PROFIT INCREASE.

Taranaki Central Press, Volume IV, Issue 341, 23 January 1937, Page 3

PROFIT INCREASE.

EXCHANGE PROBLEMS Annual Report Of Loan and Mercantile Company. By courtesy of the local office of the New Zealand Loan and Mercantile Agency Co., Ltd., we have, been able to see a detailed report of that company’s operations for the past year. The chairman’s address was briefly cabled from London on December 11, but the full report is now available by the latest English mail. The accounts for the year show a profit of £ 156,202/5/-, compared with £85,045 for the previous year’s operations. That is after providing for nearly £45,000 for' exchange , losses on transfers to London, a sum 1 which in depression years might have been crippling. The profit was appropriated as follows: £ s d Interest on First. Mortgage Debentures ... 40,000 0 0 Interest on Second Mortgage Debentures 28,000 0 0 Balance 88,262 5 0 From the current year’s profit and' reserves, one-and-a-half year’s dividend on the First Preference slock was paid, a start clearing up the arrears of dividend due to shareholders. Arrears now stand at two-and-a-half on First Preference stock and five-and-a-half years on Second Preference stock, amounting gross to £178,750. As exchange on remittances to England has cost the company £200,864 since 1930, those arrears can largely be accounted for quite readily. It is interesting to note the invest-m-ents of the company in New Zealand which amount in all to over £BI,OOO in Inscribed stock largely,

I but including, a £2OOO parcel of Wai- | kato County Council Bearer Debentures.. New Zeaiand Business. General expansion was made in the company’s business in Now Zealand, said the chairman, Mr Harold G. Brown, attributable not only to higher values and improved trading conditions but also to increased efficiency. “Recent legislation,” he said, “has seriously increased the burden of taxation. The maximum rate of income-tax (formerly 5/10 l-5d in the £), is now increased to 7/6d in the £, while our land tax jumps from Id to Gd in the £ on Government unimproved values. Debenture tax will also be increased. “We are doing all we can to economise and improve our efficiency, but wo are advised that, in spite of every saving, our extra costs this | year will be something like £25,000 I or £30,000." For a country such as ours tourist traffic is of gdeat importance. This applies- to local as well as overseas traffic. Evidence is not wanting to show that New Zealanders are becoming more and more “travel minded” and credit is due to our railways department for providing us- with opportunities to visit the various points, of interest at a minimum expense. Excursion trains will be run to Opunake from New Plymouth. Waitara and Wanganui on Sunday,. 31st instant when remarkably cheap fares have been arranged. On this date the Taranaki Surf Life-Saving Championships are being’ held at Opunake and, given fine weather, the competitions should prove I very attractive. An energetic com- | mi.tteo of Opunake residents is spar- | ing no effort to make the days outi ing an enjoyable orte for visitors. I Particulars of the train arrangcI ments will be found on our advertis- | ing columns in this issue.