NEW ZEALAND SHIPPING COMPANY.

Press, Volume LIV, Issue 9904, 8 December 1897, Page 2

NEW ZEALAND SHIPPING COMPANY.

TJie twenty-fourth annual meeting of the New Zealand Shipping Company was held at the offices, Hereford street, yesterday. Mr Murray-Aynsley, Chairman of the New Zealand Board, presided. There were eleven shareholder* present and fifty-two proxies were put in representing 6450 shares. The report and balance-sheet of the London Board was taken as read. It was to be submitted to the shareholders' general meeting at London on October 6th last. It stated .—" Tho Pirectow submit the audited accounts of the Company for the year endinjj 30th June, 1897, whioh, after providing for depreciation, insurance, London and colony charges, admit of the payment of a dividend of 4 per cent., free of income tax, carrying forward £5793 14s 9d." The balance-aheet to June 30th showed : —Dr.—To capital paid up, £474,541; debenture stock, £300,000; sundry liabilities (London, £26,915 18s 9d ; colony £22,749 2s sd), £49,665 Is 2d ; bills payable, £20,971 7s 3d; balances of incompleted voyages, £23,884 lis 3d: profit and loss account (amount of proposed dividend at 4 per cent., £18,946 2s 4d ; balance carried forward, £5798 14a 9d), £24,744 17s id ; total, £893,806 16s 9d. Cr.—By thirteen steamships, 57,493 tons gross register, £597,524 0s Id ; four sailing ships, 4581 tons register, and one coal hulk, £13,193 Sfcs 7d; refrigerating machinery, thirteen steamers and two ships, £67,971 16s 2d ; investments, £72,633 7s Id. Property account —Office! 1 and stores at Auckland, Christchurch. Lyttelton and Invercargill, stores and wool presses at Napier, Lyttelton and Waitara, office furniture London and colony, £24,128 O3 7d ; coals and consumable stores ashore and afloat, £5346 3s sd; sundry amounts due to the Company, chiefly freights covered by insurance, £45,149* 19s 6d ; bills receivable, £14,050 13i sd; cash at bankers and deposits, Loudon and colony, £53,809 7s lid ; total, £893,806 16s 9d. The profit and loss account showed— To interest paid and accrued on loans and debentures, £11,779 6s lOd ; to amount of proposed dividend at 4 per cent., £18,946 2s' 4d; to balance carried forward, £5798 14a 9d; total, £36,524 3s lid. By balance brought forward from June 30th, 1896, £5483 17s Id ; by net profit after deducting depreciation to June 30th, 1897, insurance, London and colony charges, and Directors' fees, £31,040 03 lOd; total £36,524 3s lid. The Chairman said that, before the adoption of tlie report and balance-sheet of the London Board, he had to state the g»eat regret the Directors felt in liavinc; to report the death of the late Mr John Anderson, which had taken place since the last annual meeting. They felt the loss of one who bad been connected with tha Company as a Director since it was first started, and one with whom he had been po: sonally associated on tlie Board for nearly twenty-five years, and who always took a great interest in the working of the Company. Under the Company's regulations the Directors had appointed Mr Andersoii'.s son •to the vacant seat, and that, gentleman offered himself for election that day. List March the General Manager, Mr Gibbs, went to England at the request of tlie London Board, and had lately .returned to the colony, he was happy to say, in improved health, and, no doubt., good would come of his interviews and personal acquaintance with the London Directora. Since the last annual meeting the Company had purchased three steamers and sold one. The Waimate, which was building then,'had leplaced the Aorangi, which had been sold to the Canadian and Australian Pt.M.S.S. line, and the Pareora aud Hesketh had been purchased and chartered to the Blaokball Coal Company. The registered tonnaae of the steam fleet had been increased by 3782 tons, and the amount set down in the balance-sheet as the value was £26,6-12 lis lOd less than for the eleven sleniiHirs of la.sfc ycai's balance-sheet. They had the same four sailing ships and the hulk Blaokwall, which stood in the Company's books at £3435 15s lesa than last year. This showed that the London Board was continuing its policy of reducing 1 the value of the vessels in the books of the Company to tlie market value, although they were worth more to the Company. They would have seen in tho newspapers that the Company had made a contract for a new steamer of about 8200 tons register which would have good passenger accommodation beside large cargo space and a speed of thirteen knots. It had been decided to sell the Ruapehu on her arrival in England. Last March in conjunction with Shaw, Savill and Albion Company the New Zealand Co. had made an

