On the 17th January fire destroyed a two storey building at the entrance to the Glover Street factory. The ground floor contained a large number of rolls of Bitumen impregnated hessian, whilst the upper floor, which was the laboratory, had stocks of flammable adhesives, paints and solvents. A Photostat of a photograph showing the damage that occurred to the laboratory is shown in {_66_} . Fortunately most of the laboratory's technical records survived the fire but a considerable number of valuable pieces of equipment were destroyed. Nevertheless, within 24 hours the laboratory had been moved to temporary accommodation into a building on the site known as the "Tile House". It is believed that a steam boiler was once housed in this ornately tiled building and it was probably used to drive machines in the original shoe factory.

The 19th AGM was held on the 18th February and the Chairman placed on record the sterling qualities of Mr. J.J.E Forman at the fire in using his efforts to ensure that the fire did not spread to the more vulnerable adhesives factory. At an extraordinary General Meeting held on the same day the capital of the company was increased to £50,000 by the creation of 42,900 shares at £1 each.

On the 17th December the Board of Trade issued an Industrial Development Certificate, allowing Evode Ltd to develop land in the Borough of Stafford for 64,750 sq.ft. of factory, offices and laboratories. A copy of this certificate is given in {_67_}