Dorothy Perkins limited . a difficult year . Mr Alan Farmer on the effects of a payroll tax . the annual general meeting of Dorothy Perkins limited will be held on August 2nd in London . the following are extracts from the statement by the Chairman , Mr Alan Farmer , as circulated to shareholders : - the year ended 30th April , 1961 , has proved difficult . we occupied the warehouse portion of the new premises at Bracknell early in the year but the completion of the offices has been delayed by some three months so that we have been forced to function with the administration in the West End and with the distribution centre thirty miles away . apart from the administrative difficulties , the delay in the completion has added to our costs . we have had to continue to bring our new staff into London from Bracknell to train at Newman Street whilst maintaining a normal complement in the London offices . both the London staff , who have stayed with us until such time as the move is completed , and the new staff who have joined us have been most patient and co-operative in extremely trying circumstances , and our thanks are due to them and to all our staff , whether they be in the offices , the warehouse or the branches , for the helpful and understanding way in which they have worked with us during this difficult time . the year &apos;s operations . the group profits for the year ended 30th April , 1961 , amounted , before taxation , to &amp;pound;463,512 compared with &amp;pound;482,230 for 1960 . the 1960 accounts covered 53 weeks &apos; trading so that the group profit for 1961 before taxation of &amp;pound;463,512 is comparable with the &amp;pound;461,848 estimated as earned in the 52 trading weeks in 1960 . although our turnover during the year has shown an increase , a large part of which was due to the opening of new branches , it has not enabled us to take the increased expenses in our stride as hitherto . our subsidiary companies have had a rather disappointing year necessitating , in the case of the retail company , a number of changes which we hope will provide a more satisfactory result in the future . it will be recalled that &amp;pound;45,000 was set aside in previous years towards the costs arising in connection with Bracknell . completion having been delayed , we are carrying forward the sum of &amp;pound;18,540 . the increase in the rate of profits tax in the 1960 budget has had full effect in the accounts to 30th April , 1961 , and we are faced with a further increase from April , 1961 . the latest increase does not seriously affect the charge in this year &apos;s accounts but will do so in the April , 1962 , accounts . the Directors have decided to recommend a final dividend upon the ordinary and B ordinary shares of 15 % ( 9 d per share ) less tax making a total of 20 % ( 1 /- per share ) less tax paid for 1960 on the capital prior to the one for two scrip issue made in July , 1960 . the heavy outlay in the temporary financing by the company of the new building at Bracknell is reflected in the liquid situation in the balance sheet , the total expenditure to date being &amp;pound;343,430 . suppliers . we again extend our thanks to our suppliers for their friendly co-operation during the year . we would like them to know that they are always welcome to show their ranges as indeed are those manufacturers with whom we have not yet had the pleasure of doing business . development and future prospects . at 30th April , 1961 , we were trading in 166 shops having opened 19 during the year . with the heavy initial expenses involved in the opening of each new unit some time elapses before the full earning potential is realised . immediate benefit has not been realised this year from the opening of these shops but we are confident that in due course they will be making their fair contribution to profits . I have always stressed the inadvisability of endeavouring to forecast the trends of turnover or of profits bearing in mind the uncertainties of the fashion trade . at the time of going to press , in view of the few weeks trading and the variation in the date of the Whitsuntide holidays , it is not possible to determine any very definite trend of trading at the present time . we are taking every step to ensure that we command our full share of the available market and we expect considerable benefit to accrue from the re-organisation of our distribution system following the move to Bracknell . a new payroll tax , such as the Chancellor of the exchequer proposes , could involve this company in a substantial expense over which it had no control . if the maximum amount of 4 /- per week per employee was imposed the cost in a full year could amount to &amp;pound;20,000 . we exercise the greatest possible economy in our staffing by the use of a part-time staff , and at present this tax appears to take no account of the difference between full time and part-time . this proposed tax seems to me to be very inequitable inasmuch as it imposes completely unfair burdens on those businesses who by their very nature must employ a relatively high number of staff to provide identical profits compared with other forms of business enterprise . in my last review I said that with the additional expenses arising from the move to Bracknell and the ever increasing operating costs , our progress , so far as the earnings of the business are concerned , might well slow down for a period of time . it is important that I should repeat these remarks . we do not minimise the problems which have to be faced but we have a young and energetic staff and now that the move is almost completed and we have the facilities available , we are determined to go ahead with the expansion necessary to absorb these extra expenses and to provide additional profits for the continued growth of the company . W E Norton ( holdings ) Ltd . continued expansion . the annual general meeting of W E Norton ( machine tools ) Ltd , was held on July 10 in London , Mr W E Norton ( the chairman ) presiding . the following is his circulated statement : the