KAIAPOI WOOLLEN COMPANY

Evening Post, Volume CX, Issue 52, 29 August 1925, Page 9

KAIAPOI WOOLLEN COMPANY

MANAGEMENT GENERALLY

CRITICISED,

(•I TlLlfMra.—-FRKS ASSOCIATION.)

OHRISTOHURCH,. 28th August. The Kaiapoi Woollen Company to-day decided to write down its capital at the rate of 3a. per sharp,'reducing t(ie tp^al capital of the company from ££00,000 to £510 ? 000. Some shaxebpldera at, the, meeting of the company at which the decision was made expressed the strongest dissatisfaction with the conduct of the company's affairs. Mr. K. C. Armstrong said that the shareholders- could not look forward with any confidence to tha future. His own confidence had gone. He failed to see how the high prices of wool should affect the company if none had been purchased at peak prices. The company had got itself into a serious and deplorable condition, and £350^000 had "gone west" within the past four pr five years. He noticed/ thai the Wellington Woollen Manufacturing Company fjad made a profit on its year's working. What the company should do was to keep on aa a mpjiufacturine company and' not as an importer. They were groviling about over imports and were one of the worst offenders thenißelvrcs, They wer» chiefly a manufacturing company, and. were making a bad job of it. . The chairman (Mr. J. H, .Blackwell) said that the trouble was the company's realisation on the balance of slump goods which had not brought the prices they should have brought! There had! also been difficulty oh the manufacturing side. The factories wereS working only four day 3 a week, and no money could be made out of them under these conditions, because overhead charges went on fast the same, whether they were working short time or producing at their full capacity.