SOUTH BRITISH INSURANCE COMPANY.

Auckland Star, Volume XXX, Issue 254, 26 October 1899, Page 8

SOUTH BRITISH INSURANCE COMPANY.

ANNUAL MEEITNC

The annual meeting- of shareholders iii the South British Fire and Marine ! Insurance Company of New Zealand, ; was held at eleven o'clock on October 11th in the office ot! tlie Company. ;Mr C. C. McMillan presided, and there j was a good attendance ot sharehold- ! ers. The report and balance-sheet of the Company were submitted as follows : The Directors have oleasure in submitting to the shareholders the Statement of Accounts for the year ended 31st August, 1899. The Net Revenue for the year amounts to £219,284 19 5 After making the usual provision for Losses Outstanding: and unexpired risks, there is a surplus in the Revenue Account of 25,41S 6 S To which ha.s to be added the Balance from IS9B £11,294 S 0 Less Dividend paid in October, IS9S £6,462 16 0 £4831 12 0 Making the amount at at credit of Profit and Loss Account £33,219 IS S This has been dealt with in the following: manner:— Interim Dividend paid in April, 1599, at rate of 1/6 per share... £4347 2 0 Sinking- FundAuckland Leasehold 75 0 0 Written off Office Furniture 368 0 3 Depreciation of Sundry Securities 414 17 11 ... 5705 I) 2 """ £27,54-1 18 (J The Directors now recommend the payment of _ Dividend at the rate of 2/ per share for the half-year ended August 31. 1899 making the total distribution for the year 8/6 per share), which will absorb 6462 16 0 Leaving, to be carried to be New Account £21.0*2 2 fi The retiring Directors are Messrs Tho*.. Peacock and R. A. Carr, who, being eligible, offer themselves for re-election. Messrs J. F. Clarke and G. S. Kissling, the retiring Auditors, offer themselves for reflection. By order of the Board of Directors. C. C. McMILLAN, Chairman. Auckland, September 26th, 1599. STATEMENT OF ACCOUNTS FOR YEAR ENDED 31st AUGUST, 1800. REVENUE ACCOUNT. Dr. £ s d To Fire and Marine Losses paid and outstanding 133,700 0 7 To Agents' Commissions, Salaries, and other expenses— 47,132 10 1 To Advertising, Printlug, and Stationery 4,092 7 _ To Contributions to Underwriters' Associations and Fire Brigades 3.220 10 0 To Government Licenses, and Ra tea and Taxes 2,528 7 2 To Bad Debts written off 122 10 0 To Amount Required to Re-in-sure Current Risks, Aug. 31, ISO.) 70,000 0 0 To Balance carried to Profit and Loss Account 28,418 6 S £295.284 19 5 Cr. t" s d Ry Reserve required to lift-in-sure Current Risks, August 31, ISOB 70,000 0 0 Rv Fire and Marine Premiums (less Re-Insurances) 208,443 13 7 Itv Interest Received aud Accrued 10,841 510 1205.284 10 5 PROFIT AND LOSS ACCOUNT. Dr. £ s d To Dividend paid Oct.. 1808 0.402 10 0 To Dividend paid April, 1800 4,847 2 0 11,300 18 0 To Sinking Fund, Auckland Leasehold 75 0 0 To Amount writ ten off Ofliee Furniture 308 (i :.! Amount, written off for Depreciation of Sundry Securities.. 414 17 11 To Ralauce carried to Balancesheet 27.544 18 0 .* £30,712 14 8 Cr. £ s .1 By Balance from August, 1808.. 11,201 8 0 By Balance brought down from Revenue Account -28,418 0 S £30,712 14 8 BALANCE SHEET. Dr. £ sd. £ s d To Authorised Capital— 100,000 Shares at £10 each 1,000,000 0 0 To Subscribed Capital— 64.028 Shares at £10 each 1.227,032 0 0 Less Uncalled Capital— 04.02S Shares at £18 each 1,103.304 0 0 To Capital Paid up 64,028 0 0 To Reserve Fund 100,000 0 0 To Re-insurance Reserve Fund 70,000 0 0 To Reserve for Outstanding Losses ". 12,628 0 0 To Auckland Leasehold Sinking Fund 71(5 <_. 9 To Unpaid Dividend Account 33 1 6 To Bills Tayable and Sundry Creditors for Open Accounts 0,161 8 0 To Balance from rrofit and Loss Account 27, ">44 18 0 £200,714 14 0 Cr. £ s d £ s d By Landed Property.Bß,4o2 7 4 By Loans on Mortgage 55,470 4 0 By Fixed Deposits..3o,o7s 0 0 By Stocks and Debentures I,OSS 1 0 By Perth City Council 4 per cent. Debentures 5,000 0 0 By Government Securities, as derstocks. £ s d N.S. Wales 31 p.c. 0,067 18 4 Victorian 3i .... 7,876 13 4 Cape of Good Hope 3» .... 0,872 0 7 T r ansvaal 5 .... 5,150 8 8 S. Australan 34 0,041 o 0 N.Z. Govt. 4* Debentures 4,070 10 0 15 3 227,913 8 1 By Cash in Banks and Bills of Exchange in transitu 14,138 0 7 ——242,051 8 8 By Balances at Branches and Agencies 30,167 1 4 By Bills Receivable 2,738 7 5 By Sundry Debtors for Open Accounts 3,420 0 4 By Furniture at Offices 3,337 8 0: £200,714 14 9 We have examined the foregoing Balance- j sheet, aud Accounts, and compared them with the Books and Vouchers, and found them to be correct. We are of opinion that the Balance-sheet Is a full and fair Bal-j ance-sheet, properly drawn up, so as to exhibit a true and correct view of the; Company's affairs. (Signed) J. FRIAR CLARKE, G. S. KISSLING, Auditors. Auckland, 26th September, 1809. The chairman, in moving the adoption of the report and balance sheet, said : — The Chairman said: —"In moving the adoption of the report and balancesheet I congratulate shareholders upon the very. satisfactory result of the j year's operations. After making the • fullest provision for all liabilities, and, j after providing for the "Waikato' and |