results achieved by the company for the period ended 31st March , 1961 reflect the continued progressive growth of the profits of the companies which are now its subsidiaries . the group net profits ( before taxation and Directors &apos; remuneration ) for the full year to 31st March 1961 show an increase of 67 % over the adjusted comparable profits for the preceding year . the final dividend of 7 1/2 % for the period ended 31st March 1961 compares with the forecast of 6 1/4 % made when the stock exchange quotation was obtained on 23rd September , 1960 . as already announced , the Directors forecast an interim dividend of 7 1/2 % payable before 31st December 1961 , in respect of the current year ending 31st March , 1962 . the increased profits have come from a corresponding growth in purchases and sales . continuous efforts are made to enlarge our share of the available business in new and secondhand machine tools , at home and abroad . the sales value of stock held on 31st March , 1961 in this country and overseas was more than three times the value of stock held on the corresponding date in 1960 . our current sales and earnings are well in advance of the results achieved during the same period last year . provided no unforeseen changes occur in the trading pattern , either at home or abroad , I am confident that the company will continue to make good progress . machine tools are a pre-requisite for the majority of the goods and services in demand by countries developing basic , primary and secondary industries , just as much as they are an essential to ensure a continuation of the rising standard of living proclaimed by western governments to be one of their main concerns . the industries which we supply are widely diversified and their needs require many years of specialised study and experience . to continue our expansion , we are conscious of the need to train suitable personnel to absorb the particular knowledge required for the efficient conduct of our business . we are fortunate , therefore , in having already a nucleus of most able young executives . their loyalty and hard work have greatly contributed to the success of the company . the report was adopted . Assam frontier tea . the 73rd annual general meeting of the Assam frontier tea company limited will be held on August 2 in London . the following is an extract from the circulated statement of the chairman , Sir Charles Miles , O.B.E the profit for the year ended 31st December , 1960 , amounts to &amp;pound;498,726 , and after charging depreciation of &amp;pound;74,000 , there is a balance of &amp;pound;424,726 , which compares with &amp;pound;302,624 for the year 1959 . contrary to the experience of some Assam producers , your company was not affected by the drought , and , with an increasing yield from the young tea areas , the crop was the highest so far secured in the company &apos;s history , the yield from our Assam estates rising from 1,100 lbs to 1,204 lbs per acre . sales proceeds increased by over &amp;pound;230,000 but against this there was a rise of approximately &amp;pound;100,000 in upkeep expenditure , largely due to the extra crop harvested . we recommend the payment of a final dividend of 7 per cent on the preferred stock , making 10 per cent for the year , and a dividend of 25 per cent on the ordinary stock . with regard to the current year , our crop to the middle of June is 1,279,920 lbs , a decrease of 224,400 lbs when compared with the same period last year . during the latter part of May and early in June the weather was unusually cold and wet , and growth was checked at a time when the quality teas of the year are made . reports on our early manufacture , however , are satisfactory . Lewis &amp; Peat , limited . year of consolidation . the 41st annual general meeting of Lewis &amp; Peat , limited will be held on August 2 in London . the following is an extract from the circulated statement of the chairman , Mr Herbert Boyden : I would like to mention that , after the period of expansion of the group , your board has in the last year concentrated mainly on the consolidation of the group &apos;s activities . as forecast , the trading profit of the group before charging taxation , amounting to &amp;pound;231,279 , shows a slight increase over the figure of &amp;pound;214,396 for the previous year . after deducting taxation of &amp;pound;114,220 , and adjusting for the interests of outside shareholders in subsidiary companies and pre-acquisition profits of subsidiaries , there remains a balance of &amp;pound;103,654 . the total distribution to equity shareholders for the year is &amp;pound;36,444 , and is covered more than two and a half times by earnings . commodity interests : in addition to the diversification of the group &apos;s activities which has taken place in recent years , we have retained an interest in our traditional commodity business . rubber , edible oils , oilseeds , oilcake , and spices as well as cocoa are still being dealt with through our subsidiary or associated companies . we have also retained our interest , through a subsidiary , in the natural fibre business where we have had a most successful year under comparatively difficult conditions . far east : Lewis &amp; Peat ( Singapore ) Ltd have maintained their position in the far eastern market and have further strengthened their business by acquiring W H Day &amp; Co Ltd in May , 1960 . we have further widened our sphere of activities in the far east by acquiring an investment in the leading sharebroking firm in Malaya and present indications are that this will prove a useful source of income to the group . west Africa : our activities in this area have continued to grow . our export business particularly continues to expand satisfactorily and I am of the opinion that there is a good market in these territories as their economies continue to develop . we have recently taken steps to participate in two industrial enterprises in Nigeria , which we believe will make a satisfactory contribution to the group results in course of time . 