THE NATIONAL BANK OF NEW ZEALAND, Limited.

Evening Post, Volume L, Issue 44, 20 August 1895, Page 4

THE NATIONAL BANK OF NEW ZEALAND, Limited.

(From The Finanoier of 11th July, 1895.) The twenty-third ordinary general meeting of the shareholders of this Bank was held on Tuesday at Winchester House, Old Broad-street, under the presidenoy of Mr. J&meß Maoandrew. The direotors submitted to the shareholders their annual report, -with the balanoe■heot for the year ended 30th Maroh last, from whioh it will be seen that the gross profits for the year, after deducting interest on deposits, and making provision for bad and doubtful debts, amount to -£60,897 8s 7d. There is likewise at the credit of profit and loas account the Bam of .£15,175 8s 5d brought forward from tho preyious year on Ist April, 1894. From these have to he dednoted the expenses at head office and branohes, £42,039 6s Id, and rebate on bills, £2426 18s 4d, leaving a net available balanoe of £31,606 12s 4d. A sum of £6250 has already been paid to the shareholders by way of interim dividend, and the direotors propose that a further payment be made of £6250, making a total dividend of S per cent, for the year, and that the balanoe, £19,106 12s 4d, be oarried to the next- account. The direotors having effected a favourable sale of the lease of the premises oooupied by the Bank in Old Broad-street, have taken a lease of new offices at No. 15, iloorgatestreet, E C, whioh they expect will be found a oommodions and convenient centre for the Bank's business. The removal has now taken plaoe, and business commences at the new premises this day. As provided by the artioles of association, two direotors retire on the present occasion, Mr. Sesber and Mr. Steele, who, being eligible, offer themselves for re-eleotidn. The auditors, Messrs. Welton, Jones .and Co., retire, but also offer themselves for reflection. Bauhci-Sxset, SOtk March, 1895. De. . £ a. 6 To capital paid up— £3 10* per share on 100,000 shares £250,000 0 0 Lets call* unpaid 893 7 3 219,106 12 J To notei in circulation 109,822 0 C To liabilities on deposit and current accounts 1,534,641 1 S To bills payable andother liabilities (including the pronaion for bod and doubtful debts) 265,175 15 ] To profit and losa account— Profit forth* year including fh* balanc* brought forward £31,606 12 4 li*ia interim dlri-dcndforholf-yaar ending 30th Sep. tutor, 1894 ... 6,250 0 0 25,356 13 4 £2,184,102 1 4 Cm. £ b. a. By coin and bullion it head office • andbrancbeß.andoaahatb&nkers 358,024 10 11 * By bills discounted, loans, current accounts, adrances on securities, &c 1,699,835 16 1 By landed property, pramiaes, furniture, t* 126,341 13 1C £2,184,102 1 4 n»m aits loss accoukt fob the tu> isdiki 80th MutCH, 1895. Di. £ a. d. T* mbmifa, Including- rent, taxes, aalaiia* and *xpenaea at head offices and 84 branohea and afancie* 42,039 6 4 To rebate on bills discounted, and not doe at 30th March, 1895 ... 2,426 18 t To interim dividend for half-year < . •ending 30th September, 1894 ... 6,250 0° ( T* balance carried down 25,356 12 : £76,072 17 < C». £ s. d Bj balanc* Ist April, 18S4 15,175 8 i By groa* profit after deducting interest on deposits, and provision for bad and doubtful debts 60,897 8 ', £76,072 17 I By balance brought down £25,356 12 • 38th June, 1895. — Audited and found correc according to the books and vouchcra at the hew office, and to the certified balance books receirei from the Mrerol branches. ■Wblton, Jones i Co., Auditors. The Chairman said— Gentlemen, I hayi nothing very eventful to record in the his tory of the Bank during the past year. 1 has pursued an even course of business, thi result of which your direotors regard a satisfactory, and whioh I hope will presen itself in the same sense to the share holders. For 1894 cannot be regarded a having been a prosperous year for Nei Zealand, and, as I have said before, t make the Bank prosperous oar customer must be prosperous also. The prioes rnlini here for the leading staples of the colon; have for the moat part been low and nnre mnncrative, and this has naturally affeotei the trade and the finances of the colony The -holders of cheep runs have bee: severely handicapped by the unpreoedentedly low prioes to whioh their stooV had fallen, and they have likewise had ax unsatisfactory market for their wool. But latterly there have been indications of improvement apparent, and the importing rise that has taken plaoe at the wool Bilea that are now in progress, and more partionlarly in the class of Neil Zealand oroasbreds in which so many a our onstomers are interested,, will be ver; welcome news to them. (Hear, hear.) 1h value of money in this market during th post year has been