Bank of New Zealand

Taranaki Daily News, Volume LVII, Issue 21, 13 June 1914, Page 7

Bank of New Zealand

AX.VI'AI, UliKTiAt; Gl-' PBOIHUJSTuny. By Telegraph— Press Association. Wellington, Friday. I lie ordinary general meeting of "the |>ru]>riet<>rs of the Hank oi >Teiv >l,l- - ''eW at tlie Head' Office at t'.'-'l-jr, V - 11. Beaueliamp, chairnt diri'clurs, presiding. With Mil- consent <>t the meeting, the H'l&irt «l the directors Miid the balance' shen were, taken an read. The. chairmmn, in, ltiovniir tliieir adoption. slid that the ropox-fc ujitl baitmce s '|' di-:e..osedl a very M.i'tisl'aetory portion. You will oh'-crve that the sum iivuihilfic i'oi- distribution, is £291,(108, and i::e directors propose to jjeiv the n. iial dividend, and to transfer £17.),000 to the reserve fund, leaving a. balance of £31,(i08 to be carrieu forward to next year. Capital.—Tlie capita) of the -bank, as at ..March :ii la>it, wan (is under: — AUTHORISED. £ £ 4 per i-cnt Guaranteed Ss»Ofk 1,000,000 "A" Prelemice Shares .500,000 "]?" Preference Shares 1,000,000 - 1.500 000 Ordinary Shares .. 3,000^000 £5/100,000 SUBSCRIBED. £ £ 4 per cent Guaranteed Stock .... 1,000,000 "A" Preference ! Glares '500,000 Ordinary Shares . . 1.,0C0,000 Paid up to £3 G* 8d per share 500,000 £2,000,000 j

The chairman proceeded!!'— The isitue of new capital (viz., 37,500 :, B" Preference Shares at £G 13s 4d each, and 75,000 Ordinary Shares at £0 13s 4(1 each), winch was in comtemjiiation when we la;it met you, lias since teen successfully carried through. Tlie head "New-Share Account," -represents' the payments received' up to March 31 in respect of iiißtalmonts on applications lodged up to that date. 'Nearly ovary eluu'elioldei- lias apolied l for the quota, to which lie was entitled', and that, in the great majority of cases, the whole of t;ie' instalments ihave been paid up in full.

Tlie Reserve Fund.'—This fund, 'by | the addition of <-] ie £l7<»,floo which I have stated the board proposes to tan/j----jferjrom profits, will then stand at £1,530,000. With the sum proposed to be carried forward, namely £51,008, the Reserve Fund and undivided profits will amount to £1,601,008. An you are aware, the premium of 50 per C ont on the iVue of capital recently made has to he credited 'ne Reserve Fund, and from tlvia source the fund will, after adjustment, benefit to tlie extent of £375,000. Notes in circulation stand at £<>B9 883 as f'AitiparM Wit-ii a year' 'a™' Deposits (£18.070,(113) wliknv the substantial increase of £l,<j*>s,o;4 as compared with the .figures of lf>l3, this movement being due principal- to larUovernment balance?. Ordinary deposits, however, also snow an increase. payable and other liabilities exhibit an increase of £30,375 on the tig-' ures as at March 3'l, 1913, and now•"fcind at £1.403,450. Ootiii. Bullion, Money at Short Call, etc.—Coin and cai-ih :ba'ances (£3,201j510) tvnd bullion .(£115,074), together show an nic.rea.se of £228,255 as compared with tlie fijrures of the previous rear, \\ J hile the item money at call and sliprt notice, Government securities and other securities in Tjondon, ?il-ry exhibits. a substantial inerew* (£0!>5,710), and now stands at £5,070,748. The larger viovernment balances, already referred to account for tho greater part of this increase.

I may mention that the: totals under tins 'heading. ifcogelihor with the amount ot bills receivable and i.nvestment's l iri the colonies, are equal to 61.52 per cent (inir 12s 3d in t e £3 of the.total liabilltuvi of the bank to the public. Bills receivable, in London and in tian>it, are more by £310,9,55 than at tile corresponding date last year, and now stand at £3.184,081. -The increase is due mainly to an expansion in the VoCume of the Dominion's c snorts. Investments in the cmlonies (£972,170) exhibit an increase of £14,902 as compared with the figures at March 31 11)13. Advances.—As tibo Tesnlt of the legislation of last session of Parliament, ;bv which the bank was empowered to increase its .capital In- £3,000.000 (onefciirtii of "which bvi now been' issued), the institution is in a position to take its full part in providing fundsi for the furtiher development of the country, and for the requirements of increasing trade and industry. You. will observe that hifls discounted and oilier 'advances (which together total. £l'l,3(>' ,485), already ; |how an increase of £003,1 i) 7as compared with the figures of a year ago; and, as satisfactory business offers, a further gradual increase in the tot.il under the heading of advances may be looked fay. After appropriation of £40,000 from profits now made, landeo property and premises stand nt £449,577, a's compared with £407.827 twelve months ago.

Profit 'and Loss. —After tho payment °f £40,000 interest oni guaranteed utock and the making of all necessary appropriations, including provision for t'hc bank's annuai grant to the Provident Fund, as well as a- bonus to the stall', ,aml tho allocation of £40,000 in reduction o. nank prcmi.-je.s and furait'lirn accounts. Hie net. profits for .theyear amount to £308,490, aa compared with £302,530 at March 31, 1913. -Adding tho amwnnt brought forward from lt'.-st year, £43.117, and deducting the amount of interim dividend nt 6 per cent paid in December (£00,000). the sum available for dktrilmfion is £291,008. The directors now propose to pay a further dividend of li per cent on a bonus of 3 per cent, on Ordinary shsi.resi, and a further 4 per cent cm preference sihaiw. The (I'lnount distributed to shareholders for the year will therefore be £125.000. As I have already stated, it is |iro|)'.».-ied to transfer £17."),000 to the Reserve Fund, and' to carry forward the balance, £91,608. BOARD OF DIRECTORS. The term of oll'ice of Mr William Milne and Mr D. J. Nathan, two of the Government appointees on the Hoard of Dim-ton*, expired March '1 last, and they retired as at that, date. The Government appointed in their stead the Hon. Thomas Fergus, of Duncdin, and Mr R. W. Kane, of Wellington. boltJi of whom are with us today. , ■ The chairman concluded his address by making congratulatory references-to tile work of the stall', anil then went oil to review trade, prospects.