last week's talks between Chan- 
cellor. Helmut Schmidt of West 
Germany and President Giscard 
d'Estaing of France, at which the 
compromise was reached. 

British representatives were 
careful, however, not to suggest 


that the Government would go 
so far as to stay out of the 
planned monetary system if the 
rest of the EEC insisted on going 
ahead along the lines discussed 
today. 

The compromise combines 
elements of what had been 
considered alternative proposals 
for linking EEC currencies. 

Tbe first is a “basket” system, 
hitherto advocated by Britain. 
France and Italy, in winch 
currencies would be denominated 
in terms of a floating unit such 
as the European unit of accounL 
The second, most strongly urged 
by West Germany and the 
Netherlands is a “parity grid," 
in whicb currencies would be 
linked directly. : • 

Today’s proposal would define 
exchange rates in terms of the 
European unit of account, 
renamed the European currency 
unit. But intervention by 
monetary authorities would bp' 
determined essentially by upper 
and lower limits of Buctuatib a 
fixed in a parallel parity grid. 

The system would mean that 
whenever one currency was kt its 
upper limit, another would be 
automatically against its floor 
and intervention by monetary 
authorities responsible for both 
currencies would therefore 
become obligatory. 

In a pure basket system, by 
contrast it would be possible 
For a single currency to deviato 


significantly from its; central rate 
and thus have to bear tbe burden 
of intervention alone. 

Although the full operating 
details of the compromise remain 
to be worked out, the basket 
would apparently act only as an 
“early warning system," trigger 
ing consul! a Unn between 

monetary authorities but not 
autamaticcrj; iding to inter- 
vention. 


British; fears 

West Germany prefers a parity 
grid because the Bundesbank 
would have to intervene less 
heavily to defend a rising 
Deuischomark. There would thus 
be less upward pressure on 
money supply and less risk of 
domestic inflation. 

British officials here, however, 
■fear that the basket would be; 
relegated to a minor role in the' 
system. 

That might result in what 
amounted to an enlarged D-mark 
zone in which weaker-eurreocy 
countries would be forced to 
take excessively strict measures 
to keep their inflation rates close 
to that in Germany. 

The officials also object that 
the compromise mechanism 
would impose a lighter obligation 
on countries in current account 
surplus to take adjustment 
measures in response to 
persislent strength in their cur- 
rencies than would be the case 


in a pure basket system. 

The only concession that the 
UK expected today was an agree- 
ment in principle that national 
parities and the weighting of 
individual currencies in the 
basket might be periodically 
adjusted. 

M. Ren6 Memory, the French 
Economics Minister, described 
tbe proposed exchange-rate 
mechanism as “more than a com- 
promise — a good formula." 
Italy also appeared satisfied 

liie definition of fluctuation 
margins for currencies in the 
planned system remains unclear. 
M. Memory insisted that there 
was general agreement that they 
should be the same for ail par- 
ticipating currencies, but Ireland 
claimed broad approval for its 
contention that there should be 
wider margin for small countries 
than for big ones. 

It was generally accepted that 
the planned European monetary 
fund could not go into operation 
until tbe monetary system had 
reached the end of its two-yeai 
initial phase. 


£ in New Ynrk 

— j Sept. 15 


Pnvinui 


S(..t ' SI.9M6.9515 ; SL9GBWM0 

1 month I G.bWJ.48 itm ' O.&BjJJO dis 
3 nwurh*' I.4C-1.34 din I L46-1.40 ilis 
12 ninnth* ■ 4,904.70 dls i 4.95-4.75 ilia 


Laker £380m order 
for airliners 


BY MICHAEL DONNE. AEROSPACE CORRESPONDENT 


LAKER AIRWAYS, the indepen- 
dent airline which runs Skytrain 
cheap-fare flights to New York, is 
to buy 15 new wide-bodied jets 
— five more McDonnell Douglas 
DC-lOs and 10 European A-300 
B*4 Airbuses — at a total cost of 
.ESSOm. 

Sir Freddie Laker, chairman 
of the airline, announced the 
orders in London yesterday, 
shortly before starting his new 
cheap-fare (£84 single* Skytrain 
service to Los Angelas? nexl 
Tuesday. He said he was aiso now 
thinking of a “ round-the-world ’* 
Skytrain service from 19S0. at a 
single fare of $999 (over £500). 

Sir Freddie said his aircraft 
plans were " irrevocable." The 
order for the five additional 
DC-lOs had been signed, and 
finance arranged, with Bank of 
England approval. The order for 
the 10 Airbuses took the form 
of a letter-of-intent, with pre- 
liminary deposits put down, 

He declined to say where the 
cash would be raised, but 
stressed that no UK Government 
or Government-agency money 
was involved. 

One outstanding' question on 
the Airbuses was the engines 
they would use. Laker Airways 
was awaiting final offers from 
Rolls-Royce on the RB-2H. Pratt 
& Whitney on tbe JT-9D and 
General Electric on the CF-ti-50. 
and expected answers within the 
next 10 days. 

If neither Rolls-Royce nor 


Pratt & Whitney made satisfae* 
tory offers, Laker would use the 
GE engines which already power 
the Airbus in service with other 
airlines, and are also used in the 
DC-lOs. 

Sir Freddie said the orders 
would bring Laker's fleet of 
DC-lOs to 11 aircraft. The neiv 
DC-lOs would he “ Super 30s ", 
the heaviest DC-lOs yet built, 
capable of carrying up to 377 
passengers non-stop from Gat- 
wick to Los Angeles or from 
London to Sydney with one stop. 

The first two new DC-lOs are 
due for delivery in December 
next year, and the remaining 
three in 19S0. 

The Airbuses will he B4 
Series 200s. the biggest and 
longest-range version of the 
European jet, capable uf carry- 
ing 305 passengers over distances 
of 3,000 miles. 

The first Airbus will be 
delivered in Decern her. 19S0, 
with two in 19S1, three in 1982, 
two in 1983 and the last two in 
1984. 

Sir Freddie said that the New 
York Skytrain has carried 250,000 
passengers in a year, and 
earned nearly S30m in revenue. 
The £59 single fare tn New York 
will be kept through the winter 
until March 31 next. 

On the Los Angeles route, 
starting next Tuesday he intends 
to offer 251,800 seats in the first 
year, and expects to fill at Ic-ast 
200,000 of them. 


Lough line on wage drift 


'EY CHRISTIAN TYLER, LABOUR EDITOR 


GOVERNMENT DEPARTMENTS 
wilt'De telling all employers in 
both:, public aod private sectors 
that their wage offers will have 
to^take account of any earnings 
drift' above their notified settle- 
ments in tbe last round. 

■Tile, ruling is further evidence 
of ; Ministers’ determination to 
fignt hard for the strict applica- 
tion of Stage Four pay controls. 

It rbeams that unforeseen in- 
creases in a company's total 
Wfige. bill — from promotions, 
regrading and the like — will have 
to Jj'e offset against the 5 per 
cent ceiling on pay settlements 
the Gove ram e n t is seeking for 
the --coming 12 months. 

-It * is not clear whether 
attempts will be xrode to claw 
back’', money paid in conscious 
breach of the 10 'per cent — like 
Fbrd Motor's 12. per cenl-plus 
last- October. 

•r-The .'Department of Employ- 
nimit' said yesterday that a 
similar "rule had been applied 
last -year — a claim confirmed by 
ope nationalised industry which 
said yesterday it had had to 
TrqvV' before . settling under 
Stage "Three that it had ex- 
perienced no wage drift above 
Stage I'Two. - 

Instructions have already gone 
.butrto local authority employers. 


soon to face a claim well outside 
Stage Four for over lm manual 
workers. Nationalised industries 
have been circulated with 

guidance on the Stage Four 
White Paper, but appear not to 
have received this further 

specific instruction. 

In the rase of local authorities, 
wage drift of 0.7 per cent has 
been estimated, making even 
more difficult wbat already 

promises to be a hard winter for 
their negotiators. 

The Treasury is conscious that 
this attempt to recoup leakage 
in Stage Three will' not be easy 
when the 5 per cent limit is 
already seen by many unions as 
too low to be realistic. But both 
the Prime Minister, when he 
spoke to the Trades Union 

Congress, and the Chancellor, in 
a speech last week, have left no 
room for doubt . about their 
determination to interpret tbe 
policy strictly and take action, 
against offenders. 

According tn Whitehall, this 
further curb on settlements is 
contained in paragraph 12 of the 
White Paper. 

After saying that earnings 
from all sources must be taken 
into account “on the basis of 
past experience" the paragraph 
adds: “In the Government’s view. 


the total increase For any group 
compared with the previous year 
(apart from those exceptions 
described elsewhere in this 
White Paper) should not be more 
than 5 per cent,” 

However, it is likely that the 
claw-back rule will be applied 
much more strictly in the public 
sector, over which the Govern- 
ment has immediate control, than 
elsewhere 

Meanwhile protests from 
unions with low-paid members 
continued io grow,. Lord Allen, 
general secretary of the Union 
of Shop, Distributive and Allied 
Workers, i-iid yesterday that, 
apart from some 'notable excep- 
tions, wade rates in retailing 
were “nor farvemoved from the 
Dickensian era." . 

Mr. Fred Dyson, general sec- 
retary of the National Union of 
Dyers. Bleachers and Textile 
Workers, said hi s union was 
awaiting a reply from the Prime 
Minister to its letter asking for 
the limit to be raised for the low 
paid. 

The Government has said that 
settlement.' in excess of 5 per 
cent witi he permitted, to bring 
workers up to total earnings of 
£44.50 a week^-a figure that these 
and other unions have protested 
is far ton low 


•jv- CONTENTS OF TODAY’S ISSUE 

|Ebrapean ncis 3 

American news 3 

Overseas news 4 

Worid trade- news 4 

Home news— general ...... 6-8 

— labour S 


Technical page 11 

Management page 13 

Arts page 15 

Leader page 16 

UK Companies 32-35 

Mining 35 


Inti. Com ponies 36-38 

Euromarkets 36 

Money anti Exchanges 39 

Worid markets 40 

Farming, raw materials ... 41 

UK banking 17-30 


■Sadat and Begin face many 
..problems 


FEATURES 

Film .and Video: The right 
word is important 14 


The daunting, competition 
' tnr semi-conOnclors 31 


Hyundai's Pony on a slow 
trot towards Europe ... 32 


A Kenyan -.land project 

nears completion 41 

U.S. shoe market clamps 

down o n imports 4 

FT SURVEY 

UJv. banking 17.3Q 


.' ABPOtBtmonlS ii* .. .. 

awlntmcnts Jftfvts. 

Oprif. ... 
'Croscwonl ..'X,: 


■Mv Ewtinow OaWr.^.;. 

■ies mdfes 


.■FTnfcSUwries 






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Egyptian Foreign 
Minister ‘quits’ 
over agreements 


CAIRO, Sept is. 

the agreements with Israel has 
been muted, in part because the 
news arrived too late for main 
newspaper editions, and in part 
because the public have been 
comprehensively prepared for 
failure of the Catso David meet- 
ing. 

Only yesterday morning, the 
semi-official Al Abram told its 
readers that President Sadat 
would be revealing the details of 
Israeli ** instransigence " to the 
world during a Washington news 
conference this week. 

However, preparations are 
already in hand to accord Mr. 
Sadat a hero's welcome when he 
returns home and a Press cam- 
paign will be orchestrated to 
demonstrate that the Camp David 
agreements are good, not just for 
Egypt, but for the entire 'Arab 
world. 

Cairo Radio this afternoon 
claimed that the agreements had 
taken into consideration all Arab 
interests. They had achieved 
the principle of Israeli with- 
drawal from occupied Arab 
separate lands, something that the Israelis 
This is also have always previously resisted, 
believed to be the view of Reuter adds from Cairo: 

several Foreign Ministry officials, Egyptians gathered round radios 
but it remains to be seen and snapped up a special late 
whether. like Mr. Kamel and Mr. edition of Al Ahram this morn- 
will offer their ing as word of the summit break- 
through spread. 

The political impact of the Egypt’s delegate to the Arab 

w !?t iJi c reported resignations, provided League. Mr. Tahseen Bashir, told 

_ * vc •' 1!Uaie they remain limited in the reporters: "I hope other Arabs 

East peace sen lenient. present number. Is not likely to could be persuaded to take this 

Although official's at Egypt's be severe for the President- Very chance for peace — everyone has 
Foreign Ministry argued today few individuals in Cairo have to take some risks for peace." 
that once (he olher Aran states any sort of political “con- He thought remaining 

actually saw Israel withdrawing stituency** although the obstacles could be overcome and 
from the occupied territories, departure of two sueh senior men hoped Israel would abolish its 
they would be forced tn swing must take some of the gloss off 5 ettlements in occupied terri- 
into line, rather more persuasive President Sadat’s achievements, tones in the spirit of the Camp 
voices suggested that Mr. Sadat Egyptian popular reaction to David Agreement 


BY OUR OWN CORRESPONDENT 

EGYPT'S Foreign Minister. Mr. 

Mob3nuned Ibrahiui Kamel, and 
the ambassador to the United 
States, Mr. Ashraf Ghorbai. have 
both offered their resignations 
in the wake of the Middle East 
peace agreements reached at 
Camp David, according to un- 
official reports here. 

The Foreign Ministry here 
would not confirm the reports 
but other sources said the two 
men had quit because of funda- 
mental differences with Presi- 
dent Anwar Sadat over the 
outlines nr the deal reached 
with Israel for the West Bank 
of the River .Iordan, the Gaza 
Strip, and the future of the 
Palestinians. 

Mr. Kamel if- a career diplomat 
whn was a surprise choice for 
Foreign Minister following the 
resignation of Mr. Ismail Fahmy 
last November on the eve ol Mr. 

Sadat’s trip 10 Jerusalem. 

Mr. Fahmy has largely dis- 
appeared from the political 
scene since his resignation and 
a similar fate is likely u. await T 

Mr. Kamel if his request to go d ‘ al * lth Israel, 
is accepted hy the President. 

Mr. Kamel, formerly ambas- 
sador to Wc«t Germany has 

always appeared ill at ease in his Ghorbai' "thev 
contacts with Israeli leaders and resignations ’ 
was strongly wedded tn the —•=-'■ 

necessity of achieving 
saw as a comprehensive 



Mr. Mohammed Ibrahim Kamel 


Syria and PLO condemn talks 
and prepare counter-offensive 


BEIRUT, Sept 18. 

fall." 


victorious and Sadat will 
Reuter 

Louis Fares adds from 
Damascus: In • its main news 
bulletin. Radio Damascus said 


the 

the 

the 


SYRIA AND the Palestine among its leaders by Camp 
Liberation Organisation (PLO) David was expected to be 
today angrily rejected the Camp reflected in uncompromising 
David peace agreements and polity statements during its third 
prepared lo intensify a political meeting this week. 

counter-offsensive at summit In Damascus, the military “The head of the Egyptian 
talks of a five-member Arab wing of the PLO today declared regime has signed his act of 
alliance. that the Palestine people did not surrender at Camp David, he has 

The unexpected results of the recognise any agreement which given up the Arab demand for 
Egypt ian-Israeli meetings were President Sadat had ratified in full Israeli withdrawal from the 
bitterly condemned by Syrian their name, the name of the ocuupied territories, he has 
and Palestinian officials as a Arabs, nr even that of the sacrificed the PLO and 
flagrant violation of Arab rights Egyptians. interests and rights of 

which could provoke another Mr. Zoheir Mofasen, head of Palestinian people." 

Middle East war. PLO’s military department and Announcing the news, 

Arab diplomatic sources here commander of the pro-Syrian radio said “Sadat has accepted 
said that moves to wreck the Sa’iqa commando group, told all Israeli conditions which 
peace plans would bo the focus reporters: "What has happened caused him in the past to stop 
of talks between the leaders of at Camp David is an extension his negotiations with the 
the “Front for steadfastness and of the treason begun by Sadat terrorist Menacbem Begin who 
confrontation." due to open in “We are not at all interested said ‘We have reached the 
Damascus on Wednesday. The in the details of this agreement impossible.’ He has further 
sources said the meeting may because we condemn treason and accepted to establish full diplo- 
consider establishing military reject it both in letter and matic relations with the Zionist 
pacts with the Soviet Union. spirit." enemy.’’ 

Syria 3nd the PLO form the No agreement would “ prevent It .described the Camp David 
nucleus of the alliance, which our continued revolution and agreements as “contradictory" 
also groups Algeria, the Libyan struggle . ... and we shall to UN Resolution 242. and 
Jaaiahiriyah and South Yemen, strongly stand up against the noticed that the agreements said 
The diplomatic sources said American-Zionist-Sadat alliance, nothing about the occupied 
the shock and anger generated Ultimately, we shall emerge Golan Heights and Jerusalem. 


TEXT OF 
THE ACCORDS 

A ‘just 
and 

durable 
peace’ 

The Framework for peace i n ibut. as one 
the Middle East: The parties are j recently put 
determined to reach a just, cunnin^ 

prehensive and durabel settle- 1 w jj| never enter a room with- Arab states, and sot -'Egypt; 
meat to the Middle East conflicts l out Bowies where the be the ones to suffer the conse- 

through the conclusion of peace emergency exit is.” quences. ' 

“"'^^nd^^to' The outline agreements The freqaentiy-repeated state- JKL? 1 * 

Jn Se SS ThPir purpose 1 cached with Israel’s Prime sent that the Arab- world 1» fJJJJJ 1 
ail IflClr parts. ineir purpuac | WAfi^hom TSocin dupinry yfl!idr tn trt tbn.lort ISrSCi 




Success of Sadat’s 

rests with Saudi Arabia and 

-jckme; Sept 

BY ROGER MATTHEWS 

PRESIDENT ANWAR SADAT standard of firing that offers the quickly idenHfled'by the efficient 

has demonstrated throughout his greatest danger to -the President, intelligence servitw- David talks' - v«ml 4-fei 1. “ ' ? - 

eight years in power in Egypt By offering to deliver the country However, Mr. iwaat wm .that Ptinct ^ 

that he is a spectacular gambler, from the danger of further wars to ensure tlro_._we^arajr # hc Feisal the' - Foreign - ^ 


Sadat 
separate 


They agree that ] bigg^t political rtskthat Sir. dec: XassexV pan-Arabism, can ‘there **couid well be an —being reriisedJ-^fmf'i 

5 mtenoeu , c ■ . u,, .mr "Frtr nnrp vielH a r»i*h twin n? ennnnrt miihin IhP wish -tf* Hnnpar-^fvmnu 


work as appropriate is miniueui-y h taken 

by them to' nutltute a basis o {j ft i? diffic^t to 
peace not only between Egypt find lhat 


A treaty with Instead,'thegaudi s eah si 

to the cost of brother wider splits developing a 
' countries, the Arab state wttbooi , sqi 
between their most cherished anus^ 
sy ria and Israel to the coming as the return of,east/Jera 
.... months there could well be an — being .realised ; 

For once yield a nch vein of support. increase in tension within the wish to appear-dtvorced, 
is difficult to see where he xeilher will tfaere.be much a rmv. aims . - v.Pate* 

and Israel ’ bur also between : J* 8 * emer ? eQC? exjt opportunity for those who oppose However, the key to what people. ra. pm4jcular. the.: 

Israel and each of its other neigh- 1 should 11 be retiUirea ' Mr. Sadat's deal with? .Israel to happens inside Egypt depends tine- 

bours wSiclfis preDared to nego-l Domestically, there appears to express their feelings. The h eavi1v r»n external Arab lectors * has predi ctably -y fe - 

ti a te peace on ?hfs basis .'be no immediate threat to the President's clampdown on Essential lv the oil producing the Camp. David accords t 

West Bank and Gaza: Egypt, ; President. The greatest gif i that domestic opposition this year. s * a tes which have provided 
Israel. Jordan " n d th« repre-'he would bestow on ztis im- seen ay many as a setback for crU ciaI assistance in keeping Tne the 

sentatives or the Palestinian j poverisbed nation, where .gross b:s professed plans to Introduce Egypt’s ailing economy aRo *^. WshiSShSinto^rKt- 
people should oartictoate in, national product per capita is greater Political jrberaltation. Whereas -Mr. Sadat can dis- PUsmn&t^iRtpOTcha c 
negotiations on the resolution of i only marginally over S300 2 oas already silenced many of the ra j SS t he hardline Arab gat es 

the Pa lesbian problem -year, would be a sustained dissident voices. which opposed his peace • efforte. get -W 4**0. 

Egypt and Israel agree that [period of peace that wou.d The Marxist • left add the he has to pay attration to^Saudi ^^n^« 

there should be transitional/ reduce the need fo J . aESS!Ve ^sseriies wiU undoubtedly con- Arabia and Kuwait wh^ for ^necamioT^»id of Qj 

arrangements for the West Bank 'military spending and increase demn Mr. Sadat's peace- efforts past nine months have rfEecovely une.- “[jyjjntii wul n 
and Gaza for a period not exceed - 1 Vhe prospect of western invest- as pro bahly will some of the sat on the fence white becoming wore lUtmoM itew 
ing five years. To provide full > merit in industrial projects. more traditional Islamic forces, more and more agitated at the Mr. Sadat -somehow has- 

autonomy to the inhabitants.! This is undoubtedly eppre- bur they will have tittle room for widening divisions wttmn tne.-renric^«L 


under these, arrangements the j crated by the mass of the people manoeuvre. 


Arab world- 


Great statesman, hero of 


Israeli military government and; whose cautious reaction to 'the Trying to assess the -reaction Should they decide that Mr. 

its civilian aHminidraimn u’hl ! ...... u'lchinntnn ir.fij._- .t-k. ... ciHit is nn balance a greater lator. to ASie.nCiUi .asd t 


aims— so the. i*. ^ 


its dvilUn administration wb] news f r0 m Washington today 0 f *cbe Egyptian military is more Sadat is on baiance a sreat^ 

be withdrawn as soon as a self; was typical of the gectie cyui- difficult because of their tradi- tbrear to their national interests exp^nsioTust 

governing authority has been * - ’ ■ * ' ' **- * .u- «infrKnn»- 

freely elected hy the inhabitants 
of these areas to replace the 

existing - military government., 1J1UWU . Iiumi , lu MHU . 1 ., * . J!C -- ----- - , . . . _ . . .. „ . 

The Government of Jordan willij^ j s economic mismanagemert hanoened after Mr.. Sadat’s visit Saudi Arabia in particular. hpd. the w orId noted for 
be invited to join the negotia-j and anv thought n? attack on the to* Jerusalem last November, been making strenuous efforts in quarrels th>?nian does no » 

tions o nthe basis of this frame- 1 average Egyptian's alreadv law those expressing doubts are the past week to set up an Arab physical courage. 

work. i ® ■ ■ 

Egypt, Israel, and Jordan will j 
agree on the means towards 
establishing the elected self- 
governing authority in the West 
Bank and . Gaza. A withdrawal 
of Israeli armed forces will take 
place and there will be a re- 
deployment 1 of the remaining 
Israeli forces to specified security 
locations. .’ 

When the governing authority 
( administrative council) in the 
West Bank and Gaza is estab- 
lished and . inaugurated. 


Begin likely to face 



BY DAVID LENNON 


THE KNESSET, Israeli Partia- the Knesset is the Labour Party, vote. This will leave the out-.” 
ment will have to decide within Previous Labour Governments right opposition vote to the five 
the next two weeks if it is pre- but’? the settlements in Sinai members of the Commu- 
pared to dismantle the Jewish and Labour was most vociferous party, and possibly one or 
the ! settlements in Sinai in exchange in its objection to the original two of the other small parties 


• PARTIES IN THE ISRA1 
'...*. .KNESSET 
: .COALITION 

_ . „ ... ... ... . . ... Likud y.. , 

transitional period of five vearsf for a peace agreement \nth offer by ^Jr. Begin iast December which have one or two members. , ^atjonaj RtHgious 

will begin. ■ Not later than the Egypt to return the whole of Sinai to ‘ The key test of opposition liea .- pii ri x ir ait r ci-ffevvfntnt * 

third year after the beginning of! President Sadat has made the Egypt, including the settlements, within the ruling coalition. Mr.' ■ (Yadm Faction) 

the transitional period, negotia-j removal of the settlements a ore- The chairmaniof itiie Labour Begin. does have his Right-wing . Agudat Israel 

tions will-take place to determine (requisite for a peace agreement. Party. Mr. Shimon. Peres, said critics within the Likud group. Moshe Davao • 

the final stages of the West Bank I But Mr. Begin insisted that he that Begin had made “bold One of them, Mrs. Geula Cohen, v ' 

and Gaza and its relationship! could not take such a decision decisions” at Camp.DaritL But has already declared, that -JJ»e .. . 

with its neighbours and to con-} without consulting bis parlia- he added that the- agreement Camp Darid agreements athoun-. - . V ’OPPOSITION 

elude a p$ace treaty between ment could have been achieve^. earlier However, she . represehls an • Labour Par^ 

Israel and Jordan These negotia- 1 The Begin coalition commands and he expressed doubt about extreme group which commands change ; -anrf Initiativ® 
tions will ^.conducted among 1 69 of the 120 seats in the paying the “ heavy, i^fice " of ^w votes, possihiy less than f£MC rebels j 


Uncertainty for Sinai settlers 

TEL AVIV, SepL 18. 

THE AGREEMENTS reached at served as a buffer between Shortly after news of the Camp 
Camp David by Israel and Egypt Egypt and the 400.000 Pales- David agreement reached Israel 
leave a question mark hanging tinians living in the Gaza Strip, settlers in Rafah formed an 
over the future of some 10.000 Prefabricated houses were emergency committee to fight j 
Israeli settlers on occupied Arab erected on the sua-btistered any attempt to remove them 
land. sand dunes of Sinai and the from their villages. 

Since 1967. when Israel cap- Israeli settlers — using the latest Although some observers be- 
tured the Golan Heights from agricultural techniques — have fieve that the issue of settlements 
?£i a - ^ . ™est Bank from been growing quality fruit and in Sinai can be ove rcome. the 
Jordan, and the Sinat Desert vegetables. „„ 

from Egypt. 90 Jewish settle- Preliminary extracts of the is far more delicate on 

ments have sprung up in these agreement reached at Camp me Jordan west sank, 
territories. David yesterday did not make Some 45 settlements have been 

Eighteen settlements have clear what the future of the established in that area during 
been established in the Sinai settlements in Sinai and the West the past 11 years. Although part 
Peninsula, most of them in the Bank would be. But President of the- Israeli ratiooale behind 
Rafah approaches on the Mediler- Anwar Sadat of Egypt has made their establishment emphasised 
ranean coast. Israeli leaders dear he would not tolerate any security, the issue also involves 
have insisted that ihe settle- permanent Israeli presence on deep emotional and religious 
ments were essential for the his territory once peace was convictions. 

Jewish Stale's security as they achieved. Reuter. 


Egypt. Israel, .lords.-; and the 
elected representatives of the 
inhabitants of the West Bank and 
Gaza. 

All necessary measures will 
be taken and provisions made 
to assure the security of Israel 
and its neighbours during the 
transitional period and beyond. 

During the transitional period, 
representatives, of Egypt Israel. 


Arab fist 
' Stunner flatto-Sharon 
Poalei Agudat -Israel 


Knesset and on paper should stopping the creation- -of new a vote on war or peace.- . : Common! sts 
not have any great difficult:.- in settlements on the West Bank. General Ariel Sharon, the most SheHi . ' . V 
forcing it to approve his terms. Former Labour Trime Minister, active.', of the :.TrO-settlemcnf. IndependmttUberiJs 

But on such an emotive issue Mr. Yitzhak Rabin, said the news figures within the Cabinet,- said ' Citizens. RTzbts 

as giving up settlements is for was “very' exciting. There is that the new agreement was “a 

Israelis, the Prime Minister na doubt fb c Government has tremendous step towards true 

could find himself facing .given in on many issues on which peace." r '. . 

defections within his own camp, it was previously unyielding, but - The coalition includes' : 16 
Because of this. Mr. Begin is Egypt aid .not get everything it mem here, of tw religious parties."''"" \ — .*» 

unlikely to offer Ihe Knesset a wanted either.” he told reporters. They may also be divided on the" 

- — - - .simple choice of voting for or Labour has 31 seats in Parlia- issue of giving up Jewiah-xettle-. he a dangerous prtcede- - • 

Jordan, and the self-governing against the removal of the settle- menu but not all of its members ments. - "-. abandon any settlements. . 

authority will constitute a con- (ments. are unified on the settlement ..But as. the Sinai 'is, not may see giving, up the - 

tmuing committee to decide nnl It is more likely that he will :ssne. regarded as a part of the BjbUcal settlements as likely to id' 

admission of persons displaced’ insist on a vote beina taken on It will be difficult for the Land of IsraeL the issue wifi be pressure to repeat the p.W 

From the West Bank and Gaza [the whole agreement This would party to vote in favour of dis- easier for them than if ihe area on the West "Bunk, 

in 1967. !then require opponents of the mantling those settlements, but under discussion was the. West.- -.Because of this, some i 

Egypt and Israel will work : settlement plan to vote against it will be equally impossible for Bank, viewed by the religious as religious parties’,, member 

with each other and with other I a peace agreement, something the party to vote against a peace Israels by divine right absent themselves from 

interested parties to establish I few would be prepared to do. treaty. Some .'religious . Knesset chamber," abstain or pc 


Riyadh remains silent on pacts 


BY JAMIE BUCHAN 


JEDDAH, Sept. 18. 


THERE WAS no reaction today, warned in Cairo of disastrous had been “woven in Camp 
from Saudi Arabia, considereded consequences if the summit David.” The agreed framework 
a crucial supporter of Egypt, to failed. for an Egyptdan-Israel i peace 

the news from Washington. At ihe time of President treaty was a “direct diktat to 

Saudi Radio reported that Sadat's visit to Jerusalem last Sadat” to conclude within three 
President Sadat and Mr. Begin November, the government said months. “ A separate deal on Tel 
would attempt to sign a peace that any Arab initiative toward Aviv's terms.” providing for only 
treaty within three months but settlement of the Palestine limited Egyptian sovereignty 
gave no official comment. question must emanate “from a over the Sinai because of security 

None is expected until it is unified Arab position.*’ Not only and limited force zones, 
seen whether the critical does this reject unilateral action Tass said that President 
response from Mr. Sadat’s but also insists that only the Sadat’s agreement to the second 
opponents and the Palestine PLO may speak for the Camp David document, the 
Liberation Organisation leads lo Palestinians, a decision of the general framework for a Middle 
action. It i-s as yet unclear Rabat summit in 1974. East peace, which made no pro- 

whether the Sand is were aware Since then, Saudi diplomatic vision for sovereignty for the 

of the turn the Camp David activity has been aimed at West Bank and the Gaza Strip 
talks might take, especially uniting Arab ranks on the was a betrayal of the Palestinian 
following President Sadat's initiative, and. according to came and a “surrender to ail 
pledges nr»t to sign a separate sources in Jeddah, restraining demands made by -Tel Aviv and 
peace treaty. Mr. Sadat's more violent Washington.” 

In an unusual statement opponents, in particular the j n London, the Foreign Office 

before the summit. Crown Prince by T' aD ^,_ .... - ' described the outcome of the 

Fahd told the Kuwaiti paper ,n Moscow, the Soviet news Camp David talks as “a very. 

Assyassah that "Saudi Arabia today said that considerable achievement on the 

supports the summit because Pre^ment Sadat acquiesced to a part of President Carter *' 
Camp David will either end the “ direct diktat ' from the Israelis Agencies report 
problem or the door will be and betrayed the Palestinians by “ i t i s dearly a verv consider- 
shuL” The Saudi commitment agreeing to the two Middle East a t>i e achievement on the part of 
to the summit was confirmed peace proposals which concluded President Carter to have broucht 
last week by Foreign Minister the tripartite summit meeting at the two sides to agree on tile 
prince Saud Al-FaisaL who Gamp David, writes David Satter. framework for further peace 
before the foreign ministers in the Erst Soviet reaction to negotiations covering Sioai the 

meeting of the Arab League the end of the 13-day taIks.-T.iss West Bank, and Gaza.” a spokes- 

jaid that - « real plot against- the peoples of the Middle East* 3 man said. 


agreed procedures for a prompt, 
just and permanent implemen- 
tation of the resolution of the 
refugee problem. 

Egypt an dlsrael will settle 
any disputes by peaceful means 
in accordance with the provi- 
sions of Article 33 of the Charter 
of the United Nations. 

Framework for the conclusion 
of a peace treaty between Egypt 
and Israel: To achieve peace 
between them, Israel and Egypt 
agree tn negotiate in good faith 
with- the goal of concluding 
within three months of ihe 
signing of this framework a 
peace treaty between them. 

The site of the negotiations 
will be under a United Nations 
flag at a location or locations to 
be mutually agreed. All of the 
principles of UN Resolution 242 
will apply 

The following matters are 
agreed between this parties: The 
full exercise . of Egyptian 
sovereignty up to the inter- 
nationally - recognised border 
between Egypt and Mandated 
Palestine; the withdrawal of 
Israeli armed forces from the 
Sinai: the use of airfields left by 
the Israelis near El Arish, Rafeh, 
Ras En Naqb and Sharm Ell 
Sheikh for civilian purposes 
only; right of free passage by 
ships of Israel through the Gulf 
of Suez and ihe Suez Canal. 

It is also agreed that a highway 
constructed between Sinai and 
Jordan near Elat with guaranteed 
free and peaceful passage by 
Israel. Egypt and Jordan. 
Military forces in. the area will 
also be contained by agreement. 


The main opposition group in So Labour may abstain in the members may feel tiiat it would even vote against, 

A triumph that Carter’s presidency heed 


BY JUREK MARTIN, US. EDITOR 


WASHINGTON,. Sept 


EARLY LAST month, when he the stuff of leadership exists in the presidency among Democrats, was President Ford's_ adv- 
convened the Camp Darid sum- abundance. prompting a recent’ spate of fh the Mayaguez affair in 

rail. President Carter observed Moreover, Camp David has . articles on whether or hot he wifi The name of the game: 
that “ the stakes are so great that given those charged with the enter the 1980 race, whUe many capitalise on them. . 
I'm perfectly willing to risk of projecting a more positive: .seasoned political observers It appears ’ ..that _ FT* 
adverse political consequences in presidential image the sort of believe that the only _ Democrat Carter will follow thro® 
the hope that we might make material they must have longed who could win the presidency two Camp David with "another 1 

» for. In reality, Mr. Carter has years from now would be Vice- when the Senate votes thh 


on the natural gas comp: 

talk- 


progress in establishing a frame __ __ _ 

work for peace.” This morning, been enjoying a fair number of President Mondale. 

in the euphoria that is pervading successes — the Panama Canal, ® ut Cmop Darid has certainly BilL There" is even 
Washington, it appears that his the Turkish arras embargo the served to remind the Democratic the -Democratic leader i. 
gamble could pay enormous Defence Bill veto, civil service' Party, if not the country, of the Senate, Mr. Robert Byrd, i 
personal dividends. reform — to match against lack of’-powOf of the Presidency: it has — that there may be life u 

It must be said from the outset accomplishment on both energy completely dwarfed Senator had been assumed m b 
that in the iconclastic moveable economic fronts. Kennedy s hitherto trumpeted moribund crude oil equal 

feast in which AmSfoS p n t m,™ nF . . recent trip to Moscow (and his tax, though Mr. Byrd's opt 

politicians onerate these da vs tbese victories.- warm welcome at the bands of could be misplaced. 

SoSgS pem^ent. What lS fij in" nafure ****** ***“*>•. * \ Y° Uld All ■ this does- not jjj 

been Gained on the Middle East »iff n P^ucuiar m nature, and appear to have done much to re- mean that Jimmy Carter 
c“ jSrt as SaSlv be losttif S« I vS?fnn.n 0 Sf e * has b ^ n a bond of confidence stone-cold certainty ftr. 

another arena-in the encrev ™ con vcying between the President and the election In 1980. as some- 

programme for examnle or on J? w „ or ! d R t large a sense of still influential American Jewish hitherto dwindling band. ® 
SfpSStTon to a seSSd inti" : community, and it may cause porter* might be excuse 

inflation programme —Sphere itLi'n STnnifs 1 S J£T d n ,F m °* an y .Democrats to wonder if thinking. Bui it. does raea 
special interest will still be ^=°r!tiL S a « < L? e M adespTe8<l the J 030 continue to oppose their politicians and public vnt 
working their 5 own particular h „ P£ obab j>' over- 0 wn President with the impunity to take his sometimes uno 

wins particular anpha^sed by the polls and the they have affected in the past tional approach to the. . 

Rnt IF i* , - „r, Washington establishment, that. year. - • .dency : much .more, sec 

15 ° ne r he ‘ s Weak aod ^effective. • ' Presidents, as Dr. Heniy After slC-the Camp Davk 

ifwi'mw ^ These same polls have sug- Kissinger remarked on television mlt was arranged on-hlfc 

^ ^ ls P eS *ed that Mr. Carter is a this morning, care less about in defiance of much convta 
t0 a ? ^ f7 en President not merely without a their srandJng in the polls than wisdom — above all that. 1 
fho pr f^ dent ' T ^ il ^5 party but 3180 with a frafl : their place in history^ But Presi- dictates that there- is little 

Dav, }J national constituency. Senator- dents are also conscious of the in calling a summit if the f 
U Edward Kennedy is consideretTneed for triumphs, even when , are not essentially deter 
convince a sceptical public that the overwhelming favourite forffiey are in practice pyrrhic, as beforehand. 


Jordanians braced for new round of U.S. press: 


AMMAN, Sept 


BY RAMI G. KHOURI 

hSSS 1 ?™ Smman t ^ uesti ? ns sovereignty. an d the impression would like them to do, because one senior official has calit 

art,/ vtee a^ 5 Jardantaa SIS S?aw Palaatinian role - lo the West, 

the island of Palma with King into the negotiations is unlikely, territories. 


*lin 


the 


self-determination." This will have to be work* 

King Hussein has been saying in great detail and agreed 


occupied 

* — - _ » *9 UUiKXCit, WlLUUIKVh. 

Souin Tnrrfairin the Another fflitor is tile obscure during the past Bve years 'that Egritt, Syria, Saudi Arabw 

reaction to the ramD^vfd^m® da t h aS f , lt> ' nalure of how Palestinians this^sel E-determination ’’ is an PLO and the Palestinian*.! 

mil ia not ei4^T£.Ul after he Ihiorn^tion BfS, Mr Aten I'ltvSvS ? n nd rt e ^ Sg Middle * W W “ l Banfc ^ -- 

reaches the Jordanian capitaL Abu Odeb. and his Minister of HSm their otSTltui deter ‘ “SSSs posi^a to the Arab ^ T ^e Jordanians tt now^ 

, Hussein bad originally Stale lor Foreign Affairs, Mr. nL I 6 ' . Worldand- towards the P^est toe «««!<? accept a clear Pafe& . 

been expected to fly from Palma Hassan Ibrahim, on initial reports P9 s,tive . s “? e * l _ n ftberation Organisation is com- ^ ecislor> to establish an tof ; 

to Rabat for talks with King from Washington Bur official! J? tbe .. Israeli gffiSfby S7 SSeSS ^ 5 more dent-State in the West BM 

Hassan of Morocco. are refusing to comment aT thi! 3555™ ° ,he .W«S5SS?-to S S5 3 * “ d “mmij- 

But soon after the end of the stage. • . in the Jordan the Palestinians - 4 *-, 

Camp David summit, the The Jordanians are braced for 5 aUow C ^S_ j£^i 0 cannm S wft tD ***** exactly . 

Jordanian embassy in Rabat said new round of prSsuS ft l S5g» e \? £ S "kSX' UTSiS to d -°' ' - - 

Amma'n S AOU,d r ® turn direct t0 primarily from the U.S.. to enter areas ^ upied . with Israel over the fate of the W this can be done as a- 

Alw »« Amman tmSi? 1 negobatlons the Th . _ . a Psiestimans’ homeland in the of the Camp David' talks, J- 

Ateo retoramg to _Amman to- Israelis. These are hott key demands -Bank and Gaza. Instead, will willingly, join the fie 

J*" ^u re c ? rs . discourage for Jwdan.whial is now expected -maintain his- position of tions. if it cannot, there 7 - - 

cyZ^r adviser « Abdul Hamid Jordan s entry into talks with !0 step U P l }s campaign to forge uyinff to fit hjs own policies into reason for Jordan to do ans 

Israel include the Camp David *L “ e * v Ara* 3 consensus on the ' th'a toritifliisihg framework of an other than continue its de 

thSScffJ Iun ?i. peace , agreement to maintain nn Israeli status of the occupied territories. Arab consensus, which could be fence-sitting exercise, ' V . 

i” tl,e Wcst would bo'JSSodVat an’ Arib aimmit or . ^ 

eiemd.n7c er °+2 . conlai S 3 Gaza for ^ ve y ears - hesitant to rush in to a policing simply^y a round cf talks. ; 

SSJ. that iZHSLt. Sta J e ? Ia r Ck T? f a « r ? einent on the return role in the ocgnpled territories --Jordan can.,howevef,present 

r daman requirements, but of East Jerusalem to Arab as the Israelis and Ame rica ns itself is -being able to play what - 






a 


V 








3 



■ Financial' Times Tuesday September '19 1978 


EUROPEAN NEWS 



power opponents 
by IAEA director 


BY DAYJD FJSHLOCK, SCIENCE EDITOR 


Commission 
plans moves 
on farming 

By Guy de Jonquieres, 

Common Market Correspondent 
BRUSSELS, Sept. IS. 
THE EUROPEAN Commission is 


JMF ‘shelves’ stand-by 
credit to Nicaragua 


BY JOSEPH MANN 


MANAGUA, Sept. IS. 


Quebec 

election 

semantics 


nuclea^^Kiwer n and^nn" nuclear^nw^r ^°° struitin * a changes such as midear power p^[n □ j^g^io ^^pcai^ tcT the S head s A STAND-BY credit of SDR 40m informed sources in the private only one institution had thus far - Robert Gibbens in Montreal 

- * a . nd Dn Dl iS' e “ P^ w ! r f^ nt - „ . Programmes the nine CiSiiMn irSet labour 353m) sought from the banking system here. disbursed part of the $41m “dub 8y Robert Glfabens ,n Montreal 

• .Mtionai policies which tried to The NPT had been, ratified by It was a phenomenon particu- Governments to lend their per- International Monetary Fund by The President of Nicaragua, loan** agreed recently by several 

•stabiish a direct relationship °r acceded toby 104 nations, he larly evident in the highly sonal authority to its -attempts tJ,e troubled government .of Gen. Anastasia Somoza. and the foreign banks and the Nicaraguan ONE OF the most complex 

jetween the growth, of nuclear “ this solemn under- industrialised and affluent t 0 secure continued restrainl Nicaragua'-, has been shelved, president of the Nicaraguan government. One British bank issues on Quebec today is the 

• sower and nuclear orolifcratinn taWn S* together with .the safe- nations with market econo- over common agricultural prices according -to private banking Central Bank, had assured me was reported to have credited Parti Quebecois Government's 

iras 'madp vpaprdav hv rh» ^u^f ds P rov isions. was the best mies. It was not evident in the and reduce the EEC’s mounting sources bet®. earlier that the IMP credit had the government with S5m while concept of “sovereignty- 

• jt i “r.u'-, 1116 ? c p ifiVH ‘”e guarantee that peace developing countries. -with more farm surpluses. Nicaragua, " swept by civil been approved. other participating banks were association." as a status for 

: . ' • ; airecior-general of the. Inter- ful nuclear development would lhan two-thirds -of the world's The hope in Brussels is that rebellion '.and great economic An IMF spokesman in Washing- having second thoughts. the province. Yet no amount 

. latipnai Atomic Energy Agency not lead to the proliferation of population, nor in nations with the Govemmeni leaders' will uncertainty, was counting heavily ton refused to comment today on The Somoza regime is facing of public pressure from 

[IAEA), Watchdog of the nu ^® ar weapons. . centrally planned economies. agree at their next European °n ihe .IMF credir in order to the Nicaraguan application for severe financial problems and the French or English speakers 

' -.-VJuclear Non-Proliferation Treaty “ wi . s . hf . ul . think ? rs :". as Dr. council meeting in early [replenish its fast-disappearing assistance. national banking system is highly' has been sufficient to prise 

’tNPT).' * lacked today was the ewmdencu Eklund called them, hid behind December to issue a declaration foreign cmrency reserves, pay Delay or denial of the credit illiquid. The Central Bank some definition of Ihe term 

; "Dr ' SiT-ard Eklund r n hi* °L clear government policies and such terms as " appropriate, soft calling on their Agriculture mounting-bills and restore some would be a heavy blow to a recently imposed exchange con- from the premier. Mr. Rene 

- loenin" address to the general 0f a f sure “ supplies of fuel and or intermediate technologies." Ministers lo abide closely by the confidence .to foreign bankers national economy virtually trols on the Nicaraguan currency Levesque, or his chief lieu- 

-. •inference of the IAEA in S oro C ® S S had en30ye £ *5 lh ® Thc V wanted a world in which proposals pui forward by the who deaiwith the government. paralysed by a general strike the cordoba fpegged officially at tenants. 


- jpenins address to the eeneral . .. “““ imermeoiaie lecnnoiogies. Ministers to abide closely hv the ton “ n r a sn — — . .. — -- — 

-. 'onference of the iafa in \ l had cn30 J’ ed lh * They wanted a world in which proposals pm forward by the w-fio deal With the government paralysed by a general strike the cordoba fpegged officially at tenants. 

• Vienna said that while the 1980s: , that sites C3n be * mind developing nations made do with Commission for the farm price Reports ■ of the IMF decision which began on August 25, and seven tn the U.S. dollar), in order The Government recently held 

- wnrrd'*' inctnlleH nuHeer oiee 011(1 P ,ant 5 built without. Inter- windmills, and the developed review not to srsnt Nicaragua the stand- widespread internal fighting. to stop the worst flight of capital weekend "policy session" 

' . , 2 ricity S . capacity bad X rown mina ?- e and .. e*? ensi 2*. lt gal na,ions with zero growth. These proposals have still tn by credit now came from »--• **— ,J - - f 41 

.'exponentially from 5 MWe In col 5 Pl}? at, ons. There had been Let there be no mistake, be drafted. But the indications 

1955 to 100.000 MWe. with ? decline. in orders m .the past Small non-conventibnal energy are that they will be at least as j* '• 

• mother -200,000 MWe under ? ears ', as _ a rtsult ( ? r sources might be the best solu- strict as the Commission's TV t \T ^ _ __ 

• mnstruction or at an advanced r A ecession and more emphasis tion to energy supply in small original recommendation's for V 

stage of planning, the rate of conserva ti° n — reflected also rural communities but they this year's price fixing — which JL A 

. acquisition or nuclear weapons f , ewe £ ° rde ”: for . fossrt-fue' cannot turn the wheels of Indus- called for an average rise of less 

aad slowed down. plants — but partly because of trialis.irion of a country" than 2- per cent — and could iQfiN WYLES 

Between 1945 and 1954 three “M5 a vf, con fid Bnce - . _ Of the International Nuclear provide for near-zero price 1 -. 

nations had develoned - nuclear Dr - , Ek 'bnd reminded dele- Fuel Cycle Evaluation, the U.S.- rises for some products in per- • . ... 

' explosives. Between 1955 and ® ates lb at the final communique inspired appraisal of nuclear sistent surplus. THE OUTLOOK remains bleak 


Parti Quebecois Government's 
concept of “sovereignty- 
association." as a status for 
the province. Yet no amount 
of public pressure from 
French or English speakers 
has been sufficient to prise 
some definition of Ihe term 
from the premier. Mr. Rene 
Levesque, or his chief lieu-' 


Bankers here also said that from the country in a generation. 


NY paper strike outlook bleak 


BY JOHN WYLES 


NEW YORK, Sept 18. 


THE OUTLOOK remains bleak The question of good faith in on the attitude of the other 


nuclear canacitv had “rnwn to indispensable “and the slippage isrPT review conference in 19S0. dav conclave in the Belgian of -bargaining. the publishers’ delegation, led by called strikes against the Premier incists that he will not 

:54.000 MWe in‘l9 nations only in lhe execution of nuclear But most of hk audience, he countryside over the weekend. With the strike by pressmen Mr. Rupert Murdoch, chairman publishers and all are refusing let Ihe public into the secret 

me further nation had aeclnired programmes must be reversed." c a j t | were more interested in the Hs broad conclusions, outlined entering its sevenih week, an of the Publishers' Association of to cross lie pressmen's picket of these e-ssenttal points unnl 
-nuclear explosives. In some countries;'' govern- articles nf Ihe NPT concerned b ? Mr. Roy Jenkins, the Com- opinion was Issued yesterday by New York, accused the Press- lines. after the coming federal elec- 

There had been no instance, ments, although elected demo- with international co-operation mission president, this orning Mr. Wojwk^ a profes- men s Union of being Intractable. late on Friday it appeared tion ' 

Dr. Eklund told delegates from critically, were being prevented and disarmament than with deluded: flonai k*al mediator who is Mr Murdoch said that the that .the publishers were intent And Mr. Trudeau, his eye ranr 

aver SO nations, where a country by pressure groups from 1 Intro- attempts to gain tighter control • A decision tn apply stricter advising the nine unions helong- Publishers had plans to resume on driving a wedge between the fully glued on the . Quebec 


a picturesque comer of the 
province, where the food and 
wine are known to be of the 
best. Afterwards Mr. Levesque 
emerged saying that another 
** consensus " had been reached 
about the essential points of 
“ sovereignty-association," But 
because of the delicate balance 
nf power in the tactical war- 
fare between Mr. Levesque and 
the federal liberals of the 
Canadian Prime Minister. Mr. 
Pierre Trudeau, the Quebec 
Premier insists that he will not 
let Ihe public into the secret 
oF these e-ssenrial points until 
after the coming federal elec- 
tion. 


had set about developing nuclear during 


technological over ihe nuclear fuel cycle. 


Bundesbank optimism on outlook monisation for Its own sake. J faith orrhotn sides." streets would depend very much foundations for a settlement. 

9 The need to seek new sources • • , At issue is the publishers' 

TE’WT ' • ,1 of revenue for the EEC Budget • " desire to secure a new three- 

f Av* Wf m AV*VMOn A/TAVlAmitO 1*7 e after the end of this decade and year contract which will reduce 

I 111 • "TO fll df II CLUllUllMi HI U Will 10 make ^ a inare effective A COf manning levels in their printing 

T T * ^ W “““ VVVlAVXXimv vehicle fn r redistributing wealth PfiFSOEIBl IfflCOITlG UTI rooms - They claim that their 

from richer lo poor EEC mem- 111L-UA11L/ /%J maC bi nes have been 50 per cent 

BY ADRIAN DICKS BONN, Sept. IS. hers. overmanned but in their last pro- 

0 A proposal to invite four nr • - WASHINGTON, Sept. IS posal they scaled down their 

A BRIGHT picture of the West “Real Gross National' Product Private consumption, however, «ve “distinguished and indepen- PERSONAL INCOME rose by 0.5 increase since the $6.3hn or 0.4 ambitions and guaranteed johs 
German economy, with accele rat- (GNP) growth for 1S78 as a has also been rising— by 4 per denl ". P*°P Ie 4 review the per cent in August after season- per cent rise in January. ‘ ab “ ul 2 5,° ° r th . e 


criteria to proposals for the bar- ing to the Allied Printing Trades production of their newspapers pressmen and the other unions, 
monisation of technical standards Council. V After attending a but were not ready to go into They may have received some 
in the EEC to ensure that they bargaining session last Tuesday, action yet. help yesterday from Mr. Kheel's 

genuinely contributed to the pro- Mr. Kheei decided that “ the _ Their ability to get the New statement that it would take two 
motion of intra-Comraunity dispute was “ not ripe for settle- York Times, the Daily News and weeks of hard bargaining with 


“ independence " referendum 
promised for “ some time in 
1979,” announced last week 
that there will be no general 
ejection until the spring. 


trade and were nor just har- ment even with the utmost good the New York Post back on the the pressmen just to lay the Since the passage of the law 
— * — — - — I faith off both sides." — •- J *- - — j -- : — r — - — *• * — *w_ 


streets would depend very much foundations for a settlement. 

At issue is the publishers' 




BY ADRIAN DICKS 


Personal income up 0.5% 


WASHINGTON, Sept. IS 


desire to secure a new three- 
year contract which will reduce 
manning levels in their printing 
rooms. They claim that their 
machines have been 50 per cent 
overmanned but in their last pro- 
posal they scaled down their 


ensuring the primacy of the 
French language in Quebec 
and the issue of rules turning 
it down for corporate head 
offices, the Quebec Govern- 
ment has carefully expunged 
the term " independence ” 
from the official list of its 
goals. The words “ separation " 
and “ independence ” have 
been superseded by the woolly 
concept of “sovereignty- 


from the lalest monthly report assumed even recently," the 
"of the Bundesbank. Bundesbank report states. 

- The report marks _a distinct Thn fnr 


especially 
r . -.signs of ai 


I'diiy suite il ucwm ctrAnethpninn 

of any fundamental change ^£henin E 


second quarter— with the main repn rt their findings lo it per centum July and 0.8 per cent anoua j rale of g34b n in August The union and the publishers Significantly, this coincides with 

beneficiaries being the motor in- within the next six months. ,n June;, the U.S. Commerce eora p ar ed with an Sllbn rise in have agreed to meet the Allied the rise of the Quebec Liberals, 

dustr.v. recreation and foreign While the Commission's deci- Department reported today. July. The August increase in Printing Trades Council today to- under their new leader. Mr. 

iravei. This took place, the sion to step up its efforts to in August, personal income Government payrolls was the discuss the deadlock and Mr. Claude Ryan, in the public 

Bundesbank notes, despite a control EEC agricultural spend- rose at an annual rate of $8.tibn same as the Slbn rise in July. Kheel’s judgment of it. Siani- opinion polls, 

further slight drop in the West ing will be welcome in Britain, to a seasonally adjusted annual Total farm income, which fell ficantly, the federal mediator If a provincial election were held 

German population. it does not go as far as some rate of 51.72Sbn. The increase SSOOm in July, dropped another who has been tiring to guide today, the Quebec Liberals 

domestic xhe report traces the greater in the UK would like. Mr. compared with a rise of S24.2bn &200m in August. the parties towards a settlement would get 45 per cent of the 


-— the still unfavourable export demand, the continued modera- readiness of business to under- Jenkins made it clear that the i n July and was the smallest Agencies 

-I Outlook. Uon of P?*** and the great* take new investment to several Commission still believed that . 

. .." The Bundesbank's optimism is^ ■recovered level of business con- f ae t 0 rs. including better domestic price restraint should be the 

• derived from the dear improve- ? dence • measured - by > higher sa i eS) tax cU t s and the growing principal weapon for attacking 


' ment which it notes in several investment. expectation that interest rates surpluses and reallocating agri- 

of the major domestic indicators. The strongest impulses for may soon begin to edge upwards cultural standing, though it could 

— It states that following the dis- growth, according to the Bundes- once more. Borrowing by both be supplemented by some other 

ruDllve special influences which bank, are still to be found, in business and private customers measures. . 

‘ , depressed first-quarter perfor- the construction sector where rose by 12 per cent m the three Some British Ministers have 

mance. ' real ' gross national public orders, new private months May-^u!y,. while the recently advocated much more 


TWA plans businessman class 


BY OUR OWN CORRESPONDENT 


product grew by 1.5 per. cent housing and the renovation r of broadly-defined money supply radical steps, including the set- ^qVES TOWARDS the Intro- and British Airways are sengers by a movable bulkhead. 

" during the second quarter above older property, are still stiainizfg increased by the same amount ting by Finance Ministers of duction of a new class of service expected to announce in the Explaining the innovation, a 
Sie firstquarter level. ; • the- industry to its limits, ; during the period. cash liimts on EEC agricultural ? dcu ®" ^ 7 irrinp next week or so details of their TWA official stressed today that 

~ ^ ; / ' spending and a requirement that fQr economy u ai ^ J airUne plans which would be i mole- the airline was still carrying 


the- industry to its limits. 


during the period. 


: Greeks, Turks 
- discuss issues 

By Our Own Correspondent 

ATHENS, Sept. IS. 

THE SECRETA3UES-GENERAL 
of ihe Greek and Turkish 


Greater investment urged 
for French small industry 


surpluses be financed by the passengers has gathered pace melted from the beginning of about half its passenger traffic al 
countries in which they occur. with an announcement by Trans November. full fare. 


will not be present. vote, compared with 43 per 

cent for the ruling Parti 
Quebecois, according to the 
■■ latest public opinion poll con- 

Dm OH OHO CC ducted by the Inriitut Quebe- 

> 011 /111 c ft is d'Opinion Publ/r/ue for a 

Montreal newspaper. The 
tstfw vnck- m l!nion Nallnnalc would receive 

ixiiw xufcix, sept. is. on ly 4 per cent of the popular 

vote 

are sengers by a movable bulkhead. 1° the last election, in November, 
the Explaining the innovation, a the Parti Quebecois 

leir TWA official stressed today that received 41 per c*>nl of the 

ole- the airline was still carrying vote, the Liberals 34 per cent, 

of about half its passenger traffic al an d the Union Natlonale 17 

full fare. _ Per cent. 


NEW YORK, Sept. IS. 


BY. DAVID CURRY 


PARIS, Sept. 18. 


The Commission is expected World Airlines or plans'.for "a American Airlines led the field The disgruntled business pas- Mr Levesmie's tactic recalls 
to provide a first glimpse of its class by itself.” W ith an announcement last week senger has become a common the pre-3976 election strategy 

detailed thinking before the end Proposals to segregate and the development is expected phenomenon this year as passen- nf the Parti quebecois. During 
of this month, when it is due to economy-fare passengers, mainly to be copied by most other lead- ger loads have climbed to record campaign, leading mem- 

present a series of specific businessmen unable to avail ing domestic U.S. airlines levels, thanks partly to discount hers nf the parfv including Mr. 

recommendations for tackling themselves of discount fares, although some, including the fares. None of the proposals so Levesque carefully eschewed 

surpluses in rhe dairy sector.' are a sjde-effect of the pbeno- largest. United Airlines, appear far announced guarantee the the mention nf "mdenendenee^ 
It will also be working dur- menal growth of cheap fares in to be in no hurry. normal economy passenger a seal ” * anod aovemment 

ine the coming ^ months ^ on the past 18 months. TWA's new Effectively, TWA and others in the new segregated seating and -men slogans as “ we can t 

~ -service will be introduced on are introducing three classes of but both American and TWA on like this referring in 

domestic and International services. The existing first class have undertaken to pay refunds. T £? c T> ,, r der * leader- 

flights from October 15. if . will remain unchanged but full in American’s case of up to 25 Rmirassa. 

approval is giveri by the Civil economy fare passengers will be per cent of the price uf ihe , 'V' "\ prvf ! rs hpuev^ tnai ihe 


their two countries. 


Theodoropoulos 


improve 


m-Snetiirin e faeUl!i» det * . and the ^ ounts stabilisation scheme 

manufacturing facilities avfi n a >,i e r or investment renre- ;«.io rata 


available for investment repre- 1 The latter issue raises a -nura- Aeronautics Board. 


snrf Mr Sukru Elekdae last met w,,l lber of sensitive ana complex 

- m d Ankarain early Jirty.. and cas ^. tJiey ' manage to generate of operating profits. . questions, in particular the effect 


i -ru p — T- — -- i ..—•w- .. ------ ■ .-ieronaiuii-s ooaru. sealed in a new compartment ticket, to passengers who are 

or commercial resources. i e sgnts no more than -3 per cent,^ er ?f sensitive and complex p an .\merican World Airways segregated from discount pas- forced to sit among the discounts. 


-5 • - MI'S t\ 

i L 


BY WILUAM CHISLETT 


MEXICO City, SepL IS. 


Sr Greek Premier, Mr. . Theke are -the main conclusions 

Constantine KaramanUs, for a J?* 6 . ate t ? e r Tstitu“ po“ Ye' shares, if only EilOCS HJOVC tO 

. non-aggression pact °t tne iiisniui p e temporarily, and imposing its , _ . . . 

The question of the delineation Developement Indus tnei t « own-' mea at the top of the vinhlnplr PYICIC 
of the Aegean continental shelf the financial ‘nstimtion owned .UltDlOCK COSIS 

is not expected to be discussed as by the French Slate and the. .y ^ : _ _ . _ 


t itm benSa- at leading banking groups with the The : French industry is carry- B)r Our Own Correspondent 

mittee VeveL • ' mission of beefing up the finan- ta|-jpU l LISBON. Sept. 18. 


since then there have been two for investment is liable to be The French Steel Federation which a system of tighter mone- ■ 

rounds of negotiations at tech- wiped out by a decline of only has: launched a furious attack on tary disciplines would have a 

. uical level on one of the. issues 5 or 7 per cent in activity. ^ treatment at the hands of the operation of the “green" Vi P VI PA ^TIUIAQTV TA1* A All -VI AlPlHT 

t* ^affecting relations between u ^ conipanies are to respond successive governments from ithe currency an^ngemente used fbr 1VXCA1CW 1U1 1IU11 F lUlOll 

^ liti Greece and Turkey — control of .- J; ^ s eD d -Qf the war and on commen- agricultural trade in the EEC. 4/ 

' iirrSW. -pJv- U mismi “ 8e - ra & “ d Sft2g « - — 

here the two men are expected ments the need to make the xf,e government is due to lish before the end of this year. 

to review the work of the restoration of profitability and announce its latest steel rescue a 'paper setting out broad THE AMNESTY law. promised Exiles and people in hiding In benefit from the law. 

experts on air space and to reinforcement of their financial package tomorrow and it is recommendations for the future by Sr. Jose Lopez Portillo, the Mexico would also come within The official government line 

■ discuss Turkish counter-, structure a nrioritv is - ureeuL expected that it will take a development of the EEC budget Mexican President is expected the law. if they hand in any has always been that there are 

proposals on the. suggestion by _ ”, __ n _i„-i nn « leading position in the capital oF to benefit several hundred people weapons they have, within 90 no people imprisoned for their 

the Greek Premier, Mr. ihwe are themain cone us the main companies by conver- — ______ x._ and has been submitted to the days of the law coming into beliefs, but only political 

- Constantine Karamanlis, for a J? ~~ ■_ ting loans into shares, if only HiSlDCS IllO V0 iO Chamber of Deputies, the lower force. activists. However, the fact that 

. non-aggression pact ties oi ine ijisiuui p temporarily, and imposing its _ _ . . house of Congress. In the cases of those who have there will be an amnesty has 

The question of the delineation ueveiop^nwit inau&iriei i • oWn-' mea at the top of the VUnllEOOK PTICK According to the Bill, all those committed acts of violence, it been interpreted b_v some obser- 

of the Aegean continental shelf the financial msniiiT industry. ,us-UivVa imprisoned or awaiting trial for would be up to the authorities to vers as a tacit acceptance by the 

is not expected to be discussed as oy ine rrenen a : - ■ . ■ Tnjp.' French industrv is carrv- Bv Our Own Correspondent crimes of sedition, incitement to decide whether those concerned Government that there are 

■ it is still pending at. expert com- ° u p pS th ^ ^ n f t n® ing total Sum and long-term r r t faeUion ' and other l” part U p0,it,ejU prisoners ' 

rnittee level. ^ i m^nompni skills debts of some FFr 3Sbn com- m »r. nmvprimicrEi V t- -j ♦ offences, not involving violence, did not. and the acts committed The left-wing opposition 

Greece 'closed air corridors c, f a ^ a ®?.^J ld rnn-si/L'd nared^ ^ with a 1977 turnover of Pf ,R TUGUESE President. and committed for “political should be considered not to have parties, like the Cumin unisi 

over the Aegean in the summer of smaller and m FFr 34bn Gen. Ramalho Eanes. is expected reason ^» are to benefit. been dangerous, then they would Party, which. was legalised this 

■ Sir Poor showing by Servan-Schreiber Sbi Strike prevents flights A SBK 1 ?? 

• from the military structure of party Da Costa Administration MT CJ croups and expressed concern at 

: l h ddid™T SW '"lS BY ROBERT MAUTHNER . 'V ‘ PARIS. Sep,. IS. i S also BY OUR OWN CORRESPONDENT MEXICO. CITY. Sept. 18. Jh. 

military flighta and has. asked for . scheduled to address the rountiy -pjfg STRIKE BY Mexican air The strike, which has affected army, which it accuses of beins 

control of regions which come JEAN JACQUES Servan- obtained 37.o per cent and who on radio and tcievis on to j ra j^; c controllers and technicians 48 airports and about 200,000 a law unto itself, 

under Istanbul’s flight control g^i-eiber, -the leader of the can expect to pick up most w explain the position as he sees il entered ti* second day today and people a day, was called on The Bill makes no mention «.f 

area. . ' D ro-Govermneiit Radical Party, Commumst vote in next Meanwhile, there are clear prevem ed all flights within the Sunday by a union which is the number nf people, who. 

• The Deputy Prime Minister, acaiTi fiobtin* for poll- 15 > t indications thal the latest poll ^ countr y. Intemationn] flights opposing moves by Ihe Transport according tn the npposiHnn. ha^'p 

Mr. Turhan Feyzioglu. today * hi P nr stionger position than tical upbf^val will drag on for ab j e to'. use airports, how- Ministry to bring it under official disappeared. The opposition 

resigned and pulled his right seal survival following his poor j£ Servan-Schreiber. some months and a new Govern- ev _ control. puts the number at 367 

• wing Republican Reliance Party showing in the first round of a ' Tfie first-round results in ment may not take office before 

out of Prime Minister Bulent by-election in Nancy, eastern Nancy are another indication of Christmas. Sr. Nobre Da Costa’s 

- Ecevit's Government The party France. th* growing support for the Cabinet of Independents will • £-4 1 • ' • 

has only two members in the -In the first round of the by- Socialist Party. In spite of the remain in office in a caretaker M OlloHn IIIO'B'OOC'QC hlTIfV 

450-member. National Assembly, election yesterday, he polled 29 Lefr-wing alUaace’s crushing role, but there is concern about | H H^l lHH Hzf 

so Mr Ecevit's strength there per cent of the total vote, and defeat in the March general running the country on this ^ *•**•«%*•♦ 

- - will bft imnaifed hnlv marcinally. the Socialist candidate, who election. I basis for any length of time. • . 


Turkey invaded Cyprus. Turkey ■ ^ , ■ C 1, ” CaUka’Uai* I uiwvik me 

SSSr^mSf *. “ w ol -Poor showing by .Servan-Schreiber ~ D = «g 

the alliance has saddled it with - „ . . 0 last Thursday 

additional, responsibility for BY ROBERT HAUTHNER 4 PARIS. Sept. IS. The Pre; 

military flights and has asked for scheduled to ; 

control of regions which come jean JACQUES Servan- obtained 37.5 per cent and who on radio £ 


block the Government crisis 
following the defeat nf the non- 
party Da Costa Administration' 
last ‘Thursday. 

The President is also 


Strike prevents flights 

BY OUR OWN CORRESPONDENT MEXICO. CITY, Sept. 18. 


puts the number at 367. 


• 7 . ■ will be impaired only marginally. 1 the Socialist candidate, who election. 


Canada increases fishing claim 


BY VICTOR MACKIE 


OTTAWA, Sept. IS. 


-up 




BY RAUL BETTS 


HOME, SepL 18. 


CANADA has served notice on arbitration. Negotiators are to from its sites within a month 
the U.S. that, it claims a larger meet shortly to resume talks on unless the Federal Government 
area of the rich Georges Bank settling the boundaries between agrees to refer the two provinces' 
fishing s rpur, ds on ihe east coast the 200-mile fishing limits off the "border war” to the Supreme 
than previously understood. two nations' coasts. Court. i 

The Canadian Government The Canadian statement was Th e i Quebec Government hasi 
says that almost half the bank, made in the form of an barred Ontario construction j 
in the Gulf .of Maine, is in announcement in the Canady workers from crossing its border | 


moderate's in thp cahinet and 
in the Parti quebecois itself 
hack the concept nf 
“ sovereientv-assnciatiqn " with 
the reit of Canada as the only 
practical choice to he put he- 
fnre the oublic in the referen- 
dum. This is hpcause most 
Francnnhone Quebecers show 
no siens of wanting real 
separation and are highly 
concerned about the notential 
economic future of a "separate 
Quebec " Others areup that 
extremists are still sufficiently 
strons in the Levesque 
Cabinet to assure that 
“ sovereignty-association " is 
merely a device to gain time 
at ihr referendum, while the 
longer-term aim is separation 
frura the rest of Canada. 

It is true that seme members nf 
the Cabinet and some others 
have difficulty in accepting the 

"severe ignty-assoc ration" line. 
There also is confusion in the 
public mind about what it 
would mean in practice. During 
the summer, a Canadian Broad- 
casting Corporation held a 
French language poll which 
indicated that most Quebecers 
thought that under 
"sovereignly-assnciation" the 
province would still send 
representatives to the federal 
Parliament in Ottawa. Mr. 
Levesque expressed consigna- 
tion ahout that. Late in the 
summer. Mr. Levesque, with 
the other provincial premiers, 
took part in the abortive 
federal-provincial conference 
on the Canadian constitution 
and appeared to be in a con- 
ciliatory mood, hinting that a 
“renewed federalism" might 
meet Quebec's long-standing 
aspirations. The logical out- 
come would be for the 
Levesque government to use 
the referendum in gel a man- 
date to negntiate a renewed 
federalism under lie guise of 
"sovereignty-association." 


THE ' BUTLI>-UP to next- vear's future fortunes in bis parly, saw. toe communists gam per advances over ine jasi aecaae, Canadian territory The U.S Gazette. The Government is to joos id yueoec, .^ner 

crucial Italian Communist Party He defended the historical -pent of the national vote, the PCI has seemingly undermined the continues to maintain that the thus giving the 00 days' notice the failure of negotiations. 

" (PCI) congress appears to have Toots of his party, warned the had shown a. marked sense of confidence of the PCI base in the en tj re fc, H nk is in U.S. territory, required under the Territorial Ontario is threatening to take 

stal led. This follows a key Socialists of the dangers of the political responsibility, although party leadership. This has been g oth -zovchiments have been Sea and Fisheries Zone Act tCRijlattvc ac ti° n to close its 

speech by Sig-. Enrico Be rlinguer,- current- ideological controversy il : Was still not a direct part of exacerbated by the PCI's growing sellin „ 0 ut their positions in Meanwhile, the Ontario pro- bor t e . r „ 10 

the PCI secretary-general, before threatening to split Italy's left ■ Goyetnment. .'He warned, how- party bureaucratic machinery and case ib* maritime boundary vincial government is to ban Juff 

; nearlv 500,000 r people' ifi Genoa wing -forces, - and said the Pa^ever; that during the next few its so-called democratic cen- dispLlte between them is sent to Quebec construction workers 

over the weekend to mark the wanted to build a socialist society Months the question of direct tralism" which has been the ® n ! b i!A t .l°^“^ u ? b€CWQr h?!!?' 

endof the party’i annual national in what he called “a pluralistic -Cqnmmiust 'participation in cause of what appears to he P 

M festival- of nnity”-. . . politieal regime" with a party . Government, and hence Com- growing resentment among •» . , • f j ponea penning negotiations. 

Under increasing nttaek from system that was democratic and muaist Cabinet Ministers, would younger party officials, especially Ea r|l*ff . QTTPCTC 111 1 J 1*11 IT1 151V Steelworkers at Sudbury, 

the smaller Socialist Party, and autonomous. clearly have to be raised again, in the regions. J? l/l U «X 1 tSIO HI w-J J. UgUidj Ontario, went on strike at the 


under growing, pressure from, a - He justified the party’s basic . : t_ __ daine.be touched on the W i. v „ 

- disenchanted^ base, Sig.- concept ‘ of- the » compromesso- « “ BY Rone.tr undlct -warn Alice®, »ept. «. A K H J mctAij. | tw IVH00 MIC tut pu uul ttUU UJf 

tioriintfimr eiaimpd Msnartv ms storico. ,? or erand alliance of 5?!®- 0f s Socialist Party, now attempting ’ . A long and costly stoppage is to hold a majority. 

‘ working towarS C tiie^!r«Son of Italian' demo^tid forces, to ^SSlnt^hie^Sl % dl K fficu,ties of TWENTY-ONE SENIOR per- withdrawing parts imported for likely because Inro has built up At the same time, the view is 

- r^^2c&^S3l5-.bSFt1»SSSf 0«t Of we**. JKSrSpSita «S? •- p g- l g* SOT 1 EODBd Of .-tte UragMyan Turd Bm and enough stock, to l B .t a rur. increasmgly npnwd by 

' ^fo^Berliireuer . sought ' fo ot society.: Biit ?ven if the- ‘ ,S e , F°Sf B 2I l S2 ^ popular reaction to the Motor, including the American Uruguayan Bank of the Repub- iic mures mv moderates and extremists and 

placate his mi^'insite U ahd dot- cont^pt rf capitalism must he effectively to share, the asra ^i rtat i 0 n of Sig. Aldo More, general manager and the Argen- h c . According to the official u>s - C0MPANY NEWS is at loggerheads with Uie 

■ “tide his party -abd^sfet down ’the' overtaken; id this new society JgE SSt'hLii!?! JlL S 1 the former ruling party leader, tine operations manager, have communique, these “missing" Resorts International margin militants of the Parti Quebecois 

broad MiEn of sectors, without being ^ ; part of it. but also because of the popu- been jailed ip Montevideo on parts were then reported by the rSeme»t ^5X2? PiH^bfn' ,tse,f ' ln fact no «-' aJ Pol^y 

: S doMcv vd!ich Witi be a? rtie SSperatiVe ^tors and private ‘This a Uiaucq^rith the Christian larity of the party’s reformist charges of “contraband, theft, accused to the manufacturers STS2 lt r ,!S “? “S «ists, and Ihe Government's 

■' -Smre^of 5ie^nW- tt ' Democrats; together with the secretary-general, Sig. Benigno swindling and the alteration o£ abroad as not having been t£SL S?, constitutional position is 

•• S Tfc » Sffl ¥ o^ * SIg; BerUnguS claimed ttat-paily’s setb«ae in recent local Zaccagnini-Sig. Berlinguer is stamps" shipped. The manufacturers P^bed, CntoaeuM UUaois losing credibility, especially in 

' v cHn»tv '»« dietatei- ' in lare'e after the incondusrve ^ general 'electione, aft© -an impressive now- clearly comina under The men.. -19 of whom are duly sent more parts at no Joretasis runner rise in prime the face of continuing e«mo- 


BY ROBERT LTNDLEY 


BUENOS AIRES, SepL IS. 


but passage of the law was post- 
poned pending negotiations. 

Steelworkers at Sudbury, 
Ontario, went on strike at the 
weekend after voting lo reject 
a pay offer from Inco Metals. 

A long and costly stoppage is 


that the Parti Quebecois has 
not really changed its basic 
position that Quebec must 
eventually separate. But the - 
Government has to solve a 
dilemma— it must allow for the 
convictions of its individual 
members, yet also appear more 
moderate in its policy stance 
to reassure the public and try 
to hold a majority. 


•centre of next spring’s congress, sectors- tn the economy. i/emocrars, Together wnn me secretary-senerai, oig. nenigno swmoiine me aHerauon « aoraaa 

. w But the FCl wugrfiSB is ‘also Sig. Bertihguer claimed ttet;-parfy*s setbsKfc in recent local Zaccagnim— Sig. Berlinguer is stamps. 1 ; shipped. 

‘Kkelv ‘to - dictateT' in larte after lhe inconclusive: general 'etecfione, aft^r - an impressive now- clearly coming under The men,, lft of whom are duly set 
- meaaureSig. BerliBgaer’s ownTnlQEtionsdf^June, 1976. which track record d5 steady electoral-pressure from his own party- . Uruguayans,, are accused of charge,- 


Inco force majertre Page 41 

UA COMPANY NEWS 

Resorts International margin 
requirement raised: PUIsbury 
and Green Giant scheme to be 
probed: Continental Illinois 


lending rates— Page 36 


Francophones that the Cabinet 
is deeply split between 
moderates and extremists and 
is at loggerheads with Uie 
militants of the Parti Quebecois 
itself. In fact no real policy 
exists, and Ihe Government's 
constitutional position is 
losing credibility, especially in 
the face of continuing econo- 
mic problems. 


- 1 ' 


:V ~ 




Financial 'Times Tuesday September 1$ 197? 





s* 


Japan Cabinet approves financing 
for Y2,500bn reflation package 


BY CHARLES SMITH 


TOKYO, Sept 18. 


THE CABINET today approved be used to step up public works for public works in the main Publication .of the draft supple- 

a Y7J5un supplementary budget programmes (the main weapon 1973 budget and from expendi- meatary budget completes the 
for presentation to the Diet next chosen by the Government in its lure shortfalls in other parts of Government’s autumn series of 
week together with proposals for current efforts to stimulate the the main budget. The Govern- economic relation measures, 
allocating an additional Y65lbn economy). The public works por- raent wll also draw on revenue designed to produce a 7 per cent 
to the fiscal investment and loan lion or the general account bud- from slate-owned monopoly cor- real growth rate during fiscal 
programme, sometimes referred get is Y459bn with an additional pm-ations ilo a limited extent) year 1878. The Government 
to as Japan's “second budget." Y347nn included in the fiscal and on expenditure authorisa- claims that the Y2.500bn package 
The tv- o amounts together mvi stment and loan prosramme. turns for the J977 budget which will produce an extra 1.3 per cent 
make up the huik of the Govern- UtiVr *iRnificant allocations arc were not taken up. There will of GNP growth this year, thus 
nieni's contribution to the finart- r " T f'^eign aid iY31bn m the bp no additional public borrow- bringing the 7 per cent target 
cin" nr a Y2 5fl0bn ref!at:nnar- mam budget) and to finance the ins to finance the supplementary within reach. Private forecasters 
nackaac announced two wevTs conversion of rice growing and budaet (or the rest of the have put its likely impact well 
a-,,,. 'Must of the balance of the : ' , . r ... o! ‘ ler crops by farmers Y2,500bn package). A proposal below l per cent. The chances 
vl’.nOOijn expenditure called for (If’S'Jni. io increase the Finance Minis- for attainment of the target, 

in" the aacakage will conic fmm The additional Yfiolbn alio- try’s issue of deficit bonds this meanwhile, have dimmed with 

the private 
in the form 

menr to be aeneraieo as . . . ■, , »u:i m*r autipinutrmary uuu-;ei .. , i; _„ j 

counterpart to an increase in financed by borrowings from toe j« related to a tax cut already al production decl 

Government housing loans. po=u: savings bank. Funds* for approved by the Diet as an August from the previous month, 

The lion’s share of the funds the general account budget will appendage to the main 1978 reversing a provisional figure 

provided for in the budget will ovine principally from a reserve budget. which showed an increase. 


sector, particularly rjl .,-j i 0 t j, e fj Sca i . a vestment au,umn b - v Y300bn whicli has the publication of revised figures 
of housing invest- ’ d ldan vnsrMame .; m hc ™ a" no « n «?J simultaneously wWcb abow ^at Japan's in- 
? generated as n with the _ supplementary budget ...... 


Trade surplus down for a second month 

BY CHARLES SMITH 

JAPAN'S surpluses on trade are converted into yon. the the levels of a year earlier. 1378 of a surplus Y2.700bn on 
and current account fell fer »he Finant-e Ministry points out. The difference between the current account looks modest 
second month running in August. Ycn-de nomine ted exports for very sharp fall in July and the compared with actual perform- 
thc Finance Ministry armoured August, at Y1.4S5m were down more moderate decline for ance during the first five months 
today, although exports in terms IS "per cent from the level of August is traceable to ship ex- of the fiscal year which registered 
of doilars continued to show a Augu-v 197S while imports at ports which were down by almost a combined surplus of Y 1,700b n. 
big riac over the levels of a jear Yl.LOSbn showed a 22 per cent half in July but by a moderate If the five-month average were 
ago. faii from a year ago. The dis- 14 per cent in August. Imports extended over the whole fiscal 

"The tre/ie surplus for the crepancy between the two sets of in buth months showed a modest year, the result would be 
month came to exactly S>2bn with figure- results from the fact that rise in volume over a year ago Y4.0S0bn surplus on current 
exports ;ii $78Slm (23 per cent the > on had appreciated roughly but the rise was bigger in July account. This is equivalent to 
up on The August 1977 figure i 40 per cent against the dollar (4.9 per cent) than in August about S21bn at the current rate 
and imports at s5.SSbn »10 per In terms of volume Japan's (3.2 per cent). of exchange, 

cent up on a year agm. After August exports showed a 4.7 per The August trade figures con- Japan’s basic balance in 
allowing for a SSSOm deficit on cent fjil from August 1977 levels firm the view that yen revalua- August came dose to equiii 
invisibles, the current account ret7ec:ing a decline in ail major tion is at least beginning to bnum thanks , to a continuing 
suralu? for the month amounted categories including cars, slid, produce some corrective impact heavy deficit: on long-term capital 
to Sl.-’j2bn. In July, the current ship; and television sets. The on Japan's trade performance, account (SLSbn) which virtually 
account surplus came io £J ftjiwi decline was smaller than in July However, the process has only cancelled out the $i.32bn current 
while in June it was $2.34bn. one wnen it amounted to an unpre- just begun and will have to con- surplus. 

of the highest figures un record, cedented 7.H per cent., but sub- timie for many months before Today’s trade figures are based 
The continuing rapid increase stantialiy larger than in the first the trade and' current account on the International Monetary- 
in the value of dollar dennmm- three i’lonlhs of the current fiscal surpluses will be at what might Fund formula which computes 
atod exports rontra<fs with a year v hen the export volumes be regarded as normal levels. both imports and exports in FOB 
substantial decline if the figures were running 2.5 per cent below The official forecast for fiscal terms. 

Dr.Kaunda Iran quake toll reaches 12,000 

accuses 
UK over oil 

By Our Own Correspondent 
LUSAKA, Sept. IS. 

PRESIDENT Kenneth Kaunda, 
smarting over life landlocked 
nation’s economic losses be- 
cause or observing Rhodesian 
sanctions. today accused 


BY ANDREW WHITLEY 


TABAS. Sept. IS. 


' AT LEAST 12.000 people are Injured survivors from Tabas being brought in from Mashad. 

| now known to have died in *.hg and its surrounding villages nine hours away. Relief supplies 

earthnuake that struck the number, at a rough guess, 2.000. are being airlifted to a hasiily- 

' eastern part of the Great Central Virtually every settlement within improvised airstrip outside the 

‘ Iron urn Desert on Saturday. The 30 miles has been flattened, town, 

ilov.n of Tabus, on the ancient Rescue work in the outlying But lack of overall co-ordina- 

: caravan route to China, is com- areas has been slow tion has meant that fights have 

Tabas now has no electricity broken out oyer the bundles of 

or tele phone links. Water is blankets as soon as they arrive. 


.pietely destroyed. 


The ihrce-minulc shock 
suia.-hed domed mud and modern 
Britain of “ cheating” iiini .brick buildings alike. Only one 
over oil >anetiens, and hinted a new hank— is left standing 
at retaliatory action. jin v.iiat was once a town of 

Dr. Kauuda was speaking at i 13.000 within ar. oasis, 
a Press conference — his second 
in 10 days— called lo announce 
that he was dissolving Parlia- 
ment to make uav for Presi- 
dential and General Elections 
later this year, at which he 
will be sole candidate for Che 


Offtake accord at Tehran talks 

TEHRAN. Sept. 18. 


! and uncomprehending. 


announce an election date. 

Speaking on the eve of 
publication of the Bingham 
Report. Dr. Kaunda said 
Britain s performance over 
Rhodesian oil supplies was 
“ murli worse Ilian U alergate ** 
because no lives hail been lost 
in ihc Walercalr affair. 

He was planning “certain 

steps” against Britain, lint did ! CHINA ALLEGED today 


! Bodies are still being pulled WESTERN OIL negotiators and accord on a long-term agree 
: from the wreckage. One man the National Iranian Oil Com- ment. Stmubling blocks in the 
j told me he had unearthed HQ puny are believed to have agreed talks are said to have included 

today. Another shouted in in principle during talks this the financial arrangements and 

t anguish that ho had lost 10 mem. week that the Western oil com- the exact formula under which 
I hers of hi« immediate family, panies will take an average of Iran would be granted most 

;The few survivors pick their 3.3m bands a day oF Iranian favoured nation status in deal 

with the 14-company 


wj _ : a tic c-.u i i »ui | mvi\ i tic 1 1 'j.oui iwiivia a ua» in uoLUdit iau>i 

SL: J through the debris, dazed crude for export this year. Inns 


The twn sides failed to reach' Western oil consortium. Reuter 


tension rises 


BY JOHN HOFFMANN 


* PEKING, SepL IS. 

that China's note listed 13 incidents on the Chinese side of the Sino- 

nnt elaborate whal they were. ] Vietnamese troops had planted which it claims took place in the Vietnamese boundary. Graver 

; mines in Chinese territory near past month. It says: “The still is the fact that the Vietna- 
j Pinghsiang. the scene of a Vietnamese side has sent large mesc side has even planted mines 
| number of recent violent inci- numbers of armed personnel and in some areas on the Chinese 
! denis. militiamen across the Si no- Viet- side of the boundary near the 

The claim was contained in a namese boundary deliberately to Yuyl pass." 
protest delivered to the Vietna- carry out provocations against Today’s Chinese note says that 
mese Embassy in Peking, com- Chinese frontier guards and large parties of armed Vietna- 

plaining of a number uf Vietna- create incidents. niese have crossed the border, 

mesc "c-ncroachinents upon “They set up barbed wire harrassed Chinese guards and 

Chinese territorial integrity and entanglements, dug trenches and civilians and wounded and kid- 

sovereignty.” erected barricades in many areas napped Chinese citizens. 


He ho pod to announce them 
next week. 

The proposed all-parties con- 
ference on Rhodesia would not 
he held until Britain per- 
suaded the members of the 
Salisbury interim Government 
to allend. So Tar. ihp Rhodesian 
coalition had “ killed ” the 
prosppefs for a conference. 

Dr. Kaunda’s comments were 
apparently Intended to serve 
notice on Britain that it stood 
to lose an important ally in 
Central Africa unless it took 
steps to redeem itself in 
Zambian eyes. 

The British Government's 
reaction to the Bingham Report 
.scpms errtain to he taken into 
consideration as Dr. Kaunda 
decides what steps to take. 

He denied speculation that 


WORLD TRADE NEWS 



won by British 



BY MICHAEL DONNE. AEROSPACE CORRESPONDENT 

- BRITISH AIRWAYS has signed this 


•„nnth The Chinese are Chida—from October 2fl 
the Sieetley Com- November 3. From November 



units and systems components quarrying and processing, tech- 
flee: of .35 British-btiilt niques. 


French in 
aircraft 
venture 
with Arabs 

By Robert Mauthner 

PARIS. SepL 18. 

THE FRENCH aircraft manu- 
facturer Dassault-Brcguet and 
the Arab Industrial Organisa- 
tion (AIO) have signed a 
protocol in Cairo under which 
the Franco-German Alpha Jet 
military aircraft will be manu- 
factured Id Egypt. 

The date for the final signa- 
ture of the contract, which 
provides for the production of 
160 Alpha Jet tactical support 
aircraft, has not yet been 
fixed, bat is expected to take 
place before the end of the 
year. 

The joint venture, which 
will be followed shortly by a 
further Franco-. Arab contract 
under which the new French 
Mirage 2000 fighter-bomber 
will be produced in Egypt, is 
part of the far-reaching indus- 
trial, technical and trade , ^ 

co-operation agreement in ihe . R ,/ v ' C p S ^ s 'ha^alread^amv'ed Exi' i bitYon — the first inter- sectors as banks, trading « 
field of arms concluded by ' '• ■ Hea*araw matHieuance oalianal trade fair to be held in panies and civil engineers^ 
France with the AIO earlier 


b v ■ the British . Overrate, t. 

Trl^nt wiSelrith "'TSriUsh Rail delegation led Board and Sponsored by " 

V ri n". r‘cinf ^S uv Mr. Ian Campbell. Chief Scientific Dislrumcata Sfanuf 
AdaiaSStiam- * / ^ Execute « ^Hwa, slaves pext turere Aaon.uofc 

The dos; was signed last- week month 


The dos: was signed last- Week month for a nvo-week visit- to . « Zmt 

, between ihc airline . ^nd the China to examine the operation^ A trade Mgtiofl > ' 

China Nati-inai Machinery and techniques and engineering Dr -1 

! Import Corporation pi avrtices or the Chinese railways., ^^s^vc.nmepti Division 
t!Uach!mpex>. It is ^aid to be The group will discuss Chinas Coramcrce. is beginmng a like 
the biggest • contract of its. kind clans for increasing the use of visit to China. . 

vet awarded by China. ■.■■■'. advanced technology. The group, which also inclur 

' The Tridents- built by Hawker Advanced British technology in Ciba-Geigy chairnwn Dr ; Loi 
Siddeley Aviation, now part of agricultural macbinerj' .• a od ’on Piania. ana.Bnnrn Bov 
British Aerosnace. have all been scientific mstruinenu; will- be managing director - Pie- 
delivered. While China has eon- shown in Peking this autumn at Hummel, will Chiiu 

ducted its own maintenance so t-.vu exhibitions organised by the Foreign Trade Minister 
far. the need arises -for Tnore British Overseas Trade Board. Chians and other members 
conioitts overhauls and refur- Kishteen compaoies will the GovemnwiiL .UcsDlcnerii 

bishir.s of the- Spe? engines.' exhibit in the British pavilion at the party' will promote dealix 
The Srs: batch of stsr Rolls- the Agricultural Machinery with Swiss industry and serr 


ihu year. 

The French Stale-owned 
aero engine company 
5NECMA will also produce 
aircraft engines at a new 
factory to be built near 
Helouan iu Egy pt, in particu- 
lar the Larzac jet engine 
which powers the Alpha Jet, 
under a previously announced 
agreement. French companies 
which will be involved in 
co-operative project* with the 
AIO include the large 


Malaysia seeks LNG loar 


base c? British Airways, which is 
c!s. rt a big Trident jet aser;. 

Mr. John Gar ton, chief engi- 
neer (maintenance and over- 
haul of British Airways, said KUALA LUMPUR, Sept iS 

;ae contract ^ for three vears. ... • - 

•■!t cauid ca^stitute a major A DELEGATION Df senior ultimate consumer of the g 
e'.ftoiMit cf our work -for other government officials leave for. the 'Japanese authorities 1 1 s 
operators during that time," he Tokyo today to . negotiate a being approached for the Jc 
a iided. Japanese Government Joan To on a soft term basis.” He t 

Whether the ■ contract 'will finance the Bintulu liquid natural not _ however say exactly b 


•hen be renewed is very much gas cLNGi project in Malaysian much will be sought from .Tap 
dependent on the standard of Sarawak state. The project Is a joint vrntii 

i^rrice and satisfaction w‘e can Delegation leader and seere- of the Malaysian Governme 
ThnmsoJ^-TsF "SeetrnSS : provide for our new customer.” lary general of the treasury, Mr. owned National Petroleum C 
electronics Me£2W - a ,- ;e> a delegation from Abdullah Bin Ayub. said that poraiton i Petronaf): -The Mir 
Chica's refractories and jteel flbn will he needed for the pro- bishi group of Japan and Sb 
icdustrlcs is visiting the UK ject and “since Japan will be AP-DJ. • 


group. 

France Is only one of the 
countries with which the AIO 
is co-operating. Similar con- 
tracts have already been 
signed by the Arab organisa- 
tion, which groups Egypt, 
Saudi Arabia- Qatar and the 
Arab Emirates, with the L'.S. 
for the manufacture of cannon- 
equipped jeeps and with 
Britain for Lhe production of 
helicopters. 


1 £24m Africa rail order for UK 

BY IAN HARGREAVES, TRANSPORT CORRESPONDENT • 

BRITISH RAIL has -won- a £24m British Rail has, however* latest indications are that t 
contract ic supply freigbtv.’agons offered The Bangladeshis prices private .sector will .be offci 
and nasser.ger coaches": to - Tun- about 15 per cent lower, than only a small order for 


Building 
setback for 
W. Germany 

By Guy Hawtin 

FRANKFURT. Sept. IS. 

WEST CHtMANY’S construc- 
tion machinery industry is 
suffering from a heavy decline 
in overseas demand. And the 
improvement ’ in domestic 
bookings has failed to offset 
the shortfall. 

The domestic inflow of 
orders for construction and 
equipment and machinery to 
produce building supplies has 
risen by 35 per cent. But with 
some 73 per cent of the 
Industry's output going in 
exports. This has failed to 
offset a real 13 per cent drop : order book- 
In exports during the first 
half of the year. 

According to Derr Peter 
Jungen, chairman of the 
construction machinery sec- 
tion of the German Mechani- 
cal Engineering Manufacturers' 

Association, the industry has 
no great cause for opt'unlsm. 

During the first half of the 
year orders rose, overall, by 
meagre 2 per cent. Home 
demand for construction 
machinery went up in the first 
seven months of 1978 
per cent 



Bangladesh. 

British Raii announced = yester- 
day ‘bat its manufacturing sub- 
sidiary. British Rati Engineering, 
had signed in DaMs-SaJaam a 
contract to build 510 wagons and 
50 passenger coaches. 

Sir Peter Parker, the .British 
Rail chairman, said that the 
• company*? export order book 
wxuld reach a total 'of £S0m by 
. the end of the year.- 


nrr 
help- 
meet the tight delivery dead- a £4m overseas aid grant and t 
edified assistance of an attractive ere 

.mes speemea. package guaranteed by t 

A decision is diie from Government's Export Cre 
Bangladesh next month, but the Guarantees Department. 


Austro-Bulgarian talks 


BY PAUL LENDVAI 


VIENNA, SepL 18. 


This U rhe first public affirma- JOINT Austro-Bulgarian ventures Union. Other projects in i 
tion that B 'jtish Rail -’also in third markets rn eluding - the offing are Austrian deliveries t 
exoecTs 'jice 1 the lion's re Soviet Union and new forms of a plastics . plant and for a jo 
■ of "an order worth over £30m for economic co-operation in tourism Bulgarian-Yugoslav power pU 
Bangladesh Railways. L'r': are some of the major topics to on the Danube. 

Th:s den! is being Funded be discussed d|uring President Bulgaria exports mainly fri 
' exclusively from British overseas Todor tZhivkov's four-day official vegetables, iron, steel. toba< 
aid funds, snd Britain’s private .visit to Austria, his third within and basic materials to Aust 
: railway wagon.* industry has nine years. with machinery accounting 

i argued strenuously that it ought Specifically, it is understood only 5 per cent of the tc 
I to get a large share of tfce work that Austria and Bulgaria may exports, Austria is Bulgar- 
to SI! cut :ls desperately thin co-operate in constructing cable fifth most important West* 

cars and ski lifts in the Soviet trading partner. . .. 

U.S. SHOE MARKET ’ "" ! ~ ~ ^ 



lug imports to heel 


BY DAYID BUCHAN IN WASHINGTON 


India seeks study of £10bn canal scheme 


BY OUR OWN CORRESPONDENT 


NEW DELHL-Sept. 18. 


Mr. Mmon Kapwppwc — flic dis- | to send a Icam of t-xperts to make j ant j can 


THE INDIAN Government is vent recurring cycles of floods The project will cost : about 

asking lhe Food and Agriculture and droughts. Rsl50bn (£10bni and will pro- 

j Organisation and the World Bank . Mr- Dasrur say* that if the plan vide employment for 300.000 

is implemented. 216m hectares nf workers for five years, Mr. 
nf tl . land can be brought under Dastur estimates. Nepal and 

swlrnt former Vuv-PreMtiviit j 5, ■ nri . n ‘ e . 'Jriand ^i.anai j rr i ?a tion in India. His project Bangladesh will also benefit 

whose attempt this monlli lo < nnihau- ^r»- • , l ' iricI con - ul ‘ anl has already wnn international from the project. -. With ' un- 
rhallrnce him for llir pres l- | UI ■ n 1 >lur - recognition. The scheme is now limited hydro-electric power, 

nrnry foumierc-d — hud been j The project aims lo harness being considered by the Govern- many industries could be started, 

detained tir arrested. ‘India's water resources and pre- ment. providing even mure jobs. 


EARTHQUAKE PREDICTION 



CO-0 



save lives 


BY K. K. SHARMA 



As a first step in the prepara- 


seismologies! observatories and around 24,000. The past couple flon n f «> i sm i,- mane In 

stations When fully operational of years have been particularly south f 5 Asia ^artf^filarlv” of 
soon, the network will provide bad; since 1975, destructive -l™’ 

’ the earthquakes have struck densely "?■ . U,e ^ippme^ 

rih- Dooulated areas in several ^ available hisionc data on the 


cast earthquakes m regions most So far the regional network ment by five to ten years. and settlements can be planned 

prone to them. They have involves five south-east Asian The average annual death toll on the basis of the information 

agreed to exchange data among countries arid this will process due to earthquakes since the turn collected, 

seismologies! stations in south data provided bv national of the century is estimated at 

and south-east Asia so that the seisin ological ‘ - — 

epicentres of earthquakes can 

be located. This involves data nili |/lu , mc ieiu uesiiw.-u»# - — , - 

collection from al least three rapid information on the earthquakes have struck densely iTldonesia and rtle Fhiiippines, 

seismo logical stations which must magnitude and location of earth- populated areas in several . . , . 

not he in a line and should form quakes that occur in The region, countries, including Indonesia ro 8ioo s earthquakes. ein , 

n triangle and hence requires thus aiding the organisation of and China, causing heavy loss of comp,led - under bilateral 

sei ring up nf a regional network, rescue and relief work. It will life and properly. arrangement. New- Zealand has 

In a regional network, a also givv warning of possible The constant efforts to find a S r ? ed t0 produce seismic 

Malaysian station could “ tri- Isunamis {destructive tidal ways to predict earthquakes, of rcgionalisation mafrs for 
angnlale” with two in the waves believed to be caused bv the kind now being attempted in Indonesia while similar maps for 

northern Philippines while a seabed earthquakes! and other South Asia, cannot prevent dam- - th e Philippines are. being pro- 

station in Mindanao in the secondary effects. age to property but they can cur- duced by the staff of Aleneo 

southern Philippines could The entire South-east Asian tail loss of life tas in China’s University near Manila. 

“ triangulate " with Indonesian region is earthquake prone — the Haichene and Yaaan provinces _ 

stations in the Celebes or Irian kinds that destroyed Japan's in 1975 and 1976 when the popu- Dal ^ between national cenLres 

Java. To achieve better and move northeastern Tohoku region in lations were evacuated ». ^ being exchanged via the 

effective “ triangulation.’’ some June, 197$. and the Tangshan United Nations studies sav the n i ca i tioa . ° e ^?, rk ■ 

of the aid seismologtcul stations disaster In China in 1976. in only way to minimise quake- 1 . World Meterolo&ical Orgam- 
in the Philippines. Indonesia which over 650,000 were killed, related damage is by building nation (WMO). Arrangements 
and Thailand are being are not rare. United Nations shock-resistant structures and have been raade h* the regolar 
relocated. studies show there is at least reinforcing existing building, exchange of data between 

This process will facilitate one severe earthquake every Loss of life can be substantially Australia and Indonesia and 
the global network which year and another causing large reduced by careful locations o"[ between Thailand and Bunna- 


AGREE1IENT ha? nr«r been from the shoe-making state? of from the same period in 1977. 
reached to limit Hong Kong’s New England and the Mid-West, that they accounted for 47 f 
.footwear exoons to the l'!s. Taiwan and South Korea have cent of total ILS. shoe consua 
nths of 1978 by 20 : market. Under the agreement the aiso been circumventing at least ti on-ex ports so far this ye 

to DM l.-tbn. How- I Hong Kong Government hn? the spirit of the orderly market- have increased by 19 -per ce 

ever, imports of competitive {agreed from mid-Uctobcr to use ing agreements bv altering the though admittedly from a ti 
pr °£« l ii£ 0se by 14 pcr cent I Certificate of Origin protedities raw material composition of base level, j; 

to DM 643m. ! to help L.S. oCieials re^tricl many nf their shoes, to get them The imbalance is sti'l en 

j,«£ r - r mam a the certain types nf Taiu-an man u- classified as rubher wear on mous. The U.S. bought IK 

<h» 0 fi«f^ E Jir r ^i-. t ? nl i factUred footwear parts that which there are no curbs. Jog- pairs of foreign shoes in the fi- 
° n ,»nHnn2 | have been phtpped to 7 kmc Kong gine shoes, on which a growing half of (hi/ year, and no Id nr 
: f 0r assembly. There wMl. number of health-conscious just over 3m pairs oi its sbt 

:noweyer, be no export re^rraints Americans like to pound, the abroad, about half of them 
J on shoes manufactured entirely streets of their cities, often only Canada. But attempts are aft 
' ia *nu 011 " a l * n -' PPfcenfage nf rubber to narrow this gap. with Wpste 

The Certificate of Origin will added in order to be reclassified Europe a prime target Em 
ciearly differentiate between j a this way. pean«i have the money to buy t 

footwear completely manufac- The U.S. shoe industry aiso relatively expensive Anteric 
.tured in Hong Kong and those romolains that the effect of the s boes_ (comparea ; to Far Ei 
shoes assembled there from orderly marketing agreements footwear), and are consider 


weak slate of the construction 
industry in the West Euro- 
pean market and stagnation 
and financing difficulties in 
many developing countries. 
Be also said that this year’s 
figures look bad in comparison 
with the high rate of export 
deliveries recorded in the first 
half of 1977. 

The industry Is expecting 
domestic demand to remain 
relatively high for the final 
five monlh.s of the year— while 
pointing out that 1977's level 
of demand was some 43 per 
cent under that of 1972. 
However, It wants observers 
that tjtcy musl ** wait and see ” 
if the improvement in over- 
scan bookings: noticed since 
June will continue. 


Vienna export 
finance boost 

By Our Own Correspondent 
ZENTRALSPARKASSE. t h c 
largest Austrian savings bank 
and the West German Lohmnn 
and Co of Bremen have set up 
jointly a trading company, 
Zen Lral export Handelsgeseil- 
sebaft, based in Vienna. The 
company will primarily finance 
exports by small and medium 


, imported parts. Mr. Lawrence has been all but neeated hy im- susceptible to the casual type 

iMtlls. Hong Kong's chief Irsde * 

negotiator, says that it will then 
I be* up to L'.S. officials to dr*nv 
■ entry into the L'.S. market nf 
I non-certified footwear, 
j Whether the offer, which eon- 
J tains no numerical limits on 
; export' to the U.S, will satisfy 
jihe L'.S. shoe industry v, f-,' r 
[From certain. The IFf.4 — Ameri- 
jean Footwear industry Assop- a - 
{ tin n— says that Mr. Strauss must 
j make uf Ho nz Kona “a U\«sn n t.. 
jjhe rest of the world that ihe 
j U.S. means business.” In she <-. es 
joT the U.S. shoe Industry Hon-’ 

Kong is the main cause of iis 
problems 


ILS. shoe makers, like their 
UK counterparts, have been 
fighting a losing battle for 
years against imports, espe- 
cially from less developed 
countries. Instead of accept- 
ing this as a normal develop- 
ment iu international division 
of labour, (lie U.S. Govern- 
ment has intervened in an 
attempt to improve the com- 
petitive performance of ihe 
footwear industry. 


American shoe that gnes wilfa t 
U.S.-bIne jeans they now buy 
such large ' quantities. Ti 
month, the American Fontwe 
Industry Association is ntouniir 
with help from the U.S. O 
merer Department, an exhibili' 
at .lhe Dusseldorf Shoe Fair, 
well as senttina promotion teat 
to London. Paris and Stnckhnli 
“ Tm ports are as ntnch 
symptom of the American sb 
industry's decline as a caust 
thinks Mr. Ervin BurkhoId» 
who - heads the Coramer 
Denartnient's footwear indust 
team appropriately acronym 


problems on the Imports side nnr* inrressPB from Mh» FIT). He has rhe job of admt 

wnh imports from Hong Kona KE . “iHll® 11 ."" stering the three year S3f 


r I h K y p ar Th Is exam ole t h p 6 U S designed ti> run in undent wl 

Following the January iy?7 Sid/ parti cu!arl? P 111 1 ini’ ^ he ord erly market agreeme 

SSFg th ? fJS ‘ Inicrnatinna! because Japin' c/nsfdered^ gSfd ? ra P orT restrictions. It is the fli 

“ ero 6 SamS PD thS at , in,n0r1s P fltentia » tor America? USE SSSSFZS* 1 ** ^ 

;'hc,; ^ndullr" th |h P do {?* 5 f li * Still keeps out most fnreSpn 

JJ 5 , show ostensibly to protect its 


instance — outside the 

of the U.S. defen 
which the U 
gone out a; 




ricliler scale. The network lies on ihe intersection of two like Japan where special codes Geological Survey io Colorado 
includes South Asia. However, major earthquake belts. This for earthquake-resistant building ant I to the International Seisrao* 
preparation of a regional makes it one of the world’s most design and construction are logical Centre in Edinburgh, 
seismicity study requires enllec- seisnucally active areas and enforced. To copy these in This data is expected to provide 
lion of data on local earth- making the *-00m people living developing countries, what is ” invaluable information " for 
quakes, including minor shocks there vulnerable to sudden dis- needed is reliable seismic data location of earthquakes in the 
too weak Vo be recorded by the aster. Why regional co-operation m the form of zoning maps, South Pacific region. 


industry. • . 

Burkholder already rat 
success, with his departme 

exprts." \ Smin" chi-7" a,,u Administration officials mean- certifying some 60 shoe ctr 

Our Tei Avir crre«Dondcnt ! r * sn, u 3t?r ni,m ’ while here claim that orderly Panies as elieible for Govermne 
writes' Insurance cSra Son. us , in ?S' Ue *? marketing agreements and othe> 1" t he first nine months 

psialilish.-d 20 vears aco on the ii ni1 a v c °unt«“d tu- measures.- introduced a year ago 'he programme. Of this.mtmhf 

model of b/iS?s EsporS V™ 2l3m of lhe “>ial id - beat hack the tide of low-cost *1 compAures. 'have 

Credits Guarantee Den/S nt, imported loro shoe imports from the Far East advan^ tage’ ol, the; Co 

Greet us Guarantee Department, , Ilie L.S. between July IGT« and nmFtO-belp U.S. footwear man a- Uepartmeats . newiv oil 

June is i » facttirew- comp*ite ' in domestic ■ technical raanagement^asf 

lne orderly marketing agree- and export markets have "led nr a This kind, of outside he! 
men’s, which took effect in July “thmaroHPd-*" And the latest marketing ah d : - technical 
called for a 20 per cent figures — for-' -the. non-rubber. . lems i5jappprontly ; wh'at-;* fa . 
cutbacK in nqn : rubheT - fontwe^r FiJbTwrt'rff'soct'pr which .forms the panies really want; Cotnpara!.. 
shipments from previous levels, nverwhelming .proportion nf Jthe little . call, has been made on^ 
In fact, their reductioo in the U5: -'mdustry — . show distinct S42m earmarked in the- 
? rfrt 4 . ^ u ?i: 3 . 5e ^ r ! ^T a . s faUter promise.- ^ raerce Department, program^ 

less than that. Both Taiwan and- Domestic production rose b.v 7 for soft loans and loan euara 
south Korea d ec ided u> burrow per cent ** theffrst six months tees. This, Mr. Burkholders# 

some ortneir 19/8-79 quota allow- of this" fiar compared to the is probably bow it should.# 
they were per- sa rate -pendd ha 1977, ejppiov'ment The Federal enverpment shoit 
ra| p™ 1°.“°-.. has: stabilised at about 166,000 (it not be propping. up financial 1 

Aaoen io uus. as a Free port, w« 233,0i» ten years ago), and lame duck t?oinpam'e&— somctbtr 
lions Kong has apparently average weekly earnings in the that would in any. case- place: - 
j proved a most convenient entre- fourth quarter of 1977 were 10 in. an awkward position, j 
f pot tor Taiwan. -south Korea per cent «l their, level a year preach io its traBi'na"' partite; 
and other countries, .to assemble eariifiJSr - a& ^ result of belter the .evils of subsidies— but glvir 
shoes and then. send 1 , then, on lo ertmpany pfcofits'and longer hmjrir .those c'nnihanies whbreil VnaVki 
tbe US.. This behaviour has worked. ’ Imports fell in The first prospects the .expertise to-. expld 
aroused lha ire of Congressmen hglfTSf 'thiS^JBRP-hy 8"-per cent their potential.’ N 


has lately adopted the practice 
of collecting premiums and 
effecting export insurance in 
the currency against which lhe 
exports are being sold. 

Mr. A. Karair. director gen- 
eral of the Government-owned 
{- company, said that in view of 
the difficulties encountered hy 
exporters in providing suffi- 
cient collateral to the banks 
to finance their operations, the 
corporation is issuing guaran- 
tees on behalf or such ex- 
porters without alien on the 
assets. Decisions on whether 
to issue such a guarantee, Tor 
presentations io banks, are 
based on the companies' past 
record and current perform- 
ance. 


I 



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6 


Financial Times Tuesday September 19 1978 


HOME NEWS 



Rodgers 


promises 


review 
of tolls 


By Anthony Moreton. 
Regional Affairs Editor 


THE FOUR major organisations 
operating toil bridges and 
tunnels were assured by Mr. 
William Rodgers. Secretary for 
Transport, yesterday that he 
would look again at their plea 
for help to keep charges at a 
reasonable level. 


Councillor Hubert Harriman, 
leader of a delegation to the 
Minister, and a member of 
Merseyside County Council, said 
after the meeting in London 
that Mr. Rodgers promised to 
take up the case of the four — 
Merseyside and Tyne and Wear 
County Councils, DartTord 
Tunnel Joint Committee and 
The Humber Bridge Board~-with 
the Treasury and other Govern- 
ment departments. 

The four claimed that Govern- 
ment policy on toils was incon- 
sistent. Tolls were levied on 
some estuarial crossings but not 
on others. “ Mr. Rodgers did 
not refute our case." Mr. Harri- 
man reported. ** Indeed, he 
thought it was a reasonable one 
and prnmised to discuss it with 
other departments.'* 

He said that the consortium 
had not pressed for the abolition 
of tolls. “There is a widespread 
feeling that some of the cost of 
a crossing must be borne by 
those who make it. But unless 
we receive some relief from the 
interest charges tolls will go to 
an unacceptably high level as the 
situation gets out of control." 

The consortium's case is that 
since the legislation authorising 
the financing and construction of 
their bridges and tunnels, 
economic circumstances have 
changed so much as to make the 
burden on them unacceptably 
high. The example of the ill-fated 
Hiimber Bridge is only the most 
extreme: it is now nearly three 
years behind schedule and when 
it opens at the end of next year, 
will have cost £67m compared 
with the £I9m originally planned 
and the toll for a car will have 
to be SOp. 


£lm aid for 
Merseyside 


companies 


By Our Northern Correspondent 


SMALL COMPANIES are to be 
given special encouragement 
under a Elm-worth of financial 
incentives for industry unveiled 
vesterday by the Merseyside 
County Economic Development 
Office.’ 

The organisation is making 
available £750.000 under a 
scheme to be known as CHASE 
(CouDty help for active small 
enterprise) under which com- 
panies with less than 100 em- 
ployees can apply for inlerest- 
relief grants, rent-relief grants 
or loans. 


The incentives are heing 
offered for projects costing up 


to £100.000 which lead to expan- 
sion or retention of jobs. Extra 
incentives will be offered to 
designated areas such as the 
Kirkby industrial estate, where 
a major face-lift is due to be 
announced to-day. 

A £250.000 venture fund will 
also be available for use by the 
county's economic development 
committee to aid small firms. 


Councils curb 
development 
agency role 


£100m plan urged to promote 
microelectronics in industry 


BY MAX W1LXINSON 


A £100m PROGRAMME to 
promote the use of micro- 
electronics in industry has been 
called for in a Cabinet Office 
report published yesterday. 

The report is by a special 
working party set up by the 
Advisory Council For Applied 
Research and Development 
tACARD). a committee of scien- 
tists and technologists who 
advise the Government on future 
policies. 

ii says that industry faces 
grave danger unless it lakes 
better advantage of the new 
technology. 

By the 1980s, millions of 
microscopic transistors will be 
able to he etched on a slice of 
silicon only a few millimetres 
square. Such devices might take 
the form of complete computers 
or be used for other specialised 
purposes. 


Unaware 


The working party says those 
-new devices will have an essen- 
tial role in a range oF industries 
from services, mechanical engi- 
neering and consumer elec- 
tronics to advanced military and 
computer systems. 

However, the Department of 
Industry estimates that only one 
UK company iu 20 is exploiting 
the new technology. Perhaps 45 
per cent are aware of it but are 
constrained from using it, and 
about half of all companies are 
not even aware of what is 
available. 

The report says: “ The UK has 
thus so far failed to respond 
adequately to the changes which 
semi-conductor technology has 
already brought about iu a 
number of areas. 

“As a result, we have been 
overtaken by competitors in 
fields such as cash registers, food 
processing equipment process 
instruments, machine tools, tele- 
phone switching systems, print- 
ing machinery, and even in 
ships' chronometers. In many or 
these fields we previously had a 
dominant position. 

“Moreover, we have failed to 
recognise new opportunities until 
others have produced the pro- 
ducts. Examples are calculators, 
electronic watches and docks, 
word processing, and television 
games." 

.The report goes on: “On pro- 


duction methods, the picture is 
just as gloomy. Industrial firms 
are only slowly incorporating 
new technology such as numeric- 
ally-controlled machine tools into 
their manufacturing and into 
production planning control.” 

The. report, concludes lhat in 
many sectors of manufacturing, 
the UK is lagging behind its 
competitors. It suggests five 
causes: general unawareness nf 
the technology; industrial 
malaise and lack of investment 
confidence: shortage of qualified 
staff; development costs; absence 
of stimuli such as Government 
purchasing or Government sup- 
port. which are found in Japan 
and West Germany. 

The key factor for future 
development the report says, 
will be training engineers and 
technologists in the new science. 
That might cost about £5m a 
year. 

The main conclusion in the 
report is that every department 
and agency of the Government, 
including nationalised indus- 
tries, must accept the import- 
ance of the new semiconductor 
technology. 

It says: “ We do not suggest 
that the impact wilt he sub- 
stantial immediately but we 
believe that over the next 10 
to 15 years there will be 
changes in both manufacturing 
and service industry which will 
affect the whole UK economy." 

The technology, it says, pro- 
vides opportunities for 
developing new products. But 
“ unless we incorporate this 


technology in our products and 
improve our productivity, our 
resulting uncompetitiveness will 

pose a serious threat to the 
balance of payments." 

The report suggests a con- 
certed campaign, involving the 
Confederation of British Indus- 
try. trade associations ana sector 
working parties of the National 
Economic Development Organi- 
sation. to promote awareness of 
the new -technology- Govern- 
ment purchasing should also be 
used to stimulate applications of 
semi-conductors. 


The report has been seen by 
Cabinet Ministers, and tbe Gov- 
ernment responded on July 4 
with a £15m scheme to promote 
the use of- semiconductors. 

So far, £Lm has been spent Six 
projects have been authorised 
and a further 45 are under con- 
sideration. The Department of 
Industry has received 2.000 
inquiries. 


Revolution 


Support . 

Direct Government subsidies 
should be given for training, 
development of applications and 
new products, and to help com- 
panies to pay for consultancy, 
ir says. It estimates that the cost 
couid be about £100m. 

The money should not include 
direct support which is being 
given TO manufacturers of semi- 
conductor devices. 

The campaign should extend to 
schoolchildren, who, the report 
says, will need a much more 
detailed awareness of bow semi- 
conductors will alter their 
domestic and working Lives. 

It is also suggested that the 
Government and industry should 
scl up studies to give early warn- 
ing of where semiconducors 
might lead- to loss of jobs. “ By 
this means, it should be possible 
to reduce fears of sudden, 
unexpected changes in the 
quantity and nature of 
employment.". 


However, tens of thousands of 
companies might be interested, 
and the department believes that 
the response so Far confirms the 
view that many parts of -industry 
are suffering from apathy 
towards or lack of awamess of 
the' new electronics, revolution. 

Dr. Alfred Spinks; vice- 

cb a inn an of A CARD and director 
of research at ICI, said yrhen 
introducing the report: “If we 
have, missed this part of the in- 
dustrial revolution, it is no-, 
reason for missing, tbe next" 
The report is the fi ret of three 
on the semiconductor industry 
and -its - implicatiotas. It deals 
only with applications of the new 
devices. Other ‘ reports will 
follow on their manufacture and 
on the implications for employ- 
ment in the spread of autqnia- 
tion that they will bring.. 

The Applications of- .Semi- 
conductor Technology. Cabinet 
Office Advisory Council for 
Applied Research and Develop ■ 
meat .(HMSO). 

Semiconductor competition 
Page 31 


Brokers settle director dispute 


BY )OHN MOORE 


CITY INSURANCE broking 
group A. R. Stenhouse Reed 
Shaw and Partners yesterday 
settled a dispute with its former 
managing director shortly before 
the matter was due to be heard 
at an industrial tribunal. 

The terms are believed to 
involve a payment of £25.000 to 
Mr. John platford. the fnrmer 
managing lT. rector who left the 
group this March. 

Mr. Platford withdrew his 
claim for unfair dismissal after 


two hours of private negotiations 
between the two sides. The hear- 
ing before the London tribunal 
lasted two minutes. Counsel for 
for Mr. Platford. who had been 
with tbe company eight years, 
told the tribunal:’ “The matter 
has been agreed oo a confidential 
basis." 

Last night Stenhouse.- part of 
the publlclx-quoted Stenhouse 
Holdings, said, agreement was 
reached “ to the mutual satis- 
faction of both parties.** 


• Lloyd's insurance broker C. E. 
Heath has settled its dispute 
with the - Lloyd’s of London 
underwriting syndicate headed 
by Mr. Peter Pepper. The dispute 
was over claims of about £100,000 
made against the syndicate by 
C. E. Heath, who were acting 
for CTL a New York container 
group. The matter was due. to 
go before an arbitration panel 
organised by Lloyd’s . itself. 
Yesterday Heath said: “ We have 
amicably settled our differences 


Liberal group 



s into donation 


BY RUPERT CORNWELL, LOBBY STAFF 


TOP LIBERAL officials are hop- 
ing to meet later this week to 
examine tbe explanation, fur- 
nished by Mr. Jeremy Thorpe, 
their former leader, of how the 
£49.000 given secretly to the 
party in 1974 and 1975 by the 
Bahamas-based property mil- 
lionaire. Mr. Jack Hayward, was 
spent 

A latter from Mr. Thorpe is 
understood to have arrived at 
Liberal headquarters yesterday 
setting out details of the use 
made of the money. Members of 


the four-man team investigating 
the various secret funds and 
accounts in operation during Mr. 
Thorpe's tenure as leader were 
unwilling to discuss its contents. 

The former leader has ap- 
parently already given private 
verbal assurances that the dona- 
tion went mainly on posters and 
tiie special TV link between his 
North Devon constituency and 
London during the 1974 election 
campaign. A weekend statement 
from Mr. Thorpe insisted that 
the £49,000 was “wholly and 
propertly expended for the poli- 


tical purposes for which It was 
donated. 

Concerned about the potential 
damage to the party from tbe 
pubicity resulting from the 
Thorpe affair, the inquiry group 
does not want to add to it by 
further piecemeal comments. 

Instead, they intend to conduct 
a thorough examination of the 
various peripheral accounts, 
including a marginal seats fund 
and a general election fend, 
dating hack to the Torpe era. 
before issuing a detailed and 
comprehensive report 


In this way they hope to show 
that all party accounts are now 
under the full central control of 
Mr, Monroe Palmer, the accoun- 
tant who took over. 18 months 
ago as Liberal treasurer and is a 
member of the internal 
invesigatitig team. 

Mr. Philip Watkins, treasurer 
at the time of Mr. Thorpe’s 
leadership, said last night that 
Mr. Thorpe had not told him of 
the Hayward donation. He added 
that he was sure the money had 
been correctly used for election 
expenses. 


Record 
unit trust 
sales in 


August 


BY ADRIENNE GLEES ON 


UNIT TRUSTS recorded their 
higfaest-ever August sales last 
month. But repurchases, too, 
were exteremely high — in fact, 
at £36m, they were the highest 
monthly total on records 
Net new investment, which 
fell from well over £20m to 
£18.75m in July, plunged again, 
last mouth, to just over £3m. " 
Among the unit trust-groups 
the level of repurchases ' Is 
partly caused by the ! buoyancy 
of various marketSr-ther argu- 
ment being that unitholders 
are prepared to sell when they, 
know that they can. get a good 
price. . . • i- ■ 

Jit is- also partly due Ip! the. 
Increased intervention of pro- 
fessional Intermediaries, -who' 
are much more willing, than 
the average private Investor to 
switch in and but of funds. ' 
It Is certain that, -hi 'spite .of ' 
tbe increased, volume of: sales,, 
the unit frusta are -not attract- 
ing a new class of investor. In 
fact, the number, of’ -unit- 
holders’ -Recounts b®* Con- 
tinued to fall, dropping, by. 
almost 12.000 last month to 
1.972,822 as against 2.64*297 at 
: the end of August 1977, ”. 


Second fiddle 


• Although August Is tradi- 
tionally a stock month for all 
kinds of investment activity, 
the excitement in. Far Eastern 
markets rubbed off .to some 
extent on tbe trust seder, .and 
the Far Eastern, trusts were 
heavily bonght 

However, they appear .to 
have played second fiddle ‘to 
the high income trusts, which 
continued to attract the. greater 
part of the money coming In. . 

Wltb only one new fund 
— Cosmopolitan ; , Income — 
launched daring the month, 
novelties were not Ah ' impor- 
tant factor. Gross sales -In 
August amounted -to £45<3m* 

. Thanks .In part to this latest 
flurry of activity but in parti- 
cular, to the excitement pealed 
by the revival on Wit! r Street 
In the late spring, fhe.value Q? 
sales for the first eight, months 
of the year totalled £38tL5m« as 
against £229.65m at the corre- 
sponding period in 1977, and 
only £242.69m In' the first eight 
months of?1976. - 

In spile of this latest- spate' 
of repurchases, net new sales 
for the year so far, at £ 193,14m,. 
are almost four times greater 
than those recorded in the first 
eight months of 1977. .. . . 

The total value of funds 
managed by the unit trust com- 
panies, at the end of August 
amounted to £4.08bn— the first 
time that- the value of funds 
under management In the 
industry has exceeded £4bn. 


TRIBUNAL NAMES NEW AREAS OF JUDICIAL INQUIRY 


Crown Agents ‘lacked experts’ 


By Our Newcastle Correspondent 


THE FUTURE activities of the 
North of England Development 
Council are likely to be confined 
to promotion and publicity 
following a meeting of leaders 
of the region's four county 
councils yesterday. 

After five hours of private 
talks, the newly-formed North 
East County Councils' Associa- 
tion made two main recom- 
mendations to the member 
authorities who contribute nearly 
half to the development council's 
annual budget of £475,000. 

The meeting proposed that the 
development council’s role 
should be restricted m publicity 
and promotion and Lhat the job- 
hunting agency should work 
within the guidelines laid down 
by the county councils. 


THE LACK of expertise or talent 
in the property development 
field was one of tbe main causes 
of the massive losses incurred 
by tbe Crown Agents, a judicial 
public inquiry was told yesterday. 

Moreover, the Agents bad no 
in-built expertise in foreign 
currency dealings and no know- 
ledge whatever of commodity 
trading, it was alleged. 

They had entered “ this volatile 
and so'mewhat dangerous market 
and lost money." 

This was revealed yesterday as 
tbe public investigation, which 
j has all tbe powers of the High 
Court, began in London under a 
tribunal headed by Mr. Justice 
Croom-Johnson. 

It will examine how the Crown 
Agents came to lose £236m in 
secondary banking and property 
activities between 19S7 and 1974. 

Mr. Robert Gatehouse, QC. 
counsel for the tribunal, said 
high risk ventures into the 
fringe hanking sector and loans 
to property developers were a 
major cause of the disaster. 

It was clear there was a need 
for the agents to build up their 
reserves and it was clear they 
had the right to use surpluses 
to achieve that end. They thought 
they had sufficient expertise to 
do it. 


‘‘Disaster*’ 



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But. he asked, was there 
enough knowledge? Undoubtedly 
they had expertise in investment 
in the cilt-edged market where 
they bad been operating on 
bebaLf of their principals for 
quite some time. 

They had some knowledge or 
the UK equity market and there 
they had the advice of stock- 
brokers. They also bad Mr. 
Bernard Wheatley, who was an 
expert on the money market 
responsible for tbe Investment 
of principals’ deposits for some 
time. 

But it was when the agents 
tried to borrow money to re- 
invest that they got into trouble. 

“In order to borrow success- 
fully they had to borrow at rates 
dictated to them and then invest 
at a high rate in order to give 
themselves a profit. 

“Higher profit means placing 
money with less secure 
borrowers who are prepared to 
accept the higher rate because 
of the risk in their operations,” 
said Mr. Gatehouse, 
to fringe banks who we p lending 

* 


to property developers and loans 
to property developers them- 
selves. 

“This was a major cause of 
tbe disaster which overtook the 
agency when the property bubble 
burst in 1973 and early 1974." 

There was no great talent in 
other areas either, he said, such 
as the foreign equity market 
where they decided to extricate 
themselves in 1971 but did not 
complete substantial extrication 
until later. 

They bad no in-built expertise 
in foreign currency dealings and 
no knowledge whatever of com- 
modity trading. “They entered 
this volatile and somewhat 
dangerous market and lost 
money." 

They had no knowledge nf the 
property development market or 
in the foreign property market 
yet they invested in Australia. 
Cyprus and France. 

"Their talent.” he said, “was 
very short on the ground.” 

The tribunal was set up to 
investigate any “ lapses from 
accepted standards of commer- 
cial or professional conduct or 
public administration" in the 
Agents’ operations as financiers 
or own-account, as described in 
the Fay Committee Report last 
year. 

But at yesterday's opening. Mr. 
Justice Croom-Johnson. said: 
“The tribunal has now decided 
to investigate certain further 
matters relating to the Crown 
Agents and its business 
associates." 

These were: 

• Compliance with exchange 
control regulations. 

• The circumstances surround- 
ing the incorporation of Sterling 
Industrial Securities in 19H9. and 
the loans to that company up to 
April 1970. 

• The loans made to Metro- 
politan Properties Company 
between 1969 to December 1971. 

• Tbe loan marie '.o Sterling 
Industrial Securities m 1971 in 
enable that com par; '■< make :• 
loan to N. H. Wool ley and 
Company. 

• The loan of £750.600 trade in 
Big City Finance in February 
1974. 

• The loans made by or through 
Anchor Investment iPeronal 
Loans Finance) tu ihe late Mr. 
Bernard Wheatley ia February 
and April 1974. 

Mr. Justice Crooru-Johnson 
said: "Other matters may be 
added laler at the tribunal’s 
discretion if the inquiry, dis- 


closes additional subjects which 
need to be investigated."- 
In his opening remarks. Mr. 
Gatehouse said that the hand 
of Mr. Bernard Wheatley, the 
Crown Agents' sterling manager, 
wbo died while awaiting trial on 


loans running into millions of 1974 that the Agents would not 
pounds.*' be able to meet their c ommi t. 

Counsel described him as "a meats as they fell due. 
flamboyant character," whose . “ Unless they acted fast they 
expense account lunches raised would need Government 
continual complaints from the guarantees in respect of their 
office accountanL Mr. Wheatley own accounts which had brought 



Co-op radiator plant 
workers to seek 


more State cash 


BY RHYS DAVID, NORTHERN CORRESPONDENT 


A DEPUTATION from KME, 
the Kirkby workers' co-operative 
In Liverpool, will meet Mr. Alan 
Williams, Minister at the Depart- 
ment of Industry, on' Thursday to 
seek further financial backing 


for the project. 
750 work 


The 750 workers at the plant 
decided yesterday to seek new 


talks although earlier this year 
pli 


the Government rejected pleas 
for a further £2 .9m in aid. 

The* workers turned dawn 
alternative 'proposals for the 
plant — which makes .radiators— 
to be handed- oVer to a Rereiver 
so that -' it can be bought by a 
private industry buyer, ■ 


Problems 


. Xhe ! co-operative .is- claiming 
that its present : financial prob- 
lems: -are the Tesult'.of. Under- 
funding when the .venture, was 
started nearly four year^ ago 
with nearly: £5m . in -Government 
grants. ' 

■ . The co-operative, which, claims 
to have -captured about 10 ' per 
cent of the UK radiator market, 
now has gbod order- books *and 


will tel! the Government that a -. 
grant is needed only to tide it 
over. 

A major problem, however, ; 
appears to be over-manning a* 
the plant which the co-operative : 
is reluctant to tackle. ; 

A report earlier this year by -_ 
P.A. Management Consultants 
predicted a profitable future for 
the group in spite of £2.6m 
losses over the past four years. ? 
but it warned of the need to cut - 
200 jobs. • 

The Government' Is under- 
stood to have. been approached 
recently, by & company manu- 
facturing- radiators which is 
anxious to increase .its capacity- 

Mr. Alan Williams Is under- 
stood, to have' offered to bring 
the company and KME together 
but the prospective buyer is 
believed to have rejected this 
and. said it would prefer to buy 
the assets- From a receiver. 

ft would thus- avoid the obliga- 
tion' or taking dd the existing 
Labour Forte and would presum- 
ably restart operations with far 
fewer people- 


Oil output plateau could 
signify end of growth 


BY DAVID FREUD 


THE ■ UK economy could stop 
growing when, output of North. 
Sea oil reaches, a plateau, says 
Dr. Neild concludes that, given 
of City stockbrokers, Phillips and 
Drew, 

In an . article In the firm's 
iparket review for this month, 
Dr. Nield -concludes that- given 
the present : fiscal and monetary 
policies of the Government, the. 
expected small surplus on 
current account next year would, 
without North . Sea oil. possibly 
be a deficit Of about £3bn. . 

