Business The Prince George Citizen — Saturday, March 14,1987 — 7 CANADIAN TIRE Court upholds OSC decision by ROBIN BARSTOYV Financial Times TORONTO — The Ontario Securities Commission’s decision to block a bid for Canadian Tire Corp. Ltd. by the company’s dealers was supported Thursday by the divisional court of the Ontario Supreme Court. The three-judge court dismissed an appeal against the OSC ruling that had been launched by the dealers and members of the Billes family, who control 61 per cent of the company’s voting common shares and had supported the dealers’ bid. The 51-page ruling, released after the stock markets closed, methodically rejected the dealers’ appeal and ruled that the OSC was within its jurisdiction when it decided in January to block the $271-million bid for 49 per cent of the voting shares. The court ruling, which will likely be seen as a victory for minority shareholders’ rights, may also fuel a recent move by Canada’s securities industry regulators to take a more activist role in policing the markets. “In (court’s) view, the commission was simply describing a scheme that it had found to be unethical and dishonest from other points of view and in other terms. It was the appearance of inequity and injustice and the apparent failure of the Billeses, as controlling shareholders, to show any regard for the wellbeing of the (Class) A shareholders, that gave rise to the commission’s concern,” the ruling said. “... for the commission to refuse to stop a transaction it considered contrary to the public interest and permit the dealers to proceed with a clearly abusive transaction would be to •ignore its duty and to favor private interests over public good.” During the five-day appeal, which concluded last month, lawyers representing the Toronto Stock Exchange, the independent Canadian Tire directors and Canadian Tire employees had all supported the OSC’s ruling and asked the court to dismiss the dealers’ appeal. Lawyers representing the Billes family and the dealers had argued the offer was legal and that the OSC was outside its jurisdiction when it made the ruling, which followed a nine-day hearing held jointly with the Quebec Securities Commission. The OSC blocked the deal on the grounds it was “grossly abusive” and against the “public interest” for the way it ignored the interests of Canadian Tire’s Class A shareholders by sidestepping a coat-tail provision in the company’s bylaws that was designed to give those shares voting power in the event that a change in majority control of the company took place. The dealers already owned 17 per cent of the voting common shares when their bid for a further 49 per cent was made. Theoretically, the dealers could now return with another offer that included the Class A shares; the Billes family could decide not to sell its controlling block; or another bidder could emerge and make an offer for the retail chain. • THE PRINCE GEORGE VICTIM SERVICES SOCIETY "A volunleef group who provide information and assistance lo victims ol crime" II we can be ol service please call INDUSTRIAL SALES REPRESENTATIVE Required by well established Canadian manufacturer of packaging materials and equipment for location in Prince George. Position offers salary commensurate with abilities, excellent benefits and company car. The successful applicant will be experienced in industrial sales, well organized, capable of self administration and willing to travel. Send complete resume to Box D-325 The Prince George Citizen. RECOGNITION OF ACHIEVEMENT GLEN SCOTT RUDYKOPP RON DICK GRANT BENNETT Investors is proud to honour these outstanding Personal Financial Planners for exceptional service on behalf of their clients in 1986. Experts in money management, these Personal Financial Planners advise individuals, families and companies on savings and investment strategies, retirement planning, taxes and inflation, and a variety of investment funds. Their clients turn to them for their experience, their dedication to personalized service, and the technical resources of the company that pioneered in the field of total financial planning. Investors Syndicate Limited is a member of the Investors Group, which manages assets of $7 billion. Investors Group PROFIT FROM OUR EXPERIENCE INVESTORS GROUP 696 Brunswick St. Prince George 564-2310 City rustproofing firm wins award Let's hear it again about how little salt the city allegedly uses on our streets. Ron Janzen of Ziebart in Prince George has won an award for having the highest Rust Eliminator sales out of more than 400 dealers in the U.S. and Canada at the company’s annual convention at Lake Buena Vista, Florida. ★ ★ ★ More than 60,000 patents were granted in Canada in 1986. If you want to join in, a lawyer, Sheldon Burshtein, has written “Patent Your Own invention in Canada.” ★ ★ ★ Home prices in Prince George continue to bounce around, according to the new Royal LePage survey. The average single story home in the city — 3 bedrooms, 1 car garage — had a January price of $60,000, down $3,000 from three months ago, is still $2,000 more than a year ago. A two story, four bedroom “executive” home sits at $110,000. That’s the same as three Business notebook Compiled bv KEN BERNSOHN and BOB ROWLANDS months ago, but down $8,000 from a year ago. Meanwhile, the standard two-sto-ry home dropped to $79,000 from $83,000 three months ago to the same level as the beginning of 1986. These prices are good news for people who now own their own homes or who are buying (as long as they’re not selling) compared to Vancouver, where the standard detached bungalow is $135,000 in East Van, $125,000 in Richmond, and $200,000 in Kerrisdale where the executive two-story goes for $290,000. ★ ★ ★ When you see an Englishman on television stressing the importance of forestry in Canada, there’s a good reason. Canadians have more faith in what foreigners say about Canada than what Canadians say, according to a Gallup Poll the Canadian Forestry Service used in designing a television campaign. ★ ★ ★ Do you want to know how to improve sales? The Federal Business Development Bank will hold a seminar featuring Louise Gallagher on “personal selling, the inside story,” March 31 from 2 p.m. to 5, at Esther’s Inn. The workshop will include understanding customers’ needs and step-by-step sales techniques. ★ ★ ★ . First City Financial Corp. Ltd. reports net income of $38.3 million or $1.98 a share for the year ended Dec. 31 compared with $22.5 million or $1.13 a share for 1985. The 1985 results included an extraordinary loss of $2.7 million or 14 cents a share, reflecting the company’s share of extraordinary losses incurred by an oil and gas affiliate. Income from financial services, real estate and investment operations increased more than 11 per cent over 1985 results. ★ ★ ★ Soon visitors to China will take two visas. One lets them in the country. The other lets them out of the restaurant. The government-owned Bank of China soon will begin offering Visa charge cards to its clients in the People’s Republic of China, according to Visa headquarters in San Mateo, California. The company is designing a Visa card to be issued by the bank for use in China and abroad. No international credit cards are now issued in China, officials said. ★ ★ ★ Canadian Pacific Ltd. had a 1986 loss of $80.3 million, or 27 cents a share, including extraordinary items, partly due to the drop in world oil prices, the company said. STARTS MONDAY, MARCH 16TH WIN! ■ ■ ■ THE VALUE OF YOUR FAMILY ALLOWANCE CHEQUE IN CASH TO ENTER: • Cash cheque • No purchase required • 1 draw per month at each store location • $31.93 minimum value per draw • Must answer skill testing question • Entrant must be 18 years of age or over • Draw will be held on last Saturday of each month ENTER NOW & WIN!! FEBRUARY WINNERS Jean Forster —- Spruce Street J. Minck — College Heights Kelly Higham — Hart Highway Karen Galjot — Spruceland o Overwaitea B.C.’s VERY-OWN FOOD PEOPLE 4 Prince George Stores to Serve You SPRUCE STREET COLLEGE HEIGHTS Wl W ■ llkb ■ LOTTO 649 TICKETS AVAILABLE HART HIGHWAY IN • STORE PHARMACY f 4