S.C. REFRIGERATING COMPANY.

Temuka Leader, Issue 2431, 29 November 1892, Page 3

S.C. REFRIGERATING COMPANY.

The tenth annual meeting of the South Canterbury Refrigerating Company was held on Saturday. Mr B. Acton (chairman of directors), presided. Other directors present were Messrs U. J. LeCren, A. M. Clark, E. Elworthy, M. Jonas, T. Teschemaker, W. Grant, F. LeCren, and C. N. Orbell. About a dozen other shareholders were present. The directors in their report regretted that the accounts and balance-sheet do not show such satisfactory results this year as hitherto. The total number of carcases put through the works during the year were 76,936 sheep and 23,284 lambs. These figures, however, included 19,027 sheep slaughtered for the Opawa and Mataura sailors, but frozen on board; and also include 3063 sheep and 2942 lambs transhipped from the Elginshire, and refrozen. The number upon which full freezing fees were received is, therefore, very much under that of last year. Had the directors assumed the responsibility of purchasing upon your own account, the profits on freezing account would doubtless have appeared much larger, but, having in view the high values lately placed upon fat sheep and the almost certain loss attached to such a step, the directors, after many consultations, decided to decline the risk, believing that shareholders interests were being considered more effectually by doing so. With a view of encouraging shipment on owners’ account, the directors reduced freezing to 5/16ths per lb for winter months, but it did not succeed, the opportunity of selling their stock to northern buyers proving too enticing for growers, who were thus relieved from the anxieties attached to shipping. The exportation of so many maiden ewes and ewe lambs was no doubt accountable in a great measure for the deficiency of fat stock available this year, as it caused the value of store sheep to run up close to that for fat stock, and this, taken with the exceptional season for feed we are experiencing, has no doubt made many growers disinclined to either export on their own account or to sell unless at extreme prices. The directors, however, confidently look for a successful season the ensuing year, particularly in the lamb department of the trade. Dealing with the balance-sheet it was stated that the profi; earned within the year only amountedjto £6BO 5s 7d, and the directors did not see their way to recommend the payment of a dividend, thinking it wiser to carry the amount forward to the new year. Should the first half of the present season come up to present expectations, the directors considered that a half-year’s dividend would be a suitable step to propose at 30th April next, and trusted this would meet with their approval In view of the light work done by the machinery, and the admirable order everything has been kept in by the staff, the directors did not propose making provision for wear and tear this year. During the slack season the directors had taken steps to reduce expenses to the lowest level, and early in the winter season the permanent staff voluntarily proposed that a substantial reduction to their salaries should be made until more prosperous times arrived. The balance-sheet showed that of the nominal capital of £25,000, £22,000 has been subscribed, and £13,570 paid up. Deposits £2BBI, debentures £4BOO, bank advances £3699, and balance from last year £8686 assist shareholders’ capital. Land, machinery, buildings, plant, furniture, and implements represent £32,156 15s ; working material, coal, and stores, &c., and money claims due £2752 9s 7d. Working expenses were £ll9l 11s 2d, directors’ fees £93 9s, interest £658 10s 3d, total £1943 16s sd. Receipts were—transfer fees £3 19s, net freezing fees £2465 18s 7d, profit on bags £lO7 2s, miscellaneous £47 2s sd; total £2624 2s.

The chairman, in moving the adoption of the report, said he believed the company had a prosperous year before it, and reminded shareholders that the Dunedin and Oamaru works had been no better off for work.

Mr W. Balfour quoted a number of figures to show that shippers were given an advantage by freezing at Belfast or Islington, on both freezing and freight, amounting to Is 4d a head on 641 b sheep. The chairman said the Christchurch company had a differential rate, and Mr Balfour had quoted the lowest. On the average the charges of both companies were the same. The directors had determined in future to adopt the same charges as at Christchurch. Mr A. M. Clark pointed out that they were at a very great disadvantage in being a freezing company only and not a buying company also. Any farmer would rather sell for cash at Is a head less, than take the risk of a shipping. Mr J. Guild gave the directors credit for doing their level best; still the fact remained that the Christchurch companies were <£ euchreing ” them. Here they had the freezing works and the harbour works, and ail that was necessary for the trade, yet the business that should be paying for them was going elsewhere. He hoped the practical failure of this year would teach the directors wisdom. It was quite correct, as Mr Clark said, that people would rather take a Is a head less for cash. Then they must put the buyers In the same position at Timaru as at Christchurch, and not allow the trade to go away from them. He did not see why they could not cope with Christchurch, it seemed to him Timaru had the advantage of a better position, After some further debate the report was adopted unanimously. The retiring directors, Messrs Acton, F. LoCron, H. J. LeCron, Jonas, and Orbell, were re-elected, and Messrs Gray and Rutland were elected auditors.

The retiring auditors, Messrs C. S. Fraser and F. Cargill, submitted a memorandum, pointing out that no allowance had been made for depreciation, though some of the property was of a highly perishable nature, and that an item of £ll9, “ repairs,” should have been charged to maintenance instead of being applied to inpreasp tfio fissets; recommending the adoption of certain rules in the issue of the deposit receipts, of debentures, and of scrip ; and suggesting the advisability of altering the articles of association to provide fur one of the two auditors being eligible for a second year. Some debate took place on this, in the course of which Messrs Guild and Rhodes expressed the opinion that it should have been read before the report and balancesheet were adoptee};

Tfio cluiirinan justified the mode of procedure adopted, and the date of the next meeting having been fixed, the meeting terminated.