cents per common share today to shareholders of record February 28, 1995.

Unaudited profit for the first five months of fiscal 1995 was $399,000 or 33 cents per common share, compared to $314,000 or 26 cents per common share, for the first five months of fiscal 1994, according to a release from the company yesterday.

"Our first five months' results are excellent considering that last year was a record performance year for the company. We increased our total sales by six percent and maintained a good control over our expenses to generate a 27 percent increase in net profits over the same period last year,'' said Mr.

Claude Guay, Chief Financial Officer.

Audited financial statements for the company at September 30, 1994 showed a 27 percent increase in sales, from $5.23 million to $6.63 million and a 15 percent increase in profits compared to a year earlier.

Chips, which is to merge with fellow office supplier Staples Ltd., reported profits of $924,226 last year compared to $800,560 a year earlier.