HAURAKI DAIRY COMPANY

Hauraki Plains Gazette, Volume XXXVII, Issue 5019, 27 August 1926, Page 4

HAURAKI DAIRY COMPANY

SATISFACTORY YEARfS WORK.

ANNUAL MEETING.

The annual meeting of shareholders of the. Hauraki Plains, Co-operative Dairy Co., Ltd., was held in the Turua Buildings, Turua, on Wednesday, Mr A. H. .Rogers, chairman of! directors, presiding over an attendance of 36 of the 49 suppliers. ANNUAL REPORT.

“Your directors have pleasure in presenting the eleventh annual report and balance-sheet of the company for the year ended June 30, 1926. In doing so they feel that, taken on ■the whole, the past year’s operations of the company have veen very successful indeed from all points of view, with possibly the one exception, and that is the falling markets for both butter and cheese towards the close of the season. This undoubtedly has been largely caused by the unfortunate state of the_industrial conditions prevailing in England, particularly the. prolonged coal strike. “This fall in price at the latter end o'!? the season will, to a small extent, affect the pay-out for the season for cheese owing to a, lartger quantity than usual being afloat and in store at the close of the financial year. These stocks, however, have been taken in at a. very conservative value, and there is every reason to believe' that they may .realise a little higher price thaji the estimated value, in which case the pay-out figure for cheese below will be slightly increased.

“It is satisfactory to again report an increase in the supply of milk for cheese manufacture for the season, /the output of cheese being 562 tons, an increase, of nearly one hundred tons over last season. The average adyance- payment to suppliers' for the season is as follows : Cheese suppliers, Is 6d ; butter suppliers. Is 4.7 d. “The balance of £3699 4s 2d from the Working Account will give an additional payment of I%'d to cheese suppliers and 2.05 d to butter suppliers, making a total pay-out for the year of Is 7%d for cheese and. Is 6%d for butter. These figures are based On the unsold cheese, realising the amount a,t which it has been taken in the balance-sheet. “Your directors recommend that the folio, wing amounts be paid, at the I annual meeting : Butter, a final bonus of 2.05 d ; cheese, Id per lb ; butter-fat over the whole season; together with interest on paid-up share capital at six per cent., amounting to £567 3s 3d, equal .to Ud per lb butter-fat. “The average grade for the season for cheese was 93.11, and for butter 91.5. Not a single 'crate of secondgrade cheese was made out of a total of 7775 crates. This grade for cheese placed the company second on the grading list for the season folr the whole of the Auckland province. “Your directors wish to place on record their high appreciation of the ■manager and staff in. manufacturing such a high-grade article and placing the company in this position.” FINANCE. The balance-sheet for the year ended June 30 showed that of the authorised capital of £20,000, £10,021 13s had been paid up and £987 7s was unpaid on ordinary shares. The bank overdraft was £4317 12s 9d, being £525 3s 8d on current account, £1712 9s Id on the Cow Finance account, and £2OBO on .the Cheese Advance account. The assets totalled £21,491 13s 9d, and the balance from the working account for distribution to Suppliers was £3699 4s 2d. The working account showed that £41,054 had ben paid to milk and cream suppliers, and £1177 16s lOd to the N.Z. Dairy Co. for whey cream. Factory -charges, totalled £5876 12s 6d,-office expenses £319 9s 2d, general charges £2l4' 0 ! s 9d, repairs and maintenance £543 13s, 3d, grading charges £55 6s lOd, rates, interest, and insurance £416 6s sd, charges for freezing shipping £1367 16s sd, and overseas freight and shipping charges £4230 19s, Id. Income-tax amounted to £l9 13s Id, and interest to shareholders £567 3s 3d. Products sold or awaiting sale were : Cheese, £49,961 19s Id ; butter, £7193 Ils 6d ; whey butter, £3335 18s lid. Other items brought the total re'ceipts to £60,620 5s lid.

Tn moving the adoption of the annual report the chairman of directors,, Mr A. H. Rogers, said that; on the whole the season had been very successful, and shareholders were to be congratulated on the increase in quantity of butter-fat supplied. The grading was. very satisfactory indeed, and the suppliers, together with the manager and staff, werle to be heartily

congratulated. Dealing with the financial position, Mr Rogers sajd that the situation was sound. He explained the items in the balance-sheet, and stated that the unsold stocks had been very 'conservatively valued. It was possible that out exactly the same and had paid the ceive a further %d. Shippings were not so up-to-date as in previous years, and at present there were '234 crates o£ cheese in store in Auckland. If the market acted a,s in previous years it would be to the benefit of the suppliers. Commenting on the pay-Cut, Mr Rogers pointed out that the Opouriab factory, an old-established company with a big local market and a fine reputation for its products, and which had made 100 tons more cheese than the Turua factory, had made a paythe cheese suppliers would re same rate of interest. In seconding adoption of the report and balance-sheet Mr H. H. Hicks commented that if anything unforeseen happened during the coming year suppliers s.hpuld remember that the directors might not be responsible, as the Control Board would be in operation. Replying to questions, the factory mahager said that electric power had ■meant a saving in the cost of fuel, considerable experimentation in coal nad been udertaken, and it had been found the cheapest to use the very best class of coal. The cost of the company's product to the cool stores was the lowest on record. Mr Robinson suggested that a great saving in fuel and wages, could be effected if the lazy suppliers were made to get to the factory about a ; n hour earlier. There being no' further questions, the report and balance sheet were adopted. ELECTION OF DIRECTORS. An election to fill the vacancies on the directorate caused by the retirement by rotation df Messrs. A. H. Rogers, and S. Murray, was then held. Mr Kernick moved that' the retiring directors be. re-appointed. This was seconded in sevenaj places. Mr! Burfoot moved, and Mr Bell seconded, the nomination of Mr J. Flynn. Mr F. Olsen moved, and Mr W. Johnston seconded the nomination of Mr J. A. Stewart. A ballot was taken, and Messrs, Rogers and Murray were re-appointed by large majorities,. Mr Rogers and Mr Murray thanked shareholders for the confidence shown in them. Mr F. S. Battley, of Auckland, was elected auditor. .. , ANNUAL SOCIAL. It was decided that the annual social be held after the next annual meeeting as uS.ual, but as the function was becoming costly and the attendance of outsiders, very large complimentary tickets should be issued to suppliers, for himself, family and friend, to sharemilkers, 'factory staff, and prominent townspeople, and that all others should be charged for ad-

mission. t GRADING OF MILK. ■Mr Burfoot criticis.ed the action of the directors in not Introducing the system of gracing milk for cheese production as recommended at the previous annual meeting. The chairman said that the system was, not commenced, but the manager had been given instructions to exercise a strict supervision, and the result was, such that the factory’s product graded the second from the top for the whole of the Auckla.nd Province. Mr Burfoot advocated the adoption of grading as .a means of . dealing with the question of turnip feeding. He also advocated shed-inspection. The chairman agreed with.the principals, but pointed out that the cost would be great. The manager sajd that it would be difficult for .him to ■ conduct sihed-in-spection justt when it was necessary. In connection with turnip-feeding, it was difficult to detect this if the feeding was done in certain manners, but ■it was possible that the quality of .the produce became affected at a later date,. Tests on the fitness of milk for cheese-making took a considerable time to conduct, and s,o could not be generally adopted. The man on the stage had to use his discretion on the quality of milk. The, chairman said that secondgrade milk could not he dealt with at the factory if grading was adopted. If the manager considered some milk would injuriously affect the rest. he was, in the habit of refusing to accept It. The discussion would be noted by the directors, and they would consider the matter at the next meeting.