NAME CHANGED, PROFIT UP AT MDC
By Adnews Staff
MDC Corporation has changed its name to MDC Communications Corporation. Shareholders voted in favor of the new name for the Toronto-based international company at its annual meeting this week. At the same time, the number of common shares outstanding was reduced from 73.8 million to 12.43 million in a 6-to-1 consolidation. Earlier this month MDC announced that it had sold $28.9 million worth of shares to five investment dealers, bringing its capital base to more than $100 million. MDC is the parent company for a number of firms involved in marketing communications. It owns 40% of Toronto agency Ambrose, Carr, Linton, Carroll. MDC reported a rise in sales and profits for the first quarter, which ended Mar. 31 this year. Sales totalled $47.6 million, up 9% from the same period last year. Net income rose 139%, from $762,000 to $1.8 million. President Miles Nadal says the rise in profit was due to cost cutting in the direct marketing and home shopping division, helped by increased sales in the security and specialty printing division and in the communications and marketing services division. These three divisions make up all of MDC. The company is traded on the Toronto Stock Exchange and the American Stock exchange.