EQUITABLE BUILDING CO.

Dominion, Volume 9, Issue 2685, 3 February 1916, Page 8

EQUITABLE BUILDING CO.

ANNUAL MEETING. Tho. ordinary general meeting of tho ; propriettti'ij of the Equitable Building and Investment Company of Wellington. Ltd., was hold ju the Chamber of Commerce last evening. Mr. Harold Beaucharaii, chairman oi directors, presided. In moving tho adoption o£ the report and balance-sheet (already published), the chairman Siiid:-"From tiie figures shown in the balance-sheet you will recogniee that we have had another most successful ytar, our net profit beiuc £11,218 ss. 4d as compared with £11,286 19s. 7d. for the unaiiciai year ended December 31, 1914 ioUowing our usual practice of strengthenH'l?' far as practicable, the resources of the company, we have placed to the reserve fund the sum of £20W, which total of that fuu<l TO to £70,500, or .fc.lo.oCo over an<l above the paid-up capital of the company. Aftei making thin transfer, we arc able to recommend the customary dividend of 10 per cent., and, it that recommendation be adopted carry forward to next year's accounts the substantial sum of £3218 ss. 4d., which is pioic. than sufficient to provide for the interim .dividend for the first half of 1916. You will notice that there has been only a modest fluctuation in the two principal items disclosed m our balance-sheet, viz on tile credit side, amount on morteanes s n^-. 1I L t 5 res V £JKU9 ° 15li - 7d " ai "i, on the aeoit side, depositors and interest. £257,143 9s. 6a. In our last balance-sheet, tnese items, under their respective headinES, stood at £359,095 fc. id. and £251,517 17s. 3d! Pi ~? co of otlr financial strength, I would like to direct your attention to ™e fact that our total liabilities, at December 31 last, amounted to £262,425, whilst (including uncalled capital £M,000) were no less than £460,394, or a 6 i l !iPiy!~ a m r . e . alial>l ? surplus, mark you-of £197,969. This position affords unquestionable, security to our depositors and other creditors.

In 1915 the v Government successfully rawed, within the Dominion, a loan of £2,000,001) at per cont., free of income tax. Of this loan wc subscribed for a'"'d obtamed, £5000.

"For a considerable timo past, it has been the policy of the board to encoura<-o ljorrowcrs to repay an appreciable portion of their loans under table—that is, where a substantial amount of the security comprises residential buildings, which may be ■considered depreciating assets. Quito a largo number of the company's advance 6 havejieen made on that basis, and -we hope to still further develop this class of business in future. In t.he case of a borrower 111 receipt of a fixed income, it i 6 manifestly in his interest to be required to set aside a small amount monthly, out of his savings, with tho object, of reducing, or freeing entirely, his residential property from encumbrance."

The motion to adopt tho report and balance-sheet was carried.

The retiring directors (MeEsr6. G. M. Kehbell, Harold Beanchamp. and E. Balcombe Brown) were re-elected.

Messrs. E. Bncholz and 0! S. Watkins were re-elected auditors. Mr. Balcombe Brown auoted figures to show that the value* of the shares if the company were wound up would be £11. The meeting decided to tender a vote of thanks to the company's staff.