Alcoa Doubles Profit, But No Dividend

Press, Volume CIX, Issue 31975, 30 April 1969, Page 17

Alcoa Doubles Profit, But No Dividend

f.V.Z. Press Association —Copi/rryht»

SYDNEY, April 29. Alcoa of Australia, Ltd, will not declare a dividend for 1968, although its profit more than doubled during the year—rising from $2,849,784 to $5,802,835.

’ Alcoa’s sjom paid capital i I is owned 51 per cent by the l ! Aluminium Company of I America (Alcoa), and 49 per i cent by three Australian companies—Western Mining Cor- i {poration, Broken Hill South I 'and North Broken Hill. I I When Alcoa was established .tin 1961, directors of the local i ! shareholding companies fore- i . cast profits in 1965 and a : J dividend by 1966. i The first profit was not i earned until 1967 and the 1

chairman (Sir Lindesay, Clark) announced yesterday; that there would still be no dividend. “Alcoa of the United States! is not in any urgent rued for; funds. We thought it best to! leave the money where it is. “This does not mean we I are not going to pay dividends, but it does not seem sensible to take money out of the system when we can use it so profitably here," Sir Lindesay Clark said.

I The report revealed that itrading profit of Alcoa rose) {from $7,101,388 in 1967 to $10,431,621. { Capital expenditure rose; from s3om in 1967 to s42m lin 1968, and was expected to| top ssom in 1969. After the company’s annual; report was released. Sir Lindesay Clark said he didi not know of any better place to leave Alcoa’s profits than with the company. Asked when Alcoa would pay a dividend, he said: "The best answer to that is, when is it best to pay one?” “We are going ahead with a big capital programme and interest rates are increasing; ! rapidly." he said. [