BAY OF PLENTY AIRWAYS

Press, Volume C, Issue 29616, 12 September 1961, Page 17

BAY OF PLENTY AIRWAYS

Acceptance Of NXC. Offer

(NZ Press Association) TAURANGA, Sept 11. The Bay of Plenty Airways Company, Ltd, will retain its entity as a private airline and will continue to operate as such. The company has been reconstructed financially following the acceptance of the National Airways Corporation's offer to subscribe £14,000 of ordinary share capital. Acceptance of the N.A.C. offer was made unanimously at an extraordinary general meeting of shareholders held in Tauranga on Saturday. Mr F. W. Lysaght. who represents deferred shareholders on the board of directors of the reorganised company, has been elected chairman of directors. Deferred shareholders hold £13,550 of the company’s capital of £42,000. National Airways Corporation has taken up 14,000 ordinary £1 shares. Newspaper’s Holding The 4450 B preference shares held by New Zealand Newspapers, Ltd, have been converted into ordinary shares. In addition, New Zealand Newspapers receives 10,000 ordinary shares and a debenture for £13,000 in full settlement of its secured claim of £40,714. The deferred shares will rank equally with the ordinary shares for any dividend declared after the accumulated loss of £30,362 has been recouped and the company has earned a net profit equal to 5 per cent, of the ordinary capital per annum. The deferred shares will then also rank pari passu in winding up. The newly-reconstructed company will have five directors. N.A.C. and the New Zealand Newspapers will have two each and the present shareholder one.