P.B. CO-OPERATIVE SUPPLY ASSOCIATION.

Gisborne Times, Volume XXVI, Issue 2294, 12 September 1908, Page 1

P.B. CO-OPERATIVE SUPPLY ASSOCIATION.

ANNUAL REPORT,

Tho following is the report of tho committee of management of tho Poverty Bay Co-operative Supply Association, Limited, to bo submitted to tho adjourned half-yearly meeting to be held on Tuesday, September 15:

The balance-sheet for tho half-year, with auditors’ report thereon, is submitted herewith, and your committee, in presenting what they consider is the host balance-sheet submitted for soino years, are glad to be able t 0 confirm what they reported la6t year, namely, that the business is in a sound condition, and continues to grow, requiring only more capital to develop it. Sinco last meeting 131 now shares hare been taken up, making the total issue number 1123, on which £949 12s Id has boon paid up. The net profit for the half-year is £152 6s, and discounts to tho amount of £49 8s 4d havo been allowed on cash purchases, which discounts aro practically equivalent to a dividend of like amount, so that after writing off £Bl 9s 3d balance of goodwill and value of leasehold premises and making other adjustments, tho divisable amount may be said to have been £ll4 9s Id for the period. But twice tho amount of equally profitable business might have been done without materially increasing working expenses. Notwithstanding that your committee have been able to largely work off the liabilities for bad buying and overstocking in earlier-half-years, and although the amount standing in tho previous balance-sheet as the value of tho lease and improvements aiid goodwill of the business has been written off, and -nothing has been reckoned • for the- right of purchase of the freehold of the section, on which considerable sums havo been expended from time to time in enlarging and improving the store premises, it will he noted that the assets are considerably in excess of the liabilities. The matter of prime importance 'it present, requiring the immediate attention of ,shareholders is tho purchase of the freehold of the store section. It will be a serious mistake on the part of tho shareholders if they fail to acquire the property in terms of the lease. Special resolutions to amend the rules for the purpose of enabling the committee to raise debentures or otherwise for purchasing the property, and for other matters, are to lie submitted to you at this meeting. Your committee recommend the payment out of profit of a dividend for the past year at the. rate of £6 per cent per nnmpn qn paid-up share capital. Tho vice-pre-sident, and ' Messrs Leslie. Lowndes, Akroyd, and Reid, committee men, now retire, and an election to fill the vacancies has to he made. Mr Picsse, auditor, also retires, and an auditor in his place lias to be elected. The trading account shows a gross profit of £7Ol 11s sd, the sales being £3862 Is Sd, the stock remaining on hand after purchase of £3156 7s 6d worth was £951 l-5s sd; freight and wharfage charges amounted to £124 9s sd. Tho profit mid loss ac-

count showed a balance of £lo2 os, the chief charges being wages £462 Os sd, trade expenses £42, rent £4O os, bad debts £35 14s sd, horsefeed £3l Gd, and repairs and maintenance £25 18s Id. Ratos amounted to £l2 12s sd, and'£lo was allowed for. depreciation of plant. Tho liabilities (£1857 7s lOd) are: 1123 paid-up shares £949 12 Id, sundry creditors £Bl2 16s reserve for bad debts £3oj profit and loss balance £65 0s 9d. Tho assets aro represented by plant (less depreciation) £292 19s 4d, stock in tunlo £951 15s Gd, sundry debtors £486 18s 7d, bank balances £145 14s 6d.