According- -to . this' calculation 


the protection of the current 
account offered- by the oil .flow; 
has allowed a greater consumer 
boomlet and lower price com- 
petitiveness of. 1 import sub- 
stitutes and exports than could 
otherwise have • been contem- 
plated or permitted. 

Unless the favourable in- 
fluences of North ; Sea oil are 
translated into • greater incen- 
tives to work and invest, the 
realities, of . the underlying non- 
oil economy will have to be 
faced, sooner , or later, says Dr. 
Neild. 


Chubb in patent licence 
deal with U.S. company 


BY' MAURICE SAMUELSON 


CHUBB AND. SON/ the. security 
equipment company, -has con- 
cluded _» pa^pnt-licemting agree- 
■menf with ^Dieboid,' of Ohio, 
[makers of cash ' dispensers : and 
automated teller equipment, - . . 

Best known for its locks, safes 
and fire security equipment, 
Chubb manufactures automated 
Banking equipment through its 
subsidiary, - Chubb Integrated 
Systems. 


Under the agreement, Diebold i 
has given Chubb an equivalent ; 
licence under its own patents and 
bar made a ..cash payment of . 
$650,009. . = - 

This is one of -a number of 
cross-patenting deals which ; 
Chubb has been discussing with ! 
other manufacturers of cash ; 
dispensers. Two years ago. it 
entered a similar patent licence < 
agreement with. IBM under which . 
IBM also paid Chubb 9500,000. > 


Tory MPs urge Steel 
to repudiate Pardoe 


«y ocir lobby staff 


CONSERVATIVE MPs' called oh 
Mr. David -Steel, Liberal leader, 
yesterday to repudiate the 
demands of his deputy, Mr. John 
Pardoe, for the withdrawal of 
British troops from Northern 
Ireland. 

Mr. Pardoe, in a radio inter- 
view broadcast from Dublin . on 
Sunday, said the British Govern- 
ment should set a date for with- 
drawal and call all political 
groups in Ulster to a constitu- 
tional conference. 

He emphasised that be was 
expressing a personal view and 
not. that of Ms party. ; 

. Mr. John Bigg&Davison, a 


Tory spokesman on Northern 
Ireland said that Mr. Pardoe’s 
“arrogant outbursts*' amounted 
to an. “act of betrayal" and 
raised dangers of a civil war. 
Mr. Steel should repudiate bis 
depaty and make a clear state- 
ment of Liberal policy. 

Mr. Philip GoodharL Conserva- 
tive MP for Bromley. Becken- 
ham, and chairman of the party's 
Northern Ireland committee, 
described Mr. Pardoe's remarks 
as irresponsible and an “incite- 
ment to murder." They couid 
only encourage further terrorist 
attacks on the Army and the 
police, be said. 


American pays £2,100 
for 16th century icon 


AbIUcv AjtarumT 


The Crown Agents Tribunal (from left) Lord Alien Ahbeydale, Mr. Justice Croom-Johnson and 

Sir William S limming s. 


corruption charges, could be 
seen virtually wherever the 
A cents tout money. 

Mr. Wheaile;- was the only 
man Dcainst whom there was 
evidence Mjrious criminal 

a-.-tivit;.. sasri Mr. Gatehouse. He 
died in July. 3976. after he had 
been eommuiod for trial to the 
Old Bailey. 


Charges 


“ He would have been jointly 
•"toided with Mr. Sidney Finley, 
-.-.-hr. ’.-.as convicted of two charges 
ci 1 'irrupting Mr. Wheatley." 

Finley appeared at the 
Old Bailey he was jailed for 


v i vine more than £180.000 to 
V. hpjlley. 


Mr. < laiehou.^e said Finley's 
conviction did nor mean 
Wheatley ■.*. r.i.i hove been con- 
victed. bin ‘here was a strong 
P r:m F:n ie vase against him. 

“.Mr. Wheat ley was a not very 
senior Grown servant on a 
modc-t salary who bad at his 
so!e discretion the power to 
grant secured and unsecured 


was also a “prodigious gambler” 
who had the job of taking out 
customers from abroad who 
wished to gamble. 

“The question is whether more 
should have been done to 
investigate his life-style and 
whether more should have been 
done to take him out of the post 
he filled." 

The events the tribunal was to 
consider became known after the 
bursting of the property boom 
and the financial crisis of late 
1973. 

In May. 1974, accountants who 
were appointed to investigate the 
Stern group of companies 
reported that they were in a 
mast precarious position, said 
Mr. Gatehouse. 

Within a month the holding 
company of the group. Wilstar, 
went into liquidation and Mr. 
William Stern had given 
personal guarantees for loans 
which totalled more than £100m 
which were then worthless. 

The Agents' total involvement 
in the Stern group was £41m and 
the Treasury realised In May 


them to this position." said Mr. 
Gatehouse. 


Mrs. Judith Hart, Minister of 
Overseas Development, who is 
responsible for the Agents, 
announced £S5m help and £SOm 
standby credit arranged with, the 
Bank of England. 

Then in April, 1974. the Fay 
Committee was set op to inquire 
into the circumstances of the 
Crown Agents’ request for finan- 
cial assistance. 

The Crown Agents are indepen- 
dent of the Government, con- 
ducting large-scale . purchasing 
and investment operations, and 
providing services in Britain for 
90 overseas governments and 
about 200 foreign public authori- 
ties. 

S’tting with Mr. Justice Croom- 
Johnson on the tribunal, set up 
by the Government under the 
Tribunals of Inquiry (Evidence) 
Act, 1921, Lord . Allen . of 
Abbeydale. a former senior civil- 
servant, and Sir William Slim- 
mings, a .leadiqgCity ‘accountant.' 

The hearing continues today. 


THE ICON sale at- Sotheby’s 
yesterday totalled £70,785. The 
top price was the £2.100 paid 
by an American for a late 16th 
century icon of three Saints 
probably from Asia Minor. A 
Munich dealer paid £2,000 for an 
jeon painted In Moscow around 
1600 of . St John, with 19th 
century repainting. 

V Other Ugh prices were the 
£1,500 from a Spanish buyer for 
The Resurrection, probably pro- 
duced in Moscow In tbe 1880s, 
and the £1,200 for The Dorrai- 
tkm. a work of 'the late 18th 
century. 

^Cricket enthusiasts produced a 
record - score at Phillips, yester- 
day when tiie first sale of cricket 
items, pictures, books -* and 
objects! was held. . The total was 
£34,165. three times the estimate. 

Top price was the £7,500 paid 
for A Game of Cricket,, a paint- 


memo rating a match in 1S37 
-celebrating the MCC’s 50th anni- 
versary. The same collector paid 
,£850 for a handkerchief with a 
portrait of W. G. Grace. 

.At Christie's South Kensington 
silver totalled £23,642, with less 
than 1 per cent unsold. Tbe top 
price was the £1,250 for a four 
piece William IV tea and coffee 
service and a pair of Victorian 
wine coasters made £520. At the 
other extreme a George III caddy 
spoon more than' doubled its fore- 
cast at £80. 


War on Orkney 
military debris 


SALEROOM 


BY ANTONY THORN CROFT 


ing .by the 19th century artist 
Alexander Burr.. . It shows an old 
man teaching youngsters to play 
pricket and was ah auction record 
for the' artist The estimate was 
£2,006. It - was bought by Mr. 
Chris FlBdhgton, who- owns an 
antiques business at Ironbridge. 
Salop. - He ‘spent a' total of 
£13,700.. : ; ■ 

The under-bidder : for the pic- 
ture -was Mr. -Tony Winder, who 
has an ' electrical engineering 
business in Hsrrbgate. and . a 
huge collection of cricket items.' 
Mr. Winder was successful later 
when hq .paid £3500 (three times 
tbe estimate) for a silver presen-' 
tatiom inkstand of 1877. decorated. 

wiih hat abd ball. 

...An MCC .member paid £L30fr 
for a silk- handk e rchief' 1 r com.-. 


SOME OF the worst derelict 
wartime sites in Orkney are to 
be cleaned up in a programme 
spread over several years. 

Representatives - of the 
Scottish Development Agency, 
who recently visted the wartime 
navai base of Lyness, in Scapa 
Flow, described it and its 
surroundings as the biggest area 
of wartime derellttion they 
knew outside a town. Consul- 
tants are to survey the area. 

During the Second World War 
the Armed .Forces outnumbered 
the Island's -20,000 population fay 
three to one. 


ART GALLERIES 


«■«! «»T1 IjOCieTY, MB. New Bond 
7 .; CHARLES REM 
SC ° tt * h Pail 


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!(■»- . Flip BrtUsl* 




TW PAKKfit .GAUXRT. 9 *112 

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.<” . 


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Over the. past three years, we've done even 


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. t 


v 


i 





8 


Financial Times Tuesday Septemfier- TO 


HOME NEWS 


Britain ahead in current 
cost accounting— Morpeth 


BY MICHAEL LAFFERTY 

THE UK is “still in business" 
on inflation accounting and well 
ahead of the rest of the world 
in the practical application of 
the current cost accounting 
(CCAj system. Mr. Douglas Mor- 
peth, chairman of the Inflation 
Accounting Steering Group told 
a London conference yesterday. 

It was his first major public 
appearance since the original 
CCA proposals were rejected by 
chartered accountants more than 
a year ago. 

Mr. Morpeth was at pains to 
emphasise that his group, which 
is still charged with producing 
a new draft CCA standard, had 
learned a great deal from the 
debate over its original pro- 
posals. 

A new draft next spring 
dealing with principles and 
objectives will relate only to 
supplementary accounts and 
will not be applicable to smaller 
companies. 

Guidance on a voluntary CCA 
system will be issued for smaller 
companies, and a similar process 
will apply in the case of the 
revised exposure draft. Mr. 
Morpeth stressed that companies 
would be free to depart from 
tbe guidelines if they thought 
something else was mure 
appropriate. 

The new exposure draft, like 
the current interim Hyde Guide- 


lines, will apply to the profit and 
loss account. It will also apply 
to the balance sheet, a tho ugh 
this may be in summarised form. 

There will be a gearing adjust- 
ment to reflect the ’ extent ' to 
which the effects of inflation are 
borne by the providers of debt 
The exact form has not yet been 
decided. 


COMPLIANCE WITH THE HYDE 
INTERIM RECOMMENDATIONS— 
QUOTED COMPANIES 

No. % 

Accounts received by 
Morpeth group to 
September 1, 1978 917 100 

No mention of CCA 346 38 


Companies promising to 
take action only when 
there is a definitive 
standard 

Companies complying 
with Hyde (including 
30 which are promising 
to do so next year) 


571 62 


181 20 


390 42 


It is also probable that the new 
draft will exempt special types 
of companies with particular 
CCA problems. Examples are 
property', insurance and other 
financial companies. Mr. Mor- 
peth said his group welcomed 


the work that some trade groups 
were doing to evolve systems 
appropriate to their own 
industries. 

Another feature of the new 
approach would be greater em- 
phasis on the use of price indices 
for CCA calculations. 

Mr. Morpeth said that a 
change-over from traditional 
historic rost accounts to a CCA 
basis was. not yet envisaged. Tn 
any case, this could only take 
place if users of accounts 
believed the CCA figures to be 
tbe most important 

On the question of the Inland 
Revenue’s attitude to CCA 
accounts, Mr. Morpeth said that 
the tax authorities were unlikely 
to accept the new figures until 
the system applied to all com- 
panies and became tbe basis of 
the main published accounts. 

Earlier, Mr. Martin Gibbs, 
senior research partner of 
brokers. Philips and Drew, who 
organised yesterday's conference, 
said that figures already pro- 
duced by companies following 
the Hyde Guidelines were more 
useful than traditional accounts. 

Another speaker. Mr. David 
Watts, chief accountant of ICI, 
said that his group had now 
changed over to CCA in manage- 
ment accounts for 90 per cent 
of ICI business. 


Wholesale textile trade sales 
show 27 per cent decline 


BY SUE CAMERON 

SALES IN most sections of the 
wholesale textile trade were well 
down in July this year compared 
with last year according to figures 
published today by the Textile 
Distributors’ Association. 

Tbe statistics show that sales 
of household textiles in July 
were 27.2 per cent down on July 
last year, sales of boots and shoes 
dropped by 27 percent, children’s 
wear 21 per cent and men's and 
boy's ready-made clothing and 
underwear 20.1 per cent. Over 
the same period sales of women's 
hose and children's socks dropped 


by 19.6 per cent, those for 
haberdashery, ribbons and wool 
16.2 per cent those for gloves 
19 per cent and those for piece 
goods and nets 16.4 per cent. 

But four major areas of the 
wholesale textile trade showed 
substantial increases in sales over 
the year. Sales of women's 
knitwear, blouses and skirls went 
up by 19.S per cent between 
July. l£>77 and July tbis year. 
Women's coats, costumes, furs 
and raincoats sales increased by 
39.6 per cent, women’s under- 
wear by 10.6 per cent and floor- 


coverings, furniture and hard- 
ware by 38.2 per cent. 

Some sections where sales were- 
down over the year also showed 
some improvement in perform- 
ance during the seven months 
ending in July as compared with 
the first seven months of last 
year. Men’s and boys’ ready- 
made clothing and overalls 
showed a 0.4 per cent increase 
in sales in the first seven months 
of this year compared with the 
same period last year and haber- 
dashery', ribbons and wool rose 
by 2.S per cent 


Private architects 
continue to win 
more commissions 


BY JAMS MCDONALD 

FOR THE . third successive 
quarter the level of commissions 
won by private, architects has 
continued to rise, although tbe 
recovery has been from a very 
low level, eays the Royal Insti- 
tute of British Architects. The 
improvement, follows a severe 
four-year, recession. 

RIBA statistics, published yes- 
terday, show that in the second 
quarter of this year new com- 
missions increased in value at 
both current and “ real ” prices 
— with “real” prices based on 
1970. 

Between the first and second 
quarters of this year the value 
of new commissions at current 
prices rose by more than IS per 
cent from £985m to £Ll66bn. At 
constant 1970 prices, the rise 
was about 14 per cent from 
£325m in the first quarter to 
£370m in the ! second quarter. 

“The volume of work at this 
stage of tbe design process is 
now at the highest level since 
the summer of 1974." says 
RIBA's quarter lv statistical 
bulletin. 

The rise in the value of new 
com missions at current values 
occurred among all building 


types. RIBA says that rehabilita- 
tion and refurbishment remains 
a high proportion of new work. 
It accounted for 30 per cent of 
public and 22 per cent of private 
housing work. 

Work at the later, production 
drawings stage of the design, pro- 
cess— which recovered later than 
new commissions — has cow risen 
for six months, the Institute 
adds. 

“The value of work enteric, 
production drawings rose by 24 
per cent at current prices from 
£73Sm in the first quarter of 1S7S 
to £9 15m in the second quarter 
At constant prices the rise was 
more than 20 per cent, from 
£24 lm to £290ra, though the rise 
was from a very low level/^ 

This increase in the architec- 
tural work has improved employ- 
ment opportunities in private 
practice. For the third suc- 
cessive quarter there has been 
a moderate increase in tbe total 
architectural staff employed 
This trend is confirmed by the 
f ail in unemployment among 
architects and architectural 
assistants found by the Depart- 
ment of Employment between 
March and June this year. 


LABOUR NEWS 



Supervisors’ action could 

hit hospital admissions 




BY PAULINE CLARK, LABOUR STAFF 

tn -.t tend to machinery break- 
downs night and would carry 
out nnlv sufficient repair work 
to allow 10 per cent of produc- 
tion to be maintained. 

- He warned that breakdowns in 
hospital laundry and , st f erile 
supplies machinery could forep 
some hospitals to cut admissions 
sharply- 


Road hauliers’ agreement 
listed as ‘restrictive’ 

BY OUR CONSUMER AFFAIRS CORRESPONDENT 


Defence spending cuts 
‘have cost 170,000 jobs’ 


FINANCIAL TIMES REPORTER 

THE GOVERNMENTS defence 
cuts had already resulted in the 
loss of 170,000 jobs and job 
opportunities, and the figure 
would reach nearly 210.000 next 
year, said Mr. John Nolt, Tory 
spokesman on Trade. 

Speaking in Bristol yesterday, 
Mr. Noli said that defence spend- 
ing had been cur by £10bn — 
representing £30,000 per enlisted 
man. 


“That is not the end of it" 
he declared. “ The Labour Party 
pledged two years ago to reduce 
defence spending by about 25 per 
cent This year at the Labour 
Party conference we shall doubt- 
less see more motions calling for 
our defences lo be slashed from 
their already minimal level.” 

Mr. Nott said that if Labour 
should win the next election, it 
would mean further defence cuts, 
and fewer jobs. 


Thames flood plan test 


FINANCIAL TIMES REPORTER 

MORE THAN 80 sirens will 
sound in London next week to 
dramatise the dangers of the 
River Thames overflowing its 
banks and to test flood con- 
tingency plans. 

They are part of a £100,000 
Greater London Council cam- 
paign focussed on 45 square 
miles of tbe capital, from Rich- 
mond and Hounslow in the West 
to Bexley and Havering in the 
East. Warnings a ad instructions 
will be widely publicised, fol- 
lowed by thousands of street and 
household interviews. 

Mr. Bernard Brook-Partridge, 
chairman of the GLC public 
services and safety committee. 


said the aim was to make 
London ready to deal with any 
flood threat before the £230m 
Thames barrier comes into opera- 
tion in 1982. 

“ With more than 45 square 
miles of London, more than Ira 
people and a quarter-of-a-miliion 
homes at risk we cannot take 
chances." he said. There will 
be no danger during the alert, 
which coincides with the 
September low tides. 


Lure children 
into industry, 
says Booth 

Clever children should be 
lured into an industrial career 
while they were still in the class- 
room. 

This was the message from 
Mr. Albert Booth. Secretary for 
Employment, to the Institute of 
Careers Officers in Exeter yester- 
day. He said: “ Young people 
who are capable of getting good 
qualifications at universities or 
polytechnics must have their 
interest in industrial careers 
stimulated while they are at 
school." 

He stressed that this was not 
just a matter of ensuring that 
they considered industrial 
careers. It was vital that the 
education system produced the 
well-qualified people needed at 
the top. 


A RESTRICTIVE practices 
agreement between 100 road 
haulage companies in tbe Hull 
area has been abandoned after 
informal pressure from the 
Office of Fair Trading, the 
Government -body responsible 
for monitoring such action. 

The companies had agreed to 
raise their rates by a fixed per- 
centage after fuel price increases. 


Their action was formally put on 
the register of restrictive prac- 
tices in London yesterday. 

The agreement was registered 
on behalf of the Hull Assentin 
Hauliers Group. 

The agreement took effect last 
year but was abandoned last 
March. It nevertheles had to be 
registered under the Restrictive 
Trade Practices Acts. 


Money shop 

BOSTON TRUST and Savings 
has opened a money shop in 
Reading at 30 West Street — 
its 15th retail consumer lending 
and banking branch in the U.K. 


Permission sought for 
heliport at Aberdeen 

BY MICHAEL DONNE, AEROSPACE CORRESPONDENT 

BRITISH AIRWAYS Helicopters 
the subsidiary of British Air- 
ways, has applied to Aberdeen 
City Council for outline plan- 
ning permission for a new 
heliport at Bridge of Don, 

Aberdeen. 

The plan is for BAH to build 
its own heliport on a 28-acre 
coastal site; a few miles south- 
east of Aberdeen’s Dyce Airport, 
the present base from which tbe 
BA helicopter operations in sup- 
port of the North Sea oil and 
gas industries, are conducted. 

The new heliport would con- 
sist of a passenger terminal, 
administrative offices, hangars 
the helipads. It is hoped it will 
be operating by the spring of 
19S1. 


Captain Jack Cameron, manzg 
ing director of BAH. says that 
the rate of expansion over the 
past IS months has been 
“tremendous in terras cf staff, 
aircraft and other facilities like 
new hangars and buildings. 

“ A move from Dyce would be 
a major decision and one which 
we would only take after con- 
siderable thought. 

'* It does, however, offer many 
advantages, not least of which 
would be our ability to plan 
From scratch, a tailor-made 
facility able to cope quickly 
and efficiently with the increas- 
ing volume of traffic, both 
passengers and aircraft move- 
ments. which we are experieac 
ing.” 


Grant of £20,000 for 
Thos. W. Ward 


MR. WILLL4M RODGERS. 
Secretary of State for Transport, 
will pay a grant of £20.000 to 
Thos. W. Ward toward the cost of 
rebuilding a railway, bridge and 
trackwork linking the company's 
premises at Grays, Essex, to the 
British Rail network. 

The work will enable substan- 
tial tonnages of scrap metal to 


be carried by rail instead of 
road, bringing significant bene- 
fits on routes to steel works in 
the north of England and South 
Wales and particularly along the 
A 126 and A13 (through Grays) 
to London. 

This award brings the total of 
such grants agreed in England 
Scotland and Wales to 52. 


Big groups ‘living off others’ overdrafts’ 


yoTira 

To the Holders of 

United Merchants 
Overseas Capital Carp. 

9 c 'o Guaranteed 
Sinking Fond Debentures 
due March 1,1982 

WEASE TAKE NOTICE that the 
Plan at Arran ■jemenC of United Mer- 
chants and Manufacturers. Inc. was 
continued by order of the B antra ptev 
Court, United States District Court 
Southern District of Mew i'orfc on 
dime 30. 1378. 

Tho Plan of Arrsapnnimt provides 
i 3'- Guaranteed 


that Holders of ihe 

SliUrtnc Fund Debentures ftho 


'■De- 


bentures"! of United Merchants Over- 
seas Capuai Carp. N.V. Shall receive 
an Initial payment equal to (1) SDO 
of the. accrued and unpaid Interest; on 
i he Debenture-, due to and Including 
June 30. 1973: and '.lii 5D r J of tha 
O'Kr. Leading Principal amount or the 
Debenture.-;. Subsequent payments of 
the principal and Interest on the De- 
bentures vdl be made as provided by 
the Plan at Arranuement. a copr of 
which, la an. file with the Bankruptcy 
Court. 

Funds for the initial payment jmr- 
n iijr f. to tho Plan of ■Arrangement nave 
been, deposited with tho Fiscal Agent. 
afgrinw Midland Bank (successor to 
Citibank. X.A. f!ormcrly known, a a 
First Katlonal City Bank). 

In order to receive the initial pay- 
ment; Dormant to the Plan of Arrange- 
ment, Holders of Debentures should 
seed their Debentures to Marine And-, 
land Bank, preferably by registered 
Insured mail, at the follow ing address: 
Marine Midland Bonk 
140 Broadway/lSth Floor _ 

Jlew York, Near York 10015 
Attn; corporate Trust Operations 

TP ALL COUPONS DOE ON AND 
APTEE. MARCH 3* 1 378 ARE KOI* 
ATTACHED W A DBmim A 
DEDPCTIOy FROM THE 1NIXIAX, 
PAYMENT ' WILL BB MAD E XK AN 
AMOUNT EQUAL. TO THE AMOUNT 
OF M2SSIKG COUPONS. 

Upon receipt of a Debenture far tho 
Initial payment the Fiscal A^rct will 
detach aU coupons attached thereto 
and stamp the racerse of tha Deben- 
ture with u -Trill Indicating tho amount 
of the initial payment and the sched- 

uled amount* and dates of subsequent 
navmems. Tho Fiscal A sent will then 

return the Debenture together with a> 
check In tbe appropriate amount, 
Subsequent payments will be made 
only upon presentation, of Che Deben- 
tures »o tho Fiscal Agent. 

United Merchants and 
Manufacturers, Inc. 
Dated: September 13. 19W 


BY JAMES MCDONALD 

SOME OF Britain's largest com- 
panies, including multi-nationals 
are living off the overdrafts of 
smaller companies hy failing to 
pay debts on time, according to a 
survey carried out by Manpower, 
international work contractors. 

The company's bouse journal, 
in a survey based on detailed, 
confidential reports from the 
financial directors of 70 com- 
panies, says that in consequence. 


cash flows have been worsening 
this year for small companies 
ments by their larger customers 
and growing demands for prompt 
settlement by their larger 
suppliers. 

Manpower said that 22 small, 
37 medium-sized and 12 large 
companies were involved, with 
turnovers ranging from £lm 
annually to £200oi. 

Even large companies in the 
sample were subject to debt 


delays by the multi-nationals, 
similar delays, but to a lesser 
degree. 

Manpower said. Small companies 
particularly criticised large 
corporations, blaming more than 
two-thirds of their delays on big 
concerns. 

Tbe survey said that more than 
half tbe smaller companies in- 
volved bad weU aver, half their 
30 days' credit at any one time, 
debtors exceeding their standard 


Larger companies suffered by 

■‘The larger the customer, the 
worse the culprit," the survey 
found. "Nearly all tbe firms 
surveyed claimed it was com- 
panies larger tban themselves 
that took longest lo pay.” 

The survey described condi : 
tioos as “ dog eat dog." Man- 
power said last night that 
although tbe sample appeared 
small it was believed lo be 
correct 


Wages fall as share of GNP 


BY DAVID FREUD 

THE TOTAL income of all UK 
residents amounted to £124bn 
last year, according to the 
National Income and Expendi- 
ture “Blue Book” for 1978, 
released to-day. 

In constant 1975 prices the 
total income, or gross national 
product at factor cost, was 
last year, £5 00m up on 
1976 and £17.4bn higher tban 
10 years before. 

The constant-price compari- 
sons are for the first time based 
on average 1975 prices, after 
revision of the 1970 base, which 
has been used in the past. 

Income from employment, of 
largest element accounted for 
which wages and salaries are the 
70 per cent of total domestic in- 
come in 1977 after allowing for 
stock appreciation. 

Profits 

The share of employment earn- 
ings in total income fell in 1976 
and 1977 from a high point of 
74 per cent in 1975, and in 1977 
the share was near the average 
for the past 10 years. 

Company profits, however, in- 
creased their share of total 
domestic income, again after 


deduction of stock appreciation, 
squeezed between delayed pay- 
from about 6 per cent in 1975 to 
slightly less than 7 per cent in 
1976 and almost 9 per cent in 
1977. 

That proportion was still lower 
than the share in the years up 
to 1974, the first year in which 
the share of company profits fell 
below 10 per cent. 

The unadjusted total for con- 
sumer expenditure in 1977 was 
about £S3.5bn. Considerable 
variation in tbe pattern of ex- 
penditure over the past 10 years 
is shown. 

Household spending on food 
fell from 21.5 per cent of expen- 
diture in 1967 to 18.6 per cent in 
1972 before recovering to 19.5 per 
cent last year. The proportion 
of spending on clothing and 
footwear fell from 8.7 iq 1967 to 
8.2 per cent last year: catering 
5 to 4.5 per cent.; and tobacco, 
5.9 to 4.3 per cent. 

The biggest proportional jump 
in spending was on bousing, up 
from 12.1 per cent in 1967 to I3J2 
per cent in 1972 and 15.4 per cent 
In 1977. Spending on alcohol 
rose from 65 per cent 10 years 
ago to 7.8 per cent last year and 
on motor vehicle running costs 
from 4.7 to 5.1 per cent 


The constant 1975 price figures 
for expenditure show that the 
pattern of recovery from the re- 
cession of 1973-75 has been 
mixed. 

The volume of consumer 
spending fell iq 1977 as earnings 
rose significantly less than 


1969. The average annual growth 
of Government final consump- 
tion had been 1.9 per cent in 
the 1987-74 period. 

The falls in final expenditure 
last year in those categories 
were more than offset by a 
strong rise of about 7 per cent 


CONSUMER SPENDING TRENDS 

Percent of total expenditure 


Food (household expenditure) 
Housing 

Clothing and Footwear 
Alcoholic drink 

Running costs of motor vehicle* 

Fuel and light 

Catering (meals phis accommodation) 

Tobacco 

Travel 

Durable goods: 

Care and motor cycles- 

Radio, electrical and other durables 

Furniture and floor coverings 


prices. Fixed Investment fell for 
the fourth year running end In 
volume terms was very little 
higher than in the years up to 
'1970, about 9 per cent below the 
1973 peak. 

The volume of Government 
spending fell by‘ 0.4 per cent 
last year for the first time since 


1967 

1972 

1977 

21.5 

18.6 

19.5 

12.1 

13.2 

15.4 

8.7 

8S 

8 2 

6.8 

73 

73 

AJl 

S3 

5.9 

4.7 

45 

5.1 

5.0 

4.7 

45 

5.9 

45 

43 

3J. 

3.2 

33 

3.0 

45 

~ 33 

2J0 

2.6 

23 

2-3 

2.4 

2.1 

:he volume 

of exports 

and 


services. 

Combined with a very low 
growth in import volumes, this 
led to a rise of about 1.75 per 
cent in the expenditure measure 
of gross domestic product, sub- 
stantially less than the rise in 
the previous year. 


HOSPITAL works supervisors 
started industrial action in a 
pay row yesterday in spite of 
last Friday’s appeal by . Mr. 
Roland Moyle, Minister . of 
Health, for a reprieve while 
talks took place. 

The Department of Health and 
Social Security said -yesterday 
that no dale had been fixed for 
further talks with the unions. 
The Government pay policy was 
said to be a clear stumbling 
block to a solution. 

. Action taken by .the .$£00 
supervisory engineers and- tech- 
nicians threatens to disrupt JStos- 
pitai services throughout the 
country if a solution is not found 
by the end of this week. - 
Mr. Colin ■ O’ Kane, national 
officer in the Confederation-vof 
Health Service Employees .'and 
chairman of the staff ride of the 
works officers’ joint negotiating 
committee, said the impact of a 
ban on after-hours work would 
be cumulative and shouldhegio 
to be felt by tomorrow/ -v 
The supervisors would irefose 


Still worse off 

The dispute centres on a pay 
claim linked to a new salary 
structure agreed between unions 
and management last March. The 
structure is designed to recognise 
the extra responsibilities 
National Health Service works 
officers and supervisors have 
taken on since the reorganisation - 
of the health service in 1974. 

Tbe officers of COHSE and the 
Union of Construction, Allied 
Trades and Technicians have 
rejected a complex pay offer 
because, they argue, it would still 
leave the supervisors worse off 
than the technicians, electricians, 


plumbers and other craftsmc 
who work under them. 

The gap has. widened evi 
further this .month with t] 
operation of a- new bonus sc 
for . hospital^ electricians. . ft, 
ing their . mdnstrialTaction 
July. • -. . 

As a result .of this settlema 

a . general electricians’ ' forem; 
at the top of his scale Is said 
be earning £5,116 a.year.-whj 
an assistant hospital engineer 
the bottom of the supervise 
professional and technical gra 
is earnirig'raotfcfore-foiui £r 
: Under the. latest 'offer, lt 
unions say ..-a udfreindneer mf 
£4,680 - to £5,256i eaaW. ktiU ^ 
earning Jess than .-the foremar 

The union’s- claim for m 
money to foke - account of 
electricians’ bonus . and 
improve - differentiate: .Its 
on hew respblirilrilitietf 
under a reorganised - NHS. 
works officer who wax once _ 
rn charge of,; works at oae hos, 
tali might he responsible for . 
ambulance department as web 







Buildup strike at airbases 
shows signs of spreading 





BY NICK GARNETT, LABOUR STAFF 
THE CONSTRUCTION' workers Union of Engineering Workers fives ia.ta discuss tiie pay iss* ^ 



other rites.' "T' " v aircraft shelters and support element rb the dispute. 

The Transport and ; General facilities at *** four .*** George JBxpAes sea, ^ 

Lake □ heath. 


W^riTers 7 * Union* Anglian bases. AJconbury, Transport anti General’s n 

— - . » 1 stonhmth Bentwaters 


work had. stooned In svmna+hv i-aKenueain. rjeniwaiers and construction secretary; said y 
toe Litttebreok Woodbridge was halted. -terday that it was., 

Station and ox The pay dispute has .since unfortunate situation" that 1 

cccne^ed with the ^'iKrtford merged into another involving ItaUans; found themselves in. 
TiSneL There a ls^ptSredto tiie employment by- another poni- ' Th* unioasfeel . that It all* 

be a threat of similar disruption ; . . , , 

on the Thames flood "barrier. 10 10 do -contract work. 


,1 There ai«Tannear«» tn employment by. another pom- ' Tfa* unions feel . that Iti 
hrea- P an ^ of workers brought work- should be-iiarfted 4o 

» Kimes aSS in to do contract work. ' .- fabrication of the ; construe 

The presence of -the ItaUans units-, « Italy and that 
re snarked protests from construe* should- not he employed in 

SfJ ® tion unions : worried about tbnstlruction;;, ' := '. .7 * 

unemployment among the British -During periods of industi 
Jri® _ aus P ice 5j5/-_ “ 3e labour force. There have been .'disruption or unemployment t 

Engicee.ino Employenr Federa- u *,iy scenes as the Italians Government should adopt L 

,gn ‘ crobed picket lines under escort system of sending 

The dispute, which, began over The meeting today between writers " J ->homa as . some 


pay in July invokes tfie construc- Carter Horseley and the- AUEW ; countries. ; did, Mr. Head 
tion section of the Amalgamated - construction section represents- said-. ; - ■ 


Flexible bargaining 
call by iVletbven : 



" K (t- ‘-t 

FINANCIAL TIMES REPORTER 




BRITAIN needed a pay bargain- equitable provisions of the 
ing system which ensured Government’s . contract-" ‘ ■ pay 
“moderation and reasonable clauses i because the .r^ts <£ 

freedom ut^dUUV.' *«U«4 ® JJ!ASS!6«S* H 
Sir John ,'Methven. director- of immense unfairness and di£* 
general a£<tbe Confederation of satisfaction. V " ■! 

British Industry yesterday. Sir John concluded: “We have. 

But fairness, moderation andr.fo- be able to pay for skill, 
flexibility “will not be achieved responsibility and effort. What 
in the face of the strongest is the use of training skilled 
unions exercising their un- people Who then,.' because of our 
doubted power to bargain for pay system, our lack of differen- 
increases that cannot be justified tiais, drift off tiL.dp unskilled 
aad whentheir members are not jobs? - . ‘ J ‘ 

giving value for money by way “Whatsis the use of having a 
of real increased productivity." taxation ' system which , leaves 

Sir John, at a lunch given by people on the shop floor .feeling 
directors of Bemi Inns, the. that :it is not worth doing over- 
catering group, added: “Nor will time because they axe: going to 
this; fairness, moderation and have to pay back half in tax on 
flexibility be achieved by Govern* their .overtime earnings? 
meat bullying, arm twisting and “What is the point of _ 
blacklisting companies, by use, taxation system which is driving 
for example, of the grossly in- us to a cash. economy ?” r •• 


Labour could lose £ljm 
in levies, says AIMS 

IF COMPANIES and nationalised -did not vote Labour contributed 
industries stopped breaking laws fo - party funds through- the 
by using the common payroll td unions. 

collect political levies from -'■'•-They did this because of "fear, 
workers who have opted out of pressures, the desire for a quiet 
their trade union's levy scheme, ‘life, apathy and sheer ignorance,” 
the Labour Party would lose says in a booklet published 
£1.25m a year. Mr. Michael Ivens, yesterday to launch a campaign, 
director of .Aims, said yesterdav. entitled Trade Union Political 
Mr. Ivens was launching u new Funds, 
campaign by Aims, an argaaisa-/---Mr.;iyen's says that employers 
tion supporting free enterprise, .collecting the levy from all - up ion 
designed to alert companies to members could he breaking three 
their legal, position on collection laws— the Truck Acts. -1931 to 
of political levies from union 1840i under which it is an offence 
members on their payroll. tp make deductions from wages 
Claiming that the Labour Party without the workers* permission, 
received about £3m a year from a breach of contract, and a con- 
umon political levies, Jlr. Ivens spiraev between employer and 
said that millions of workers who unionj which is actionable- in tort 


Electricians 1 
Union 
criticised 

By Our tabfiirStaSF 
THE ELEGTR1GIANS’ union \ 
been told it oust do more abr 
sorting opt - employment pr 
Jems, in telecommunicatit 
rather than' trying to “ mus 
hi" <*■ the Post Office. 

The •criticism, directed at h 
-Jianlf IChappIe, general sec 
ftaiy of the Electricians, has coi 

from the Post Office 'EngiBeeri 

Union. ’ 

Referring to Mr. Chappl 
support , or handing over t 
marketing of telecommunicati 
equipment to the private sect 
•ah editorial in the journal of t 
Post - Office Engineering Uni 
says Mr. Chappie was doing 
great disservice to the tra 
union movement. 

By trying to secure erapli 
ment for Ins own members 

this way, the electricians’ leac 

“was joining dangerous fort 
in' an .unwarranted and n 
Iguided. attack.” ,. 

• Morelwork could be found 

Electricians tf the union prei 
for a', tougher campaign agab r* 
imported telecom man ica tic 

equipment, says -the editorial^ 
Mr. Chappie should a^ 
involve himself in improvi 
the export record of the te 
communications manufactun 
industry which has been 
steady deciine/ 


Shop pay ‘Dickensian’ 

AX ATTACK on “Dickensian.” He was particularly critical Of 
pay and standards for shop staff accent statement by Mr. Joseph 
was made yesterdav bv Lord Gpdber.- MP. chairman of the 
Allen, general secretary' of the ?*&!! Consortium, who hafi pro- 

t S1 T D i SlribUtiVe and P?? 48 ? Four figure of 
Allied workers. He was speak- tob high a Legal minimum rate 

£fhi™ o£ » th ,l British Lord Alien, commented: “My 

national tbe inter- members are shocked and angry 

Fnnrfon Men^wear Fair m 5 bould be putting a case 

OB ' for a low retail price structure 

Lord Allen said that if wages in shops to be continually sub- 
and career prospects in retailing sidised- by abysmally low wage 
had advanced over the past 30 rates.'. . .. 
years to the extent that fashion --“It is^ outrageous that -bis 
had changed, staff in most stores statement is . made at a- time 
would be more . satisfied and whenvtbe retail trade is enjoying 

a reasonable consumer boom.” 








* 



mam 


stable. 


Travel dispute halts firemen 

STRATHCLYDE firemen yester- service would soon be staffed 
day stopped normal work and by men with less than two years' 
began 30 indefinite and un- experience, 
official emerge ncies-only cover The action by 2.000 firemen 
after a (Haim for a £5 rise in took' thetr, union by surprise, 
their weekly travel allowance Officials aV : the' London ' head- 
way refused, quarters. ^were' last ‘night trying 

The action, closed two power to tod tint the reason for the 
stations and halted all non- sudden ' flawjp by one oF the 
essential maintenance and most militant fire brigades, 
administrative work. A strike by Strathclyde .fire- 

Mr. Ron Robertson, Fire men at the- end. of last year 
Brigades Union local committee brought agreement offering 
chairman, said that the firemen them .the'/ prospect, of earning 
were concerned .that if condi- £100. per j week- by November 
tioas did not imprpve t the next- yeaYr- 1 /. - ' . . 


Ultimatum 
issued 
bySunbeanj 

By Our -XSlasgow- Corresponded 

U-S. EXECUTIVES of the SiS- 
beam Corporation, the electfc 
appliance manufacturers, yesfr 
day warned tbe 700 workfoi 
at their. Scottish factory that * 
plant -would -close if they did 
increase productivity and 
industrial- disputes. 

Mr. Sewell Sample, preside 
of international operations, a? 
Mr. Tom Johnstone, director 
European operation, flew fn 
the company's Chicago be; 
quarters to tell management a 
shop stewards at the. factory 
East Kilbride, near Glasgow, & 
it was not generating sufficir" 
profits to remain' Viable, let all 
finance the investment needed 
maintain and enlarge its marl 
share. 

Production of irons, cook* 
and frying pans at the plant b 
been balted for three of the p: 
she weeks through a series 
factional ' disputes among 
workforce over differentials- «3 

Mr. Sample .said that f 1 
Scottish management spent 
time on labour relations 
lems than the managament 
any other Sunbeam plant. 

An.. East Kilbride facte 
spokesman . said . later . ti 
workers had taken the mesa 
and would be doing everythl 
in their power to make the nla 
profitable. 



2 




323S- 



m 


Record weekly 
coal output 

.MINERS AT Bo Iso vex Colliei 
hear Chesterfield, Derbysbu 
have set a weekly output reeo 
of 17,500-. tonnes. This is 5 
tonnes more than the prerio 
best achieved by the. 970 m< 
three weeks ago. . ■ 















lb treat technology as a threat would 
halt progress. As a promise, it makes tomorrow 
look a lot brighter. __ ^ 



IBM United Kingdom Limited, B O. Box 41, North Harbour, Portsmouth P06 3AU 




10 


Financial Times Tuesday September 19 1978 


THE JOBS COLUMN 


Fury of an unrecognised manager-manager I 

BY MICHAEL DIXON .1, 

CFTPET VRIFS have hc^n run down their employment of I didn’t happen to be in Hong tary writes, and having writ knowing that, they could never men, as for womea. To-4batj 

° ‘ ' ■ - • Knnz, I should' be in the moves on. TVor all thy pi*t>' nor bo P e be appointed to a end, the Jobs Column wishes.; 

reporters' gallery. wit shall caliber back to cancel similarly important job in. any Mrs. Sykes and her ambitions ft 

Now, with due respect to Mrs. half a nor all thy tears other company. _ . girls more power to-Ihopei* 


found to be one uf the nnist re- 
liable symptoms of impendin'.: 
ups and downs in the yenoial 
employment market. Or so 1 
am ioki h.v the J ns I i tutu of 
Manpower Studies, bused at 
Sussex University in Brighton, 
which ivaichi'S keenly the move- 
men k of secretarial workers 
and typists. 

The la Test glance shows uh 
uplift »f demand from The 
slough of But it is nor 

of a ai/e to lure Dr. Clive Pur- 
lers. the in.-uiule? lechmca! 
director, into extending it to 
any Unecast of the future. 

ife will conlirm that em- 
pire, ers m London particularly 
are rveruiting significantly 
more 17- and 1 S-ycra r-ulds. 
1 hoi mh not 10-year-old school 
leavers, for jobs of the secre- 
tarial type. He will state that 
the breed seems generally to 
have stopped flitting from post 
to post until after at least a 
year's experience. 

The " high mobility ” which 
50 often ihrow 3 so many em- 
ployers into a tiwy is 
apparently becoming cnncen- 
trtilvrf anions those with be- 
tween two and eight yc*trs‘ 
experience. This is. uf course, 
far from comforting lor work- 


such staff. Clive Purkiss refuses 
to speculate what these undula- 
tions might porteud a year or 
mure hence. 

Braver by far is Lhe employ- 
ment agency of Kay Sykes and 
Partners in Lon dun (which I 


more power to — I 

Sy i«: , l"io;«li;rS'mu'cS"oi w** out- on, .word of .I." -^^ f rc 't ul .rf„r h , e ^n-e 

hi-r Thnnrv IT scroll r>p< arc ^ ,s sureiy a betrayal to working lue heil for everyone • 

h ^bVcome as raie as hav^e ira P 0Se the title on people, else who laboured alongside, £20,000 paiT . ^ 

^domestic-sendee 6 eqSfOa- who. although they may well ceaselessly implying to the boss ’ V - 


;om 

their 


a-th’.T looks on itself as a dab i^SSS^TSS. th« the' take dictation and type letters, that the rest of his staff con- CONSULTANT. J*** i 

hand m the business of part- exotanitton will tie in the are oecupieA mainly in organis- sisted of congenital idiots beL. o. Mann Judd, is offering; 
time careers). Mrs. Sykes her- S^ingambit'ons of women ‘->8 recognised protably m the pay 


Self is ready to proclaim to lhe 
u'H-ij her belief that, unless 
employers v.ake ihcmselves up 


of the two jobs on behalf of un-named 

„ „ (ino ’tu ™ZZ7‘l type of worke7"oftcn with the Bolsheviks." They intercepted clients. He guarantees :■ To 
SEE? The caw is^JelTfar opposite of Operation, so that tlie entire upward flow of work, honour a request from-: apy 


This foreeasr is based on the 
argument that young women 
:irc rowing much ton ambitious 
in fettle fur a career route 


type by word-processing and 
other technological develop- 
ments. 


to be identified 

a bit. secretaries are bound to uon“nf ''work' of “the hl ° h efficiency. action, placing the faulty before to the employer until specific { 

bi-c-me as rare as domestic ser- word-brew slin- and Such People are managers, the chiefs eyes after inking an permission is given. . i 

an:-. , \ul- not secretaries. Their skill is exclamation mark against every The first is for a qiiatifleti 

the fully professional one of small mistake. engineer who has also.inm 

managing people who are Under this pressure, one of profitably a large marketing and 
But I certainly do endorse her employed as- managers and other the bosses concerned had even sales operation, ‘and at the age 

campaign against the demean- kinds of decisive contributor to installed an intercom system of about 40 is fit to be managing 

whit h. however skilled they ing. illogical habit by which the work of an organisation. that enabled him to eavesdrop director of the UK subsifirajy 

become or important the work those who style themselves as Indeed. I have°eunie across on any conversation going on in of an international business, 

inc/ Jo. is hard I v ever likely to managers insist on acknowledg- three small companies In my the offices. His craving to sack The job. in the London, area, 

lead them tn recognition as ing only as secretaries, essential working life where the boss’s all but one who worked for him. also covers some production: 

other than an office sen ant. colleagues whose main work is •• secretaty” did a lot more than was matched only by his terror Salary around £20,000/:- 

of an altogether different order ma nage the boss. that they were secretly planning Pay and age ranges are 

of skill, judgment and efficacy. a mass exit. . similar for the jab .'of 5al£s 

To these people, the title TnQPPlirp Having met numerous other executive dealing with, andr; 

“ secretary '* has indeed 1 become people who share this type of spending much time .; in. 

more than ever demeaning m er They arrived early, lunched experience, I fee! that the risk Eastern Europe. Candidates 

argument, recent years, having been fast, left late, making an all- of unwittingly running a com- need experience of m a n ag em ent 


albeit of a high perch in 
div.-.n? lairs pecking order. 

Challenge 

reinforce her 


the 


T 


Mr? Sykes has challenged tainted during the times of round contribution to the busi- parable torture chamber must and Gf marketing in Russia 

Cvnrral London employers of voracious demand by an influx ness far beyond that of the await all senior managers who and the eastern bloc, codgrfed 

score 1 a riek to appear at il sharp of polony-fingered, semi-literate nominal chief executive. AH of persist in demeaning as a with working competence-' in 
on Thursday murnin? fur cross- clockwatchers. To my mind them had accumulated their secretary, someone who is Russian language. Employer, 

«.*::a:n: nation about the promo- Frank Dickens typified them for general management duties over actually their personal manager, already selling in the .area, 

long service with the same It is surely time that the provides Continent-based : 


inz oruaniMHiuns. That dear no- Hon prospects they offer by a all time a while ago in a cartoon 


stip- 


General Manage* 

AlCfelAXD REGIONAL AITHORITY 

™, P to retirement, the above position %1H 
available early in 1979. ; V ... 

The successful applicant will be directly .respon- 
iEL to the Authority, for generar.overaU direction • 
and administration of New Zealand s' Ingest load: . 

and the position calls for the-outlook of -a " 
husiness person with' executive expenence, ability, : 
tact and capacity to handle a large staff: /. • , ■ • ; ; ; 
colon* will be up to a present - maximum ^of- - 
SNZ2S,310 per annum fcmrently under -.review?, 
and the commencing salary will be fixed aVa figure. ' 
commensurate with the experience and.; ability .of/;, 
the successful applicant. - - r ■- - . . ~ ■; !y/ J . . ;; 
Conditions uf Appointment may be obtained ff ^ ■ 
the NZ High Commissioner, New Zealand House; 
Haymarket. London SW1Y 4TQ, England. - .. / - . 

Applications endorsed “Position of General Man- 
ager” will be received at. the Chairman’* Office 

AUCKLAND REGIONAL AUTHORITY " 
PRIVATE BAG 
AUCKLAND 1 
NEW ZEALAND 

up to 16 October 1978. 





turn (it? nn e-itimuted half of 
the total stock of sevreiariu.i 
ajid typists. 

But. not least because hi? 
cvmuerns seem i»» be starUnz *o 


nt-vy ■■ambitious giil>” from depicting a bristling female concern, which thus represented important work of manager- port services. . : . 

I'nnrr-ity College. As I write, dumping her evil work on the their entire career investment, management became acknow- Inquiries to Mr. Campbell at 

employers are being >!nw to boss’s desk as the hand hit five. Being recognised and paid only ledged. and . paid, for what it is 55. New Oxford Street. London 

atrept. But it i., still hoped l» and clumping towards the exit, as secretaries,- however, they worth. It would then be as WC1A 1BX — telephone; 01^836 

haw- four or five in the dock. If reciting: “The temporary seere- were racked by the insecurity of much an estimable career for 6600; Telex 23173. 


.V '• 


; ;;,vi 


FOREIGN EXCHANGE DEALER to £10.000+ bonus 

A Ei.iopean int-srnavooil oank wishes lo recruit an additional Foreign Exchange 
Dealer lo iti London b/ar.ch. 

Candida;^ should ue '.horoughly experienced in spot dealing, and will ideally 
have a background of three or more years in a busydealrng-rooni. 

A competitive and realistic salary for this position will be paid according to age 
and ?>penencd: adGmonaily the usual Banking fringe benefits are available, and 
a uomis scheme applies. 

Please contact: ROY WEBB 


EUROBOND SETTLEMENTS C. £5.000 

Our client, a leading investment bank, has a high reputation worldwide and is 
active in the Eurobond markets. Due to the continuing growth of their London 
business they wish :o appoint an add.tional Settlements Clerk. 

Candidates will preferably be aged under 25, and should have experience in 
Eurobond primer.- and secondary market operations. 

The firm is located in modern offices easily accessible from Sl Paul's and Moorgate 
tube stations. In addition to a competitive salary, a bonus arrangement exists. 

Please contact: ROY WEBB 


CAREERS IN BANKING 
We are the longest-established consultancy specialising in banking appointments, 
and are still the leaders in this field. 

We can always offer a wide range of junior and senior clerical positions, in 
addition to senior and middle management appointments in specialist areas of 
banking. 

You are welcome to telephone to discuss your career requirements with any of 
our consultants. 


..... ...... .. • - - 

^ 01'623 1 266/7/8/9 


Financial Director 

(Designate) 

^£9,460-^11,595 (subject to review) 


Remptay seeks a Financial Directorto 
replace the present one, who is due to 
refers from the Company in 1979. 

Remptoy © Govern ment-otvned and has 
some 10,300 employees. S.G00 of whom 
are severely disabled. The Company 
handles around 60% of all shettered 
employment m the United Kingdom inS7 
factories. Annual sales are tunning ata rata 
of o«r £30m. The Head Office is at 
CneWewood. London. 

. The financial Director is appointed by 
the Secretary of Sate for Employment in 
a greement with the Treasury. He/ she 
reports to a Board, which numbers! 6. 7 of 
whom are Executive and 9, including the 
Chairman, are Nan- Executive. 

The Financial Director must be a C. A, 
preferably an F.C A, and accustomed to 
controliinp lhe finances of a quick moving, 
mutii-mflton organisation, covering many 
Afferent geographical locations and trades 
involving UJt and export business. It wiB 
be an advantage if he/ she has experience 
of deafing with Govemmerfl departments. 

The Financial Director also needs to be 
thoroughly converse with financial and 
management accounting, — 

computer management and y*-* 
forward planring. He/she ( ffQHftDlOV 


will take over a department of 80 people. 

A considerable amount of U.K. travel is 
necessary 

Rerr$3!oys ctjecSve is to act as a soda! 
service employing severely dsabled 
people In suitable conditions, es near as 
possible to those to ordinary industry. Trie 
products include furniture, outer cfoifing. 
bocktnncEng, orthopaecSc eq uipme nt and 
v.tiedchairs, travel goods, krstwear and 
extKsvesKvicesinpaclegingand 
assembly. These procucto and services are 
grouped crater three trading Group Directors; 

Twerdwfive working days annirel hoEday, . 
a corfritifiorypensiOTarKl Be assurance /' 
sdtameandacarseindaiedinthe - 
benefits af the appointment. The post is / 
being advertised interrtofiy as weB as 
extemaliy. 

As a result ot lhe Bcyfe Report, substantia 
increases in the salary scale are expected 
to be irr^temented in 1979 and 1960. 

F tease write, in ccxilidence. within 
10 cays of the appearance of this ' 
advertisernenL giving brief detafe and 
requesting a C.V. form, to the Maraging 
Director, "Strictly con5derSfial.'FJD." 

Remptoy Limited. 415 Edgware Rd, 
Cridtiewood. 

London NWS BLR 


mm? 



A sales career with. HD! Samuel Life gives you unlimited 

earnings potential. i 

The contracts youwouHte offering are amongiiiB most 
attractive in the industry and you would receive a 
thorough initial amf on-going training ie give ybu every 
opportunity to succeed. 

Opportunities novr exist for 3 people at a new West 
End office. 

If you are aged between 22 and 54, are Sales orientated 
and have a proven record of success in your previons 
career, telephone David Hall On 01-734 4542 or write to 
him at HiH Samuel. Unit Life /Services Ltd./ 35 Soho 
Square 9 London W1Y.5DG. ' / 


* 


e 


AIRLINES OF BANGLADESH 


3. Pay scale: 


VACANCY FOR DIRECTOR FINANCE 
IN BIMAN HEAD OEF1CE AT DACCA 

CONDITIONS •• .. - :V> ... / -i. : . ■ ■ -• 

J-. .Qualification iaLXCLHA/F-CA. : . . . 

and experience: tb) Minimum tea years' post 
qualification experience. 
Maximum 45 years,-relaxable in case 
; of. experienced candidates 

Tk. 2500— 100— 2^0/— plus other 
. admissible allowances. 

- 4. Other benefits as; per Bimaifs rules. 

5. ^Nationality: . Bangladeshi. - . 

6. The pay scale is subject to revision as per Government 
order issued from lime to time,'.. 

IMPORTANT - 

Applications indicating name, father’s name, -date -of birth, 
present and permanent addresses,- qualifications, along with 
three recent passport-size photographs and certified copies of 
educational certificates,- testimoiriaJSj experience certificate 
should .reach. Manager, UJv. & Ireland, Bangladesh Biznan, 
.9 Vigo Street* London W1X 1AL, not later than 13J.9.7S. 


DAF Trucks is a dynamic company ■which specialises in the design, 
manufacture and sale of commercial vehicles. 

The old saying "the customer is always right" is still taken seriously at 
DAF Trucks. 

The company's products are commercial vehicles from 6 tonnes 
upwards. The customers are mostly European transport operators. 
DAF trucks are also finding their way increasingly to countries outside. 
Europe, particularly to the Middle East and Africa. 

The setting of long-term corporate objectives is of considerable 
importance in managing our company. The Strategic Planning 
Department stimulates and assists with long term planning 
throughout the company. 

This department is looking for: 


k planning staff 


The department and its staff are 
responsible for: 

- making strategic analyses needed to 
formulate DAF Trucks' long term 
plan, or having such analyses made; 

- incorporating the results of these 
analyses in recommendations to the 
Board of Management: 

- supervising and monitoring 

implementation. 

We expect candidates to have been 
educated to university degree standard 
in economics, technology or commerce. 
Their education should have been 
completed by attendance at a European 
or U.S. business school. 


Persons who meet the above 
requirements are asked to apply to the 
Recruitment & Selection Department, 
Van Doorne's Bedrijfswagenfabriek 
DAF B.V., Geldropseweg 303, 
Eindhoven, the Netherlands, giving 
relevant information briefly and 
succinctly, and quoting job vacancy 

ref. No. 3099. 

The selection procedure includes 
a. psychological test. If candidates 
so desire, the results of this test 
Will be discussed with them. 


The commercial man will be familiar 
with, industrial marketing, in which he 
will already have made his mark. 

The technologist will have experience 
in the production of quality products. 

The economist will be well versed in 
corporate analysis. 

As good planners they should possess - 
inventiveness, initiative and depth. 
They should be keen analysts, with the 
gift of excellent powers of 
communication, both orally and in 
writing. 

It will be their ambition to attain 
tangible results, also for themselves. 
They will therefore be working on their 
own future. There are genuine 
opportunities for development to 
managerial positions at DAF Trucks. 


DAF Trucks 




General 
Manager UK 

Marketing Company 

A NEW APPOINT MENT offering a fine career opportunity to a 
dynamic executive eager for full commercial responsibility. 

A German-owned company, with international interests^ which 
produces and sells world-wide a leading range of machines for 
indoor/ outdoor maintenance and cleansing and gmi nnri mainTenan ce 
over large areas seeks a general manager, accountable to the 
company s president, to develop a subsidiary' in the UK;. target 
turnover £3m. ” 

Candidates, aged 30 to 40 , must have profit-accountable managerial 
experience and a good record in marketing to induspy and public 
authorities preferably of light capital goods/ vehicles;’ parent " : 

company will provide several months’ training. 

Five-figure salary negotiable, car, comprehensive benefits; location 
London or Midlands. 

Please send full career details - in confidence - to DL E. A. Davies, 
ref. R. 40338. 

Inn uf-f'imttmeui is optn la nur, jrui vokco. 

tinned Kingdom Australia Belgium Canatfii'' 

Pfanue Germany Holland Ireland Italy 
New Zealand South Africa South America f ' • 
tm Sweden Switzerland U.S JL 

International Management Consultants 
Management Selection Limited 
1 7 Stratton Street London W1 X 6DB 


CAR SALES MANAGER 

to take full responsibility of the Car Sales Department with 
vehicle sales, turnover of approximately £2.000.000 but 
operating below potential. The Company employ 180 persons 

with extremely comprehensive and modern car and truck 
service facilities and it is part of a substantial privately 
controlled Group. Responsibility would be to the Director, 
General Manager, salary to be negotiable plus a share of the 
profits, Company car, other benefits and J realistic relocation 
assistance. Application farm from: 

Director and General Manager 

Brookside Garages (Wellingborough) Ltd. 

Finedon Road, Wellingborough, Nortiiants- 


apiHmntments 

wanted 


A 







INTERNATIONAL 
export management 

BrtJishro/awnr 14 2*'yrs„ 

rtipiiiBaI.ertinfl^m- eXDeriwnc** i busy 
ness develop. . P-R- 1 - martspng. 
tislne. sdwmJGWxtfuuliDin j«*s 

Kttng '“SEL*™ 
JibshIi' rtUitofi , ^ per, 

tiL, Cannon Snwt^ -EcaP 4BY. 




COMPANY 

NOTICES 


. W.YVOORUITZICHT COLD MIMING 
COMPANY. LIMITED 
< Incorporated In the Republic of SouO 
Africa) - _ 

A -Man Mr of the Barfor* Rand Croon 



NOTICE OF MEETING 
NOTICE IS HEREBY GIVEN that. tv 
Forty-first . Annual. General Meeting 
BlyrooruittJCtU Gain Mining Comcur 
Uni Red wHI- be heW .in the CcnicrcT- 
Room. Eleventh Flpor. .63 Fas Sir* 


otions 


Johannesburg. 

1S -- 

1. 


2«fl Ocmbt" 


197® at t 2MK> tor toe 'olki wring buslocs>j| 




iir 


i 


To recehre. and coniWcr the ao*l 
annual financial statements lor I 
year ended 30th June. 1973: 

Z. To elect directors m the place of Bio 

rearing In accordance with the pr 

visions ot the company's articles 

association: . . 

3. To place tho unissued shares undJ 
the control of the dJrettors. 

■The register of members ol The «w 
Panr will tic dosed irom urh to 20 
October; 1978, bath Bars inclusive. 

• A member erithled to vole at a "**. 

(ng- may -appoint one or more proxies /k 

attend an d sneak anfl. on a poll. 

In Us stead- A proxy need not be <■ 
member of lhe company. 

for 'he convenience rf members w 

are unable to attend the meeting "h 
wish to be - represented-’ thereat, a jww i 

form wifi be sent on request lo eltfa.i 

the TranUev. ■ Secretaries In - jobaimMM 1 ) 

or. -to the Secretarial m the United Kin; 
dam The att e ntion of members i* draw, 

■a the feet Htit. I* It is to ae edectn 

We comovetdd proxy form must reach t 

company's Transler. /Secretaries m Jotwnm 

burg or its United Kinndom Registrars a 

Transfer Agents at least forty -elgh! not 

bNore the time appointed lor the tw«l 

•a- tkc meeHng (which period ere hid ,| w»y-j- > . 

Saturdays, Sundays and public holidays' 

- ‘ B V Order ot fhe-.Hoa feJf.Am’* 

Rand Mines Llmir 

, Secrelar. ; 

’ . ■ per T. A. CRO “ “ 

Ofcca of the London Secretaries: 

Charter Consolidated Limited. 

40 Holbom Wadua. • 

London ECJ P 1AJ. 

Bth. September T978. 






CHARTER CONSOLIDATED LIMITED 

.CONVERSION OF LOAN STOCK 
. ' INTO SHARES 

Holders ol C1.6BS stock exercised tlw 
right to convert their stock between. 
August and 15 September. 1978. In 
lullv paid registered shares cl 25p ca- 
ol the company, at the rate ol 24 slur 
lor every £10D ot stock. 

Application It twing made to D 
Council of The Steck Exchange for . tJ 
cos new -she res so issued to be admitu 
to the official list, and -will also be mat 
for the listing .of the shares on the Par 
Bourse, the Johannesburg Stock Enchant 
and, at an appropriate time, on t* 
Rhodesian Stock Exchange. 

The amount of loan ■stock outstandfi 
POW ££337,183. 

By' Order of the Bo* - 
CHARTER CONSOLIDATED LI MITE 
^ D. S. BOOTH. Secret! 

Registered Often: . 

40, Hoihorn Viaduct. 

London EC1P 1AJ 
SB September. 1978. 


RHYTHM WATCH CO.. LTD. 


. NOTICE TO HOLDERS OF 
EUROPEAN DEPOSITARY RECEIPTS 
t 1“ EDRS "1 

EDR-bolifers are hereby 
cootes ol the mini t«> 


informed IX 
itmn ana cento 


now available at tne oftccs of the Depot 
SIS- Fenchoteh Street, London EC: 
aDB. and ef the Agent. B inane lilt, 
-national^ a Luvembourg S.A., 2 Boulevk ' 


Royal. ^Libc embo ur^ . 


BENSON LIMITED. 
I8t* September 1978. 


THE TOR INVESTMENT' TRUST 

■NOTICE. 15 HEREBY- GIVEN «»! tf . 
reglaiers of the Income Shares .a«f CavK 
shfrei win be closed from .30th Septan 
>»r Ortober. 197a: .incluaife. 

•By Order or the Board. •; 

J» “ODD, Secretary* 


' — - - 

— +? 






i *»>* .'-Mi • i •.'•»»» it... nvfVi^.'-Lv 



.Financial. limes .Tuesday September; 19.1978 



11 


EGAL NOTICES 



[be mOH COURT i»F JUSTICE 
iDcery DiibiMi . Companies Court. la 
. Matters nfc".: ■ 

NnVmisai of i8?p 

■rTOPON EXHIBITION A TRADING 

- . . CENTRE LIMITED 

No. M380B oriSTb 
SUUinAIR. SERVICES UM1TED 
. No, 80SS04 or 1978 

• R. W. J. ENTERPRISES LIMITED 

| in. the Hatter of Ttw Companies 
1 M$- - 

-0TICE JS HEREBY GIVEN Hut 
'allow (or th' MTl'tdUu-Uo of the above, 
nod Companies by thn Hudi Court of 
awe *w: OB Hie «b dor of September 
8. presented io die said Coorrr bv 

- e commissioners up customs 

• FI EXCISE of Kina’s Beam House, 
i U. Mart Lane. London EC3B THE. 

I dial the said Pei i Lions are directed 
: br heard before the Conn situnc ar 
. Royal Count of Justice. Strand. 
hJm vrSA 2L.L. on the ihd day of 
.. ober WS. and any crediior or no- 
‘ - nlory of ihi> any oF the said Companies 

■ -■ irons to support or oppose the tnakliu; 
■ an Order un any of the -said Petitions 

y appear at ihe time of hearing in 
son or by his Counsel For that purpose: 

• . j a copy of the Pciliion, will be 
Biabed b> - the undcr&ttunl in any 
■’.difor or contributory or any of ih»- 
d Companies reoulrtiw such copy on 

■ ment of the regulated charse lor the 
ne. 

n. F. CLOAK 
K ins's Hram Hnow. 

H9-41. Mark Lane. 

. Umdon EC2R THE 
Solicitor for tbe Fen boner*. 

BYTE.— Any person who intends tc 
war nn tho Unarms of any of the 
1 Fcuuuns tmiAt serve on, or send 
post io ihe above-named. noli le> In 
uus of his intention so tn do. The 
ic-' must Hate the name and address 
the person, or. if a. Arm. the name 
address of . tbe firm, and nnun be 
ird by Hie person or firm, or his or 
ir Sohdtur hf - artr*. amt must he 
ved or. if ponied. .must be sefn by 
n in sufficient time tn reach the above- 
ped not later rhan four o'clock in tbe 
•moon of ihc 3Mh daj- of October, 197*. 


CONTRACTS AND 
TENDERS 


GHANA SUPPLY — 
- COMMISSION 
TENDER FOR ■ 
BENSO PALM OIL FROjECT 


The Ghana Supply Commission invites 
renders from UK manuficturitrs and 
suppliers for the supply and erection 
of materials for the mam mill building 
of a Palm Oil factory to be built at 
Bcnso ip the Western Region of 
Ghana. 


Interested British manufacturer!. Sup- 
plier*. ok.. of such building materials 
can obtain tender -documents (or a 
non-refund able fee of £100.00 From 
tbe Purchasing L-aiion Officer. .Ghana 
Supply Com minion, 58-59 Burnt n 
Street. London WIP 3AF. 

Duly completed tender daci/owns 
should reach the Purchasing Liaison 
Officer, Ghana Supply Commission. SB- 
59 Berners Street. London WIP 3AF. 
on or before 3 pm on 23rd October. 
1978. 


CLUBS 


EVE, 189." Beaont Street 734 0557 A la 
Carte or Ali-m Menu. Three Spectacular 
Floor Snows 10.45. 12.45 and 1-45 and 
music or johnny HawLcewortli £ friends. 


GARGOYLE. B9. Dean Street. London. W.l. 
NEW STRIPTEASE FLOORSHOW 
THE GREAT BRITISH STRIP 
Snow aL Midnight and I a.m. 
Mon.-f,i. Closed Saturdays. 01-437 6455 


EDUCATIONAL 


T- ; 
-- r. ■ 


f ii 
/ ) 


i J 

«* t r 


J'J; 


1 



No. D(0#76 ll 1978 

S flw TUGH Oftl’RT OF JUSTICE' 
mcorr Division Companies Court. !n 
Matter of METRES MARKETING 
SOCIATES LIMITED and Ur the Manor 
TTi" Companies Ail. IMS. 
nTFCE IS HEREBY .GIVEN. that z 
irion fur rtw lVIndtna up of tfj- ghgi'r- 
M Company by tbe Hleb Court of 
jairr was nn foe 13fb das of SeDlcnrtJer 
presonird to. for said Court by 
,-fli Z. EDMUNDS WALKER LIMITED 
1 ne ifpiBiernd Aflhf is .lryylt Bouse, 
■l Sweet Nonhwood' Hills m Greater 
.'^Kton— a creditor. and" that foe said 
Kmn is diri-ctod to be heard before 
Court 'silting "ai Ibn Royal Courts 
Annie*. Si rand. London WC2A ILL. 
-‘I the Ilrrl day of Ociohrr J»rt. and 
crwll'.nr or contnbaiorr of toe said 
• many desirous to support or npposr 
'• >- mahina o[ an Order on the . said, 
itian may apovar at toe tim* of 
tuip. in person or by his counsel. Tor 
- — " l pui»sc: and a copy of toe Pi-tiiioti 
1 . hn furnished by tor- undorafso*d 
any rrednnr or rontnboTriry of ihe 
_ ■'.-.1 Company reoulnnc such copy on 
tnent of tho regulated charge for the 
•• 30. . - . • - 

J. E. BARING & CO.. 

71. Chancery l.*n»\ 

I.ondun V/CIA 1AA. 

Ref. JAH. - 

Sol iciiors for the Fell tiorhirs." 
GTE.— Any person .'who .Intends to 
tear on the bearing ol lbe vald Pelitton 
t sene on. or srnd by posr to. the 
T'-named nonce in wrninn of his 
mtiau so to do. The notice musi otatc 
name and address of ihe person, or. 
a Firm, the name and address nr the 
n. and must 'he signed by rhe person 
firm or ht<; nr ibeir solicitor nf nnyt 
must he servfd, or. if posted. muH 
*cnt hj puM in suBirjptii time In 
eh »h* above-named not later' than 
i o'clock in the sjiernootj of Jhe 
l day of Cumber. HUB. . ■ 


FRENCH INSTITUTE 
10-WEEK INTENSIVE 
DAY COURSE 
IN ORAL FRENCH 

commencing 2nd October 
Interview* 18th to 25ch September 

' Also EVENING CLASSES IN 

French Language. Civilisation - and 
Translation commencing 2nd October. 
Regiitraiion 11 ch to 22nd 5eptemberi 
Details: 

14 Cromwell Place. London SW7 2JR 
Tel: 81-589 6211 ext. 45 


COMPANY 

NOTICE 


No. 001*177 of MTS _ _ ' - 

a the HIGH COURT OF JLS11CE 
• i D riM ,n «F>' Dletkion Companies Court; Tn 
■ T i>-, Mtntnr of SYP MORRIS ASSOCI.VTES 
■I1TED utid In ihc Mofler of Tba 

• : i V *T Act - 19 ®‘ - ••••■' 

• * • -• ";;OT!CE IS RBR EB Y GTVEN. ihar -a 

■non for ihe Winding up. of gie^alwve- 
"'•d Company by toe High. Court or 
me* was oir too l3lh day of Sepl ember 
S. presented to to* saUT Conn by 
- ARLEY * TONCB -LIMITED whose 
. . istered office la P.0. Bmr.lRT, Mitre, 
urt. London, E.C.\ a crediior. and 
l the said Petltino is directed to 
-- beard before ' tot- Court sUdtut • af 
Royal Courts of ■ Justice. ' Strand. 

. irion Wfi'A ILL. on th-i 23rd flay ol 
- • olier t9»l!. and any rrcdilor or conirl- 
nry nf the said Com pant rKsirous lu- 
‘port nr opposp ihe nukinc of an 
tor nn ton said Petition Way appear 
tor- lime of hi-anns in person or hr 
' :«nin».-l fur ;hji pnrenw:;" and s' copy 
.ih-' Fell t uni will b>- furnished' hy the 
Instill'd to atre errdilor nr comnbu- 
v nf the Mid Cmnpanv n-uoirmc sta-h 
•> ->n pami-nt of the reyiilatrd ebarLc 

lh>. baniv. 

-I. F. RARING C.n., 

74. uhamvrv Lanr, 

London WC2A I.U.' - ; • 

Ref: -I AH. 

-Sutioiiors for I lie P* bU oners. 

. -’DTE.— Any person who . intends to, 
lear nn the heanne of the said Petition 
. « M-no on. or- send .by 'pint to. .toe 
^ .lVf-uaniL-d notice m wrinna ■ of , his 

so to do. The notice mum state' 

name and address of ih* perwni. or; 

_ — — ■".< ilmi. toe name and -address of foe 

. r » « v’V n. and must be sinned by the- person 
f'.HN i firm, or bis or tbelr solicitor ilf anyi 
f must be served, or: ir jmsred. must 
sent hy post m sufficient time, to 
tch the above-named noi later- .-than 
Ar o’clock tu toe afternoon pf ftn 
h das b! October HRS. 


W. F. JOHNSTONE a COMPANY 
LIMITED ■ . 


{Incorporated In the Reoublic 
of South Africa) 


The- audited consolidated oroBt was 
R93B;S89. alter tax Ol R897.690 and 
minority interest Ol R2 1 2.584. -com- 
oaraMe figure 1977, RT.618.649. 

after ax. R 1.436.487 and - minority 
Interest of R299.BS9. 

' Final Ordinary Dividend of 12 cents 
declared msLlng a total dividend lor. 
the year a> 15 cents. Final ; 0|v|. 
dond payable to shareholders registered 
at dose ol business on 20th October, 
1978. 

Transfer books and Register of. 
Members will be closed worn 21st 
October. 1978. to 10th November. 
1970.. inclusive. The dividend is 
declared In the currency of South 
Africa and warrants (n Daymen! will 
be oosled to shareholders on 10 th 
November. 197B. 

In terms ol the Income Tjx Act 
non-resident shareholders tax Of 15% 
will be deducted from dividends dne 
la shareholders whose addresses >n 
the shore register are outside Uie 
Republic. - • 

By Order el the Benrd. 

A. D- BRUNT, A C 15.. 

Secretary. 

RcBlSfornd OltiCC - 

10. Quality Street, 

South Africa 

London Transfer Secretaries: 

Hill Samuel Registrars Limited. 


15th September. 1978. 


CLASSIFIED 
ADVERTISEMENT 
RATES * 




' Avoir 


prr 

ivi'iim 


HOT 

iii, 

Cnmmcirial * lortuslrlal 

/ 

£ 

"4 sii 


Prntwriv 

lino 

ReMd-mcil Properly 

; nn 

no 

.\PUnhiinieTHN ' : ' 

4. Sir 

14 HO 

Bi«siu«> He Invisimpni .. 



■ •liDurtiiniliP"- fiiri/nralmn 



Ijwijfc.pniitoiwn 

Cunaclur. Biwiicsews 

• For Salr.wanied- 

S.’.'S 

jr.itd 

Education, juniors. 

. Domnins fc Tenders. 



Personal. Oardenmii 

<*5 

J3IW 

Holds * Trarel 

2.75 

iu no 

Book Publishers 

— 

i.OO 


Premium Maidens available 
(Mlotoinn-slu 48 column -ems 
0.50. ner alnsle column cm extra} 
For further details tmle to.' 

Classified Advertisement 
Manager, 

Financial Times. 

10, Gannon Si reel, EC4P 4BY 



answered 




Q: In these days \\: is hard to estimate what I 
may have to . leave when the time comes. 
I want to be fair to dose relatives; but I also 
want to benefit a cause close to my -heart. 
How can i best ensure both? * 

A: Most of us have a similar problem, with 
inflation-.- Tbe sensible course is probably lo 
leave fixed proportions of your estate to the 
rndi vidualsyou:wish to remember — say 20% 
to one. 1 5%: to another and so on— and then 
the residue, to; the cause you wish, to help. 
Q: I wish to remember old people, since they 
seem : certain; to be in continued need; 
but tfieif rieeds may change. How can I 
antkipate what .th.ey may be? '• 

A: Hetp A tUe Aged has a justified reputation for 
keeping well .abreast of the needs of old 
people;" and has pioneered a great deal of 
much- needed work for lonely, side, hungry 
and despairing old people. .. Their trustees 
are espedally careful to make maximum use 
of volunteers in'.daiiy touch with the elderly, 
thereby ensuring thomost practical response 
to need and obtaining the utmost value for 
each, bequest. 

They public - two usefiil^guides. for those 
considering . their Wilis; mid; J; often" com mend 
these'to clients to study in advance of consulting 
m Copies may : be. obtained free on requcsl by 
writing iol H on.^ Treasurer, The Kl- Hon. Lord 
Maybrav-Kingi Help Hie Aged. fioom IToL 
FREEPOST; SOi rLomfon W IE 7JZ f (No stamp 
needed-);- • \ ' > ;• •'* ‘ 



EDITED BY ARTHUR BENNEn AND TED SCHOETERS 


CONSTRUCTION 


A CHEAP lnlex-bay*d liquid 


• communications 

Data easily seen by all 

• PLASTICS 

Drum liner reduces 
waste of chemicals 

MAKCHON* works of Albright used again and again merely by sh £*„Tl’L “litres’ raif and = air Length and/or complexity of correspondent rupc 
and Wilson at Whitehaven in replacing the liner — at a cost of i erT Lj n3 fe financial institutions t * ie { * is Pl a - v decides the amount Contrary to Dthc 
Cumbria has switched to a new SQp per trip. Thus, the necessity SDOr iin« ’ and entertainment nremory needed, up to Jm isers, the liquid ct 


nietliod 

drums containing 
duels. This 
nale spillages 
to sizeable cost savings. 


BECOMING-.availahle in the UK programmed, either on a lamp 

and already installed at a by lamp basis, or using pre-set 

number of football grounds is line lengths and directions that 

The Sefact -message and data can be assembled, 
display system in whicb alpha L/ight sources are gas-filled which cun he sprayed on to any 
numeric characters and simple incandescent lamps with tough- type of soil or sand so as lo 
graphics cap be made visible ened envelopes, designed to have ensure that loose earth is not 

to audience ranging from a fast response tthat is, quick blown away ot eroded in other 

stadium crowd to a few people light-up) and slow light decay ways, has been developed ;md is 
seated around a desk. afler voltage removal, improving being made by Israel Latex. 

Likelv aoolications will be in graphics quality. POE 130. Canniel. our Israel 

Likely appi»*-fwu«s_wni oe in and / or complexity of correspondent reports. 

other soil siahil- 

Quti !-%.•. •■mnliall 


LAINO 


for tomorrow's 
BUILDING, CIVIL 
& INDUSTRIAL 
ENGINEERING 


Speeds the 



ML 1 *" i s heldtin ^Tioiid stale 


message data console about the size of n large tion tn holding down the earth. 


Ac ^ r ^ ewm fUlim* snmit whirh" nrovirlois' a ne,a ’ ,n R ■;**“•* *\aie storage electric typewriter which houses it reduce? evaporation. peopnysic-n n.na 

dnlL .vir • *£ a L* °C 6 -2!S leak-rree P wal None of the con tizak ' hUjt ? bly man ‘PuIated by keyboard, memory, character The cost of the treatment is col led inn with radio-linked 

tut ,f egVlt !“y- a iniCTDproeMBOr. Use nf the generators together with a clock low— the equivalent of 5 U-S. remote units could open up oil. 


CABLE-LESS qeophysic-il dala 


•& ssrsrS’ JS 5 .*S ssaws 3 » sassi-nS iis.S'.-r-s*s p eir „eu m 

Chemical company m the «> sls can pe savea py avoiding t . hosen . words, for example, can by 10 metres down to a few or to make water and oil reser- Company. 


elc. 

flrsr chemical company in the costs can be saved by avoiding chosen. Wqriis, t-il ov lv mKUCS 

world to use this technique. Sfloao^MMnrive Dro£ct n ta S 0V r !eft for centimetres for use on a desk, voirs impermeahfe Opseis 5500 will permit 

Portatank liner use was deve- ^ proaucL is English, left -to right for Arabic. More from Sefact Message The liquid, which erunos as a exploraUon of areas which have 


prevented. 

Use of this liner opens up the Chinese? 


loped by Porter' Chadburn pr fZL*"““;i,i. ♦k. ®f. from ? to P t0 bottom for Centres, "la Canberra “House? rancen^tolvlilciiTs diluted with usbtaclcs that cannot be prebed 


SERVICES 


London Hoad. SL Albans, Herts, water, may be sprayed hv hand. w*'h conventional muiti-con 

mechanically or from the' air. It£ ductor seismic equipment, at 
life is claimed lo be three years. ,e 9 sl econonnea ly. Difficulties r.f 

seismic operations hw 


gear 


whole 'range' of p?6& which AUernatively. graphics can be (Sl Albans »«*>. 
a spout or the same material, distribution - ■ • i 

l i eT p ° rter chadbum (Pia.-dics). I Ip siri air riimnTP^pn 

Snomi.inr 'rt« be made -b'seph Noble Road. Lillyhall Ml tUlU|ll CddCU _ 

' ? . c Dn drums - Industrial Estate, Workington, VMTS screw type compressors change. close raUo 

it is pnssible tn eliminate Cumbria CAM 4.1 A. OSOD 4555. for produciflk dean drj- oil-free assembly, 

internal lacquer lining, and pro- Shell - Chemicals at Villiers compressed air for a vorietv of Air at the pressures and flow 
ritied that the drum has not been House. 41 Strand. • London, industrial applications have been rates within these ranges is used nrmrrD 

seriously damaged, it can be WC2N 5LA. 01-438 4555. introduced -by Aerzen Machines for pneumatic control systems, Vf 

—a subsidSaj? of the German in chemical processes, for com- ,fr r. Tm 

company of the same name, 406 pressed air operated tools, for HUNTING SUuvEiS 

_ MATCDiAie Boding Lane' South, Woodford paint spraying plant and for expanded its. capability 

™ iVlAltKIALS. Green, Essex. pneumatic conveying systems. include all aspects of engineer- recording costs, at the same time.- 

• Pressures up lo Hi .5 bar 1150 Compressor and control instru- ing geology and geotechnics. The providing improved .ecorded 

TAimltAK MAN lb/sq. inch) and flow rates from mentation are all compactly engineering geology section data quaiit; . 

J. UUSner flUIl" Sli LK LUHI 1000 10 ^ ,5 ®° cubic arranged and completely en- offers a full range nf geotech- The 5500 system consists of a 


Hunting to 
open its 


caused hy 
natural or man-made obstruc- 
tions, such as lakes, highways 
and railways, are ••limmatcd 
through use of this system. 

Seismic crews can more than 
double the number of shot points 
per day. as they move now 
through an area. This doubting 
nf crew productivity and the 
elimination of expensive cable 
h as cyst and maintenance may effect 
t0 a major reduction in ncr-nul? 


are within. the scope nf the two closed with an efficient acoustic n *cal consultancy services includ- central recording station and a 
WHEN FIRST put on the market, from -a coil supply, to he coated ~ in , s ^. r i?ir:i5 e hood Provided with easy access in e a* 1 '. P hoto interpretation, number of remote stations which 

non-stick" bakeware promised to simultaneously with “Xylan" VM.Tb -000 and the VMTS 3500 for maintenance, and windows geotechnical - * 

simplify the lives of caring house- 8310 fnon-stick matrix fluoro . 

wives and busy chefs. The term rarhon) on one side and a pro rjiiiusKa 

[|Qty k,p^pii» ft.. AiiftL'A o Ai'rtifiul tAl»tl tin haIam r>oc fllofl , lill?i 

response 



called 

chenwarc arc lo be found on pressed by tbe bakeware manu- 
the white elephant stalls of factorer: 
jumble sales up and down the Coil-coaled Xylan, says the 
country. company, has "excellent abrasion 


Amdahl in 


lopes: 

ground excavation design. 

These services are offered 
cither independently or in con- 
junction with uther group 

nujT h 7 v P “V™T£d”ftSn“« , SiU °f, tougi™..; Md durabimy-iin. «*- I V* *a UV .88UJUL ' ' m£ 

,X-?- eC c in H l , ead of rf*! coatings applied hv conventional FOLLOWING IN THE footsteps A FIBRE that has long had great ping and land and marine 
trea fed** surfaces* — 8 yct ^rnany spray techniques " Even hard of Ford in the U.S.. which Is promise »n various sectors of the geophysical . sun-eys. This new 


Those hideous, deep scratches ]! r .!!?wii 1 ?.^!! e . e at Ford 


New carpet- 
no fluff 


Going into 

Saudi 

Arabia 


trcii'tfu surfaces yet many • - . , u sin ^ a wty larcp Amdahl textile trade is polypropylene* capability is also intended In » NFW I01NT 

have felt ! cheated, believing that IS? of certain physical com piemen r the aciiviiin of Kokin Anbi 

flhfutv ILk unpUed 1Ddestruct ' pressings ^ y * d pany has placed an order in the defects, notably the inability lo affiliated companies Hunting demure hetwef 




Gnn, Nippon 
50-50 joint 


ability. 


pressings. 

.- ... . . . l4 . In addition, it is claimed, the UK 'or an 

faith may be restored with the S p ec i a j adhesion to ihe substrate computer. 


,09285 55548, .. cLZl "S K DvAJ-GOaC 

(perfected bv the compsuy in process sre consistent Qu&l’itv This macHine will take over also has great* 5 durability.. With 
cooperation ‘with- Gusto^Coil increased cni tout more 1 efficient frora an ^ 37 °/ 15S aQ d will a specific gravity just less than • • -a. 

Goaiers} enables flat:steel strip. bandUns and lea wastage. g»„ P ™prfy. ‘ Aoid"bTre^m. marine J O lilt 

, ventures 

nnnt-iinr importance^ for the success of po wropy lene tnan wou ia 

S CCUtUrV Amdahl's drive into Europe. be A e ^ ed n ^ r ^ h J?L fibr ! f S - 

■ J Amdahl’ fXJK), Viking Bouse A D . ew Polypropylene staple _ 

*b bid was 15 29 Laxnpton Road. HouMow! J 11 ™ “EIL be,nR J S ad . e by arranged a conference " Estab- stacks: and pipe, machinery main- 
s oia was is jtjjjj »j^y r3 jjt) ni.572 4319 Polyolefine Fibres and Engineer- lishmg a joint venture overseas tenasce and repair: and enginccr- 
, . __ ’■ ’ mg (Victoria Industrial Estate, to be held on Nnvember 23 at thf* jng and cnnslrudio for steel- 


- , . . , <<r...u>r hetween NKK uf .lapan 

Amdahl 470V/5 *¥* it. this promise is only now J.enlogv and Geophysics and and a Saudi Arabian cmiipany, 

being realised althntiah it has Huniing Technical Service* offer ^ rilh |. <n Pei, oleum Servii-es 

announcement of a coating reeb- niate'ri a f^af ter “co i l^ie" p roce“ss- u' i s 'intended for the Ford !j eon J in l ,roduction for some two Rrr y iC l es ! n m i nei ' al . exploration i: onir any) has oHicially started 

mque for non-stick bakeware i n5 , allows lb e iXwa re nwni- iiiK> da^ - , „ . . H . n « 1., * !,nd a,,d wa * er J<?suurce busme S .s : operalinn S ha fi ed„nthc 

from Whit ford Plastics, Brindley in ohni» fnmnnsitA bond* -.n-rinii nrovided wilh - f 8 5 ^?®L? ci ^. an . sludlcs ‘ kingdom's formal approval. Us 

headquarters are in AI Juhail. 
and it is capitalised at 3.5m Saudi 
liyal; t about £ 1 ni > - 
The company is to offer advice 
in 'abrieation of various steel 
structures such as. columns, 
beams, girders, trusses and 
lowers, etc.: and fittings like 
Hlruclura! supports, racks, 
ladders, handrails and platforms. 
THE EXPORT GROUP for the fuel and water tanks, simple 
new polypropylene staple constructional industries has vessels, steel bins, silos, pools and 

— _ _ _ _ - n ni*#» »e TlAl*r finivin m #. «.<. •- < Cw«> 

FROM ITS beginnings as a paper machinery company* 
wholesaleings company in Dussel- per cent lower. 

dorf In 1878. Jagenberg has Jagenberg Has had no enm- l Victoria Road. Bradford BD2 Cavendish cm fere nee ccnire. 20 related projects. 

2DE. Tel. 0274 6334 IS) and is Duchess Mews. London, Wl. It is it ended to build n plant 

being marketed under the rfame The fee is £45 plus V.\T, and next vear at AI -iubail in include 
Dnwnspun. A number of variants further informal inn ran he a main building and fa I in rat inn 
.are offered, but one thal lnok< as ohlained from KGCI, 3 Dean shop- for ihesp products. Subse- 
: jhnugh it could have very con- Trench Slrem. Smith Square, quenlly. ;» machine shop will be 
sidcrable interest as a carpet pile London SW1 (fi 1-222 0.1231 or ihe huili. hy (he end of HfSO. 
fVhrc. is one with what is called Building Advisory Sim vice. IS it! nr e from ihe company at 4lh 
ah amiwhe.nl cross-section. This Mansfield Street, London Wl ifil- floor. West Block. 11 Moorfiolds 
^ . 4ti . , . . . TT . .□ - . is -a triangular cross-section, hut 636 2«S2) High Walk. London EC2Y 9DE. 

197i dnd recent ly marked its the last week or two from Unv U1V IVv. lmtike other triangular fibrps this 

centenary by scoring a major, lever for five Diana gluera for . , hasVoncave races rather than the 

if somewhat criticised success in folded boxes and two Japark ORGANISER or the 1978 Brinsn - aJ cnnvex jy 0 r onlv does 
landing an order frnm Thames carton packing machines. Other Antarctic Expedition, Dr. Julian $ fibres "a partic’ularlv 

Board Milfs worth £2^m. orders have been placed hy Parren earher this year visi ed “ ^ 

The slitting and sheeting Co rage for Solar labelling Wa nvick Pum p and Engi nee ring jtpro vides toteresUn- 

machines involved should, .mau ines, ingenious devices that ai Bennsfield, Oxford, to discuss , , Dr0 Derties in terms of 

according to UK competitor use a. planetary motion to pick an idea for drllUng through toe f&StJwfSISon 
Masson - Scott Tbrissel, been up gi ie, lay it on the label and icecape in toe South Pole for __ staole fibre whieh i<« 

bought from them in view of press the' label round the research work. Wine produced in as fine as 10 

toe fact that both they and TBM bottle. There are now 12 such As a result of Dr. Parren’s denier it is expected to be 

are in receipt of Government ins tall-i lions in the UK and visit, toe company's research and possible to make cut pile carpets 

assistance and that toe UK four others on order. development section designed in W hi C h there is only a bare 

and manufactured what it minimum of pile fibre shedding | 
believes to be a unique piece of W hen first they are laid. 


grown to a £50m turnover cam- meet to make except that it 
pany employing 3.000 people and believes iU machines to be more 
nffers 3 machinery product suitable for TBM, which has to 
range embracing the carton, face competition from Swedish 
beverage labelling and paper/ and other companies using 
hoard handbnn fieMs. similar equipment. 

Sales .-’.activity has similarly Tn the UK thp company's 
quickened in the UK where .the order book now stands at E4in.". 


• RESEARCH 


Project on 


•'ompany. turned over £4 5m in orders having been phi alned . in 



A NO rtlNlMUN 
LENGTH 


Thousands of types and sizes in stock for immediate delivery 

LONDON 01-561 8ti® ABEROEEN{Cm)32355/2 

NtANChEvTER 061-872 4975 


Tbaik 5;ER run CHtPGES GLADLY ACCEPTED 
2<! HR. EMERGENCY NUMBER 01.637 3567 Eat 4D9 


• OFFICE EQUIPMENT 

Word processor entry 


LATEST CONTENDER in the 
word processing market i< Data 
Dynamics of Hayes (Middx.) 
which ha’s just announced ihe 
availability of the Artec Display 

2000, .; .- • 

The equipment is housed in 
Iwxi- units — a free-standing floppy 
disc 'recorder and desk-top con- 
solo containing keyboard, daisy- 
wheel printer and a plasma dis- 
Play. . - 

Ttie ; display was chosen in 
pla.ce;of the more usual ert unit 
because it was felt that the 
characters are easier to read; 
alsoVnicker is absent and eye 
fatigue - is reduced. 

The -console looks very much 
like an electric typewriter and 
the.' “thin window" display runs 
across the top of the keyboard, 
carrying -only the, line being 
edited. Typing errors can be cor- 
rected as they occur, nr after an 
entire 1 .'' document ' has been 
recorded on disc. . - 
Text 'is edited in exactly the 
same way as with normal proof 


reading and fhpre are no compli- 
cated language procedures tn 
learn. Ail the commands arc in 
Enelish and toe function that 
each command performs is self- 
evident. 

Each disc stores .about B4 
pages fl 75.000 characters) of text 
which is instantaneously avail- 
able for printing using random- 
access. 

Time-saving facilities of the 
machine include .automatic text 
merging, superscripts and sub- 
scripts. automatic pagination and 
page numbering, variable line 
spacing, hold print typing, auto- 
matic centring of text, under! in-' 
ing, justification and propor- 
tional spacing. 

An important aspect is that the 
programs that control the opera- 
tion of toe machine are held on 
disc und are not part of the hard- 
ware: the system enn,' therefore, 
he updated later «n simply by 
obtaining the .latest disc. 

.More from the company at 
PpringfiHil Road. Hayes, Middle- 
sex (01-848 9781). 


apparatus. 

' This is said to be capable of 
drilling its way. using water at 
very high temperatures and at 
pressures nf 200 psi, a thousand 
feet' deep into the South Polar 
ice. 

Consequently, a two-man 
drilling learn will he on the ice 
for four months working on tbe 
George VI icc floe and living 
mainly in tents whilst using the 
petrol driven power washer to 
pierce the ice and measure the 
currents and salinity of the 
underlying sea water. 

The units have been designed 
to fit in line nn a standard snnw 
sledpn whilst being easily 
separated tn enable trans- 
portation by light aircraft. 

in severe conditions of 24 
hours of daylight; 25-knot icy 
winds and below-zero tem- 
peratures. freezing .water will 
burst pipes, and to overcome this 
problem, the company has 
designed what it' describes as a 
unique air purge unit which 
blows the system free of water 
by means of a. '.high pressure 
water driven air compressor. 


• transport 


Golf engine added 
to Petter range 


USffNG a-parnngor car unit that 
matiy inotbring journalists have 
described .as a -tour de force— 
the', Volkswagen die«l engine 
proposed for the. Golf— Petter is 
Offering.- a quiet and robust light- 
weight Petter F.our” primarily 
for installation , in cruising 
yachts. 

. First installations are for the 
Nicholson . 345 and that builder 
has ordered 25. of the units. 

Petter. is offer itrg two versions, 
mie -'delivering 36 bhp, and a 
de-raied one with 24. bhp. It 
holds an. exclu5ire.UK “ marini* 
satiotr" agreement and has the 
right -to export its version of 
thd trait world-wide. It . is pro-- 
vidius 5 toe . standard . Pettef 
warranty. 


’ Agreement with Volkswagen 
has enabled the company neatly 
to round off the range uf engines 
it was able to offer , to buyers 
of lightweight diesels in the 
power bracket from 6 bhp to 
36. bhp. 

The Golf unit is being adapted 
for marine use at the Staines 
factory alongside tbe production 
lines -for the Mini-Six and Mini- 
Twin propulsion units. 

This development will give 
Peller’a new weapon In its sales 
drive since it can now meet 
makers of competing . units— 
particularly, from Japan-^-on. an 
equal footing. 

Petter Marine Diesels, Hnmble, 
Southampton S03 5NJ. Hamble 
466L 


| WIND 
« ENERGY 
g SYSTEMS 


3rd -6th October 1978 
organised by BHRA Fluid 
Engineering to be held 
at the Royal Tropical 
Institute Amsterdam 




35 paP ers> contributors from 
Canada, Denmark, France, 
Germany, Israel, japan, . 

the Netherlands. .Sweden, 
UK and the USA 
Further details from the 
Organising Secretary, 

Wind Energy Systems, 

BHRA Fluid Engineering, 
Cranfield. Bedford MM3 OAJ 
Tel: 0234 750422 


■ 


a 


Held In conjunction w/rh 
the Netherlands . . 
Energy Research Foundation 




An illustration of our achiej?@ifg@nts in energy 
engineering and project snanagement 




POSTER 
POWER PRODUCTS 


We play a major role in energy engineering 
from a commanding position achieved by 
providing a wide range of services and high quality 
product*- Our ability to meet production, 
commissioning and cost targets is acknowledged 
by major companies and governments, and our 
world-wide operation is-backed by the 
international resources of the Foster Wheeler ’ 
Group. 

Within a modem management structure we 
have established extensive capabilities in overall 
project management, research and development, 
design, engineering, procurement, site 
construction, repair and maintenance, and an 
effective after-sales service. We have access to 
considerable research and development data 
within the Foster Wheeler organisation to support 
our own R and D carried out in Britain. 


industry range from power generation to 
environ menial control and include steam raising 
equipment lor power, process and marine 
applications, nuclear components, heat 
exchangers, pressure vessels, cooling towers and 
incinerators and p\rolisers for municipal and 
industrial waste disposal, and also fluidised bed 
equipment. 


The world's largest works-assembled 
waste-heat boiler was produced by us and shipped 
ahead of time; the world's highest design pressure 
for any bi-drum natural circulation 
works-assembled boiler for a chemical plant in 
Bangladesh is ours. Six out of seven LNG (Liquid 
Natural Gas) carriers have boilers of Foster 
Wheeler design. The QE2 has three of our 
massive ESD units. 


These functions serve bur own extensive 
manufacturing facilities, and are also available for 
direct use by customers. 


The specialised products which we design and 
manufaclure for the requirements of Ihe energy 


We have a world-wide sales team directed 
from London. Contact our Sales Director if you 
have a project involving energy engineering: wc 
can probably help, even to the extent of taking it 
O' er completely. Ask any way, os there’s a Jot 
mote we can tell you about ourselves. 


FOSTER WHEELER POWER PRODUCTS LIMITED 

Greater London House, Hampstead Road, London NW1 7QM, England. 

Telephone 01-388 1212. Telex 263984. 

Works at Hartlepool and Dumbarton. Associated companies ihroughoutthe world. 


rwm» 







■financial Times Tuesday September 19 1978 


BUSINESS AND INVESTMENT OPPORTUNITIES 

READERS ARE RECOMMENDED TO 'TAKE APPROPRIATE PROFESSIONAL ADYICE BEFORE ENTERING INTO COMMITMENTS 


Keyser Ullmann 

can provide 

finance 
for Commerce 
and Industry 

-for large or small 
companies in sterling 
or foreign currencies. 

Ask Keyser Ullmann Limited 

25 Milk Street London EC2V 8JE, 

Contact 

Walter Goddard,Business Development Manager 
• Telephone 01-606 7070 Telex 885307 . 
Regional offices in 

Bir mingham , Manchester and Newcastle 

ifd\ Keyser Ullmann 

Merchant Bankers 

^ > 

New Packaging Technology 

Major International Company with particular 
interests in fulfilling the future packaging needs 
of the pharmaceutical, toiletry and cosmetic 
industries is seeking to establish contact with 
inventors and/or independent Research and 
Development establishments. These must have 
developed or semi-developed ideas for new 
technologies and suitable product designs which 
could be brought to test-market status in the 
foreseeable future through advertiser's existing 
contacts with major multinational customers. 
Please write in the first instance to Box G.2463, 
Financial Times, 10, Cannon Street, EC4P 4BY. 


ENTREPRENEUR-LEASING 

An outstanding opportunity arises with a medium-sized financial 
group for an individual with intiative and good financial background 
to develop a lease broking division. An excellent salary and profit/ 
shareholding arrangement is offered. The potential is unlimited. 
Previous experience in leasing is not essential. 

Details to Box G.2598, Financial Times. 10. Cannon Street, EC4P 4BY. 


RETAILERS 

Whether -ash Is handled there Is 
a temptation for die poMtitially dis- 
honest. In recalling, it is easy to 
disguise cash theft by under-ringing or 
not registering sales. Indeed, this is 
the biggest single cause of inventory 
stock loss. 

Lodge Service, with branches through- 
out Britain, and over SO yean experi- 
ence. is able to help retailers at a 
law cost to reduce and control stock 
loss, thereby increasing their prof! a. 
Consultation carries no Obligation. 
Write: 

LODGE SERVICE 
59 Sc. James's Street 
London 5W1A .1 LB 


Established Ladles Career Wear 
(Overalls) Manufacturer 
SEEKS 

CONTACT WITH CONNECTION TO 

BULK OUTLETS 

for their high quality merchandise 
for staff use 

Tremendous potential for home and 
export markets. Principals only. 
Write Box G259S. Ftaandal Timet 
fO Cannon Street, EC4P 4BY 


TORQUAY 

An opportunity to acquire a semi- 
derelict Victorian Mansion with 5.W. 
aspect commanding spectacular views 
ever Harbour ana Bay. Conditional 
planning consent for conversion into 10 
S.C. HOLIDAY FLATS plus owners’ 
accommodation. To auction in October. 
Illustrated brochure from: BETTE5- 
WORTH5. 29/30 Fleec St.. Torquay. 
Tel: (0803) 2B171 


CONSULTANT/ 
COMPANY DOCTOR 

Managing Director / Accoun- 
tant (35) is seeking short-term 
assignments. i.e. company 
expansion, business problems 
advised on and/or dealt with. 
Reports prepared. 0865-443 fiO. 


EXPERIENCED 
SALES EXECUTIVE 
Well connected home and abroad, has 
large sum of money available to acquire 
directorship or successful brokerage 
wishing to expand UK and overseas life 
and pensions sales. 

Write Box G2J87, Financial Times 
10 Cannon Street, EC4P 4BY 


JOINT VENTURES 
OR ACQUISITIONS 

toaght by small quoted company with 
cash. Present activities arc mainly In 
high technology end of plasocs and 
engineering, bet also on fringe of 
leisure industry. 

Write Box G2586, Financial Times 
fO Cannon Street. EC4P 4BY 


PROFITABLE ELECTRONICS 
MARKETING COMPANY 
engaged in the leisure Industry T/O 4 
million over last 1 years. RacoHent 
export record with several major eon- 
tracts running Into 19B1. Stock at 
valuation £150.000. Exeeffent growth 
prospects. 

principals only raply CO Box G2599 
Financial Times 
10 Gannon Street, EC4P 4BY 


IBM ELECTRIC 
TYPEWRITERS 

Factory reconditioned and guaranteed 
by IBM. Buy, tave up to 40 p.e. 
Lease 3 years from £3.70 weekly 
Rent from £29 Mr month 

Phone: 01-641 2365 


COMPANIES required wlifl casual losses, 
whether reaunM. unnuiuod. agreed, or 
not agreed. Tel. OSes S3G79. 


SPORTS & LEISURE CENTRE 
FINANCIAL PARTNER 
REQUIRED 

A private development involving the 
refurbishment and conversion of an 
existing budding presently owned by 
the advertiser. Capital cost £1 million. 
Support of local authority already 
committed. 

Farther details, principals oofy; 
Write Box G259I. Financial Times 
10 Cannon Sp-mc. EC4P 4BY 


VIABLE LIGHT 

ENGINEERING 

COMPANY 

with own products in domestic, Wti- 
cultural and engineering fields, nbeks to 
associate with manufacturing or sales 
company with view to utilising ipare 
capacity and expanding tales base. 
Integration could be considered. South 
Coast. 

Write Bo* G257T. Financial Times ■ 
10 Cannon Street, EC4P 4BY 


FIBRE OPTIC LOGIC 5Y5TEM 

Memory, ana. or. oat, yes. Modules* 
(Jiss new low cose fibre optic light 
guides. Cost effective against pneumatic 
systems. New technology will explode 
fibre oppes inn industrial automation. 
World wide licences available. 
■Subject of multiple patent apps. 
Frank Burbank Associates. 80 Chancery 
Lane. London. W.C.2. 


BRITISH 


with first clasa property background, 
highest credentials. French, German. 
Italian spoken, offers on-the-spot 
representation in Hong Kong lor any 
type of business transaction. 

Would be interested to receive serious 
enqmries- 

Writo Box G258B. Financial Times 
10 Cannon Street. EC4F 4BY 


AMERICAN 

Resident BOSTON, UJLA. 
Wishes to distribute British 
Craft lines appropriate for U.S. 
Market. Write Box G2584, 
Financial Times. 10, Cannon 
Street. EC4P 4 BY. 


RESIDENTIAL 

MORTGAGES 

Up to £10,000 available per 
transaction. No Endowment 
Assurance needed. Commerical 
Funds also available. 

Write Box G2582, 
Financial Times. 

10. Cannon Street. EC4P 4BY. 


limited companies 

FORMED BY EXPERTS 
FOR £78 INCLUSIVE 
READY MADE £83 
COMPANY SEARCHES 
EXPRESS CO. REGISTRATIONS LTD. 
3D Gey Road. ECI 
01-62B 5434/5/7361 . 9936 


BLOCK DISCOUNTING facilities nqnim 
qv Draqresdve retail amines* on erst 

Elm DXPOr £2SO.OOD-t3Da.OOO per 
annum Write Box G.25G5. Financial 
Tima*. 10. Cannon Street. (CAP 48V. 

El A WMK FOR EC2 Mfln-H or phone 
messauBS- Comotned rate* + telex 
unoer £S a week. Prestige offices near 
Stock Exchange Message* Mincers inter- 
national. 01-628 0898 Telex 8811728. 

SUCCESSFUL MARINE TRADER seeks 
additional caoltal, minimum £5.000. 
Follv secured by unalltv craft. Long or 
short Mem! Excellent rot ar m Proven 
Results. 01-95* 8131. 

OVER 40.000 SCHOOLS AND EDUCA- 
TION- ESTABLISHMENTS CM tiff reached 
bv man. The Educational Addressing and 


ANNOUNCES the ^ 

AUCTION 

fl ill lilM I of f* ressBS * Machine Tools 
and General Equipment 
no longer required 
in the business of 

ENGLISH ELECTRIC 
CONSUMER PRODUCTS LTD 

including 

26 STRAIGHT SIDE SINGLE ACTION PRESSES to 
500 tons BRITISH CLEARING 72 in.xIOBIn. (61 ) 
inci.4 x400tons WILKINS &MITCHELL84in.x 158 in. 
(60and 59) • CVA DIEING PRESSES lOOton and 50 ton < 
17 OBI's to 70 tons « HYDRAULIC PRESSES to 
2000 tons* GUILLOTINES -WELDERS •LATHES 
DRILLS -PLATING LINES-FINISHING MACHINERY- 
DEMOUNTABLE OFFICES and much misc. 
workshop equipment 

At the works of English Electric Cauavsrl’nHhcts Ltd- 
East Lancashire Read, Lhrarpgal, an Wed. end Thar. 27th end 
28lbSBpt.cimaien6tBBit10.30an each day. Yin? Mon. 8 
Tins. 25th & 28th Sept. 9 an ta 4 pn end on morning of sale 
Brochures available from 

LEVY Associates Overseas Inc. 

P.O. Box 119, London, SW1 H 9AJ. 

Telephone 01 -839 51 51. Telex 887291 LevyG. 


EXPERIENCED 

CHARTERED ACCOUNTANT 

who has also spent several years in commerce, seeks an opportunity 
to acquire — after a probationary period — a 50% interest in a soundly 
based business (possibly with a financial flavour) where expansion 
and further progress could be achieved by an injection of both 
additional funds and full-time management expertise. 

The advertiser is a man of impeccable standing, excellent connections 
and negotiation experience at the highest level. The requisite 
funds are. of course, available. 

Replies which will be treated in the strictest confidence and which 
will be communicated to our client only, should be sent to:— 
DAVID KROLL & CO. 

40, Highgate West Hill. London N6 6LU 

Reference SH. 


INVESTMENT BANKER 

City based, with outstanding national and inter- 
national track record, seeks financial backing for 
development of proven investment philosophy. 
Write Box G.2440, Financial Times, 

10, Cannon Street, EC4P 4BY. 




toanmtan 


75% CASH 
AGAINST 
INVOICES 

Su/yeef to approval 


l.ifjrou are a shareholder in an established and 
growing company and you, oryour company, 

‘ require between ,£50,000 and .£1,000,000 for any 
purpose, ring David Wills, Charterhouse Development 
■ Investing in medium size companies as ' 
minority sharehol ders has been, our exclusive 
business for over forty years. We are prepared to 


Cashflow 


cash this! 


currently making over ^50,000 per annum 
qw pretax profits. 

■ CHARTERHOUSE 

Charterhouse Development; 1 Paternoster Row, St. Pauls, 
■LoocioaEC4M7DH. Telephone 01-2^ 3999- 


ACQUISITIONS & MERGERS BY AGREEMENT 


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 wade 
today. Our invoice discounting system, is entirely 
confidential. Your clients remain totally unaware 6f its 
existence. For the full facts post this voucher now or 
phone us direct 

Confidenfiailnvoice Discounting Ltd. 

Orcus House, New England Road. Brighton. Susses BKl 4GX - 
^•Telephona: Brighton (0273)606700. Telex: 87382. 

Far-far* 


A Fiwfar* - 

LOOKING FOR 

TECHNOLOGY & INVESTMENT 
IN SOUTH WALES ? 

Fast growing company. We Mve .ample 
space to expand. We have dynamic man-power. 
We have capital and backing. 


FOOTBALL POOLS 
INVESTMENT 

New Company Requires 
35 SPECULATORS 
to invest Risk Capital 
. £2,OUO EACH 

For three years certain at 
fifteen per cent. No Security 
or Equity yet. Any suggestions 
considered. 

Telephone: 

021-443 668! 

GREGORY'S POOLS 
2 Moor Street, 
Queensway, 
Birmingham B4 7UH 


JAPAN & FAR 
EAST— EUROPE 

TRADE LIAISON fr 
THE MORITEX CORP. 

hire a good record in developing trade 
relations (usually involving technical 
developments) From their offices in 
Tokyo and die UK. Mr. Mori to from 
Tokyo will be in die UK From. 30th 
5epc.-5di Oct. for idiKitsatom on new 
project*. . - * , 

For an outhorltlre. speedy response off 
voor plans please contact; 

Roger King. Trade Liaison. 

Td: (0303) 87834. 

Telex 985483 uiin SG Or at 
31 Castle Road, Hythe, Kent 
to arrange a meeting; 


SMALL PUBLIC 
COMPANY 

Successful Businessman in- 
terested. in acquiring controlling 
shareholding in small, pubile 
company, with growth potential. 
All replies treated in strictest 
confidence. 

Write Bax G2570. Financial Times 
10 Canaan Street. EC4P 4BY 


ENGLISH 

BUSINESSMAN 

Residing Houston and Miami 
interested in commissions. 

' Reply by telephone: 

03942-77474 
Miss Juiyo Mu rtnrngs 




THE SMALLER 


mm 


Forfurthar information contact 
K-Dean, 

ARBUTHNOT FACTORS LTD. 
Breads Place, Hafltnfls, 

E. Sussex. 

Tel: 0424-430824 


EXPORT 

FINANCE 

Our client wishes to rule short term 
ftnjnce to finance specific export 
projects and to finance die construc- 
tion of relatively high value capita* 
goods. 

Interested principals who have £25.000 
and upwards available far short term 
lending should apply to Castle Financial 
Services. Scon Howe, 12-16 South 
Frederick Street, Glasgow Gl 1HJ. 


PLANT AND MACHINERY 


Birmingham fork lift truck ltd. 

. LARGEST STOCKISTS OF FORK LIFT TRUCKS IN THE MIDLANDS 
ALL TRUCKS READY FOR IMMEDIATE DELIVERY 
COMPARE OUR PRICES WITH ANYONE IN THE TRADE 


Yale Pedestrian 2,200 lbs Coventry 

£1,500 

Nordsman Pedestrian 2J3Q0 lbs Conveyai 

£1.500 

Conveyancer Electric 2J240 lbs Conveyar 

£1,750 3,000 II 

Komatsu Diesel 4,000 lbs Caterpill: 

£2^00 

Komatsu Gas 4,000 lbs Conveyar 

£2/150 

Yale Diesel 4,000 Fbs choice of Conveyar 

10 from £2jJ50 

Clark Electric 4,000 lbs Shelvoke 

£3,200 5,000 I 

Komatsu Diesel .8,000 ,Ibs Henley C 

£3.400 

Yale Diesel 6,000 lbs choice of Coventry 

20 at £3,500 

Hyster Electric 4.000 lbs Hyster D 

£3,650 

Hyster Diesel £.000 lbs from Henley E 

64,000 

Henley Diesel 8.000 lbs Shelvoke 

£4000 >2.000 

Henley Diesel 12X00 lbs 

£5350 Electric trucks 
Container Handler 30 tons capa- terire C ^a**charwra 
eity . Fitted with Hy draulical ly R£ e 
Operated spreader for handl- our werjrsh DD a „- 
ing 20ft. 30ft and 40ft con- wfi«3Si2m 
tarners. Hours worked to colours, 
date 5383 £20,000 

Lansing Bagnall Electric 2J5Q0 lbs 
£1,800 

Thta Is only ■ mall iitedlu of the Uada we carry 
aad N your rcoMmwnb a nr ml shewn, plena 
tdentaona ns ml wc will do our best to accommo- 
date you. 

• List sent upon request 

• Trace ana export enquiries welcomed 

■ Deliveries, arranged worldw.de 

• Large reduction on balk purchase 

■ Finance arranged 

BIRMINGHAM FORK LIFT TRUCK LTD., 

4-8 Hams Road. Sail lev. Birm.naaam. BS 1DU 
Tel- 021-32? 5944. 021-128 170b Tele,- 357052 


Coventry Climax Diesel 2,000 lbs 
£1.600 

Conveyancer Electric Reach 1 ton 
£1,850 

Conveyancer Electric Reach 

3.000 lbs £2350 

Caterpillar Diesel 6.000 lbs 

£3,000 

Conveyancer Diesel 4,000 lbs 
^ £3.200 

Conveyancer Diesel 6.000 IPs 
0360 

Shelvoke and Drewry Diesel 

5.000 lbs £3,400 

Henley Diesel 6.000 lbs 

£3,600 

Coventry Climax Gas 6,000 lbs 
u £3.650 

Hyster Diesel 7.000 lbs ■ 

• ■ . r% . «3D0 

Henley Diesel i 0.000 lbs 

cu , L. «.950 

Shelvoke and Drewry Diesel 

12.000 lbs £3300 


GENERATORS 

Over 400 sets in stock 
lkVA-700kVA 

Boy wtaly frddi tiw manufacturers 
with Ml 'ofter-Hier wvlea 

CLARKE GROUP 
01-986 8231 
Telex: 897784 


WE WANT TO BUY A S.H- . KM15 lonne 
coil Slitting Una. coaoww or oaru 
oeera » Boa G.24ai. Financial Tints. 
10. Cannon Street. 6C4P 4BY. 


AMALGAMAnONS & INVESTMENTS LIMITED 


Our business is 
merging your business. 
Successfully. 

36 CHESHAM place, mwonw SWl. m-235 4551 
PETER J. GARRINI & ASSOCIATES 
LIIVI1TED 

—the well-known Industrial sales force — want to represent 
- go-ahead companies in -the. following categories: 

(1} -Sub-contract Presswork,- 
'(2) Sub-contract Wirework 

(3) Rubber .Mouldings and Stampings 

(4) Pressure Aluminium Diecasting 

(5) Sub-contract Auto-Work 

•If your company is in one of these categories and is anxious 
to obtain large. long-term contracts from the Consumer Durable 
Industries, has a good Quality Control Department and ir 
competitive ., plea se- enntact: 

PETER J. GARRINI & ASSOCIATES LIMITED 
. 130a Burnt Oak Broadway, Edgware, Middlesex. 

Tel: 01-952 6626 - Telex: 923S98 


BEARMACH (London) LIMITED, 

Unit P Trecenyyd Industrial Estate, 
Caerphilly, Mid-Glamorgan CF8 2RZ, D.K. 

Seeking high technology in Automotive Industry 
: and Joint .Venture particularly from 
JAPAN, USA & WEST GERMANY. 

Write in confidence to Managing Director, ' 

. Box G^ 601 , Financial- Times, 

10, Cannon Street, EC4P 4BY. 


Regional Agents 

For Forgings and Fabrications 
Firm Needed 

Principals to reply to Box G^51S, • 
Financial Times, 10, Cannon Street,' EC4P 4BY. - : 



BIS Of 

companies 


a thing or two 

So next time 
you need one* 

phone Patricia Parry • 

on 01:253 3030 ” 




tef contrite 


jcnMirBPaBEnuAmauueK 

MOaxxnME 

laxiax&M m xaomEObitiBff 


LEISURE MANAGEMENT LTD 

Formed under the umbrefle of -in established catering company. 
Leisure Management is a ccmsomum of professional expertise and 
admffl rat ration; enaWiW ils'jo ^4velbp.Jtnd' tmwate pubs/ 

hotels/ restaurttats Or->beiakTe ;Shop^ < 0 r'you 
Our fSe co be based on' a sfiare of. your profits. 

This Is a rare 6pportUii!ty for .you to become IrtVolvtd in * highly 
lucrative industry, but one in which it i» foolish m dabble without 
the advice of experts. 

Why- not own a jxrb and lave !(, managed, fdr. y4u’. i ;•*• redpe 
for a great deal of pleasure and plenty of profit. ; 

Farther Information: Ian Giya or lobn Lodnga 
• •• -'5 Princeu MffWS 
Laodon NW3 

. Triffpimni QI-794 7574 


BUSINESSES FOR SALE 


EAST MIDLANDS 

FOR SALE AS A GOING CONCERN 
OLD ESTABLISHED 
CERAMIC AND POTTERY PLANT AND 
MACHINERY MANUFACTURERS 
BUSINESS 

including. 

Freehold Land and Buildings 
Extending to approx. 30,000 sq. f L 
Plus land for expansion 

Excellent range of plant arid machinery including 
lathes, milling and drilling machines, planers, 
slotters, shapers, foundry facility, blacksmiths shop, 
horizontal and vertical borers and ancillary 
engineering equipment 
Together with stock and work in progress. 

Of particular interest not only to the trade but also 
companies or a group of companies seeking expansion 
in the medium engineering sector whose capacity is 
extended and where a skilled labour force is 
required. 


□□Grimley & son 

chartered surveyors 

I II I St PhAp's Place. BorringhamB32QQ 
■■■!■■■■ 021-236 8236 Telex 337931 


Profitable medium sized Y orksh ire-based 

plumbers merchants business for sale 

—sales approximately £900,000 per annum. Freehold 
property available for .sale, or to let 

Energetic young management team available to 
ensure continuity of excellent growth record. 

Write Box G.2593, Financial Times, 10, Camion 
Street, : EC4P 4BY. 


FOR SALE 

Planning permission to extract 6 million tonnes of 
sand within 15 miles Manchester. 

Write Box G-2592, Financial Times, 10,- Gannon 
Street; EC4P 4BY. • - 


FOR SALE 

MENS CLOTHING 
FACTORY 

currently manufacturing MENS 
READY MADE AND MADE TO 
MEASURE SUITS. This business 
situated in Leeds has a GOOD 
PROFIT RECORD, and with its 
present labour force is capable 
of expansion. 

PRINCIPALS ONLY 
Write Boa G756J. Financial Tieiei 
ID Cannon Stmt. EC4P 4 BY 



HIGH-CLASS SMALL 
METAL FURNITURE 
MANUFACTURING BUSINESS 
FOR SALE 

Patented fixing, no welding or 
visible fixing. 

Write Bex G2585, Financial Timet 
10 Cannon Street. E C4P 4BY 


SUFFOLK/CAMBRIDGESHIRE 

BORDER 

R«endr devatoaed .VEGETABLE 'AND 
PACKING PLANT. Freehold Sira 2.5 
Acres. majority ntrfacad. Felly 
equipped. SuM caudal collection at 
building*, principal part recently 
Improved and modernized. Approx. 
24.000 to. ft. Price: £1503)00 to 
Include all equipment. 

RUTTERS 
Chartered Surveyor* 

BURY ST. EDMUNDS 
Tel. 0284 62131 (Ref. P.ft.H.) 


HOLIDAY CENTRE 

-West Country. Leisure Complex, 
with large Country »- House, 
restaurant, bar, shop, entertain- 
ment rooms, residential mobile 
homes park, bungalows, holiday 
caravans, camping Acid, in all 160 
units. Valid permission for addi- 
tional 48 units and probability oF 
further expansi on-: - Profitable 
going concern £375,000, would 
separate. 

Write BorFBT, Floanclot Timet, -. 

• 10, Cannon Street, E C4P 4BY. 


FOR SALE 
OR LEASE 

Owner* would either jell-'or .!•■** to 
fim.dlMV'MinUtioml hotel operator* 
on* oF thff mtnt beraoful luxury hdteli. 
mr dW Qmb Esmorald*. hi .Sardinia. 
Wefftiy xrtu'uffd'.on jcbe beach.' uperb 
views, flv* y<nr* irtd, profloblff. can- 
nteted ra-.-one of the liqtn apirv 
meaa T tad. bouse* deralopmdM hi 
Sard ini*, with pdetlbla ffxtamioo. -. 
Priodpeh 'only, please repir- In. full 
confidence to Bwr C2590. Financial - 
‘ Times, *0 Canaan Street, £C4P 4BY 


SMALL ELECTRONIC 

And engineering 

COMPANY FOR SALE 


All ’ mechanical engineering 
' autveontraeted • 

■IVywedacr Itaefc fl) yatffWM--«> 
Multinational* UK Franchise. 

Nav IM M Wwi M nwnrhs uo pn*. 
-dteced £8J00 audited net profit in first 
Iff month#. 

■ ffiSJMta* lo ea ei Pw dBv c cash flow: 

• Rrtcn--tet.-.wiad . dUhr .cfepttal £S0,01» 

tilbff ‘HlJ.tMW Diredord - loans tn b* 
‘ repaid-- ... 

■ ffsUe Box • C.asss. Pina octal . Timas. 

10. Canpon SUver, EC4F 4BY. 


BUSINESSES WANTED 


PUBLIC COMPANY 

w biased in the Midlands . 
seejks service orientated businesses generating 
v : j • ■ pre-tax profits- in the range 
__ .£50,000 tO ^lOO.OOO per ait nhra - 

■ ideally with 'established manag^nent, - 

i . P lease respond, in. confidenc^ to.^ • 

■ • . Box : G-2^30, FmancjaV-^ngtes^ ?. ; - , • 
10, Cannon .Street, EC4P Y. ' . . 



PUBUSHING 

COMPANY 

with agreed tax losses in excess 
of For sale. 

Write Box G.2596, 
Financial Times, 

10, Cannon Street, &C4P 4 BY. 


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13 


OKi\q 


HAS probably escaped most gramme, which is run ; once a ff”**'"’ ;* : 

pie’s notice that there has year. : 

n a dearth of aphhids this Of equal importance to him ; 

Aphids are- a sort of was the opportunity- and time • £453 

y and, along with disease to research his proposed market. . 

- ^ otber type * of C ™P P«*t. assess the viability ' of his 

r J Ney have -made just, aboat the project and put together a 

* * showing since 1958. written presentation outlining 

HUfflpr farmers this has been a the opportunities available, the 

^>an,_but for John Schofield il capital -cost of starling pp and : ‘ 

' tf ,W. en a cause for anxiety. the likely week-by-week, cash 

-i' Schofield’s business is aerial floW position over the first two 
; - - -VJ-op. spra>ing, and to have so years of opentiun. * . 

J/'Jtie to spray al is bad enough Schofield’s varied career back- 
V . the best of times, but potenti- ground is typical of the budding 

' ^ ■-i-^^lydifiastrbus in just the second entrepreneur. . Now aged 37, ' 

l ~ v -'yar of a company's operations, he started his working life with . 

owever, exuding an air of four years in the merchant navy, 

"^“•iflsiijHifidence, Schofield says that then moved into journalism’ as i ' 

-is tings are not that had, and a reporter on Lloyds last and L*,?- +% 

:: :‘^ r 3 reckons that next year Shipping Gazette. He switched J 
- joiild be much better. Indeed, into public relations in 1969 -and ■ 

blight should return ; — to then got his first taste of : < 

^^ustrate the farmer — it could business life when, with two yjjBIpiiB 

- r ? a very good period, enabling other people, he set up. on his ! 

J i Qd un to use to the full the equip- own in this field in 1971. ■ 

:ent he has put together Ever an opportunist, tie is . h 

J\i> sspite a slack market. now making a business out of a 

’ Schofield has basically hobby — he gained his private " 

thieved what he set out to do pilot’s licence in 1971 — although *- •••••••• - ■ vr ~ 

'< AFPc.hen he was first featured on hc needs a commercial licence 
“. iis page two years ago. At before he can do spraying 

■at time he had just emerged himself. A developing interest TVl/»fir 

* ? ; winner of the 1976 4r entre- in farming was an added spur. 1N1VI1L 

-. " '-reneurship and new ventures ” ant i * ne spent several -months 
■ i>jurse which forms part of the working on a farm in ;SaffoIk 
HA programme at Cranfield before going to Cranfield. 

’ anagement School, in Bedford- So convinced was Schofield 
-r. J.f tire. How he set about achiev- that he would succeed that M ^ 

u “?ig his ambition of running his while setting up his project he fl 

fi2i r .. am show provides an. almost sought out' potential customers W " H t" 

■ A . ‘’ lassie example of the trials and an d got a number of! verbal ^ 

■ r - 2^:ibulations that can befall an commitments for work. This 
Strepreneur during- the initial probably impressed the bankers 
- - t . ages of his new venture. who judged him to be the best _ 

• at Cranfield in 1976, although m M 

- QlinpVima naH with one exception that proved W% 

.::u„ s L/uUuUlilig pdll to be their only commitment w w 

It is a tale that bears out Undoubtedly, most banks 




w 




mm 


As further evidence of his lorry with pumping equipment, 
opportunism — although some This gives him adequate cover- 
might suggest foolhardiness — age to service two aircraft oper- 
Schofield bad ordered his air- ating as far afield as Dorset, 
craft before actually getting Oxfordshire. Somerset. Wilt- 
agreement from COSIRA. It shire, Hampshire and Berk- 
was for a Piper Pawnee, which shire — an area hitherto rela- 
is purpose-built for spraying tively untapped by crop-spray 
liquids and for spreading pow- ing operators, 
ders and granules. The reason Looking back on what he got 
he took the risk of eventually out of Cranfield, Schofield says 
getting his cash was simply that the first benefit that comes to 
be would have otherwise not. mind is that "I was able to 
taken delivery of the aircraft in think.” Jn addition ‘'it gave me 
time to catch the 1977 spraying an all-round knowledge of vari- 
season. ous areas of expertise. I could 

Schofield then set up his com- t^k to acc-ounUnts and under. 

pany — Moonraker Aviation — stand their la 0 * - 
based at Andover and usings the understand better P'Wl'Mm*- 

Thruxton airfield. He employed J™ as a «*“'* ° f ® 
_ r_ _ „JLJs„ a behavioural science course. 






2 LT£.rXS£?£ 

' • - - loading tbe agro-chemicals. He his eye, were opened to many 

' • ■'S^ > ' also took on two Dart-time office f acets of busioess. 




v;r- s', - - v -** ■ 


&•:. vi.’: ■ • 


John Schofield and one of his two Piper Pawnee- crop spraying aircraft. 

Nicholas Leslie traces an entrepreneur’s quest for sufficient 
capital to start an aerial crop spraying business 

Getting airborne is not 
without its problems 


W also took on two part-time office Iarea 01 

■ rr9 • people, while his job was to Significantly, thougn. he enm- 

■ administer the company and get meats: ” Kor an entrepreneur 
f !> i in the orders. He bought addi- a* such the academic approach 
ji:. • tional equipment for loading of Cranfield tended to over-ride 

Kirt the aircraft with liquid gut feeling. And since an 
chemicals. entrepreneur can’t know every- 


tional equipment for loading of Cranfield tended to over-ride 
the aircraft with liquid gut feeling. And since an 
chemicals. entrepreneur can’t know every- 

He was further encouraged ^ has 10 re, - v on sut 

when he found that virtually all \ )n % tei . hni( . a| 

1 h f. ^ ror . w ' ,rk Schofield learned how to 


«““•* 1 „ n ’*'" 1 *'“ e t d - *« * c Mh“ as he describes 

result, in the first year he ., J 

sprayed some 15.000 acres and k, h d ?u h h e fI ar lh !o ^ 

achieved a turnover of £43.000. ® b,e m ,h u e P a ^ * vear " h,Ie h,s 
* 1 business has been under some 

Schofield was aware while pressure and he has had to 
preparing his thesis that agri- safeguard his cash flow position, 
cultural and agrichemical mer- some of bis helieFs have 
chants would be key elements changed, others have hardened, 
in his business since they have For example. he has 
wide contacts in the farming encountered considerable sym- 
industry and can sell aerial pathy from the business corn- 
spraying services while market- munity, many of whom are 
ing their own products. He was prepared to wait for payments 
to find strong support from two jf it helps Schofield’s cash flow, 
such merchants — Cleanacres, of On the other hand official form 


(any of the horrors associated would maintain. that they often - ® uc “ merenams weanacres, ot On the other hand official form 

."~-'< jth persuading people to put beLp people like Schofield. But Cranfield branch — which pro- ment from Stanley Norman, it left him with nn incentive and. this offer and the other from Andoversford, and Kennetn filling — a big bone of contcn- 


tfis 

two 


-ith persuading people to put peopte HKe ^cnoneui. uut v.ranneia Drancn — wnicn pro- mem. rrom aiamey morman. n ten nun wmi nn incentive ana. mis oner ana me outer irora l*,* ' — uume — « uig 

p risk capital, but also illus- 11181 is no comfort to him; his vided Schofield with the incen- Spurred on, and keeping him- anyway, was a bad set-up since the chicken farmer also illus- W'Json. lion among small businessmen 

■ales that there are people who confidence was badly dented tive to go on. Stanley Norman, self afloat financially with some such partnerships hare a history trates that some private money they .who were Mstru- —has exasperated him. 

e willing to provide somebody when. despite encouraging the manager, was prepared to public relations work he con- of failure. • is still around for such projects. menla J ,n Schofield getting his On a totally different front, 

ith a leg up rather than a stab signals from Barclays Bank put up a £3,000 loan, secured tinued his inquiry about every Schofield’s salvation lay where Schofield grabbed the offer. s econd aircraft since they he has already recognised the 
a the back while he was at Cranfield, a against a life insurance policy, sort of finance. most of Britain’s bankers would raised £10.000 with National agreed to pre-pay him for 1978 need to conserve cash in a good 

wac pvtrpmpiv subsequent presentation at the if Schofield could raise the As a long shot, he say it should — with a private Westminster ( incorporating the work, thus enabling him to put year to build up sufficient assets 

t r“. n j lVlo v ,. v h j bank's London headquarters balance of the money he approached the Council for individual. Schofield was quite original £3.000 offer) and went °? wn a deposit on another as a cushion for a bad one. 

