MOVING-IN DAY.

Auckland Star, Volume LVIII, Issue 155, 4 July 1927, Page 4

MOVING-IN DAY.

A DALGETY INCIDENT. NEW AUCKLAND PREMISES. . remarkable record. This is moving-in day f or Dalgety's Auckland business, and flags are flying °;;f r , t] i e knJsome now premises in Albert Street. Though preparations have been made ZslZ tlme Past and 311 l«tTeek tie lor th* I 3 1"' 3 Were busy B ettin S readv *• it j s to-day that Sinl 10 ? actua J ly be g'K6- The new enrl nr * S * le external appearance end presents an imposing outlook over a 6 Paci°us thoroughfare, which is ° f , l }. e , Principal of Auckland's commercial distributing avenues. Internallv the building is designed on the most modern lines, is beautifully lighted, admirably equipped and furnished in accord-an-rt- W1 utility, dignity and refinement. lnia movement is simply one more stage ot progress in a business career that is one of the most notable in the history P Australia and New Zealand. As far back as 1846, Mr. Frederick Gonnerman t? j '• a , y° UD S Canadian, who had settled in Australia, was instrumental in founding the firm of Dalgety, Borrowdale and Gore, in Melbourne. The business at the beginning, as now, was chieflv concerned with wool and general merchandise and though the Australian gold rushes found the firm dealing profitably extensively in the yellow matal, their suosidence saw the owners still developing along its original lines. There numerous changes in the personnel of various partnerships constituting the firm during. the first fifty years, but though the founder died in 1894, his name has been preserved in the business' title ever since. Moreover, the various changes appear have been fortunate in the respect that the steady progress of the firm has been virtually continuous, keeping pace with the development of Australia and .New Zealand, of which development it has undoubtedly been a leadi-ig factor. The original founder was strong in his London connections, and as ita financial responsibilites increased and shipping connections became more powerful it was considered abvisable in 1884 to register the company in London. Entering the present century, Dalgety's was well established as the leading firm in the antipodes amongst those dealing with wool, wheat and other products of the land, a 6 well as some of the bigger lines of general merchandise. It had then built up a remarkable reputation for integrity and commercial soundness, whilst it« practise of disseminating carefully compiled statistics on pastoral topics made its operations of additional value. In this respect, Dalgety's "Review" has a world-wide reputation as the vade mecum of wool growers. Finance. In its diversified dealings with primary producers whose revenue is fluctuating, dependent upon seasons and vary-'ng markets, Dalgety's, like other similar firms, has become virtually a banking institution for its clients. Apart from its share capital, the directors have relied largely upon debenture money raised at comparatively low rates of interest to carry on-its business. The following list of the capital issue as at la6t balance-sheet illustrates this point and at the same time indicates the dimensions of the company's undertaking:— Paid-up capital £1,500,000 Irredeemable debentures 2,485,454 Terminable debentures.. 503,992 The financial standing of the company indicated by the N fact that it wee able do obtain its last debenture stock at 4% per cent, and ordinary shares are 4o firmly held that a purchaser at to-day's darket rate must be satisfied with just

#ver 6 per cent. At the last annual meeting it was lecided to issue another £2,000,000 of fhares, which will bring the company's fk'orking capital to over £6,000,000. In fnaking the announcement at the annual jneetiiig in London, the chairman of directors, the Hon. Edmund Parker, pointed out that though the profits had giore than doubled during the past 18 rears, there had been no increasa in the *hare capital. He had little doubt that profitable use would be found for the additional capital. That this suggestion is justified will be seen by consideration of a few facts concerning the piesent dimensions of the business. . The company does the largest wool business in Australia and New Zealand; last season its sales were in the vicinity of 600,000 bales, or about one-sixth of the total sales. Also it does a very large gram business, ranking among the principal sellers of Australian wheat in overseas countries, and it has an extensive turnover in dairy produce. , . ... The local branch must be grfen credit for a proportionate share of this huge turnover, for during the last two seasons it has handled over one-third of the total output of wool from the province. In the season just ended the company s offering was 15,875 bales. The site which Dalgety and Co. have just vacated had been their headquarters tor about fifteen years. It was reasonably handy for commercial interests, but the new location is undeniably superior, and within the walls of the new building the activities of the Auckland branch will have every opportunity to keep pace with the development of the Dominion a leading city.