MANGATOKI DAIRY YEAR

Hawera Star, Volume LIV, 22 August 1935, Page 10

MANGATOKI DAIRY YEAR

PAYOUT SHOULD EXCEED IOD BALANCE OF LIQUID ASSETS SUPPLIERS’ ANNUAL MEETING. Provided the dairy produce market remained at its present level, the average payment over the season to suppliers would be slightly over lOd per ib of butterfat, plus interest on shares, it was reported at the annual meeting of the Mangatoki Dairy Company yesterday. Mr H. R. Free, chairman .of directors,- presided and there was an attendance of about 40 suppliers. Factory statistics were submitted as follow, figures for the 1933-34 season being in parentheses: Total lbs milk received, 45,949,567 (44,276,467); total pounds of butterfat received, 2,016,678 (1,954,361); average test 4.37 (4.4); total dhafges, including depreciation. per lb butterfat to f.0.b.. 2.38 d (2.01 d). Used for cheesemaking.—Pounds butterfat 1,837,612 (1,840,302;; pounds cheese made, 4,650,053 (4,707,567). Used for buttermaking.—Pounds of butterfat 174,076 (103,337); pounds butter made, 205,870 (131,073); overrun, 18.26 per cent (20.98 per cent.); whey butter made, 115,3071 b (113,5531 b); recovery of whey butter made per ton of cheese, 55.51 b (541 b). Total payments for the 1933-34 season amounted to 10.03 d lb butterfat, stated the anpual report. The payout for the season covered- by the accounts was estimated at 9.82 d per lb butterfat. During the season 28,475 crates were forwarded for export. At June 30, 3449 crates in transit vere valued at '43s per cwt, while 4483 crates in store were valued at 4Jd per lb. On this basis, a further amount of .82d per lb butterfat would bp available for suppliers. Extensive alterations undertaken at Matapu during the winter were nearing complei tion and would provide greater con- ! venience and economy. The directors recommended the payment of a dividend of four per cent, on paid up capital, which would absorb £ll3O, or ,134 d per lb butterfat. Attention was drawn to a further reduction in costs to f.o.b. ocean steamer. Jhe financial stability of the company had been well maintained 1 and despite heavy capital expenditure of approxi- ' mutely £SOOO, the company still retained a balance of liquid assets over liabilities. __ LOW PRODUCTION COSTS. - He did not think the suppliers were aware of the vast reductions which had been made in costs to f.o.b. in the past 10 years, said Mr J. P. Marx, who pointed out that such re- . ductions were. difficult to effect ii . the quality of the product was to be maintained. The cost to f.o.b-. m - pence per lb of butterfat in 19-o was . 4.5, he said, figures for intermediate years being as follow; 1926-27. 4.164; 1927-98, 3.932; 1930-31, 2.88; 1932-33, ’ 2.56; 1933-34, 2,51. The figure toi 1934-35 was 2.38, the lowest m the ’io years. Requisites from overseas 1 were ; costing :more because of the exchange rate, while additional exI pense had been incurred by the hallr holiday for the workers, saul Mr Marx * and he thought the directors and all concerned were to be congratulated on the showing this year. I Costs had been lowered to an almost irreducible minimum, saul the . secretary, who considered that the balance-sheet would compare favour- . ably and in some cases more than I favourably, with those of factories m a similar position. The report and balance-sheet, the chairman’s remarks on which were , published in yesterday’s late edition • oi the “Hawera Star,” were adopted with little discussion. Following a notice of motion lodged by the chairman, it was decided that the basis for the allotment of shares should be reduced from one share to 601 b of butterfat to one share to 801 b of butterfat,VOTING AT MEETINGS. Considerable discussion centred about a motion by Mr_D. L. A. Astbury that the company’s articles of association should be so amended that on a show of hands every member present -should have one vote, and upon a poljf every member present in person or by proxy should have one vote. Mr Astbury contended that the company should establish the principle of one shareholder one vote, which, in his opinion, was the basis on which the dairy industry should be controlled. A man should vote, not on the number of cows or shares he possessed but on the interest he showed in the industry. The control was of just as much interest to the small man as the man in a big way, and the number of cows he possessed was no guide to his intelligence. It would be a drastic move, said Mr T. iPerry. who opposed the motion. He thought that if a supplier had only one vote he would not attend the meeting. Mr B. Hutchen said that a supplier with a large number of shares and a big family could divide them amongst the members and so defeat the aim of any change. The system would take the control o\ the company out of the hands of those suppliers with the greatest interost, said Mfc’ T. R. Anderson. In a general discussion, Mr Astbury pointed out that the arguments raised were bogeys and lie considered the stheme practicable. The bulk of the company’s business was done at the annual meeting and it was seldom that the share system of voting was used. A show of hands was taken and Mr Astbury’s motion was declared lost bv 15 votes to 11. The "retiring directors, Messrs Free, Astbury and Hutchen, were re-elected unopposed. Directors’ remuneration was fixed at the same rate as previously. Mr E. K. Cameron, Hawera, was reappointed auditor. Appreciation was expressed of the work in the interests of the company of the secretary, Mr E, D. Douglass, the general manager, Mr J. L. Taylor, the staff, the chairman of directors and the directors. A vote of thanks was accorded a committee of ladies which provided luncheon. At a subsequent meeting of directors, Mr Free was re-elected chairman. Mr A. C. Pease was elected deputy-chairman.