« hie tminnhint n a rt brought .no offers of cash or needed. Small Industries in Rural Areas literally on the point of giving back to COSIRA, which duly p, P er Pawnee. He raised the And he already sees a need to 

aininp an MRA wm -an other help whatsoever. Simfiar . By this time Schofield had (COSIRA). He presented his up when- a chance meeting with came up with nearly £29,000, balance of the purchase pnee consider lateral diversification 
n- rive . t . .^ approaches to other banking narrowed his horizons some- Cranfield thesis, by now revised, an acquaintance, who is a made up of a £23.000 loan for through Lloyds and Scottish to reduce the risk element of 


hieetive hut it wac neverthp- approaches ln other banking narrowed his horizons some- Cranfield thesis, by now revised, an acquaintance, who is a made up of a £23.000 loan for tnrougn L,ioyas ana ocoinsn to reduce the 

c.hc’idiarv tn hi« amhitinn wganisatinns like Charterhouse what. Instead of starting with but was again turned down chartered accountant and whom equipment and the balance for y, lth a ' Ioan bearing interest at crop spraying. 

S narriciDate in thp entrenre- ^ rou P and Small &isiness two aircraft he had settled for because he did not have a he told of his predicament, led working capital. The loans are ^ per cent above l,, e Finance Meanwhile, 
eiushin course which would Capital ■ Fund produced- no just one. For this he needed capitalised company. Nonethe- to an offer of a guarantee for a repayable over five years and Houses Association rate. praying for 

rovide him with 3n in-depth ** nance citiier. ' £40.000 to cover a down- less, he was given a strong hint £10,000 overdraft and a separate bear interest at 12* per cent So. Meanwhile. Schofield was add- else does not 




i nowiedgo of how to set up a Now a clearing bank like payment and sufficient working that if he could raise £12.500 of £2,500 for a 12 j per cent stake six months after leaving Cran- ing to his ground equipment wet winter. 
\ tfiu.iii.K • -ft pnahiPrf him Barclavs misht reasonably capital to get going. paid up capital his propositinn in the crop spraying company. field, Schofield had his money, with a Bedford 4-wheel drive mean that 


lousiness. It also enabled him- Barclays might reasonably capital To get going. paid up capital his pr 

w, rub. shoulders with argue that it is not in ft e risk. However, as his pleas for would be reconsidered. 


i told of his predicament, led working capital. The loans are i* per cent aD0 . ve t,,e 1 ' 1Mnce Meanwliile, he is probably 
an offer of a guarantee for a repayable over five years and Houses Association rate. praying for what everybody 

0,000 overdraft and a separate bear interest at 12* per cent So. Meanwhile, Schofield was add- else does not want — a really 
,500 for a 12 : per cent stake sly months after leaving Cran- ing to his ground equipment wet winter. For that would 
the crop spraying company. field, Schofield had his money, with a Bedford 4-wheel drive mean that farmers would not 
It was the kind of chance He was committed to repay the lorry with hydraulic crane, suit- be able to use their tractors nn 


Jsit Cranfield during the pro- cularly the manager 


L7S 


Toot 
competitor 
knowsall 


its under way before the crop exchange for a 50 per cent stake haphazard’ is the fashion in two payments of £4.000. He also carrying equipment, a Land- that the aphids do him a favour 

(spraying season began in June, in the company, but Schofield which risk capital is married to pays a fee to his fellow director Rover which is also’ fitted out and come back to these shores 

~ I I he continued to get encourage- turned it down on the basis that a commercial idea. Significantly, for the overdraft guarantee. for loading work and a second with a vengeance. 


sSrSSSSS CranfieldV school for entrepreneurs - ™ -rSEi-S 

occupied two years ago — look- • . that they do not have enough 

mg .around for a lot of money, entrepreneurs may have missed past two years by Dr. Malcolm a company and learning about As some people have com- nf the right qualities, but in the 
With their proposal for a “One the warning that until subse- Harper, director nr Cranfield ’s the legal and other require- menled, to have an academic process they will probably have 

Stop Travel Shop" they have quent talks had taken place marketing development centre, raents of running one’s own programme in entrepreneurship gained valuable insight into 

just emerged as the winners in there was really no chance that It embraces the second’ six business. may seem contrary to the image wbat entrepreneurship is about, 

this year’s entrepreneurship they would put up any money, months of the year-long MBA In the ■ final three-month of what an entrepreneur is. But This, in turn, could prove 

and new ventures section of Miller and Sutcliffe had not programme, with an initial three period the participants develop tbe record belies this. People valuable if they then return to 

Cranfield Management School’s me t before going to Cranfield, months of classroom studies their particular projects, re- such as Schofield are most a management position within 
MBA programme. but were both attending for the covering all tbe technical and searching their markets and certainly entreprenurial types, an established company. 

They acknowledge that they same reason— to do an MBA practical aspects of setting up t writing a thesis. On the other hand, some 

need a - lot of money, around programme that offered them , ■■■ ■ 

£90,000 in all, and that they face entrepreneurship course m ■■ h 

an uphill struggle to get it that could help them in starting ■■ \ H| raw 

They are also constrained by own businesses. ■BIhII ’ H H 

time, since their For Miller, who is 29. starting 1||| ^ ~ 

start from scratch but to buy an re aUy meant beginning again. HBmV HHH WSlSmiEEEm W M 18 H AJK 

existing small business which ]n Au gust. 197J. he had set up W HBI ■■ |^l|l ■ ■ BbIhMFT 

they arc convinced is ideal for an employment agency, founded IB ^B BflH H YHfwB%HrflB 9f H M BLm BBI 

exploiting their ideas on how 0 n £300 of capital. He sold out ™ ™ ™ 

a ttavel agency can be run. j n 1973 though he now admits ^ _ 

Unless they get fteir cash fairly he hgd as H H H M B| D 

quickly they will probably lose about business then as he does ^LB A ^ 

1{ ? . organisation now WO uid have hung on JWl B^ Bf M 

which has designs on the same ]onger before gelliag t0 get a H ■ U MJEk M M M B BftJlBB CSd B ■■ ffl 

. . . better price. He remained with B feS B B ^^B B B H |^“B H Bn B 

They have already had some ^ company as managing H I mm 

disappointments. SmaU Business though, building it up ^BB B ■ ■ ■ BPB BV W BW B BW BB V ■ 

Capital Fund, which they felt tQ em brace 13 branch offices 
had shown a faxr- degree of ^ a annual turnover, 

interest on the day they did m 1977, ^ he gays in his thesis, 
their &ial presentation ft a he resigne<1 t0 attend Cranfield 
papel of ji%lges, has wjftdrewn- t0 j ^ lgjJS for a new 
They are now hoping for better Tenhjre « 
luA with the Charterhouse ^ 

Group or Industrial and Com- ]V^n-V^tlTIP , 
mercial Finance Corporation. tvuuj. 

Their disappointment at not Sutcliffe, aged 32, is an 


people who attend do so to find 
PkTl£V|11*Q out whether they are entre- 

I/IIVIII O * preneurs. Maybe they will find 

that they do noi have enough 
As some people have com- nf the right qualities, but in the 




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now is understandable. On the years with Peat. Marwick,! 
day they did their presentation Mitchell and Company in their ! 
last. month to a panel of judges London, Atlanta CIJ.S.) and 
the outlook was rather promis- Brussels offices. His experience 
ingi A series of judging panels, has covered acquisition invest!- 
comprising representatives of a gations, control systems and 
number of banking and other general consultancy advice, 
organisations, had assessed 35 Their contribution towards 
different projects. Afterwards, purchase of tbelr travel 
in the somewhat heady atmos- shop ^^44 be £10.000, and 
pbere that pervaded the victory among tMr ideas for raising 
celebrations, a lot of preiiml- more cash s ^_ sf it proveg 
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14 

LOMBARD 


Financial Times Tuesday September 19*1978 


Defending Europe 
against vagaries 
of the dollar 


BY JONATHAN CARR 


WHEN HERR Helmut Schmidt, The scheme insist — correctly — 
the West German Chancellor, that it is not directed against 
and M. Valery Giscard d'Esiaing. the dollar. It is instead a 
the Trench President, met last defence against the vagaries of 
week in Aachen they spent a the dollar, and their cause. If 

lot of time talking about history, successful, it will imply a 
This news mav surprise those restriction which does not at 
who thought the two leaders had present exist on American policy 
more pressing matters on their alternatives. It is, for example, 
minds. After alL technical prob- iiighlj doubfni whether the 
lems of frightening complexity Americans could have carried 
.seemed to have emerged to through the inflationary finan- 
plague their grand design for cing of a war in south-east Asia 
a new European monetary had the Europeans been grouped 
■system. The French apparently ia an effectively operating 
wanted a stable system but built system of the kind now 
' on an ever-moving base — an idea planned, 
recalling the mad scientists of 
the flying island oF Laputa who 
loved to construct sundials on LJll CtliUll 

weatheryanes. All ibis amounts to an elegant, 

to maintain the Laputa compart- understated — and therefore 
son— insisted that the sundial be more effectiTe _ ^affirmation 
planted firmly on the ^round. of tb2t desire for greater Euro- 
whirt, as any fool can teH^you, po an independence of American 

action so harshly formulated by 
the late President de Gaulle. 
The crucial difference now is 
that in marked contrast to de 
Gaulle's time the French and 
the West Germans are at one 


is where sundials ought to be. 

The merits 

It seems that " esteemed 
Valery M and “dear Helmut 1 - 

SoSlr-^pem e “im7e time . «« is b^d to say exactly what 

ing the respective merits of these ®® rr Schmidt round 

views. Instead they banded on no douot President 

Sal Erections to expert sand ™ clear «port policy, 

discussed the lessons to he drawn £ h,cn P^aed Bonn and 

fromthe history of their two into alliance against 

nations and the current drive 'Washington, was one mitial 
for European unity. No doubt f «tor .Another cause has prob- 
Aaehen ( «dx-la-Chaoelle) — the ab! >' be - a tIle Ion c absence ° f an 
City of Charlemaene— helped l ? CU J 

'stimulate these thoughts. The J*, 1 * irn u 0rl ^; true. President 
French and German lenders barter has- been aiming in the 
clearly po about things now in ri5r, ‘ direcuon. But that is cold 
thebelief that they are making t0 Europeans if Con- 

history. And there is good ^ress does not act or tiie Presi- 
reason to think they are right. den t t . s Proposals and the dollar 

continues to weaken. The upshot 
Sceptics will ask what is so of all this is not hostility to the 
historic about the plan for a U.S. — an important ally and 
new monetary system. It would often a cherished friend. It is 
naturally be useful, they say. if rather the cool recognition that 
what Herr Schmidt calls the Europe must do more to take its 
“ elementary conditions for monetary and- economic fate in 
economic predictability’' could its own hands, 
be restored to a world nf fmore 
or less) floating currencies. On 
the other hand perhaps all the 
time and effort could he better 
spent trying tn create the econo- 
mic conditions in which curren- toric decision — and it presents 
cies would be more stable of Britain in particular with a 
themselves. choice hardly less crucial than 

_. _ .. . . .. that of her entry to the Euro* 

That would be true — if pean community. It may well 
Eur °P* 5 economic fate did not be [aal after a period in which 

6 I f. atl >' the western world has had one 

fluctuation of the world s leading Jna j 0r currency but no real mone- 

ge " er , 3 Ji?. tary leadership, two monetary 
reflectmg the i policies, or lack blocs are aboat t0 emerge whose 

of them, of the president and interests cannot always be iden- 
congress of the U.S. tical. WU1 Britain plunge in wilh 

The politifcal core of the drive her European partners — as the 
for a new European monetary West Germans in particular 
system is the will for a greater fervently desire — or tty to live 
degree of independence of between both worlds. Over to 
American action. Supporters of you, Mr. Callaghan. 


Crucial choice 

That is nothing if not an bis- 


The 




IF IT really was a Chinese philo- is SL*SL 

to deliver a report on timer 1 
would even go «o far as to say 

words? Pictures, esped ally could have been better served, the opening could have been with words, cut & usi .B oothroyd Aoaln thls L « - - * ~ ' 



Again, this is all rather a pity how counter-productive anger 

moving ones, are frequently a j t may be rather harsb, in me T“ l "ZZLJZZZZZ et^SienorihUT wv because the photography is can be. But the dfelogne u 

lucid way of imparting Inform' same flow of ink, even to attempt sequences, by a commenttiry MoW Oil Bmr -& ** excellent showing what needs extremely well written/ which, u 

ation. But there are often times a comparison with CRN’s first th* mtiSSS to be seen with clarity and rare, in sponsored films with 

when words are needed, too, film for some 15 years — Metal * n L OV< ; meat ’_ T tohts But as a film that sets actors, and I found mysdi 


and moment when the words Blatters. But this film has an 
and pictures can fuse to yield 0 pening sequence which, 
a dazzling mutation — a demon- visually, bag the brilliance of 
st rati on of synergism in art jv ght Mail— especially in exer- 

_ . . _e rising the editor’s art. It moves; 

The lassie rpo film with a montage of people and- 

r everyday activity apparently irr 

Nxght Mail, in wtoch super D parts Qf ^ world wijere GKN 

SSSgrfeam o^r fts sLnil- 
dcr are rhythmically edited and are usea - 


great opening. But instead we confidence. 

FILM AND VIDEO 

BY JOHN CHITTOCK 


Each visual compo- 


accompanied by verse written nent have galvanizing lines like Words are sometimes vitii to 

(and spoken) by W. H. Auden: ™ D ' e “ e ”\; mt0 a de- “This is where we start. Metals the picture. They not only pro- 

<■ Hint, f..™ thoir hoaric ac «hp lightfui whole and with a few 9 m . »« m.to tham. . . " vide an audience with essential 


out to provide “ an introduction believing in the characters— 
to the benefits of air condition- despite a rather silly a±ter-egc 
ing " I found its information sequence. 
content disappointingly low. , If The second American film, 
the pictures left little room for gj^. ^ w he confused with 
improvement, this ermasm ^ Enectridty CounciFs L« 
again su^ests that the_^ entitled The Microw ore 
men tary has faded, ^ttrtamly It is one ^ a seriesahnetf at the 
statements about malang the fj-auung 0 f hotel and catering 
environment Seel right are staff As its staple, functional 
masterpieces °" title promises, this simple 

There is even a and functional film— expiaimu?. 

the line that sensihly attempts h w to ltSB «.„■ im > rnu ,. J _, 0 ^ 


coaches ... Ia the farm she "FV “ “The important man on a audience how to regard the shot ’ «b;m tike the oi 

passes no one wakes. But a jug policeman who directs the rash tractor^-or any vehicle— is the —instructively, flippantly, br as SJJJ^uld cost no more than 
in a bedrom gently shakes." The hour with balletic frenzy, enthu- the wheeL He’s something they should -bfe im- f®*? wrP t 9 rv— at which tl 


rhythm of the verse, matched siasm and glee. 


tion that the pictures conceal ir 


to the clidcety-clack of the train, Thereafter, the' film slumps, we have guessed? 


man oernna tne wneei. nes sourouuos urey auvuiu-w un- - 7 _- n _ cwretarv— at which the . ^ L 

worth protecting.” How could pressed by. A GKN nut may, be J ^ 0 , r n to me ^ Senerabty. 


Paul Cole could collect a double 
win at Yarmouth and Brighton 


PAUL COLE, who looks poised There would be no more 
to achieve by far his most deserving winner of the Beevor 
successful haul of winners this Stakes than Chancery Bloom's 
season, could well be on the mark year-older stablemate. Screen 
at both Yarmouth and Brighton Goddess. Second: or third on all 
today. but one of her'atarls this term. 

Stable jockey Geoff Baxter the well-bred -Caliban chestnut, a 
could complete a double in half- daughter of Addis Ababa 
an-bour for the Lambourn trainer (already responsible for Negus) 
on the east coast track through has found a lack: of finishing pace 
Chancery Bloom and Screen preventing her from opening her 

account. With little to beat here, 
she appears to have an oppor- 


YARMOUTH 
2.15— Araby 

3J5 — Chancery Bloom*** 
245— Screen Goddess* 
445— Pali kart 

BRIGHTON 
240 — Yellow Rock 
220 — King Kappa 

3.00— Andy Rew 
320— Hang On Elvis 

4.00 — Marshal BXeCloud** 
4-30 — Ralnspeil 


RACING 

BY DOMINIC WIGAN 


SSSw'Mf the M ground be needs to pro- 

lnnosse her paddoek value. Handicap. I take him to give 

t^ e . re no ^i 0 . tr, JSf™ that talented young rider, 
enjoying a better spell than Clive Stephen Eccles, who still claims 
Brittain and Ms fellow New- the three pounds allowance, an 
Goddess. Down on the Sussex ° ia J - ket handler, Luca Cumani. I all-the-way victory with a win 
coast, Andy Rew is the likely fe .®| confluent that one of them over Rocket Symphony, 
answer to the day’s feature event, ^ n ,? er i*/ , e Guy Harwood has withdrawn 

the Taj Mahal Handicap. ■ and . Suffolk Stakes. Yellow Rock from the Jack 

Since running out the easy S 3 !, ® n ‘ ln 1:116 . blue Leader Trophy to go for the 

winner of a £1,500 seller at Gap t am Marcos I^mos colour^ Beau Brummei, and the change 
Brighton in June, the Native ca ^ led y. Manner, is just 0 f pj-nm could pay off. The 
Bazaar chestnut. Chancery Bloom, preferred here to Bowa ter House. Greville Starkey-ridden juvenile 
has proved herself a useful 4 winner at Brighton and at is a tough and progressive sort, 
performerinsmartercompany.lt Ascot f where be also ran fifth and the concession of 10 lb to 
may be that the handicapper has t0 fear Naught In. the Royal Hunt the lightly-raced Penicuik ought 
let her in tightly with only Gup) Andy Rew looks assured of not to be beyond him. 

S st 1 lb in tiie seven-furlong 

Jack Leader Memorial Txopbv. 

Here the Lambourn filly, the 
sole course and distance winner 
in the line-up, is likely to find 
the Queen's twice-raced Contralto FERRY SERVICES, by Boeing and its 50 mpb mdse will give a 
her _ toughest opponent The Jetfoil craft . between Brighton crossing time of 1 hour 40 
William Hastings-Bass trained and Dieppe are 1 : to start next minutes. 

Contralto has disappointed since April. More than a century ago a 

winning Ascot’s Fenwolf by a Jetlink Ferries has signed an ferry service using' paddle 
length from Wind of Change, agreement with the Brighton steamers pioneered a link 
However, this stiff seven furlongs Marina Company to use the between London and Paris via 
may see her fulfilling that first marina, which can accommodate Brighton Pier. The exposed 
race promise at Ascot, where she 2,300 yachts, as the service's nature of the terminal resulted 
ran green and she is probably British terminal. in the services being switched 

worth a saver. The Jetfoil seats 250 passengers to Newhaven. 


Brightoia-Dieppe ferry link 



BBC 1 

t Indicates programme in 
black and white 


Colleges. 3-20 Cawl a Chan. 3.33 
Regional News for England 
(except London). 3.55 Play 
School. 4.20 Lippy Lion and his 
Friends 4.35 Ask AspeL 5.00 John 
6.40-745 am Open University Craven's Newsraund. 5.10 The 
(Ultra High Frequency only!. Story beneath the sands. 

9J38 For Schools, Colleges. 12.45 5.40 News; (London and Soqth- 

pm News. 1.00 Pebble Mill. 1.45 East only). 

“Bad and the Park." 2.00 You 5.55 Nationwide, 
and Me- 2.14 For Schools, &20 Nationwide 


650 Star Trek. Home-made for the Home. 140 GHANA FI A 

J’S n a f? Py Ever After ' Sw WS PlU M 17 Tbto a viur r 5»£ Mfl Wfe'l'i 

8.10 Dallas. Thames News. L30 Crown New. sas Crossroads. Un Granada 

9.00 News. Court. . 2.00 After Noon. 2^5 Born H*porm. 6 J 0 Enmwnlale Farm. 7 M 

9-25 Off to Philadelphia in the and Bred. 3 JO Heart to Heart. Bada w *e LAnd - “J® “an akosl 

morning. 3.50 The Sullivans. 420 Get it HTV 

1025 Scars of Autumn. Together 4.45 Magpie. US u, w Report w« Hudiioes. 

11.10 Tonight. Emmerdale Farm. Repon wales HeadUscs. zu h 

1140 Weather/Regionai News. ^.45 News. ^ Crossroads. _ MQ_ Report wrn. 

B.UU I names at 5. 


US 


F.T. CROSSWORD PUZZLE No. 3,774 



All regions as BBC-1 except at 
> the following times: — 

Wales — 10.00-1020 am I Ysgo- 
lion. Hyn O Fyd. 5.55-A20 pm 
Wales Today. 6.50 Heddiw. 7.10- 
7A0 Glas y Dorian. 1L50 News and 
Weather foi Wales. 

Scotland— 555-620 pm Report- 
ing Scotland. 11.50 News and 
Weather for Scotland. 

Northern Ireland — 353455 pm 
Northern Ireland News. 5£5-&20 


TJJ9 


6Jt5 Crossroads 
7.00 Father Dear ^Father. 

7J30 Star Games. 

8.15 Selwyn. 

8.45 Disraeli 
10.00 News. 

10-30 We’ve Always Done It This 
Way. Haven't We? 

11 .30 Lou Grant 
12.25 am Close; A poem by John 
Donne read by Derrick 
Gilbert. 


Report Wales. S30 Doan ASK Me. 
Deflnliioa. LUO Hie Outsiders. 

HTV C-romi /Wales — As HTV General 
Service except: UO-US pm Panawdau 
Newyddloa 7 Dydd. U9 Mir) Main-. 
4JS-445 Seren Wib. 6.0040$ Y Drdd. 
1033-12.90 am ■‘Shane" starring Alan 
Ladd, Jean Artlmr. Van Heflin and Jack 
Palance. 

HTV West— As HTV Genera] Service 
except L2&-L30 pm Report West Head 
Une«. US4J8 Report West 

SCOTTISH 

us pm News and Road Repon. 545 
Batflnk. 5JB Croserooda. km Scotland 
Today. 6J0 WSat's Yonr Problem' 7JN 


ACROSS 

1 Herb for Tom to pinch ... (6) 
4 ... and gas to pinch for gun 
(3-5) 

9 Branch out if army is re- 
organised (6) 


5 Baseless image irs said (4) 

6 The way to endorse instruc- 
tion to motorist (4, 4) 

7 Bottle with iris on (6) 

S Total possessions in eastern 

country (6) 


to 


10 Yokel left inside is agreeable u Opposed to win in a way (7) 
( 8 ) 

12 Complete street if fare is 
added (8) 

13 Classify a southern variety 
(6) 


14 The time for collectors 
droop over 24 hours (4-3) 

17 One who suggests being pro- 
fessional model (8) 

. , ... ,18 Entrust to a deputy (8) 

IS Drive a lorry containing meat M Notice a sra £ Uer number 


(4) 

18 Wrongly take 
before time (7) 


medication 


being pure (8) 

22 Sweet nonsense ? (6) 


« Forecast before tie stateless » ?‘3 e S, is 'S%f" ,tU,h 0Wn 

24 Swell out For appointment 


29 <7> 

21 Take a quick look both ways 
(4) 

25 French article about disreput- 
able person could be immature 

< 6) ^ - V 

28 Passenger list — that s obvious 
( 8 ) 

28 Produces family hat (8) 

-29 Wild herb seen round state 
. ( 6 ) 

30 Produce hereditary factor 

with speed (S) 

31 Adjourn in an alcove (6) 

DOWN 

1 Healing vicar’s assistant about 
four (S) 

3 Transient form of late prom 

( 8 ) 

3 -.Inspiration from certain 
flowers l#) 


about one-fifty (6) 

27 Drink could ’be mine round 
the north (4) 

Solution to Puzzle No. 3,773 



Scene Around Six. 11-50 News AH IBA Regions as London except Emm enisle Finn. ii~a Late Call, lijs 
and Weather for Northern a t the following times: ^ Bt * 

Irel “ d - ■ SOUTHERN 

England— 555-620 pm Look ANGLIA m> pm Southern News. 2M Htase- 

East (Norwich): Look North L2S pm Anglia News. ZSO Hoaseparty. Tte Undersea Adv enmrea^ rt 

(Leeds, Manchester, Newcastle); *** About AJiaJia. 7j» survival. u~o rS 

Midlands Today (Birmingham); Rafferty ' ani 1 Eanmerdale Farm, luo Southern News 

Points West (Bristol): South ATV Extra, sua Pro-Celebrity Snooker. 

Today (Southampton); Spotlight 41 V TYTVF tccc 

South West (Plymouth). ua pm atv Newsdesk. «b The ei»- x ^ V. * h 

trie Theatre Show. 5JS Gambit °ood Wort foDmogl by 

ATV Today. 7 JO Emmerdale Farm. 1130 *Jonb Emi Neva 
Jazz Concert. » W Sometblns DlfleranL Nortli East News and Loofcarotmd. 505 
s-onremuw wmereau T? „ Me ^ ajqo Nortbern Life. 7M 

nnnrtrn Emmerdale Farm. 1U0 The Bob New- 

nURDER hart Show. 124» EpUoBiie. 

tlJB pm Border News- 2.00 Rook- T 7F CTCD 

parry. 505 Jonny Quest. 6J0 Lookaround 'JLOlEtV 

Tuesday. 7.00 Emmerdale Farm. UO» XOB pm Lnnchdme. <LU Ulster News 
Ski-in* with Gina. LLOO Banter News Headlines. 505 Cannon. 500 Crossroads. 
Summary. MO Reports. MS The Mary Tyler -Moore 

Show. 7M Emmerdale Farm. HJ0 Bed- 

CHANNEL ame - 

UJ pm Channel Lundrtime News and WESTWARD 

— „ — Weat j? ir?' cue Honeytmn's Rinbdan. 

9.00 Roots (sa S 3 .of an American ‘S3? iSS “.UTSS ..if JS 

family by Alex Haley). News. mo Pnw>rebrty Snooker. ^ w SSm wLtwiuS 

16 M The Rushy League Year. Commemalres et PrevLaons *££“ w«3ird iSie New? 

UJSti Uue Mews on 2. Meraorolomnnea. Celebrity Snooker. 13-10 am Faith far 

11^0 Tfee Old Grey Whistle Test. GRAMPIAN “*■ 

I 01\mf)N 9J5 am First Thins. UD ppi Grampian lUKAMllKt 

News HeadUnes. 505 The FUntstones. L20 pa Calendar News. 3 JO Calendar 
q in Srhnnlu Prnrrammm: MO Grampian Today. «jn Partners. 1L30 Tuesday. 505 You're Only Young Twice. 

IBM rhTrittirSnd th. wySSJSf - Without Glory. J2JS am Reflec- MO Calendar r Ernie y Moor and Behnonr 

12^0 Charlton and the WheelteL (j onB . i2J0 Grampii, Nlom Head- editions i. 7M Emmerdale Farm. 030 

12.10 pm stepping Stones. tiL30 lines. TOe Bob Newan Show. 


BBC 2 

6.40-755 am Open University. 
11.00 Play School (As BBC-X 3.55 
pm). 

4^5 Open University. 

7.00 News on 2 headlines. 

7.05 Dilemmas. 

740 News on 2. 

745 Expert Opinion. 

8.00 One more time 
840 Roots of England. 


RADIO 1 

CS) S ter eo ph onic broadcast 
Medium Wave 


247m The Arts Worldwide, ua Midday Concert Reports. 5 M Serendipity <S). SJS5 

part - (Si. L45 The Music of Latin Weather: programme news. fcJ» News. 
.America. 2.23 Cello and Plano Recital &30 I'm Sorry 1 -Haven't A Cine (Si. 
cm am &, d-j;,, n r „ . f S '• 3A0 Lecda Imcrnatlonal Piano 7 JO News. 7J5 The Archers. 7JB Time 

TroSL. Stolon Competition IKS igi. 400 Symphonies For Verse. 7J) Anything You Can Do. 

SJJIS-. 9 jS, „m Ton, No ^ <S., s.15 Jars Today iS>. 8JM Tchaikovsky «S1 <as Radio 3». MB 

K^Jensen^TjTo^^ie^^ri^S'at ^ Hor ^ ewar d Bound. J6.B5 New*. 1*08 Kaleidoscope. Ml Weather. MJO TJe 
Maim R^din Bound tcominued). »J0 Lire- world Tonight. 10J8 The News Qott (S). 

M Ak HiSo » <S, ‘ lines: Wort and Training. 7J0 Tbe Art 1UD A Book at Bedtime. IMS The FSoaa- 

12j»ire am As Radio rf Mantel Morse on recants. 8JW A cial World Tonight. 1XJI New*. 

RADIO 2 1.500m and VHF Tchaikovsky Concert part 1 lS>. SJS _ __ _ .. 

5J» am News Summary. SJK Tony TrhSkmSy BBC K^ 10 L®nd<W . 

Brandon « tnc.udi.ng SJS. Pause for “ 5J6 am As Rad JMSf Z 

9J10 Load on Live. 12.03 pm Coil In. 2H3 
„„ Kimuru dMu, iqi 208 aowcase. 409 Rome Run. AID Look. 

^ i fi'. / O Pbio Morny b Radio s vus= r. m aid Slap, Listen. 7J3 Ria cfc LapdoocT^. 830 

IjTds^ ££2£?&*tMB£ WJ0 - Ooen'uS^'ty. Night Loudon. 

2.« and 3-45 Sports Desk. 0J8 Waggoners' n a n in 4 *iw-ciose- as Radio 2. 

Walk. *A5 Sports Desk. 9A 7 John Dunn RAA/UJ 4 Tjindftit RroaHcfl^finF 

tS> indudlns 5.43 Spurts Desk. bJB 4S4m, 330m, 285m and VHF LA,na ° 11 Cr ° a itr“ U “» 

MU *■ News Brie Bna. 530 Fanning “ **” 


Though L 7J2 Ray Moore iSl indodlng ES?nie TeUer in*? 

8.27 Racing Bulletin and 8.43 Pause Tor STuSm L,^5 rKwi 
T hought. 10.B2 Jimmy Young tSI. 12J15 pm U * 5W1J5 8 

Wagoners' Walk, tun Vom acuunen soot <S). 


Sports Desk. 7 JO Polk TO (S). 7J8 Dn 


261m and 974 VHF 


The Third Bear 
Festival 77 (Si. 


rs>. 


5.00 am Morning Music. 6JJ0 AM: non- 


8J2 Nordrlng Today. k39 Today: Magazlbe. -Including tl 

Among Your 8.4S Prayer for the Day 7.08 and a 00 stop news, information, travel, -sport. ULflS 
Souvenirs (Si. 9J5 Snorts Desk. ID. 02 Today’s News. 7JW ana affl News Bead- Brian Hayes Show. LW am LBC Reports. 
Three in a Row. HUB The Steptoe Saga, lines. 7.45 Though! for the Day. MS A *-** George Gale's 3 O'clock Catt. 4JH 
1L02 -Brian Matthew Introduces Round High Wind in Jamaica 16 News. 9JH LBC Reports (continues). &B9 ATer 
Midnight. Including 12.00 News. AOS- Tuesday CalL mjjo News- IMS New Bight. 9J» NighUlne. LN am Night Extra. 
2JB am News Summary. Britons. 10 J3 Dally Service. WB Morning 

RADIO ^ 464m, Stereo & VHF ®£? r * r - Um News. UAS Thirty -Minute W.apita» naaiO 

U uT „ Theatro. 1135 Origins. UM News. 194m and 954 VHF 

7 6- 5 5 am Weather. 7J0 News. 7.05 12.02 pm You and Yours, jo De9»rt i na am rnhim n,M>r Breakfast Show 
KeW ^ Islan<l father, programme (Si. 930 Michael AADel (S), I?.W Dave 

SJU®T* f ®’- Tha ! Wee £ s “*?■ i-W Tbv World at One. 130 The cash (St. 100 pm Roger Scott (Si. TJ» 

oiFnP 5 !? 1 A ^ e 5 B v ^ Granados tS'. Archers. Las Woman’s Hour Including London Today -(S> 73# Adnad Love’s 

VjWPUunsonB and the Rise of European ldfl-i.02 News. ZLd5 Listen With Mather. o pen um , (g). 9^0 Nicky Horne's Your 

<s V m 1 tSL MJ ^3| Myatfs bate Show tS). 2M vm Bataan 

14J® News. MS Question Time. 435 Starr Time. 5J0 pm Johnson's Night FUghL {£). 


113D Song Recital 
Concert part 1 <S), 


an uninspiring object, but com- ^“and^eSSime? Even here there - is a trap 
mental? could yield vital ;in- jJ * , „ however.- for the unsuspecting 

formation (“without iti -the commentary writer- Hie refer 

QE2 might sink”), tight relief Almost reluctantly, I find ence to microwave ovens at 

f* torment for the motorist who myself turning to two new being ‘“safe and helpful” migh 

finds it on the garage floor?) American films as examples of we il make a safety officer ralsi 
or prestige (“ we’ve made one better writing on the screen. ^ eye brow in 1978.- 
for everj- person in the worH"). imported by Training Films 
It seems that the art of- the international, one of the — The Co mme ntary ■ should providi 

commentary . writer has " been Fine Art of Keeping Cool — an extra dimension for a film 
lost Another new .offering 1 in could be easily confused with In order to achieve this, it' re 
the last two weeks has been the Electricity Council's. - But quires the painstaking rare o 
the Electricity Council's filmj/ this is exactly how Klpllng*s the researcher, the literal; 
You Can Keep Your Cool. This advice was intended, because talent of the professional write 
is about air conditioning, 'and this is about tbe art of keeping and — most of aih— the musical 
those with schoolboy memories your head while others about pictorial and alliterative toad 
of Rudyard Kipling may you are losing theirs. I cannot of the poet. No wonder; per 
vaguely recognise the misqiiota- claim that the film makes any haps, that good com mental 
tion — which, occurs again in really useful revelations in its writers are a rare species. J. 


E ME RTAI N VI E M GUIDE 


CC — These themes accept certain credit 
cams br telephone or at the Boat Other 

OPERA & BALLET 

COLISEUM, Credit cards. et-J40 52S«. 
RoonLon U 1-036 3181. 

ENGLISH NAltONAL OKRA 
Tonight A Fn. at 7.30 last certs. La 
Bobenw. Wed. a: 730 The SertpRo. 
Tours. A Sat, at 7.30 Sera DeatW. Slits 
— , a bijlmt: tNQ ptmIu. iM. l> ai 

7tes_ - wttb Giarml SdtKchL 
batoonv sen avail, for ah 
10.00 on day e* pen. 


COVE NT GARDEN. CC. 240 1066. 

(Giruencfaaree Credit Cants 836 6903). 
THE ROYAL OPERA 

Fri. Sept. 22- Siegfried. Sat sent 30 
Gattcrdammerung- «A1I sens toW). 

SADLER'S WELL5 THEATRE. Rosebery 
Avenue. E.C.1. 637 1672. Until Sat. 

Evgs. 7.30 Sat. mat. 2^0 
CARACAL LA DANCE COMPANY 
First Arab dance Co. to visit ■ London. 
iHE BLACK TENTS OF ARABIA— 
saectacular Bedouin music & dances from 
the Middle East. Sept. 26-00. 14 
Sadler's Weils Royal. Ballet. 

THEATRES ; 

AOELPHl THEATRE. CC. 01-836 jfltflt. 
LAST 4 WEEKS. MUST END OC^L 14. 
Evgs. 7.39. Macs. Thurs. 3.00. Sat. 4.00 
IRENE IRENE IRENE * 

THE BEST MUSICAL 
at 14/6. 1977 am 1978 .- 
IRENE IRENE IRENE 

CREDIT CARD BOOKINGS 836 7611. 

ALBSRY. 8S6 3B7B- Credit Card hlcus. 
836 1071-3 from IL30 am party rotes 
Mon.. Tues. V.tifc and Frf. 7 45 pm. 
. Thurs. and SaL 4-SO and 8.00. 

A THOUSAND TIMES WELCOME IS 
l, Oouver R ts 

"MIRACULOUS MUSICAL." Fin. Times, 
with ROY HUDD and JOAN TURNER. 
NOW BOOIC^NC^FOR CHRISTMAS AND 

ALDWYCH. 836 6404. Info 836 S332. 
Fully air-conditioned 

ROYAL SHAKESPEARE COMPANY In 
repertoire. No pert. Tonight. Tomor. 
Thurs. 7.30. Red. price preview* premiere 
David Mercer’s COUSIN vladimir (Firet 
night Fri. 7.00). Student standby £1. 
W'lh: SUkemere-S . AS YOU LIKE IT 
■ next peri. Sept. 28). RSC also at THE 
WAREHOUSE (Me under W). 

AMBASSADORS. CC 01-876 1171 

PHgMy at B-OO. Mac. Tues. 2 45 
Safs- 5.00 * 8.00. 

TONY ANHOLT. PETER CARTWRIGHT 
SLEUTH 

The World Famous ThnHer 
by ANTHONY SHAFFER 
"Seeing the ofay a«ln Is In fact an 
utter and tntnl loy." Punch. Swt Pdt«i 
£3.00 to £5.00. Dinner A Top Price 
Seat £8.00 Inc. 

APOLLO. 01-437 2663^ Evenings 8.00. 
Mats. Thurs. 3-00. Sat. 5.00 and 8.00. 
DONALD SINDEN 

"Actor of the year." Evening Standard. 
“IS SUPERB." N.oW. 

SHUT YOUR EYES AND 

THINK OF ENGLAND 
"Wickedly funny." Time*. 

ARTS THEATRE. 01-836 2132. 

TOM STOPPARD'S 

DIRTY LINEN 

“ Hilarious . . - «* ft." Sunday Times. 
Monday to Thursday 8.30 Friday and 
Saturday at 7.00 and 9.15. 

ASTORIA THEATRE. CC Charing Cross 
Road. 734 4291. Mon. -Thurs. a pm. 
Fri. and SaL 6.00 and 8.45. 

ELVIS 

BEST MUSICAL OF THE YEAR 
EVENING STANDARD AWARD 

CAMBRIDGE. CC 838 6056. Mon. to 
Thurs. 6-00. Fri. and SaL 5.45 and 8.20- 
IPI TOMB! 

Exciting Black African Musical. 

Seat urtcea .£2.00-£5.d0. 

“Packed with variety." Dally Mirror. 

THIRD GREAT YEAR 

Dinner and top-price seats £8.75 Incl. 

COMEDY. 01-S4Q 2578. 

Em. Mon.- Fri. 8.00. Sat. S.0D and E.30. 
Mat- Thur. 3.00 

EDWARD WOODWARD 
BARBARA JEFFORO in 

THE DARK HORSE 
by Rosemary Anne Sisson. 
Excellent family entertainment. Anyone 
of any age <* Ukely to enjoy It” S. Tel. 
"Damned good theatre/' Sunday Times. 
“Americans will love It. Gdn. "A laugh 
a minute." D. Tel. “Opportunities br<i. 
'IvhUv seized by first-rote cast, a most 
attractive and entertaining evening," e.n. 

1 CONFIRMED CREDIT CARD 
TELEPHONE BOOKINGS ACCEPTED. 

CRITERION. RU 3216. CC 836 1071-3 
Evgs. 8.00. Sat 5.30. B.30. Thurs. 3 DO 
NOW IN ITS SECOND YEAR 
LESLIE PHILLIPS 
la SIX OF -ONE 

- • ■ i VS&ff"" LAUGHS 

SECOND "HILARIOUS" YEAR 
^rory funny." Sun. Tel. 

DRURY LANE. 01-836 8108. Mon fa 
Sat 8.00. Sat. 3.00. 

JLST dSFKa. fergRE a A rt T°"ifgiSP 

I evS?i I S5' JL J4 %„ 1° Thurs. 

rrenlmrs ano 9 .00 

Ma “- 

DUKE OF WRKXL^.^,-836 5122. 
GODS PELL 

“ BURSTING WITH ENJOYMENT." D. 
Tel. PHoe* £2 10 £5. Best seats £3 haH- 
hpur before show at Bax Office. Mon. 
Thur*. Fri. Mat. all seats £2.50- Eras. 
8-1 S- Fri. and Sat. 5 JO and 8.30. 
Limited season. Must end Sept. 30. 

FORTUNE. B36 =23 B. Eva*. 0- Thurs. 3. 
Saturday 5 ana 8. 

Muriel Parian as MISS MARPLE In 
Murder at the vicarage 
FOURTH GREAT YEAR 

GARRICK THEATRE. CC 01-836 4601. 
Eves. 8.00. Wed. 3.00. Sat. S-30. sJsa 

• BRILLIANT. A TAUT AND EXCEL- 
LENTLY ACTED PRODUCTION.-- D. Tel. 
"AN INEXHAUSTIBLY RICH WORK." 
Guardian. “ NOT TO BE MI5SED." Tlm« 

GLOBE THEATRE. _ 01 -4 37 1532, 

Ev*. B-1S Wed._3.00- Sat-- 6.00. 8.40. 

PAt,L wriSRi!- MUM™""* 

ALAN -jjjfljjjpjjr Co«ed, 

"'This must be toe hauaittl liughter. 
make» In London." D. Tel. An irresist- 
ibly enjoyable evening." Sunday Times 


HAVMARKET. 

W«d. 2.30 


HARRY ANDtL 
ELEANOR TREVOR 

BRON PEACOCK 

•lid IRENE HANOI. In 
THE FAMILY , 

A new play bv RONALD GARWOOD 

*. sssa ; 


THEATRES 

HAVMARKET. 930 9832. Previ front 
Oct. A. Opening Oci. 9 at 7.00 
GERALDINE McEWAN 
CLIVE FRANCIS 
NIGEL STOCK 

PETER PAUL 

BOWLS HARDWICK 

and FENELLA FIELDING in. 

LOOK AFTER LULU 
by NOEL COWARD 
with GARY RAYMOND 


. THEATRES 

ROYAL COURT. 73*3 1745. Alr-OOec 
tvenmgs at b.OO. hats. S 00 and 
NICOL WILLIAMSON 
■' A virtuoso pertormanc*." D. TaL 
fn JOHN oskornB »3 
INAOmlUIULt LVIbfeNCE • 

“ This Is one of the few. great plays c 
the century.** D. Mall. 


HER MAJESTY’S. CC. 01-930 6606. 
Evgs. 8.0. Matinees Thur*. and Sac. 3.00 
" INSTANT ENCHANTMENT.". Observer. 

THE MATCHMAKER 

A Comedy o( Thornton Wilder. " It go« 
down with a deserved roar of deflghi. 

D. Tel. Far a limited season until Oct 14. 

" HeHo Doily bo mce to hare you back." 
D. Mail. "A Masterpiece." Times. 
“The man who wanted a glass of bubbly 
and a loopin' show must nave had lusr 
this In mind.” D.T. 

KING'S ROAD THEATRE. 01-2S2 7488. 
Mon. to Thurs. 9-00. Fri.. Sat. 7.30. 9.30 
THE ROCKY HORROR SHOW 

DON'T DREAM IT. SEE IT 

LYRIC THEATRE. 01-437 3688. Evs. B-OO. 
Mat. Thurs. 3.00. Sat. S.00 and BJO. 
JOAN FRANK 

PLOWRIGHT FINLAY 

F1LUMENA - 
bv Eduardo de FllHppo 

Directed by FRANCO ZEFFIRELLI , 
.'•TOTAL TRIUMPH." Ev. . New*,- "AN 
EVENT TO TREASURE." D Mir, " MAY 
IT FILL THE LYRIC FOR A HUNDRED 
YEARS." Sunday Tunes.. 

MAYFAIR. 629 3036. Eve. 8.00. Sat. 5.30 
and 8.30. wed. Mats. 3.00. 

WELSH NATIONAL THEATRE CO. 
DYLAN THOMAS'S 

UNDER MILK WOOD 
• A RECORD BREAKING SUCCESS 

MERMAID. . 248 76S6. Restaurant 248 
ZB3S. Evenings 7.30 and 9.1 S. 
EVERY GOOD BOY 

DESERVES FAVOUR 

A play for actors and orchestra by TOM 
STOPPARD & ANDRE PREVIN. Snare £4. 
£3 and £2. ’ NO ONE WHO LOVES 

THE ENGLISH LANGUAGE AND TNE 
HIGHEST COMIC-ART CAN POS5IBLY 
MIS5 THIS PLAY." S. Times. Last 2 
weeks. - MUST END SEPTEMBER 30. 
Sun. Sept. 24 lor One Night Only at 7.30 
JOAN TURNER. 

NATIONAL THEATRE 928 2252 

OUYIER (open stage) Fri. 7.30 (Id* 
nr ire preview) THE DOUBLE DEALER bv 
WWiam Congreve. 

LYTTELTON .proswnlum stager Tonight 
7.45. Tomorrow 3.00 A 7.4S PLENTY 
new play by Divide Hare. 

COTTESLOE iwnaH auditorium): Prom. 
Season Eves. B-oo. LARK RISE by 
Keith Dewhwst from Flora Thompson's 
«wk-- 

. Many etcClent cheap - seats all three 
theatres day _ef peri. Car park. 

Restaurant 92B 2b33. . Credit card t>00k- 
. mas 628.3052.. . 

OLD VIC • ' 928 7818 

PROSPECT AT THE OLD VIC 
Margaret Courtenay. Anthony Quale in 
THE RIVALS 

Sheridan'* comedy, with James .Aubrey. 
Ilia-. Biair. Kenneth Gilbert. Carol Gilkas. 
Matthew Grinnws. Mel Martin. Trevor 
Martin. Chrtatopher Naame. 

"The funniest Mr*, Malaproo J have _1 
seen/' The Guardian. " Mr. Quayte's 
Sir Anthony- -s wonderful performance- ' 
Tiie Time*. _ _ 

Today. Wed.. Thur*.: Fri. at 7 JO. Sal. 
2.33 A-7JO. 

PALACE. CC 01-437 6834. 

Moo--Thur. 8.00. Fri. & Sat 6-O0 & 8-40 
- JESUS CHRIST SUPERSTAR 
by.. 71m Rice and Andrew Lloyd-Webber. 

PALLADIUM. 01-437 7373. Book now. _ 
•^StPL zs For One Wee* Only. 

- LENA MAR TELL 

. MICHAEL BE NT INS. WAYNE KING 

PALLADIUM; 01-437 7373. Book now. 

. October 2nd for one. week only. 

. IN ONE GREAT SHOW 
‘ ■ LENA 2AVARONI 

. anti Her Dancers and The Third Kind 
BONNIE DUKES AND 
. RICKI LEE AND FAMILY 

PALLADIUM- 01-437 7373 

: : Opening Dec. 20 (or a Season • ■ 

'.a* ".Merry Widow Twankey " In 
.-.V ALADDIN . •• 

. ALFRED MARKS a* Abanazar 
" Blly* WATLING. Brian MARSHALL 
and WAYNE SLEEP. 

.* BOX..OFFICE NOW OPEN. . 



PIUNCE EDWARD. CC. 'Formerly Casino) 
f VD1-43T'6B77. Evenings BPO. 

Matinees Thiw^and Sat. at 3.00. 

bv '-riro Rlre and Andrew Lloyd-Webber. 

Y Directed by HaroM Prince. 

PRINCE OF' WALES. CC. 01-030 8681 . 
lSStTs WEEKS. MUST END OCT. 7 . 
EmaT Bjff. Saturdays S.30 and 8.45. 

- THE HILARIOUS 

BROADWAY COMEDY MUSICAL C 

1 LOVE MY WIFE 
. -starring ROBIN ASKWITH 

CREDIT T1ARO BOOKINGS 930 0846. . _ 

QUEEN'S- Credit Cards. . 01-734 1166. u 

" DAZZLING.” <- sten. •• THRILLINGLY 

enorS/ 5 Oh- - “hideously, enjov- 
flBLLpNO GENU! NE TERROR.” Sun. 
ftSS.-'rGOOD CLEAN. GORY -FUN.* 1 = 
-- MOST SCENICALLY SPEC- ° 
taCULAH SHOW IN TOWN." Punch. 

RAYMOND KEYUE8AJL Cc. 01-734 1633 OI 
At TP®- Ooen Suns. 

* - •.SftUf RAYMOND pneaenre 

- TOEMFBffElVAL OF 5tOT|&. .. . , 

. -T^FiHIV *lr rondlHoned. 

" •alicVSENSA’TIONAL YEAR. 


ROYALTY. Credit Cards. 01-405 SOOr 
Monoav-Thurspay evenings a.oo. Fripa 
5.30 and 9.45. Saturaays 3.0D and 8.0( 
on critics vote billy DANIELS I 
BUBBLING BROWN SUGAR 
Best Musml or 1977 - 
bookings accepted-- Mi for cred 
Restaurant reservations 01 -2u 
2418. 


IVOr THEATRE 01-838 888 

.rrnir cards 734 4772. Tom contl t 
WHOSE LIFE IS IT ANWAlT 
With JANE ASHER • 

'A MOMENIOUS PlAY. 1 URGE YO 
TO SEE IT.' 1 Guardian. 


TESBURY. CC. 01-838 H-50S- 
136 4255. Evgs. at 8.15. Madnet 
Thursday 3-QO. Sat. 5.00. 8.30 1 
TERENCE STAMP In 
DRACULA 

with DEREK GODFREY 
« most entertaining snow I. luv 
. ever seen." . N.B.C. Halt-priec seat 
at matinees and Sat. 5.00 Perf. 


01-358 1394. National Tout 
In JULIUS CAESAR by WilUar 
Sfiaitespeare. Evgs. 7.00; 


MID. 01-83 B 2660. Evenings 84K 
WE'RE BRITISH 

LONDON'S LONGEST LAUGH — 
OVER 3.000 -PERFORMANCES 


riNtL cc 

3. Matinee Tne. 


- 01 -836 14* 

-- 2.4S. Sats. 5.C 

AGATHA CmiSIK-S 
THE MOUSETRAP 
WORLD'S LONGCST-EVER RUN 
• 26m YEAR 


Air-conditioning from 8-00. Dining.' 
AT 11. PETER GORDG NO 


Peter Sharldan. 


8 . 0 < 
rs t 


LUDEV1LLE. 836 9968. CC. Evj. B.Ot 
4 alt. Tlies. 2.4S. SaL 5.00 and B.Ot . 
Dinah SHERIDAN. Qulcie GRAY 
A MURDER IS ANNOUNCED 
he newest whodunit bv Agatha Christ i> 
Reenter Agatha Christie with, anotht^. . 
fhodunlt hit. Agatha Christie ts staikJn.' e 


Year's run must end Sept. 30 


Opens 4 Oct. 7 p.m. Subs. 8 o.o” 
AN EVENING WITH . 

_ DAVE ALLEN ^ 

D SEASON: OCT. 2 TO DEC 


i 1 * 


t • i 
. ■ i i 
V l ), 


23 4735-6. 834 13C 

STRATFORD JOHNS 
SHEILA HANCOCK. 

ANNIE . 

rfls. 7.30. Mats. Wed. and 5at- 2:4: 
... _ ••* BLOCKBUSTING — 

SMASH HIT MUSICAL." D. Mail. 


USE Ppfimar _ Theatre. Cover 
8M 6808. Royal Shakes ped: 
’• Tout- Tomor. 8.00 premlei 
PtNIakoffs SHOUT ACROSS TH 
All seats El .80. Adv. bkg 


CC. .01-9to 6692-776! 


Se* Revue of the Century 
_ DEEP THROAT 
8lh GREAT MONTH 


3MILL THEATRE. CC. 01-437 6311 
Twice NigntJy 8.00 and 10.00. 

_ Sunday 8.00 and 8.00. 

PAUL RAYMOND presents 
RIP ' OFF 

THE EROTIC EXPERIENCE OF THE 
MODERN ERA 


THIRD GREAT YEAR. 


Ev. Net* 


“■7“* rri. ■**« mi. a.ia ana 
ENORMOUSLY RICH. . 
VERY funny." Evenings News. 
Marv wnasfi-f.it comedy 

ONCE A CATHOLIC 
□preme comedy on sex and reflglo* 
Dally Telegraph 
” SHAKE WITH ' 

LAUGHTTER." Guardian. 


“A-rUMe 

“Smart — 


Rnancfal Times, 
.show." Daily Express. 

— ...... -tMe.'* Sunday Times. 

Leris bore more efegan« 

for EVITA. 

■..•■•j;, "jwafe more btta - - I 

ysr&l 


■Vic. 928 6363. For two vreel 
PETER 8ROOK'S famous Pw 
S 0 !-. V Alfred Jarrv's farce U8 
eriehl. in. 7 AS. Al. aun SLa' 


5 Vic. 928 6363. From Ott. : 
B N MAN a Snakesoeare trwoe 
RICHARD HI. HAMLET and 
THE TEMPEST 


CINEMAS 

I * X. SHAFTESBURY AY 
8861. Sep. Parts. ALL . SEAT 


5J0. 3.20. 


fjLi bun^ 1.30. n^S. 7.55. 

' 1- Wk. te Sun.: 2.0- 


Camden Tow 

BOB DTLA 

» CLARA lAAl .W.II 


THE turning point ,al F. 
reoirfiomc sound. Progs.. 1. OS. 3.31 

•iSSL 4-.P*P» ■ K/fs KriswBerso 
NVOY CA>. Progs. 1.40. 4410. 8.2 

THE_ St LENT PARTNER OCi. Ptog 

■4E. 3 3 : CL 53S, ajs. 

HEAVEN CAfi WATT <A|. Pros 


Street, w.1. 499 373 
DERSU UZALA (U> . 
sub-etdeu Him at 2A 


, Haynuu-ket.- 


(930 6111 
U. 5e9. JJBOO 

l y-«5. 


Stm. 3-M. V.!S-. 1% 


doant open (Mon 


1JK. 4.15. T.4. 1 

bookable. 


..MEL 


BROOlli' 


437 .818 


Sen ANXIETY (AJ 

ISn ' lac - 81! • 

*’ Oxford Circus- 437 38«. 
wre ZlnnemsBo Film JULIA ‘A • 
StTio 1 ^' 3,1 °' S-«-. a -1S. Late She 

ir(m l iSin £ t * y &g ah -- *iNt'.U8»*» P“* 

(Xl^KSS &L UNMARRIED WWAI 

S^y^ . bjw. 







i-:- 











Financial-Times Tuesday Septenfber 19 197S 

T f±t*Aci I Royal Academy 


'rw 


Festival Hall 


by DOMINIC GILL 


•by WILLIAM EACKER 


The retrospective exhibition seriously. 


Haitink & Pollini 

by DOMINIC GILL 

For all the incidental rewards rather than autumn — at its back 
and delights of the Leeds Piano the violence of a bare landscape. 


of his contemporaries his nre- nerve to attempt with the lush Aaa rnim me violence ui a oare laaobcape, 

•:).-% A music competition js the semi-final he hail- played- (as well l 5, i . n principle, a. Good Thing, _Tn;his earlier years' he moved paredness.to be influenced* and and . energetic landscape-Like waiTn r^u./n^limdav the outline of every phrase clear 

<Mv»hsed of vices, Oscar as. to be fair, a remarkably fine for 11 1S , always interesting, and at the very centre of affairs, ts change direction, his lack of expressionist abstraction that ,« .Vw from thi LiKornn and hard - CAt the end of 1116 
WiMde (might have said had he Brahms F minor quintet with the mc ? re . of,en than not actually standing -a. true equal alongside any narrowness of vision. 1 followed so soon upon diem, or t-„hc Ti,™* hIii rn movement, Haitink kept the five 

viclted Ti>»ris .lact- u-az.L- - i« i enlluhtemnr* U I t%o mvan Mink l. 1 , Mrm> rw-uni ; tl ..-I a.u aCOUSUt OI lUWn nail tu 


visited Leeds -last week ; it is so long-suffering 


spirited ®" l >shtening, to be given the such, influential figure a. both in more recent years especi- the flatter colour-field quasi- nf C Th<» penultimate timpani notes eve/i 

. n Chance to review Ihe urnrk nF u nrogfiridlu 'and* nnlirTn-illn ^1 1 n ha hac tdniidf) In cVinui ■ftttlvT lonHenO nae nf Miffine mitK I ^OUtll v . nr ) Hictmi ne thn cnnra 


aristocratic poise of a per" Abbadp choice here of a sligbL 
ance of Brahms's D minor ?i e ° acl "^. cre “ end “ 1 s ^i fl " d 8 


exquisitely unsatisfying. Diffi- Gabrieli String Quartet) Bach’s nc ^ t0 rev, ew the work of a creatively 'and politically, as ally, he has tended to show /only landscapes of the sixties with rTL to - X chan°e for enmnetitioii and distant as the score 
cult enough, as anyone who has t&ixth Partita and Schumann's fP an , n an a rttst s Mreer in a Pasmore, Coldstream and Bacon; intermittently, the. intervals the crisp and assured still-lifes , nc ,„uh ihe Dunopm-v hHlliance- prescribes — the Kempe and 

served on a legal jury will know. Humored both beautifully l 1 "-' 0 - comprehensive display, and by mid-career. Professor of extended, and the work on each of the seventies? and «r istocrat iC DoiV^.' „ f Der . Abbado choice here of a slight. 

*> wring conclusive sense from turned. small-scale performances contr ? d i ctlons J esol ^ e Parting at the Royal College occasion has been markedly dif- When they were first shown f orn ,ance of Brahmas D minor menacing crescendo 1 still find a 

any group of 12 or 14 just people Sm and S bm themselves, what might be and Academician in a time ferenl in appearance to what- here, four years or so ago. these ^^ 0 ro?Lrto bv MauriziS shad c more pointed, more excit- 

*nd true. But when those H either re t) centre or real daring ubscure . becomes dear, threads when the- Academy. really needed ever has gone before: and ’-the studio still-lifes, shelves aod « llin j * ing.) Fierceness broke through 

are musicians. and the subject is Hm* imich more vivifl was the , J ’’ pear ,n wo, : k drawin k «t members of. his stamp, he had smack of a facile and eclectic corners littered with a carfeul The orcheslra were the Lon- in the finale at about the fourth 
«<« bat music, a useful con- m fhe find fo^U i^ever^TirisSne Oiat '£? JUl *' P °* ,tJOn ° f SOme °P pWtulu6ID ’ 100 a,laC}ies SSSS^^SL^etSi 1 ffft dol ph,7himonic under Haitink. 

smisus is notoriously hard -to ils crazy patterning, of the hand a i je sourccwill con fer • seemed a shade too clever, both who nacp w1th PoMim » nrimd —but a fierceness blown by a 

. Brahms D ™ mo , r coocmo of i ts yWQ man jf est sense of unity. 

The very premise of a musical L>dia Artyimw from the U.S. no matter what shifts and 
competition is of course essenti- (3rd prize), and her Schubert A chaoses the work miebi seem t.i 
ally unreal. Above a cerlam minor sonata op. 42 in the semi- L“ve SdJrennP 6 


leve/, there are oo “ better " per- final, picrcingfy original, eccen 


have undergone. 

But we are inclined to overdo 


nr* r? 

•& h 


: . formers, just as there are no trie even, hut wholly gripping in it tiskino debasement oft his 

- ' “better composers: they are ns intensity! How mud> more 

only different. The most crucial impressive was the Liszt sonata. f p **' h c “ e cy jicbur^mem 0 

problem that faces a musical ^ the Chaikovsky con- Wourin" artists ev r Sr in 
jury is not. as it might seem on played bv the second-prize ihJlr cSeer^M earaeS rather 

. ... the surface, to assign an order winner Diana Kacsn from Brazil [^n eSebratio^of a?hi?vementi 

- to the finalists from “first* to -hnth performances .of onor- orweookiothe safelvest^ 

“sixth”— we assume that decl- raous weigh t and resonance.- some Jish jj . lhe aJ-f5o? d e Sj„ 

. ■ Sion to be more or less arbitrary, scents of the concerto mis- ' h sned dnd ^J e “gJKJ 

• an expression of preference: and Judged, hut m sum of pnroistak- favouritM^ ■ 

• a glance at the list of prize- ab !f al'thnnty ana force: or even, - ... , 

. winners from the previous five in its lesser way, hutin its strong, j n fl uenl j_. m ’ _ icks well known 

‘ competitions, t Leeds .or lb.t of £2,^ “ . < “ta?. bn 

■ . any competition, and at those f «ventu«nt Slaved f^thi fame has sometimes blurred 

. .. performers subsequent careere. J Y ™ 2? die int0 notoriety, whose work Is 

' Se ca U n St he W ^ ord^rinTof thffi^th^pri^ ^cuit to categorise, too various . 

‘ The greater nroblem hv far 5 q winners was a matter of simple Perhaps, or over ambitious, the 

. in ? * reawr ' . y tar . ls nreference- and as siich it is f a^ures too conspicuous, are. too 

■■ : WefS e ve a wh C iS 0 ft, e P ?i« : sh ol1 SaSaPUi. ^e ^Sror if readily o„Mook|«. Opt of « B ht 

^il?Sdb?toJ Stitt. *SS «•». compeiiiion-ood te'Ptoo; 

; shall sink without trace. UTiat venous error of imagination ^ and artists do mnd to disappear 

- - criteria fo employ-the plain fi^, e sts la ^ r0 ra the g wlff ten from driers aSd o?her°parties 

• virtues of briliant efficienvy. g S. ] afi t in mun,al djstrust and 

ease and conventional approach. T^„ da y 3 nd Friday-two apprehension, their work shown 

the music-teachers dream . Or cvc j t - n „ « rue iiing davs of eight infTequently and disjointedly. 

^rTue S SU ?a e iis n a ' 0 nabfe V,? o r f ^ the thread of development 

' ' drfJtfon -f thX oriofnalitv dearly outstanding performers broken for all we know. 

poetry eioauence and fire— the emerged, three of whom justly Rodrigo Moynihan’s large 
■* -*-*»« C? ' in Tp easv Scheme of went on t0 takc the first' three retrospective (hat now fills a 

i h i nES thcmusic-teacherWieht- prizes Ru t the remaining two good half of the main galleries 
^re ’ Thesis ever the chance were not cven put Sarv> ^,\° ,n Burlington House (until Oclo- 
ii lrSlt jurieV wi l nlav slfe and the final round ’ ‘0^^ Her 15) is an important event for g 

5? ; « dra ?v attractive displaced hy an efficieht-and all these reasons,- and- certainly ‘ 

^ and competent to mk in the charming, but otherwise tind.ls- not to be dismissed a$ little more 
•-14^ draamic and d«! lushed, pair or lesser. taleqls. than a well-earned pat on the 

' ' Serous -(but -by T4 ver^naKre Kristin Merscher from Germany back. He deserves that, too. for 

fallible and vulnerable) talent. is only 17: but she is probably his career now extends nearer to . .. ; Moynihan: Private Darke 

' The verdict last Saturday ni^ht °ne of The most sensationally 50 than 40 years;, but even today 

nf tbe sixth triennial Leeds gTtetf pianists ever to appear artists are not made^retire the jd bl . ln , Dort;lncc This itse]f to 
. — i -t,! • rt r.n tho etim nt iho T ( nm. momen thev reach BO. and a ‘■•msiaerdoic imponjnrc. inis liseir 10 _ 



Hamish Milne 


RONALD CRICHTON 


Moynihan: Private Darke ATS 


genuinely catholic 


in organisation and execution: d D 0 w er f u ii v restrained ac- coId - clean 8 a,e - Austere, stir- 
today given, more room and J^nt .Tom slart tofiilsh not- performance, 

several years more time, their g b iy lacking in any kind of The evening's first half -had 

virtues begin to come through, flamboyant emphasis, or conces- been good, but less inspiriting: 

;? J s Sion to easy sentiment. Tbe an unconvincing, and seemingly 

1 ♦ : n L earl,er grandeur of the first movement unconvinced, account of Tippett's 

nhiintf* JSa* ’ay in its timbre, and in its im- Fantasia Canceriante tm a theme 

®mnWo C ari »», v !f ua . petus: stark and unrelenting, oF Corelli, marvellous in its first 

*'” p 5 l as fj' ^ I ni ® sha ^P ^®*J* every flash of articulation quiek and last bars, all tedious 
b ^^L 3 nf d nnini.r and lit by immense for- maundering in between: and a 

ir „ 1 tissimo octaves and lightning robust, smoothly delivered read- 

^ key-descent. ing of Mendelssohn's fifth 

ftnnn IkSi 5 The playing was highly (“Reformation ") symphony, big 
ih > j m u.n h rc Li y °r charged, but not highly coloured, and bright in Its somehow almost 

«hf J l £!' m . A !£i of Polllni’s adagio traced a quiet, glibly inevitable climax of 

!£ they mask r^g H7Sm, ““" c line: sms of » inter LMher ' s Ein ‘ leste 

the show, picked up as much 
in the simplest abstraction as 

in the straightest of portraits. „■ i-^.i 

Moynihan is, or rather has Eliza DGTI 1 Hall 
been, a spendid painter of the 

figure, and here a roomful of TT * 1 H (f'l 

drawings celebrates his fine l-lnmich \ /I 1 I trt O 

draughtsmanship: yet he has ndllllMl IV 111 I 1 C 

received few official commissions. AWlllxuii _L v xxxxiv/ 

which says a great deal for the 

pusillanimity of public taste b V RONALD CRICHTON - 

besides being a real loss to the 
community at large (as much 

in fairness might be said of Hamish Milne’s recital on Sun- Medtncr is having something 
many or his contemporaries — we day afternoon was remarkable in pf a revival. Mr. Milne i«i evi- 
prnduced in one generation m ' wavs For lhp cot ,tin U ous denI, y in sympathy . with his 
painters such as Gowins. Cold- ™ dny wa>s ' r . "S music and must give us more, 

stream, Pasrtlore, Bacon and P ,easur e given by the sound even jf the impression made by 
Freud, besides Moynihan him- what used lu be called the the gratefully-written Three 
self, and we have little to show “touch” and the gentle but Hymns in Praise of Toil was'the 
for it). At bis very best, just revealing clarity of tbe inner not unfamiliar one of high ideals 
after the war, he was snecificaMv parts. For a soberness in the and deep feeling expressed in a 
concerned to work from the pianist’s approach which did not conservative, not highly positive 
figure, and the College picture 10 tit? least entail a lack of idiom. The rest was Chopin, to 
shows just what he could do; sensitivity. Lastly for the remark- whom the pianist brought the 
but politicians and soldiers do able degree of success with same intelligence, reticence of 
not like artists very much, and which these qualities were feeling and lack of flamboyance, 
ihe major State portraits went applied to a programme of The inner parts of the F minor 
elsewhere. romantic. and la le-rom antic Ballade were exceptionally clear: 

Moynihan is an under-rated music and to Bach seen through there is much to be said for 


safe verdict 6 The first-prize breathtaking in its depth of ment characterised by his evident interested him m. the making of ^ trac tiras shown the slick paint at odds with the To play two of Busoni’s major occasionally felt that the canta- 

winner, Michel Dalbcrto an colour, its play of light and enthusiasm and commitment to *. : ■ straight-forward statement of the feats of transcription — Bach’s bile writing was being too shyly 

exceptionally accomplished 23- shade; a wonderfully fresh and the business of painting, always His life’s work thus .-stands as ““J'J" _ h *hJt f Sr sJSS tiie parts not .vet inte- “St. Anne” Organ Prelude and projected. Mr. Afilne did not 

Year-old pianist from France.' 'was 'nnocent teenage vision of the facing, if not always succeeding an. odd yet valuahle history of ri a _ r _C‘ u “ n \. v 0 L nL grated into a convincing whole. Fugue, and Liszt’s Organ Fantasy suggest, as some players .of 

indeed a music-teacher’s dream. Haydn F minor variations; a in overcoming, ils difficulties, the English- Art of recent times. Yet we should remember that as and Fugue on the “Ad nos” rhnoin and Liszt dn (possibly 

The Paris Conservatoire sends Heaven-storming account of The quality of the work is un- a personal digest of successive ana a aeucious smear m sea Me 1. 3 youag roan he p3id decen t and chorale — without insisting on quite erroneously), that he is 

out half a dozen like Mm every Mendelssohn’s Rondo capriccinso: even, ranging Tram the extremely general preoccupations. Moyni- “JJJS-i 1 honourable homage to Monet, (heir bigness, without thundering pjissionately fond of good, sing- 

yeatv-and that is not to dispar- and as her parti' throw-away, fine to the frankly mediocre, but han has suffered perversely in £ , " umair view. anjJ ^ a Htt]e jater hig sti| , 0 r grandiosity, but with the ing. Some of the bass notes in 

age Dalberto’s talents, but to a performance of Liszt's- Ln even the poorest is distinguished his reputation from the very sen- But Wen how else was one to ]ifM bear comparison technical mastery to guarantee the last paragraph of the 

praise the Conservatoire, whose campanula verily to match, the and in part justified by the- sitivity and acuity of his respon- reconcile the large group port- withihose of ch ard - ln and Manet the utmost clearness and Nocturne were so lightly touched 

verv high and cultivated speed of the octaves ..only quality nr the artist’s engage- ses ' to the Art current ahout rails of- the early fifties, the .. . . . , .. . musicianship to ensure sustained as to he virtually inaudible, ln 

standards should he the envy of excepted. Josef Lhevinne’s. What ment. that fofecs us to take it him, his interest in the work magnificent Senior Common h^best losing some- interest* is an achievement. -The iwo Mazurkas, local colour was 

any similar institution here -at grey, moralising, mealy-minded SSniSJL.hiJi^f 1 Snl u imS his directiwi Tnd cTnfid^ very . d fferept Mua'ltles of the played down but the wayward 

home. judgment was it that prevented . .... en^T beb«^tM Jnthe work * . M wel1 « the oriEioa |Uy of the music was 

&^SH°S'”iar SSSlSS^r S^in- Warvpvc’ ennnenrehin iWUPSSB! ^™ e3 „- ftfi ff BBS X' w™ nS»'n ?d *>«**»»■ *t '»« «* « 

*2S2& tS2rS5: - flarveys sponsorbuip through In this country sincR ,he true congratulation. Wo most nfher’S dlmiSed h?"?^ welcome chonce to hoar the 

Ind anv mmeetinon shouldfall over ' t; '' - • ■' - - . . , - ■: — . war. a parting of a bind, indeed, not close our eyes to what he comparative reticence of tbe charming, early Variations bnf- 

He will acquit tamselff weld . an a any compeunon S ou au. o -of Rrtclnl have with rnnfprts in nthpr centres, that nn-nne pLp has had -thp does next nlovin>j lnntp» nn q ihomo fmm r nrlnn> 


inaudible, ln 


. ....... % • ■ . nm, H IJI.U i'iHM, iiiuwiui 

Ha i4er5* of Bristol have With concerts in other centres, that no-one eUe has. bad -the does next. 


especietiy fa ernisWeration which; backwards to «.tch and admow- or" fix ’ seasbnV concern in 

"^s^have weighed heavily with ledge. .The very different^hut no ^ suppor t f 0 r the arts regional centres feature Victor 

•- -- * U,ry *** r 11 - wtwl aver the next 12. months will be Bbrge. presented in May with the 

TiL-s wong Lathe impressive list Amencwi r&ry SieigenraU were a * 0J j,n,j tn ien t of about £50.000. Bournemouth Symphony Orches- 

- tT_ ; <*f Bmportant engagements that also a. notable loss to the final ^ j n . past seasons, the largest tra-in Bournemouth as well as 

. -I- are the substance, far more than rounds: an intensely original, e j ement 0 f this support is the Bristol by Harveys: and three 

■'V\: the cheque for £2.000, of the poetic and musical jflanist whose presentation of the Bournemouth concerts in which Vladimir Ash- 

J.yi first prize. Bis Mozart concerto- recitaJ of Schumaqh aiid Bart ok symphony .Orchestra and Bourne- keriazy . Is soloist with ‘the 

K503 in the final round was a was one of the .high points or m’outh Sinfonielta ai the Colston Bournemouth Symphony Orches- 

. l f paragon of correctness and neat tiie semi-final,- flawed to be sure. Hall in. Bristol arid in concerts tra— on. June S in Bristol, nn 

management, fluent but oddly but deeply dinvolving, keenly at 'the- -Festival Hall and Eliza- June fl in Souihaniptnn and on 


playing. 


lantes on a theuie from Ludoric. 


featureless; at. his (recital for the intelligent. 


American architecture 


beth Hall in London, together Jun^ 10 in Bournemouth. 


The death of the diner 


by FRANJt LIP.SLUS 


Diners,- those roadside eating food operations. Outside, diners 'The competitive edge that keeps America still proves it has the 
establishments gleaming silver had pressed aluminium sidings,- companies 'like Kiilhtan in capacity to give the immigrant 
in the middle of large parking large windows and a symmetric business is the time it takes to upward mobility, 
lots, seem so' quintessentially design emphasised by an get: a. diner from the drawing in its need to adapt to tbe 

American it is. amazing that it entrance right in the middle of board- to operation.- They make times, companies like Kullman 

took. them so long to be called the facade. The steps at the about' eight a year, each one move .on to other products 

arL It is happening now under entrance are a reminder of taking three months, when an using the same skills. Bank 

pressure of their impending ex- diners’ mobile origins, when on-site. restaurant would require branches are now being made 
tinction, the 'product of limited- wheels sat under their bodies, a year to . build. The original as free-standing buildings with 
access highways, competition Those wheels brought the diners Uirfers. built just after the war, drive-up windows and dimen- 
frout McDonalds and their ilk. to their sites, having been manur. -had .only a long, counter with sions similar to the diners’, 
and the immigration laws, which facthred, most- likely, by a com -^stools facing- tbe frying surface ;Kullmiin makes tomes with 
keep out the people willing to p a tiy j n northern New Jersex^’tKe'- -food . was cooked on (who offices ,ur training schools inside; 
put in the long hours and thank:. and .taken, to their final destlnu-.W.ould be brave enough to do South -American . governments 
less work jiuch. places, require. ' - jipo for" the foundations,; thstNanymore?). When they were order them* by the dozens to 
Surprisingly ■ enough, diners ..... v ■ - ’ 

were ignored bv the photic 

realist^ pai niers ^ who (jon verged . t ■ • 

. to have turned Mm into^an artist! ^ ^ ^ ^ ^ ^ ^ * ' 

judging, from the encomia filling 
the pages of his- 1 recent book, 
where photos of bis paintings, arc 
embellished with bis reflections 
on diners in general and the ' 
specific ones he chose lo paint. 

Baeder’s healthy, unpretentious 
love of diners shines through 
some awkward prose. But there, 
is no awkwardness in his rela- . 
tionship to Ms subject matter: 
like the pboto-realists be is 
-deeply indebted to tbe artiness - 
of the past especially the inter- 
war. . period -. when American 
streets blossomed .with neon 
signs and other gaudy paeons to 
modernity. 'Photo-realists like 10 
■ he the artists 3nd’.lct the objects 

they copy. be. just artisans' trade. j 

- Baeder begins bis narrative • - hnnth* wpta inctat-inii train nipf*h:»aiPR 'rrtrinn h«l 


Daily non-stop between 
London and Atlanta, 

Georgia. 




Only Delta fl ies non-st op between n*Kw 
Londons easiest airport — SHfiEv ^ 

Gatwick-and the US.Ajs easiest 
gateway -Atlanta. Georgia. Ac 
last. Tiravellmg to the tlSA. anti 
tiu-ough. the U.SA. has become much 
more convenient. 

Your key is Delta Flight 11. It’s a 
Witle-Ride L-1011 TriSfur Yl 

powered by Rolis-Royce engines^ fit ev< 
leaving G at wiek Airpoit at 1210 and Atlan 

arriving in Atlanta at 1025 every day Budgi 


What’s more. Delta has fares to 
fit every budget From London to 
Atlanta, you can fly for just £7(5 on (lie 
Budget or Standby single fare. And 


Flight 11 continues oil to NewOrleans, you’ll enjoy Delta Medallion Service, 
as a Boeing 72 7, arriving at 1830. with superb dining, new release films, 

Bynot having to make seven-channel stereo and the 

connections in other U.S. cities, you’ll personal attention of the Delta 


“ Crtum ™ For information and reservations, 

\V\ call your Travel Agent. Or call Delta in 

v\\ja™ui£ London at (01) WJ8-0935, Telex 874S0. 

V \Swuuon 1 Or call Crawley (U2&.V) 517«50U at •' 

t#wa Gutwick Airport, Horiey. Surrey; 

\\ RH« 0DK Delta Ticket Office is at 

UAim ' ML \ a 140 LTTA. 

London, W 1R bAT! Ins a;;!me run by pri-.:«'-Jrt na>e. 

a has fares lo i j0n don-Atlanta 

London to Basic Season FWes 

iusli.B onllie Bui 1 or suindby Single Faie ^76.00 

JUon Service, Basic APEX (Advance Ma 
a release films, Ex.-ursion) R-rfurn Fare S2M.0D 

, 1( j j_h e 22-4-5 Day Basic Exctu'sion 

ie Delta Return Faie £253.50 


The art .of the .diner 


straightforwardly: A Tot of plumbing .and electricity to' be-- .widened, booths were installed train mechanics region by 

people ask me. why I paint diners, installed. T. aid “ Ladies. Welcome ” signs re ® on *‘ ' ■ . ' - - 

It’s a question I’ve never had to The diner manufacturing busi- adorned the entrance. i * smaller company, the 

ask myself. - I want to preserve ncss stil] thrives in half-a-dozen- -if- anyth mg- unties tbe old and I ^ act “! , ‘"? 

diners. I love them. And I companies in JS!ew Jersey. The* new diners ■ It is the menu— ^ 

express this- passfon in the . best Kullman company, the oldest ' Urge; cheap, and reputable 

-way I know, by painting them. sorv iving, was founded in ia27,.ehough to . want the new dl *f" *° lt ? 

He also draws finaginaiy -ones. w h en diners were still mobife restaurants still to be called “4? 10 ® 5 ® shorn 

like ‘ Ja ‘Eat Jet Diner which ho t-doe stands. The present head diners. Some have erabellisb- h ° 

looks like - an airplane aod, pf the company is tbe founder’s -menu like -a salad- bar or salt ^ ®I d d *^ s J “ ti>eir 

Baeder wrjtes:. was jnsplred by zn&his son is in the busirJ>ee£„ sandwiches, but their J out h are not. the present main- 
“. the j Z S p - *? er v a * zep ^ ,n ' ness, with the president’s wife, standard .fare remains a full- . They 

soaped , dl0 K 111 ^ Angeles— wbo design interiors 1 for new course meal with two veg or old 

where else . diners. • haniburcer and fries. Eses can diners into art, but they don t go 


save at least two hours’ flight time to 
Atlanta and many other cities in the 
Southeast And you c;in make easy' 
Deltarto-Delta connections to 50 U.S. 
cities from Atlanta. N o pther 
transatlantic carrier offers as many 
connections, with no change of 
airline. 


professionals. (There is a small charge Regular Basic Economy Single 

for headsets in Economy Class.) Fare 

Once you arrive in the United Regular First Class Single 

States,youcansave40to50percent Fare fVulid all year) 
off regular round-trip Day Economy ' : ' 

Fares with Night Economy Super All fares subject lo change wl 

Savers to most Delta cities. And 30 to not ice. . ■ 

Bsihic budget Standby and APEX I 
40 per cent off with daytime Super vuiid rmm Oct. 1. if>78 until June 3( 

Savers to all 85 Delta cities in the basic S--A7, Day exi'iin»»n and Ec 


SlSS^O 


S367.50 


Fares with Night Economy Suj>er All fares subject lo change without 

Savers to most Delta cities. And 30 to notice. . 

._ . »_ ... . _ Bsihic budget Standby and APEX Fares are 

40 per cent off with daytime Super -\-sUtd rmm Oct. 1. lf»7S unri! June 30.J9T5: 

Savers to all 85 Delta cities in the b;mu J--J5 Day Exi-ursion and Economy, 

conri [rental U.S A. (There are advance ^ . ' 

bookingand other qualifications.) ycur-ruund. 


Delta is ready when you are" 




Having acknowledged his debt 
to his. inspiration. Baeder -would 
presumably excuse -anyone jr u 


ners _ hamburger and fries. Eggs can diners into art, bur they don’t go 

In thp nlri rfiv-s as a iiiagaziha had any time of day or night, there, for hamburgers. Diners 

? mi£*ium off «*Wd. p‘» 5 iS 5 .. 5 ? " ,a » 




in 10 « “ ivi-.jiv a restaiz- POUBfied on .wim cusiara pie -“p uni 

rant owner ^ put up a falw coffe^.jstill made large to^be^jhe 


whose interest ; wandered from P“ ih pU hRD P e 0 f „ et ; urns, promanently displayed poor, Tor whom it is a waitress- 

his paintings to the diners them, - nSw diM« the baek wail. The diners serv»re night out or a respite 

selves. They are a perfect ex- g ; •;o3iS^mMishab!f- ' from are alHl family -businesses, often from a. long _t»r journey. Their 

pression v of - tiie - «rehlt ec t a ^ an ‘J d ' st ‘^ ,s ^ Di ^ - with mother fat the tilL father image inpdermty. » no longer 

Venturi’s idea oT the “ decorated 3S5H*, SJl or „c haw ^ ^ UlcWi, son behind the the long silver/buHets; ttfey want 
box.” which draws Attention to '«S hunter and. daughter as a family style restaurant with 

itself and introduces a -theme J^SehaiHn^n ina s P waitress: According to one of the plush interiors- and table cloths 

carried through in tbe - .whole j?^ 0 ^^-?® 0 .^ SV B - n 8 bnnwn al : inter manufacturers, a diner instead of the- pink-veined for- 
enterprise. In their day, when as spannih -,* als ° “ no owner will keep his place for terr truca tops dioers. once prided 




Z£*** : rL i 




enterprise. In their day, when as “P aDn, ° I* „ owner will keep his place for ten truca tops diders.once prided ' ft . . . 

many as 5.000 sat on roadsides Mediterranean i look- ey y^rg double his money and sell themsdhros on. As. an index of - 

along the east coast from Maine are also now ^P^sed x ft to a more -recent Immigrant. American, style, the diner is as i; 

to. Florida, they, epitomised ihe bt seven units and are ; as expen - w j,ile.-.he moves on to another passe- as fins -on a Cadillac; thank 

efficiency and deanllqes& that siv . e as restaurants uunt an sue. esrablisbmefit. Now mast of the goodness it, was considered lo be “•/' . ; 

are now. supposed,. to be. -associ- -. -But 4hey--are still transported, diner -owners-, .'are Greek and art before the. Jas( of them ended ' *•' * T 

ated with titeir suc-cessor fast- : to thh site and assembled there., represent a ; dying breed as' up -on a Juuk-yjdrC slag heap. ' ..." 

. ,-ro l-.'' --- '• •- •’ v 


v 


i 




Financial Times Tuesday September: 


BY ANTHONY McDERMOTT 


FINANCIAL TIMES OstslsSS WhV ^3(1 

nearly a fortnight of intense W • W ■ B V W<mmJ ww 
BRACKEN BOUSE, CANNON STREET. LONDON EC 4 P 4BY mediation by President Jimmy ¥ 

Telephone: 01-2*8 SOW relief of the main participants ■ _ . A B fl 

■ whose negotiations— as far as V I ifm fl B 

Tuesday September 19 1978 §^M£=£J5 DcLIIII *11 C/ 3 111 I 

■■ . constantly on the verge nf *** 

collapse. ^ 

f ^ . 0 U -m But the titles of the two < A 

Still a long ss=s;£: nit a fiphi 

^ of a Peace Treaty between WM fl fl AS. ' ■ . ■' ■■ 1 

Egypt and Israel ” — give a far - ™ 

^ more saber indication of what 

WHY lO SO SUSS rSSf S BY ANTHONY McDEF 

4 / documents could lead to. Mr. 

Carter acknowledged as much return the bases to Egyptian of the Middle East conflict. 

At first sight, it looks a* though Mr. Menahem Begin, When he said that “there are civilian control. The settle- Israel refuses to deal in 
the Israeli Prime Minister, has'pulled off a remarkable sun sreat difficulties that ■mu hm. been form ed the PLO, and th 

coud The orosnect of a bilateral peace treaty with remain, and many hard issues “ore problematical. Sinaj is not reflected in the refer 

coup, ine pio&pLLi iid ■ :.„ i y“- ■?. 1 to he settled. The Questions part of Eretz Israel (the biblical merely to Palestinians of 

Egjpt lies virtually within his gr«<.p. if the outstanding lhat have brought warfare and 1511(1 o f Israel) and therefore West Bank and Gaza J 

issue of the settlements in the Sinai can be resolved to binerness lQ t h e Middle East their presence was due to areas, 

the satisfaction of the Knesset ana the Egyptian wm not be settled overnight” security reasons rather than Furthermore, it leaves 
govern men l. _ . , „ religious motives. Nevertheless, considerable- doubt the 

Yet the accompanying “ framework agreement " c ™ “?"5 s in aE T ° Mr. Begin, in a move to fend status of the two areas aftei 

which is being offered as the starting point for a wider SrS-ES! 5 J? t o tael Sinre J* hame ’ five ' year pe 

Middle East peace settlement, simply skirts round most thln negotiatTons to S agreed *“* *•' wfll ***** ***** ***** 

if not all of the iong-famiiiar stumbling blocks, or fails lwo sides have been difficult, 

even to mention such central issues as the future of and kept alive through the dip- j— a. c 

JerusaJem. the future of the Golan Heights, or the role lomatic life support efforts of 1 lllS UOCUHlCni h 
of the Palestine Liberation Organisation. In short, the Mr. Cyrus Vance, the U.S. Sec- - V ‘ 

Israeli Prime Minister seems to have secured the retary of State, and Mr. Alfred fCSOlVCS culTlOSt L- d : -’ •• 

prospect of a bilateral peace treat'.', without having had Atherton, whom Mr Carter . - ' .v® 

to make any of the fundamental concessions whieh may all the 1SSUCS t , 3? PCV ' r% 

be needed to secure a broadlv-based Middle East peace. .v, i<ld i e East. Personal relations ' . . ;VJ- if, 

. . . between Mr. Sadat and Mr. DCtWCCD. til 6 tWO ' \jt 

DolltCStiC Sit HU ilOtl that the Egyptian leader countries except 

President Sadat ha? always insisted that he would f,? pear * d r r r 1 * *V J 

never accept a bilateral peace treaty with Israel m ° raeii f nm \ be ° 0T fOT d few lllieS S X 

isolation from the broader Middle East problem. That opposition rather than Mr. .* , * \- , j- ' 

fact alone should cause one to hesitate before assuming Begin. i t is thus a considerable that ItfiLVC tO be draWIl Oil 2L ITiaD 

that he has now sold the pass. Ever since nis dramatic achievement by. Mr. Carter to . \ 

visit to Jerusalem ten months ago. he has been reviled have restarted the dialogue be- ofirl tHf* 

as a traitor in much of the Arab world. His most tween ihe two men. aiiu. uiv dwLLiUlliv^ixto 


A MEASURE of euphoria at ww m *■ j ■ 

W/li'17 WofiQr cfenn 

and Israel at Camp David after V W B B mf 1 B B B . B fl I 

nearly a fortnight of intense V -V IB ▼ x| l' MlMw' 

mediation by President Jimmy ¥ * * •/ 

Carter is certainly justified. It ^ 

reflects in part the exhausted m 

relief of the main participants ■ ^ __ _ , A B B 

whose negotiations— as far as ffiLJW ^ V B Am *'■# » fl 

could be judged through the l|B| B C-* ( ( | | 

Iiarricades of secrecy— seemed H B tt f Z BIB ^LB. B ^ v B ■> B B B 

constantly on the verge nf 
collapse. 

But the titles of the two . A . v j 

agreements— “ Framework for . . _ A . ' B _ A ;• 

Peace in the Middle East” and il .■ fl |Tn | 

“ Framework for the Conclusion ft lli ^B B B IB B B BBS I B ir" 

of a Peace Treaty between B B B B AM B , ■ B fl B, B B W BV^ 

Egypt and Israel "—give a far - 
more saber indication of what 

hmitat^ns o“ uTe BY ANTHONY McDERMOTT •' 

documents could lead to. Mr. 

Carter acknowledged as much return the bases to Egyptian of the Middle East conflict- But ments as a latter-day. form of 
when he said that “there are civilian control. The settle- Israel refuses to deal in any creeping annexation. • 
still great difficulties that ments have been infinitely form with the PLO, and this is 0 nce before, in 1875 Egypt 
remain, and many hard issues “ore problematical. Sinai is not reflected in the reference had t0 stand asaiDSt anTOr 
to be settled. The questions part of Eretz Israel (the biblical merely Jo Palestinians of the ^ ^ world when 
that have brought warfare and J 511 ? of Israel) and therefore West Bank and Gaza Strip c i uded n, e second Sinai agree- 
bitterness to the Middle East their presence was due to ar ^ s - ment with Israel. But can it do 

will not be settled overnight” **“rity reasons rather than Furthermore, it leaves id „ . , To e ca “ J ^5.° 
“ .. , , „ religious motives. Nevertheless, considerable- doubt the final . ro es ^ t . 

Ten months ago today, Mr. Mr . Begi n. in a more to fend status of the two areas after the *&***? P ft . en i 661 
Sadat arrived in Jerusalem for 0 £f criticism at home, has transitional five-year period. 5,^. ore Arab in their loyalties, 
his historic visit to Israel, Since agreed ^ ^ Knesset will Although Israeli militarv rule sense - can be attri- 


ISRAEL 1 SEGMENTS 
IN THE OCCUPIED /- 

territories / 


fLUiWON 

C SKlK 

, I r t ; 

G Ol*kH 

/**♦: 


SIHSJ 

y V 


/ 

I f WEST ^ 

• S NabJus’ ./•* 

r i““j 

JERUsSa^ ♦ vn 

s* n 




r\ j. 

* * .\ 


J ORDAN* 


then negotiations between the 

two sides have been difficult, ■ ■■■■ 

and kept alive through the dip- kTn_‘ 

lomatic life support efforts of 1 lllS QOCUmCni 

Mr. Cyrus Vance, the U.S. Sec- _ 

retary of State, and Mr. Alfred rCSOlVCS PlmOSt 
Atherton, whom Mr. Carter «U1IU31 

appointed as ambassador with oil tfip icciipc 
special responsibility for the UlvJ ioDUCo 

Middle East. Personal relations 

between Mr. Sadat and Mr. uCtWCCD. til 6 tW 0 
Begin Mere poor to the extent 

that the Egyptian leader COUIltneS eXCept 
appeared to go out of his way - ^ 

to meet almost any senior q -foil/ 1 in<ac 

Israeli from the Government or (X 1CW 1X11 Co 


^ : -life 




buted to 7.000 years of con- 
tinuous history, often gives; the 
Government the strength to 'defy 
pan-Arab opinion. Up' to- a 
point, if only the biiateral.tfeal 
goes through. E^ypt can _dn it 
again. But the long-term sur- 
vival of Mr. Sadat’s government 
and the success of the Cadjp 
David talks will depend on ihe 
reactions of Jordan and Saadi 
Arabia. 

The role of the former is 
crucial as a potential second 
negotiating partner with' Israel 
over the West Bank. Certainly, 
some of the aspects of the 
Framework for Peace must be 
Tempting, and the mdasdon of 
King Hussein in negotiations 


v/ 

EILAT - 


. S A U.-O. 1 


immediate concern must be with his domestic political 
situation, and to the extent that a peace agreement with 
Israel enhances the prospect of a little more prosperity 
for the ordinary mass of Egyptians, his position at home 
may well be strengthened. 

But Egypt’s prosperity is also heavily dependent 
on the generosity of the oil-rich states in the Gulf, and 
most notably on lhat of Saudi Arabia. The Saudi 
Arabians have been tireless in their efforts to restore 
the unity of te Arab world, and consistent in their desire 
to be helpful and constructive towards the United 
States. They will be reluctant to condemn out of hand 
the results of President Carter's Camp David summit 
meeting. Yet if President Carter and President Sadat 
cannot convince the Saudis that the Camp David agree- 
ments really do offer the possibility of a broader Middle 
East settlement, then the Saudis will be in. a very 
difficult position. 

A great many things were no doubt said during the 
long days of negotiation at Camp David which were not 
incorporated in the final documents. It is possible 
therefore that President Sadat and President Carter 
received assurances — or at least indications — that Mr. 
Begin would be prepared to make more concessions in 
practice than he could afford to committ o paper right 
now. Indeed, it is only on some such assumption that 
one can take seriously the euphoria expressed by 
President Carter on Sunday night. 

Yet it is difficult to dispel doubts over Mr. Begin’s 
real intentions. He may wish to go down in the history 
books as the man who brought peace to Israel, but he 
has not hitherto given any public indication that he 
would be prepared to make those concessions which 
could offer the basis of a genuine and durable peace in 
the Middle East. He shares the view that Israel has a 
historic and religious claim on what he calls Judea and 
Samaria, so it is not surprising that his proposals for 
the West Bank are ambiguous, to say the least. He faces 
no significant military threat from the Arabs, either 
now or for the foreseeable future; a peace treaty with 
Egypt would reduce that threat, and exacerbate divi- 
sions between the Arabs. 

In short. Mr. Begin will need to go further than he 
has hitherto doDe if he is to persuade the Arab world — 
or at least the more moderate countries in the Arab 
world — that there is some serious prospect of working 
out a general settlement. Unfortunately, such 
persuasion will not be easy unless the Israelis talk and 
negotiate with the major participants in the Middle 
East conflict. 

There is no reference in the framework agreements 
to the Golan Heights, so there is little of direct Syrian 
interest for Damascus to talk or negotiate about. There 
is no reference to the Palestine Liberation Organisation; 
and while there is a clear invitation to King Hussein 
to participate in future rounds of negotiations, and 
while he might in principle wish to take up such an 
invitation, he remains hamstrung by the 1974 Arab 
summit decision to nominate the PLO in Jordan's place 
as the spokesman for the West Bank. 

Serious risk 

Hitherto, he has allowed it to be known that he 
would only reassume Jordan's historic role in relation 
to the West Bank if the Arab countries were to reverse , 
the 1974 decision. The Arab League. -headquartered in 
Cairo, has for some time been canvassing such a 
reversal, on the grounds that Jordan would be a more 
acceptable negotiating partner to Israel, for the pur- 
poses of securing Israeli - withdrawal from the West 
Bank. But the predictable reaction of Syria and the 
PLO to the Camp David agreements makes it unlikely 
in the extreme that tomorrow's meeting of the hard- 
line Arab states will do anything to encourage Jordanian 
negotiations with Israel. 

In conventional military terms, the hard-line Arab 
states are in no position to force Israel to improve on 
its present proposals for the West Bank. The only 
power which can exert such pressure is the United 
States, since its economic and militarv generosity 


The limitations on the success — President Jhnjny Carter at the signing of the Middle East emphasise tte isolation X f ■ b a R A T5 1 A " 

of the Camp David talks are “framework for peace" agreement, September 17, 1578. President Hafez Assad -'of. ^ f . I • • 

those that have always been - - - „ - Syria, and reaffirm to the PLO \ \ I - J 

present. Ever since Mr. Sadat the Palesti ni a n s the view \ ' \ 1 • / ” ^ . 

travelled to Jerusalem he has decide on this issue within a is to be ended, there held by the U.S. that last V V J / _ 

sworn that he would not con- fortnight. undoubtedly will be concern summer they missed their best \ 

dude a separate bilateral agree- in shifting his position on the about . A ^ , level „ of _ Israeli chance yet to be inctadel . A */ ■ / 

ment with Israel. The real aliases and nn^ihlv The secun,y deployment Two con- Hitherto, King Hussein Jias A 

breakthrough will come if other po I 5S ‘° -’ tentious issues in particular are been able to stand back fro m \ *■ 

Arab -leaders — notably King seltle “ ent s in Srnai. Mr. Begin not mentioned. negotiations thanks to the reso- 

Hussein of Jordan — join the has raade considerable conces- *jh e first is Jerusalem. The lution passed by - the Arab . ... , . . . - O,; 

negotiating process and if Saudi sions from earlier positions. Io- eastern part of the city and its summit in Rabat in October Up tacGcs , ” th which to con- Lebanon, where Svrra con- 

Arabia gives its tacit approval, deed, they may well be un- immediate environs " are the 1974. • 1 ■ • .front Mr. Sadat s initiative, tributes' about 30,000 troops |o 

Both will have to face decisions acceptable to many Israelis at only areas captured during the Saudi Arabia, as nmcfi as ^tiierto this “front” has form the bulk of the Arab peace- 

which they have been ducking home. However, the real prize 1967 war which Israel has. Jordan, has been loth to eon- lacked coherence. mainly keeping force there. After the 

ever since last November. If is that if a peace treaty were according to its own laws, front the problem which the because of Iraq’s refusal to join second Sinai agreement, the 

they conclude, as have Mr. signed within -three months, formally annexed. The combin- camp David agreements hive i n anv arounine which includes acute differences, in the Arab 

Sadat s most active opponents, Israel would have achieved one at ion of building and the shift produced. Characteristically L - , L * ‘ . world were to some extent trans-' 

Syria and the Palestine Libera- of the fundamental aims of its of Jewish population into the there has been no official res^ Sym: 8bo D€Cause lts pm,cl - f erred to, and. fought out iir,- 

tion Organisation (PLO), that Middle East strategy: prising city has in practical terms ponse yet. When Mr. Sadat hark back in ^ >Lritvt0 the Nasser Lebanon. If this happens again, 

the Framework for Peace in the Egypt away from the other made redivision hard. For wen; to Jerusalem, the Saudis era * whea an y form o£ contact there is the» additional risk. 


agreement concluded between ^“good'a'deaT ^ he couldfor contemplate joint admimstra- ^AhdiSS? ^ ° f D - Weiilh'ee to "test foTaTperiod •. 

srae 1 and Egypt in September lhe *West Bank and the Gaza tion of Jerusalem. But it of ^id whkh ffie oS S S ? 5 ^ sJgn ? d Shdat-.'WHild-tod it . - 


two sides have been, negotiating m uie enn it proMDiy gives remaining under Israeli from Washipgton towards ^ h /^jermore 5 >yna with lsrae a. 
at various levels about the more ammunition to those who snV p rpi . Tntv Moscow— as the first stase in ha5 * re3ected a negotiated p PS , rnfl u rn *t have 

problems of security bilaterally have suspected all along that * a of . povernmental Israel, but sees a ,,7?® M 2?_ ^“Jt^SSinrtnn 

since the closing stages of the Mr. Sadat would, in the end, The second issue concerns the chan „ es wK i ch mi^ht sween 5011111011 35 coming through the undoubtedly got the Egyptum- 
1973 war and have developed conclude a deal which covert ^ est Banf ' settlements. For a( j__ th -_b world P UN under .the auspices of nay ' ^* rae [ 1 . ta ^ " olll g 


Mr. Begin the West Bank is 


aniinderslanding andrapport. solely Egyptian interests. Mr. Begin the West Bank I. “7^ ^ , lutio^/SealU^r thrawn 3 

not to mention sheaves of posi- The superficial evidence for Part of historical Judea and wTth ^^i flthdrawar and A soiu- ^u^ Arabi^But th!? 

Uon papers, covering almost this conclusion lies in the facl Samaria, where Jews have the ans uish a t what Ihev see ^ Uon tO.tho P^eStinian “ref J igee” ^“? ^ l !l ® U ‘ j ^ . 2S “^ 

every aspect of Sinai. Since that there is no apparent link- right to settle and stay. Hut Mr. Sadat's -latest trekch?re ro P^bleni^ ' and 3$8 (which ? uarlers JJ® 

last November the outstanding age between the two agree- Palestinians remember how, the Arab world. Together with ^ ndorses ^42, and sets up. the dangerous deaeration and dis- 

probleras in Sinai have been ments reached in Camp David. before ^ crea Tion of the State Libya, Algeria . and South p 0 a« omlerence, where appointine n t ^ otJierSi if the 

the question of the two new The agreement is also notable 0 f Israel in 1948. settlements in Yemen they have formed the P? , - Vr - 30 J ne bo ” et outcome in the end is the con- 

Israeli air bases and the settle- more for wh ?t it omits than Pai^ung became the starting “ steadfastness front” which u “on would be co-chairmen), cealing of a bilateral agreement 
ments. 11 melons. There bas . . has met at Tripoli and Algeria Tie isolation of Syria and the under, an arrangement which 


The first of these 
settled and Israel has 


MEN AND MAHERS 


Moving with the rather faceless name of 

moving wun Continental Bank House. 

the Times Their Anglophilia seems un- 

„ ... y , affected by continued trouble 

Foreigners living in London ^th the Post Office telephone 

tend to become more English engineers, wbo in July blacked 
titan the English, and Ameri- work on the building after the 
cans are no exception, seeming ne w switchboard was connected 
as solicitous of our heritage as ^ a senior GPO manager, 
if their ancestors had never set 

foot on the Mayflower. ■ 

One U.S. bank has even taken • .. 

the very English step of enlist- KGSlIlty at DSy 
ing the help of the local MP. in The Jimmy. .Anwar and 
this case Peter Brook, Tory MP Menahem ’ spectacular on 
for the City and Westminster, Sunday night came at a most 
South, to try and preserve the inconvenient time for the three 
name Printing House Square H - S> - television networks. Sun- 
for the new headquarters of “Sht is ratings night and 
the Continental Illinois Bank. news of the future of the world 


i§£ 


, The rest is to be paid over three 
; years, seemingly from income. 
: Howard Fraser, who is taking 
' ever from Michael at the end 
of the month, tells me that his 
* predecessor will continue to 
work on a part-time basis. 
r Retirement can be tough. 


Fresh lease 


J.BWC 

* 0 ? 




‘Where does one find twelve 


Six months ago Eric Frye was -r*f • r . , , - 

£ 5 Tweare various ways of obtaining 

information about a company-but 

chairman Sir John Clark, wbo for the complete background ; 
Now, Frye is leaving for a 2T1 Extel Card gives a quick 

' •• and respectable answer. 


But a GLC sprfeesman 'tells 7^. “ » - ™ D,e 
me the bank was on a hiding was in outer space with 
to nothing as the council, on a ®®ttleship Galactica, ■ a Star 
“ one-off " basts, agreed some . ars spua-off. CBS was deep 


a considerable irritation. ■ . . * month-long business trip to 

swd men and true without Attiot ™ anri 


TV sets?” 


America and fresh directorships 
are beginning to roll his way: 
the first was with H. Brammer. 


time ago to allow the name to “ t0 . a . lon g Emmy-a war ding way which satisfies him, his ansm ]? s, p n belt 

travel the mile or so up to sessmn from Hollywood, while d th ^ f “J h ® teIls rae that others 

Gray’s Inn Road, where the NBC was playing a trump card “J “ e ^y. . 

Times is now ensconced in new — the remake of King Kong. England and this despite the And his retirement . Frye 
premises at New Printinc House Viewers were snared all hut Bank ’ s limit of °n that tiiere was no con- 


nvrhinu wh«-h minht i„Ai. hua ir ° — . — , ■ . ^uunvs,, lasers, anu sunup aeajers snarenoiaers iuiow woax i mean." ne says. 

ipI In f hp nr-inf^Jdo^ ^ me rheloncally. King Kong's lnieresting ascent have still to be consulted, as Financially, it certainly went 

■ t £? HS c Yt’ mnlpfl hprp If T p« 2*“ ^ 'IJ** Wor,d Trade Centre. The will happen next month. ' weU. £149.796 was paid into the 
mg out to President Sadat, moved here. If tbere were two old pre-television saw remains . pension fund to tan un hi« 


a confrontation with Israel. In the propaganda war, 
Mr. Begin has been losing out to President Sadat! 
because of his apparent intransigence on the central 
issues; he will go on losing unless in the coming months 
he can show that there is more to the Camp David 
agreements than appears at first sight. 

The most serious risk is that the Camp David 
agreements could precipitate another vicious spiral of 
violence and counter-violence. The PLO has made it 
clear that it will do anything it can to torpedo the Begin- 
Sadat agreements, and that could include a new wave 
of terror. At the extreme, there is the danger that the 
PLO could put a match to the Lebanese tinder-box. with 
incalculable consequences for Israel and for Syria. 

Meanwhile, it will take a little while for the leaders 
of the Arab world to get a fuller picture of what went 
on at Camp David. The more moderate of them may 
come to feel that President Sadat may have performed 
a useful task, inasmuch as the revival of the negotiating 
process forces Israel to show more clearly ,its true 
position, and may— just may — lead to the tabling of 


movea nere. « mere were two old pre-television saw remains ^, hp tranwptinn 'i,**- Pension fund to top up his con- 

gffltsait bSS-S? TSSS^S^^S. 

?r n d d SSLSSL ESf-JE 5-SL£'3J£^ - 3S S“ ,ea ™ gPIes£ey 

old building. So I should think " . r 51 . 15 not th el1 ldea of FFr706, 000 (then £82,9611 for S ' ' 

it was to their advantage.” e Ibion - a house at Cagnes-sur-mer. This 






Mm 


Extei eafds can save you a mass of "reading, research 


west German subsidiary, paid waff iooiTO ^ PIessey | tirn&. expense and trouble.They give you the complete 

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FFr706,000 (then £82.961) for 
a house at Cagnes-sur-mer. This 
was to be used as a base for 


iAi? s SM-rtSiTU: Tower with a t 8 .^ "“° n c ° ncise ' thoroush ' accurate and 

SS£S“-u!5& Foreign Posting ' ' View ' ^sauthorrtativ 9 sen/icM.bover q uatei and uiJ 

booklet abont Se hWo^i S T ® fJOSXing n n0 lo „ er ^ V,eW . quoted c^mpani&Sin Bnrain, They are availabla as a-J 

site and its connections with ^ “ e ,^ r Cagnes houreand SchaeL who A Waiter ^ the rtUHomly- Wfiofeo^njjatt, OPG-off Or 3S a.COntinUingserVice^; 

Shakespeare and Ben Jonson, “ doUar witb his wif(J had a ben ” fi * ' , «Penave restauraid in the Why ript contact Extel today for full details.? • ?: 


a shop in Monte Carlo. 

It no longer required the 


view 


onarespeare ana Men Jonson, ~ with his wife had a beneficial SIS' » 

among others. One historically-. ^Bank of i nteP est as trustee ofthe house E * ffe J 1 . Tower was chafed to 

minded executive pointed out to Iun f t *i rons - But a usrful for- to purchase it at its * ee . th e -same customer come 

me that the name Printing ““** for smoothing the process current mar L- eI value— assessed J 3 ,? , five ^ running. 

House Square pre-dated the has J ust been evolved, albeit independently at FFr 700 000 or Monsieur fflu st appreciate our 

Times anyway: “But we tried apparently unwittingly, by ar^r.iw.uwor cuisine.'’ he smiled. “No” 

very hard and they wouldn't Albert Michael, the 67-year-old ' replied the diner. u IPs just the 

give it back,” he said. chairman of Stanley Gibbons. . Th ? Ban | J of England says one place where I don't have to 


position, and may— just may— ieai 
further concessions. But there is a long way to go 
before we shall be in sight of peace in the Middle East. 


The Bank of England says one place where I don't have to 
that its limit has to be adhered see the Eiffel Tower.” 


So the staff of the facetted His purchase of an £83.000 to but Michael is on l v oavln- ‘ 
£12m offices at 162 Queen Vic- house on the French Riviera half fl? Jri!? to 

tona Street must put up with seems to be taking place in a Stanley Gibbons immediately. . 


Observer. 




Ml 




§? & 9° m 









Tmancial Times Tuesday September 19 1978 


^1-rW 


FINANCIAL TIMES SURVEY 


Tuesday September 19 1978 






U.K 


I 



1 





For all the benefits of North Sea oil revenues and of wage restraint, 

Britain’s economy remains delicately poised. The increase in consumer spending 
power resulting from the partial recovery this year has yet to be matched by improved industrial output, 

leaving the financial sector still very much at the mercy of latent inflation. 


HE UK is currently experi- 
ncing, if not enjoying, a 
onsumer boom made possible 
urgely by the direct and 
jdirect impact of tbe build-up 
f North Sea o3 production, 
iter more than three years in 
'hich real incomes were 
}ueezed, and consumer spend- 
lg and output were sluggish, 
lere has been a sharp recovery 
ince last autumn. _ 

Living standards, as measured 
y real personal disposable 
i comes, rose by 7£ per cent in 
ie year to the April-to-June 
eriod of this year as a result 
oth of earnings rising twice as 
ist as prices and of the large 
uts in income tax last autumn 
ad this summer. This rise has 
ffset the earlier decline in real 
icomes and has been reflected 
2 fast increase in real con- 


timer spending — up 5i per cent 
i the year to the second 
uarter. 

This - increase in demand has 
) far been only partially 
: eflected in a recovery in indus- 
rial output since there appears 
. .). have been a further rise in 
:; '3e share , of the UK market 
;rken by. imports, notably of 
' ime semi-manufactured, goods. 

here has also been a break in 
-~ie recent steady , expansion of 
■ sports, which has iialted and 
reversed the previous 
—decline in the UK share of 
--’odd trade. Recent evidence 
'-as been more, encouraging 
boot a rise in industrial pzio- 
-• motion, while manufacturing 
: japital Investment has been, 
.ecovering strongly. 

The ISmontii rate of retail- 
- -rice inflation has' fallen to less^ 


than a third of its level of three 
years ago and is now broadly 
in line with average levels 
abroad. Tbe current account of 
the balance of payments has 
also improved, and while not in 
sustained surplus — as hoped and 
expected earlier this year— the 
underlying trend is around 
balance. Domestic monetary 
conditions have varied consider- 
ably in the past year but the 
rate of increase of sterling M3, 
the broadly defined money 
supply including cash current 
account and seven-day bank 
deposits, appears to be running 
comfortably within tbe official 
targets. But this has only been 
achieved following tbe credit 
squeeze package of early June 
which, by reimposing the comet 
controls on banks arid raising 
interest rates, remedied some of 
the deficiencies of t ho budget — 
at the expense, as usual, of the 
private sector. 


1& per cent in the last 12 
months. 

Yet an opportunity un- 
deniably .exists at present to 
improve the UK’s performance. 
This is because of tbe con- 
tinuing build-up of North Sea 
oil and gas production. These 


been absorbed by tbe expansion 
of domestic demand. This has 
attracted in more imports and 
left the current account only 
hovering around balance. The 
Government’s tax receipts and 
royalties from North Sea opera- 
tions — only a few hundred 


remains slow by previous stan- 
dards, restricting the scope for 
an expansion of exports. This 
means that in spite of the ex- 
pected rise in the North Sea 
contribution for the next few 
years, there are limits to the 
rate of expansion in the UK 


around 8 to 9 per cent during 
the phase three policy of 1976- 
1977 up to a rate of between 14 
and 15 per cent in the last 12 
months. Because of the usual 
time lags this pick-up bas not 
yet worked through to prices. It 
has anyway been partly offset 


Not yet the miracle 


living standards was “welcome 
but further improvement will be 
sustainable only if it does not 
attract excessive imports and is, 
on the contrary, accompanied by 
steadily rising production and 
exports and, in due course, by 
a full response from productive 
investment. The scope for 
fostering growth by demand 
management is, in present cir- 
cumstances. limited by the con- 
straints imposed by inflation and 
the balance of payments." 


moderate fiscal expansion may 
be limited by monetary con- 
siderations, in turn linked to 
inflation and external worries. 
Indeed tbe Institute argued 
that such target would need to 
be set fairly generously in 
1979-80 to allow for the needed 
expansion. 


Conflict 


By Peter Riddell, Economics Correspondent 


Reminders 


This list of encouraging indi- 
cators— at least by the standards 
of tbe last few years— does not. 
however, mean that the British 
economic miracle has at last 
arrived. There are still all too 
many reminders of the UK's 
long - standing structural 
problems — the rapid growth of 
imports: the well-known . diffi- 
culties of the steel sector and 
British Leyland. a historically 
low rate of profitability and, 
underlying all else, a very slow 
rate of growth of productivity, 
Output per head in both mairiu? 
factoring and elsewhere in i.'tBS' 
economy has risen by only about 


operations have made possible 
the current consumer boom, 
mainly by their impact on the 
current account of the balance 
of payments — up from £lbn last 
year to possibly between £1.7bn 
and £2bn. This has allowed the 
economy to be run at a higher 
level of activity than otherwise 
and has also raised real incomes 
by boosting the exchange rate 
and thus reducing the rate of 
inflation. 

The use of North Sea 
resources has been widely 
debated in the UK over the 
last year with the Government 
itself making a lame and 
platijudiuous contribution with 
■ a White . Papcr. : in March. In 
'practice.- however, the initial 
Jbaiauce ol payments impact has 


million pounds this year — have 
been distributed again in the 
form of income tax cuts, rather 
than used to reduce public 
sector borrowing. This is not 
to argue that the North Sea 
bonus has in any sense been 
squandered; the decisions were 
conscious, if not explicit, that 
consumer demand should be 
boosted by tax cuts in order to 
get the economy moving again 
after years of stagnation. 

Yet the euphoric and un- 
realistic hopes of a year ago 
that the UK might be free of 
a balance of payments con- 
straint for several years have 
proved false. This is not only 
because of the evident rise in 
import penetration but also be- 
cause the growth of world trade 


without a return to deficit. Tbe 
policy up till now bas been that 
the aim stould be for at least 
balance on toe current account. 
This has been partly to create 
the right market conditions for 
the continued implementation 
of the so far highly successful 
policy of- rephasing the UK's 
large overseas debt burden. 

Tbe other constraint which is 
all too clearly still with us Is 
inflation. The achievements of 
the last three years should not 
be underestimated; the current 
12-month 'rate of retail price 
inflation' of. between 7} and 8 
per cent reflects the impact of 
pay restraint and the strength 
of sterling- over the last year. 
However, . the Tate, of pay 
increases ’has accelerated from 


by the recent favourable trend 
in import prices and also 
-possibly by a squeeze in 
domestic profit margins in face 
of overseas competition. 

Nevertheless', the underlying 
trend of retail price inflation 
has been edging up in recent 
months and the expectation is 
that the 12-montfa rate will rise 
slightly later this year. Whether 
this rate returns to double 
figures later this winter or next 
spring is still uncertain and is 
dependent both on pay rises 
'from now onwards and on the 
level .of the exchange rate. 

A cautious view of the out- 
look' and the possible response 
was given in last week's Bank of 
England quarterly bulletin. This 
commented that the recovery in 


A guarded tone has even been 
taken by traditional advocates 
of expansion such as the 
National Institute of Economic 
and Social Research. This has 
suggested that, at best, the in- 
flation rate is likely to be around 
10 per cent a year and the real 
economy is likely to be stagnant 
with a further rise in the 
already high level of unemploy- 
ment. The Institute has said 
this clearly calls for a “signifi- 
cant measure of reflation." It 
has argued that up to a point 
such moves need not be con- 
strained by the balance of pay- 
ments but then noted the risks 
concerned with the interaction 
of the exchange rate and rate 
of inflation. 

After arguing the need for 
a pay policy and suggesting 
that direct tax reductions 
should form a major element 
in a reflationary package, the 
Institute concluded that the 
“ fact remains that, in the 
longer term, the UK faces 
apparently intractable prob- 
lems in reconciling high 
employment with balance of 
payment equilibrium, as well 
as in curing inflation." 

But the scope fot even 


It is arguable that the 
authorities have at present only 
succeeded in postponing an 
underlying conflict between their 
medium-term fiscal and mone- 
tary goals. Although most City 
commentators believe that tbe 
rate of growth of sterling M3 
should be kept within the pre- 
sent 8 to 12 per cent target 
range in 1978-79. the recovery 
of the economy has clearly 
pushed up the underlying de- 
mand for bank loans. In the 
next financial year many 
economists expect that the 
public sector borrowing re- 
quirement will rise, even on 
the basis of present policies, 
and this could conflict with 
industry's need for funds. 


Indeed there is a case for 
arguing that the 8 to 12 per 
cent monetary target should be 
reduced in order to be com- 
patible with the Government 5 
per cent pay guidelines for the 
wage round now beginning. But 
even if only a modest decelera- 
te i in the monetary targets Is 
planned for 1979-80, there is 
little scope for significant fiscal 
expansion, and hence unemploy- 
ment is unlikely to fall far 
below its present level of 
around 1.4m. 



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Financial Times Tuesday September ^19^ 


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THE BRITISH Government has straightforward. The reasser- ling crisis in which domestic But the short-lived, rise of Even among non-monetarist „ 
over the past couple of years tion of control over domestic concern about the impact of the -the pound up to nearly §2.00 there has been increased scept; ^ 
had to learn the difficulties of monetary growth and the inflows on the growth -oT (fie for the first time since March eism about pursuing a devalue ' 


both upwards and downwards, standby eredit and the Basle problem. of the recovery of the dollar impact of higher import price 

This has presented the auth- safety-net for the official ster- but the optimism about the UK on domestic wages and price 

orities with the acute, and ling balances, combined to economy receded, especially .as comes through more rapid! 

occasionally the irreconcilable, produce a recovery in sterling. 01*000 ... the current account moved ^an previously. But there i 

dilemma of how simultaneously After an initial sharp rise m . • back into deficit. Market un-. considerable concern am on 

to retain- stability for its own the rale the authorities inter- So the authorities were forced certainties were aggravated by economists and poiicvmakPi 

sake, to retain control over the vened to prevent a further at. the end of October tn abandon doubts over the compatibility about the impact ‘ 
growth, of the money supply appreciation because of concern stability and competitiveness of the fiscal and monetary valued pschanee ra-* ^ 
and to ensure that British goods over competitiveness and the and “nhezp” the rate. The stances taken in the mid-April CQmbe tiu V eness of nr 

are competitive. danger of a later decline. The initial results wfere undramatic, budget and by the relatively u± BnUi 

These pressures have led to pressures did not abate, and though upward pressure on the rapid rate of monetary expan- - . 

a succession of different inter- indeed intensified as the dollar rate built up again around the sion. The result was that much -Jf , wn a *““3®® 
vention policies since early weakened sharply from the New Year in response both to of the inflows attracted when consineranie controversy. , n 

1976 as one or. the other of the summer onwards and the cur- an almost euphoric series of sterling was being held down m view of the difficulty 

objectives is treated as para- rent account swung at last into assessment of the British during the summer and early establishing an agreed and cle 

mount Now a further twist has surplus as North Sea oil output economy and to the further autumn of 1977 flowed .opt to competitiveness. R 

been added as discussions in- rose. . weakness of the dollar. ' Con- again. example, although the UK 

tensify on proposals for EEC The. result was a steady— and. sequentiy by the end of. 1977 The initial response was to unfavourably placed now 
currency stabilisation through in October massive — inflow of sterling was 21 .per cent higher allow a sharp fall in the ex- terms of relative export pric 

a European Monetary System, foreign currency into the re- than its worst days hi October change rale — down by 5 per compared with 1974-76, 

or EMS as it has already been serves, which after, ignoring 1976, while the . trade-weighted cent during March against the retains a competitive edge 

inelegantly christened in White- official borrowing, rose fay index against a basket of other trade-weighted index — biit the terms of relative normal ui 

hall jargon. ' $4.8bn in the two months. This currencies was 14 J per cent up UK authorities later inter- labour costs, the measure 'mi 


narrative 


fairly produced an almost self -fulfil- on 14 months earlier. 


Monetary Policy 


Back to the corset 


vened and restricted the depre- favoured for comparison by i 
ciatinn to less than 1 per cent-. IMF and - by the Brit: 
in April at the cost of a $2.21 bn Government, 
underljlug outflow from the 

TStt. pressures then blew AlUblgUOUS 
themselves out, notably follow- Official policy remains a 
jng the early June, credit, biguous on this point T 
squeeze package which included tvTrite Paper on the use 
a rise in interest rates and the Nortb Sea resources said 1 
reici position of the spelled Government would do -ere 
corset controls on the banks. 


thing it can be ensure that i 


- . The improvement in the; current excSnge rate leaves indus 

THE PAST 12 months have Without a dear pattern the speech- The main uncertainty 11 whltetfu? rSffSS' competitive • in terms of pr 

been packed with incident as London and Scottish clearers introduced with the Budget was . ^ ^ dollar aaa'in c° m PatibJe with the a 

far as interest rate movements -raised their base and deposit the forecast for the public: sector ' , erlinB UD to S2 oQ^the of returnin 2 to full empl 

and monetary policy are con- rates by varying amounts. lea v- borrowing requirement Initial ' d ha _ remained much ment ” This is certainly* i 

cerned. Minimum Lending irig an unusually wide spread feelings that this was not com- J* . many senior Treasi 

Rate (MLR) . feU steadily in both — from 6.75 to 7.5 per patibie with the new .rolling. Shiite offidals - *>«■ in practice it 

through 1977 from 14.5 per cent cent. in base rates and from 3.5 target of 8-12 per cent for £^%ntiy slightiy above its *WlW subject to the i 
at the beginning to a low point to 45 per cent in deposit rates, expansion of M3 became wide- ^ S£ end < of 1977 against P act of market pressures a 

of 5 per cent, m mid-October. 'After a fall in MLR to 6.5 per spread after a few weeks. This ** ‘f 1 ® e ™ a °\ iiri' monetary objectives 

This was the lowest since MLR ce nt early in January, however, gave rise to the opinion that the dollar, it has fallen by* per “ «anr oojecaves 

replaced Bank Rate in 1972 and base rates were all reduced to interest rates would have to rent a?a f nst rates not nnlv t 

Bank Rate itself had not bee* .SRJSrtMd deS*it rites rise and led to the. institutions fw cent again** the 

below 5 per cent since 1964. - to 3 ^r rent. holding off from buying .gilts fra ? c *“ d ** IS * Ceut £■ L 

Since October MLR has risen The effect on sterling of the after the 1995 tap was exhausted against the Japanese Yen. auestianSe whS’ 

to 10 per cent, bat the increase October derision to albw. freer on April 20. fluctuations in the rate 

has been by no means smooth, floating was not as dramatic as Interest rates did indeed wouM^now adopted after 1971 has°prw 

and took m on the way. — in expected. The sterling/dollar shortly afterwards, with MLR P reia ^*o ns but there would now . , , p 

May - the ten^tion of the S^efrom SL7772 to 31JS630, increasing to S.75. per' rentSn 'poli^l ® 

use of a market-Wated formula and ^ trade-weighted index May 5 and-to 9 per cent a *eek SL underlying -Bam .are A, w 

for establishing, the level of from 62.5 to 65.1. Seeding then later, .. However, thjs -wy** -^Svc- rat?? tjSneterl — eaiiy next vcw 

“Sf* , a • • . weakened on profit-taking., and enough to persaade* the institu- iL ra t )? . some kind- of grouping of Cc 

The key influence on rates 0 a the unexpected news of oppe- tions that it was worth buying fS L? 1, »— JjLS mon Market currencres T 

has shifted between three fac- sition by the National Union of gilts. A vicious circle ..now was givei^a b7- m 

tors in the period. In the early Mineworkers to productivity developed in which the institu- forward — rather unexpecte. 

part rates feU under i»essure agree ments. By December the tions’ failure to' buy gilts was so for the British— at two E 

of demand for sterling, the prime inflnence on international reflected in a rapidly expanding beads of governS mretit 

value of which was being held currency markets became the money supply which convinced iffu 6 ^ earlier thS vear - 

down by the authorities. At doUaT , and sterting has re- the institutions that the few ni 0 nths o£’19M , 

the beginning of 1978 there was mainpd vprv much a side issue authorities would hare tn hnrh m the structure of raprtaTfltiws • :• i.®,”!®?* ?“ 


supply and balance of payments 
figures: 

This concern pushed - rates up 


thei beginning of 1978 then was mained very much a side issue authorities would have to both toe.^ctureof caprtaTflbws 

a change of sentiment, brought sioce increase interest rates and prt) . can. cushion, other pressures. , nt attemifbv 

^DD^anJSJ^paymente - ^J ce a P acka "? t0 ,nake the Monetarists would argue that jenkins the President 0 F i 

supply ana oaiance or payments borrowing requirement compal- these influences are the crucial pp r rommis-tjinn tri n™- t 

X^cccem pushed rates up AdVerSe *e M3 tenets. ~d^t 

in the ne^ two ruonths s^tr- br 3f 

sss?* j-srss KSgsais saaafftWKs t * & 

at £8 5bn for 197^79 fte Insti- sterling. The Bank of England related' formula for MLR had *- la Wr0I1g to be conCfrned the more -eneral dSe 
mtio^ betieved to ’ te incS- c | ted ^ree factors in the de- been terminated and that the Jbhut competitiveness a g™ 

SSe“ with the money supply clme of confidence: an apparent rate would be held at 9 per cent way: redu J tlon exchangTra es deternuoed 

targets. The resulting <Ut 3S weakening of the current until changed by administrative market forres ratiier ^ 

famine led directly to un J* 00 ™!. P<>» Itlon » wojnes ;over fiat. A1 the same time the Chan- mSrttS tical dictat. 

economic package in June. 1116 future course of inflation cellor reaffirmed his undertak- response to market p 0 j IowinCT Bremen 
By autumn 1977 the financial and increasing unease over the ing to the International Mone- pr ^ zr S^lt°H tWeiel1 aH J’- SU ?’ mit officials and Finance Mi 
position of the UK had been trend of monetary aggregates. A taTJ Fund t0 keep ^ borrow . posed^ comitetitiveness advant-^ 'Sli taw tin wnrw5?to i 

transformed and there was con- current account deficit in i the ing requirement to the forecast ? ? tc ’ duce detailed proposals’ in t 

slderable optimism about the first quarter of 1978 of £30om £8.5bn. These two measures had the lnflatl ?P 'for another head* of nov* 

sasa-iw “ 2 in e — * 3i1 * « =?sw?a rSHS 

smssA tar s « 1 jxsssz ?ass -- »— * 

SSSfliSiS — 

out running into immediate of the financial year, to have tofreSSrentrils on the * lo aUow outflows to ahVmt how 

trade deficit problems, as it so been more than 3 Percentage ' j f he - e offset the impact of inflows pri> Lp.u th J . ’ , - 

often had in the past The- points above the higher limit ^^]jf biI ^e S wa S re a 4 duced; for example, by a current 

feeling was reinforced, by the of the 9-13 per rent target account surplus. There was a 


current account surplus in the range. surcharee was raiwd S 5 nninu t*my minor reiaxanon of ex- 

Th. P «a»*.w M «acto.t.« 8 ^ Decpmber. X i 


fairly minor relaxation of ex- 


larters. jh-- £1 t, n : t k ana mere is anyway uncertainty 

The improved - picture cent announced by the Chan- n . , r ' about the size of the outflows 


resulted in heavy demand for cellor in his April 11 Budget 

sterling. However authorities Ip ■■■ ■ —■■ ■■ ■ 

pursued a determined policy of 
holding the exchange rate 
steady in trade-weighted terms. 

This policy was aimed at keep- 
ing British industry competitive r T r 1 TT 

in overseas markets and it I ilG 

resulted in huge inflows onto • 

the capital account, a record ■ . 

low in MLR and an expansion- Jfl T0 

ary impact on sterling M3. By 
the end of November the 
reserves stood at $20.39bn l only 
a shade less than four times the 
level at the beginning of 1877. 

The external inflows put the 
rate of increase of M3 outside 
the target range of 9-13 per 
cent adopted for the 1977-78 
fiscal year. So on October 31 
the authorities announced their 
decision to allow the exchange 
rate to float more freely. This 
decision reduced the contribu- 
tion of external finance to M3 
between November and January, 
by about half, compared with 
the previous three - month 

period. In this period* the mar- MAIN U.K. BRAI 

ket took the view that with M3 
above target and the easing of . 

tiie inflows interest ra^es. had Birmingham Branch: New Ox 
fallen further than was now Bfrminah 

appropriate and. enebnraged by 

the Bank of England, MLR in- Bristol Branch s 37 Corn 
creased 2 per cent towards the •*’.'. Tel: (027 

end of -November to 7 per cent. . Mjl . ■ ~ Rr . , « a .„- 

This Step was followed by a Manchester Branch . 28/32 Foi 

period of some uncertainty, par- ”^ e * : 

ticularly for the clearers. During 

December there was a tendency 

for rates to ease and the Bank 

had to signal several-times that 

it wanted interest rate-stability. 


