United Auto in the black
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• United Automobile of Darlington, the former National Bus Company subsidiary, has made a net profit of £1.47m for 1988, its first full year as part of Caldaire Holdings.
Caldaire chairman Ken Hodgson sees the result as evidence that United has turned the corner following a loss-making period after deregulation.
The company's profit of 21.47m, before tax and interest charges, was on a turnover of just under 225 million. As a percentage-of-asset value, this is an impressive return of 24% on capital employed.
United has also enjoyed a net gain in its capital account, having bought some vehicles secondhand, but sold its entire coach fleet. Some went to Durham Travel Services, which was founded by ex-United Coaching manager Peter Lee.
Some of the company's capital expenditure of well over 22 million went on the minibuses that introduced urban competition into Darlington and Hartlepool.
Before the Caldaire takeover, United was heading for a loss. Hodgson says the turnaround has been achieved in only 15 months rather than the expected three years.