CABLE PRICE PLANS PAR SHARE ISSUE

Press, Volume CIV, Issue 30782, 21 June 1965, Page 5

CABLE PRICE PLANS PAR SHARE ISSUE

(New Zealand Press Association)

WELLINGTON, June 20.

Cable Price Downer, Ltd., Wellington, is lifting its ordinary dividend ratio from 8 percent to 9 per cent after a 14.3 per cent increase in profit for the year to March 31, and is making a par issue of ordinary shares in the ratio of one for four held on August 3, 1965.

The new shares will be termed B ordinary shares and will rank for dividend declared for any period after September 30, 1965, and prior to October 1, 1969, pari passu with existing ordinary shares, but to a maximum rate of 31 per cent per annum: Thereafter they will partick pate fully with the existing ordinary shares. In all other respects the new shares will be pari passu with ordinary shares. The directors will also recommend to shareholders at the annual meeting on August 24 that each of the existing £1 shares in each class for the capital of the company be divided into two 10s units and that authorised capital be increased from £3,000,000 to £4,000,000 by the creation of 2,000,000 ordinary 10s shares. Net Profit

The directors reported that consolidated net profit for the group for the year to March 31, 1965. was £351,000 against £307,000 for 1964, and £263,000 for 1963. Recommended final ordinary dividend of 5 per cent makes 9 per cent for the previous year. In each of previous seven years before that the rate was 7 per cent. Total dividend including preferences for the year will take £194,000, leaving

£157,000 to be added to the unappropriated earnings of £595,000 carried forward from the previous year. The issue will increase paid ordinary capital by £469,508 from £1,878,031 to £2,347,539. Preference capital is £438,695. Shares will be ex right on August 4, the new shares will be payable in full by September 30.