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Investment in Industry 


Wilson hearings prove 


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THE MONSOON rains are question now is whether its 18 
probably a poor time for study- members can keep up the 
mg water shortage. In this momentum for the further trine 
sense it is unfortunate that the months or so that it is due to 
Wilson Committee to renew the run. The Committee seems to 
functioning of the British have become almost as much an 
financial institutions has institution as the bodies it is 
operated over 20 months during studying. . 

which there has been no short- Taken as a whole the volumes 
age of liquidity in the banking of .* oral evidence” published 
system. Unfortunate, perhaps, qj *jj e Co mmi ttee have not 
for the seeker after truth, but broken much new ground. Tin 
probably fortunate for the City best output has been :tfce 
in political terms. specialised reports and it is here 

The Committee was conceived that the best prospects for 
two years ago when the British future interest lies. v r.- 
financial system was under — n 
scrutiny by the Left as a pos- TntmPTIPP 
sible contributor to Britain's 

economic malaise. There is a Sir Harold Wilson regards the 
widespread feeling that it was rise in the influence of ‘ the 
established by the Government pension funds as one of 'the 
to assuage the calls for nation a- most significant developments 
lisation of the banks. If so, the on the financial scene since the 
Government's timin g was inma- publication of the RadcUffe 
culate. Nearly all the evidence report 20 years ago. He has yet 
that subsequently flowed into to spell out exactly what : ilt 
the Committee told of lenders effects he perceives in this rise 
hungry to lend and companies but has made pointed comments 
whose unw illin gness to . borrow to the effect that the funds “ do 
had nothing to do with the City not know how powerful they 
at alL are” that Westminster and 

Yet It would be wrong to Whitehall have not got this 
deduce from this that the message either, and that ‘the 
enquiry has resulted in a fortni- nationalised industry pension 
tous whitewashing job. In the funds, in particular, are effect- 
first place it would be strange ing a creeping nationalisation of 
if industry had based its industry without anyone realise 
evidence only on the experience ing it 


in oublic. There is a growing proved a stumbling Mock i 
£st of cases where they have several cases,- - - . . 

challenged major decisions by ECI now appears to be in ft 
management with the assertion process of widening ir 3 ow 
in general that such decisions brief to give toetfaJittie mor 
should involve a "by-your- to do. In the flrst place it jia 
leave” approach to the more im- now advertised its" readines& t 
portant shareholders. offer “ cheaper ” equity fihaae 

The Wilson Committee has to the directors ofmedima-aM 
also made a substantial contri- companies. It is offering to fal 
but i o a to the widespread cam- up lines of shares at zhb? 
paign to make things easier for smaller discounts. In doing tbi 
the smaLl company. In its ECI- is developing- from a g* 
interim report on the Financing filler to something more Ui e 
of Industry and Trade, the Com- competitor to traditional sobrk 
mittee discussed at some length of finance. ' 

the problems of small com- At the same time ECU is kna 
panics in coping with taxation, ing speculatively at smalle 
raising equity, borrowing on companies and _ wmateriu 
acceptable terms, having access whether it could .not itsel 
to export finance, finding a suit- develop into an instrument & 
able market for their shares, putting institutional money lat 
and becoming sufficiently in- companies too sbadl to merit ft 
formed as to sources of ass is- institutional fund -manager 
tance. advice and finance. detailed attention. - . 

This discussion provided KCr , 0 ^ dCTeIopin 

additional >mperus r, various gradua j Iy in lhe dlrertJ0B a 
initiatives m the -City and in jnstirution tha t already eriwt 
Whitehall to improve the^smril Hnance for iudustry-fFF^, 
company world. The Budget -**,_._* V 


company company owned collectively b 

provided limited tax breaks for ^ Banic of England and th 
the small businessman. The . c r" u 


of the last 12 months. The wit- The Stock Exchange fbo is 


me small uuunu»uiiiii. Bm i... 

Government moved towards the ^^‘ e o ^ nK 
creation of a guarantee scheme w j 1 j C j 1 provides capital ai 
for bank loans to smaU com- fuzncial zdmce to koudL an 
paniej although with consider- . ^gdium-sized companies an 
able misgivings. The Bank of FC j^ W hich provides metfius 
England produced an extensive finance Ar projects S 

§Ulde fi t n a ^^ rceS ° f Smal COm " companies rather larger Ha 
pany finance. those financed by ICFC. Stef 

Parallel to the Wilson Com- . .L,-., 


nesses would in most cases have worried about the rise of the 
been summarising their big investing institutions. 


experience over most 


though more for the impact 


difficult decade. Secondly, the they have on the viability of the 
Committee set up working share market than for the 
parties to study specific ques- political implications of a con- 
tions One of these, examining centrat ion of shareholding 
the history of the financing of r m 15 years . the 

*?«**?* °}; ““ e “P 1 Exchange has watched the pro- 
powerful tribute to the Citxrs por tjon of shares held Sy insti- 
ability to provide large amounts ^ ^ 26 cent t9 

of finance to strange and risky ^ ^ cect ^ ^ bcW by 

Moreover. u the stud, wo re ^" U |i 5 pe d r ^ r0m ^ 561 
on and its initial miid flavour cent 1 32 C€Dt 
of a potential witch-hunt There is little doubt that tiiis 
evaporated, the City began to oligopolisation of the share 
use the Committee as a forum market is making it increasingly 
for slightly more self-critical difficult for the Stock. Ex- 
discussion. Beyond the small change's unique market-making 
company, which was established system to remain solvent. As 
quite early on a« a cause for the spread of buyers and sellers 
universally acceptable breast- is thinned out the markets tend 
beating, techniques nf bank to become increasingly ‘‘one 
lendins. the possible need for an vs ? ” The Exchange is- also 
" nv-'r-th e-counter market” for worried about the institutions’ 
shares, the investment power of lack of accountability: there is 
ihe pension funds, the question E0 mechanism to insure that 
whether they should be their funds are being invested 
" funded.” at all and their role in a way acceptable to contribut- 
as constructive “ proprietors ” ing employees, 
in industry all became topics of But while on one hand the 
discussion. investing institutions are being 

Even before the Committee accused of distorting the 
had begun Its study of the City's market and of becoming an un- 
tradition of self-regulation. The guided source of influence, on 
very fact that it was due to the other they are under con- 
study this subject added tradictory pressure to use this 
impetus to the efforts of the influence to “shake up” com- 
Bank of England to put a little panies in which they have 
more backbone into these self- invested in the interests of 
regulations with the setting up greater national prosperity, 
of the new Council for the The result is that since the 
Securities Industry. Wilson Committee got under 

So in one way or another the way. and at least partly because 
Wilson Committee has been as of the discussion the Committee 
much a force for change as a has prompted, the' pension 
force for complacency. The funds are flexing their muscles 


In the year to March last FI 


* companies rather laiger 8a 

pany finance. those financed by ICFC. Sine 

FFTs start in 1973 It has eon 
mittee s activities in examining mitled to Brrtis 

the provision of funds for ^nciUr 
industry, there have been the- us T y ‘ 
efforts of three recently estab- J ' 

lished institutions to provide JtvCCOrCl ’ 
such funds. They are Finance ' , J. 

for Industry, Equity Capital for * n y® ar ^ art "k l 35 * 
Industry (ECI) and the increas- invested a record £l62m and 
ingly entrepreneurial National ^ interesting that it had mne 
Enterprise Board. greater success in lending- 1 

ECI was born out of the same small rather than to large con 
sentiment that gave rise to the panies. It found that tt 
Wilson Committee — a suspicion medram-tenn loan busine: 
that deserving companies were “ bad gone mad,” with tt 
finding it difficult to raise faring banks prepared l 
capital. It was backed by the ma f G longer and longer Imi 
investing institutions and set anc ^ ^ us t0 , sozn ® extent unde 
out to discover whether there cu ^ function. For large 
was an equity “gap" where companies it has recently bee 
medium-sized companies, with wry much a borrowers marke 
market capitalisations of On the other land ICFC e; 
betv.'een £lm and £40m. were perienced a considerate 
unable to raise share capital demand for its. funds -last yea 
on reasonable terms .because It made gross investments:! 
they were highly geared and £50m compared with £26m 1 
passing through a phase of low the previous year. This mon$ 
profitability, or because of went to 518 customers — 8— 


technical complications. average investment of £97,000 

ECI has only one full year ^ 

nf : __ j :a ft|| j t,' _ MGSAWDuC tll0 N3uOIl 

of op l rations behind jt 3nd nss « > Pnowi pi» 

not yet dra wn any public con- 

clusionb from its Experience, emmeet-funted, has beprn . 
Yet it is clear to observed, sn “ p _ a * the I ? eete ® 

and probably to its own manage- n ap ?S ! ,0 *!K 

ment that this gap is not a adopted the widest possibl 
major problem. ECI has made *>nef as assort of conglomerat 
just five investments so far and cum-merchant bank, follows 
one has proved a disaster. «P investment opportunitii 
It appears that itSr executives- w* 0 * considerable energy ap 
have been quite rigorous in attracting quite wide publicii 
deciding whether an applicant *° r its ventures. It has teams 
is deserving that is, a viable up with the Midland Bank 1 
proposition. One of ECI’s prob- provide funds to small cor 
lems has arisen from its insist- panies. It has done at least or 
ence that adequate management deal in. ECI’s territory and or 
should be a condition of finan- in lCFC’s.:’ 
ciai support The human diffr- x j.;« «• 

cutties involved here have l\lCilOlaS COlCneSU 


Lending 


Consumers lead the field 


THERE HAS been a significant to mid-August, sterling 
pick-up in bank lending since advances to UK residents rose 
the spring, following a rather by £I22bn. There was a fall of 
more sluggish first six months. £212m in currency advances 
The improvement has run which mainly reflect exchange 
parallel with an upturn in con- rate changes, leaving a net 
sumer spending and net increase of £lbn in total 
disposable incomes. advances. 

The growth in demand for This was appreciably more 
private sector finance, along grovrtb wrlier in ^ 12 
with a public sector borrowing month perio<L ^ugh there 
requirement officially forecast are of gome slackening in 
3t , £85b ° * ** rate i0 ^ ,ast month, the 

^ 

duced^m SonSS,^ ’ftj" 

of whose elements, the so-called Mce h to on th f dire |aon 
conet, was designed to curb „T..Tl 00 ^ 


bank lending. 


Ahead 


In the year to mid-August 
clearing bank lending to UK 
residents rose by £2.Sbn. an 


of lending, the Srst priority of 
which should be industry. The 
first occasion was at the time of 
the Budget and the second on 
the occasion of the June 
package. 

While there are signs of an 


increase of about 14 per cent, increase in lending to manu- 
wbieh was well ahead of retail fa c luring industry the take-up 
price inflation over the same c ^ oes no * appear to be particu- 
period of under 8 per cent- Isriy strong So far. 

In the summer months of Several clearing banks have 
1977 there was little change in recently said that manufac- 

the rate of growth of bank turing take-up of overdraft 

lending in sterling to the limits is less than 50 per cent — 
private sector, despite a drama- a proportion which normally 
tic fall in Minimum Lending rises to about 70 per cent in a 
Rate (MLR) which bottomed year when output is growing 
out at 5 per cent Ia.:t October, strongly. Nevertheless, lending 
There was a hint of revival manufacturers is up signifi- 
last autumn in the fact that cantly compared with the posi- 

the categories of borrower Uon in the last three months of 

which accounted for most of the 1977. when borrowing by this 
increase in clearing bank sector fell 1 per cent before 
advances— agriculture, retailers, seasonal adjustment, 
personal and professional — This means that two-thirds of 

were among those which would the growth in borrowing by 
have been the least likely to manufacturers from the clearers 
have improved their liquidity for the last 12 months as a 
through inflows from abroad. whole took place in the latest 
From then until spring, three months. The increase in 
although the underlying rate of the year was £743m to £6. 1 bn. 
growth remained at about 1 w 'bile the rise in the latest three 
per cent, the decline in the rate months was £51 5m. 
of inflation meant that bank Within the crude total there 
lending began to rise rather were only three categories 
than fall in real terms. which showed any appreciable 

| In the latest three months, up set growth in the first nine 


months. These were chemicals The Supplementary Sped 
and allied industries, up £90m Deposits scheme, otherwi 
in the -first nine months and known as the corset, was origi 
another £27m in the latest ally introduced in June to n. 
three; other engineering and up to the autumn. Later, ho' 
metal goods, up £80m in the ever, the authorities announce 
first nine and a further £127m that the scheme was to rema- 
in the latest three; and ship- in force a further eight month 
building, up £81m and £llm. until July. 

' The corset will come in 
1^ all operation .if the average « 

a bank's Interest-bearing r 
There were three categories sources for the three montl 
with a net fall in the first nine August-October exceed by mpi 
months: vehicles, down £17ra, than 4 per cent the averaj 
textiles, leather and clothing, amount outstanding on tl 
down £20m: and other manu- banking make-up days in tl 
factoring, down £12m. Rises six months of November, 197 
in ■ the latest three months to April, 197S. 
brought the total for the year ^ rate of deposits require 
as a whole in each of the. w}lJ ^ depen^ng on tl 
categories to a -positive figure. excess rate of increase of 
There was strong growth in bank’s interest bearir 
borrowing by the agriculture, resources, 
forestry and fisheries sector, up ^ if - is 3 p 

««»«-■ £- a*" A bf 

year and £I50m in the latest Dpr Rnt if thp marg 

three months. There was also ^ Urii is me ihS 

-fTh^Th „ ‘SSLta! P« cent, but not more than 
borrowing by toe construction per cent then the rate will 1 
Industry, which increased by £ 5 cent. Thereafter tl 

£32m in the latest three months „te Sll bTfiO n?S of S 

'WLttL * £1S f ^ bearing liabiUties. Institutioi 
year as * . with average interest-bearir 

There is some evidence of liabilities of less than £10i 
fairly strong demand for funds will not be liable to pay tl 
for Teasing finance, especially deposits, 
earlier in the year. The cate- 

gory which contains this item, on °SS £,p^ P “f toe® 

«f S £l«m 'to divIded - National Westminsh 

growth <rf £145m to £1.3bn in believes that lending wi 

?h?pp US mnnrhq £5m m s( 5 ueeze below the limits a r 
the latest three months. that, even if it remains a tltt 

Lending to the service sector above, the extra business wou 
was bundled earlier in the year, probably compensate f< 
with - total growth of £85 9m in penalisation at the lower rate 
the first nine months, an annual ~ A different view is taken t 
rate of increase of 20 per cent.. Barclays. In it$ latest finanei 
However, la the latest, three survey it- said: “ Private secti 
months there was a decline loan demand and the pub! 
of £70m. The main reason for sector’s funding requiremen 
this was a large drop in lending will make it difficult for 
to public litilities and .national banks to keep below the cors* 
government, whose total borrow- limits." 
ing from the clearers fell £151m ' r» | 

in the three^aonth period . ' . -. - — . . Lf-I 


ft. 



Proi 


Supervision 


A step nearer licensing and control 


PUBLICATION OF the Govern* 
>• merit's proposed legislation on 
ifhe supervision or banks and 
: ; Ti> deposit-taking institutions in 
..‘July brought a step nearer the 
t introduction of a comprehensive 
= /. 'system of licensing and control 
■< 'in the UK. The proposals, set 
dut in the form of a draft Bill, 

- Tare still open to representations 
.'and discussion by the banking 

' ' industry. But the essential 
. -'details of the new lav/ have now 
.-... been formed, and since the legis- 
v j iation is not «‘nntroversial in the 
v* -political sense it must be 
‘''■assumed that it will at some 
Sja?e go ahead in more ur less 
! present shape. 

V. The new rules will arhievc 
" two main purpnses. First, they 
. will sort out the confusion in 
. ‘the present system of banking 
. .'recognition and supervision 
.’which contributed substantially 
'•to the events leading in the 
^ Fringe hanking crisis or 1973-74. 
-Secondly, hy instituting for the 
"-:.first time in the UK a licensing 
■}' c system they will meet the 
; '--VnhIigatinns imposed hy the Om- 
v ./non Marker requirements for 
-::.the harmonisation of hanking 

- .^supervision while at the same 
.time leaving the Bank of 

•s : Eng!anri considerable freedom 
in pursue its own relatively 
■ ^informal and personal style of 
: "':control. 


Limited 


The Bank itself highlighted 
L:; :the prohiems of the present 
system in its extensive evidence 
on the sirpm’vfcmn of financier 
institutions submitted to the 
Wilson Committee earlier. this 
vyoar. Commenting on the bank- 
v~ing sector, the Bank pointed out 
considerable variety of 
recognitions which existed. 
• ~ Romp of these, including par- 
V ticularjy banking status under 
".section 123 of the 1987 Cnm- 
■/panies Act, applied only for very 
7 -limited purposes and involved 
'• jio test by the authorities of t he 
^quality of the institution enn- 
I .-jeerned. '. Yet they enabled the 
.'.impression to he given to the 
'„."piihlic that their deposits were 
heing placed with an iastilulion 
-ranking among the top banks. 

J In th? wake of the fringe 
“bank crisis the Bank has already 
-'taken considerable steps to 
^lighten its own supervision of 
' : ih»» hanking and? deposit-taking 


institutions. It was able to bring 
within its ambit many deposit- 
takers which previously might 
have resisted control but which 
under the stresses of that 
period welcomed official inter- 
vention. It stepped op the size 
of its own staff involved with 
tills area. The discount office, 
which had previously carried 
the main responsibility for 
banking supervision among 
other tasks with a strength of 
15. was absorbed into a new and 
considerably larger division 
now numbering about 70. 

At the same time the Bank 
has developed much... more 
detailed and extensive returns 
from the institutions imder its 
control, giving details of import- 
ant loans and information on 
profitability. Yet the Bank 
stressed in its Wilson -evidence 
that the analysis of these 
returns was only the first stage 
in exorcising its supervisory 
role. Its emphasis is still placed 
on personal contact with the 
institutions involved and '‘the 
interview is the cornerstone of 
the Bank’s system of super- 
vision." 

It is clear that this approach 
will be carried through into the 
new system when the proposed 
legislation is enacted, particu- 
larly in relation to those institu- 
tions -which are accorded 
recognition as full banks. This 
is one of the major innovations 
of the proposals; to sweep away 
most of the present range . of 
banking recognitions and to 
replace them with a two-tier 
system. Under this arrange- 
ment. the recognised banks — 
likely to include at least all of 
the present total of over 250 
banks authorised for foreign 
exchange dealings — will • be 
exempted frem the licensing 
requirements. 

These bauks, expected . to 
meet certain minimum require- 
ments as to size and the 
character of their business, will 
be the only institutions which 
will be allowed to use the. name 
bank and its derivatives, in 
promoting tiicir services, with a 
limited number of exceptions 
including -the Bank ilself„ the 
trustee savings banks and. the 
Post Office Girobank. In this 
way it is intended to eliminate 
the uncertainty in the public 
mind over banking status. ; ■ 

■■ Other deposit-taking iristitifc 


tions which do not qualify for 
recognition as full banks will 
have to be licensed by the Bank 
and will be subjected to a 
rattier more formal type of 
supervision. This provision is 
the source of considerable 
uncertainty about just how 
many institutions will eventu- 
ally apply far licences. The 
major finance houses are well 
enough known and the Bank 
already has contacts with a con- 
siderable number of lenders. 
But there is a large number of 
smaller operations around the 
country, and the best guess — it 
is no more than that — is that 
when the situation is sorted out 
there could be anything 
between 200 and 300 licensed 
deposrt-iakjng institutions under 
the Bank's control. 


Protection 

The other major innovation 
planned is the establishment of 
a deposit protection fund. This 
is designed to offer protection 
lor the smaller depositors in 
any institution which gels into 
difficulties, providing a final 
safety nel to catch the victims 
ot any institution which slips 
through the extended system of 
official supervision. The terras 
on which the scheme is to be 
established indicate that it is 
not intended to deal with the 
kind of situation which required 
the creation of the lifeboat 
arrangement during the fringe 
bank cr hi -A a general loss of 
confidence and lack nr liquidity 
—hut rather to deal with indi- 
vidual problems. 

The .scheme will provide pro- 
tection /or 75 per cent of the 
first i‘ 10.000 of any depusil, leav- 
ing the depositor at risk for at 
least pan nf his money in order 
to encourage him to continue to 
exercise some judgment in plac- 
ing his funds. It will be funded 
by contributions from banks 
and deposi Making institutions 
initially totalling between £5m 
and £tim but capable of being 
increased substantially when 
needed. 

Generally speaking the banks 
and finance houses which will be 
most affected by the legislation 
have accepted the need for the 
new rules and for mnves to tidy 
up the supervisory system. Both 
groups, however, have found 
.specific a reason which they have 


been critical nf the proposals. 
The main worries Tor the finance 
houses have arisen over the 
planned limitation on the use of 
banking names. In many cases 
these institutions have become 
accustomed to describing them- 
selves as carrying on a banking 
business. They are concerned 
that their public image will be 
damaged if in future they are 
prevented from doing this. 

For the big ciearipg banks 
the mnst_cnntrnversiai element 
has been the deposit protection 
fund. They have argued 
throughout the discussions 
which were carried on between 
publication of the original While 
Paper in August 197fi and ihe 
appearance of the draft Bill that 


they do not them selves need the 
support of such a fund, and that 
they should not be required 1 to 
put up the funds to support 
other competing institutions. 
However; the Government has 
insisted oh the fund and it is 
clear that without a substantial 
contribution by the clearing 

banks it would not have the 
necessary -.credibility. 

The financial institutions are, 
however, satisfied with the 
general .way in which the pro- 
posals have been worked out. 
The new legislation will confirm 
that the responsibility fnr super- 
vision will remain in the 
familiar bands or the Bank of 
England- 1 And ir will still leave 
the Bank considerable scope to 


retain its traditional flexibility 
in supervising the bauks. The 
proposed legislation avoids 
setting out more than minimal 
requirements to qualify for a 
licence or for recognition as a 
bank, and allows the Bank scope 
fur subjective judgment and for 
taking the views of the rest of 
the City into account in making 
its decisions. 

This js particularly important 
in the context of the UK's 
membership of the EEC and 
reflects the considerable pro- 
gress which has been made in 
developing relationships within 
the Communily. As a result nf 
extensive discussions since the 
UK joined the Community, pro- 
posals which had previously 


National Giro 


been formulated and which 
threatened to impose an un- 
acceptably rigid form of banking 
regulation have been superseded 
by much more flexible harmoni- 
sation proposals which set out 
to provide a framework within 
which individual authorities will 
be able to pursue their own 
styles. 

Further moves will be re- 
quired to establish basic re- 
quirements and ratios' for 
banks, and It is expected that 
considerable progress will be 
made with the planned estab- 
lishment of a new advisory com- 
mittee of the supervisory 
authorities of the member coun- 
tries'. It is likely that the Bank 
will have to make some further 


adjustments in its methods of 
working, perhaps, for example, 
in relation to the voluntary 
associations such as the Foreign 
Exchange and Currency Deposit 
Brokers' Association which as 
its Wilson evidence showed, 
play an important part in self- 
regulation. 

Nevertheless, the basic re- 
quirements of the EEC wlii be 
met with the introduction of the 
licensing requirements. And 
the Bank will be able to con- 
tinue with a type of supervision 
which it (ikes to describe as 
having three main characteris- 
tics; it is progressive, participa- 
tive and personal. 

Michael Blanden 


At long last making its mark 


IT HAS taken considerably 
longer than originally expected 
for the National Giro to find 
its feet but there are signs now 
that it is becoming a force in 
the banking network. Indeed 
many of the High Street banks 
are becoming distinctly nervous 
about tbe competitiveness of 
the Giro. The 'major clearing 
banks bare already voiced their 
objections to the "unfair" 
activities of the Giro in their 
evidence to the Wilson Commit- 
tee. 

Giro is now handling over 
250m transactions a year worth 
something in the region of 
£20bn. This total of trans- 
actions is equal to about 20 
per cent of the number of items 
passing through the bankers* 
clearing house. There ere now 
in excess of 600,000 accounts 
and these are growing by more 
than 2,000 a week. Of this 
total there are some 30.000 
business accounts. Deposits by 
business customers are now 
running at £10.Sbn a year. This 
compares with a figure of £8bn 
last year and only £600m in 
1972. 

But having said this, it has 
been a real struggle, for the 
Giro. Tlv original IVhitn Pap»T 


in 1965 suggested that the Giro 
would attract lm personal 
accounts and 200,000 business 
accounts in the first five years. 

Clearly ‘ these were very 
optimistic targets. Between the 
White Paper and the actual 
introduction of Giro the clear- 
ing banks bad plenty of oppor- 
tunity to improve their competi- 
tive edge. This they did by 
introducing cheque guarantee 
and credit cards which it is 
claimed reduced demand from 
some sections nf Giro’s poten- 
tial customers. 

But that is only part of the 
slury. Within a cnuple of years 
of the opening the Government 
carried out a review of the Giro 
operations. Following the re- 
view, the Giro charges were in- 
creased substantially in an effort 
to make the operation more fin- 
ancially sound. The Government 
set Giro certain financial objec- 
tives and to meet these Giro 
management concentrated on 
areas that would give an im- 
mediate return. This mean that 
areas such as personal accounts, 
which offer more of a long-term 
potential, ■ were not actively 
suught. 

Moreover, growth in new 
accounts would have been con- 
siderably "reduced by the. fact 
lhal there was no interest on 


money deposited" with Giro. 
Rising interest rates and 
galloping inflation over this 
period made the general public 
more aware of the need to 
protect capital values and 
obtain the best rates of return 
on investments. This meant that 
Giro was losing funds to the 
other banks as well as areas 
such as the building societies. 

Giro's fortunes changed m 
late 1975 when the Government 
made sweeping measures to put 
it back on a sound footing while 
at the same time accepting that 
it needed to extend its range of 
hanking services if it were to 
have any chance of competing 
with the major clearers. 

The Government decided to 
write off £16.7in of past losses 
and convert £13in of debts into 
public dividend capital similar 
to that already adopted for 
other public corporations. As a 
result of these measures it was 
estimated that Giro was relieved 
of the burden of paying some 
£2Qm of interest 'over the five 
years to 1980. 

However, the new set of finan- 
cial objectives stipulated that 
Giro needed to pay dividends 
over this five-year period at 
least equal tn the interest that 
would have been paid on the 
loans that were converted into 


public dividend capital. Giro 
was also required to earn an 
average return over the period 
1975-76 to 1977-78 on public 
dividend capital phis retained 
profits of 12J per cent per year. 

To meet these targets Giro 
was authorised to increase its 
range of banking services. Since 
then it has introduced personal 
loans, overdrafts and guaranree 
cards and overdrafts and the 
payment of interest on balances 
for local authorities, national- 
ised industries and business 
customers. More recently it has 
made a big move to attract more 
personal customers. In April 
this year the Giro introduced 
three new services, deposit 
accounts, budget accounts and 
bridging loans. 

The introduction of the 
deposit account has naturally 
been a major step for Giro since 
this was the main area where 
the High Street banks had a 
distinct advantage. Interest 
rates offered here are 1 per cent 
more than those offered by the 
clearers. While at this stage 
Giro's total of about 580.000 
personal accounts looks pretty 
slim when compared with the 
20m or so handled by the Big 
Four banks, these latest moves 
are giving much cause for 
thought in the banking world. 


Moreover, the terms offered 
on personal loans look to be 
very competitive. For loans of 
up to £600 the flat rate is 9 per 
cent while above this and up 
to a maximum of £2.500 the rate 
is 8 per cent. This facility is for 
customers who have held an 
account for at least six months. 

It is small wonder then that 
Giro is finally making its mark. 
Its financial targets laid down 
in 1975 have been met. For the 
year to March 1978 profits were 
£2.8m against £2.1m the pre- 
vious year. New targets have 
now been set and the manage- 
ment are confident that these 
will also be met. 

Certainly there seems to he 
plenty of scope for further 
growth. The local authorities 
look a particularly exciting area 
for Giro, especially in the field 
of rent collecting. There are 
currently 150 local authorities 
using this service and some 38m 
rent payments are now being 
made per year against a figure 
of about 600,000 six years ago. 
Given that there are an esti* 
mated 190m annual rental pay- 
ments to local authorities it is 
easy to see why the Giro views 
this area as one of its major 
growth markets. 

David Wright 


.A 

National Westminster Bank Ltd. 

- \ 

Over 3,000 banking branches in England, Wales and Scotland. 

’• Representation of the International Banking Division in major cities of England 
and Scotland, and in the leading financial centres of Australia, 

Canada, France, Germany, Greece, Holland, Hong Kong, Italy, Japan, the * 

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Computer Sen ices. 


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Personal and Commercial hanking, and other financial services. 

Credit Factoring International Ltd. 

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Eurocom Data (Holding^) Ltd. 

. . Computer output to microfilm. 

Isle of Man Bank Ltd. 

Commercial banking in the Isle ot N Lin. 


Lombard North Central Ltd. 

Banking, credit finance and leasing in Great Britain. Subsidiary companies in 
Australia. New Zealand, Cyprus and Malta. 

National Westminster Bank Finance (Cl) Ltd. 

- Channel Islands based deposit-taking institution. 

Nat tonal Westminster Insurance Services Ltd. 

Incorporated Insurance Brokers. 

National Westminster Unitlrust Managers Ltd. 

Unit Trusts. 

Ulster Bank Ltd. 

Gummercial banking in Ireland. 

Ulster Investment Bank Ltd. 

i\ lerchant hanking in Ireland. 


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National Westminster Bank Group 





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TREASURE THE PAST BUT 
WE WORK FOR THE FUTURE 


Helping maintain the great 
traditions of yesterday. Allied 
Irish Banks workfor today 
and tomorrow - with over four 
hundred offices throughout 


the Republic of Ireland, 
Northern Ireland and twenty- 
eight in Britain, together with a 
Merchant Bank, Industrial Bank 
and a Leasing Company. 


NORTHERN IRELAND AREA OFFICE: 2. Royal Avenue, Belfast BT1 1DP 
DUBLIN: Head Otnce, Lansdowne Huuse Dubfer 4. Chief Foreign Brandi, 40 Westmoreland Street Dublin i. 

INTERNATIONAL OFFICES: London: H Throgmorton Avenua Brussels: Europe Center. Rue Archimede, 15/3. 1040 Brussels. 

New\fork:4Q5 Park Avenue. New Yak. Chicago: 135 South La Salle. Chicago. 

BRANCHES N BRITAIN: Bntantoad. Ctiminghjin. FfrarJ, Coventry, Cbsgrav. Leeds, t elcesler, Liverpool London. Manchester. Nottin^tarri Sheldon Watford 

and Wcdvcrhampion. 


Arks 


(^Allied IrishBanks 


UK BANKING VI 



US Acquisitions 





EM THE past few months there drive by leading banks from all over Bank of London ana Soutn the L -S L. ?***aMS* ef 

has been a rush of moves by countries to extend their world- America tBoIsai which, together to 

British and other Foreign banks wide representation. later- with its own European branches, operate in more thanone State, 
to buy their war into the U.S. national business based on the provided the base for its uuer- Others mgu< .^t'the 
banking market National West- aoiiar and particularly .lie' national growth. ^ f °Iiow- 

minster Bank, of the UK Big mainly London-oriented Euro- The traditional overseas bank- *ng 1 he sum i patUop l ■ ; 

Four previously the least well currency markets has provided jng of London, as exemplified by in ine crmaQ pig four. Kid- 

represented in the domestic the main drive for bank profits banks such as Standard Char- land has Men in a slightly 

American market, is going in the past few years, at a tim e tered and Grindlays as well as different situation.- As ftbank 
ahead with its plans to pay when in the U.K and most Other Barclays and Bolsa, has changed which historically 1 has- bdish 
around . S300m for control of advanced markets ' domestic in character. It lias remained more reliant than' most oh the 
the. National Bank of North growth has been limited and generally profitable. But the traditional _type oS_ enrrespon.- 

America, the eleventh largest costs have been hit by world- break-up of the Empire and dent relationship to -provide a 

in New York State. Standard wide inflation. The pressure to growing nationalism have made service for. its customers abroad, 
Chartered has announced plans move into the UJ5. may repre- ft less easy to conduct. And Midland has committed .Itself 
for a S3 72m acquisition of sent a new phase in the develop- political pressures, particularly strongly to its; relationships «jth 
Union Bancorp, fulfilling its ment of international banking a t present an the African conti- a group of other leading Enro- 
long-known ambition to achieve nod for the UK banks. nent. continue to cast a shadow pean banks within, the European 

a leap forward in the Cali- The growing contribution over the future nf some exten- Banks International Company 
forma n markeL Barclays, made by international activities sive foreign branch networks. (EBIC) organisation. EBIC in- 
a I ready well established in the to the profits of the UK banks In any case, the business eludes a considerable, number 
U.S., has agreed to pay SHllni has been evident in the past few which the banks are now seeking of joint ventures and par- 
for the consumer finance busi- years' results. Ta king bath is not generally to be found »n ticularlv in the U.S. the Euro- , 
ness of ihe North Carolina- branch operations abroad, and their traditional outlets. It is pean American . banking ■ group \ 
based American Credit Corpora- the important international helpful tu have representation which absorbed the branches of \ * 
tion. business conducted out ’"of in countries which offer pros- the failed" . Franklin Inter- 

Hongkong and Shanghai London, its share varies between pects of substantial long-term national. . - 

Banking Corporation, British by around 30 and over 40 percent economic expansion and a Even Midland, though, along 
connection and tradition if not for the big banks. For some market for large-scale bank with some of its EBIC partners, 
by its place of residence, is of their rivals on the other side financing: Lloyds, for example, is now beginning to move more % 
undertaking a major merger of the Atlantic, the proportions cannot regret its strong repre- extensively into its own repre- 
with the Marine Midland Bank, are substantially greater. - And sentaiion in Latin America. But sentatipn abroad rather tin 
And other banks from Europe ar present, at least there is to a large extent the overseas relying exclusively on joint 
and elsewhere are showing a iittle sign of any diminution in banks were doing little more relationships. NatWest's latest 
close interest in further expan- the banks' enthusiasm for than conducting ordinary retail move also represents a new 
sion in the U.S. foreign expansion. branch banking activities which development This bank, lack 

The reasons for this spurt of The domestic UK market has happened to be abroad. ing the spread of overseas 

activity are not entirely coin- been relatively depressed for a p branches of a Zloyds or Bar- 

cidentaL One point which con- number of reasons. They in- oCSfC days. Took a. rather differed 

tinues to influence foreign elude the general sluggishness route into '"international bank' 

bankers is the possibility, long of demand for bank lending— a " ro ' A ' r ' 1 in recent years after .its. merger. . It iiac 

discussed but perhaps now com- feature of oilier countries, as has been rather in the newly a strong London base in inter 
ing closer to reality, that the well — and the sharp impact of developed internationax banking national activities "such ay 
U.S. will impose tighter con- the severe inflation of lft y nt markets, centred on Eurodollars, foreign exchange dealing, aric 
trols on the operations of years on the cost struct ores of requiring the banks to be repre- has concentrated its develop 
foreign banks in its markeL the banks. The pressure .to sented in the major financial ment generally .on building uj 
with the resultant desire of the expand in international markets centres: and in the provision of ft S presence in the wholesale 
latter to be on the ground there has heen one of the main fac- finance and services to the bi? money markets in the leading 
before any moves are made. The tors contributing to the decline multi-national corporations and international 'centres, 
recent expansion of the foreign in margins on that type of lend- t0 company customers operating Now. however, it is .moving 
banks may indeed help to ing, and there are reasons ’An abroad. This requires a different into retail banking in the U.S 
accelerate any measures which concern about some aspects of kmc! nf approach. along with, many of its Euro 

the U.S. may’ take. the recent development of the There is little argument that pe an competitors. The stage 

Euromarkets. Nevertheless," it it was the U.S. banks which led has been reached where aJ. 




Cheap 


i* to the international markets the way. and developed their major banks with internatioha 
One of the main reasons un- that the UK banks are looking activities even in Europe itself ambitions, and many smatlei 
doubtedly i* that U.S. banks tor long-term growth; and they tu a degree which gave the ones as well, are no longra 

look to be’cheap buys at present are now stepping out to- match European banks something of a content to rely mainly on operat 

Wall Street itself has been the major US. banks, which had scare. The creation of a number- ing in the international xmmej 
depressed and bank share prices a head start in this business, of the consortium groups and markets, 

have reflected a difficult period on their own terms. - - co-operative arrangements now There if a general search 

in U.S. domestic banking from The experience of NatWest is in existence owed a good deal being conducted for methods cr 
which the institutions are only M interesting case m point. Two both to the establishment of the getting hi on the ground, flooi 
now recovering. At the same of tie big four British thinks, Common Market and tn the of markets- abroad, and com 
time the decline in the value of Barclays and Lloyds, have reaction of the European banks petition will ' undoubted!}, 
the dollar, if unhelpful for port- started their international .®- to the prospect of their U.S. become stronger'in all markets 
folio investors, has made invest- paasion with the benefits of rivals competing for business The U.S. is important to th? 
ment in the U.S. for financial considerable overseas .brjmeh not only in the international banks in Europe and elsewhere 
and industrial concerns alike an networks. Both have abst»r6ed markets but on their own door- hot so much - because of tin 

i>_:a: i — -r -a— **— * attractions of having a dolla 

base but because it i 
one of the. strongest an- 

Finally! the recent develop- parent group and providing the nave moved out. Both Barclays potentially most rapidly expanc 
merits reflect the changing nucleus and still much of the and LJuyds. from their existing ing markets, 
characier of the international branch representation of Bar- bases., have established sub- - VI R 

banking market and the general clays International. Lloyds took stantial branch operations in . iM.D 


and industrial concerns aiiKe an iwiwuns*. oum nave aoswueu uuu uu iucu uwu uuui- noi so- 

attractive proposition, parlieu- British overseas banks of the steps. \ attractit 

larlv for those from strong cur- traditional type. /Barclays had Since then, though, the UK deposit 
renev countries. Barclay* DCO taken into ihe and the other European banks itself oi 


Euromarkets 


Highly competitive arena 

FOR THE current generation of The problems of engaging in For London’s merchant banks, among the top 10 loan manager 
British bankers the job of steer- a dollar-dominated market have some believe these moves by in the medium-term Eurt 
ing their banks through the been obvious for British banks their clearing bank counterparts markets, after coming a low!, 
demanding waters of the Euro- over the last few years. With possibly signal the end of the 25th in 1976. The bank ha 
currency market perhaps crystal- more than $lbn of Eurobond heyday of British merchant scored severe l recent successef 
Uses the whole range of prob- issues on their own account banking independence. In the which should keep it well place* 
lems involved in increasing over the past few months. Euromarkets, dominated by the in the ranking this year, 
international activity at a time British banks are aware of the **big guns” of the U.S. - and LBr was joint lead manage! 
of intensifying worldwide bank- need to increase their non- Europe, and now being eyed co-manager, agent bank or ra- 
ing competition. sterling capital substantially. increasingly hv the elearers, the book for some 56.6bn o 

The search for new clientele c many doubt whether the ■ mer- . credits in 1977. equal to nearl. 

steadily becomes keener and IICJGZC chant bank can command 20 per cent of total Euromarke 

the Europeans are rapidly Additionally, for a German resources to compete loans last year. It was involve- 

emulating their U.S. counter- or * Swiss bank— ignoring the e ^ ect ^ ve ^ 3r - in a total of 28 credits, includin 

parts in scouting out new. bust- di rect r oj e 0 f the Deutsebemark S. G. .Warburg and Hambros a $1.2bn syndication for Mesic 
ness, regardless of old traditions Swiss franc as a vehicle still appear prominently in the and $300m for the Sovie 
and demarcation lines. currencies in the Euromarkets top 25 institutions in the Euro- Foreign Trade Bank. 

At the same tim e the role of — the advantages of working bond, league, although the Significantly, LBI attribute 

a simple banking intermediary from a strong currency base former's role in the bond mar- its record to a kmg-establishe 

is no longer sufficient to hold are equally apparent For their ket from the early daj-s and its international network, as wei 
on to custom. The watchword British counterparts, inflation “ special relationships” in as deployment of mamgemen 
in the city's international bank- sterling depreciation com- Europe give it placing power resources specifically for Eurt 
ing circl^ is rapidly becoming ^ in e to inflate the value of de- out of proportion to its actual market involvement Thes 
relationship banking — offering Posihs relative to a bank s size. In the 12 months tn Sep- same qualities are being applie 

clientele a whble range of multi- capita has:, and thus squeeze tember 1977. Warburgs led lo the 5^ marke L where LB 

national services and financial v , i 8511 ^ 8 t0 ^lling $1.09abn and .has i e( j or co-ananaged a total 0 

packages, and thus protecting H ^ nbros * 325m - 22 public and private issue 

and enhancing the valued ®f e t JL ?“ „ face £i w i“ 1 exchan3e Among the elearers. National since the beginning of 1977. 
custom of the large corporation, -SJ” 1 heM ..St ?iartf» n 2[ Westminster, through County The depth of LBI’s tnvoivi 
governmental client and similar international investor-? iv/hit Bank, .Midland, with Samuel ment in the Euromarket, pa; 

! — „ nn5iri . r t _ a at Montagu, and Barclays Bank, ticularly ar management leve 

have, of ill-fated ^launch of sterliS" via Barclays Bank International/ has generated a considerabl 
ha^e, of Ul-Fated re-launch of sterling Barclays Merchant Bank are amoum &f fee income, a facto 


institutions. 

Such relationships 

course, long been fostered by Eurobonds in the Ian er pan of j a _ a i nBi _ r , r^finino „ . ; - . . 

banks as the ideal. But Euro- 1977-a market which has been ?. t! !L ^ ^growing importance to bank 


market banking has brought an effectively dosed again for most their own bond o P eratl0r “- when the basic margins payabl 

extra dimension and the British of this year— has certainly done S r P“Ps. th® toa over interbank interest rates p 

banks have been under pres- nothing to tempt investors hack ing-.bank was Barclays,^ manag- medium-term loans have becom 

sure to reinforce their services to sterling on a sustained 'F 1 ® one 

through more involvement in t _ . SlOum. . 

the international capital and . T £' 5 M .‘ th . at Br "i^ MonUJU. manages 

bond markets. banks have faced major issue County Bank Even without wmh esrtra li 

bond markets. difficulties in building up two co-managerships totalling en wlU3Qut such extra . 

their placing power in the Eurobond $25m. 


British banks defend 


issue for a total of so tbin. 

It was trailed by . 

a S75m UfiVC 

major issue County’ Bank contributed 

centive. most - bankers acknoi 


“““ piuciua power in me c-uroonna iZom. lorltra thni 

record in the Euromarkets, and market— an area which the The cl carers also have their ?■ ™ 

point to their long history of clearing banks in particular are stakes in the consortium banks. s S2S L.iSr 

involvement in a market which acutely aware needs strong re- Tn particular. Orion Bank and _S,j5L tn J*’ 

dates back to the late 1950s. inforcemonL Banklnz Comoany £L 


Nevertheless, in the increasingly Indeed, some bankers 


European. Banking Company customer’s behalf in loan func 
have carved themselves respec- or flotation of internationi 


«ve shares^ in the_ Canadian securiu^ means that they 


tog- the British bank is fre- Rifles are being made in this dollar and- Deutsche Mark bond contfST'STdrtJf ShS' 
quently seen as vulnerable, with direction, and their inter- ■ - - Lne Qnve to 

weaknesses in the range of national branch network; 


services that its increasingly starting to groom the sort of 
sophisticated clientele demand, customer business In Con- 


sectors, and also* the floating their past performance. 

*1% rate note market.. That said, British banks i? 

Many City observers consider not eager to follow' their into 


SewftrJhTw tinentalEu rope an d eTsewhere 

consider to ta the British necessary to develop a full? 11 * In SS? n ?L ^ **?** ”¥*!£}& 

banks' shortcomings in the representation in - the bond has ^. spea fSS d f d f ®? me , ® f ^ J" 1 cli e phrase of ° n ® 

Euromarkets are not hard to market Nevertheless, there is most successful forays into the wg bank t hey are not so 

find. Clearly, the most impor- doubt whether the British can Euromarkets, although Lloyds toP la y God as their U.S. an ■ 

tant factor is that the British ever build up placing power— has up to .now tended to avoid German counterparts in 

banks are sterling-based and that gilt-edged entry card to the more formalised merchant strategic balance of 
must operate in markets — the highest strata. of the bond banking structure adopted by its ™^ nt ® financing for c a re . 
syndicated bank loans and market — to a level enjoyed by rivals.- mbers of the develop*^* 

Eurobonds— where sterling has the German and Swiss instiiu- In .1977 Lloyds Bank Inter- 


only had an insignificant role, lions. 


national established itself 


John Eyai* 





-i 





V 








yi.., _ , _ 



Financial Times Tuesday September 19 1978 


UK BAOTONG VII 




The Lifeboat 


0"r 


The exercise shows steady recovery 


naneial hurrirono ^* ch f rd *°"' Governor of industries (the Bank of still getting support loans. The introduction in 1971, coinciding The Bank did for a time put off more of the property they Derek Wilde, previously a vice- 

■ h- sPwmiiirv wit Ha „ 5 England, tola a U»n- England is a Stale bodyj and total has not changed materially with a policy of money boom, an extra £85m or so into the had been holding— and often chairman of Barclays Bank, to 

hp Pitv anfi^hA nmnprtvwArii mons Committee in January w as sir Harold Wilson's committee since. reversed in iate-1 973 — all in the lifeboat in the worst days in expensively financing without have moved back to profitability. 

1973.74 anrt nrnmmwi tho thl finanwaI crisis since on financial institutions- The Of all those originally helped, context of the previous arrange- the winter of 1974-75, when the adequate return — long after realised much of its property 

mnrh nf tha hi™ hmift' ’ . ... Select Committee last January eight have gone out of business, menus, since tightened, for crisis atmosphere was at its the crisis broke. holdings and 10 be holding 

.fpKnat , re °P e J* discussion of the questioned Mr. Richardsoa. Sir and others have been taken supervising the conduct of the darkest (though prevented by One of the brighter aspects enough cash for the rebuilding 

' SfmentfThout sit i asper Hollom - ^ Banks over or reconstructed or have banks. " the lifeboat from reaching crisis of the aftermath of the of its banking business to be 

_.. e heen in^hlP SlIX! JU\ ns stl • to J? e s j! ld h f s be ^ deputy Governor, and two of recovered enough to do without It a i traces the launch and point). secondary banking crisis has talked of at times as a take-over 

^ ^ return of their colleagues in a lengthy the lifeboat’s help. hu dS^uppon Jd fram iSe In due course, from later In been the continuous progress target. 

■- ST o£ 0,6 past SrTtf •SSSSKt IX *53 Onset — .»• - r-™> «*• 

They have come chiefly from covery of the property industry, descriptions of the dangers 


• he Bank of England, whirii pre- whose own crisis was closely feared when in December, 1973, Describing the onset of the 


ary bankhig escalated during the bea vy responsibility of back- certain of the larger recipi- poration, one of the largest re- 
1974 to embrace such large and the last two casualties of ents, or former recipients, of maining borrowers from the 


nairecuy. 10 protect the bank- and its origins on. the part of banking system. ourselves confronted with the support iu»» ouusuma n 5 k__ nceh “ chaired Tots tV- 1™ V™ T, ™ 

ng system and the economy the House of Commons Select The Wilson Committee, due collapse of several deposit- £* om the Mo banks (providing England itself since 1974 by Mr Len Mather lu>Jt' r h fUt,ir ^ was 

•““* ’ rt “ t Mr ' G ° rd ° n Comnii,lee on Nationalised „ report ,« the .otter port of tohin- institution, and with Jhe The^u^vt/S "of sw£ a g Tas remaim^/^r^o 

next year, requested and dear and presen danger at that f 0 n ^centt by Semember l^ an investment managemeni Midland Bank, has continued to a °° remalm ^ uncert “ n - 

ret cited a long paper from the time of a rapidly escalating dgure had grown to close business, now continues inde- retrench by selling off peri- 
Ti*nofao Qainmva Bank nf England, tracing the *£ 1S1S confidence, which on cihn and bv December it had Prudently under the altered pheral interests, anti managed ■*-J3Tj£Cr 

Irustee bavings - JSf” 1 risen further io almost flibn. °? Britannia Arrow Hold- in the year to June 197S to earn A darker sequel to the crisis 

■ ■ lifeboat ^ operation ?n a t^rta^n unchecked, would have passed By that stage the large clear- ‘ n S s - while some oF Bates has a net profit after extraordinary lk . s Jn lhe theft and othfT 

amount of detail This showed quickly into the bankin'* in S banks, heavily committed in be ®*[ revamped under new and items of £6 om, against -O.rm. charges brought in the last few 

r B 1 /“* -fl ftiat the cash some £1 3bn at svstera proper. In those circuit addition to keeping troubled pa ljj y Arab ownership. m lfl«6-n. Ordinary dividends, months, in connection with the 

■ /"*W\ 70 T/l O T1 Til the peak in ’early 1975—iut ud stances I had nn hesitation property companies going with J^ e »,f aS lj ye ^ t r - ^ a l now seen ^ ssed ou . t * be crisis hit affairs uf London and County 

A O WdrCLS 1 Lill by tbf! bi S banks and the Bank about what the Bank's action large loans, had called a halt to Mrt2ta?lJ n in ‘^isTriS rau^dVtn POTMtlTart^w Securities against Mr. Gerald 

A V/ HU1 MU X UJJ. of England in prop them against should be. It was to seek to stop the si»_ of the lifeboat operation CapUn.tbal company s former 


nriginK and' course of the threatened other deposit 
upheaval and describing the institutions and which. 


status 


[ good. Trust and Firsr National new Competition and Credit on alone by itself conducting with their most troubled days, alreadv j e rt the lifeboat -has re- S 

ct that Jinance Corporation— and only control system for regulauon of any later rescues it thought while some banking and finance covered sufficiently under’ the J 

of the ft,ur companies altogether were the monetary system anti its' necessary. concerns have been able to sell guidance of its chairman. Mr. IV 


' ‘ VITH THE merger, earlier this All of which is well and good. Trust and Firsr National new Competition and C 

ear, of the North West Central but it doesn't alter the fact that finance Corporation— and only Control system for regulatii 

?ruslee Savings Bank, and the by far the greatest part of the f,,ur companies altogether were the monetary system ant 
• nid-Lancashire and Merseyside Trustee Savings Banks’ funds is " ~ 

rm of the movement, lhe stiH lied iip in Government ktock 1 
•■■.’riistee Savings Banks have and local authority loans of 
ust about completed the first various varieties. Over ihe 
wo stages of their transition next eight years all of these 
rum small and semi-autonomous funds (the bulk of the TSBs’ 
cplicas of the National Savings balance sheet total of £5bn» 

. lank into an independent force will become available for invest- 
n banking. And they are well, m ent elsewhere, and it will be 

f belatedly embarked upon the up - t0 the TSBs t0 invest 

hud stage, which is likely to them (within certain prudential 

* r °Y* tbe tnckiest of the lot. lunits) as they see fit _ It is m& 

The first stage o f ibis tran- chaji^ge — 1„ fi n d a profitable 
-ition recommended by the hwne for funds wUc h . hate 
" age Committee on National hithert0 been placedi withoQt 

«v,ngs when^ it. reported in questiont with central or lDCal 

#!?* 22L l nr government— which provides the 

'srr mar: SSSB “ 

-■ nere IS, whose policies are t0 fuU mdependeme. 

. ormed, and whose activities To go by the extreme care 
ire supervised, by a newly with which the Trustee Savings 
. reated Central Board with Banks have approached the busi- 

. -nembers drawn from their ness of lending to existing 

-anks. Prior to implementation customers of known '.financial 
, if the Page Committee report — standing, the incipient- release 
*y way of the Trustee Savings of large amounts of depositors’ 

• 3ank Act 1976-^the movement money is not going to make for 
: -,iad already established the any aberrations in ' lending 
Central Trustee Savings Bank to policy. As of here and nojv, 

. irovide cheque clearing radii- indeed, it's pertinent to ask 
ies and to act as agent for most whether it’s going to make for 
«f the provincial banks in the any changes in lending policy at 
^nndon money markets. With all. There is no doubt thajutlie 
his year’s provincial merger Trustee Savings Banks will lake 
iut of the way— and no more such changes very slowly and 
such mergers are envisaged — carefully indeed. -•> 
t looks as though the structure Nevertheless, the leading 
•f the movement has now lights of the movement have 
itabilised after five years of expressed interest in the idea 
iramatic change. of lending, in particular, to 

The same cannot be said of sma ll businesses.’ i\-ith which 
•he services of the movement, they feel their branches already 
which are still in something of have useful connections. If such 
i state of flux. However, inso- lending takes off it will pose 
Tar as they affect the personal something of a threat to the 
account holdere who form now local branches of Midland and 
,—a s they always. have, and in Lloyds, already hard enough 
l i.a.11 probability always will — the pushed,, from time to time, to 
j 1 backbone of the movement, the find anyone other than the ever- 
i ik, main lines of development, at eager personal borrower to take 
least, have been defined. De- their cash at rates which will 
fining them has been the second provide an adequate return, 
stage of the movement's transi- 
- tion into an independent force CfdO'AC 

■ io banking. OiagC3 

The Trustee Savings Banks Short term, of course, the 
now offer, money transmission threat will not be a serious one: 
as well as deposit facilities as for one. thing it will take the 
a matter of course, and are in TSBs a while to find their feet 
process of educating their cus- in the tough world of commer- 
tozners (by way of the charges cial fending: for another, the 
structure) to differentiate be- £ 1. 6b n which they have tied up 
tween the two. They have "sup- in central and local government 
plemented their deposit ac- loans is only to be released in 
counts with more sophisticated stages. If, of course, the TSBs 
forms of saving, notably unit turn out to offer real corapeli- 
trusts and life-assurance linked tion to the other clearing banks 
investments. And tiiey have in- — and succeed in increasing 
troduced personal credit facili- their share of all deposits — then 
ties. it 'will be a rather different 

True, the scale of borrowing matter, 
of the TSB's ten million odd de- For the moment it is nut 
positors is so far pretty modest really possible to judge the 
— a mere £25.3m in the first quality of the competition which . 
four months of the personal the TSBs offer to the other 
credit operations, and a mere clearing banks: for while they 
£100m, prospectively, by the end extended their services to 
of November this year. The pace provide - a comparable— -potenti- 
of development has been slow, aHy perhaps a better— range to 
partly because the TSBs them- the personal customer, the rates 
. selves have been reluctant to offer a^ sti 11 determined 
plunge headfirst into what is a more b y history of the . ■ ■ • ■ < ^ 

completely new field, but prin- movement than by the realities .. I 

. cipally because of monetary con- of the market. Jn particular. •■' ■ P|I 

trols on the amount available the firsl £70 of intercst on " 

for lending ’ ordinary savings -account still ' : # *4 

■Nevertheless, lending to their c . ora . e ? t0 depositors free of any I* 

customers! principally By way liab,1 * ly t0 Jax— a pnvikge . IL 

..of personal. loans, but over- ^ h,, r h the National Savings ■. 
drafs and bridging finance have Bank account alone w i = 

arest/SeTp^o" Wl No"Ser, 1979 . then hi .0 : . The Pyramid is the symbol of one of the worlds 
TSB's operations. And further ^.withdrawn from the tsbs. most- influential market makers, Bankers Trust. 

offeiS^by 1 S the°otiber mo ™ n * miiWy tb * Equally, it’syour guarantee of a rapid, efficient and 

banks, are on the way— notably me offSed^Sie ordinal continuing service provided througii the Bankers 

the introduction of a credit card . rale 0Hefe “ on me oroinarj • = , ^ 

' by way of the tie un with. Visa savmes account by enough to Trust London Money Centre. 

imSiornfL wrttL.Visa - compengate for ^ fact that tax .. J 

■ in one respect.' at least, the' ** pald: - , and . p0SS v!?Jf . Direct access to a total money 

f market service. 

offered by the joint stock banks. a " Foreign exchange, Eurocurrency dealing, ster- 

facilities provided by ling instruments, CDs, the London Money Centre 

’ One fU SSte f e ' to tb 8 "mu A fondles it aU. 

■ Birmingham Municipal-^ a ^ unl flexlbIe ^stment . As n major buyer and seller m spot and forward 

' Jong histor>’ of doing juKt that;-. F aHmg r thp emergence of a foreign exchange markets on a global scale, we get 
, and others have followed. the. X I ' '■ ' ° - 

;• ingham's lead within the past SS-S5s to tiSeir S«a** ^ ^ accurate information on opportunities and 

• low cos t branches and their trends. Indeed, working with other Bankers Trust 

the National Coal Board in pit- foreign exchange traders in North and South 

competitors, provides a compar- - et •• Headquartef^NcwyortInlhBUnilEdK'mgdom.branch« 

.. able service. - -• AdnCnHC vxlCBSOH. .AnlntcnutionalB 


U. ^ngiano m prop tnem against snouia oe it was sock iq stop - — sector, though the strong re- date on all the preference c hKn and ninV 

collapse had gone to 26 con- a potential avalanche before its at covery in values aonarent in canital includin" that rpnrp- f nd,r ^ la , 11, an< ? n,ne others, 

corns of different siaes full potential could be de- The Bank of England accep- eari7l978 has been somewhat senting backing pvt up 'by -rhe L*" d a V tSe°“nd or* ir? njSl 

By March this year the total veloped. ted this decision— and the con- die eked by t be tighter monetary two bieeest institutional share- I.ILw 3 

was down lt> £656.5m— the great The Bank's paper to the sequence that the Bank would policies pursued since June. A holders g Prudential Assurance d d , thc ’Smtion for the 

bulk of it to two main Wilson Committee discusses the have to provide what more S umber of property companiel and Eafile Sar lnsuranLe secondary .banking crisis. A 
recipients. United Dominions origins of the crisis in the freer might be. needed and to soldier have shown progress compared Keyser LRlmann whkli has 2, ^ 

Trust and First National new Competition and Credit nn alnn* bv itself nnnd,.ntin.T lM Pn u :7Al _ , ^ " ment inspectors was published 


Margaret Reid 



The London Money Centre 
is built round the Pyramid. 


America, Europe and Asia, we are in business 
around the clock, around the world. Which is why 
we can provide corporate customers with the fast, 
accurate,, decision-making information they need 
on treads and opportunities. 

AH this is done directly through our Foreign 
Exchange Customer Advisory Group, working 
within the; London Money Centre as an integral 
part of itsiunction. 

The London Money Centre Eurodollar desk 
provides a substantial dealing operation for Euro- 
currencies, extending out to five years. 

Equally, the sterling desk provides a highly 
efficient and competitive sterling deposit function. 
Finally? as apriinary dealer-bank for U.S. Govern- 


ment securities, we make the finest net prices in 
London and are well placed to obtain new issues. 
Which complements our activities as one of the 
most active dealers in the secondary market. 

At the London Money Centre 
or wherever you encounter the 
Bankers Trust Pyramid, you're 
dealing with a full service bank in 
the fullest sense of the word, with 
the .capacity to raise, lend and man- 
age money anywhere in the world. 

Bankers Trust Company 

London Money Centre, 9 Queen Victoria Street, EC-1P4DB. 
Telephone: 01-236 5030. Tclex;8Si$19l/2. 


mw us i Kt si 


. - • Headquarters: New York. In ihe United Kingdonibranches in London and Birmingham anda representative office in Manchester. Otherbranche?: .\fiIan,Paris,Bahraln,Tok\ti,Siii-apore, Nassau and Panama City. 

Anlntgmatianai B anking N srworb ol bHflcheSjSubsidiarien^ affiliniigfian d rcprascnlflliva ofliew; in nn six c nrip no r\i j * 







24 


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'The Ideas Bank 1 


Head Office - Commerce Court, Toronto M5L 1 A2, Canada. 
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UK BANKING Vfll 

Merchant Banks 

Search for business 


IRONIC THOUGH it may seem 
merchant banks have not been 
finding it particularly easy to 
secure a sufficient number of 
customers to lake up tbe level 
of loans they are capable of 
extending. And even when they 
have arranged them they have 
often found that the terras 
which they have had to accept, 
particularly with large loans, 
have provided them with what 
in better times would certainly 
be considered an unreasonable 
level of profit. 

Quite simply, there has ex- 
isted for some time a situation 
where too many lenders, have 
been chasing too few borrowers 
and this has forced the mer- 
chant banks, along with others 
in the banking community, to 
lend money at very fine margins 
of profit Such a trend has been 
particularly noticeable in the 
market for currency loans, 
rather than sterling loans, and 
the keenness of the competition 
faced by merchant banks has 
been gen era led nut only by inc 
major clearing banks but also 
by the large number of foreign 
banks which now operate out of 
London, most noticeably the 
American ones. 

As a result, some of the 
merchant banks have been hold- 
ing fire on their attempts to 
attract business among the 
larger companies in the 
currency loan sector and have 
instead concentrated their 
efforts <in sterling leading, 
where conditions have been 
somewhat better, and on provid- 
ing funds for the more medium- 
sized and smaller companies. By 
smaller company loans one is 
talking in terms of anything up 
to £lm, a lerel rha: many of the 
foreign banks prefer not to get 
involved with to" any degree 
since they do not have the 
administrative -set-up to deal 
with this sort of loan, and cer- 
tainly find the prospective 
returns too modest for their 
liking. 

The merchant banks have 
probably taken the view that If 
the rates of interest they can 
charge to larger customers leave 


them with tuo narrow a margin 
rhea it is no: worth the effort 
and such business as there is 
should thus best be left to the 
bigger banks and the foreigners. 

Jiore recently, as interest 
rates have firmed up a little 
again, the merchant banks will 
also have found it difficult to 
compete with what is seen as 
the “endowment” element at 
current account balances' held 
by :he big clearing banks, which 
give them an edge on availa- 
bility of money at tbe finest 
rates for lending. 

One of the outcomes of the 
competition is that the 
merchant banks have probably 
been loth to accept low margins 
for long periods with medium- 
term loans, but feel they. can. 
accept a low spread for the 
short-term. Thus they will have 
been under pressure to stay 
shorter than the clearing banks 
with the loans they extend. 

In the Euro-currency loan 
markets the merchant banks 
wjil have been under probably 
their severest pressure from 
competition, for it is here that 
the foreign banks meet them 
face on. It is particularly 
noticeable that whereas 10 
years ago British merchant 
banks seemed to have a virtual 
monopoly of this sector and 
seemed set to control it For a 
long time to come, it is the 
American banks which now 
dominate. Their calculated 
efforts to specialise in the Euro- 
currency loan markets, using 
the substantial financial muscle 
they can wield, have been 
spectacularly successful. 


Retained 


British merchant banks hare 
none the less retained a good 
slice of the Eurobond market 
and are still leading or acting- as 
co-managers for some of the big 
issues. Sot suprisingly, perhaps. 
County Bank sot a $225in bond 
issue away for National West- 
minster Bank, its parent com- 
pany. ; 

With the smaller companies, 
merchant hanks hare been quite 
active with sterling lending and 
many have experienced -a much 
brisker pace of business .over 
the past six months than last 
year. How much of this is being 
used for capital expenditure 
rather than working capital;!*, 
not clear, although it >ecnK that 
a reasonable amount is going 


Republic 
ranks 26 th in 
equity capital 
among ail 
U.S. banks. 

And ranks 1 st in 
the ratio of 
stockholders* 
equity/assets. 


LARGEST U.S- BANKS 
ASQF12/31/77 

WANK 

1. CITBANKNA. NEW YORK 

2. SANK OF AMERICA NTSSA, SAN FRANCISCO 

3. CHASE MANHATTAN BANK NA. NEW YORK 
'4. MORGAN GUARANTY TRUST CO.i NEW YORK 

5. MANUFACTURERS HANOVER TRUST CO.. NEW YORK 
8. CHEMICAL BANK. NEW YORK 

7. CONTINENTAL IUJN01S NB&T CO., CHICAGO 

8. BANKBRS TRUST CO.. NEW YORK 

9. RRST NATIONAL BANK. CHICAGO 

1 0. SECURITY PACIFIC NATIONAL BANK. LOS ANGELES 

1 1 . MELLON BANK NA. PITTSBURGH 

1 2. WELLS FARGO BANK NA. SAN FRANCISCO 

1 3. CROCKER NATIONAL SANK. SAN ffiANCGCO 

14. MARWSJE MIDLAND BANK. BUFFALO, N.Y. 

1 5 . NATIONAL BANK OF 0ETR01T 

1 6. RRST NATIONAL BANK. BOSTON 

1 7. IRVISIG TRUST CO., NEW YORK 

1 B. UNITED CALIFORNIA BANK. LOS ANGELES 
„t 9. CLEVELAND TRUST CO. 


•EQUITY 

capital 

nooo’Bi 

3.291.408 
3.003.101 
2.144.624 
1.547.020 
1.268,571 
1,134.517 
1,101.721 
S55.141 
937.315 
847.911 
662.107 
652.017 
554.519 
547,51 1 
545.710 
500.5BB 
■436.519 
417.642 
385.015 
364,301 
jin i.nq. 


Scotland 


Oil rush abates 


261,956 

253,864 

244.415 

244,155 

238,031 

flATIO 








?4. FIRST PENNSYLVA? 

1 25. RRST NATIONAL BANK. DALLAS 

26. REPUBLIC NATIONAL BANK OF NEW YORK 

27. WACHOVIA B&T CO. N A. WINSTON-SALEM : 

28. NATIONAL BANK OF NORTH AMERICA. NEW YORK " 

29. PHILADELPHIA NATIONAL BANK 
30: NORTHERN TRUST CO.'. CHICAGO 

RANK 

1. REPUBLIC NATIONAL BANK OF NEW YORK 

2. CLEVELAND TRUST CO. 

■ 3. MELLON BANK NA, PITTSBURGH . ^'r . • •: 

. 4. NATIONAL BANK OF DETROIT ' • . v 

5. WACHOVIA =B£.T CO. NA, WINSTQN-SALEMVA : 

6. NATIONAL BANK OF NORTH AMERICA. NSW YQHk 

7. BANK OF NEW YORK . ' t 

WINGS BA NK .-CHICAGO - ' •/ -. 

ATONAL BAWcSSSl? 

.NATIONAL BANK 

r JAN GUARANTY TRUST CO., NEW YORK 
' .TLE-F1RST NATIONAL BANK 
-UBUC NATIONAL BANK, DALLAS 
oT NATIONAL BANK, DALLAS 
JRlTYRAOFiC NATIONAL BANK, LOS ANGELES- - 
ZKER NATIONAL BANK. SAN FRANCISCO 
£ MARINE MIDLAND BANK, BUFFALO. N.Y. 

J. CITIBANK NA. NEW YORK 
}. CONTINENTAL ILLINOIS NB&TCO., CHICAGO 

21 . FIRST NATIONAL BANK, CHICAGO 

22. WELLS FARGO BANK NA. SAN FRANCISCO 
23: BANKERS TRUST CO.. NEW YORK 

24. CHASE MANHATTAN BANK NA. NEW YORK 

25 . IRVING TRUST CO.. NEW YORK 

26. CHEMICAL BANK. NEW YORK 

27. BANK OF AMERICA NT&SA. SAN FRANCISCO 
2B. MANUFACTURERS HANOVER TRUST CO.. NEW YORK 

29. UNITED CAUFQRN1A BANK. LOS ANGELES 

30. FIRST PENNSYLVANIA BANK NA. PHILADELPHIA 
•BANCOMRARE DATA. PRODUCED BY CATES. LYONS & CO.. &JC. 


Republic New York 

Republic National Ban* of flew Yor* T: : c. N. a v.r-. T ‘a; x «-.** v- ... v .. 

N,-w 'c>. * -C" -:- • * c. . • ; ' • "" ccr. :• V J: \-, 0--CCr.i d 

s-*.c i B'.c-y.a. £*•?/.. s» Art.-:. Caracas; O. - aSfc * rr*-k‘s\ 

. W.-x cj C;!y Mcrt-v.ceo. Ps-'j'-sa C-ty Py-is Rowj-.-p-; Shc=?. ; o 

Me-Tber Foderul Renew Syctcm Member Federal Depoaif insurance Ccrporabon 

A jvw- - ft' •„! '••jc-.-.t-,.- 


-I' 


IT MAY sound melodramatic, 
but the Scottish banking boom 
Inoks as though it may be over. 
It is around nine months since 
a new London or foreign bank 
moved in and there is at least 
one banking hall in George 
Street, Edinburgh's prime finan- 
cial location, that has been in 
search of an occupant for so 
long that the estate agents must 
be getting near to despair. 

These things follow fashions. 
Scotland was next in line after 
Hong Kong for the attention 
of the Western world's bankers, 
whose interest was triggered by 
uil and politics. Now the magic 
of both has slightly faded and 
attention has switched to some 
other pan of the globe, leaving 
around a score of different 
branch offices and nearly 40 
representative offices to prove 
or disprove the correctness of 
the decisions that set them up. 

In fact, such is the lead rime 
in establishing a remote office 
that most of them arrived after 
the real boom was over and had 
to endure a period when the 
Scottish economy was perform- 
ing less well than the UK as a 
whole before it entered its 
present phase of running 
roughly in step with the rest of 
the country. Only a few pioneers 
were here to see the unique 
combination of circumstances 
that made Scotland look so 
attractive. 

What happened was that 
a massive acceleration of 

economic activity in Scotland 

caused largely by the big fourth 
round of oil licensing — co- 
incided with the beginning of a 
severe recession in Ihc rest of 
the CK. Given the background 
of Scotland's historical role as 
the poor relation in the British 
economy, the sudden reversal 
looked 'all The more sensational. 

Scottish industrial output was 
actually declining after m id- 
1873 and unemployment started 
to rise shortly afterwards, but 
when compared lo the UK both 
these trends seemed to dis- 
appear. The unemployment 
relative (Scotland to. the UK), 
seldom lower than 150 per cent 
during the 1960s and often 
above .170 per cent, dropped to 
120. Scotland’s share of Gross 
Domestic Product climbed 
steadily, from under 8.5 per 
cent to over 8.7 per cent. 

As far as banking was con- 
cerned.- there was very good 
business to "be done in relation 
to the North Sea operation and 
a ready supply of multinational 
companies disposed to favour 
banks of their own nationality. 
The boom brought relative pros- 
perity to Industries not directly 


Tf 



5 » l ? 


i-fS 


. ;nve«rincnt Companies pressures upon the oo^»aby to * 
into new iin^t - n ■ d maintain a forward momentum.' 

are in general enjo in ^ rathcr than being able to 

£ VGl not underpressure to seek re-trench its position if condi- 
fore not under pr worfcing tions suggest that might be a 
outside money ror w ° better course of action. 

merchant hanks have Beeause or^e lislssjmmivei . 
therefore 1 sought to occupy merchant -tanks j.Tjwnfteivei 

Semselves in other directions, have no great •; incentive to 

Me acceptance credit business, nurture consoles, - over a 
riahte IWues. fund management period of years to ; bring them uj, 
floatin'* new public to a position where they can be 
Surnames floated. On the other band, some 

Acceptance credits, views of them are- ftirly-W... invest.' 

““ r n C v a rv somewhat, partial- '«3 equl^ patbapations 

larlv when lower interest rates themselves and there seems m 
lariy ''heniowv who be a growing possibility of fur-' 

feeT that Sire is little benefit ther business in airahfMg ouv 
in usin ' this type of funding side capital for companies with 
triien overdraft facilities can minority pan.cipatipns by 
ilsl as easily do the job, but the Pension funds and other instil.*, 
counterargument a 1 ® 0 exists tions. 
that they are much better than ]tyi: vp J 
other facilities for large areas ITiiACU 

of business. Corporate finance has re- 

Rights issues have provided a gained on an upswing witii a 
reasonable level nf business, reasonable level of .activity, even 
though the sums involved have jf d ea j s involved are not 
not reached the heady heights particularly large 'by pai,t 
that prevailed during the 19.5 standards. There are mixed feslr 
upsurge. Nevertheless, with the £j,g g about wbeiher this .Win 
stock market in an extremely con tinue at its pzrsent rale, rins 
buoyant state over the past year body of opinion reckons that 
companies have taken the high stock market prices , are 
opportunity to raise funds at a mjjang it too expensive lij 
reasonable price Little is bemg aC q U ife companies, "• while 
given away by the banks as to anot her view is that there will 
whether the flow of rights issues a iways be a relatively, iiigfi 
will continue, but it seems nunJ bcr of companies with share 
probable that some of them p r j ces W ell below the average 
have a few in the pipeline and therefore relatively "cheap" 
which should come to fruition t0 acquire 

if conditions remain acceptable. jj j s cijj-poj-ate finance vrhirt 
Aluch the same applies to has tended to. spotlight some nl 
new issu i'S. After several years t he changes that have taker 
of virtuai stagnation and then a place in the general struitnr. 
few false, indeed disastrous 0 f the merchant banking cnui 
starts. there were softie munitv. Barclays Merchan: 
successes, such as the relatively Bank has used corporate finance 
small Saga Holidays issue verv much as a speciality, as ha? 
which was vpry heavily over- { h 0 " long-established Giuhtj 
subscribed and which has com- Bank. This is perhaps.net really 
manded a high price in the surprising since they tend go- 
market ever since the . spring lo concentrate on ail areas ..oj 
flotation. activitv in order tn avoid sippi 

One nf the problems that p j ns " on the toes nf then 
merchant banks face with parent banks: Fn r example 
getting new Issues off the export finance, traditionally iu 
ground is that smaller and even area of the iong-esianlisliw 
medium-sized companies find merchant banks, is for the mbs 
the attractions of a . Stock part . given a miss hr Count j 
Exchange flotation nowhere so Bank since National W*«t 
great as they once were. For a minster Bank is very hearily 
start the expense of going involved in this area already, 
public is substantial and the At the same time, 'at thr olhei 
regulations which the company en rf n r the scale the small/*! 
must /-amply with are often felt independent merchant, bank.' 
to restrict their freedom of have been spreading their wins* 
movement. In addition, the hv increasing their fund 
CONTINUED ON NEXT PAGE / . 


•A . 1 * ■■ 

-- < v ■! W 


connected to oil and an un- difficult period L.I b. .the hotm 
precedented rise in earnings for market. Lord' ’ Clydesmuir 
Scottish workers, sn thpre was Governor, or the Bank of Si-ot 
also other industrial business land, revealed ■ thaf currenc; 
and a mild upturn in personal loans were now 25 per cent o 
lending. As a visible sign of all the bank’s total portfolio. Com 
this energy and activity, the paring 1977-78 against the. pre 
profits of the Scottish banks vious vear. they, had grown b, 
began to set new records. 37 per cent against less, thai 
But the fifth and sixth rounds 8 P er cent growth in sterlin, 
of licensing have been much len d» n S- Sir Michael Tcoung 
smaller than the fourth fand Harries, chainnan of.tlie Boyal 
anyway oil companies are much sa ^ that, foreign currenr. 
more cautious about ordering advances had risen by 41 pe 
now that they know how costs cent - while sterling advance 
can escalate offshore), so the went . up by 18 pej cent, 
stimulus from nil is unlikely to All three Scottish clearers ar 
be as big again. And the rest pushing ahead, with aiubinon 
of the economy has had time to expansion of their oversea 
conform to the national operations in an attempt t. 
pattern. maintain this sort of moinentuir 

. They recognise that they hav 

POlilt probably already , gone beyoin 

the limit to tile, amount p 
For the Scottish banks the foreign business tliey can jl 
past year has thus been one of by Telex rrom. their head office 
consolidation rather than and are busy establishing , 
fantastic growth. Figures are small presence overseas. 
now a little out-of-dale (and Bank of Scotland, already.! 
half-yearly figures for the Bank New York. Houston and Muscm 
of Scotland — the only one nf the ( j n a joint venture with Mntg? 
three which issues them — are Grenfell and Norodnyl is aboU 
not due until the end of this Jo set up a representative o®? 
month), but they illustrate the in Hong Kong. Royal Bank ’! 
point adding to its finance house -i 

Bank of Scotland achieved ^L ci V- ,h 
an operating profit of £26.8m >'**1 - and ** .• t ™n*?e f unaM 
in 1977-78, compared to £26.3 m f “ Np'" Ln Vrii 

1976-77, a derisory 1.9 per cent ° rk a " d . 'SS JH 

increase when judged alongside i,, re P resent ® c ‘ 

the 28 per cent rise shown by Jd n L'nLr S* 

1976-77 over 1975-76. f-WpLi^ ^ ri£ th?35 

. , .. J Llydesdale, which like the ouk 

In fart the bank itself made two has a Houston office. _J 

w fi thi 1l c S h«ff^iV ian 3 year ex P a nding its activities- throng 

1 “° re the OVGrseas network of « 
than offset by the performance parent bank, the Midland. 
of its two mam subsidiaries. i t v, ou id be difficult, howev? 

i in.n ffl ! r n C rf JhP t0 keep Up 1he IQ OV«^t 

a -L th ti“r h °-^ c business sufficiently to comp^ 
^orth Vie st Securities. The sate for what looks like hein 

^ --- -S 

JKJ Jh 

25 sbs» b > 

the bank calculated its figures hardest 

for the calender year 1977. it fuf? 05 /’ th f r e Is . Ilttle .SJ.» i 
would have achieved a 12 per Liif °u er ^ sho [^ i le *7f s , f - L 
cent Increase La profits. any substantial 

The Royal Bank, reporting in “'S* 1 *?.TSs ‘ ^ 

December last year, increased out 1 1 I ld 1 “ stry 18 “J , 

its profit by 8.2 per cent to vesJ . " ,; i 
£ 34.1 m, compared to a rise of V, 5 a ®° there 
nearly 25 per cent in 1976 on Sf-.f ”“ ona f- ,e s V PPl Z ? - 

1975. -The Clydesdale—smallest 

of the Scottish clearers— , sho “ w .benefit a 

managed the best result— £l4m, 5*‘> “«*»«, the major bang 
an increased of 30 per cent dn L® l “ e P ! a«orra conslrurtcg 
its 1976 figure— and . was the ™ Jurors of industiy 
only' one of the three to com- , . do . m 5 well,, partieulari 
ment ou a: significant increase ^ lechon 'cs. chemicals ® 
in domestic business as well as pna, ' ma PPUticals and .specially 
activity abroad. engineering. "ij 

For the other . two,- currency 
business again made up for a 


a 


nr 


i l 


4 . 


Ray fennel 

Scottish Co.iifspon&J 1 




the world 




Increasing stake 


i THE past year the big 
J tearing banks have further 
ightened their griup on the 
•k factoring industry. Last 
. anuary Lloyds and Scottish 
cquired a 75 per cent share of 
- sank America Factors and 
hanged the name to 
ndependant Factors. Lloyds 
low controls three factoring 
ompanies out of the leading 
ighr, including International 
■'actors, one of the largest with 
i turnover of almost flfiOm in 
ts last completed financial year, 
is well as Ales Lawrie. which 
landles around £120m a year. 
The National Westminster 
. nvns Credit Factoring, the other 
najor concern, while the Mid- 
.ind has Griffin Factoring and 
3a relays its own subsidiary as 
•art of its Barclays Export and 
‘■’inance operation. Outside the 
-tearing bank factors there are 
mly H & H Factors, part of the 
.Valter E. Heller group, and 
\rhulhnol, which specialises in 
vorking for smaller companies. 
The banks' involvement' in 
adoring has not been ' mis* 

. jiacecL Profits oyer the past year 
iave been high as more and 
' nore companies have come to 
prefer letting a factor take over 
heir financial problems. All told 
iver 1,000 companies are using 
« Factor and the collective turn-, 
iver must be around £900m a 
rear. The banks are in a strong 
MsitioQ .to popularise the 
service . because their branch 
nanagers can sell the advan- 
ages of factoring to those cor- 
porate customers likely to gain 
jy it. In the past factoring has 
• >uffered from the ignorance and 
suspicion of British industry- 

But what exactly dues a factor 
Jo ? There are three services, 
■»ne financial, ' one administra- 
tive, and one — coyer against bad. 
:lehts from customers — which' 
Tails between the two. Basically 
the factor “ buys " the debts of 


its clients. On receipt of the 
invoices it forwards up to 
SO per cent of .their cash value 
immediately to the client, sup- 
plying the -remainder of the 
money when it has got the 
account paid by the customer. 
This financial service can be 
bought by a company quite 
independently of the administra- 
tive service, which is really 
credit administration, the taking 
over of 'the sales ledger and the 
operation of an accounts depart- 
ment 


Help 


All : the factors, except for 
Alex Lawrie, will also provide 
credit insurance against bad 
debts, although only with custo- 
mers of their clients that have 
their approval. Alex Lawrie 
does not reckon it lnses any 
business by not providing this 
support: it believes it is forced 
to work more closely with 
clients in advising them on 
potential poor risks and that 
there is a -danger for clients if 
the factor is forced on its own 
account to bear down heavily 
on non-payers of debts. 

The cost of a factor depends 
upon the uste made- of its help. 
For the administration the fee 
is between 1 and 3 per cent 
of the clients t u r n over depend- 
ing upon the the amount of 
work involved. There is an 
additional charge for supplying- 
ira mediate finance' which is 
nsually around per cent 
above base rate and is assessed 
on the amount of money, 
advanced - until the factor 
recovers the debt from the 
customer. In effect the money 
advanced is roughly as expen- 
sive as a bank’s interest charge 
on an .overdraft. 

A constant complaint, against 
factors is the cost of the 
financial, service, but much 


CONTINUED FROM PREVIOUS PAGE 


management activities, specialis- 
ing in insurance and 'commodity 
broking. -. 

They have also spread their 
wings internationally — for 
example, Arbuthnot . Latham 
operates in Malaysia, while 
Anthony Gibbs has a presence 
In the Far East 

The argument that small 
independent merchants banks__ 
cannot expect to .compete j in 
large-scale ' lending because it 


puts pressure :on their capital 
bases, forcing them to seek out- 
side funds: 'remains something 
of an hypothesis. With condi- 
tions making lending a difficult 
market, . the small banks are 
probably none to keen to take 
too much of such business on' 
board .and -they are therefore 
unlikely to be feeling too pres- 
sed at present so far as their 
capital bases are concerned. / ■ 

’ Nicholas Leslie 


depends upon the use which a 
client makes of its improved 
and regular cash flow. If a 
company can squeeze better dis- 
counts from suppliers for 
immediate cash payment and if 
it can use the time released 
from not having to worry about 
customers paying to improve 
production methods or develop 
new markets at home and 
abroad, then the cost can be 
more =than recovered. 

Another criticism is that 
factors can come to determine 
a client’s customers. If a new 
buyer - gets the thumbs-down 
from a factor the client will be 
very: brave to. risk trading with 
him. ''In the main the factor's 
intelligence about the financial 
wellbeing of companies is very 
accurate but there is always the 
possibility that a client will miss 
a profitable deal 

In the main the advantages 
of using a factor outweigh the 
risks~-especialJy at a certain 
stage -in a company’s develop- 
ment Factors are very selec- 
tive about their clients; they 
are not an easy alternative for 
companies with cash flow prob- 
lems.. They turn down the 
majority of applications and are 
only interested in small but 
expanding concerns which need 
financial help while they are 
building a successful business. 

.■On average, companies with 
a turnover of around £lm are 
most favoured by factors 
although Alex Lawrie is happy 
to : .work for 350 smaller con- 
cerns .with average sales of 
£500,000 or under. In many 
cases. 7 a factor will be more 
sympathetic than a bank to a 
new business and there is a 
general understanding that at a 
certain stage of development 
the client will stand on its own 
feel and set up its own account- 
ancy department 
' However, some large com- 
panies employ factors to look 
after particular subsidiaries, or 
td. -handle their export sales. 
Exports are an area where a 
factor cab be most helpful- All 
the factors have international 
links', be it the Factors Chain 
International or their own 
offices. Through these overseas 
contacts factors can make ex- 
ports as simple as sales inside 
the UK. The offices abroad can 
advise on the credit-worthiness 
of potential customers and for 
the client there is no extra risk 
or fatigue in exporting. It might 
not even cost more. Export 
■factoring does -away with cur- 
rency problems and pushes over 
to.- the factor the problems of 
open account credit demanded 
by .many foreign buyers. 

" Anfony^llionicroft 


OR SOME time the finance 
suses have felt that the official 
atistics do not do them justice 
. id fully Illustrate their role 
. t the financial community. It 

- as felt that both the extent and 
ie -nature of the business 
ritten by the finance bouses 
"as being misrepresented. 

So the Finance Houses Asso- 
. ation (FHA). whose members 
'count for at least 90 per cent 
: the total industry turnover, 

: .tablished a year ago its own 
ati.slicai inquiry. This seems to 
-o\e that the misgivings were 
istified. 

According to’ the FRA 

• qiitry. at the end of 1977 (he 
tal outstanding instalment 

.■edit to Association members 
as I3.I7T.bn. This compares 
ith a Department of Industry 
;ure for ail finance houses of 
!.125bn... 

The difference is mainly ex- 
ained by the fact that the 
. epartmeni's statistics do not 
ichide those for leasing. But 
asing has become an 
irreasingly important part of 
ic finance houses' operations 

• id, according to the FHA, 
■conn ted for £5S2m of the out- 
andinc £3.171bn at the end of 
st year. 

Changed 

By tiie half-way stage of 1978 
..ie totals had changed so that 
itstonding instalment' credit to 
HA members stood at £3£3bn, 

: which £768m was represented 
r leasing. 

- The inquiry also supports the 
ssneiation's contention that in 
icenr years the rate of gTowth 
r business written by members 
as been greater in the field of 
idustrial and commercial trans- 
itions, especially through leas- 
ig, than in consumer business. 
There is no doubting that the 

' nance houses are currently 
aing through a fairly buoyant 
eriod. The trials .and tribula- 
ons which beset some of them 
fter the property bubble burst 
i 7973 have not been forgotten 
ut are at least some distance 
ehind. - 


The retrenchment that fol- 
lowed the disasters which over- 
took the industry at that time 
has undoubtedly left' itsr mark. 
It has been argued, for example, 
that the raw statistics mask, the 
real decline in the finance 
houses’ fortunes and that they 
now play a lesser role In the 
country's economy than they did 
nine or ten years ago. 

Dr. F. R. Oliver, Reader in 
Economic and Social Statistics 
in the University of Exeter, 
pointed out recently that the 
published statistics take no 
account of inflation. .7 Price 
changes have obscured changes 
in the real ‘output’ of the 
instalment credit industry," he 
wrote in Credit magazine. 

“The effect of these major 
price changes has been.- that 
although, in current prices, put- 
standings to finance houses. and 
retailers more than doubled in 
eight years, from £L319bn at 
the end of J 968 to £2.683bn at 
the end of 1976, when constant 
prices are used the change was 
from £3.127bn at the end of 
1968, measured in terms : of 
average 1976, prices to £2.524bn 
eight years later. This is a 
decline of as much as 19 per 
cent in real terms. (The decline 
in outstandings to finance 
houses is slightly greater than 
in outstandings to retailers.) ” 

Dr. Oliver suggests thafJhe 
statistics of the nine-year period 
“certainly refute any sugges- 
tion that . instalment credit, 
enjoys an inevitable bouyancy, 
although they by no means Sug- 
gest that the industry is about 
to disappear. They suggest ah 
industry needing the sympa- 
thetic support of the monetary 
and fiscal authorities. The 
statistics are a challenge, not an 
indictment or an obituary.” 

Whatever the real picture, the 
core of the finance houses busi- 
ness remains the granting' of 
instalment credit on 'motor 
vehicles. And the consumer end 
of this market is being progres- 
sively depressed by . inflation. 
The FHA has pointed out. to 
the authorities that between 
April 1973 and April 1977 the 


monthly hire purchase repay- funds. At one stage the FHA 
ment on a car in the l.OOlcc to hoped to stimulate the introduc- 
1.400cc range rose by 131.4 per tion, with the participation of 
cent from £36.13 to £83.60. the clearing banks, of a new 
largely because the price of a medium-term instrument. But 
new car In this range jumped this did not prove feasible, 
from £985 to £2,280 in the same The topic whicb currently is 
period. causing FHA members most 

The Association produced concern is the restriction on 
these figures when arguing that the use of the words “bank” 
the controls on instalment and “banking” in the Govern 
credit, unchanged since Decern- ment’s proposals for the super- 
ber 1973, should be eased from vision and licensing of deposit 
the current one-third down- taking institutions, 
payment and -24 months to pay. a number of finance houses 
This could be achieved by have the words ” bank " or 
increasing the repayment ** hanking ” in their title, or use 
period to 36 months. It pointed these words in letter-heading or 
out that average gross weekly on cheques, and have done so 
wages rose by 90 per cent com- for many years without atlract- 
pared with new car prices oF jjig complaint It seems they 
131 per cent in the period will hau*> to invent new ways of 
reviewed and instalment credit describing those activities be- 
on new cars Is “beyond the caugg Government seems 
reach of many, who would pre- determined to restrict the use 
vwusly have been able to afford of words by deposit 

t ^ em ” taking organisations. 

17 i »i j There is no way of knowing 

F 3116(1 customer reaction to the change 

The Government's view is that ^ hit loss of g00dwiU wU1 
. a ".., e f st 7S..? £ me problem might extend 


Factoring 


■"“'"'f The problem might extend 

would simply result in a t even ^ SQme of the handful of 
more imported particularly finance houses « 12 7 >> 

Jaoanese — cars being sold in the . t .. , 

UK because the British manu- * l J ® 

facturers. in particular BL, are ^,, 5^ ex J ct J y 

in no position, to cope with ^ h . 1 ^ be used . t0 

increased demand. But the ^^ne when an orgamsa- 

finance houses answer by sug- ^rSL™^. 18 . 3 ban ^*. . 
seating that this form of “dis- k **9 FHA m campaigning to 
guised imports control” has guidelines are 

failed dismally and the terms “ ot tightly drawn when 
controls are grossly distorting ^ ultimately emerge m their 

the car market ® n ^^ orm : 

The FHA is not shouting too The other major headache 
loudly in public about terms for the sector is the steady 
controls at the moment A much dribble of consultation papers 
more important problem is the »f sue 5 1 uuder the Consumer 
one of attracting longer-term Credit Act The attitude of the 
funds. industry generally was summed 

The 36 members of the FHA U P recently by Mr. Leonard 
are mainly subsidiaries of the chairman of United 

major clearing banks and other Dominions Trust, when he re- 
“bluechip” financial organise- t°rted in his annua] statement: 
tions. They often resort to To ° much time and effort has 
borrowing from their parents. *° demoted to the implemen- 
There is no doubt that even fa** 01 * °f the mass of regula- 
these “aristocrats” among the tions which are being published 
finance houses wou3d welcome 30(3 ** i® doubtfal whether the 
more medium and long-term cos ^ s involved.. will ever justify 
•_ . the protection afforded to -a 

negligible number of con- 
sumers.”'; 


Kenneth Gooding 


Financial Times Tuesday September 1SM97B - 


UK BANKING TX 


Finance Houses 


ns of fresh buoyancy 


amro bank 


in London 


for international banking 


services 


Amstemam-Rotterdam Bank NV 
London Branch: 29-30 King Street, London EC2V 8EQ 
Telephone 01 -606 8833. Telex 8871 39 


amro bank i 


amsterdam-rotterdam bank nv 


Branches, subsidiaries or representative offices in Antwerp, 
Curasao, Dubai, Jakarta, London, Tokyo and affiliates in 21 countries 


With more than 1000 offices, 
branches and agencies in over 46 
countries, Scotiabank is very much a 
world bank. And we’re a large one at 
that: our assets exceed C$24 billions. 

Since 1880, when our interna- 
tional banking began, we’ve grown 
into the modern global network we 
; aretoday. In fact, we’ve opened in 
^countries inthepiastS yearsalone. 


: invaluable when you need advice 


on a set of complex tariff regulations. 
Our organization is essential when 
you require! instant decisions in a 
rapidly-fluctuating currency market 

And our size is imperative for 
large-scale financing in today’s 
international trade. 

If you have a business tbat takes 
you abroad, find out the advantages 
of a truly world bank: Scotiabank. 
We’ll make you feel right at home 
around the world. 


A ; the BAN K OF NOVA SCOTIA 

.RegkHiaJ Office, lf^ MttteySqiurerL^ 





25 



The Smaller Banks 


Development proceeds at 

a steady pace 


THE competition in the bank- and Si per cent in 1975. But tioh. Advances rose from £122m profits of between £13m to £l4m 
ing world for personal accounts personal accounts increased by to.£153m. this year, 

has become extremelyhot over over 20 per cent for a 50 per Given the competitive state of No figures for the current 
the past year or so. The major cent gam over the past four m : -market these results are year have been given by the 

clearers are now actively seek- years. rather surprising, and must to Co-op but evidently growth in 

ing the personal accounts, and a certain extent reflect the ■N sectors of the ’ business . is 

m particular the school leavers strong - customer loyalty that has still vei 7 strong. 

taw built “P over sevcral yeaw- But whether both can sustain 
r?n\i Both bank « have also been The Yorkshire Bank has always this sort of track record in the 

^ I2n P roved keen to open new branches at offered the smaller customer a longer term is debatable. Both 

men competitiveness. a time when the majors are quick and quality service that the TSB and National Giro have 

This has naturally put a carrying out extensive pruning was certainly not apparent at only recently started ' to offer 
greater strain on the smaller operations. In 1977 the Co-op the larger High Street banks and personal loans to the customers 
banks such as the Co-op and the opened four new branches. The this more than compensated for and both are at very compete 
Yorkshire which have tradi- Co-op now operates from 64 rates that were less competitive tive rates. On top of this over- 
tionally specialised in the branches, some 3,800 “Cash-a- than could be obtained else- draft facilities coupled' with 
smaller corporate and personal Cheque” points situated at check where. Moreover the bank has interest-bearing deposit accounts 
accounts. outs and other sales points in a always claimed that it has been from larger banking networks. 

The chairman of the Co-op in wide variety of stores, as well as considerably more active in the where the opening hours are 
the last annual report stated 700 “Handy banks.” These field of personal loans than the considerably in excess of con- 
that the bank had felt the im- Handybanks provide all the major clearers even though ventional banking hours, must 
pact of the outflow of funds to main Bank services during shop- their .rates were lower. Indeed soon have some impact, 
these other institutions. More- P in S hours - Five branches were in 1877 the Yorkshire Bank 
over, he felt that the competi- opened by the Yorkshire Bank granted 93 per cent more per- piprlnrprf 
ion was unfair'in that both the in 1977 taking the total to over sonal loans than three years ago. 

National Savings and Trustee 190 an £ there are plans to open Rates at the Co-op Bank have it must surely be : only -* 
Savings Banks provided interest a further five in the current tended to be more competitive matter of time before there ii 

free of tax on funds deposited year - than those at the Yorkshire, a . nationwide awareness to .the 

up to levels attractive to the On the trading front both Free banking was offered if the range of rates that are avail- 
small saver while the building banks appear to have come out current account was kept in able. Indeed under the Col* 
societies could offer interest 0 f a period that saw MLR fall credit while the 15 per cent sumer Credit Act the Govern- 
compounded with a con- from 14* per cent to 5 per cent true rate on personal loans is ment is pledged to educate 
cessionary rate of tax. reasonably well. Both banks two points or so below that at the consumer on such matters; 

Nevertheless, both banks have rely more heavily than other the Yorkshire. It would seem that while both 

performed relatively well in a clearers on their interest bear- The’^ Yorkshire Bank naturally ba nks have been extremely 
difficult year for domestic bank- ing accounts for funds, so any has its strong hold in the North successful in the past there 
ing where lower interest rates switching to more favourable and there does hot seem to be now ta a case for a more 
and higher costs have been areas would have a marked the same awareness and indeed a SSressive approach to then 

eroding margins. effect concern over rates of interest ^ operation. 

Operating profits of the Co-op Despite the more competitive that is now apparent in the As Artimr Sugden, chair •- 
Bank rose from £2,6m to £3m rates that were obtainable else- South.. Whereas in London a man . «»e Ctnjp bank pointed - 
in 1976 while at the Yorkshire where, current deposits and customer seeking a personal ° nt report, “ people 

Bank the gain was more modest other accounts at the Yorkshire loan would more likely- ask first wiling to save — at -an 

at £lL85m against £11.75m. Bank rose from £339m to £376m what the costs are, the Northern increasing rate in fact— and 
But bote banks continued to in 1877. So despite the higher customer is more interested in ““JJJ Prepared to utilise', 
show strong growth in the demand for personal loans the whether he -Is getting the loan. an “ reputable _ institu* 

number of new accounts. The bank was able to maintain its Clearly there are no .short- *** . - 

Yorkshire Bank achieved a 10 very high deposits to advances term feats at the Yorkshire. Dart nf^hJL 
per cent increase in new current ratio. Advances stood at £225m personal loans are running L 111 e? 

accounts on the year for a compared with £186m. in 1976. about A* cent h ’Sher so art Jj_ TiV p P ^l bared offer an 
26 per cent gain over Tlie story was much the same far this year while deposits at of ' services . 

the past three years. The at the Co-op where deposits the half-way stage had risen .to h #»,. JJL** . r J a W r ac “ s J . 
number of all accounts at the rose from £306m to. f 350m des- £ 410 m with. advances at £252in. 0^ .. . 0mer b ** nee • 0 
Co-op rose by 18! per cent com- pile a reduction of £19ro in the On these - sorts of figures the. * -. " - 

pared with 16 per cent in 1976 balances of the parent organisa- bank, could be heading for ,• D.W. 


Financial handiwork 

Sumitomo Bank. 

Where up-to-the-minute computerization 
helps make business 
easier and more efficient. 

But helpful hands 
will always play a prime part 
in getting a protect done. 


^ The Sumitomo Bank, Limited 

Osaka. Tokyo. Kyoto, Katie, Nagoya and oihor maior cities tn Japan 

London. Du-uoldorf. Bruv.els, Vienna. New York. Chicago, 

Los Angeles. San Frann.^cn, Seattle. Houston. Hong Kong. Singapore, 
Jakarta, Sydney, Mexico Ciry. Sao Paulo, Beirut, Tehran, Cairo 


Is your business considering new _ . 
investment plans to exploit opportunities that 
are now emerging? If so, there are plenty of 
people willing to lend you the money. "Why 
choose Williams & Glyn's? 

If you talk to us, you will find that the branch 
manager will take a great deal of trouble to get 
to know you. He will expect to visit you on your 
own home ground in order to obtain a first-hand 
understanding of your business. There is, after 
all, much more to a business than a balance 
sheet When you need money he will be able to 
advise on the best way for you to borrow it - it 
may be instalment credit you need and not an 
overdraft Or any one of half a dozen different 
ways. If its a medium term loan, then the 
repayment pattern will be worked out with your 
cash flow pattern in mind. 

If you would like a bank that takes the time 
and trouble to understand the individual 
customers problem - and opportunities - why 
not talk to your local Williams & Glyn's manager. 

Or write to:- Marketing Development Office, 

Williams & Glyn's Bank Ltd., New London 
Bridge House, 25 London Bridge Street, 

London SE19SX. 

WILLIAMS 8 GLYN’S BANK LTD H 

The most flexible of the big five banks 

A member of the National and Commercial Banking Group and one of the Inter-Alpha Group of Bank*. 


— i 

! 

Five ways to more 
profitable business 

1 Short-term Finance 
Overdrafts can cover seasonal 
fluctuations in revenue and 
expenditure or provide additional 
working capital. 

2 Medium-term Loans 

A more formal arrangement for 
loans from 2-7 years for the purchase 
of new plant and equipment, eta 

3 Cash Flow Control 
Williams & Glyn’s managers are • 
always ready, to help with advice: 

4 Instalment credit for 
new machinery 

Our subsidiary St Margaret’s Trust, 
specialists in the Instalment Credit 
Market, can provide facilities 
for the purchase of Industrial Goods 
or Equipment 

5 Development Capital 
Williams & GJyns can provide 
finance for expandingprivaleand 
public companies. 


it comes 


to borrowing money 
for your business, 
ask Williams & Glyn’s 


. ’ Emaa cM 

UK BANKING X 


Foreign Banks in London 


Incomers once again 
on the flood 

JUST THREE years ago it looked respect Three years ago there other centres was the quality cipate in some of the Export 
as if the inflow of foreign banks was only one Korean bank : in of its communications system. Credit Guarantee Department 
into the City of London had the City— the Korean Exchange T^saLte. the problems and the schemes. However,' the UK 
finally come to a halt Between Bank. Today there are sevens nressures on nrofit- authorities’ decision to back- 

1974 and 1975 the number of and five of these should befall mtv'e foreign ^ank- track on their original liberal 


duu 15*. J umnuex ui ana nve or unese snouia oetau akiIitl , th : rity v foreign bank- tracx on tneir original li 

US' 'Si IS' b T Ch opetations b * ^e year ing Mmmunitjr.mains remark- attitude and ley down, strict 
ally fell. One or two of diem end. . ah , v hunvanL In the old days ™I*« of access has soured -the 

afew Welded to Moreover, there has been a before floating exchange rates schemes in .. some . foreign 

call it a day and return home, resurgence of interest by the . th _ international mone- bankers’ eyes. 

Sri < 5 n 1C ^? hankc smaller - American regional tarv s-'ene foreign banks could Even though the foreign 

5 1 . aDki banks la operating full * foreign exchange profits banks have been expanding 

fonder seemed^ 1 be around- 2 ° * , | ” nclies ; lor t^ir UK business' and opening 

After S collar of the ^ were me banks that were anything extra was cream on offices in the provinces for most 
collapse of leading toe exodus from * However the well of them ‘the eurocurrency 

HeSSn a b nd^ D few h otblr sm£i Lond ?°- b £‘ only a few_momhs ^lirised losses on’ the foreign market provides their bread 
ft? ana a le . H 0 ,® r s f 3ail ago the First Union Bancorp markeLs forced senior and butter business. On present 

arena bec^f’a muSTtS - » »** **§ “ f “™ ! b - ^ 

lri.„dly p ™ for “SSUvrfJ "LfS on the dealing limit, that they tlonlarly profitable smee spread s 

dici.ujjt that it intended to open a foil thp} _ T« n Hon nm>n- nf under 1 per cent for any thing 

b“ ^ and ,io "o and is now "“VM mnt T 

deposits and with the coUapse *" SL Xonis, difficu j t t0 raa ke money (and renfly the noim As the formerly 

of the UK property market £ h,ch 15 ***** ** SS* lose it) from this source. profitable loans on their 

there wa^ Ie« husine^ to be Bancorp ?roup ’ ha s had a r^ire- books come to an end the banks 

mere as -s -s sentahve office in the City since are being forced to take on less 


r . , .. TT tt- sentanve office m the City since 

JuioriUos “re Ue^nS i . but ‘ he , bank C ° U P 


tightening 

their hold on 
bankers and foreign 


profitable loans. 

boti^fnrei^n t * lrt il needs upgrade ft to , . , .The thinking seems to be that 

SS?n S a branch so ** * v, COn f qUent ^3 n they need to maintain their 

V>aYnst thiTback^'Oimd there P r °P eri ^ semce its mid- been aggressively pur^i- relationships with their cor- 

no shortage Tf bakers thlt Moslem clients such as Cater- mg domestic UK banking bujl- porafe Corners so that they 

argued thatl^ndon’s futures P®"- JohT J i Monsanto "ess. will be able to profit when’ 

the world s leading financial and international Harvester ..^f-tn^hSuir^aZ * few 5preads ^ntually recover. 

centre was on the wane. . recent enthusiasm Jfor St/hank- b^ l2en Howevcr - ba nks, in par- 

establishing new foreign opera- such as ciuoa ok, na*e oee a ticn ] ar Americans, have 

Crkn+innoH tions in the City seems a little expanding their consumer credit withdrawn fron , ^ market 

LODllIlUeU hard to justify. The City is side. The latter, for example, unti j Bprea( j 5 recover. 

tx „ _ already overbanked and -the recently tied up a deaf to pro- -j^ e i r p i ace has been taken 

• P 11 ? slight setback competition for business in the v ide credit for Marks and by the Japanese banks which, 

in the City’s fortunes has proved Eur0 markets is such that Spencer’s customers which was according to the latest banking 
to be nothing more a spreads have been forced down Quite a coup. figures, increased their foreign 

hiccup. _ Last year 30 new to virtually breakeven 1 levels, in the more traditional areas currency lending by 40 per cent 

foreign banks opened offices in Meanwhile, the taxation system of business lending the foreign over the last 12 months. Obrt- 
the Caty, more than at any tune ] n uh e UK makes Loudon a less banks, and in particular the ously the figures, are distorted 
since the peak in 1973, and so attractive financial centre than American hanks, have been giv- by foreign exchange move- 
far this year the ttend has con- ^ Bahamas, Cayman Isles and ing the UK clearing banks a ments but it seems pretty clear 
Mnued According to The Luxembourg. In addition^ seme run for their money. Prior to-its that the Japanese are once 
Banker, which compiles an hanks have suffered from com- stock market debut, Ferranti, again undercutting other inter- 

authoritative listing of all the munications problems.' for instance, arranged a £25m national banks to build up their 

foreign banks in the city every Continental Illinois ran into medium term loan and this was market share. 

November, 1978 should see the trouble when it tried to move put together by Chase Manhat- Against this background it -Is 

n «*ntar of foreign banks top in t0 its new London • head- tan Ltd., with the help of Royal hard to see why foreign banks 

the 300 mark. quarters in the old Times build- Bank of Canada. Royal Bank of continue to flock to London in 

A glimpse atthe new entrants ing in Printing House Square. Scotland and National West- such numbers. Many of the 

Indicates the diversity of Because of an industrial dispute minster banks that are now comiag are 

pedigrees. The Landesbank post Office engineers refused n V er the 12 months ud to newcomers to the international 
Stuttgart, the Shanghai Com- to connect up its foreign j u i v i as t the U.S. banks in- sceoe London is their first 
raerdal Bank, Banco de exchange and money market cre a se d their sterling lending P° rt of i ca ^ L However, there are 
Sabadell. Banque Canadienne operations. For an international fov j ust unc i er a gf t h to £3.0bn sifins , that P eri ° d of 
Nationale, the* Bank of Zambia bank problems like this a re' nut ^hile the Japanese banks . wl J x ch characterised 

and the Industrial Bank of taken tightly and other foreign increased their lending by IS iow 
Western Australia are just a banks in the City got a taste a^d a third as did the other 

few of the banks that have 0 f what could go wrong when foreign banks. In certain indus- p ^f, ,? , a ^ d ? nost banK 

opened for business in recent the Post Office engineers had tries, such as chemicals, the stiU believe that u is necessary 

months In addition a number their "go-slow” earlier on in American banks are now the J? fa r fromri^r thatch e^ar'i 
of banks already m the City the year. Rajiid and efficient main providers of loan finance. IS from dea that ^ ey ar 

have upgraded their offices into wimmn ninatifinc arp vital! v TV.n cwltnV, .va, *« (»»!». maKing 

full branches. 


have upgraded their offices into communications are vitally The’ ^Uch"ovVr 'To" for'eign “SIS' J S U , e 7wre’five”eare 


important for international currency financing for UK ex- 
The Korean banks have been bank and until recently one of porters has also given the 
particularly notable in this the City’s key advantages over foreign banks a chance to parti- 


ago. 


William Hall 


f. 







Financial Times Tuesday September 19 1978 

— BANKING XI 




Consortium Eanks 


a Eai 

>d 


Year of consolidation 


FOR MOST of the consortium ' 

banks 1978 has been a period of LEADING CONSORTIUM BANKS 

consolidation. Over the previous lwuiwb wiwumiuw 

two years there had been some Balance 

well publicised, reshuffling of sheet Total 

interests culminating in the Bank date assets 

swallowing up of London Multi- , £m 

national Bank by Chemical Bank Orion 31/12/77 1,025.6 

last autumn. For some people Maibl 31/ 3/78 940.0 


= ■ - Springs and Credit Suisse Assoc, 
should want to pull out of a UBAF 
well-run bank like London Saudi 1 


and less successful banks? 


sheet 

Total 

% 

After-tax % 

date 

assets 

growth profits growth 


£m 


£m 


31/12/77 1,025.6 

2.7 

5.4 

4.9 

31/ 3/78 

940.0 

4.9 

3.8 

32.5 

31/12/77 

851.9 

16.7 

3.7 

17.6 

31/12/77 

487.7 

-3.4 

2.7 

28.6 

31/12/77 

457.9 

41.6 

1.0 

191.4 

28/ 2/78 

439.4 

L9 

L4 

2.9 

31/12/77 

431.4 

15.6 

L4 

30^ 

31/12/77 

416.0 

82.5 

0.7 

-10.5 

31/12/77 

401.4 

_ 

0.5 

-10.5 

31/12/77 

381.1 

0.5 

1^ 

2^ 


the route, for example, fol- 
lowed by the Japanese city 
banks which, set up Japanese 
International Bank and Asso- 
ciated Japanese Bank in London 
and Banque Europeene de 
Tokyo in Paris. This formula 
had two defects. First it isolated 
the Japanese banks in ibe in- 
ternational. markets and meant 
that when Japanese borrowers 
were finding difficulty raising 
money it backfired- on the 
Japanese consortium banks. 

More important, the Japanese 
banks have begun to move into 
the same areas as their con- 
sortium bank affiliates. To be 


►v'. were to get together again today Some consortium banks even tion. whereby banks from one * . ■ 7 as . J? 

they would not set up a similar posted a decJinein profits. Most particular region clubbed to- ,! r 0,30 311 ??■ 

consortium bank. This is not notable was European Banking gather and attacked the Euro- r* 0 ? 11 Tnj v ,™ e consortium 
to say that Maibl and Orion Company where pre-tax profits markets, has not proved par- DanKs are obsolete, 
have not been successful, but fell by -±2.5 per cent. Previously ticularly successful. This was W.H.I 


WJL 


^ f \ V /I 


Leasing 


for both sides 


A FEATURE of the lease are in leasing for the sake of tion at a British yard. Another and along with this has grown 
finance industry in the UK in leasing, in fact the total capital concerns a £100in catalytic an awareness of the peculiar 
recent months has been the pres- which can be directed into the cracker, following the £70m importance of watertight in- 
sure of work on its company purchase of leased assets is lease financing of a catalytic surance for leased asse ts, 
executives.. , New capital . for closely related to the total lax- cracking unit at a Humberside Specialists in these .fields have 
industrial machinery 'and trans- able -profits of the major banks, oil refinery last year. The third- been In short supply, but their 
port bought by the nation’s One stockbroker puts the involves a £55m oil rig. numbers are growing. The 

lessors wfll approach £lbn this current capacity at £»00m to jjj,, motor ^ leas . demand for expertise remains 

■ .ealandar year, compared to last £lbn. The industrial rejuvena- ing industr _ has by leaps immense, 

year’s .reeord £675m.' Most leas- tion incentive known at first* and bounds ever since the 

; aa'saa £ sasra -sktss Ex p° rts 

wsrsnasss jzjsvzsjs 1 * 

-:!23U^MM£ sure. S£ as sih r jte/m: r **r “ 

. nr wJL S 8 cars’ for use by the public. Some company which legally owns the 

ol lercumgja Pkoanoct £57m rf motor cars were leased w be based in one 

■ ; -t -In. short, the ability of parts VylJtaptsl by. members of the Equipment country, the user of the asset, 

... of the industry -to- process its Leasing Association last year the lessee, could live in a 

contract, documentation at the The advantages to industry gthne. and since' activity has second, and the manufacturer nf 


’* n . snort, tne acuity or pans by members of the Equipment country, the user of the asset, 

... . Of the industry to- process its Leasing Association last year the lessee, could live in a 

contract, documentation at the The advantages to industry gjone, and since* activity has second, and the manufacturer of 

. ■ . sajne : rate - as nevi - business have been immense. Because be^n almost unabated, the figure the asset could live in a third. 

.. . comes in is tinderstrain. While much of the advantage of capi--^- win be considerably Complications arise over VAT 
;. ; the major lessors, subsidiaries far allowances are passed on to higb er charges, withholding taxes 

,' lL There is some unease in the local laws and company registra- 

- clearing banks, provide the bulk of the cheapest forms of mdus- Jefl? <p ^, ctr v at rate of tions. repatriation of rentals and 

.- ..of the financial capacity to pur- mal finance. Moreover, leasing - ^ the motor sector the ij ke . The real fiowering of 
chare new assets, substantial offers i a form of The £57m of last year compared international leasing in Europe 

J fi"?' con, 1 ? fr ° m mer ^ hant “^hshed ™ with £l98m spent on plant and will have to wait another year, 

. L./fl banks, finance houses, insurance finance rare in British indu^ iichinery, for instance. That and once again more expertise 

companies, and (increasingly) where certainty and flexibility *** but further sub- is needed. 

; Pr^tablj initial and whole- can be built mtocontracts. e2r gS35i cSfl i t is evident, speaking of 

' Rental payments, for instance, upset balance of portfolios, expertise, that the main Boards 

■ JSSL for T be taJored t0 the abl i Tt J of abd would reduce the capacity 0 f the major banks have still 

- hi*, profits. In addition, the asset to generate cash flow which the leasing industry has no t wholly cottoned oo to the 
• in the future, while rates can be available for otter Industries, great importance of their lea* 

^^ r 1 cans ’ P lay - 511 important fixed or floating. This is more in Some Jessors are known, to be ing subsidiaries in providing 

role. .- accordance with American bank- consciously soft-pedalling on substantial capital for UK 

■ Managers of industry are ing practice than the so-called motor cars, and taking a harder industry. Members of the 

: apparently more willing now conservative British banking look at bIg tid£ct projects. American leasing fraternity fre- 

- ■ re i ics on JSlS ; The leasing industry, since It quently observe that the heads 

- - “i wort Jl an J the ov e er ^!! t began to take off in the early of the leasing arms of British 

• I^ ^^t and-the system ratter than term-finance. lg60ju has mercifully free banks carry little real clout 

Leasing ias a jargon all of its C f disputes and litigation with their parent bodies, which 

- own » of lX borrowed from between lessee and lessor. This is In contrast to the evolu- 

010 U-S- Very large deals are means. howe ver. that there Is tionaiy pattern in the U.S. 

: ' SjftL SSSR?Sit”.Th7 .dv ar^ eilIed ‘"big ticket" deals, for little case law on the subject. Considering that leasing is the 

' •’ ' ■„# . ip- a, j iA instance. This year, will see the and the legal fraternity has had fastest growing form of Indus- 

completion. Of- ff Significant- to rely on its own judgment trial finance today, and the total 


No 

problem 


some banks had wanted to that the needs of the share- it had been one of the fastest to some Japanese bankers, 
.... -pull out, of their London con- holders have changed. growing and most profitable they have at least acknowledged 

aortium banks they would not Ten years ago medium-term banks and its setback empha- that their consortium banks 
./■have had to .look far for an ex- Eurocurrency lending was- con- sised the volatility in profit- were an experiment which has 
. - eu&e. Italian International Bank sidered something ratter spe- ability facing a new bank, enabled them to learn about the 
, ‘ Is a prime case. In the year to eial. Today every internatiopal United International Bank was Euromarkets more quickly than 
I * June 1977 it lost £8.8m and Its bank carries medium-term loans another that saw its profits otherwise. 

- four Italian shareholders might on its books and aggressively decline marginally because it The second, and more suc- 

• ;h$ye been forgiven for wanting seeks management positions, forsook chasing low margin — cessfnl, type of specialist con- 

Lto call it a day and retire home Consequently, the consortium loan volume. so rtium bank has been where a 

. to lick their wounds. But they hanks need to clearly define B y contrast there were one num her of major banks have 

: . did not. They put in new man- their position in the market- or two major turnrounds in 00016 together to concentrate on 
. *eement and pumped in extra place. profitability apart from the case toa Particular region. 

■ - -capital, and in its last financial The problem of profitability 0 f Italian International Bank, Eurobraz, Eulabank and Libra 

* 3 ? ar ., e bank move d back into is not peculiar to the consortium already mentioned. The Nordic Bank prime examples. Inter- 

tte black. banks. Every international bank Bank in particular, which had m6X - which concentrates on a 

-fx i is suffering from a squeeze on been suffering from shipping single country— Mexico— is an 

JBenaVlOUr margins and as the profitable loan losses, posted a sharp up- even more specialist version. 

• • loans, at spreads of between one turn in both profitability and Thes £ have benefited 

- • There are other less publi- and two per cent, fall due for balancesheet size. London and J 1001 the . “ ey have 

; ' cised examples where censor- repayment, the banks have to Continental Bankers was “ff backed by powerful share- 
tium banks -performed well decide whether to replace another consortium bank that “ 0 *d ers , ^ e y have been 
. _ - below expectations but the them with less profitable loans registered a sharp turnround in ab,e \° move faster 

^ shareholders have stood behind or wait until spreads improve, profits. generally know more about a 

. •* the Lank and thought it worth All banks Hke to show agrnwth As a generaI jt appears regioD „ th 4 f ir 

Persevering. Tf anything this in their balance sheet and there ^at more specialist con- f^areholders. Consequentiy, 
......sort of behaviour ■ says more is always a tendency to take SO rtium bante are to be il bra ^ ltt »&***• h « 

; .:about consortium banking than on less profitable business in the mosT potable bS such SSf Con,p l te JS M 5? SS ' 
... ihe well publicised decisions to order to maintain a client a Lib g. ^ wbi ch h fully with its own shareholders 

; . , pull ont; No doubt there will be relationship. ' ^3^ its pSfrom S.6m to ^ 

. more banks that decide to with- For tte consortium banks, over £5.0m over tte last five ^e^hird^^of sDecialisa 
- drew from a consortium bank however, the pressure on profits years. are clearly benefiting Uon is t he ind^tre tyu^ and 
but - despite the constant talk is more acute since they are from concentration on high mar- here there £ lesT SELS™ 

. .'j about conflicts of interest, for unlikely to have built up a pro- gin business in their regional aboSt i^ releVanre 
. some hanks a stake in a London tected market position (in areas areas. The same goes for a bank EatiE ’l bSST’ iSi 
-' «^ 0rtilUD bM1 makCS a l0t 0f such 88 foreign exchange as the International Energy forme d to uS^ide imedidSt 

• ”“ e *. • . ; export credit) which can Bank, which has made a name See for E worid Serfy 

• Tliere are two immediate cushion their profits when-times for itself in North Sea financing, industries but it has not been 

. Problems facing the consortium hard. Last year’s remits coStod and it is quertion^bte 

.....barncs at t be moment First of J™.™ C0 ^f luin , JT ^' s BaCkflTC whether it can be much more 

. . .. all their profits are under pres- underlined iheir dilemma. successful than a bank such as 

lor some shareholders ^ However, the pursuit of Chase Manhattan or MorgS 

®jJ ltab * Mty - *s- a . k jy Khnwpd vprv titrip P ornLth hi » her margin business implies Guaraniy which have built up 
-.535?- assessing the f. p ^ ° rowth m the acceptance of a higher level their own specialist energy 

' -S2; a if lak l 1D u f^ n ’ «», a J Ce sheets * , , of risk and at some stage they departments. 

: Sr Um t^ Dfc ' ^ a shareholder .-Of the big consortium banks might backfire. Latin America Only time will tell whether the 

■ • ran make more money lead- Maibl showed one of the best countries might become unac- specialist consortium banks will 

■ . managing syndicated loans on performances ^with- its net pre cepUble credit risks and this become A major force in the 
....«? .; wn..bjbajf^.why, should. jt Jta growing. byraround a third : mean that specialist international markets but it is 

. .pas? on the profit to a con- but this was helped by it be region*! banking may have dangerous to write them off as 
- .sortium bank, - bank’s decision to reduce the nothing to do for a period. a passing fad. It is better to • 

The second and- more funds- proportion of profits transferred But for the time being the rega rd them as part of a bank- 
.. mcntaJ/problem -facing the Lon- to inner reserves before; arriv- concept of the specialist con- ing experiment which must he 
...don’ consortium hanks is the 1Q S at rhe published figucs. In sortium bank certainly seems n^haped from time to time to 
J 1 ‘.need to, identify their niche in the P as t MaibI has been more to be payipg off and this is why „ et ^ correct c h areholders 
Jlte market- properly.: Jt is no conservative than most of the most of the major banks in the ~ withdraw and consortium 
' secret that if shareholders in ft thor hanks and has never pub- world have a stake in at least b y k h 
banks such a s Maibl and Orion l^hed a pre-tax profit figure. one. The first type of spcialisa- he ?p P n ** If „ 

i. ’.were to get together again today Some consortium banks even tion. whereby banks from one • V? 


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A 


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In »K ths erut dUas of th« mrltf 

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■ -nvitniirilv in thf* fart- that front- Vi . a & — 7 . m uwu tuunj, &uu me iuieu 

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v : wets whiiih ranee from require a consortium of on large deals . the paperwork more direct and visible execu- 

- * (Sre ' machiaey to turning 1 iessors to s Pread the burdeD-of can be prodigious. five links between banks and 


1 .. ^ machines motor -cars to aero- the capital investment ... This year has seen the intro- their leasing sobsidiarii 

- planes and -oil rigs to eatalytie There are currently at least duction of the Unfair Contract be beneficial all round. 
• L ‘ CTacRin« ntiits. ' three large contracts under dis- Terms Act which has required Rf< 

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when compiling contracts— and capital employed is substantial, LONDON BRANCH: No. 6, Lombard Street, London EC3V 9AA, England Tel: 01-623-9201 Telex: 886409, 886230 

on large deals . the paperwork more direct and visible execu- f v Cable Address; BISHtBANK LONDON 

Pan^be prodigious. . tive - links between banks and HEAD office: 7-3, Merunouchi 2-chome, Chiyoda-ku, Tokyo, Japan OVERSEAS OFFICES; NnrYwfc, Lot Angelas, Chicago, Tomato, SAo Pauto. Caracas London. 

- TJ? 5 yea T bas^seen the mtro- tteir leMlng subsidiaries would pGaMfclorf. Itorfs, B^nit Tehran, Seoul, Singapore, Hong Kong, Jakarta, Sydney, The Mitsubishi Bank of Calliomia In Los Angela*, Mitsubishi Bank (Europ^SLA^ 

OnctioB of the Unfair Contract be beneficial all round. Brussels, Banco Mitsubishi Braslleiro S.A. in Sio Paulo, Mitsubishi international Finance Limited in Hong Kong ASSOCIATED BANKS: Japan international Sank in 

Terms Act, which has required n n l. prf pr ow l.:„_ Orion Mujunationai Services, Orion Bank, Orton leasing Holdings Umiied in London. Ubra Bank in London. Auel/BJten International Rnance Corporation lt» 

l reappraisal Of blanket clauses rvuuci 1 *4«wiuns Udboume, ffwt-Wlliiublsh! Investment Corporation in Bangkok, Diamond Lease (Hong Kong), Orton Pacific, Uu Chong Hlng Bank in Hong Koog, P.T. Indonesian Invest 


Editor, Leositig Digest ( nwflte Intamational In Jakarta, Ayala Corporation, Ayala inveslmeni & DHwetopnwniCorporauon in Manila, Amanah Chase Merchant Bank In KnalaLu^ur 



financial Times Tuesday September S JSE| 


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UK BANKING XH 


Branches 


Moves to rationalise 
the networks 

WHEN COUTTS opened its 11th mergers of the late 1960s the need to rationalise their immediate P^OTrespTbml^ij.-' * 
branch recently it gained a con- brought a new outlook. / . 'branch operations is superfici- society competition in the Hi# - 

siderable advantage by being NatWest, which brought" tot ally different, but has some Streets, is .not_ clear. Bor 
ahle to take over, virtually ready gether two major banks, has underlying characteristics in Barclays has cer tainly Baft 
for business, a discarded branch perforce had to examine its common. Midland started with some si gnificant -moves, achlgr - 
of its parent National Western- network carefully. Lloyds never experimental schemes in New- mg Saturday opening;asacne , 
ster. The move by NatWest to entered into the competition. for castle, Sunderland and South- off situation, in Brent. Cro^ 
unload one office in an area, coverage with quite the same ampton. setting up a central opening several 4 bureaux <fc 
Kensington High Street, where enthusiasm as the others. ■ These, office with a number of associ- change on Saturdays and plan 
it was already well equipped two are therefore perhaps ated branches providing a more ping more flexible ' hotiis ifc.i 
represented one minor step in slightly better placed. But aH basic banking service. The number of other' bhmehes. :','. 
the continuing process of the banks are increasingly Teel- experiment was extended earlier Th e continuing proWW^s-tr 
rationalisation which is going on ing the pressure of the biter this vear to a number of other ~ - tn acceptaaibe^ " J of -thi 

within the banks. changes which in more recent branches in Leeds, the Home * hangPfi jimilved; ' 

This particular banking group years have brought home -the Counties, Norwich, Bristol, the nQ doubt that the ananM&t} 
has already undertaken exten- need to ex ami n e carefully the West Midlands and London whicll Barclays has reached fr 
sive changes, including many justification for existing and South West The schemes have tN> ^ 

closures. as a result of the mer- new branches. . the double effect of reducing ftr have . been -expCTswe -S “ 

ger in 1968, and is now at the The most important has been the burden on the managers by terms ^ ^xtrz payments; "Tk 
stage of dealing with the remain- the rapid inflation of recent taking some of the more reaams -. 

ing and often more difficult years. Banking is still essto- specialised services into the ^ at ^ ^ 


const an i exammauun ui uic auu growing use ui cumpoiers DacK umcw- aiuHiwuu—i* i ^ ^ 
branch structures, and in the and as highlighted by the Price work in the branches. fleribOitv At - 

past few years the pressures on Commission report the cost of • v +n m ,v, 

the hanhs to make the h« mor^ cash and cheques on ReapDraiSal to* eftatete 

possible use of their country- behalf of customers has esca- AVWW FP A ** nn^inThom^-aS . 

wide outlets have intensified. lated rapidly. The branches Barclays has undertaken a ' 

Two of the Big Four have remain essential; they are the fundamental reappraisal, of its ; 

lately been undertaking rather major source of the substantial 3,000-strong UK branch network, 01 nanir services. . . 

more radical examinations of proportion of the banks* raw lasting for more than a year. -Considerable - steps ;• han - 
their networks, involving material — its deposits — which is The outcome included plans for already been-jnatte to TOKtt - • 
measures which could provide provided by the personal custo- a number of closures and for the habit of automated baakin^ 
pointers to some of the longer- mers, the main channel of con- reorganisation at a- greater through the growing instaHatior 
term trends in branch develop- tact with customers and-the number of branches. As part of th rough- tbewall cash mack. _ 
ment. Midland has been testing marketing outlet for the grow- of this reorganisation, the bank ines. Linked with the c ent ra ! . 
out a system which is effectively ing range of services being intends to strengthen the man- computer, • these can provid* 
a development of what used to offered by the banks. But the agement at some 190 oF the varying amounts of cash wifmr 
be known as satellite banking, banks are under growing pries- mainly larger branches, with the the customer’s means, und'Ot&ei . 
in which an area office relieves sure to keep the costs involved aim of dealing with the mare services such as. asldxig ftw;* 
a number of branches of basic down. specialised needs of the biisi- new cheque boekpr.a statement _ 

administrative work and more The final factor, which has ness customers. The bank has The evidence . is that customer; 
specialised services. Barclays become particularly prominent already carried out experiments are increasingly becoming 
has this year announced a in the past couple of years, has on these lines Tn Luton and at accustomed to 'using •*th« 
major restructuring under which been the growing competition the branch in Pall MalL London, machines. - While the Price Coin- 
a total of some 130 branches are of the building societies .and and to this extent its ideas have mission was clearly sceptftaT 
expected to be closed over a the trustee saving h anks. The similarities with those of about the -degree to which the} 
period of 12 years, while another trend for the building' societies Midland. provided . a . substitute 1 fin 

480 are expected to be involved to gain deposits more rapidly The other area in which branch opening, there is never 
in reorganisation. than the banks has been evident Barclays has been evidently theless ah .improvement is. the 

for a number of years; but the taking something of a lead lies availability of the- basic bati^ : 
Ovprhlnwn issue came to a head last year in efforts to make the opening services as a result . ’ 

U1U 11 “ when the societies were offering hours of the banks more flexible. Against the. background 'oi 

The background to these deve- substantially higher interest The Price Commission laid these various pressures, fte 
lopments lies partly in the rates than the banks, and at the some emphasis in its report on thrust of the development- iff 
immediate post-war history of same time, the banks felt, ties- bank charges on its view that ^oks ^11 continue to' fe 
branch banking in the UK passing on traditional banking “there should be greater fieri- towards making more effective 
and partly in more recent functions such as providing bility with regard to opening use of tkeir branch networks, . 
changes in their environment, cash. . hours so that retail banking ^ xnse pf using their 

Few bankers will contradict The banks may not be ^too services can be available to the marketing capabfiity tb promote 
the argument that in the unhappy when they are able^to public whenever there is a com- growing variety of ser 
immediate postwar years the sell superfluous .branches at mercially justifiable- .demand." yj ces an ^ the 'same time tc 
branch networks of the big attractive prices to expanding And the Commission made clear j mpr ^ Ve eflSdency - anc' 

banks became overblown In rela- building societies. But they its feeling that the -loss keep dowh costs. In tlris sense 
tion to the requirements which have not welcomed the compete- Saturday opening and the ^ development of branches if 
subsequently became apparent tion for personal customers decline in the number of bank closely linked with recent and 
In the days before the disclosure from this source and from the branches opening late on one prospective :C hanges in the 
of true profits, competition trustee banks, now undertaking evening a week represented an strad^re of charges of the 
(between the banks centred on seriously their development to- undesirable and to some extent banks; and to. the effbrfe being 
the extent of the branch cover- wards beaming an effective unnecessary diminution of made' to ensure that ’customers 
age, with Barclays and Midland third force in the banking service. . pay .for the cost of the services 


in particular vying with each market 


How far the banks’ recent 


other. The combination of dis- The approach adopted by actions are a response to that 
closure of profits in 1970 and the Midland and Barclays towards view, rather than to the more 


they use. 


Ml 


Credit Cards 


Boost from the Budget 


» THE ROYAL BANKOF CANADA 

One of the world’s great banks. 


THE TWO big bank credit card 
groups. Access and Barclay card, 
received an important boost in 
the spring budget this year. The 
Chancellor took off controls 
which had inhibited the growth 
of their lending activities since 
the end of 1973, leaving the 
card organisations free to set 
their own requirements for 
repayment of debt incurred by 
their customers. 

At the same time he removed 
the restriction which had put 
a ceiling of £30 a time on the 
amount of cash card-holders 
could withdraw on their cards. 
Both moves were welcomed by 
the card groups; and in spite 
of the renewed restraints im- 
posed on the banks generally 
under the so-called corset 
controls, the credit cards have 
not been subjected to any 
renewed specific measures. 

