Thornycroft: "No Definite Proposal"
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"AT T the present moment, the company's board have no definite "proposal" for an exchange of all the shares of Transport Equipment (Thornycroft), Ltd., for shares "in another company with like interests,"
said Lieut.-Commander J. W. Thornycroft, one of the joint managing directors, at the annual general meeting of John I. 'Thornycroft and Co., Ltd., last week.
Shareholders unanimously carried a resolution empowering the board to make such an exchange if it appeared to be equitable.
After pointing out that the company was "particularly proud of what has been achieved in the export market between wars, and particularly since January 1, 1946," Lieut.-Commander Thornycroft said that the concern's export sales organization was selling the products of six British motor manufacturers in Brazil, Argentine, Australia and Singapore, in two instances on a one-country basis.
He continued: "To successfully enter the Canadian market it would be necessary to establish a chain of sales and service depots in the main cities, lock up very considerable sums in spare parts and finally make the Canadian public believe that the organization is going to continue over a long term of years.
"What applies to Canada also applies to other hard-currency markets, where British heavy commercial vehicle manu facturers have not been doing any worth-while amount of business. It is your board's opinion that the financial resources and manufacturing capacity of Transport Equipment (Thornycroft), Ltd., are not large enough to contemplate entering the Canadian market alone, particularly as over 42 per cent. of all the production, vehicle, marine and industrial equipment has been going to other export markets since January 1, 1946.
"Regularly, heavy commercial vehicle manufacturers, through their Association, have been meeting and discussing such and similar problems, and it may be that at some future date, from these talks, some definite proposal may materialize which would warrant action being taken by your board in the interests of the shareholders and the nation."