HC Deb 15 April 1985 vol 77 cc21-2W
Mr. Dewar

asked the Secretary of State for Trade and Industry what consideration will be paid in cash by GEC to British Shipbuilders for Yarrow Shipbuilders; what percentage this represents of the total price; and whether this sum is to be paid on the handing over of the yard to its new owners.

Mr. Butcher

My right hon. Friend has consented to the sale of Yarrow Shipbuilders Ltd. to GEC on the following terms.

£ million
Payable for the shares, in cash by GEC on completion of the sale 17.15
Loan to be repaid by Yarrow Shipbuilders to BS on completion of the sale 3.08
Dividend to BS declared by Yarrow Shipbuilders before completion 10.00
Estimated payment to be made March 1986 by Yarrow Shipbuilders to BS for group tax relief 3.70
Total 33.93

Mr. Dewar

asked the Secretary of State for Trade and Industry if he will give the details of the loans outstanding to date to Yarrow Shipbuilders, and if they will be settled prior to the sale of Yarrows to GEC.

Mr. Butcher

There is currently a loan of £3.082 million owed by Yarrow Shipbuilders to British Shipbuilders. This loan will be repaid on completion of the sale to GEC.

Mr. Dewar

asked the Secretary of State for Trade and Industry how much has been paid in dividend by Yarrow Shipbuilders to British Shipbuilders in each year from 1980–81 to 1984–85 inclusive.

Mr. Butcher:

In the year ended 31 March 1981 Yarrow Shipbuilders declared an interim dividend of £44,000for that year.

In the year ended 31 March 1982 the company declared a final dividend of £20,475,000 for the previous year. This dividend took into account profits made by the company since nationalisation; no dividends, other than the interim dividend of £44,000 paid in the year ended 31 March 1981, having been paid previously.

In the year ended 31 March 1983 the company declared a final dividend of £5,116,000 for the year ended 31 March1982.

In the year ended 31 March 1984 the company declared a final dividend of £4,067,000 for the year ended 31 March1983.

In the year ended 31 March 1985 the company declared a final dividend of £6,343,000 for the year ended 31 March1984 and an interim dividend of £10 million in respect of the period 1 April 1984 to 22 February 1985.