Both groups responded im- 
mediately. The. former officially 
imposed repayment require- 
ments of £6 a month or 15 per 
cent of the outstanding debt, 
whichever was the greater, were 
replaced with easier terms 
requiring a minimum of £5 a 
month or 5 per cent. Allowing 
for inflation meanwhile, this 
step took the repayment terms 
back to the equivalent of where 
they stood before December, 
1973. And cash advances are 
now limited only by the indivi- 
dual card-holder’s own credit 
ceiling. 

The credit cards have, there- 
fore, the opportunity to push up 
their lending activities and 
indeed to play a greater part 
in the total credit operations of 
the banks. Together with a 
number of other recent moves 
which have been made to extend 
the role played by credit cards, 
this is likely to mean that they 
will become an increasingly 
important section of the lend- 
ing market. 

The easing of controls has a 
number of aspects, but probably 
the most important implication 
for the card groups is the chance 
it offers to increase the period 
for which cardholders use credit 


and in this way also to bump up 
the average amount outstanding. 

The main source of profit for 
credit cards lies in their lending. 
The imposition of the controls 
in 1973 had a dramatic impact 
Previously Barclaycard, for 
example, had an average out- 
standing loan of around £70-£S0. 
which holders were paying back 
on average over a period of 
around 7 months. The tight 
minimum - repayment require- 
ments brought the average 
repayment period back to 3 or 
4 months, and though the 
average loan had risen to around 
£100 before this year’s Budget 
the card groups had' not been 
able to take the lending oppor- 
tunities which would otherwise 
have been open to them. 

In spite of this problem both 
card organisations after a 
period of difficulties have man- 
aged to move Into significant 
profit They are shy about 
revealing just how much they 
contribute to the banks; but 
National Westminster indicated 
that its share of the joint Access 
operation had. brought in some 
£4m last year, and Barclaycard 
may on a similar scale have pro- 
vided perhaps £10m for its 
parent This year cost increases 
may. limit the scope for further 
progress but with the growth of 
business, it will not be surpris- 
ing if the cards at least maintain 
their contribution, to their 
parent banks. 

Expansion 

Both have been experiencing 
a substantial expansion. Just 
how much this owes to the 
easier terms is difficult to 
identify, since the cards have 
also benefited from the con- 
tinued rise in the numbers of 
their holders and retail outlets 
and from the general increase in 
consumer spending this year. 
But Access-reports: for example, 
that it has achieved a 41 per 
cent rise in turnover over - the 
10 months to July, with a 
marked acceleration this’ year 


with the growth in the second activities, it is increasing^ - ”’5 

quarter of. the year reaching 51 becoming - a separate center 
per cent compared with the within the Barclays group, coin 
same -period of last year. peting in some respects iritii 

At Barclaycard the impact of other members; and that, un ..* 

the easier terms has' already Bke the other banks the c^rd _ 

been evident. Since the budget combines the two function s .-ftl M 

the . average repayment period c . re{ Bt card and . cheque guarat 
has' moved out again to around * ee c^rd. This point created . 

six months, even though custo- som e problems for Barclays Iasi -v, 

mers have had a long period in- over iXs membership. \oi ? • 
which they have become accus- Eurocheque scheme. - . - ^ ; 

tomed to paying off' larger The issue arose becaiist 
amounts, and the average though other members of Eorif - — . 

amount of borrowing has gone cheque — a joint -cheqirt 

up to £120. At the same time guarantee scheme — have 

Barclays reports a dramatic separate cards for this puropiw 
increase in cash advances, as Barclaycard fulfils bqft 
cardholders have taken advant- functions. Some Continental 
age of the removal of the £30 members, particularly in West 
limit during the holiday period. Germany and the Senehu 
The immediate outlook for countries! apparently worried . 
the. credit cards is therefore about the Incursion of crwlil - 
optimistic, and both major cards, objected. In consequmice ■. 
groups ..have been quietly Barclaycard had. eventually ^ .. , 
increasing credit -limits for agree earlier this year — albiui 

creditworthy customers to reluctantly. — to spUt the tw.‘ 

enable them to take advantage functions in tile European rod- 
of the new situation.. Profit- text offering holders for'n^ . . 
ability and the prospect of sub- abroad a separate Eurocheque : - ; . 
stantial short-term expansion, encashment card; . ,l s 

moreover, have encouraged the — 

card gronps in their efforts to .rilCliltV - ' ~ 

extend -their operations. » 

The card organisations sea At the same time, though, •! * 
clearly that, much of their long- Barclays announced one * 
tenn.. future will lie in the number of significant develop- 
development of the cards to ments in card services wlrfdh 
become Increasingly multi-pur^ have been taking place, with 
pose . as well as to provide ser- the facility of cash advances: in 
vices bn an international scale, local currencies within tite 
Both are members of inter- Visa system. Other important 
national groups, Barclaycard moves have included the extent? 
operating , as part 'of the Visa, sion of .the company card 
Intematipnal ...organisation .-and-; scheme, offering facilities- !-tb 
Access ‘being affiliated to the. executives and employees, ami-. 
Interbank group, linking with growing interest being shown ■*» 
Mastercharge and Eurocard. -- recently- by retailers in setting '* j 
Barclays -.in particular con* up their own card operations. N * . ' 
Unties ;.fn show enthusiasm for Marks and Spencer v, ->~ 

the opportunities, open to recently announced 'a new card .. 
develop 'the credit card into an —run by Citibank Tfcist— dhd ‘ “ 

increasingly -versatile piece of Fine Fare, Tesco, Etam and- 
plastic, taking over functions Lasky’s Are close to launchh^f 1 1 
such as those - performed at cards. Barclays has entered t&W"' '' 
presently the banks’ cash cards, arena by launching ‘a' pilot • . 
The outlook for Barclaycard is scheme for the DimnV^neos- 
p erhaps .pond itioa ed by , the fact wear -group, -and setting -uK '* 
thati' '- wjth"' lts associated spetial ‘ departmenJL ' ' called 

•’ CONTINUED ON NEXT BAGE • : v 


/V 




- v .>* 


• Tuesday Septem&er 19 1978 

UK BANKING Xm 


! na lisi 


Charges 


to cover 


higher costs 


J\‘ 1tHE ; MOST important finding — — — - ■ ■ 

' v . : ...*$?* Commission’s TARIFFS FOR PER 

- ■'-.report . on. bank charges pub- . . 

: Jmhed in April, and the most jgintmi 

Welcome, ‘tp the banks, was that baJam 

V / $te charges -made for money for 

';/- : ..Ixajasmission services were on 44 fra 

_ :i Vthe .. whole “ noi excessive.” • banidj 

Indeed the /Commission effec- ■ 

5 >; lively .went further. It recog- Barclays *100 

nieed openly that the real 

/::/fe*i^eahibd by the banks had M ,ll J an d *50 

•s'- fallen sharply and that the National ^Westminster .... *a 0 

'.^“finj&tsrtitiey had achieved had Scotland »«■.■ g® 

't-. ^not,be«n enough to maintain mi 

V/.toe levels of the banks' free RoyidBa?* of Scotland ... £50 

c?piJt 9 lresourees. A^* e dlnsh 

British branches Nil 

. v: r.The report therefore essen- Northern Irish branches £50 
• • v taarlte accepted the arguments Bank of Ireland 

ia«t forward; by -the banks that British branches .1 £100 

-price restraints of recent Northern Irish branches £50 

years- bad. bad a serious adverse Northern v £50 

;• “ V effect on 4heir activities. Its con- Ulster £50 

: ^. -.chMions-^pened-lihe way for the Contts — .... £500' 

^ banks to consider new adjust- Williams and Giyn’s £50 

'^.^ments in their charges tn ievels Yorkshire • £50 


TARIFFS FOR PERSONAL ACCOUNTS 


' examining their charges struc- 
5 ture. Here, the essential aim 

is to establish charges which 

Minimum Charge Minimum to the cost of the trans- 

balance per debit charges actions carried oat on behalf 

for if balance waived of the customers. Over recent 

“free” below Notional (per y ear * th ® banks have made 

banking minimum interest half year)t considerable progress in ldenti- 

. fying their costs and are able, 

£100 1| lOp 5% 15p with their biggest customers, to 

£100 12 ] p$ . § 25p make charges directly related 

£50 9p 5% 25p to the business done. At this 

£50 I5p 25p level the element of cross- 

... £50 8 p — 30p subsidisation which can be 

Nil 7p 5 % 25p involved In the simplified 

" £50 8 p 5 % 25p personal current account tariffs 

does not arise. 

Nil lop 50p The Price Commission report 

£50 5 p — 50 p outlined the sort of items which 

the banks use in providing 

£200 7 p guidelines for their managers 

£50 5 p -- sop when they negotiate charges 

• £50 5 p 50p with corporate customers. They 

£50 sp _ 50p include, for example, the 

£500** £30 number of debit and credit 

£50 * 5 % 20 p items on the account, cheques 

£50 9 p £<? 25 „ collected, the amount of cash 

Nil 9p — 25 p lodged with the bank and with- 

£50 24n — — 1 drawn, cash exchanges and, in 

3V some cases, a notional interest 


£100 1| 

lOp 

5% 

15p 

£100 

12]p* - 

§ 

25p 

£50 

op 

5% 

25p 

£50 

15p 


25p 

- . £50 

8p 

— 

30p 

Nil 

7p 

5% 

25p 

£50 

Sp 

5% 

25p 

Nil 

lOp 



50p 

£50 

5p 

— 

50p 

£200 

7P 


__ 

£50 

5p 



50p 

£50 

5p 

— 

50p 

£50 

5p 

— 

50p 

£500*« 

£30 P jl 

_ 

— 

£50 

• 

5% 

20p 

. £50 

Op 


25p 

. Nil 

9p 


25p 

£50 

2*P 

— - 

— 


% ■ reflecting more closely, the sub- Co-operative Nil 9p — 25p lodged with the bank and witn- 

:.t . stantial and increasing costs Trustee Savings Banks ... £50 2]p — — drawn, cash exchanges and, in 

- -/‘involved in running their ser- some cases, a notional interest 

^-viees So far twlr of the Bie * Williams and Giyn’s. charges 6 p for automated transactions and allowance on balances held. 

-oErrnr banks have annnunreri and 9P otherwise, t All banks make charges half yearly except: These charges, individually 
V-'introdnced . amended tariffs for Coutts. yearly; National; Westminster, quarterly at certain negotiable, are subject to 

- / /their tsenmiai pmtt«tnprB • branches and at all branches after January 1, 1079; Williams and regular adjustment, and though 


... .rtbevr personal customers. 
‘ ■;.* The other ■ big . twt 


.. .•expected, to put forward pro- 
-/.' posals Itr-toe Commission, prob- 
// ably jxr time for new tariffs to 
V->be- pu£ .into effect in the first 
.'/.six. months of- next year. And 
..7 -it will be surprising if the banks 


Source: Price Commission, updated. 


to try to keep up with the 
inflation of casts. Similarly, 
adjustments have been made in 
other specialised areas of bank 
activities such as their trustee 


-.rgeneratty do not km k over toe some way to meet the Ourunis- free banking criterion from Bp ^Snts which over the past 
:;few years for higher sion ’ s arguments by adopting to 12 ip for each chequestand- ^nmeutsw^owerme ^ 

Charges-ritf all sectors of toeir ^ alternative proposal set out mg order or direct debit pay- f* la y ^.i e b i e n0t P 

bnsSess, including corporate ™ ** re P° rt for . * ment. But it brought in another 11 Tbe^^sue raised by the 

>X 4 - i4 weii nprfthnfti charges more responsive to the innovation by cutting the charge ine main issue raisea Dy tne 

. r'-to keep- ilp^with the toflatiS 8 eneral level o£ lntere f rat “- f or withdrawals made through ufe sSLe^ 

' of waee and other rncti - The Commission, maintained its cashpoint machines from Bp ^n^ acn^UM wastne sugges- 
.„ 0fwage and other costs. that toe benefit which the -banks to 7<p a time. And the offset g“*« "«Sf 

' ; '&iirrtAc 4 iAvi gained from higher interest allowance was fixed at a «te P n rod ^®jf ^5 

5rilggeSUOH . - . - rates should be reflected- in toe of 1 per cent below the bank's ta f . nd Jf d 

a- " rates charged to customers. Both seven-day deposit rate. “ “ 

The' bther asuects of the Kanb-e thArofnrp have 'ndnnted ; personal charges, rather than 


set 


.. ‘I pp^attoe Commission’s sug- charges related to the'ainoimte raised ito f^ly hiS level of SSJPfS 

-.. gestlon toat they should, con- held in toe account and to toe charges to customer^who do not nf 1 «imS?n»S 

-. sid^r |hying interest ;on current fevel of their own deposit's. 52 X 2 X 2 ^ T iMS 

*» •*£»««» w« ? ^ .??p a !M SdeMtSSjeTS 22 ** ^ for 016 bas,c 

Silmid- Reveniie. foUowed by other banks. ; ; . I5p a time. The bank’s offset e 

•^•dS&B^itvSo^dn 6 ^ A significaht change in 'the jUowance. previously at a flat Pormilla 
aftS Hktoe ^Uoyds tariff was that the. basis ^ per cent, was fixed slightly T OlfflUia 
-- 'Cooperative Bank, which for of the qualification required for ^J er _ JJj® However, the banks are flnd- 

'ySShaa paid'a modest rate on personal customers to., get free under toe ^ lt difficult to arrive at a 
■-■ t; burreht aceount balances and inking was altered,’ from an .^ ni ^ Na ^ e f t suitable formula. To run a 

.^^fggar&ed "this as a valuable average figure of- £150 in each that it planned to standard tariff, it is generally 

■' ’hmrketiBfe.-" tool, decided to half-year to a minimum of £100. ^^dardise its char |es on a nec essaTy to be able to identify 

=: - iusiientf the payment. The big The change is thought likely to ^ as from ,^.® hegm- a 0 f customers of reason- ' 

: 'banks ' have decided that the “ake it. rather easier for per- w h b Jl_ p ^ able homogeneity whose trans- 

^administrative - costs involved, sonal customers to monitor their had ^ be n : m; ade act i ons w iu normally not vary 

both for themselves and for own account^ and ensure toat Juj^riy °r naii-yeariy at t00 w jd e i y between individiials. 
Customers, could not be justified they qualify for free banking; moerent orancnes. The personal sector meets these 

for' a change which in any case ft ** likely that Barclays, which The. pattern of charges for requirements; though some 

might not be welcome to all of present has an alternative personal current accounts is people may gain or lose a little 

their current account holders. option of a minimum or an thus fairly well settled, with from the general tariff, the bulk 

The two banks whirh haw av ?rage balance figure, will drop the. other big two banks, of customers will be reasonably 

announced new tariffs so far, ^ avera « e formula. and ft f id I and ‘ fairl r and e «l« aU y treated. 

Lloyds and National . West- Lloyds raised the charge for iSSJ k ^ ** corporate sector the 

minster, have, however, gone those customers not meeting the ^25^' 9 ^ 3 ®?,! ^ an ^ s may , UBe averaging 

vary significantly from oanx to arrangements for some aspects 

■ bank, in the level of balances of their charging, but they 

' required to qualify for free argue that to be fair it is 

banking — the Co-operative Bank, necessary to have a consider- 

„ for'example, still keeps to the able element of charges related 

: principle of making no charges directly to the transactions i 

• . provided a customer remains in involved. Perhaps the most 

r credit — and in the charges made important is cash handling; the 

to .those who do not meet the cQi-t s involved in dealing with, 

-- criterion. .But the style of the say ( a corner greengrocer pay- 

I® similar, and it appears j n g ^ large amounts of <»«*>• 

Yiil Jill likely that subject to any ajg q U jt e different from those 

increases which may be made of a wbicb seUg a small 
... at intervals the . banks have nu mber .of expensive items 

. cS . H aaajved at what they Tegard as ma j n i y paid for by cheque. 

a reasonably sensible stnictore. prospects of arriving at a 

- ,. . h ** ° ther Slde common tariff for small busi- 

business the corporate cusi£ nesses therefore, are still 

T Tlk.-TT^V ! % - - nje ? s - ^8 > ssu es involved are 0 h seil re 

'1 liXIft ll more ; complex and the banks 0DSCure - 

■■■- ^{Vlyf - are^ all permanently- engaged in M.K. 

- i ../Merchant Bankers . 


> ••• 


: -.v ; provides a wide range of 
Merchant Banking Services 
for both: private and company clients 
: whether resident in 

Northern Ireland 
. or elsewhere 


CONTINUED FROM PREVIOUS PAGE 


I "acil«. v I 


.' .UNICO FINANCE LIMITED 

F '* 33^wrardStre«±,Be!f»st'BTtffP 
/ Td^hone: 8232-26264/28512 
Ttdegnuas: UNIBANK, BELFAST 

"■ Kr^lcnsfH. AMellroy (Chaiman & Managing) ; P. Shea, CB» OBBi 
‘ ’ • ■ Sir Patrick Croftoc, Bart; D. 0‘Kiai, PGA; W.ifcllroy; 

/■; : ■ ( ■ ' j.Y.MaHey,p 5 o;ia?a' - 

. AaKahegirfffMiT&dCBChoiyefCawpeatefc 


Bard ay card to set up similar 
schemes for other retailers. 
^With the news that the 
trustee savings banks have now 
set hp their own Trust card 
operation within the Visa 
system, the credit card is now 
moriTor less universally avail- 
able withip the UK banking 
System and set to play a grow- 
ing role. There are one or two 
outstanding questions, however. 
One may be over the trend of 
interest rates. Both the main 
groups have reduced their rates 
izL .the past year, and for a 
period Bardaycard was cheaper 
than' Access and claimed a bene- 
fit in the form of an increase 
in' toe number of new card- 
holders coming on to its books 
who were hot customers of 
Barclays itself. 

- At present rates are at 1! per 
cent a month, against 2 per 
cent a year ago, and further 
movements will clearly depend 
on toe general trend of interest 
rates. A second issue has arisen 
over : tho implementation oF the 
Consumer Credit - Act and the 
application of the connected 
lender rules.,.. Here the card 
groups "have been in continuing 
talks with toe Office of Fair 
Trading, which has argued that 


all cardholders should be given 
protection- implied by the Act 
of being able to have recourse 
to the lender as well as to toe 
retailer over faulty goods. The 
card groups accept this for new 
cardholders since toe rule came 
into force at the beginning of 
July last year, but remain 
reluctant to take on the poten- 
tial liability for all holders. 

Finally, toe Monopolies Com- 
mission investigation set up last 
year continues. This related 
specifically to the problem of 
toe garage trade and the card 
companies’ insistence during 
the petrol price war that garages 
should not offer discounts to 
cash customers- Looking into 
the main question of whether 
card operations have the effect 
of raising prices has led the 
Commission into a widespread 
investigation of toe card -com- 
panies' charging structure, and 
it will not be surprising if when 
toe report finally appears toe 
card groups find it necessary to 
make some adjustments to toe 
ways in which they receive 
their revenue from retail out- 
lets. 

M.B. 


Make it Happen. 




TOHl TRUST BANK 

The loyo Trust & Banking Co,Ltd. Tokyo, Japan 

Intamationai Department: Address: 2-5. I-chome. NihonbasM. ChucH-u. Tokyo. Japan 
Telephone: 03-271-7881 Telex: J22123 TYTBKU 
New York Branch: Address: 140 Broadway |37th 11.). New York, N.Y. 10005 USA. 

Telephone: (212) 480-1234 Telex: 222675 (TTBCURJ 
London Representative Office: Address: Winchester House. 77 London Will. London EC2N 1BE. U.K. 

Telephone: 01-638-2191 Telex: 885619. 8811865 TYTBK LDN 
Hong Kong Representative Office: Address: 26th Floor. Alexandra House 16-20. Chafer Road. Centra!, Hong Kong 

Telephone: 5-265657 Telex: 85108 TYTHK 



RESOUI 
GET IT. 



Consult the IBI Banking Group in Europe 


London. 

The Industrial Bank of Japan maintains a London 
Branch office which undertakes a. complete 
range of banking services, in addition, IBJ 
operates IBJ International Limited, a wholly- 
owned merchant banking entity which arranges 
term loans and provides underwriting and 
advisory sen/ices. 

Frankfurt. 

The Industrial Bank of Japan (Germany) Is a 
rnajority-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 medium- 
and long-term loans and handling securities 
transactions on the Euro market. 

In addition 

IBJ maintains representative offices in Frankfurt' 
and Paris which act as information centers, 
providing access to the comprehensive knowl- 
edge IBJ has accumulated .in serving Japanese I 
industries. 


v /v* ?"? v ■ v. ... 


THE INDUSTRIAL BANK OF JAPAN 

Japan’s oldest and largest long-term credit bank. Assets US$44 billion. 

H««d Office: 3-3, Marunouchil-chome. Chiyoda-ku. Tokvo Phona 214-1 111 TaloxJ22325 
London Branch: Phone 101) 236-2351 Telex 8869"' 


Now York. Loft Angeles, Singapore, Sydney, SSo Paulo. Beirut, Hong Kong. Toronto, Jakarta, Curacao 






More houses begin to diversify 


RUNNING A discount house is activity apart from the tradi- in the good years, but tends to is now once again mainly ,» tthe difference g“L5 iSSst^/S^S 

not exactly a precarious exist- tional trading in bills and other suffer m the bad ones, whereas discount house, with a portfolio: average cost of tbeir money and dnpiu rates intbi 

ence. They are too well pro- monetary instruments. Gillett Brothers, a mucn smaller management offshoot . . the yield on investments). But secona six monins. 

this discount house with a large King and Shassozr ~ J * B 


tec ted within the general h ank - Philosophies vary on this discount house with a targe 
ing system for there to be any subject although more houses money broking, subsidiary in the 
doubts about their credit- do appear interested in increas- form of Kirkland-WTiinaker. 
worthiness, but the situation ing the scope of their business, shows a much flatter profit 
over the general level of profits with Allen Harvey and Ross curve. 

from year to year tends to vary moving into fixed interest port- it is therefore not surprising 
greatly. folio management recently. This that Gillett Brothers produced 


llett Brothers, a much smaller management offshoot V . the yield on investments). But second six months, 

scount house with a large King and Shassoxr has also it is a different matter when This will be 1 the single mas 

aney broking subsidiary in the followed the proven' path'_in'to interest rates rise sharply, as important factor- in deddmg : thr 

rm of Kirkland-Whinake'r. giir-edcsd portfolio' manage^ they did earlier this year. fortunes - ofthe'Trooses during 

ows a much flatter profit ment, while the well diversified The houses would prefer one this period, -and although a fc£ 
rve. Giiieu Brothers has a -fund sharp rise in Bank of Engird 9 per cent m'MLR has beex 

It is therefore not surprising management arm. Minimum Lending Rate (MLR), suggested, many market bbser 


Portfolio management is 'an but the series of moves from vers ^ anything but so# 


^brkshireSank 

Wise Banking for Wise People 


This was graphically illust- is a fairly natural progression higher profits than Alexanders obvious area of expansion' for P* r cent before uie “ - pru about this, at .least in tie-shor 

rated earlier this year when two for a discount house, and has in 1976. since just over half of the houses, with five of them Budget to the present 10 per teim , 1. ; 

of the larger houses produced the advantage of keeping labour Gillett Brothers profits came now involved in using their cent left them rather unnappy, 
interim figures suggesting that overheads to a minimum. from broking, while in 1977, a pertise in a specialised field: to Part o£ th& P r °blera ™ tnat ■VT Ari r ou ^l^ r -- 

they were probablv running at A pure discount house can be very good year for the discount the benefit oE private aiid-Sn- the authorities and the uty LNCiVUttMj; 
a loss for part of the six months, run very efficiently with a re la- market, Alexanders produced stiraOona! investors. Schemes f® Ued t0 a ^ ree Pressure on the dollar steadHi 

whereas they had turned in lively small staff, and Allen most profit vary according to the Jb* level for rales. tfte 1 per Ngw y intc ^ 

record profits in 1977. Harvey only needed to employ These are really the two ex- dividual s tax position, .offering ce nt n * e JJ® % p fL5 8 ":„«Jiiv rates in August, and by theMr 

. This .“f “ ore 2“ *£ unSitol Sub* of . the' 1 month ,-I^itdoa wa 


houses to diversify their opera- their Investment management other nine houses fitting ia jMd. The favourable tai: situa- regarded as Tent on looking nervolisiy' : amss th- 
lions to include other areas of company. between. Union Discount is the «on m Jersey is also used to sequent ri ue» to S-< Atlantic for the nest more. A 

— — — The problem with being only largest house, but has a broking benefit retired people living out Mai’ o . 9 per cent on May -■ time' discount hrmsi 

j- !_* , ... .. i— C4 . vjj: ttj! t. ,.i — - erHo ? no t tt tax- ana ; in per cent on June 8 roe same uine mscount nonse 


a discount house Is that profits subsidiary, Udisco Brokers, side toe IK tax area. «■ — . ™ had beeun to feel that if Mrs 

move up and down dramatically Alexanders is the third largest. As already mentioned, this meant that the bouses were reduced then th* 

in some years, depending on the while Gerrard and National, has cot been a particularir-easy never able to make a Fresh aening a eimd mmJ 

state of the market, whereas the second largest, also has the year for the discount bouses, start, leaving those with half- we TrS^ J?hfiu 
other activities such as money largest broking subsidiary, since they make most of their years ending on June 30 (Alex- in tho 




^3) 


.. y* m /■'.* 'J jpjjy • 

■« i .* ■ 





The way to look at international 
banking is through BCC 

The Bank of Credit and Commerce International was bom international— 
a fact which has certainly helped its growth. The BCC Group now has 
offices in 36 countries. Capital funds stand at over US $113 million and 
total assets exceed US SIL2 billion. 

Whatever your international banking needs, a talk with your local BCC 
manager could be very useful. Speed, efficiency and your convenience are 
what count at BCC. 

Contact us at any of our offices - there are 45 in the United Kingdom alone 
- or get in touch at the following address. 


Bank of Credit and Commerce 

I NTTPU MATTHMA T « e mD kingdom main office: km leadenh all street 

A. IN L EJVilAl lvlN A JL. LONDON EGA 3AD. TELEPHONE: OIJSJ 856b. TELEX: 886500. 
Bangladesh. Djibauii. Egypt- France. Gabon. Germany (West), Ghana, Grand Cayman, Hong Kong, 
India. Indonesia. Iran. Kory Coast. Japan. Jordan. Kenya. Korea (South), Lebanon, Liberia. 
Lmrmbourc. Mauritius. Morocco. Nigeria, Oman. Pakistan, Seychelles, Siena Leone, Sudan, 
Swaziland. Switzerland. United Arab Emirates, United Kingdom, USA, Venezuela, Yemen (North) 


r Banco de Vizcaya 

SPAIN 

INCORPORATED IN 1901 
HEAD OFFICE GRAN VIA. 1 - BILBAO-1 
CAPITAL: 1 1.2 71 043.000 PESETAS 
RESERVES: 12.494.090.415 PESETAS 
669 OFFICES IN SPAIN 

INTERNATIONAL BANKING DIVISION 

Paseo de la Castellana, 114 - Madrid-6 
Tel. 41 1 20 62 - Telex 2 2571 - 42382 
INTERNATIONAL OFFICES NETWORK 
LONDON BRANCH 
75-79 Coleman Street 
London EC2R 6BH 

Tel. (01) 628 45 66/9 - Telex 885245/6 

PARIS BRANCH 

15. Avenue Matignon, 75008 Paris - Tel. (1 ) 359 55 09 - Telex 641423 - 641425 

BAHRAIN BRANCH 
Offshore Banking Unit 
Kanoo Tower (Phase III), 4 th floor 
Tujjar Rd. - Manama- State of Bahrain 
Tel. 53261 - 53340 - Telex 9060 BANCAY 

NEW YORK AGENCY 

400, Park Avenue - New York. N.Y. 10022 - TeL (212) 826-1540 - Telex 66199 
SAN FRANCISCO AGENCY 
650, California Street San Francisco. California 94108 
Tel. (415) 392 25 30 - Telex 67534 

REPRESENTATIVE OFFICES 
MEXICO 

Avda. Juarez, 4 - Mexico. 1 D.F. 

Tel. 585 00 30 - Telex 1 777460 

VENEZUELA 

Avda. Francisco Miranda — Edificio Torre Europa 
Oficinas 7 y 8 — Caracas 
Tel. 33 43 53 - 33 25 08 - Telex 23532 

GERMANY (FED. REP.) 

Friedensstrasse. 1 1 - 6000 Frankfurt/Main 1 - Tel (61 1) 23 32 91 - Telex 413215 

CHILE 

Paseo de Ahumada. 254 - Oficina 301 
Santiago de Chile 


c h°M 


move up and down dramatically Alexanders is the third largest. 


is much more costly in terms of difficult year for the houses, other top-class securities This over three months and the a ef uuis ww 

uriti. ic fine Ti-Vion ratoo DM .ihioHnn has thus improved, on -offer on -September. 3. an 


Share Performance 


labour to run money broking contrasting sharply with last is fine when interest rates. ‘are situation has thus improved, on l offer on -be^mbCT. 1, . an 

than to operate a discount year. ■ failing and the scope tor eapital Allen Harvey and Ross, with a 

house. Clive Discount was the first profits is immense; ft .also half-year ending on August 5 

Alexanders Discount, which is house to enter the field of creates few problems when rates was already beginning to notice 

only a discount house and has money broking through Guy are steady and the houses can the improvement, suggesting “P ±w ™, 2 s - ? P~}. L3 

ino subsidiaries, does very well Butler about 12 years ago, but tick over on running . profits that the company was well Even ' though^th 

• authorities were as generous" a 

possible with their help, prot 
ably to diseonrage too sharp • 

. . Share Performance 21SJSS3RS.M 

. for some of their funds durin 

that week. 

With- the houses TjeluctM' - '* 

. borrowers of money, preferrin 

'■ ^ • to sell off their low-yieldin 

Poor summer for prices ssrss 

• ; ^ • ' however. . 

... . But the houses stpl took th. 

IT HAS been a poor summer worse,, with the average easing in the gilt-edged and -money within the past three years, view that the existing discoun 
for bank shares. Clearing bank from - 25J2p in July-December markets. But that source of sometimes twice, and most have rate on Treasury bills wool 
share prices have reacted badly 1976 to 24.6p in January- June profits has now fihzled out also raised substantial sums in only give MLR of 9j per cen 
to an indifferent series of 1978. Meanwhile the continuing subordinated Eurodollar debt under the old market relate 

interim profit statements, and • In a number of ways the slump in the shipping market There are now ^uesestions fomm * 3 ' and this was the tim 

to the attempts by the author!- troubles of the clearing hank and consequently in'ship values, ^at one or two further rights t0 improve their return, 

ties to stifle a promising sector came to e head in the has troubled several hanks with mav h«» in th* nffintr The At the end of May the’ MU 

recovery in bank lending, first six months of the year. a traditional emphasis towards reasons for^ ^Sne new raDiS formula was terminated, wt 

Moreover the possibility of Midland and Barclays raised the industrv. h *s saw been administered b: 

more rights issues hangs over new capital, substantially in- han ^ , „ opI iL of ^V fnS the authorities. It was thft 

the sector— it is- only a couple : creasing the supply of bank - Sp.mercljant barite in - of °y owth and inflation., but thoiightr likelyv that discoun 

of months since Barclays effec- shares to the market, while base wo “ d . ,n -^ v rates ; on . Treasury bills wool 

tively raised new • capital rates started the year at a ^ ™ oveTOOre into. line with othe 

through the device of an relatively low level. Later ^ bill rates, since there was n 

investment trust takeover— and interest rates and bank lending ^ullmn deahn^new issum or ofTJ.S. financial interests have longer, aneed to bold them £ 
a number of British banks have began to rise, only for the Bank trade “J®. ^f en J n,a ^ e ' or an artificial Tevd In order t 

been paying what looks like of England to slap on the “cor- position but there are few real Lloyds. Barclays. NatWest and - produce the required MLR. Bu 
very high prices for American set” which is designed to opportunities. for growth. Standard Chartered. this has not proved to be th 

acquisitions. restrict the growth of advances. Because of low stock market The reasons given — the need case however. . ; * 


Poor summer for prices 


acquisitions. 

For these and other reasons 


Standard Chartered. 
The reasons given- 


interim profits ratings it is very difficult for to gain access to substantial 


this has riot proved to be th 
•the need case however.;. ; 
lbstantial - . Most of the time the discoun 


bank shares are not verv highly can ? € outl oniy Barclays showed British merchant banks to raise dollar deposits and the need to rate ot three-ntonth bills ha 
* an improvement on the first naif the new capital which would achieve a balanced interna- fitted in fairly -closely with ML! 


valued 


bank shares tor instance yield of 1 ® 77_ ” for reasons which were allow them to contemplate tional spread of business — are on the^old' formula, altboug 

on average something like 6 per t0 a iarge extent du ® tQ , iT f expansion. Indeed, it was left sound enough, but the prices the- rate has tended to antic 

cent significantlv more than the ac ? oun ^ s treatment for bad t0 Morgan Grenfell, an unlisted being paid in the U.S. at present pate movements in MLR, henc 

average for all sectors of the de0ts : , other cleare f s “ ad bank, to tap the investment seem very high by European the reduction in the rate durin 

stock market So far in 1978 se ? n “ e ““P 1 ™^ 111 ® 11 * pi bad institutions directly through a standards. July and August— before th 

| the tanks sector index tas i'&r'S^rT “““ ® — 6 e “^ r ^ To ,he shareholder it may ”“*«■ rol “ d “ UJ 

lagged neariv a tenth behind ra “* r .earlier) . t That issue made it appear hatn „ oel ..4 rates rose. 


lagged nearly a tenth behind 
the All-Share Index, and 


To the shareholder it may 


Outside clearing banking the £iin o St ^ though merchant 


July and- August — before th 
market turned round as UJ 
rates rose. 

In the absence of any unfort 


merchant "hanks tav“ tat d“e Bi ® Fo “ had . “T pro5pe ™“ s ba^woo.d bebetteroff^ P ,ejU" Ss^S Hi TtaS i 

merenant oaiuos nave not aone areas like ujstaijnent credit « „u order that the bank may achieve M 


Ceilings 


order tnat toe bank may achieve 
.a strong position for the long 


high enough to insure againi 
any very difficult periods ft 


T™- J* “oaoptandable that fte houses durin? £ e Test , 


in rates there will be no retur ■ 
to the good times of "1977. 

Cotin Mfllhar 


mucLTetter ™ like K ***"* ou a stock market listing at ali. *** Insu^ agaim 

uca ‘ which was benefiting from lower , . . a strong position for the long “ verv diffleoit ft 

money costs end was" beginning clearing ami overseas run. it i s understandable that fte houses during the rest c 

r^pilmgc to reflect the consumer boom, banks, however, still hate good in conditions of poor current- b ut J les5 fWg ; 

But international banking has enough stock market ratings to profits growth the patience bf ^ JSSv v shm^fa 

To understand why clearing generally been suffering a make recourse to shareholders many .shareholders has' tended in rate*: therp will h#> nnrefur 

bank shares have been such squeeze on margins.- a practical proposition They ."to, wear a little thin. - • to the eobd times of T977 " 

poor performers-not just this For the second half of the have nearly all taken advantage . . , . times migi. . „ 

year but for three or four years year, however, the picture pro- of this by having rights issues Dairy KUCy ' LOlIll lVlJluiar 

now — it is necessary to look raises to improve somewhat. _ - . ' 

back over the past decade. In Base rates have stayed for an 

the period around 1970, just unexpectedly long time at the 

after the first disclosure of what higher rates reached in June .... 

are euphemistically known as (though many bankers still ex- v .‘_ 

“true" profits, the banks were pect an early fall). Lending has 

trading on low p/e*s in the been showing what is probably 

stock market just as they are its most promising growth tor 

| now. Those were times of five years. Second half profits 


monetary stringency, with the should therefore start to im- 
banks kept finnly to lending prove. 


ceilings. 


But the growth is unlikely to 


Then came 1971 and Competi- **« “citing. Bank analysts are 
tlon and Credit Control. Not anxiously trying to work out the 
only- did opportunities for lend- likel 7 impact of the “corset.” 
ing explode, but under the new During the summer . months 
regime control was to be exer- there have been massive money 
cised through interest rates market gyrations as the banks 
rather than direct clamps. have struggled to comply with 
Interest rates began to rise in th® limits on interest bearing 
1972, and there followed a eli sible liabilities, 
period of very high rates which 

up^toisrT 11 flucluation5 - right Rapidly 

Because of the “ endowment ” At present it does not look as 
element in profits, which re- though the dearers will have to 
fleeted the availability on a turn away good lending busi- 
large scale of non-interest bear- ness, or win incur penalties 
Ing current accounts, profit of under the supplementary 
the dealing banks were greatly special deposits scheme. But the 
boosted in the next few years, situation is changing rapidly 
The stock market performance from month to month, 
improved markedly, and it was What of the merchant banks 
not until early 1974 that share in current conditions ? As with 
Prices began to show signs of the. clearing banks, their shares 
strain. remain under a cloud, and the 

A wave of bad debts was of one-time glamour has now com- 
course one legacy of the lend- pietely disappeared. In fact, 
in e boom of the early 1970s. A over the period since 1962 when 
™""Lf® n “ us Problem recently, the F.T.-Actuaries share indices 
«K»save were established, the merchant 
hv rhp b ^ se U S banks sector has been easily the 

dunng the lush worst pe riormer out 0( 35 or s0 
jreare. Once interest rates began sub-section*. 
tojal! back from their very * ants ha „ 







•'■V'" V v T" t> 

|Tf 1 

« If u 


■ SO' ’ a» S. •>. ' ,f: : 







high levels — as they did during c ° - “L e + ?“- e 

the first half of 1977-thl at “'*■**• 

dearers lost their endowment *2? ^ ke L i 5 1 r ? 1 ® tlv ** y 
earnings and unnhie to Strang- This tends to help the 


dearers lost their endowment “2™* “ . 

earnings and were unable to ? tron ^ - TI “ S ^ en ^ s to tielp the 
push up margins ^n^commS side of their opera- 

sions by enough to compensate. ? ons - Bat elsewhere the picture 
An analysis by brokers Wood 18 p acl1 less bright Takeover 
Mackenzie shows that the Big a f tiv i t y and new issues are run- 
Four^— Bard ays, Lloyds, Mid- at comparatively moderate 
land and National Westminster levels. And margins are 
—have shown very little profits squeezed in the very competitive 
progress since the second six conditions for medium-term 
months of 1976, when their lending, both in the domestic 
aggregate pre-tax total was and Eurodollar markets. 

£395m. In the first half of 1978 Some merchant banks profited 
the corresponding figure was heavily last year from the big 
£427m. The earnings per share fall In interest rates, which 
performance has been still .produced big speculative gains 


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* ■ t 


*• r>. 

A 


Tinancial- Times Tife 5 day Septeinber l 9 1978 

’HE DAY OF THE THINK TANK REPORT ON MICRO-PROCESSORS 




MAX WILKINSON REPORTS ON THE COMPETITION 


* 


% .BOUT HALF a billion dollars 

1 JL ; to be spent by European 

I T > avemments in the next five 
■i I \f 3ars 5n 3111 * lteni P t to catch up 
A. V -ith the revolution in mjcro- 
V ieetroni.es — yet the chances of 

wcess are very uncertain. 
However, the penalties of 
iilure have begun to appear 
■ 3 much worse that govem- 

: .'[.ients are prepared to spend 
:: , 7 «ry large sums to try to catch 
p with the American and the 
•' iv • apanese leaders. Already 
' : .-.bout 10Q.0UU transistors can 
'..'e' etched onto a chip of 
... ' - : :..Tiicon the size of a snapflake. 
-..Svery year, ihe density of 
' : --’ikTSCOpi(r electronic circuits 
: ■ oubles. while the cost of chips 
. otftinually falls. In the 1980s 
; he equivalent of the largest 
amp liter systems could be 
■ri-fj. I hrunk to the sire of a match- 
'JU\Jj'OS and retailed for tens of 
* ullars. This prospect is 
- ery alarming indeed for 
idustrialised countries which 
vave failed to keep abreast of 
_• '• .it? technology. 

Industrial rnbnts, talking 
.* - -pewriters, computer-controlled 
1 ■ jrs and scarcely imagined 
: . lifitary and i-hmputer develop- 
" ■ .lenls will he made possible by 
.. erai -conductor techniques dur-. 
the next decade. 

. " ■' As Mr. • J3ob Heikes. vico- 
' ' resident . . of Motorola in 
• 'manna, the world's second 
" - -argest semiconductor company, 

' aid: “Micro-electronics will lie 
... r he basis of civilisation for the 
• ext 25 years. Of course . the 
■ -•-..’iiriipeans feel a desperate need 
or the technology. But it’s 
' i: ; -jke if you jump off a building 
--. 0 storeys high and say: *1 
- nust learn to fly.* Maybe you 
s hould try something different.” 

• The French Government, at 
• r-.^.east. appears to agree that an 
tidcpenderd effort to catch up 
•■■v-Vith the Americans would be 
lopeless. It is therefore using 
- . .;nvcrnment subsidies - as the 


A giantkiller Vs. the U.S. and 



bait to tempt Motorola Into a 
joint venture agreement with 
Thomson CSF, the largest 
French electronics group. 
Similarly in the UK,- the General 
Electric Company is joining 
bands, with Fairchild. 

This type of transatlantic 
joint venture is one of four 
possibilities open to European 
governments which want to 
buy their way into the new 
technological race.. 

The second and the 'least 
ambitious strategy is to give 
subsidies to the smaller com- 
panies to help them to- carve 


TOP SEMICONDUCTOR 
COMPANIES. 1977. ... 

External suni- - - 
conductor Market 
shipments . share 
$m % 

Texas 

Instruments 470 -17 

Motorola 550 14 

National 

Semiconductor 330 ... 8 

Fairchild 320 * 

Sourer.- Morgan Stonier cttlrnole 


out specialised corners of the 
market. Much of the- British 
Government's £7Qm support 
fund will be used .for this 
purpose. 

. The third road is that, being 
taken by Siemens in West Ger- 
many which is trying to develop 
an international capability , out 
of a combination of its own re- 
sources. government subsidy 
and acquisitions in the U.S--A 
year ago. Siemens paid $30m 
for- a 17 per cent share of 
Advanced Micro Devices plus a 
contribution to a joint venture 
to make micro computers. 
Similarly in 1975 Philips of 
Holland paid $45m for Signctics. 
the sixth ranking semiconductor 
company in the U.S. ' , 

However, the most adven- 


turous. the most intriguing and 
much the riskiest approach is 
that adopted by the National 
Enterprise Board in the UK. It 
is to spend £50m.ia setting up 
Inmos. a completely new semi- 
conductor company, which, from 
a standing start, aims to com- 
pete heart on with the Ameri- 
cans in the highly competitive 
market for computer memories 
and micro-computers. 

Although it is too early to 
call the odds on Inmos, it is 
already clear that it will need 
to be something of a giant-killer 
to succeed. It is estimated, for 
example, that total capital 
spending by the 10 top semi- 
conductor companies in the U.S. 
this year will be $734m. Even 
though not all that money will 
be spent on semiconductors, the 
combined muscle is enormous. 
The leading company, Texas 
Instruments, has semiconductor 
sales of about $700m a year, 
while the minimum size for 
viability in the industry is 
reckoned to be around $100m of 
sales a year. Because of these 
large investments, all companies 
need to serve international 
markets, of which the U.S. 
represents about 50 per cent 

Furthermore. Inmos will have 
to hit its design and produc- 
tivity targets with builseyes first 
time if it is to survive against 
the fierce competition. This is 
because the economics of semi- 
conductor production depend 
crucially on achieving mass pro- 
duction with large volumes for 
each design. Those who fail 
to ride the wave of increasing, 
sales tend to find, themselves 
overwhelmed by production and 
development costs. 

High sales and low costs are 
intimately related to production 
techniques, because unlike most 
other mass production processes, 
the making of semiconductors is 
inherently wastefuL As many 


as 60 per cent of each batch of 
circuits may prove defective 
and have to be thrown away. 
And waste is always higher for 
newer and more complicated 
circuits. 

The proportion of good 
circuits or “chips'* obtained 
from each four inch circular 
slice of silicon is called the 
“ yield.” Minute variations of 
temperature or chemicals used 
in the processing of wafers can 
affect the yield. Everr in this 
highly scientific industry, 
obtaining good yields is con- 
sidered something. of a magic 
art. 

The difficulties facing any 
newcomer are made even 
greater by the fact that the 
yield from each production line 
depends not only on the process 
used, but also on design of the 
circuit So the established com- 
panies are constantly improving 
designs to improve productivity 
and drive down prices. 

These difficulties are com- 
pounded by the steeply rising 
capital costs which now amount 
to about $5m for each produc- 
tion line excluding assembly 
(wiring chips into plastic 
packages) and testing. As the 
circuit elements become in- 
exorably smaller, with 1m tran- 
sistors on a quarter inch chip 
by 1982, capital costs will con- 
tinue to increase. 

AH these factors conspire to 
give a huge advantage to the 
established U.S. companies. 
These can spread their risk and 
experience across a broad range 
of processes and types of circuit 
and also finance a high level of 
research and capital spending. 
The bigger companies, led' by 
Texas Instruments, have also 
been able to drive prices down 
in anticipation of the pro- 
ductivity gains from mass 
production. This means that 
circuits are often priced initially 
at well below their production 
costs. Profits only start to come 


WORLD SEMICONDUCTOR MARKET 

r Sbiifion OA • 



/ 

/ 

13% 


INTEGRATED 

— 


SYSTEMS 

•— - ■ • 

1 

74 l 


INTEGRATED 

- 6-4 


FUNCTIONS 


inL. 

■ 

DISCRETES 


Letters to the Editor 


oc the Superannuation Funds .Office 

" U1 JVvl !y dj) in respect of contracted-out larger funds. 

1. i u • schemes the position will, if any- .1. K. Scholey. 

SD3r6DOlfl6rS thing, improve. 4y. London Road. 

Z'-'mm Mr 'B A Cole - ■ Pension costs have undoubtedly R vigata. Surrey. 

•• JET *fi! 


the Superannuation Funds .Office answered fully in most of the shouldn't need to be even con- 


sidering import levels, except 
from our friendly American 
multinationals. 

Remember, in the retail trade, 

•••• an — Mr w: Grey (September “* ***** ■ »«» — . it's the customer who pays our 

Japanese 3M*‘e%Sg'S& “ 

car imports r b 

: p< - n5 '”" s - ««*"" "»■•«'*«' r™* «■* «*&*> ESUXmn T ermce - GM U - 

. - Mends . shares to be given to Pg[* I0, g ' Triad Garages _ .« . 

■ K" i Sir— I suppose that >, , Striking 

legal service - 

-- - :t,,!rhorS-a^S”fn 4% “ r 15 “ ■T'Rjy*? nrni+tweme*** - 

- • j vayr being large enough- for the 10 be drawa aSide here - J .- ' Japanese imports but as Umdon Borough of Camden . . 

• .-.li.vidend to have any real incen- How pension costs should- be employer I _t re fp r to Mr Best's letter 

... J vc effect. An even more serious dealt with in company accents am afraid 1 cannot. fSeptember lV) expiSmV coa 

.. ir;i whack is that. dividend. levels and what information: should be One year ago Japanese import ^ J about the fact that due to 

.. ..ire not closely related to current disclosed in relation to them is. I levels, were quoted by the Press industrial action local searches 

- J.rofi lability: reserves are built believe, currently under discus- as a percentage of total market were not being returned by my 

"‘• id whkn profits are good (or sion in many quarters.- I think share, this year, it's the nnmbers council • . “ 

vhen governments restrict divi- that it would he preferable to game fas we all know this year's , „ T 1I# , , l5 

•: lend payments), and reduced await an authoritative account- total market will be some 20-25 i ‘ irsl °* a “ j 

.. .... vhen tinies arc difficult, to try tn anis' exposure draft before per cent up on last years). This aSBure 7 0U 0,81 rwn siatt. ana 

jive a reasonably- stable return decisions are takqn. is plain, unadulterated bias and enipipyers are very concerned 

_ fl-the investor. • Fension costs he affe cted bypocracy. •?>“* lhls and regret thelncon- 

- ‘ Bv an' mpan«: i»»t ins pnronranp rens *“ n ^ ^ cosis xan ne aneciea .I?-..- vemence caused to the public 

• dfidem Tfld Eenuine nivment- hy J° many .^lors— ret i remen However that is not my main and to tixe lega j profession. But 

' - av S ts Vchemes ThPrr is a?es ’ ♦ ppa !!^L *mprovement concern It is simply that as Mr Best is wrong when he Seeks 

- however S a ^Siit " gR** s ‘ aff - elc 7 f A “? pl ^ er W ^° pr0Vld “ Job | to draw a n analogy between the 

: 15 «ive. -a hitler ^meaS?^ of % ^ so-fcaI!ed disclosures to .to ;.p increasing number of councifs provision of a bind 

a workcFs nredSrtMw than 0Uts ^ rti warId pensian adoltfrand young people m retail- cha rges service and the duty of 

~- ' fntaTcomDanv dSs share- derivation in mg cars parts and petrol why a solicitor to his cl tent which the 

P i?C„f: , are ^ order to • make comparisons should I accept that the only La W Society is concerned to en- 

holdings are unlikely to play a between companies would be branch of the British motor trade sure is nroperly carried out 

' rtus endeavour - more confusing than helpful. that must be. counted is the few SU Jf P ^ P * r J • 

B. A. Cole. ... • ■ — * r r thouunH who »«ytemhip new It is true that I am a solicitor. 

I>rnke Wcmil Dercmsfiire A venue. r members of TlSs cou^ new but I exercise control of the land 

, Amersham; Buck.*. - funds are likelv to ask a re: ye^ej^ in him country. charges section as chief execu- 

(a) Are accrued benefits cov- - Do they deserve this position ? tive and the duties are not a 
A a • j ered by assets? Have they earned it ? Do they, specific legal function nor Is the 

/VGlIianai ... (b> Are the assets sound? appreciate it ? service provided exclusively for 

- fc)’ Are the contributions IT. -they stopped bellyach'mg the legal profession. They could 

r0Vl£WS ' - - ; being paid likely to be adequate? and putin the effort in a week as easily, and l -believe are_ia 

• -•■ _ „ n . . ■ „ „ These questions are already that my lads put in in a day, we some boroughs, be exeirlsed by a 

..fi-nw Mr. Richard . D. Moore - non-legal chief executive: 

L> Sir.— In hi s article. “ Lifting - . m,. 

the veil on the real cost of - : ^7^ rro dffferent f rem a iv otK 

'pensions,” Mr. Hinton advocates •=■ •> . Ssfrial Sion wh^ch must 

actuarial reviews of pension Cofpf-v ill PrtfKsLniP't'Irtfl dealt with in accordance with 

t i! abi]lt,es “ Me . fT * ** iei y m consiruciion fhl r P propriatr^aSiMl? 

It is perhaps* mKhivalSi^ 6 * or From the Assistant General should be developed to prevent Whether this is adequate or 
an-’:actbaTy to Wok such aifr'Secnitury, Union- of Construction, serious- risks to which certain otherwise could be argued else- 
horse in the mouth but In my ^Hied Trades and Technicians trades; 'including scaffolders and ^cre, p articular \y if statutory 
Sp 0 ^n°mS? £ “Cont^ ^ Sir^Th ? ;compla CM of - contractors, are sub- duties are whjm 

valuations would be unhecessarv ^ ^iTUitt's-.. letter. “ Builders jected. . . .** But judging from “f- BesT ara, l s , a - ,P aralle J 
If the actuarv adonis what Stale Control” {September Mr, Arroitt’s letter, the em- between my control of the lend 
Mr Hinton ^eaUs v an -aecrecdle indication of what we -^employers* altitude is still to put charges section and a solicitor/ 

1* fiSdtal to expect o«i. before the livee'of gg* SiWu,? SZ 


Striking 


***? •: I J 


1 -1977 7 978 

SourcefTexas Instruments 

in when sales build up into 
millions of : nnits. 

The 'European problem is 
therefore hot so much 10 catch 
up with. Ihe science of minia- 
ture electronics, but in master- 
ing the technology needed For 
its commercial exploitation. 
U.S. companies now have about 
70 per cent of the world’s in- 
tegrated circuit sales which last 
year were $3.5hn and are 
expected ~io climb by 20 per 
cent this year . A steady growth 
of around .15 per cent a year 
can be expected throughout the 
19S0s as the world's electronics 
industry grows from last year’s 
capita] value of $100bo to 
$300bn or $300bn by the end of 
the next ... decade. Only the 
automotive steel and chemical 
industries would then be larger. 

The . fastest growing 3nd 
newest sector of the market is 
that part in which the Euro- 
peans are weakest. It centres 
on ‘the new. metal oxide semi- 
conductor. ..(AIDS) technology 
used for high density computer 
memories and microprocessors 
(computers on a simple chip). 
In recent months sales of MOS 
memory chips have been show- 
ing a phenomenal growth of 
around 40 per cent compared 
with the same period last year. 

GENERAL 

Bingham report on breaking of 
Rhodesian, efl sanctions due to be 
published; 

. Crown- - Agents' Tribunal con- 
tinues at Church House. 

Radio and Electronic Officers* 
Union meet Marconi Marine to 
press for productivity deal. • 

U.S. Treasury holds fifth (in 
series of six) gold auction, when 
300.000 ozs will be offered. 

EEC Foreign Affairs Council 
meets in Brussels. 

. In Washington. President Carter 
addresses United Steelworkers’ 
Union — expected to talk on 
inflation. 

Prof. J/.K. Galpraith addresses 
Top Management Forum at 
Sheraton,. Copenhagen; 

• National Research Development 


Late 1980 s 


Total MOS memory sales by 
U.S. companies are expected to 
exceed $700m this year. By 
the 1980s the world market ' is 
put at $1.3bn. Inmos is hoping 
to attack this market at the 
most advanced level with a MOS 
random access memory (RAM) 
capable of storing 64,000 digits 
of information. It is a near cer- 
tainty that by 1983 this will be 
the single must important semi- 
conductor product. 

Competition will, however, be 
extremely tough, Texas Instru- 
ments and Fujitsu in Japan 
have already announced a pro- 
duct. Intel in California and 
Mostek of Dallas, the pioneers 
of advanced MOS memory pro- 
duction, are close behind. 
Others, including Motorola. 
Fairchild and National Semi- 
conductor are also limbering up 
for the race. The new GEC- 
Fairchild plant in the UK will, 
indeed, be geared exclusively to 
MOS products of this type. 

The two leading suppliers o. 
the present MOS memory, the 
16.000-element RAM. are Mostek 
and Intel. Each is' selling 
between 4m and 5m units a 
year'of this product, a combined 
total oi more than half the 
world market. Both companies 


were founded by groups- of 
engineers who *■ spun off ” 
from larger companies, ihe Intel 
group from Fairchild and 
Mostek from Motorola. Inmos 
has, in the industry phrase, 
" lifted ” a group of top engin- 
eers from Mostek in the hope 
of repeating history. 

Certainly, Inmos will be 
better funded than was Mostek. 
and it has attracted from 
Mostek one of the best memory 
designers in the world. Dr. Paul 
Schroeder. Few doubt, there- 
fore, that it has at least a 
chance of success. 

On the other hand, ihe whole 
of the semiconductor industry 
is facing a series of major 
changes which will certainly 
complicate European ambitions. 

The industry is becoming 
seriously worried by the threat 
of Japanese competition' par- 
ticularly in the high-technology 
MOS memory and micro- 
processor areas. Mr. John 
Nesheim, treasurer uf National 
Semiconductor of Santa Clara, 
says: “ It is clear that the 
Japanese have decided. to put 
a major effort into semi- 
conductors. and we think it will 
be a life-or-dealh struggle.” 

.Five Japanese companies, led 
by Fujitsu and the Nippon 
Electric Company (NEC), are 
currently at work on a $300 m 
programme to develop the next 
generation of super high-density 
chips. Already, the Japanese 
have achieved a reputation for 
superior reliability with their 
memory components which are 
exhaustively tested over periods 
of up to six months before 
being shipped to U.S. customers. 

The rapidity with which the 
Japanese took over large slices 
of the U.S. automobile ' and 
television markets alarms semi- 
conductor makers. 

Consumer electronic and 
automobile manufacturers will 


Today’s Events 


Corporation annual report pub- 
lished. 

Sir Peier -Vanneck. Lord Mayor 
of London, attends City Corpora- 
tion’s Billingsgate and l^adenhall 
Markets Committee dinner at 
Guildhall. 

London Chamber of Commerce 
and Industry training course — 
“Introducing the Arab World.” a 
one-day orientation for business- 
men outlining the history, reli- 
gion. language and culture of the 
Middle and near East. 

Firefighting and Prevention 
Exhibition opens in Eastbourne. 

Coffee symposium and trade fair 
opens in Montreaux. 


Internationa) Trade Faif opens 
in Tehran (closes October 1). 

Annual Conference of British 
Association for Commercial and 
Industrial Education opens' at 
Churchill College. Cambridge 
(until September 21). 

COMPANY RESULTS 
Final Dividends: County and 
District Properties. Jenlique 
(Holdings). George H. Scholes 
and Co. Interim Dividends: 
Aurora Holdings. Bank of Scot- 
land. Bemrose Corporation. 
Bodycote International. ‘ Copydex. 
Energy Services and Electronics. 
Expanded Metal Co. J.B. Holdings. 
Bernard Matthews. Rowan and 
Bodeo. Interim figures only: 


he major buyers of integrated 
circuits; and U.S. semiconductor 
producers fear that these 
Japanese industries may not 
import components. 

Even the powerful Texas 
Instruments, the only semicon- 
ductor company able to outface 
the Japanese in the calculator 
and digital watch market. ! s 
worried. Mr. Fred Bucy. the 
president, says: “Texas Instru- 
ments is * head on * with ihe 
Japanese in several major 
markets, among them semicon- 
ductors.” 

However, Mr. Bucy does not 
believe semiconductors will fall 
into the hands of the Japanese 
as . easily as the markets for 
radios, stereo, television and 
motor bicycles. He says the 
U.S. semiconductor companies 
understand the “ learning 
curve ” which describes the 
■* chicken and egg ” relationship 
between falling costs and mass 
production. 

“The key to using the learn- 
ing curve is to design to cost, 
where you determine the cost 
required for rhe product to 
realise high volume production 
and then design the product 
and the system to manufacture 
it to hit that goal,” he says. 

When the U.S. and Japanese 
giants join battle in earnest, any 
European contestants will need 
sharp footwork to avoid being 
crushed. For whatever the 
outcome, heavy pressure on 
margins and intense competi- 
tion for the volume markets are 
likely to result. 

Inmos in an attempt to capture 
American know-how with an 
unambiguously British con- 
trolled enterprise. Among the 
large international forces at 
present being deployed in the 
industry. Inmos looks rather 
small and lonely. Some say it 
is foolhardy, others say it is 
courageous. 

Electric and General Investment 
Co. 

COMPANY MEETINGS 

Airfix Industries. 17. Old Court 
Place. Kensington, W. 11. 
Gresham lnv. Trust. Barrington 
House. Gresham Srreet. EC. 12. 
W. E. Norton. Royal Automobile 
Club. SW. 12. Rothmans Inter- 
national. Dorchester, W, 12.00. 
SPORT 

Gnlf; Midland Open Champion- 
ship. Hill Valley. 

Tennis: British Hardcourts 

Championship. Bournemouth. 

Cycling: Skol six-day event, 
Wembley. 

LUNCHTIME MUSIC 

Piano and violin duo recital. St. 
Botolph. Aid gate. 1 pm. Organ 
recital. Si. Lawrence Jewry, l pm. 
Omega Guitar Quartet, Bishops- 
gate Hall, 1.05 pm. 


II 



useful role ju tbis endeavour. 

• R. A. Cole. ... . 

JTrnJie Wcidd, Devonshire Avenue. 
- . Amershan^ Bucks. 


Actuarial 

reviews 


funds are likelv to ask yre: 

(a) Are accrued benefits cov- 
ered by assets? 

.. (h) Are the assets sound? 

(c)‘ Are the contributions 


. /From Mr. Richard .D. Moore .- 
Sir, — In his article. “Lifting 
the veil on the real cost of 
—-"■''pensions," Mr. Hinton advocates 
actuarial reviews of pension 
scheme liabilities more, fre- 


Til 


H. LIMIT 
ISTHEKEY 
T 

1ST 

s. ■ * /■ 

— . < , • • • 

.-'i .. ' 

; 

yV'. • ;*■ > 

/■ > ^ 


** 


s 


„ Li funding method’ 1 jtfid-. makes* vww* *«»p wmr «« luc * iV ” Ui HaVr suiltv of 'the verv tvne 

= reasonable advance Provision fur" from ihe- construction employers jny.muon s members. sioer, guiity oi uie veiy type 

t tUCw SKSF ^nweS? * toSStoK organisation CABIN, . .How Mr. Armitt can claim that muddled tanking of which he 

IS -quotes from the >§5* provisions in the coo- ^correctly accused me. 

Jhj^tribtftibn TateVjs 'likely IS 1 retuai&. report, cbm missioned by the cun-- structfon industry are equivalent F. Nickson. 

» k nilfatrly Stable as a percentage of slruction employers from the to- those in other industries The Town RaU. ^ ^ 

*-T%: ? g 5 pensionable •■payroll.:'. Between so-called" independent ’’ Econo- escapes" me, particularly wheo Euston Road, N.W.l. 
f * ‘is,? 6 t Evaluations, the ; actuary’s -Vadvfce -mist Intelligence Unit. For iny employees in construction are ‘ 


sider. guilty of the very type 


*i.- 


Of* X..A .. 


ns 


• steucture:bf a scheme are,beiUH sources, • suen • as’tne'Jieaiui ana safety apart, construeuon opera- v 

. ' copSitt^r«F. : - Safety ‘ Executive’s Report: ‘tives-stHl only have three weeks’ ’ a. SKI II 
" ^ ^vHi^oh 'askA'whaf Mother F“HB3Rh . and' Safety.;- Construe- "holiday while a majority - M R . 

j i corodrat^ -- liabilities; a re esti-tion, 1976>” But: this- report and df^nairoal workers have at least FT ^! n ■ J 

ZSjUi* % J# ' .)•' -* 1 * ■ eiihterfiiAnt mmmonfQ frflTTT fnirrr: . anlnv nil inHitctrlal Slf.— M3V I 


VW j 


;|gps 


4 ) 




vJtibertair ' j jr;. employers. 


:jettet; / the turnover of labour in joules, enough to melt only Y kg. 




■ ■ 'JP* 


.r. ,DC0,nc ,be » £*££*%> **4 

“ ffnpv- njffi 0 * 1 '? : to-* wibHdy white-wash the -’UCATT believes that the atti- , 0f course it will if 

® ea K, of ? e ps‘ on s . employers' terrible safety record. Tildes of. the employers are such ^ driver is clumsy enough to 
f USUI?!?* a? TO - v f r i tT ^ en a* Instead . ot responding posi-. that they will not put their own tije wbeeIs tJP: a Ay f»tice- 
someone^ whose _knowledge _ de- nYely ^ t0 Mr Hamper’s call for house in order. They will not man or driving- instructor will 



A rniLRpLoflT^li^snJhRr in construction, unless steps are therefore continue to campaign the competent driver ss very 
on nSSna taken : to.- Improve on past for the decasualisation of the relevant It is by no means a 

^ cDmbmMi^oleaa tothe met* 1 ®* Qf Preventing accidents, industry; for compulsory em- question of speed, bnt of 

k» filiation Mr ffintrm descrihes* “ about 2JJ00 men will die and ployer and ' employee registers whether braking force exceeds 

minimum SS about 400.(M)0 ; wiU he injured and for statutory backing I for Ae Wr e gripping force. 

- have beSi prScrfcd SESjSa tjf .next « years ”™stt p resent C qnstnietion . Industry x am ^ advoca ting nolmlted 

there has been a tendency to b«rau^e^ Mr.- i ^ ammei V s w ^r^ C0 R! d speeds. I merely wish lo stress 

adopt these: Hel^tates There is and. large, the same b3SI J.|™ effectively^ oversee the ^['problems of this sort must 
» - ' everv reason' to believe that the causes have produced a high operation of the registration . _2l__ a _ he j m.- 

' v position in the UK is,; or W Jiop^ion' of accidents over the scheme. Only by this means can 

- v'- ; will be no different In fact the lasl ^ or ? 0 years.” For most we achieve greater efficiency. _ 

exact opposite is tiie case: By "causes', of accidents, there are proper manpower planning and Mr. Bligii may also wish to 

•1 and large pension funds ' have simple ' remedies but these bave. ^ career structure which will know that the laws of physics 

followed professional, actuarial not been ..produced- Why is encourage young, people to join have been altered many times, 

advice and their assets cover the this?— Snandal reasons, says the ihe. ind u stry .on. a permanent m Brook • • 

whole of accrued liabilities. . Be- HeaJrb and Safety Executive s basis rwrfi* 

cause of the more . stringdiit- report -The report states that Les Wood. - 7*. Castellan Avenue, 

requirements laid down by the '.’Techniques ytuch have lain UCATT House, “Wen Port 

. Occupational : Penaon&‘®t»red."-said;-.d0rinajit .jail grounds of eost;I77.Abberille Raid, SW4- . -Romford, Essex. 


There’s a new source of equipment financing on the 
U.K.map:the Blue Key programs ot MH Leasing Limited. 

■ Think of us when you need financing lor substantial 
capital acquisitions. We offer medium-term. ^ y 

'sterling-based equipment financing in a variety of forms. -Z 
Most importantly, we tailor a financing program 
to suit yourspecific situation. Because whal s ■ , 

right for one company is not necessarily right 
for.ahother. 

While we're skilled at structuring deals, 
we’re equally, proficient in the follow- 
through —providing attentive service 
throughout the jife of the agreement. 

Consider, too. the strengths of our corporate 
- relationships: To begin with. MH Leasing Limited 
is backed up by the resources of.a 535-billion institution. 


.. In addition, U.K. companies that require 
• dollar-denominated financing can turn to Manufacturers 
Hanover Leasing Corporation for a program that suits 

their needs perfectly. 
IFyou need sterling-denominated financing to acquire 
high-cost capital goods, don't make a move until you talk to 
M H Leasing Limited. Call or write today. 

LONDON 

Anthony W Jukes, Marketing Director 
22 Austin Friars 
London EC2N2EN 
' Telephone: 01-628-3833 


MANUFACTURERS HANOVER LEASING U.K. LIMITED 

Total equipment finajicing. Worldwide, k ■ y 


A 






i 


32 



HIGHLIGHTS 


Fi -anria! Times Tuesday September 19 ,1978 $ - 

Jubilee Stamps aid mid year 




Diesel engines growth boosts 
Rolls-Royce to £5.4m so far 


: First half profits at European Femes are a fifth higher 
despite a damages industrial dispute at Felixstowe. The 

striking feature ^of the RoUs-Royee interim figures was the 
performance of the diesel engine division where profits are 
three and a half rimes higher and now account for neariy 
30 per cent of total profits. Lex also discusses Simon 
Engineering^ U.S. expansion in the light of the company’s 
warning that the recent period of spectacular growth is coming 
to an end. First half profits at Camrex have slipped badly and 


rise 




STAMP ■ ISSUES -commemorating 
the. Queen‘s Silver Jubilee contri- 
buted to profit for the- first* half 
-ef 137S at Stanley Gibbons^ At 

the pre-tax level the surplus was 
ahead from £798^27 to £341.058 


WITH MORE than trubk-d tj.xabie 
corning-. hL the operating !»•■.<•] «n 
diesel eiiginet from £-JS.iiMin to 
£1.8 RoMs-Rmev Motors Holdings 
expanded profit Tor The 24 weeks 
in June 37. l!»7S. h> £* 7m in 
£6.-1 l:n. Including the .-ales of 
these encinci ahead l«> £21 22m. 
s-.-.iin-; £13 45 m. group turnover 
was £!I.K7m butter at £64.lilni. 

The operating protil on motor- 
rnr= advanced to £2 72m t Ei.!i4ni • 
on '•.lies nl £:i.r7!lm ii32.7fl:ni hut 
there '.us a decline in the «urp!u- 
from- other products in £fi.i!Miw) 
i £ T . I “mi i on sales lower at £7.3 lm 
i £«.4Sm ». 

The d»rcelor« anticipate a -asis- 
faclory ouu.-omf for !h»* full ye..r 
provided the company and iL- 
-unplicrs remain free from indus- 
trial dJ-pute-.. Lhs; year protil 
reached £llm. 

Half-year earnings per 2.">p ■h.:re 
v» ere 4 .Hip f4 U7p i or 4 -i-ip ■ « S3 ■» 
fully diluted and the net interim 
dividend is raised by ahoul 22 per 
cent lo 2.24p (lS4p). As was indl- 
e.i : ed in the proposals made ir. 
April for enriy mnverpinn uf the 
loan stock, the Board mi ends :n 
recommend .i roi.il uro-s dividend 
of 7.S1 r’.0i>p for 1H7S. This repre- 
sents a 2ii per cent increase on 
the ti.tiiiu!ii|) cross paid Iasi liir.i:. 
Treasury consent has bd.n 
obtained. 

The interim ru«uit* continue :o 
'nor. an merea-e m output and 
protil ahl illy apparent :n the lasr 
half of 11177. the directors com- 
ment During the eariy pari of 
she ;.ear. -ales uf motor cars tu 
tlnrd parties v. ere at a lower 
rale than in the -ecnnd haif of 
last year due in ;he r.eed tr» 
re-st nek the export pipeline, v.nith 
•-•a; nearly empty at the end of 
December. 





and regular deliveries of the new 
V12 engines for tanks, collectively 
contributing lo the improved 
profit performance, the directors 
explain. 

Other products were weak due 
to poor demand for light aero 
engines and although gas turbine 
engine component business out- 
look is better, this will not be 
reflected in deliveries until later 
this year and 197fl. 

The balance sheet and the state- 
ment of sources and application 
of funds show the continuing 
investment which is now taking 
place throughout the group. 
Slocks and work in progress have 
also risen due partly to inflation 
but also to the re-stockinc of the 
export car pipeline. 

The convertible loan stock has 
been --ubsl an Dally converted into 
share capital, with consequent 
benefit to the debt ratio. 



interest in the company’s goods 
the. directors amicipare_.another 
excellent year. - Profit in- 1977 was 
a record £lj6ra. ■" ^ 

Adjusted for . rights issue half- 
time earnings per 25p share were 
6-S9p tT.teip). The net interim 
dividend is raised to TUS5p'{1 jp> 
— the fiaa! last time-, was X8p. 

Net profit ar midway ‘out 
at £422.634 (£37*248) after tax 
of £515.422 (£426.079).- There was 
A LEAP or some £lm in pre-tax if less spectacularly and profits n o ^ extraordinary item; ..(debit 
profits from £lJilm to £2.5m is (to be consolidated back to Iasi £2R£KM3i. 

reported by Wadham Stringer for January cbuld be around T. ne company Is continuing to 
the first half of 1U7S. Turnover £270.000). At fiJjp the shares 
jumped to- £94 2S)m against stand on a maximum prospective 



Wadham jumps by 
£lm at interim stage 




Mr. 


Ian Fraser, chairman 
Roils Roy cc Motors 


In The l\S. deliveries were inter- 
rupted by the severe veather 
conditions but. within the present 
! imitations of supply, business 
remains buoyant, they add. 

t.’ar production was resumed iti 
the London factories in January 
full. iv. mg iite four month strike. 
In : he in terveni ng period some 
pr-vre.-s has been made towards 
rc-:onng uutput to ric.-ired Jevois. 

I: is in the sales of diesel 
engines that the company has 
<ecn the mo-t nmeuorlliy 
increase this year. Higher sales 
reflect a 20 per coni increase in 
output of in-line diesel engines 


borrowings are well within the 
available resources and the 
medium term facility arranged 
with Lloyds Bank, which has 
increased to £lt>ni following the 
conversion of the loan stock, is 
as yet unused. Lbe directors slate. 

Hall-year 
19TH 1977 


165.09 m. 

-All d i visions n f t h e 
have - made progress and the 
second half continues with 
increased turnover and profits, 

say the directors, who anticipate 

Overall another record year in 197S. 


p.'e of S and yield 6-8 per cenL 
company a higher rating than Dutton, and 
scope for further relative strength 
looks limited. 


Armitage 
Bros, up 
so far 


Turnover ....... 

Motur car*' 
Diesel enainrs . 
Others oroducis 
Prufils . .. 

Motor i-.irs ... . 

Diesel L'liami-s 
other products 

Interest 

Prc-U >c profit . ... 
Tjs 

.\\*i uroht 
Kxehanic aams . 
To minorities 
Aitrtnilhh- 
luiL-riiii diiidond ... 

Rciinctt 

t Loss. 


DMA 
M.611 
33. 791 
SI. US 
7 5tl3 
6.1S2 
3 7-J4 
1.739 
AVI 
77rt 
5.412 
2.7 U 
2.ii9* 
2ue 

’.■-37 

I.MS 

L3ii 


m«j 
M.7« 

r.;.7ss 

15.4SI 
5.377 
4.3M 
2.343 
4S5 
1.131 
SRI 
3,714 

IB w,h 

■rsn 
t: 

2 in; 

l.VU 


For all the previous year, 
record profits of £3 .34 m on 
£ 134.83m sales were achieved. 

Half-yearly attributable profits 
advanced from £SK4.flU0 to fl.lSm, 
after tax of £1.3m t £786,000). 
minorities and n £170.000 extra- 
ordinary credit last time. . , 

The interim dividend is stepped FOR THE 28 weeks endea July 
up from 0J9p to Up net per 10p 15. 1978, profits before tax ol 
share — last year's final was lJllp. Armitage Brothers, pet product France m 
TTie- result was struck after manufacturer, improved from German 
lower interest of £552.000 against £204,327 to 1244.526. 

£685.000 and included this lime a Mr. S. R. Armitage. chairman, 
share of associate profits amount- says sales have continued to 
ing to £20,000. expand at a satisfactory rate, ar.d 

. rationalisation begun in 1977 and 

# Comment continued during the current 

Wadham Stringer’s half >”ear has offset constantly rising 

lime profits up ti* two-thirds it ovnavrlM* 

now looks as if the full year will Export»!^ha\e al«> expanded. 

produce profits comfortably over a * ’■ ^ « 

£4!m. A £200.000 contriboT.on ANNOUNCING 


make satisfactory progress over 
the current accounting '[period. 
New shop - premises' [ in' ‘ Monte 
Carlo and new offices in-£he cenrre 
of.. New York are- pbw in 
operation. ‘ . r . ’ - 

To aid the group expamdon, 
new avenues are continually being 
explored and it is notv dealing in 
old' bonds and share .certificates 



ing the sroupir Euroi 

activiles but Is now- no lodger 
qulred for its punta 

At the invitation pj ;H»' f 
pan;, Mr, and Mrs, Micbarf.j 
agreed to purchase the' prop 
at the current market *-£ 
of £83.000 ' (equivalent ' 
FFr709.000); - . ?- - 

0 comment -- V 

Stanley Gibbons _ appears : 
\irtuaUy immune from .ecoch : 
cycles so long as there are it - 
stamp collections, for itv(o ' 
In times of high isflalion, *4. 
prices rise wfhile more.^afife 
di tions encourage more . peon" 
collect At presem.'the vbiuir 
business is -^uoyaru. - «7 tiv p 
continuing lb rise -appr^cf: ■ 
Thanks to strong; E5. and* : 
demand for- rhe -sok-'aHed-cl 
issues (mamJy. 19th jbentury); ■ 
half profits nlrel iieirjy . a * 
higher and the, company fe_dn 
get for st least; -£2m for rfie 
year. Last year. Gibbons ba : 
the Nissen collect ion - Tor f 0 
and -this should : stmt, fiifs 


u 


Mr. Howard Fraser who is due ^ ou ^o^-U? e ? lh « 
to take over as chairman of Recently, anoiher : MSmvass 
Stanley Gibbons on Oetobec 1. ou other colfechohs and the 1 
TOUUHl „ ‘ , pany. -according ft, ihe ^ 

for collectors. A new cckhpanv Gibbons Frankfurt GmBH, form- chairman, say* JhaVlurrher 
has also been fonndd to dealin erly Stanley Gibbons Merkur stannal acquisUtons .win b . ■> ; 
antiquarian books. The directors GmBH. for FFr 706,000' (then majOF pnoPUy: bver thc ^ 
believe that both ziew ventures £82.961). 1 co u p le. o f years.- Tbe .. bal * s 

show considerable promise, says The property, in which Mr. sheet is sound, but. asin the . -I! 

Mr. A. L. Michael, who retires as Michael and his wife have a non- of the Nis»u purchase, Gib;- Li l 

chairman on October L- beneficial interest as trustees for might decide la turn to sJ^ 

A property was acquired at the German” subsidiary. ■ was holders for future' cash need; 

Cagnes-sur-Mer in the south o» originaliy bought as a base for 208p, the shares yield a pnw - 

1977 by the eeftpany’s use hy group executives in the hve 2.6 per tenl (covered ' 

subsidiary, . .Stanley course of developing and expand- four times). . 


Sec Lex 


Camrex Holdings falls f 1.2m 
as world shipping slumps^ ; 

f rn CtaMwc n VTorri " Cli da uupuil ICAUiLkMKks aau n. TNOL’NCING A dump .in tax- relating to a provision 

-wl Avt’r. hnnst economic problems in some of the able profits from -£1,244,000 ' to pensation for loss of offi. 
dealership) and ihe metra txiost 5 markets have £31.003 for the first half of 297S. Earnings per 20p share 

inevitably affected sales, but new the directors of Camrex- (Hold- from 5.97p to 0.16, 


worth about £250.000 have made 
but even so the 


European Ferries £1.5m ahead 
to £8.5m at six months 

tow „ manufacturing arm has been less recent improvement in consumer are fully encaged at t 

non rcISnnni^ 6 excilin2 wit *. demand slack for spending in' the UK should ccn- time in carrying out. 
surplus was £91 <.000 (-S&..00I)). boats both in Europe and the ^mue to be of benefit to the com- lien and rationali«abo 


A slump .In tax- relating to a provision for com- the shipping recession - obvit 

' to pensation for loss of office. had its iinpacl, . -the comp: 

' 12s per 20p share declined attempts. tcT build-up the mdu? 

„ .flip to 0.16, but- the pamt side ha's been a disapp 

markets have been opened and jugs) say that nomeroas doctors interim dividend is kept at 1.64p ment. - Industrial business 

net. For ]Bi<, payments totalled: year accounted'To£ 50 percei 


ivi oui v-»v‘' »..v pr05 pecis f or further growth have contributed t<v the "very 

performance remains 


INCLUDING A cnnlribution from 
Jimncial -‘vrvices and property 
ri:vi--it»n up from £S.S7.0(M to 
IIATm taxable protil >*f European 
Ferries dim lied £ 1.45m lo £S.5m 
for the first half of ]!)7S. The 
directors stale that, apart from 
ACT nn dividends and a small 
amr.uni nf foreign tax. there will 
b»- no lax charge on profit at 
full time. 

Last year tin 1 surplus was a 
he^i ever £2l.77m of which tax 
lonl; £ 1.32m. 

First half turnover by .the 
croup. who«e niher activities 
include the transport of 
pa-'cn-ji.-rv and freii'lii liv sea and 
npcraiion uf harbour services, was 
nlvai] lo £37 2iim 1 £5<i S4m 1 . 

T!i»* ltel mter«m dividend is 
rai.-erl 'n 1. Ip 1 lp ) — final for JH77 
whs l.Sp. 


In June, the directors said that 
though tourist traffic was likely 
10 he well up in 197& with tariffs 
maintained largely at the previous 
yoar'i levels ii would be necessary 
to rely on an increased market 
share. Freight was also expected 
ta grow but nut to the same 
decree as in 1977. Financial 
sen ices and property should also 
contribute to increased protit for 
the .tear, they said. 

Profit margins of the shipping 


a big impact 

underlying jjerformance remauis ^g m ain good, he states. ~ disappointing ** results, 

impressive. In volume terras new The subsidiaries have again Rut the main reasons were the 
Mr sales are ahead by ■» per performed satisfactorily, with the acceieraied -worldwide .-shipping 
cent (Leyland registrations were jperetsed output and »Jes of the slump, delays in commencing. and 
up 14 per ant during the same com pany’s leather manufacturing completing major contracts and 
period) while commercial vehicle Qffshoot Rathburn Products being this year's particularly adverse 
sales rose 35 . per cent and used outstanding. - weather conditions, they add. 

cal's by 50 per cent. However, the chairman reports that the 'The directors and management 

the present 
reqpxariJsa- 
ationali«ati(in which it 


3.96p from £1.9 6m pre-tax profit. 



Six oiontlu 
IMS *1377 
£O0B ..£lM 



1.5RS 
’ . 221 


515 

Ex>i.-p(ii»i3l debit 


31 

1.244 



- C95 







Ar:rlhii:ahl-.- 

‘ . 15. 

S3!: 


The increase in prolils from UK. while the order book for pany over the next few months, 

property and financial service* ambulances at £5m is at record ' Assuming sales in the 

reflected the higher activity in -levels but -.component supply months of 1973 continue 

this expanding division, the difficulties has held up produc- present trend, full year profits 


directors explain. 

Sec Lex 


ASSOCIATES DEALS 


ic anticipated will enable the 
final known abilities and resources 
their within the group to be utilised. 

■ This will take seme time to be 
reflected in results, they, point 
opt. but they are confident that 
the “ setback ~ is on!y ; temporary. 


* R-.-sia.'rrt riii'' i.i -cfiano In suiu* ol 
cynain subsidiaries in *tfbud. half of 
1377. 7 Provision for compensation for 

loss of office. 


lion. Car sales continue buoyant should show a worthwhile inl- 
and the new VauxhaH dealership provement over those for 19i>. 
has got off to such a good *lart he says' 

that Wadham is looking for new Last year the company earned 
premises. The recent Beare record E434.000 profits and paid 2 . . . 

acquisition (an agricultural equip- -sing'e net dividend of 16.09p per and profit was after-/ art ; escep- 
ment dealer) fs progressing well £1 share. liana J debit of •.v£60 ? tt)0 (nil) 


• conment 

Camrex's first half 


results bear 


group profits but canceileft 
delayed orders, and, the . 
summer, weather,, have 'at . 


relief on the marine side . 
the shipping recession Ls 1 
But the company., is obvjt 
prepared to- wait and is uni- 
te -follow ICI's example and- 
engage from its marine, j 
interests. Its best approach' 
lies m using, its extensive w.. 
wide network of marine ou 
to build up its ' indts 
customers, but that -will -t 
difficult and long-term task .'at 


Turnover for the' hdf-year no r T lati ”" oalzoinz chair- market w- very competitive. 


dropped from £11. 9m to £10.1 m 


the spring of 1!»78 end the surplus 
was belter at £5.71 m <£5228m). 


Midterm improvement at Brent 


a * damS"in* re | n du S t" d wnuto'in cre 1 ion a ^ U *n ves tm ents '"clients 

d ddmaginj indusln.il dispute in 14 1(H) Courtaulds at lisp. 

Laurence Trust has bought 2.300 
J. Cnmpion Sons and U'ebb at 
The Harbour division operated G4ip. on behalf of an associate. 

at near capach.v bul. as previously E. B. Savory. Milln has bought ...... 

indicated profit growth in this 20 non Weslnn Evans ordinary at WITH S XLES-'.-hicher at £10.Slm pects remain exceilenL Brent’s premium rating ..took a 

division cannot be achieved until Ifiop and lO.OOf) al lKIp on behalf against £9.35nkM»:e-iax profils of The first-haff result was strock knock yesterday when^N&tiares 

new capital investments come into or Johnson Firih Brown. Brent Chemicals International after interest of 249.000 (£46,000 1. fell !5p to 202p following a slisht 

improved from £U3m. to £L23m Tax takes £614-000 against £553.000 drop in margins and a. marked 

for the first six months of 1978. and attributable profits emerged slowdown . in -growth. Interim 

For all last year, a record £2 .23m ahead from £513.000 to £66LOOO. profits were...tfnly tl per cent 

surplus 
The directors 
short term 
because 
continued 
on some 
industrial 

The group i» in a strong posi- 
tion and has r-mplo opportuniiies ^.,4. 

for . continued cxp.'insion. they • Comment 
stale.. -Long term growth pros- Company new s.add brent chemical 


man s optimistic comments in the -company has inthhated-that it 
annual report just six months ago. hold dividend: payments' Uik 
Profits have slumped from £ 1.24m but if profits do not recover, 
to £31.00(1 and there is .a very real i»olicy can ;hardbc be jnSintaTT 
prospect of ihe enmpany slipping The shares dropped ap to - 
into losses by the year end. While valuing the cbnipahy at £5 An 


DIVIDENDS ANNOUNCED 

■ : : C9rt'*-' ‘ T6taf 

Current <pf, Ending' for 
payment payment ~div. \ year 


- KC 

e\pF 


simon EneiniienG ltd 

Specialised machinery; process plant contracting ; industrial sen/ices 


I nterim Report for the 6 months to 30 June 1 978 


Profit before tax for the six months 
to 30 June 1978 is £6.310 million 
^£5.444 million in 1977). 

The Directors have declared an 
increased Interim Dividend of 3p per 
Ordinary share (2.7p in 1977). In 
addition. ;.\ further dividend of 0.0 767p 
per Ordinary share is declared in 
respect of 1977. to take advantage of 
the reduction in the rate of advance 
corporation tax. The Interim Dividend 
and the addilipnal Final Dividend will 
be paid on 29 December 1978 to 
Ordinary shareholders on the Piegister 
of Members on 1 December 1 97S. 

Although the forward outlook for 
world trade has changed little since our 


last report, order intake achieved by 
the Group in the first six months of 
1978 exceeded that of the equivalent 
period lastyear. 

The maintenance of this improve- 
ment, will depend to a considerable 
extent on the successful containment 
of cost inflation and on continuing 
price competitiveness which could be 
particularly affected by the outcome 
of Phase IV of the current pay policy. 

We have no reason to change the 
view previously expressed that we 
expect continuing growth in profits, 
albeit at a more modest rate than in 
recent years. 


S» < months ended Six months ended 


Trading profit 

Shan? of piofirs of principal 
associated companies 


Interest receivable less payable . 

Profit before tax 


Taxation 

Gioup - 

Principal associated companies... 


Profit after tax 

Minority inteiesis - 


Profit attributable to 
Simon Engineering Limited 


Dividends 

Preference — 6% (now 4.2% plu* 
tax credit) paid 1 July 1 973 

Ordinary - Interim 3p pershare 
(equivalent, with imputed tax 
Ci edit, to 4.4776p : 1 977 - 2.7p 
equivalent to 4.0909p) 


JO June 1973 

L 000 

JO June 1977 
£ 000 

31 Dec. 1977 
£ 000 

5,584 

4,504 

12,337 

261 

301 

765 

.5.845 

4.805 

13,102 

465 

639 

1,220 

6.310 

5,444 

14,322 

-2.601 
— 1 36 


-2.060 
-1 56 



-5.426 

-406 

-2.737 

-2,21 6 

-5,832 

•3,573 

-230 

3.228 

-266 

3.490 

-794 

3,343 

2,962 

7,696 


Year ended 


19 


621 


19 


551 


?. 7. <*•.■*.» ‘ 
J I 
It 

rr.-rtv< 

{.-> -‘-J : , 


hj’jinrr ticfiiccfoiibn of f 1.229.000 (3(7 June 1577 £1.073.000; 


■nr pi ■>/:; >s shrri 

ribzr if. V ii\3C 7.000). 

!’■■■. si ■ ;roi.:ns er-;cU30 Jure }• V"? and 1978 ait unaudited. 

wul-z t.'Junc 1 P7$lui been based on the cstintjrcrfcilrcrivr rate for 

:' V ' , -'W' bQonad;if.tcdto'*ihctthe change in^oup accounting 

/■></■■ ?'/■. tl . rf • n. .-. t JK /, ... os.ipi'holfor the tuft year 1 977. y 


svi-u-fih . • Mr a tip l* 1 .’ renuds and hoc jus* of the uncertainty at future 
, ...Vi;.'-, ■’ ■' "t Cizkanqe liiiltrcncc S ir mjdr at She half year. Forc.ui’inarutne 

- j - e-rtMhu* Me 19?7hsll^a, rcsu.ts: b u , die tuU/sarl fyums 

■iirlui! .* M ' ... - l-.t-Ou .( . nr. ,.i L Pub.isln ,] Rv/Hiit jtitf A cc-i unis. * 

- •* ■‘ A ’ 'v/. t . rif African workers in South Afrka has been prepared™ 

s::\e ..it- die i,i. at nnnihcumii* anti -vitlbe available on request to die Company Secretary'. 

SIMON ENGINEERING LIMITED CHEADLE HEATH STOCKPORT CHESHIRE $K3 ORT 



be n>ost promising base for ^ mOD — i ! nt - 

* growth. In the emanrime S >’* es ? nt - 


ISSUE NEWS 

BRISTOL WATER 
£5M OFFER 


vide .tl 

future - - , 

pre-tax. profits for the whole year ’ Vadh * ra stringer inL 

of £2.6or still h»ok possible — 17 per Dividends shown pence per share net except' where otherwise st 
certl up on 1977— despile llio possi- . 


bilitv of indusuial trouble at 


after allowing : for . :scrip 7-fssue. ; . f On ca 


receive an allotment of less than 
100 preference shares. 

Accordingly arrangements have 
been made with the company's 


Underwriting has 
pleted for an offer 


been coni 
for sale by 


brokers. .Pan mare Gordon, ta place shares yield 2J» per cent while 
as many of the preference shares the p/e remains high at 15JJ 


Rronf’* customers on rhp auinmn- -increased by rights and. or acquisition .issues, t Plus addili 

»»'«!>«* *««. -MhA- MWp-^WW.VT*.*- 

of total sales has been reduced .“'HPanty. . • • 

*p.l5 per cent from' 30 per cent ■ 

over four years. On a prospective- ' -• ' "'v 
gross dividend of around 5p the 


tendm* of £5m Brbilo! Waterworks a ful1 char " 


Company 7 per cent Redeemable 
Preference Stock, 1983. 

Full details will 
tomorrow. 

Brokers to the issue are Sey- 
mour Pierce and Hoare GovetL 


This placing will only take place 
if a price of at least 90p per share 

be available can be obtained. 

De a\ ana oie The C o mpaoy wiu bear all the 

selling expenses. 

An egm is called for October 10. 


HALMA 

The full document from TTalma 


RICARDO & CO. 

Shareholders accounting for 
some 22 per cent of the shares in 


Increase for 
Family Trust 

With gross revenu? better at 
£177.288 compared with E12SJW2, 
net earnings of the Famil> Invest- 
ment Trust expanded from £77.046 


in .connection with its proposed , . ._ . 

scrip issue of preference shares Ricardo and Co. Engineers (1927) to £105.070 for the 197S first halt, 
contains details of how small have placed their rights issue represen! ing 2.39_p against 1.75p 
shareholders will be able to entitlements in the market. per. 25p share. • 

dispose of the new preference A month ago Ricardo an- Earnings were struck afler 
shares without incuring dealing nounced a one-for-four rights issue expenses and loan interest 

amounting lo £15.531 (£ 1 1.59a) 


cha rues 

-The scrip issue is of one £1 
11 per cent cumulative preference 
sh/rre for «*\«ry 30 ordinary held. 

The directors have estimated 
that some 050 shareholders will 


at 200p per share. 

Directors and certain share- 
holders have placed their allot- 
ments amounting to 125.000 new 
shares at a net price of 8Sp each. 
In a nil paid form. 



The Appleyard Group of Companies Limited 


INTERIM STATEMENT 

Six months ended 30th J une 

1978 1977 


Net Profit . 
before TAX 

Interim Ordinary 
Dividend 

Earnings, 
per share 


£1 ,313,000 


2.25p 4 


7 68p* 

' On captlaf increased by 47 % 


£951,000 

1.625p 

S.OIp 


"As a result of the sale for cash 
of outlets which are surplus 
to future requirements 
the Group's overdraft is expected 
to reduce by £1-8 million." 


Copifis of the lull Sraremcnt may be obtained from the 
Secrewiy. The Appicyard Group 
iii Companies Limited. North 
Sireei. Leeds LS7 1RO. 




and tax of £56.667 I £40,201). 

An interim dividend of 1.75p 
(lap) net has already been 
announced and a final of not less 
lhan 2.75 p forecast — the previous 
final was 2.35 p from £174.445 
earnings. 

Net asset value at the half year 
is shown at 105.3p per share, an 
increase of 13.6 per vent over the 
year-end figure of 92.7p - 


Fixed Deposits 
with Lombard 


. If you have £5,000 or more to invest for a fixec 
period of 3 months or longer, telephone our 
: treasury Department on 01-6284111 or 
•01r623 6744 forup-to-the-minutecompetitive,^^ 
interest rates. Interest is paid without Vr' 

deduction of tax. ai source. ■ ~. ' 




North Central 

Limited _ ... 

■ Bankers 

'Treasury Dept., 31 Lombard St ~ London EC3V BBO. Tplex; SMffiXv 




Results for the year ended March 31st, 1978. 

T u mover. — £39 mil l ion ; 

Profit before tax .£2.7 mill ion 

“Present orders and trading indicate a 
substantial recovery in the current year.” 

Ralph Ehrmann, 

Chairman and Chief Executive 


For copies of the 1977% Report and A. ... 

Industries Limited, 17 Old Court Place. London, WA- .* 


Y,AiiUi ( 


c u 









. The Finance Act 1978 contained 
■a danse which -would enable^ life 
companies to offer the holders of 


personal pension contracts at the 
time of retirement to take the 
cash equivalent of the pension; 
and bay; an -annuity from another! 
life company. This is known as 
the. open market option and it 
already : applies to ^'executive 1 
pension contracts. At present! 
negotiations are . in progress: 
concerning the . muthods under! 


which this Option.. "will apply In 
practice. » 




.X >-V--4 V • - 1 : > ‘ •>:;• & : 

, < ,*Wx • **V. • 

?' j !: - • i jjj ' >4g v j? 1 .??. • 




C- u. r- . - 


1 * 
I 


i' -vi 

mid,! 

v 

Otis 


Financial Times Tuesday S^teml>er l9 1978 

Simon Engbeering advances 
to £6.3m at six months 


Low & Bonar rises 
25% at halftime 


TOR THE first six months of 1978, 
-profits before tax ot Simon Engin- 
eering advanced from fo.44m to 
£6 Jim and the directors say they 
have no reason to change the view 
already expressed that they ex- 
pect continuing growth in profits, 
albeit at a more modest rate than 
hi previous years. 

Following peak I7m profits in 
1975. the group jumped to £1 2.42m 
the next year, and to £ML32m for 
all 1977. 

Although the forward outlook 
for world trade has changed little 
in recent months, order intake 
achieved by the group exceeded 
that of the same period last year. 

. Etast the maintenance of this 
improvement will depend to a 
considerable extent on the suc- 
cessful containment of cost infla- 
tion and on continuing price 
competitiveness, they add. 

. First half profits include a lower 
contribution from principal group - 
associates amounting to £261,000 
.against £301,000, and interest re- 
ceivable less payable of £495,000 
compared with £639.000. 

. After tax of £2.74m (adjusted 
£2 22m) and £230,000 (£266.000) 
minorities, attributable profits 
rose from £2.9fim to £3 34m. 

The net interim dividend is 
lifted from 2.7p to 3p per 25p 


share, absorbing £621.000 
(£551,000). and «n ACT reduction 
an additional 0.07S7p: for *1977 is 
also to be paid-r-Iast year’s final 
was 5.065 2p. 

See Lex 


board meetings 


Aberfoyle 

recovers 


to peak 


RECOVERY FROM a 
of £78^27 to profit of. 


tax loss 
was 


i profit of.) 

attained by Aberfoyle Plantations 
for the year to July 31^,1978. The 
surplus far exceeded the total for 
any previous full year. In l976/77 
(here was a loss of £79,000. 

Earnings per 3p> share are 
stated at 5.07)i (los5 L6p>. The 
company has not paid 'a-' dividend 
since -1965. 1' 

Tbx took £1*15 (13,138) and 
compensation of £37,255 (nil) was 
received this time. Retained 
profit emerged at £290,372 (loss 
£81365). 

The company is a tea producer 
in Africa. 


The followinj; companies base noil fieri 
oatca of Board Hirelings io the SiocK 
Such mcrunss arc usually 
"p“ 'or the purpose of considering 
®* v Wcnds. official indication?, art nui 
available whether (HvWcikIj. concerned ore 
interims or finals and the sub-divisions 
wiowTi below arc based mainly on taw 
Sear a timetable. 

TODAY 

interims:— Aurora. Bank of Scotland, 
wmroae Corporation, Body cole lmorna- 
gjnal.. Copydcx. Energy Services and 
"jM&’onte. expanded Metal. Carton 
Enylneertns, J. B. Holdings, Law- Land. 
Mrl Fuminrre Centres. Bernard Mat 
Rowan and Boden. 

Flwate:— County and District Proper- 
Tin. Elder Smith Coldkborouah Mart. 
Jentioue, Georn S. Scboles. 

FUTURE DATES 


Appleyard expands £0.3m 
as car demand rises 


Canwrlgw fR.t 

General A Commercial lav. Tst_ 

Haden Carrier . 

Harrison (T. C.t 

Grte Shipping 

Metalraz 

Miller fF.t (Teniicsi 

Modem Engineers of Bristol .. 

Stax Furniture 

Wadkin 

Walker ic. and W.i 

Warnc Wright and Saarland 

Finals:— 

Amher Day 

Chambers and Fargo* ... 

Consolidated Plantations 

Uiipr 

*ITD «MbueuUi 

Malaysian Tin 

Martin iR. p., 

Messina 'Transvaal > Devlpmenl. 

Parker Knoll 

Start rite Engineering 

walker 'Thomas' ... - 

Wombwell Fonodry * Ending. 


Oct ID 
Sept. 28 
Oct. 2 
Oct. W 
Sept. 20 
Sept. 2a 
Sept. 29 
Sept. » 
Sept. 21 
Sen*. 21 
Sept. 37 
Oct. 3 


Sept. 2R 
Sent. Si 
Sept. 28 
Sept. 21 
G«. 23 
Sew. 21 
Sept. SS 
Nov. W 
Sept. 23 
Sew. 27 
Sept. 22 
Oct. tl 


15 tails £] 


FURTHER PROGRESS was 
achieved by Appleyard Group of 
Companies in -the first half of 
1978 with. taxable profit improving 
from £951.000 to £l-31tn. Demand 
for new cars during the period 
was exceptional and, in . a total 
car market up 24 per cent, the 
group lifted sales by 124-26 m to 
£68-86m e xcluding car lax and 
VAT, 

Looking to the second half the 
directors say August registrations 
were the highest ever recorded 
in a angle month with BL cars 
emerging once again as market 
leaders. ■ 

During the six months reorgani- 
sation costs will continue to have 
some effect hut, given reasonable 
supplies of new vehicles, the over- 
all result of the group for the full 
year should be satisfactory. Profit 
for 1977 was a record £1.47m. 

Tax for the first six mohths 
took £689,000 (£505,000) leaving a 
net balance of £624,000 (£446,000). 
Earnings per 25p share were 7.68p 
(8.01p) and the net interim divi- 
dend is stepped up- to 2.35p 
<l.625p). Last year a total of 
4914p was paid. 

The company has co-operated 
with BL Cars in the rationalisa- 
tion of certain franchising 
arrangements and following the 
sale for. cash of outlets which are 
surplus to future requirements. 


the group's overdraft is expected 
to reduce by £LSm. 

The business of Appleyard 
(Aberdeen) together .with one 
property occupied by that com- 
pany, -has been sold for- £365,823 
In cash. Receipt of £50,000 is 
deferred to June 1979 and a 
further £50,000 to June 38SO. In 
1977 the Aberdeen L company 
incurred a Joss before tax of 
£10.528. .•••'■ •- 

Appleyard of Barnsley, and its 
related property has also been 
sold for £170,000 in cash. During 
1977 it made a loss of £32,488. 

In addition Appleyard (GL and 
R.) and its related property in 
Carlisle have been sold for a cash 
sunt to be finally detennined on 
agreement of the balance sheet 
of G. and R. as at- August 81, 
3978, and will represent net .asset 
value. Pending this £670,000 has 
been received. 

Since January l, 1978, the group 


LUXFER FORMS 
NEW U.S. UNIT 


A subsidiary of Alcan 
Aluminium (U.K.), Luxfer Hold- 
ings, has formed a fibre wrap 
division within its UJ5. operating 
company, Luxfer USA, to produce 
uitra-Ughtwelght composite com- 
pressed gas cylinders, initially 
for the North American market. 
It is based in Southern California. 


TN INCREASING pre-tax profits 
by "25 per cent from £3.249.00(1 to 
£4.066.000 for the six months to 
May 31, 1978 the Low and Bonar 
Group, Dundee-based interna- 
tional packaging engineering, 
textiles and floor-i-overtni; smup. 
also suceeded in correcting the 
imbalance of homes and overseas 
earnings, the directors say. 

. The UK / European Common 
Market provided 3S.B per rent or 
group profits compared with 24.3 
per cent last time and included 
a turn round for the Fiotex 
fioorcovering subsidiary to a 
£106,000 profit. 

The Interim dividend has been 
increased from 3.5p to 4p net per 
50p share, absorbing £444.000 
(£390,000) — the previous years 
final was 7.39p. 

Group sales rose from £5). 02m 
to £7Q.83m. After a tax charge up 
from £1,769,000 to £2.150,000 and 
after minority interests £1.558.001) 
was carried forward compared 
with £1482,000 in the correspond- 
ing half. 

Improved Canadian profits 
benefited the packaging division 
bur the downturn in the UK paner 
bags operations continued. The . 
major reorganisation of these 
operations is nearing completion 
“and the benefits should be 
refiecred irr next year's results," 
the directors say. 

Both engineering and textile 
division profits were higher. 

“The group has realised the 
substantial part of its investment 
portfolio to reduce the financing 
cost of its capital expenditure 
programme." the directors add. 

" Substantial closure and 
redundancy costs have been, and 
are being, incurred, particularly 
in the packaging division. The 
profits from portfolio disinvest- 
ment should more than offset 
these non-recurring costs the net 
effect of which will be reflected 
as extraordinary items at Lhe 
year'-eud.” 

Assuming no further significant 


decline in African and Canadian 
currency against sterling, the 
directors expect a satisfactory 
performance for the year. 

For all the previous year, record 
IT.lm taxable profits were 
achieved. 

In his annual .statement in May. 
Mr. Alan -J* M. Miller, chairman 
said be was optimistic about 
prospects in the current 12 
months having entered the year 
with order books and sales at a 
high level but with margins still 
under pressure. 


comment 


Without, the first time contribu- 
tion (about £Q.7m net of finance 
costs) from the GHP group, pre- 
tax profits at Low and Bonar 
would h® only 4 per cent higher. 
This disappointing outcome can 
largely be explained by the tight 
margins and considerably lower 
profits from Middle East engin 
eering contracts. plus the 
unquantified paper-bag losses. 
Shareholders, however, can now 
take -heart _ from the much 
stronger UK profit!; base — only 
four years ago earnings were 
almost .-entirely dependent on 
Canada ! and African countries, 
notably Zambia and South Africa. 
Meanwhile, selling half the 
group’s- investments (last year 
they brought in a mere £61.000 
despite a market value estimated 
at more, than £2m j looks another 
wise move. There i< no denying, 
however. That problems remain. 
UK packaging should pick up 
next year thanks to the expected 
turnaround in the paper-bag side 
but currency uncertainty (since 
May the 1 Canadian dollar has 
fallen ID per cent against the 
pound) and the bleaker Middle 
East picture are worrying clouds 
on the horizon. At 200p the 
shares based o:i profits of £S.5m 
are on a. prospective fully taxed 
p/e of 6.5 and a yield of 82! per 
cent. 


It is with extreme sorrow 
that we record the sudden death 
on September 15th 
of our beloved friend and Chairman 


Charles Lake Gundy 


For over 52 years Charles Gundy was 
a vital part of our firm. 


He will be greatly missed by all of us. 


Wood Gundy Limited 


has also received £285,448 by way 


of dividend from G. and It The 
profit of G. and ft. before tax for 

1977 was £54J2lO. 

In separate transactions the 
group has sold its remaining 
premises at Raven Nook, Carlisle, 
for £20,000 and agreed, subject to 
the satisfaction of various condi- 
tions, to stB its Maxwell Park, 
Glasgow, property for £310,000 
cash. • - , • 


Henry Sykes £lm so far 
■better export hopes 


V • • v 'Will W AGAINST THE exceptional £Ll2m 
• : ' * '' ‘l 'll first haH pre-tax earnings last 

time Henry Sykes reports a sur- 
.. plus marginally down at £lm for 
' the 26 weeks to June 28. 3928. 
This represented an. improvement 
-over the £957,000 profit fbr' the 
second six months of 1977. 

Sales . by. . the group; which 
makes pumps, etc^ were ahead at 
- £10J24m OJ4m) ; - 
• Earnings per 25p share emerged 
at 5.5p (8p) and the net interim 
dividend is raised to ljp (055p) 
to reduce disparity. The directors 
intend to recommend a final pay- 
ment of not less than 2.5p making 
a total of 4p (3J2p). . 

In his report to shareholders, 
Mr. Tony Hep per. the chairman, 
reaffirms his confidence in the 

- success of the company’s new 
range of contractors' pumps 
which wit! shortly be coining On 

1 to the market. These new pumps 
are regarded by the Board as 

- paving excellent export potential, 
L particularly - in-', the .-company’s 
rrtwjor -existing overseas. markets 

■Where activity hais lately been 


Audiotronic 
to enhance 
trading base 


-p » V^TVYjT*. sluggish compared with 1977- 

& £ * 0 IS ' ; y fluff-year . 




1M7 

- . I E - 

. , 'Sales — 8.544 

1 A r -•■Start of associate* — 5«- • Se 

' v . Riiwwt - ,;i73 173 

[■' Pre-tax vnto \ 1A2 ' 

Tax . 5 «. 813 

J9ei Wofll «0 513 

Extraord. debit 38 . — 

Auribuisble — , — 4S8 . • 508 


More support 
pensions option 


■frl 


Li 


Three more life companies have 
announced that they intend to 
apply the “open market ” option 
to their self-employed pension' 
contracts, once the negotiations 
have been completed between the 
life office associations, and - the 
Inland Revenue. The. companies 
concerned are Standanl . Life 
Assurance. UK Provident and 
Sentinel Insurance. 


AS PART of the future develop- 
.ment Of Andlotronie Holdings in 
the , UK It is Intended that the 
branch . structure should be ex- 
tended to ...provide', greater geo- 
graphical coverage, says Mr. 
Geoffrey Rose, the chairman. In 
his annual statement 

To this end, plans art in hand 
to open new branches, and at the 
same. time, following a detailed 
review of outlets, certain closures 
wifi be effected. 

The overall results he says, wfil 
be to provide a much stronger 
trading base which the chairman 
w confident wiH be reflected in 
the conjpaay's performance in Lhe 
current year. 

. As. reported on August 5. the 
Laskys hi-fi and audio equipment 
group ' incurred a pre-tax loss of 
£1.28m for the 61 weeks to March 
4, 3978, compared with a £l-29m 
profit for the preceding 53 weeks. 

The- exceptional loss from the 
discontinued Las bye France opera- 
tions exceeded the. directors' June 
forecast of not more than £l-5m 
by reaching II .7m. Profit of the 
continuing group fell from £IJ29m 
to £0.42m. 




Turnover - - ■■■ 

Group profit Ijefore De- 
benture and Loan Stock 
Interest 

Lees: Debenture . and 
Loan Stock' Interest 
Group trading profit 
before ; extraordinary 
items 

Extraordinary items 
GioropErofli ' 

Dividend 


Six months to 
30th June 1977 
£ 

1,101,023 


144,156 

41,801 


£2,569 

43,880 


102,854 

39.585 

lil,9l9 


8,689 

89,824 

■9&513 


22410 


I® 


It is anticipated that there will be no net liability for 
taxation on the reported profits for the period to 30th 
June 1978. - " ' 


"In view of the — * , 

the first half of the year, the Board is pleased to announce 
an interim dividend of 0>25p net per share (1977 NIL) 
payable on 1st Bebmaiy-1979i Progress continues to be 
made despite 3 ome difficult trading conditions in the house 
building industry and the Board anticipates improving 
profits for the year/* — Peter D. Jaeksbn, Chaicman- 


962 Alum R6c^bad;Bihrift»ghdril B92LT 


. With its booming economy and gigantic natural 
resources, Brazil presents some of. the world's most 
glittering opportunities for trade and investment 
And there's no need to go to Rio or Sao Paulo to 
explore the possibilities. Right here in the City, the Bank 
Of Brazil can tell you all you need to know, 
x: We can tell you what Brazil needs to import, and 
What our exports are. We can tell you all about our 
domestic market which areas are most promising for 
investment and what help you can get from the 
Brazilian Government We can put you in touch with the 
people who are most likely to be able to help you in 
our venture. 

Besides an omni-present branch network 
throughout Brazil, we have 48 branches in other 


countries. We have capital and reserves of more than 
US $3.5 billion and total assets of US $46.7 billion. 

Our London manager Mr. Jose Fernandes de Luna 
will be glad to put ail his extensive knowledge at your 
disposal. He will show 
your business success 
in Brazil can begin in 
King Street, London. 

. If you think you 
could be a partner in this 
great enterprise you will 
want to know how you will 
benefitand howto setabout 
it You can find out both by 
talking to Jose Fernandes de Luna at the Bank of Brazil. 


15/17 King Street, London EC2P 2NA. Telephone: 01-606 7101, Telex: 8812381. 


Your gateway to business in Brazil 




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- GRAND CAYMAN • HAMBURG • LAGOS •LAPAZ * LIMA • LISBON • LONDON • LOS ANGELES • MADRID • MANAMA • MEXICO CITY • MILAN • MONTEVIDEO • NEW YORK - PANAMA • PARIS • RAYSANOU 
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. - ; VIENNA* -'WSHiNGTON .OVER 1 000 BRANCH OFFICES IN BRAZIL 50 

Tr- J;' .'.-.I-: -. V. . -*OSte«tobeopen«llnt97a. 








Blyvooruitzicht Gold 
Mining Company, Limited 

( Incorporated in the Republic oj South Africa) 

A Member of the Barlow Rand Group 


The folloictng f.t the Siaiciaent by the 
Chairman. Mr D. T. U'rifr. 

The attention »»f member 1 i> 'Jrav.n to ihc 
report of ihe directors v.-hieh describes in 
detail Ihc results of operations at Ihc com- 
pany's mine for the financial year ended 30th 
June 197S. 

The results for the financial year which has 
just ended were intluenced by the adequarc 
supply of unskilled labour, the increase in 
the ?old price, a final balancing payment 
received in terms of the introduction of the 
new payment arrangements i'j? Sold and 
profits from the enlarged uranium production 
facility which is now operating at full 
capacity. On the other hand results were 
adversely affected by the ll-shift fortnight 
and the continued rate of increase in the 
cost of stores and administered prices. The 
increase in the scale of operations in the 
lower grade Western Section of the mine, as 
certain areas in the higher grade Eastern 
Section approarhed exhaustion, led to a 
decrease in yield w hich a ho adversely 
influenced the financial position. 

Gold production 

The summary of results reveals that for the 
year under review the tonnage milled 
increased marginally but that tne yield at 
11.15 grams per ton was 11 per cent lower 
than the yield achieved in the previous year. 
Gold production was in consequence reduced 
hy almost 2 WO kilograms. In spile or this 
reduction, the working revcnin* from gold 
increased hy 111 6.3 million to FIP3.2 million 
as a direct result of the improved price 
received for the gold produced and in a lesser 
extent as a result of a non-recurring residual 
paimenl of approximately RL’ 9 million 
arising from the change in the method of 
payment by the South African Reserve Bank. 
Tt will be noted that during ihe year under 
review the company received an average 
price of R4 725 per kilogram of gold produced 
toquivalent tn approximately L‘ S S169 per 
ounce at R1=U.S. -SI. lot which is 35 per 
cent higher than that received during the 
previous year. 

Working expenditure increased hv 22 per 
cent tn R31.20 per ton milled. This rate nr 
increase is largely a function of the alarming 
increase in the cost of stores, electric tunvrr 
and water The 11 -shift fortnight, which was 
introduced in April J9u and has been in 
nperatinn throughout the year under review, 
has proved to he inflationary and has 
certainly increased the cost of production. 
The increase in wages granted to all 
employees also contributed to the rise in 
costs. 

General sales tax 

Expenditure is expected to increase even 
further during the current financial year as 
a result or the general sains lav which was 
Introduced on 3rd -Tilly 1978. At this stage 
its direct and indirect influences on the 
future cost structure of the company cannot 
he accurately assessed. The Industry has 
been exempted from this tax in respect of 
certain items used inter alia in the breaking 
of rock and the treatment of ore and for 
safety precautions, but a substantial portion 
of the cost of stores and materials will be 
subject to the new tax. 

Representations to ihe Revenue Authorities 
will however be made on behalf of the 
mining industry through the Chamhcr of 
Mines of South Africa In obtain further 
exemptions from the tax on ihusr items 
which it is considered will have an 
inflationary effect on the mining industry’s 

• 1 structure. 

The recently announced reductions in sales 
duties payable on certain items will afford 
some relief and it i® hoped that Ihe surcharge 
on imported canital goods will be eliminated 
as soon as possible. 

Uranium 

Uranium profit increased from 11759 000 in 
the previous year to R3 490 000 in the year 
now under review. This reflects the benefits 
of the increased rate of uranium production 
and the increased revenue earned in terms 
of a more lucrative sales contract recently 
concluded. 

The company’s total working profit accord- 
ingly increased by RS.255 million to R41.R34 
million for the year. As a result of this 
increase in working profit, and also the 
lower rat? of capital expenditure, taxation 
and the Stale's share of profits at a iut.il of 
R1S.6 million was 95 per cent higher than 
in the previous year. Because of the increase 
in taxation, the net profit, .it R24 864 000. was 
RIMS 000 lower than in the previous financial 
year. 

The loan levy imposed by the Slate has had 
an adverse effect on the company’s cash 
resources and members should note that a 
total amount of RIO 242 000 (equal to 43 
cents per share) is now immobilised io this 
connection. 

Mining policy 

As a result of a survey undertaken during 
the year under leview. it appear that the 
safest mining policy that can be applied 
over the remaining life of the mine will be 
to create a system of barrier or safety pillars 
by leaving ore in situ on the reef horizon in 
ail sloping areas below Jfi level. Details of 
Ihe barrier pillar system and ancillary . 
arrangements required thereby are given in 
the directors' report. 

The adoption of ihe new mining policy 
Involves certain additional capita! expendi- 
ture which was not previously contemplated. 
Thus whereas it was expected a year ago that 
capital evpendirure for the year ending 30th 
June 1979 would be less than R10. 5 million, 
it is now estimated at R12.2 million. Capital 
expenditure in the following year will be of 
a similar order. It is clear that this pro- 
gramme of increased capital expenditure 
must be incurred if the mine is to operate 
efficiently and safely over its remaining life, 
and therefore, while capital spending will 
decrease in subsequent years It will not be 
as low as previously -predicted. 

The increased capital expenditure programme 
includes the implementation of the new 
system of mining just referred to, the con- 
tinued sinking of A5 incline shaft, the com- 
pletion of B5 and B5A inclines, improved 
compressed air reticulation in the Western 
Section of the mine, the development of a 
new main haulage on 30 level and various 
improvements to the two older hostels for 
Black employees. 

Investigations are now in progress into the 
profitability of certain proposed extensions 
tn the metallurgical plants Should these 
studies indicate that the required additional 
profits can be achieved, construction of an 
additional flotation plant wilt be authorised. 
The cost of the additional notation plant has 
been included in the abovementioned capital 
expenditure estimates. 

Employment policy 

The company now employs a total labour 
force of some 12 S00 persons. The company’s 
labour philosophy is based on the acceptance 
of the fundamental principle that the key 
to its future success is represented by iii 
employees. It is accepted that all employees 
should have equal opportunity for advance- 
ment according to their individual skills. 
The company adheres to the principle of 
appointing the best people to match job 
requirements. Our philosophy also requires 
that the best use be made of all employees 
and that the necessary' training and develop- 
ment facilities be provided to enable all 
employees to progress to the limit nf their 
potential capabilities. Wc are committed 
in the responsibility of improving the 
quality of life of all employees, especially 
those ‘in .semi-skilled and unskilled occupa- 
tions. Remuneration, housing, feeding. 


recreation and leisure facilities, medical 
services and retirement benefits are matters 
which have been under constant review and 
will continue lo he su reviewed and improved 
where required. 

The acceptability nf employment in the cold 
mining industry in South Africa was once 
again demonstrated during Ihe year by the 
return to the mines of many men who 
reside in countries other than South Africa. 
The company was especially pleased to 
welcome back many cx-cinployees from such 
foreign countries. These men are experienced 
workers and are in most instances highly 
motivated and dedicated to their particular 
occupation. 

At the present time, the flow of unskilled 
labour is very strong, and apart from some 
limited shortages over the Christmas period 
the company does not expect to encounter 
any real shortages during the coming year. 

Uranium outlook 

In Iasi year's statement it was mentioned that 
the company had obtained a contract for the 
supply of uranium and that a consumer loan 
of Rl"S million had been arranged. Negotia- 
tions are in train to secure additional con- 
tracts which, if successfully concluded, will 
absorb the major portion nf the mine's 
uranium production for the next five years. 
While there are at present certain very real 
problems confronting the nuclear power 
industry, the outlook for uranium is still 
considered to be sound. In the long term, 
the world's energy requirements can only 
bo satisfied under economically acceptable 
conditions if nuclear power generation is 
fully exploited. It is believed that future 
nucicar power plants will he one nf the 
cleanest sources of energy and that the anti- 
nuclear posture of the true environmentalists 
will become more accommodating. However, 
the more intransigent sector nf the anti- 
nuclear lobby is motivated by considerations 
other than the preservation of the environ- 
ment. and opposition from this sector is Ihe 
immediate problem facing the nuclear 
industry, especially in the United States. 
There is still no conclusion to the debate on 
ihc allegation that the commercialization of 
plutonium increases the risk of proliferation 
of nuclear weapons by irresponsible govern- 
ments. and/or sub-national groups. There 
are reputable experts who argue, with much 
conviction, that the risk of plutonium falling 
into irresponsible hands, can be satisfactorily 
countered by closing Ihe plutonium cycle 
and using it as a fuel, preferably for fast 
reactors. It is to be hoped that these and 
other related questions will be resolved by 
the countries participating in the Inter- 
national Nuclear Fuel Cycle Evaluation. 
(IN'FCE). The decision taken by the 
Australian Government to allow uranium 
production in their country to bg increased, 
and the Canadian Government's relaxation 
on the embargo on uranium exports, have 
contributed to the softening of the market 
and prices over the past year have tended to 
stagnate. Over the remaining life of the 
company's mine, it is nevertheless expected 
that its uranium output will be disposed of 
without any great difficulty and at prices 
which will yield acceptable profits. 

Gold market 

The Articles of Agreement of the Inter- 
national Monetary Fund were amended with 
effect from 1st April 197S effectively 
eliminating an official . price of gold and 
allowing central banks of member states of 
ihe I.M.F. to trade in gold for their own 
account. The South African Minister of 
Finance subsequently announced that the 
Republic’s gold reserves would he revalued 
and new payment arrangements for gold 
producers were introduced from 11th April 
1978. The delay in payment experienced 
tinder the old system no longer occurs as 
the company now receives full revenue, 
immediately following delivery of its gold 
by the Rand Refinery Limited to the South 
African Reseve Bank, and the price -received 
is the average of the last two official London 
gold price fixings immediately preceding the 
dale of delivery to the Reserve Bank. 

The amendment to the Articles of Agreement 
of the International Monetary Fund, con- 
tinued concern about the state of the 
economy in the United States of America 
and the failure of the major Western powers 
tri resolve the ongoing world energy problem 
have led to an increase in the price of gold. 
Since the company’s year-end, the gold price 
in U.S. dollars has increased dramatically 
and almost exclusively because of the 
apprehension about the strength of th? U.S. 
dollar. While the increa.se has been good 
for Ihe company, members should take 
particular note of Ihe fact that it is concern 
about currency that has been the prime 
determinant in th? recent spectacular 
increase in the gold price. The market for 
gold will become very volatile and subject 
to major fluctuations if the price increases 
on a wave of speculation ' over the short 
term, to levels much in excess of S220 per 
ounce. While forecasting becomes very 
uncertain under these conditions, it is never- 
theless clear that any concerted action on 
the part of the U.S. authorities to rectify 
the problems in their economy could have a 
sharp and depressing effect on the price of 
gold. Furthermore, a continued increase in 
the price of gold will undoubtedly motivate 
a technical reaction from industrial con- 
sumers of the metal and particularly ihn 
jewellery sector. However. I am convinced 
that gold will remain an acceptable store of 
wealth and notwithstanding short term fluctu- 
ations. the price of the metal will continue 
to show an upward trend. 

Inflation and the gold price 
Capital expenditure during the next two 
financial years is estimated to be at a rate 
of approximately RI2 million per annum 
but will thereafter be reduced quite con- 
siderably. Additional profits are expected 
from uranium production and provided the 
gold price remains at or near the S200 per 
ounce mark, it should be possible to increase 
the dividend distribution for the financial 
year ending 30th June, 1979. However. 1 
must record a cautionary note concerning 
the effect on costs of inflation in the national 
economy, and in particular, under Ihe 
circumstances which will prevail if the gold 
price is sustained in excess of S200 per 
ounce. Alternatively, if the recent improve- 
ment in the cold price is noi sustained, it is 
clear that the gold mining industry as a 
whole, cannot continue tn accommodate cost 
increases of the order recently experienced 
without seriously prejudicing profitability. 

I wish to record the board’s appreciation of 

the services rendered by -your former chair- 

man, Mr. A. C. Petersen, who resigned from 

this position on 24lh October 1977. I am 
glad to say that Mr. Petersen continues lo 
serve on the board of directors of your 
company. 

Tn conclusion. I have pleasure in recording 
ihe board’s appreciation of the services 
rendered during tin- past year by the manag- 
ing director. Mr. D. D. Waterman, hy the 
general manager. Mr. J. R. Forbes, and the 
staff and employees at the mine, by the tech- 
nical and administrative staffs at head office, 
and by the secretaries in the United Kingdom. 
The forty-Jintt Annual General Meeting of 
Blyvooruitzicht Gold Mining Company, 
Limited will be held in Johannesburg on 
20th October , JOTS. 

Copies of the Annual Report and Accounts 

can be obtained from the office of the 
London Secretaries , Charter Consolidated 
Limited. 40 Holbon i V' induct. London. EC IP 
1AJ or from the Share Transfer office of the 

London Secretaries. P.O. Box 102 . Charter 
Hon*?. Park Street, Ashford. Kent T.\24 

SEQ. 


BIDS AND DEALS 


Chloride Group sells 
Granley for £2.8m 


Financial Times Tuesday September 1 # X 97 S-, jj 

NEWS ' ANALYSIS— DAWSOPirliAGGAS MERGER y 


icno HIHAM Oly — wniwwivp-. - — — • c % f A 

The logic of a wider 
product base J \ ' 


Chloride Group has sold its to sell the s.'jeclacle and frames OGG 

burular and Ore alarm installation division :n Mr. Francis Strauss. 

interests lo RCA. the U.S.-based the former managing director LUXURT knitwear .group material yams and ladies* fashion yarns for douhte-jersey knitti 
entertainment and electronics who has offered nis resignation. Dawson International and John cinhting. The industrial logie belli. 

3r nr a iwri Chloride Ha SSas. the yam-spinner from ils sales have- grown from the merger is -that it will ena 

Granley which X desiSS aSd ^ 10 an «au«iiK»ii. Yorkshire, will neatly solve a n^m ten years ago to ISLBm Dawson to diversify do- 

services UnSe? alarm systems. number of problems that have but its profit growth over the market into the worsted yar “ 

Its r.ame is to be changed to MANOR NATIONAL same period While Dawson k bMt known , _ 

Granley Security Systems. fSPCiiT* managements fo» some time if erratic. In 1968 the pre-tax its knitwear only 40 per cent 

Chloride says tha’r it is pulling yiwur urreno meir merger discussions prove figure was £2.5m and it rose to turnover comes from. this soar’- - - 

out of the installation and service As the proposed merger oetv.-_een successfuL £2.7m the following year before The bulk of revenue comes fr- \ 

business to concentrate on the Manchester Garages and Oarer The two companies took -the crashing to £380.000 .in the 16 yarn which, either goes to otl 

manufacture and distribution of not to be referred »o tne c j t y by surprise yesterday when months to March 31. 1971. It spinners or is pracesed in hot - 

alarm system. Monopolies and Mergers Coznmis- asked that trading in. their recovered the following year and sold to other- end userkz- 

In the year to March 31. 197S won. the offers oy Manor National ^ SUS pendedp?odki?Se built up to a peak of £6.2ra in ° * • 77;, ““?*■ - 

Granley earned pre-tax profits of Group Motors Limited (Manor! ol2tcome 0 f I £eraer mLk^While 1974 before dropping back to The financial logic : is t> 

£394,000. have become unconditional in all Si been aware e 5M 0M in 1975. Once again it Haggas shareholders ate lik - 

This Will be RCA’s first experi- respects. mSirc tfil iSSn Sw '£ Severed and in the year to to get a cash payment as v 

ence in the alarms business but Tb e ordnrary and preference ^ object of a bid most bad March 31 1978. it hit a new high as shares in a new holding cc -• 

the croup says that the acouis- shares and convertible loan stock n ? a 9. £*: • nanv. Haccas hasi-f 


& e „ ssfossa?, u,e isss srasrunsrAars tsssfjtsjis^- && ». „„ gsr shsxs^to; 

existing interests in suoDlvine the Official List and dealings are end. Haggas had been looked The chairman has warned on . -l .j *~° ot gtvi 

electronic and telecommunications expected lo begin in these securi- ?t a number of times by various several occasions that the results , . 


pan}'. Haggas hav for -some ti> 


equipment to government a gen- ties on September 19. 
cits throughout Europe. 

Dr. George G. Ray. managing . , . , . _ ______ 

director of RCA’s service division, MAlNORDAI-E GROUP 
said: “The acquisition of Granley CANCELS LISTING 
resulted from a decision to expand 
the group's existing services io 

commercial and industrial custo- f. ha C es on ‘'’L ock 

mers. Exchange were cancelled yester- 


to repel unwanted bids. .'- 
Nov., with the request for sus- 


MANORDAJLE GROUP was weh run. enjoyed a good ba d^T steady growth in both P»bjMj that both objects 
CANCELS LISTING profit record, and had the ability avenue ‘and pre-tax profits over could be 

" n -' nnta * a s i m ilar period. In 1968 turn- For Dawson there is also-f 


shares on the London Stock ; nnouncedX Wnt over was £2.6mand tn the year possibility of increased dtmde 

Exchange were cancelled yester- iKSin».> u £ to June 30. 1978.it had grown payout. Moreover -the ma; 

day at the company's request. almost ten times to £23.9ra. In shareholder. William Ba 


GEE AND WATSON/ 
WAGE GROUP 


uaj 41 me cuiu^ 4 itj> a icqucai. _ n __ i c l,Ptv,mina SlmUM HSU uuim 

Manordale which supplies a if s ° ?jP£ l ?* n ! j. the same period, pre-tax profit would see its stake reduced fr 

materials to the building industry s rose from £252.000 to £4.1m its current level df 28.3 per o 

said yesterday chat it had sought jnjjn n n , f n ^^Rr e fih^ Ud h 0 P !^ without a setback. in Dawson to something less 

cancellation because: the company «an of animal fibre based .. „ nin hHsinp „ , s the new hoi dine commSir. 


at an EGM of Wace Group yester- a handful of dealings each year in ( raw fibres. semi-processed wool, polyester wool , and acrylic from Haggas. 
day- ... the stock. 


Application to the Council of The company may apply to the 
the Stock Exchange for the re- Stock Exchange to permit dealings 
admission or Wace to the Official under Rule 163 (2). 

^and U Mi£ d Sre n e»KM b lo arley:— Mr. W. J. M. Cirartn- Randalls Group:— Ferguson ing is now 1,247,503 15.32 per ce 

begin on September 25 A LIDA SUSPENSION 2 5AW0 ^shares making holding Carless, Capel and Leonan 

Shares or AJida Packaging, the British American and General 300.0UO shares « 1I-S per cent!. Mr. D. H. Leonard, a director, r 
W. E. NORTON Derbyshire based packaging and Trust Standard Ufe Assurance Avans Group:— Sir Julian s0,d 23-OpO shares out 0 / 

As the practice by certain P lastic "' asle rectemation con- Company is interested^ Tn 2,099,787 Hodge non-beneficial holding has I*/ 50 ™' ' ho, fi"S:L_i - 

directors at W E. Norton (Hold- «m- suspended yesterday sh ares (5 .4 per cent) bee 7 reduced by 120,000 shares. j£? k * r Sfrehi 

n r at the company s request — on <, n j «m>nn>r nnhlin«-_ur Scottish Finance has purena* 


SHARE STAKES 


January 1. 10SL ' ' shown as £3.4m. disposed of 20,000 shares leaving of a director, ’has sold 115,'. 

