MEAT EXPORT COMPANY

Wairarapa Age, Volume XXXII, Issue 10705, 28 August 1912, Page 5

MEAT EXPORT COMPANY

A SATISFACTORY YEAR

"THE MARKET A BIG GAMBLE."

! Mr W. G. Foster, managing director { of the Wellington Meat Export Company, in moving tho adoption of the report and balance-sheet of the company yesterday observed that the results of the year's buiness had prov- ! ed not only satisfactory, but that its out-turn was much beyond what the conditions in the opening of the season led them to expect. Prices in the country opened at levels which, compared with ruling Home market values, promised a loan profit, but the anticipated shortage in the world's j supply became evident hi time to I tip the scales in the company's favour, with the result shown in the profit and loss account. These figures, of course, were as at June 30th, at which time a large proportion of stocks were on hand and afloat unsold, the realisation of which had provided a nest egg towards the ensuing year. This very satisfactory out-turn must not mislead shareholders with the idea that similar conditions might safely be relied upon year after year. The fact was that the meat, market furnished all the factors for a "big ' gamble," and whilst the board endeavoured to conduct the company's.business on safe lines surprises were* to be expected, and, whilst this one had been of an agreeable nature, it would bo within the memory of shareholders that they had previously had the reverse of this picture, and might do so again, and at any time. Shareholders would notice that agitation was still rife for new works and extension of tho present Works in the country, but that this was not warranted in relation to production was conclusively proved by the shortness of the working season. The nvoducer did not seem to realise that ■dividends must be made, and-as low cost bore close relations to value of ' their products they wero all the time losing when works were in excess of needs.

The chairman then made the following /comparison of features in the bal-ance-sheet : ! 1911 1912 / £ £ Works, properties and plant 9193 9)44 Insurance reserve • 1000 2300 Reserve fund 1000 1500 Equalisation of dividend

reserve 2000 3000 And as proposed to carry forward /.. 2000 3000

This was an increase overall, after deducting the amount brought forward at beginning of each period, of £l9lO. In view of the risks attendant upon the meat business he thought this course would commend itself to shareholders.

The season whilst one of plentiful pasture wa.s not a really good fattening one. and as a consequence the superior grades were relatively less, but the conditions enabled easier holding and consequently less pressure for the time both on the means of conveyance to works and on tho works themselves. To this was duo the comparatively small inconvenience experienced by the producer by tho strike of general workers which took place in February and lasted for a fortnight. Of course the loss to companies was not inconsiderable, occurring at it did at the busiest time of the year, and the loss of employment to the'staff represented in the aggregato a sum which the advanced rates of wages would take a long time to restore. The company's killing for the period would probably have amounted to 57,000. ,

In conclusion, he desired to bring under the notice of shareholders his appreciation of the loyalty and industry of the staff throughout the year, and especially during the strenuous time of the strike, when, but for its disinterested efforts, the uncompleted stage of the manufacture of stock would" have caused serious loss to tho company.

Mr 'J. Ilott seconded tho motion for the adoption of the report and ■balance-sheet, which was agreed to. Messrs E. Newman and J. Campion wera elected unopposed. Mr Henry Blnndell moved that the remuneration of the directors be the same as last year, viz., £BOO. This was agreed to.t •

Mr Win. Watson moved, and it was agreed to, that the remuneration of auditors be £l5O, divided between the three.

Votes of thanks were accorded to tlie chairman, the directors, and tho staff, and duly acknowledged.