FINANCIAL NOTES
AUSTRALIAN WOOL SALES
THE new season's wool sales which started in Sydney this week have opened reasonably well. Prices of good quality wools are fully maintained and inferior sorts only slightly lower. Since Bradford was the main buyer this provides some evidence of the slight recovery noticed last month in the British textile industries. The present series of Austra- lian wool sales is being supported not only by Bradford, but also by Continental and to a less extent Japanese buyers. Prices although now steady remain nearly 3o per cent. below the level at which they stood when the decline started a year ago. This decline itself is a serious matter enough for Australia's balance of oversea payments, but it is permissible to hope that there will be no big further decline, provided Japan can implement her undertaking to buy a substantial quantity. The quantity of wool available for export this season is estimated to be roughly the same as in the previous season, the reduction in the clip approximately equating the increase in the carryover.
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A. W. SECOND STOCK TRUST
The A. W. Second Stock Trust has now formally announced its intentions with regard to the sum of £1,350,000 which it received 'from the repayment of the Armstrong Whitworth Securities Company's preference shares. The Trust, like the A. W. Consolidated Stock Trust, is to go into voluntary liquida- tion and distribute the money to its stockholders. There is to be a meeting to approve that project on September 22nd, and as soon as practicable thereafter stockholders will receive a distribution of £182 per cent. representing the Armstrong Whitworth money less outstanding liabilities. This leaves a few investments, mainly shares of the Partington Steel Company, in the Second Stock Trust's hands and the eventual liquidation of these remaining assets has been estimated to mean in due course a further £5 per cent. or possibly a little more to the stockholders.
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A PROGRESSIVE INVESTMENT The third half-yearly distribution announced by the Scottish Bank Insurance and Investment Trust Units, in respect of the six months ended July 18th, emphasises the attractions, of an investment of this character in difficult financial conditions. Although income-tax was deducted at a higher rate, the net distribution of 2.8872d. per unit was slightly higher than that (Continued on page 388.) FINANCIAL NOTES (Continued from page 386.) for the corresponding period of last year. At the current price of 15s. 6d., which is free of commission and stamp duty, the yield (gross) on the last two distributions made by the Trust, based on the cash dividends paid by the securities in the Trust Fund, is over 41- per cent. The managers expect this yield to be maintained during the next twelve months. J. D. M.
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