PERMANEST INVESTMENT AND LOAN ASSOCIATION.

Globe, Volume XXIV, Issue 2461, 24 February 1882, Page 4

PERMANEST INVESTMENT AND LOAN ASSOCIATION.

The eleventh annual general meeting of the members and shareholders of the above association was held last evening at half-past aoven o'olook, in the office of the association, Hereford street. There were fourteen shareholders present, and Mr O. W. Turner, chairman of directors, presided. The annual report was as follows : In their laat annual report, the directors prepared the members for the probability that the result of this year's operations would not be oqual to the average of those of previous years. They, however, feel that the statement submitted herewith will be read with satißfaction, for, notwithstanding the unprecedented depression in the money market which has prevailed throughout the whole year, the investments have resulted in a net surplus of .£4990 13a 6d. Tho division of the profit has been made according to the new rules, and has been allocated by the actuary on even terms between the two classes of shareholders. The new rules, as amended, will obviate many of the difficulties which have hitherto been experienced, and will enable the directors to meet the requirements of borrowers. The shares of second and third issue have matured, and been paid during the year. The directors retiring on this occasion are the Hon. J. T. Peacock and J. K. Hill, Rsq , who are eligible for re-election, and are the only qualified shareholders who have given the required ■notice. . The Chairman, in moving the adoption of the report, said it would be unnecessary for him to make any lengtbened remarks. They were all aware of the trying times the direotors had had to contend with during the past year, owing to the very large amount of money available for loans in the province of Canterbury. The figures presented in the statement of accounts would show how seriously this had thrown them out in their oaloulations, and how it might have disturbed the dividend for the present year. In reference to receipts', last year they commenced with a oredit balance of £1695 ; this year they closed with an overdraft of £7849. At one time they feared they would have to close the year with a rery large debit balance, but fortunately they were able to meet with good securities, which absorbed the whole of their available money during tho month of December. The receipts for the past year on investment ■hares B were £15.476, as against a few pounds under £14,000 during the present year. The next item was a very serious one. In the year 1880 mortgages were redeemed to the extent of £87,194, while during the year-1881 no less a sum than £134 228 was returned to the direotors. The shareholders would see at onoe that having to deal with ■uoh an enormous sum of money camed the directors no small anxiety. It would be remembered that in asking the shareholders to alter the rules a few months ago the directors pointed out how seriously as then existing they interfered with the ouooess of the institution, and it was shown by the figures now submitted that the rule whioh enabled any borrower to give three months' notioe that he intended to repay his money had been availed of to the extent of £134,000. The interest received during the year 1880 amounted to £24,242, as against £17,244 for this year. The only item he need refer to under the head of disbursements was the sum of £105.070 lent out on mortgage, as against £70,000 in the previous ypar. .booking at the state of the money market that faot alone showed that the Permanent Investment Society still rankod very high in the esteem of borrowers. The net results of the year's operations were very aatisfaotory. After providing 7 per cent, interest for the whole of the £IOO,OOO of \a ■hares, and 7 per cent, interest on the whole of the b shares, in accordance with the rules—that- was to say, allowing 7 per cent, on the amount at credit on 31st December, 1880, and compounding that at 7 per oent. on the 30th 'June, and adding to each share monthly 7 per cent, interest, and compounding that again on the3oth June at 7 per cent.—after doing that there was a net result of £4990 13a 61 to the oredit, which would admit of the division of within a triflo of 3J per cant bonus. The aotual figures showed that they had divided among the shares 6i Bk 1 for each £lO ; or, if it had been 6s 6d, it would have amounted to 10i per oent. The directors felt that under the trying circumstances of the past year such a result could not fail to be gratifying to the shareholders, [Hear, hear.] But at the same time the directors were not in a position to say they oould earn a similar amount during the coming year. It would be noticed that a large source of revenue had been out off from them by their having to pay back their deposits last year. They only started this year with £6097 of speoial deposits, and last year they had something like £40,000, upon which they probably made a act profit of £6OO or £7OO. With these few remarks he moved the adoption of the report and balanoe sheet. Mr J. J. Thomson seconded the motion. Tho report was highly satisfactory. The motion was agreed to without discussion. The Hon. J. T. Peaoook and Mr J. B. Hill, two retiring direotors, were re-elected, there being no other nominations. Mr John Lewis proposed, and Mr W. H. Lane seconded, a vote of thanks to the directors, and also to tho manager and officers, for their services during tho past yoar. The motion was carried unanimously, and the chairman returned thanks on behalf of Che directors, and Mr H. It. Webb on behalf of himself and the officers. A vote of thanks to the chair concluded the proceedings.