COMMERCIAL ITEMS.

Dominion, Volume 3, Issue 834, 4 June 1910, Page 8

COMMERCIAL ITEMS.

THE FINANCE OF WAR. An interesting' paper was mcA recently before the London Institute of Bankers on the Finance of War, in which were discussed the effects of an outbreak of hostilities on the money markets of the world. The lecturer pointed out that there was one aspect of national defence to which sufficient . attention hart not been paid in Great Britain, namely, the supply of credit in time of war. In the event of any country entering on a, course of policy which might be expected to arouse opposition in the.United Kingdom, it would probably endeavour to embarrass the Rritisli Government by arranginp; for largo withdrawals of gold from tlio Bank of England. This procedure would be, adopted just before the moment when the cominoiuement ot hostilities, possibly without any definite declaration of war, was planned to take place. It was urged by the lecturer that a partial "run" on London, organised for this purpose, through the merchants and bankers of tlie oll'endins nation, 'might break down British credit A ajrainst such a contingency was the strengthening of the British cold reserves to a point that would enable specie payments to be maintained even in face oi 1 determined attack on the linos described. Tho-e present appear to have agreed with the contention that larger gold reserves in Great Britain were not only desirable, but almost imperative, but difference.-! of opinion existed as to how this object could be best obtained. Some two years ago the Chancellor oitho Exchiiiuer hinted that legislation on this question would l-c. enacted if the banks could not settle the matter amongst thembut whether any progress has been made in the desired direction has not yet been disclosed DEAR WOOL. - A subject which is now engaging considerable- attention both, in Great Britain and the United States is the increased cost of living. The matter is so severely folt in, America that the Government of the United States has issued directions to its European Consular officials u> look into and report on the matter as it affects Great Britain and the Continent. <\n examination of how wool values stand in the dawn of the centnrv greasy merino wool has nearly doubled in value, and the- same can be said for greasy crossbreds, the rise in both cases being over 75 per cent. The average values fov New Zealand crossbred wools in the gren;-e show as under:— Halfbred Crossbred Super Coarse 50V56's. «'s. 1901 85 95 65 7 1902 9 10 . , 4J 5J 1903 115 12 ' 6h 7J 1904 Hi 12J 8 9 1905 131 14 105 11 1906 «j 151 12 121 1907 16" 17 12 13" 1908 14 141 81 9* 1909 13 14 71 6t 19111 16 17 if llj The prices given above arc the January averages for crossbred tops. At the beginning of 1901 the wool trade was just recovering from one of the worst slumps ever known, the price of the raw material being then sljslitly below tho normal. The two wars which occurred about that time .soon shifted all ( the surplus supplies of raw wool, and p'ricos began directly to respond. At the same time, the world's expanding needs have constantly assorted tiliemsclvEs, manufacturers being practically continuously on the sheep's back for tho raw material. In fact at the end of each season there have been no surpluses-, and the machinery of the world is able to deal with supplies as they come to hand: If there is an adequate quantity during the first six months of the year, then towards the end a shortage lately has become evident; in other words, the requirements of spinners and manufacturers are such that