MAY CLOSE DOWN

Sun (Auckland), Volume II, Issue 363, 25 May 1928, Page 12

MAY CLOSE DOWN

NATIONAL TIMBER COMPANY Severe price-cutting is considered the reason fov a loss of £713 Ss scl experienced by the National Timber Company ovo* the last year's operations. So serious is the situation that tlm question is now being seriously considered whether it would not be in the best interests of the shareholders to close the works altogethei* until the conditions im • prove. It is stated in the seventh annual report of the company, to be presented « the annual meeting of shareholders on May 31 that the company possesses assets of standing timber good for many years’ cutting, while the milling plant is all in good order. During the year Sir Edwin Mitchelson resigned his position as chairman of directors, Mr. G. P. Lamb being appointed in his stead. Directors retiring by rotation are Messrs. H. T. Smith and G. P. Lamb, who offer themselves for reelection. Mix John Hardley has also been nominated for a directorship The net profits in 1924-25 were £B,SCO and, after payment of a dividend of 8 per cent., absorbing £5,600, there was a balance of £9,86S to be carired forward. The profits in the following' year were £6,200; directors’ fees absorbed £6OO and rates and taxes £2,696 10s lOd. the balance remaining being £12,772. A profit of £lB5 was disclosed in last year’s report. The loss now shown reduces the balance at the credit of the profit and loss account to £12,243 18s 3d. The gross profits<were £4,952, as against £4,720 in the previous year. Expenses totalled £4,OSS. as against £3,013, while provision for depreciation was £1,583, as against £1,522. Four years ago the gross profits were £15,903: in 1924-25, they were £16,410, and in 1925-26 £14,159. Assets shown in the balance-sheet total £96.364 14s Id. and include the following Items, the corresponding figures for last year being given in parentheses: Freehold land, £5,745 (£5,710); buildings and cottages. £7.315 (£7,695); timber rights, £44,969 (£47.047); tramways, £12,901 (£13,308): plant, machinery, etc., £14,695 (£14,679); stock of logs and timber, £5,500 (£1.528); sundry debtors and cash in hand, £5,239 (£6,210). Included in the liabilities are the following items against last year’s figures: Capital, £70.000 (£70,000); sundry creditors, £3.796 (£5,870): bank overdraft, £9.142 (£6,133): reserve accounts for rates, taxes, etc. £1,183 (£1,215). CHICAGO WHEAT (United P.A.—By Telegraph—Copy fight-1 (Australian Press Association.) Reed. 9.5 a.m. CHICAGO. Thursday. Wheat.—May, i dollar 51$ cents a bushel: July, l dollar 53$ cents; September, 1 dollar 53| cents; December, 1 dollar 55g cents.