COLONIAL SUGAR COMPANY

Press, Volume LXX, Issue 21334, 29 November 1934, Page 11

COLONIAL SUGAR COMPANY

PROFIT OF X. 114,782 DIVIDEND AND BOMS (UHITEU ITU'.*.". A.iS.irlA'lldN-HT ELECTBIO TKLJCK'.I'H- Cnl'YlUi.UT.) (Received November 2!',, 11.5G p.m.) SYDNEY, November 20. A net profit of .1:444.792 for the halfyear ended September 30, compared with £495,389 and £468.112 in the two preceding periods, was shown in the report of the Colonial Sugar Refining Company, which was adopted at the half-yearly meeting of shareholders thi; afternoon. A dividend of 10 per per cent, for the year and a bonus of--21 per cent, for the year require £305 625 The amount transferred to reserve is £92,000. while £387,704 is carried forward.

Mr E. It. Knox, the chairman, said that the output of sugar in Queensland for the present season would not reach original expectations, mainiy because of excessive rain. The forecast for tiie companr's mills next year was 110,000 tons, which was about the average for the last five years. The output in New South Wales was better than anticipated. Fiji would also exceed expectations. Before the half-yearly meeting a special meeting of shareholders confirmed the resolution of a special general meeting on October 24 for an increase in the capital of the company from £7,000.000 to £14.000,000 by the creation of 350,000 new shares at £2O each. Mr Knox took the opportunity of clearing up misconceptions surrounding the proposal and the company's profits. Lit the same time answering hostile criticism in Parliament and a section of the press. He said that even if the company gave all its services as refiners at cost or without profit, the price of sugar (4d a pound in Australia) could not be reduced by more than the fourteenth of a penny, or 5d per 701b bag. TOOHEYS STANDARD I SECURITIES PREFERENCE SCHEME APPROVED Resolutions embodying the modification of the rights of preference share-, holders in Tooheys Standard Securities, Ltd., received, after slight amendment, the unanimous support of shareholders at extraordinary meetings. The proposals presented by the directors provide for the cancellation of the 600,000 unissued preference shares, and the creation in their stead of 600,000 "A" pieference shares bearing 51 per cent., having a capital prefer- j er.ee of 20s instead of 25s a share. Shareholders of the 300.000 issued preference shares are asked to accept al per cent, and forego the 25 per cent, capital preference, and. as consideration for their agreement, it is proposed to issue to them one new "A" preference share, fully paid to £l. for every! four already held. Owing to the wording oT section Hi : of the Inleresl Reduction Act. a seri-j mi:; doubt has arisen a., to whether the; 221 per cent, reduction would not auto- i matically apply 01. the parsing of 11k; i resolution as originally framid to the I reduced preference dividend of s'. per cent. In consequence, an amendment j was passed, providing thai, if i\\(: act. should apply to the altered rate oC i dividend, then the right conferred .--hall ; be to a fixed cumulative prch renlial i dividend at such rate as. taken in con- ; junction with the operation of Ihei act. will result in a rate of 5! per cent, j per annum. [

Following preference shareholders' approval, a genera! meeting, at which approximately 90 per cent, of the share capita! was represented, authorised the alteration of the articles to permit of I the scheme being put into operation. ! CISBORNE FROZEN MEAT CO. ! A BETTER YKAR "The conservation of a:-sels and consolidation of reserves during the continuance of slump conditions in (lie country have proved a sound policy, and it must be gratifying to shareholders to know that the company has again made a real profit which is represented by cash," .-aid Mr JI. B. William;:, chairman of directors of the Gisborne Sheep Farmers' Fro/en Meat and Mercantile Company, Ltd., at the annual meeting on Saturday. Mr Williams said a drop in the freezing department credils was the result of a decrease in the quantity of slock treated at Hie Tokoinaru Bay works, plus lower receipts from the Kaili works from Ihc same cause. The freezing department, debits showed an increase? of £2606. Expenses and interest wen: lower, and the increase had been brought about by extra depreciation and taxation. 'l')ii} balance in the prolil and lo: s appropriation account, £lo,o,'i:i, was lower than last year. but in the circumstances was considered very sat isfactorv. Writings off in the year were all old accounts, which had been provided for, and the board's recommendation to transfer £2200 to bad debts reserve was not; actually required, but it was felt that the making of a reserve of 10 per cent, of the book debts was a wise precaution. The mercantile side of the company's business showed a substantial improvement in net prolil. The remarkable recovery in the won! and meat markets had very beneficially all'cctcd trading operations.

IMPROVED BUSINESS KAK.MEKS' J)ISTI{|IH;TIN(; COMPANY Mr Thomas Currie, chairman of the New Zealand Fanners' Co-operative Distributing Company, in moving the adoption of the balance-sheet at the meeting at Feilding. referred to the excellent trading year experienced by the company, the net returns being the highest in its hislory, while the wonderful increase in the lotal turnever indicated Hie steady progress being marie by Hie company in all its centres throughout the Wellington Province. Sir William Perry. Messrs 11. B. Maunsell, and D. Collis were declared duly re-elected to the directorate. Mr A. Stuart, M.P.. Marton, wa; pleased to notice the progress recorded by the company, and hoped that as soon as its position was further improved it would be enabled fo render even more services at reduced costs to its shareholders and clients. Mr G. L. Marshall, Marton, urged shareholders to retain their holdings, as they were often tempted by speculators and vested interests to relinquish their shares, and thus allow the control of the company to pass out of the hands of the farming community. It was necessary in the best interests of a farmers' co-operative association that the shareholding be widely distributed among farmers themselves.