STAND F.M. MOVE

Press, Volume CIV, Issue 30682, 23 February 1965, Page 16

STAND F.M. MOVE

One-For-Ten Bonus Issue

(N.Z. Press Association.)

INVERCARGILL, Feb. 22. A proposal to issue bonus shares at the rate of one-for-two to utilise the £750,000 of pre-1957 undistributed profits, will be placed before the eighty-third annual general meeting of shareholders of the Southland Frozen Meat and Produce Export Company, Ltd., next month. In a memorandum to shareholders, the chairman of directors (Mr Alan F. Gilkison) says that the directors unanimously recommended utilising pre-1957 undistributed profits, and by existing legislation this can be accomplished by issuing bonus shares.

The annual meeting, which will be held on March 10, will also consider a resolution to raise the nominal capital of the company from £l.sm to £2,250,000 by the creation of £750,000 additional capital divided into 1.5 m new ordinary shares of 10s each.

Net Profit

According to the annual report net profit for the year to October 31 was £421,440. Brought forward from last year was £37,743, making a total of £459,183 for distribution.

Directors recommend transferring £lOO,OOO to a building reserve, £lOO,OOO to a plant replacement reserve, and £30,000 to a market fluctuation reserve.

They recommend paying a final dividend of 10 p«r cent on paid up capital which will absorb £150,000, leaving £79,183 to be carried forward.