BANK OF N.Z.

Evening Post, Volume CXXXIII, Issue 137, 12 June 1942, Page 3

BANK OF N.Z.

NET PROFIT REDUCED

The directors of the Bank of New Zealand report for the year ended March 31, 1942, a net profit of £426,746 8s 6d, compared with £461,909 for 1941 and £580,926 for 1940. The net profit is arrived at after providing for expenses of management, for all bad and doubtful debts and other contingencies, and making provision for the annual donation to the Provident i\md-

The balance brought forward from last year is £392,500 8s 3d. Dividends amounting to £231,210 18s 9d having been paid (compared with £293,359 for 1941), £588,035 18s is available for distribution. This the directors propose should be disposed of as follows:—

Dividend on C long-term mortgage shares at 6 per cent, per annum, £7031 ss, which is reduced by Id for every 8d or part thereof fc- social security and national security taxes by £878 18s 2d to £6152 6s lOd; dividend on D long-term mortgage shares at 71 per cent,,'per annum, £17,578 2s 6d, also reduced by Id for every 8d or part thereof for security taxes by £2197 5s 4d to £15,380 17s 2d; dividend on preference B shares (making £53,125 for. the year), £29,687 10s; dividend at rate of 3 ; ? per cent, on ordinary shares (making £281,250 for the year, equal to 7J per cent), £1.40,625; leaving balance" to be carried forward, £396,190 4s; in all, £588,035 18s. Dividends to be paid in N.Z. currency.

During the year one agency has been opened, a branch converted into an agency, md 28 agencies closed.

The balance-sheet is as follows:—

Liabilities.—Capital; Preference A fully paid £1 shares issued to the New Zealand Government, £500,000; C long-term mortgage fully paid £1 shares issued to the New Zealand Government, £234,375; D long-term mortgage fully paid £1 shares, £468,750; preference B fully paid £1 shares Issued to the New Zealana Government, £1,375,000; ordinary fully paid £1 shares, £3,750,000, share capital in nil being £6,328,125; reserve fund, (invested In British Government . securities), £3,575,000; notes in circulation, £627; deposits, £42.531,183 9s 9d; balances due toother banks, £27,158 0s 7d; bills payable and other liabilities (including provision fop contingencies), £5,503,571 Is: provision for taxes, £700,000; London office acceptances under credits, £00,535 19s <sd; balance of profit and loss, £588.035 18s. Total, £59,317,186 8s tOd Assets.--Co!n. Reserve Bank notes, and deposits with bauKera, £9,502,246 5s lOd: Government nines—Commonwealth, Fijian, and Sumoun Administration, £52,765; balances due by other banks, £415,162 19s 2d; money at call au.d short notice, Government securities and other securities in London, £6,847,109 2s lOd; bills receivable in London and In transit, £224,949 13s 8d; New Zealand Government securities (including £500,000 free of Interest loan), £12,821,434 8s 7d; Australian Government securities, £593,569 Is; municipal and other local bodies' securities, £892,410 19s: remittances In transit between branches, £2,786.976 17s 5d ; bills .discounted, £901,083 l<ss lid; other advances and securities and debts due to the bank, after deducting provision for bud and doubtful debts, £22.602,185 9s 9d; landed property, premises, etc.. £317,118 7a Id; liabilities-'of ' customers for acceptances, per contra, £60,535 19a 6d; long-term mortgage department. £730.G39 8s Id, Total, £59,317.186 8s lOd. Loans made by the long-term mortgage deimrunent amount to £730,689. Items in (he profit and loss statement Include dtlarlcf and allowances £572,285. directors' remuneration, New Zealand, London, nnd Australia, £!i250; tfumral expenses." £157.023; rates and tuxes £527.480.