MILLIONS IN COTTON

Nelson Evening Mail, Volume LIV, 11 January 1921, Page 4

MILLIONS IN COTTON

J. & P. COATS, LTD.’S ANNUAL STATEMENT . Tlie dividend statement issued by J. and P. Coats,, Limited, the Paisley thread makers, saya the net profit for the year ended June last after deduqting depreciation and allowing for the excess profits duty was £4, : - 164,594.' This compared with £3.171,796 in 1917-18, £3,360,950 in 191617, and£8,887,395> 1915-16, and is the largest amount in the company’s history. After allowing for the dividends for the year, which for practical purposes are fixed, there is £l,871,808. With this the directors prptpose to give the ordinary shareholders a bonus of 2£ per cent, actual, making 17$ per cent, for the year and absorbing £368,750, put £250,000 to the Avar contingencies fund, £200,000 to the investment depreciation account,, and £160,000 to the marine and .fire underwriting account, and carry forward the balance of £903,058 The preferred ordinary stock, which had carried a 20 per cent, dividend, was last year converted into 6 per cent, preference shares with 1,400,000 ordinary shares added to them, and also a right to buy 700,000 more for cash at par. The old ordinary shares were doubled by a* bonus distribution, and the holders Avere entitled to acquire 2,250,000 more for cash at pan The ordinary dividend had been 30 per cent, for a number of years, and the directors said they hoped to maintain it at 15 per cent, on the increased capital. Last year the bonus addition, which had usually been 5 per cent., Avas increased to 10 per cent. The Stock Exchange had been expecting a 5 per cent, bonus iioav, and its disappointment caused a fall in the price of the shares. —Manchester Guardian.