Mayer Brown Rowe & Maw (MBR&M) became the first major UK firm to publish its accounts when it filed its financial statement as a limited-liability partnership (LLP) last week.
The statement, seen by The Lawyer, reveals that the UK partnership paid down much of its overdraft facility with Royal Bank of Scotland for cheaper funding from the US partnership of £4m.
MBR&M sources dismissed suggestions that this was a subsidy. One partner said: “It’s a US treasury management idea. They’re still ahead of us on cash management.”
The report covers the 17 months from January 2003 to April 2004 and will be scrutinised by a number of firms considering LLP conversion.
MBR&M’s UK LLP is separate from the US LLP, but the firm operates a shared profit pool, which until now has been entirely merit-based. The firm is set to announce its new partner remuneration policy.
The financial statement also reports that senior partner Paul Maher was the highest-earning partner in the UK LLP. He drew £1.18m in profit over the 17-month period, equating to annualised drawings of £830,000.