KAIPARA DAIRY FACTORY CO., LTD,

Kaipara and Waitemata Echo, 9 August 1917, Page 3

KAIPARA DAIRY FACTORY CO., LTD,

THE ANNUAL MEETING OF

SHAREHOLDERS.

In speaking of the progress of the Kaipara Dairy Factory Co., Ltd., had made during the past year, Mr G. Thomson (Chairman of Directors) at the annual meeting of shareholders held last Wednesday, at Helensville, referred to many interesting facts which have all tended to assist the work ing of the company. Mr Thomson instanced how the butterfat levy had absorbed a large amount of money, and made reference to the method of taxation by the National Government, recent industrial strikes and the shipping. The industry which they were interested in (butter making), the speaker said, must be catered for, and it required a good deal of careful study on the part of the directors to see that shareholders got full value for their supply. Storeage space had troubled them in the past but he assured those present that this difficulty was about settled as the Westfield Freezing Companies now had space to let and were inviting dairy companies to make application for space. With regard to the past year's working it had been'deemed advisable to have a fresh valuation of their property made. Previously there was an over-valua-tion put on the plant, but now everything was set down at the valuer's value. These valuations had come out so well that it was now only necessary to write off £165 at May 31st, 1917. The Company now did their own insurance, and were prepared to assist shareholders in this direction. He estimated the Company had made a profit of nearly £170 during the year from this source, which he considered good business. They (the Company) had obtained a license to sell stamps, and had made a .considerable saving in this direction. Had all the butter been shipped a saving of about £200 would have been effected in commissions against the previous year's working. He congratulated the Secretary of the Company, and considered the thanks of the shareholders due lo him as it was through his energy they had obtained a posting-box pillar at the Company's office. After the adoption of the report a discussion on various items of the balance sheet followed, in which a number of those present took part. THE BALANCE SHEET Mr Andrews explained why the item of directors' expenses was so large. The reason he gave for this was that they (the directors) did not send in their claims regularly. Included in this year's amount was a sum | incurred last year. i Mr Loughman said last year's balance sheet did not show that there was an amount o wing to the directors, and considered that they had no right to claim back | money. j

The Chairman : The accounts were not in in time to be included in the balance sheet for last year,

Mr Hartman contended that the amount should have shown as unpresented accounts.

The Chairman admitted that this course might have been adopted.

The discussion ended by a shareholder remarking : " Don't let it occur again '"

CHAIRMAN'S HONORARIUM A shareholder asked what the Chairman received by way of remuneration. MrMclndoe (a director) said the amount paid the Chairman was nothing in comparison to what he earned. He gave an instance of one item where the Chairman had saved £200 in commissions, and another where £4000 of shareholders' had been i pulled out of jeopardy. BUTTERMILK Mr Stevens asked what was done with the buttermilk, and the Chairman explained that this by-product was sold by tender. Several suppliers spoke, mentioning the fact that this item did not appear on the balance sheet. The Secretary explained that it was included in the sundry accounts. OUTSIDE OPINION Mr Mclndoe (a director) then mentioned the fact that this Company forwarded a copy of their balance sheet to other Companies, and had received congratulatory replies on the compilation and turnover. He said the directors were acting carefully and tried not to mislead the shareholders.

A question was asked the Chairman : " Why the balance sheet was not printed and circulated earlier ?" This was fully explained to the satisfaction of the questioner.

The Chairman said that in future every supplier would be

issued with a list as to the number of shares they held, and could vote on at meetings. i Mr Gross considered that if shareholders would take the trouble to compare the summary published they would find it very satisfactory, especiaily as the increased cost of production was set down at a fraction of a penny. COMMISSION One shareholder asked if was true that a member of the directorate had accepted a commission in connection with the sale of certain land to the Company. Mr John Hand denied that this was so. Anyone who said so was a pervertor of the truth, and if such a thing could be proved against him as giving such commission, he would donate £50 to patriotic purposes. NUMBER OF DIRECTORS A number of questions were asked regardiing the qualifications of directors, and whether, the number could not be reduced. The Chairman explained that in having 11 directors it gave all the districts fair representation. To change the number from 11 to 7 it would be necessary to move a notice of motion to that effect, and an extraordinary general meeting would have to consider same. After some discussion the matter was allowed to drop, and the directorate remains as previously constituted.