BEFORE DUE DATE

Evening Star, Issue 23689, 24 September 1940, Page 9

BEFORE DUE DATE

N.Z. REPAYS TWO LOANS CBHBIDERABLE SAVING IN INTEREST [Pek United Press Association.] CHRISTCHURCH, September 23. The recent heavy falls in the sterling holdings of the Reserve Bank of New Zealand have been due to the Government's decision to make early repayment of loans falling due. Two sums amounting to £l,000,000 each, not due until the end of the year, have been repaid well in advance, with a consequent considerable saving to the State Details of these transactions were given by the Minister of Finance (Mr Nash) in an interview to-night, when he was asked for the reason for the sudden fall iu the exchange holdings. The fall for the week ended Mondav, September 9, was £1,427,013, and the fall for the previous week was £1,033,374 The latest report of the bank recorded a rise of £"160,756. " We had two loans falling due at the end of the year which were redeemable at due date or earlier,"' the Minister said. " Actually the due date was in December, but our funds were such that we were able to redeem at an earlier date and so save the interest for the intervening period. The two different sums were for £1,000,000 each, and we were pleased to bo able to pay them well before the due date." Th Minister explained that the earlier repayments would not affect the year's exchange operations, as they would have had to be met sooner or later, and would not affect the issue of fifth-period import licenses. Another fall would be experienced next month, when a local body loan for a considerable sum would fall due in London and would be repaid. The Minister could not give details of the interest saving involved in the earlier repayment of the two loans, but it is estimated to approach £25,000. AUSTRALIAN STOCK EXCHANGES. Prees Association—By Telegraph—Copyright SYDNEY, September 23. Prices were steady, with some rises, on the Stock Exchange to-day, but buyers were cautious Morning Sales.—Commonwealth Bonds, 4 per cent., 1941, £lO2 Is 3d; 4 per cent., 1961, £107; Toohey's,. £1 8s 3d; Tooth's, £2 9s 9d; Bank of New South Wales, £?(5 ss; Australian Consolidated Industries, £1 15s 44d (cont., 16s 9d); Australian Iron and Steel (pref.), £1 5s 6d; Broken Hill Proprietary, £2 4s 3d; Colonial Sugar, £47 7s 6d. Afternoon Sales.—Broken Hill South, £1 Ss; Broken Hill Proprietary, £2 4s 3d; Henry Jones, £2 13s 9d; Australian Consolidated Industries, £1 15s 6d; Anthony Hordern, 13s 4d; Peters, £1 Os 7|d; Tooth's, £2 10s; Electrolytic Zinc, £2 lis 6d; Mount Lyell, £1 8s; Carpenter, £1 6s 6d; Woolworths, 17s 10|d; British Tobacco, £2 8s 9d. MELBOURNE, September 23. Mount Morgan, 8s; Goldsbrough, Mort, £1 5s 6d; National Bank (£lO paid), £ll 12s. GILLESPIE'S BEACH ANNUAL MEETO The eighth annual meeting of shareholders in the Gillespie's Beach Gold Dredging Company was held last night. The chairman of directors (Mr J. 11. Stewart) presided. Moving the adoption of the annual report and balance sheet, the Chairman said that shareholders would recollect that at tht annual meeting last year prominence had been given to the amount it had been found necessary to expend on maintenance md general expenditure and in particular auxiliary pontoons. The last-named addition had caused the directors much anxiety, and it gave him much pleasure to advise shareholders that this addition had resulted in increased buoyancy and improved itability, with an advantage to general dredging operation l !. The cost of this item *lone had amounted to about £950. Pour •weeks' dredging had been lost on that account, which had had its effect in 500 hours' less dredging time than would otherwise have been the case. This, however, wag expected to be compensated for by increased yardage and lesser delays as the years passed on. On resuming dredging operations it had been confidently expected that improved values would be secured immediately ahead, but this anticipation had failed to eventuate, and for several months the average values had maintained a very low standard. Only by keeping the dredge digging at its maximum had it been possible to secure returns very little above' average working expenses. Actually, the average gold recovery over the 712,071 cuhic yards treated during the year had amounted to only 1.93 d per cubic yard, on the basis of goli valued at £4 per ounce, which automatically increased to 5.05 d per cubityard for value received, but tiie increased va! le actually received had been offset by the increased cost c-f materials and increased tax»'Jrta, and .to earn a working profit on such low average values had been commendable to all concerned. Since the end of the financial year values had improved very considerably, and they were now looking forward to a continuation of these better values.. To make sure that the dredge was at present taking all that was payable, the Chairman said, a bore had been sunk to twice the depth to which the dredge was capable of digging, with negative results below present limitations. Three bores had also been sunk on the seaward side of the present cut, showing poor values, but it was known that thin seams of concentrated values existed along the beaches, and it was expected that these, although not located, would result in payable values being secured on the average. On the present cut southward enhanced values in parts existed along the seaward fringe, but they were not convenient to dredge on this cut. These would be dredged when working ' northward. The speaker outlined the areas to bo dredged, and said that from presen. indications this would take six or seven vears to cover. The dredge was being maintaired in good working order. The company's consulting engineer, Mr fc. Fletcher Roberts, hr.d recently inspected it, and in consultation with the dredgemaster, Mr C. Jensen, had gone carefully into all requirements for the near future. These comprised nothing beyond ordinary fair wear and tear replacements. Mr M. Sullivan seconded the motion. He gave some details of the work being carried out and to be done, and said that tho new dredgemaster was proving most efficient. In answer to a question by a shareholder why a dividend had not been paid out of the company's reserve, the Chairman explained that it had always been the policy of the directors to keep £2,500 in hand to mset any unforeseen happening. The motion was earned. The retiring directors, Messrs J. M. Stewart and D. A. Mitchell, were re-elected. Ths remuneration of the directors was fixed at the same amount as last year—namely, £275. , _ Messrs W. E. Reid and Co. were reappointed auditors.