unpreoedentedly low, am although this has in Borne respeots faoili tated our operations, yet at the same timi it has aoted prejudioially in diminishing to a certain extent the profits of 'the Bank The depositors in England and in Sootlani have withdrawn a further amount of thei loans to the Bank; this, however, has beei more than made np to ns by inoreased de posits in the colony, although it had beei found expedient there to reduce the rcaxi mum rate of interest as low as 4 per cent We find here that any higher rate than thai has not been suooessful in attracting de posits, whiohare really more regulated by the feeling of distrust than anything else, anc it has therefore been resolved by th< direotors here to follow the example ol most of the other banks, and from thit time forward to reduce their rate ol interest to 3J per cent, on deposits for one year, and 4 per cent, for two or more years (Hear, hear.) The transfer of the colonial headquarters of the Bank to Wellingtqi has fully answered our expectation, and'] think we may congratulate ourselves npoi having made the movo at the time we did, Our business in that important oentre oi the colony shows an increase and improve' ment, and we think there is every prospect of a further expansion there, As regard* the branohes, the cry is still for more ol them, and we have received urgent representations in more than one quarter from good friends of the Bank anxious to have our branohes brought nearer to their business. In some oases it may posßibly be expedient to listen to these representations, and more partionlarly in the mining regions, where British capital is now being so extensively invested ; bat yon may real perfeotly assured that no branch will be established by this Bank which is not likely, as far as we can judge with the beet advice we can get, to bring a profit to tbe Bank, and not to prove a burden upon it. (Hear, hear.) I am glad to say we have entered into a friendly arrangement with the Bank of New Zealand for each of us to withdraw from one of our branches. Tn February last we handed over to them the business oi our branch at Tanranga, and they in turn have handed over to ns the business of theii branch at Dargaville, a plaoe in the Auckland distriot. I may say, however, that this question of the branoheß and the charges whioh they involve is a matter oi constant watchfulness to the Board, and ie one that will certainly not be lost eight of. We are now enabled to pay you the usual dividend of 5 per oent., and to make an addition to the undivided profits ofctho substantial Bum of £3931. We have moved slowly in the matter of accumulating a reserve, bnt it is very satisfactory that everj year has made Borne steady progress towards it, and with this position that we hold— for I may congratulate the shareholders, I think, npon the sonnd and Bteady business wbiol the Bank has been doing— dividend paying and accumulating- a moderate reserve— ii may fairly be asked why the price of om shares continnes to be so low. (Hear, hear.] Well, there are various reasons for this' There is a Btrong prejudice against an; shares to whioh a liability is attached, there is the great distrust caused by the Australian scare, the effeots of which are still felt far and wide,and there is the writangdown in the value of our own shares which took place fouc yeart ago. These have made investors distrustful of them, and. perhaps with some cause ; but I have no .hesitation now in recommending these shares sb a profitable investment. The Stook Exchange is beginning to pbrceive ' that, for the shares whioE were previously for a considerable time at under £1 are now quoted above that figure, and are much more difficult to proonre. 1 may say that if shareholders, when they have occasion to realise, will only exeroise a little firmness, I think that before long we may see a range of prices whioh will mnoh more nearly correspond "to the proper value of what the shares onght to be. (Applause.) I have few remarks (o make npon the accounts in your hands. They indicate some contraction oi business, as was to be expeoted in a time when expenditure has been so mnoh reduced in the colony,- and when the exports from this side to that quarter also show a great deorease. - We have anooeeded in getting in about £1000 of unpaid, calls, and lor the remainder that is stall owing on that account (£893) we hold .ample seourity in the shape of forfeited shares wbioh we have not yet ■old, and whioh we do not mean to sell until we get a fain prioe for them. The notes in circulation are much as before. The liabili.ties on deposit and current accounts are inceased abont .