Manawaru Co-operative Dairy Company, Ltd.

Te Aroha News, Volume XXII, Issue 42754, 29 July 1905, Page 3

Manawaru Co-operative Dairy Company, Ltd.

ANNUAL MEETING OF SHARE- , HOLDERS,

__ Notwithstanding the boisterous weather that prevafled on Thursday last, there was a representative gathering of shareholders at the annual meeting in the school-house, Manawaru, Mr T. B. Beaman, chairman of directors, presided, and Mr J. Squirrell, secretary, was also in attendanee. The first business was to consider the annual report and balance-sheet. The directors in the report drew attention to the shortage of milk sent to the factory as compared with last year. This they attributed to a bad season, and also from several members of the Company failing to supply, which resulted in a loss on the Company’s Trading Account of £66 17s 6d. The report stated that the working and general expenses were much less than last year ; also that a considerable sum had been spent in putting the maChin# ery and plant in good order, and it is now in as perfect a condition as it is possible to put it. The general financial position is good, the sinking fund now standing at £614 11s lOd, The high standard of quality of the Company’s butter has been fully maintained, buyers having specially written to express their satisfaction with both the quality and packing of the output. The directors impressed upon the suppliers the need to send in to the factory as much milk as possible during the present season, and in the absence of the peculiar and trying conditions the Company worked under last year they hoped to show good results in the future. The report ended by stating that two directors would have to be elected in place of Mr McSweeney, resigned, ana Mr T. W. T. Hughes, who retiredin rotation, butdid not offer himself for rq-election. The annual statement (as article 7 of the bye-laws), 31st May, showed as follows -.—Number of milk suppliers, 28; average per cent of butterfat, 3*71; pounds of butter-fat received, 71,67 U ; pounds of butter made, 81,-

584; pounds of butter made per lb of butter-fat, I*l4 ; average price received per pound of butter, 9 26; cost of manufacturing one pound of butter, 1'39; average price per lb of fat paid to.suppliers, B'l9. Butter Trading Account, 1904: June Ist to May 31st, 1905 : Stock of butter on hand, £1 13s; purchase of butter-fat, £2463 3s 9d to £2464 s 9d; balance being gross profit, £707 9s 4d. Total, £3172 6s Id. 1905 May 31, by sales of butter, £3106 5s 7d; buttermilk, £lO 8s 6d; - stock of butter on hand. £55 12s. £3172 6s Id. Total, £3172 6s Id. 1 Profit and Loss Account, ISOS, — May 31st, to wages and allowances, £256 14s sd. Working Expenses : Registration of Boiler, £2; Freight and Carriage, £95 17a7d; Repairs, £SB 98 3d ; Boxes, £7O Is lid ; Stoies, £34 12s 2d. Total, £261 0s lid. General Expenses : Rates, £2 6s 2d ; Insurance, £l7 8s ; Audit and Incidental "Rxponses, £lO ; Postage and Telegrams, £3 2s lid; Legal Expenses, £3 Is 6d; Printing, Stationery, and Advertising, £7 11s 2d; Travelling Expenses; £4 Total, £47 9s 9d. Consignment Charges, £SB 10s Id; Interest, £9sllslod; Fuel, £55 6s 4d. ‘ Total, £774 13s 4d. May 31st, Balance Loss for 12 months to May 31st, 1905. £66 17s 6d; August 15, Bonus declared and ciedited to Share'

holders’share account, £125 19 4d. Total, £192 16s lOd. May 31, By Butter Trading, gross profit, £707 9s 4d ; sundries, 6s 6d ; balance being loss for 12 months, £66 17s 6d. Total, £774 13s 4d. Balance brought forward from last year, £l2O 0s 9d; Profit and Loss account, deficiency, £72 16s Id. Total, £192 16s lOd. Liabilities, 1905.—May 31 Capital loob shares at £2. £2OOO ; Jnallotied, 183 shares; allotted, 817 shares at £2, £1634; less amount unpaid thereon, £731 2s 9d. £902 17s 3d. Bank New South Wales, £1971 12s; secured by mortgage over property and plant, less sinking fund, £614 11s lOd. £1357 6s 2d. Sundry creditors

as per schedule, £37 8s lid ; milk suppliers do., £72 9ssd ;A. J. Farmer, mortgage 7 p c on land and manager’s house, £2OO. Total, £2569 15s 9d. Assets, 1905.—May 31. by property account, £779 5s 2d ; machinery and plant, £1393 19s 4d ; sundry debtors as per: schedule, £173 Os 4d ; stock of butter £55 12s ; stores on hand, £9O Os 2d ; cash in hand, £5 2s Bd. May 31, profit and loss deficiency, £72 16s Id. Total £2569 15a 9d. On the motion of Mi Leaman seconded by Mr Franklin, the balance* sheet and report as read were adopted. Mr Hewin asked to be supplied with cortain information concerning the • balance-sheet, with reference to the - sinking fund, mortgage, stoiesin stock etc. ,‘etr. The chairman and secretary endoav- j

