OMATA DAIRY COMPANY.

Taranaki Daily News, 2 August 1918, Page 3

OMATA DAIRY COMPANY.

. iANXUAE MEETING. The nineteenth annual meeting of the Omata Dairy Factory was held yesterday afternoon iu tlio new factory building, Hurford Road, when there was a fair attendance, including some ladies. Mr. W. J. MKee, chairman of directors, presided- , REPORT AND BALANCE-SHEET.

The report stated that, in spite of the destruction of the main factory by fire at the end of March, the balance-sheet of the company shows a very satisfactory position, thanks to the policy of creating a reserve fund and paying all current expenses of upkeep and replacement year by year, so that the fixed asset 9 of the company, as appearing in the books, stood very much below their actual value. The directors much regret that gome shareholders, and others not interested in the welfare of the company, have been endeavoring to impress suppliers with the opinion th'at the company is in a poor position, and that the cost of the new factory, now in course of erection, will entail a heavy burden on suppliers for some years to come, and that no further payment for the past season's milk could be made. This is not the case. The directors propose a further payment of lid per pound on butter-fat on last season's butter-fat —to be made as soon as stock in hand is realised—and that, in addition, the whole of the surplus to be received from London be paid out bo suppliers as soon as received. .It is estimated that this should be equal to a further 2d per pound butter-fat at least, and the total actual payment will then be over Is 6d per pound butter-fat. The company's financial position was as follows:—-Liabilities, £3408 : contingent liability for freezing work's shares, £273; total, £3771- Liquid assets, £»23; deficit, £l*l3, but the property assets amounted to £4092. Last year the amount paid to suppliers f or butter-fat was .44 le?s than the price received for butter. This year, in spite of extraordinary expenses, the difference is .sd.

Statistics were submitted as follow: Kumber of suppliers, 94; milk received— Hurford Road (June to March), 703,504 lb, 31.70C.171b butter-fat, 4.10 average test,- Koru (June to May), 400,5541b. 16,403.461b butter-fat, 40!) average test; Oakura (June to May), ,898,2741b, 396,40.441b butter-fat, 4.11 average test: total, 2,0e2,6G21b milk, 85,14fi.071b butterfat, 4.13 average test. Cream received— Barrett Road and Spotswood (June to May), 97,4031b, 36,030.541b butter-fat, 37.C average test; Hurford Road Factory (June to March), 63,04511>, 23,241.831b butter-fat, 36.9 average test; Koru and Oakura carta (June to May), 121,5291b, 43.994.311b butter-fat, 365 average test. total,'2Sl,!!Solb cream, 103,866.671b birt-ter-faV Total pounds butter-fat, 169,012.741b'; milk supplied to Royal Oak Factory (March to Mav), 87,5551b, 4,3G3.241b butter-fat; pounds of butter made, 226.98811); pounds of butter made per pound butter-fat, 1.21b; average price per pound received for butter (balance proceeds, Ibntter shipped to London, not included), Is sd; average price per pound on butter-fat paid out (London surplus to be added), Is 4Jd; average grade, season 1917-1018, 90.20The balance-sheet showed that the butter sold and on hand was estimated at £16,058. Expenditure showed—salaries £043 103 9d, materials £483 3s sd, fuel £lßl 4s 2d, cream cartage £207 lis Id, repairs and renewals £lO5 14s 4d, various expenses (including export charges, £252 15s 7d) £504 18s Od, depreciation £415 6s, transfer to reserve £450 10s. Eleven thousand eight hundred and severttyflvo pounds nineteen shillings and fourpence had been advanced, to suppliers, and there was a balance of £ 1203 13s Id to divide. The chairman moved the adoption of the report and Mr. C. Mace seconded. Mr. C. Mace then moved as an amendment that the balance to be received from the Imperial Government bo diverted towards the payment of the debt on the new factory. Mr. G. Bell seconded. The amendment was lose on a show of hands.'

Mr. G. Bell mored a further amendment that a penny be devoted to paying off tlie debt on the factory. This wfls not seconded. Mr. Archibald thought that as the debt was only JEM-MB, they should set aside sufficient each year to the reserve fund, so as to pay off the present liability in three years, and he moved in that direction. Mr. Hansen seconded. This was carried, the report and /bal-ance-sheet being then adopted. ELECTION* OF DIRECTORS. Messrs W J. M'Kee and G. JJe'l, tfie retiring directors, were re-elected unopposed. Mr. C. T. Mills was reelected auditor at the same remuneration. THE NEW FACTORY.

Mr. Archibald considered that the directors hud overstepped their powers in erectingythe new factory without consulting the shareholders, who might have considered it more advantageous to extend the Oakura creamery, rather than build at the present siteThe chairman stated that though this was oft" the main road, it had a good supply of water. The directors had done what they considered best in the interests of the suppliers, and he pointed ->ut that they were never asked by the shareholders to call a meeting. " lie pointed out that at Hurford Road they had valuable assets in the land, water power, dam, and manager's residence. There was also the question of cartage to consider.

Mr. Honeyfield said that he could not compliment the directors on the steps they had taken in erecting the factory on its present site. They should have taken suppliers into their confidence. The directors evidently were not progressive, and he instanced the dried milk proposals.

Mr. Archibald also questioned whether Koru creamery was now paying. lie considered the directors should advocate home separation in that district. The chairman pointed out that 7\nrn suppliers had taken ud shares and were entitled to consideration, Mr. Jury asked whether it was proposed to make every supplier take up shares! He thought they should. The chairman said that under the present reserve system now shareholding supplier? would pay their -quota towards the ncv fgwory. M- fireen aalcei What ws» tlicDosi-

t'on of shareholders who had taken up, shares to the value.of £4O.

'i ho. chairman pointed out that only shareholders had a say in the management of the factory.' It was a question whether it was' better to obtain an increased suppply, and so reduce the cost of manufacture .per pound, or to insist on all suppliers becoming shareholders, which would possibly have prevented some becoming suppliers.

Mr- Archibald asked whether it would uot be possible to start a bait store at the factory.

The chairman stated that the matter would be considered.

At a subsequent meeting, Mr. W. .T. M'Kee was re-elected chairman.