there Is little prospect of an excess of wool being grown so long ns China, and Japan are opening out as consumers of woollen and worsted fabrics. THE KUBBEE DIVIDENDS. Two dividends which give spectacular effect to the boom in rubber shares are those of the Selaugor Ilubber Company and the Linggi Plantations. Ltd. The Selangor Company's final dividend for 13C9 is 3s. 3d. per share, and the distribution for the .whole year is ss. 9d. per share, or at the rate of 2871 per cent. A sum of .E5500 is placed to reserve, £1500 is allowed ried forward. . For 1908 the dividend was 75 per cent., while £3BSO was placed to reserve. £1000 was allowed for machinery depreciation, and £2300 carried forward. In connection with the enormous rate of the dividend, it has to be remembered that the capital of the company is only £30,000. At the present rate nf .£4 per share tho yield is a little over 7 per cent. The Lir.ggi Conrnnny's final dividend is 100 per cent., making 165 per cent, for the whole of 1909, as compared with 60 per cent, for 1908 Shareholders have also had •■rights" in connection with shares of the Kamuniug Company, which were distributed in the j current year and which represented a substantial bonus. At 675.. which is about the present price of Linitgi shares, the yiold is slightly under 5 pev cent. .. WEST AUSTRALIAN LOAN. West Australia is oiice more appealing to the London money market, and a loan of £1,342.000 at 3'. per cent., with the minimum price of issue .-COG 10s. per cent., is now on the market. This issue is bound ti be a iiucr<»!.s just an the loan issued in May lust year was. when an issue ot X1.4-IS.OOO at 3J per cent., issued at 96. was covered threefold. West Australia, has loans outstanding of .£21,943,553, but with £2.253.385 of accrued «inkine funds, the not debt is reduced to £19,715,168. Of the gross debt .C 10.359,553 was raised in London and £3,5G9,CC0 in Australia.. Thanks to the lencthy period during which West Australia vemaii'.cd a. Crown colony, a. much larger proportion of the debt of that State has been provided witn a sinkint; . fund than any of the other State debts. The total of the sinking funds is now 1 growing at the rate of over £330,t00 a ' year. That i= a heavy charge, and in ra- ; cent issues the sinking funds have been , discarded. The debt of West, Australia is to a large extent directly interest sup- ' Bortiug—indirectly it is wholly inlcrest - supporting and more. The not earnings of the railway!!, on which £10,802,102 has Ik-oii spent, arc approximately i>534.565, and the yields" about £120,000 per annum; 'the re' ■ turn is therefore roughly £655.000, eriiinl to I about 33 per rent, on £20,000.000. which is , about the average rate of interest. ' NOTES. '. Within the last twelve months moro than 30 Aiuiivieau manufacturers hove ! opened factories in Canada, most of them in Toronto, or other parts of Ontario,

with an aggregate capital exceeding £Z,0C0,OOti. About 40 American factories ar., now in Toronto, 12 a're in Hamilton, 17 arc established in Montreal, \yallicrville and Windsor have seven or eight each, Chatham, London, and Welland have four to Sl!> each, and Niagara Falls, Brantford, Ottawa, and a dozen other places have each one or two. The amount of capital invested in these Canadian-American conlirely Canadian. Others are controlled by United .States capital, but with a certain amount of Canadian capital always invested. Fully one-third of the capital in these American branch businesses, it is stated, is Canadian. Altogether 30.603 applications for patents were received by the British Patent Oflice iii 1903. The: total number of new patents sealed was 15.C65, and the number that expired was 15,276. During the first ciuartcr of the current year, 1750 companies were registered in London, or at the rate of 70CO a year. Only 150 of the registrations were rubber concerns. 