ICI or CIC paints? - letter

In the last couple of months, I have noticed that the signboards of CIC Paints dealers are being changed.

The brand names of Duco, Dulux and Glidden have remained as before, but the name of the company is no longer on the board. What’s more, greater prominence has been given to the name ICI. What has happened? Is CIC Paints no longer the owner of the Dulux brand name? Or has there been an ownership change?

While CIC Paints is a private limited liability company it is included in the Chemical Industries Ltd (CIC Ltd) for 2006/7 Annual Report as a subsidiary. Has CIC Paints (Pvt) Ltd, ceased to be a subsidiary? This question is very pertinent to shareholders of CIC Ltd since CIC Paints (Pvt) Ltd contributes much in the way of dividends. In fact, the dividend contribution to CIC Ltd by CIC Paints for the last financial year was Rs. 210 million.

I have written to the Securities Exchange Commission requesting a clarification on this matter. I am certain these questions are pertinent and the answers to them of value to the investing public of Sri Lanka.

Thusantha
Liyanaarachchi
Panadura