Commerce, Mining, & Finance

Evening Star, Issue 21879, 16 November 1934, Page 9

Commerce, Mining, & Finance

COMPANY NEWS IMPERIAL SMELTING CORPORATION Imperial Smelting Corporation Ltd. shows a net profit of £154,984 for the year ended Juno 30, compared with £129,880 the - previous year, and £137,473 in 1931-32. Preference dividend of 6i per cent, requires £134,538, leaving £33,126 to be carried forward, against £13,680 brought forward. No ordinary dividend has been paid since 1930. MUCH IMPROVED YEAR Marcus Clark and Company Ltd., a retail trading company, reports a net profit of £11,781 for the year ended August 4, compared with losses of £37,721 the previous year and £44,130 in 1931-32. No dividend is recommended, and the profit reduces the debit forward to £17,102. Dividends on preference shares have accrued since August 15, 1980. Trading profits were £53,279, against £7,054.the previous year. BUCKLEY AND NUNN LTD. The directors o'f Buckley and Nunn Ltd., Melbourne, state that interruptions to business during rebuilding arid the drastic writing-down of stocks are causes of the loss of £17,900 incurred in the year ended, July 24. The loss, together with the cumulative preference charge of £10,500 a year, and tho interim ordinary dividend paid in January last, has depleted accumulated profits 4>y £36,500. ANTHONY HORDERN Anthony Hordern Ltd., of Sydney, has declared a dividend at tho rate of 7i per cent, per annum on its preference shares for the half-year ended August 30, 1934, payable to-morrow. TRUTH AND SPORTSMAN LTD. ‘ Truth ’ and ‘ Sportsman ’ Ltd., Sydney, shows a net profit of £42,405 for the year ended June 30, compared with £29,889 for. the_ preceding year. The company accordingly pays the preference dividends of 8 and 9 per cent, at full rate, requiring altogether £17,000, and ordinary shareholders receive a dividend of 10 per cent., absorbing £20.000, A sum of £4,000 is appropriated to special reserve for depreciation of plant and machinery. The sum carried forward is £11,244, against £9,839 brought forward from the balancesheet, the reserve for contingencies, and the reserve for equalisation of dividends were £6,052 and £6,000 respectively last year; in their place is general reserve of £25,070, an increase of £13,018.

LAKE VIEW AND STAR PROFIT Lake View and Star Limited shows * profit of £460,238 for the year elided June 30, compared with £439,305 for the previous year. Dividends of 57J per cent, absorb £310,500. A sum of £114,305 lias been written off development and for depreciation, Other allocations are £IO,OOO extra remuneration to directors, £IO,OOO to reserve, and £9.000 to income tax reserve, leaving £19,366 to be carried forward, against £19,433 brought forward. MONOWAI OPTION An option has,been granted to a representative of a London corporation for the purchase of the mining properV ties of the Monowai Gold, Copper, and Lead Mines Limited (in liquidation), at Waiomo, together with all plant and other assets of the company.. The option holders have decided upon development work at a lower level. A contract has been let for opening a new level 220 ft below No. 4 level, its principal objective being the Monowai reef, which ranges from 32ft to 50ft in width. This should bo to hand in 630 feet of driving. . MOUNT MORGAN PROFITS -Mount Morgan Limited shows a net profit of £80,569 for the year ended June 26, compared with £30,454 for the previous year, after providing £4,874 for depreciation. Dividends of Is 6d per share, equal to 30 per cent., required £54,417, and 33,270 is carried forward, against £7,118 brought forward. Total revenue was £270.732, against £122,138 for 1932-33. From 153,280 tons ore treated, production was 5.797.02.. tons concentrates, assaying 5.240 z gold and 8.7 per cent, copper, with a metal content of 30,392,1770z.g01d and 504.79 tons copper. Mining costs were 7s 2.01 d per ton of ore, including cost of removing overburden, a decrease from 8s 4.26 d for the previous period. Concentration, costs dropped to 8s 10.57 d per ton from 12s 10.20 d per ton. Since the close of the year a new process has been introduced into the mill, and its results to date, the report states, have been encouraging. Alterations to the power plant have resulted in lowered costs, and further improvements are under consideration, with a view to effecting considerable reductions of costs. Ore reserves at June 27 including the balance of 2,000,000 tons of readily accessible ore, are estimated at-7,748,589 tons, assaying 4.2Bdwt gold and 1.76 per cent, copper.