£lOO,OOO. The larger portion of that increase is in the current acconnte, which bear ao interest. The other liabilities ■how an important rednotion of abont .£200,000. To meetonr liabilities we have kept our cash and bullion strong— perhaps stronger than there was any real ocoasion for —and we are now using to advantage here the »*rpl°» that exists from that source. The bills discounted and advanoes of various kinds show a diminution of .£155,000 as oompared with last year, whioh is due to the general contraction of business of "^2 %?' 5]5 ] f ead * »P<>k«n- The items in the profit and loss aooonnt explain themselves, and the general result ia that the profit we have made during the past year la abont £500 less than that in the year before, and, considering the oiroumfrtaoces of the timo, we may regard that result as satisfsofory. (Applause) I now oomo to the « sale of the lease of our pre. mises in Broad-street, whioh will only affect the accounts of the current year, and does not appear in those whioh are in your hands. This sale, whioh had been contemplated from the time when the changes* in the constitution of the Bank . were made in 1891, has now been oarried into effeot, and it will serve to liberate a • considerable amount of capital which we ■hall be able to employ to better advantage in- the oolony. Mot only that, but it will enable us to sit at a materially rednotd rent >er*. (Applause.) Th« new pramiaes whioh

wo bare taken in Moorgate-Btreet seem to be acnorally approved, and I think they will ii« found not loss convenient for the business purposes of the Bank than those whioh we liave so long occupied in Old Broad-street. N'otv, with|respeotto the fntnre, it is perhaps aufeat not to prophesy at all, but I think we can hardly shut our eyes to the indications of improvement that we see around us upon all Bides. It would be unreasonable to anticipate say rapid rebound from the depression that has previously prevailed iv the oolony of New Zealand, but lat there will be a gradual and solid improvement we osrtainly look for. The gold-mining industry there has now assumed considerable proportions, and is in process of rapid development ; and whatever the results may be to those who invest their money in it, that at all events will lead to a considerable oironlation of money in the oolony. In the North Island the timber trade has taken a decided start during the past year, and although that has perhaps not been fnlly maintained, yet it is a resource whioh has to be looked forward to and oounted upon. Then we have gum, whioh is doing better. For wool, as t have said already, the prospect is a good deal more hopeful than before, and it mainly depends upon the prices whioh are obtainable on this side for the great staples of wheat, butter, and frozen meat what the proßpeots of the agricultural population there will be. The visit of the Finance Minister of the Colony, Mr. Ward, to this country has served to disseminate a good deal of useful and valuable information regarding New Zealand and its capabilities ; and the ease with whioh he suooeeded in placing the loan he negotiated here shows that in this market at all events there is still confidence felt in the future of the colony in nc small degree. It will be the objeot of the direotors to take advantage of these signs of amelioration in New Zealand. We have every confidence in the judgment and vigilance eieroised by oar General Manager, Mr. Coates, whose services we greatly appreciate. We have an excellent, hard, working staff there, inoluding the Brand Managers, to whose exertions the shareholders are mainly indebted for the buooessful results of the year, amid surroundings whioh oertainly required considerable cironmspeotion, and I see no reason whatever why, in future, the prosperity of the Bank should not still go on increasing. I shall now move, gentlemen, " That the aoconnts and report be adopted and entered on the minutes." (Applause.) Mr. E. C. Morgan seconded the resolution. A brief disoussion enßned, after which the Chairman, in reply to questions, stated that the amount standing against the item of London premises would be materially reduced during the current year, and the effect of that wonld be felt in the next accounts. The sum set aside as provision for bad and doubtful debts was not large, but the Board considered it ample. There wae no truth whatever in the rumour that there was an intention to amalgamate this Bank and the Bank of New Zealand. The resolution was then put and carried unanimously. Mr. T. heaber and Mr. W. J. Steele, the retiring directors, were re-eleoted, as were also the auditors, Messrs. Welton, Jones and Co. Mr. Tabonrdin moved a cordial vote of thanks to the Chairman and direotors for their valuable services during