Half-Yearly Meeting. (From the "Auckland Star," April 25.)

Te Aroha News, Volume I, Issue 48, 3 May 1884, Page 3

Half-Yearly Meeting. (From the " Auckland Star," April 25.)

The regular half-yearly meeting of the,proprietors of; the ' Bank of New Zealand was held on April 26th, in the now, meetingroom, at the northern side of the bankinghouse, Queen -street ; the Hon. James Williamson, President of the Board of Directors, being in the ohair. About thirty other gentlemen of the proprietary were present. Mr D. L. Murdoch, General Manager, read the following report and balance-sheet : — The operations of the past half-year enable the directors to lay before shareholders the following result: — The net profit for the half-year ended 3 1st March, after full appropriation for all known bad and doubtful debts, and. in reduction of bank- premises and furniture accounts, amounts to £79,504 103 ; to which has to be added, balance from half-year ended 30th September, 1883, £8,900 10s 4d, giving a total available for division of £88,405 0s 4d; which it is proposed to appropriate as follows : — To payment of dividend at the rate of 10 per cent, per annum, £50,000; bonus of 5s per share, equal to 5 per cent, per annum, £25,000 ; balance carried forward to profit and loss now account, £13,405 Os 4d : total, £88,405 0s 4d. The dividend and bonus will be payable at the head office, Auckland, to : morrow (Saturday), the 26th instant, and at branches on receipt of advice.—3 Tor the Board of Directors, James Williamson,' Prosident. Aggregate Balance-sheet of the Bank of Now Zealand, at 31st March, 1884, including London Office at 31st January, ISB4 :— Liabilities.— Dr. : Capital paid-up, £1,000.000; reserve fund, £625.000; notes in circulation. £511.616 : bills payable in circulation, £1,951,309 Cs7d; deposits and other liabilities. • 9,853,799 17s lid ; balance of profit and loss, £88,105 0s Id : total, £11.030,130 4s lOd. Assets.— Or. : Coin and cash balances at bankors, £1.070 670 165 ; money on short call in London, £760,007 ; bullion on hand and # in transit, £110,002 13s 3d; Government securities, £581 716 8s 9d ; .bills receivable and securities in London, £1,610,014 7s 6d; bills discounted, and other debts due to tho Bank, £9,557,542 7s lid; landed property, bank promises, &c, £280,176 Us 6d: total, £14,030,130 45 10 d. m J% ._, . Profit and Loss Account.— To dividend on 100,000 shares, of £10 eaoh, at rate of 10 per cent, per annum, £50,000 ; bonus at the rate or 53 per share, equal to 5 per cent, per annum, £25.(j00 ; balance carried to profit and loss now account, £13,405 0s id: total, £88,405 0s Id. Bv balance from half-year ended 30th September, 1883, £8,900 103 4d ; net profit for half year ended 31st March, 1884, £79,504 103 : total, £88,405 03 4d. Reserve Fund. -To balance £625,000. By balance from last half-year, £625,000. The Chairman : Gentlemen,— lt is again my pleasing duty to submit for your approval and adoption the report and balance-sheet which have just been read. Notwithstanding the unfavourable influences (to which I will hereafter refer) under which business has been carried on during the past six months, we are able to put before you a statement of profit which, though not proportionately as good as some which have preceded it, will, I am sure, be considered satisfactory. We are able to maintain our dividend and bonus, and to carry forward the respectable balance of £13,405 Os 4d with which to commence the now half-year. Had we been intent on the mere swelling of our Profit and Loss Account, it would have been a very easy matter to do so by raising our advance rates ; but, recognising the difficulties with which traders generally have had to contend, we have considered it better policy not to increase rates beyond what affords a reasonable margin of profit, as we fully recognise that the prosperity of the bank depends on that of its enstomers, and in the existing condition of business we do not consider transactions will bear heavier rates than those now current. With a view to lower lending rates we would gladly have aided in the reduction of deposit rates, but have been forced to maintain them at the level of those current in Australia, where, there has been considerable pressure for money, and there appears at present little prospect of any early relaxation. The figures in thej balance sheet present some noteworthy features. There is a slight contraction in the circulation, attributable to the general absence of activity in the retail trade of the colony. Exchange transactions, under the heading "Bills Payable in Circulation, ' show, as is customary at the corresponding season of the year, a considerable increase on the balance as exhibited in last statement. There has been an increase of over a million in deposits and other liabilities, due, in some measure, to the operations of the Government account. The immediately available resources of the Bank, as exhibited in the first five items on the credit side, continue ample for every requirement. The bills discounted and other debts due to the Bans show an increase about equivalent to that in deposits, and the landed property and Bank premises have been increased by £12,000, chiefly due to the necessary alterations at Head Office, and to fitting up premises at Adelaide, where theßank is novvin operation, and with promising prospects. As far as the business of New Zealand is concerned, we are still contending with the result of past over-importing— our stocks, as a rule, being yet much too heavy, but the break long since applied is fast telling, and it may reasonably be anticipated that importers will soon be relieved of the extra weight they have for some time been carrying. The prices of wool and wheat are exceptionally low, and, in addition, agriculturists have had the further disadvantage of a partially unpropitious season, which will render the general average of farming operations throughout the colony unfavourable. As against these discouraging features, we notice the rapid development of the export trade in frozen meat, which is becoming an important factor in the transactions of the colony, and we have, further, the establishment of numerous dairy factories, which in their operations give fair promise of being a permanentjbenefit to farmers. A considerable amount of capital continues to i flow to the colony, our "population is rapidly increasing, and full employment is obtain able for every class of labour, and at highly remunerative rates. Amid some discouragements, therefore, we are not without good ground for having full faith in the future of the colony. Seasons which have now been persistently adverse for three years are not likely to continue so; the staple products of the colony, wool and wheat, having almost reached a price equivalent to cost of production, any change is likely to be far the better ; and refrigeration and dairy factories, it may reasonably be hoped, will materially enhance the income from land, and so increase its value and the prosperity of its occupants. The general outlook at present suggests caution, and we are duly exercising it, but at the same time we are extending k a liberal support to" every deserving industry, confident that such continued policy will conduce to the best interests of both the Bank and its valued customers. With these' remarks, I beg to move the adoption of the report and balance-sheet as read. (Applause.) The motion was seconded -by Mr Samuel Browning; and carried $ew&. .con. Mr Joseph Howard ;f*Gentlemeri,~After the general' mahager'f [ s&to'eht and the; Chairman's speech; rneed^sayib'utliijtle'in proposing a" hearty and qdr^ial^Qte ofthanlfc, to the directors, pmcerj^dagento; W'th.e ,able mannexLin wWo|rthe£i'Mye' f poW4

