COMPANY NEWS

Press, Volume XC, Issue 27303, 20 March 1954, Page 8

COMPANY NEWS

WRIGHT, STEPHENSON’S NEW ISSUE Proposals to increase ordinary capital by more than £1,000,000 will be submitted to shareholders of Wright, Stephenson and Company, Ltd., stock and station agents and wool brokers, next month. Details just announced provide for an issue of ordinary £1 shares at a.premium of 5s in the ratio of one-for-one (raising £500,160) and a bonus issue also in the ratio of one-for-one. Authorised capital will be increased from £1,000,000 to £3,000,000 by the cancellation of 25,000 original £1 bonus shares, which were never issued, andthe creation of 1,750,560 new £1 ordinary shares and / 249,440 new £l. preference Sh The S two issues will raise ordinary capital by £1,000,320 to £1,500,480 m £1 ordinary shares. At balance date, June 30, reserves totalled £1,244,549, m eluding £650,000 in general reserve and £217,364 in'share premium reserve. Preference capital stands at £ 499,840. After the cash and bonus issues total paid capital will be £2,000,320. Terms of the new issue are 10s on application and calls of 5s each ■?£?- tember 30, January 31, and May 31, 1950. The transfer books of the company will close on April 8, and the shares will become “ex rights” on April 9. Explaining the reasons for the P ro P°®fJ s in a circular to shareholders, the chairman. Mr C. U. Plimmer, said that beSuse of the high level of prices and the extent to which the company s operations were expanding—particularly in relation to land development and increas-. ing primary production —it was becoming increasingly more difficult to handle the volume of business within the capital structure of the company. To a considerable extent the company m its ordinary operations made use of the credit balances of its customers and to strengthen tna relationship between these funds and the company’s liquid assets it was to retain in liquid form a portion of the ne Xr C3 each ’of the last three years the company has paid a dividend of 10 per cent, plus a bonus, of 5 per cent. Mr Plimmer said that the directors believed that a higher capitalisation and a lower rate of dividend was preferable to the existing capital set-up, which involved a high rate of dividend. The present share premium reserve of *£27,364, together with thp. premium on the new issue, will be used for the new bonus issue. The present premium reserve will provide 8s 8d of the cost of each new bonus share. Provided the new issue is fully subscribed, a further 5s a share will be available for this purpose Thus it is expected that only a small amount of each bonus share will be added to shareholders' non-assessable income as a dividend. So the jate of tax on shareholders’ assessable income should oe affected only to a moderate extent. .The bonus issue is not in itsell subjedt to income tax liability.

Woolpack and Textiles.—The annual dividend is 6 per cent, on A. and “B” shares, ex March 29.—(P.A.) Wm. Cable Holdings.—The company announces that applications for 50.000 cum “B” 5 per cent, preference shares, recently offered to shareholders only, have closed heavily oversubsenbed. Allotments will be made forthwith and successful applicants will be advised at an early date.—(P.A.)

GROCERY NOTES This month there is a conslderaM improvement in the general tumreJ? against last month. Most lines are briskly, particularly packet teas have been much in the news duiine last few days. Many retailers have h»2 e keeping stocks up to cope with the ri? mand, as many consumers have been ♦S" ing advantage of the various branx which haaze not already increased price. Ceylon tea prices have steadiJS tills week and in some cases only id nT lb movement has been recorded it . r thought that the present prices Will J 8 main firm until May when the induJ tea market becomes active. 1311 Shipping has been quiet over last v-e-v particularly in overseas cargoes. CoaSni shipping has been steadier and boats havq been readily available Waitaki has arrived from Auckland a consignment of vinegar in flagons whi«* have been in short supply for the two weeks. Canned Tomatoes Arriving The firn of the new season’s canned tomatoee ar. now arriving from Auckland and thf»» are halves packed in 20oz and 30oz cane Prices are slightly in advance of kS year. Scouring Powder Price DecreaaevThe manufacturers of a scouring powder have announced that their product will in future retail at u 6d a tin. Vapour Inhalers Up in Price.—The Npw Zealand distributors of a wcll-kndwn in. haler will in future be sold at a higher price: that is 3s each instead of 2s 8d each. Australian Canned Fruit.—New season 1 - canned fruit is starting to arrive from Australia. The demand so far ha s not been very- keen. Some buyers are still waiting the announcement of New Zealand packs and prices, particularly 0 » peaches and pears. Prices for Australian peaches and pears show an increase this season of about 3s for the former and 2s for the latter.

WOOL FUTURES MARKET

(N.Z. Press Association—Copyright) LONDON, March 18, The closing tone of the wool, future* market was very steady. Quotations

BRADFORD TOPS MARKET (N.Z. Press Association—Copyright) ‘ t LONDON, March 1& Bradford wool tops quotations are:— Merino: 70’s, 149 d per lb; 64’s. 138 d: 60’s, 126 d. Crossbred: 56’s, 96d; 50’s, Bid; 46’s, 79d? LONDON METAL MARKETS

(N.Z. Press Association—Copyright) t LONDON, March 18. L

MINING Mount Morgan.—Operations for the four weteks ended March 7 are: ore treated at sulphide mills, 58,350 tons; production, 5,727 ounces gold and 523 tons copper.— (P.A.) Grey River.—ln the period March 3 to 16 the dredge worked 263 hours, handling 153,000 yafds for a recovery of 434.70 ounces gold.—(P.A.) CEYLON TEA MARKET (N.Z. Press Association—Copyright) COLOMBO, March 17. ’ A good general demand prevailed at the tea sales this week,, with common and low medium brokens slightly easily. Orange pekoes were slightly dearer and others were firm. Quotations were High-grown broken orange pekoe, 302 cents per lb; medium liquoring broken orange pekoe, 250; medium liquoring orange pekoe, 242; low medium broken orange pekoe, 238; low medium dust, 238 cepts per lb.

are:— * Buyer. Seller. ‘d. per lb. d. per lb. Marell .. 1411 142 May- . .. 1413 143 .. . July .. 139J 139| ' September .. 137j 138 October .. 1363 137 December .. 1341 March .. .. 131J 1311May .. 1301 1301 July .. 129 1291 September .. 1281 128J

Metal quotations are as follows:— 1 Buyers. £ s. d. Sellerxl £ s. d.) TinSpot . • • .. 740 0 0 750 0 0 Forward .. 693 10 0 694 0 0 Lead— f Spot .. 87 5 0 87 10 0 'Forward .. 85 15 0 86 0 0 Zinc— Spot .• .. 73 15 0 74 0 0 Forward .. 72 15 0 72 17 6 Copper— Snot .. 235 10 0 236 0 0 Forward .. 225 10 0 225 15 0