BANK OF NEW ZEALAND.

Patea Mail, 30 October 1880, Page 4

BANK OF NEW ZEALAND.

IT) I'KIl CUNT, mVIDKNT).

At the half yearly meeting of directors, held at Auckland, a dividend equal to 15 per cent, per annum was declared. The net profits on the half year had been £70,152. Mr James Williamson, M.L.C., President of Directors, in moving the report and balance-sheet, said : The result of the half-year’s operations is not so good as I had hoped. Still it affords ample ground for congratulation, that we have been able to maintain our dividend out of the legitimate profits of the half-year, without trenching on the balance held over from the previous period. The shareholders will no doubt have been paying some attention to the reports of other colonial Banks during the past six months, which all hear testimony to the general depression in business still prevailing throughout the Colon)’, and tins combined with the difficulty of finding temporary outlet for the large resources at our command and the high rates which, till recently, have ruled for deposits, sufficiently account for the limitation of our profits. You will, however, understand that I do uot consider that 15 per cent, on a capital of a million, an annual return to shareholders of £150,000, leaves room for any apology. We see no difficulty iu continuing to pay it, and as trade revives and opportunity occurs to make move active and more profitable use of tiie resources at our command, we will no doubt be able, in addition, to increase the already handsome reserve fund which surpluses from the profits of past years have built up, and which materially adds to the dividend-earning powers of the Bank. Shareholders resident in this provincial district, which has been comparatively free from the results of over-speculation, cannot well realise its effect during the past two years in other parts of the colony. With such a large proportion of the business of the Colony it could not bo expected that we could avoid, nor do wo wish iu any way to hide the fact of our having had, considerable losses ; but it is a satisfaction to he able to assure you that wc arc able to provide for them out of the profits, and wo have now the more cheering prospects of reviving trade and increased success in all the staple industries of tho Colony. Our resources in London arc maintained at a very high point, that being the only market in which we can command temporary employment for surplus funds ; hut, I trust the growing requirements of business in the Colony will crc long enable us to use our funds locally, to better advantage than the existing low price of money in Loudon lias enabled us (o do. A considerable increase lias been made iu the item of Bank premises during tho half-year, which is due to our having paid for the handsome building purchased in Sydney, and to the partial payment for premises

in the course of erection in Dunedin. With these remarks I beg to move the adption of the report, and balcnce-sheet as read. Mr J. C. Firth seconded the motion, which was carried unanimously.