Argus Questar views objectives in reach

Press, 3 December 1987, Page 32

Argus Questar views objectives in reach

The merged Argus Questar Corporation’s enlarged capital base will enable it to achieve its objectives internationally, say the chairman, Mr Gary Lane, and the managing director, Mr Keith Goodall.

They say in the annual report that this applies particularly to underwater complexes similar to Kelly Tarlton’s. “It will now be possible for Argus Questar through its U.S. operations, to take equity positions in future Kelly Tarlton’s complexes and fund these from the U.S. market”

Other planned leisure and property-related activities in the Pacific Rim area will be pursued, as well as in New Zealand

where greater potential now exists to maximise benefits, they say. “Further expansion is planned both within New Zealand and offshore in the textiles and sporting goods area.” With the merger of Argus, Hobson, and Questar well on the way to completion, benefits are already emerging from the inter-relationships — as discussed in the preliminary profit report.

Further on the outlook, Messrs Lane and Goodall say that the gyrations of the world’s financial markets in the last few weeks have had a serious impact on business optimism, with many commentators suggesting that we are heading into a global

recession of indeterminate duration and intensity. “Argus Questar enters this period with a broad mix of activities involving leisure, lifestyle, and property, and spread over several continents.

“The company has a strong balance sheet, and is well placed to take advantage of the opportunities that are sure to arise in these times.” Since balance date, there have been three further developments — apart from the merger.

In October the Australian group Emrik Sporting Goods Pty, Ltd, was purchased from Reid Corporation. In August an office was opened in San Francisco,

in the name of Questar of New Zealand, Ltd, to develop joint ventures in the leisure industry, initially on the west coast of the U.S.

As a direct result of this a further joint venture has been formed in the U.S. with Economics Research Associates to market film entertainment technology developed by Showscan Film Corporation of Los Angeles. As reported previously, the group achieved a net profit of $5.1 million, after tax of $1.2 Ynillion and $200,000 in equityaccounted profits.

The directors are recommending a final dividend of 2.5 c a share (5 per cent), payable on December 16.