DISCOURAGED DEPOSITS

Evening Post, Volume CXVI, Issue 20, 24 July 1933, Page 10

DISCOURAGED DEPOSITS

QUEENSLAND NATIONAL BANK

The Queensland National Bank, Ltd., records a net profit of £73,039 for the year ended June 30, an increase of £1452 on the previous year's results. Final dividend is at the rate of 4 per cent, per annum, making 4 per cent, for the year, an unchanged rate. The dividend requires £70,000. Agaihst £ 18,644 . brought forward, £21,684 is carried forward. The directors state that, despite their policy of discouraging: large deposits, carrying no collateral advantages, the difficulty of profitable employment of funds mentioned in the last'report has continued. To conserve the bank's connection they have had to accept more deposit money than <i they can handle productively. The total of deposits has fallen by £263,071, fixed deposits being lower by £422,801, and current accounts higher by £159,730. As an outlet for the bank's funds, .and .with a . view. td reducing interest charges, the directors, purchased and cancelled £76,574 of the bank's interminable inscribed deposit stock at a profit of £12,770. Of this £48,059 was on the London register, and was costing about 4 3-8 per cent, per annum in : interest and exchange. The directors add that Hhey have continued to the utmost compatible with the retention of some profit, the reduction of overdraft rates, especially on necessitous cases in the primary industries. This being. another lean year, only. £2500 is recommended .for writihg down the book values of bank premises and furniture.