FIRST TASK.

Auckland Star, Volume LXXI, Issue 144, 19 June 1940, Page 10

FIRST TASK.

WINNING THE WAR.

SHAREHOLDERS ADDRESSED.

PORTLAND CEMENT COMPANY.

"The immediate future is obviously impossible to forecast," &a'u\ Mr. G. Winstone, chairman of directors, addressing shareholders at the annual meeting of Wilsons (Xew Zealand) Portland Cement, Limited, to-day.

"Our first task," he added, "and the task of every person and' company in the British Empire, is to win the "war, and to a-ssist in this object we have to produce to our utmost, whether it be war material, food or any commodity."

Mr. Winstone added that shareholders would realise that by the actual or projected installation of new plant at Portland, the directors were doing- all possible to maintain and improve the efficiency of the company. Such action appeared to be one safeguard against the uncertainties of the future. It was

impossible to forecast how the company might be affected by changing conditions arising from the war. The' directors could, however, assure shareholders that the company was in a strong position. Its assets were conservatively valued, and with reasonable trade dividends should be earned.

Speaking of the Wainia hydro-electric station, the chairman said it was hoped to have the third unit completed bv March 31, but war delays had made that impossible. It was expected now that that unit would be running by September. Not only would that lessen the use of the company's steam electric plant, particularly in winter, but would also enable the company to send power when required to the North Auckland Electric Power Board, with which the company had a reciprocal agreement. To that end the two systems would shortly be linked up. He pointed out that from 1928 to 1937 reductions in the price of cement had amounted to 18/ per ton. Unfortunately since that date further price reductions had not been jnjssible, for they could come only through lower costs "of production—and those costs had risen.

Mr. Winstone gave a clear analysis of the balance-sheet, which was reviewed in the "Star" on April 29. Stating that stocks of cement, etc., at £85,877 Svere £45,122 higher than last year, he said that shareholders would understand how desirable it was in these difficult times to carry adequate stocks of alt essential commodities used in the company's manufacture. "We have taken the advice in this matter of the Minister of Industries and Commerce, the Hon. D. G. Sullivan," he said, "and have been assisted by him and his Department in obtaining adequate stocks." He also mentioned that the company had loaned the Government £10,000 free of interest for the duration of the war and six months thereafter.