N .Z. Farmers' Co-operative Association

Horowhenua Chronicle, 1 December 1916, Page 2

N .Z. Farmers' Co-operative Association

THE ANNUAL REPORT. Tlie directors' report to be present" ed at the annual meeting of shareholders to be held next Tuesday week, runs:—The directors have much satisfaction in submitting to sliareholders the thirteenth annual report and balance-sheet showing the position of the company's affairs. The total net profit for the year after makprevision for bad debts and writing clown premises, plant, office furnitu.ro and niutor account is £129-1 lis 9d, to which has to be added the amount brought forward from last year (£509 sd, making a total of £1803 los 2d, available for distribution. The total sales for the year, including wool, etc., shows an increase of £42,452. The result of the year's trading is, thei efore, a very satisfactory one, on which the directors offer their congratulations. Your directors recommend that the balance to the credit of profit and loss account be disposed of as follows.— I.—Dividend on capital at the r&te of 7\ per cent. 2.— Bonus coupons for the financial year ending 30th September, 1916, bo redeemed on the following barfs: (a) Rebate on commission 15 per cent, (b) Bonus on coupon purchases 4 per cent. 3.—Bonus to staff, the allocation of which to be left to the directors. 4.—Transfer the sum of £104 8s from profit and loss account, and £395 .L2s, from premium on shares account to the reserve account, bringing the total of same to £1000. s.—Balance to be carried forward.

These proposals ar© on true co-op-erative lines. In addition to the pro-fit-earning capacity of the company it must not be forgotten that there are many other advantages witch the-com-pany has been able to confer oil shareholders and others. The rates of produce and commission and 'other charges have been kept down to the level at which the company'commenced business twelve years ago, while customers of the company have been provie,eel with a reliable market for their produce and facilities for procuring all their supplies at lowest rates.

'J he outstanding feature 'of the year's trading has been the development of the wool sales department. The company's first wool, Bale was held '5n November last year, and consisted of 188 bales. The total for the season was 2200 bales. Our entries for the November sale this season totalled 1000 bales, and the number of balea promised us for the coming season is no less than 11,000, which total is being continually added to. The excellent progress indicates the rapid extension of the company's business, and is very gratifying to your directors. The Government having decided to commandeer .the whole of the wool output of the Dominion no public sales will now take place. The company will, however, in common with other broilers, act for caunti*y clients, rendering all the usual services excepting the sale by auction. The wool will required to be warehoused, displayed, etc., for inspection of valuation committee. It is anticipated that this will mean a further large increase in the number of bales passing through the company's hands, by reason of the fact that the clips of many of our best clients that have been regularly shipped! to 'London for sale will now bo handed to our care. The hide, skin, and tallow sales also show a large increase. A commencement in stock selling business will be undertaken as soon as sufficient capital is i subscribed to enure success.

The capital of the company has been increased by £6140 during the financial year, to which has to be added £6,498 allotted since 30th September last, making to date a to"tal increase since the issue of our last balaneessheet of £12,(338. The company's shades aro fit present on issue at a" premium of 2s Cd to new applicants and Is to existing shareholders, which, in view of the dividends and bonus payments, make them an exceptional investment. It is, however, proposed to raise the premium in both instances in the near future, so th,at early applicants alone will have the benefit of the existing terms. Your directors are pleased to report that matters in connection with the federation of cooperative associations are now complete, and it is anticipated that the 'farmers Co-operative Wholesale Federation, Limited, will be incorporated early in the New Year. Very materia] benefits wvll result from this important movement, which will still further increase the prosperity of all tlio nine organizations comprising it. The company has taken a prominent part in organizing the Dominion Farmers' Institute, for wh'ch £30,000 subscribed capital is now in hand. It is anticipated that an early commencement of operations will shortly be made and it ss' hoped that within twelve months your company's offices and warehouse will be housed therein. Three members "of the Company's staff, Messrs Guy Marriott, A. Marshall, and X. Peters, are at present serving the Empire at the war, and you. andi your directors are pleased to record that they are all well. As directed by the last general meeting, the company has during the year paid' a monthly contribution of £5 towards the relief of the distressed Belgians. Your directors tender their hearty thanks to the staff for tliefir untiring efforts on behalf of the company during the year. This year especially the work of the staff ha 6 been very arduous, and' yet cheerfully and efficiently done.