COMPANY AFFAIRS.

Auckland Star, Volume LX, Issue 263, 6 November 1929, Page 4

COMPANY AFFAIRS.

COLONIAL SUGAR CO. REVIEW OF INDUSTRY. At the half yearly meeting of the Colonial Sugar Eefining Co., held m Svdney last week, the chairman oi directors, Mr. E. IV. Knox, said that the climatic conditions prevailing during the last six months in both Australia and Fiji affected the growth of the cane, and the total output of sugar will be about 600,000 tons, including 220,000 tons from the company's factories. It will be necessary to export from Australia 192,000 tons, which has been sold to British refiners and should realise about the same price as the shipments of the 1928 crop. Since August the production of sugar from the company's Australian and Fiji mills has averaged over 10,000 tons a week. The prospects of the 1930 crop are not, so far, favourable—the winter and spring nights having been unusually cold—and the rainfall for that period was below the average. Since the sharp fall in the world's price for sugar, which reached the lowest point in May last, there has been a slight recovery in values, but it cannot be said that this will be maintained. All the producing countries, except Java, now depend more or less on protection of their sugar industry, or on preferential duties, and a way out of the resulting tangle is not manifest. To add to the difficulty, the British Chancellor of the Exchequer has stated bis intention to propose next year the abolition of the sugar duties and the consequent cessation of preference for the produce of the British colonies formally promised to those communities for a period of ten years from July, 1926.

BROKEN HILL PROPRIETARY. NO DIVIDEND. Directors of the Broken Hill Proprietary Ltd.,, have decided to pass the half-yearly dividend. The reasons they assign for this are the prolongation of the coal trouble on the Newcastle fields, resulting in lower outputs and higher costs of production, combined with the general depression m trade. For some years past dividendsof 10 per cent per annum have been paid by the company. The passing of the halfyearly dividend is the climax to a series of monthly reports from iron and steel works at Newcastle showing a low output. The company has been compelled to buy coal from mines other than those on the northern field, and as a considerable quantity of this fuel is used in the manufacture of steel it will be understood that the costs of production have increased very much.

GOLDSBROUGH, MORT. NEW capital issue. At an extraordinary meeting of shareholders of Goldsbrough, Mort and Co., Ltd., held in Melbourne last week, a proposal that the nominal capital of the company be increased from £2,000,000 to £2,400,000 by the creation of 400,000 new shares of £1 each, was agreed to unanimously. In explaining the reason for the action contemplated by the board of directors, the chairman of directors (Mr. J. M. Niall) said that the board was fully alive to the fact that times were not good in Australia. The object was to "run the ship on bare poles," without impairing its usefulness. The board did not intend to ask for an increase greater than might possibly be required. Mr. Niall added that, as a financial institution, the company had to share the burdens of the drought which, during the past four or five years, had prevailed over a large area of Australia. When the drought broke, and the question of' restocking where losses had been sustained had to be considered, more money would be required, and 'he thought that shareholders would agree that there should be funds at the disposal of the company to assist clients on safe lines. The fall in wool and stock values had, of course, for the time being, reduced the incomes of pastoralists generally, but it was reasonable to believe that this was only a passing phase, and that values would recover as they had done in the past, after a period of depression. They had also to consider the ordinary requirements of their business. The directors had recently erected a new wool store at Fremantle, and new office premises in Brisbane and Perth. He felt sure that the outlay would be justified. Mr. Niall said that it was the intention of the directors to issue the new shares at a premium of 10/, payable 10/ on application or before December 31, 10/ on January 31, 1930, and 10/ on February 28, 1930. These shares would in the first instance be offered to shareholders on the basis of one share for every five held by each individual member of the company.

HINUERA COMPANY. At an extraordinary meeting of shareholders of the Hinuera Dairy Co., Ltd., a request was made that the directors resign in a body and contest an election. All the directors accepted the challenge, with the exception of Mr. I. Black, who said he did not think the demand for another election was general. The result of the ballot has now been declared, all of those who resigned being re-elected, as follows: J. E. West, T. Corry, J. Gutter, S. Wright, P. E. Hawke, H. S. Wright, successful, with I. Black, who did not resign. The unsuccessful candidates: C. Scelly, J. P. Harris, D. B. Higgins, N. H. Price, H; Mann, N. S. Griffiths, T. G. De Eenzy.

AUCKLAND AMUSEMENT PARK. In the absence of the requisite number of shareholders representing the capital necessary to form a quorum, the annual meeting of Auckland Amusement Park, Ltd., to have been held 'on Monday, was adjourned until 2.30 next week. WESTPORT-STOCKTQN OUTPUT. The output from the Westport-Stockton Coal Company's mines for the month of October was 16,532 tons. The output for the corresponding period of last year was 13,259 tons, showing an increase of 3273 tons.