COMPETITIVE CONDITIONS IN INTERNATIONAL TRADE. 89

profits available for distribution to the ordinary shareholders averaged
 over £200,000 per annum, and fell below £175,000 in only one
year. Much of this has not been distributed, however, but has
been set aside in reserve funds. At the end of the fiscal year
1913-14 the share capital consisted of £1,300,000 in £10 ordinary
shares and £287,000 in £10 five per cent preference shares. There
was a debenture debt of £820,000, a reserve fund of £550,000, and a
fund of £80,000 for fire insurance. The company regularly maintains
 its plants in the “ fullest state of efficiency ” and in this year
wrote off £46,488 for works depreciation and placed nearly £60,000
in reserves. The profits for the year, before making these last
two deductions, amounted to £265,073, which is something over 8
per cent on the capital and debenture liability and reserves combined.?
The Industrial Spirit Supply Co. (Ltd.)—This organization is a
sales association or convention of the distillers of industrial spirits
or spirits used for methylation. It was incorporated in 1907 with a
nominal capital of £1,000, held by the combining producers, and
included all but one of the distillers interested in industrial alcohol.
Even this one concern, although not a member of the combine, arranged
 for the sale of its product by the central selling agency. The
organization is connected with the Distillers’ Co. (Ltd.) through
membership in it of some of that company’s subsidiaries.
This combination, it was stated at the time of promotion, was
formed for the regulation of output, the maintenance of prices, and
the increase of profits by effecting economies in distribution. It is
said the combination is not a “trust” in the sense in which that term
is used in America, but since the parties to the arrangement include
all the manufacturers of plain British spirits for industrial purposes
 it may be described as a “trust” in so far as it is intended to
restrict competition and maintain prices.?
Distillers’ Finance Corporation, (Ltd.)—In the summer of 1913
a project for the uniting of Irish distillers under one control was
launched by the organization of the Distillers’ Finance Corporation
(Litd.), with a share capital of £1,000,000, all subscribed by the firms
interested. Eight distillers, including the largest, and a number of
blending houses in Belfast and Dublin, are connected with the organization,
 the purpose of which is to standardize the quality of
Irish whisky, regulate the output, and increase profits by the reduction
 of working expenses and the elimination of competition. It
is intended to unite the industry by acquiring a share interest in a

1 Harper's Manual, 1914, p. 404, and The Times (London), June 26, 1914, p. 24, and
June 27, 1914, p. 21.
2The Times (London), Nov. 14 and 15, 1907, and Manchester Guardian, Mar. 5, 1909,
3% The Times (London). Nov. 15, 1907, p. 124.