METAL MARKET Press Association—By Telegraph—Copyright LONDON,, November 14. The following are the official metal Quotations: — Copper: Standard, £27 11s 3d per ton: forward, £27 18s Ifd. Electrolytic: Spot £3O 15s; forward, £3l. . - Wire bars, £3l. Lead: Spot, £lO 6s 3d: forward, £lO 12s 6d. • Spelter; Spot, £ll 17s 6d; forward, £l2 3s 9d. Tin: Spot, £228 7s 6d; forward, £223 13s 9d. Pig iron: Home trade, £3 7s 6d; export, £3 2s 6d. Antimony; British, £54 10s; foreign, £4B ss. Molybdenite, £1 14s 6d per unit. Wdfram, £2 Os Cd. Silver: Standard, 24Jd per oz: fine, 26 11-16 d.

FOREIGN EXCHANGE ON NEW ZEALAND CURRENCY BASIS The Bank of New South Wales, Dun* edin, quoted the following rates for its purchases and sales of foreign exchange to-day• Franca

* These rates are nominal. T.T. represents telegraphic transfer*. O.D. represents on demand transactions. The above rates are subject to alteration without notice. BRITISH GOODS IN MOSCOW IMPORTANT TRADE DEVELOPMENT An important developnient in internal Soviet trading is presaged by the news that British goods arc being sold in the Moscow shops for roubles. The Moscow correspondent of L. J. Dnflou Ltd., Wellington, refers to this fact in a recent letter. The quality of Soviet goods has been improving in recent months, but it is not yet possible to say that in every respect it is as good as that of British goods. Shoes, cotton goods, woollens, and other goods manufactured in Greats Britain will undoubtedly commend themselves to the Russian shopper, even though he has to pay a slightly higher price for them. This is virtually the first time since the revolution that British goods have beeu'purchasablc in Soviet shops. This fact opens up a new prospect for AngloSoviet trade. Hitherto Soviet purchases in England have been limited to engineering products and heavy industrial needs, together withdraw material, such as rubber, etc., from the colonies. If Soviet Russia’s department stores are uow going to sell .British goods wo shall see. a great revival of interest in this market on the part of the boot and »hoe trade, the hosiery trade, the woollen trade, and others which for nearly twenty years have counted the. Soviet market as being lost. Observers in the U.S.S.U. have noted for some time past a steady tendency on the part of the Soviet rouble to rise in value. During this year considerable changes have taken place—partly due to the fact that the great increase in the quantity of goods for sale has caused its value to rise steadily month by month, and partly owing to the financial internal policy which has been pursued by the Soviet Commissariat of Finance. ' .

SYDNEY WOOL SALES Press Association—By Telegraph—Copyright SYDNEY, November 15. At the wool sales 11,229 bales were offered and 9,254 sold, while 2,340 were disposed of privately. Good fleece and skirtings were again in buyers’ favour, and all other descriptions remained firm at the previous day’s rates. Greasy merino made to 17id. ASSOCIATED NEWSPAPERS Press Association—By Telegraph—Copyright SYDNEY, November 15. Associated Newspapers Ltd. show a not profit of £186,651, compared with £165,793 the previous year. Dividends on preference shares total 6 per cent., while a dividend on ordinary shares of 6 per cent, is now recommended. DAIRY LEGISLATION At the annual ward conference of Southland dairy producers at Invercargill the following resolution was carried ; “ That this meeting of Southland dairy producers, while keenly anxious to assist the Government to solve the difficulties of the dairy industry, would strongly urge that in setting up an executive commission the Act should be so altered that the producers’ representatives should be the nominees of the Dairy Board and the nominees of the Meat Board respectively.”