'i'lia total niiatitltv of foa l exported from tuc ports of the United Kingdom in 1009 amounted to 63,076,799 tons. According to the State Statistician, the population of New South Wales increased 10,3fS in the March (juarter, of which 0882 represented the excess of births over deaths, and 35M the excess of immigration over emieration. The excess of arrivals from the United Kingdom and New Zealand was 3455. The State estimate of the population on March 31 was 1.655,830. WELLINGTON PIiODUCE MARKETS. The New Zealand Farmers' Co-operative Distributing Company reports as under:— Potatoes still continue scarce, with hardening values. Vegetables find a ready market, especially cauliflowers, which are selling at high values. Tho price of eggs is still receding. Cooking apples are again in plentiful supply, with low prices. Good dessert lines of both apples and ps-ars are in keen liivmrj. Fungus is in excellent demand at high prices. Walnuts are now coming to hand more freely, with a downward tendency in values. Porkers moot ready sale, as also heavier weights. Potatoes, prime Up-to-Dates £6 10s. to .67 per ton. Ked, specially selected, Canterbury Up-to-Datas £b per ton; onions, £4 to £4 10s. per ton; garlic, 3d. per lb.; cabbage, choice %. 6d. to 65., ordinary 2s. to 3s. Gd.per sack; cauliflower, choice Bs. 6d. to 12s. 6d., others is. 6d. to 6s. per sack; Brccn peas. Is. per peek; carrots, Hutt, Sd. doz.; turnips, white, 6d; doz.; swedes, 2s. l-D 2s. 6d. per sack; vegetable marrows. Is. per sack; pumpkins, 2s. to 3s. per sack; pie melons, 3s. per sack; lettuce, choice 55., fair Is. 6d. to 2s. 6d. per ca=o; spinach, best, 2s. 6d. per ca-se; French beans, is. 6d. per hair-sack: spring onions, 6d. doz. bundles; tomatoes, hothouse, 11s. 6d. per half-case; apples, cookers, large 3s. Gd. to 4s. 3d., small 2s. to 3s. case, dessprt, well coloured 6s. 6d. to 7s-. 6d., others Bs. 6d.. cookers, large 4s. 6d. to ss. 6d., small 3s. 6d. to 4s. per case; grapes, best Hutt Is., best Nelson lid. per lb.; butter, separator 10d., dairy 9d. to 9Jd. per lb.; cheese, best factory mediums 53d. to' 5Jd. per lb., loaf 65d. to 7d. per lb.; dressed pork. 70's to 90's 4rl. to 4Jd., SO's to ICG's 'id., baconers 3Jd. to 4d., choppers (heavy) 2d. to 2?d.; eggs, fresh Is. 9d., preserved Is. 2d. per doz.; bacon, factory sides 7(1., rolls 7«d., hams BJd. per lb.; honey, 4d. to ljd. per lb.-; beeswax, Is nd. to Is. 6d. per lb.; fungus, keen demand at SW. per lb.; walnuts, 5(1. to 5Jd. per 'lb.j tallow, tons. 245. owt. Poultry-Cockerels, ss. 6d. for Rood birds: small; 3s. to 3s. 6d.; table roosters, 45.; table hens, 3s. 6d.; small. 2s. to 2s 6d.; ducks; large ss. to 65., small 3s. to 3s. 6d. per pair; turkey gobblers, 9d. per lb.; hens. Bd. per lb. live weight. Maize, 3s. 6rl. to 3s. 9d. per bushel;' wheat, 4s. 2d. to 4s. 3d. per bushel, broken 3s. 6d. per bushel; barley, feed 3s. 3d., Cape 3s. 6d. per bushel; horse beans, 4s. 6d. to 9d. per bushel; partridge peas, ss. per bushel; Prussian blue peas, ss. Gd. per bushel; barley meal, £5 10s. per ton; sharps, £6 10s. per ton; bran, £4 15s. per ton; chaff, oaten sheaf. £5 to £5 15s. per ton; hay, prime £3 ISs. to £4 10s. per ton: straw, wheaton £2 10s. per ton, oaten £2 7s. 6d. per ton; linseed oil cake, genuine, £13 per ton; oats, feed 2s. Sd. to 2s. 10d. per bushel, seed, Sparrowbills, Garions. Duns 2s. led., Algerians sb. 3d. per bushel, crushed 2s. lid. per bushel; ma-chino-drcssed cockpfoot. 