Tor plc is a large company listed on the main market of the London Stock Exchange. The objectives of the company, in the current year and in recent years, are stated by its Annual Report to be as follows:

(1) To maximise the wealth of our shareholders.

(2) To give shareholders an annual return of 15 per cent per year.

(3) To increase real dividends by 4 per cent per year.

The shares of Tor plc are owned as follows:

Average values for year

Transcribed Image Text:

Chief executive officer Managing director Other directors UK Institutional Investors Foreign Institutional Investors Small shareholders % 17 6 4 44 10 19 100 The following Information relates to the recent performance of Tor plc. Year (most recent last) 1 2 3 4 5 Revenue (Em) 144 147 175 183 218 Earnings per share (pence) 46.8 50.7 53.3 53.7 63.7 Dividend per share (pence) 18.7 20.0 21.4 22.9 24.5 Annual Inflation (96) 2.5 2.7 3.1 2.9 Price/earnings ratio (times) 8 8 10 13 15