the past year, and also to the Seoretary (Mr Maxwell), the General Manager in New Zealand (Mr. J. H. B. Coateß), and the staff. He expressed his thorough confidence in the direotors and in the Bank, which lie maid the Board was getting into a thoroughly satisfactory condition. He was, be said, only a Bmall shareholder, but he had increased his holding lately, and intended to do so still further. He quite expected to ace the shares rise not only to par, but to i considerable premium (Applause.) The vote was Beoonded nnd heartily accorded, and the proceedings terminated. MISSION WORK IN CHINA. Advantage was taken of the presence ii Wellington of the Rev. John atd Mre Parker, who are fresh from missionary wort in China, to hold the annual meeting of the Wellington Auxiliary of the London Mis aionary Society at the Terraoe Church last night. There was a large attendance, not' withstanding the wet and cold. . The Bei W. J. Habens presided. The Treasurer of the branch, Mr. W Weßt Knowles, reported that Bince tli9 end ol last November the receipts of the brand had amounted to J368 6s 4d, the greater pro portion of which had been forwarded to tht parent society. The balance remaining U credit at the present time was .£3l 10s. The following officers were appointed foi the ensning year :— President, Eev. J. X Qlasaon j Seoretary, Mr. W. T. Quinton Treasurer, Mr. W. W. Knowlea ; Commit tee, Mrs. E. W. Smyth, Misses Barnes Borne, Knowles, Metcaif, and Smith, Revs W. J. Habens and B. T. Hallowes, Messrs. W. G. Holdsworth, Meadowcroft, and Lewis ; Seoretary to Watchers' Band, Mrs, West Knowles ; with power to add to theii number. Mrs. Parker, who has spent ten years ii China, chiefly at Amoy, gave an interesting character eketoh of the people with wbos she had had bo much to do, dwelling at som< length 'on the oppression of the women whose place and position had been describee as the '' back of a man's house." They were mostly untaught, and if you asked a China man why he did not teaoh his daughter fa read, he would reply that he was "not going tc spend his money on some one else's daughter jn-law." Mrs. Parker also spoke of the laok ol intelligence among the lower classes, and oon. seqnently the great difficulty in getting them to understand the simplest forms of Gospel teaching, but once they comprehend the Gospel their one aim in life was to win ovei others, and thus the Mission had many willing workers among the Chinese themselves. Mr. Parker, whe was the only white missionary iv Chao-Yang at the time of the rebellion of 1891, gave some vivid pictures of the history and life of the Mission in that neighbourhood, now the headquarters of the Mission in Mongolia. He owed his life during that rebellion to the devotion of a Christianised Chinaman, and he expressed strong belief in the courageousnees of the race if properly led. The missionaries were but a small force -not more ban SOOO or 4000, inoluding native teachers in the midst of the great mass of heathenism and snporstition ; but to-day there was Boarcely a province in which there were not European missionaries. It 'was an important thing for the world that this great nation should reoeive the Gospel, bnt it waß a mistake to teaoh them Western science and manufactures without it. At present the country was a mass o' corruption, superstition, and oppression. The Emperor had promised great reforms on the strength of recent events, bnt they never would be oarried out. The day seemed notiar distant when the Western Powers wonld have to step in and effect a ohange. There was no man in China at the present time with the moral strength to come forward as a reformer of his nation. The missionaries believed that the spreading of the Gospel would in time effect what was wanted. China wonld oome to the front spmo day, and it was for them to show the way before the difficulties beoame greater than they were at the present time On the motion of the Eev. Mr. Glasson, votes of thanks were passed to the London Missionary Sooiety for sending out Mr and Mrs. Parker to the colony, and also to the missionaries for their addresses. Mr. Qlasson also mentioned that, Mr. and Mrs. Parker were collecting, funds 'for the ereotion of premises for the accommodation of people among whom they were working. The sum required was about .£l5O, of whioh amount iB7O had been subscribed in Australia and in Auckland. He hoped Wellington would help. During the evening Mr. and Mrs. Parker, who were dressed in Chinese costume, exhibited a number of onrios, while Mr. Parker sang one of the mission hymns in Chinese, and Mrs. Parker recited the Lord's Prayer in the same language. To-night they lecture in the Courtenayplaoe Congregational Church.