Page 4 Advertisements Column 4

Westport Times, Volume VI, Issue 984, 2 July 1872, Page 4

Miscellaneous. money will be made, according to a schedule approved by the provincial directors, and should any accident happen to either of them before dolivery the damage will be made good by the present owners. There will be no promoters shares, and Messrs M'Meckan and Blaekwood will pay the preliminary expenses. It is proposed to ra ! se the required capital by 20,000 £lO shaes, on which £6 will at once be called, anil in addition to issue debentures for £50,000 bearing 6 per cent, interest. Messrs M'Meckan and Blackwood are willing to take £50,000 of the purchase money in shares of the Company, or such other amount as the provisional directors may determiue on; o- they will take £30,000 in shares a id £20,000 in debentures. That the undertaking will be emi nently profitable to the shareholders may be gathered from the fact that the net earnings of eight of the vessels named above for the year 1871 was £31,743. (The Albion was only lately purchased, and did not leave on her first voyage till the end of December.) This profit was made after paying every charge, whether for working or office expenses, repairing, or overhauling. The only charge not provided for was insurance—an expense which large steamship companies generally avoid by creating an insurance fund of their own. The provisional directors estimate that the net earnings of the nine steamers, every charge being provided for except insurance, may be safely calculated at £38,000 per annum. This will give the following result: — Interest on deboitures ... £3,000 Dividend at 10 per cent ... 12,000 Insurance and Depreciation Fund 14,000 Extra cost of management (Directors, Superintendent, &c), say 3,000

Balance £32,000 6,000 £38,000 This shows a return equal to 15 per cent, per annum, but with ordinary good fortune a large part of the sum set apart for insurance would he clear gain, which, though not available at first for dividends, might be invested in new steamers, and the increasing trade would thus be provided for without increasing the capital upon which the dividends would have to be paid ; and when the fund shall b; ve accumulated to a sufficient amount, which may reasonably be expected in a few years, the annual appropriation above provided for might cease, and the sum go to swell the dividends to nearly double the amount estimated above.

The experience of such companies in every part of the world has shown with careful supervision and judicious management, regular dividends may be relied upon. Perhaps no Company in the southern hemisphere has ever been established under such favorable circumstances as the present .one ; for it will have a thriving business to begin with, which in private hands has produced the satisfactory result already described. With the influence of a large body of shareholders, and a steadily increasing population in all the Colonies, even better results may be anticipated. The area of steam communication in this part of the world is rapidly extending. Formerly it was confined to the inter-colonial trade, which has certainly not yet been fully developed, and which cannot fail to receive a great impetus whenever the restrictions created by the Customs systems of the different colonics are relaxed or removed. Besides, new lines are being projected, and some opened up. A large passenger and carrying trade already exists between Australia, New Zealand, the Islands of the Pacific, and America. Then it is probable that the European mails may be carried between Australia and Galle in Victorian vessels—a service for which the steamships of thi-i Company will be fully competent. Java and the islands of the Indian Archipelago would this kind, and au additional means of extending the business of the Company. Melbourne is obviously the port best adapted to become the entropdt of the Australian colonies, and the centre of steam communication for this part of the world. The establishinent of a company such as here projected will tend to secure for it both these advantages ; and whilst affording a profitable field for the investment of capital, will contribute in no small degree to extend the trade both of the port and the col«my, _ Forms of application, and all information, may be obtained from the Broker and from the Secretary, by whom, and by the Company's Bankers at any of their branches, application for shares will be received; but no application will be considered unless the deposit of £1 per share has been previously paid to the Company's bankers. The articles of association will be open for inspection at the temporary office of the Company. Immediately after the allotment of shares, the shareholders will be called together to elect the first directory. Melbourne, Aprd 13, 1872.' Full particulars may be obtained from D. GIPtLWOOD & CO., Agents, Greytnouth,