TARIKI DAIRY COMPANY.

Taranaki Daily News, 5 September 1917, Page 3

TARIKI DAIRY COMPANY.

ANNUAL MEETING. The tenth annual meeting of the Tariki Dairy Company was held on Mondaynight, Mr. "W. V. Harkness (chairman of directors) presiding over an attendance of about 00, including a number of suppliers from Rugby road. The report has already been published. The balance sheet showed the season's revenue us Estimated to be £14,833 ss! lOd—viz.. cheese sold and in stock, £13,,148 lis 7d: butter sold and in stock. £lOl3 7s -Id; whey cream, £O7l (is lid. Expenditure: Wages, £O(iS 13s lOd; fuel, £183; requisites, £473; repairs. £O7; butterfat levy, £435 17s Id; depreciation, £l9O 15s 3d; other charges, £550 15s lid. The sum of £1)228 had been advanced to suppliers, and there was in hand £2990 lis 4d. The chairman, in moving the adoption of the report, congratulated shareholders on a record year as regards pay-out. Unfortunately the output showed a decrease of IS tons, being only 153 tons. With a larger output the pay-out would have ebon better. However, he thought the tide had nqw turned. There would be a further pay-out when the final returns were received for the six shipments that had been shipped-prior to the Govern* ment purchasing the cheese and on which they had been advanced By s d and 9d, but which, he understood, was to be paid for at the rate of 123/0. He did not know how much extra this would realise. The directors had that year adopted a new system in regard to the whey cream, which they had sold 1 outright at a penny less than cream from whole milk. It had realised Is 4%d, or a total of £O7l Is lid, sufficient to more than pay wages. The new methad of doing all their local trade through one agent proved satisfactory. These sales, which totalled £I7OO. had proved of great benefit in financing this season, when so much produce had been held up. He "onsidered the establishment of a sinking fund of 1,4 d would considerably strengthen their financial position, ami ho paid a tribute to the wisdom of the Kaimata directors in establishing this sinking fund from the start. He then traversed the balance sheet, showing that the fuel charges were very satisfactory. Wages showed an increase of £7l, despite the decreased output. Requisites also averaged 8s 2d per ton more. They had paid £3B 14s Cd for ealf veils, and had received about half that amount back, and one barrel of rennet. The butterfat levy had cost £435, which was a good deal out of three vats. He understood there would be no butterfat levy this yea/r. Last year the working expenses had been 2.43 d per lb butterfat, whereas this year they had been 3.03 d. As far as their factory was concerned, the prospects for the coming season were good. An extra vat had been installed, and indications were that the four would all be fully required. He congratulated the suppliers on having a manager who looked after the interests of the factory as did Mr. McElroy, whose cheese wa3 second out of 50 at Moturoa, with an average of 'M, and, third in the Government competition open throughout New Zealand. (Applause). The staff, too, backed him up. He also looked after the business portion very well. Mr. Harkness also paid a high tribute to the work of the secretary (Mr. Percival), who was a tower of strength to the company. Mr. Knowles seconded. In reply to Mr. Knowles, the chairman stated that during the year 94 shares had been taken up in the Bo:j Company, making a total of 309. Mr. Knowles considered, the Box Company was very unsatisfactory. The chairman doubted this. He pointed out that they were receiving 5 per cent, interest, and were gaining the benefit of cheaper boxes and crates. The report was adopted. ELECTION OF DIRECTORS. The three retiring directors (Messrs \\. V. Harkness, J. Jemison and A. Cowley) were re-elected unopposed. Mr. Geo. Pullen was elected auditor at a fee of £4 4s. THE RUGBY ROAD BRANCH. The question of taking over the Rugby road creamery lately owned by the Midhirst Dairy Company, and erecting and equipping thereon buildings and plant for the manufacture of cheese, was considered.

The chairman stated that the directors had not been actuated by a desire to drive a hard bargain with the Rugby road suppliers, but to arrange a fair and equitable agreement, at the same time safeguarding their own interests. Ho stated that the directors recommended that the Tariki Company take over the buildings and plant at Rugby road, also some- shares in the Box Company, ano Freezing Company, from the Midhirst Dairy Company, paying for these in shares which will be allotted individually to the Rugby road suppliers; that Tariki erect and equip a, cheese plant to handle a maximum supply of 3200 gallons at an estimated cost of £3500; Rugby -road suppliers to sign a joint and several to this amount, and to establish a sinking fund to wipe off the overdraft, to take up shares in the Tariki basis of one for each 251b of milk on the highest day's supply (including the shares allotted); to join with Tariki in signing a joint and several guarantee for a working account of £2000; Tariki to have three, and Rugby road two directors, and should the number be increased. Tariki to have the majority. The Rugby road people, he said, had agreed that there should be a sinking fund The amount had not yet been arranged, but it would probably be on the basis of Id per lb butterfat. The contentious part of the agreement might be that the Tariki shareholders would have to sign a new joint and several, but he understood the banker was prepared to recommend that they should be released from the first joint and several of £3OOO and would really be in a better position, as they would have a working margin of £2OOO, and have 40 more guarantors Mr. W. J. Kendrick (Rugby road) said they were prepared to finance their own end if Tariki was prepared to meet them. The chairman pointed out that this was a recommendation to the TarTki suppliers, and if they did not accept it, the matter could not be gone on with further. Mr. Hucker considered that they should have a definite guarantee from tlie bank that the first joint and several.guarantee of £3OOO would be released before signing another. Mr. Jemison urged Tariki suppliers to accept the recommendation, and not make a bogey of the £2OOO joint anil several. They had signed a joint and several 10 years ago for a larger amount, :ar.d had never heard of it. Mr. Hucker moved that, contingent on the Bank of Ne-v Zealand giving an assurance tliftt the pvent joint and sever.il I guarantee be done « ■—i y with, the shareholders §( the Tf,-.)-!':.' D:ilry Company [adopt ike r«coniis.-.5 ii.. mi of the di-

rectors relative to taking over the Rugby road suppliers. This was seconded by Mr. Knowles, and carried. I GENERAL. A vote of sympathy was passed with Mr. A. Cowley, a. director, who is at present in the hospital. i A vote of thanks was'accorded'the j chairman, directors, the secretary, monager and staff. Mr. Knowles, in moving the resolution, stated that the work of the secretary had more than doubled owj ing to the strenuous times passed j through. Mr. T!. A. S. Brown, agricultural dii rector to the Taranaki Education Board, addressed the meeting in support of the scheme to hold demonstrations on the farm instead of evening lectures, conditional on the company agreeing t» double their contribution. It was resolved to continue as at present. The secretary stated that "the work had been almost doubled by reason of the "wooden-headedness" of some of the departmental officers. A supplier moved in the direction of giving the chairman an honorarium, but the chairman stated that, like the previous chairman, he found the work a labor of love.