f ftnifgin^ 'forward of 'such results > afrj arestated'', in tKto* balance-sheet are, indeed; something, extraordinary; They are increasing i: year by year, and if the progress continues at the same rate in the future it wilLprove;to be something astonishing. It must^be a souvce of great gratification to all of us to see" how this institution is bandied by these gentlemen It must certainly cause them great anxiety and continued care. (Applause.) I have therefore muoh pleasure in moving the vote of thanks to which I have already referred. Rev. Shirley W. Baker: I beg to second the resolution. I am sure the balance-sheet which has been presented to the shareholders to-day must be satisfactory to all of us. Therefore, I have great 'pleasure in seconding the proposed vote of thanks. The resolution was then put and carried. The Chairman : Gentlemen,— l have very great pleasure in thanking you for the vote which has just been unanimously carried. It may be thought that as it has been so frequently accorded, that importance is .not attached to it, but I assure you that that is not the feeling of myself and brother directors at all. We hope that as long as we are spared and continue to have the conduct of affairs here, we shall be entitled to a vote similar to 1 that with which we have been honoured in the past. At all events, the shareholders may feel confident that the endeavour of the Board will be to merit it. (Applause.) Mr D. L. Murdoch (general manager) : Gentlemen,— lt affords me very great pleasure, as the mouth-piece of the staff, to return you their grateful thanks for the appreciative vote with which you have favoured us. And on this, the occasion of j the first meeting in the new Board-room— for the discomfort of which some apology is due to you— l might be allowed to express the hope that as many favourable reports i will be presented to you in it as there ! have been in the room that we have just vacated. At all events, you may rest assured that the best efforts of the staff will be directed to produce such results, and, although it would be most Unreasonable to expect that the course of the business of the Bank should be in unbroken sunshine, yet I have too great faith in the elasticity of the colony to believe that any depression from which we are at present suffering can be more than temporary, and all the more, as it is distinctly traceable to special causes, as referred to in the Chairman's speech, which we may reasonably expect will soon pass away. The business of the head office during the last six months has been conducted at very great discomfort to the public and to the staff, but I trust thaUong before we again meet the alterations will be completed, and that you will acknowledge that the arrangements are entirely satisfactory, and that you have a banking-house second to none in the colonies. (Applause). Again, gentlemen, I have great pleasure in thanking you for your vote. The scroll minutes were then read and the meeting dissolved.