Business Gossip

Sun (Auckland), Volume 1, Issue 69, 13 June 1927, Page 2

Business Gossip

Glen Afton Debentures Oversubscribed. —Within a few weeks a now issue of £75,000 of debentures in the Glen Afton Collieries Ltd., have been over-subscribed. The issue was divided into two sections, half of 6Y per cent, free of income tax, and half 7£ per cent, ordinary.

Kauri Gum Business.—The market for kauri gum remains quiet, with no alteration in values since last week’s report. There is a fair demand for fine clean bled busli gums with most other varieties meeting with a slack and depressed inquiry. A few sales of local parcels have been reported during the week at late quotations.

Island Trading Profits.—Net profits amounting to £66,62S are the tangible results of the trading operations of Morris Hedstrom Co. Ltd. for the year ending March 31, 1927. A dividend at the rate of 6 per cent, per annum on preference shares, absoi'bs £12,897, and dividend at the rate of 7 per cent, per annum on ordinary shares absorbs £35,442; a sum of £IO,OOO is carried to general reserve, making it £75,000; and £30,938 is carried forward, against £22,650 brought into the account. The capital has been increased from £719,613 to £739,613, by the issue of shares in part payment of the business of Smyth and Carruthers, Ltd., Apia, Samoa, acquired as from March 1 last.

Big Profits in Gold Mining.—Big profits still await those in search of gold. South Africa provides striking proof of this point. Retui'ns for 1926 of three mines operating under the South African Union Corporation, Ltd., disclose dividends of 6s 9d per share and over. The best ‘dividend was 10s Sd per share. The gold output for the year of the Far Eastern Rand was £20,423,000, showing a working profit of 16s 4d a ton; the Moddersfontein Deep Levels produced £1,189,460, showing a working profit of 29s 9d a ton. The Geduld Proprietary Mines produced £1,402,983 at a working profit of 11s 8d a ton. London arid Lancashire Insurance. — The year 1926 was a year of pi'ogress and profit for the London and Lancashire Insurance Co., stated the chairman of directors, Mr. F. W. P. Butter at the annual meeting of the company held recently. The fire department showed a profit, before deducting Imperial taxation, of £440,056, and the accident department a profit similarly arrived at of £223,033. The profit in the marine department was £68,546. The assets of the company including the life funds now stand at over £25,000. An interim dividend of 16s a share, payable on November next, was declared..