NAPIER GAS CO.

Gisborne Times, Volume LXXIII, Issue 11549, 28 January 1932, Page 2

NAPIER GAS CO.

DIVIDEND DROPPED

EARTHQUAKE FINANCE

Although the Napier (las Company ij not paying a dividend for the past year on either preference or ordinary shares, tin* company has done remarkably well, considering the adverse conditions it lias had to contend with. Last year-the annual meeting ■ of shareholder!,.; was fixed for 11 o’clock on the morning of February 3, but ten minutes before- the hour came iho great earthquake which upset everything. It was the intention of the meeting to authorise the payment of dividends of :’> per cent, and 5 per cent, mi preference and ordinary shares respectively, which would have made the dividend for that year (1930) 6 per cent, on preference, and 8- per ('cut. on ordmarv.

The net earthquake loss to'December 31 last was £19,831. detail*; ol which are given in the profit and loss account. The net loss on buildings at Napier and Hastings was £1222, tho underwriters having paid £10,650 earthquake insurance. The underwriters also paid £2127 in respect of repairs to the Napier gasholder. Repairs to the Napier mains absorbed £5197, and the Hastings mains cost £286. The loss of book debts totalled £789. The whole of the loss of £19,831 has been covered by a transfer from the reserve fund, which reduces that fund to £8169. There was also a loss on the year’s trading of £8926, and this deducted from £12,28-1, the balance that was to have been dealt with last year, there is a credit balance of £3358, which is carried forward. The directors do not recommend the payment of any dividend either on the ordinary or the preference 'shares. The dividend on both classes of share's was paid up to June 30, 1930, when each received 3 per cent, as an interim dividend.