offer to the freezing Companies to reduce the freight on frozen meat on their giving an extended contract, and in June conditions for a new agreement were settled. As they were no donbt all aware, shipping Companies had this year to face a great reduction in the rates of freight. On May 14th a deputation from the farmers' societies in the North and South Islands had had an interview with the Hon. E. W. Parker, representing the Shaw, Savill and Albion Company, and some of their Directors, as to the rates of freight for this season, asking for a reduction in wool for steamers to _d and gd with 10 per cent, primage, and for sailers to |d and _d with ,5 per cent, primage, which was the lowest paying rate they could go to considering they kept up a fleet of steamers and sailers running the whole year. After communicating with London the Company advertised these rates on the Bth of June as final for this season, bnt MrFoster, of the Assets Realisation Board, Mr Buchanan and some others, were not satisfied with this reduction, and got guarantees from parties to ship all their wool by any vessels they arranged for at a lower rate. These gentlemen arranged for several vessels at 5-16thd without primage. The New Zealand Shipping Company told their constituents that they would, take wool at the lowest current rates and advertised the same. This had thrown out the regular steam service in carrying dairy produce, which would be a great h-as to the farmers, as the Company liad to fill its steamers with general cargo j before it could despatch them to London, and therefore could not keep up the weekly service which was necessary for the successful carrying on of its business to the greatest profit. This- must continue unless a guarantee was got to fill the steamers by a certain date, or dead freights must be paid so as to allow them to sail weekly. The moat recent reports from Sydney stated that steamers were now getting \d- ahd 5-Bthd, and that it was expected that freights would be increased to 9-16thd and Jd during the present month. Freights by sailer were quoted at 5-16ths of a penny and 7-16ths of a penny, with 5 per cent, primage. In view of those rates in Sydney the rates

fixed by the direct liners from New Zealand, namely, _d and 5-Bths of a penny for steamer and 3-Bths of a penny and _d tor sailers could not be deemed excessive. He was happy to say that the C6mpany was never in a more satisfactory financial position than it was at the present time. Sir Kdwyn Dawes, the Chairman of the Company in London, had been untiring in his efforts to get a sorting shed for Irozen meat erected at the London docks. After protracted negotiations, the Pock Company had agreed to erect a store fitted with refrigerating machinery into which cargoes of frozen meat could be discharged aud sorted for delivery to the various consignees. The cost of the store was estimated at £40,000. The Dock Company required a guarantee of 20 per cent, of the capital cost of the store to cover working expenses and depreciation. The New Zealand Shipping Ccmpany was prepared to bear its proportion of one-third of the guarantee required provided the freezing companies and the Government would each guaranteeone-third. It was proposed tocharge 63 8d per ton upon all frozen meat taken into the sorting sheds and delivered therefrom to consignees, the amount so earned to be deducted from the amount to be paid under the guarantee. On all frozen meat discharged into the sorting shed and afterwards delivered to the Dock Company's own frozen meat stores, no charge would be made. All that was now required was an intimation from the Government and the Freezing Companies of their willingness to contribute onethird each of the guarantee, and the erection of the store would be commenced without further delay. He concluded by moving the adoption and approval of the report and balance-sheet. Sir A. E. G. Rhodes seconded the motion. In doing so he said he wis'-ed to »dd Mi r»gr«t at tbe lou which Hd bean

i _______________________»________ - __________-^ 3 suffered by the death of the late Mr John > Anderson. Referring to the balance sheet » he said it was satisfactory to see that the j Company wore able to pay 4 per cent, on j capital written down from £10 to £8, seeing that for many years it had paid no dividend. Whether they would be able to continue it 'of course remained to be seen. In the matter of freights he thought the Company ! had offered fair rates, but some of the wool ' growers tb.ou._ht otherwise, and tried to cut 1 them down still lower. Tlie rates read 1 out by the Chairman' wore the lowest I 1 payable ones, and it was unfortunate ] ! that no reply had been returned ' to them. In oonseuuencfl the Company and | the Shaw, Savill and Albion Company were ' unable to put on a regular line of weekly ; steamers for dairy produce. This oould not 1 be done on rates less than those offered, because during one seasou of the year they ; must make Borne profit to meet losses during ' another. It was hoped that the sorting stores would soon be erected, for he did not think there was any great loss entailed in the guarantee. It was considered that 6? Od a ton should cover expenses, so that the guarantee would be almost nominal. Unless other parties concerned joined with them the Company could not do anything. The motion wis carried unanimously. The Chairman announced that Mr G. G. Stead had been asked by the Board to stand for the tenth seat, which, by the Articles, was vacant, and he had given the requisite notice. The retiring Directors were Messrs J. Anderson, J. R. Blair and the Hon. E. Richardson, who were eligible and offered themselves for re-election. On the motion of Messrs Tcrnbo"l.l and Forwood, the above-named gentlemen wero elected Directors of the Company. Messrs A. Carriok and E. S. H'irloy were re-elected Auditors. Mr Stavki,ey moved a vote of thanks to the Chairman and Directors for the successful manner in which they had guided tho affairs of the Company through very troublous times. Mr G. Gould seconded the motion, whicli was carried unanimously. The Chairman, in reply, said he hoped that next year . the Company would be in smoother water, and shareholders could rely upon the Directors doing their best in the interests of the shareholders. A Vote of thanks to the staff, afloat and ashore, closed the meeting. At a meeting of f;he Board of Directors, held subsequently, Mr H. P. MurrayAynsley waa re-elected Chairman.