BANK OF NEW ZEALAND.

Auckland Star, Volume XXIV, Issue 4353, 26 April 1884, Page 5

BANK OF NEW ZEALAND.

Half-Yoarly Mooting.

The regular half-yearly meeting of the proprietors of the Bank of New Zealand was held on April 25th, in the new meetingroom, at tlie northern side of tho bankinghouse, Queen-street; the Hon. James WIU liamson, President of the Board of Directors, being in the chair. About thirty other gentlemen, of tho proprietary were present. Mr D. L. Murdoch, Genoral Manager, read the following report and balance-sheet: —

The operations of the past half-year enable the directors to lay before shareholders the following result: —Tho net profit for the half-year ended 31st March, after full appropriation for all known bad and doubtful debts, and in reduction of bank premises and furniture accounts, amounts to £79,504 10a ; to which has to be added, balance from half-year ended 30th September, ISS3, £8,900 10s 4d, giving a total availablo for division of £58,405 0s 4d; which it is proposed to appropriate as follows :—To payment of dividend at the rate

of 10 per cent, per annum, £50,000; bonus of 5a per share, equal to 5 per cent, per annum, £25,000; balanco carried forward to prolit and loss new account, £13,405 0s 4d: total, £88,405 0s 4d. Tho dividend and bonus will bo payable at tho hoad oflico, Auckland, to-morrow (Saturday), tho 2Gth instant, and at branches on receipt of advice.—For tho Board of Directors, James Williamson, President.

Aggregate Balaiico-uhcet of the Bank of Now Zealand, at 31st March, 1881, including London Oltlco at 31st January,' 1881 :—

LIABILITIES.—Dr.: Capital paid-up, 41,000.000; resei-vo fund, £fi'.'s,ooo; notes in circulation, JlJll.UJli; bills payable in circulation,£l,osl,3o9 lis7d; deposits mid other liabilities, Jll.Sfi.VM 17s lid; balance or profit and loss, £88,-105 Os Id : total, £11,030,120 Jr. lOd.

ABORTS.—Or.: Coin and cash balances at bankers, £l,O7O.li7010s; money on short call in London, £7G0,007 ; bullion on hand and in transit, £110,002 13s 3d; Uovorumont securities, £JHI,7IU 8s lid ; bills receivable and securities in London, £1,010,011 7s ad; bills discounted, and other debts duo to tho Hank, £1),057,5lI 27s lid:

landed property, bank premises, &c, £580,17(i Us Gd : total, £11,030,130 la lOd. Profit and Loss Account.—Todividendon

100.000 shares, of £10 each, at rate of 10 per cent, per annum, £50,000; bonus at tho rate of is per share, equal to 5 per cent, per annum, £25.000; balance carried to prolli and loss new account, £13,105 08 Jd: total, £88,105 0a 4d. Hy balance from half-year ended 30th September, 1883, £8,!)0010s 4d; net proilt for half yciir ended 31st Alarch, 1881, £79,50110 d: total, £88,405 0a Id. Hesebve Fund.-To balance, £G'25,000. By balance from last half-year, £025.000.

The Chairman : Gentlemen,—lt is again my pleasing duty to submit for your approval and adoption the roport and balance-sheet which have just been read. Notwithstanding tho unfavourable influences (to which I will horoatter refer) under which business has been carried on during the past six months, we are ablo to put before you a statement of profit which, though not proportionately as good as some which havo preceded it, will, I am sure, be considered satisfactory. We aro able to maintain our dividend and bonus, and to

carry forward the respectable balanco of £13,405 0s 4d with which to commence tho now half-year. Had wo been intent on tho mere swelling of our Profit and Loss Account, it would havo been a very easy matter to do so by raising our advance ratos : but, recognising the difficulties with which traders generally have had to contend, we have considored it better policy not to increase rates beyond what ailbrds a reasonable margin of profit, as we fully recognise that the prosperity of the bank doponds on thab of its customers, and in tho oxisting condition of business we do not consider transactions will bear heavier rates than those nuw current, With a view to lower lending rates we would gladly have aided in the reduction of deposit rates, but have been forced to maintain thorn at tho level of those current in Australia, where there lias been considerable pressure for money, and there appears at present little prospect of any oarly relaxation. The figures in the. balanco sheet present some noteworthy foatures. There i* a slight contraction ill the circulation, attributable to the genoral absence of activity in tho retail

trade of the colony. Exchange transactions, under the heading "Bills Payable in Circulation,' show, 'as is customary at the corresponding season of the year, a considerable increaso on the balance as exhibited in last statement. There has been an increaso of over a million in deposits and other liabilities, due, in some measure, to tho operations of the Go. vcrnment account. The immediately available resources of the Bank, as exhibited in

tho first five items on the credit side, continuoamplefor every requirement. The bills discounted and other debts duo to the Bans aliow an increase about equivalent to that in deposits, and the landed property and Bank premises have been increased by £12,000, chiefly duo to tho necessary alterations at Head Oflice, and to fitting up premises at Adelaide, where thoßank is nowin operation, and with promising prospects. As far as the business of New Zealand is concerned, we arc still contending with the result of past over-importing—our stocks, as a rule, being Yet; much too heavy, but the break long since applied is fast telling, and it may reasonably bo anticipated that importers will soon be relieved of the extra weight they have for some time been carrying. Tho prices of wool and wheat are exceptionally low, and, in addition, agriculturists have had tho further disadvantage of a partially unpropitious season, which will render the general average of farming operations throughout the colony unfavourable. As against these discouraging features, wo notice the rapid development of the export trade in frozen meat, which is becoming an important factor in the transactions of tho colony, and we have, further, tho establishment of numerous dairy factories, which in their operations gtive fair promise of being a permanent beneht to farmers. A considerable amount of capital continues to flow to the colony, our population is rapidly increasing, and full employment is obtainj able for every class of labour, and at highly remunerative rates. Amid seme discouragements, therefore, we are not without good ground for having full faith in the future of tho colony. Seasons which have now been persistently adverse for three years are not likely to continue so; the staple products of the colony, wool and wheat, having almost reached a price equivalent to cost of production, any change is likely to bo far the bettor ; and refrigeration and dairy factories, it may reasonably bo hoped, will materially enhance tho income from land, and so increase its value and the prosperity of its occupants. Tho general outlook at present suggests caution, and wo are duly exercising it, but at the same time we are extending a liberal support to every deserving industry, confident that such continued policy will conduoe to the best interests of both the Bank and its valued customers. With these remarks, I beg to move tho adoption of the report and balance-sheet as read. (Applause.)