BRITISH-AMERICAN TOBACCO OUTLOOK
Sir Hugo Cunliffe-Owen had a reassuring account to give the shareholders of British-American Tobacco Company on Monday. Although " Bats " have important interests in the Far East, which are affected by the Sino-Japanese war, and although the net revenue for the year ended September 30th was reduced by £169,536, Sir Hugo expressed himself able to look forward with confidence. Last year's dividend was reduced to 20 per cent. tax free by omission of the tax free bonus of 3d. per £i stock unit paid in the previous year, but he ex- plained that this decision had been prompted by conservatism. Net revenue was almost sufficient to have covered the 3d. per unit bonus and by not paying it, a sum of £266,375 had been added to the undivided profit. Moreover, he explained that the reduction in net revenue was more than offset by taxation increases. It must be added that Sir Hugo thinks it unlikely that business will be any easier in 1939 than it was in 1938. * * * *
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