TEMUKA LINSEED FACTORY.

Temuka Leader, Issue 1588, 31 May 1887, Page 3

TEMUKA LINSEED FACTORY.

• Yesterday the new twine-spinning machine recently imported by tbeTemuka Linseed Company was put in motion, and opened to public inspection. It is described a« yiry spinning frame of 4£in pitch, and Sin reach. It is 22ft long by •• about Bft wide, and 7ft high, and h»» 56 spindles on each aide, making in all 112 Spindle*. ;These spindles are driven by din cylinder#, which make 31250 rsvoiu* ■' tides per minute, and each aide is indepsndent of so that ont side cun be spinning the finer kinds of twine, while the other is spinning coarser stuff. Thus different siaes of yarn can bo spun at once. The spindles are drivrn by cotton tape, which is found more suitable than leather, as the spindles are moro r>r.«ssily stopped if the thread breaks. This vr* machine can turn out about 4cwt of bindr ing twine par day, and is exactly what *sa wanted. The machine was toads' by Messrs Lawson sod Sons, Leeds, and is ' finely finished, end works very smoothly. It cost £2lO f.o.b. in England. Test<-i ■ * day it «a* making blading twine, nml. thoui?' ’ e boys are not yqt accustomed , to work . , very eatinfactory twine was got . / through it, The whole of the machine- ... were in motion yesterday, but as wo b >vr given a description of them before it in not neeesasry to say more than that everything was working most satisfactr r iy. ,i9*ba rope walk hss been re-erected, and -everything -now )i* ready for work in earnest. From a| glance at the padd/ck the oooelu-dohwrfrrived at is that there is sufficient materia) to kenp the factory n*i going for the next 13 months, and as binding twine of the best kind can now ! be turned out, doubtless it will be kept ' going profitably. When in full work the r - factory will employ 22 hands, and is alt< • :t! geth#r a very important industry. MEETING OF SHAREHOLDERS. n < A, meeting of the shareholders of the ' Company was held last evening in the ■ Wallingford Hotel, Mr John Talbot in "the chair. About 16 shareholders were present. Tfae Ohairman explained that the busi'ness of this meeting was to submit to the • ‘ shareholders the desirability of issuing ffesh shares. The Directors had per- " ’ tonally guaranteed to the Bank about '£4,400, and they did not see their way clear to guarantee any more. So ’ far ' everything was in order and the machinery iroiie now in operation, and all that was ; rsqui/ed was. sufficient money to pay their. 1 wsy until such dims as goods manufactured could be disposed of. The shares had been fully paid up, and the Directors npw called upon the shareholders to help them a . little to get out of the present difficulty. : Mr Postlethwaite iaid he had; been on the.ground that day t and saw the new machine at work, and fell certain they had / got « held of the right machine at Nst. ''from What he saw be felt convinced the . machine would enable the company to ' piy; 'They bad got to the stage now when very little money would enable : ;: tliein to pull through, and they expected the shareholders would help them. They bad got the machine that was wanted, it coat £3OO in round numbers, but it would ~ enable them to spin binding twine, which 'was Vbat they wanted, Last yea- they were not able to make the right kind of binding twine, and consequently could not sell to advantage, but with the new machine they could not'only make oindi twine, but- also shop * twine,, for : iwbich i o llpra;» : .wasi a good markfet. j VThey now called upon the shareholders -.j to increase-their share*, and, if they did, he felt; certain they would never put their money to better advantage. The directors conld go no further as regards 'personal security, and he would impress upon tbo shareholders the desirability of 1,1 straining a point,, so as not to let the industry now fall Into a few. hands, who would reap the gain from their losses. In repl/ to a question, the Chairman wid tbo overdraft nt preaent was about £4400, for which the Directors were per. Boaally responsible. All the Directors ..requited was sufficient funds to carry on J.’tlie works until it began to pay. He ‘lwould like if any other shareholder who bad seen (he now machine would give his opinion on the nutter* Mr Twomey said he had seen it, and had no doubt it was all that was required. No one oonld talk to the Manager without feeling full confidence in the industry, and without feeling that be was the fright man in the right place. The Mans* ;<g«r and the machine were all that could be desired, and tha question ho thought ’ was this : The Directors had gone to the .' extent of guaranteeing £4400 to the Bank* and, they would go no further. They. " wanted about £3OO more to carry the industiy to a paying p*'int, and they asked the shareholder* to give them that. Fsiling getting this money, it appeared to him ■/thf result would be that the whole thing 1 would fall into, the bands of the mort» ! ■ gsgees; and the shareholders would lose all they bad invested in it. Ho thought, - therefore, it would bs better for the shareholders to put a little mora ipto it, ’ p.hd by doing *o prevent the loss of their praiont'shares, than not do IO end lose $\\ r i He, at any rate, would take »p a man a ■bare. - ..... u. Mr Brown said he wished to know the exact position of the after >. minute enquiries it was ascertained that %ha total liability was about £SOOO. n. Mr Pilbrow explained that the nuobinery was so fat incomplete, and consequently they were not able to produce remuneratively. . The Chairman usid that against the . £SOOO they had all the land, all the ‘ machinery and plant, and all the fiax on , • the ground, which was worth a great deal I mote.

Mr B. A. Barker said that in a coo.- ~ ■’ yemtion with the Manager that day he had ascertained that the machinery now would turn ont work which would yield a profit of £2O per week, and that would v ' bo £IOOO a year, which would give in.-1 terest on £IO,OOO. Supposing the Mana.- - g e r was wrong by that waa a j, . {arg« margin to allow him. The industry would even (then pay a good dividend, The Chairman aajd the shareholders ought. now to assist the Directors, They had gone now as far as they could risk. The great trouble from the beginning waa want of capital, owing to which the .... p|“ t iMrMetaon said it was very discouraging to call on the shareholders now to < : take more shares j but be would go with the rest of the shareholders, 1 Mr BwJsef fhe Director? wished to c»rry On the Company/'but if the share-

holders would not assist them they would have to protect themselves. There was a than with a linseed oil plant in Dunedin, and he knew that terms could esaily he made to get him to join in with them if they were in a solvent position. There was another imm in the North Island who had an oil plant, and ho could easily be got to come in, but innst put themselves on a sound basis first. It was better for shareholders to assist the Directors, a« it might come to a good thing yet, than let it fall into other hands. That was the way with the Kaiupoi Woollen Factory, with the Ashburton Woollen Factory, and so on. They foil into ; a few hands. Mr Postlethwaite said he knew many firms in Christchurch holding back with the view of buying the Tsmuka twine. Mr Brown suggested to issue debentures b«»ring interest at 5 per cent. The Chairman said that would ine>n the new shareholders would be guaranteed interest. After some mote convention, it wss proposed by Mr J. Brown, seconded by Mr Twomey, end carried—“ That in the opinion of this meeting it is desirable in the interest of the Company that the share issue be increased by 200, and that the district be canvassed with the object of getting more shareholders ; »Uo that the present shareholders be waited upon with the object of pointing out to them the necessity of taking at least two additional shares each, the directors having each undertaken to take that number.” Messrs Ash well and Gaze were appointed osovaisers for the new shams, and *fter talking over other matters the meeting terminated with the usual vote of thanks to the Chairman.