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AMALGAMATED COTTON MILLS TRUST
Investors will not be surprised to find that the results of the leading cotton spinning and manufacturing companies make a worse showing than last year, for it is common knowledge that the cotton textile industry has shouldered more than its share of trade recession. Making due allowance for that factor, results are generally not discouraging. Amalgamated Cotton Mills Trust, which is engaged in both the spinning and manu- facturing sections of the industry, has been able to maintain the dividend of one penny tax-free per is. share with which it started dividends on its reconstructed capital a year ago. Allowing for the increased rate of income-tax, the dividend is equivalent this time to about I II p.c. gross.
Trading profit for the group, at £166,814, is nearly Lioo,000 lower, and the dividend has been maintained at the cost of omitting the contributions to reserves, whereas a sum of £zoo,000 was set aside a year ago. The Trust has, however, written down its stock out of revenue, and has thus set free and added to general reserve a specific reserve of £3o,000 pre- viously allocated to stocks. It has also increased the balance carried forward from £2,849 to £17,589.
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