Finance Stocks and Mining

Free Lance, Volume VI, Issue 264, 22 July 1905, Page 5

Finance Stocks and Mining

THE croaking, of some retailers about the state of trade are not warranted by the actual couidntions. Business is not active, but it is no worse than it was a year ago. The fact is, the spell of wet weatuer upt,€<t the health and temper of many people and a diismal view prevailed. A more aheerful opinion is beang entertained now, and next month optimism of thei best character wull prevail. The colony is m too sound a position, to permit of any dismal forebodungsi, and tme farmers have too many tempting chances of making money to wash to neglect them. The resources of the colony are being steadily developed, and 1 there is every reason to be satisfied and gratified -with the prospects. « * * The splendid' success of the Japanese loan of £30,000,000 shows the excellent condition of the European and Ameirvoan money markets. There is unquestionably a plethora 0* money in Londlon, and. this must be reflected in the colonies. As a matter of foot the colonial conditions are distinctly favourable, and it is literally true to say there is a heap of money seeking investment in New Zealand. We are now nearing; the profitable period of tihe year, and the outlook 19 most promising. There is, to begin with, an increase of over 900,000 m the number of sheep in the colony, and, after the lambing, which has already begun in> some places, the oouint should give us a very fair addition after allowing for local consumption andl export. The ascertained increase of the floioks means an accession to tihe capital of the nation of fully £900,000. The freezing industry should profit by the actual and prospective increase in the number of sheep, and activity m this diireotion will be beneficial to thousands of people. The promise for the dairy season is also excellent. Tiie continued high price ruling for butter indicates that European supplies are within moderate compass, leaving very little to go into cold! store. The season has opened very well m the Common wealth, and the dairy output promises to be very large. Altogether, the colonies* appear to be about to enjoy another period of prosperity. The report of the Royal Insurance Company for 1904 states that the net fire premiums have amounted 1 to £2,995,666, the looses to £1,735,030, and the surplus on this 1 account carried to profit and loss, £218,150. The profit and loss account ls credited w.th £131,354, interest not carried to othe.'accounts, and also with £125,000, shareholders' proportion of life profits, and,, after payment of dividend and income tax, and transferring £200,000 to the fiTe fund, and £15,000 to t(he supeiannuation fund, a balance of £736,455 is carried forward. • * * In the life department, the new business is £1,308,862, the total premiums, after deducting re-assurances, £661,090, and the life funds at tihe end of the year £8,858,868. The dividend for the year was at the rate of 38s per share, the same as was paadl in 1903. The total funds at the end of the year, after payment of dividend stood at £13,062,125. The report of the Liverpool, London, and) Globe Insurance Company shows that the premium income of the fire department, after deduction of re-insur-ances, amounted) to the substantial sum of £2,189,800 for 1904, this being the second year in which the two millions has been exceeded. The life premium income is nearly a quarter of a million per annum, and the assets of the life -department exceed) four millions sterling. The report of the Royal Exchange Assurance Company for the year 1904 showed new life business completed £871,814, and annuities were granted for £4720 per anuni on payment of £41,829. The fire income was £702,256, showing am increase of £55,115. and there was a surplus/of £60,318 carried to profit and loss. The net premiums in the marine department were £192,943, and' those in the accident department £117,199. The assets totalled £5,298,078. ♦ * • The Dunlop Pneumatic Tyre Company of Australasia has acquired the Pioneer Rubber Works of Australia, the business being taken over as from 28th February last. To enable this transaction

to be carried, the capital of the Dunlop Tyre Company has been enlarged by the addition of 60,000 oumulat.ve 7 per cent, preference shares, and/ 20,000 ordinary shares of £1 each. The enlarged capital amounts to £250,000, diividied into 140,000 cumulative preference snares, 20,000 deferred nan-cumulative 7\ per cent, shares, and 90,000 ordinary shaies, all of £1 each. * * • The statement that there is an abundance of capital seeking investment is supported by the sharennarket, for there seems to be a pretty free demand for all classes of investment shares. The inquiry for bank shares is strong, Nationals being wanted at £5 13s, wath the dividend., and New Zeailand-s at £5 16s. The National Bank dividend was patid out during the week. * « # Financial shares are as fLim as ever. Equitable Building sh-aies are wanted at £9 os, Metropolitan* Building at £12, Wellington Trust and Loan at £6 18s, Wellington Building! at 11©, National Mortgage at £2 14s 6d', and New Zealand and River Plate at 275. The annual meeting of shareholders of the Wei Lnsjtoia Budding and Investment Oomipany is to be held on the 28th ult. ■* ♦ ♦ Insurance shares, although not as slow as they were, are still somewhat neglected, and this condition wtJI, in all probability, continue until some of the balance-sheet® are available, and the investors are 1 in a position to' ascertain the actual effect of the competition of the State. South British Insurance shares had quittance at £4 12s, Standards, are wanted at 15s 9d, and there aie seOlers of Nationals at 22s 6d, and New Zealandis at £4 16s 6d. Meat shares are steadily gaining in favour, and, with the better outlook in consequence of the increase in, the flocks, more attention is certain to be directed to this class of shares. There are bids of £5 17s, 6d for Canterbury Frozen Meat, £7 16s and £2 2s 6d for the respective issues of Gear Meat shares, £6 15s and £3 5s for Wellington! Meat Export, and £1 13s 6d for New Zealand Refrigerating shaies. An occasional exchange of woollen share? shows that confidence in the future of the woollen companies has not vanished. Shares are, of course, going at lower valuations, still the prices offered are fair and reasonable. Mosigiels changed handis at 60s, amd Kaaapois are wanted at £5. * * Westport Coal shares sold at £6 15s 6d, Leyland and O'Brien. Timber shares at £2 Is 6d, and Saarland's ordinary and preference at 235. There are buyers of Manawatu Rails at 335, Avondale Brick shares at 14s, Leyiland and OBrien Timber at 41s 6d. Mitchelson Timber at Bs, amd New Zealand Drug shares at 475. * * Mining is quiet so far as Wellington is concerned!, but in the morning centres a certain amount of quiet speculation is going: on. The output of the yellow metal, or rather the quantity exported during the past six months, was valued, at £1,011,327, or £12,758 less than in the corresponding half of last year. The decrease is small and will, m all probability, be made up in the current halfyear. The dredging returns have shown veiry little to attract speculators, but. tboueh there has been nothing sensational, regular dividends are being paid by many of the companies.