BAY OF ISLANDS COAL COMPANY.

Auckland Star, Volume XXV, Issue 31, 5 February 1894, Page 4

BAY OF ISLANDS COAL COMPANY.

TO BE WOUND UP.

The annual meeting of shareholders in the above Company was held at noon to-day in Mr H. Gilfiiian's office, There were aboub 12 shareholders presenb, Dr. J. L. Campbell being in the chair. Annual Report.—The reporb of the directors was as follows :—The directors have to reporb thab the sales of coal for bhe paab half-year have been 5,413 bons. For some bime the coal obtained has been won entirely by conbracbors, as the directors found that sufficient coal to supply the reduced demand could bo obtained by this means, and aba lesser cost than by employing day labour. Acting ou the resolution passed ab the meeting of shareholders held on 4th September, 1893, the directors took immediate action in the way of selling the lands at Hikurangi owned by this Compauy. Tenders for the purchase of theso not being satisfactory the properties were offered by auction, and then realised the sum of £2,400, which figure ia considerably beyond the reserve price fixed by the Board. Further sales of plant and other property have been effected as far a3 possible, and tenders for the remainder aro now being called for. The above steps have been taken, as shareholders are aware, in view of bhe contemplated winding-up of tho Company, the natural consequence of the coal being nearly worked out, and the diminished demand which exists for what remains. Tbe Hikurangi lands having been so favourably disposed of, there is now no question as to these being worked by this Compauy, and as nothing is to be gained by continuing operations ab headquarbers, bhe time has now arrived thab bhe mine should be closed. The direcbors have, therefore, convened an extraordinary meeting ot tho shareholders, to be held ab bhe close of the ordinary meeting on bhe sth of February next, to take the required etepa towards the liquidation of the Company. In taking this action, the directors regret that it should be found necessary to close an industry which, though unprofitable to shareholders, owing to the many difficulties —natural and commercial —met with, has ab least done good service to the colony generally, and Auckland in particular. The usual stabemenb of accounbs is appended herebo. Though bhe balance ab debib of profit and loss account is greater than that of last half-year, this does not necessarily imply a loss on bhe actual working of the coal, as a considerable amount of expense has beon incurred in dismantling tbe mine and plant tor ibs profitable realisation. The Hikurangi land transaction has nob been broughb into these accounts, as the purchase was not actually completed until after the close of the halfyear.—For bhe directors, J. Logan Campbell, Chairman. Balance-sheet.—The -following statement of accounts for the half-year ending 31sb December, 1893, was submibted :— Liabilities : Capital, 3,000 shares of £1 each, £3,000; debts and liabilities—(a) money orders issued, bub not presented for I paymenb, £192 7s 2d ; (b) debts duo by the Company, £120 17s 8d ; contingenb j liabiliby — balance of royalty, contingent on profits mado from mine, £7,998 9s; total, £11,311 13s lOd. Assets: Property held by the Company— (a) Coal mine, £1,000 ; (b) land, £1,777 10s ; (c) buildings, £1,026 16s lid ; (d) plant, £2,759 16s 3d ; permanent works, £1,798 0s 2d : cash in Bank of New Zealand, £77112s lOd; cash in hand, £10 lis 3d ; fixed deposits, £800 ; debts due to the Company, £553 4s 4d ; office furniture, £149 3s Gd ; goods and timber at colliery, £109 5s 6d ; coal on hand at colliery and Opua, £58 10s 6d ; profit and loss—balance, £497 2s lid ; total, £11,311 13s lOd. Profit and Loss Account.—Dr. : lo balance, profit and loss account, June 30fch. 1893, £323 133 lOd ; to winning coal, stores, and labour, £2(37*2 11- 9d ; to carriage of coal by railway, £525 18s fid ; to forage, £52 12 Id ; to freight on gonde, £22 3s 5d ; to general charges, £21903 lid ; to discount, £91 6s lOd ; to royalty, £90 4s 4d ; to salaries, £337 10s. Total, £4,035 4s Od. Cr.: By sales of 5,413 tons coal, £3,5*25 3s Id; by rent of cottages and land, £5 Its 6d ; by profit on stores and timber sold, £6 16s 2d; by bransfor fees and scrip, 6s; by balance, £497 2s lid. Total, £4,035 4s Bd. • _ On the motion of the Chairman, seconded by Mr J. H. Smith, the reports wero adoptod. The meeting bhen resolved into an extraordinary one. Dr. Campbell moved, " That tho Bay of Island.- C >al Company bo wound up voluntarily under the provisions of tho Companies Ar.b, 1882.'' In moving this resolution tho Chairman pointed oub thab though the Company had not been profitable to tho shareholders, still tho policy of the Beard Lad been that as long as the Company could pay its way it would be kept goincr in the interests of tho colony generally. While £392,435 had boen paid* by the Company in wages since 1868, only a small proportion of the profits had gone to tho shareholders as profits. - The motion was seconded by Mr James Frator, and carried unanimously. On tho motion of Mr Boardman, seconded by Mr H. Hartnall, a voto of thanks was accorded the Chairman and Directors.