HARBOUR FINANCES
VERY SOUND POSITION
SUBSTANTIAL SURPLUS
THE SINKING FUNDS
The financial statements embodied in the reports made to the Wellington Harbour Board at its statutory annual meeting—for the year ended 30th September last —showed a particularly sound position, which was warmly commented upon by the chairman, Mr. J. W. M'Ewan, and members. In moving the adoption of the bal-ance-sheet and reports, Mr. M'Ewan ■briefly referred to some of the salient features of these documents. "Taking them as a whole," he said, "they are a model of clearness and fullness, and of detail. Our officers are certainly worthy of our congratulations up on their efforts." The gross revenue for the year, conlimicd Mr. M'Ewan, amounted to £454,340, compared with last year's total £4!)7,5)13 —a. decrease of £13,57"'. importers and exporters contributed '£230,170, and shipping paid £217,171. From other sources £37,56S was re-j ■ ccived —mainly in rents and licences. : Among the receipts was the sum of '£7770, cash received from the Railway . Department for wharfages collected from the board, less 2$ per cent. Revenue from this source had dropped from £10,139 in 1021, a reduction of 23 K> per cent. This was no doubt duo to 1 increasing competition by motor vehicles. 1 THE RECORD YEAR, 1929. : Looking back to 1592, there was a. ] fairly regular increase of revenue to jv 1913, when it reached £240,000. Eight ■ rears later, 1921, tho revenue readied }■;' £460,000. In 1922 a drop of £112,657, or 24.2 per cent., is recorded. From 1922 to 1926 a rapid increase was (; shown to £490,000. In 1929 tho rcvepinxe reached the highest sum yet realised, £497,913. "Are we optimistic IV enough to believe that after 30th September, 1931, we shall have a similar experience?" asked Mr. M'Ewan. On the expenditure side, working expenses and repairs and maintenance to[tailed £317,074, or 65:47 per cent. _of C revenue. Interest, £57,750; sinking [funds,-£8900; insurance fund, £12,450; .' and depreciation, £41,958, totalled ! £433,132. The balance to credit was therefore £46,205, £15,000 of which ■ was contributed to the dock fund, leaving a surplus of £31,208 for the year. | ASSETS FAR EXCEED LIABILITIES I . The assets of the board had increased <'\>y £109,327 during the year, he con|f turned, and total assets now amounted I. to £2,825,354, of which £646,059 was ' in cash assets, which included the- dock ["fund, special reserve fund, various inI'suranco funds, and fixed deposits. The [excess of assets over liabilities amountTed to £1,549,512; The liabilities f amounted to £1,278,842. The increase if or the year was made up of the sur-'-.plus, the growth of sinking funds and 1 special funds, including tho dock fund. j When the dock was installed there ! would be a large reduction in cash assets, but the board would have tho flock. SINKING FUND PROVISION. : Sinking Fund No. 1 in connection ; with the board's £850,000 consolidated loan amounted to £461,377; the increase.of the fund for the year amounted' to £26,080. ' The average rate of investments was £4 15s 9d per cent. Sinking Fund -No. 2 in connection with the £150,000 section of the board's million loan, administered by tho PubHe Trustee, now amounted to £20,162, an. increase- for tho year 0f.:£2450. Sinking Fund No. 3, in respect to tk.e second section of the million loan, stood at £13,676, an increase for the year ■ of £1628. Sinking Fund No. 4 amounted.to £10,397, the increase for the year '' being £1955. :. The £.850,000 consolidated loan was ■ 'due iv February, 1946, when it was : estimated the sinking fund would v amount to about £927,000 and that j there would bo a surplus of not less I than £77,000, said Mr. M'Ewan. In '■' respect to the other sinking funds for i. tho loans which were due in 1940, these S would amount to about £113,300, so : that a redemption loan of £286,700 would be required to replace the existing loan of £400,000. The saving | would amount to £7240 per annum. - "After 1946, the saving in interest of ■'the £850,000 loan would be £35,875 : and on sinking funds £4900, or a total \ of £40,775 per annum. ; BENEFIT OF PAST PRUDENCE. ; Mr. A. Fletcher said that the accounts Showed a very satisfactory state of affairs. It was remarkable to see that .the surplus of assets over liabilities was over one and a half million pounds, while the liabilities were £250,----000 less than the actual surplus. While the board could not perhaps look forward to such a good time during the coming year, he was perfectly satisfied that the accounts at the end of this year would still show very favourably. .The accounts were so framed and tho policy of tho board had been such that .the board could stand a bit of heavy weather, and no doubt when better times came again the benefit would bo i-eaped of the prudence which had been Exorcised in tho past.
The accounts were adopted,
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Bibliographic details
Evening Post, Volume CXI, Issue 72, 26 March 1931, Page 15
Word Count
806HARBOUR FINANCES Evening Post, Volume CXI, Issue 72, 26 March 1931, Page 15
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