TARANAKI BACON COMPANY.

Taranaki Daily News, Volume XLVII, Issue 8056, 26 February 1906, Page 3

TARANAKI BACON COMPANY.

The annual meeting of the TarnBacon Company was bekl in the .T.? wn ll " ou Saturday afternoon. I here were over sixty shareholders present, Mr 11. Price (Chairman of Directors) presiding. The annual report was presented.— 'Your Directors," in presenting their statement of accounts for the first year's wort, regret that the result is not satisfactory, the balance sheet showing a hiss of Coll! 12s td. This is accounted for liv the very small number of pigs supplied to [lie Company, and the very large amount of arrears of rails. The Directors have been vcly much hampered through the great dillii-ilty in getting iu the share caj.ital," anil von will notice by the balance sheet that the amount .disss 12s lid is in arrears uii the call account. This amount not having been available lias In n certain extent injured the Company. fhe Directors feel sure that if 'll7 unallotted shares are taken up the company will be in a position to pay off the properly and lnue fuuds available to purchase sufficient pigs to keep the I'actory fully employed and so make it a paying concern, The property vras purchased at a low figure, and the 'juildiug and plant are now in lirst class working order and <|uitc capable of dealing with six times the ijuantily of pigs received during the past year at very little extra cost. The retiring directors are Messrs Paul Wilcox, Charles Warren and C. Andrews.

The Chairman, commenting on the balance-sheet, remarked that it had been impossible to get in the share capital, and this hampered getting new business. Being short of capital, the company had not been able to purchase enough pigs. He considered the land, stock, and plant worth every penny of £2700. There had been no bad bacon marketed, aud the farmers now had an excellent chance of making this a profitable concern. More shares should be taken up—he, himself, was prepared to take up another lot. The Company must get its property paid for very shortly, or there would be trouble. He moved the adoption of the balance-sheet. Mr Munro seconded, and the balance-sheet was adopted.

Mr Whitaker, it director, saiil the shareholders themselves were to for the deficit as few lisul responded to the appeal made to tlieni to take up capital and pay up their calls. Had these been paid, the debt to the bank could have been rediucd to £750, and llie Company could have gone into the open money market. The factory should not have been opened on its smalL subscribed capital, for it had not had enough capital to create a market. The stock had, at first, accumulated from this cause, but the supplies of pigs bad been too small to supply orders when at last the demand set iii, lie considered the farmer shareholders were well treated, as they received a half penny per pound more for their pork Jthan did the non-shareholding, suppliers "We have now eome to a crisis in the history of the Company, and wo must decide to-dav whether we are to carry 011 or close up." Mr Whitaker considered that the provis.mial directors made a mistake in agreeing to pay for the property in twelve months. He considered that the Company with enough capital subscribed, must be successful, but otherwise, he said " close down." Such a course meant loss of all share capita); be was prepared to risk a little more yet.

Mr Muuro said 11 would have been nothing short of a marvel if the iillair, had been any belter, under the circumstances The Company started willi about I'|J|!J capital, and t250 had to be paid straight away I'm' the property and £l7l for repairs. So Ihal the Company really started owing the bank £27. The Company was noiv improving someone else's properly, which they would lose unless I hey paid up C.SHO within 30 day's time. The bacon produced was much sought after in the market. Mr Munro concluded by paying a tribute to the management ol Mr Price, chairman of directors.

Mr Warren, director, said that the concern onh wants a little help from all hands, and it will be a'drighl. ' Jll answer to it shareholder, the secretary said, many of the book debts had been paid since January 31st. They were all good. Mr Stephenson was informed that the machinery hud been in very good order when purchased, a very small sum having been expended in preliminary repairs. He remarked that very soon the Company would be aide lo substitute jjis for steam motive power, saving half cost. Mr Jiuslace complained that lie had only rccen ed |d per lb. advantage over non-shareholders. Mr Price said that at lirst only a farthing was paid ; the half-penny was a later arrangement. The directors would pay the extra farthing if he were entitled to it. Mr Price brought the 'meeting backto the " capital " question, Mr Eickard wanted to know why it was impossible to get calls paid. The chairman said the directors could not '■ shake the money out of them." ''•v.rat directors amiouueed lite intention to sue for unpaid calls. The money would be got. The secretary said £>JO had been collected since the balance-sheet was issued, Mr Kickard and Captain Mace were of opinion that these defaulters should be sued before any further capital was applied for. Paid-up men were paying interest ou the defaulters' sharemoney. In answer to various suggestions, Mr Whittaker said that is was useless to depend 011 the arrears coining in promptly. At any rate, that would not be sulhcient. More capital must be subscribed. Mr Tribe said it was useless to carry 011 without bigger supplies of pigs. Mr Okey said thai many intending shareholders bad defaulted because canvassers' promises had 1101 been fullillcd. He considered the directors should have formulated some scheme of regulating the number of pigs each share could supply.

The chairman said that the directors had decided that shareholders could supply H'JOlbs of jwi'k at the advance price for each o! the lii\st three shares, ttnd an unlimited supply for any I'urllicr shares. Mr Okcy said lie knew a shareholder had brouglil inon-sharcholdcrs' pigs 1" secure the extra Jiuir-j.ciiiiy. Caplaiu Mace moved ami Mr Morris seconded Ibal tin- meeting adjourn for fol'liiigbl, and lhat ill the meantime some of Ilit defaulting shareholders be sued. Mr Cook said he was a shareholder. He and others had taken ii]> shares on the undcrstaiulidg thai a killing station would be erected at Ukato or liaholu, but this had not been built yet. Shareholders there had no confidence in the directorate. Mr Okcy complained that the dirertors were lacking in contideiiee, and talked of winding-up simply because they could not devise, as yet, a mean:; ol " wriggling out, of a corner." I'll/ proposal to ask two or Ihree shareholders to an iutervicw with the Hank was an admission of weakness. The directors should alter the articles so that suppliers mild Ik' foiripulsonly allotted shares. acrwdiiiy to their "ft. Okcy was appointed t.i the directorate, in place of Air Wilcox, Messrs Andrews and Wurieu bciiia re-elected. Then the lncclllig got bici, on linaiii.es, and aflcr long discussion it [was decided to adjourn i'or a week.