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4 OPERATING COMPANIES

The rules in this section apply only for operating companies, and not for player companies or service companies. Player companies and service companies don't have any manufacturing (production) functions and don't have to vote to decide managing directors.

4.1  Production  Each company has either one, two or three production lines, each making a different product. Each production line has a quantity of plant allocated to it and a number of production runs (batches) ordered (up to 100). During production some commodities are consumed and labour costs are paid in order to make some other commodity. If a production line runs out of the commodities it needs then it stops after producing as many batches as possible.
Plant is not consumed during production. It can be used again the next turn (and can also be used more than once in the same turn - see 4.2). Plant that hasn't been allocated doesn't do anything (it's just another commodity sitting in a warehouse). Plant may be used in the same turn it is allocated.
The Production Table (see reference section) shows the labour cost, plant and commodities needed to produce a batch of each commodity. The Price Table shows profit margins for each commodity at the original prices.

4.2  Labour Costs  The basic labour cost for your production is the number of batches produced in each production line times the labour cost for the commodity produced. If your production line uses the plant allocated to it more than once (ie. the plant needed for the production made is more than the plant allocated to that production line) then you must pay extra labour costs (because you're working extra shifts - you can't run the equipment faster, but you can run it longer by working longer hours).

4.3  Shift Work  If your production line works in two shifts then the first shift costs the normal amount and any work that has to be done by a second shift costs double. If work carries on into a third shift then this costs three times as much, and a fourth shift four times. Four shifts is the most allowed, and even this will not normally be profitable.

4.4  Staff Costs & Wages  Each company has a staff level which is the "permanent" workforce of the company. The company has to pay all permanent staff irrespective of whether it has any work for them to do, but once they've been recruited they are cheaper than temporary staff. Staff can be hired and fired whenever you like, but the cost is three times the increase or decrease.
If the total labour cost for all your production is less then your staff level then your total wages cost is equal to your staff level. If your total labour cost is more than your staff level then you must pay double for the additional temporary and contract workers who make up the difference (that's double the difference, not double the whole amount).

4.5  Dividends  Each turn the company can pay a percentage of quarterly profits to the shareholders as dividends, based on the previous four turns (not the current turn). A dividend is ordered as a percentage. The maximum allowed is 100 percent.
The money is divided between the shareholders in proportion to the number of shares held and rounded down to calculate the dividend per share (which is what is paid out, so any rounding "errors" stay in the company bank account).
Note: Dividends are paid according to the profit on the four turns before the current one. This means there aren't any dividends paid on turn one, even for the service companies.