EGMONT BOX COMPANY

Hawera Star, Volume L, 27 August 1930, Page 3

EGMONT BOX COMPANY

THE ANNUAL MEETING. REVIEW OF YEAR’S WORKING. Air J. B. Alurdoch, chairman of directors, presided at yesterday’s annual meeting of tlie Egm-ont Box Company, held at Eltliam. In moving tlie adoption of the report and baiance-sheet (published yesterday), the chairman said that there were several matters to which he would like to refer dealing with the relations of tlie company with the Tongariro Company and with the natives.

He referred to the deputation that interviewed the Hon. Mr Forbes, when the whole proposition was put before him. The Minister said he considered it a good one and would do all he could to see it carried into effect. 'Time went on, said Mr Murdoch, and, feeling anxious about their request, they went down again to Wellington and approached the Hon. Sir A. T. Ngata and discussed fully with him the question of the Tohi and Wliangaipeke Blocks. They had a sympathetic hearing, hut were informed that the Native Affairs Committee was going fully into the whole proposition of the Tongariro Company. That committee had stated they realised the Box Company had a claim, a moral claim, to the Wbangaipeke Block, to the refund of advances made to the Tongariro Company and also of the debentures taken up. The committee was unanimous that tin l Government should honour the company’s' title and grant them a_ fresh title if necessary. The delegation put up the proposition that if they were met- and a settlement effected they would be willing to give a discount of £SOOO, cutting down the total claim to £20,000. The first part •of their proposition was approved bv Parliament, but in regard to the- railway scheme and the debentures the decision was not yet known. But- it was considered, said the chairman, that they were sure’ to get their money hack. The definite result would probably be known this week. If' the title were secured to the company, added tin* chairman, the position would be brighter than for several years and a financial benefit- would come to tlio eomnanv.

Referring lo flie eoinpaiiy’s timber operations, the chairman said that there was two years’ cutting still available in the Tohi and part of Tarewa Blocks, and it was a question what the company was to do in regard to continuance of milling operations. The position with Tarewa, he said, was that the railway, being a washout. it was better to work through Waimarino to the National Park staion, an expensive method, and lie wondered if it would he opportune to sell the timber from the south-east- section of Tarewa, when there might he a. good mice offering. But, lie added, they did not wish to sacrifice this asset. The supply of boxes had lieen nearly double that of last year and crates had now also increased in output. Referring to the balance-sheet, the chairman said that- there had been a

distinct improvement, the hank overdraft being now £16,000 as against £24,009 the previous year. The directors had followed the policy of writing down the timber assets, so that when the cutting was finished the item would then disappear. Stocks had boon taken in at very conservative prices, as shown bv the fact that since the date of the balance timber had gone up in value and -stocks were therefore very low indeed in price. In reply to- Mr Corrigan, the chairman said that, timber- from Tarewa. was being brought out hv lorry along the Tokaanu-W-nimnrino Road and put on truck at the National Park station. Mr J. L. Wei r, .solicitor to the emu - ■p-nny. afis-o- gave a review of the position from the legal asipeet. endorsing what the chairman had! snid.

The auditor, Mr H A. Lennon,, read a, lengthy report and made some suggestions. Both statements met with much approval by shareholders. Answering Mr Rundle, the chairman said that two years' ago' the, oonrapny had made a call on shares to provide for iakinc- v.-n debentures. Mr J. P. Marx referred to the working account, and said that too httlo attention had been paid to the'Overhead expenses, which should 1 be reidua&d c»n-

.viderab'.y and could 'be done if tivev wished. 'The chairman, said .the total turiio.'Ci had bean £IIO.UUO. Pme board was iaMiijjfml u,v ilia ring, to 'pay so muuh lie •‘dead! stuff.” iu adcihou, vvaiges m me bush anil at tlie yards were governed by awaru.s ami could noli be reduced ; they find to euiipioy a, considerable. number q.f hands. Jn reply to Air Gitoii. the chairman saicl that they had! the auditor’s report, which. showed that the (position was improved by about £'801)0, and that the company was doing good husness and gradually getting over its difficulties, tie referred to.the fact that, the director's had throughout adhered to. the pol icy of making the best class or crate and box. perhaps too good! u quality, he added. Air C. Aj. Maxchant said he was much moie pleased with the position to-day than when he moved a resotut-ion last year. The company’s affairs took a long time to carry out to a oonctusioai., and he was giaii to see that there vis a likelihood ot obtaining something fio.it the Government.. In two yeans, lie said. To hi would lie cut out, and they would he getting a fresh title to Whiangaipeke. Tie stressed the need of work ing as economically as possible.

Mr Power suggested that the working account hud nob received the .attention desired because there had lieeii. so many troubles about, capital. lie urged that an endeavour should be made bo ■dill further reduce the overdraft nevt year.

The chairman said the directors had reduced the figure last year and hoped iu time to get rid of it altogether, fie referre dto some small sections of bush adjoining the State Forest Reserves ' which .could be operated with advantage to tlieir mills' and this was worth consideration. The report ami were (hen adopted. Mr Power said it was due to the shareholding companies that no further ( all should; be made next year without calling a. general meeting, of the company. He moved to this effect. Air Corrigan seconded and the motion was carried.

The chairman said the directors willingly gave an assurance that they would, if necessary, call a general meeting to give all iof or amt,ion possible. A hearty vote of thanks was, on the motion of Air Corrigan, passed to the directors and officers of the company as an acknowledgment, of their good work. The chairman, .returning thanks, said that “with your assistance, we Trope to show a further i improvement next yea.' in the balance-sheet.’’ The chairman said that he would like to acknowledge, the help consistently given to the company by members of Parliament and specially by the Taranaki members and on his motion it was agreed to accord them best, than us for the work done and the help given by them. Al costs Murdoch. Morton and Tirrwn were- re-elected to the hoard nnoppoised. Mr H. A. Lennon was re-upoouned auditor at the same remnnaratijn as Ixffore. Mr J. R. Murdfodh was. at the fust meeting of the now hoard, re-elected chairman.