GraceKennedy

The Company was, however, not doing badly. Losses in Montego Bay in 1923 had been matched by a 'quite satisfactory' year in Kingston, and in that year, and again in 1924, the Directors declared dividends of 8%. Business, which was poor for all merchant firms in 1925, showed improvement in the following year and wharf-earnings began to reflect the up-turn. So did share prices. In October 1926 James Moss-Solomon became a shareholder, purchasing five shares from Cleveland Grace for £550; and in April 1927 further transfers were made from Dr. John Grace to four others at £115 per share. Two of these purchasers, Sidney Cargill and Harold Dunn, were at the same time appointed as Directors of the Company. At a meeting on the following day, April 12, the Directors agreed on an interim dividend of 15% to be paid on all shares on the 20th. It was also agreed that Dr. John Grace and Fred Kennedy be re-appointed as joint managers of Grace, Kennedy and Company:

.... As from 1 Feb 1927 for the same period and on the same terms as in their last
agreement dated April 13th, 1922.

In January 1928, the Directors remarked on the very profitable business of 1927. A further £3,587 was to be added to the General Reserve fund which, in March 1924, had been declared to be equal to 50% of paid- up capital; a sum of £500 was to be transferred from the General Reserve to Bad Debts; the 15% interim dividend had been paid in April 1927, and now a further dividend of 8% was declared.

Managerial Changes – 1922 to 1939

The managerial team of Dr. John Grace and Fred William Kennedy with the support of James Moss-Solomon, the Accountant, and R.P. Galloway, the Secretary had brought about the substantial growth of the Company. However, before the opening of the much enlarged, much improved and now locally owned Grace Wharf, both Galloway and Kennedy had died. The Gleaner of March 6, 1930, reported:

For the past month Mr. Kennedy was not feeling well and was suffering from strain of overwork, for he never spared himself in the furtherance of his business. On Tuesday evening he fell victim to a heart attack and, as stated above, passed away about midnight.

Frederick William Kennedy had died suddenly at the age of fifty-six at his residence, Quisqueya, on South Camp Road. The names of those attending his funeral proclaimed not only the affection of family and friends but also his eminence in the commercial life of the island. The pallbearers were his eldest son, Luis Fred Kennedy, James Moss-Solomon, Dr. John J. Grace, Captain S.D. List, Mr. S.R. Cargill and Mr. V.E. Manton. Luis Fred Kennedy had graduated from university in the United States in 1928 and had then come to join the firm. In 1930, the year of his father's death, a younger son, José Kennedy, graduated from St. George's College and was articled to Manton and Hart, solicitors, in Kingston. He too would later join Grace, Kennedy.

A top managerial rearrangement followed Frederick W. Kennedy's death. Dr. John Grace remained as Governing Director and Luis Fred Kennedy was appointed a Director. At another Extraordinary General Meeting of shareholders in April, the Articles of Association were amended. Henceforward, the Governing Director would vacate office on written request signed by the holders of at least 55% of issued ordinary shares and 55% of issued preference shares. Should the Governing Directorship become vacant by death, resignation, or on such written request, an appointee supported by similar percentages of votes might fill the office. If within three months of a vacancy, no such appointment had been made the Directors would have the right to appoint a Governing Director but the powers of such an appointee would be limited.

In mid-1930, James Moss-Solomon took on the duties of Secretary until the end of 1935 when he resigned the post and in January 1936 was appointed a Director. F.N. DaCosta succeeded as Secretary. From about that time, Dr. John Grace began to move towards resignation. Fred William Kennedy had been authorized in 1929 by Dr. Grace to sign cheques and other papers without his countersignature. Then, in 1934, he authorized Assistant Managers Luis Fred Kennedy and James Moss-Solomon to sign individually on behalf of the Company. Further, for 1933 and after, both Kennedy and Moss-Solomon were to receive an annual bonus equal to half of the bonus payable to Dr. Grace under his existing contract with the Company. Under that contract he received an annual salary of £700 and a contingent bonus of £500. In January 1932 he had told his fellow Directors:

I am open to re-engagement on the same terms for a period of say, three years.... We've had to have careful handling of the business in the past two years of depression and the same will be for the next three.... That care I hope to be able to give.

The contract referred, of course, to his managerial status, not to his place as Chairman of the Board and Governing Director. Business, in fact, turned out to be very good in 1933 and 1934, and at the end of 1935 Grace, Kennedy & Co., Ltd. opened accounts with the Canadian Bank of Commerce in Kingston and with the Grace National Bank in New York.