GAS COMPANIES
A DIFFICULT YEAR
Difficulties which have faced gas companies during the past year were , reviewed by the ch-airman (Mr. J. P. Newman) at the annual meeting of shareholders of the Timaru Gas, Coal, and Coke Co., Ltd. "While it is a source of gratification to your directors that they are able to meet you tonight with a declared dividend of 4 per cent.," remarked the chairman, "I may say that this result has been obtained in the face of extremely difficult conditions, and throughout the year we have been hampered with increased overhead costs which have militated very greatly against the smooth working of our business, and have given us cause for some anxiety in regard to future developments. The drastic conditions imposed upon us by the Industries and Commerce Department under the Board of Trade Gas Regulations m face of the heavy increases in wages ana salaries and the 40-hour week, have tended to deprive us of that comparative freedom of action in carrying on our business which we previously enjoyed, and which, for many years, gave entire satisfaction to our consumers and shareholders alike. It has always been the policy of the company to keep the level of the price of gas to our consumers at a strictly fair relationship to costs of production and supply, and a fair and reasonable return to our shareholders by way of dividends. , "In the reserve account the comparisons show a total expenditure for 1938 for wages, salaries, and repairs, etc., of £9628 3s 3d, against the previous year £9181 19s Id, an increase for the year of £446 4s 2d. The cost of coal used in manufacture of gas shows an increase of £353 Is sd. Over the last three years wages and salaries nave increased by £1350. The Dominion award for gas workers, which came into effect during the year, has further increased our wages bill. Only six months of the extra overhead charge comes into this year's accounts but the next annual statement will have to bear the full 12 months' increase.
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https://paperspast.natlib.govt.nz/newspapers/EP19390223.2.163.12
Bibliographic details
Evening Post, Volume CXXVII, Issue 45, 23 February 1939, Page 16
Word Count
345GAS COMPANIES Evening Post, Volume CXXVII, Issue 45, 23 February 1939, Page 16
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