BANK OF NEW ZEALAND HALFYEARLY MEETING.

Wairarapa Daily Times, Volume 5, Issue 1519, 26 October 1883, Page 2

BANK OF NEW ZEALAND HALFYEARLY MEETING.

UNITED PRESS ASSOCIATION, Auckland, October 25, The Bank of New Zealand half : yearly meeting was hold to-day. The net profits for the half-year are reported as being rather loss than those of the last half-year. The usual dividend of 15 per cent was declared, £25,000 placed to the reaerVe fund, and £8,900 carried forward, The coin and money at short call in London is ±'1,900,000; deposits and advances have both somewhat increased aB compared with the previous half-year, The Chairman, in moving the adoption of the report, said the slight dccreaso in the circulation and reduced amount of bills receivable and payable were due to the general inactivity of business throughout the colony and less active exchange operations pertaining to the season of the year which the balance sheet comprise!. Deposits exhibited a substantial increase, and tho advances were also slightly greater than last half. He anticipated a tight money market for the next six months, but the tendency was now in the right direction. Imports were lessening, bo affording relief t© the hoavy stooks now in tho colonial warehouses, The aoason promised favorably for 'both agricultural and pastoral pursuits, and there appeared a reasonable probability of a fair market for products, The influence of recent lerge shipments from the South was being felt in the stock markets, and enhanced prices were being obtained by producers, while the numerous cheese and butter factories being established throughout the country afforded gritziers a fair prospect of profit from their labor*, He defended Banks against the charge that they exercised severe pressure in consequence of inability 'to afford ordinary facilities for customers. ■ The sworn roturns of the Banks showed that despite any effort to the oontrary, advances continued to increase. Advances of the June quarter, 1882, 1 were two millions, and a, half! greater than in •the like .quarter df the previous year, and the same quarter current year showed a further increase' of £700,000. It was impossible that an jnorease. at such & ratio could be continued, but the polioy of the Bank of New Zealand would be to afford reasonable support to every deserving customer, and where such : support was denied it might be taken for granted that the request had not been within the limits of legitimate business. The report was adopted. The Hon. F. WJiitaker was elected a Director.

The Hoii. James Williamson, chairman in moving the adoption of tho report and balance-sheet, a'aul; —Gentlemen—lt is my pleasant duty to invite youv attention to tho report and balance-sheet which have just been read, and to offer my congratulations that notwithstanding the inactive state of business throughout the. colonies, and the abnormal rates whioh continue to rule for deposits, and the continued narrow margin between borrowing and lending rates, we are able to place before you such a very satisfactory result. The figures in the balance sheet, while affording evidence of the satisfactory condition of the bank's business, and the .strong financial position we occupy, offer little room for comment. In comparing them with those of the previous half year, the variations under tho respective heading, as shown in this Blight decrease in circulation aid reduced amounts of bills payable and receivable, are due, one to the general inactivity in business throughout Ihe colony, and the other to no less active exchange operations pertaining to the season of tie year, whioh the balanco sheet comprises deposits, and exhibits a substantial increase; and advances are also slightly greater than in the .last balance sheet. The cash and immediately .available resources in the colony and in London,"as will be seen by the statement, afford most ample cover for all our requirements, The balance of profits and loss account io greater than the circumstances to which I have already alluded might' have led us to expect, and with the balance brought forward from last. half year onabled us to maintain our dividend and bonus, to make the handsome addition of £2500 to tho reserve fund, and to open the new half year with a balance of £B9oolos 4d. In my remarks at the two previous half yearly meetings, I drew attention to the olauses which had in a great measure brought; about the exceptional condition of the colonial money market. These causes are gradually being removed, but the prooess is a very slow one, and without some speoial rohef, which at present is not apparent, I fear wo must look to the continuance of a tight money market for at least another six months: The tendency, however, is in the' right direction. Imports are lessening, and st affording' relief to heavy stocks now in colonial warehouses. The season promises favorably for pastoral and agricultural pursuits, aud there appears to be a reasonable prubability ot a fair market for our products. The influence of recent largo shipments of frozen meat, particularly from the South, are being felt in the stock markets,, and enhanced prices are being obtained by producers, while numerous cheese and batter factories already at work or being established throughout the colony are riot only encouraging the further spread of this industry, but afford to graziers a fair prospect of_ profit from their labors, 'Before concluding I would like to touch upon one other subject, on which I reeret tofind a good deal of misconception exißtß, I refer t to the presumed .severt pressure on the part of the Bank's, and their so called inability to :offord • (ordinary banking facilities to' ; their customers. A very superficial study of the sworn returns of the various Banks will

frshow tliafc in spite of any efforts being used contrary, advances continue to lnprjaw, Ming the return? of the |will b# wen, that Jql pre lffo miliiong and s hall ;seawr Jhah in 'the like quarter of. the -WWouj and at the tame period of : jn6-'ourtfiht year, there ww.a further •ifictMSß of nearly setto hundred thousand pounds j ißngageraents'by constituents of various banks had been incurredj which r#ndered an exceptioDally . liberal policy ncjieMfity to meetthese engagements, and tthftt a jjoljoy wis generally, adopted. It Waa M'possible tliit tho moresse. at (uch j ratio could be continued, and this in sosio duatteri appears to be interpreted to niean that ill accomodation has ceased. J sanaot apeak for.other' establishments but our polioy hasbeen, and will continue to bo, to afford reasonable support to ivory deserving customer, and where such support is denied it may be taken for granted l that the request has not been yithin. the limits of legitimate business. I have pleasure in expressing a confident hope that the coining season will, show ageneralrevival in business* fostered by the success of,our numerous industries)' andwith the share we have intKabanking business of the colony it may reasonably ba anticipated that any revival will materially swell the'profits of the bank, With these remarks 1 beg to. move the adoption of the report and balance Bheet. s Mr- 0. J. Stone said: I have much pleasure in rising to second the adoption of the report and balance sheet as read, and in doing so it is not necessary for me to make any remarks. I think the whole of the matters of interest to shareholders bave been touched Upon by tho Chairman in his address. One point, however, strikes me as important which baa not 'been alluded to, as having had, and as hpttig still, a tendency to the tightness in the money market. I allude to the low prioo of one of our siaples of exportwool. We wko live in this oolony, and especially in this northern portion of it, are large producers of long-wools and half-bred wools, which rank side by side with-English wools, and it is known to those who take the trouble to go into figures that the price of wool in the English market is lower now than it has

been for fifty years past, and a small increase. Would have a large effect upon colonial jasouicfli,- With these remarks I beg to second the adoption of the report and balanoa sheet as read. The motion was passed nem, con, As the Hon. R Whithaker was the only candidate for the vacancy in tho directorate lie was declared duly eleoted. Messrs W, J, Taylor and J, L. Wilßon were appointed auditors. A vote of thanks ..was passed to the directors, general manager, and officers of (he Bank.