:OMPANY MEETINGS
McDOUGALLS TRUST
RECORD FLOUR SALES eleventh annual general meeting of McDougalls Trust, Limited, was Id on August 4th in London. Mr. Kenneth A. E. Moore, the chairman, presided. The following is an extract from the statement by the chairman culated with the report and accounts : The operating company—McDougalls, Limited—has again had a cessful - year, and that after providing for excess profits tax and tingencies and adding L20,000 to the advertising reserve the same vidends have been paid to the .holding company—McDougalls Trust, imited--so enabling it to maimain, for the eighth year in succession, a stribution of to per cent, on the ordinary shares. This laconic summary of the financial results shows how the business s done but not what it has done. It seems, therefore, not inappropriate, rticularly at this stage of the war, to interpret the accounts in terms service to the community and from the human angle. From the fact that the business has earned profits substantially in cess of its pre-war stanchad, you will be correct in inferring that it produced, packed, sold and distributed more McDougalls Self- ising Flour than ever, but since dividends are limited to the pre-war el by the incidence of taxation and Government control, these increased rvices to the community have brought nd financial reward to the oprietors. In other words, the profit on the extra work done by the ills, plant and organisation provided by the shareholders has been, or be, handed over to the community in the shape of E.P.T. or by • v of adjustment of remuneration under Government control agreements. The accounts of McDougalls, Limited, are still subject to adjustment reference to the terms of the remuneration agreements concluded or to concluded with H.M. Government in relation to the control of flour illing activities as from September 3rd, 1939. In the meantime our policy, after making modest additions to trading erves, is to maintain dividends at the pre-war level of £202,000 per um and to transfer the remaining profits to excess profits tax and ntingencies account. The financial position remains strong and liquid, d the general' and advertising reserves, aggregating £250,000, are in- sted outside the business in British Government securities.
The report and accounts were adopted.
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