6td. to 7d. per lb.; farmers' dressed cocksfoot, sd. to 6c!. per IU.; per. ryegrass, 4ij.'Cd. to ss. per bushel; Italian ryegrass, 4s. 3d. to 4a. 9d. per bushel. WHEAT. Bγ Ttlcßraph--Prcss Association—GonTrliihl London, June 2. Tho American visible supply of wheat is estimated at 37,C03.0Cfl bushels. SILVER. I!y TeloKrnofc—Press Axso'-intion-Oonvrlcht London, June 2. Bar silver Is quoted at 243 d. per ounce standard. BANK OP ENGLAND RETURN. By Telegraph—l'ress Association—Copyrish'. (E-ec. June 3, 9 p.m.) London, Juno 2. The Bank of England return issued for tho week ended Wednesday, Juno 1, is as under:— Issue DniwimrexT. Note Issuo ... iW.7CI.CCO Gov. debt ... £11,015.000 Other securities ... 7.-S34,nciO Gold ... 30.312.0f10 £57.701,033 157.71j1.C00 B.ixmxG DiiPAirarnxT. Proprietors' Govl. Eccuri- ' capital £14,553,000 ties XU.B3S.OM Public de- Other securiposits ... 23,037,000 ties 3-2.4re.0W Oilier doposits. ... 37.109.000 Xotea ... 2!),565.C00 Best, 7-day and other Coin... „. i,i32,un bills 3,0G2,003 £77,761,000 jE77.7tiI.COJ The leading items of the Bank of Eneland return alford the following comparison :— This weeli. Last week. Last yuny £ 4 j: Bullion 3(1.312,00.1 37.0)3,030 35.7-!3.m) Hcsol-vc 3U.517.00U i3,!Cß.(joa SU.IOi.UVJ Note circulation '.'S,:I7(i,OCO 25.121.003 -20,689.000 Public Deposits M,u37,(XX) -21.t0a.000 13.-16H.000 Other Deposits 37,JH,««1 5T,7U5,01W 43,171.000 rrouortio'n o( rusicrvo to liabilities ... 50.7:! 49.0S -15.63 GOVERNMENT SECOEITIES. The followine are the latest quotations for Government securities, with a comparison of those ruling.last week:— Variations - - Pries c °~ last weok. £ ». i. ~ 2i% Imperial Consols 62 17 0 Ks.Bd.bujhor ■1 ~N.5.\V.1933Jan.-July i U o 0 0 '.ob. lower 3! ~N.8.Vi'.1918..iar.-Sop. ty 17 u =s.6d. lower 3 ~N.S.\V.l'J33Apl..Oct. S3 10 0 Unchauued i „ Vic. 1920 Jan.-July 10110 0 -lOs.lowor 3j ~ Vic. ISWI-GJau.-July US 0 0 bUs. lower 3 „ Vic. 1829-49 Jan.-July 85 15 0 Ms. lower 31 ~S,A. l'Jlli Jan.-July 03 0 0 Uncbant'ed a ~S.A. MB Jan.-July t4 10 0 Unchan-'ed I ~QTaIOIS-24jan.-July lu j 0 0 Mis.lower 31,,C1 , rd1»i4-30,1an.-Jiily L-7 111 0 10s. biiiher 3 ~Q'ruiaa-!7Jnu.-Jnly 5510 0 l',"s. id. lower i „ K.Z. 192) Jlay-Xov. 10c 1U 0 Unchanged 3i,.S.Z.l9lUJiin.,luly UU 10 0 iOs. lower 3 ~S.Z. Wlr.April-Oct. b , ; 10 0 Unchansod 34 „ W.A.IKO-jO May-Nov 97 10 0 Uuchaiwcd 3 ,W.A,1(115-:-;sMiiy-Nov 1)7 10(1 UliehiinßOd 3i ~Tis. ISJOJan.-July us u 0 30a. lower 3 . „ Tas. l'J-20-iU Jau.-J uly t5 lu u .j» Si | OY ,. Jr BANK RATES OP DISCOUNT. The Bank of England discount rate was raised ou October ( last from 2J to 3. per cent on October 14 to 1 per cent., and on October 21 to 5 per cent. On December 9 it was reduced to 4» per cent.; on .lauuary 20t03J per cent., and on February 1010 3 per cent. On March 17 it was again raised to 1 per cent., and on June 2 it was reduced to 3J The lliink of France rate was reduced from 3), to 3 per cent, on January 2i, 1908, ii:ld remains at the latter ligure. The Imperial Bank of Gcriniuiy, on September 20 last, advanced its rate from 34 to 4 per ceut., 'and on October 11 to 5 per cent.; lowered same on January 21 to 1i per cent., and on February 10 to <t per "cent. MARKET KATES OF DISCOUNT. The following arc the market rates for best three months' bills :- London Paris Rcilin rate. rate. rate. percLMii. percent, percent. j ime 2 35 25 3J .Lust, week 3 5-16 21 3J Tinst year 16 2 2* Short loans are i lower at 33 per cent.

