BENEFITS OF EXCHANGE.
CHELTENHAM DAIRY COMPANY. SUFFICIENT FOR BONUS. An amount of £37,916 19s 7d for the London exchange premium was an important feature of the accounts presented at the annual meeting of shareholders and suppliers of the Cheltenham Dairy Company, to-day. “You are probably aware that the popularly called 25 per cent rate prevailed right throughout the financial year,” commented the chairman of directors (Mr C. G. C. Dermer), in his annual review. “The exchange rate on our demand drafts on London was really £124 for each £IOO, not £125. The benefit derived by having this rate in force for the full season is fully demonstrated by the fact that the premium this year is greater than the total of the export charges on our butter by £10.869 4s 2d. “The total amount of exchange premium of £37,916 19s 7d is almost sufficient to pay the total amount required for the bonus payment, £38,650. In other words, had there been no assistance given to the dairy producers through the exchange premium, and if the exchange rate had been at par, the payout would have been no greater than the average advance rate of approximately 7Jd per lb.”
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https://paperspast.natlib.govt.nz/newspapers/MS19340815.2.62
Bibliographic details
Manawatu Standard, Volume LIV, Issue 219, 15 August 1934, Page 7
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198BENEFITS OF EXCHANGE. Manawatu Standard, Volume LIV, Issue 219, 15 August 1934, Page 7
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