1:4 Bonus Issue By Motor Traders

Press, Volume CIX, Issue 32126, 23 October 1969, Page 22

1:4 Bonus Issue By Motor Traders

(New Zealand Press Association)

AUCKLAND, October 22.

Motor Traders (N.Z.), Ltd, Auckland, will raise its ordinary dividend rate and will make a one-for-four bonus issue after earning a record profit in the year to July 31.

A rise of $41,857 or 19.2 per cent, took group net profit to a peak $260,140, according to a preliminary report released this afternoon. The net figure is subject to audit.

The ordinary dividend has been lifted from 12) per cent to 14 per cent with a final of 9 per cent The rate has been pegged at 12} per cent since 1966. when the existing 11 per cent rate was increased. The bonus issue will be made on holdings as at De-i cember 10, and new shares: will rank for the interim dividend payable in the current year.

Based on the paid capital as at July 31, 1968, the issue will raise paid capital by $193,105 to $965,525. • The chairman (Mr C. A Staples) says that in view of current trading, the increased diivdend rate should be maintained on the higher capital. if the rate is maintained,: it will be equivalent to a 17j per cent payout on pre-bonus capital. RESULT FORESEEN This year’s good .'suit was: foreseen by Mr Staples in his I annual review last year when.j commenting on that year’s 8.81 per cent decline in profit, he said that the outlook for the company was bright. The latest final dividend, together with the 3 per cent preference pay-out is payable on December 11 and shares will be marked ex dividend on December 1