BANK OF NEW ZEALAND.

Taranaki Daily News, 19 June 1920, Page 5

BANK OF NEW ZEALAND.

WHAT IS FUTURE POLICY? 3A SIGNIFICANT STATEMENT. By Telegraph.—Press Association. Wellington, Last Night. An important, if somewhat indefinite, announcement regarding the Bank of New Zealand was made by the chairman of the Board of Doreetors (Mr. Harold Beauchamp) at the annual meeting of n the proprietors of the Bank to-day. if Mr Beauchainp's statement was as fole lows: "The question of the re-arrange-il ment of the bank's capital and reserve g fund has lately engaged the serious conli sideration of the board, and tentative 0 proposals have been discussed with a . view to securing the introduction of n legislation during the ensuing session of Parliament which, if given effect to, will B be of mutual benefit to the Government li «nd the shareholders. In the meantime, 0 pending the decision of the Government, . I am not at liberty to disclose the 0 nature of the proposals, but I have no . doubt that if they are passed by Par[j liament in the form to be submitted . by the board, they_ will meet with your . approval. There is no intention* to » materially niter the status quo as be- } tween the Government and the share- |. holders. As a result of this announce- . ment I venture to hope that the public r ivill not get too exalted an idea of the £ value of the shares." r ANNUAL MEETING. • A PROFITABLE YEAR. In moving the adoption of the report and balance-sheet at the annual meeting of proprietors of the Bank of New Zea°land yesterday, 'the chairman (Mr. H. Beauchamp) stated that the capital was £2,027,441, an increase of £347,453, due to payments in respect of the call f made in Januhry. The reserve fund 1 stands at £-2,3.50,000, the notes in circuj lation £5,7'85,337 (an increase of £2,037,088, due to notes in the hands • of other New Zealand banks in settle- : inent of exchanges, nnd not to over- > inflation of the New Zealand currency). F Deposits amounted to £37,601,610, an [ increase of nearly two millions, reflect- ; big the (prosperous condition of the , country. Bills and <other liabilities : amounted to £3,708,308. Last year the i bank paid £450,433 in taxes and rates, and £340,000 is reserved this year for , income tax. The coin and cash bal- , anees, Government notes, legal tender , notes and bullion totalled £5,772,585, an increase of £2,05-2,520, while money , at short: call and bills receivable are set down at £ 20,253,C4'2, an increase of ■CG,405,587. The funds employed in London are yielding a very satisfactory return. , The landed property and premises ac- , count stands at £301,103, a decrease of £38,759, and £50,000 has again been appropriated from profits in reduction of this account, but it is considered that no further appropriation for this purple will be necessary for some time to come. The nett profits for the year were £419,040, as compares with £388,022'j the previous year, and it is proposed to make up the year's dividend on ordinary and B preference shafes to 17% per cent (instead of 15), and on the A preference shares 10 per cent., carrying forward £146,520 to the next account. The aggregate assets are now nearly £53,000,000, the increase during the year amounting to £0,0DD,250. Regret was expressed at the sudden death of Mr. D. J. Nathan, and his services were eulogised. The vacancy on the directorate was filled by appointing Mr. G. Elliott (Auckland), wlio was accorded a welcome. Appreciative reference war, mpde to the services of the London board. The "retirement of the general manager (Mr. Callender) was referred to, also the appointment of Mr. H. Buckleton to the position. The salaries of the staff had all been materially increased, substantial increases being given to the less highly paid of the younger muuie members, while a bonus, of 15 per cent, lmd been given to married members drawing £4OO a year or less, besides which a special grant of £IOO,OOO had been voted to the Provident Fund out of last year's ■ profits, enabling increased pensions in the future; meanwhile a bonus of ten per cent, had been granted.

Wellington, June IS. At the annual meeting of the Bnnk of New 'Zealand to-day the report and balance-sheet were adopted. Supplementing his remarks, the chairman, Mr. Beaucbamp, said tho question of the re-arrangement of the bank's capital or reserve funds had lately engaged the serious consideration of the board, and tentative proposals had been discussed with the view to securing the introduction of legislation during the ensuing session which, if given' effect to, would be of mutual benefit to the Government and the shareholders. Tie had no doubt if the proposals were approved by Parliament in the form submitted by the board they would meet the approval of shareholders. Thero was no intention to alter the status quo as between the Government and shareholders as the result of this arrangement. He hoped tho public would not get too .exalted an idea of the value of the shares. 1 Several shareholders made appreciative reference to the work of the' directors. Mr. J. Mill. Dunedin, thought the remuneration of tne directors should be at least equal to that received by the directors of the National Bank, aiid he moved in that direction. The motion was altered to take the. form of a recommendation to the Government, as the remuneration is ffxed by Act of Parliament. Tho motion was carried. Tributes were also paid to the work of tit iUS, ' v