THE RESERVE BANK WEEKLY SUMMARY The ‘ Gazette ’ issued last night contains tho following statement of tho assets and liabilities of the Reserve Bank of New Zealand at the dose of business on November 12; — LIABILITIES.

AUSTRALIAN STOCK EXCHANGES Press Association—By Telegraph—Copyright . SYDNEY, November 15. The Stock Exchange market was active in all departments, with allround firmness. The early sales were as follow: — Bonds: 3i per cent., 1948, £IOB 12s Cd; 4 per cent., 1941, £lO6 15s; 1944, £lO7 12s 6d; Anthony Hordern, 17s 9d; Associated News (pref.), 255; British Tobacco, 41s 6d; Colonial Sugar, £74 17s 6d; Dunlop’s, 20s lid; Lustre, 25s 6d. Later sales:—Bank of New South ,Wales, £32 15s; National Bank (£5 paid), £6 6s 6d; Queensland National Bank, £5 7s; Bank of Adelaide, _£s 17s; Colonial Sugar,. £75 ss; United Insurance, £ll Is; Associated News, 26s lid; Associated News (pref.), 25a 3d; Drug Houses of Australia, 24s 6d; Tooth’s, 51s; British Tobacco, 41s 6d; Australian Glass, 57s 6d;, Dunlop Perdriau (prof.), 395; Winchcomhe, Carson, 29s ; Morris,'Hedstrom, 17s; David Jones, 425; Anthony Hordern, 17s 4id; General Industries, 14s; General Industries (pref.), 265; Newcastle Gas (A), 13s 9d; United Provisions, 9s 6d; North Broken Hill. 995; Bulolo Gold, £8 8s 6d; Kuala Kampar, 14s; Rawang Tin, 7s 6d; Euratha, 9s 6d. MELBOURNE, November 15. Bank of New South Wales, £33; National Bank (£5 paid), £6 6s 6d; Australian Glass, 57s 6d; ‘Herald’ and ‘ Weekly Times,’ 58s 6d; Dunlop Perdrian, 20s; Commercial Bank of Australia. 16s Id; .South Broken Hill, 78s 6d; Mount Lyell, 17s 6d.

MUST BE PAID FOR ARTIFICIAL EXCHANGE RATE 9.i n , “ The time has arrived when the British Empire > should cease to make believe with its money,” concludes the ‘ New Zealand Traveller,’ official organ of the Commercial Travellers’ and Warehousemen’s.Association. “ Admittedly, the problem is most difficult, complicated as it is by exchange fluctuations and manipulations by foreign countries, but it should not be beyond the intelligence and ingenuity of the British people to devise some method by which the Empire can put its monetary system in order.” The ‘Traveller’ holds that ‘‘the present apparent benefit resulting from the unnatural exchange rate has deprived some writers on the subject of their capacity for clear thinking and logical reasoning. One cannot imagine, for instance, that the following was written by an economist, even by one who believes in the unnatural rate of exchange‘ By means of raising the exchange rate the exporters received about £10,000,000 extra in New Zealand currency this. year. Surely this must have improved' the condition of their accounts considerably. If the exchange had been raised another 25 per cent, they would have received about £20.000.000 extra in New Zealand currency.’ “ But why stop at a 50 per cent, rate? Why not make it 75 per cent, or 95 per cent.? Seeing that, apparently, value can be created by a scratch of the pen, why not go the limit and make the dreams of wealth of Alnaschar, the barber’s fifth brother in the ‘ Arabian Nights ’ tale, assume the dimensions of the pin money of a Scotsman’s wife as compared with the easy money that can bo secured by exchange manipulation? ”

LONDON WOOL SALES Messrs Murray, Roberts and Co. Ltd. are in receipt of the following cablegram from their London Agents, Messrs Sanderson, Murray and Elder Ltd., dated 13th inst“ The following vessels have arrived in time for the consignments of wool by them to bo offered in the next series: Akaroa, Rangitata, Fordsdale. BRADFORD MARKET Press Association—By Telegraph—Copyright LONDON, November 15. (Received November 16, at noon.) Bradford is very quiet. Quotations: Seventies, 28§d; 64’s, 26d; GO’s, 24d: 56’s, 19Jd; 50’s, 14d: 46's, lid; 40’s, OJd.

