HUDSON'S BAY WRITEOFF MAINLY DUE TO DOME STAKE
<Hudson's Bay Co> said a writeoff of
40.4 mln dlrs, or 1.39 dlrs per share, that it took in 1986 was
mainly due to its investment in Dome Petroleum Ltd <DMP>.
     The company reported an operating profit of 33.0 mln dlrs,
or 32 cts per share, for fiscal 1986, compared to an operating
loss of 9,055,000 dlrs, or 1.23 dlrs per share, in the previous
year.
     Hudson's Bay holds about four mln shares of Dome's 10 pct
series one cumulative subordinate convertible preferred shares.
    Last March, Dome suspended payment of dividends on all
preferred shares until June 1, 1987. The shares give the holder
the right to convert to Dome common shares at 3.33 dlrs per
share.
    Dome has the right to force conversion if Dome common
reaches 3.885 dlrs per share. Dome is trading at 1.12 dlrs per
share, down one ct, today on the Toronto Stock Exchange.
    Hudson's Bay also said it had an increase in 1986 in retail
operating profit to 185.3 mln dlrs from 111.4 mln dlrs, but
that was partially offset by an increase of 14.9 mln dlrs in
interest costs and 25.3 mln dlrs in taxes.
     Hudson's Bay also said its Markborough properties
subsidiary had an operating profit of 108.6 mln dlrs, up from
98.8 mln dlrs the year before.
    Profit from non-Markborough real estate was 23.5 mln dlrs
in 1986, down from 27.6 mln dlrs a year ago.
    Operating profit from natural resources was 4.2 mln dlrs,
up 1.2 mln dlrs from the prior year. Pensions costs were
reduced by 34.9 mln dlrs due to an accounting change. Total
debt declined during the year by 251 mln dlrs to 2.28 billion
dlrs and debt to equity ratio improved to 1.8 to one from 2.1
to one.
 Reuter
