WAIRAKEI LIMITED.

Auckland Star, Volume LXV, Issue 234, 3 October 1934, Page 4

WAIRAKEI LIMITED.

SMALL PROFIT LAST YEAR. CAPITAL ADJUSTMENT PROPOSED. The annual statement of accounts of Wairakei, Ltd., tor the year ended June 30, show a net profit, after allowing £000 for depreciation, of £339. This has been added to the profit and loss account, bringing the balance to £4955. which it is proposed to carry forward. In their report to shareholders the directorn state ! — "Although net earnings of the company show improvement, tney are still considerably below the amount required to pay a dividend on the shares as they exist at the present time. and. your directors feel that if the present capital structure of tha company were to remain unaltered, profits should first bo employed in writing off the intangible assets before the payment o£ dividends. Therefore, so as to permit of the payment to shareholders, at the earliest 'possible moment, of such dividends as may be justified by profits, it has -been decided to proceed with a scheme of enpitai reconstruction without further delay. This will be submitted to shar a holders at a later date. "Extensive alterations to the hotel are necessary. These are receiving attention and will if possible be completed before the season commences. The golf course is being continually improved and is much appreciated. "The retiring directors, Messrs. J. A. Gentles and G. L. Thorburn offer themselves for re-election." Chief items in the balance-sheet are:— Taid capital £34.005, mortgage £64'J8, creditors £3511. Assets: Property £32,638, buildings £10,008, furniture £3356, electric plant £1374.