COMMERCIAL.

New Zealand Times, Volume XXIX, Issue 4211, 18 September 1874, Page 2

COMMERCIAL.

THE HEW ZEALAND INSXJEANCE COMPANY. (From the Southern Cross, Sept. 12). A few days ago the directors of the New Zealand Insurance Company decided upon increasing the capital of the Company, and offering a portion of the stock to the public. They have often been urged to do so, and vre are glad they have decided upon making what appears to be a liberal proposal, and one winch, without doubt, will be readily availed of. The facts and figures put before the public this morning in the 2>roapcctus to be seen in our advertising columns, are of an astounding character; and wo doubt if any Colonial, or even English, institution of a similar character can challenge a comparison with the results here disclosed. "What are the facts? The Company began business iir 1859, with a capital of £4845, which in 1802 was increased to £8227. This is all that was paid-up, and yet, by a close and careful attention to business, the accumulations of the Company now amount to £214,000 I—ail of which is invested in the Colony in real property; mortgages, Hank, Loan Company. Gas, and other shares, and city debentures ; all of which Ja helping to swell the Colonial wealth, ami is adding to the available cajdtal of the country. Isut for this Company that amount would have gone to enrich the proprietors of foreign institutions, and the Colony would thereby to this extent have been the poorer. These accumulations have arisen from the profits of an extensive business, but in addition to this the Company has regularly paid Its shareholders 10 per cent, per annum on the original and the accumulated capital. The great progress of the company is shown in the tabular statement contained In the prospectus. The first year’s Income from premiums alone, in 18CO, was £8729. In 1807 U reached £43,105, while In 1874 It amounted to £107,043. This, be it observed, is altogether apart from the income available from invested money, which we read

is sufficient by itself to pay 7£ per cent, on the .£200,000 proposed paid-up capital of .£200,000. These are great results viewed over the extended period which we haVc referred to, but the present progress of the institution is still more remarkable. It will be remembered that many supposed that the starting of the South British Company would be a heavy blow to the New Zealand, but it appears only to have put the directory, upon their mettle, for we find by the directors’ balance-sheet for the half year ending 31st May last, that the income from premiums for that period amounted to £03,210, being an increase of £18,700 upon the preceding half year, and an increase of £11,405 upon the corresponding half year of IS7J. The secret of the whole affair lies in the judgment and energy of the directors of the Company, They have managed the Company in an energetic yefc prudent manner. They have established the reputation of the Company for promptness and liberality ; they have done good to the Colony by showing how Colonial institutions can be managed : they have achieved a great success and they richly deserve it. The following comparative table will show the ad- / vantages which arc offered to the investor by the present prospectus:—• CowpiiW/on of Similar Stock in the Market. Income Selling Prc- as per last Paid up. for. mium. Balance " ' Sheet. South British £1 2 (5. .£2 13. .133 p.c. .. £OO,OOO National .. 010 0.. 1 10, .200 p.c. 50,000 New Zealand 2 0 0.. 4 10..125 p.c. .. 107,000 Thus, in a Company with a largo invested casital, and an income of £107,000 a year, the investor can secure shares at what is practically a low premium, with the advantage of having his payments extended over a period of eighteen months. . There is one argument which is strongly in favor of tills extension of the Company: It'is that which has made the South British and the National Companies the remarkable ; successes they have been—that Is, the the shareholding interest over a largo number of individual stockholders. Heretofore the stock of the New Zealand Company has been so much sought after that it has gravitated into the hands of a comparatively small number of capitalists, and though many persons have desired to obtain investments in the Company no such favorable opportunity as the present has been afforded. One-half of the whole capital of the Compny is now to ,bc placed in the market throughout this Colony and the Australian Colonies, and in the mode of distribution we recognise a desire to deal fairly with every part of the Colony, for no part is excluded. The shares are to be placed as follows :—Auckland 15,000 : Dunedin, 10,000; Christclulrch. 7000; Wellington, 0000; Nelson, 2000; Taranaki, 1000; Napier, 2000; Westland, 1000; Wangamii, 1000; and there arc 5000 reserved for the Australian Colonies. Bv this means, while the shares will bo placed within the reach of all, the company will also materially strengthen its position. It will obtain the sympathy and the aid of many who now are not interested in it, and we think the directors by this movement must largely increase the already widespread business of the concern. The table we have given above, respecting the relative cost to investors of the stock now offered, with the price of other insurance stock on ’Change brings out the following results:—South British, with 225. Gd. per share paid up, and an income from premiums of about £OO,OOO, sells for 535., or about 133 per cent, premium; the National, with an income of £50,000, and with 10s. per share paid up. sells for 305., or 200 per cent, premium, while the stock now offered, 40s. paid uu, with an income of £107,000, is offered for 905., or* 125 per cent., and eighteen months from 30th Novembernext, is allowed for payment of the amount. We commend these facts and figures to the attention of our readers, and we do not doubt that capitalists will be alive to their own interests. THE WOOL MARKET. Messrs. Jacoinb. Son and Co., wool-brokers, London, report on July 27th ; There is no noteworthy change in our market since our last report of the Bth instant; inquiry for wool still goes on, but we do not hear of much more than retail transactions from second-hand wools. Dealers’ stocks are being rapidly reduced. The accounts from the manufacturing districts continue fairly active, and a good foreign competition is expected at the ensuing sales for which the arrivals arc at present