'Te Koa' claims as total losses—now happily proved to be unnecessary—the Revenue Account shows the handsome surplus of £28.418 6/8. This amount, added to the balance brought forward from last year leaves £33,249 at the credit of Profit and Loss Account. In April last an interim dividend at the rate of 1/0 per share was paid, and this, with the usual full provision for the Auckland Sinking Fund, depreciation of office furniture and securities, leaves £27,544 now to be dealt with. The directors recommend the payment of a dividend for the. second half-year at the. rate of 2/ per share, which, if sanctioned by you, will absorb £6462 10/ aud leave £21,082 2/6 to be carried forward to the new account. The year just ended has been characterised by a prevalence orf marine casualties, equalling in number, and involving the loss of more money than those during the previous two years, which latter years, I may observe, were regarded by Marine Underwritei|. as unprecedented. .Notwithstanding this, itaffords your directors much pleasure 1o say that our losses were less than might reasonably have been expected during- a period of such an exceptional character. Losses were £24,153 less than the previous year, the ratio being 64.11 per cent.—an experience more favourable than any year since 1595. Expenses show an increase of £1707 owing to circumstances quite beyond our control, seeing- it was caused by heavier contributions to fire brigades, to increased charges in connection with the introduction of tariffs in Australia, and to a loss on Exchange of £1150, as compared with the previous year. The net premium income is practically the same as for the previous year, which may be regarded as highly satisfactory in view of our policy of steadily weeding out all business proved by experience to be of a a unprofitable character. The underwriting profit for the year is 5.55 per cent., which is nearly 1 per cent, better than the average result of the previous eight years. Our revenue from interest and rent is £11 less than' for the. previous year, and, in view of the lower rates for money now jirevailing, this reduction will not, 1 think, cause, you any surprise. Referring now to our investments, you will notice that in landed property we have £15,530 more invested than previously: The investments under this heading comprise only properties owned by the company and in its occupation for office purposes. During the year your directors purchased the freehold of a property in Perth —which promises to become one of the leading cities in Australia—at a price which we regard as satisfactory in view of the good situation of the site and the remunerative return the investment promises to give. We have also purchased £5000 Perth Municipal Debentures, bearing interest- at the rate of 4 per cent, and have increased our holding in Colonial Government Stocks to the extent of £12,840. The amount on mortgage shows a decrease of £13,503, and bank deposits have also decreased £7075. The re-arrangement of our investments in the manner above indicated is calculated, in the opinion of your directors, to give the best possible return, consistent at the, same time witli the promotion of the company's general business aud maintenance of liquid assets. While it is the constant aim of your directors to have (he business of the company conducted on the most careful- lines, they desire also that the company should continue, to expand and progress. When, therefore, quite recently an opportunity was afforded your directors for the purchase of the Straits Marine Insurance Company's business and goodwill iv Singapore and the Bast, as well as tlie freehold of that company's headolfice in Singapore, on terms regarded by us as advantageous, it was felt that this was an opportunity of improving our position in the East not to be disregarded. The, purchase has therefore been completed, and I feel sure results will justify the same. It will be observed from the balancesheet that, after the payment of tlie dividend, now recommended, the accumulated funds of your company, including the. paid-up capital, will amount to upwards of £260,000. Our directors regard the present position of the company as eminently satisfactory from every point of view; and, as on previous occasions, they are glad to say that this is largely owing to, the skill, zeal and energy of the whole staff, to whom, with the gentlemen acting for us in various places as local directors, we desire, to convey our warmest feelings of appreciation. While the directors gladly recognise the zeal displayed by all members of the staff in advancing- the interests of the company, they particularly feel thai it is only right to express their high appreciation of the services rendered by the general manager (Mr James Kirker), as, in a very large measure, the success of our company is due to his untiring efforts and marked ability in the management. I. have now the pleasure to move the adoption of the report and balance-sheet." The adoption of the report and accounts was seconded by Mr J. 11. Upton. Mr J. James congratulated the chairman on the report and balance-sheet, and said the thanks of the shareholders were due to the directors and the general manager, and especially were they indebted to the general manager, Mr James Kirker, for the ability, energy and foresight which he had exercised.

Mr Thomas Allen also congratulated the Company on the very satisfactory balance-sheet, and he was very pleased to be able to endorse what had been said about the general manager, to whom was clue in a g-reat measure the present satisfactory position of the Company.

The. chairman said it was very gratifying to the directors to hear such expressions of approval and congratulation. It showed that the directorate had the confidence of the shareholders ; and it. was a great thing to have the fullest confidence reposed in the directors by the shareholders.

Mrs Chamberlain also congratulated the directors on the successful operations of the Company. The report and balance sheet were then unanimously adopted, Messrs Thomas Peacock and P. A. Carr were unanimously re-elected directors of the Company. Messrs J. Friar Clarke and G. R. Kissling were. re-elected auditors at a fee of £50 each.

On the motion of Dr. McDowall, seconded by Mr T). Ross, a vote of thanks was passed to the chairman, the directors, general manager, and officers of the Company.. Dr. McDowall made special reference to the services of the general manager, and to the eminently able and successful way in which that gentleman had carried out. the operations of the Company. The chairman a_nd the general mana*

gei- (Mr J. Kirker) briefly returned thanks, the latter responding to the vote on behalf of himself and the staff of the Company. The chairman announced that the dividend would be. payable to-morrow.