Financial Notes
UNITED STEEL.
No better example of the recovery which has taken place in some of the staple industries could be cited than that of the United Steel Companies, whose report for the year ending June 80th last is a most encouraging one. At the time of the announcement some days ago of the increase in the dividend on the Ordinary Shares from 5} to 7' per cent., the market expressed disappointment as an even greater increase appears to have been anticipated. The report now issued, however, shows that the Company could easily have paid a higher dividend, but the Directors preferred to pursue a con- servative policy and make substantial allocations to special funds. The actual available balance this year was £1,115,205, as compared with £947,680 in the previous year. The Directors have now transferred a further £275,000 to-the central reserve for depreciation, and £220,000 to reserve for taxation. In addition they have placed to the general reserve £200,000 representing an exceptional credit which became available during the year, while a further £100,000 has been transferred to the reserve, making a total of £800,000. Even after making these large allocations and paying the higher dividend, the carry forward has been increased from £446,087 to 2521,805.
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