AVith stocks of old wool variously estimated from 5000 to 12,000 bales held over from last series, it would seem that oin* previous estimate of 235,000 may be increased by some 15 to 20,000 bales, pro tap to reducing tho fourth series, unless importers prefer to hold any considerable proportion of present quantities for future sales. Sales of 27,000 bales of River Plate wool at Antwerp commence to-morrow and extend to Sth August, there lias been considerable activity and business in that produce of late ; a deficit on the years’ import is still expected of from 10,000 to 15,000 bales. This deficit and that expected in-tho import from 'the Cape for the year arc features which are favorable to at least a sustenance of late nates in AugustSeptcmber sales. NEW ZEALAND HEMP. Messrs. G. and 3. A. Noble, in their circular dated London, 23rd July, report:—Since our last issue wc have hud rather more doing in this staple, caused principally by a few Colonial orders and a willingness on the part of holders to accept current rates. The Home trade, however, shows no improvement, and until the leader, Manilla hemp, evinces more life and better figures, there is little advance to be expected in this fibre. Quotations will be as follows:—Common, £ls per ton; fair, £lB 10s. to £l9 per ton; good, £2l per ton; fine, £2O; tow, £9 to £lO per ton. Landings for June, 1874, I2C tons; landings for June, 1873, 78 tons. Deliveries for June, 1874, IS7 tons; deliveries for June, 1873, 190 tons. Stock Ist July, 1874, 2135 tons; stock Ist July, 1873, 020 tons. The following are the particulars of some of the public sales since our last; —Halcionc—D3, 23 bales sound, sold, £l7 10s. G, 24 bales, bought in, £22. HB, 14 bales, bought in, £22, OD> 23. bales, bought in, £lO. HFMoverß, 2 bales, bought in, £2O. The Douglas —D&S over KK, 43 bales, bought in, £2l; 22 bales, damaged, sold. BY TELEGRAPH. , . AUCKLAND. September 17. Mr. Alexander Saunders reports -Bales ; Caledodonlan, 1705.; National Insurance, 20s. Buyers: Bank of New Zealand. 3525. Gd.; National Bank, COs.: South British, 505.; City of London, 235, Gd. Sellers : South British, 525. Cd.; Caledonian, 1755. CHRISTCHURCH. September 17. Quotations f.o.b. at Lyttelton: Oats, upward tendency, ss. 3d.; wheat, 4s. Gd. to ss. 3d.; barley, ss. Oil.; bran, £0; sharps, £7; flour, £l2 to £l3; potatoes, very scarce, £10; bacon and hams, in cloth, 10d.; cheese, Bd.; butter. Is. 2d.; bacon, uncovered, SUI.; hams, uncovered. Is.

For Sales to commence 18th Aug. And at Sea. IJALEd. N.S.W. and Queensland 41,2 :U 10,500 Victorian.. .. 57,7*22 . 4,000 7,353 South Australian West Australian .. 10,S47 1,550 2,500 New Zealand .. 00,423 15,000 Cape .... .. c.ooo 225,042 07,000