§ Dr. Phippsasked the Secretary of State for Trade (1) what is the profit figure for Slater Walker Ltd. for each of the last three years; and what is the projected profit for the current financial year;
(2) who are the principal creditors of Slater Walker Ltd.; and what are the amounts involved for each;
(3) what is the net asset value of Slater Walker Ltd.; what is this expressed per share; and what price per share is being paid by the Bank of England.
§ Mr. Clinton Davis:The reported profits of Slater Walker Ltd. (plus its subsidiary companies) for the years ending 31st December 1974, 1975 and 1976 were respectively £3,306,544, £4,828,685 and £1,223,736. The company has not forecast a projected profit for the current year.
I have no information as to the names of, or the amounts due, to each creditor of Slater Walker Ltd.
The accounts of Slater Walker Ltd. for the year ended 31st December 1976 disclose net assets of £21,159,553, equivalent to £2.11 per share. However, no further provision was deemed necessary in these accounts for doubtful debts because, under an agreement dated 11th December 1975, the Bank of England guaranteed and indemnified Slater Walker Ltd. against losses arising from the failure of its debtors to repay loans and advances in full and contingent liabilities to a maximum principal amount of £40 797W million together with future interest accruing on all loans and advances. Slater Walker Securities Ltd. recently sold the share capital of Slater Walker Ltd. to the Bank of England for £3,500,000, equivalent to 35p per share.