Major shareholders of Alida holding at 180,000 shares <6.35 per Associated Engineering: Mr. ordinary -shiu-es. Graylaw 
include Drayton Montagu Port- cent). County Bank Smaller J- L. Hepworth, director, on ings. of which Mr: V. W.' A. G- 
HIGHGATE OPTICAL folio Management with a near 22 Compasies Exempt Fund has September S sold 41.164 shares. j s chairman and managing dir 

Highgate Optical and Industrial per cent Stake and Mercantile acquired lM.OOfr shares (5.43 per general consoudatea inves^ tor> has so j d 1.074,300 ordin: 

Company announces neaotiations Investment Trust with an ?? per cent!. - . -- J? cn L, i7?haM?h£ shares and with the sale oF th 

have reached ah advanced stage cent interest. Cray Electronics:— Mr. B. A. shares, Mr. Gray now has no be 

Solomon, director, on September b> 40.000 shares to l,542,o00 shares interest tn the shares of : 

3. bought 19.000 shares following <8.315 per cent). . company. 

mJ. 1! the preliminary results— 15JHJ0 at Allied Insulators:— Britannic British Vita Company — exe 

Bry court liquidatioii msw&wss SffSsSHW skjj 

The directors of Brycourt Korean and Kuwaiti interests of 70,000 shares and oh September shares tiO--j per ceiui. 1 2m ordinary shares with vark ' 

Investments, an approved invest- (including Kuwait Financial 11 further 20.000 shares. Company Lowland Lira pery no laings. in S rjt u r jons at llOp The placli 
ment trust which went public at Centre Sak). now holds 7.150,403 shires (about Scottish Amicable L,re Awurance mmumm « to n ^t 

^ /op_ of the b^I rnyket in 1972. ^Samuel Montagu has ac^nlred IUB Percents fgSg ft Se's ' “ia® ‘for^i 


uutwich investment Trust has r„- 0 ntivp L«ooKere— mrs. u. uraj, -t { 

disposed of 20,000 shares Jeav in g inc seneme. , of a director, has sold ll&i.lj 

holding at 180,000 shares (6 j 5 per Associated Engineering:— Mr. ordinary shares. Graylaw Hc^* M 


Brycourt liquidation 


Investments, an approved invest- (including Kuwait Financial 11 further 20.000 shares. Company Lowtann urapeiy uoiamgs. institutions s 

ment trust which went public at Centre Sak). now holds 7.150,403 shires (about Scottish Amicable L«fe Assurance J^ lu " 0 e n n * ; 

the top of the bull market in 1972, Samuel Montagu has acquired 7LS5 per cent). - Society has^ld *^hoUlin„of - jj a 

announced yesterday that they its holding from the Kuwaiti Glein array Investment; Trust: — 114.000 shares. Midland Bank - 

had decided that it was in the interests who will retain their Lady Isabella F. TudsB^y holds Trustee Company 672 <31 Account. tr 5J*[ e L2!£; 


best interests of shareholder that taK. «f 40 P^r c^nT of the 19,107 “B " ordinary Shares (8.17 Unit Trust Depamnent has 108,688 nu Xr of sSS T wSicT 

the company should be put into equity of KKBC. percent). shares US per cent). numner ot snarra in wmen t 

liquidation. ■ . I is confidently expected that Henderson Kenton:— Fallowing A. and J. MneWow Group -— ^ btakis is nqw interested 

Th,i di 9l « nmmniii- n..t «« jin KKBCs growth will continue in directors sold shares on September Corra Linn Co. now holds 12m trustee, is reduced from 4W. 

a? *.S2rSS »ne w the Korean economy and 12 aa follows: Alr.L. Lipert;33,124 ordinary shares H.M per cent). o «80.4S1. Mrs. R. Crisiopou__. 

i*^* inst the country’s increasing need for ordinary and 131124 preference. Hunt and Moscrop (Middleton) is no longer a holder of ml 
n '5 e J sophisticated financial services Mr, S. Y. Brotre 3L246^orttoary —Mrs. R. J. Haslam, following a than a per cent of the-shar 

around -6 ppr cent. Brycourt s w h>ch should create oonortunitv and 3.624 nreference. Mr. h. -R. scltfcment of <4024* shares in the Terethe .investments is now 


discount to the company's net on erations 
assets of around 35 per cent. On. , ,. opera 
outside estimates those assets 1 

amount to just over £I0m. The 
directors themselves estimate ai m 

that the amount which will ■I. 

become available for distribution Iwli 

to shareholders following a 

liquidation should be not less than 
125p a share. 

The *ize of the discount at PIRl 

which the company’s shares have v»»r» 

been trading is generally attribu- 
ted to its stake in direct property 
investments. At the outset, Bry- 
court established subsidiary com- Ever : 

panics to develop the properties mininj 

adjacent to C and A Modes. Two econoi 

members of the C and A family, tributi 

the Brenninkmeyers, are on Dry- has al 

court's board. „ rnin 

Mr. Christopher Knight, sec- indust 

ret ary to the company, said yester- itself 

day that the directors’ decision to Gaver 

recommend liquidation had been 
prompted very largely by the The v 

recovery in world stock markets, 1973/3 

which made it possible to realise low le 

investments at a profit He said and o 

that there had been no takeover ant i : 

approach to the company, and nor 
had there been any direct During 

approaches for the purchase or its of cop 

properties. devalu 

_ Mr. Kinght said that the increase to op 

in net value since the last more 

valuation date (September, 1977) requin 

should be attributed to the rise a* i n . 

m the value of the securities world 

which represent just over two- h ee n 

thirds of the compnay's portfolio. wap 

It was not attributable to any • 

increase in the value of the In cer< 

properties. and it 

Because Brycourt went public Zambr 

in 1972 by way of a placing, rather requin 

than an offer for sale, most of of 2ar 

the shares are still held by a kasw 

small number of institutional 
holders and nominees. Prominent In th« 

among the shareholders is Sahara Zambi; 

investments, a private company Monec 

which holds 33.7 pe rcent of the Special 

company's equity. ' Sahara is .r QOS 

believed to be a vehicle for arranm 

Brennwkmeyer family interests. 

Shareholders in Brycourt are ' T~ r , 

to be notified in due course of 
the timing of the -extra-ordinary 1 

general meeting which will be allocati 

called to discuss the proposal to include 

liquidate the company. mid- Mi 


preference. 


her father, her current sharehold- (32m). 


1,853.685 ordin,-;::; 


NCHANGA CONSOLIDATED COPPER MINES LIMITED 

(Incorporated in the Republic of Zambia) 

CIRCULAR TO MEMBERS AND NOTICE OF EXTRAORDINARY GENERAL MEETING 


SAMUEL MONTAGUE 

Samuel Montagu and Co. has 
completed the purchase of a 10 
per cent shareholding In Korea 
Kuwait Banking Corporation. 

KKBC is a merchant bank based 
in .Seoul. Korea and, prior to 
Shmuel Montagu's investment was 
owned in equal proportions by 


IN BRIEF 

e = 1 SiiK5.*Ii ANT, < : A** 9 general 
securities — Final distribution on 
inuom.' units of Csiemco Fund Tor the 
September -7. | 9 ; S . year will be 3-iUSp 
net 'S-Cp' for a i ata | of 5.1p 
D i? ra » P^ubcr '.'g. At September S 
tne oHerod price at units van !4t.6o id. 
and the estimated cross yield was 3.53- 
per cent. 

CROSSFRIARS TRUST— Results for J-par 
to June 30. 197$ already reported. Quoted 
!2 r S? Iuent3 iliasmi with value 

fs.i£ni t£7.34mi. unabated, n^arti 
in.. -am i wuh ralue. £1.79m f£L76mj. 
D«BiJioo real ipa i ion of tnvostmemB £i.7lm 
■ 0.02m i Meeting, a. Crosby Square. 

BC. uctobcr 3 ai noon. 

H. WOODWARD AND SOM-flalf-year 
results reported September 8- Chairman 
says In Interim statement, trading has 
n ®*_ “wn easy In curreM scar to dale 
with sere re eonitviiijon being experienced. 
Although arena profit mancUn are being 
maintained ihe effeet gf incTpaslti? over- 
heads beyond ils control * having an 
adverse eH«!t on nei tnarBlns. Delays In 
construction of g* Wigan braarli have 
prevented company from cwntoflCUdng fall 
uperatians then- i ro m gild June ri 
einwn*:td in tan report, but n is now 
anticipated that ibis branch will be fully 
operational at end of September, 1918. 


INCREASE OF CAPITAL 

Ever since mining for copper commenced in Zambia, the 
mining industry has been a key sector of ihe Zambian 
economy because not only has it made significant con- 
tributions to employment and Government revenue but ic 
has also accounted for virtually ail rhe foreign exchange 
earnings of the nation. Therefore, any deterioration in the 
industry’s operation affects not only the mining industry 
itself but also the country's flow of foreign exchange and 
Government income from taxei: 

The world-wide industrial recession, which set in during 
1973/74, has resulted in, among other things, a generally 
low level of copper prices, which have led to serious financial 
and operating problems for the Zambian mining industry, 
and, inevitably, for the Zambian economy as well. 

During the Company’s 1976/77 financial year, a higher level 
of copper prices, together with the effect of the 20 per cent 
devaluation of the Kwacha in July. 1976. enabled the Company 
to operate at a profit and to build up cash balances of 
more than K5Q million to cover its short-term financing 
requirements. However, the improvement was short-lived 
as, in the face of an increasing over-supply of copper, the 
world market prices fell to levels which, in real terms, have 
been among the lowest recorded since the second world 
war. 

In terms of its management responsibilities to the Company 
and its shareholders, the Government of the Republic of 
Zambia arranged for the Company's increased local financing 
requirements to be met mainly by advances from the Bank 
of Zambia. By 31st March, 1978, these advances had reac-icd 
K65 990 848. 

In the same month, the Government of the Republic of 
Zambia reached an agreement with the International 
Monetary Fund (IMF) for a standby arrangement totalling 
Special Drawing Right ISDR) 315 million (K322.6 million 
at post devaluation exchange rates). As pare of the standby 
arrangement, the Zambian Government 'agreed to restrict 
local borrowings by Roan Consolidated Mines Limited and 
the Company during the 1978 calendar year to a total of 
K.120 million, of which approximately K80 million has been 
allocated to the Company. The arrangements with the IMF 
included the devaluation of the Kwacha by 10 per cent in 
mid-March. 1978, which reduced the losses being incurred 
and which should assist the Company's return to profitable 
operation when copper prices improve. 

In view of the above-mentioned restriction on advances by 
the Bank of Zambia and the probable need for further 
financing until copper prices improve, the Government 
arranged for the advances by the Bank of Zambia, totalling 
K65 990 848 at 31st March. 1978, to be transferred on t : ’ar 
date to the Ministry of Finance and to be converted into 
a medium-term loan pending the submission of refinancing 
proposals. With effect from tsr April. 1978. the Bank of 
Zambia resumed the advances to the Company within the 
IMF restriction referred to above. 

In line with statutory requirements concerning its lend'na. 
rhe Government submitted proposals for refinancing rile 
loan, of K65 990 848. In ensuing discussions' between tm> 

" A " directors, representing the Government, and the “ B " 
directors, as nominees of Zambia Copper Investments Limited 
(ZCI). being the holder of 49 per cent of the Company's 
issued ordinary share capital, the “ B " directors indicated 
that the lack of dividend income from the Zambian mining 
industry since 1975, following the down-turn in the copper 
market, and prior financial obligations in regard to other 
investments, precluded any possible injection by ZCI of 
capital into the Company at the present stage. 

The proposals by Government for refinancing the loan ef 
K65 990 848 haye been agreed as follows: 

(a) Capitalisation of K57 million of such loan by the sub- 
scription for cash at par of 28 500 000 new “ A " ordinary 
shares of K2 each in the Company 

(b) The balance of K8 990 84S being left in the Company 
on a medium-term basis. To this end. the Company wi|f 
enter Into negotiations with the Government on hew 
best this should be effected. 

These proposals, which have the full support .of the hoard . 

of directors, have taken into accounr the following ccn- 
I sidcrations and objectives: 


(}) The company is presently under-capitalised .and the 
directors believe that, in the light of the information 
available to them, the sum of K57 million, of new 
capital will provide the Company with a sound capital 
structure. ” ’ 

(2) Such capitalisation will lighten the debt burden, reduce, 
interest charges and enable the ratio .of current jstecs 
to current liabilities to be maintained more easily j boyc 
100 per cent, as required under various foreign fo'in 
agreements concluded in earlier years. 

(3) The level of copper prices during the remainder of 
1978 will largely determine whether the Company will 
require - additional finance over and above the limit of 
K80 million from the Bank of Zambia, in thar event, 
the Company would have to seek this additional finance 
from external sources. 

The _ Company's articles of association provide that the 
authorised ordinary share capital of the Company shall 
consist only of “A" ordinary shares of K2 each and “ B " 
ordinary -shares of K2 each In the proportion of fifty-one 
“ A ” ordinary- shares for every forty-nine ** B " ordinary 
shares, ft is also provided that ordinary shares shall be Issued 
in like proportions unless a majority of the “A " directors, 
a majority of the “ B ” directors and a majority of the holders 
of the '* A ” ordinary shares agree otherwise. 

In the circumstances described above, the directors 

have, notwithstanding ZCI's inability to participate in a 
share Issue, indicated their support for the resolution tet 
out in the attached notice convening an Extraordinary 
General Meeting, which, upon implementation, will result 
in the issue at par of an additional 28 500000 “A" riiarei 
-to the 1 Government of Zambia. Thereafter, the Hsu-d 
ordinary capital will be held as to 60.003 per cent by 
Government and ZCI's proportion will reduce from 49 ro 
39.997 per cent. 

The 'existing unissued authorised share capital of the Com- 
pany includes 39B 848 " A." and 381 285 7 B" ordinary shares. 
It is, therefore, proposed to increase the authorised share 
capital by the creation of 28 103 152 new ” A " ordinary 
shares of K2 each which, together with the " A ” shares 
presently unissued, will make available the 28 500 000 “A" 
ordinary shares proposed to be subscribed at par by 
.Government tn terms of the arrangements set out above. 

NOTICE OF EXTRAORDINARY GENERAL MEETING 
Notice is accordingly hereby given that an Extraordinary 
General Meeting of members of the Company will be held 
ac 74 Independence Avenue. Lusaka, on Thursday 12th 
October. 1978, at 09J0 hours for the following purposes: 

"i- if ? e ,f med fit> to P ass - with without 
the following resolution as a Special 

^hV-„r^: i ? Standin ? I he . of Article 

L r hL Jj \ 0rnp * n ? \ A ™ d « of Association, the 
authorised share capital of the Company be and 

■ . . “ 15 iS* l & , !5 r * a ” d from K2S5 869 242 divided into 
434 000 5, per cent redeemable cumulative 
cnn*->, ? reference '* har « of K2 each 
AW 621 5 per cent redeemable cumulative 
preference shares of K2 earh 

62 230 000 ■■ R •* ° r J nanr S J ares of K2 each 
k®"!!"" 7 sh ? res of K2 Mch 
I° 4 „ 2 .. b 7 ,he creation of 28 103 152 new 
A .ordinary shares of K2 each.*-' 

{1) fit - C ° pMS ' or without 

R^lurion: * f ° UoW,ng resolu ‘i°n as an Ordinary 

t0 i P? lsin 8 »nd registration of 
the Special Resolution increasing the . authorised 
share -capital from K 255 869 242 to K3 12 075 546. 

JL a i nd lh t Y are hereby authorised 
to -offer, allot and issue for cash at par 28 500000 

k A m Grd ' n l r 7 sh . ares K2 each to the recis- 

ZEZIWJLV" tx,stin 8.64 37 * 3 152 " A " ordinlre 

inares ot the Company in issue.” 

By order'of. the Board 

•$. L. fiWaljra 

Director of Administration • . ' L^aka. Zambia 

and CwnP^y S * * * « retar L . »8ch September, 1978 




Jvzi{ f-LM 




S’ kf - 






ffendSf Times Tuesday September . 19 .1978 


'rw 


4 MINING NEWS 

*se Current gold prices 
suit Blyvoor 


United Glass makes application First half standstill 


for 7.8% price increase 


at Federated Land 


*Y KENNETH HUSTON, MINING EDITOR 


tlNTTNG OUT that the major 
turn for the recent advance in 
i gold price has been cur- 
tty fears, Mr. D. T. Watt, chair- 
in of the South African Barlow 
j id group's BlyvoorultzJfihi Gold 
nlng adds mat: “The market 
Tgold will become very volatile 
- & subject to major fluctuations 
the price Increases on a wave 
speculation over the short-term 
levels much in excess of £320 
ounce.” It was S211J yesterday. 

fte warns that “any concerted 
lion, on the . part of the U.S. 
giorities to rectify the prob- 
es in their economy could have 
sharp and depressing effect on 
t price of gold.” It could also 
rnlt in a falling off in demand 
im the jewellery trade, as has 
pjjfened before. 

But Mr. Watt considers that the 
dal win remain an acceptable 
■re of wealth and despite short- 
en fluctuations its price “will 
ntinue to show an upward 
md.” If gold remains at above 
10, Blyvoor expects to increase 
63 cents' dividend total in the 
Rent year to next June. 
Blyvoor is also a producer of 
. uiium, the outlook for which 
s still considered to be sound " 
d acceptable profits therefrom 
b expected over the mine's 
v maining life; Mr. Watt ventures 
estimate, but it appears to be 
the medium category of, say, 10 
ars or so. 

As a result or a safety mining 
4icy of leaving a system of ore 
lars below 16 level, Blyvoor’s 
pilal expenditure estimate lor 


the current year has been raised 
from under RlO-Sm > (£6d£zn) - to 
R122m. It is expected to remain 
at about the same level is the 
following year but should -reduce 
considerably thereafter.- Blyvoor 
shares were 347p yesterday. 

Refinancing of 
Zambian copper 

REFINANCING IS to be .put is 
train' for Zambia's copper mining 
industry which has been hit by a 
combination of low' metal prices, 
transport difficulties and short- 
ages of spare parts and skilled 
men. 

In the case of Nchasga Consoli- 
dated Copper Hines, of the 
K65.9m (£42.4m) loon granted by 
the Zambian Government K57m 
will be capitalised into 28.5m “A” 
shares of K2 each to be issued to 
the Government at par. The 
balance of K8.9xn will be retained 
by Nchanga on terms to be nego- 
tiated with the Government. ' 

At present Nchanga is 51 per 
cent owned by the Zambian 
Government with Zambia Copper 
Investments holding the remain- 
ing 49 per cenL Under the 
refinancing proposals the ZCI 
bolding will fail to 39.897 per cent. 

It is understood that similar 
proposals are being negotiated 
between the Zambian Government 
and Roan Consolidated Mines in 
which company Zd has a stake of 
12.25 per cent In London yester- 


day, ZCI shares were 151 p and! 
those of Roan Consolidated were, 
70p. 

U.S. STEEL OUT 
OF SABINA’S 
BATHURST AREA 

Canada's Sabina Industries has 
been advised by UA Steel’s sub- 
sidiary. Essex Minerals that the 
latter is to cease exploration 
work at Sabina's Canadian Nine 
Mile Brook base-metal property In 
the Bathurst area of New Bruns- 
wick. Essex wifi thus relinquish 
its interest in the claims, it is' 
stated. 

Sabina is of the opinion that 
the work carried out by Essex 
to date — at a cost of approxi- 
mately C$l-25m (£548,006)— has 

not exhausted the potential of 
the property, nor oF the no. 11 
zone. 

A lead-zinc-silver-copper deposit 
at the zone fads been defined as 
two areas of probable con- 
tinuous mineralisation. A north 
zone, 900 ft in length assaying 
a.94 per cent zinc, 2.71 per cent 
lead. 0.04 per cent copper, 0.89 oz 
silver over ' an average assay 
width of 28.6 ft. and a south zone, 
500 ft In length assaying 3.23 per 
cent zinc, 0.53 per cent lead. 0.02 
per cent copper over an average 
assay width oF .36 ft. 

Sabina will await Essex's final 
report and will review the avail- 
able exploration results before de- 
ciding what further action should 
be taken with respect to the 
properly. 


OIL AND GAS NEWS 


Indonesia calls for foreign 
capital in energy sector 


M30NESIA has called on foreign 
oups to develop the country's 
■ergy sector by taking a more 
- live role In exploring and 
plotting oil and natural gas 
sources. 

-“I can say for sure that the 
3ount of oil to be discovered is 
uch larger than the amount that 
s been discovered during the 
.a century,”. Mr. Piet Haryono, 
e president-director of Perta- 
iiia, the state oil group, told a 
-karta meeting. 

He cited one estimate that put 
timate reserves at about '50bn 
rrels. Proved recoverable 
serves have been put at less 


than half this figure by the. 
industry. - - • 

Mr. Haryono echoed a familiar 
refrain by assuring businessmen 
that the private sector had an 
important role to play in the 
development of the Indonesian 
economy. He added that oil 
exploration expenditure planned 
at the beginning of this year was 
.57 per cent up on 1977. 

Estimated, natural gas reserves 
at the beginning of last year were 
put at 34 trillion (million nffUion) 
coble feet, Mr. Haryono said. But 
only about 6.3 trillion cubic feet 
will be produced during the next 
fiveryear plan. 


* • tm 


COMPANY ANNOUNCEMENT/ 

ZAMBIA COPPER INVESTMENTS LIMITED 

- . (Incorporated in Bermuda) . 

Refinancing of Loan granted by the Government >' 

M . of the. Republic of 'Zambia lb . * 

li Nchanga Consolidated Copper Mines Limited (NCGfr) 

Members are informed that NCCM. in which Zambia Copper 
Investments Limited (ZCI) has a 49 per cent equity interest, 

' has today published an announcement, in Lusaka and London 
regarding the refinancing of the loan granted. <to it hy the 
Government of Zambia which amounted to K65.9 million at 
31st March 1978- 

It is proposed that, of the aforesaid amount, TK57 million will 
he .capitalised into 28,500,000 “A "ordinary shares of K2 each 
to be issued to the Government of Zambia at par. while the 
balance of KS.9 million will be retained by NCCM on terms 
to be negotiated with the' Government. Implementation of the 
. proposals will result in ZCI’s existing equity interest of 49 per 
cent in NCCM being reduced to 39.997 per cent 
In order to give effect to these proposals. NCCM is to convene 
an Extraordinary General Meeting of menibers on 12th October 
1978 to consider resolutions to increase its authorised capital 
by the creation of additional “ A ’’ ordinary shares of K2 each 
and to authorise the directors to offer, allot and ‘ssue 28,500,000 
“A” shares, at par, to the Government of Zambia. 

Included in the . announcement is a statement to the effect 
that the “ B ” directors of NCCM; who represent ZCI’s interest 
in NCCM. have indicated their - support of the refinancing 
proposals notwithstanding ZCI’s inability, for financial reasons, 
to participate in the proposed share issue. The rationale for 
the decision of. the “B" directors will be fully explained in 
a circular to members which it Is intended will accompany 
the 1978 annual report- of ZCI to be issued on or about 5th 
October 1978. . 

It is understood that similar proposals are presently the subject 
of negotiation between the Government of Zambia and Roan 
Consolidated Mines Limited io which company ZCI has an 
equity interest of I£25 per cent. ' 

D.F. ELLIS. 

Pembroke, Bermuda . - Secretary j 

18th September 1978 


Proven oil reserves in Mexico 
are 20J24bn barrels, Mr. Jorge 
Diaz Serrano, director general of 
Petroleos Mexican os, said in New 
York. His figure is in line with- 
previous estimates. Mr. Serrano 
added that Mexico bad been 
■' very cautious ” in its estimates. 
* + * 

Cltco Philippines Petroleum, a 
subsidiary of Cities Service, is 
operator for a consortium which 
has just won a- Philippines 
Government survey and explora- 
tion contract covering 675.000 
hectares offshore of Palawan 
Island. 

Within a period of 12 months, 
the consortium has undertaken to 
carry , out geophysical surveys and 
drill one test well. There is an 
option for a prenegotiated 
service contract which envisages 
op 'to IQ wells over a period, of 
seven years- ' 

Other ‘ members of the 
consortium are Basic Petroleum*, 
gild Minerals, Oriental Petroleum 
and Minerals. Philippines-Overseas 
Drilling and Oil Development and 
LandoU Resources. 


Gulf Oil has' stopped drilling at 
its firtt exploratory well In the 
Baltimore Canyon off the New 
Jersey coast Electronic logging 
will-take place and this will help 
Gulf decide whether to carry out 
production tests or abandon the 
hole. as. dry. 

-The drilling is on Block 857. 
Once: operations have been con- 
cluded here, Gulf plans another 
well silSewBere in the Baltimore 
Canyon. 

It holds a 50 per cent share of 
a consortium which embraces 
Aminofl -USA with 25 per cent, 
Teoecb with 15 per cent and Cities 
Service with 10 per cent. 


Standard Oil of California said 
it wouM start the drilling of an 
offshore test well 18 miles from 
Point ".'Conception. California. 
Costs are put at S4.5bn and will be 
shared by 14 companies. 


Dome Petroleum has been given 

S ‘mission by the Canadian 
overiunent to deepen its drilling 
to 1&50G feet at two wells In the 
Beanfotf Sea. The company is 
seeking an extension of its 
drilling time into next month and 
wants .to undertake production 
tests. 


Untied Glass, the UK glass con- 
tainer manufacturer jointly owned 
by Distillers Company and Owens- 
Illinois of the U.S., is applying 
for an average price rise of 7.8 
per cent on its products. 

If approved by the Price 
Commission, the increases will 
take effect from October 1. 

At a Press conference 
yesterday, the company blamed 
higher raw material costs, an 
impending wages settlement and 
future investment needs. 

The application follows a 
promise made' by United Glass in 
January to freeze prices on its 
jars and bottles for nine months. 

Last year the company was 
granted a 9.8 per cent price 
increase ' after a three-month 
Investigation by the Price 
Commission. 

Meanwhile. United Glass 
announces pre-tax profits for the 
six months to June 17 of £6.01m 
(£4 .56m) on sales ahead from 
£62.4m to £72.7m. 

At the trading level profits are 
£6.46m {£5.07m> and interest 

takes £0.45m (£0.51m). As last 
year, no liability for corporation 
tax is expected to arise on the 
profit for 1978. 

Directors say the volume of 
business in the first half was 
similar to the . same period last 
year and the group has not yet 
experienced any expansion in 
demand as a result of higher 
consumer incomes. 

Referring to the second half Mr. 
VJc Header, managing director, 
said the poor summer had hit 
sales of important packaged 
products such as spiad cream, soft 
drinks and beer. He did not 
anticipate profits growth In line 
with the first six months, “but 
sales and profit for the year are 
expected to show an improvement 
over the- levels achieved in 1077.’’ 

Mr. Hender said the company 
was deeply worried by tbe high 
level of import penetration. 

Historically, this had amounted 
to about 5 per cent of the total 
-UK market but after reaching 
about 7t per cent last year the 
figure this year was some 10 per 
cent (amounting to sales of £30m). 

“ Special bottle imports have 
always accounted for 5 per cent of 
the market but this has doubled 
and we are taking it very 
seriously.” 

He added, "We have increased 
our holdings of finished stocks so 
that we can provide an improved 
level of service to customers when 


the anticipated seasonal increase 
in demand .occurs towards the end 
of the year." 


Ellis & 
Everard 
well placed 


The sale of -its building supplies 
division to. Travis and Arnold 
leaves Elite and .Everard with a 
higher asset backing for its shares 
and in a very strong liquid 
position, says Mr. A_ J. everard. 
the chairman. m his annual state- 
ment. 

Reinvestment plans will be most 
carefully considered, the chairman 
states. He-, believes that the 
chemical division has an excellent 
opportunity to continue its 
profitable expansion and points 
out it is actively considering some 
acquisition and .expansion projects 
at the present time. 

As reported on August 11. on 
sales ahead 13 -1 per cent to 
£42.02 tn. pre-tax profits were down 
from £1.023.000 to £969.000 in the 
April 30, 1978, year — the chemical 
division - produced £894,000 
(£534,000) while building supplies 
made £75,000 (£139.000). 

The company also announced 
the disposal of its building 
interests in a deal worth £3. 58m, 
most of which represents debt that 
Travis had" agreed to take over' 
from E and E and which had been 
incurred on these interests. The 
balance of £386,000 was to be paid 
In cash. 

A statement of source and 
application of funds shows work- 
ing capital up £401.000 at- the 
balance date, compared with a 
£272,000 decrease last lime. 

Mr. Everard says borrowings 
were well contained during the 
year, although some disposals' of 
surplus property did not take 
place as quickly as was hoped. 

Midyear gain 
for London 
Pavilion 

From total income of £44,486 
against £41,703, pre-tax profits of 
the London Pavilion, tbe theatrical 
and cinematograph management 
concern, increased from £8,124 to 
£19.001 far the first half of 197B. 

Income . comprised £28,755 
(£22,722) from cinema. £1.625 
(£1.416) net rental income. £8,415 
(£10.421) investment income, and 
£5,691 (£7,144) profit on sale of 


investments offset by .losses 
brought forward, resulting in no 
liability to tax on it. 

Rent, directors' emoluments and 
management expenses took 
£14/102 (£11,819) and there were 
costs of £11,083 (£21,768) con- 
nected with the cle anin g and 
restoration of the exterior of the 
London Pavilion.' 

Directors say the total cost 
relating to this is not expected to 
exceed £81.000, of which £71,856 
had been incurred by June 30, 
1978 

Expenditure of £55,000 has been 
approved by tbe directors for the 
preparation of development plans 
for the London Pavilion. 

After a tax charge of £5,149 
compared with a £210 credit last 
time, net profits for the period 
were ahead from £8,334 to £13,852. 

For the whole Of 1977, net pro- 
fits were £7,550 from which a 
single -12.5p net dividend per £1 
share was paid. 

Target Life 
pensions plan 
for executives 

-- A new plan designed to provide 
pensions, lump sum payments and 
other benefits for directors and 
other senior company executives 
has been launched by Target Life 
Assurance. Called .the Target 
Executive Pension Plan, it enables 
companies to reward their execu- 
tives and key employees by pro- 
viding lump sum. benefits on 
retirement or on death in service 
that are completely free of capi- 
tal transfer tax or any other form 
of tax, snd also pensions that are 
taxed as earned income. 

The company pays ail, or at 
least a very high proportion, of 
the contributions, thereby both 
reducing its tax level and also 
rewarding these employees from 
company profits. The employee's 
contributions, if any, qualify for 
tax relief .at the highest rate. 

In most cases, IDO per cent of 
the basic contributions under the 
plan would be invested in units 
of the underlying funds. The plan 
can be linked to a choice of five 
tax - exempt funds — gilt - edged, 
property, guaranteed, deposit ad- 
ministration and managed. A 
switching facility is available 
between funds, except that switch- 
ing out of the deposit administra- 
tion fund would not normally be 
permitted. 

The plan provides considerable 
flexibility over the payment of con- 
tributions and in the form of 
benefits at retirement or on death 
in service. 


BECAUSE THE company is now 
developing predominantly in the 
Provinces -due to the shortage of 
housing land in the Horae 
Counties profit margins for 
Federated Land and Building 
Company were smaller during the 
first half of 197S and pre-tax 
earnings were almost unchanged 
at £420, D00, against £415,000, 
though turnover was up from 
£4. 75m to £5. 72m. 

Despite the restrictions on 
mortgage lending imposed by the 
Government, sales have been 
steady, although dclajs in legal 
completion of finished houses are 
now becoming increasingly 
apparent, says Mr. Janies Meyer, 
the chairman. 

As a result of the scarcity of 
suitable housing land and the 
continuing uncertainties caused 
by the Community Land Act. the 
company has decided to “ ration '* 
its available land, and lo spread 
development over five years 
Instead of three. The resultant 
reduction in housing turnover and 
the consequent reduction in 
profits related to it will, it is 
planned, be compensated for by 
the steadily increasing investment 
income from its commercial 
developments. 

The largest of these, ihe major 
shopping centre in Kent, will open 
its first phase for trading this 
autumn Housing turnover for 
the rest of 1978 will be unlikely 
to reflect this change of emphasis 
and turnover and profits for the 
second half are expected to be 
at least the same as have been 
achieved in this first si:; months, 
he adds. Profit, last year was 
£863,000. 

Tax mid-term took £228,000 
(£230,000) leaving earnings per 
25p share again at l.Sp. The net 
interim dividend is increased to 
O.Sp (0.75p). 


H^U-ivar Y*-ar 
tS.'S 1.177 JP77 
iwm *wnn 

Tiimovi’r j* rjo s.rti 

Trading profit Tit 771 1.3S! 

Rents* .71 lie 

Interest! r.;s - 51*9 775 

Exceptional loss ... — — S2Q 

Pre-tax proti -IM -11-7 SG3 

Tar 23! mo 474 

Net profll 19.’ 1*5 as 

Dividends .‘7 VS £19 

Retained iu3 107 1B0 

• From lnvesinwar prop'. nit;, t Ioclndes 
jnieresr whlcO can b* iviaivd to commer- 
cial development EiaS.OUO i r-sj.flOO and 
£339.000). 


M. Mole makes 
strong headway 

For the six months tn June 30, 
1978, profits of M. rir.ie and Son 
more than doubled from £5O.OS0 
to £104,750. on turnover of £1 03m 
against £D.74m, and the directors 


expect the progress to be con- 
tinued. 

Record profits of £112,000 were 
achieved in 1977 and a single 
0.4I25p net dividend paid. 

The company manufactures 
hand tools, trailers and equipment 
for the television industry. 

Crouch Group 
confident of 
expansion 

In his first annua) statement, 
Mr. Ronald Clerapson, the chair- 
man of Crouch Group says that it 
will continue to strengthen 
management within the broader 
framework of the new . group 
structure; which he is confident 
will enable it to achieve profitable 
expansion of all aspects of its 
business. 

He tells members that since the 
year-end it has been deemed 
expedient to rationalise the 
group's structure and this has 
been done by establishing 
individual profit centres, each 
havings its own directors respon- 
sible to the main board. 

This structure will allow greater 
flexibility for strengthening and 
expanding the group’s existing 
interests and developing comple- 
mentary activities. Mr. Clempson 
states. 

He also indicates that ample 
bank and institutional finance is 
now available to the group, 
enabling it to continue acquiring 
residential land which is suitable 
for immediate development in 
areas of proven high demand and, 
through the newjy formed 
property development subsidiary, 
seeking out and developing, 
mainly for trading purposes, 
suitable commercial and industrial 
sites and buildings. 

As reported on September 1. 
pre-tax profits advanced from 
£406.000 to £449.000 for the year 
to March 31, 1478, on turnover 
of £1 0.48m t£9.97m). 

During the year, net liquid 
funds decreased by £l.2m, 
compared with an increase of 
£100,000 last time. 

A professional revaluation of 
the group's investment portfolio 
showed a surplus over book value 
of £778.000, leading to a net asset 
value per 25p share at the year 
end of 122.6p. 

At August 11. 1978, Teape-White 
Property Holdings held 16-25 per 
cent of the equity. 

Meeting, Surbiton, October 5, 
noon. 


A name you can bank 
around the world 


R ankin g 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. 


In the Golf area Grindlays has one of the largest branch 
networks of any international bank with 20 branches serving 
tbe UAE., Bahrain, Oman and Qatar. Major project business 
in the Gulf keeps them in close touch with Grindlays offices 
in Lon 


In Hox 
teams 
in plac 
Here t 
aproji 



INTERIM RESULTS 

for the six months to 30 June 1378 

First huff year 
(Unaudited) 


1978 

£000 


1977 

£000 


Year 

(audited) 

1977 

£000 


Turnover 

368.958 ‘3-1 6,951 

656,669 

Profit before taxation 

17,175 16,219 

32.275 

Profit attributable to 
ordinary shareholders 

. 10,676 V 9.450 

15,867 

Ordinary dividends : 

Interim interim 

Total 

Cost (£000) 

2.924 ; 2,147 

4,841 

Per share 

2.931 2p 2.3580p 

5.250p 


The interim dividend will be paid on 23rd October 1 978 to shareholders registered 
on 22nd September 1 978. 

sjc Exceptional contributions in the first half of 1977 conceal a real 

imprqvementof40per.centinpre-taxprofrts. . . . 

sjs Orders in hand a : record £695 million. Order Intake In 1978 
expected to exceed £1 ,000 million. 

jfc- Larger number of major contracts in progress than at any time In 
the past will cbntinue to make significant contributions to Group 
profits for some time to cpme. , 

Copies oftfie Interim Report maybe obtained from 
The Secretary, Cleveland House, St. James's Square, London SW1Y4LN; 

BABCQCK& WILCOX LIMITED 

A leader in world-wide engineering : J ■■ 











j^iwO 


BlHafiCiSl TSiD.es Tftesa&r 


INTERNATIONAL FINANCIAL AND 



.fANY. NEWS 


NORTH AMERICAN NEWS 


Resorts 


BY STEWART FLEMING 

rv A.V ".’ffrirf in quell the [ramie 
specula tins i hi gamblin'.: Finch*, 
the American Si nek Exchange 
Mdjy put inin effect a UK) per 
cent margin requirement un she 
share; i»f Iniernaiion:.!. 

one nf the companies at the 
centre »»f :hv panu Inijms nf 
samhlina shares which continued 
last k. 

The Nt-v. York Slock Eschanae 
lias alsii jnnoiinced that it in- 
temis ;n keep in effect the 75 per 
cent marjin requirement nil 
several uumbiin:: issues which 
v j ■ ilue >«i expire today. 

The lim per cent in a rein re- 
quirement mean, that any inves- 
tor v.'hi* wants !u buy the stock 
tnu't pay for the shares m cash. 
Tfv:- 75 per c**ni margin require? 
t.n-’if the" ciisimiier puis up three- 
quarters uf the purcha.-e price in 
ca*h hue can borrow rme-quarter 
of the cost. Fur must shares the 
margin terms, sei by the Federal 
Reserve Beard, are 5o per cent. 

A .-ar Resurls Inter- 

nationa! ‘•hares were Ira dins as 
iijv $S a share at. one point. 
A week aco. <»n September 8. the 
share? clo-ed at STl’-'i;. Un Friday 


NEW YORK, Sept. IS. 



during the day. companies with interests there letter went~out on Thursdav of 

Th- Resorts B sharo. r»n cnuld be racing not only big i 3S r week, pointing mi; that 
Th'ir.-'lay last week, ruse 854 in increases in profitability but also opinion polls in Florida cur- 
o .-injiv day to $266. The pre- in asset values as a result of rently suggested thi f voters 
vinu- Friday, the shares had rising property values. More would not approve ~ 'realised 
ci-iM-d .u SI50i. At the end of recently, the fever has been gambling. ^ 

!;,st ■ ck. the share*- were still fuelled by a forthcoming vote The Wall Street journal 

fibrin- and dosed at $275 on in Florida in November to reports today that one Merrill 

Frday. legalise gambling. Lynch customer handcuffed 

has been the outstand- But whatever the real pros- himself to one of the brokerage 

in. ? '-■ ■-•uio lion in terms of share peels for the companies involved, houses office door in Melville, 
pr::*- =-»:ns. but other companies many brokerage houses are so >j cw York, in protest against the 
'.•Hi 1 ..i.nbling interests have also concerned that the speculation firm’s failure to buy flock which 
seen ' - price ri-es. has been carried too far that they he claims he had ordered. 

Trie inpan ji.-s covered iiy the are turning away customers who Merrill Lynch says that ihe 

Nov. York Stuck Exchanges' want to buy some gambling stock was ordered with a' price 
75 per ■•eat margin requirement issues. They fear that the limit restriction which cnuld not 
:i,n >.ig them. These are Bally customers who are now coming be met, hence the stock was not 
M.irurV-uring. Caesars World inlo their offices, many of them bought. The firm and its 
Harr.'h Playboy Enterprises, walking in off the street having customer eventually reached an 
Ramj'.!:nns and Del E. Webb. never invested in the stock agreement, according to the 
Thi.-r- :s growing concern on market before, could face heavy report. under . which the 
Wa ! S S’.rcet as well as among losses as the frenzy dies down, customer promised not to go to 
Slock E -.change authorities about and will turn on their investment the Merrill Lynch office again 
w-jj; :s»'ght happen when (only advisers in dismay. in return for . a. payment of 

the ><:• iinists say “if"i the The nation's largest broker, $2,400. roughly the difference 

2 .i nib: if.: bubble bursts. Merrill Lynch, has now sent out between ihe price he would have 

Sue- .. at inn in the slocks was three advisory letters to clients, paid for the stock amt the price 

sparke-'i off earlier this year by the first on June 26 when the at the time of the dispute. 


Associated 
.Madison in 
merger talks 

NEW YORK. Sept. IS. 
MR. GERALD TSAI Jr., chairman 
and ihi'-f ►.-vovitive officer uf 
A«»ic:a f cd Madis**ii, a life insur- 
in':-' holding company, and the 

ehairman nf Fmneor Western 
'/irpn ration. :nel last Friday to 
d^citis i he ji-qu;til>i>n uf Pioneer 
VA-itorn or its largest unit. 
Wi-L-rr. Resume Life -Assurance 
■■•i Ohio. 

Separately, Pioneer Western 
'.a-: v.cvk said an offer by a 
privst * company to buy Western 
Reserve fur & Wm was withdrawn. 

.Mr. T.-ai and Mr. Scanc Bowler, 
chair.nan of Pioneer Western, 
cnfir.i.ed thul they met un 
Friday, but offered few addi- 
tion:.;' details. 

Ase<.c!&i’.'il Madison di.-dosed 
■ti’st A-vk ,n a filing with the L'.S. 
Soeurluvs and Exchange Cuiu- 
:.ti??;iin inai k had increased its 
holding in Pioneer Western to 
] c 2.t)lM) ana res. ur slightly less 
'.ium 10 per cent of the 1.9m 
srures uu is landing. 

In that filing. .Mr. Tsai and 
Associaied Madison also disclosed 
I ha: varher in the month Mr. 
T ;.t had participated in “ e.\- 
p!i»r«:nry discussions " with 
pinn'-er Western toward M con- 
std'iring the possibility of a 
corpora i« cumbinaiion " involv- 
ing Pioneer Western “ or one or 
more of ii-- .subsidiaries" and 
A j -opialod Madison. 

AP-DJ 


Commercial paper auction plan 




5 rue Royale 

PARIS 

TO LET 

1 250 sq.m. 

renovated office space 
floor space from 80 sq.m. 

and shop 90 sq.m. 


EO Bourdais Progestim 

227.11.89 256.04.87 

164, bd Haussmann Pan's 3‘ 1, rue Rabelais Paris 8’ 

s 


margin requirement raised ™ s e b n ^’ ant 

scheme to 
be probed 

IVASHIN GTON , SepL IS. 
THE Justice Department said 
it or the Federal Trade Com- 
mission will examine the agree- 
ment in principle by Pills bury 
to acquire Green Giant for ils 
anti-trust implications. Both 
companies are in the food and 
restaurant business. 

Pillsbury announced earlier 
that it had reached as agree- 
ment in principle to acquire 
Green Giant through a two- 
part transaction. 

In the first step, Ptibbury 
will make a cash tender offer 
of £37.25 a share for like 
shares of Green Giant common 
stock 2 nd may extend that 
number to 2.2m shares. Ihe 
company said. Green Giant has 
abont 3 -9m shares outstanding. 

In the second step, Pillsbnry 
will complete the merger by 
offering 0.8324 share of PilLs- 
hury common slock Tor each 
share of Green Giant common. 
Pitlsburv said. 

The agreement is subject to 
the preparation of a definitive 
agreement, approval by the 
Boards and shareholders and 
a favourable ruling by the 
Internal Revenue Service. 
Pillsbury said. 

It said the Green Giant 
annual shareholders meeting 
scheduled for September 22 
has been adjourned to a later 
dale. 

Shareholders of Green Giant 
series “A.” “B2,” M C," and 
“D" preferred stock will 
receive 2.91 34. 2.9134. 3-329G 
and 1.1654 shares or Pfflsbury 
common for each Green Giant 
preferred share respectively, 
Pillsbury said. 

Reuter 

Woodward Stores 

Woodward Stores, a major 
western store chain based in 
Vancouver, earned C$L6m or 
24 cents a share in the 26 
weeks ended July 29, against 
LSI. 4m or 22 cents a year 
earlier. 

Bank link 

Directors of San Jacinto Slate 
Bank, Pasadena. Texas, agreed 
tu 'merge the bank with First 
International Bancshares, First 
International said, reports AP- 
DJ from Dallas. The agree- 
ment in principle calls for the 
exchange of San Jacinto's 
250.009 outstanding shares for 
322,500 shares of First Inter- 
national Bancshares stock. Tbc 
merger is subject to approval 
of San Jacinto shareholders 
and Regulatory Authorities. 

CBOE changes 

The Chicago Board Options 
Exchange (CBOE) said direc- 
tors approved changes in Ihe 
governing structure of the 
Exchange which will reduce 
the size of the Board by one 
member and change Ihe classi- 
fication nf the office of chair 
man, reports Router from 
(Tilcago. The Government 
Conunibtee report, which the 
directors apponed. recom- 
mends that the chairman, who 
should be selected by the 
Board, should become the Ex- 
change's full time chief execu- 
tive. 



Further rise 
U.S. prime lending rates 


CITICORP has announced plans 
t.i soli rommercial paper at 
week!;, auctions similar lo those 
used for L : .S. Treasury bills. 

Goal in-.- rcial paper is the desig- 
nation for short-term unsecured 
pro.niviOty notes issued by 
corporations and sold to 
inv’es‘or- 1 , mainly other 
companies. 

The Citicorp plan would he 
apparently ihe first time such 
paper was sold through bidding. 
Currently, issuers sell directly 
to ime>turs or distribute them 
through dealers, in each case 
negotiating the price and 
intere s l rate. 

Citicorp. :i hank holding com- 
pany the chief subsidiary of 
which N New York's Citibank, 
has about Sl.Son of such paper 
outstanding, a sizeable share of 
the ST-ihn market 

Citicorp plan* to sell 91 -day 
Paper at auction each Tuesday. 
Royers may compete at the 
auction by bidding interest 
rates, on a discount basis, to 
three decimal points. The bids 
are in he for multiples of 
£500.000 and the paper will be in 
bearer furm. 

The holding company has set 
$100nt a* the amount lo be sold 
at the first auction, scheduled for 
next Tuesday. 

The amount to be sold at each 
auction will be determined 
weekly initial auctions, how- 
ever. will be in the SlOOni range. 

There has been no indication 
as tr» what percentage of Citi- 
corp's total paper would be sold 
through auction. But specialists 
estimated the holding rompany 


probably is aiming to meet about 
75 per cent of its needs through 
that mechanism. If SlOOiu were 
auctioned each week, the com- 
pany. on average, would have 
sunie Sl.Obn outstanding. 

Specialists noted that the 91- 
dav maturity on the paper is 
much longer than sold in the 
marketplace. By some estimates 
the average maturity of all com- 
mercial paper sold is less than 30 
days. 


NEW YORK. Sept. IS 

Citicorp stressed that it would 
continue to issue various maturi- 
ties oF commercial paper m the 
traditional •- manner through 
direct sates to dealers and in- 
vestors. 

Dealers said the auction.* - could 
allow them to undertake rrjding 
methods that werenot previously 
available in the commercial 
paper market. 

AP-DJ. 


BY MICHAEL BLAH DBM 

THE PRIME leading rate of tlie 
U.S. banks will go up into double 
figures next year, it was- forecast- 
yesterday by Mr. Roger Andes> 
son. chairman of the Continental 
Illinois Bank of Chicago. 

Last week a number of leading 
U.S. banks raised their prime . 
rates from 9* to 9j per cent. Mr. 
Anderson said yesterday, that 
there could now be a temporary" 
levelling off through the entf of 
this year and into 1979. How- 
ever. the pressures of inflation, 
money supply and credit demand; 
indicated that there would be a'. 
“ double-digit prime by the- 
fourth quarter of next year*-. 

The last time U.S. prime rates 
were in double figures was ' in 
1973-74. when they reached-; a- 
peak of 12 per cent. 31r. Ander? 
son said that he did not expiect- 
tbe rate on this occasion .to $b 
above 10 per cent 

Re was speaking at the. official 
opening of the back's new Euro- 
pean regional headquarters in. 
London s Queen Victoria Street; 
the former Printing House 
Square offices of The Times news- 
paper. . : i--. 

Commenting on the position of 
the doiiar, Mr. Anderson said 
that it was difficult to be 



Mr. Roger Anderson 

bullish at present But . the 
economic fundamentals. be 
argued, supported some . longer- 
term strengthening. This year's 
■U.S. trade deficit should be no 
wora than last year's, and a 


substantial improvement was 
forecast for next year 
At the same time. . bosmear 
activity was expected to. show-' 
continued, hut. Qiora moderate, 
expansion. .An orderly slowdown 
to a more siixtainabie pace, 
“should help prolong the ILS. 
business expansion;” be' said. , 
Discussing the . ambitions of 
Continental Illinois, the chair- 
man said that ils=?oal of becom- 
ing one. of the -top- three U.S. 
banks for ..corporate . customers 
“is . becoming -; increasingly 
attainable, and. ^ we ..expect to 
reach it in -.'these, next “few 
years.” The’bahk.-w?i at present 
the biggest in , Chicago and L. 
seventh in the U;S„ operating’ 
above all as a' commercial bank. •' 
In the U-S., the. bank- had; r 
experienced a' renewed upturn 
in loan demand after, a pause 
during August.. And in London, 
Mr. Anderson said, the bank bad. 
invested some £12m in buying 
the freehold - of its'.' new building 
and renovating rt, in-order to 
bring together in its largest 
operation outside the U.S. Its, 
corporate banking, merchant 
banking, investment banking 
and leasing service*- ” ' - T • 
Sec International Money Markets 
Page - 39 


Warn loan expected to 
retain separate identity 


BY MARY CAMPBELL 

FOLLOWING negotiations last 
week between German banks and 
the Nigerian Government, it now- 
looks almost impossible that any 
part of the German banks’ pro- 
posed project loan for the Warri 
steel reduction plant will be 
added inlo the $750m eight-year 
Euromarket loan currently being 
syndicated, or even that it could 
be signed at the s^uie time. 

It seems that agreement has 
been reached in principle where- 
by the Warri financing will be 
retained as a unified package 
totalling DM2bn fSlbn). As 
originally planned, DM1.25bn 
would take the form of a loan 
guaranteed by tbc German 
export credit agency Hermes, 
while the remaining DM750ra 
would be a medium-term loan 


rrom a consortium of German 
banks. 

A development along these 
lines would effectively mean a 
return to plans for the Warri 
financing as they were before 
the possibility was mooted that 
part of the German banks' lend- 
ing for the project might he 
incorporated into the jumbo loan. 

While the financing for the 
Warri project was always viewed 
as a possible exception lo the 
Nigerian Ministiyvof Finance's 
plan to centralise all foreign 
borrowing (a plan outlined to 
hanks in a letter dispatched on 
August 3), a decision for it to 
go ahead comjfleteJy separately 
from the $750m Euroloan would 
be likely tn make the syndication 
of the latter more difficult 


EUROBONDS 

Jusco to issue convertibles 

THE dollar hond market was 
steady in quiet trading condi- 
tions yesterday, while D-Mark 
bonds were also unexiyting. 

The Japanese supermarket 
company Jusco has announced 
that it plans to issue DM SOm 
of eight year convertible bonds 
at the end of this month via 
West LB. Other Japanese con- 
vertibles expected in the next 
three weeks include DM 30m 


for seven years for Kayaha 
Industries, also via WesiLE, 
DM SOm For eight years for 
Nissan Diesal Motor Company 
via Deutsche Bank, and DM 30m 
for seven years for Marueisu 
via BHF-Bank. 

Kotobukiya Company, another 
Japanese supermarket company, 
is planning a SwFr 30m private 
placement of convertible bonds 
via Credit Suisse. 

Agencies. 


CLIVE INVESTMENTS LIBUTED 
1 Royal Exchange .Ave., London EC3V 3LU. Tel.: 01-2S3 1101. 
Index Guide as at September 12, 1978 (Base 100 ai 14.1.77) 

Clive Fixed Interest Capital 129 57 

CJive Fixed Interest Income 114.59 

ALLEN HARVEY & ROSS INVESTMENT MANAGEMENT LTD. 
43 Cornhill, London EC3V 3PB. Tel: 01-623 6314 

Index Guide as at September 14, 1978 

Capital Fixed Interest Portfolio 100.00 

Income Fixed Interest Portfolio 100.00 


Thiscnnioimcement appears as a matierof record only. 



HIDROELECTRICA DE CATALUNA SA. 
Dfls 32.500.000 

Exed rate 10 year loan 
provided by 

Amsterdam-Rotierdam Bank N.V. 

Nededandsche MiddenstandsbankN-V, 

Sla venbnrg Overzee Bank N.V. 

financial adviser of the borrower 

BancaMasSarda 


Manager and Agent 

AMSTEroAM-ROTTERDAMBANKN.V. 


$eptenber t 1978 > 


Consolidated Foods 

The Federal Trade Commis- 
sion. asked if the FTC planned 
to Investigate the merger of 
Hanes Corporation And Con- 
solidated Foods Corporation, 
said the Commission or ihe 
Justice Department “routinely 
review all large mergers,” 
reports AP-DJ from Washing- 
ton. Tlie FTC would not 
confirm nor deny that the 
companies bad • notified the 
Agencies of the merger under 
their pre-merger notification 
rules or that the FTC was 
investigating the merger. 


V 


THIS ANNOUNCEMENT APPEARS AS A MATTER OF RECORD ONUT 


A 


SOMISA 

BOCiEDAD ItfiXTA SIDER0RG1A ARGENTINA. 

U.S. $25,000,000 

MEDIUM-TERM LOAN • 

• ■■ ' • •' 



.7' / GUARANTEED BY ' 

tHE REPUBLIC OF ARGENTINA 



MANAGED BY 

BANCO DE LA NACION ARGENTINA : 

NEW YORK BRANCH 


PROVIDED BY d 


CONTINENTAL ILLINOIS I IAT10NAL BANK 
AND TRUST COMPANY OP CHICAGO 
CROCKER NATIONAL BANK 


THE.BANK OF CALIFORNIA . 
FIRST NATIONAL BANK IN DALLAS 
THE FIDELITY BANK.., 

BANCO DEiANACiON ARGENTINA 


AGENT 

EANCO DELA NACION ARGENTINA 

NEW YORK BRANCH 




This anmuncemou appears as a mailer qf record only . 



Credito Commereiale 

US $20,000,000 

Medium Term Loan 


Societa Fmanziaria Assicorativa 
(RAS Group) 


^lanaged by ’ 


co-managed by 


Kieinwort, Benson limited 


Dow Banking Corporation, Zurich 


provided by * \ 

Amex Bank Limited Banca Unione di Credito, Lugano 

Bank Oppenbeim Pierson Internarional S. A^ Luxembourg 
BanqueFrancaisedu Commerce Exterieur Creditanstalt-Baskverein 

Do.w Banking Corporation, Zurich " Kieinwort, Benson (Geneva) S. A, 

Kieinwort, Benson Limited • _ itredietbank S.A. Luxembom^eoise 

National Bank of North America Standard Chartered Bank Limited 

Trade Development Bankj London Branch 

■Agent ; - ' ’ V ' ■ ' . 

Heimvort Bensortiifflihid 


. Septcn£bcKJ973- 













4. f v ’• - " : — •-* ■»•»■■■*.■» • ^ ■ a «• . 



Financial Times Tuesday September 19 1978 




m 



i i r 




i Lesieur raises dividend 

H after lower net profit 


BY DAVID WHITE 

HE Financiere Lesieur, the hold- 
ng company of the recently re- 
irganised Lesieur edible oils 
.nroup, today fulfilled its promise 
jf a higher dividend, almost 
loubling the net payout proposed 
or the 1977-7S financial year 
rom FFr 7.35 to FFr 14. 

This was despite a sharp drop 
n the holding company's net 
irofit from FFr 63in to FFr 20.8ra 
S4 jSjh) in the year ended June 
a. 

Exceptional gains, which were 
ligh in the previous year, were 
iroited to some FFr Sm in 
evenue from the sale of 


EMC lifts 
Sanders stake 


Lesieur's controlling stake in a 
margarine company, Soprodel. 

The Lesieur group's, consoli- 
dated results, for calendar 1977 
showed a 23 per cent increase in 
net profit to FFr 103m on a turn- 
over of FFr 2:B2bn. This com- 
pared with sales of FFr-3J.6bu 
m 1976 and FFr 3.25bn in 1975. 

The operating subsidiary 
Lesieur, Cote] I e et Associes in- 
creased its pre-tax profit for the 
first half of this-year to FFr 89m. 
a rise of 56 per cent, over the 
same period last year. 

The holding company has this 
year increased ibs stake in the 


PARIS. Sept IS. 

operating group from 67 per 
cem to 99.9 per cent, a move 
which included buying a 22 per 
cent stake held by the shipping 
Sroup Cie de Navigation Mixte. 

The principal shareholders in 
Cie Financiere Lesieur are 
Banexi, which is the merchant 
banking arm of the state-sector 
Banque Nationale de Paris 
fBNP), and the Lesieur family. 
Barclays Bank has an indirect 
interest through. Ste Financiere 
n»£? peene ’ a 3 0i nt venture with 
BNP. Banco del Lavoro and 
Dresdner Bank, which holds 16 
per cent. 


to 65% 


Empain-Schneider sales 
up but orders fall 


PARIS. Sept. IB. 
CNTREFRISE Mintcre etl 
fhimique (EMC) has bought 15 1 
ier cent of the FFr 36m capital | 
f Sunders SA from Genera le 
>ccidentale. 

EMC now. holds 65 per cent and 
tenerale Occidental? 35 per cent 
. f Sanders, whose net sales for 
he year ended Alarch, 197S were 
'Ft 534m. 

s At the same time. Sanders and 
ssociates of EMC have bought 
rom Generate Occidental nearly 
SO per cent of the capital of 
ander5a. Lbc animal feeds sub- 
idiary of the Spanish company 
Inion Aliraeniaries Sanders, 
ubject to approval by the French 
nd Spanish governments. San- 
iersa has annual sales of 
Ta 5.5bn. 
leu ter 

Slight decline 
at Hasler 

By Our Own Correspondent 

ZURICH, Sept. 18. 
BtSLER HOLDING AG. the 
terne parent company of the 
lectrical engineering and tele- 
onun unications concern Hasler. 
eports a slightly reduced net 
rofit of SwFr 4.9m lS3.06m> 
or the financial year 1977-78. 
gainst SwFr 4.96m. The board 
ecommends payment of an 
nchanged dividend of SwFr 50 
er ordinary share. 

Group billings were up by 
5 per cent to SwFr 427m for 
‘le period, while orders received 
-tcreased by as much as 10 per 
ent to SwFr 400ra due primarily 
) domestic demand. In the case 
f the main affiliate, Hasler AG. 
rders rose by 14 per cent and 
•mover by 3 per cent 


EMPATN - SCHNETOER, the 
Fra neo-Belgian industrial con- 
glomerate, raised net sales for 
the first six months of 1978 by 
17.5 per cent to FFr l4.1bn 
($3;2bn> from the FFr 12bn 
reported for the first half of 
1977. 

Orders received during the 
same period also totalled 
FFr 14.1bn. or IS per .cent less 
than the FFr 17,2bn of- the first 
half of the previous year.---. 

The group said that the 
decline in orders resulted from 
a Fall-off ' experienced by its 
nuclear subsidiaries. Fra ma tome 
and Noyatome, orders at which 
up to the end of June totalled 
FFr 140m. compared with 
FFr 3.9bn a year earlier. It gave 
no explanation for the sharp 
decline. 

* *- + 

The French chemicals group 
Rhon e-Poulenc said today that it 
has arranged financing of 
FFr lOOm through a group of 


PARIS, Sept 18. 

three stale-controlled insurance 
companies and Caisse Centrale 
des Mutuaiitvs AgricoJes, AP-DJ 
repons from Paris. 

This is the first time that 1 
French insurance companies have ; 
come together to arrange a 
major loan for private industry, 
following government authorisa- 
tion last April to carry out such 
operations, according to banking 
sources. 

The terms of the loan were not 
disclosed, although the banking 
sources said that a maturity -of 
15 years and interest at 12 per 
cent might be appropriate. The 
manager of the group is Uni- 
credit, a subsidiary of the state 
tending institution, Caisse 
Centrale du Credit Agricole. 

Rhone-Poulenc said that the 
funds would be used to finance 
the acquisition of a majority 
interest in Societe des Participa- 
tions Gardinier (SOPAG), hold- 
ing company of the Gardinier 
fertilizer group. 


Higher 

first-half 

loss 

for UCB 

By Giles Merritt 

BRUSSELS. Sept. IS. 
UCB. THE Belgian chemicals, 
pharmaceuticals and film 
gronp, has announced further 
losses following the RFr 397m 
deficit recorded for 1977. In its 
statement for the first half of 
this year the group disclosed 
net losses of BFr 148m f$4.7m) 
for the period, compared with 
BFr 84m In the first six months 
of 1977. 

The groop’s chemical sector 
continues to run a deficit, but 
UCB has pointed out that its 
losses are at a lower level than 
during 1977, when its chemical 
sales dropped-3 per cent, and 
the sector’s losses amounted 
to BFr 339m. UCB describes 
the performance of Its film 
sector as “ poor," but com- 
ments that the pharmaceuticals 
.side saw sustained levels of 
activity and recorded a profit. 
For 1977, UCB’s pharma- 
ceuticals operations yielded 
earnings of RFr 63m. while the 
film sector was responsible for 
losses of BFr 105m. 

Group turnover during the 
first half of 1978 was 
BFr 9.0 1 bn (S287m). broadly 
unchanged from that in the 
same 1977 period. The gronp 
has emphasised that cost- 
cutting measures introduced 
last year have begun to take 
effect, bnt warns that the ex- 
penses Involved in declaring 
redundancies and early retire- 
ments has helped infiate losses 
during 1978. 

UCB last declared a profit in 
1976, when net earnings were 
BFr 184m. It then paid a 
BFr 140 dividend. 

Kockums may 
face takeover 


lAUSTRIAN^PULP AND PAPER 


State measures raise new hopes 


BY PAUL LENDVAI IN VIENNA 


THE AUSTRIAN pulp and paper 
industry will henceforth be able 
to receive subsidised credits to 
the tune of Sch 3hn (8210m). 
and it is hoped that the interest 
relief action by the federal 
government will contribute to a 
radical transformation of the 
structure - of an over-extended 
industry. The government will 
provide - from budgetary funds 
4 per cent of the interest on 
loans to the tune of Sch 3bn for 
a period of 12 years. 

Already last year investments 
in environmental protection 
worth Sch 2bn were subsidised 
by the government. Talks about 
the provision of risk capital are 
also in progress involving even 
the unions and the Chamber of 
Labour. 

The Austrian puip and paper 
industry hopes the upward move 
in incoming orders registered 
duriDg the first half of 1978 may 
bring a reversal nr the adverse 
trends which badly hit the in- 
dustry in the past three years. 
In fact. 1977 was described as 
“the worst year ever" in the 
pnst-war history of the tradi- 
tional industrial branch in 
Austria. 

The labour fnrre in the paper 
industry has fallen since 1976 
from 9.800 to 9.100 and, includ- 
ing the pulp plants, total employ- 
ment was down by one per cent 
to 15,500. Nominal value of the 


aggregate output lust year was 
about Sch6bn. In real terms, 
however, output was down by 
3 per rent. The value of exports 
also dropped by 6 per cent to 
Sch&Tbn between 1976 and 1977. 


vis-a-vis most other currencies 
as well as the devaluation in 
Scandinavia and intensified 
marketing efforts by North 
American producers put an end 
to the hooe that 1977 would 


An International recession, continued appreciation of the 
schilling, the Scandinavian devaluation and intensified 
marketing by North American producers combined to make 
last year the worst since the war for the Austrian pulp and 
paper industry. The upward trend In orders this year, how- 
ever allied to interest relief measures by the Government, 
raises hopes that there will be a reversal of past adverse trends 


However, imports during the 
same period also fell from 
SchS60m to SchS07m. 

The .international recession 
coupled with the surplus capa- 
cities of major foreign com- 
petitors and with the stagnation 
of domestic demand has had a 
major impact on the 140 
Austrian paper producers. 
Closures and mergers of old 
established pulp and paper com- 
panies reflect the deteriorating 
situation. 

The statistical figures are 
somewhat misleading. Thus out- 
put' of paper and board increased 
last year compared with 1976 by 
2.1 per rent to 1.4m tons while 
pulp production was up by 3.2 
per cent to just over lm tons. 
However, the continued appre- 
ciation of tbe Austrian schilling 


brine a sustained revival of 
demand. 

In view of the difficult market 
situation mergers and co-opera- 
tive ventures affecting companies 
owned by banks aod also 
independent operators are likely 
to continue. Meanwhile, the 
reduction of stocks in Western 
Europe contributed to the fact 
that at tbe end of June Lhe order 
book of fate paper industry was 
12.8 per cent up on tbe position 
a year earlier. The industries 
are also faced with the conse- 
quences of the rising unit costs. 

On the other hand the invest- 
ment promotion activities and 
interest relief measures an- 
nounced by the Government 
clearly help industry in carrying 
out long overdue investments in 
rationalisation. For example. 


last week new paper-making 
machinery went into production 
at the Hamburger AG in the city 
of Pippen. The Government and 
tbe Lower Austrian authorities 
underwrote (he guarantee and 
the interest relief measures to 
the tune of Schl75m were also 
tapped to finance the project at 
a total investment cost of 
Sch400in. 

Exports of paper and board 
last year totalled 844,000 tons 
with tbe Common Market ac- 
counting Tor 34 per cent of the 
total. Duties on paper as a so- 
called sensitive product however 
will only be eliminated as from 
1984 by the Common Market. As 
a matter of fact the EEC raised 
at the beginning of August the 
protective duties from S per cent 
tn the original starting level of 
12 per cent 'which according to 
Austrian estimates will reduce 
the earnings of the paper in- 
dustry by Sch 25m. 

Meanwhile Austrian producers 
also complain that dumping by 
East European exporters caused 
an upheaval in the domestic 
paper market. Imports already 
account for 22 per cent of domes- 
tic paper consumption with East 
Europe alone having a combined 
shareo f 15 per cent. The main 
problem is that the East Euro- 
pean state companies export at 
prices well below those ruling in 
Austria or in the world markets. 


State takeover for Segarra 


Losinger sees sales rise 


by state 


BY JOHN WICKS 

THE LEADING SWISS building 
concern, Losinger, expects 1978 
group turnover to be in .excess 
of the SwFr 490m recorded last 
year, according to an interim 
letter to shareholders. First-half 
turnover of SwFr 233m was 
rather above expectations. The 
foreign share of 1978 turnover is 
expected to be of some 40 per 
cent, with orders from outside 
Switzerland lying above budgeted 
levels for the first half. As at 
mid-year, total orders on hand 
were worth SwFr 433m and pro- 
vide sufficient employment for 
the rest of the year. 


Profits are developing as the 
management had expected, says 
Mr. Viktor Losinger, the company 
chairman. However, the 
domestic profit level remains un- 
satisfactory. This is not wholly 
compensated for by foreign 
business, so that profits are still 
not satisfactory although slightly 
improved. Unexpected further 
problems are now. Mr. Losinger 
adds, arising from the foreign- 
exchange situation. In 1977, 
Losinger omitted a dividend pay- 
ment after parent-company 
profits fell to only SwFr 40.000. 


STOCKHOLM, Sept. 18. 
KOCKUMS faces either pay- 
ments default or a direct take- 
over by tbe state if h falls lo 
solve its difficulties itself, 
according to Mr. Nils Aasling, 
Sweden's Industry Minister. 

Mr. Aasling said that in the 
event of a payments default, 
Koekums would be recon- 
structed. However, If the state 
takes the company over, it 
would do so only at a notional 
price reflecting the company’s 
current losses. 

Mr. Aasling said that he 
hopes Kockums can escape its 
difficulties by finding buyers 
for the vessels cutrentiy being 
built for stock. 

Reuter 


BY ROBERT GRAHAM 

AFTER LENGTHY negotiations 
a formula has been agreed 
whereby the Spanish govern- 
ment will acquire a controlling 
stake in the. country’s largest 
shoe and leather-making con- 
cern, Segarra. The company bas 
been under a cloud since 
September, 1976. when the then 
board temporarily suspended all 
outstanding payments — a move 
which prompted the Ministry of 
Indusay to seize the company 
and its assets. 

The State, in the form of the 
Directorate of State Patrimony 
controlled by the Ministry of 
Finance, will acquire control 
instead of the state holding com- 
pany JNL- The Directorate of 
State Patrimony holds, among 
other things, the government 
stake in the petroleum distribu- 
tion monopoly, Campsa. 

Under the. agreement, Segarra’s 
existing capital will be written 
down to a nominal Pta I. The 
state will assume all outstanding 
debt and-.will then provide the 
hulk of a Pta 1.64bn tifcL52m) 
capital increase. Since Segarra’s 
financial troubles emerged in 
1976 some Pia 150m worth of 


debts have been repaid, but the 
government has now agreed to 
assume some Pta Ibn still out- 
standing. The state will effec- 
tively take over the entire share- 
holding of Sr. Silvestre Segarra. 
which has a nominal value of 
Pta 250m. Thus when tbe new 
capital increase occurs the state 
will hold 87.5 per cent of the 
equity, the remainder being held 
by private shareholders. Also as 
part of tbe operation, the state 
will acquire the Silvestre family 
holding in a subsidiary. Arrages. 

Tbe shoe-making business is 
an important sector of Spanish 
industry, but Segarra has been 
one of the few companies to 
operate on a large scale, employ- 
ing a work force of 3,500. 
Industry sources say the com- 
pany's difficulties arose from 
relying too heavily on low wages, 
combined with inadequate re- 
investment of profits. Thus when 
faced with a sharp increase In 
tbe rate of inflation and much 
higher overheads, especially a 
sharp rise in wage demands, it 
was forced to suspend in Sep- 
tember 1976 all outstanding pay- 
ments. 


MADRID. Sept. 18. 

Industry sources also maintain 
that the government at the time 
was primarily concerned with 
the impact of a possible closure 
of the Segarra operation on the 
Leon region of northwestern 
Spain. Some 8,000 workers were 
directly or indirectly dependent 
upon it As a result tbe govern- 
ment decided to seize the com- 
pany prior to working out a 
rescue package. 

An important element of tbe 
rescue package is a cut in the I 
3.500-strong workforce to 2.569. 
This has been worked out with 
the trades unions as part of a 
“ social pact,” which also 
guarantees increased produc- 
tivity 

Turnover this year is expected 
to' be between Pta 4bn and 
Pta 4jJbn of which some 30 per 
cent will be accounted for by ex- 
ports. Further, it seems that once 
the company’s viability is estab- 
lished. the government win con- 
sider once again selling part of 
its bolding to the private sector. 
It is the first time the govern- 
ment has intervened in this way 
in the shoe and ieather industry. 


Swedegas 
needs funds 
for pipeline 

STOCKHOLM. Sept. 18. 
THE semi state-owned natural 
gas utility Swedegas needs 
SKr 800m to SKr S50m to set 
up its gas network scheme for 
southwest Sweden in tbe early 
1980s. 

The Government would have 
to guarantee this sum betore 
next July, if the conditions for 
piping gas across the Oersund 
from Denmark to Malmo are tn 
be met. A similar sum would 
be needed to guarantee Swede- 
gas's costs of piping the gas from 
Germany through Denmark. 

The gas wiii be used instead 
of oil by industry and district 
heating plants in north-west 
Skaane and south Holland. 
Reuter 

Volvo stake priced 

The general director of Volvo 
Deutschland, Mr. Eric Johanson, 
said yesterday that the 
Norwegian Government's planned 
40 per cent stake in the Swedish 
parent concern will cost 
DM 330m (U.S.S167m1, AP-DJ 
reports from Bramtlaw. 



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INTERNATIONAL FINANCIAL AND COMPANY NEWS 


AUSTRALIAN COMPANIES 


Sharp gain in BMI earnings 


s r OUR OWN CORRESPONDENT SIDNEY, Sept. IS. I 

BLUE METAL Indu'-iru**. toe pir:-' 1 25th tr-adins y**ar. *mHj ings per shun.* from 9.5 cents In. 


Australian 
banks 
to disclose 


Plate Glass in 
with Federated 


Motors 




ma'nr "<iunrr.irte i-ansLiuciten in.-rirp* ration as a public 15 corns. The directors said that t 
material and ’on yin eon ns gr*up. company contributions from J^e group*; 

has raised iis dividend and plans Tim profit sain was nn«i*> P'i<- direct operations were almost lb, 


more 

CANBERRA. Sept. IS. 


I ay RICHARD ROLFE . ’■ ‘JOHANNESBURG, SepL IS. 

> PLATE GLASS and Federated two years tie dividend has been interests with Reedpak, _ ihe 
J Timbers, a wholly owned subsi- cal hack from 30 cents , to 10. former subsidiary ot rteca 
diary of Barlow Rand, have coa- cents. The shans responded to- 1 . International. A aocumeni 


recovery 

By Our Own CoirWporKfent ’’ 
. JOHANNESBURG. Sept; 17, 


a record A$9.6Rni iU.S.$lI.3m i. in:.-, including tax exempt facture. ■ am j balance sheets, Mr. John 

The dividend has been in- income. exempt overseas income. The continuing depressed j Howard. the Treasurer 
creased from 7 cenis a share to lax Insscs in subsidiaries, double ] evc [ s nf construction in the UK,i announced. 

T.5 per cent, including a final depreciation provisions, invest- ajj well ag p r{J g ress ive devlua-j The reporting provisions for 
payout of 3.75 cents. The diree- most allowances and the trading daUar also affected 1 banks under the Federal Bank- 

tors have declared a scrip offer- stock valuation benefits. In the tion 1L .L ” ™ in « Act be more in line 

inz on the basis of one new prei ;<?:£ year B?JI paid tax of contributions from those opera-J wJ|il those for o£&er public 
share for every eight held, and on’y A3397.000. tl0 " S- „„_ r __ m i nv .c» m . n i fi companies than at' present, 

the new shares will receive i he The improvement in earnings The banks will disclose 

final dividend. The directs v.^c f ; ,;r ; y evenly >pread through- 4J pe L^ nrwm? interest paid and mislead of 

expect tn maintain the new aivi- out the year. In the first-half, per cent of “• » * in ! reporting land, income and 

aend rale nn Ihe higher capital. iN.rrin.-- rose 53 ner cent, and represented J by in estn fits n, oiher , axcs ^ OQp ftsurr. they 
The directors said the scrip issue in the nd-ha 5 f by *2 per cent, ciimpanies in *nich it to* .an j u . |n ^ Australian and 

was made to celebrate the com- 3ne s’-dest result raised earn- lntere.l of 50 p - ■ i rarcicn income lasr nnl*. 


j Timbers, a wholly o-A-ned subsi- cui back from 30 cents, to 10 former subsidiary of mu AwircniWr’ ^ 
diary of Barlow Rand, have con- cents. The shares responded to-. International. A l • J 0 HAN uRG. Sept: WV • . * 

‘eluded an R12m net transaction finalisation of the deal with a ; 'cirCuiated today to KeeopaL. results FR OM the year. to- 
! which will lead tn rationalisation rise from 255 cents to ISO cents shareholders indicates. u«t June 30 f rom Cnmes.Motors ajrd 
of their activities in the glass on reiis tine this morning, taking following the acquisition oy its parent company Cmfin, show . 
j and builders' merchants’ sectors, the view that a cash inflow "and Barlow Rand of a 55 ^ €r * C fvi improved. pr ofitg ar ijne/withthe 
1 Plate Glass is to discontinue its sale of ’cardinally profitable stake in Reedpak m August, roe general recovery in. ihe motor 

(business as builders merchants activities ivxll have a positive further agreement selling luc business, based prtmarxiy entire 

and is tn seU its trading asets effect-.. In the short 'term, : how- Barlows packaging inter«te to General . Motors:- Nfraiudnse.- 

! and various fixed assets employed ever, so advance is expected Reedpak was signed on Septem- Curries incfMSea ■; nperatmg.. 

j in this field to Federated Timbers from the Plate Glass objective her 12- .’ , - „ • profit from-_R3.7m, tb: 

tror R16m. Federated Timbers of ruainiaining earnings at last - Reedpak’s share capital, follow- R*L2m and. with xwiuceti interest 
I is to sell to Plate Glass for year’s R5-3m. J .'inn the issue of a further -»«i payments earn in®r- were- -ahead ■ 

1 R4m the entire issued share Federated Timbers last year 'shares to Barlow Rand, has risen from RX.4m to RUJull despite a 
| capita! of Float Glass, a manufac- accounted for 13 per cect : itff : to 2B.Sin and the market. capital- higher rate of-taxauon.-.-:.-. • -- 
! turer of glass for tiie automotive Barlow Rand's Rl^bn turnover . islation. with the snares at The interim di video (i, -declared 


Investments 
boost QBE 
Insurance 


LNC Industries setback 


By Our Own Correspondent 

SYDNEY. Sent. IS. 


imeresl or 5 0 per cem or ,e K . S^TS-W. a " d 

Mr. Howard said Uial the 
■ _ _ balances of inner reserves, 

"IOC ^rllldCK other (ban provision accounts, 

ovi.M»*v« uiil in future form part of 

SYDNEY. Sept IS. shareholders’ runds. 

Information in. notes tn the 
market rnnditinns. particularly accounts will he Expanded and 
in the niuLur industry, and a ' will include balances anil trans- 
sharp deterioration of the Aus-j actions in various provision 


!and building ' industries. The and 2 par cent of its. R 77m' trad- 535 corns, is FI43m. As P r ^ | in July, was. '5 eealS:^dgiier at 
'effect of the transaction is that icg profit, so while the -plate viousiy arranged. _ Barlow,' ^Rand.jjo cents and the shares are on 


SYDNEY. ScpL IS. snarouoiuci 
1 lnformati 

T \r INDUSTRIES, the major market rnnditinns. particularly account's wi 

mnln - Vehirie inrt rvrt* in the miiU<r industry, and a. will include 

mntn. (iMelf and s. are , i ^ deterioration of the Aus- actions in 
r.isiri.’ii-o.. ju(Ti?r«fl u -t-t ( cr , r;j |i an dollar against the curren- j accounts, 
cent f:-i> in profit for the year clOB of l j ie group's major Euro-i However, 
in .i»ir.-* 30. frnsn ASS.37m i*» p^ an an d Japanese suppliers, j and douhtl 


; During the recent recession. South 
i Plate Glass profits have come trial gi 
under pressure and over the pas: merger 


oulh Africa's largest iudUs- Africa's largest investment insQ- operating profit -from" R5.7m to ,• 
rial group, has completed . the tution. which now holds 12 per R7.6m. the figurwjreflecttog its 
lerger of its packaging cent of Reedpak, attributable portion if.ifte suh- 


Howcvcr, provisions fnr bad 
and doubtful debts will not 


QBE INSURANCE Group under- ASI.dfi.u rU.S.Ro.4in >. Thi« was A major factor was also the, have lo be disclosed. Banks 
lined its recover.- from the diffi- iho i-v.v't poml in four years, decision to impart Volkswagen j make prevision^ nn the 


BY OUR FINANCIAL STAFF 


Jun« 30. Us prufil rose from 


AS3 4m 


AS4.7m i L : .S>'5.5.ii i. L - ( .nts m the previous year. 


compared wilii 4U.S during the year had reduced) current year. 


this advantage. Budget policies | Advances will be shown in 


lifting earnings a share from The directors attributed the should have little effect on ihej the balance sheet net of such 

34 £vnt= to 47 cents profit downturn to the depressed current year s figures. [ provisions. Hr. Huv.-ans said. 

o* cefH-- t.i -*/ I’.ni'i. . . Tftt . c £ wn ges tuenfd follow 


BY OUR OWN CORRESPONDENT 5\ DNEY, bl 

»\n CORPORATION. the of AS942.000 in 1976-77. 


The director? have declared a # closely the procedures now 

Bend Corporation back in profit “ '»■ - «* ^ 

by the '-i.-riu i-sue. Un pre-i^fiie tv qiid own CORRESPONDENT SYDNEY, Sept. IS. Thebankshadagrrediopru- 

• .u- ,tivirf„nfi i • pfTpeii-el- vide more inrormatuui after 

.'. 't.'/fm,,, 75 c L . n is to 11 BOND CORPORATION. the or AS942.000 in 1976-1 «. discussions with the Reserve 

m«. leased from ctni? to U anri naltirj , rP sources The company accumulated Bank. 

wn Ls. _ group, ins returned to the profit !n--ses of more than A535ni after! The banks derided i« adopt 

QBE ran up losses of A? 15m arier sF\eral years of losses. 1974. with the collapse of the, ihe new reporting procedures 

in the t ivii -.cars. 1974 and 1975. Thi- c-nT.pany. headed by the properly market. This caused' for the first half of t hr uinent 
out since then has recovered v.Hh rerlh businessman and 'inter- liquidity problems and forced the J fiscal year (July-Junei. 

earning lopping A$3m in each nation.* I 1 y-knnwn yachtsman. Mr. company t» hell many of us; Reuter. 

^ ' .\hn Rond reported earnings of assets, including a major stake) 

. , .\xi.45ni ib'.S.S1.7m) for the vear in the iron ore company. Robej 

The improvement m tne latest lo Junt L - om p a retl with a loss River. I paaSiSaf* Kqnjr 

year again came maiaiy from m 


closely ihe procedures now 
adopted by the C : K clearing 
bunks. 

The banks had agreed lo pro- 
vide more information after 
discussions with the Reserve 
Bunk. 

The banks derided !«» adopt 


under uressure aad over the pas: merger of its packaging cent of Reedpak, attributable portion suh- 

- sid lair’s results. - Group net ^ l- : 

( ‘ r “ - — ; profit rose from RLSw to JC^ar - 1 ‘ 

| « .« . i and earnings per ; sliare:*were up 

l Re-organisation at Sime Darby 

t property in addition- to the 

} BY OUR FINANCIAL STAFF motor business. The share.s. at 

;T11E SIME DARBY group is to ns’.ioss!. The sixth, based on TV’estorn. trading and tnanufac- ®®. cen ts yield 10 per een w .. 

•be reorganised into six operating the current Western laterna- tunng iHong Kuns) and trading . ... 

'divisions. The move is aimed calmna', division, will have and manufacturing (ASEAN and QfsISfl frrnvtrfli 
'at giving the group's i nurture similar --esponsibilities to' the Pacific basin). OUilll' glU>TlIl 

greaier flexibility. old. operating from London. - - . In addition. Mr. Scott will be -. 

The new divisions, to be set 31r. .Tames Scan, the group's responsible for developing the of I j nilPn . .. . 

• up on October 1, will oc based chief executive, will have overall group's links with the Shaw - -• 

on activity, rather than on Lhe res?onsib:i:ty for two divisions Waiiace group in India, in which TVyf ■ry T .rt|*J Uonlr 
' geijgranaicai basis adopted in — pizszuti'.'as and commodity Sime has a substantial share- iyil^ialU DauA -./• • 
11976. trading and processing. ■ i-.- holding. . ... 

! Under the new structure there Tunku Da'.o’ Ahmad -rBin Tunku Ahmad will take a By Our Own Correspondent 
iwil! be fire activity bLted divi- Tunku Y2haya. who joais ^e particular interest.” the company aviv , c : ' 

‘sions. fomied out of. two of the .group on October i .as. deputy says, in, ihe group's personnel t7Jvn7 _, n LJ/'i, ■ 
previous geographic divisions — chief executive, will be res^ousi- and in public relations and l r" , |y u . iu*lvAHl Baiik-rpne- 
! the Malavsiau and Eastern Inter- hie for sour div.-sions—tractors, adverlijing. • ®* , tl, c medium-sued Israeli 

i " nankt;— r»^rt*-»rf 5 fhu t ifc. ^ncnK 


Solid growth 
at United 
Mizrahi Bank 


Israeli government may sell Arkia 


BY L DANIEL 


TEL AVIV, Sept. IS. 


an increase in investment in- 
come. which ro>e from ASSJIm 
to A$ 10.2m. The group once 
more incurred a loss an under- 
writing — of .Vs4.17m. compared 


Kirin Brewery advance 


Public Bank 
moves ahead 

By Wong Sukmg 


banks — reports that., its .consoli- 
dated balance sheet total rose by 
3S per cent in the first half o! 
this year, from the -end-1977 
level, to reach *l£l6.7bn 
(U25.S95flm ). The rate oF growth 
was consiaerabiy above the rate’ 
of inflation. .' 


A HITHERTO unidentified T.lEAXW HI LE Israel’s largest I£13bn 1 3740m) over the first) Deposits increased from 
'Jewish investor from Britain is textile coaibir.^ niaking' high eight months of this year. [l£6.8bn to I£9.5bn over the' Same ' 
• reported to be interested, in fashrer wear. Polgat. reports a according to a study by theij^riod, as a result mainly of a 

f Tcr-.oTi frrr iKp f?rv;f half-'fif nw^.’i !'ph DrC.irl!<5ation Nntlon^l ! chnrn 


TOICYO, SepL IS. 


Kl-ALA LUMPUR. Scot. IS. 

u . lfh in i qtk T7 Km,.p _ , _ , , NET PROFITS of tile Public 

Vo-S , ,ni H ' “."'KIRIN BltF.WF.RY rai«rrt its Meanwhile. Mitsubishi Chemical Bank group ter the Hr«i half 
unrieiv.nlin e lo«es u.iil . Industries has announced a 4/.i of ibis >«*ar rose hy .is per 

totalled about AS43m. ^ vo -or.n rsU^m. in he first- W cent fall in after-tax profit cenl to 1.74iu ringgxls 

Net premium income ruse 11.5 J * 1 1 ) 9 / n _ ' . . f for the first half, tn July 31. lo (U.S.S7.»H.OOn», with Uu- 5 roup 

cer com. from A. ^ 1.6m in Jalf of Us financial jear. from YL37hn t97Am) , from Y2.62hn reporting “steady and all 

V>I0' ,-, ni while claims incurred ^ s - 5Sil n in the same period or j n the first six months of the round progress'' for the hank 

Iran! 5m to provimis year. previous year. The bank itself saw- net 

*. n r * ' Sales m ihe six months tn July Sales declined hy R.5 per cent profiLs rising hy 49 percent 


j This. follows the submission of The company has jus*, con- of the shares listed on the banks, Mizrahi increased-, itstl " 

n report prepared by former Air eluded an agreement with Van exchange I^40bn. • capital in the first half of the ^... . 

Force Commander Ben Tul- D>ke of London under wtuch' its A number of new companies year... by. Ii'lS6m through the ^ 

; knvskv (who today heads the xr.enswea rsubs: diary wUl make entered the market during the issue of convertible capital notes 


AS64.3m. 


Humes steps 
up dividend 


3 1 increased by 1S.7 per cent in in Y255.S3bn (Sl-3bn>, from ( 0 1.14m ringgits, white for 

V4-js.«lbn iS2.2bn), from Y279.45bn. I its subsidiaries there was a 

Y3«i.i6im. The company has passed its rowth of 7S per cent, with 

The interim dividend is un- interim dividend. Last year it profits reaching 6011.000 
chanced, at Y3.75 a share. paid an interim of Y2.5. Reuter ringgils. 


!has not yet been fonnsliy wi ! h Fierre ChrrJip. panics previously registered, on [ brought in l£165m, raising total 

j accepted bv the Government, but „ ' ' the exchange came to I£2.4bn at [capital-, funds' to I£SG0m. 

I would be in line with ils dr- . A today's quotations, with the) -Credit .extended increased by- 


'dared intention of reducing THE VALUE of shares traded s «n. baiurce of IE9hn accounted for -30 per :<jem against the back- 
| governmental involvement in the the Te! Aviv stock marfeet hy the general rise in share i ground r of the liquidity reguia- 
leconriniy. -n. to 2 set! by 4S.9 per cjst or prices. Itions.' 


SYDNEY, Sept IS. 

HUMES, the international manu- 
farturer and concrete products 
group, boosted ita earnings by 19 
per cent, from A$8.44m to 


SELECTED EURODOLLAR BOND PRICES 
MID-DAY INDICATIONS 


THIS AXXOCXCEKEXT APPEARS AS A fcffATTEB OP RECORD ONLY 


factors in the improvement *»nd 


current year. 


four scrip issue. E 
share were up from 
36.H cento. 



Bid 

oner 


Bid 

OITir 

STRAIGHTS 



\ail. iVaimnsir. !*nc 'B' 

1011 

ua: 

Ak.111 AUstratiT ••PC •*’-i ■ 

1Z 

98J 

Nt u-ionndlaii'l Opc in>TI 

99J 

100: 

AMCV 'ipr 1*4-7 

OS 

9S; 

\inlir Iiiv. Bank Sine 1SS’ 

974 

981 

Att-traha JSiK- i'U.’ 

m: 

9s: 

Xnri.-i.-9 Hum, Bk. S!nu 1HB2 

9S! 

95! 

AiL-rrafinn M <•< <. ":n> 

a? 

99,' 

\nriti[>- Sr’w I7i9 .. . . 

«J 

97 

p..ir. lavs Bank -.in. 

■H. 

91b! 

Vnrsk Hydro «c:in* 130" .. 

95 

95! 

un; 

l-.n-.pirr U/p- Iff.' . 

“3; 

99: 

r«tlo Omc isiim 

991 

■Tat.. N. P,i|Im-.i" - i« i'i — 

K'. 

94> 

runs Antoii'intvs 3 p>- imi 

99 

992 

t r.ilit \iiliuiial " D'- /a — 

171 

931 

Pmi-. OuehiH* "ip,- IH93 

971 

98 

I* murk 1‘*- 1 . . 

. 97! 

TOJ 

Pmv. Saskalchu-n. M[>: ^5 

93 

ia: 

Spr ISO! 


100; 

Krorf lni-niiilinb.il Upv- I9?7 

931 

951 

t.-, «.p- i»i; 

94 

m 

RHM Uni- I3!».’ . .. . 

95 

951 

KIR * pc ?**'•.• 

9s; 

97; 

Srl-clion Tnn.1 $."p.- I9SS 

92 

93 

i:mi !i;uc 


99;. 

Sli.,-1! IittE. Fin. Sine iwu ... 

95 i 

962 

Lri'.-fcnn S!in- I'lil .. 

17 

97J 

Skan.l. Emkll-la !'pl- IOT1 .. 

99 

99! 

-IH- KTi*' 

99 

99! 

SKF Spi 10^7 

91! 

92! 

GI L.il.t-*. P:u« r ■ .pr 1?-I 

93; 

99 

<»'H> n iK'Hnm' 1ip<- 1097 

9S1 

962 

K.mi-r-k-7 !> ; iw- ivr; 

in 

m: 

Untied Ris.'tini One I^SS 

98 

982 

If-ilrn Ip., 1*0 : . 

97i 

9S 

Vnlvo Spc IW7 March ... . 

932 

Ml 

in s; n .- no?: 

«5} 

99i 




KE Tniiadd 9'P' 1 • 

UIJ. 

1*N 

NOTES 



M4> imUan BIik-H- I 9nc IT»nj 

9a 

93! 

Ausiralla #ipi- in«4 

93 

935 

'T.l-M— F.-r*-lli-i*n ii-nc '.M 

*17! 

99i 

Rn|| I'anjH.i . ,|ic 1997 

95 

95! 

Mli-hi lm 9;uc IS'i- 

103 

10 a: 

Rr. Cnlnmbia Hyd. 7 .dc 55 

93; 

94; 

MMl.inrt Ini. 1 -'jii. i.n<- ‘1- 

m 

93J 

Can. Pa'.. $;p«.- I0S4 . . 

98 

932 

\pi:nnal Cosil I --1. -m. IPi7 

9a 

Ml 

Dow* Cheiniuil spc 199« .. 

951 

96! 

".i'i wv«fniin«.-r °ni- li/ss 

UD 

100J 

EGS 7! DC 1PSJ 

952 

96 


Etc f.nr iaw .. . 

rnw» i.inr/vii r«^i 

n.irat^rfc. u 7iO‘ IV.' 



Ni-.v H runs w irk Pni U*- 


Nor^k Hydro 7;rx 1D?- 
Nnrwav 7!v»- IHS2 
■ inn™ Drdn spr j"-: 
SUH.-.T !».PC 19W 
S of Scut EIhit. s .r- ■" 


Mjtr 5. 


T-lnn-s 9! pc IW4 
Ti-nnocsi 7,'pc l!i»7 'i .v. 


3rd July, 107S 


H.t^i Ezr.iz w.isa been seid, Viu Av:A,.%-£jRri;! d ppsiiaj a .ralier of rzeerd an!/. 




European Investment Bank 


VoJkswaiK-n 72m- 1P>7 


Ml 

STERLING BONDS 

Allied Breweries IP.’p/ 

# w 

902 

Citicorp Itlpc IDO.i 

.. .. 

921 

Cmiriaiild.'i 'J.'/n. lOSl 


<91 

■ ECS IKpc 10*9 


93 

EIR s:pv- low 


97J 

eie 3;nc ins .. 

„ 

■»: 

KHmiilx- for Imi. u:»r 

■‘^7 

912 

Financ- lor Inrt TOik 


Ml 

Fisnns 112 pc 1357 

... 

971 

G-sle liter line 395s 



931 

IN A 19m- PS9 . 


911 

Rnunircr 111 Inc in.'-.* 


92? 

Sears Hip- I0SS 

... 

92! 

Tuial o/i n;r>.- 19M 

... 

9«J 

DM B0N05 

\?ian D- r. B.inV: .'i?pr 

; r i>? 

9S1 

RKDE 6:111: msfi . 


9T1 

Canada 2 :p<t llflTi 


982 

D-n Norsk- 1 Ind. Bk. 

•m 

992 

D-HLV.-IK- Bank I**-. 

i .. 

921 

KW 5! pc TOM 


931 

EIR .52,10 iron 


932 

Elf A 'pi 11. tine S'.p* I - *'- 


95 

Fur.ll-m 57|s; T9TT . . 


972 

Finland r«.pi- inni 

.. .. 

971 

Knrs marks 3:m IW" 


97 


m qoo.ooo 


.Mi-'-V - 

• • ■ v' • t 


EuRO STERLING 2mO AN 


\ 7-V? 


•* i .J > ; 1 


PROVIDED HY 


CITIBANK, K.A. 

BANKERS TRUST COMPANY 

TEE FIRST NATIONAL BANK OF CHICAGO 
"WELLS FARGO BANK, N.A. 


CITICORP INTERNATIONAL BANK LIMITED 


US $ 100,000,000 


9 ire °/o 1978-1993 Bonds 


Mi’lh-o r.nc 1J15 . 

liartvm sine M 
Nom-aj- 4 Ip-: 19S.''. .. 
Niirwar 4Ipr- lair. 

PK i.jii- 

Pnr.- •Jurhei- lip*.- Sin, 1 
R.finapiilIOil . r i',pr I3>i 
<?r>.nn npi- inSR 
Tronrifu-iin s.’ni. is® 
TVn tvu ,-r I'n r.n> l-i 
VcM’.'zai'la hpr IHSS 
V»orU Bunk 5 pi- l?**n 


JULY 31, 1978. 


This a nno u n cement appc-ai s as a matter of record only 


New Issue 


July 1978 


SOC1ETE GENERALS 

ALGEMENE BANK NEDERLAND N.V. 

BANCA COMMERCIALE DA LIANA 

BANK OF AMERICA INTERNATIONAL UMITED 

BANQUE INTERNATIONALE A LUXEMBOURG SA 
CAISSE DES DEPOTS ET CONSIGNATIONS 
ClBC LIMITED 

CREDIT LYONNAIS 


FIRST BOSTON (EUROPE) 

LIMITED 


FLOATING RATE NOTES 

E'.ink or Toll » *i 19^ Sir*".- .. 

BI-TE 19W !»7ihDc 

BNP 1033 UStopc . . .. 

BOE Worms I9S3 Dp.? 

I CCF Sosa sjtic 

I Chaw Manhtln. H3 9V,pc 
I Credit ansi oil 1984 Sjpc ..... 

DU Bank lira Dpc 

j CZB Jflli 9Spc 

InU. IVesimmslur I0»4 fpc 

! Llo:-ds 10KJ SUifipc 

I LTCE 1DS3 Oli^nc 
Dlidl.ind Ini. KS ’i57 „r 
Mhlland Ini KS ‘I'l 'ir^po 
I Nat. Wr-'innnsfr -Dij rc-i^pc 
oi;n n- pc . .. 

SMCF HLa SSjhpr . 

SHI. an-l ■ Uirri M ‘i p,- 



si 



'•74 

& 









viT:- 



-T-\ 





HAMBROS BANK LIMITED 

SALOMON BROTHERS INTERNATIONAL UMITED 
SKANDINAV15KA ENSKILDA BANKEN 


Snurti:: Whli- V.vij Scairiuoff 


AMSTERDAH-ROTTERDmI.! Eil !K !LV. BACHL HAL;7i* STVAKT £:vE'.D 3 INO'BPOBATtD EA1 ICA CEL COTTiJIDO 
E*r;Ca DELLA. S /ISEfA |T,--Lia:i # . c • UsaCJUli DtL LA'.iJnO BAUHO D» SOI.TA 

EAHC'Jt iRABE ET II JTERr.’iTiOWALF D‘!I r.'ttTlSIlE.VF: ,r .& i I r J BAN CUE FRANCAISC DU COMMERCE E/.TEfiiE VT 

EANO'Jl CENERAI.E DU LiLU.T.OUr.O 5.R. EAJliJ'JE LE L'lllDOChllE FT US SUEZ , BANQUE I4ATIOI4ALL CiE PARIS 
EAN'JUE FOPtJLAIRE SUISSE SA LUYEMBCURG BANK OUTZV.TLLER. KlJfIZ. BUNGENER iaVtfl?EAS) LIMITLO 

BANK MEES 4 HOPE MV THE LAHJl Or TOiTO (HCUAND) II V. BARCLAYS BAIAl LNIERIJATIOIIAL UMiTEO 

E A RING BROTHERS 4 CD, LIMiTED BA-.TRKCHE LANDcSQANK CMiOZENTHALE BERGEN BANK 

BERLINER HANDELS- UNO FRA/ P'.EURTER EA14K CEKTBALH hABOBANK CREDirANSTALT-BA/IWEPElM . 

CREDIT COMMERCIAL D£ FRANCE CREDIT IIHXJoTElEL ET COMMERCIAL CflEDITO ITAUAI/O 

DAftVA EUROPE ILV. DEN OANSffi EANtt AF IB7I AKTIESELSKAB DEN NORSKS CREDI IBANK 

DO BANK DRESDNEH BANK AKnENCCSOLSaiAfT 

DEUTSCHE GENOSSSJSCHAFrSBANi: 

DRE>£L BURNHAM LAMBERT INCORFOPATED DEUTSCHi? CIROZEITTF1ALE EUROMOBIL1ARE S-pJi. 


— DEUTSCHE KQMMUNALBANK— 

FIRST CHICAGO LIMITED HL'DSQI I SECURITIES INC. LF. HITTOM INTER WAT ION AL IJ.V. 

101 INTERNATIONAL LIMITED ISTmjTO BANCARIO BAH FAGLO Dl TORINO KUHN WEB LEHMAN BROTHERS IHTERIIATIOUAL 
|-.UAAir FORE'GN TRADING CCIftTlACTIflG A IIJVE& 1 MENT C.C. XT LiiAFO FRERE 5 A Co. 

MANUFACTURERS HANOV5B LIMITED MERRILL LiI.CH INTERIM I igiJAl, 5 CO. SAMUEL MUNTACU 4 CO. LIMITED 
7HL rilK.KO 3ECUHH1ES CO- lETJROKl LTD. T>IF I lirr-314 twlIICYO KAKU/AARU SEGURIDES CO, LTD. 

NOMURA EUROPE N.V. PIERjCN. HEIDRIIK L PiLAIOM N.V. SAL QPFENHEIM JR. S CiC 

SO'ClETE CETfiBALE PE BAIJ^LC SOCIETE GEfCTALE fFRA/4 '.Ej BANK UMITED 

SOCJETE GtNEPALE ALS ACIEHHE UE E«WUE SOCILTE CEHtRALE ALSAClENNE D£ K'-NQUE i'JJ/EMBO'IRCJ 


SOCIETE PRIVfc£ DE CE3TIQN FINATKICRS ET FCJIClEFE SOFIA'S £ pA. LUMnOMO FIHAHCC l.'GERNATIOMAL 

TRADE DtVSLOPJ-SeWT BAN A. LCHCO.'J 2ILAS1CH J. VONTOEEL A CO. YAMA1CH1 INTER/ 1AT10HAL LtUfiurtl UMIED 


. VONTOEEL A CO. YAJAA1CH1 INTERHAiTOllAL LtUROPE] LIMIIED 


CONVERTIBLES 

Miiorn.jn K'Tii-"-:'. !:in 47 
Rnhriii-L- A Tp. rz 1 

n*-.itr»T Vr«*>is ^*p, ;<■«.; __ - 
liwriii- Fnoris I'p. |<r.ij 

R*i.'Oiain «:p-- I'iSJ 

Tfairdcn -Tn-: loir; 

F.aots iiTpc 199 :i 

nrti.idw.iy ll.i l>- I nc |3.'T 
■Tamalinn 4pi; inii 

Chcvrnn .ipc 19S8 

Dari Cut- 1&S7 , 

Eastman Kodak 4',n? ; r ii»; 
EmiHimic l.abs. Tip.; ns? 

Flrusronc Sue 10 03 

Ford 3 pc 19S1 

General Electric 4Tp. ; 1557 .. 

Gillette 4Jpc 1M7 

Golf and Western 5 pc n/ss 

Harris 5pc 1992 

Honeywell Spc 19&6 . 

TCI 6Jpc 1992 

TNA Rpc 1007 

rncl icape o/nc ISO-j . 

ITT 4;t>c IW 

■Tusco Hpc IW.‘ 

Komatsu fipr I93U . 

.T Ray Mi-Dt’mioN 4 : ,fw? 
MaTsushlM fi’.nr l«Ul . . .. 
Mu. -'ll! Tlur :uno 
.1. P. Moncan rnc l!i->7 ... 

Nabisco TJiu TUS^ . .■ 

i.hv-i ns iiintuis 4;pc .. 

■I. C. Pvlincs - 4'nc IfiF" . . 
Rrtlon 4! fp' IIS" . , v ' 
Ri-ynuWe Mi-ul.s npi; iwi-.. 
RjndWk sipi- 1?.^- . 

! Spcrrv Rarwl- Tip r. n.17 ...• 

j Sllllihll JIlK JIT ... -.7- 
Ti'S.'Mi 4 Ipc I0K* , 
j Suurce; Kidder. Peabody. 


Banque de 1’Iradochiiie et de Suez 


US $40,000,000 

Floating Eate Notes Due 1985 


These notes have been placedi amoiig others. by: 

Banaue de l’lndoclime de Suez 


Bankers Trust International Blyth Eastman BiUon 

L imi ted & Co.Inteniatibiial 

European Banking. Company Limited . ?■ . - ... • 

Limited First CMcago limited 


Credit Industrielet 
Commercial- 

Eiredietbank S. A. ’ 

- Luxembourgeoise 


Morgan Stanley Interna^onal Lnnited 








r-+-r: v. • r 



Financial Times Tdesda^' September '19 31978 


Currency, Money and Gold Markets 


^ Dollar still 

remains weak 


V: *ge$ 


m 


■ lauWiqnGiinvi 



h STERLING H 


The doOar continued to weaken currency stood at PFr 4J1875, down 
- ‘against most major currencies- in from its earlier level ot FFr4.4075 
'^.yesterday's foreign exchange but firmer on Friday's close oF 
market and closed on of around FFr4.3525. There was a general 
' its worst level. The dollar has feeling in- the .market that the 
suffered a good deal recently from earlier rally had been somewhat 
nervousness surrounding the overdone and that proflt-takin> 
Middle East peace talks and had reversed the firmer trend, 
-yesterday's . news of a possibility The Swiss franc reached an all- 
only of a settlement tended to be time high of PFr 2.7625 compared 
. . treated as worse than no news with FFr 2.7525 in the morning 
at all. Consequently the U S. and ti»e ume level . on Friday 
currency closed at SwFr 1.5787$ afternoon. 

compared with SwFr 1.5925 on FRANKFURT— 1 The- dollar was 

Friday against the Swiss Franc fi- e d at DM 1.9831 compared with 
•:.and DM 1,9570 against DM 1.9762} j)M 1.9790. The early morning 
in terms of the West German level of DM- 1. 9933 was soda eroded 
The Japanese yen wa& on a little profit taking towards 
noon. In later trading growing 
uncertainty around the- Middle 
East talks put further pressure 
on the dollar as Jt eased to 
DM 1.9740 with U.S. operators 
entering the market ■ as sellers- 
Against 22 other currencies the 
Bundesbank trade weighted mark 
revaluation index Improved to 
147.6 from 147.5. a rise of -2.2 per 
cent from the beginning of the 
year. .-• • 

TOKYO— The US. dollar was 
stronger against the yen on news 
of progress in the Middle. East 
talks at Caron David, and -closed 
at Y 192.35 compared with Y189.95 
previously. An open ing" level of 
YJ 91.30 was prompted by heavy 
demand on import settlements, 
•lightly easier after a reduced The SI .32hn Japanese i surplus .was 

trade surplus for August *nd announced at the end of dealings 

finished at Y190.63 compared with and w« too late to affect dealings. 

Tr v .Ylfi9.73 previously. At one point the U.S. currency 

Using Morgan Guaranty figures touched Y192.70 before .easing 

: r ; • • , at noon in New York, the dollar's slightly to its closing" leveL Turn- 

• <_ DJI'jji trade-weighted average deprecia- over was moderately heavy. at 

. “ tion narrowed to S.9 per cent from 8537m for spot dealings and 

\ ; ; n 9.1 per cent. However, this was $575m for combined forward and 

•• .iijS ft, Influenced by the poor perfor- swap trading. 

finance of the Canadian -dollar ZURICH— After an initially 

•’ which, dosed at 85.681 U.S. cents firmer trend, the dollar fellTiack 

-from' 85.95} U.S, cents, having mainly because the encouraging 
touched a record low of 85.64. news frfont Camp David did not 
during the day. warrant any basic change in the 

Sterling opened, at $1.9470- situation bearing in mind the un- 
1.9480 which ' represented its certainty surrounding, the US. 
" lowest level of the day. By noon economy. At mid-morning the 
it Txad improved to $1,952“. and dollar was quoted at SwFr" 1.5923. 
continued to rise on the dollars M1UN — The dollar was "firmer 

weakness to finish at its best level against the lira on favourable 
of $1.9590-1.9600, a loss of just possibilities surrounding the 

- 30 points from Friday’s close. On Middle East peace talks. It was 
Bank" of England figures, its trade- fixed at LS33.20 compared with 
weighted index remained at 62.8, Friday's fixing of L83L7Q but 

-- having stood at 62.7 at noon and below its best level of the morn- 
62.8 in early dealings. ing of LR35.0. 

PARIS — After starting the day AMSTERDAM— The dollar was 

- firmer the dollar began a steady fixed at FI 2.1570 compared with 
decline from its early morning Friday’s fixing of FI 2.1465. In later 
level in fairly thin trading, trading the U.S. currency was 

. Towards the dose, the ■ U.S. quoted at FI 2.1500- . - ' 


Dor's 


September 18 spread 

aeae 


* A 5 OSD 4 T til A II J J V! 


’nti 


THE POUND SPOT 


Sept. 13 


]Baok _ 
nn«v| Iia.v'a 
% I Spread 


r.s. s 

(-'■Haitian 8] 

fiulMw 
heljrteu P. 
L%ui>b K. 
O-ilurk •' 

ISjlt. Kw-. 
Span. I'm. i 
Lam j 

Nrneii. K. 
rivih-li Fr. 
StanJuU Krj 


7i, 1. 9470-1.3600 
8 >2 2-2675-2.287S 
4*a; 4. 


Ctoae 


One month 1 % pa. 

Three months) % p-n. 

. V 

1 


1.B695-1.MOO 
12.2860- J 87 B 


Saje.fil.2Q m.fi.fil.Ofi 
. 1Q.62i-10.87ii 10.625- lO.BSj 

8 1 SJ6-&30 i5.BW-5.B7tf . 
18 I 88.75-63.75 is.2OH3.70 
B .144.80-145.80 145^0-145.80 
10lg' "1,625-1.885 1.6»»-1,B31« 


Y.ii 


A nutria Sf 111 
ainu Fr. 


7 1 18.22-10-28 lfi.WM0.24i 
Sij| fi.654-6.58i I B.57-8.S8 
fils) 8.65-8.68 
Si; I S70-S78 
4>2 27.90-28.20 
1 6.0B«-B.12t 


fi.E64-a.S76 
: zjs-sji 
127.38-27.38 
I 3.08-8.10 


FORWARD AGAINST £ 


0JM.40c.pu. 2.76 
D.60-D.60c.pul 2.09 
2?g-i?a r.pw 
25-15 c.pm 


1.46-1. 60 i-.poi 
1.fi0-1.50r.|im| 
6.77 fcVfiV. P«i ! 
iJS F75-66 c. pm 


2.76 

2.71 

6.94 

4.69 


1-i<aeUls j — 2.ZB Bi-4; nrctlii • — 1.22 
8 >3-2 Ig al jiai- 8.14 |7:>.-S&a pi piitl 7.36 
50- 150 c ills* I — li-42'200-460 r. Oib i — 14,53 
50-150 r.41» '—8.26 >150-258 r. tiu —5.51 


l«r-2 liK> <U» — 0.75 Mliwill* . — 1.47 
Irk ra * pm ■ 1.78 ‘4J-2j urt jun 1.47 


Si-Si I'.pm 
4 2 ■ i<n« 
8.25-8.00 m«t 
17-7 cm pui 

8Je-2s« r-l*/n 


4.20 «(,-?■, e.jjiui I 3.62 

4.15 )9- 7 oik | mi | S.E9 
10.02 l8.B5-B.55 vpnv 3.80 

6.16 45-30 KTM I>ni i 6.01 

11.15 |8-8 c. |.iu 18.99 


Belgian rale is fi»r convertible francs. | Six-mnmh fnrward dollar 2.60-:. 30c phi, 
Financial franc e.sna.eo. li oHmtb 4.38-4. 78c pm. 


THE DOLLAR-SPOT 


Guilder 
Snip i ora Fr 
Danish Kr 
D-Mark 
Fort. ££a 
Lira 

Nnrxn. Kr 
1“ rvnefa Fr 
Swedish Kr 
Yen 

Austria Sch 
Swiss Kr 

• U.S. 


85.1&85J8 K.H8UI 

2.15B&2JM5 2J5D&-2-15LS 

M.22SLC 31J2-3L24 

5.341S-5L476S SJOSWL4435 

1 .4810-1.9850 1.4B20-1-9S2Q 

— 45.SM5.M 

837 80 83S 48 8XL8P-83US 

S.ZSO-SJ57B 52nOSJS4a 

4JM» 4.4 025 43TO-OU8 

4.C80- 1J W0 4J9UML3WB 

140JB-19L8S 190JMAU5 

lU215-iUKn 

1 5887-1^605 2.5887-1 JW7 

cents per Canadian 3. 


FORWARD AGAINST $ 


One month 


Three months 


Par— 0.02c pm 
BJB54M0C pm 
71-6! C PW 


■24 

4.74 

2.71 


0J0JJI dU 
U9-1J4 c pm 
151-1 4c pm 


P-a. 

— 8.12 


MO 

1JI 


l.9H.9ypf pm 
2MO-2. TOUrcd is 
8JO4L50C pm 
L20-LUV P«n 
L2B-L15C Pfll 


5.68 


1.17 

I.3B 

8.74 


2.78-2-73pf pm 
7n»-7.75il«jdl» 
0.454 J5c pm 
3J8-52»» pm 
338-3 J4c pbi 


5.45 

-3M 

ua 

53S 

831 


CURRENCY RATES 


September 18 


Special 

OrawiW 

Riabis 


Epropeaa 
Unit of 
Account 


I'.S. dollar 

i .aiiadl.-iD dollar .. , 
Austrian sthllUwt . 

Belgian franc ... 

Danish krone ...... 

Dr ii iv he Mark 

OulldiT 

French franc 

Ura 

Yen 

Norwccian krone . 

Pi»o!a 

Swedish krona . .... 

Swiss franc 

Sterling 


6.649192 

137287 


»?4P 

393831 

6.93S87 

231901 

2.73222 

534080 

1058.71 


0-561617 

139745 

130333 

183445 

483S4T 

7.85536 

236107 

2.78652 

534781 

1019.09 


638002 4.79625 
943524 95.7522 
5.52199 5.72203 
2.02195 235887 


CURRENCY MOVEMENTS 


September 18 

Bank of Morgan 
Enel and Cuarsuity 
liter changes *■ 

Sterling 

.. 62.78 

-40.7 

U.S. dollar 

- 84.41 

- 1.9 

Canadian dollar .. 

.. 88.73 

-16.7 

Austrian schilling 

.. 140.77 

+17.1 

Belgian Trane 

.. ULW 

+123 

Danish krone 

_. U43* 

+ 4.4 

Deutsche Mark ... 

.. 1A2.M 

+36.7 

Swiss Franc 

.. 2OTJ2 

+443 

Rulldi-r 

_ 129 JO 

+173 

French franc 

.. 48.74 

- SJ. 

Lira 

.. 55.46 

-473 

Yet) - 

.. if* •» 

+513 


Based on trade weigh red chances from 
Washington agreement December. 1971 
(Bant: of England Indcs=lMi. 


OTHER MARKETS 


Sepr. 18 


& 


g 

X>4e Kale* 


Argentina I 1,657-1.661 1845.62-84 7. 66 

\n r rn,bK l)‘.ilnr .... | 1.69 60-1."? 0300-0 655.0.8690 
Finland Markka.... 7.9950-8.0150 i4.0925-4.0945 

Mtiwil 37.08-37.58 ; 18.92-19.18 

Urn-.* Ijrarliriu* ... ' 71.7.48-73.503 36.61 37.51 
Hrmjr Kim* lhilbr. ) B.lSi-9.27li 

Iran trial I 134-140 

Kiitti.1T Dinar (Kih! 0.630-0.540 

Lu\t-uil«*jrj; Fmnei 60.95-61.05 

Malaria lb.1 hr....! 4.494.501; 

New Zealand Dollar : 1.8475.1^5650^4260^474 
Pa mil An. 1 1 in lfi\saj i 6:46-6.56 > 3.30-5.55 

Siii^H|M,re Ik. I Ur— -4.391* -4.402, 1 2^490 2-2510 
=Uiiili Atn.iin JUHd. 1. 6805- 1.70650,8576-0.8708 


4.72-4.73 
[ 68.58-71.45 


0.2705 0.2755 
31.12-31.15 
2^916-2.2990 


Alikina 

■Belpimn 

flKiunari 

Ihsatr 

kjermanv.. 

Ittal.t ... 

|Japan.. 
'Ndlifrlnml* ._ 

| Norway 

ij'nriiigal ....... 

— 

ISaitrerUml .... 
T'niteil Slate*. 

I'upuBlav 1» ..... 


H 


— ■! 


— 1 


27.50-28.50 
62.60-62.60 
10.60 10.75 
8.480.58 
3.84-3.94 
1610-1660 
370-380 
.. 4.15.4.25 

J 10.23-10.33 
86-96 
143 1471* 
3.10-3.20 
1.9575 1.660 
36.00-41.00 


Kale idven for Arsentina is tree rata. 


EXCHANGE CROSS RATES 


Sepo. 18 < 

Found Sterling 

C.S. Dollar ; 

! DeuiacheMark 

Japanese Yen 

j French Franc j Sanaa Frauc 

1 Dutch Guilder i 

. 

1 Italian Lira 

| Canada Dollar 

[ Belgian Franc 

Pound Sleriing 

• 1. ' 

1.560 

3.875 

.. 374.0 I 

8.675 

3.095 

i 4.210 

1631. 

2.287 

) 61.00 

L .S. Dollar 

. o.5io . 

....l- • i 

1.976 

_ 1SQL9 . 

. 4.3 i 6 

| 1^79 - h 

I- 2.149 

832.4 

1.167 

31.13 

Peat who Mark 

0.268 

- 0.506 

1- 

| ~ 96.58'- " 

2.214 

} 0.799 

1.087 

421.2 

i 0.590 

i 15.75 

Japanese Yen 1.000 " ; 

2.67* 1 

5.239 

' 10.35 

l 1000. ■ 

22.B3 

' 8,275 

1L26 

4361. 

6.114 

163.1 

French Frano 10 

1.168 I 

2.28a 

■4.616 

436.2 • 

10. 

3.609 ; 

4.910 

1902. 

2.666 

71.14 

Swiwt Franc 

0.323. j 

| 0.b53 j 

1.251 

•; 120.8 

2.771 

1 • i 

1.360 ! 

5270 

0.739 

19.71 

Dutch' Guilder 

0.238 . 

0.*toS 1 

0.920 

86.84. 

2.037 

h " 0.735 1 

1. ' 

387.4 j 

.0.543 

14.49 

Italian Lira 1.000 | 

.. 0.613, -..J 

1 - 2 ?i ! 

2.3.74 

..229.y. - 

!. .>5^658 . ] 

1.898 . 

- 2.581 - 

1000. | 

1.408 

37.40 

Canadian Dnllar j 

0.«7 | 

• u.e57 ' i 

1.694 

163.6 ; i 

"3.750 ' • 

' 1-334 j 

1.841 

713.3 

1. " : 

26. c8 

Belciaa Franc 100 i 

1.659 ! 

3.212 .. 

6.348 

613.1.” 

14.06 "< 

5.074 1 

8.902 . 

2874. ' 

3.74B 

100. 


EURO-CURRENCY INTEREST RATES 


The following nominal nrc* were quoted for London dollar certificates of deposit: One month 8.70-8.80 per cem; three months 8.93-9.95 per cent; six months 9.1S-U0 
per cem; one year 9.15-9.23 per cenr. I 

Lung-term EomdoQar deposits: two yean; »;-9j per mil;, three years *i-BJ per cent; four yean 91-9! per cent: five years 91-94 per cent nominal clnsin* rale. 
Short-term rales arc call for sierhnc. U.S. dollars and Canadian dollars: twu days" notice for guilders and Swiss franca. -Asian raies are- closing rates in Si or* pore. 


INTERNATIONAL MONEY MARKET 


U.S. rates may rise further 





U.S. prime lending rates may 
reach double figures, after the 
recent rise to fij per cent, accord- 
ing to Mr. Roger E. Anderson, 
chairman of Continental Illinois 
Corp. At the. opening of Con- 
tinental's European headquarters 
in London he said that, although 
U.S. rates have not reached their, 
peak, there could be a temporary 
levelling off before a move into 
double digits late next year. The 
recent rise in U.S. interest rates 
is a response from the Federal 
"Reserve Board to limit growth, 
reducing inflationary expectations 
and promoting a strong dollar on 
the foreign exchange market Mr. 
Anderson also cited increased 
business loan demand in. recent 
months as 'another reason for the 
rise. 


NEW YORK— -Treasury bill rates 
were mixed, with 13-week bills un- 
changed at 7.86 per cent: 26-week 
bills at 7.98 per cent compared 
with 7-96 per cent previously; and 
orie-year bills at 8 per cent com- 
pared with 8.01 per cent. 

:- Federal funds were steady at 
Si 5 ".; per cent 

FRANKFURT— Call money was 
3.45-3.55 per cent compared with 
3.50-335 per cent previously: one- 
month at 335-3.65 per cent com- 
pared with 3.6&3.65 per cent; 
three-month at 3.70-3.75 per cent 
against 3.65-3J75 per cent: six- 
month at 3.95-4.10 per cent against 
4-4.10 per cent.; and 12-month at 
4.10-L35 per cent compared with 
420^.25 per cent 

AMSTERDAM— Call money waa 


quoted at 5-5} per cent compared 
With 5-3J per cent previously, with 
one-month at 54-52 per cent, com- 
pared with 5i-5J per cent, three- 
month at -62-62 per cent against 
&i-6i per cent, and six-month 
Unchanged at 6|-6j per cent 
PARIS— Day-to-day money eased 
to '74 per cent from 7J per cent, 
with one-month unchanged at 
per cent; three-month un- 
changed at 7|'7l per cent; six 
month unchanged at 71-71 per 

cent; and 12-month unchanged at 

SjV^iV per cent 
BRUSSELS — Deposit rates for 
the Belgian franc (commercial) 
were unchanged at &J-6S per cent 
for one-month: 7J-7i per cent for 
three-month: 72-71 per cent for 
slXrTnonth; and 7J-7; per cent for 
12-month. 


UK MONEY MARKET 


Extremely large help 




n 




Villi' 

* 


Bank of England Minimum . 

Lending Rate 1ft per cent . 
(since June -8, 1978) 
Day-to-day credit -was in short 
supply in the London money mar- 
ket yesterday and the authorities 
gave an extremely large amount 
of assistance by. buying a. very 
large number of Treasury bills 
from the discount houses and 
a small amount of local authority 
bills. 


Banks brought . forward run? 
down balances, and the final call, 
on the long tap was another 
adverse factor. These outweighed 
an excess of Government disburse- 
ments over revenue payments, to 
the Exchequer, net maturing 
Treasury bills, and a fall tn the 
. note circulation. 

Discount houses paid 9J-9J per 
cent for secured call Joans in 
the early part, and closing 


balances were taken within a very 
• Wide range of 3-8 per cent, 
r Tut the interbank market over- 
flight loans opened at 92-92 per 
cent, and rose to 9f6i per cent 
oh expectations of a general 
shortage or funds, before easing 
Ip. 9-91 per cent around lunch 
time: Rates eased to 8-8J per 

cent in the early afternoon, and 
fell to 2-4 per cent at the close. 

- Rates in tbe table below are 
Nominal in some cases. 


LONDON MONEY RATES 


Sept. 18 
197b 

ateriliiK 
CartMcntl 
of depurtl 

.Inberaank 

laval 

AutUnrltj- 

•ieiaMlU 

lataal Autli. 
iKgoriaOle 
hour!* • 

Finance 

House 

Deports 

Ccmpany 

yepnait* 

DlS.'ounl 

market 

igpnolt 

Treasury 

WIU4. 

fcj upline 
Bank 
BFMip 

FineTraile 

Biting 

OrerntgM 

2 days oodee.. 
7 days Pf 

7 days notice.. 
One mouth ... 
Two nionttiK.. 
Three raonihu. 
at x montha._ 
Nine montfaa u 
One .vmr 

Two vent*—... 

S.VSrfe 
Vii 9* 

9ij 9 Ja 

Z-9ij 

9-9Jb 

9 A-ata 
tiV ' . 
9vrgV 
9ii 

9fe 9| b ‘ 
9«"RS - 

V0H 

9-9i< 
941( ' 

91g-9li 
- 91 2 9fis 

, 

107«-lDft" 

918-8^- 
B-Sig 
B»4 hlj 
■t 13-978 
. 97 fi 10 Ig 

'SSSS»S'" 

s»a ; 

BSg-93, 

9i a 

Sj%"‘ 

3/938 

8*8-9 

05.-87, 

9 

• 

8:i-87 5 

U.8-S* 

9J.-9* 
91. -9 i 

», if* 

- 

- 

-. - 

9«! 

9lg 

9*S 

9t# 


ihpf Mwm seaing raies iot poarmoam ueasnry was a“» per »•■■■ 

81316-83732 Per rent, ApPTWUPJMie wHJms rale for ont-momli bank bdb 9» 1** cent. • mo-waaih Q t per wjl: and Uiree-womb 
»*n oer cart- Ooe-moath trade tails- H per wu; two-monih 91 per ewii: and also' ifaree- manta » per. cwt. 


Local nuUwrliy .aiKl. finance Tw®B5c swap days* nopco. Mhers sewn days -Lni«er-ienn l««i aultorny iniaiKaCT 

rate nominally three years U«l* per tent; (Oar years Hi-12 per cent: rears rat 

are bnyme rates for prime paper. Buying- raies lor lonr-mooili bank WH* S5» pot cem. lour-momh . trade mils 9. per cem. 

Fbwwp House Ban "Rates tpaMiShed hy 'tbe Ffsanee Honw-s Asroaa tloal J B ce nt tr p ni Se piemtXJ L 19^. 
Bask-tMMdt Rato; (for small rosns ai si?ven days’ notlrei 6.7 per . cent. . Oeanns Ban Ban Rates Ior_ i.eoomc la per ctau. 
Tmtwjr Bins: Averace tender rates' of discount SACTl. 


GOLD 


Easier 

trend 


Gold lost $| an ounce in the 
London bullion market yesterday 
to close at S2l0j-21.it. In early 
morning trading the metal firmed 
to a fixing of 32 09JSQ after opening 
at $208-$20S}. The afternoon fixing 
showed an improvement to $210.00 
with trading a little nervous. 


6*>|it IB I Sept. 16 


CShM Riillfun (a fine j 

UUUtTI 

Close — '^21(}£-S11A 1211*-Jtti 

Upeoins S2H8-2B8J 

Jlorning ftsnifi- SZ8S-3D 

1X197. 116) 

Aiternonn fixing.... *210.00 


r**ifc'.an 
S! 11.65 
(£107-458/ 

S212.IB 


Cmm. 


uCW7.iia) ; (£109.168) 


(£31-32) 

,361-83 

i(£31-S2j 


•Imitt-i-i kally 

Krupmiml S218<-2204 S213S420J 

■ (£11l3-1124i.(£UU-lt2*) 
Xew SmereiRn».....isB0i;^2j “ 

1 1 £3 1-62) 

OM Sotereigna S61-6S 

;t£3U^2i) 

Ofild C«lne 

inieraatlnaally ’ 

Knigemod- 'S217-21S 

!(£11BJ-I113;i£1l6s-Ili|i 

New SorereOcna — [SE7*-53i i8S7;89j 

- .U3SI-38*) 

Old SnrerdKBB SSI -63 

'<£31 |-52|l 

S20 Bugles..-.: 'SSI 1-515* 

S10 Eagle* >163-108 

S& Ksgle. 6113-116 


S2174-219* 


(£2&r30i) 

Isei-e - 


1-95 
<£31-321 
!S510j-3133 
<61653-1665 
-81135.1164 




rw 


39 


World Value of the Pound 


The ' tabJe below gives the 
latest available rates of exchange 
for the^ pound asalnst various 
currencies on September 18, 1978. 
In some case s rates are nominal. 
Market rates are the average of 
buying and selling rates except 
where they are shown to be 
otherwise. In some cases market 
rares 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 tbe 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 t&ao 
Scheduled Territories; (k) 
Scheduled Territory; (o) official 
rate; <F) free rate; (T) tourist 
rate: fn.c.) non-commercial rate; 
(n.a.) not available: (A) approxi- 
mate rate no direct quotation 
available; fsg) selling rate; (bg) 
buying rate; (nom.) nominal; 
(exC) exchange certificate rate: 


(P) based on U.S. dollar parities 
and going sterling dollar rate; 
(Bk) bankers’ rate: (Bas) basic 
rale; (cm) commercial rate; 

(cn) convertible rate; (fn) 
financial rate. 

Sharp fluctuations have been 
seen lately in the foreign 
exchange market. Rates in the 
table below are not fn all cases 
closing rates on the dates shown. 


_ , . Valne of 

Place and Local IJbiC j £ Sterling 


MgtniilBl Ai*h»in 
4llaiita.>~- b>k 

Alaeru. ' 

. . t r rpnoh Inw 1 

.tBUudl .j — |bii ibhl a v*r.JA 

Ana>''l> ... Ktton* 

Adukis (5)—. L tjinl'lwi t 

Aij-eanbii .« Ar. IVw- 1'rw Hu. 

AuMnlU rS) . Au-tit>lwu 8 
H'-'n. cxdJilliny 

.(mrp- ™ i’ll- K- 

R «hnmn< fS) Hh. ti'.-linr 
VSbiiKliulcrLtS) TnKa 

ttelirsin (*■*- Ojrwr 
Balntrk- l>lo»ar». i'— »*i* 
Ubitadn Sit 


iiHm 


75.00 

10.I2SS 

7.77*5 
8.57 lc 
1 45.25 

3i -a . 

6.2955 

1,859 

1.6996 

27.956 

89.45 

1.9596 

28.'U.-*o 

0.754 

145 26 

5.919 


Belgium...... B. Prune 

3 S 

Ken m L'.F.A. Franc 

B^nnu4a(St- Bitn. S 

Bhutan Z Indian Kn)*^ 

Bull via ... Bivlti inn J W> 


'--m'i61.60 

(fmiBZ-SS 
3.919 
42B*4 
1.S696 
16.6789* dg) 
38.19 


IW*w*oa(Sj_ Pula 

Bra/il Cnunn. ; 

BrVircinlvfo) V.s. s 
Bnmri <Sl.__ Hnmn S 
Bulgaria Lev 


1.6228 
17 M 
1.9595 
4. 40 
1.7138 


tjiimin K.vat 

UnrtiiKtl — — Birmmli Kniar 


13.274 


174.77 


Cfisnero'uRp t-’-t'-A. tmne • 

tajiaila l aiuiilian ? • 

Cain o' ■ l«le— Poeia j 


42834 

2.2866 

145.26 


(,'af* Verrll I. La|io V Km-i.iio 
I'avnnn I«(S) Cay. I. S 
ent. Af .S)i_ L'.F.A. Piaiv- 
L'lttil — t-'.F-A- Fraiu- 


Se|A. IB 

Storlme " 

• Oinatllan • J 

l .S. Urthr I -(Jiiijai ! DutvkfliiiMrt 

eiwua Prane 

West German 1 

Atari: 1 French Franc • ttalmn Lira 

Allan S 

. 

