CHEESE AND BUTTER FACTORY COMPANY.

Ashburton Guardian, Volume IV, Issue 818, 14 December 1882, Page 2

CHEESE AND BUTTER FACTORY COMPANY.

The following concludes our report of the annual meeting ef shareholders, which was held yesterday afternoon ;

Mr James Brown said he considered the balance sheet a mere skeleton one, and gave little information ; still, he thought that the Directors had acted in accordance with the articles of association. He would give a notice of motion for consideration at another meeting that the clause bearing upon the balance sheet be amended, in order that the fullest information be given to the shareholders before they attended the annual meeting. He would move—“ That the balance sheet be adopted. ” Mr Gilmour was of the same opinion as Mr Brown. Ho did not feel satisfied with the balance sheet; still, he felt every confidence in the Directors, and that they had done their best. Mr Cox said h s did not wish to be considered opposed to the Directors, but he thought that more information should be given to the shareholders as regards the items of expenditure. He would like to see the meeting adjourned, as the bare information contained in the balance sheet before the shareholders was, to say the least, unsatisfactory. It was with no desire to be hostile to the Chairman or Directors that he moved the following amendment —“That the adoption of the balance sheet be postponed until after a report and fuller information are obtained on the expenditure named, and that a sub-committee be appointed to inspect and report on the whole subject at a future meeting ; such committee to consist of Messrs S. Saunders, G. Jameson, and the mover.” Mr John Carter seconded the amendment.

Mr R. Friedlander said Mr Cox was in error in several of hia statements. The fact was he (Mr Cox) was misinformed. He held in his hands a statement of receipts and expenditure which accounted for every shilling that they had received. If Mr Cox had asked for this before the meeting took place it would have been re id instead of the printed balance-sheet. The Directors considered it not worth while to print the accounts in full. Mr Cox said this was just the point. Ho wanted to see the full statement and explanation of the printed balance-sheet as well. In every case the estimates) had been exceeded, bpt he thought that on fuller explanation the action of the Directors would be approved of. He had no wish to censure the Directors. A very lengthy discussion ensued on the items of the balance-sheet. The Secretary then read a written statement of accounts to which Mr Friedlander had alluded, showing the whole of

the items which made up the printed balance-sheet.

Mr Brown referred to an item of L4O which had been expended upon an opening banquet, etc., for the Directors and a few gentlemen from Christchurch.

Mr Gilmour considered the Directors had not acte 1 quite right in this matter. He was sure they would not do so again after such a talking to as they had had today. The Chairman said he would now put the amendment.

Mr Cox said before putting the amendment he would like to have the matter of proxies settled. He (Mr Cox) had obtained several proxies from Christchurch shareholders, but he believed the secretary would not allow them to be made use of because they had not b. j en received at his office 48 hours befo- n the present meeting. He might say that the proxies were posted in Christchurch and telegrams at once sent to the secretary from the shareholders to that effect. Mr Parnell said that the proxies could not be received as they were informal. The Articles of Association were very clear upon that point. The Chairman said he must rule Mr Cox out of order, and that he could not vote in any of the resolutions before the meeting as his name did not appear on the register. Mr Cox said of course he would yield to the ruling of the Chairman, yet he protested strongly against the action of the secretary in not having his name inserted in the register, as he had given ample time for such to be done. [Mr Cox then retired from the room.] The Chairman then put Mr Cox s amendment, which was lost, the original resolution being carried. Mr Clark moved —“ That it be a recommendation to the incoming Directors that any profits arising from the factory be allotted as a dividend to the shareholders.” —Carried.^ A very lengthy discussion again ensued, after which the following gentlemen were proposed and seconded as Directors, the first nine being declared duly elected ; Joseph Clark ... ... 47 J. Orr 43 J. Grigg 38 Chapman ... ... ... 37 Wilkin 35 Havana ... ••• ••• 32 R. Friedlander 32 R. Anderson ... ... 32 J- Wheeler 30 J. Brown ... ••• ... 26 G. Jameson ... ... 25 F. Pavitt 16 0. P. Cox 15 Fleming 13 Dudley 12 W. Anderson 6