THE SEARCH FOR GOLD , MATAKI DIVIDEND Tho directors of the Mataki Gold Dredging Company Ltd., which is operating near Murchison, have declared a second interim dividend of one penny a share. Tho capital of tho company is £35,000 in shares of 2s each.— Auckland Press Association. MAGETOWN DEVELOPMENT: Tho mine manager’s report to November 10 states: — Tho laboratory is now completed and a trial run was very satisfactory. During the week 1 made a preliminary survey of the Homeward bound lode system. At the eastern end near the old battery numbers one and three lodes were opened out, number one being 4ft wide and number three I2ft wide. At a location near tho portal of tho low level tho survey disclosed four lodes. Numbers two and four wore stripped, number two showing nico-Jooking quartz for a width of 4ft. Tho gold observed has an incrustation of carbonate of iron coating it. Number four lode showed a width of 6ft between two nice walls for a distance of 30ft. On its strike in both. directions it is overlain by broken schist country. During the coming week sampling will proceed over the whole of the company’s areas, and the laboratory will bo operated continuously. GOLDEN DAWN'S NEW REEF The Golden Dawn Company advised tho Dunedin Stock Exchange this morning that it has intersected a new reef in virgin country on the west .cross-cut running twelve to sixteen inches, and assaying 30s to 74s per ton.

WORKSOP EXTENDED The first annual report and balancesheet of the Worksop Extended Gold Dredging Company has been issued. 'The following is a brief summary of the progress of the company during the year ended September 30, 1934: — Dredge.—On October 4, 1933, a contract was let to Mr W. G. M‘Kay for the construction for the company of a modern sluice box dredge, and this was completed and taken over by the company on August 6 last. The directors are very pleased with the performance of the Diesel engines providing power for the dredge. Finances.—At the time of completing the contract for the construction" of the dredge it was realised that the company would»bo short of about £I,OOO to complete the payments to the contractor. Mr M'Kay advised the directors that' rather than see extra capital raised he would be prepared to forgo his final payments until the company was able to pay him from the proceeds of the gold won. The directors wish to acknowledge the helpful attitude of Mr M‘Kay in this matter. The actual shortage, after purchasing huts, tools, spare parts, and spare ropes, etc., was found to be nearly £2,000, but in spite of this the directors are pleased to bo able to report being in a position to declare a dividend of 10 per cent, within three months of taking over the dredge. Balance-sheet.—Reference to the balance-sheet disclosed a net profit of £432 19s lOd, and the directors recommend that this amount be carried forward. Depreciation of Claim.—The directors recommend that a sum of £2,000 bo set, aside out of profits and invested each year to provide for a general reserve fund, and also to provide for the repayment of capital to the shareholders, when the company’s ground will be worked out.

SWAN BREWERY The Swan Brewery Company, of Perth, has cabled to the Stock Exchange Association advising that the usual preference dividend and an ordinary dividend of 2s per share will be payable on December 5. BEET SUGAR Press Association—By Telegraph—Copyright. LONDON, November 15. (Received November 16, at 1 p.m.) Beet Sugar.—December, 2s 9Jd. AUSTRALIAN MARKETS Press Association—By Telegraph-Copyright SYDNEY, November 15. The wheat market is weak. Quotations at country sidings for both bagged and bulk are 2s lid, equal to 2s 6d and 2s 7d, ex trucks, Sydney. Flour, £7 15s. Bran, £5. Pollard, £5 ss. Potatoes; Tasmanian, to £l4; local, new, to £l4; Victorian, £9. Onions: Brown Spanish, £lO. ( Maize: Yellow and white, 3s 3d. ADELAIDE, November 15. Wheat: Growers’ lots, 2s 7d. Flour; Bakers’ lots, £7 17s 6d. Bran, £5. Pollard, £5 2s 6d. Oats: Algerian, 2s. Barley,. 2s 9d. MELBOURNE, November 16. (Received November 16, at 11 a.m.) Wheat, 2s Bd. Flour, £7 ss. Bran, £4 15s. Pollard, £5. Oats, 2s. Barley: English, 2s lOd to 3s 2d. Maize, 3s 6d to 3s 7d. Onions, £5 to £5 10s.

