OTAIHAPE MEAT AND PRODUCE CO. LTD.

Taihape Daily Times, 19 September 1918, Page 4

OTAIHAPE MEAT AND PRODUCE CO. LTD.

ANNUAL MEETING OF SHAREHOLDERS. The annual general meeting of shareholders of the Otaihape Meat and Produce Company, Limited, was held in the supper room of the Taihapo Town Hall yesterday morning, Mr D. G. Gordon, Chairman of Directors, presiding.

In moving the adoption of the Annual Report and B’alancc Sheet, the chairman said in the past year's operations 94,000 carcases had been put through, which was easily the company’s record; the previous year they had put through 30,000. One of the pleasing features of the year’s business was that the greater proportion of stock had been frozen entirely on owner’s account. ’ All good stuff frozen on owner’s account had come out well on the right side for the owners, the average being well above the schedule price. It is hoped that farmers will continue to freeze on their own account. In connection with the need for additional storage for wool it would be necessary additional share capital. There were 400 shares Still available, and if these were taken up the required storage could be erected; it would be a source of profit as the Government paid storage fees. He was not begging for capital, but it was to their mutual advantage to ha,ve necessary share capital taken up. At the end of the past' year the company stood better with its shareholders than ever before. Shareholders can congratulate themselves, they were in a better position for the coming season than farmers in any other part of the Dominion. According to newspaper accounts there was a fair prospect regarding shipping, and every thousand carcases got away would make r«om for 1300 or 1400 more. There was ample storage for the normal quantity of carcases;. shareholders could confidently rely on a sufficiency of storage space; they need have no fear .whatever. This year the Board could conscientiously say that it 'was with pleasure they presented the Report and Balance Sheet for shareholders ’ consideration.

Mr. James Smith, seconded the resolution and took occasion 'to question tlio action of the Government in taking excess profits tax in the previous year -seeing the Company' had made a loss of a few thousand pounds. He thought the Government should return the previous years taxation as conscience money. He asked what the estimated cost of the proposed wool store was.

The chairman said an estimate had only just come to hand; it was higher, than anticipated running into £4000; they might have to come down something on that estimate. Mr G. H. Brown understood that they could send their wool to Wellington for valuation and that there was no charge for storage.

The Managing-Secretary, Mr Carroll, pointed out that the Government would not not take their wool over until it was valued. The real 'trouble w'as that there was no storage accommodation for wool while awaiting valuation. Their wool had been sent to other companies for storage and they' w r ero charged 12/6 a bale; the Government allowed ss, therefore there was a net loss of 7/6. If they had storage accommodation at the works their -wool could be displayed and valued there.

Mr Brown thought the proposed storage would bo no earthly use in normal times, therefore it would bo best to send the wool to Wellington to be valued.

The chairman explained that the storage was w r anted now, and should normal times come that storage would be very advantageous. Even if .storage provision was left till after the war it was a question whether it could bo erected any cheaper. The Report and Balance-sheet was unanimously adopted, , The three retiring directors, Messrs. H. I>. Bennett, A. F. Gibbs, and E. Ellburn were re-elected; there being no other nominations. The chairman remarked that Mr H, D. Bennett, owing to his residence in Wellington, was a particularly valuable member of the directorate; in spite of his residence in Wellington he had only missed one meeting in three years.

ORDINARY BUSINESS.. Mr B'ennett said, in connection with the Directors’ honorarium he did not think shareholders were cognisant of the services rendered. He happened to be one of them and had some diffidenc in speaking on the [subject; but not being troubled about the £.s.d aspect he could speak freely. Last year the allowance was about £l2. They could not tell him that Directors were adequately paid with such a sum, for the services' they rendered the company, The amount for the ensuing year was now fixed but it ought to have been 50 not 12. It seemed that some shareholders did not recognise the amount of work land time directors had to put in. £l2 a year had the tendency to cut out the best business

ability available. Directors were out to make money for the company '■ aad hot for their individual selves. The fees for the ensuing year were now fixed but he hoped that what he had said would have some influence on next year’s vote. He moved that shareholders vote £IOO to be paid to the chairman. In his day as Managing Director the remuneration was. £250 a year, whether he earned it or not was not the question; theirSjyi-e----sent Chairman of the Board had done good work; the Board had eonfidcncecu (r in their chairman, and the least they could do was to vote him £IOO for his

past year’s work. Mr. James Smith, seconded, and said a chairman who worked for the company as their chairman had wellearned the sum mentioned. The chairman said he would havebeen better pleased had the amount been loss but the work required of him was very considerable. The bulk of the work was performed by the Managing-Secretary and it was only right that he should be considered.

Mr Ellis .Robinson asked whether there was any possibility of further bringing down the price of meat in the retail shop the Company had opened.

Thp chairman said there was a possibility that prices might be further reduced; it depended on the support met with. The public support accorded since the opening of the shop was far in advance of what had been expected, but it was advisable to go ort for about three months, then if public patronage -was kept up a further reduction in meat prices could be made.. The Chairman informed the meeting that the Board had made most satisfactory financial arrangements in connection with buying and trading; the finances were never more satisfactory than at the present time. , \

WOOL STORAGE. ' ’ ’ The chairman said that sooner or later they must have more storage room for wool. Other works had storage for aLleast half the season’s clip. Additional storage would be a great convenience as well as a considerable source of revenue. To wait till after the war would mean inconvenience and loss, and they might then not be able to erect it any cheaper. The Board’s intention was to build woot storage in a way that would also provide more killing space above the stores when it was-required.' It was proposed to put; out the balance of the 6 per cent, guaranteed preference shares; this would bring in about £3OOO. They had just received an estimate of cost and it hadexceeded their expectations..; Something would have to be done for wool storage and also in furnishing men’s quarters. They were losing good' men, and unless they furnished moreprivacy and accommodation married men would not come to Taihape; but the wool store was the principle item ; in cost.

Mr James Smith said if it Avas a matter of giving men reasonable housing accommodation the work, should be gone on with, • Mr Hints proposed that a direction be given to the Board to proceed with the erection of the wool, store and

men's quarters. The chairman was glad to have the direction of shareholders on the, subject. The Board was not coming to the meeting to beg and go on its knees for money, that time had passed. He ■would like to see some new blood in the share list, but as “he shares to offer bore a guaranteed 6 per cent, preference they would be offered to present shareholders first. Mr James Smith and Mr F. J, Hintz each applied for 20 of the issue and altogether over 100 shares had been applied for before ihc meeting closed. The most successful meeting held since the inception of the company then closed.