In brief

Press, 3 February 1984, Page 10

In brief

Saunders issue

The directors of R. W. Saunders, Ltd, will seek the approval of shareholders to make a two-for-seven bonus issue of 50 cent ordinary shares when the freeze ends on February 29. The shareholders will also be asked to approve an increase in authorised capital from $1 million to $2.5 million in 5 million shares of 50 cents each, the directors say. An extraordinary meeting to approve these moves will be held on April 4, and the date for calculation of the entitlement to the bonus issue will be March 30, they say. The bonus issue will participate in the interim dividend payment normally made in May and the directors do not anticipate that the annual dividend rate on the enlarged capital will be less than the present rate of 10 cents per 50 cent share. US deficit The US trade deficit with the rest of the world, a record $106.8 billion last year, will exceed $154 billion in 1984 and get worse in 1985, according to a trade representative, Mr Bill Brock.

He has described the trade imbalance as “the weak link in our economic recovery,” but tempered his bleak forecast by saying that he expects the trade picture to improve after 1985.

Mr Brock had blamed high US budget deficits for driving up the value of the dollar and in turn the prices of US products.

His forecast for the 1984 trade deficit given in an appearance before the Joint Economic Committee of Congress was higher than previous administration estimates.

Although he did not give a specific figure for 1985, Mr

Brock displayed a chart indicating that the trade deficit would rise above $192.5 billion.

UK economy

Britain’s economic recovery is gathering pace with output and new orders growing faster than at any time since 1977. according to the Confederation of British Industry. In its latest industrial trends survey, the employers’ organisation says that for the fourth successive quarter, firms reported increased output and more orders.

During the last four months, however, the rise in demand, mainly for consumer goods, was more extensive than expected. The CBI survey, a key indicator of the state of the economy, is the most optimistic in recent years and shows for. the first time that recovery is becoming less patchy. As a result of the rise in business confidence the CBI forecasts that industrial investment will rise by nearly 7 per cent this year — the first increase for five years. North BHP North Broken Hill Holdings, Ltd, announced an unaudited consolidated operating profit of $20.89 million for the six months to December 17, compared with SI2M for the corresponding period the year before.

Turnover of $292M was up from $47.6M the year before.

The North BH directors say the first profit from the paper, forestry and timber operations was $21.55M, while' earnings from mine operations fell to $1.17M. The latest extraordinary profit of $1.49M represents the surplus on the sale of North BH r s stake in Dunlop Olympic, Ltd.