BUTTER, CHEESE. AND EGGS Press Association —By Telegraph—Copyright. LONDON, November 15. (Received November IC, at 1 p.m.) Butter is slow. Danish 120 s. Choicest salted New Zealand, 75s to 765; Australian. 71s to 755. Unsnltcd Now Zealand, 76s to 80s; Australian, 76s to 775. Cheese is slow. New Zealand coloured, 525; white, 535. Eggs are quiet. Australian and Now Zealand fourteens, 11s 3d; fifteens, 11s Od to 11s lOJd; sixteens, 12s 3d to 12s 6d.

Francs to £1 N.Z. T.T. 61.54 O.O. 61.84 60.24 60.29 Noumea— Francs to £1 N.Z. Papeete— Francs to £1 T.T. 62.49 O.D. 62.89 59.49 59.54 N.Z. T.T. 62.49 O.D. 62.89 59.49 59.54 Belgium— Bellas to £1 . N.Z T.T. 17.597 O.D. 17.697 Germany— Reichsmarks to £1 16.897 16.912 N.Z. T.T. — O.D. — 9.775 9.780 ftaly— Lira to £1 N.Z. (Switzerland— Francs to £1 . T.T. — O.D. — 46.25 46.29 N.Z. T.T. 12,574 O.D. 12.649 12.174 12.184 Holland— Florins to £1 N.Z. . T.T. 6.074 ' O.D. 6.124 5.824 5.828 Java— Florins to £1 N.Z. . T.T. 6.040 O.D. 6.090 5,815 5.819 Japan— N.Z. pence to 1 T.T. — yen Shanghai— N.Z. pence to 1 17 21-32 dollar ... ... India and CeylonN.Z. pence to 1 T.T. 19 17-32 O.D. 19 13-32 ’ 1 *20 27-52 *20 25-32 rupee T.T. 22 9-32 O.D. 22 5-32 22* 22 9-16 Hongkong— N.Z. pence to 1 dollar ... T.T. 24 19-32 O.D. 24 15-32 *25 21-32 *25 19-32 Singapore— N.Z. pence to 1 dollar T.T. 34 7-16 O.D. 34 5-16 35i 35 5-16

(1) Paid-up capital £ * 500,000 0 d 0 (2) Gertetol Reserve Fund i .ooo.ooo o 0 i3 Bank notes ... ... 0,053, on 0 0 (4) Demand liabilities— (a) Stain 5,934,350 0 10 (b) Banks ... 11,700,701 17 6 (c) Other 3,488 16 6 (5) Time deposits — (G) Liabilities In currencies other than New Zealand currency — (7) Other liabilities ■41,053 17 5 Total £28,301,574 13 3 ASSETS. (8) Reserve— | (a) Gold ... 3,001,727 0 0 (b‘ Sterling exchange (c' Gold exchange ■ 33,024,177 17 2 (9) Subsidiary coin 100,244 a 3 (10) Discounts— (a* Commercial and agricultural bills — (b) Treasury and local body bills — (11) Advances— (a) To State or State undertakings ... ... r-t (b) To other public aulhoritics — (c) Other — (12) Investments 1,542,654 1 9 (13) Bank buildings — (14) Other assets ... ... 32,771 11 1 Total £28,301,574 12 3 Proportion of reserve (No. 8. less No. C) to notes and other demand liabilities 30.4!)%