Salient. Official Newspaper of the Victoria University Students' Association. Vol 44 No. 9. May 4 1981

Future Profits?

Future Profits?

The question of STB's future profitability is somewhat difficult. Rennie's firm pointed out that, without interest repayments, STB had traded profitably from 1978 to 1981. When STB managing director David Cuthbert was asked at last Wednesday's VUWSA Exec for his opinion on the question, he was cautious. He claimed there would be great problems if NZUSA's constituents did anything to work against the company — particularly non-shareholding constituents.

In the "medium term future" Cuthbert sees the primary factor to be a price increase on the ISIC, without a substantial fall in numbers sold. He also pointed to the need to at least sustain trading levels in exchange travel schemes such as those to North America, and the possibility of negotiating additional benefits (discounts on various products) to ISIC holders.

Quite clearly, this question requires substantial investigation by any of the potential shareholders of the new STB.