Jana n»ra Ten 

Whi-rt term 

7 .lav's notice 

Month.., 

Three- m«nth»~. 

^1* mr-ntha 

One rear 

1014-11 

11*1 121. 

9 9*a 

9i 6 9i« 

9*8 9ia 

915 10 

B3a^S B -*1,-94 

6i-j-a». au-9«i 

91.-91? - I a:.; -hi!: 

. y.rfi* 1 . 9-fiJs 

9.v S-i I .Mir 

4*a 4ia 
,45a 47 8 
• • 4‘s 
- &ie-L*. - 
b-b». • 
6la-63« 

• • X-A - 

■ rVifc - 
iVrfr 

1»VV 

l.i l,k. 

dt-STe 1 7U-7i s • 

31 B -p7 B 71.-71* 

3rtc-3,t 1 7»B-cre 

3ie-»sa 1 «ie 8*a 

3ji-3ra 1 4-9U 

31. - 3 TI | 91.-93, 

912-1313 
12:, • 13‘, 
1258-133* 
121* 131- 
12is la i 2 
la- 14 

Pse-B*, 

9l,9i t 

9 H y *a 

1*. 31, 

IT* 21, 

Vi-a* 

01.-31* 


which tended to reflect movements 
in the dollar. In early New York 
trading the metal showed a firmer 
tendency with an initial quotation 
of S211-S211}. 

In Paris the 12§ kilo gold bar 
was fixed at FFr 29,250 {$207.25 
per ounce) compared with 
FFr 29,225 (5206.76) In the morn- 
ing and FFr 29,375 ($209.89) on 
Friday afternoon. 

In Frankfurt the 12j kilo bar 
was fixed at DM 13,346 per kilo 
(S209J2 per ounce) compared with 
DM 13,410 ($210.93). 


MONEY RATES 

NEW YORK 


Prune Rale 

Fed Funds 

Treasury Bills iis-weefej 
Treasury Bills *26-wecJO 


U 

«J75, 

7.8b 

7.98 


GERMANY 


Discount Rale 

Ovcrnudif - 

One moflU) 

Three months - 

Six months 


3 

33 

Ik 

3-72S 

4125 


FRANCE 


Discount Rate ~~ 

Dvemiaht - 

One month — 

Three mouihs 

Six months 


U 

725 

7JS 

7J375 

7.5873 


JAPAN 

Discount Rate 

CaO flhKondttiosall 
Bills Discount Rale 


is. 

tsts 

4*25 


L'iiUe C. I'mii 

I'lilru Khiiiji iiil»i \ uaej ' 

LV4n mt jai,.... I/. IV-.- , 

L inn- "Mi- It* C-F.A. Fnmc ' 

i.uusulU’liel. t’.F.A. i imnc 

■.l*UI Uk«._ '-‘-ill l|| 
L a iila_. MI _,» Lutnii I'Ka 
O'prua (6) — Cj|uu« £ 


B9.46 
I 1.8329 
428?< 
4285« 

I (Ilk) 64.48 

3.3021 
(Fi 76.85 
4283a 
429^4 
16.3617 


LtA-tioflovak Kmuiia 


Denmark, famth Kmne 

UliUnii) Fr. 

Uuiiuntn .IS) K. *.'nnli|<*an S 
Lkifiiiii. (fep_ JlmniiiKKii Few 


1.4579 
0.7150 81 
• Hum. 10.40 
; i n x iSO-60 
I i']'(17.40 
10.634 
328.00 

1.8555 


Plane and Local Unit 


Value of 
£ Storting 


F.WUU1 OT —— Sm-Tre 
Ke) pt_. Kayprwn £ 


Kilitiifvu Silimpian Birr 

Kq't'l tiuint* I'cma 


*lOi 48.68 
", « Pi 53.68 
nUiD./525 
1 iTi 1 J46 
(Pi 4.0608 
145.25 


Falkland ]■. £ 


Falkland Is. . 

<S> I 

Parti It, hanidi krone 

Fkil I.- Fiji S 

Finland Markka 

Franc- FrauiHi Fmm- 

PrC'tylnAi" L'.F.A. Fiant.- 

Krliuitiu .... local Fraru- 

Fr. I "in-. In.... I'.F.I*. Prune 


M 


Gabon t-F^V Franc 

liamhia idi... Dalasi 


10.634 

1.6140 

8.004 

8.574 

428A* 

8J7I« 

155.81 


42814 

4.0107 


3.874 


German v 

Wort 

Ghana Oi 

Gibraltar iK|. 

fwiiben I* 

G never. 

Uroeniauii 

Givuartn (S;... 
Uiuulalonpe... 

faun in 

Gna la mala 

Liuioee Keji.. 
t'liiiimBi-^au 
(•uvana.tSi ... 

Haiti 

Unihiuni- Itr-t* 
HoUf* lii iii}« 

Uirncary 


Deutacli Mark 


Ocli 

tiitiraltar £ 
4ml. Ihtllar 
Drachma 
ISuiiab K inner 
K. Carrll-fBa 5 
Lmul Pram- 
ItSS 

QueLtal 

»il> 


faiivsnere S 
taimnie 
l^mi'ira 
H.k. S 


Forint 


5.874 

6.30i*g) 
1.00 
1.69K 
72.625 
18.634 
5.2955 
8.671* 
1J535 
1.9595 
30.0017 
67.696 
4.9997 
9.797 
3.03 
9.264 
fts'inn 72.65 
1 (T)iik-|56.(6 


Iceland n4.« 

India i-i 

1 n-liinn-ia 

Iran 

Irruj 

tni.h Itrp (lc).. 

Israel 

Italy 

1 Viirv D«u.. 

Jamaica, cot.. 

-ln|ani..,„ 

-1in*lan ih) 

Kampnehea- 

kril>a «3i 

Korea i.Ntlii... 
ki'naiiMhi.., 
Kuwait iSihl. 

Laos 

la* aim in 

LftNitlm 

Ula-ita.. 

Libya 


1 Krona 
Imj. Kupee 
Hupiah 
Rial 

I mu Dinar 
ln>l> £ 

Israel £ 

Lara 

C.P.A. Prank, j 
Jamaica Dollar > 
IVn 

Jontan Dinar 
Kiel I 

Kenya atillUne i 
W.m , 

Wiwi 1 

Kuwait Dinar j 
Kip Pi 4 Pm I 
UaloneneK 
S. Ahvan Hand. 
Liberian S 
Lilijan Dlrue 


699.6 
I6.8789nig) 
815.19 
137.00 
0.5765 
uw 
36.15 
1,681 

42B’-« 

3.1299 

574 

0.58 ll*»d 
2.351.4 
14.0697 
Lttlb.li 
949.13 
OJR 

763.6 
6.8099 
1.69351 
1.9595 
O38t0 


; Value of 

Place and Local Unit 1 £ Sterling 


Lde>-t>i'i>un._ K*im Ira uc 
UuMnlMii);. Lux Frani.- 


8.094 

81.00 


MagOa — Palai-n 1 

Umleira l*hn ug'seKivudir 

Malapaav H|i. llfi Prune 1 

Ualaal (Si.... KnaeliH '. 

Ualm.vaia ■£>■_ 1 (iiisu>I ' 

UnMne N./Si Mai l(ii|*>e I 

Man K[i. Mali Prune I 

Malta rSi Malleief 1 

Martinique... Ue-ai Praiu.- 
llourManla ... <*uiiui.va ; 
Uaurlltiia in*. 31. Kuper 

M n h- ■ ... Mefcit-an l'e*c- I 

Miqimbvi I’.F.A. Fran-- ■ 

.Monaco Firncli Franc 


Mnopolia^.... Tugnk 

Mnnaerral K. L'amt-eaii 9 

\limvn< 1'irliam 

Aloaxuihlque.. Uni. Kw-ikIo 


9.9954 
89.45 
4284 
! 1.6255 

' 4.4975 

I 7J01 
I S57is 
' 0.7420 

I 8374 
85.4577 
11.9042 
I <4.76 
' 4284 

8371s 

|(U3 Jiitii Ei 
, 5.2965 

7301-nu 
b5.096 


Nauru la— - 

Nepal 

NetherlamlH.. 

Xeth. Anl’lea. 
Aew Hehridea 
A.Kewlami iSi 

N i.-arae ua 

Nicer Kp- 

\ u-ei-ia (Si .... 

Nnraty 


Aust. Lhilbir 

Nepaleae Jtii|*e 
bulkier 

Antillian Guild. 
J Pram- 
i Airatl. fh'illar 
N./. IMIar 
Omlolia 
I'.F.I. Pram- 
Naira 

Sr»i;. Kn-ne 


Oman Sultan- 1 


<le'K (S) / 


- Kial Omani 


Pakistan Flirt. buu« 

Panama Balboa 


PapuaX.ti.lSl Kiua 


1.6935 

25.514 

4.21 

5.5675 

136.53 

1.6995 

1.8520 

13.75 

4284 

1.242224.,. 

10.254 


0.674 


19.24 ■«.. 
1.9595 


1.3549 


Paraiitiay. Guarani | 244.30 

»V«. 11. If r i 

■ •j VeuieniniS. Yemen Dinar IAiD.6652 


Place and Local Unit 


Value of 
£ Sterling 


Itunn-ii la ..... 
Kunihui 

St. Christo- 
pher(S).... 

»l". Helena... 

ft. Ijau 

SI. 1‘ierra- 

M. Vinii.|ii<>i 

•SalVnilr-i FI. 
Sanun (4 mi 

-mu Mann--. 
San l*i -n i- .. . 
Snail Aral >Ui 

r-clleyal 

3-r) Hielle- ... 

^ietrvla*"ne|tt 

Sni 5 )i|inn* I- 

Siii.inuii l-h 
S.niali l{--| ... 
Sill. .\II1CM»I 

-i. W. Alnian 
Btr mu-- i.Si 


!«<■ 

ituamta Franc 


i. tcfinB.49 
l < da -»T22.78 
178.08 


H. i.Vmhtrtan $ 

St, Hi-ltnm £ 

F. L'niiLevan 5 
L.P.A. Praia- 
K. L'lnlilmu 5 
Lul- ill 

I. ..S. S 
llnlum Ure 
I'i^i-. Km-ihIu 
I f l * I 

l.L.I. FrntK' 
lS.iin.-e 

Leone 

■'iirc’ii'orf* 8 

Si ,!■ -till -II I-. S 
Si.m Sliiltiut; 
Kali- 1 


5.2965 

; 1.0 

6.2955 
! 4204 

5.2955 
4.90 

‘ 1.9595 

1.641 
| 69.45 

[ 6.51 

• 4284 
1455 
! 2.0 
- 4.40 

I 1.6995 
I IA.12.5S5 
1.69351 


•l«iii 


S. A. ltan.,1 
Petrta 


-,(«iri. I*- -riv in 
SN'urth A l run 
Sr. Lmik, i.S.i 

Sii.Ihii Ifi- 

-hi man. 

MiA.-ilmui i»j 

ivelrii 

Il.-I-I Ian- .. 


I 1.69351 
'. 145.25 


• 1 r "i 


Tuvu . . .. 

I an /a in- iS. 
I'h-i.im -t 

T.w l-l- 

Tlilllfl |a, lS| 

1'ihii-IhiI 1S.1. 

I'm .mu 

l'iirka-\ 

1 un.. \ I •«.. 

IiiihIii 

Dganda. >S.- 
I.mtisl Slater 


J*e«eta 
>. L. lfnf«e 
Satan £' 

M. (iillli-r 
Li j-in;;e|ii 
Kii-iih 

.-»« I.*. Plane 
.•ifi* £ 

\--v 'Tails au 
Ian. Sln'ilnq; 

I 'Kill 

I'.K.A. Franc 
IVau-a 
I'rin. A Ti-Imc" 
TiuiiMan Dinar 
I'm I- ii. 1 1 Lira 
r.>. -v 
Au-li-illHii X 
I a . -11111111- 
I .S. Dollar 


Fern 

Pliilifipme*... 

Pilcaimlb.iSl 


I'li. (•e*i* 

(£ rteiUus 
1 New 7a nlaml 5 


cAfi l 337.7 
14.4268 


Poland .. /I.d.y 


P.irt 1 ig» I 

Foil Tlui.ii ... 
P< Ini-ipe late. 
I'lieiloKini... 
(julKi nsl 

Reunion 

lie <le la 

KlnMlexia 


Paae. Kwutli 
1 imur Km-ihIS 
Part-. Fra-in In 
I’.S. S 
W«Ur Kya.1 


13620 

t (Lin >62.40 
"j 'T '62-40 


89.45 
89.45 
89.45 
1.9595 
7. at 


French Franc 
Ifhcateaian 5 


8.571s 

1.5669 


L- ni-iiav l.lru^QHV l'r» 

l l.i.A'I.Knii,. LLriiaiii 

I..S.S1; KuiiHe 

I t .-Ua . • .P.A. Frani- 

Vatican Italian Iji>- 

Veneiuela Unlit nr 


145.25 
50.S550i-a> 
iA 0.7833 

3- 6076 
1.69351 

8.67 

4- 09 1 3 
1 A 7.G91 
.1' 70346 

14.855 
39.266 -a.i 
4284 
1.3754 
4.7028 
0.7E7 -cJ 
47.47 

1.9595 
1.6995 

1436 

7.9595 



({fm 12.32 

734 

1.51 

428^1 

1.631 

B.40 


Vietnam Duiq; 


Vircml,. 1 , 5 . L'.S. Dnllar 
Western 

Somoa 1S1.. Saiiimn lata 


.It. 4.2717 
(Ti4304liiJ 
1.9685 


1.1656 


Yemen Hi a) 

\ ia.... %•*■« Y Dinar 

Zaire Ep Zmr* 

Aamliia Kneel 'a 


3.99<s-< 

36.8132 

1.540376 

1.565 


■ That part ol Die French community in 
A inca formerly parr m French West 
Africa or French Equatorial Africa, 
t Rupees per pound. 


2. General rates of oil and iron exports 
82.299. 

D Fasten on cron rates acalnst Russian 
rouble. 


** Kate is the Transfer market icon- 
trulledl. 

ri Rate is now based on i Barbados I to 
the dollar. 

tt Now one official rate. 



The accepted name for money. Worldwide. 


A inenber c-f Mi Jand Bnnl; Grcup. 


Introducing the cast. 


Metal casting techniques were introduced into 
Japan around 300 BC, and by 760 AD this tech- 
nology made possible the casting of the 250 ton 
Great Buddha in Nara, Japan. When Kubota 
started in the casting business some 88 years 
ago, it was with the technology developed over 
many centuries. Over the years Kubota has 
refined and developed new and more efficient ■ 
ways to cast, like our centrifugal cast steel for 
Cargo oil pipe that resists corrosion caused by 
crude oil and sea water. 

Kubota also custom makes reformer tubes for 
many complex purposes. The advanced centrif- 
ugal casting method is also employed to make 
Suction roll shells for paper mills. The controllable 


stainless steel pitch propellers on many ships are 
made by our revolutionary DPM process and we 
made a 30 metric ton one-piece pump case for 
a nuclear power plant. Kubota guarantees strict 
adherence to your specifications as well as the 
ASME code. Kubota's stringent quality control 
system assures you of quality producte. For more 
information regarding Kubota castings write. 


UKUBOTII 


PlS29e write: Kubota. Ltd. 

London Office; 11/12 Hanover Street. London W1R 9HF. U.K. 
Phone" 01-629-6471-4 "fetex 26X35 KUBOTA G 
Athens Offlea: 20. 28th ol Oclober Sireel Fitolhci. Athene. Gree» 
Phone: 6825646, 6830605 Tele*: 216261 KBT liR 





Vl-t. 




v. 
















Financial Itmes Tuesday Sepf^nffer TS .XST? ■ »'' 




WORLD STOCK MARKETS 



Fresh midway decline of 7.7 on Wall St. 


INVESTMENT DOLLAR 
PREMIl.M 

SZ.60 to £ 1 — (93i u :.) 

Fffectfvp S1.9395 471 l47,%> 

AFTER STARTING on a lirmur 
nnlp. Wall Slroirl rc.-univd t* 
decline in he^iy early trnd*!!-: 
yesterday. dcpn.-.>«?d by nurr:v- 
a bo li I interfNl raiw 

scepticism ubuul the On»j» DjUo 
agreement. 

The Do 1 *' Jo tie I - Iudn*rri. ; 
Average. lolloping la-»t v* celt's ^ 
pnints suili.ii'1:. picked up ■'» 
Rfiiltl at the lO.rtu am i.-almL; 
but -ub>et|tiemly retreated !*• 
S70.S4 at 1 pm fur a further :;«-i 

Closing prices and market 

reports were not available 
for this edition. 

lows nf 7.71. The XVSE .bi 
Common Index wa- 3:1 eeii;* hr* or 
at R.1S.2S. after '.ntii.ill;.' rjlivnii- 
to S5{i.u4. while decline* utl !•?*'«. re.: 
Sain* at nnd— eviuo by an I'lti.'ii- 
to-tiv e m.i< gin . '1 *: < nw. ■- r 

amounted to -7 Sc.rn shares, 
against last FrinajV I’.VTiiii:. 

The prospect uf .'till higher 
interest rale- is the market'.- heg 


Canada 


“1 r r °r Canada ,0 « 16 and Y4 »£?£■&& S?S&£ SS SS&. £8 

.iidd.e East ^ :a ee development vauaua tD n ™- „ .. b £l Baneah-a. Char^eins-Reimies. Breweries irreantar. .. 

■ u^rd^imerr^n'i.'.i •hf'mxrKr^ - N * irro " mixed movement* wn °g nracL2"Sh?£ Se Public s«de, Sehneld^rToHda, Alsadexwe- Elsewhere, BHP came back 4 

nwa'-d frTnri m.^klv wim.d al mid-day yesterday ^d progre^ wtele some Pubuc g march Malsoo - Phean, watis to ASBM and CSR. 7 cents 

h‘L-\u« .Ie53i d, ai k 5-,.K m? uficr quieter trading. The Toronto J5^S*i fw.h'c Powers Saunier-DuvaL Signans and to AS3.6S. while Coals had White 

■ . . v*,? ''ttJil* art l.ir^cly utt- composite Index was unchanged s™™ £“®}f and Elettrtcr Creusol-Loire. Industries 30 cents down at A&L50 

r ,, nj B ?tS b ,' Ca UU ar . L:! v s al n T- ^nw-l St-lakCf- S'sonerecent Em pain -Schneider, despite higher on profit-taking. 

“v . " Y u ' .L v- .. , Minerals put on J..» to l.WSa^. but P™*** J t aku lc, ‘ „,.h as fiml-half sales, shed 2.5 to Uraniums put on a dmppoint- 

1. ..e un Friday, The New \ork oils and tiux relinquished Ij.o to diarhet favourites. u ^,. lin j FF r isg ing performance, after' -last 

American .-lock exclianu-s y.ntMJ S. Ph?nn^nKO Si .^p.lose^rpund FFr WB. • Fri day -s riSe on report?^ 


Indices 

NEW YORK D0W ,wns * YV :• _ y- : 

' [ -V - fi&.-T^5ir£, — p-j- 

j ■ . *$■ I ^ IT ; ? . few . 


However, 
lie recent 


Saunier-Dtrval, Signaux and to AS3.6S. while Coals had 
Creusot-Loire. Ladnsrries 30 cents down at 

Empain-Schnelder. despite higher on profit-taking. 

«. . -TIT. _ 1 . _ ... i o= ,, «... .«■« j;... 


I. .‘e un Friday. The New York 
Anibncun stock exchanges 
c .; ended higher mar.-in ri'quire- 
:sa-r.:.’ on Gamtng shares. Holiday 


lineraU put on J..» io l.«s »4 but uiu r ea so firsi-hal! sales, shed 2.3 to Uraniums put on a disappoint- r ^ 

tils and tiax relinquished lo.a lu -uriST « lose “rJund. FFr 1S6. tea - performance, after '.last L'dliti«~ 

.•KMS S. PI ?IS!S Ml 2S5 k<ltp ' U IT"viuo lu Against the downtrend, Foclaln. Friday’s rise on reports that the .. _ 

Scull Paper, which raised its ... ,5 c- S * hy “«. r<, 'f«.i Ph« ! Locaf ranee. GLE-Enlerprise, Bab- Northern Land Council is signing 

dividend and plans a hamura Chemu-^i l * jnL *> i Colelle. GLE- the Haneer agreement. Pelco. 000 ‘ 


108.43. 106.70 107.40 107.M. »A WJB M !' MU - ' «.«_• j y 


^ ***', «7^80 57.4W 4S.MT84.W 59,57042.17^ — “ j : ' — . | ‘ .— 

» Bull erf Indr* ci»iw« fro® 24 - . .. j~ 


at'iUj and liiltun Iloteis If. 


the A mex. Resorts Inter- llome ivtroleum 
niituiniit A retreated 4* to ilui. l-allev * , r 

*\ a ‘ S; 1 ?- Husky Oil J lo C$& 
l .ului.'ti Nugget g.mifld { lo S*li;, 

r»u; Niiriek retreated 2; u< SlOi. TokvO 
,\::iuiig blue Chip* and Glamour 

IBM .shed >1 to S2»Sj. Market returned fi 


AUUUUilt Uiau liimuj n ^ _ , tiiA . 

split. C.C. Forest Products added Products recedea _ lo 

i to CslS* an a dividend increase. Y 1.300, Sumitomo Precision Pro- 
l*o nie Petroleum lost CM to gg^ «• •» » >,PP °" 

Osa*. Cow Valley 2{ to C$43i and L em,p “ ar Y20 to 
Husky Oil « to C$43. Pftris 

Tokvo Shares mainly lost ground in 


raenxs 2 cents to A 52.98. ahhnpgh T 

Ger man y Pancontinental were 40 cents iwi. dit. t i* 

J Higher at AS14.60L 

Stocks were inclined to slip Among other Minings. Hamers- 

back from a firm opening to ley improved 5 cents to AS2 j 35 .„« nnimi 

finish with no clear trend after and CRA 3 cents, to A53.68, but STAHDABD ARB ruuj« 
a light business. North Broken Holdings slipped 4 ■ .. ; . 5 «_ 

The majority of leading shares cents to ASIA®. / ' ; ? 5*‘: i* ■ 1 


Sept. 1 . :. Aur.S : trmr 
6.38 ■ 6.26 i" &»5 • 


tW , Jgtrtp* CciBFht 


; lodiucaftO; 


:* *»*«-• IBM >hed >1 t'» Y-^-. Market returned from the long from the Mid-East summit at ^though Motors were highlighted Milan 

i.cncral Mndirs il to s?«2;. Ilu holiday weekend on a bright note. Camp David and a cut of j in the jjv rises of DM5.5 apiece for ,, . ; ■ 

Punt 'i to SI24. iMuiisaniii II i«J although trading was slow. The Call Money rate to 7r per cent oW DM232.0 and Daimler "M‘ er tne recent consolidation. I^Compo* 1 ^ . 16 J 
'■57: liurneigbs Si; to >S 1 . Dkney Nikkvi-Dow Jones Average were overshadowed by the poor , DM 33 * 5 .’ In contrast, showed renewedtexoranty I I 

and TWA Si; iu «MJ. v a inert I2.IW to a record peak of french trade results for August Kaufbor. in Stores, lost DM2.0 to 2“ o5^'Z,«i P rStfa d Tt a ^!. ng ^i he ! 

I*i Mi ii rj- e.i*ed I to M4]— Ihc .i.K<J.3o, while the Tokve Sh .index a nd reports that the Government DM238.5. and BBC, in Electricals 

.ls:>. te Dt-parlnn-nt or the Federal put on 1.03 to 428.01. Volume j s planning what is being termed re treated DM5 0 w- # 3 q 78 m “* 0 t r 4*2 ; j 

T':.ije LuinmiMiun is to examine was only UOin shares, down from a disguised nation a lisa lion of the The Domestic Bond market was viJSLT « 7* fww w i^div vma% 

PImv, i >* plans lo acquire Green last Thursdays 2oMti. steel industry. u quietly firm with Public — 

Gismi. which receded ; to »M;. Some expart-orienlated ix-sues Banks. Portfolios, Foods and Authority issues gaining up to 15 LiisSL ? 88 

THE AMERICAN SE Market Value were spurred on by buying from Public Works sectors weakened, pfennigs. 7 The Re^Sating Anihori- among ^ fc exceptiflia. 

li.de.. afler rising to 174.01. fell major Investment Trusts, with but Department Stores were lies soId DM 15.9m of paper, TJ ntl „ 'K'f.n*! ' ' 

17- '.*5 at ]p.ni. for a net decline Toyota Motor rising YI4 to YSn, marked up and Oils were steady. compared w jHi around DMoOm nuu fe “ uu 8 
uf il. Volume 3.85m shares Sony Y4U to Y1 1.530, ^ Pioneer Mechanicals. Electricals and Metals on Frida y. Mark Foreign Market was closed for a national 
id S7iu r. Elect runic Y20 to \ 1.340, Honda were mixed. Loans were mostly steady. holiday. ' >. • 


s rf - ; **!!- \ *T hn ^rr^r— 

"••"j 

; 164.121 106.10- I0S.i< 108- 108.98} 10fi.7S-1K.ffl; Mi|W T« 


Sept. 13 
4.63 


Hong Kong 


led. PiBlfrrto 

Inn# Gor. Hoad yield 


Market was closed for a national 
holiday. 


NEW YORK 





St— k 

1- 

N 

AM-.U l4t+ 

35 i 

361; 

A-Mn—vocnuil" . 

2 & 

291. 

A“. m J.i : j i.'a-. 

411-3 

42 

Ai- |. rv,lu. i . . . 

2* 

23 , 

A»-*nA'ii]iirr-i.i:i 

51 

51 . 

A Jii vl 

49-w 

45 , 

A 'leg. Jji-Mi in. .. 

19 

i'a-. 

Ai>an«m' l‘-.u i-i 

ia> 

10- ; 

A l.i-l • lu -ci-a:. 

3 €’’ , 

56 

AIIimi .. . 

26 i 

Z6-- 

AIM* l'!iu!u.f-rs .. 

36". 

3 i m 

A\L\.\ 

49i. 

51 

Ampntri/i Up*! ... 

29 i 

30-4 

imp-. Nirnu--.. 

lb - 

It'; 

lin-", Bn ul.. 

bll, 

5 J - 1 

Amn, liriw-l'-a-l.. 

58-i 

59 ■ 

Am^r. 1 km 

4U'. 

4IX. 

Anirr. t. taiMJi "• 

301; 

50' 

Anu-r. Ii..;. I.-'. 

30'; 

30, 

Aiii-r. K>m|. |" i-i 

23, „ 

23 

Aniri. .. 

J5'j 

16.; 



aO ; 

30 . 

A iii»r. >M--ri .. 

30 

0 1 V 

Ann.-. ,M.. I..- - . .. 

b u 

P . . 

Ar-n Njif. 

45 

44.'. 

Ainrr. * , l«ii-mr-i . 

4b . 


A witar, ■'i.iV' 

37:* 

57:. 

Aiin-i. 1 VI. -v 1 i-l. 

60'.; . 

ol 

A'll-lnii 

J6 >4 1 

4b ; 

A 11 F 

19'; ' 

19 •; 

AMP 

58. v . 

a7 -. 

A m|+i 

17*-. , 

18 

A 111 - 11 -+ H-J km-. 

29-. ! 

50 X- 

AnCn+r II'iwL. 

26» 

26 -» 

A ruin. >i«;l 

52‘* | 

32'-. 

A.-.N 

281* •' 

28 , 

A TO -, i-n i i|| 

1 ! 

1HX 

A«ar-.--- 

16:* 

151; 

Aihlainf m: 

44'; 


All. II;. l.n- l i 

52 » 

53 . 

AuIm iMla Pro. , 

33 h 

32-; 

AVI 

161 

l?i. 

Arm 

30.i 

3I-. 

A: -ill Pof-nn-l ... 

57-. 

56 

Mail, lu!' Klii-i . 

2b n 

2b-, 

Bunk Anil- 1'11 .i. .. 

23;,. 

28:.* 

Bunker' Ti. N.Y. 

il-i 

57-; 

Ihr'tllll, 

27'; 

27 

Hasl«-r '1 nirii-ir. 

46- . 

46'.; 

Benllu e ri--l 

27 1* 

271* 

K^i'>n libvi'UriiM 

«0’ O 

39 

B-il .V Huwtfli.. . 

2U . 

21i* 

B»n-lix 

4U.-7 

4 in- 

H*itiiu»i i. -in. "II" 

4.; 

4-. 

BrLhleu-ui Mrrl. 

24:- 

24- s 

B'a'.'k X I iw-ker.. 


2u 

B-mina 

bflri 

6B 

Muii-el. xv.-«ite.... 

31 

31!« 


i mu.: ‘ i in-. 

-i" I.ir.-ii’r* 




btij i I'-'liui Mutifim-.. 

55 i J**!iii-« u Ji-liii-nii 
i 54 a . Iiiliii- 1 : l'< 4 iir>». 
L'9Jj ' '•I.iiiiiIii-iiii ’a 

35 !n K . 

39 h \ iiIii'.iTit, 

XTIrf !»-■■••. I ’nil, -fi i. - 

...... 

50. i I 1 ' - ' 

47 ■ ii-ulr.» • I r. ......... 

3&j» 1 — 



13’. ’ > iSni.. 

2U-j ’ l* 

lB , , Kr^ll 

26 : d •’ J' r ""* 

!8<s ■ I'hiib,... 

5 J j. 1 v. . -iiHi.-. 

’ ■ J,il,i.\ Ilu. j-oni. 


6eK 

15 

■ 5el«- 1 

; !■» | 

Slock 

?et*. 

IS 

! T 

31 i 

32 in ! 

: Uevli.m 

&4 

1 S5 

84- s 

66 1 

[ lievimlilx Itelali. 

35's 

35 i 3 

28'; 

, 29 Ik 

: III- Vlii itili It. J. ... 

61U 

621, 

34 

; 361* | 

[ Ii'm'Ii'm-ii .llimrll.- 

39 ij 

29i a 


US II. > t»«-l. I liter... ' 54.; 
3t>U 1 lii.liiiiA IliutA. ; 361; 


1— ... ... . 

47 

49 


: •• > •- 1.1.1. -a.. 

ZB.- 

291; 

1 l.iuari 1 

In-,.. 

jy - 

2.y:< 

i Iain' L.:- 

; ». » • , ■ 

+4>, 

45 

1 ljli-.ll 1 ll.li.it 

I'.-ii. 

125 

126 •* 

! \ri-i K 

Vji l- j* ■ ■ , 


22., 

• I* -ii ? -*'!im 1 ■*- 1 .i-i _ 

1 K-. . ill..- . . 

15 

la-. 

. In-li; 1 -utiiif I.'-!. 


c3 •; 

t2 » 

! l.-.iit-iaua Loinl... 

Lat.-n 

40:-j 

40a- 

1 lallNriM 

1 Ijii k r '|«Blr» 

: ii. .. 

28 

281. 

. 1. \ i.n-.l ■■a-u. 


li’.. 

17', 

) .lli..\| ■■,>11 


34"-. 

a 

1 Mfc. \ U. II 

• 


57 

* .Ml!-. ilniK.ii-r 

l.iiu-. • . t > 

25:.; 

U( as 

Mi,,. 


15 ’•» I 15 1 2 


35 ; 1 36>i) 


27 ig | 27% 

3Si 4 3514 
49 S0> tf 
aa.j . a4ii 
50.'; 1 3U ■ j 
25 25 

19 1 > 191] 

251.- | 2d is 
H6i s 1 47U 


WmTi»r aoi 4 

VnuiiilT 1 111 16> 4 

Rniso.il w’ 14 1; 

Bri.i.il >1 *. »-i s 35 t 

BPvi VHrv I!... 17-., 

31. i 

bmn-Ai. 1 . lb.; 

Rm-.iiis Kne .... 19ii 

bu:...B It bi ■•:■.. . 9 - 

Rnrlnmii.il Mum. 44 

R'lrrmi^li t2'j 

Cnui"i.fll'<.M,| 371; 

l «r.Hiluiii l*m ill- . 20'j 

1 bii.i: JI«u>l»i|,|i... Ill: 
( miMii .ii ills 

L'anlei .V l.riirrnl 12 
Cum-r Una ii i. . tS-i 
Liltri.iilar Tn»ir 

VH- 60', 

l.HllUlH*4-(.l.r|JI... 45 U 
i.Mirml a s.w ....] 16 

L>naiDi«vi , 2O.0 

L»“sna Airrieil .. ■ 47»; 
CmsH .Mmilmluui 54ii 
CliMmoil Rk.N V. 42in 
fn^-riircli IV.miI., 24^ 
Cliessie i!r Vsi .-in . . 30 i | 

Uiuaun Un>l»u... 67 

C hryvltrr 1 Z 

Lin>;nimH 4 1 ! 

fin*-. VlilM.-nui.... 34 

Ullli-iq 271. 

fir i^- i »•!•.... o3 V 

I.UV Inv— 1 III” 16-^ 

fltrieliui.l l lilf ,. 60*i 

■ .lit -‘3-»i 

L‘.ii^li. I'll un . . 20»s 

.VikiiiBii.,: 1 lv* 
r«:>inilii.iins • 27... 

l.lllllllllIH 1*11-1 23^.4 

■.'■•hi. I ii- 1 ii.i.l Vim ld-j 
C.i|<il>urli'»i hnsj. *t 0 'v 
C •illlllll- l ■■ >11 K.|, .; J5I- 
fni'witi Kill „ 2614 

I'm'ii'llil.iH l.'i-i.; — 

L— mm 111 . .-Rif run-. 4 1 >» 
iVim i"iil**r ‘ririfiiiv 14 

e-mu l.ilfln- | 411* 

t_. hi on- ■ i 2 ij 

L-i.H 6li->n 2 ilj 

C'MI.III KibhU 25U 

Omi-mi Nil N«- .. 3Sij 
<-• . 11-11 hum- I*. .M i*ll 24 
(L-.nl uienrnMii{... 32L| 


I -Hli.il I HU* 

Ill-lux ‘ 


19U 

19 

9 ■ 

9.’* 

44 ' 

44.* 

82'.. 

82- * 

37i 2 

37.* 

20'i 

2D-; 

lUt 

12 

5 1I« 

31 

12 

12 

lS-i 

18 * 

o2-. 

b5U 

60’* 

61 ; 

43i* 

44 

lb 

lb 

20. g 

21'-; 

*1‘i 

40.; 

34i; 

34Jtf 

42« 

4Zi 2 

24 

24i- 

30^ 

SOI; 

57 

671; 

12 

121, 

4 1 ; 

4:, 

34 

55 

271. 

2"i K 

03 V 

52-, 

lb-i. 

17 

60 1; 

60 

-‘d-l 

45t. 

2Q», 

i:0-. 

11^, 

U*; 

il7l.- 

28 1; 

23s, 

24i* 

18^; 

18': 

40>- 

40'.- 

15ic 

la -i 

26-4 

27 

- 

21= 

4I»4 

42:, 

14 

141= 

411* ! 

411- 

221; 

22 Sk 

2al; 

2 a la 

251- | 

25. a 

da sa : 

381;. 

24 

23-i 

32 Ul . 

321* 

30 

30.’< 

lb 

loi* 

41 

42 

51 ! 

SO-'. 


I •>■:«!: 

l-. 114 -.lon 

t - 

I 

fni- n --■• 1 iui.'-ih 

l‘il — V. .1 if I « i- . 

I -I. JV.-M. IT,n,-.i|. 

I .. : 




1 1 't- 

! 1-vi- - • .. 

j lriiM«l:ii .'I hi ... 

, !■ r-— -liu-mi 

: 

• 1 . >i IB Imls 

1 1 tum.c : 

■ \:i.>.r. I Ml.. 

• • 

‘ 1 I- II. ». .!*• -• . 

j '■■-II. »»• *1"ll. •■■(■•• 

! I|H|. J.lr- .--.... 
I 1 1 vii. I •■••-- 

;» »m.-. ... 

, *■• *-l- .’.i.'ll.lN.., 

, •n-ll. I’.l'-. •- III... 
| I • *11. -.Jll.l 

•i. i". . fc-.' l .. 



{'.■•MHS..- 

I'aw'IIH ... 


1 UbihUi-.ii 521* 

I U<i'.IN*.VI : -llnllit..: 17 
! UhibUsII Field..... 21 . t 

| U«i belli. Mum: 

; MV.V 58% 

I .ili.'tlri iii.ill , 27 sa 

{ .".li-l>. imiell llmii 33 Is 

I Ui-time Hill 1 24 ‘-4 

! -Ui-iiiuTei 96 


23U 1 Vlwei 

55sj ! Mi-niu !.\iP-h.... 
aZU ! 'Ir-ii IVlr.ilMiiii..' 
4I'. ( [ VI* . U 


4B>4 1 50'* 


In. Ii ii, 1 

19.., 

I'.'ni l.re.... 

Li '; 

-P 

31 

*-« .i: 

29 ri 

Muni I’m lea 


Nuitii Imn.. 

2 ei.-.a 

■i- >iii-l 

u.i 

i s. llt-iern... 

1 ?»; 


| c . in i 25 is 

I In iil.uri- .ii • ’i7 '. 

J I III 1 11 L* Miiiiiik...i 04 -3 

j II .rill-villi' 4 VI 25:. 

I He’ll- *-iilT«i...~. : 62 
} lii in.- II. J u2 

(Hi-«« iN.-i.nnt...; 881: 

ll--ii-l.il Inns,... 29 W 

l|.|M.-|«k- i5l|, 

k.-mi-i ui-u : 68 I 4 

lli-H.I 13!,. 

iiJi-. Aiii-i. 53 1- 
H.ili- 1.111 N.il.lirl (.S'- 
llniii. I'n . \ < Inn I4-, 

Hun . -ii .i..t.- in-,, 

I l.i. lu.lii-ii urn .... Ali-j 

I IN * 4aH", 

I ii. ■ 1 — -li iinii'i... S9ia 

Iii-mh-I -Net-l • o7 

Iiisu.-*- 15)*) 

If-M -.239.5 

Uni. l*<Bt.iui> ' b 3<^ 

I hi . . Il<i ..-s»er.. it'- 
Inti. tliu.VllM.il . 1 

1 1 11 * •. M ■■■|i|. 21 * 1 , 


I.Vi-iilli-i . 
f. . .v Tel 


1 'I urn Uiiik.V.Mi^ 61 1 62^« 

27i: | . '.I.. ... ., ..I, ; 68 69 

45 ; , Ui«.-in‘iu 38 V# 1 

22 ij, j M.ii^hii J. I*. 491-1 5. * 

a7o^ j Miminiia • 48 ■ 49*8 

lOis 1 Uui|.’u Hi; 1 51-4 1 53 

26.; 1 Zbi- 1 2 c '4 

32 ,\bIi-i. ( iiviiiicnl*.' 28 ig i 29 

15 .v m ..nun inn J 21)38 | Jec4> 

>»t. Unl II lets....* Stag 2 1 ai, 

11 * .Nut. v.vhi! I ib-I. " 16ta 1 16-4 

in y : .WiiMml Slerl.... 3de ; 32% 

I.Nal.muu 49!| ! 49 

Dau I \l-'l.... .............. 64 64)4 

r?‘* I .\-K 1 . 1 jt Jut|i 26.'s ' 27 1« 

Mi-Ihh.I hi: Z2*J 1 2 <!*- 

; ; \|?I. ».i«i4«i.l Tel 53a S 33(« 

.11 1 11 -.1 Ik 141 b ' 14>h 

,uv ! \ms-h:b'Iuu.- llb H 1 1 3 b 

1 * .V I- iii.iiiktiti"». 22 14 22is 

***." ; .S..r: ..i..vtU l. n. 2 ba 4 ! 264 

/ii* <Villli.Nill.liB-.. 56^4 ' 361A 

Mill.. Mill... I’.ir 27 ; 26 -e 

... ' \ili*i-i A 11 <ilir- 33 344 

I,: 1 Miiu,«r linn. i.i 47vs ; 26 

! N--u-.il "• 11110 : 1 ... 19 jh , 19.-o 

u * I • Ki nIiiiIbi 1'i-lnai 201:- 205a 

ii; ( 1 1 Mmluf-.... 24/| . 24>; 

19.. | lllllU tilllMlII l/'.j , 17>8 

1.. 1 '."tii • 15^ | 15-a 

r? 1 *' [ '.i.i mm >lii|»... 25 m ■ 26's 

. I • iiki-iu. i'nmiiia .. 324 J 324 

.,42* ! u» wii 1 1 in n hi.... 2Ss a | 2es]i 

la 1 !‘*v-tn»- im% 23>a . 234 

.. | I’D.-in.- Li-iiinn;.. 20:* J 20 

"-' 4 fmi fwi.A. !J».. 224! 22 

I'n 11 Am IV. m *1 Air 9I S ! 04 

J - I’arLur Hsumbn. 26Sa | 28>4 

I'Mlmlv (mi ; 27 4 . 27 1- 

“f I'm. I'm. A L......J 214! 214 


. Kninl bulcU til; ; 634 

lilt-. 164 • 154 

[I.'llsKl.^k 124 . I2i- 

I i:*it«r Mkh-in.... 274 i 283$ 

j -dU-wiu .-ii.r*r- ' 44 ' 44&8 

I M.J.ir .Miui.jHlBj 27*8 ' 27 
1 M. IiVki-- I’ni-er.... 32lj ! 334 

Sfellln he IihIs,.... 56 I 9 j 36-4 

->Ulll Illkrn4 7'a ' 7)8 

Ml \|. II Ill'll 7 13 84 

-rlilH' Hi i-n 111 ^- 134 - 12 -a 

Si-liliiiiiliWBer..... . 8 d ' 38Jfl 

M. \l : 21 2U4 

5 ii>II Ph | t-r 164 • 17 

->,i.iil Ah- 22i 4 224 

'.-mltlit Iiiiii.Chi* 84 , o-a 

MnViniininer 29^4 1 29^ 

Senunnn : >64 "7.5 b 

MeirUf iCi.li.l 14>| ' 194 

Mur*- Ii’n liui-L... 2 3 1 « 1 231-.- 

sKHCO 444 1 454 

Mien c iii : 504 ; 351 - 

slit-ill nius|a>n ... 45^4 45-4 

-•i-unl • 58 ' 67'.'e 

.nmi»tel'.-u 37 574 

.-aiit'plti-uv Pm 12'j , 124 

diliuer... ., ‘ ISAB ; 184 b 

MiiiIH Mine '• 94 ‘ 06 

NJimm : 44 . 44 

-MmiIImIumii 40 i 40^4 

-.HiihirTiil'al. bl. 264 1 26 a* 

?i4il>irniL« : 15de ‘ >64 

Mini. N-a. Hr ’ 36 36 

% ml hem I’hi-iIh. »14 j 311$ 
auutlirrnliailnnv 54. d | 56 

3'HilliUn-l ' 314 i 321 j 

n*w-| Halislm 28!s i 281- 

•T |*.-iT\ Huii li ! 22 ' 23 4 

*i|i*-n-i' Ibuiil ; 46ia [. 47 

33 33 ii 

SLA 0.1 b ml liiminl. 1 294 ■ 294 

M.IAJUUaiU-wuUi! 451* ! 45-4^ 
-Mu. Dil I iNliHim.i 54 ‘ 641* 

39 4 i 40 

SUiiirOleuiiral..: 46i- ' 474 

Sterluqi Ilrtiy ; >7»« j 18 

MudeLalier. ; 644 ' 65 

! 461* 464 

riuuiimuii 1 494 ! 504 

4vRt*u i 34ig l 354 

teeliinrulur. I 14 >4 : 15 

IVLlnmix 47l« 484 

lelulvue. ,108 • I0»li 

IVlex » 84 j 8--* 

IVnou...^ I 32sg j 324 


Vi'oolworCu 21 f* 

M’ny 6.4 

Ilvtc-v 56 ■ a 

/hpaIs... In 

Zenith Biutln 16 ': 

L--.Trea*.«l»l<l;:.. t 9S-'> 
t '■Trms4i»75r;.- l81 s i 

L’ji. Mi-iiny hi I It... 7.84? 


Australia 

Banks featured strongly te 


Switzerland 


CANADA 


Alitt ilji Rk(«r 

Ajrnico Jis^le — . . 
Vk-mn\lianinlnai 

Al-ienaShBrt 

\vJ ienli.il 

Hank nf Alomrt* 


Sv-Dt. 13 Sept. 1 j 
la-s iaij 

c ■; 6*2 

364 : 374 


I " I HUUIItr 

2 U 4 J Ihnk NunSciiii 


Ka.-i-- llnuumi.. — 
IWI Trieubmir ... 61 
H-jxv VaI ley ini.. 45'-s 

Bl* t'wJi...., 19 

16 .j 

Hnnen.... bo„ 

l-Hlipiry'liower... 40 
Lmnlhs llinei... i5=j 
L'amul* Ceiuelii.. 1 1 'v- 

Uihiu NW 1 * 111 . 10 - : i 

L'an.luiji Bk Loui 50 ij 
H aiwdA iDduatn... 22 

Lau. Pacific ; 25ij 

Li 11 . tV-rhc lav. 24 
Call. Siqw Oil... 654 
lArKiiijO’Keele.. 4.6 'J 
Lbcaiat A*W»U/i>. 10-a 

i;iueUAin_ z5ie 

i-'(inuDin^,_ 1 304 

L'uns Ratbilunit... 364 
LiiDHii'inwrfiB*.... 19 
imekAlteioijrce; o 

LinLaiii 154 

thun bei-el ' 12 'e 

lienium Sines... 81 

buiue Uiafvv_ 1014 

buiiie Hetruieuuf 98 
bmiiinUio'Bndiie 40 
biHiil«r....._T....- 22 4 

JRilkUH i 5 

Kdka.iu'acNtekA. 284 
Runt MouirOui. 794 


— — Banks featured strongly fn Bourse prices tended to drift i- 

Z z-. otherwise quietly mixed markets downwards in quiet trading, senti- &a.Bi. S9.57- I 

55 i* yesterday. merit affected by pessimistic 1 

164 Treasurer John Howard economic fbrecasts for Svintzer- 

16^: announced over the weekend that land by Government and business 

1®=-' in future the Banks would have leaders as well as the 'continued , rr?? 

7 76 4 - 10 reveal more detail in their low level of the dollar against the MONTREAL 

financial statements, and the Swiss franc. ' * - • 

market was of the opinion that Nestle receded SO to SwFr 3^10 c 
the new rules would bring a large and Ala minium 35 to SwFt. 1,075. lnd 

i-. quantity of hidden assets to the T , « 

^ surface. Johanflesbiiig 

GO id shares were easier aertss 
|7i« ber 30 wlU be the first Bank to t j,e board on small trading 
It ; repon under the new regulation., volume, reflecting the ^fcwer 
Jumped 32 cents more to AS 7. 70 — buST oricT ' •- 

Financial innings also lost 

- Ban *' ! P Australia and traders are ^ound. wh n e Diamond Issue De 

poi, reasoning that they have been Been; retreated 20 cents toJ&M 

^<■8 storing up assets Tor 1.0 years. or> ijlck 0 r interest. - 

is ; 8 . Among Lhe rest of the Banks. Platinum stocks were a few 


n y.s.E. ALT - «"«m — 

. ; < 1978 

M .„ w* M »- • 


- OZ&i i [ (LS; 

***>■ i'-Yeor (appim 
• 4.76 ;^- : - ;; 4.60 '■ 

. BA6 
8.42 i ’ ' ' 7J58 


PPHRPV* Bins and Falls , , .• ‘ 

• ; ■' - .bspt. I*;nepf. 14-^gpt ^ ^ [ • ; 

'.L |1_S20 : 

Ku « -368 - 266 : 7t 

Falls-:.™ 1,188 X.ZQ7 & , * ; *' 1 

Unctasmaefl ; - 384 . HI J’i.v , i i ■ 

KewUipto— .i. — -i' 17 **■ 

A'ew Lw« — I 


Industrial 

Combined 


i — 

i (ul i <o) ; (rt 1 ailASt 211AS CIL91 
j tu> | (a) | (u) j 217.4^ 2l7.7HlI.ft 


. 1E2.SB ilfiB 
:T7XL£Zt2KW 


TORONTO Composite: 1277.fifT2Bajl l2Bfi.9j 12SGi{ 12BB.fi tljfl) : fflflJttaOlb 


josunresBrae ^ ,! 

ImJuierud ) 271.1 j Z7BJJ ; 266ii ) 26&-0 ; 


272.fi (14,» 
E71.1 tlblBy 


lfiJAraw 
IMA 033 


i Sent. 
Ifi 


Pm- ! 1978 , 1978 
rioui f Rich j I*-* 


■i aepi.-; Fnv i Wfs J 19 
■I ■' B j mu ; Bicb : tsi 


insurances and selected Flnan- higher. Leading Industrials Denmark 
ciers w ere firm in sympathy, while recorded mixed movements; with' 

Textiles, Transports and Building Barlow Rand a weak spot atRiS 2 . F™* 1 ®* 1 
.Material Suppliers were other down 13 cents. „ 


Franc* ttti 26.1 i TfiJ i 76. 

' i liH 
ffart&any ill 838.1 j B3&2 j 839: 


; tI44f) : Q>t2) 

1 76J> 1 «> 

i liffivt <4,« 
i 859^ 7C9A 


| ; ) | 114^2?) <35 

. Indices ud Osse dates <iD base m 
ll» except NYSE AH Common - 
Siaadniis and. Poore— ID. and .Ton 


NOTES: O, trie as prices stemi below 
exclude S premium. Belgisn dirodeuls 
are alter wi Jibnldlcc lax. 

♦ DM 39 denom. unless otherwise stated, 
yields based on net dividends plus tax. 
V Pta 500 denom. unless oUn-rerise stated. 
41 DKrlrt denom. unless oihe+j-tse su'ed. 
+ SwKr 5‘fi denom. and Bearer shares 
unless otherwise stated. ' V30 denom. 
unless otherwise sated. S Price a; time 
of suspension, o Florins, h SchsBinxs. 

* Cents, d Dividend alter pendms ru±u 

and or scrip bssa. c-Per share. 1 Francs. 
o Gross dir. *J. N Assumed dividend ulcer 
scrip am! or r*irs issue, e After in«it 
taxes, it v. tax free, n Francs: iurtnHing; 
i'rilac djv. p .Vim. o Share xrtlL s Oiv. 
and sield ex cl c tie special njUKut- t lndi- 
cated div. ii Unofflciar trading.' oSUnaciUi 
holders only, t Merser pending. -* Asked. 

’ 3'd- : Traded, r Seller, z Assumed 

xr r.z rishls. xd Ex dieidnad. ' ' xe Er 
scr.p Issue. M Ex jI a Interim since 
increased. 

GERMANY ♦ 

TOKYO n r | 


i tilicn /* ji t BrcwojBs noads,. f jno uonstn. 

"*■* rr 

l: - (4191 lia-b- [I 'nimm 


1 . 77 71 I WL 1 S l' [l Selstair-SE -31/12/93; “ Copenhasea 

Italy ttb* T7.7J j CT.H | 1/1/79 -ftParls-Boarw l«t- itCdnim. 

» , i»in' M iisHM 'tolos bank.. Dec. H33. (9 Amsterdam !»i&sc 

Japan wi «8.n : W 438.P1 , i 9T8. n Sans Sene Bank 3I/W4. » Ba 

e- ivaaa'iu'M.w 1 ? 2 Cmrtnereiaie Italians \S7t a To 

Singapore — 1 399.86 ; *14.M | 26Z.O ji ev gg 4/1/BS . ositaiis Times, p. 

■*> * ! CS.3I i ffi/lfl c Closed, d Madrid SE WPUflT. *»c 


holm ttidostrlal 7^/S8. f Stria*: JB; 
Cortwaodn. u UnavaUatrie. 


AUSTRALIA 


[BRAZIL 


I r-uri - Frtroleiici; lU^a 


• JS4i-j 

IV-ta^-uU ; 22 i) 

lr*«s ha>li>ni...- 40lg 

IV\ni in-4 *m 87i«| 

ll-.MU- Oil X (.lRB.a* 304 

I r £l»- i. ; l till !«. .... iiOsB 

1 uni— III* 47 15 

I'liiii* 34 

I linkell 30 

hmim 4Hi|j 

I mliMiK-tiia .- 13>j 

ImoM-u Z2 »a 

IniiuFnmn j 574 

Iihii-ubV Inir'n.j 24 
l mil' Wnrlil Airj 26 « 

Tmtrli-ife 374 

Ci i I'nnl menial.. 19 In 


IUJb 1 11-4 
241-.. | 34 >i 
22 *j 421a 

40i # I 401* 
87;* i 884 
304 30 

20 .-b 204 

47., ■ 484 
34 >4 ' 35 
30 5 1 '■'# 

42. „ . 45 S« 
18»j 18Tj 
22>a i 22 ]* 
374 384 

24 244 

26>s I 27 
374 | 39* 
194 i 19^4 


i m-uiiw 354 

Uiaui Vel’uricQile. 14i« 
i.ui( Oil ignui: 33 
Haw utj 

Huiiuitfmv..™:..; 41 

HaaieUiT'A' 41 

Hud&uuRai Unu 20-f 

ilu-lsuu b»v 234 

H ndano Oil* Um 1 43 

liupetMiUii I 25 1 j 

luai 194 


354 • dS4 
144 ' 14ig 
53 34 

1 4 i* 

41 ; 42 

20.4 : 20 ij 

234 i 25 
43 i 437 E 
204 204 

364 ■ 374 
23 >i ; 23 <9 
194 i Z0n 


lb iM-n.i-i umal. 

.1 ... U i-i^r 


ivunv J . i 

38i; 

584 

(Vitiunil 

511; 

32 

JU-iie 

13 J » 

13>; 

i*i i ii*, 

34i; 

341= 


301; 

314 

1 Vi km I.I III IT 

251* 

271® 

IV-t 

04-’, 

64 J, 

i'll 

35Ja 

361® 

I* , if.|i-. Ln.i«* 

23 

24 

l'liiiHni.i; Jim hie.. 

1 « ; 4 

Irii 

]'Illll]l \ll-lll-. 

711= 

74 

ri.illi|n I't-iru'ni. 

*5* 

354 

Pil-lunr ' 

4-. 

45 js 

l‘iuic\ K.IWI- 


L:6 i* 

Piii^liiii ; 

231; 

■2i-.4 

1'ioMf) Ij.iaHU, 

231* 

23 >g 

I'-inr-n.: ; 

54 4 

5 31- 

I’liiuinw Kl«-.....i 

1+3; 

144 

Pi’ll in-lii'trie-vJ 

30U 

304 

I'rnlui < •inutile.. J 


9G J » 

I'iiI’ > ei hlevi 

23l 4 

2il; 

PnlOHIII j 

h 3! 2 

443; 

I’llll-S _ | 

191; 

194 

•,'njknr l.biis 1 

2S. e 

26sg 

!ui| ‘i-i AiucrrluanJ 

15r a 

164 

Its \ Unmui ;....i 

504 

51 

•■■CA | 

30 

504 

li«-|i|ili|lir ’•Leri.. , 

25 ‘8 

2658 

li-«.n' lull | 

180 

190 


I rilimUkl ii U4.'.1 64 I 54 

I'll U' J 40 I 404a 

<l«li L«nui[y Fnx; 357j I 35 Sb 

U.A.L. 404 I ‘40"a 

L tllC’O -.1 254 J 261* 

Util - 204 2-4 

L- n i lever 45 4 46 

1 'inlet ii NV I 694 i 

I iiiuii Unnii.rp-.i 264 j 26 fa 
t niuii I'nrtiNle... • 40au | 40ig 
L-iiimt Cuiuiiivnan 94 I 94 
bnu mi Mil f'elU...j 544 ^ 544 
bn inn ISnbg j a3l] I 334 


L ni|<.i\-ai 7 In I 75a 

l.'iiilol Bi*ii>lb...J 13 ia ' 14 19 

L > Uiiiiiih|i | 524 : 32'- 

L» L»»|i-iiiu— ....' 50>a I 3" 4 
I ■» Rime ; 2 a; B 1 294 

I S -leel.... 274 1 S !7Jfl 

I I Tei'liiuil.j^in. 46 464 

I V liiitii»:rK-i... 21>* . 214 
Viiumn Kim,.j 144 i 144 

Wnl s uxii j 295a i 30 

Wiinu-tA iiuiiiiii J oOig 1 50^4 
Whi-iht- Ljinil-eri j 29 29^9 

" ail.- llnn'melil i 291* | 29 Vj 

M i;li*"l'*iri.ii ! all) i a 14 

M HMein UaiKvrj-l 43 . 434 

U I'Mi-rli N . Aiikt. 374 ! 38 

Uwirru L iiiuii...! 194 19Sa 
U^iiii-jli'.e KIm.-| 224 I 224 

Wrutaoi. I 284 I 284 

ttuMtanmru..' 30 1* ! 30 J * 

I W lnri|«*.l 22 J* i 22 -* 

\\ lull- t.'.in, ln,l.. I 21 . a 224 

'Vhiipm, i „. ; 21\ I 224 

It iMimoin kin4..| 2 Bi« 1 29 


I ml>i 151* ! 16 

Illlaiul Nal.'iai.. ll 3E ll's 

lnt>.» Fil-i Ijllr l«ij ■' 18 
KaiNt-r Itn-i.i.'vea' 15a, • 15'-, 
Lauii Fmi. i..irii..i 64 - 84 

LutiUir tun,. '8'., 4.20 ! 4.20 
Mcnul'u I.i. ZSJ, . 254 

Uartev Kei^uuni 125a ' 12 4 

Mi-Inn re 27 i 274 

Moure l Ml I | 564 364 

Muuiiieni3iHieit* 2.95 ■ 5.40 
Anuui -la Muie»...‘ 341* J 34 
Nurveu tilery..., 165® : 174 

N'thn. 'film J. 394 • 394 

NumaeiUI A l.ar 294 I 314 
Oakwuwl Fetrl'm **.70 J 4.7a 
fki'itk- Ujiici U.J . 1.73 j 1.79 

34otfu-Frlrr-l-sitai' 340** |* 39 4 
t*kn. C*q. 1 ’bi’ihj 341* j 35 

l*atin. I j 9 i 2 19 

I'eofrif-i Jltpi. nJ r>^2 5.50 

Htaiv ban. a i.iii:| l.Ba ■ 1.98 
PlacerbevMii.pml] 24 Tg | 255* 
PuwerCoq.-rai'ni 195s | 20 

I'flIT j lQ3* , 19 

Queiiei- >li in-eon) 2.15 : 2.12 

RaoKerLm • 181* i 19** 

Itreil Meiili.u.-se^ ll?a I 12 

l!iu Al-imii 364 I 37 4 

iiuv.l ilL.nl «.»nj 554 I 344 b 

Ku>alTruM I — ) — 



■: sept:, is 


"1 .Fnoe. ! -*-or lOnufi 
. &p* | — 


ALMIL oa cenu)^...„.„. 
Aero* Amtnui 
A MAUL SI 

2.5 Ampcd Kxptomtioo..-^. 
1.8 Alnpol Petroteum...™^™ 

1.3 A 'HOC. Minerals 

2-7 Au.tc. Palp Paper SL—. -i 
1.7 AaBd-.-. Con. InditsTriwi 

1.5 A oat. Foundation lnve*t-.l 

2-4 A. Si.! | 

0.8 j Aotflmei ,. r .i 

0-B | Aim. Oil t: Ga'. • 

— Bamboo Cr-ek Gokt : 

♦.0 1 BtueAletaf I wL „[ 

feuuKBhiv'iite ' 'upper 
HriunMe* Im1n«trie». ........ 

Brnfaen Hill Pn>nrieTarv....i 

BH smith 

Lari ton tnubal Ucv*erv—J 

bill l$! 1 

Uebtiurn Ciemeat. 

Cule- tfi. J.i 

b'oldriekla A utt ...| 

Uner (Slj...... 

iKiotlnte.J ...i 

A im TtsIi* . _1 

Uuinop Uubber(fil) 

tBCOk | 

UtfienSmitb 

Endeavour Reworce»„ I 

K-7- 

iTty Trust j 


t0.76 +8JK 006 UIZK. 

10.85- t4ncoThiRrani_ ; 1.75 0JJ3 _.4c 9 

f2. 17. Banco UmuPS — i'i JL4U — ! J.A'cJt 

tL40 Belto^Afm&aOPj 1.10 -O.OII-.Ot;7 . 

t0.87 +9.01 LoxSltair.OPj 3.61 L. '.J.XJfi 

1L50 Ptfrofenm pR^vJ 2.33 —0.04 J.13!5' 

tl.65 -0A1 PUntHOPrJ. i ..^ l;50 f^*Ui3i0.16;t 

tl.87 >SJS 3uW»bnKbP.-J 2 .& 1 J i.mwjR— .. 

tL10 . lSupPH...'_.._ ‘ ,5^7-i.+0Jjr j. 25.4 

ti.70. +UW lv«t»^Ho Pree PPtJ.l.I R ^ V ££ 

»2 jlntfi 'Wowier Cr.7S.taL. yotane_A«jn‘ * . ’ * 1 

toilo "Sowee; Rtn. dc. Janeiro SE. - -. - 

f 1.29 I . ’.J!"* . 

tl.56«};+fl.Bl 05tO :i 

f2.03 'tfl.o.1 

t8.44 -*y« - . Frwe 1 4-tir' UU|\ 

1 1.50 j+lUB _ . ■ r-ir: .[.Ho-nw i S ; 

tsiee Sw Samen tto iui; — 8 ' 

fl ^4 i • / Uwrejjfttnl— — } .• 79.0 — a.b — j 
♦230 -+4.114 Lwdnbank-.^-.. 114 ;rl ‘ 11 j 

S : S-i8S SSSsta-ffi jlf ' • u 1 - 

aaaagg'-^afciK 1 ?! - ' 

ti.da +i”ot . . • ;• • " ” 

Sal Un JOHANNESBURG . 

1028 MLOt 1 . MIMES 

13-25 -MI ^ 


364 J 564 
65a I 65* 


30 1* ! 504 


reepin* K’.- m tires- 7!* | 8 

^••^niuiK •■3041 3lTe 

■allell ( ana. la 164 i I 64 

■aliLirm 4, .M men 74 I 74 

siuU-in 0 . (1 ■ 364 1 364 

Uiniiaun _[ 65a I 6ia 

■aieelul Lam. la..! 26tg I 27 

Steen llw-k Isnn..- 3.3U | 3.30 

rexaivitnni-bi > 404 ’ 49 

rutunln Hutu. Ilk.} 914 ; 201 * 
TranaL+in l*.|«.Ln‘ 175a : 1?S8 
Tran* Muum Opr.' 8/g 1 Big 

Tny«- M .„1 tl54 ! 15i* 

l.'oiun tin- Hi* I 12 

l>iil. -ai-4.lv M iqen! utg | 9 

IVaiker Hint in,. „i 58 1 384 

VVert. L'-iu-l Irani.] 134; 1 2 Sg 
MesLnniTeu _| 193* 1 20 

t Bid. I A Meed. (Traded, 
n New wjcR. 


1 t'MA . 133.5 J.4 1 

V erf-mu A West Bk! 294 18 

tulksna^Hi ! 240.5 -r 2. 3 I 26 


183.2,-0.3 ! 25 6J 
274 •— 1 :aa.12i a.l 
299.5'+ 0.8 25 I 4 Ji 

271 +2 ;2B.&4: 4.9 

Z18.0 +0.5 l/.la: 7.a 

191.7 +1.2 17.U, 4J Source NtUni Secnrtaes, Tokyo 

155.5'.- — — 7.5b 3.5 
294 18 3.1 

240.5 +2.51 26 , 5.2 BRUSSELS/LUXEMBOURG 


AMSTERDAM 


, : . bi'iv - - 

Prli-e i + or) Fw. 


+ or 'Dir. 


Nln ild iFl. 20) ' 115.8 + 1.3 1 *28 ■ 4.B 

AkzotKI.SO) 33.7+0.2 1 — — 


AiuemBnliiFI. lOOi 390 i A2iS- 7.3 Kleelmbel I 6.B5U 

Nil tV iKl. ha.' S3.0U — U.5 | 50 '5.3 Fabriqne A'at_....3,100 



— _ laatrioB-..-...,i 

rt terid) ........ 

Uii 

# “*« Exploration: 1. 

lokUngK 

u*** Empori um .' . 

•ailiia 1 QiemanonaJ 

North Hroken H'din^a (80 ■) 

Uikbrlilfr 

tiemvh : 

Exploration 
Conwreie..-. — 

A t'ri l.imui, ,. ~ ... 

leigfa — ... 

nd M ining 

Exploration 
J 


84.8—0.1 'A2J5, 5.0 Ui.B. limo- 8 m.... 5.3S0 


EUROPEAN OPTIONS EXCHANGE 



BASE LENDING RATES 


A.B.N. Bank 10 % ! 

Allied Irish Bunks Ltd. 10 % 
American Express Bk. 10 % 

Amro Bank 10 % 

A P Bank Ltd 10 % 

Henry Ansbacher 10 % 

Banco de Bilbao 10 % 

Bank of Credit St Cmcc. 10 J, 

Bank of Cyprus 10 % 

Bank of N.S.W 10 ‘IJ 

Banque Belye Ltd. ... JO % 

Banque du Rhone 101% 

Barclays Bank 10 % 1 

Barnett Christie Lid.. . 11 % I 
Bremar Holdings Ltd. 11 % 
Brit. Bank of Mid. East 10 % 

■ Brown Shipley 10 % 

Canada Petm't Trust 10 % 
VUipitol C & C Fin. Ltd. 10 % 

Cay/.er Ltd 10 % 

Cedar Holdings 10J% 

■ Charterhouse Japhet... 10 % 

Chouiartons 10 % 

C. E. Coaled 10 % 

Consolidated Credits... 10 % 

Co-nperativu Bank w 10 

Corinthian Securities 10 % 

Credit Lyonnais 10 % 

The Cyprus Popular Bk 10 % 
Duncan Lawrie 10 % 

Eagii Trust 10 % 

English Transcont ... 11 % ■ 
First Nat. Fin. Corp.,.. 111% , 
First Nat. Secs. Lid. ... 11 % 

■ Antony Gibbs 10 % t 

Greyhound Guaranty... 10 % 

Grindlays Bank +10 % , 

B Guinu'ess Mahon 10 % 5 


■ Hambros Bank 10 % 

■ Hill Samuel :..S10 % 

C. Hoare & Co. jlO % 

Julian S. Hodge 11 % 

Hongkong & Shanghai 10 % 
Industrial Bk. of Scot 10 % 

Keyser Ullniann 10 ‘Ti 

Knows ley & Co. Ltd. ... 12 % 

Lloyds Bank 10 % 

London Mercantile ... 10 % 
Edward Manson & Co. 11!^ 
Midland Bank 10 % 

I Samuel Montagu 10 % 

I Morgan Grenfell 10 % 

National Westminster 10 % 
Norwich General Trust 10 % 
P. S. Refson & Co. ... 10 % 

Rossminster 10 % 

Royal Bk. Canada Trust 10 % 
Schlesinger Limited ... 10 % 

E. S. Schwab ... 115 % 

Security Trust Co. Ltd. 11 "fi 

Shenley Trust 11 % 

Standard Chartered ... 10 % 

Trade Dev. Bank. 10 % 

Trustee Savings Bank 10 % 
Twentieth Century 3k. U % 
XJni Led Bank of Kuwait 10 % 
Whiteaway Laidlaw ... 101% 

Williams & Giya's 10 % 

Yorkshire Bank 10 % 

Members of ihu acccjKuw Houses 
COmmlifco. 

T<Ur deposiu, l-mootb depo«u 

It'*. 

r^Uy dPDoniTs on sunuu trt rtO.OW) 
and undur R'.'-.. up la £23.805 «i... 
and over uu.voo ■ 

Can deposlis over n,W» <*», 

Demand and Uvposus Tlfli. 


Annul «uk (Vl.20^ 84.8 —0.1 'A2JS- 5.a 

UiKDkorf I 100.0 —0.5 , 26 I 5.2 

BulwlViat ni(K.I0)| 155.0—0.6: 82^6.2 
Ituhrm I'etU-itole., 74.2 —0.3 . 26 \ 7.Q 

Ki wrier V (FlAOi 306 27J l.t> 

EnniivN.\.Baarer| 148.5—1 .37.5-5.1 

Kui Com | *tl Fl. lOtJ 69.5' 94.6 5.0 

tilhlal Bnw.'w le* t‘li 41.2 — u.a ' 20 4.9 
He'nekvn (Kl. S+ii 108.9—0.5 I 14 ! 5.2 
Hvma»m"nviVii0>| 38.T— 0.7 — ; _ 

Hum Hr Li.it'i.uo) 24.6.— u.3 i 4 , 4.S 
H.L.J1. ih. 1UI).. 166.7:+ 3 2 ; 8 4.0 

Ini. Al tiller ilBOj. 48.6 — a.4 , 19 7.B 
Nunten ip., loi.. 5u.5|— u.8 - 12.5 4.1 
Nal.NwIln.lKi.K'j; 117.6m!+l.o ■ 48 i 4.1 
AwlCiwlBkiKt^ajl 60.11 — 11.4: 21 I 70 
Ne.1 UiilUkiFuOiJ 211.0,' — 4.0 , 22 | b.2 

Ou-e (KIAXli 1 177.3' — U.7 | 56 , 4.0 

34.1!+0.7| 23 i 6.7 

VauOuimerm 149 l+u.9 — j — 

t'm.lw+.l 43.0-4-0 a I — _ 

PlnlipM IKl. 28.8; + U.1 17 5.9 

liju s-.-ii Veil Kl .100 71.3 —2.7 1— — 

■tube™ iKijOi 178.«j— 0.1 'AZSE 7.2 

Itniuwinfutit.... 145.9— 0.1 1 — — 

liniauiu iFljlIi.... 1243 a9.3l J .8 .tiinninmm '1075 

Uu.v«l UuicbiFia 132.4»d .63./&I 8.1 15BO 

latent*, s 261.8-1.8 20 ; 7.7 U.ha GaMrVUU’' '^60 

nevmCrprFlJOi 114.0 -2.6 2 7*' 4.8 LA> ftrt U«rtl 720 
1 i-k.\ii IV.HM ».4 146 -I |?D.40:o. S K ^ i 5b3 
l-nileveriFl.au... 187.5 -0.1 ; 48j! 6.7 C^an 

Kjectmwiiti 1.935 

Kiwher (0 prime i .’ 600 
HoRuuin l*R+rtt-. 6 & 500 

tH>. .6.650 

luli-mml 2 5.675 

Jt-lmnti iPr.KWl.. 1.3U5 
Nestle (Kr. ICOi ... 3.3 lO 


: 430 j b.a 

.... '17U ! 5.5. 

■liS l 1 ^ , ®-2 PARIS 


ninST (W rental 


11O290 . 4.0 


Oocul't'eJ 42a 

iide. 447j 

“ — 521 

493 

794 

>rraa. M . a32 

1,043 

3a9 

A. leal ei 1.060 

hncafre. 416J 


T : ~ I f *en- Bsnnuep.iau —5 !2ub g 5 
B4-S--0.3 I 15 , 4.9 >«■ i.en beta naue 2.010 .—20 14« , 7 n 

166.7, -+3 2 , 0 4.6 ah lua 13,240 20 '315 1 n's 

48.6 -*J.4 , 19 , 7.8 1 * 1 ° fi 


“ I - SWITZERLAND • 


'DhM— 
video rate. 


tie? - S September & ■ - - Jtawl . - -H> 

+2 35 id + 4 g or Anglo American; ConUL — 6-3A + 

taaa ■ I+un Owrter ConsoiHUted — t+.io - - 

talal ^ -EMt Ddefontein UM : - 

ta.33 Elsbor* " . — — 2 .» - 

Us aag y, - as - 

ti.ia -fi.ai KhMT . M so - 

t0.37 JI.M KastenburK Platinum 1 1.71 - * 

tOM ■ sl Beidiii . has +. 

12.55 ■ +B.85 SotftnvaaJ ' 7 , ■---- “' 

tl.60 >.+. .CoU Fields SA .. — 24-00 

12.35 ... — U ninn . rnr pni-afrtt n — 5.GBXU. •, 

t0.93 -OJW De Bern DeferreC -— 

11.40 j-fi.Dfi Blyvoorutuicbt / 6 -t® 

1L85 -0.01 East Rand Ptr.- S.Sa _ 

10.13 -11.01 free State (tednld M.M - 

tO.52 M 1.02 President Brand — — 1 *.W — 

tl.B 8 +».'5 President, -Stem ..... 16J0 ' “Jr 

. 13.90 l+fl.10 ^•uU’ihubBi • ' — 5.U - -! 

T0.69 MT.06 WeOcOTtl S.t3 ' 

10.39 Ufl.OI West DrWonleln 44-50 

10.45 ; We*u*ni Holdings ...;. ' 

11.90 -tun- -Western. Deep-' .. ; H5JQ r * 

rfn! IHDUSTRIALS 

tl'69 r2‘n{ ABa - ■' 3-S# * 

... pa _jzr_ -I Angla-Amcrt. lndusmal ... 10.3U N 

Barlow. Rand — — 432 

CNA Jnvesiments tl-93 

| 4 . orl Iliv.iVtil. Currlo Finance 0-S2 • “* 

— ! FrK.) H De .1Jt?ers lndusmal ........ 111.50 - 

L Edgars Coasolidsted lov. 2 Slid; . 

—3.3l 4 i«l ,».r Edgars Stores JM-Otai 

x 4 |2t lb 4A EvorReady ' SA 1 . ..... 2U5 

0-2.9 1 1 S^ w.j Fcderaie VolAsbeiuggings 2.« 

2 (or it, at Grenier roans Stores • +.bo 

—S fis «. 2 8 Ouardian Assumnce iSAJ - 

Ji “Ii RT* ;!! 

77 Tr i'7 McCartby Rodu-ay — 1-0? 

S'i OK Bazaars T-if 


A-EQxd v 

s.m 

3j"sQ ■ ' 

17.99 — 

16 M ■ , 

5-U d -t 1 if 

3.73 - 7*1 L'i/Aa*!-. * 
44-50 ** !#U; > 

■37J» 1 V 

liOT r* n 


- 2 - ^B.zaia .1 
1-3 2 8 

1-21 1 42 ».3 
-a I 40.b 7.6 
+ 1 i 7a 4-1 
51.6 8.1 


aJiiliWB sy=?Sta-T==: &■ 

SlTHri 4 SI PiTlorta Cement ; M 


ilediwr 441 a.v > i <k 4 4 riwurut uinnu 

“ ,o: ° K-MuSfSwp^fiS’- 


-iacquM Morel 


643 LZiit '«"rr; fit Rembrandi Groua JJ-'Jj. 

“3“ _l — 18 dO-7hl 6.1 {ipinn- . 0.4T 

128.1] + lu 3 14.10111.0 saae Biddings 1.50* 

254 j — 4 8.-25I 5.2 SAPPI .2.5* 

-’.li— 1.8 B.7I 9.1 G- G. Smith Sugar MS:- 

.8—0.1 — — SA Breweries - 1-47 

.21—3.9 lfi.TR 8.1 Tiger Oais and Mart. MIg. 10.15 

J — 3 . 15.971 8.1 Uniaec — V1B. 

1+8 3 Hi 75 

-33 59J1 


Securities Rand U.S.Sfl-fift 
(Discount of 33^%) V 


COPENHAGEN * 


- 1 - or ; Uiv. 


An.ielKUinbeii ,.i 142 U I i 11 1 7.8 

Karn-ke Mank ■ 12BU‘— U [ 12 ! 9.4 

t*..r Asiatic to., i 16212^1* I 12 7.4 

Knun-tankeD I 133 1 j 13 '! 9.7 

Mryngmer 360 ]— 5 12 | 3.3 

Fur. Fajm...... 89Jj + «2 J — — 

UaafebdisDk UJU , 12 i 8.6 

G..Vib'nH.iErtXi{ 29 J : + 3 12 i 3.7 

Aoofkahei lB41 a !+U ! 12 ] 6.2 

Olletabnlt....„ HB [ I — - 

t'MvBUxmk 1331-! I — I 9.0 

tVjvinibanfc i 140»i 

soph, Uereaten.,.' 401 .—1 
auperfba , 1791 2 k _lj 


12 l 4.2 
14 I 4.6 


— 1 9.0 
U ! 7.9 
12 5.0 
12 6.7 



'Jtviiiurrimi ...... 

Fermi vner..., 

•i‘iei.« 

• pm pen L 

•|pyr Uaiinler .... 
V«n Majjne»it .... 




























Gloomy outlook for cocoa supplies Tea dearer 

*Y OUR COMMODITIES STAFF as demand 


KENYAN AGRICULTURE 


W OUR COMMODITIES STAFF 

' THE 1878-79 supply, picture for It estimates that about 40,000 A inn 
cocoa is distinctly pessimistic," tonnes of beans from tbe s,uv 
according to the latest market Temporao crop in Brazil have 
report by the Loudon merchants, yet to be shipped, of which a 
Gill and Duffus, out today, it says substantial proportion is unsold, 
a “significant reduction" in However, it is expected that 2.000 
world production seems in pros- Brazilian exporters, . anticipating 
> pecL a decline in th e mai n crop, “will 

The prospective reduction in “ot lightly let the cocoa^go." In 
s supplies seems likely to keep Africa the unshipped balance of 1,900 
prices firm, even though it is “* e cr °P 15 considered to be 
unlikely that the recent timid relatively small, with about 
v, recovery in world consumption 25,000 tonnes remaining to eome 
will gather momentum. from Ghana and Nigeria. 

™ * e . Gill and Duffus comments that n i BUD 

• j « e e j t ™ ate ° f sundus pro- a remarkable feature of the 
auction during the 1977-78 season 1977.78 season has been the fact 

■ has b , een that the surplus of supplies has 

t °° nes a 8alnst 116,000 remained in the background of 1,700 

• tonnes in the last report in July. the market, only infrequently 

World production is put 3,000 dictating the course of cocoa 
tonnes lower than previously prices. 

..forecast at 1,471,000 tonnes (net In tbe past month, the sharp 1 kqq 

1.456,000 after weight loss) while depreciation of the doDar and 

^ seasonal grindings have been the relative weakness of sterling 
•.. raised by 10.000 tonnes above against other currencies, to- 




COCOA 


setting oh the trees in July and 
August was at abnormally low 
levels. 

Nigerian production is ex- 
pected to fall to between 140,000 
to 170,000 tonnes, against 199,000 
tonnes in 1977-78. In Brazil the 


picks up 

By Our Commodities Staff 


pei-ieu 10 iaji iu ueiween iw.uuu nnir pE np 
to 170.000 tonnes, against 199 000 ™ C ~L£ly 
tonnes in 1977-78. In Brazil tbe 

main crop is not expected to snSoed^un 

ba£S agalM i em 5ME£™2JSK 

Coco, futures prices advanced ?S« er,4 “ ™“ 37 > * “® «• 
sharply on the London terminal 


Bold land project 
nears completion 


m \ r I B ||S" II resVm^yThe*' 1 '™™”; * b “{ 

I 978 ! I • 1 ImI BIo I surge which has been largely ***? °C T r *f? n _ t torrential 

apb- may juw Jut auc see J due to worsening estimates of rains , e , r “ Indian crop 


last year ^ S supplies. The average price for 

Coco, futures prices advanced B* 4 ®* ™“ 37 » » t® 

sharply on the London terminal M 

market yesterday wiping out “ 

Friday’s profit-taking falls. The .f® *® p * ^4? 

December position climbed to at ia f t 

£2,070 a tonne at one stage * 8 J^ e 

beFore ending the day £52 were “changed at 118p 

higher at £2.041 a tonne — the a . .. . 

highest level for nearly six . 

months. demand for quality teas 

stemmed from a surge In con- 


BY JOHN WORRALL, NAIROBI CORRESPONDENT 


Yesterday's rise represented a 


1978-79 crops. Some market 
sources have forecast that the 


and co mm u ni cations in the 

,. uwl main growing areas of the sub- 

the^July report prediction to gether with anxiety about the likely to be under— possibly well world crop in the- coming season continent 

- 1,353.000 tonnes. new crops, has effectively en- under— 250,000 tonnes. will total only 1.35m tonnes Heavy retail promotions for 

The report questions how sured a steadily rising level of This compared with the already compared with 1.46m in 1977-78- tea have produced a significant 
much the carryover from that cocoa prices. poor crop of 263,214 tonnes in Talk of East European manufac- rise In-demand in the past four 

'-surplus will have a restraining Reviewing the 197&79 Ghana- 1977-78 and a crop of 451,130 turer inquiry provided further ' k ’ ec, ° 8 ® ^ Wenders are now 

effect on prices in the new ian prospects, the. report fore- tonnes in 1971-72. It says that encouragement for yesterday’s re-stocking to cover the rise 

-season. casts that the main crop seems despite good early rains, pod price increase. in outgoings. 

. _ Traders said markets in 

Calcutta, Mombasa, Jakarta 

nj 1 . a pi 1 .. '..TB.m A 1 and Cochin had all been active 

stocks cut Strike disrupts copper ssles ^r^^bS 

_ m a * A and in London might develop 

DOOStS till BY JOHN EDWARDS, COMMODITIES EDITOR 

, three months." 

By Our Commodities Editor INTERNATIONAL NICKEL of the strike^hit Copper Cliff nickel promise proposal for an hourly There k also some concern 




Stocks cut 
boosts tin 


casts that the main crop seems despite good early rains, pod price increase. 

Strike disrupts copper sales 


by John edwards; commodities editor 


By Our Commodities Editor INTERNATIONAL NICKEL of the strike^hit Copper Cliff nickel promise proposal for an hourly There is also some concern tionsL* 

% T> CTrTr c -HmhPd tft now Canada has declared , ;*Y tone refinery in Sudbury, also has pay rise of 10 cents, plus con- about how communications in The main area covered is the 

^ v- v. rn i tv, t majenre on copper shipments to sufficient stocks of raw material tinuation of the cost of living northern India hare been “White Highlands” of tbe Rifi 

r ! a , its European customers. Tbe “ feed ” to keep going for several adjustment pay-out of 79 cents, affected by the recent floods. Valley, the ^richest farm land ir 

Exchange yesterday following a com p ail y warned there would be months. The Inco plant at But the 10 cents increase Most of the tea crop in that Kenya. Those Africans settler 

^•larger than expected fall in ware- delays in shipping following the Thompson. Manitoba, which included a 5 cent rise in the cost part of India is transported by in this area have been* mainlj 

v house stocks. - strike by *1.700 workers. at it5 normally produces about 25 per of living adjustment due to begin river. . Kikuyu, the dominant tribe. 

It bad been anticipated last Sudbury. Ontario, mines, which cent of Canadian nickel output, in November. Some tea from the area has — 

week that stocks would fall by started on Friday night. is not affected by the strike Because of an excessive build- begun to arrive in Europe, but 

between 200 to 400 tonnes, but Mos{ 0 f inco's copper produc- either. up in surplus stocks of nickel, the balk or the crop, already m 1 

in fact they declined by b55 ti on — reduced from 150,000 The three-year labour contracts Inco has been forced to cut pro- later, than usual, is not I AVIfinAlT 1 

tonnes, reducing total holdings tonnes annually to 100,000 tonnes expired in July, but were duction drastically. However, a expected to be landed for some 1 Cl irfl ? 1 

to a mere 1,515 tonnes. this year as a result of output extended while negotiations over spokesman denied yesterday that weeks. «/ 

However, heavy profit-taking cutbacks — comes from the' Slid- the terms of proposed new con- the company welcomed the stop- — 

^selling trimmed earlier price bury mines and goes through the tracts continued. page. He pointed out that it was . BY CHRISTOPHER PARKES 

rises- Standard grade cash tin refinery there. About -half of The Ontario Minister was costly to put mines on standby Pfl ill DIM OPS warm t antii nuns should b< 

.closed £30 higher at £7.285 a the ou&ut is exported to Europe, finally called in to seek agree- and to restart production again A F^L^LOims should b 

tonne while the three months and the rest is sold in Canada. ment and put forward a com- after a stoppage. S!°!SJS 1°^ » 

• quotation gained £40 to £7,Q45. Sudburv also nroduces about 6X001710? f? TnJSftinn S 

Reuter reported from Washing- 75 p er ^nt of Inco’s nickel -pro- . , * & ft. J 

:• ton that the U.S. House of Repre- Auction in Canada. But . the 1 • 1 j Iacc nnnrn Chartered Surveyors says in a 

sentatives has delayed until next Jupply of nickel is unlikely to ( )«@ C AW flOWTl leSS CO pra TSSLJX 

: Monday its vote on the tin stock- be affected unless the strike, over V^JUL &M\M tt UU If U . a Agriculture. 

pile sales Bill which was new labour contract terms. lasts aepL ia Alternatively, the landlord 

- scheduled for hearing last night a long lime. THE VEGETABLE oil industry world oilseed meal consumption PHILIPPINE COPRA exports should be given similar rights 

It was claimed that a dispute For a start, Inco currently had a record year in 1977-78 but will increase by only 3. to 4 per fell in August to 30,466 long tons after 25 years of a freely- 

, had yet to be resolved between holds nickel stocks Of about a less satisfactory season lies cent. from -'.38,878 tons in July, negotiated tenancy. 

-. the International Relations and 300m lb — only just below its ahead, according to Oil World, Total soyabean crusbings are Philippine Coconut Authority T . onuorn5n „ 

Banking committees. The Bank- total deliveries for the whole of the Hamburg-based publication, expected to increase by less than statistics show exports were also __i I n 1 5 l _ p; vr fnr fJ™ 

r ing panel plans to introduce an last year of 312m lb., and well This season, crushings in 25 3 per cent down from 44.289 tons in August JJL , h “ 

' amendment to the Bill banning above the reduced production countries which account for two- 1977. aSSbiShe? landlSrd^ildftenam 

the release of stockpile tin until target of 225m lb this year. thirds of world crushings rose by y,. *. _ . Copra exports for the first inh hTStoPd 

the world price is below the At the same time, the. 750 a record 10m tonnes or 14 per KllO(llllIll PI1C6 f?. ht *?? ntha f® year , bave S?hv to tim su reess of 
■ “ceiling” set by the Interna- workers at the Port Colbome cent to an all-time peak of 81.4m. “ fallen to 281^75 tons from 

tionai Tin Agreement, it was nickel refinery in Ontario voted This compares with an increase JOHANNESBimG, Sept 18. 313.566 tons in the same part of culture, the institution says, 

claimed. in favour of accepting the con- of less than 1 per cent the pre- jifPALA PLATINUM has raised 19 I7- - „ .. . . 

Copper prices were boosted by tract proposal made:- by Dr. vious year. its oroducer pr gce lor rhodium . Crude coconut oil exports have encourage lettings and attract 

the International Nickel an- Robert Egli, Minister of Ontario. Indications for 197S-79 suggest bv ^ tQ a t OUDCe P 5 ™ ov ® r J“Pgjpd, to 613,616 new people into the Industry, it 
nouncement of a cutback in Tbe refinery, which prodnees a marked slowdown in the growth bnmedteteiv ’ ^^ asainst 4(9.<68 tons. comqients. 

copper deliveries to Europe. As electro and utility nickel pro- of oilseed crushings, perhaps to enera¥ - Coconut product earnings In The authors stress that while 

expected, copper stocks inLME ducts, has three months’ supply about 3 to 4 per cent. Impala last adjusted the pnee the first eight months this year the Institution supports the 

warehouses were down again, of raw material “feed.” ' The main factor behind the on January -5, raising it from rose to 5551m from $506m. in the principle of security of tenure, 

falling by 5,125 tonnes to reduce The Qydach refinery in Wales, predicted lower growth rate in S450 an ounce. 1977 period, the figures show. there is now an urgent need to 

' total holdings to 430,500 tonnes, which produces pellets ay 'does 1978-79 is the expectation that Reuter Reuter ■ find a way to encourage tbe 


part of India is transported by 
river. . 

Some tea from the area bag 


later, than usual, is not 
expected to be landed for some 
weeks. 


PRESIDENT KENYATTA did 
not live long enough to see the 
rounding off next year, of the 
unique British aid scheme which 
enabled his Government over the 
years to buy out British settler- 
owned mixed farms in a massive 
programme to resettle African 
peasants. 

The aid began in 1961. before 
independence, as a Colonial 
Government exercise and is due 
to end in March next year. About 
3,000 mixed farms owned by 
British citizens have been bought 
for settlement in 17 years at a 
total cost to Britain of about 
£49m. 

About 500.000 Africans bave 
been installed in some of the 
best land in Kenya, with small 
plots of five to 10 acres or more. 
There are 35 farms still outstand- 
ing, and still £6m left in the kitty 
for the Kenyan Government to 
buy them out. 

Popularly,, the aid programme 
was known as the “ million acre 
settlement scheme ” but it grew 
to nearer 4m acres. It covers only 
mixed farms, with a variety of 
crops, some cattle and sheep, and 
excludes big ranches and planta- 
tions. 

The main area covered is the 
“White Highlands ” of the Rift 
Valley, the richest farm land in 
Kenya. Those Africans settled 
in this area have been* mainly 
Kikuyu, the dominant tribe. 


Oil crushings slow down 


exporting 
less copra 


COMMODITY MARKET REPORTS AND PRICES 

a or' irrrr t r o' ■ U*e nature wlOi bade' Intaiast at a low noon. Some tile solllnc caused a dose rflFFFF — C.I2, rest nfl (42J2. rest nil): Grata Dec. 185.0. 86.0, P4A 4; March JSfi.0. S9 0. 

KAoJb Ml 1AJL5 . ebb. Comes was hteber la the afternoon, on the Kerb of rt.Mfl. TurnnTar 1,400 W* a EU targhum — S1.M. rest nfl >91.64, rest nil>; nil; Mar 186.5, 89.0, oil: Jnly 1S7.0, &1.D, 

— _ ^ , ' ' , 'bot London did not foDow Through and tonnes. ' ROBUSTAS traded tea narrow ruse Raw lewles: wheal or mind wheat and nil; OcL 189.0. 92.0. nfl: Dec. 189-0. 93.D. 

COPPER— HJote- on the London Metal Kerb u /7K3.5. . Turnover r- j-- j- :2 j — througbooi tbe day in featnrHew coodl- rye flour— 136.61 (128.01 >; Rye Bow— oil; March 190.0, #4.0. rnL Sake: A. 

Exchange although forward copper estab- fo 4 TJ Tr.nr.csr f TIN - 0ms - Dresrl Barham Lambert reparted. 13IJ7 (130.471. 

Usbed a narrow trading ruse pre-market, '\rnalgxmaled Melat" Trading reponed TIN orticuti | j nottiaat ) Scattered dealer buying gave a steady AJT? A T /VCP fTA PI TC 

between £761 and £785. and did not move ^ j ^ wirebars traded v «_ fT" 1 £ ,. tone to late trading and at the close values - DTTDDrp MHA 1 / T EUEl ABJLE» 

thp rlprlurailrjn nl fnrrp malnir* at taco. - ’ ..'f * 6 mo pUraJ 7680-100 I + B 0 I 7060-80 , +■ W . — market. Fair Inlnvvt at Inaiar IwhIs. Scothah lulled sides 51.0 Irt 3S.0: Ulster 


The scheme, angrily criticised 
by many Britons at tbe time of 
Us i nception but extravagantly 
.praised since, has helped greatly 
to assuage land hunger among 
the Africans, which was one of 
the root causes of the Mau Mau 
troubles. Africans saw the best 
land in Kenya occupied by 
Britons — land to which they had 
no access. 

One of the chief British 
valuers in the scheme, Mr. 
Dermott Kydd. who has been 
involved in tbe delicate task of 
assessing fair valuations of 
farms to be sold to the land 
settlement authorities, .said to 
me; “ It became one of the most 
imaginative schemes for the 
orderly transfer of agricultural 
land from large-scale ownership 
to the small-scale settlement of a 
predominantly peasant dass ever 
attempted anywhere." 

Tbe scheme was designed for 
two purposes. One was to ease 
the way for British farmers to 
sell up fairly and without panic 
nnd to enable them to plan their 
future. The other was to enable 
the Kenyatta Government to 
appease land b unger among 
their people in an orderly man- 
ner that would not create an 
agricultural or social crisis. 

The only criterion for a farm 
to be bought out under the 
British scheme is whether it is 
suitable for African settlement. 


Many fanners took their 
money free of exchange control 
and left Kenya for South Africa, 
Rhodesia or returned to Britain. 
Others sold their farms and 
stayed, invested in Kenyan 
enterprises, or simply retired. 
There were many options open 
to those who became Kenya 
citizens. 

Over the years since, tbe rate 
of sales under the British scheme 
has evened out into a steady 
trickle. Owners of some of the 
35 farms left on the list will sell 
under the British scheme, while 
others are trying to find private 
buyers. But they will bave to 
make up their minds before 
March 31, tbe end of the British 
financial aid year. 

Meanwhile, there have been a 
number of changes to the land 
that has already been sliced into 
small settlements. 

Large numbers of small Afri- 
can settler are farming well, and 
this shows in Kenya's good 
overall agricultural performance. 

Many smallholdings are under 
co-operative management and on 
Tbe whole the co-operatives are 
working well. But some arc 
suffering from b2d management. 

Parallel witb tbe Tand pro- 
gramme has gone another British 
scheme, to aid Kenya’s Govern- 
ment with the cost of granting 
title deeds to the African settlers. 


Tenancy laws ‘threaten farming 


Reuter 


BY CHRISTOPHER PARKES 

FARM LANDLORDS should be 
allowed to serve notice to quit 
on tenants reaching the age of 
65, the Royal Institution of 
Chartered Surveyors says in a 
report sent to tbe Minister of 
Agriculture. 

Alternatively, the landlord 
should be given similar rights 
after 25 years of a freely- 
negotiated tenancy. 

The present laws governing 
security of tenure for farm 
tenants are threatening the 
established landiord-and-tena-nt 
system which has contributed 
greatly to the success of British 
agriculture, the institution says. 

“ Changes are needed to 
encourage lettings and attract 
new people into the industry," it 
comments. 

The authors stress that while 
the Institution supports the 
principle of security of tenure, 
there is now an urgent need to 
find a way to encourage tbe 


release of more land for letting. 

“.This immediately raises 
major problems affecting tbe 
very basis of the agricultural 
holdings legislation. 

“ We believe that the point has 
now been reached when this 
security, coupled with fiscal 
measures, is threatening the land- 
lords d-tenant system to a very 
serious extent,” the institution 
says. 

Farms are now very rarely let, 
the authors claim, and while 
easing of capital and revenue 
taxation would solve the prob- 
lem, such moves “ may be 
politically unacceptable.” 

The report rejects the popular 
argument that tenant fanners 
and landowners should be 
allowed to enter freely into fixed- 
term leases. 

“ We feel that this could cause 
problems with rights of assign- 
ment of the lease and with land- 
lords’ fears of enfranchisement 
of long leases," it says. 


Under the institution’s pro- 
posals existing succession rules 
would remain unchanged. In 
the case of notice being served 
on a tenant farmer reaching 65. 
compensation would be payable 
for disturbance except where 
family succession took place. 

The proposed right to serve 
notice after 25 years would not 
be retrospective and would apply 
only to tenancies created after 
the necessary amending laws had 
been approved. 

Other recommendations in- 
clude a proposal that lettings of 
between one and two years 
should no longer be excluded 
from the rules governing 
security of tenure. “ This would 
remove a well-established loop- 
hope.” the institution notes. 

Agricultural Holdings Legisla- 
tion. Free from the Public 
.4jfairs Department. RICS, 12. 
Great George Street. London 
SW1 3AD. 


rnFFFP -42.12. rest no (4202. rest nJl>: Grata Dec. 1S5.0. 86.0, ?4A 4; March JSfi.0. S9 0. 

currcb nrghum— 8L64. rest nil >9LB4. rest nili; nil; Mar 186.5, 89.0, oil: Jnly lSV.O, 61.D. 

ROBUSTAS traded In a Btnw range Flaw leeles: wheal or mixad wheat and nil; OcL 189.0, 92.0. nfl: Dec. 189.0. 93.D, 


PRICE CHANGES 

Price tn tonnes nnies otherwise stated. 1 


— • - — ■ - — — . — uui in we m in ning caen wirenars inoea Tzz „y ft,.,,, j . I n I J «• Tone to late trading and st the close values 

■ from it the whole day. TUe main Impetus t U^ae months 1763 J. w, erade*. i^cfirUon Lao mn near ^ kW* 5 - £15 to £20. op on 

behind the Maher level of prices .was Si' 8L. “ CatMuJeT. cash o£ SSzsH b al«KT- 

^ ^ * Kerb; Wirebms. +B0 7060^0;>« p 

Burma w» B mainly ot a chanlst. specM*- ^ J 746 . 5 . 47. thr« monlfe lTM. W.5. 7360 ! • CO FFFH + « Bnrtum 

STnir-arar .pj„ m rt+S C«h.“j7320-40 - SO - 7280-90 1+ SO 1 1 ~ 1 

COPPBR Official — OnolM-l — taonUtt 1764. «4. 60. frirniBtbeJ 7060-5 +57.5, 7040-50 ,+ 40 

I • three months £733.3. Kerb: Wirooars ^ i 7054 + m _ 

£ I £ £' j £ Ujree_ months- S76L5, 64. 63.5. 63, 62.3, g. J j^x89S +10 — iwjAerai«r 

Wirebars „ ®:J£% TAB1 P Kiw York! 62A - = Kuvwnt*r. 

74c c 7 I 1 fl K 7 1 ■ m 7t . TAKh 1(8 TrtoLL — uin s - — - Jti mare . 

S mvni'ba'! 5 .+ 9 5 7&<t-6 1+5 TIM— Steady with forward metal pushed MornJoa: Standard, ilirce month. £7.072. 


- 


IE) + w iloniii 
i — •«> 


markeL Fair Interest at lower levels. ’ uur " Bloc * 

cioslos qtdutly steady. Lewta and Pear j aBd «“ ni M ® Metala 


+ or Bnmm. peponed a MaUtysUn" bXot wire ot 10 “.0; Eire mndguarters M.0 lu 6 S. 0 . ^T,m.nmn, E710 | '^680 

IXmB 2ol (154 1 cents -(buyer. OCL>. forenuaners -6.0 10 3S.0. Free market. <c ;•>. rl 070-90 1045/55 

, ; Voal: English fats 64.0 to 7?.0: Dalch tnpner .jnsb W.Bar e746 75 ^4.75 S736.5 


3 muni fan i 7B4-.5 1+9.5 764-^ +5 

^ettl'm'nrj 7*7 i+9 — - | — 


Cub WS5-.S :+a 

i montbnj 755-4 +9. 
Srttl'm’nt 735.5 1+8. 


] £ f*r tonne ] ] ^-12?. ’ 

' 1610 12 1+31.5] 1618-500 J* ! | Y 
IPSO 35 I + 21.5I1B33 12 K - , - a - I tlwe 

1442 45 +1B.6 1 14*0.25 


Hatch- 1362-67 t 16.01 1370 *6 


ZT- r do from £7.010-n.«20 |t» £7.uW after a 80 . 90.-85. W. 70. «5. 60. 55. »•. 55. 60. 1315-20 1+7.0 11310 °«- I 60.SB-8BJO 60.IB-60.7Bl »0^0 

i ' ~ larger than especled deebro In warehouse Kerb." Standard, cash £7,3-H). three months rjj , 1295-300! + 1S.B 1300-90 Jior ; til.Ml-61.S6( el JCW1.66 1 61.50 

lodes L Li s 7836 MJ 4.5 floefcs. The East was Ml a hUv firmer on £7.560. 03, 60. 50. Aitrroooa: Standard, I 1260-70 1 + 10 5J — L»ut- Uec ol.WkOIJS 61J0-61A6 1 — 

■“•r-rSSL dK mutiii balance after the weekend. Hedce selling cash HXM. three monite £7.05w. Kerb: i j 1 Jan-Mat; ti.76-M.8J do. 90+4+0; 65^0-SS.tO 

j + c - s and prafll-takJng clipped London prices in Standard, three months £7.030, 40. S3. 46. — — '■ — — — Apr-Joe 66JJS-h5.iq ta£0+W6. 65. 1 5- SB. 35 

™, ?*A? l+«- 5 - ; around £7.050 and the marfcta traded LEAD _„ ovcd in good two- fMd MMUd UWil 


; : ; veai: unsiisn iats m.o id r.-.u; uaicn topper wb H'.B«rli:7*6 75 ^ 4.75 ^736.5 

No. I 'vt«ent«T*. Premn I Buaine* htnds and ends SS.9 To 80.6. i mnqths -iu. tn. £,64£> +5.0 CTM.Zb 

uij uToir I ^, mb: n 51 ?. 30 5S -^« , ° rt-" Ckltodfc £.36 ;+5.0.f732 

tkge blow I inne medium MJ to 60.0. heavy 32.0 to oO.O: 5 months -1,\ dr s C. 53.7 ji-r 4.5 ,t750 

I medium 54.0 to 56.1k Iwavy 52 0 GoM Trr.r fSH. 12 V * U.K.4U1 1.125 

Oct. 66.95^-BO 60.60-60.70l T 0 J 0 ^ g£ -AFSSn'aU? 5** ^ 

Nov j JUWJ.BJ; 61.60 pork: EngU^ under 160 lb C7.0 .0 48 0. ^ I365.S75+Z. 725; U30.7B 

atiid SStlS Mik. as* * " “ " * -iiSBJSSiBft- 

ApcvJne 6 fiJS+B.lo) tBJt0-t6J6. 66-15-65.35 Grause: Young best leach) I6P.0 in 1 1 ’ 9 ‘ 1 ^ D BOb 190 


Oct. I 60.95*0.60 60.M-60.7Dl T0J0 


1.9a f+0.D0bi 1.90 


U^srnt'l -fiB4 + - gsIbb I around £7,050 and the martw traded ' LEA n_ Movcd Mrrowly in good two- “Li 4 * 98 ^ 1 lo, r 8 c Jy-’M! 67.9>h£o^ m.0>«i.Bb| B8.MW7165 180.8. | 

= ££==: at * — ° [ a » ‘g’Tarjsa&f ^ g*sd saaai asaa ssas Yn “ "“*■ ~ * WTsaadgar pm'ssa 

iftiaaaapUiSSS 1 .-. S as gagagg 


I.G. Index Limited 01-351 3466. December Cocoa 2036-21 

29 lamont Road, London SW10 OHS. 

1. Tax-free trading on commodity futures. 

2. The commodity futures market for the smaller investor. 


World Commodity 
Report 


Turnover 5,375 tonnes. 



,.£AAD 

Lm. ‘ 
Official j 

+• or p-ui. i+ or 
— DnoHK-iaij — 


£ 

E 1 £ • 


3SO-.5 

+ 1-5,359.5-60 +.75 

i month*. -r 

365.S-.’75'+2.B7 a6b,25-.5;+2.1Z 


£60.5 | 

+ 1-5 

Uwdpot. 

552.5 1 

i ...... | 331.33 1 


I ILL i+ or GRAINS 


Nov. 81.90P (BUS). 


LONDON FUTURES (GAFTA) — Tbe 
market opened JO lower. Wheat vatnee 


Barley despite an initial weakness saw 
eood commercial aapport at 25p lower and 


SOYABEAN MEAL 


ftMettfeyl + ot 
Ckwe — 


DMUiet 

Done 


Cattle down 12.0 per cent, average price Wolfram 38.0# bell 1140 441 i- 154/i; 

SSJBp <— J.96>; Sheep down 5^ per rent, linccaab £327.12bi-D.B75;t:322 

average price 140.7p f+2.2); pigs up 5 months U37.25 —0.5 '£530.126 

33 per cent, average price 86.0p i+ 1 . 0 i. Producers.. 5625 !i625 

ScMlanif— Cattle numbers up 7.1 per cent. .... 
average price flO.lSp i-LSlt: sheep 

numbers up 12.9 per cent, average price k-wonul iPbll) «795s +5.0ic666 

134.3P (+1.7); pigs up 13.9 per rent, uwunloul t !k 6*8 

average price 83 Jp > no change). £Jn*e+i Lmrte cvi.. B3i6 — 1.0 IK331 

COVENT CARDEN l prices in sterling l*Wm Ualayan. 600n 6551 


jFT&SBS 


three months 2365. 63.5. 65. b4A 65. *5.5, 10 28p higher. Ach reported. 

(£.75. Kerb: Three noaths £365j. After. T7 

noon.' Three inomtu £365.5. 65. 65.5, 65215, WHEAT 


Ffionifliy 117-^D ifiJ,+0.90 ii7.90.1B.90 120's new crop 5.5M.0D: Spam?: Trays Sd6d8 


It your business interests demand 
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world’s commodities, just clip your 
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Subscriptions Dept (WCR), 

Financial Times Ltd., Bracken House, 
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Edward Billington (Commodities) Ltd. 

CUNARD BUILDING, LIVERPOOL L3 1EL 
■ Phone: 051-236 1222 (IQ Hues) T elex: 6 29594 

We are pleased to announce that Mr. Bob 
Leadbetter who is well known in the NON- 
FERROUS SCRAP TRADE is to represent 
this Company with immediate effect. 

We hope that this association will enable . 
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1S4/2O0 StSHOPSGATE.LClNtiOMtCSMdNR.'fefc 07-283 22 98 Tetoc 88 7£*54' ■ 


Kerb: Three months £365-5, 65, 64. < 0 . 

6*^. M‘otJ 

ZINC— LluJc changed but not so active 

at lead. Forward metal started at £339 sept, 
tat could not maintain litla levcL Some Nov. 
praCs-utiiVB pared values and In the Jan. 
aflcrnoou tbe price tended in drift on lack liar. 
Hrf-lntr r rsl. ctosuie on the Kerb at OS&5. May 
Ttoiov&r 1^25 lonttes; r-. 


Ltob; 327 

3 mob Uto.. 337.2! 
ti’mcnt...'. 32 
Fdja.s +1 — 


April — l»BJto-t9JJ +O.B&11B.40 

J Line I18A+2aj +0.05 


I’esterdjty’sl + or Yesterdaj '►) + or August. 118^0-22^ +0. «H 

riroe — cio« — Oc tober ^ ..~.|l1 Aamj l + DJ5j 

— ... — I ,, ..I — r~TT r~ Sales: 70 146) lots oTs umnes. 


3.00, boxes 4.6*6.00: S. African: 9.00-9.50. Copra Phillip _.(S340 js4&0 

Oranges— S. African: Valencia Late 4 JO- joyal«mi (1 'jS..1....|s2BBk< |— 2.0 i 5256.25 
5.30: Braaltan: Valencia Late 3^0-3.50. 

Grapefruit— Domlnu-an: 0.00. Apples— 1 1 

French: New crop Golden Delirious JO lb 

72-s 1.60-1 JO: 40 lb 4.00. Stare Crimson e™, 1 * Hci- W 

CO lb 84 2.40. 72 3.50. Granny Smith Ws Fnruros.... £80.4 . + 0.5 C81.65 

4.M. 72'a 4 JO; ■ Portuguese: Per puond - — | I 


ckiMi I — clone — 

Ub.55 —J JO 7B.80 +OJ» 

67.30 M>.80 BO. 40 +0.06 

Su.lO p-OJO B3.10 

92.55 J—0.56 Bo. 60 +0.06 

9a.05 1-0.561 68.05 -rOJ&S 


Clip AD CO lb 84 2.40. 72 3.50. Granny Smith M's rpraros....|«jo.q , + o.& E81.65 

aUuAiv 4.00. 72'a 448; ■ Portuguese: Per puond 'imui e. ' . n 

. nanna nan v D .,r E c—.-v Gol^n Delicious 0.07: Spanish: Granny 4A 8M,,S +1 -° *- 100 

LONDON DA1LT PRICE iravr sugar) Smiths 0.23 Pears— French: winiams . I , 

05.00 <£104.80) a tonne df for Scpl-OcI. , na. Alexandrines C.00. Per onuivl ^°- ^prtiu: t'Bv.B? 1 — 0.5 It 90.5 


r — , -a- co.jv. mnj iiwBwtiiiweu uu me upuae. uu«c.ci, French: Alphonse Lavaiiee 0.16: Per 5 *m®v :-. ci.6SU lT 21.5!i: L.206 

1 537-j» A IMPORTED— Wbut — CWRS bo. One and prices began to fall back. Tbe rtaUnn: Remua USD-C^O. Cardinal tWton *.A' Index.... 73.6 1 + 0.5 72.1c 

■ 9011 — — 131 per cent SepL £89.50. Tnburv Seller, decline accelerated daring tbe afternoon 3 ^ plums— Italian: Per pound Stanley UuMer kiin...^ m.o- I— 0.9 ja4i. 

( 29-31 I U.S. Dark Nonhe n i Spring No. Two following easier .New York quotations gjj; Hue art an: Swllzcns 13 lb UD. >nuar Ufam, idlQfl 1 + l!o !t'94 


328 1 — 

- I 29J 


Avaeatfa*— 1 Kenya: Puerie 14/24's 330-4.DD: 
S. African: Fuerte 330-4.00. Capslcams— 


Mondns: " Three months 1338. 57.5. 37, 14_ per rent Sept. 00^. Oo. £8830, Nov. so that the marferi (dreed around tbe Banimas— Jamaican: Per pound 0.15. 6a* kikj...i273i 1-2!oi281i 

a; 37.5. Kerb: Three months I337.S. BLS0, Dec. «£a mmshtpineri East lows of the day. C. Czarnlkov reported. Avocados— Kenya: Fuerte 14/24's 3304.00: — — — 

Afternoon: Three mont h s £337. 37.*. 37. 2? a ™S e w B « ,S fliS»iMSE»S»SS ... - s - African: Puerto 330-4.00. Capsicums— • NominaL t New cron, t Unonor 

Kerb: Three months £337.5. 37. 38. Nov. CLre craiBii^ment East Praf. Yesterday* Previoo* BoMnere Dutch: Per 5 kilos 3.30. Odious— Spanish: m June-Aug. a Jnly-Sept^ % Sept r C 

^Creti per ponml. 2 SM per plcuL Cozst NjMlOK iSUlUng Sept. £97.90, Caamm Clooe Olore Done 3.643.20; Dutch 2.00-150: Picklera 10 sR«x.-Oa. u Kokitai x . Per t 
tOn previous unofficial close. Oct ^ Wins 1 JO. Metare-Bpanish: YeUow B/14 r Indicator price. 

- 'CTT X/T70 /On * per Imn. EHllM Produc e - P ota to ea— Per 33 kilns 

• allVEK (W. 104 . 7 ^ 1 .™ l.M-12.0- . _Letmee— Per 12 rtmnd 0.70. Cos 


S. African: Fuerte 3^0-4.00. Capsicums— • NominaL t New crop, t Unquoted 
Dutch: Per S kilos 3.30. Odious— Spanish: m June-Aug. u July-Sent a Seot r Oct 
3.60-3.20; Dutch 2 . 00 -i 20 : Picklers 10 s Sect. -Oct. u Nov. ip Doc. xPer ton. 
Wins 130. Melons Spanish: Yellow B/14 z Indicator price. 

L50-2J0. 


- HPTT VCD rnnSVtaml £ per imn. English Produc e - P ota to ea — Per 23 kilns 

/SILVER S. Wh Afr&^tow SaiX^A Oot.....1k5.90-lr0J8 Ht 7 J* 4 i 7 . 10 (LS. 7 B-l 6.75 ? ^ 12 ^- ,r^ 

Silver was fixed 0 £p an emee to*or £81.00 Glasgow seller. Deo.— 75- 07.7b u*Sv. g W 5S? 1 

fm' spot delivery in the Loudon bullion sorabnns-U.S. Argentine Sept £166.00 Hatch . 112. 7S- Lm J 14+5- 14.1 i^MJB-12.70 o» 4 M AwlBS-ftrS 


INDICES 


market yesterday at 284.4P. U J. cent qumed transhipment East Coast. 


S1LVEU Piiin-n ■+ or LM.E. 

: 'per dxini; 1 — j dree 
sn>V ro. pn« I 


Spur i914.4p 

J.mnnrh<>.|a9Z.4|i 
S inonUis . 2SB.9p 


: + 0.22b5.7p 
1+0.4X92. B P 
*0.4 — 


outtnu». l ii 9 c. 3 p .-M .1 — . — ,jju. n. c.a« in». n. acoi- _ 7 7 ^ . . ' . _ D __ n. n on r, ■ n „ w n, 1 on. 

12mtiaLbs,dl4.15p +O.I5i - - ... land 74.60. UK 73.40. tonnage "& 4 M. Effective end raw sugar > *wr 28 0 ^ Pai^ta^-Pir t 51 

I Mallias barley S. East W. 1 B, 3 . West 'nature* * nd *»-denauired). in units of l- 30 - sprouts— Per pound i ojk-o.07. cob- 

: : ! — na, EiOTasiuM. E. Midlands 83.50. account per 100 kilos » previous id juts— Fer pound Kent 0J5. Corn Cobs— 

LME— Turnover 199 (204 1 lots of 10.000 w < t ]i d j 3 TU j a m , n. East 83.90. N. Wear b ra rite i vl— White: 25^0 itmchanged); Each e.QB-0.07. 

res. Morning: Three moatin' ITSJ. 2. go'^e Scotland 84.7H. UK 84 JUJ. ritanse 2L43 <2U8>. , n „ T 

,9L8. 113, 1 J. Afternoon: Three months toSage 7M79. COTTON 

M-I. 2J.2.C kif. Kerbs: Three months mark lane. Quiet market trith WOOL FT] TURFS / 

292A. 2A 2.6. consomcT interest bcghmlng in develop. TT A vlUJU+J LIVERPOOL COTTON— Spot and ship- 

Numinal values: MOlinff wheat delivered SYDNEY CREASY (in older buyer- 11161,1 53,62 amounted to 275 tonnes. W. F. 
A London area (200 hagbersi— SepL £88.30. seller, business. aalesW-Hlcrou Contract: TattersaH reported. Pair trading per- 

> LULUA Oct- £92.00. Nov. £84J5. Dec. £95.25. Oct. 341.4. 346* S4B.4-34Q.B. 20: Dec. ^ “ff® 1 in Central 

- jj, _• -h-rt Jan.Tcb./March £99.00, Aprll/lUy/Juu 349 a 350.0. 33005408, lit Much S55.7. Sooth American growths. 

n'K- 09 - -Densrarahle quality wbeu S*Ji. SMJMSsiTlS; May 350.3. 360.B. 

htow 1 * delivered E. Anglia— Sept £84.00, OcL 338JU59-B. 3; July 385.0. 367.0. nil; OcL 

Mg&er. GM an d Pefl ua repor ted. £K5.5G, Nov. £87^0. Dec. £88.30, JatL/Feb./ 387J. 369.0. nfl; Dec. 37L5. S7S-S. rul; _ _ , __ , 

lYwtentay s> + J March OlJiO. ApriWUy'Jttoe £96.». March 3WA W.«, nfl. Total sales: 47. T\T 0 W QnflflinflDC 


FINANCIAL TIMES 

■UP*- If’i »i>L lajll.intb 4*. 1 .| _ Vc*ir »"■> 

252. 99 1255.63 I 247.00 j 242.94 
■ Base: July 1 . tlG2=lCB) 

_ REUTERS 

*^epL lb; 14|Mi M itj, %i: , fVoi r «in 

1482.9 ; 1465. 6 1 440.3*! I*s5.3 

1 Babe: September" 1ST" 1931 = UK) j ~ 

OOW JONES 

[>n«» 6eiA_ I aept. I iioiith j Vwr 
JiTina 15 14 j Hyo j neo 


>p.jt ....iucu.anpoo.7B jez.wa ra.ust 
Future. l37j.65g62.4ala5l.D433 1.43 
(Average 1924-25-26=100) 

MOODY'S 

.ri jr-ws 


Barley delivered E. Anglia— SepL £77.90, Otance ser kOoi 

Oct. £78.00. OCL/Kov./Det £60.73, Jan./ -r 

Feh./March »L2i ADriUMay/Jnne SS30. * 

EEC DAILY IMPORT LEVIES: EfleC. _ ~ 


•pioOwnmujS 

(Deceit 


19.01956-0 1926.0 IM&.8 
W 31. 1031=1001 


Uu-mefe* 

Done 


2040..-4Z.V -+52.0 70-0- laffi.D tive for Sept. 18 (in order current levy 

... 2Q41. '-45.0 -+4S3 65.0-05.0 piuc OcL. Nor. and Dec. premium «, vflth 


lYebteniay’g + ur J March 191 AO. April/MayMm* £9$.B». March 37^0, S77.JS, nfl. Total sale3: 47. TVToW QTlHHinflffC ^ ±22™! I ^‘ fl - P i 9360 e2B0 lM6 - a 

• COCOA | Close — j Owe Barley delivered JL Anglia— SepL £77.00, (Pto ce uor kfloi i'lcW dill LI 1111 II I i. S J (December 31. 1BS!=1MI 

No.nCcoLr'tJ "T - - I • Frt./MaiS re^. K AprSMay«n» aSL ^ fSnidllllCF nlanf 

-UpL.: 2013.' -23-3 *+3IJ 40.0-2008.0 EEC DAILY IMPORT LEVIES: Zflee. Or reay WrvU Otero — Dope T ini S lTfil g DJaill 

Dec. 2040..-4Z.V '+52.0 70j 0- ISfifi.Q dve for Sept. 18 (in order current levy — ' ! Or 

aareh Mpl-^CLO +46i 65.S05.0 piuc OcL. Nov. and Dec. premiums, with mji-nn oa un A NEW Glaxn antlbintics finish- * 

flay — 204U-41 ji 1+47.S 2flfl2JM0.0 previous in brackets). All In units of SKEi”* tSu 55 n ta- 5-1* 

July.— ,2014.-18.0 >+J8.0 52 J)- 1990.0 awermf per tonne: ill.BMA ~l‘§ „ Ul? Pfedt flt UlveFStOll, CuKlbria, CRIHSBY , FISH— Supply mnderutc. 

sept-— It 70.0-M. +51.5 95.0-W.D Cemmoa wten-82.68, 0.33. 0A2. nil “-S' 37 - 0 which incorporates Special demand piMtl. FrtccTai Gulp's side im- 

■t ! «.-.^.ji M UM0.0 : - IWM - OsiSj (3S Z features to achieve quality con- prnccswu pj hjmuiL 

safe: S.m 1 11 .015 1 lots of 10 toe>». '. »8s. > 3fn^x^aio?*M5= £*£=-$££1 ~ tro1 under conditions, is "SS? 

tmoroaUunal Cocaa OrsauiHtian tU.S. S3A2. 0.61. 0.61. 0.61 (858!. rest nfl); _ DOW in Operation. Cl JO; large plain ifed-O.flO. medium 

cems par pouud-DaHy pnee Sent- 15: Oam— 71JR. rear trll m.SS. rest nm: - “ The Dlant one Of the largest ^.£0-15.60, best anann.0fr-X3.0O: skinned 

ID .74 (17333). Indicator prices SepL IS: Maize (otter than hybrid for Sales; 18 17' lata, of L506 kg. . t t_j_. , .. r_ dugflbh 1 large 1 Q.uo, medium 17 50: lemon. 

164.77 (163J2); iMlsy 79413. 1.12. US. O.W, / 79.(9, 0.80. 0-M, NEW ZEALAND CROSSBREDS. Close and most up-to-date of its type £5t.«j large, xrlmi a! cdlum; «dthe 

atrcrpge 160.fcl (IMJIL 6.4S); Backwhut— all nil (ah nil); Ml flee fin aider, tmfer, as Her, business, sales): ID EllTOpe, 12.0IMa.0O. 


aiarcil — piiu. vl-u. iiu». ajbj ubu ptuiiiuuiK, wun . ZHULK * L o ol D 

a»y....__.204t0 41.V U-4 7.2a 2O82JM0.0 previous in brackets). All In units at ^ cto6e f l~' , g-g) * 

July... 2014. -1B.0 >+?8.0 82J)- 1990.0 awormt per totme: 255?^ ~ UaKb » 

sep».__ It 70.0-M. i+51.5 55.0^0.0 Common wteat-82.®, 0.S7. 0.32. nil “■ 

.'I939JMA.0 i — B0JMD.D (S3.99i. rest nlD: Durom ykut- 12S.W, irS-? 

V— * rest nil 112525. 0.16. 0.18. nll»; Ryre- l + ?-S 

Sales: S..1M 131.0131 lots of 10 totmea. SSIB. rest nU (S.«. rest n0). Barley— October -- -- .—1.0 

tnurazUoaal Cocu Organisatisn (U.S. S3A2. 0.01. 0.61. 0.61 (8582. rest nfl); I - 9'&l 

cems per pound— Dam- pnee Sent- 15: Oats— 7L5R. rear ml (51.58. rest nm: March ^.^«J-47,o.— o. B • 

171.74 "(17S93i. Indicator prices Sept IS: Maize (other than hybrid for s^etflos)— SaVs: 19 (71 lots of L508 ks. 


84.0 

29.0 

5a£-57.0 


Chinese ‘will 
need more 
food imports’ 

WASHINGTON, SepL 18. 
CHINA'S DEMAND for food 
' grain is expected to continue to 
, increase by about 4m tonnes a 
year because of population 
growth, the U.S. Agriculture 
1 Department said. 

In its weekly magazine 
Foreign Agriculture the USDA 
said China’s food-grain ' produc- 
tion had levelled off during the 
past three years at about 270m 
tonnes and increased require- 
ments were expected to be met 
by imports. 

U.S. sales of farm produce to 
1 China this year already total 
about $500ra, following sales of 
cotton, soyabean oil, and tallow 
, worth about S68m in 1977. 

Good weather since early 
summer is expected to result 
in what output this year of about 
44m tonnes, 3.5m above the 1977 
crop, but still below the 1965-76 
growth trend. 

This year’s rise output is fore- 
cast at 130m tonnes compared 
with 126.5m last year. 

Rapeseed output is expected 
to recover from the reduced 1978 
output of 1.24m tonnes to nearly 
1.49m tonnes, and the cotton and 
soyabean crops should also be 
above 1977 levels of 9.6m bales 
and 9.5m tonnes respectively. 

Australian 
wheat harvest 

MELBOURNE, SepL IS. 
THE Australian Wheat Board's 
first forecast of the 1978-79 
Australian wheat crop is lL5m 
tonnes. Sir Leslie Price, Board 
chairman, said in a slatemenL 
Sir Leslie said the forecast 
could still vary considerably 
depending on the weather, but 
growing conditions were now 
close to ideal in all states. 

Sowing was severely delayed 
by excessive rain especially in 
the northern wheat belt of New 
South Wales. 

The harvest will begin in 
October in Queensland and in 
December in the southern areas. 

The drought-affected 1977-78 
crop produced 9.37m tonnes from 
an area of 9.96m hectares. 

The board's forecast is at the 
lower end of the 11.5m to 13m 
tonne range forecast by trade 
and government sources last 
week. 

New sugar fund 
delay expected 

THE INTERNATIONAL Sugar 
Council will again consider im- 
plementation of the sugar agree- 
ment fee for its stock financing 
fund at the end of this month. 
But most London dealers believe 
a further postponement of the 
scheme is inevitable. 

The fee was originally due to 
eome into force on July 1 but was 
postponed until October 1 be- 
cause the U.S.. the world’s big- 
gest importer, had not ratified 
the agreement negotiated- in 
Geneva last year. 


A 





42 


Financial Times Tuesday September 19 137$: 


STOCK 



PORI 



Middle East developments make little impression on 
either equities or Gilts— Share index up 0.4 at 530.8 


Account Dealing Date* 


YeO'niry's SE conversion factor shortly. Chloride closed 2 better The absence of 
was n.fiTiK) (O fiTb.i). at I35n on tlie disposal of the selling pressure 


3 ti v further 3S0p before recovering to close 13 tradir.u after rhe- condushm 4 >f 
made for down on balance at 40Sp. the Camp Da '.Id- summit, but 



' New lime 
from 9JSO a.m. two 


dealings may tahe place jl^ofJ^antp Rvii 1 con ’ news that the company has 'been Ricardo up 15 to 310p. with the raised 44 to l2Sp on the annorare- \ew York in the afternoon. 

. -w bMiness days earlier, twc.s ana eju i~J. awarded a substantial defence new shares 9 dearer at 107p meat that the Board has decided „ _ 

The effects of last Fridays Inclined harder initially. leading rommunicaUcns contract by the premium, while Low and Sonar to put the company into voluntary 

chnical shake-out in leading Banks drifted rack to close with- Australia^ Government. responded . to the increased liquidation. Other Investment £££? ^entSSy ckL>d 



technical — -- . — -- - 

equities still lingered at yes ter- out much aiterationon balance, 
day's openin 
David 
only 
through 
reflective 
challenges « 

merit's 5 pei ... . . 

Consideration of recent favour- Leading Building descriptions 
able cvclical indicators affected held si</ady to firm m a quiet 
onlv GHt-edged securities but trade. Demand in linn markets 
marginal improvements here were v.as re-ponsible for respective 
soon lost when the shorter gain* n. and 9 in Travis and 
maturities encountered selling Arnold. !»0p xd. and Brown and 
motivated by worries associated Jackson. Slop. Leyland Paint be- 
wiih the continued upward enmt an active market ahead of 
pressure on U.S. shorl-lemi Thursday s interim remits and 
interest rales rouened -'Pp before sell ling 3 up 

r u. „„ ihp murnTne on balance at 95p. In contrast, 

. E ?£' y Se-ntiatkms Tarmac, interim due next Mon- 

f* lnc ! day. Sheri 4 to Hfip. In Timbers. 

Later «ucoura„.d .* - 11 * Parker found support and firmed 

menr demand and the lead. > . Jf) j |lHp xd , vh jj ei jnjn-orin:: 
generally improved a ie\. r *n. - comment. Y. J. Lovell im- 

although overall trade ™ proved 4 to a 1D7S peak of 103,v 

httle su®- "hvlhe v eekl <'rmc Developments were marked 
no fi irv 5 higher at 55p xd. ahead of the 


f the cash offer from 


|/j reacted to 58p hefore^seuling a*t The lower 

Y| ^. for ..? ! 0 « of So n . i ’') l3n , re : St h £f d ft£ d 3 n®,ifcE« «£2 £M«*rfcd to 


trend in Golds 
South African 


RFD rallied 2J to 76i following 6 - q P- dealings were where Anglo American 

last. Fridays reaction of 9 on the i3 3 n Si L d Da££n losl 5 :o 3rj P- °« ^ 

chairmans profits warning. and uawson cq\xtl by the dividend- 

Prestige Group found suppon at L “5“ one or two sellers then came obt 

173p. up while ravoup bte md the pnep. loeldm- 


FINANCIAL TIMES STOCK INDICES 


(i-.s-ommcni sw*-—- 

Fis«l Inures*— 

■ 

rinl.i J!me* 

tfiiwt. I'lf. Yield 

Knm-.nj». Vl.j 
y.b liutKi lie rii'fr... 
Ue*!inz' marked.. — 
E.iuiiy nivfinverfim. 
Equity lu rptu ra 


i” "jiCPt, . 

; n - 

la- 

*T. | 

70.58. 

70.58- 

70.97 

72. 14! 

72 . ia 

72.18 

550.8 

530.4- 

535 9 1 

181.9 1 

JSB.& 

I67.8f 

5.09 

5.03 

5.04 

14.45' 

14.54 

•14. 40" 

9.18- 

9.09T 

. 9.18 

5,474- 

6.257 

6.031- 

_ 

114.80. 1Z3.9B 

! _ • 1 

22,478 24.264i 


ibz j; • -its.?: ..rtBjir/tssj; 
5.0b; 5.1 1 . 5.18.' s.to^I 

14.81; 14.77 i+88; t5.il 5 . 
9.09; 8.99 -'8.831 : : 9.«frj 


in am sif.9. 11 jW.8. Nooo S3S.1. I pm sais • . 

g pm S31.0. 2 pm XU-4. 

Latest Imlez 01-246 8026. 

•Bast'd oo 32 per epot corporaUoc tax. tNd^SOL' _ 

Basts U*0 Go«. Secs. lX;i«/3& Flvd 2nL 1S28. It*. Or*, rtaitf Gold'; 
Mines lg9-3i 

S£. ACTIVITY 


’ SE Activity Jtdy-Dcc IM2. 

HIGHS AND LOWS 


197: 


UjUitie lonpUirlno 


Ul^b 


Low 


Hneti 


Luw 



Oovr. &««., 


FixeiJ In*.... 


