COMPANY MEETING
ASSOCIATED BRITISH PICTURE
SIR PHILIP WARTER'S SPEECH
THE eighteenth ordinary general meeting of the Associated British Pic- ture Corporation, Limited, was held on Thursday last, at Grosvenor House, London, W. Sir Philip Warter, the chairman, who presided, said:-Ladies and gentlemen,-The directors' report and the accounts for the year ended March 3t, 1945, have been in your hands for the statutory period and, subject to your agreement, I impose to take them as read (Agreed.)
CONSOLIDATED BALANCE-SHEET
There are few items in the consolidated balance-sheet that call for special comment ; the properties, equipment, and sundry investments at £22,265,707 are substantially the same as the previous year, but the reserves for depreciation and amortisation now stand at £3,286,482. Film production rights, &c., show an increase of £154,909, which reflects the upward trend of the corporation's production activities. The increase in tax reserve certificates is offset by the provision for taxation. On the liabilities side the reserve and undistributed profits at £2,182,277 now exceed the ordinary share capital of the corporation, while the mortgages, debentures, and secured indebtedness have been reduced during the year by £484,114.
PROFIT AND DIVIDEND
Turning to the profit and loss and appropriation account, it will be seen that in accordance with previous practice the provisions for excess profits tax and deferred repairs are deducted before arriving at the trading profit of the group, which amounts to £2,135,890, as compared with £2,102,191 for the previous year. The provision for depreciation and amortisation of £351,555 is £25,9oz higher than the previous year, while the net profit applicable to the corporation is increased from £.490,5oz to £494,463. Having regard to the difficult trading conditions brought about by the " V" weapon attacks during the greater part of the year under review, this result can be considered as very satisfactory, and the board, having made provision for war damage insurance and preference dividend, and having allocated Doo,000 to general reserve, raising this reserve to £I,85o,000, recommends to the members the payment of a final ordinary dividend of tizi per cent. actual, less tax, making the total distribution for the year 20 per cent. less tax. This leaves the carry-forward at £t65,71o, an increase of £31,182 over the amount brought in. The subsidiary and associated companies have all achieved satisfactory results.
ELSTREE AND WELWYN STUDIOS
The corporation's studios at Elstree are now being cleared of Army stores, for which they have been utilised during the war, and arrangements are in hand for extensive modifications and re-equipment which will bring them into line with the most modern practice so that the corporation can play its full part in the production of high-grade British pictures, for which there is an increasing demand both at home and oversca. In the meantime film production is being carried on under somewhat difficult conditions at our Welwyn studios. The organisation of the Corporation's distribution company, Pathe Pictures, Limited, is being built up and strengthened in anticipation of the increased flow of British pictures which will become available from our own and other sources.
The receipts from the Comporation's cinemas were maintained at a high rate during the year under review, but operating costs are increasing and Entertainments Tax at its present level will inevitably affect cinema attendances. This is a matter on which representations are being made to the Chancellor by the Cinematograph Exhibitors Association.
The retiring directors, Mr. Robert Clark, M.A. LL.B.., Mr. Edward
Maloney, F.C.A., and Dr. Eric G. M. Fletcher, M.A., were re-elected ; the joint auditors, Messrs. Peat, Marwick, Mitchell and Co., and Messrs. Wilson, Stirling and Co., were reappointed, and the proceedings terminated with a vote of thanks to the chairman, directors and staff
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