Several notices of motion were then considered, and the alteration of clauses 40 and 49 were adopted. It was decided to increase the nominal capital of the company from L 5,000 to L 15,000. The Chairman stated that the new Directors would see that no expenditure was made in reference to the erection of now factories until an expression of opinion was obtained from a general .meeting of shareholders. Messrs W. H. Gundry and S. Saunders were elected auditors.

Mr Poyntz read the following statement showing the probable position of the company at the end of one year s work, based on the result already obtained by thirty-two days’ work, from the commencement to November 30th, 1882 : The thirty-two days show milk utilised 13,275 gallons, or an average of 414 gallons per day, which has made 12,0431bs cheese, costing at 4|[d per lb to make, L 238 7s, whilst showing a loss of 10 per cent, nearly in quality of milk. On the same basis 300 days would utilise 124,200 gallons of milk, making 111,7801bs cheese, costing to produce —Dr. To cost of milk and making 111,7801bs cheese at 4|d, L 2,212 6s 3d ; interest on capital invested L 3,107 at 8 per cent., L 248 lls 2d ; 20 sows at L2, L4O ; balance profit, L 443 12s 7d—total, L 2,944 10s. Or. By sale 111.7801bs cheese at 6d, L 2.794 10s; profit on 200 pigs, produce of 20 sows, fed on whev from above cheese, at 15s per head, Llso—total, L 2,844 10s. Equal to a dividend on capital of L 5,000 of 8| per cent. The Manager, Mr Harding, handed in the following table showing the estimated cost of producing 1,000 gallons of milk daily on the Cheddar system, being the full working power of the factory. 1,000 gallons milk per day will produce OOOlba cheese.

Dr. £ s. d. Rennet, 2 pints per day at la 6d per i int ... ... ... 0 3 0 Coloring, 2 pints per day at Is per pint 0 2 0 Coal, 3 cwt per daj at 2s 6d per cwt ... ... ... 0 7 6 Lighting, oil for engine, etc. 0 0 2 Salaries—Manager ... ... 0 9 0 ~ Five hands, at 5s per day or 30s per week ... 1 5 0

2 10 8 This amounts to - 60 of Id or one-tenth of a penny, over per gallon. Cr. £• s. d. 900 lbs cheese at fid ... ... 22 10 0

1,000 gallons milk at 4d cost 10 13 4

Daily gross profit Cost of production

5 16 8 2 10 8

Net daily profit ... ... 3 6 0 Besides 800 gallons whey per day, at £d per gallon, which I have not mentioned, amounting to LI 13s 4d. On Saturday, December 3rd, the evening’s milk, amounting to 267 gallons, produced 2771bs curd. The lactometer, corrected and reduced, showed this milk to bo only 34’ specific gravity ; on the 9th 700 gallons of morning and evening milk combined, produce ! 6731bs of curd, and the lactometer test, corrected and reduced showed the morning’s milk to have a specific gravity of 20'’ only, or a mean of 29* for both, consequently the night’s milk, by the lactometer test of 34° produced an increase of curd of 3J- per cent, while the morning and evening’s mi k combined showed a decrease on the mean test of 29° of 3 per cent, of curd, showinar that milk with a specific gravity of 32* ought to produce 11b of curd to the gallon. On the question of cream, on December Bth the morning’s milk taken from the first ten senders as they arrived at the Factory showed by the testing tubes an average of 7 per cent, of cream, whilst, on the evening of December 12th a similar number showed exactly 10 per cent, of cream. [These tests exactly coincide with Mr Harding's experiences in England, and showed that the most curd was produced towards the fall.] A vote of thanks to the Directors was carried unanimously, and the meeting ended.