COLONIAL ASD OTHER PRODUCE. 1 Wheat.—Tho markets have recovered ' slightly from the lowest point touched. There is some activity in Australian carroos; three sold at 30s. 9d. and 31a. 3d. : There is fair inuuiry at about these prices. Crop prospects of all exporting countries are favourable. Australian, on spot, is dull at 335. 6d. to 345. New Zealand wheat is very variable in quality, and is quoted at 31s. to 335. Flour is dull. Australian patents in London and Glasgow are held for 265. Harloy is neglected. . ■ Oats ara dull; Cartons, 17s. 6d. to 19s. Gd.; Sparrowbills, 17s. to lEs. 9d.; La Plata, June-July shipment. 12s. Cd. Butter is steady. Choicest Australian, 100s. to 1025.; unsalted occasionally inakiiiß Ids.. 1C65., t;> 107s. Secondaries are difficult of sale, and are mostly being stored. loner! 'at Us. Cd.: ' first-marl; VanuTatcd" f.n.b.. Ifanibnrp:, 6d. lov.-sr, at 16s. lCd. Bradford Tops.-The market is lirm. and the price;; are unchanged. Sheopsltin sales.-Thcro was a larso attendance and animated biddina; practii;.illy all lots worn cleared without any further change in prices. THE METAL MARKETS. Copper, on snot, £56 12s. 6d. per ton; three month'''. £57 10i. Tin. on spot. .£149 ?s. 6d. per ton; three months' £150 !2s. 6d. Lead. £12 11s. 3d. per ton. •Pis-iron. 495. 7d. per ton. Spelter, £22 10s. per ton. FUSION OP INSURANCE COMPANIES. Dl' Telegraph -Preas Association—Copyricht London, June 2. Tho Commercial Union Assurance Company, Ltd., has absorbed the Ocean Accident and Guiiranta Corporation, Ltd. [Sir. H. N. Liardot, Actine-General Jfanagor of the Ocean Accident and Guarantee Corporation, informs us that the use of the word "absorbed" in tho cablegram is incorrect. He states that his London directors have cabled to him that they havo entered into arrangements for the fusion of the two companies, and that there will be no change whatever in the workins of Zealand.] BEARD ESTATE SALES. One of the most important land sales held for some time eventuated in the Fire Brigade Hall, Wangamii, at midday on Thursday, viz., the sale of the Heard Estates, which was conducted by Messrs. Freeman K. Jackson and Co., in conjunction with the Now Zealand Loan and Mercantile Agency Co., the auctioneers for the respective firms boin? Messrs. Hayncy Jackson and J. G. Oldham (of Taihape). Lot 1, Tutaeariari, 4560 acres freehold, on tho Patea. Biver, 14 miles from Hawera. Bidding started at £5 per acre, rising steadily to £6 per acre,, at which price it was knocked down to the trustees of tho David Beard Estate. The price figured out to £27,364 10s. Lot 2, Tokotapu, 1723 acres, a Government small grazing run 011 the WauKaehu Kiver, 14 miles from Ma'nrsmahu, Icnso 19J years to run, was then put up by Mr.' .lackson. Bidding started at £3, and stopped at £3 12s. 6d., Mr. Arthur 11. Collins being the buyer at a price of £6245 17s. 6d. Lot 3, Mata.whit.ia, 185(1 acr;-i freehold on the Wangachu liiver, 30 miles from Wanganui, and 4 miles from TMausamahu, was then sold by Mr. Oldham, realising Sα Is. per acre, or in all £11.240 18.=., the buyers being the trnstees of the Beard Estate! Lot 4 was the freehold portion of the Mangatipaou property. 950 acres, on tho Wangachu Kiver, 19 miles from Wanganui, and 4 miles from Kauongaroa. Mr. Jackson sold this property. There was verr keen bidding for this lot. starting at £7, aud finally closing at £10 2s. 6d.. .or a total of £9617 Us., • the trustees of tlie David Beard Estate being the purchasers. Lota 5 and 6, also sold by Mr. Jackson, were two leaseholds of 214 and 210 acres, attached to Itangatopoua. For the goodwill of tiiese leases, which have five years to run, £12 and £26 respectively were the accepted bids, the purchaser bein°- Air W H. Clark. - - ■ The total amount realised by the sale was £54,506 16s. 6d: It may be mentioned that it was a cash sale. PAPAROA COAL MINES. The fourth annual report of tho Paparoa Coal Mining Company, to be presented at the animal meeting, shows that the work of the past year had mainly consisted in developing the mine. The opening of tho three soaras, ..