WAIRARAPA FARMERS' POOR YEAR.

Evening Post, Volume CIV, Issue 73, 23 September 1927, Page 10

WAIRARAPA FARMERS' POOR YEAR.

"Trading conditions during the last year were particularly bad—in fact, in our opinion they were worse than in the 1920----21 slump, and we regret that the result does not allow of a dividend being paid on ordinary shares; at the same time we consider the outlook is ever so much brighter than it has been for a long time past," report the directors of the Wairarapa Farmers' Co-operative Association, Ltd. They report a profit of £10,385 lls Bd. This, after paying an interim dividend on preference shares, plus amount brought forward from last year, leaves £10,579 8s 8d for allocation. After paying a final dividend on preference shares, directors' fees, income tax, etc., the directors recommend that the balance be carried forward. Special consideration has been given to bad and doubtful debts, brought about by the unsatisfactory financial position affecting farmers, to whom the association has given assistance from time to time. The directors recognise that the substantial losses on the company's book debts were in the past a considerable tax on the profit and loss account; so much so that these writings off have affected tho payments to shareholders of. dividends, and therefore the normal business of the company; It was recognised that during this year, a substantial debit on this account still required to be dealt with, and the directors, with a view to placing the finances of the company in a sounder position, obtained independent valuation of the company's properties, the true surpluses after revaluation being transferred to reserve. From this credit reserve, a provision for the foregoing has been made. After transferring this amount the reserve stands at £6725 5s Bd, thus re-establish-ing an account which was written off in 192,2. The retiring directors, Messrs. H. G. Williams, A. Caselberg, and Martin Elgar, offer themselves for re-election.