CITY LOANS

Otago Daily Times, Issue 24419, 3 October 1940, Page 5

CITY LOANS

£IOO,OOO PAID OFF The sixth instalment of the Conversion Loan was paid oil during the year, states the annual report of the town clerk (Mr R. A. Johnston), the amount being £IOO,OOO, and in addition £12,388 2s 7d was paid off table mortgage loans. Loan moneys raised from the date of the last report to March 31, 1940, were; Housing Loan, No. 3.—£75,000 at 3 per cent, for 25 years on a table mortgage basis completing the authorisation for this loan. Tramway Loan, No. 2. 1939.—£6500 at 4i per cent, for seven years on a table mortgage basis, being the full amount authorised under this authority. Public Works Loan. 1938.—£25,000 at 4i per cent, for 15 years, leaving a balance of £75,000 authorised but unraised. Waipori Falls Electrical Loan, 1939 £23,700 at 4J per cent, for 15 years, leaving £85,000 authorised but not raised. Electricity Loan, 1939.—£26,300 at 41 per cent, for 15 years, being the full amount authorised under this authority. In addition to the above the Drainage Board raised £35.000 at 4i per cent, for 15 years. Financial Results Following a decline of £5544 in the net surplus of the combined trading departments reported last year it is very satisfactory to be able to show a surplus in the trading .figures amounting to £93,010 13s 4d, or an increase of £27.508 0s 6d over the-previous period. This surplus has been exceeded on only one occasion, viz., in 1925-26. when as a result of the Exhibition the counts showed a surplus of £118,348, which amount was 21.93 per cent, of the revenue for the year and 7.26 per cent, of the loan capital (at that time £1,628,800). The surplus for the year under review represents 13 per cent, of the revenue and 4.36 per cent, of the loan capital of £2,134.581. Comparing the figures for the combined trading departments with those of last year we find slight reductions in the percentage figures for renewals, interest and working expenses, and a slight increase in the sinking fund figure. The surplus has increased from 9.75 per cent, to 13 per cent., being 4.36 per cent of loan capital against 3.14 per cent, last year. The percentage of interest to loan capital has been reduced from 4.53 to 4.12.