Export Trading Meat P. Losses

Press, Volume CV, Issue 30975, 3 February 1966, Page 16

Export Trading Meat P. Losses

Losses by the export trading section and by the newly-acquired subsidiary, Meat Packers (N.Z.) caused the loss by the New Zealand Refrigerating Company in the year to October 31 last.

This is said by the chairman (Mr C. S. Peate) in his report with the full accounts just released. Net consolidated loss is confirmed at £121,054 in the accounts, compared with net consolidated profit last year of £666,392.

Mr Peate says £150,000 has been transferred from the market fluctuations reserve to cover the contingency.

All other subsidiaries traded profitably during the year and parent company profit, taking in dividends from subsidiaries, was £24,765.

Last year parent company profit, taking in subsidiaries’ dividends, was £657,241. Latest result is after allowing £372,026 for depreciation against £321,711 last year.

There is no transfer to general reserve, but last year £382,436 was transferred. Last year £2630 was transferred to the capital reserve of a United Kingdom subsidiary, but no transfer was made this year. Dividend of 7} per cent takes £187,500, against the £225,000 needed for last year’s 9 per cent. After dividend requirement, carry-forward is £257,756. Brought in from last year was £522,240 and from this £105,930 was needed for the three-for-five bonus issue made during the year, leaving £416,310. After deducting the consolidated loss, £150,000 was transferred from the market fluctuations reserve making £445,256 available for distribution. Stockholders’ and convertible noteholders’ funds are £5,539,953 against £5,593,899.

General reserves are £802,636 (against £1,120,200 last year), while total reserves are £1,612,049 (£3,093,899). A new item is £224,670 in registered unsecured 7 per

cent convertible notes that will convert to stock units at par by October 1, 1967. A deduction of £431,568 is shown as the excess of the nominal value of convertible notes issued in the take-over of Meat Packers. Fixed term liabilities are £954,231 (£500,000). Current liabilities are £2,002,160 (£1,775,394). Fixed assets are £5,297,636 (£3,996,246), taking in capital work in progress at £251,666.

Investments stand at £516,411, compared with £439,245. Current assets are down from £3,433,802 to £2,683,326. Commitments for capital expenditure are estimated at £254,378.