cured to enlighten Mr Hewin on the various matters touched upon, but Mr Hewin could not see them in the same light as shown by (hem, and a shaip controversy took place. Mr Hewiu was proceeding to pick the various ; items in the balance sheet to pieces, and expressed some doubt as to its accuracy, when the chairman said the auditor paid by the company had certified to the different items as correct, Mr Mclndoo said if they took item by item in the balance-sheet and discussed them separately the business would I not be finished that night. To start, itemising was waste of time and mis- ] leading. 1 . Mr Mclndoe asked if the mortgage which appeared had been registered ?

The ohairman said it had. j Mr Mohrlng said he had been in- J formed by the Registrar, at Auckland that it had not. 1 Mr Mclndre said his reason fir asking was that a heavy fine could be inflicted for non-registration. Mr Osborne asked how it was nothing was allowed for depreciation in the balance-sheet. The chairman said the plant bad

been so thoroughly overhauled, that it was m perfect order, consequently it was unnecessary to allow depreciation. Directors.—The Chairman "stated that Messrs William Franklin and Martin O'Meagher had been nominated as directors, to fill the places of Messrs Hughes and McSvteeney. Aa there were no other nominators he would declare them duly eleoted. Mr Orsbome asked if Mr O’Meagher held the necessary 25 shares to quality for a seat on the directorate.

The Chairman replied that at present he did not, but that he had two months in which to qualify. Auditor.—On the motion of Mr Brown seconded by Mr Hughes it was resolved to re-appoint Mr H. G. Gillespie auditor at .the . reduced remuneras tion of six guineas. The Chairman remarked that this concluded the whole of the business of the generaL meeting and said that anything else brought forward would be of informal nature. The Chairman said that some shareholder had privately approached the New Zealand Dairy 1 Association, on certain matters connected with the Manawatu Co-op. In doing this the shareholder had aeted rather indis* creetly and in a very unbusinesslike manner, going so far as to ask would they give such and such a price for the Manawaru Co-op. and all that sort of foolery. It was absurd for a share* holder to depreciate the value of the Co op, by such tactics. The shareholder in question really did not understand the position and effect if carried but on the lines mentioned. If such a step was taken the shareholders might be called upon to dip their hands in their pockets for anything from £SOO.

Mr Mclndoe said that with refer ence to the unofficial overtures made to the New Zealand Dairy Association. Some of the Shareholders realize that the Company is drifting into a very bad way, and holding a most unfortunate position, and from which there was little prospects of it improving. He (Mr Mclndoe) said while in Auckland he had approached Mr Spragg and spoke to him of the unfortunate position of two factories, occupying the field, when one would fill the bill, and asked Mr Spragg to withdraw, and amalgamate with the Co op. Mr Spragg said he would not desert his suppliers at a time when trouble was at hand. He reminded Mr Spragg that the Manawaru Co-op were not compelled to sell, and that the directors were prepared to run the factory, and had been proved substantial support, He pointed out that the Co-op might be prepared to sell as a going concern not as a dead one. They were prepared to go on. He would like to see soma official overtures inside, No doubt the whole distrust would benefit if it could be got under one head. Mr Loaman said the letter he held spoke of letting the concern go for 10b in the £, not to include unnecessary expenses, losses, etc. Mr Mclndoe continuing said the question should be gone into, it was men'ioned at the last meeting, but all left like a lot dummies, and nothing was done. He had been accused of talking too much but he was not going to talk to make trouble, that was not hla object. He wanted things put on a bei ter footing, and made so tlhat the whole dis'rict c- uld benifit thereby. He asked were the shareholders going to move or wheie they going to sit still and wait for something to turn up. They shou d get down to business and g« tit placed under one head. He asked Hum is the Manawaru Co-op to run and can it be iun at a profit. Mr G Farmer said that 16 Share holders in the Manawaru Co-op had pledged themselves to milk between 400 aud 500 cows, and they would run the factory. If Mr Spragg was prepared to offer full value, £ for £. He might be in favour of cousidoring the offer, but otherwise, never.

Mr Leaman said to offer 10s in the £ was madness. If the N.Z. Dairy Association talked of doing business on equal terms they might consider it. r i :ey could rest assurred whatever was done, the Directors would look after the very best interest of the shareholders. The meeting closed with a vote of thanks *6 the chair.