WOOLWORTH'S BIG EXTENSIONS
If there were any doubts remaining about the further expansion possibilities of F. W. Woolworth and Co., the multiple bazaar undertaking, they must surely be dispelled by Mr. W. L. Stephenson's stirring address at the annual meeting. Speaking on a day when the City was more than somewhat a prey to politics, he outlined a programme of extensions which for its courage I commend to the heads of other British businesses. He disclosed that expansion schemes in the present year, requiring an expenditure of £2,500,000, had already been approved, which implied a much larger pro- gramme than had been embarked on in recent years. If completed during 1939, this will mean the addition of rather more than one new store per week and no fewer than 75 extensions and replacements of old stores.
Clearly, Woolworths must still be regarded as a dynamic business which is not afraid of growing competition. Indeed, it is already apparent that barring accidents this year's profits will easily reach a new high record. Mr. Stephenson re- minded stock holders that 26 new stores and 4o enlargements and replacements brought about during 1938 were only partially effective last year, but would produce a full year's results in 1939. He also intimated that the ratio of profits was being maintained despite higher expenses and, further, that the reduction of stocks on hand had been effected de- liberately when it became evident, towards the end of last year, that some types of merchandise were easing in price. At 56s. Woolworth 5s. ordinary units are yielding nearly 6 per cent. on the 65 per cent. dividend. They are a promising industrial investment.
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