-.vine to the nature of the country, had to bo started in a small disturbed area at the terminus of tho inclines, east of Soldiers' Creek; tho time occupied in getting through this had been longer than was expected, aud some of the coal, in this area, although the analysis was excellent, was fouud to be soft; difficulties in those respects led to (jiviiiß up certain 0! the working places in order to open out harder coal, and this had limited the output. The mine manager reports that the company has now reached sound coal in the No. 1 and. No. 3 seaiuß; in the intermediate No. 2 seam, in which the headings are not quite so far the same'results in a very short time, and now looks for an increased output and more general use for the coal. The company began to sell some of its output In September last, but it had laboured under cor.siderable difficulties from the Government branch not being yet opened, the transport bciuir conducted jointly by the Public Works Department and the Workini? I'ailways Department. This dual control led to stoppages in'the company's operations through irregularities in wagon supplies and in deliveries to the steamers; at the same timo excessive charges had been specially levied by tho Government for the inefficient servces renNA'JTONAL DAIRY SHOW, JUNE, 1310. MILKING MACHINE DISPLAY. piXOE],LENT 'progress is being made -tJ ill connection with the milking machine display to take place during the progress of llio Naliouni Dairy Show, to lie hold on June tlip 21st, 22nd, 23rd, and mh, 1910. It has been decided to hold it in the Poultry Hall, and that capacious ljiiildinj has already been completely trunst'ornied in procuration lor the fiveiit. On 0110 side of tho hall a platform runs tho full length of the buildin,!;. .On this will be. placed the cows ami tho machines (five), whilst the shaftini; for the necessary power will be run slung tho wall above tb« platform. Tho rows will bo tail first to tho audience, who will ho accommodated in an auditorium with seatins; space for 210 peoplp. There- is no doubt as to the success of tho display, and so groat has been the inquiry for scats by visitors from a distance, that, in the interests of everyone, it has been decided to draw up plans for reserved seats for each of the three milkings, morning, afternoon, and evening. Reserved seats will bo available for one shilling, and unreserved for sixpence, aud the admission fees will be utilised to defray tho expenses of getting the hall ready, and which are necessarily heavy. The idea of reserved seats is sure to appeal to the visitors, who otherwise might, bo crowded out by the local patronage.

derofl. An appeal to the Prime }[inister i on behalf of the Paparoa and Blackball Companies early in April elicited ;■. reply that it was probable that the Working Bailways Department would undertake the working within three weeks. From these causes the mine eould not be regarded as having readied the stage of a complete going concern. The recent development in the mine and the opening of the Government lirandi railway, when it takes plui-c, should allow this position to bo reached. A strike of the miners tojk place duringApril, but was amicably fiticd in n fewdays. Tv.-o trial shipments, 650 tons in all. had been supplied to the Admiralty, who j hud Klr.ce entered into a contract with the I company for further supplies. The ram-. | try " estimated to'contain' about WcC.CCa tons of aiitSiracituus .'•>.".- ljituii"notis ■•o-i!a. The director?, hv a drciilir dn.eci ar-a'di 2, drew shareholders , and dcboiitnre-holtl-t;';a f'iutii-j':-'iunrts. U ap'Sil resiiltoil' in V> debentures of £ld! each licinir tnk.Mi tin out of 250 offered. It is essential that a ] further proportion of this issue should bo taken up. The retiring direclors. Messrs. W. Watson and J. 1 , . Maxwell, boinsr eligible, offer Messrs. ■VFatlsiiisl'ituU, inu yrhejlerV'alEO olfrr themselves for rceppointinent. The engineer, Mr. A. .!. Hunter, retired from the company's service at the end of January last, the engineering works then beinr: practically completed, and the sole control had since been in the lianas of the mine manager, Mr. J. T. Watson, M.1.J1.E. DEEDGING. Duncdin, Juno 3. Dredging returns: Wailiaia, sCoz. Jdwt.; Mastorton, 28oz. 2d\vt.; Mystery Flat, Uoz. lCdwt.; South Waikaia, soz. lOdwt.; Koputai, soz. 9dwt.