Ind. Oftl 1 S®5*5 


78.se 

M: 1 1 

81.27 

j*|.{: I 

433.4 


— DnUy 

70.75 


tudirtru-*...^ 214.0 , 23 a ' 7 :- 
15o.4 | Su.33 • *vwuww*J 40.0 ‘ -xn'a - 
•3B.tl.47*: 1 o.lt7i>i .; — u. r 124.6. 142 . 4 , 

* ; Gii«-Ltatfi_^_l3s.i - i39:t - 


649.2 


•u-9. ; 

t..:. Mines. 20b.8 * U0.3 .^442.3 -i 


week-end Press meuUon left Long »> rSrf in Tithe U A. fining taking the i 

and Hambly 4 to the good at 4jp a "ilham Baird, which 14 j ov;er at 463p. market o\ 

and Met toy 2 belter at wp. ° Dawson ^ro ”"9 S to iWp in London Financials leatured Bfo Among 1 
Televisions closed firmer for _ l ° «-.£?. J.C T.mo-Zinr wrtft a rue of 4 10 ^25Jp diamond s. - Wt ^ inrn MnRnM »». -•• — 

bunn "in fronttof dosed S easier at 3S$p. Western confined to 4, leaving the price * 

aSSuSSoieM S Q»«» ,ost 5 -‘ 10 ^ Lennanl ***' - -I'-.-'- ',-2 



their cue from the Sydney -Oil 3. to 35p. • The.;!eader of Thc 
overnight. Ashton venture, ^enrint Ri^tintr ■ 

the smaller speculative nf Australia remained relative^ 

‘ " "* J ” with a.-- fail- 


end Press drew n better inquiry 

and 5 fl' eral minor ,ea lirt::s Cnnihen: the latter eased a penny l»i to Hop in response to favour- Wadham" Stringer hardened 3i to 

0f r.»-=i f^i.'TiiaT mn nr the FT lo : ' 3p - . . „ , jL bie . ye ek e nd Press mention. 54ip on the first-half profits marked down heavily Ti early after their Tecent strong ri*^, 

The firsi calculation ol me r JCI ^ogp x< j , n ear ly Revived demand in a market none increase, while small buying in 


on conhnucd bid' speculation. ' Premium. 

Motors and DistrOjutors closed 
with the occasional firm spot. 

South .African 


Easier Golds 


Golds we-B 


But Selection 
interim azures ire 
ran into protit- 
tr.king and fell 10 lo 49fip.'NCoo,.- 
validated Gold Fields, at ISiVp, 
and Charter, at i65p, held steady 
Australians paused for breath 



2 firmer at 93p. Press comment 
directed attention to Supra and 
Lex Service both of which rose 2, 

reduced and the close was on.y nia , r ‘] {S which left Brent Chemical Engineering a penny lower at Commercial Vehicles hadron trasT- 
a net 04 up at •m0.8. ^ 15 cheaper at 202p. 2U3p. after 297p. Northern ing movements in Fodens. 5 

Bargains marked, at .i.4*4. vere Ei« ev *here. William Ransom put Engineering, S! up at 142p xd, higher at 69p, and. York Trailer, 
down on last week s average oi on 2 o to 2S0p in a restricted reflected favourable Press com- 2 cheaper at a 1978 low of 46p. 
fi.053 but rises in all FT-quotcd mar - KCti vliile Alida Packaging meat. Charles Clifford firmed 4 to The Property sector remained 
industrials commanded near v.crc su*-pcndcd at 10Sp follow- U4p and rises of a similar amount quietly firm, but largely untested, 
iwn-to-one majority nier fails as j n; , an approach that may lead were marked against Splrax-Sarco, The leaders made modest progress 
against Friday's scven-to-lwo in lfJ an u!Ter f or ,h c company. I76p, Tnrrlff, 92p, and Aurora with Land Securities, 243p. and 

favour of the latter. Holdings, lOOp: interim results BIEPC, I46p, adding 2 apiece. 

BriD-h Funds tried to ignore Liberty Tally from the last-mentioned are due Ahead of tomorrow's interim 

the mounting concern about . , , , today. results. Brhcton Estate put on 3 

American interest rate trends. A siishity wuer jircnu ue\e- Noteworthy movements were lo llOp and, awaiting today’s pre- 

L, County 
couple of 

buying in a restricted pence to 104p. Continued specula- 


-AJIICJ II.UII - - y Inarluru uharo .voiewuriny mOVCmcnO were LU I1U| I OIIU, BnaiLJiiij LUU 

but only for a limited period. Once loptrl in -he. Stwe leaders where between in Foods, liminary announcement, 

again, the short end of the market A Arana, however, rose 41 to 56p and District added a ci 

met with nervous offerings con- Uj’ b ' , ^ « Lihcm i«ue< on sraaJ1 buying in o restricted pence to 104p. Continued 

nccted with these worries and pence El e where. Liberty i. .ue_ markeL Bemard Matthews edged tive interest put Marter Estates U 

quotations slipped as much as , ™. K .{“5." tback on the forward 2 to I74p in from of up at a high for the year of o9p. 

hefore rallying late to end a last Fndaj s sharp setoack on ine toda y s j nlerirn re p 0 rt. while Tate while City Offices attracted furiher 



clianged on balance. Jiiaiana ta«va» - J Hotels and Caterers contributed Petroleum firmed 1 10 to 910p xd 

fil°e rP San S deTreot “fn ' ' per share &«J^m5r» P 5 .hS^share of ViToT spots. City in anticipaUonoGa higheropen- 

nue vo wan, ne »«rnoi m. pe* „r -mnnri ;; om u.ktuiE mu s m iaan nn huvinn ms on Wall btreeL Shell held a 


renfpreferenV^^suTbvvW'S lSS 'Rises' ofTroumi" 5 vrere iiotels“ro« S toWon buying in C "on Wall Streep Shell 
Snitallrafion to Ordina ^Holders also seen in Allied Retailers. 105p. in anticipation of Thursdays modest mpmem«»t at 5S0p sd, 
*!Pi?!h. fSi iff noiacr . ynd Bambt>r ^ 12 7 p, while in results, while Adda International, but small selling dipped - from 
^ moderate ^ trade* was done in .smaller-priced issues E. Upton 321 p. and Prince of Wales, Wp xd, Burmah 1 at .7p. FoUovving news 
in\e«Snt currenci between rates "ere noteworthy for an improve- put on 21 apiece. Trust Houses that Marathon Oil had suh- 
S5VSW r M^ M «B went of 2 to 30DL Forte moved up 5 to 2 4Sp but sranhalJy ■ lowered rt*.est.mat^ ioT 

EMI rose 4 to IfiRp ahead of Wh<e1«^ .R^tauran^ eased 6 to awayTo 

Friday's level of «J3J per cent, preliminary figures, expected 34-ip ex the scrip issue. Held, bienens mv icii away 10 


OPTIONS 

DEALING DATES SelincoorL Cons. Gold Fields; 

First Last Last For English Property. SpiJfersrHom- 

Deai- Deal- Declare- Settle- fra F- biebens Oil (UK). Mining 

lags ings tion meat Supplies, Ptew, L^ney Pror 

Sep. 12 Sep. 25 Dec. 7 Dec. 19 duels. Leonard OiL Charter p>a- 
Sep. 26 Oct 9 Dec. 28 Jan. 9 sp*i**a*«L Sei^^ TtikJ, 
OetlO OCL23 Jan. 11 Jan. 23 ^ S Bee ^tJFv. 

For rate indications see end 0 / stores, Tate and LyJ e and Spear 
Share fH/orronfion Service aBf | Jackson- Puts were done in 
Money was given for the czll Oil and S angers, while doubles 
in Debenhams, Wilson Walton, were arranged in Barrow 
Talbex, Muirhead, Rio Tin to- Hepburn. Charier Consolidated 
Zinc, British Sugar, Ultramar, and Spillers. 


NEW HIGHS AND LOWS FOR 1978 


The (oDonring secartUcs ous'xd in 
Shire Informa; ion Semite >esur£ar 

attained new Highs and Lews for 1978. 

NEW HIGHS (139) 

BANKS |9J 
BUILDINGS <10) 

CHEMICALS <2) 

DRAPERY AND STORES HZJ 
ELECTRICALS <9- 
ENGINEERING >18) 

POODS 1(1 
HOTELS i3) 

INDUSTRIALS >293 
LEISURE 18} 

MOTORS m 

PAPER AND PRINTING 111 
PROPERTY i3> 
SHIPBUILDERS 111 
SHOES >21 
TEXTILES m 
TRUSTS 181 
OILS <31 


res* T-a: e- 


RUBBER5 >1) 
MINES <21 

NEW LOWS (2) 

INDUSTRIALS (11 
MOTORS ill 


RISES AND FALLS 
YESTERDAY 


British Fuads 
Corpns, Dctn. 

Foreign Bonds .... 
Industrials 

Financial and Prop. 
Oils 

Pizntaiians 

Hines 

Recent issues . 

Totals 


and 


Up Down Same 
3 U 55 


2 5 

4T5 CSS 

1T« 51 

T T 

3 J 

10 M 

11 5 


55 

no 

2D 

22 

.36 

■S' 


MO 413 L513 . I 


LONDON TRADED DPTH>ftS 


4|<nl 


Of.ilnn 


,Kn*r«»e} dnMU«- IClOMOju _ • - ; l.’lrUMKj. 

r nr« ••fin V«4. i niter 7 Vo». ' • offer 


_ . t iapiify.'j 

Vo». dv»o 


800 

list 

: 10 

^ 142 

1 S - 

)«& . 

: 950 

71 

; 25 

- 99 

! 2 ' 

i ns : 

900 

55 

! 18 

; 60 

.* S 

88-:-; 

950 

15 

1 16 

1 35 ' 

• 56 J 

I'nmii- 14-G : 

i 18 

10 

I 28 ■ 

: io 

• 26 ! 


bP 
Bl* 

KP 
dl* 

L'l'-jn. 
vy.i'i. lull'd 
Ouni. t Hl.’l»'| 
0>D‘. <ji>M 
Clilt, liulu 
Li 114. GoM | 
i_V*«i uiuiiis ; 

•.omuulils ; 

i;K«.‘ ! 

G KC ■ 
;.n: t 

<S KC 1 

GUI. - ; 

tirnn-i Mrt. I 

'trail] jii't. 

ILl 

III 

KI 

IC1 

Lin-' !?«.». . 

••Ill S> L- ip- 

Ilnrh- .\ 

1 Si. 

—i,<li ' 1 

?il*ril 

■Jll-ll 
Tolu If 


160 

ISO 

160 

180 

200 




50 
15 

3: 2 > 


10 

10 

5 


10i 3 

4lc 

3* 

20 

IO-. 


100 

SO 


J4lft ' 
"8 > 
40' 

27 • 

T7 '. : 


no | 

Hip 

! IB 

i 14 

1 _ .1 

18lf< 

j-. 

130 . 

3 

• 4 

1 . 5 

•1 • Jl. • 1 ■ 

■ 8 • 1 

- 

260 

80 

1 — 

: 89 


96 ; 

-5 

280 

60 

' 12 


. 2 ! 

73 

. 2 

300 ; 

42 

! 10 

1 54 •• 

• 5 i 

62 ! 

. 

330 1 

181s 

1 29 

; .33. - 

: . ■ hs - ; 

43 



360 ' 

5 

! - — 

• -19 

\ 

.28 ; 

42 

no ; 

121= 

: — ■ 

18- 

j - - . 

20 .-» 

- -5 

120 

5 

1 21 • 
! 45 ; 

1 10 

8 ' • 

14 - : 

7 

350 

82 

i 89 

( ; 

9Z 

. 

3b0 

52 

! • 1 

r :60 

i ' ■ 3 : 

66 

25 

580 . 

25 

1-26 | 

37 

: 33 ' 

46 f 

— 

420 ! 

7 

I -11 ■ : 

1 ax 

43 -I 

B6-. { 

10 

200 : 

45 

1 

; 49 

-• 7 

■55 V--; 

2 

BO 1 

15 ij 

1 ! 

. 17 

• 23 -. \ 

19 



90 : 

6 

j-/_ 1 -i 

f 11 

■ 9 ■! 

15. - ’i 

— • . 

100 ' 

3 


! . 613 

. 12' . 

IO . -1. 

: 4' 

500 ! 

92 - 

; -i ■ i 

f 98 - 

ijs— .. - L 

112 :■> 

•5 

550 : 

44 

11 ! 

l- 60 - 

: .10 I 

73 l , 

a 

600 ! 

I5l S 

29- J 

30.* 

\ .10. ! 

' 362 ' ;■ 

44 

• 

. 


■325 . | 


- 

85 


, • ««v 


— : lSSp . *- 

z - 2 

1 I8op 


— . 119p . 

356p' - ■ 

, . 4* . ■ 

i 119p ■ 

! 404p ' ■ 


243p 
• 90p ■ 


Xoieoiber 


- February 


May 


B<i»’ I'M 
pin. lull. 

P« ■ 1 ' 4 


70 ^ 

. 80 1 
220 • 


9 

4 

16 


- .1 

30 


idifl 7 

.( 24 


5 

IS 

■5 


B—l» 

340 ' 

6lj 

5 - 

16. 

10 

p-.-i» . : 

Z60 * 

2>=. 

20 

■ « - • 


LtH 

140 ‘ 

36 

19 

--33 i 

ZO 

km: i 

160 i 

16 

.18 - 

25 - . { 


If. 'll i 

180 1 

B 


.14- 

50 

|r>n«-lJ<: HP 

80 : 

9 

10 

-*w* 

5 

Im-t/rwIUP, 

90 . 

3 

70 


47 

I?T /. 

240 ■ 

26 

IO 

32 ■( 


i.-r/ 

260 1 

10 

3 

17 i-- 

34 

UTfi 

280 

3 l S 

. . ' 1 

4 ' 


25 



194: u 




' 1 


131] 
t 8 

■'-Si 

! 20 

14 

■[•■-45 

; 50 

j 19 
13 

1 ■ e ■- 

i 36 . 

! 23 
IS. 


12 

i--'8 ; 

’ 36 
8 J 
i 10 1 

; -.20 ■ 


75? :: 

- ' 'i. 

168p 

gn 

8Sp '■>.■ 

235p " 



APPOINTMENTS 

H. Fraser to head Stanley 
Gibbons International 

Mr. Howard O. Fraser is lo The following ROYAL NAVY 
become chairman nf STANLEY appointment has been approved: 

GIBBONS INTERNATIONAL on Rear Admiral G. I. Pritchard 
October 1 and will take over from to be Flas Officer and Port 
Mr. A. L. Michael, chairman since Admiral Gibraltar Commander 
196S, who is to retire. Mr. Fraser Gibraltar, _ Mediterranean in 
has been a director of iba! com- January 13i9 in succession lo Rear 
pany since 1973 and became Admiral M. L. Stacey, 
deputy chairman in 1979. the same 

year as he was made managing — . „ „ h _ c 

director of STANLEY GIBBONS ,5 riirL^n?^ ,h* rritTsh 

LIMITED. Mr. Michael hopes to y IOTlSpR9 

maintain his contact with the com- nTir?? FEDER VHO \ in nUce of 
pany. particularly in connection pS5Sl» Vh! hSi 

with the sroun’s European actlvi- ' pp h raguero. wno nas 

ties. He will be retiring from his re t |rea - ^ 

directorships of the Stanley 

Gibbons Group. M*: Robin niirlstone lias been 

+ appointed chairman of GRESHAM 

Mr. Richard Francis, the BBTs MANAGEMENT 
director of News and Current MENT and nf GORDON AUDIO 
Affairs, has been appointed a viSLAU 

director of VISNEWS in succession * 

lo the late Mr. Desmond Taylor. Mr. J. B. Mathews has been 
Mr. Stuart Rcvill of the Australian appointed a director and general 
Broadcasting Commission, has manager of WILKES BUSINESS 
been made deputy chairman of the FORMS, a subsidiary of JAMES 
Visnews Board. WILKES. 

*■ -k 

Mr. Ken Owens has been Following his appointment to 
appointed director of engineering the Board of Sea forth Maritime 
at REED ENGINEERING AND (Holdings!, Air. R. F. Monk, a 
^ ^ director of James Finlay and Co., 

i ' ' has resigned from the Board of 

offshore ship brokers, KENNEDY 
MARK. 

★ 

Mr. IVitliani B. Harrison Jr^ 
vice-jiresident, has been appointed 
general manager of CHEMICAL 
BANK in London and regional 
heart nf the bank's northern 
European region including the 
UK, _the Nordic countries, and 
Hi*? Netherlands, fie replaces Mr. 

Roderick Porter who is returning 
to New York where he will be 
secretary or l he bank's asset and 
liability management committee. 

■k 

SENTRY INSURANCE GROUP, 
whose operations Include City of 
Westminster Assurance tlrfe), 

CioverJeaf Insurance and Sentry 
Motor Policies inon-standard and 
standard motori, Sentry <UK> 

Insurance Company (reinsurance) 
and Gaudery ifarm management), 
has made the following appoint- 
ments to the Boards of all its 
UK companies; Mr. John W. 

Juanis, ch»rrm,in. Mr. John A. 

McComb. deputy chairman, and 
„ „ Mr. Harvey n. Until, a dirertor. 

DEYELf iP.MENT KERt ICES. He In addition. Mr. Peter Ccinuor, who 
was previously chief civil engineer has been general manager of Cily 
of the company, which is a nf Westminster Assurance since 
member of the Reed International 1975, has become a director of 
group. that company. 

* * 

Mr. John Wilson has been Mr. Jubn Wcbb-Jcnkms has 
appointed a director of the rejoined STANLEY SMITH AND 
ME TAL PACKAGING MANUFAC- CO-, after a period of working In 
TURERS* ASSOCIATION, formerly Europe, lo be deputy managing 
the British Tin Box Manufac- director, and Mr. Tom Moriarty 
turers’ Federation. He wilJ set up has been appointed alternate 
an independent secretariat or the director to be in charge of pro- 
association in new headquarters duction and engineering, 
over the next few months. * 

* Mr. Arthur Smith. Mr. William 

Mr. Michael Davies has become Smith and Mr. Arnold G. W. Scott 
chief executive of ADLER BUSI- have beeri appointed directors of 
NESS SYSTEMS Jn place of Mr. CLIFFORD’S DAIRIES following 
Henri La Costa, who has taken completion a r the purchase of 
over as company secretary and County Dairies Group, 
personnel manager. The company * 

ic the L'K subsidiary of the Mr. Alim Cathcart has twen 
Herman Triumph Adler orsanira- appointwf to ih e Board of CRANE 
non Mr. Davies was previously FRUEHAUF as marketing dircc- 
Olivetli s London and Metropolitan tor. He was formerly managing 



Mr. Ken Owens 


Olivetti: 

region manager. 


director of one of the group's 


Mr. Atria Cathcan 

subsidiaries. Mr. David Yooens, 
previously a senior executive with 
the company, has been made 
group manufacturing director. 
Tho changes follow the recent 
appointment of Mr. Philip Crort as 
managing director. 

■Ar 

Mr. Peter J. Lawrence has been 
appointed lo the Board of 
THOMSON REGIONAL NEWS- 
PAPERS as finance director. He 
was formerly company secretary 
and group financial controller and 
he will retain his position as com- 
pany secretary. Sir. Lawrence is 
also managing director of F. J. 
GJindon, a TRjN subsidiary. 

* 

Mr. M. P. Renton has been 
appointed a non-executive direc- 
tor of REj^DSON. 

* * 

Mr. A. C- Gift) os has been 
appointed a member of the 
HOUSING SERVICES ADVISORY 
UNIT of the Department of the 
Environment from December 1. 
He is at present director of hou* 
ing and health at North Bedford- 
shire Dislriel Council. Mr. Gittnn.s 
is a past president and council 
member of Lhc Institute or 
Housing and he serves n< an 
officer adviser lo the Association 
of District Councils. 

*' 

Mr. E. S. Simpson. Mr. E, A R. 
Hammond and Mr. ILLG. Gibson 
have been appointed parr-time 
members of the MONOPOLIES 
AND MERGERS COMMISSION to 
June 30, 1981. The following mem- 
bers, whose term of office expired 
on June 30, 1978, have been 
reappointed for a further three 
years until June 30, 1981: Sir Max 
Brown, Mr, R. J. Asp ray, Mr. J. S. 
Copp, Mrs. C. M. Miles and Mr. 
T. P. Lyons. Mr. Simpson is chair- 
man and managing director of 
Jonas Wood head and Sons: Mr. 
Hammond, a full-time executive 
councillor or the Electrical. Elec- 
tronic Telecommunication and 
Plumbing Union: and Mr. Gibson, 
general president of ihe National 
Union of Hosiery and Knitwear 
Workers. 


ACTIVE STOCKS 


.No. 


Denomina- 

of 

Closing 

Chance 

1978 

Stock 

tion 

marks price tni 

on day 

high 

BP ;. 

n 

12 

HlOxcI 

+10 

926 

GEC 

25p 

12 

33fi 

+ 4 

337 

1CI 

£1 

12 

40Bxd 


421 

Northern Eng, ... 

25p 

10 . 

142xd 

+ SI 

142 


R0.05 

9 

4B3xd 

-14 

4SS 

Shell Transport... 

-OP 

a 

n$ 0 xd 

- 

602 

Barclays Bank ... 

£L 

,s 

302 

— 

3HS 

EMI 

oOp 

S 

JfiH 


190 

Jackson (J. H. B.) 

Jp 

8 

41 

+ 3t 

41 

Avana Group 

-ip 

7 

ofi 

+ 4i 

-3*5 

British Syphon ... 

2 ffp 

7 

63 

— 

60 

GKN 

11 

7 

296 

- 1 

29S 

Ucean Transport 

->P 

7 

HJxd 

- 4 

13S 

Rank Org 

2 .ip 

7 

290 

+ 3 

296 

RTZ 

25p 

7 

2 Jo 

- 4 

23S 


197S 

low 

720 

233 

32S 

S4 

2$3 

4S4 

298 

130 

23 

2 Si 

32" 

24S 

104 

224 

144 


RECENT ISSUES 


EQUITIES 


Ifsjie 

Vrtcr 

i*r 



Sti>?k 

\ 

S = “'+ '■'tj 

-- 1 |Ht ifi- 

'•* 1 = ! B'a 11 1 tw i 


['■J • 

— ~ 


I ZB 


J I". I*. 
I r.e. 
F.P. 


al.b £i . <1 itirtiw!. auytf«i«j<h....j 87 | + | i^.4P3.1 4.2 7.8 

— I i .-»4 4 .Emrmv ; lui^i i — ; — ■ — 

8/9 [ 169 ; 13>- |joae» <E.l <Juw'lni 10|.;164 | | *5.5; 2.1; 5.0. 14.2 


FT-ACTUARIES SHARE INDICES 

These indices are the joint compilation of the Financial Times, the Institate of Actuaries 

and the Faculty of Actuarial' L^T 7 


FIXED INTEREST STOCKS 


‘ s- 
S-r 


it iiiii 

\ ^ Uuiii : Uw 


rm 


Stork 


| -f % |+jjr 


10 |.' 

1 “ 

ri3,lw: l? ( . 

Lanij 

h.r 

■ — U" 

GlOu 

Gsu 

IO/l£ Is? 

»■ ; 

— 

1 — • KO|. 

99|i , 

fill 

— ;3 lai/iii 

tiuo, 

t . IM 

8 ,12' 

ibui. 

f.f. 1 

- ic 



4.11; PI 


K 1 


t-l Jv 

K.l\ 


»i«0[, ! 

K. K. 

1,9 I lu[ t . 

G99i« 

h.P. 

— 1 rf « lj> 1 

t-ttOSjl 

r.i* | 

— : 



lip : AmliuLivuic lift Umt- t*n 

99 l«ii;<tni ieu tar. Itau- l.’eJ. t 

agi*) !»•>. liii*. Kei. It«* 

IM^g.OnraD. De Gnrnl 101-^ Prri 

Aidi.Hii- ,V .ihiWi 14- let UtHi .AMMVj. 
■[■Hijnartt \ WvnJiuiiii L'ns. |ji, 

u»t(i Keu-inaion Him \*i. Km?. 

7ti jl^lbHUi Jnnn~ Cum. Frtri.„ .... 
£2 j Uiuinva L2% ikitlr Umav. L'n>. I.u. 
dl+:Northa(n|4<m Var. Halt/ Ueit. ISco.... 

Wi- lltmsu Ili% Cum. 1'iBi 

gglg .-jtratliciyile tar. Male l*£S 

0 gl;iWniil' anrtll V*rmli't* li* 1 ' 


e*vJl . 




’ -- ; 

14l~|. 


| 99J, +- 


! SllR - 

'a 

1 10Sp 


1 Oi|im — 


.101 - 


1 991; . 

.... 

: 81 - 


- aZ 


1 99fe - 

la 

! 99 a . 


98 ig + 


J 99*3^ 



“RIGHTS” OFFERS 




Liie-i | 

Ibmic 



Prut- 

r — 

Until L 



1 ! 


Itflb 


I Hum 1 Low | 


Stock 


L'l-WID” >*■ ■„ 

I Fric? | — 
I*: ' 


at j 1 F. P. 1 
485 I .Vi. ! 
>a , ,\i. i 
390i.- ■ mi j 
JO j K. H. 1 
44 Vn : 
1 let 1 

fpiio; vn ; 

t»b I Vi- 
100 • .\il 

•■ft 1 6 op i 
75 i nil 
NU 
Mi 
Nl. 
P.P. 
FJ*. 
hU 
F.P. 


265 

7* 

10 

7u 

77 

B6 

tpf 

40 

42 

<SU. 

25 

1U-. 


Nil 

.'!• 

Kll 

t.i - . 


19-9 47 ». V3 «U ;.\jnmivoo Bn» 

22/9:27-10 00|4H. *Jpn.; B.i -IJ 

Hi | »/ tH in, i.i U><niit«i 

— — 4bum. 44pit»|U«tH>» IlHjm 

4*e I J r« ' ti ,Uwl>«... H-'w 

— ttipiu!<*3P n, .* ,rir '' , b Frmtma 

4 1 | a%.m' l.'pn'-* 

JUpni! J&|Hu,Clt. Fr. KHn-e. 

13 10' fti'icl Vimi;UHn*to 

— 10pm' 9*pm. 0»*W> Bit 'mftMM*10-.'$Cnr. |,u*8?- 

— lMlpnijNti|«MvGluU-uiw Fbuenix 

1 — ■ luptui bpuJ.Hili & Suntti.._ 

— j 21nmi 19iai'Hvivd«n Gmip._.,.;. 

27/ lO.l&iraul IOpni[ioiiiii 9«rvu»_„.. 

— | .£um\ ijpua itKuntrk tt nigs.. 

21/9; HS i ft* iLaecu iWib.i...„.„ 

27/ 10! E9 f 4iip24|.niiUui semifr 

20pmU><n. t Midlands Lad. 

10* jPc'|*rt\ f*aitucr^nijr.^_ 

ddpajjU/rrnisv t-lmrciicn) — 

4*ptn ReUance Kiucwear. 

copra! if iv t r « huj; 

14 jWeanreU 

1 1 •; |>' mu 4‘ai -h-./.n Uvt m It ■ 


u .a 
21/9 
22/9, 


25/9 

lo/Bj 

di/a 

35;9 

40t 


— I 21pm 

4.-10 Ui 

— j 40pm 

— 5 pm 
I8/ll;107ian 

— i 14 
449! 126 


72 

.. , 49|.(ii - I 

37 ,1 

....- 43|.in .... 

• 70 . . . 

.. I Ipn. 

.. | 81pm ~ I 
.... ioj m‘ . 
X4i2t.ni: .... 

0?. 9ij 

...: Nil put; „. , 
5 pm} ..... 

21 pm 
15 i pin' -t- 1 
*! ptu|— | 
94 i ..... 
89 4-1 

21pm I 

llu I 

39pm, + 1 

4igpmr 

107 1 nt 1 4-9 
14-| — 
Fli 124 i 


— i 


Rtraunaimon dale uamilJx ***** ujy ior deaiina iree ut auunp dutr- o Kigiina 
MSeo on pros pp crus vsuniata- o AMumeo aivutam and meld. m H orucasJ aindetid 
cover Dascii an pn/vtoui; wear's eartmua r Dhuoenn and vie la oased on prosnectw- 
Ol othei 'jihuai eaii males W I 01 * ® Onwa. i Picures ausumed i Cover allows 

loi i-nnverevHt nl shares ntU now raokmu lor aittdww or rankiRK only far restricted 
tUvid«ud5 ( Placid pn ra » W“> Uc unless otherwise indicated, s issued 

Ov render |l Offered io hoW*rs a* onUnaty shares u a •• nKtila."' - issued 
IW wa* of capiialisurTOD. tf tender pnee. B3 Reintroduced fl issued in 

connection with remsantsaboh 2 «~ 8 r or takejioer fiu inrroductWD 1 1ssued 
to former preference (KUrters . W Allomwnr irtfeis C« fnliy-pud}. * Provtsumal 
or piuux-naul aitoUBont ip"* 1 **- * With warrants. 



EQUITY GROUPS 

Moil, Sept 18, 1878 

ErL, 

Sent 

15 

Tbur, 

: s 1f; 

Wed, 

Sept-. 

IS; 



GROUPS & SUB-SECTIONS 

Fii^ures in parentheses show number of 
stocks per section 

Index 

No 

Day’s 

Change 

Est. 
Eanriof? 
Yield % 
iMax.) 
Corp. 
TaxSBV 

Gross 
Div 
Yield 
f ACT 
at 33%) 

Est 
PfE 
Ratio 
(Net) 
Corp. 
Taj 52% 

No. 

Index 

No.. 

Index 
' No. 

B 

Index 

Ba 

i 

CAPITAL GOODS <171 1 ...» 

255.66 

+05 

15.11 

4.87 

939 

254.44 

25638 

'25464 

IZHJB 

215.07 

2 

Building Materials (27b., 

22L95 

-0.7 

1569 

5.06 

8 68 

223 JM 

22600 

22418 


1973^ 

3 

Contracting, Construction (28).. 

414.65 

+0.9 

16 J9 

3.79 

8.64 

41L06 

41951 

417.46 

TTPj 

333S.- 

4 

Electricals (14) 

57732 

38433 

+1.1 

12.55 

321 

1162 

57961 

37824 

57368 

38098. 

569,44" 

37346 

■TT3 

W\> r- ■ 

5 

Engineering Contractors (14j 

+L7 

1737 

565 

7.85 


Rpj 

6 

Mechanical Engineering^) 

203.16 

+0.4- 

1621 

536 

-823 

20241 

204.75 

2(862 

' i r 

S 

Metals and Metal FonningUff) - 

182.91 

+03 

1466 

7.77 

9.45 

182.60 

18039 

17948 

lri>c5 

169.05, 

11 

CONSUMER GOODS 
(DURABLE) (52) 

224.46 

275.93 

+05 

15.61 

4.72 

832 

22338 

27435 

22637 

278.77 

22655 

28021 

* 

22*22 

28219 • 

12 

LL Electronics, Rad io TV ( 15i _ 

+06 

1365 

3.71 

1025 

jtnsi 

242J5 7 ' 

13 

Household Goods(12) 

190.09 

+06 

15.79 

5.96 

8.74 

188.94 

19037 

18667/ 

'385.99 

179.48. 

14 

Motors and Distributors (25)...... 

134.42 

+03 

38.79 

600 

738 

1346? 

33569 

13535 

334.44. 

32568/ 

21 

CONSUMER GOODS 
(NONDURABLE) U74) ... 

22432 

+03 

1454 

538 

929 

224.66 

228J23 

:tia3K 

225.73 

199 33 : 

22 

Breweries (14) 


-0.2 

1455 

568 

9.45 

238.95 

299.10 

240.43'* 

30L24 

21153 

238.79 

5 

289J3; 

23 

Wines and Spirits (6).__ 

29734 

-0.4 

1431 

4.83 

10.43 

30039 

29935 

34132- v 

24 

Entertainment. Catering 1 17 1 .... 

28LX9 

+86' 

14.44 

6.18 

10.12 

278.99 

27721 

l^rLJ 

»6J6:. 

25 

Food Manufacturing (20) 

220.71 

+0J2 

17 JO 

5.08 

7.76 

22033 

'm ik 

22135 

pra 

20116 

26 

Food Retailing (15) 

235.94 

+0.6 

1267 

437 

10.77 

23450 

237.92 

■ 23661 1 


32 

Newspapers, Publishing (I3i 

414.00 

+03 

9.75 

3.12 

14.65 

913.78 

4ZL75 

41232 


►23 1 

33 

Packaging and Paper (i5i 

152.18 

-06 

17.06 

6.99 

7.72 

.15307 

15565 

15435 

fol'+tl 

137.92 

34 

35 

36 

Stores (40) _ 

Textiles (25) 

Tobaccos (3) _ 

21382 

186R3 

254.09 
124.87 

219.10 
305.77 

+0.8 

-0.3 

1022 

1765 

2L67 

426 

7.45 

738 

5.11 

5.49 

6.18 

1430 

7.38 

5.46 

6.44 

9.07 

8.76 

212.98 

184.62 

254.93 

12468 

220.47 

32222 

217.95 

18659 

2590 

21854 

186.71 

25763 

123.96 

22218 

21618 

185.42 

MS 

1895) 
17266. 
22439 . 

37 

Toys and Games (8),, 

18.15 

1422 

12168 

22869 

31054 

HD39 

41 

OTHER GROUPS (98) 

-0.6 

22334 

33538 

20466 
28081' ' 

42 

Chemicals (19) 

-2.1 

1469 

31335 

43 

Pharmaceutical Products n > 

288.16 

+03 

1065 

357 

1!.K 

28733 

29133 

29069 

289.49 

008. 

44 

Office Equipment (6) 

148.98 

+0.8 

1631 

5.10 

731 

147.76 

.34968 

15075 

14935 

135.7? ■ 

45 

46 

Shipping (10). 

Miscellaneous (56)..- 

440.14 

23357 

-LI 

+03 

14.12 

1562 

6.93 

564 

9.04 

839 

444.98 

23339 

453.78 

23656 

44632 

23548 

43537 

23431 

51766 
29837: • 

49 

INDUSTRIAL GROUP (495). ... 


. 


mm 

51 

Hoils (51_ 


-03 


3.91 

8.00 




51561 

52S.K 

59 

500 SHARE INDEX 




1452 

5.04 

8.97 

26L97 



26186 

237^:' 

61 

FINANCIAL GROUFUOOi 

176.10 

+03 


551 

_ 

17551 

177.77 

17657 


16338- ' 

62 

Banksfff) 

198.71 

■ 

2352 

569 

638 

198 72 

20093 

19630 

19631 

17175 

63 

Discount Houses (10) 

218.49 

+0.5 



7.92 



21736 

21634 

21614 

21634 

22438.. 

64 

Hire Purchase (5) 

1MK 

+L9 

14.69 

4.97 

8.98 

■ _ ■ 

16274 

14454 


164.41 

149.66 

164-92 

14850 

2636?.*: 

65 

Insurance (Life) ( 101 

145.49 

. +0.6 


638 

14669 

'-'13337 

66 

Insurance (Composite; (7) 

13333 

352.2& 

+0.4 


655 


13277 


13460 

354.48 

13333 

35768* 

13595 

67 

Insurance Brokers ( 10 ) 

+03 

13.41 

454 

1057 

35130 

354.48 

.mu* 1 

68 

69 

70 

Merchant Banks (14)_ ..... 

Property (31) „. .. 

Miscellaneous (7) 

87.87 

264J9 

114.94 

,-05 

+06 

-03 

325 

2L99 

556 
. 2.86 
727 

5339 

569 

87.48 

26274 

01534 

8762 

26683 

326.71 

8667 

265.74. 

12525 

8635 

26451 

D4J6 

8860 

22668. 

-IfflJS 

VI 

Investment Trusts (50) 

23652 

+06 

2.95 

438 

33.90 

235.09 

237.77 

735T2 

23346 

195.77 ' 

81 

Minimi Finance f4) 

112.71 

+0.4 

1565 

632 

2-78 

tow 

33461 

134.78 

11536 

lfl44». 

91 

Overseas Traders (19) 

33038 

-0 2 

15.04 

6.93 

834 

33L01 

334.73 

33651 

33690 

28091 

99 

ALL-SHARE INDEX (873! 

23957 

+0.1 

1 — 

505 

“ 

23965 

24250 

24135 

23959 

BJJ*' 


FIXED INTEREST PRICE INDICES 


British Government 

Mon , 
Sept, 
to 

i/st 1 ' 

change 

• t 

xd ltdjr 

.To<Uy 

• 

xd-adj. 

1378 
to date 

1 

Under& years 

105.10 

-0.07 

— 

6.70 

■1 

5-15 years 

11539 

_ 


7^9 

3 

Over 15 years — ... 

12171 

+060 

T*-. ■ 

936 

4 

Irredeemables 

12869 

+038 


962 

a 

ATI «(nrh.. 

11354 

-0.82. 


: :.J7 Jt. 


. FIXED INTEREST 
YIELDS 

Br. Govt Av. Gross Red. 


Low 5 years... 

Coupons is years... 

• 25 years.. 


Medium ‘ 5 years... 
Coupons. 15 years... 

25 years... 


High .5 yean... 

Coupons 15 years.., 

35 years- 


Irredeemables . 


Mon, 

Sept. 

za 


8.85 

10.89 

1158. 


13,70 

32.07 

12.08 


11-61 

3240 

3277 


1155 


■m.. 

Sept-'l 

15 


289 

10.87 

1LS6 


13.65 

1207 

3208 


3157 

1260 

3279 


' Tv*r: 

- apo;: 
fapprwc_ 


62* 

f££ 

TttJ*.. 


:92» 

3128 

33.49 


559 

3214 

32tt 


-Uil 




Mon.: Sept. 18 

fVidoy 

Xhnrs. 

Wed. 

_*T 

i 

Tut«. j • AldU. 

■‘y-j-ir 

Friday 

Tbora, 

j W*fc ; 



Jnda.'f'i'ieid' 
No. 4"-s. ' 1 

‘ tb . 

U 

• e . 

-.'Seia-r 


IS 

20-yr. Ked. Deb & Luana <15) 

87.55- 

ria-fld. 

67.57 

57.67^ 

67.98 

I 57.65 j 5761 

57,81 

-5-7.B1 

67. ri: 

IB 

Inve&tmeni frust Prets. (15) 

51-87. 

' 18.41- 

-61.12 

81. IS j 

51.58 

Sl.saj 31.38 

61,38 

5L5B 

63.7?, 

n 

Coml. and indi. Prefs. f 20 j 

71.21 

12.M; 

7131 

< 

7L20 

70.97 

70.94} 70.74 

I 

70.74 

70.74 

74 .-^\ 


t Redemption mud. Hisfts and lam recortt baw jUk4t:o«f. values end cotutlnmt cfaansca ' ■ 

issaefi. A list or the wstHuenu Is available' (rims' foe ?P«d»llsMrs. VM-Wtaaociai flmi? ' 
London. BMP 4BY, prico Up. by post Zfo. .H0M6.-.OWW" 




l 


^ (Mi/ 







43 





Financial Times /Tuesday September .'1978 




*** 


AUTHORISED UNIT TRUSTS 



OFFSHORE AND 
OVERSEAS FUNDS 


bey Unit Tst-, Hgrs. Lid. (aj . 

D. Gatehouse Hit: Arle+bury- fBBSSVtl 

■ acjCapU.il- -IMS MS 3 99 

tqj Inromr KJ7 465 5 47 

mrinv.Til Pd.fr 7 415 4.83, 

jerlhM-TJ. .R9.5 5?7 3.94 

.litas Prog. Tit 1 732 77 i| — 3.70 

lied Hambro Group* (a/ fgi 
nhm Hu liutlnn. Rn-nruiiort. Him. 

■ KM 2851 or Brentwood rtKST- Si:«S 

•nerd Fmds 

tad 1st, ..... — J7L4 76441 I 530 

[ Indf. Fond — 1689 73 7| I 531 

S fclnv . _ . .WO 8 *J7|....| 4 BO 

rt 4 Ind Urn- 4377 403j ..— | 4J9 


Framlinglira Unit Mgt. Ltd. i*K j Minster Fund Managers Lid. 


Provincial Lire Inv. Co. Lld.v Save & Prosper continued 
1030 222. RishopMiaie. Kf a - . LMTASCt ScothlU Securities Ltd.* 

5« rrolificUima..— .. |H» . M1SI-0 3 587 s.-nihii* ^.-^.[411 « j 

533 Hlfih Income .|l28.3 137 5| + 0 h| 6 74 IS St.rW.'.;:. ..." UJa 

w .. .. _ _ Scmslurr:. - 153 .*. „66 7 


Target Tst. Men. (Scotland) (aXb> 

IB Vtml . ‘n-.ri-nl. Filin 3. in I -23# (UK? 


• Mttdr.Pnnd.. [689 73 7 531 G - T - ln,t Manager* li<L* 

niliK. — . .(408 4J7 .... 4 B0 1«. FiitsburoCirru* EC2M 7DD 

’ rti&I'ri, Ubv « 2'? S'? -- i-S fl T <Sp.I«ir.. — Ml - 1806] 

.• MdUDiUI . 1 78 7 843 4 03. Do Art.. 114 5 121 3 

nbmFunrf ...IllS 4 3233 451 rJT tne Frf u n ’ ” 1724 UMd 

ntiroArc Fd [131.7 MLB . 4 12 CT u!s ft Con “ " IS1J 

mk Fb«t> fi.T. Japjin * Lrfui J44.7 .]OJ 


hob FBAdi 

ftTifld Fd IK1 

7i lotiwnr [705 

I Eq. Inc. . . _1«1 

• iwtaad Funds 
-mjuoaai 128 7 

I fir Fund frj. 

c. Of America _ 1591 
I .A. EJcnmpl4._...|99A. 
V-ctalfart FBnds 
■Mr r Co.'s Fd.,.J411 
iSwIr Co'sFd..*. £8 0 

■otrryStii: 1018 

.Min.it- 'dry . 45 4 
ifyrv Earnings. 61 0 
it SmJr.Co's.. « 2526 


•i_4 a e j 7 53 «t. PcnvEvJ-d. (M3 -5 150. 

75 33 fc« 5-T.lon Fund ._..|U67 I66.61 


... 761 8L4oC I 

.. 79 5 75 43 .....J 

- 421 454 -1 


SSBJSr- »*">***• «■<». tawbKo felra^fe =gl 2 ? 1 tU 

Friend#' Provdt. Unit Tr. Wgre.* Murray Johnstone U.T. MguLVfal enU “ 1 ' — 1 1 “ 27 

PidiomEnd, om-tinc- (WiiBS in Hopt5irt«i,cu>oiv;82iuil 04J-Z21 scat Qnilter Management Co. Ild.7 Schlesinger Trust Magrs. Lid. fai (xi 

FnrndsJ-rov. UU..OTJ8 Sj'Jl - S'5l European 184 2 M 7) | 2JI5 TheSlk. Exchange. B T:S Dll- 01-600 41T7 J4u.Ni.uiJi Street. •«.««• WH4 1 

Do. -\tcum. |6LB 660] -02) 175 __ Deallni- Day Friday. Quadr/ml (tan. K.I..I115 8 120 7| . .. | 4 70 Am Kwmnl *4 7 260 2 71 

Unit Trust Managers* (s)(g) Quadrant incurnc-fiMA 1».0I i 7.66 ^‘■STKhvw" MB " 52S 

llA^unu. 01 -80s 4803 KeHance Unit Mgrs. Ltd.* E.rmptMki L4nt g}2 M4] 377 

79:2 toll 6?5 Reliem rll^.Tuoh^dW Wells. Kt 060222=71 S , ™t[ , 'Sl2 ,L .':“ S| «' . Ill 

8ft Trm tt « : j «■ J S&ffiSSC*:=K “S : ?■« 


6dlil °"l Tjniw Anwr.Ejcle 303 323^-02 161 

-„'l 4« T-rs«THlMle U4D 473*0.1 534 

*efi 3 ‘ ’-3* In.-OIUr hd .. 61 0 65 6^ .... I 9.84 


. . _ . Aiesander Fund 
101 laXOI 77. fuc Nirfrr Ii*dio.' Ijiu.nilhiurc. 

■ni .22BtM2i2 AlexADiter Fund .. 1 5I .S7 95 | | _ 

5j -DJI 161 Net au.it tulue be|iieiul<r IX 


Kc>sclev Mngl. Jersey Ltd. 

Hrliur. Jersey .lEnK P14W47"7n). 

Pmuelei. (IrJJfl I «0U -4J| — * 

XtUUbelev - . ITiUSCD 1MSS . ... — 

Keyhele * Ini - ) £7 28 — [ [ — 


Trades Union Unit TsL Managers* 


Allen Harvey & Ross Inv. Mgt. iC.Li tibia = 


I • n£ ■ITicra at xi*bii'* - . '■■ V--I :ur>. day 
I “ depMnwr 27 lui UiautSIn-H Li'S 

19 Schlesinger Trust Magrs. Lid. lai (zi TUUTBei* 1 —1517 

« l «‘ , «77 it!^ ,u0, ^ mW,-D, »7 ,, ' S ' **m'* M *"TS2 Transatlantic and Gen. Secs. Co.* 

766 Am IlnwnSf. •■■■$2 33 zj 200 »I »Newf*»n«l«i»Hd 

Exempt IlldhVId.. 28 8 30 J] ... . 7.07 H.irhir.m e*-fl 14. .182 2 

EinnplMki Ldrtf- 30^.... 3 77 «A.-. rnn UnU-. i 1127! 

Exlruliu'-TM. S? 331 895 HarhErpl.Auc.aO »9 4 


G. * A. Trust (a) (if) 
ljt S. RsyleJchlttC. Rreaturnud 
101 G.4.-A., J3S9 


. Min.it dry . MS 4 4851 1 4.72 CommcdKy Share _ 174 4 

«rai EammRS.M 0 4731 . I 429 Extra Income T«t... 263 

it wnJr Co'*.. «|352 6 265 9| . ,| 451 iziFur East Trust.. . «A 

. .. - ■ _ .. High lotomr Tr_.. 62b 

derson Unit Trust Managers Ltd. income Fund 806 

Fenc hutch 5L EC3M e AA 8239SII K? 

terson U.T.:: 1565 . . 60 7] ] 3 08 gj 


Gartmore Fnnd Managers '* £aj<gl n.p.i Ctfct'n.Tii.- 
4.2D 2. Si, Mary Aae. EC3A 8BP. . Ot.8833631 Npfcr^M 

445 uiAmeriraj] Ta [321 S45l-fl.5f 001 (Acrum UhUa™ “ 

4.67 ErlluhTs lAcr.i .Jo.7 ' ttS . ..4 ill "FUl-u an AnniM 


1-MI 175 Dcxlln^ Day Friday. Waadr/uil lk>n. K.l. .11158 120 71... I 4 70 An bninl 124 7 2b0| 2 73 

Mutual Unit Trust Managers* lajfg) Quadramincumo-fiMi l37.ol j 7.66 y u a I " 52S 

014S28B131 014084800 Keliance Unit Mgrs. Ltd.* E.nnptMki Ldnt g2 30 J 377 

-- i» ”:3to'I| 6?5 "elixmc| J xe..Tunh^»Well«.Kt0(JK22^I Sal.. fll 

IS aasteafcb slus « ®ra^-.rg| s|*«j s&rsarf:=B5 ar- ?«, 

1- om National and Commercial ' s.ht«doT."*.__ |t73 s#*!^ aw igrij.Ui.igj- g_J |o» . 

— !io ^-S*. Andrew Square. Edlnbareh oai-SsssiBl Ridgefield Management Ltd. -Nil Yield 1 —Si 324j ' _ 

r.::: H» USH SSS-S J *-g SMMft.KmTWjy.Ss.Manvlw^fT l«ia6SS21 ^ U? 3?S • ' 

• IS ffiSsfllflSBSKBR 0 i«S J *s SSSRnM^ai 53 *S 

^* tlODa, 1 Inv - “W- **** *•»*““« Ass *‘ W> Wagg & Co Lid.* 

48.t.ntrevhur«.-b&U.EOl‘aiUi Ol 423 4200 72-MO. ilalehmue Rd . A)lesOU(V. (tSd.WJ rr9 ^ ,, \~~~Z 

* (*xgl N.P.I Glh.Vn.Tu — [47 9 5X.U .1 4 15 N.f.Eqpitj- Fund .11844 196U-26I 307 Udll ^iSf 

otSUSQl '/Sf"? 1 Cin^x)- _..«85 623] ... . ] 415 NC. Engj.Rea.Tst.h20 6 12«3 -1^ 234 .aESSI . ^ .^IlSI 145- ' 

am* Oitea* Tnut ..nBl 143Jj j 228 S.C Income Fluid. [165.5 176 ij -ill 642 1—222^.0 v»"“^B04 0 ail ^ ' ‘I t™ 

t-fl.5i 801 (Acrum Umf.it'* 1145.2 153.71 [ 220 Nal Inti. Fd. (lnc.m 5 102.6) . ...1 1*3 ? 55“ •?!£ mil IK 


L Managers* l Cliarmt^’iw* » Heln.-r.Jki • I U5C*4-73741 t'eul. Am-li Cup. — | £13667 [+0.101 — 

uuuaauu AHR*:iUEdg.Fd.. 110.00 10 021 ...| 1215 

552a( . 1 532 . . King & Shauun Mgrs. 

Arbuthnot Securities iC'.I.i Umited ] i iiarii.gCruk<..«i iieik-r j«r*es- insn4i 73741 
J Secs. Co.* I'll H«\34 SI llelli-r Ji-rn-t ||SH'2IT7 Vallrj ll» SI Petvf P-irt. i.'maj IH4HII 34708 


2 00 Bl » New l*inilml Hd CbelnbJurd 104.7510.71 I Cip T*rt ■ li'Wt 


7.07 H.irhlr.m 14.. [I 




s- JX I On Annual 31. Next dealing Sept 28. N.C 

iS\ -Prlrmi on ScpL 0 Next dealing SepL 20. N.C. 


|S 'PrlcM on SepL 
4L7* -83 053 National WeBtminstcr*(a) 

SIS ^ Ser >?l-.t'he*pside. EC2V 8EU. oiboa anso. 

067 +84 5 57 Capital f AreunLt 

16J6 -BQ5 265 EUwa liu. . __ 

183.4 +0 5 537 Financial ... 


Smllr Cm Kd|16&2 17580] -0.7} 


Rothschild & Lowndes MgmL la) 


If* Ki 

“*£ IncmneSepL 13--- ? 

J J; i At cum. L'nllai— — 

• h fieuril Sept l 3 — 

1 Acrum. Unlb ij 77 

. Europe Scot 1 

tiAcenm. L'nitsj-- — J 5 -P-, 




obacher Unit Ttfgmt. Co. Ltd. G ibb 8 I Antony) Unit TsL Mg*. Ltd. 

XFrederieb'jPl^OldJewnr.BrS 

. Monthly Fund .(170.0 100.01* — | 9.02 ra , A U. Income* 145.4 41 

bathnot Securities Ltd. (aRc) JHac.fS®-"® 29J 
^ueen St Lnndoii EC4R IRY 012385381 Oealmg *Tue«. ttW 

N ra Incnmc Fd _ fllO 9 119^ +0.41 1050 „ ... 

bine. Fund 42.B * 46b* *J5 Govett f John I* 

rciun Uniui. 598 .64.4* - — 8 85 77. Umdon Wail E.CS. 

*. WdrwI.L'ls.1 57.1 615* 8.85 S'hlr S«UI Il7l 7 154 

^SSSSEC? - - SI ^ ^ASSSVnh: “B£J 

■ 5 ».t SS “ Nein dK,Uos ^ 

amodity Fund _ 658 70 8 +01 4 66 Orln'Knn MiaMnnant f 

ram l'nllai _. 94b- un +0.1 466 management t. 

BWdrwfUl 575 6 LI .... 466 59i3rasham St . EXSP2DS. 

.iPropJFd 19.0 20 A* 275 BnmnginriSepL13 

gifFund. 125 45 7 242 lAcrum (Joital 

xcum.Unttsi ...... 496 336 .... 2 <2 BuiR.H.Vd Sepl.14. 

, WthFond 57 4 903*02 238 fAcciun. Units 1... 

fram. tlnitai ' 44.9 483 +0b 258 Endeav SepL 12 

Vllerm-RFd. . .. 296 311-02 384 r.'tccum.Unito).. 

bxem&InU Fd. 208 316* -8.3 126 GrachsU.SepLJS 

Wdr»l.Uia.i 219 23 7* -02 126 lAceum Unllst. — 

«£n Fd 47 9 101-3 .... 155 U.6l6ik Stpl. 11 

Laier. A lnl. Fd. 54 X 36.7[ +03 LOO lAceum. Units 


A iosv+ii imAdenciea <1529 16JM-OIBI Extra Inc nr 77 a 

6071 1 3M Iny &empiFd -fija mi+jsl S37 Onancial ..." 375 397 

1 iulnU.Tn.iAtc.1 [365 ,39J].-Oj 4[ BJt Cmwihlni 93.1 1*01' 

it. Co. Ltd. ' Gibbs lAnlony) Unit Tst. Mgs. lid. jwrSfio tmTeu ~ n i "™" 

014230370. x Frederick's PI. Old Jewry .ER!. 01-6884111 ^‘■rraa 1 Kd-(dl 67.oJ 

180.04 — I 4.02 (a, All. Income- [45.4 48J< +BJ| 730 NEL Trust Managers Ltd.* (a Me 

i«v _ oi^Msat D«dios T«m ttwS_ . fi J5E - iiIihl=”65 « S3 


5 57 rap'italTAreumCrijJ, 7 jS| | 4 00 SL SwiUwn* !-»«■ U»- 01+00 4350 -PnAL'!uFdAu*» M7 7 IK Is 

265 1 F-crc, S-a " 5E NHin r..« not In no lfll m nl sax •SperEg. Sml 12 - *87.0 3951 


+BJ I 2-S NEL Tmot Managers Ltd.* (axgl American Sept. ]4.[76 0 , 79 01 

0-40 Court. DwWjig.Siiirej. His* Yld. 5epL £5" 592 623 7.'“ 

^^Vtssrm K^l aa ‘ 7 % 58Bia{5ffcM SI :::::: 

- Norwich Union rnsnrance Group (b) lAevumlfnliai |l«« 

0I3ffi5«M P.O. Box 4, Norwich. NR 1 3NG. 000332BM Royal TsL Can. Fd. Mgrs. Ltd. 


3 95 H+rhE (Dl.Auc.no B9 4 9 

9 IS BurkmA. pl 14. . B76 9: 

. .. — i.V. um. fiijM. . lOSfi 13. 

. . 2 83 I-..U.-HHI St-M I:*- .137.9 14! 

. 3 92 i-Wua I'nibi.. . 370 1 37' 

392 i’u m hid SypL 13.. 563 H 

— • Accum I'nilxi _ ... 61 7 6! 

1213 Glen. Sep] S3. . 588 U 

1.91 iAt+n».Vnils*. . . . 756 8 

2.08 Marl burn 13 . 5b 8 5“ 

4 62 'Accuni I’pilx. 65 4 61 

*62 Van flwili.SeiH 12 5*0 5l 

p. I , j h ■ In-um llqiLn .671 7| 

LO. UO.T Van'HySepl 12.. 754 • T 

■ll-IMU 3134 Vang. Tec SepL 13. 47 0 ' 4< 

230 i.sn-um I'pita i - 48 8 5! 

230 Wirkr.sepl. 14 .. 662 6< 

6 39 ivrum I pIL'i. 794 0! 

. .. 6.39 U'ukDi SepLlO .73.1 T. 

326 Do. Acrum [83.7 8! 

|j| Tyndall Managers Ltd.* 

4 2S ISifnnytige Hoed. Bristol. 

3 44 InrameSepL 13 1106. B 112 ( 

3*9 lAci-um. I'mUi 1974 20! 

,nly L'apital Sept 13. 1392 141 

rrc III)* 'Acrum I'nilx- 1956 20! 

LUL ” KiimplS+U 13. .1162 125 

U31-U09icil >.UriM Unllsi 365 0 17! 

... i 4 79 Inc. Earn. SepL 13. . 269.6 28! 

I 479 lArcum IlnltM .. . 3000 31! 

r. Pref Sept 13 1038 111 

lid W rat i.ACk-um L'mtii — . 128.8 Ui 

LML* la# pi Castle Sl_ Bdlnbarah. 


873 .... 

1354 

92 0 

92 1 ... 
33*5 . . 
1452 . . 

1791 

60) .... 


403 t Thnnia* Sln-ei iHMn'Lis. 1 
■ Jilt Fund i Jcrwyt N M 


•IMZli+RSa 

, ,, ■■ N-»| deal mg' date hcntcml'i-r +il i a It Fundi Jcr«*-i [9 I* ■*.17/ .. | 12.00 

‘ IIM 1BI lUllM , !ll | Trwl'l.«»i .1035 lObiad .... 12 00 

4 U Nrxl drulini! ibile Scp(enil«r is *< l11 Enrt 'IiwriMflEOiS 937| ... . I 12.00 

454 fcial *1 nil T~m;l'. |1220 129 0o| . | 2.90 mU. tkicL Sen. Tvi. 

454 Ne»l dealing duitf ScpicniUfr 28. FiM SU-rlmg -.... p’18 07 18 191 I — 

4 97 Firal lull .[187 73 188.40| .. ..J —4 

tw Anstralian Selection Fnnd NV 

7 07 jlartet «>piK*nuniiiex. in-ii 3'..unit fc Kleinwort Benson Limited 


FiM Sl.-rlinu ..... IllS 07 18191 I — 

Firal lull .[187 73 188.401 .. ..J —A 


454 

4.54 


916 •Wira! 1 * 1 1=71 n 1 *? 1 . • »i Fen.-liur.I.Si.E 

416 Us»51 Share* ... | 5USL62 t ...| — i ... p 

250 N» value jiepiemher a frS? rn 4 -> Im"..'-. 

2J0 pi. Ai+um. . .. . 

{99 Bank of America International S.A- kb Far Exm Fd . 

7 78 35 Boalmanl Rtxal. Lukcmlmuri; i,.l». £? jjln^Fund " 

5*92 Wldln' e»l Inrenie..|Sl'SllS J4 1M3S .[ 744 5 r Ki 

5.92 Price* aL Sept. 14 Next xub. dale SepL 2 U. Brrauda- 


jjj Baoqnr Bruxelles Lambert 
759 1 Ru* ■>* In Rcgem.tr II luuu Hnisttli 

Rcnu Fund LF [1.924 1.98*| t-2) 


Kleinwort Benson Limited 
»i Fendiur. !■ Si . Ei 3 
Kunnvcti l.ux. F. 1.152 
Cuernse> lnc._ 67 9 71.9 

Dn Aiium . .. .KB 88 8 

KB Far Him Fd . SL'M4 32 

KBtnll +311111 3 U SI 292 

KP- Japan Fund Sl'S39.7D 

K B LLS Cwih Fd.. 5US13 15 

Sipnet Bermuda SUS5J5 

-Unilonds >[iMi_ I960 20.80 


or^sinxn 

+ 11 3 04- 

J .« 

393 

. ... 139 

... ITS 
+0.47 053 

060 

... 1.69 

817 


-KB uct u Luodun ^ayiin; axentx i-nly. 


57 81 . .. .] 479 
*5 91 1 4.79 


esvni ^m-Adeneiea [1329 16J4-8»| 2-« Extra Inc... n.y 77 0 " 734 NewCT. Exempt— 1033 O Ml.M-4.0l 345 ■SpeeEx.SepLK-. 287.0 ,395 El .... I 344 Income SepL 13— OOi.B 

i Si* Ssssieji—g? tS? •»■■■ m pncn “ Seplf “ b " r ^ NErt de3,D£ fe-c 3j « 

Gibbs .Antony) Unit Ttf, Mgs. Ltd!. i» ~ g? ^ £ s is R«w» Unit Trust MngL LUL*(.) S^SgS^t "SoSSK W* 

. LFredftriek'jPl^OtdJewrjr.Ere. 01-6884111 Vnl+eraal Fdddl —Kit 67.B| 2 MS Cily Gau. Hx«_ Finsbury Sq.tXT. U1-0M1OM inr(niIeUnita!^~tS43 578] .i 479 InLbrp.M^. a. H9.4 

M.DE9 — I 9.02 la I AC. Income- W5.4 48Jj+BJ|.7^ NEL Trnst Managers Ltd.* (a Met American Sept. 14. [76 0 , 79 0 0.97 Ak-cuai l»mn . —^19 AS 91 | 4.79 lAcctmi IlnltM... WOO 

... . u . Ill AG-iirowthTt riL6 447) 470 MilionCnun wt.t SecuIlieeSepl. I2_. I86 0 195 0* 3 83 Dealing day UcdneoUx Pref Sept 13 [1038 

Ltd, taRO <aiA.G. Far East- |277 nisi -fL5J 140 <u +1 Bish Yld. Sept ia_ SJb Si ™ l ™ Sebad Unit TsL Managers Ltd.* (a) lAceum I'miji-. .P28.8 

ay 01-238.9381 Dealing ^Tue*. ttWod. >jt 5*C'u T 'Ll IS5 +*Ji 4.10 (Acrum Unltai 0.4 87 6 710 _ DaR 1 n11 .* ..**.* la; sj.caailr SI- EdUtborslu 

« +n rilnwi ^ ««-tt . Nelatar High Inc. _.p26 555uj +0.4] 7.72 Merlin Senl 111. 37 8 922 3.27 POBiaxSll. RridWy Hse.Ev*. n 1 -3sc non) Sc«. Inc Sepi. 13 -Grib 

as = n saaas* ™ ssss jsssks- cr trdtL a « ssf 5 

^ :::: jS aJ SSJ^ s,'£rs aws i);i »« m rs SSS2L£SI25-ift= ..+»». ksss£t'. « 

^ IS, 3 -,i * BaglKISzEi ail ■■ I is S.S 

Jala toi au Grieveson Management Ok Ud. ... Pearl Growth 7 27.J _.... 436 «noa at !>epL is. Next deoune SepL 20. Slewart Uait Tst Managers Ltd lai i* 1 - Ac*, uni - ns 

§1 Si"" Save 4 Prosper Gmnp - . SSSaeS JW-ei «SaE. Si 

Baytinfl taufcPL 13 [g7? SSM ._-.J 43 Peari UnllThL.lii. Sa 41.3 4A1 4. deal 5L Helen*. London EC3P 3EP ISir wart .t»eri**n Fond H?^h Im Pnoniy., 68 7 

45 7 2.42 (ACriini. Umtal (2501 26L4I J 427 (Arrun (Gi-1 kmS * 1.1 «Oi-T+ p+inBiireh Pm iM ' .vrv. +T. a ,.< n ^:.l -n 1 


Rent* Fund LF p.924 1.984| »2| 7.71 Lloyds Bt ItM.) U/T Mgrs. 

l-.U Rox 1 9-5. SL Heller. Jersey. 0534 27HIt 
K23Z24I Barclays Unicorn InL iL'b. Is.) Ltd. UoydsT-A oi«i»_|63.i 66 4 df . | o.ts 

...[ 766 i. marine LYiks.SL Heller. Jra> . i©34 73741 Next dealing dale October JA 

-I Z it mmeas Income .. M7 5 50 Of .... I .11 M 

I ; S i : mdoiiarTrusi Wl'oiii liuj .13 40' ljovds International MemoL S.A. 


35? I L'nibnndTrujii 
7 46 Knhk+1 In 


-Sobjccl Id lee and wilhhuldiog use* 


Lloyds International MgmnL S.A. 

7 Rue do Hhnnr. I*.«» hui 1TP. 1211 Geneva ll 
Uujtlx Ini (irnwlh |M-3485 373 01 .... I 150 

Llo^da Ini Income lskTiO 0 310.o| | 650 


20A* .... 
d5 7 .... 
536 .. 
48J +D 
483 +0. 
311 -0 
310* ~0. 
23 7* -0. 
m3 .. . 
36.7 +0. 


2 42 BuiR.H.Yd Sept. 14. 
23* (Acciua Umtsi... 
258 Endeav SepL 12 

3 84 f.Accum. Unit*). . 
126 Grachslt.SepLJS 
126 lAceum. Unliai. _ 
155 LiOBnl'Scpt lt 
LOO fAcciun. Units 


(z) Capital Fd [74 3 7«4rf....l 3J2 

a*.. Income Fd [742 7BJJ . | 720 

Pncoa at SepL 15. Next dealinc SepL 20. 

Save & Prosper Group 

4j£ 4- 'Great SL Helen*. London EC3P 3EP 


UnelGUiTsi Inf — t 


2.17 Do. Ai-cum .90* 

2.17 Extra Inc. Growl i„MS 


*31 2061180 

1 1 13 

1 1 553 


Stewart Unit Tst. Managers Ltd. (ai Iraf 

4S.CbnrloueSq— EUinburi-Ji. U31-22S3271 STAci'umT. . ” 121 1 


ata “+™ Ttrr tAecum. Unit*) [so 2 54 A | 4.61 68-73 Queen SL. Edinburgh EH2 4NX 

^ r” MIcm Vsits kin A 111 (tut) !»“■» “* - “™ ™> 

ISl — 81 Fountain SL.ltanc heater 061-2309685 ® mw! * prosper Sec unties Ltd.* 

103 7 ml :“•!§ Jihanunua. 194.4 UL4| -0 J| 458 „ „ 

77 ^ f2 Perpetual Unit Tnurt MngmL* (a) fW? * 1 Bgj |s3 rgjl 

L[ Z *8 Han SL, Henley on Tbaami 040126868 Univ. Growth [74 2 79i7j -0i[ 

■ ' Fp«u*|Gp.GUi_.._|495 47-M 4 302 Increasing lucerne Fund 

chway Unit TbL Mgs. Ltd * take) Guardian Royal Ex. Unit Mgrs. Ltd. Piccadilly Unit Trust (aMb) uiRh-YieW [5L4 4 

High Hoi born, WC1V7NL 01-8S1623X. Royal Excbflnce,fX3P3DN.' 0T-628B011 Anteey Llbbt linil Trust M umig m Lid. High Income Fund* . 

^Olfrd^mMslLfff ^.eczrs-O). 

rclAva Unicorn Xtd. la KgWe I 1^3 Fd.T“fia 7?fj loo VKEqniwL. |47i 50.71 +0b| 

corn Ho. 232 Romford Rd- K7. 01-5349344 Brentwood. Essex. 0277-21? 330 Capital Fund ..M7.7 5L9[ j 3.90 Oversea* Fuadsfti 

Lron>Aaenea-|ttJL - 391) -0.6J LU un. Funds + Jlrt. Emi & AmoUl. 1503 54.41. — 1 2 70 Kurow 1943 10131 -0.31 

rrirate Fund 


tBb-wnri American Fund 

nV»i IN -re K . Standard UH1U..—17L8 76 51.... I LM 

01-228 7351 Acciun. Unit* 77.4 823 . | _ 

Lies Ltd.* Wibdra+ral Uu»*.|573 612| | — 

‘Siewan British Capita! Fund 

4271-0 31 250 Standard..-. JS561-— I 4 05 

303-0 11 154 Amui Units . — p66 6 W 1 2| | 4 05 

”3 -oil IS „ .... DnU ss.i7 , j vt ^ m ' 


Hi-h Inc. Pnoruy.. 68.7 

■t xn Inlemjilnnul 331 

Special bit* [35.8 


tsr Barclays Unicorn InL (I. O. Man! Ltd. • 

12-25 l ThomaiKt.- Dougina. l.u.tL 0634*858 « r *■_.„_ 

Unicorn Au«. Exl . [ 58 1 &25J 140 Gr “ u P 

•l 1 ®* Do. All -A Min 17.9 40 0 . .. . 3.50 Three Qu.-iyi. Tnuer Hill E73R «BQ OlJCfl 4US 

5S Uo I Iri r Pacific ..72 4 77 9 — Allanu.- Sepi 12 ... SUS327 157! ... — 

2*5 Do. Inti. Income. _. *12 44 j| .... 7.90 aucl Ea Sepi 13 . Jl«.6» 2991 — 

2*£ r« l ot M+n Tin -. 46 7 50 31 870 GldE'Acr SepL 11. RKUB liffl - 

JL?. Do Manx Mutual 27.8 29.9^ 1J0 Island 142.1 1513-1-0 1311 

lAceum Unitri. . . .|2M9 2135] -L4 93.11 

553 Blsbopsgate Commodify Ser. Ltd. 

^ 29 p.o box 42. Doucias.i.u M oat!4-239il Samuel Montagu Ldo. Agts. 

4 7? .VRUAl' LSept. 13. BUB776 2952|-L99f — 114. Mid Broad St .E.I '.3. 0I-S886484 

4 '}i GANRHU”SepL4 ttLOM 1 1301 1 — Apollo Fd Bepc.8. [5)14443 4955) 3 BO 

7 36 L»L , VT"Sepi.4... PZ402 254/1. .. | 1.23 Jjpfetl Aug 3i_ m«U4! 144H | 6.80 


TSB Unit Trusts ly) 

4 05 21A'hu[r) Va/. Andne:, Haalx 026462188 
4 OS Pealing* to 0364 01432-3 

(h ITS® General _ .1493 52J1 +021 358 

iblllo Arcum. [63.4 67.9( +tZ 358 

.. ibi TSB income... .165. 7 69.9} +0.4) 671 


-0 3 229 Ongutalljr ixsued at "Jlu and —£1.00. 
6% 4M 

Bridge Management Ltd. 

Pit. Box 508, Grand Caiman. Cuytnan Is. 
026462188 N'tHubiSepl I _._| V 17 021 | _...J — 


79 7l -n'hl jfi Dealing IFri. -W«-l rti rrSB General . _|49 3 

Son Alliance Fund MngL Ltd. lb! reBinJSi# — 65 7 

62.71 1 6.76 Bun Alltance Hae., Horsham. 0403 MUI ibi ta Vtum^ -V.' U5 

Exp.Eq.T<l5eptl3 4 255 21 1 3 72 TSB Scottish 92.4 

7H.MJJ1U 7XO TTfet Family Fd — P«*.8 1M.9| -l.o| 32B UDDo. Accum. 990. 

47 7 ?i| Sit 2™ TsL Mngrs. Lid.* I.HH RaB ,. tel 


sar?:* 

lisil -0.4i 


G.P.O Box 500. Hone Kong 
358 KippinFd. Sept. 13 Isufflajf. 2I2St | 078 

358 

Britannia Tst. Mniont. (Cl) Ltd. 

223 30 Uaiti SL.SL Uelier. Jersey. U534731I4 


lit iirp Sepi 6.. ..hVSUM 12M 1.86 

1 17 Jersei Sept C. U5 20 66H 0 68 

11? JergyO'&Aug IB fll.75 1L36| | — 

Murray. Johnstone (Inv. Adviser! 

163. 1 lope SI .Ijluaguw. CZ 041-2219321 

■ I tape Si Fd | SUS40 51 | ... . I — 

•Murrtij Fund. .| SCS1217 | | — 

■NAV .Au£iui 3L I 


AusLAcc ^.[829 

AoxL Inc. - I M.I 

Capital to 3 

Exempt Tst 11205 

Extra Income .DU 

Financial 166J) 

500 Kj 

General [345 

- Growth Alc [452 

. Income Tut. ....[92.0 
i. PrL A'iu.Trt. -1345.1 


L13 px Fnnd* 

Jf 7 Cap- Growth I nr 1495 

U7 Cap. Growth Ace Hll 

4 31 Income* Asset*. ..[365 
52 High lueone Fund* 

It? High Income M6 7 

5*® Cabo* Extra Inc [U.2 

5 An Srewr Fnnd* 

IjK FlnnocialSilTU IZ75 

U3 Dll & Nil Res pin 

S2p tnlernaUanal 


-651 94B tl.K. Fond* 

..._| 4.06 VKEqnlty |47b 

| 3.90 Oversea* Fundxfn 

. — | 2 JO Europe 1943 


M™! ^ :::: i?S ftr 

n U j 7 ** American Fund [265 28jJ -0*1 150 g*5f dlV 

M4^ '.“.'4 XU Practical EnvesL Co. Ltd.* (yHc> FiSSiai'sMS^ll^'g 

", ■ *< BloomshnrySq.wri * IRA 01-6238891 High. Min inram Fnnd* 

—412 Prnetieal Sept 13„[1675 OTJJ ....J 3.96 select I nleraaL 12755 

-■-4 Accum. Unit* 0369 2M.6J 3.96 Selaetliiceme Sj 


2-89 ( Accum. Unit* 


L ,3 -JU7| 


3.96 Select lucerne .. 


ce* ai August 3L Next sob. day September Cabot — r — _B64 

38 imernadanal [487 

Recovery (47 5 5L4( | S-33 WW Wide SepL ia_[K.9 

Trustee Fnnd_ [124 .6 134.71+0^1 4.77 Osereean FUnda 

Wldwide Tst (34 1 58S[ -051 282 Australian K22 

a.ln.Fdlnc poo 72fl^8J| «54 European Cl 5 

A rciun. J#9.Z M.S +07l 454 Far But — 583 

JipanSxcmpt 

■ ring Brothers & Co. Ltd.* (aHx) « a 

LeedenhaUSL.E.C.O.' 01^88300 63 0 


mi nag — J 

48 7 43^ J 

*29 M.2 ....J 


J 241 

_.J 1A2 
... j 4J1 


3L<>mhom SL, EXS 

50.71+0 J| A71 romiiiMKltnr. fJO-g 
Tars el Financial— 63 9 
10151 — 0 31 3 ns Taraet Equity — — _ 404 
IHM-lb 0 36 Target Ex. Septl3_ E55 
bu-la i » ODo..Vcc.Unit*— JC63 
85.41 -1JH L26 Tarc8fC ,| tFW ^_ 117 0 

. ... . Tare « Growth 

89.6n -051 354 Target lull 28 £ 

R-I “ 2 ^ 150 Relnv - t T *R« — £ 0 

83 J) -0J| 2J7 Target Inv . 356 

Tjn. Pr. Sepf.13— — 166.4 
!9L«-13[ 104 Z2 l21>- "“'§2 

6L9j+oj| t.n 

I 


Healings. U296 5941 
43 IV -051 354 
69 4 c 3 . n 423. 
43.a — 0 jJ 5.64 


jj,, Ulster Bank* (a) 

55 4 WannC-SlreeLBeltaiL 
451 ibiLTster Growth (40 4 


iiojt — u.+t ++-> jHcriiU Denominated Fd*. 

Growth Invcai |38 4 41 5j ..._. 200 jua Boulevard Royal, Luxrmhourc 

Intul. Fd .. [9? 1 105 0[ ... 3 00 NAV Sent. 15 I SUB1223 1+0- 

023239231 Jerary Enero TsL. 144 8 156M L50 ^ 1 1 

43 41 | 4.90 Uiuvsl. ST*L Stg... .|£2.42 259 LOO . , , 

^ 1 High Int5UeT(L_. [297 LOO^ .. .. 12 00 Negit Ltd. 

IL Ltd.'- 15 Dollar Dennadnalid Fd* Bunk of Bermuda Bldgs., Ha mi lion. 

MJSfTiL.-jSSaS JB ::::::! r» - '** 

IlI *.» v* 1 "* SepL li Next deal i on September 2S. Pho«nl* International 

’ TO Box 77. SL Peter Puri. Guernsey. 

Brown Shipley TsL Co. (Jersey) Ltd. inier- Dollar FudiI .(S250 2701 .... 

n] -623 4951 PO. Box 583. SL Heller. Jersey u534 74777. „ „ , „ 


32 °d +0 2 
3L02 -OJ 


b'oo Unit Trust Account & Ztfgmt. Lht- 

Bine William Bt. EC4RBAX 01023*851 

fSS Friars Use Fund.. [173.0 183.01 +9.01 4 22 

22 Wider Cnh. Fnd 8 346w) -rl.3 459 

HZ Do. Accum. P85 40.6^ +L4] 09 


Negit SJL 

| 200 ] Da Boulevard Royal. Luxemhourc 


^ SZS2ZTJZ3SU 

* 02 Wider Growth Fund 

!'"■ 7.0 King William SL EC4R0AR 

. ... 11 82 Income Units [32.8 

— 4.67 Arcum. Units 1385 


ria ::::::! 


I 3J0 NAV SepL 15 | SUS1223 |+817[ — 

LOO 

12.00 Negit Ltd. 

Bunk nf Bermuda Bldgs., Hamilton. Brmria. 
I — NAV SepL 8 |U54 _ |+0J3| — 


270| .—.| 


INSURANCE AND PROPERTY BONDS 


i.j-tafciKWi r isox mu, r*t. riciicr. j*rwy ucu^i *■!. # i. _ __ * __ _ , 

3* 6 nl +L 2 I 459 sterling Bond Fd. .|oo.oi io.05*( ....| U.70 Que * 1 Mngmnt. (Jersey) Ltd. 

40.6} +L4} 459 P r.i Box IB4. SL Heller. Jersey. 0534 2744 

' Butterfield Management Co. Ltd. ouestsilc.Fxd.ini .1955 mid I — 

P.O. Box 195. Hamilton. Hcrmud-. Sum KIl Bd*" wSSa Ss3 ' - 

RnttM** Equity W.-S253 262I^OO«[ L48 *'*’* ,Ml ““ - • .J**??** . ”** l— I — 

I Bmtnua Income IsiMLIC IMf+OOlt 734 


ButtreMlneame.-..|Sl'!l202 2 
Prices at Sept. 11 Next sub. 


+0 03| 734 
ly OcL 9. 


dim. TsL [1940 2022»9 j *14 T” I— +- raunuir^arn. 

^fe-SfcfeipSBw"' U4 Samuel Unit Trt. Mgtt.t (■> •■ fSlffin 34j 

Next sub. day beplember 27. 45 Beer h St_ EC2PTLX . . 0141288611 PropenyFd. 158.7 


dtopsgate progressive Mgmt Co.* ibiBntiahiTnisL 

„ - oi^88«*i {g S3 

mlePr—SejjL12_p02.n 23521 3.05 (hi Capital Tru*t 

-. Uls. "Sepi 12- £406 2S65I 3.05 rbj Financial Tnut 

ateInt^ept-5- ... K£o 1^3 202 ft) Income Tn.^ 

icum.i SepL 5[... RD52 JBM. 2JK ft} Security Trusts 

' cl sub. day "September lfl. ‘•September 26. fti High Yield T»L_ 


43.1 -0 
905 -1 
343 -a 
103.7a 


• Idge Fond Managers*} a Me) InteL* (aXg) 

~d. H ““»*■' W“< William St- K04R 15. Christopher Street E.C2. 0I4K77S43 

i. , • « - *«*«- Mu FumL-_}9*5 18L3[ .-Ml 650 


:::“■( 2 « Abbey Life Assurance Ca Ltd. Crown Life Ass 

I 1 22 MSL Paul a Churcbj ard. EC4. 01*2480111 Croira Life Hie- Wo 

, + ( , v “ EqaHyFimd M2 g.fl - Maag-d Fund Arc. 

!-T W • Equity Acc — 34.7 3&< — Mang’d Fd. Incm. 

01-8988811 Property Fd 158.7 1587 — Uuur'd Fd. lalL 

+LU 4.97 Property Acc....— 1569 1MJ — Equity Fd. Are.. 

-03 -220 SeieeliweFund 987 ULI — Equity Fd. loom. 

-14 215 Cob venible Fund. p24 15J4 — Equity Fd lad. 

.05 son VMooey Fund—.— 123.1 1291 — Property FdL/vrc. — 

457 VProp. Fd Ser, 4... 1289 1357 - Pn**5t? Fdtaa£ 

^ 8 - Jg VKBn.lUScr.4 „MLl 1«. - Pro^ Fd iST 

-n j 4«7 f Equity Fd Ser 4 . 384 483 — Ine/fit riL Acc- 

Zli JConv. Fd Scr. 4.—. U3.8 119.8 - Inv. T*L Fd. lucm. 

-VJt im OMoneyFd Ser. 4.. [ULI U7fl — Jnv.Tm.Pd IniL._ 


U<L Crown Life Asfumnce Co. Ltd.* Uoyds Life Assurance 
01-2480111 Crown Life H»e_, Woldnf.CU21 1 XW 048825033 20 . CUhoe SL. EC2A 4MX 

| — MnnfdFtmdAcc.-tXUU 115.91 +0.S| — HUlGUl SeotB 

- M*ntfd£dIn™».Jll 0.2 115.3+0^ 652 Op.SAlSpLl*. 

d = BMJStdm iSlioS "... S»»i3a: 

i 74 


1B8B +0.i 

10LH +02 


Royal Insurance Group 

New Hail Place, Liverpool. 0512274422 

Royal Shield Fd -[1465 155. 0( | — 

Save & Prosper Group* 


Capital International S„\. 

37 rue N (Are-Dame, Lnxembnurg. 

Capital lot Fund-. | 5US19J2 [-037| — 


Price bl SepL 13. Next dealing SepL 20. 

Richmond Life Ass. Ltd. 

+0. Athol Street L'uuglas, Lu.VL 0624 2301 


Charterhouse Japhet 

I. Paternoster Bow. EX'4. 


117.1 £ 7 | 554 oiKipauuBp a » :: j - 

1045 +0.1 1268 Fixed Interest— [34 B 36.71 ... .j — Gilt>eniRd. fej 1004 J — 

_ 815 The London A Manchester Ass. Gp.* ~ 

12L4 - WlnatadeParfc. Exeter. 0302^32155 tWeekly dealing*. 

S iJ!” \:::A Z Schroder Life Group* 


— “■ **"i« Adiroua— iiama 

1 _ 4. Gt.SLHelen *. f jtdn . BC3P SEP. 01-554 8860 Adlverha umoTo 

._..J — • BaI.2nc.Fd. -Q388 142.71-8.71 — Kondat DU3220 

— Property Fd-* hm Q _ Fondis - DM22. IB 

752 London Indemnify & Gul. Ins. Ca Ltd. GiliFd 124J im:*) -oi — Emperor Fund..... susi4Z 

— J85M TlHt FnriMn-ReailiuaSlriAll Dopootl Pot-..-.— -MQ -—4 — HispiiP* PfStOH 


ericau * Gfcu4..|27 7 2921 L29 

H! l S Key Fund Managers Ltd. <*Hg) 3i.oidBurliuir<» 

Acer”--- - ” atl 481 -I! 2.77 aS.MilkSt.ECSVgJE. 01-8067071). VEquireFdAcc 

unplT 152.0 1620 m ...... 5 29 . Key En6rjty In JFd- [M5 90 M +831 X06 

• -ret 1- Inc. t 189 292-... 2.99 Key Equity & Gen.. 76.9 8L7 +05 .4.4* JGtdJiQneyFdAc 

Aetr — 20.8 222 .-..4 2.99 Wiry Exempt Fd. - 1710 JB9J ..... .‘527 W 

dins -Tue*. tfftd. yrtiura. pFrlcex SepL Key Income Food-, HI 921 +CJ ,858 

• IZ'lsn*. KaynSedloLFd., 592 621 . — 12« 

Key Small Co's Fd - U44 1ZU[ ...4 1252 

llannla Trust Management (a) (g) - B T7nll Wa — G-idJIonJenJUt 

unden Wall Bsildhp, Lmdoi Wall. HCuWvrt Benson Unit ManageipV ■ n pnjrdA c c 


SepL 12 Valuation normally Fixed let Fd Acc., 
Tuesday. Fxd. inLFdlncm. 

Inter!. Pd Acc. 

fe Assurance Ca Ltd. Money f<l Ac? 1 ' 
WL 01-4379082 M<uuw Fd Inem. 

3H S 3 \ - S&A' 


-Bl 7m 18-20, The Farfotay. Reading 58351 L 

ii r M-i ajj: 

+03 1261 Flrod Interest [34B 36.7] 


Albany Life Assurance Ca Ltd. 

31, Old Burlinctan SL. W.L . 01-4379082 

. , Fd Arc. 12832 213.* — 

VFliedlnLAee. _ . Il4t9 149.4 — 

.(% mjs . — — 

.7 12L7 ~ 

115.1 — 

1BJ ..... — 

2»5 — 

2?J3-2 — 


10L* _... 

1 m. 1 I . 
115 . 4 I+ 0 .: 


+0.3| 848 4 Exempt Prop. 
— -J — *E*pL Inv. TsL 
, Fi exl We Fond - 


dob EC2U SQL 

cl* ... 

-Ital Acc-. 

ub&lnd 

u»od«y 

Critic 


:a Income ; (U 45.0B ..._ 

Ease. __j 23.9 25.8a -0J 

•F\T/irsndaIS«a> — 702 - 75J +8: 

fklAG«imral_L. »7.9 UK1 -V 

1> AVLo*' 01 907 976 +0. 


01-838 0478/0479 20, Fencburch SL. E.CJL 
87. M —02] 4.41 K.B Unit Fd. Inc. 

65-0 +03 3 AS OILB. CnltFkLAc. 

685 +03 463 K_B Fd. In*. Tris 
9L3 -03 4-60 KJLFdJn-TsLArc -K9 J 

46J +03 359 KBSmlrCo'sFdl nc- . W9 5 

329 +05 652 EASm-Ccw-FdAec. “ “ 

S.0B 0.71 High YW.Fd.lnc_ 

58a -0J 280 High Yld Fd.Aec. 

75J +83 4.14 _ _ . _ 


Inv. Acc 

__ Pen-FdAce, 

" 1 TT F^tedI.Pen-Arc_.. 
ibkw wII , Gld-MoU-PeQ-Acc. 

IntLMn-PnFdAcc 
0I4OMB Prop_Penj\ec. 

_.... 302 M'ptc Inv_t*en_Aix_ 

5JQ 

425 ;J 

. — 42S 

||2 Alma^re-AbnaRt 

— — tUriMniWlI 


Crusader Insurance Ca Ltd. 

Vincula House, Tower PL, BC3. 01-8388081 Property Fund 

Gtb. Prop- Sept 3_. [726 823[ -_.J - Old Deposit Fd — 

Eagle Star Insur/MIdland Assnr. MAG Group* 


Ufe Assdnmce Ltd.* 


Alma Q*e_AhnaRd;,Re1 gate. Retgate4010L Pfjperty Fd 


— LThroadneedleSt,BC2 01-8881212 JJ^SS2^ To " erHiUi 

_ Eagle/Mid UnA*„]575 39J| J S.77 SSpSon^il 7 

“ E*nify & Law Life Asa Soc. Ltd.* H2i 

Amerahmn Boed. High Wycombe 040433877 FSSfrwoo^X^ 
EOWtyFd - BZff IllS 4 — FmnUy81-6B**.tn 203 4 


* Growth EO-4 

I Growth 69.9 

»lTeL S hares _. 513 
..». -■.ends. 43* 

— ’ '. High Inc BA 

t Issue — 481 

Ih American 320 

resaional— . ..... 5750 
j ertpShare* _ . 14 9 
-^Tld. 501 

uiCbajige_ ... 34.6 

- '» Energy 35.4 


875 +0-1 
753 -05 
552 -CJ 
46.7n -0.7 
953- 
432 +02 
34 i -03 
5928 +0 6 

B 9 B +02 

31 & -6.1 


•SU* f*? AMEVg 

2 «- li * C Unit' Trust flfenagement LtdJf jjSv 
J54 The Stock Ectmnge. EC3N IHF- Ol-SB 2800 AMEV 
SS LAC I dc . Fd O45.0 - 1495m 254 AMEVM 

3 L&C Inti & Gen Fd .liraS U I3[ -i...| 131 AMKV 

f'S Lawson Seca Ltd. *(ajfti) / • AMKi 

406 37.Que«n*SL.UwdeiiEC4RlBW r 01-2365381 


AStEVManacedB 
AKEV MgdFB’J 
AMEV Money Fd] 


. . — Gilt Bond— .... 

FbrtUtoj«F._ lMJ mH-03^ - UtanutnL Bond**. 1142 120jJ ..... 

GJjH. Deposit Fd. 1802 185^J .] — ManSCdl Bd:**» 151.1 ' 1S8LU 

*GaedFdH (llSJ 12LH 4 — . Prow*rty Bd+* 160 2 1629 ..... 

General PmtfoHo Life Ina C. lid.* pi m : :" 4 v&:Z: - Scattfeh Widows' Gnwp r.O.H«*i 

80 Bartholomew CL. Wallbam Cross. WX310H American Fd. Bd.' . 505 615 __ PO Box MO. Edinburgh EH185BU. 031-8658000 EJ21.C.T. 

Portfolio Fund [ 147.6 I J — Japan FdBd* - 013 645| — Inv3>ly5eriea 1 . — [115.1 1151j — 

Fd^oCapiM~;l423 AMI ^ — Wc “ TO * Se «» t - «■ »■ —Sept 15. lnaBgSrWE-. X»6 1M.4 - Ea robot 

Gresham Life Asa Soc. Ltd. JBerohsnt Investors Assurance* BlulScsSla^ M58 1520 ""i! Z Hydehk 

“Sfsa*® m:d- 

G L. Equity Fund— !ul63 122H — Property Pena .^-- I65A .... — Solar Life Assurance Limited ■ 

G'i:§fl.FW BsSl StI-" ~ - Wl* HyPl«« London SCXV *rr. OUMSMB F. 4 c. 

nril ^ S77 Jga r SS^M^ket M2.9 .... : _ S0l«rMsnaged_S 

*T*y. tiaa IW-/ IR* — — MoDey | Ca .p Kls ... IBS. 2 _ So ar Proper 

Growth * Sec. Life Asa Soc. Ltd.* £p«hH.™. MI - . t»‘2g?4 1 ft LS 

Welr Bank. Bray-on-Tlwnea. Scrim. 008-8086 2S£2jed. 'Zi Sol — Solar Laths 

Flexible Finance...! £2067 | ,._.J — Managed Pen*. W6J) ... _. SoIarZod.S. 

LandbankSeca. ■ 5*64 [ ... J — SVl foully 1111 .... _ SolarManagedP 

Landbank Sc* Acc.fU75 UMl J - Imt Managed 1873 Solar PropSfy- 


r British Life Office Ltd.* (a) 


171. *Rnw. Materials. _. 
3.75 JKAenun. Units) — 
255 fGTowUi Flind. 

3.97 *1 Accum. Units) 

434 ttfSiltand Warrant 

2J2 lAmerican Kd 

OAccua Unit*)—.. 
1) -Uieh Yield 


5381 AumUJUL.. 

fiffigSst 

fll _Fot.J 




■Prices on September . 
tweekly draliaga. 

Schroder Life Group* 

Enterprise Rouse, Portsmouth. 

Equity 1 245.7 

Equity* 236.9 2493 

Fixed InL 4 - 1393 146.8 

Menaged4_ 1328 1463 

Money 4 10&5 1143 

Overseas* 1081 1055 

Property*,, 1529 1673 

K&sGwLSees.*.. 131.4 3374 

BE. Pen Cap. B 122.7 329.S 

BE. Fen. Acc- B 134.4 J4L2 

MagdPen.Cap.B . 209.4 220.5 

Mncd Pen. Acc. B .. ZSM 2U.9 

F. Bit. Pen. Cap.-B 97.1 1023 

F Jut Pen. Acc. B 983 103.6 

Money Pen. Cap. B. 965 - 101-7 

Money Pen. Acc. B.. 97.7 102.9 

Prop.nm.C4p B.... 962 1014 

Prop. Pen.Acc.B~ (973 ' 182.6 


Clive Investments (Jersey) Ltd. gj. -J 

P.a Box 32M. Si. Heller. Jersey 0634 37381. -Pni 

Clive GiliFd. itMi. [9 83 9.85) 111 08 tPlrio 

Clive UUt F d. (Jsy-).|9.B0 922] ..,. | UJW 


lx iTtie Sliver Tru«L [107 e U041+01 - 

ant Rirtimond Bund 97. 1001 1S9M -0.6 10.70 

UJ ' i — tKi Plaunum Bd ... 127 7 13*3+03 — 

I*o. tinlri Bd 113.0 119 0 -0 8 — 

llu. Em. 07/1E Bd. Jl67 1 175.9| 11.27 

01-3483800 

• - 466 Rothschild Asset Management iCJ.) 

- 4« P.O BoiTlMI. &L Julian* CL Guernsey 048138331 

('« tM.'Eq.Fr.Aus.3l..|574 60.M 268. 

OC.lnc.Kd.SepLl. I6L5 1718 . . 681 

2JS U.CIntl Fd t SUB 1.46 L20 

OCSmCoFdAug3I.1540 163.8« 3 08 

ISA O C. Commodliy ... 1498 1551 416 

LMI - O.l' Dir L’umdly T - f527 71 2937 .. 0.68 

0634 37381. -Pncva un Sepi 14. Next dealing SepL 20. 

| 11W t Prices ua September 7. Next dealing 

..... UHO September 2L 


Cornhill Xus. (Guernsey) Ltd. 
max rrm Pt>- Bn* 157. SL Peter Port. Guernsey 
0705 ^ intnL Man. Fd -_|1773 193.0| | - 

Z Delta Group 

• — — P.O. Box 3012. Nassau. Bahamas. 

:::: Z Della lnv.SepL12..[IUS23J . 2.45|+0.13( — 

”... Deutscher Investment-Trast 

— Poat/ach 2885 Bieberjcara* 6- !0 8000 FrankJurL 

— • Concentre 1 DM21 SO 222U.....I — 

— IbL B*nlenIoads._.|Dii6L5l 76M( .... | — 

z; Z Dreyfus Intercontinental Inv. Fd. 

..... — P.O Box N3712. Naswu, Bahamas. 

— NAV SepL 12 tSUSUM 118^ | — 


Zi. u.23 Bjwcluys.Xlfe Aisur. Ca JUd. 


TWWfli^'W I SBjSnaSt? & 


British Ule 1556 . 59.IH +03 5.17 

DtaStan'd- SS ftH H. IS * General Tyni 

Wees Sept li nest dealinc SepL 22 12CMwrnseRoad.^fenL . 

own Shipley ft Ca Ltd.* lA^um. 

tre. Founders CL BC2 OTd008330 • Next sub. day Op 


Units SepL] 2— 
^ tec l SepL 12.... 
.roile Trusts lal 

- . jBncial — 

Hj ncraj ( 

—i iwth Accum 

•- jwthJitcomo._.i! 




5« Legal A General Tyndall Fund* cOfa" "! 

a 12 Cauyuse Rnad. Bristol. . 02723224) ProS*^-ZZZZ; 

. Dig. SepL 13 K44 ‘ 68 21 | 4.4i Menaced—: 

' (Accum. UuiW._J.]8L2 S6.M J 4.41 ltonev_.._^j. 

gjjU Next sub. day October IL • 

J55 Leonine Admin Istration Ltd. GiitEdcPwAcc^ 

455 2. Duke SL. London W1M8JP. • 01-4883081 
Leo Dist „. — — M4 0 88.4 +0.6J 4.48 

l*oAc cum 1928- 961) +06| 4.09 ■«OTt*nl U nt: 


01-534 5944 

1403 - 

234* +0-2 - 

127M — 

U4.9J +0.3 — 

105^ +0 1 Z 


Rothschild Asset MngL (Bermuda) 

P.O. Bux'644. RL of Bermuda Bid, Bermuda, 

Resen e Assets Kd | JUS18.0 J | - 

Initial subscription price until SepL 28. 

Royal Trust (Cll Fd. Mgt. Ltd. 

P.O.Box UK. Royal Tat Hue.. Jersey. 0534 2744X 

R.T lnt‘1 Fd. ... ..BUSIIM UM] ] 3.00 

R.T. InH. iJ» i Fd fe 0 102.0) 322 

Prices at SepL li Next dealinK SepL 19. 

Save ft Prosper International 

Dealinc lor 

37 Broad St.. St Heiier, Jeniey 0934-2DSPI 

UA DeUar-drnatniaaied Foods 

Dir. Fxd Int “X . . _W 34 9.9M [ 726 

Internal. Cr.*t_.._.. fesN B.79 | — 

Far Eastern** B3.6S 58.00 [ — 

North Ameru jn't .[4 18 432j ... . | — 


G L. Equity Fund... U65 122M 1 — Property Pena ,^- 

G.LGilt Fund U4J 2283 

GJLIotL Fund 138 2 137.U J — SSKSESt- 

.GJ.P7Sy.road— m. —3 - 

Growth ft Sec. Life Asa Soc. Ltd.* ftrodJ-K- 

Walr Bank. Brey-OD-Tbatnea. Scrim. 0088-84284 ffiSSJdZT.ZZ 


-....J ~ 


2*7 j] I _ TeL 0I-S47 7243. Te)rv- 8814408. 

. ■■■■■■' NAV per hli are September 15 5US20.00. 

Solar Life Assurance Limited 

10/12 Ely Place London ECLNflTT. 01342S&05 F. ft C. Mgmt. Ltd. Inv. Advisers 


Rmsam ft Dudley TsLMgUrsy.Ltd. Z 

P.O. Ho* 73. SL HoDer. Jersey. . 053430901 Sepro’t . .[1SB9 . 1737) .. I — 

EDJ.C.T. fm.4 139.9) m....| 3.00 5terfia4-denaiBii>aled Fonda 

„ ... „ Channel Capital* . 1255.6 269.11-0.4 233 

Eurobond Holdings N.V. Channel Islands* 159 4 167.8 -0 5 4.63 

Handelskade 22 Willemstad, Cnrxrao JODwilt !f'Z"" 1W2 iaoi 025 

Laodon Awmts: lotal. IS ChrisiapherSL, ECT. fitFUed"—*.. 115 J. ULb} .. llu 


SepL II. "SepL 13. ” 
tweeUy Ileal lUKa. 


Flexible Finance... 

Londti inl 5tfei 

Landbank Sc* Acc. 
G.ASSuperFd.. 


H T' H: 

c .K*Hd = 


— Solar Managed S 

_ Solar Proper 

— Solar Equity 

_ • Solar FXdlnLS 
Solar (tathS 

— Solar Inti. S. 

— Solar Managed P 


iex [ 


. 2. Duke SL. London W1M8JP. • 01 -486 SOB 1 

... Leo Disc — - — _.[84 0 88.4 +0.N 4.48 

Leo Accum R08- 96jj +0iJ 4.09 

Uoyds Bk. Unit TsL Mngra Ltd.* (s) 

1% HEM SkS?*-***' 01223 128B 

4 X9 FUattBalucdJ ^52 «-4 1 A« 

380 Do. t Accum. j. 


formanc*, _. U41 69/U ....4 4J4 Second fCap-i 

. 4 MK«y _foi. . 2S.B J 680 J2a-i5seum.i., . 

mpt AurhsI 10 .1*19 64 3 ' 439 -TUrdflncomei 

. Do . I Accum. L - 

- ^ A** Life Unit Tst Mngra Ltd.* 

HlEhSL. Potters Bar, Heria . P. Bar 51122 ®*-tAecuia)_ 

.. iGenWsL — taA 44i[+o^ 4.15 Lloyd’s Life Unit Tst Mngra. Ltd. 

— KT' ! S3 .92-80, Gamrhoose Rd, Aylesbury. * OSS8C041 


InciAcrajiiu-Zj«.9. .46^ -0.^ 7~rr Equity Accum. .P73J 185.01 J 3.64 

Jiel (James) Mngt. Ltd.* M'ft G Group* (yhcHz) 

r : Ekmssr&±-J3& •& 3T ■'VSS3ES!=z ft 63^ +°ol 

rV >liol Unit Fd. Mgrs. Ltd.T («Xc) )£S£$S??ZZ m insa -oa 

3- . burn Bouse. NawrasUe+jpon-Tyne 21 105 (Accum- Unit*) Ml 46.7 -03 

•• ' * linl - |72 T- -74 u | 3 80 Compound Growth. 1193- 329.7 -0.* 

: Acc am. O^Jk.7 lizjj Z'l 388 gu^un Gromb - ^8 -J9 

: High Yield. ^..j|44 6 -47.M J 7.99 DWdend 129-5 . 1405 -1.5 

-- lAmm. Units -B5A- . 58 S ..... J 7.99 lAceum. Uoltal MLS --2664-2.* 

k ■ : Next dealing data September aL European B.l . 56.6 -0 J 

v- -.srities Official invest W* M 97*14 Z°oi 

- > 'Xittdon Wall. EON 1DB. 01-088 IBIS iXrrirm llnUsJ 174 0 J34J -0.9 

- "jine AuguM 15^[142J7 • — [ ..;...| 628 Far Eastern i. 535 67 6* -0.4 3M 

Z-- -um Aususti5_ [27666 — (Accum. Units).>.«. 78JL ■ -747 -0.4 1.89 

-■ ( 'liuuth. Only grul«U« tt Reg. CSaritiex. Fund ofTnv.Tiis 69.6 - 743 4J7 

„ , (Accum. Units) 15.1 906 ... „ 

r «. harterliouae Japhet see James Finlay. .Genera! 1865 2023 -18 

• • • - ■ 1 . (Accum. Units} — .— 289.9 31*5 -2.7 

; 'leftadn Trust Managers Lld-*(aHg) Hjgb income 112.4 U9.7 - 0.6 

-lew SL EC2M9TP.' - 0I-2S3KS2 (Acrttin. Unit*) lg.l . MIA -1 1 

::--:r3 e »n--- — . ju -g .41 m ^^^Sizz Si' z°d 


63a(+42j 


“3 1 *£: “V WA J ^ - Gmadfen Royul Exchange 

aberlL" • ^ Jto^iSSSiiZ Sj. SI2 t:... z Royal Exchange. RCX DI-MI 7107 

SoliSS^lZZZ Su U6J — Property Bondi [184.6 192.2) 4 _ 

“ Z ^- 4 M 3 W 1 «:« ^4 - .Hambro Life Assurance Limited* 

■ «+0fcl 4« 3S51 — - 7014 Par* Unis. London. W1 

at. vy 4 09 DO- 1dJ8uZ— *. 98 JZ 1834 - • . . - 1 — Fixed InL Dep_ 

9611+051 4-09 -Current unit value September 14. Kqul^„ P ~ 

agra Ltd.* (s) 

*«. -f ^eehlro-tife Aamx. Ca Ltd.* Sgjggg? 

un ° '® 23 i^ 7J.Lumburtlfet.,SC3L 01-8231288 Oversea*. 

gfl !S Bit HOCM. S*9>L1_I I34JS [ 4 - C-lttEdxrd 

JJ3 — ■■■ JJ57 • r Amen cun Acc. 

A3.9I *«■■■■ 191 / . v PenJFXDcp.Cup 

*■9 J SJ Canada Life Auurascc Ca ’ Pbo-FJ-Dcp-acc 

m2 ::::: 5 ^ **3&gs *«-■ »«t* pfe »im g£Rax£- 

Hd nsmita.vi : si . i:d - 

BtoXPS- lAd. rwiiiuin -a --- . n j+am Pen. GUt E& C Atc. 

try. - 02986941 Ltd.* Peu.BA.Cap.. 


NEL Pensions Ltd. 

Miltoo Cotm, Dorian*. Surrey. GDI 

jjelexEq Cap W.9 93.S ..... — 

Ne)ex Eq. Accum. .. }2UL 132.7 -L6 — 

... _ Nelex Money Cap. .. 62.7 65.1 — 

sited* Nelex Mon. Acc. 671 70.1 .. .. _ 

01-4000031 NeJexGttilacCap- 539 56.7 — 

l _ NdexGthlncAcc- MS 5£4 .... — 

1 — Mel MxdFd. Cap-. «3 585 — 

1 z No! Mxd Fd. Acc -493 515J . ..4 _ 

| _ Next Sub. day September 25. 


Solar Property 
Solar Equity P 
Solar FnLInLP 
Solar Cakh P 
Solar in H F 


z 




1-2. Laurence Pouutney Hill, EC4ROB.6 
01-623 4W0 

CenL Fd-SepL I3._.j 3HS675 | J 


. + ®- 7 — 
123 4-03 — 

107.d — 

in.* -1.1 — 


Fidelity Mgmt ft Res. (Bdaj JUd. 

PO. Box 870. Hamilton. Bermuda. 

Fidelity Am. A»«_. ! SUS30 97 { ... .1 — 
Fidelity InL Fnnd -I 5US2624 | .... — 

Fidelity P»c. Fd SUS57.92 . I - 

Fidelity Wrld Fd | 5US1738 |-012| — - 

Fidelity Mgmt Research (Jersey l Ltd. 


3. M t OlymjSdeWy., Wembley BAflONB 01-002 8878 Pen. B.s! Ace. 


BBrttlflMhu 


NPI Pensions Management Ltd. 

48, Gracechuich SL. EC3P3HH. 01-8234200 

IIUMtd Fund — [1585 16511 4 - 

Price* SepL L Next dealing OcL 2. 

New Zealand Ins. Ca lU.KL) Ltd.* 

Maitland Houar. Southend SSI 2JS 070282853 

Mwt Key Inv. Plan Q57.4 1623] I - 

SmnUCo’sFd. - MJ* 135-3 .... J - 

Technology Fd_.. 1214 1Z7JH . .. ] — 

SxtyalnrFdL- .— • IKS I 88 . 1 ] ... J — 


Sun Alliance Fund Mang mt Ltd. Fidelity Mgmt Research (J 

Sun Alliance House. Horsham 040304141 WjteriM Hie.. Don Sv.SL Heller, Jeraej. 

saa^”r , diji ,u |:d r «» 1 1 

Jr ..„ , , . J . .. ‘ — . , Series Bipadlici. U0J1 . . J 

Sun Alliance Linked Life Ins. Ltd. Series D (Am.An.ij m.08 | .] 

SuuAUiauee House. Horabam 040384141 _ . .... . _ - .. 

Fund. 1 135.9 14J.U +01 - First Viking Commodify T 

ntermtFU ...1297.6 1UJ -M ) 3 — A SL George's SL. Douglas, Lo.M- 

L2 1373 ..... — 0624 46C2. Ldn. Afita. Dunbar 6 

1MJ -05 — 59. Pal) Mall. London SW175JH. 

ms. irti — Fat. VIA CM. Tkl _ [37.7 3SJs 

115.6 123.71 -0.1 — Fst.VU3bLOp.Ttt.. fro 73.1 

Sun Life of Canada (11 K i Ltd. 

2. 3. 6 Cockapur sl. swiv S8H 01-8805400 Fleming Japan Fund S A. 


■ iAXMlIlKTgBU-W. 

Property Fund . 
lnternafionaJ Fd. 
Deposit Fuad 
Manured Fund 


First Viking Commodify Trusts 

A SL George's SL. DoueIu, Lo.M- 

0624 46C2. Ldn. Afita. Dunbar 6 Ok. UA, 

59. PaU Mall. London 5W175JH. 01-930 7857 

Fit. VIA cm. Tst _ 137.7 3SJs4 .. . ,| 250 
Fst.VU3bLOp.Ttt..fra 430 


Schlesinger International MngL Ltd. 

41. La Mane Sl.Su Heiier, Jersey. 0534 7356a. 

SJL L|., «7 92 708 

S.Ari.I 0 1 01 4 46 

GUI Fd 22 6 22.IM ... 32 06 

Inti. Fd Jersey 120 126 .... 292 

InlBl FALxaibrs.... 1511 3265 . .. — 

‘Far Bast Fnnd [194 U0| . 2.73 

■Next sub. day September 20. 

Schroder Life Group 

Enterprise Houm. Porunuiulb. 0705 2TT33 

latmuskmal Fuads 

{Equity 11225 130 » .. . _ 

5Ef|all>’ — h«4 155.K .. — 

Cnxra Interest... .1140.0 348. — 

SFixed Interest [1065 U3j3 .. .. — 

LManaged [1343 142.81 . .. — 

SHan.xed 126.1 134.U — 


RxiralncT'A- ... 1KB 

American Fd 1145 

FarEaatFd- — ^ 123-? 

Gift Edged Fd. IM i 

CaaDcpoailFd ■ -J97.6 


Maple U.Grth. 

Maple Lf.ManpL- 

Mnpkilj. Eqty- 

FerenL Pa. Fd. 


— Pen.DJ^F.Cap. 

— PeaD.Aj.Acc — 

Z Hearts of Oak Benefit Society Norwich Union Insnnt 

— UM7. TaviatSCk Place WU1H9SM 01-30 75030 PO Bex 4. Norwich NR13NG. 


— Target Life Assurance Ca LUL 

_ Target Bonne. Gatctaoare Rd. Aylesbur 
Buds. Aylesbury (0390 


Norwich Union Insurance Group* Man. Fnnd Inc 


' ., ; >n»e AuxuM 15..I142J7 • — ] ..'.. ..| 628 FarStamern 1. 635 67 6a -0.4 

Z-- ..un August I5_ [2J666- ] — (Arcum. Units)., _ 783 ■ -747 -0.4 

-• ( 'Inautb. Only available to Reg. Cuaritiei. Fund ofTnv.Tiis. _ 69.6 - 743 

t fAccum. Units) 85.1 906 ... „ 

. r «. hartertiouae Japhet see James Finlay. .General 1865 2023 -1.8 

• • . - ■ 1 . , (Accum. Units) 2S9.9 3145 -2 7 

5 ; -leftadn Trust Managers LUL*(ahg) High income 122.4 119.7 -da 

^■rflSSs— W*-‘ ls|3:3 if- :H 

4S7 SSauifuZZlSil. 3lS -36 

^..ZSZStST? -d 5S SgsfuaaizSRII ^ :z 

, nlederntien Funds MgL.Ltd.* .(a) ij^Sm^onitx) i ZZ. k.b 1007 +o v 

,"(■ i.'baanuy Lone, WG2A 1HE 01-2C02CS Second Gea. 191.9 2082-1.0 

-wth-xwri ua o an < 4 ay iArtnim.UnlWi.-~- 2915.- 9165 -15 
.-wurrciso. __|ee.y 4 Speejal 1SS4 1953* — 0.3j 


62 2 373.1 —1.6 

S 'Ssss^nm- is* ^ast^zrw^ 43 

'^2 t ascent Unit Tst. Mgra Ltd. (aXgl wo -W Zz\ 

^slvi IVc Cres.. Edinburgh 3- . 031-2284031 JUax. Ex. SepL 18.. pSul 36L2| +L9| 5 29 CreyftHi'CRQZlA. 

5?” -aiirtmuit'LZZpds ’ 6 sa{ -dJ im MiHuUfe ‘ Management Ltd. 

—5 High. r»iBL-__ [465 ■ • soil -O.l 859 sl G eonse's Way. Stevensga 0438M101 

^Z=M ■ SI ^ RS GTO^aL^f^ 8 *- 62JJ I 3.63 

■ Blomiield S l, EC 2 M 7AL. ' income SonL 12 wwi ii « +e4 | 802 ftena. uned. Arc. 

' clac.SepC.15 — 1195.0 20801 1 442 General SepL 12_...f735 J 77j3 1 J33 P”*#- ffraw Cap. 

J^^F. Winchester Fnnd MngL Xtd. ^ ta ™ aU - 50 PgmS5Sc^. 

Jewry . ecs 01008=107 Mercury Fund Managers Ltd. 


|SSjBg.P*^£fit£a 


IS 


*S. L*E 



UU -41 — 

U2.g -1.3 — 

1160 — 

111.4 -05 — 


Hearts Of Oak. (373 39J| 1 — Managed Fund 

HU Samuel Life Assnr. Ltd.* . fSS^F^iiZZ 

NLA Tw, Addiscambe RtL, Croy. 01-OBS4355 H^taLFund..-. 

1544 167.41 j _ Deposit Fnnd. _ — 

28951 z::i Z *NW. DmlSpUS... 

imJ :ril — Phoenix Assiiri 

106 ll -1 j] 4^. King William S( 


ue September li. 


Managoi Uniia 
Managrd Senes A. 
Managed Seri esC 

Money Units 

Money Sanaa A. 
Fixed lot Ser. A 
Eq idly Series A 
Pox. Managed Cap 
Paa Managed Act. 
Pna.G1eed.Cap. 
PnsGloed. Act 
Pens. Equity (tap 
Pens. Equity Acc 
Prt»FxtLlnl_Cap 
PnAFsdJntAcc. 


Managed Fund 2241 23591 +0.91 - 

Equity Fund JJ62 39621 +33 — 

Property Fund. . - 1323 . 1342 +0.1 — 

Fixed InL Fund 1344 1625) -02 — 

Deposit Fund ~ U2* _ 

*Ner.DnitSpU5... 22R0 J +S.0| — 

Phoenix Assurance Ca Ltd. 

AS. King William 5LEC4P4HR 01-8288876 


080322200 Mjh_ Fund ACC. [1248 


Aylesbury 
,9 1B72J . 


37. rue N cue- Dame, Laxembaurg - 

— Fleming SepL 13 .._[ SUS6238 l 

— Free World Fund Lid. 

Butterfield Bldg, Hamilton. Bermuda. 

r NAV Aug. 31— 1 SDS19451 ) j 

50(1 

G.T. Management Ltd. 


-naopolitan Fnnd Managers. (Accnin. p ° lu)— t 

y : immStreeL London SW1X9E1. 01-2358823. feorf*U«wi P»dda 

: asesffiSJB- H z:| ft E£SB*=f 


Capftai Life Assurance* PniFxdJniAcc 

Conlstori Houro, Cbspel Ash Wtan .090228311 
K+ylnveiLTd j 107.79 j J - Pma. Prop. Acc. 

Pae wnsk sglav Jd. .1 114.76 | — J — Imperial Life Ass. Ca of Canada Agncnitural Func 

' ‘ _ Imperial House. Guildford. 71255 ACbmrsffirFund 

Charterhmue Magna G *.* Gn. Fd SepL 15 .....179.2 861| J — AbbeyKaLFd.'..*. 

Stapbensotr'Mse, Brunei Centre, Bletcbley. PmJV. Seg- lS-. JWJ^ 7 B 4| 1 — iDvestmefitFuad 

HlftonSeynti 6016(1 H2 „ . For ?Sj J S i Invesunem Fd. I Ai 

^ .. wyaca _ Managed Fund -.T.noai USM | — EquilyFund- 

3fi „ FbtecAnL Fd____ WJ . 1£* — J — Equity Fund' A) 

SS'S SocttreCap. Fd Wll 10U .1 — MoMyFund..... 

“ _ Equity Fund- — »_Jlfl3.0 18841 J — Money Fund iA> 

U45 — — Irish Life Assurance Co. Ltd. GUmS m/nal 

• . 7 1, Finsbury Square. EC2. 014888253 GUx-Edged Fd (A. 

C5fy of Westminster Assnr. Ca Ltd. Muu«^'nmd. 1 fr^il 5 9 £*& zd - M ♦hwd. Anniy 

nwfa * « *&,**. SHLSSSt: Sl Slid = JSftSsr.'ft 

wi-wimn. prop. Mod. Ct£Z — 199.9 21M 1 — PAH WesUjerCop 

- — — VIov.Ftt T' ftf . _ 

1914 — * King, ft Shaxsoa Ltd. Fenfian Fd- Uts — 

SU ZZi. — 32, Cornhill. EGL 014C3S433 cST’p^ran V 

131.8 - Bond Fd. Exempt ...[18259 103 7SJ 4 - £s£. pSs fSF' 

.663 - NSrXalfo date SepL 20. 1 mS: pSL cl n : ui 


3S3J — 

98.1 — 

105.7 -L3 — 

S12 z: z 

112.8 — 

114.1 ...... _ 

1122 _.... — 

1135 — 

99.1 — 


— Wealth Ass [U85 124a-Lffl - 

— BbY.Fb.Am. L. «U | - 

— Eb'r. PhEq E. ,_|81J. 85.4^ — 


Prup.Fd.1ne 1103 11b 

Prop. Fd Acc 142.0 

Prop Fd. Inv. ._. -.104.0 — 

Fixed InL Fd. Inc. 1821 107. 

DepFd inc. 462 ML 

Kef Plain An. Fan. 775 >4. 

Ret PlanCap Pen— 643 69. 

Mun-PenJ-iAct- 12S.8 142 

Man.Pen_Fd.Cap—. 123.9 130. 

Gilt Pen. PdACC 131.8 1381 

Gill Pen. Fd. Cap — 123 6 130. 

PropJenJ’dLAcc. 1515 159. 

FropJ’nLFd.Cnp— 1511 159. 


Park Use.. IS Finsbury Clreun London E02. Tokyo TsL SepL l ... 
Tel: 01428 8131. TLX. 868100 


J. Dewy Schroder Wagg ft Co. Ltd. 

-i— 7 130.ChoapBide.EC2. 015884000 

I”' CheoSSepL IS SUK12 60 I -0131 2 30 

Trafalgar Au S 31. 5US14J25 J ...71 - 

< *- u> Asia nFd. SepL 4 _ R5B4I Oja . 236 

DariincFudSepUB 3A2.05 2JH+0D1 4 70 

- Japan rd. SepL? pi I SS4« MZ| . ..[ OK 

— Sentrj Assurance International Ltd. 

PO. Bvx 328, Hamilton A. Bermuda 
Managed Fund |SIIS2JBS 2SB) | — 

— Singer ft Fried lander Ldn. Agents 

20, Cannon Sl ,EC4. 01-2486046 

liekafriods .. IDM26D 2U0 .... J 600 
E02. Tokyo Til Re pL l ... JU.S.48.®) .. .1 155 


"" London Acenls for 

— Anchor -B Units — KUSLB7 

— Anchor Gill Edge. .(£956 

— Anchor lot. Fd frigs 29 


■ — [ — I Anchor In. Jiy. Tst [312 


Prop. Equity ft Ufe.Asa Ca* ' 

110. Crawford SlrreL W1H JAS. 01-4860857 ILA-I'en. Fd. Are f 

R Silk Prop. Bd.- I DBA [ | - DA Pen.Fd.Cap — f 

MfiaSfed : ® Ir::|z Transmterotls 

Property Growth Amur. Ca Ltd.* 

Loon House. Croydon. CHS 1LU 015800606 J Fd 1121.4 


Berry Pic Fd 

Berry Pnc Serfs — 

G.T. Asia Fd. 

at.isl* Stcrilnfi... 
G.T Bond Fund — 

G.T. Dollar Fd. 

•i.T.PadflcFd 


SUS54.M 
MAO 349.4 
rain ui 
17.10 383 

SDS13.77 
SUS8.01 
5US16 57 


._ Stronghold Management Limited 

12 80 PO. Box 315. St Heiier. Jersey. 0534-71480 

189 Commodity Triut J|90 21 94.96] 4 — 

2 40 

Sarin vet I (Jersey) Ltd. txi 
129 Queens Hse. Don Rd. SL Heiier. Jsy 0534 27340 
1.09 American Ind Txl..|£8 15 8321-008) — . 

5 39 copper Tnm (11154 13J1 +014 — 

0 62 Jap. Index T»L — [LUA6 1L90|+4)A7[ — 

0.93 • 


B 3 E 


rirtimi* * .j T j TSB Unit Trust Managers tC.1.1 Ltd. 

aSLMaryAae.I.odun.E<i _ _.S»t .'Zt™ 


Property Fund 
Proporty Fund'Al 
Agnculturai Fund 


•'£ i*- Rereroc * ., 
• ■ • ..». Tokyo-— — 


Axnc. FundiAi 
Abbey NaL Fund 
Abbey NaL Fd. 
invexcaefit Fund 
lnveaunenl Fd. lAI 
Eqmly Fund 
Equity Fund 'A) 
Money Fund 

Money Fund iA> 
Actuarial Fond. 
GllMdnd Fund 


_ eimmed. Anaty 


. 31 161.4 +0.71 — 

1224 127.7 +0.4 — 

132.6 +0 5) — 
130.4 137.: *0 jj — 

9 1462 +0.9 — 

.7 189.1 +031 _ 

309.71 +0.4| — 

Z Trident . Life Assurance Ca Ltd.* 


ui-aeo&fl i er „e».Fund - 151 B 54 51 I 440 

— _ Transinteraationul Life Ids. Ca Ltd. .. v Guernsey Fund ISio 54 'H *« 

01-4060487 VW ,,ncw ^ -gBisJ. 1 -”* 1 auk ** 



Japan Fd- W53I4U 11571 

N. Amen can Tbl — pUSUM u« 
lull. Bond Fund... . fH'Sara 1L7H 
Ganmorr Imrnunl Mn*«. Lid. 
P.O. Box 32. r>uucU+. InM. 
Gamnorr Inti lnc-|Z36 252 
Gartmore Inti. Unh|772 »? 


1 1 ™ September 20. 

• 55 ? Tokyo Pacific Holdings N.V. 

Inlimis UuDBEetnent Co. K V. Curacnn. 
00(423811 NAV per share SepL II SU.S.GBAB 
.. j 1030 

- • •' 120 TiAyo Pacific Hldgs. (Seaboard) N.V. 


+0.5 — 

I -M3 51 - 


=1:3 = 


— Rnulade Houxe, Gloucester <Mfi 23 «Mll HarobrO Pacific Fnnd Mgmt. Lid. 


732 glncyrod -Houae. 8 WbiteWwao Bwid 

S 29 [ CroydonCRQUA. _ 01-884 8864. 


ms __.J - 


at Winchester.. (192 , 

Vine her OWsHOJ 2321+64] 355 Merc. Gen. Sept 15 

. , Acc Uu Sept 13— 
lean ft Dudley Tst. Mngmnt. Ltd: Mere incsapt. ia. 
; Arlington SL.SW.l. O^TBl 

.ion Dudley TK..171J 7741 .—.I 331 AcemUta.J*W 

For. Rmitas Securitfes.Ud. Mi«n. n A vtnnb < 


4.66 30, Greshhm SL, EC2P2EB. 


2 2151b 

77 %1 
-830 
.7 24S.4U 


01-8004585 
| 3.98 

.....J ?.?*, 


Prop. Growth Preri ou* it A hub llles Ltd. 
All «rther Ac. I'M 13*3 1«.4| 

VAH Weather Cop - 3293 - l3S.fi 

Vlov.Fd. Uts lg.2 

Pension Fd. Ula 1323 

Coar.FeBa.Fd... 

Cnv. Pna. Can. I'L . _ 134.4 
Man. Pena Fa - 1542 


Perform Units. 


37461 — 

125.l| — 

238.9 . — — 

49.3 — 

52.B .... — 

63.9 — 0J — 

65.7| -0A| - 
to new InvemscoL 
218.4 [ ( — 


Ijmghum Life Assurance Co. Ltd. 

Langbam B*. WolmbroOfc Dr.NWt 01-803 S2U 

Langbam'A'Plan-. (67.4 71.0) _ 

V Prop. Bond 0*4 4 152M .....J — 

Wisp (SP* Han Fd[77j. 01.2 j — 


U 

Hleh Viel 
Gift Edged 
Money 

lnlnniatlonal 
Fiscal. 

Growth Cap. 
Growth Acc. 

Pena. Mngd. Cap 
Pena. Mned. Acc 
Pms.Gl<LDep.Cai 


965) -05 
227.0) +0.7 


HI in. Connaught Centre. Hong Kong ^ 

ssaar aa.-. j z TvndauG«u P 

Handms Bank (Guernsey) Lift/ .■££ la^! 

, FtL Mgra - < CJ J iSS&VJlSiTvl 

PO Bus 80. Guernsey 04B1-2B52I q, b_.|_ , 

f^Ptond - "5 ue^« 9 laH::::. !.» 

aw* gasp 

“ftlSti Se^'&Next de,^ s SepL «. j 


inuiait M+iiOKemeni Co. N.V. • uracao. 
NAV per share SepL li SU R£OM 


Conr. Pens. Fd. . 3503 . — Pens.GldJ3ep.Cap 

SSt l - --8w z Kwy D k^-.:|ffi3 g:d Z Henderson Baring Fund Mgrs. Lit 

Man. Pena. Cap UI 1406 .... — Prtil.Pty.Ace. 1 128 9 12B.ll .. ..J — > 005. Gammon House. Horn- Kune. 

Prop. Pens. Fd - 1494 — Tjrdl. Bond .— . . [37 7 397] J _ Japan Fd Sept. 13.. [IftSDN an I _ 

Prop. Pens Cap Uta- 1347 — •TrdLG.l. Bond. |989 -O.lJ . ...i| — -Barine Hcnd. Bond Fd. Sep< S SUSIU44I 

Bdeg Soc. Pen. ft 1339 — 'Cash value for £.100 premium. ‘Esriutive of any prelun. eluryes. 

Bldg. Soc Cap. I'l . 12U — Tyndall Aasurance/Pexisions* „ . . 

Providence Capitol Ufe Ass. Co. Lid. lACanynceRoad, Bristol 027232241 HJII-Samuel ft Co. (Guernsey) Ltd. 


_ . „ . Kill Fund Sepi !3..llw>4 

Henderson Baring Fund Mgrs. Lid. (Arcum shares' |i«2 

005. Gammon House. Honu Konx. Wwiy Honsc, Dongles. I 

Japan Fd Kept I3..|SI’SDJH 24H I _ Managed Aut-rf.. ,|135.4 
aarine Mend. Bond Fd. Sepi « 5UKIU44K. 

‘Esclutlve of any prelim, eharyes. *•- • * — - 


P.U. *n I25S Uwnilton 5. Bermuda. 2-278* 
Otrr+easSepi 13. |Sl'Sia USj . . . [ 6.00 

1 Ain>m. Units! HIE342 LM . ...I — 

3-Waylnl.A0E.17. fr»S27I LTls] ..[ _ 

sin L S J3!, S t S *-? r,l * T - Je, » r 7 0534 3733 U3 

3 70 TOFSI.Sept 14... C835 9.00). b.DO 

'Accum Shares 1. .. 03.40 14J5J — 

z - 10 American Sep*. 14.. 97.0 1035) . — 

— 1 Ai rum shares' -.97.0 1035). .. — 

— Jersey Fd. Sepi. lu. 217.4 23061.... 6.83 

=°- i.Non J. Acp. I ‘is. 1 . 307 8 326 41 ... ~ 

. t (ill Fund Sepi 13.. 1»4 108 « ... . 1L07- 
2d. (Arcum. .Shares' . 1412 143J0 — - 

Vleiery Home. Uoaclas. Isle ef Kao. KZ4 24IIL 

— Managed Aufr-rf... |135.4 M2.6[ — 


30. Uxbndce Hoad, W12BPG 




Legal ft General (Unit Assnr.) Ltd. Sei.Mia Fd. Cap ... 911 % 

giqjts wood House, Kiaaxwood, Tadwonh. Bel Mkt. Fd. SitL ... 188.7 114 
Surrey KT206EU. . Bmgh.ReMli 53458 Panainn Equity ...14*1 344. 


01-74881 IL JBwSem 14 

I 1 _ Equity SepL 14 

•" _ Bond Sept. 14 


UuL Inlnl. Mngmnt. (C.I.l Ltd. . 

14. Mulcasier Street. SL Heiier. Jersey 
C. LB. Fund ItVaUST 3M.U4 ...1 792. 


Midland Bank Group 

Unit Trust -Managers Ltd.* (a) 


1 % 

4JZ ftSiSruStiilZ 


V W=J = 


Commercial Union Group 


Do. Accum. 98.4 

Equity Initial — — .. 134.4 

Do. Aeeum. 12L0 

IntL Initial..— 2066 

Do. Accum. ... 307 7 


.nits’ ® Law Un. Tr. M.* (aHbXcKz) shJ'ffiBd/sKnu? 1 ^ ttwer SlPE *TeL 07«78842l a-Hdoa’a i; UwterabsfL BO. 01^3 7300 Mu Medio! tlai ! 11 liH5 


’ersham r+L Uifb Wycombe. 
Uty ft Law [73.7 . 7 


e. . MM 33377 Conm»dily*:G«o,'..C 

7751 1 333 Do-Atyum.--. — fi 

Growth. J] 


4 67 I VrAhAcAt SepL 18 1 
667 | Do. Annolly U(i__,.[ 


! J — Do. Accum. ....... — 12*7 

j ] — Property initial.. — 1MD 


.mes Finlay Unit Trust flSsgt. LtflL' “ 

<4. Wett Nile Street GUsto w. - Ofi 204 Ed DoAcciimZ 

'll* ■ Inlnv I ntcroa LX 066 .. 2fiJB l 2A2 Income 

■ • f .. ^(tun. Unite 3 33.W ZdS Go. Accum, _ 

1 inlay Income— -J36 8. *■ . 3U J 7.64 Istenatioiiai 


Do. Accwn. .. [1*2.6 
Local ft General (Unit Ft 
Exempt, Cash lniL_|9T5 


Inlay InternafL MA .. 2B1 |M. Isnaie 563. 

rum. Units 305 33.1 2.02 Pa Accum. 65A 

iuioy Income— .. 36 B. ‘ .39 2 7.64 ImwniinTui ■ ■» + 

/'tnlnyEonj-FIa- 2BA 313 ...— 3.71 Do. Accum. .535 

am Units 337 36.4 . 3.71 High Yield-.. 175 

Inlay FdJaTK. »2 32 3 ...... 3B9 Do AcrtUn. ,.JZ 715‘. 

um Unit* -[34.6 .. . 37M 3,09 . Equity Exomrt'— _ 108.1 

ces September 13- Next deallni) September Do. Accum-*- . . lOOl 
^ . ‘Prices at Aug, 3L Re] 


600 -0.4 
70.J “S-l 
54J -0-4 
57 7 -0.4 
71.9 -Of. 
^762 - 0.6 

•2341 

114 1| • •■ 


SSETKi l&q d 1| 

ember 13. Next deailns September Do. Acrum.*. . . — tlOOl 11431 .... 1 M9 Equity Penaon.._. 
^ . . ‘Phew at Aty^ 3L Next dealing Sept. SB Property ft-n^np 

CORAL INDEX: Close $27-532 N/T 529-534 c*n»hni imara 


2 as Confederation Life Insurance Ca Exempt Cash In it - 
258 SftChaneety Luc. WC2A IBS 0I-S420282 DoAenro---.-... 
fH W^adyPund [367 .4 1763 : — — 

ZJ2 p — .r n£rgl^3‘~ rn- m c _ DaArtmnL. 1268 

-7^ ni u!t - to«ptMBe4Xniti^ 

ff 9 gmHrnmfen..--. ■ 2503 — ■ — »a Accum. [«.4 

**■ Pro perry Fea^oa— 140J „..J — v _i a i; mm 


103 6 +8.1 
1415 +0.H 
1452 +oij 
1242 -0 21 
127.4 -0.H 
1123 -l.il 
1134 — 1 
2322 +02J 
1355 +0D 


102.7) .mm. — 
IBM — 

138.6 — 

Mil — 

1205 — 

1231 ...... - 

134.7 - 

237.7 — 

102.7