BANK OF NEW SOUTH WALES.

Evening Post, Volume LXXVIII, Issue 135, 4 December 1909, Page 5

BANK OF NEW SOUTH WALES.

The balance-sheet- of the Bank of New South Wales for the half-year ended 30th September last appears in our advertising columns, and it will be noted that the net profit for the half-year was £182,362, and there was brought forward £38,342, making available for division, £220,704. In reviewing the balance-sheet the chairman stated that the deposits as a whole had increased in the year by nearly £900,000, and the public deposits particularly had increased. Bills payable and other liabilities showed the large increase of £650,000, which partly arose from a somewhat !more active exchange business during the winter months, and partly from the reversion to draft instead of telegraphic remittances by some of their clients. On the assets side coin and its equivalent had increased by over £600,000, and money at short call in London by £1,690,000. Advances were lower by about £1,200,000. At the meeting the president made the following announcement : — "I take this opportunity of announcing that the board have decided to recommend a further increase of the capital of the bank. Briefly the recommendations are : — Capital to be increased to £3,000,000; shares to be issued at a premium of £5 per share; payment to be spread over twelve months. It is barely three years since the capital was last increased, and even in that period the business has expanded considerably. We think, however, it is a wise thing to look somewhat ahead, and not to wait till the actual growth of the figures compel us to move. With regard to the premium, taking into consideration the market value of the shares, and the short interval since the capital was last increased, the board are of opinion that it is reasonable to ask for the small premium of £5 per share. This will be applied .to strengthen the reserve fund, so that it may be brought as soon as possible up to what we consider its proper proportion to the increased capital. We believe this to be of paramount importance in the interests of the institution. This increase of capital will exhaust the limit which has been sanctioned by our Act of Incorporation as -amended in 1886. We therefore intend to apply to Parliament for additional powers, as wna done on .that occasion."