Page 4 Advertisements Column 4

Westport Times, Volume VI, Issue 993, 6 August 1872, Page 4

Miscellaneous. I money will bo made, according to a schedule approved by the provincial directors, and should any accident happen to either of them before delivery tho damage will be made good by the present owners. There will bo no promoters shares, and Messrs M'Meckan and Blackwood will pay the preliminary expenses. It is proposed to raise the required capital by 20,000 £lO shaes, on which £G will at once be called, and in addition to issue debentures for £50,000 bearing 6 per cent, interest. Mossrs M'Meckan and Blackwood are willins; to take £50,000 of the purchase money in shares of tho Company, or such other amount as the provisional directors may determine on; or they will take £30,000 in shares and £20,000 in debentures. That the undertaking will bo eminently profitable to the shareholders may be gathered from the fact that the net earnings of eight of the vessels namrd above for the year IS7I was £34,743. (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 debentures ... £ 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 be 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 hi ye 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 that, 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 Colonics, 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 bo carried ; between Australia and Galle in Victorian vessels—a service for which the steamships of this Company will be fully competent. Java and the islands of the Indian Archipelago would furnish another field for enterprise of I this kind, and an additional means of extending the business of the Company. Melbourne is obviously the port best adapted to become the entropot of the Australian colonies, and the centro of steam communication for this part of the world. The establishment 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®ny, • Pormsof 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, April 13, 1872. Full particulars may be obtained from D. GIEDWOOD & CO., Agents, Grev mouth.