FARMERS CO-OP. COY

Hokitika Guardian, 17 September 1931, Page 5

FARMERS CO-OP. COY

UNCALLED CAPITAL,NEEDED. (By Telegraph—Per Prqps Association)

CHRISTCHURCH, September. 16.

A loss on the pastf -'year’s > operations of £99,223 2is 6(1,. is sljown by the annual report and balance sheet of tlie • New. Zealand Fanhefs’, CoOperative Association 'of .Canterbury, Limited.• With ' a bMarice of prpSt .of ' £4,146 3s '; Id,- th at ' was carried; forward ) ff om 1 ast year, the debit s to' profit and ” loss: i$ £95,059. " , ' , ’ l : The Company’s groks-profit >for. the ;, year amounted ,-tP' £142i636 17s) 2d. >.' ■ “The diminished-gfosk profit is due;” states the - report; (lj -to- very large reservations of -dnteresU which c, it has' been deemed prudent tci make on farmers’ current accounts, jawing to uncertain future of prices ior farm products. If anything lik© the-present prices and costs continue, there will be some doubt of much: of the: interest‘•being recovered. (2) The .diminished;, gross profits to losses on s current aecounts, Avhich the ' Association has been' forced tci dose and realise upon. The forced ‘realisations have made tlie f losses more serious. (8) To lower earnings from commissions on wool > and ‘ stock; owing to lower prices. (4) Reduced gross pro- ■ fit's ' from lessened turnover -in merchandise,” ■ ' . • /

The report states alsd:, ‘“The queston of the uncalled eaptal on the ordinary shares, amounting to £283,000, must be considered.V; •